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2019 06 04 Council CITY COUNCIL AGENDA 1 JUNE 4, 2019 CITY COUNCIL AGENDA CITY HALL COUNCIL CHAMBER 78495 Calle Tampico, La Quinta REGULAR MEETING ON TUESDAY, JUNE 4, 2019 3:00 P.M. CLOSED SESSION | 4:00 P.M. OPEN SESSION CALL TO ORDER ROLL CALL: Councilmembers: Fitzpatrick, Peña, Radi, Sanchez, Mayor Evans PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA 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. The City Council values your comments; however in accordance with State law, no action shall be taken on any item not appearing on the agenda unless it is an emergency item authorized by GC 54954.2(b). CONFIRMATION OF AGENDA CLOSED SESSION 1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54956.8 FOR VACANT PROPERTY LOCATED IN DESERT CLUB ESTATES BEARING ASSESSOR’S PARCEL NUMBER (APN) 770-174-001 CITY NEGOTIATOR: FRANK J. SPEVACEK, CITY MANAGER PROPERTY OWNER: CITY OF LA QUINTA UNDER NEGOTIATION: PRICE AND TERMS OF PAYMENT AND/OR DISPOSITION OF THE PROPERTIES IDENTIFIED 2. CONFERENCE WITH LABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54957.6; CITY DESIGNATED REPRESENTATIVE: CHRIS City Council agendas and staff reports are available on the City’s web page: www.LaQuintaCA.gov CITY COUNCIL AGENDA 2 JUNE 4, 2019 ESCOBEDO, COMMUNITY RESOURCES DIRECTOR; AND EMPLOYEE ORGANIZATION: LA QUINTA CITY EMPLOYEES ASSOCIATION 3. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION SIGNIFICANT EXPOSURE TO LITIGATION PURSUANT TO PARAGRAPH (2) OR (3) OF SUBDIVISION (d) OF GOVERNMENT CODE SECTION 54956.9 (NUMBER OF POTENTIAL CASES: 1) RECESS TO CLOSED SESSION RECONVENE AT 4:00 P.M. REPORT ON ACTIONS(S) TAKEN IN CLOSED SESSION PLEDGE OF ALLEGIANCE PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA 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. The City Council values your comments; however in accordance with State law, no action shall be taken on any item not appearing on the agenda unless it is an emergency item authorized by GC 54954.2(b). ANNOUNCEMENTS, PRESENTATIONS, AND WRITTEN COMMUNICATIONS - NONE CONSENT CALENDAR NOTE: Consent Calendar items are routine in nature and can be approved by one motion. PAGE 1. APPROVE MINUTES OF MAY 21, 2019 7 2. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED APRIL 30, 2019 21 3. APPROVE DEMAND REGISTERS DATED MAY 10, 17, AND 24, 2019 25 4. ADOPT RESOLUTION TO APPROVE FISCAL YEAR 2019/20 INVESTMENT POLICY [RESOLUTION NO. 2019-015] 51 5. ADOPT RESOLUTION TO APPROVE AMENDING THE SURPLUS PROPERTY AND EQUIPMENT POLICY [RESOLUTION NO. 2019-016] 117 6. ADOPT RESOLUTIONS TO 1) APPROVE PRELIMINARY 2019/20 ENGINEER’S ANNUAL LEVY REPORT FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1, AND 2) DECLARE INTENT TO LEVY 127 CITY COUNCIL AGENDA 3 JUNE 4, 2019 ANNUAL ASSESSMENTS FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1 [RESOLUTION NOS. 2019-017 AND 2019-018] 7. ADOPT RESOLUTION TO REQUEST COUNTY OF RIVERSIDE PLACE COLLECTION COSTS FOR SOLID WASTE HANDLING SERVICES AT SINGLE-FAMILY DWELLINGS ON TAX ROLL [RESOLUTION NO. 2019-019] 159 8. APPROVE AMENDMENT NO. 3 TO COOPERATIVE AGREEMENT BETWEEN THE CITY OF LA QUINTA AND THE CITY OF INDIO FOR DESIGN AND CONSTRUCTION OF STREET AND CANAL IMPROVEMENTS ALONG MADISON STREET FROM AVENUE 50 TO AVENUE 52 173 9. APPROVE AGREEMENT FOR CONTRACT SERVICES WITH SOUTHSTAR ENGINEERING AND CONSULTING, INC TO PROVIDE CONSTRUCTION MANAGEMENT AND INSPECTION SERVICES FOR THE LA QUINTA VILLAGE COMPLETE STREETS PROJECT (PROJECT NO. 2015-03/ 151603) 185 10. AWARD A CONTRACT TO GRANITE CONSTRUCTION COMPANY IN THE AMOUNT OF $8,115,118 FOR THE LA QUINTA VILLAGE COMPLETE STREETS PROJECT (PROJECT NO. 2015-03/151603) 249 11. AWARD A CONTRACT TO URBAN HABITAT IN THE AMOUNT OF $721,040 FOR THE LA QUINTA LANDSCAPE RENOVATION IMPROVEMENTS PROJECT LOCATED AT THE LA QUINTA HIGHLANDS DEVELOPMENT, ON THE SOUTH SIDE OF FRED WARING DRIVE AND WEST SIDE OF ADAMS STREET (PROJECT NO. 2016-03D) 257 12. ACCEPT JEFFERSON STREET SIDEWALK GAP CLOSURE PROJECT LOCATED ON THE WEST SIDE OF JEFFERSON STREET BETWEEN AVENUE 50 AND DEREK ALAN DRIVE (PROJECT NO. 2017-06) 263 13 APPROVE AMENDMENT NO. 7 TO PROFESSIONAL SERVICES AGREEMENT WITH MICHAEL BAKER INTERNATIONAL TO PREPARE SEPARATE BID DOCUMENTS FOR THE CANAL CROSSING ON SILVERROCK WAY AND TO PROVIDE CONSTRUCTION SUPPORT FOR THE SILVERROCK WAY (PROJECT NO. 2014-17) 267 14. APPROVE 27-DAY EXTENSION TO THE CURRENT CITY MANAGER’S EMPLOYMENT AGREEMENT; APPROVE THE NEW CITY MANAGER’S EMPLOYMENT AGREEMENT; AND RECEIVE UPDATE ON TERMINATION AGREEMENTS WITH TALL MAN GROUP 283 CITY COUNCIL AGENDA 4 JUNE 4, 2019 15. AUTHORIZE OVERNIGHT TRAVEL FOR TWO COUNCILMEMBERS TO ATTEND THE LEAGUE OF CALIFORNIA CITIES MAYOR AND COUNCILMEMBERS EXECUTIVE FORUM AND ADVANCED LEADERSHIP WORKSHOP IN NEWPORT BEACH, CALIFORNIA, JUNE 19-20, 2019 305 BUSINESS SESSION PAGE 1. APPROVE THIRD ROUND COMMUNITY SERVICES GRANTS FOR 2018/19 307 2 APPROVE CONTRACT SERVICES AGREEMENT WITH BANK OF THE WEST FOR BANKING AND MERCHANT SERVICES 315 3. RECEIVE AND FILE FISCAL YEAR 2018/19 FOURTH QUARTER BUDGET REPORT AND APPROVE THE RECOMMENDED BUDGET ADJUSTMENTS 391 4. APPROVE RIGHT OF ENTRY, TEMPORARY CONSTRUCTION EASEMENT, IMPROVEMENTS AND MAINTENANCE AGREEMENT BETWEEN THE CITY OF LA QUINTA AND TUTTLE LLC, FOR THE DESIGN AND CONSTRUCTION OF A BLOCK WALL, GATES, DRIVEWAY AND PARKWAY IMPROVEMENTS AT 51555 MADISON STREET 397 STUDY SESSION PAGE 1. DISCUSS FISCAL YEAR 2019/20 PRELIMINARY PROPOSED BUDGET 411 2. DISCUSS PARKING OPTIONS ON CALLE TECATE 415 PUBLIC HEARINGS – NONE For all Public Hearings on the agenda, a completed “Request to Speak” form must be filed with the City Clerk prior to consideration of that item. A person may submit written comments to City Council before a public hearing or appear in support or opposition to the approval of a project(s). If you challenge a project(s) in court, you may be limited to raising only those issues you or someone else raised at the public hearing or in written correspondence delivered to the City at, or prior to the public hearing. DEPARTMENTAL REPORTS 1. CITY MANAGER 2. CITY ATTORNEY 3. CITY CLERK CITY COUNCIL AGENDA 5 JUNE 4, 2019 4. COMMUNITY RESOURCES A. EMERGENCY AND COMMUNITY NOTIFICATION SYSTEM 419 B. MATRIX REGIONAL STUDY 427 5. DESIGN AND DEVELOPMENT – MOTORIZED SCOOTER REGULATIONS UPDATE 429 6. FACILITIES 7. FINANCE MAYOR’S AND COUNCIL MEMBERS’ ITEMS REPORTS AND INFORMATIONAL ITEMS 1. CVAG COACHELLA VALLEY CONSERVATION COMMISSION (Evans) 2. CVAG ENERGY AND ENVIRONMENTAL RESOURCES COMMITTEE (Evans) 3. CVAG EXECUTIVE COMMITTEE (Evans) 4. GREATER PALM SPRINGS CONVENTION AND VISITORS BUREAU (Evans) 5. LEAGUE OF CALIFORNIA CITIES DELEGATE (Evans) 6. COACHELLA VALLEY WATER DISTRICT JOINT POLICY COMMITTEE (Evans) 7. SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS (Evans) 8. ECONOMIC DEVELOPMENT SUBCOMMITTEE (Evans & Radi) 9. COACHELLA VALLEY MOUNTAINS CONSERVANCY (Fitzpatrick) 10. DESERT RECREATION DISTRICT COMMITTEE (Fitzpatrick and Radi) 11. COACHELLA VALLEY UNIFIED SCHOOL DISTRICT COMMITTEE (Fitzpatrick & Peña) 12. RIVERSIDE COUNTY TRANSPORTATION COMMISSION (Fitzpatrick) 13. SILVERROCK EVENT SITE AD HOC COMMITTEE (Fitzpatrick) 14. CANNABIS AD HOC COMMITTEE (Peña and Sanchez) 15. CVAG PUBLIC SAFETY COMMITTEE (Peña) 16. EAST VALLEY COALITION (Peña) 17. CVAG VALLEY-WIDE HOMELESSNESS COMMITTEE (Peña) 18. LEAGUE OF CALIFORNIA CITIES – PUBLIC SAFETY POLICY COMMITTEE (Peña) 19. CVAG TRANSPORTATION COMMITTEE (Radi) 20. SUNLINE TRANSIT AGENCY (Radi) 21. CITYWIDE SECURITY CAMERAS AD HOC COMMITTEE (Radi) 22. DESERT SANDS UNIFIED SCHOOL DISTRICT COMMITTEE (Radi and Sanchez) 23. ANIMAL CAMPUS COMMISSION (Sanchez) 24. CHAMBER OF COMMERCE INFO EXCHANGE COMMITTEE (Sanchez) 25. COACHELLA VALLEY ECONOMIC PARTNERSHIP (Sanchez) 26. LEAGUE OF CALIFORNIA CITIES – GOVERNANCE, TRANSPARENCY AND LABOR POLICY COMMITTEE (Sanchez) 27. RIVERSIDE LOCAL AGENCY FORMATION COMMISSION (Sanchez) CITY COUNCIL AGENDA 6 JUNE 4, 2019 ADJOURNMENT ********************************* The next regular meeting of the City Council will be held on June 18, 2019 at 4:00 p.m. at the City Hall Council Chambers, 78495 Calle Tampico, La Quinta, CA 92253. DECLARATION OF POSTING I, Monika Radeva, City Clerk, of the City of La Quinta, do hereby declare that the foregoing Agenda for the La Quinta City Council meeting was posted on the City’s website, near the entrance to the Council Chambers at 78495 Calle Tampico, and the bulletin boards at the Stater Brothers Supermarket at 78630 Highway 111, and the La Quinta Cove Post Office at 51321 Avenida Bermudas, on May 31, 2019. DATED: May 31, 2019 MONIKA RADEVA, 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 (760) 777- 7092, 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, arrangements should be made in advance by contacting the City Clerk’s office at (760) 777-7092. A one (1) week notice is required.  If background material is to be presented to the Councilmembers 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(s) on this agenda will be made available for public inspection at the Community Development counter at City Hall located at 78495 Calle Tampico, La Quinta, California, 92253, during normal business hours. CITY COUNCIL MINUTES Page 1 of 14 MAY 21, 2019 CITY COUNCIL MINUTES TUESDAY, MAY 21, 2019 CALL TO ORDER A regular meeting of the La Quinta City Council was called to order at 3:00 p.m. by Mayor Evans. PRESENT: Councilmembers Fitzpatrick, Peña, Radi, Sanchez, Mayor Evans ABSENT: None PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA – None CONFIRMATION OF AGENDA – Confirmed CLOSED SESSION 1. PUBLIC EMPLOYEE APPOINTMENT PURSUANT TO GOVERNMENT CODE SECTION 54957, COUNCIL APPOINTED POSITION – CITY MANAGER 2. CONFERENCE WITH LABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54957.6; CITY DESIGNATED REPRESENTATIVES: DAVE MORGAN, SENIOR CONSULTANT, RALPH ANDERSEN & ASSOCIATES, AND BILL IHRKE, CITY ATTORNEY; UNREPRESENTED EMPLOYEE POSITION: CITY MANAGER 3. CONFERENCE WITH LABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54957.6; CITY DESIGNATED REPRESENTATIVE: CHRIS ESCOBEDO, DIRECTOR OF COMMUNITY RESOURCES; AND EMPLOYEE ORGANIZATION: LA QUINTA CITY EMPLOYEES ASSOCIATION 4. CONFERENCE WITH REAL PROPERTY NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54956.8 FOR PROPERTIES LISTED BELOW; CITY NEGOTIATOR: FRANK J. SPEVACEK, CITY MANAGER NEGOTIATING PARTIES: OWNERS LISTED BELOW UNDER CONSIDERATION: PRICE AND TERMS OF PAYMENT 46400 DUNE PALMS ROAD; APN 600-030-010 (PORTION) – CHIN FAMILY PROPERTIES LP – OWNER CONSENT CALENDAR ITEM NO. 1 7 CITY COUNCIL MINUTES Page 2 of 14 MAY 21, 2019 46400 DUNE PALMS ROAD; APN 600-030-010 (SPACE 1 MOBILE HOME COACH) – IVETTE ONTIVEROS – OWNER 46400 DUNE PALMS ROAD APN 600-030-010 (SPACE 31 MOBILE HOME COACH) – HILDA BEDOLLA – OWNER APN 600-030-018 (PORTION) – DWCG1, LLC – OWNER 79440 CORPORATE CENTER DRIVE; APN 600-390-033 (PORTION) – JAMES R. PAUL AND SHARON L. PAUL, TRUSTEES – OWNER COUNCIL RECESSED THE OPEN SESSION PORTION OF THE MEETING AND MOVED INTO CLOSED SESSION AT 3:01 P.M. MAYOR EVANS RECONVENED THE OPEN SESSION PORTION OF THE CITY COUNCIL MEETING AT 4:04 P.M. WITH ALL MEMBERS PRESENT REPORT ON ACTION(S) TAKEN IN CLOSED SESSION: City Attorney Ihrke reported the following actions taken in Closed Session pursuant to the Brown Act: Closed Session Item No. 1 – pursuant to Government Code Sections 54957 and 54957.1(a)(5) the City Council voted unanimously to appoint Jon McMillen as the next City Manager effective July 1, 2019. Closed Session Item No. 2 Pursuant to Government Code Sections 54957.6 and 54957.1(a)(6) the City Council unanimously approved the terms and conditions of an employment agreement for the City Manager position; Pursuant to Government Code Section 54953(c)(3) a summary of the terms of the agreement are as follows: Parties – the City of La Quinta (City) and Jon McMillen as City Manager; Term – three (3) years; from July 1, 2019 to June 30, 2022; Compensation – annual base salary is set at $210,000 with eligibility for an increase to $215,000 after six (6) months based on job performance metrics; Job responsibilities – as defined in Section 2.08.060 of the La Quinta Municipal Code, and all permissible activities as allowed by federal, state, and local law; The final agreement will be scheduled for Council consideration at a regular meeting; The City Council unanimously authorized to extend the employment agreement between the City and current City Manager Frank J. Spevacek to June 30, 2019; the agreement is set to expire on June 3, 8 CITY COUNCIL MINUTES Page 3 of 14 MAY 21, 2019 2019; the amendment memorializing the term extension will be presented for Council consideration at the June 4, 2019 regular meeting; The City Council unanimously authorized the City’s Negotiators to terminate contract services agreements between the City and Tall Man Group effective upon a mutually agreed termination date that must be prior to June 30, 2019. Closed Session Item No. 3 – no actions were taken that require reporting pursuant to Government Code Section 54957.1, and Council will continue consideration of this item after the open session of the meeting. Closed Session Item No. 4 Pursuant to Government Code Section 7267.2 the City Council voted unanimously to approve the amounts it believes to be just compensation for the properties, or portions thereof, listed in the Agenda for this item; and authorized the City’s Negotiators to make offers to the owners, also identified in the Agenda for those properties, or portions thereof; The City Council also authorized the City Negotiators to execute contracts of acquisition for these properties in the event the offers are accepted by the owners; If and when any contract for a negotiated acquisition is executed, it would be a public record and available for public inspection pursuant to state law. PLEDGE OF ALLEGIANCE Councilmember Fitzpatrick led the audience in the Pledge of Allegiance. PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA PUBLIC SPEAKER: Brad Anderson, Rancho Mirage – said the Coachella Valley Mosquito and Vector Control District should better manage and treat insects to prevent spreading; and better inform the public on its preventative measures. ANNOUNCEMENTS, PRESENTATIONS AND WRITTEN COMMUNICATIONS 1. PRESENTATION OF LOCAL HISTORY AWARD TO THE LA QUINTA HISTORICAL SOCIETY BY THE RIVERSIDE COUNTY REGIONAL PARK AND OPEN-SPACE DISTRICT AND A PROCLAMATION FROM COUNTY SUPERVISOR PEREZ’S OFFICE Riverside County Historical Commission Vice Chair Kim Jarrell Johnson and Commissioner Maureen Boren, representing District IV – Supervisor Perez, 9 CITY COUNCIL MINUTES Page 4 of 14 MAY 21, 2019 presented the 2019 Group Achievement in Historic Preservation – Local History Award and a Proclamation from County Supervisor Perez’s Office to the City and the La Quinta Historical Society for their project to place historic markers and plaques with information on local historic sites, create a brochure, and organize walking and driving tours of the sites, designed to engage the public in La Quinta’s history. The award was accepted by La Quinta Historical Society President Linda Williams, and Board Members – Caryl Cummings, Jeff Smith, Val Smith, Nancy Salvatierra, and Jim Blanton. Ms. Williams, on behalf of the La Quinta Historical Society thanked the Riverside County Historical Commission for the recognition; commended Council and Staff for their continuous partnership and support; thanked Sherry Parkos-Martinez for the nomination; and noted this award was being accepted in memory and honor of former Board Member Louise Neely, who recently passed away. CONSENT CALENDAR 1. APPROVE MINUTES DATED MAY 7, 2019 2. APPROVE SPECIAL MEETING MINUTES DATED MAY 10, 2019 3. EXCUSE ABSENCE FOR COMMISSIONER MILLS FROM THE MAY 15, 2019 FINANCIAL ADVISORY COMMISSION MEETING 4. ADOPT ORDINANCE NO. 580 ON SECOND READING AMENDING SECTION 9.60.340 OF THE LA QUINTA MUNICIPAL CODE TO CLARIFY LANGUAGE REGARDING FLAGPOLES 5. RECEIVE AND FILE THIRD QUARTER 2018/19 TREASURY REPORTS FOR JANUARY, FEBRUARY, AND MARCH 2019 6. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED MARCH 31, 2019 7. APPROVE DEMAND REGISTERS DATED APRIL 26 AND MAY 3, 2019 8. APPROVE AMENDMENT NO. 1 TO CONTRACT SERVICES AGREEMENT WITH COMPLETE PAPERLESS SOLUTIONS TO PURCHASE FIVE LASERFICHE FULL USER LICENSES 10 CITY COUNCIL MINUTES Page 5 of 14 MAY 21, 2019 9. APPROVE AMENDMENT NO. 2 TO GOLF COURSE MANAGEMENT AGREEMENT WITH LANDMARK GOLF MANAGEMENT, LLC FOR SILVERROCK GOLF COURSE MANAGEMENT SERVICES 10. AWARD CONTRACT TO CREATIVE LIGHTING, INC FOR CITYWIDE LIGHTING MAINTENANCE SERVICES FOR LIGHTING AND LANDSCAPE ASSESSMENT DISTRICT 89-1 (PROJECT NO 2018-31) 11. APPROVE AMENDMENT NO. 2 TO CONTRACT SERVICES AGREEMENT WITH SPOHN RANCH, INC FOR X-PARK DESIGN/BUILD SERVICES (PROJECT 2015-09) MOTION – A motion was made and seconded by Councilmembers Radi/Sanchez to approve the Consent Calendar as recommended, with Item No. 4 adopting Ordinance No. 580. Motion passed unanimously. BUSINESS SESSION 1. APPROVE SILVERROCK RESORT 2019/20 ANNUAL PLAN Facilities Director Howlett presented the staff report, which is on file in the Clerk’s Office. Council discussed the SilverRock Golf Course marketing brand efforts and collaboration with Staff, the Montage and Pendry hotels. PUBLIC SPEAKER: Randy Duncan, SilverRock Golf Course General Manager – answered Council’s inquiries about marketing; decline of food and beverage sales due to weather and site construction; summer foot-golf program; reduction in golf rounds played due to the temporary closure of the back nine holes during the summer; mitigation measures that can be implemented should there be a substantial reduction in play due to the hotels construction; proactively inform patrons of the upcoming construction through on-site signage and advertisements; tournament play; partnering with the Greater Palm Springs Convention and Visitors Bureau (CVB); golf trends; resident golf play averages 30%; and continuing to use JNS Next for digital marketing. MOTION – A motion was made and seconded by Councilmembers Radi/Fitzpatrick to approve the SilverRock Resort 2019/20 Annual Plan as recommended. Motion passed unanimously. 11 CITY COUNCIL MINUTES Page 6 of 14 MAY 21, 2019 2. APPROVE CONTRACT SERVICES AGREEMENT WITH GILLIS AND PANICHAPAN ARCHITECTS, INC (GPA) FOR PHASE I CORPORATE YARD SPACE PLANNING AND DESIGN SERVICES (PROJECT NO 2018-05) Facilities Director Howlett presented the staff report, which is on file in the Clerk’s Office. Council discussed GPA is the only proposal received to the City’s request for proposals because there are a lot of public projects currently underway in the Coachella Valley; the proposal is very detailed, and it shows the high quality of work and extensive experience GPA has; improvements shall include a self- contained washing station and amenities at the adjacent Fritz Burns Park; and the objective is not only to improve the corporate yard building, but to create a campus for the entire site. MOTION – A motion was made and seconded by Councilmembers Fitzpatrick/Sanchez to approve Contract Services Agreement with Gillis & Panichapan Architects, Inc., in the amount of $58,200, for Phase I Corporate Yard Space Planning and Design services; and authorize the City Manager to execute the agreement. Motion passed unanimously. 3. AWARD CONTRACT TO PWLC II, INC FOR CITYWIDE LANDSCAPE MAINTENANCE SERVICES FOR LIGHTING ASSESSMENT DISTRICT 89-1 (PROJECT NO. 2018-30) Facilities Maintenance Manager Lindsey and Management Assistant Hansen presented the staff report, which is on file in the Clerk’s Office. Council discussed the tree and landscaping maintenance services will be performed by the contractor, and will not be subcontracted; the importance of monitoring the contractor’s performance by holding regular weekly meetings between Staff and the contractor to ensure timeline and quality of performance as outlined in the work schedule is being followed, and the use of tablets allowing Staff to complete maintenance reports in the field; emphasis on Staffs’ ability to successfully maintain the landscaping the City continuously invests funds to improve; the contract specifications include effective tools enabling Staff to actively monitor the contractor’s performance; going forward, the need to proactively and clearly define when the transition from constructing landscape improvements into maintenance occurs; keep Council appraised of landscaping maintenance progress through the Facilities Department monthly report using the before and after images; and the bidding process change from low bid to request for qualifications to ensure the contractor provides high quality services that meet the La Quinta standard. 12 CITY COUNCIL MINUTES Page 7 of 14 MAY 21, 2019 MOTION – A motion was made and seconded by Councilmembers Peña/Radi to award a contract to PWLC II, Inc. in the amount of $687,059 for Citywide Landscape Maintenance Services for the Landscape and Lighting Assessment District 89-1; and authorize the City Manager to execute the contract. Motion passed unanimously. 4. AWARD CONTRACT TO VINTAGE ASSOCIATES, INC FOR PARK LANDSCAPE MAINTENANCE SERVICES (PROJECT NO. 2018-32) Parks Superintendent Ambriz presented the staff report, which is on file in the Clerk’s Office. Council discussed the Fred Wolff Bear Creek Natural Preserve trail is included in the parks maintenance; Staff is responsible for monitoring and cleaning the evacuation pipes and storm drains under the City’s storm water management program; the contract services include parks and retention basins maintenance and mowing only; contractor should proactively communicate observed storm drain obstructions in the field to Staff; Staff will work with the contractor to ensure dead grass is properly treated with aeration, fertilizer, and irrigation; importance of Staff monitoring the contractor’s performance and adherence to the established weekly work schedules; the Civic Center Campus lake is maintained by a separate contract with Water Solution Technologies; Staff will coordinate draining and cleaning the lake following completion of CVWD’s switch to canal water project; keep Council appraised of landscape maintenance progress through the Facilities Department monthly report using the before and after images, as well as a percentage ratio clearly depicting the contractor’s compliance with the contract to ensure accountability and quality performance; and commended Staff for the high level of detail included in the specifications to clearly communicate La Quinta’s service expectations. MOTION – A motion was made and seconded by Councilmembers Radi/Sanchez to award a contract to Vintage Associates, Inc. in the mount of $658,260 for Park Landscape Maintenance Services; and authorize the City Manager to execute the contract. Motion passed unanimously. 5. ADOPT RESOLUTION TO APPROVE AN ACCOUNTS RECEIVABLE WRITE-OFF AND UNCLAIMED PROPERTY POLICY Finance Director Romero presented the staff report, which is on file in the Clerk’s Office. 13 CITY COUNCIL MINUTES Page 8 of 14 MAY 21, 2019 Council discussed the City’s ability to issue refunds electronically; and petty cash limits and regulations pursuant to the City’s Purchasing Policy. MOTION – A motion was made and seconded by Councilmembers Fitzpatrick/Radi to adopt Resolution No. 2019-014 approving an Accounts Receivable Write-Off and Unclaimed Property Policy as recommended: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA ADOPTING AN ACCOUNTS RECEIVABLE WRITE-OFF AND UNCLAIMED PROPERTY POLICY Motion passed unanimously. STUDY SESSION 1. DISCUSS 2019 INDIAN WELLS LA QUINTA IRONMAN 70.3 UPDATE Community Resources Director Escobedo and Management Analyst Torres presented the staff report, which is on file in the Clerk’s Office. Council discussed commissioning a drone areal video of the route to show the cross over areas and emphasize bicycle safety; creative ways to inform residents of the event and route; reaching out to Homeowners Associations (HOA) to send out information to residents via internal TV channels, social media, etc.; exploring opportunities to post flyers inside gated communities, and using a large-size post card for the mailers; the proposed 26 traffic control plans currently under review; importance to collaborate and ensure the same level of preparation and awareness resonates throughout all jurisdictions and participating agencies for this event, including Riverside County Sheriff’s Department; Staff has partnered up with other agencies and the CVB to simultaneously disseminate any marketing materials, route maps, and other communications not only to La Quinta businesses and residents, but throughout the valley; Staff is coordinating with Riverside County Animal Control to ensure riders are safe; exploring TV video advertisement opportunities, outlining the route with pole banners two months prior to the event, incorporating street art and/or more prominent banners along the route; effectively communicating to residents the available paths of travel going east and west in the valley; promoting the City’s event informational website; Ironman’s survey results; and work closely with local businesses and churches to spread the word. PUBLIC SPEAKER: Alex Nappier, Community Liaison and Volunteer Director for Indian Wells La Quinta Ironman 70.3 – spoke about the volunteer recruitment efforts currently underway; and ongoing communications with 14 CITY COUNCIL MINUTES Page 9 of 14 MAY 21, 2019 local businesses to create partnerships, increase awareness, mitigate impacts, and provide recognition. COUNCIL RECESSED FOR A QUICK BREAK AT 5:52 P.M. MAYOR EVANS RECONVENED THE CITY COUNCIL MEETING AT 6:02 P.M. WITH ALL MEMBERS PRESENT 2. 2019 ANNUAL POLICE SERVICES STUDY BY MATRIX CONSULTING GROUP Community Resources Director Escobedo, Public Safety Manager Mendez, and Senior Manager Byron Pipkin with Matrix Consulting Group presented the staff report, which is on file in the Clerk’s Office. Council discussed the number of calls related to short-term vacation rentals (STVR) received by law enforcement compared to the STVR hotline; and timeline for implementing the Racial and Identity Profiling Act (AB 953) dependent on the agency size. Riverside County Sheriff’s Department Lieutenant Tapp, La Quinta – recommended that Council consider adding one School Resource Officer (SRO) position, and spoke of the SRO’s essential duties and the overall benefit to the community, including community-oriented policing, student mentorship, youth counseling, etc. Council discussed the number and nature of calls SROs usually respond to; and the volume of calls handled by SROs related to La Quinta High School over the last year, and how it compared to time spent responding to calls from neighboring jurisdictions. Riverside County Sheriff’s Department Captain Reynolds, La Quinta – said efficiency measures were implemented over the last year to allow for the accurate tracking of Community Service Officers (CSO) tasks and time. Council discussed the proposed budget for police services showed an overall estimated increase of 8%; actual increase for fiscal year 2019/20 was reported at 5%; Desert Sands Unified School District (DSUSD) has expressed consent to cover 50% of the cost should Council approve adding one SRO for fiscal year 2019/20; the responsibilities of an additional SRO; potential implications of reducing the daily patrol hours to 130 from 135 as recommended by the Matrix study; benefits of officer’s proactive time which helps maintain low crime levels in the community; removing a Special Enforcement Officer (SET) position, which has been vacant since 2017 and has not been budgeted; 15 CITY COUNCIL MINUTES Page 10 of 14 MAY 21, 2019 importance to maintain the existing level of safety and control for the community; the legislative intent of Assembly Bill 392 Peace officer: deadly force, and potential implications for law enforcement personnel in the field; officers’ switch to 12-hour shifts effective May 23; schools’ safety measures; and spikes in juvenile mental illness. Council reached a consensus and directed Staff to:  Keep daily patrol hours at 135;  Eliminate the SET vacant/unfunded position;  Add one SRO to be funded 50% by the City and 50% by DSUSD;  Continue to hold 2x2 meetings with DSUSD and Coachella Valley Unified School District;  Explore implementing classes on domestic violence, harassment, shop lifting, etc. 3. DISCUSS PROPOSED PERSONNEL POLICY AND IMPLEMENTATION GUIDELINES Human Resources Manager Scott presented the staff report, which is on file in the Clerk’s Office. Council discussed definition of “small personal acquaintance” under Section 2.2 Conflict of Interest; authorizations required for additional employment outside of the City; notification requirements under Section 2.5.2 Policy Dissemination; smoking definition as stated under Section 2.6 Smoking Policy; dress policy; City Manager’s authority related to employee reclassifications and financial triggers under Section 3.3 Appointment to New Positions, and proposed amended language by the City Attorney to read as amended bellow in blue: 3.3 APPOINTMENT TO NEW POSITIONS When a new position is created, no person shall be appointed or employed to fill the position prior to the position’s assignment to a Classification within the City’s Classificiation Plan, unless otherwise provided by these Policies. The City Manger or designee shall amend existing titles and duties in the Classification Plan, as directed by the City Council. City Council approval shall be required to establish and assign a new classification to the Classification Plan, and when there is a rating change of an established classification. This section does not allow and shall not be construed as allowing the City Manager or designee to approve reclassifications without City Council approval. 16 CITY COUNCIL MINUTES Page 11 of 14 MAY 21, 2019 Council discussion further followed regarding Sections 4.3 Emergency Appointments and 4.4 Interim Appointments, authorizing the City Manger to create positions during an emergency condition and approve interim appointments; position reclassifications resulting in financial impact to the City shall require Council approval; administrative leave benefits to exempt positions as listed in Section 8.5 Administrative Leave and looking into a cost- benefit analysis. Council reached a consensus and directed Staff to continue with the meet and confer with the La Quinta City Employee Association, and to continue to provide comments to Staff prior to the June 18, 2019 meeting. 4. DISCUSS 2019/20 MARKETING AND ECONOMIC DEVELOPMENT STRATEGIES Marketing Manager Graham, Marketing Management Specialist Camarena, and Assistant to the City Manager Villalpando presented the staff report, which is on file in the Clerk’s Office. Council discussed differentiating promotional efforts for hospitality properties based on size; revamping the City’s weekly Items of Interest (IOIs) to include additional information such as street closures, street improvements, etc. that caters more to what might affect local businesses, changing the name and format, include a table of content, and create a proto-type for Council to consider; promoting La Quinta businesses as a whole to create leads, repurposing opportunities, and alternative design and architectural ideas; discover and rediscover La Quinta campaign; promotional services to be provided by JNS Next; promoting group sales and conventions specific to La Quinta to enhance CVB’s promotion of the valley as a whole and the efforts of the individual hotel properties; creating more opportunities to collaborate with the CVB; the additional funding request for fiscal year 2020/21 is to create marketing opportunities to reach a different demographic and marketing co- op with Montage and Pendry hotels to promote the La Quinta properties specifically; scope of printed publications; creating a more specific financial and deployment strategies plan for the additional funding requests; tracking return on investment on digital versus printed publications; evaluating current contract services and identifying needs to reallocate funding to better meet the City’s needs; assessing the success of Taste of La Quinta and other marketing campaigns produced by contract services and whether or not they benefit the La Quinta brand. Council reached a consensus and directed Staff to outline a more detailed financial plan and deployment strategies for the requested additional $100,000 funding; and attempt to estimate the return on investment on the 17 CITY COUNCIL MINUTES Page 12 of 14 MAY 21, 2019 requested additional $250,000 funding for fiscal year 2020/21 prior to bringing the request back at mid-year and include a business plan, metrics, timeline, expectations, and anticipated results. 5. DISCUSS FISCAL YEAR 2019/20 PRELIMINARY PROPOSED BUDGET Finance Director Romero presented the staff report, which is on file in the Clerk’s Office. Council discussed preparing an inventory of the City’s Art in Public Places (APP) and an assessment of anticipated annual maintenance costs; maintenance responsibility of APP can be either on the City or the property owner depending on the terms of the agreement. Council consented with the proposed preliminary budget. PUBLIC HEARINGS – None DEPARTMENTAL REPORTS All reports are on file in the City Clerk’s Office. 1. CITY MANAGER – SEASONS PARK UPDATE City Manager Spevacek said Staff has been in communications with Mr. Velasquez based on the public comments provided during the May 7, 2019 Council meeting regarding the lack of proper maintenance of Seasons Park landscaping; Staff is also working with the HOA and the City’s landscape contractor Conserve LandCare to resolve the maintenance issues. 2. CITY MANAGER – AVENUE 60 STREET IMPROVEMENTS City Manager Spevacek said the first phase of Avenue 60 street improvements along the Andalusia residential development, comprised of one additional lane, bike lane, curb, gutter, and street signage and striping are completed; and the second phase of improvements will include the perimeter landscaping and sidewalk along Avenue 60 as well as the adjoining parks area. MAYOR’S AND COUNCIL MEMBERS’ ITEMS Councilmember Radi reported on his attendance at the 2019 Expo by the Federal Transit Administration held on May 21, 2019, in Palm Springs. 18 CITY COUNCIL MINUTES Page 13 of 14 MAY 21, 2019 Councilmember Fitzpatrick noted Louise Neely’s funeral was held this morning; Ms. Neely actively participated in the community; served on the La Quinta Historical Society Board; and took part in the operations and maintenance of La Quinta’s Point Happy Ranch. REPORTS AND INFORMATIONAL ITEMS La Quinta’s representative for 2019, Mayor Evans reported on her participation in the following organizations’ meetings:  CVAG COACHELLA VALLEY CONSERVATION COMMISSION  CVAG ENERGY AND ENVIRONMENTAL RESOURCES COMMITTEE  GREATER PALM SPRINGS CONVENTION AND VISITORS BUREAU  ECONOMIC DEVELOPMENT SUBCOMMITTEE La Quinta’s representative for 2019, Councilmember Fitzpatrick reported on her participation in the following organizations’ meetings:  COACHELLA VALLEY MOUNTAINS CONSERVANCY  CVAG VALLEY-WIDE HOMELESSNESS COMMITTEE (covered for Peña)  RIVERSIDE COUNTY TRANSPORTATION COMMISSION (RCTC) La Quinta’s representative for 2019, Councilmember Peña reported on his participation in the following organization’s meeting:  EAST VALLEY COALITION La Quinta’s representative for 2019, Councilmember Radi reported on his participation in the following organization’s meeting:  CVAG TRANSPORTATION COMMITTEE La Quinta’s representative for 2019, Councilmember Sanchez reported on his participation in the following organizations’ meetings:  CVAG PUBLIC SAFETY COMMITTEE  ANIMAL CAMPUS COMMISSION (Sanchez)  LEAGUE OF CALIFORNIA CITIES – RIVERSIDE COUNTY DIVISION GENERAL MEMBERSHIP MEETING (May 13, 2019 in Palm Desert) COUNCIL RECESSED THE OPEN SESSION PORTION OF THE MEETING AND MOVED INTO CLOSED SESSION AT 8:47 P.M. MAYOR EVANS RECONVENED THE OPEN SESSION PORTION OF THE CITY COUNCIL MEETING AT 10:20 P.M. WITH ALL MEMBERS PRESENT 19 CITY COUNCIL MINUTES Page 14 of 14 MAY 21, 2019 REPORT ON ACTION(S) TAKEN IN CLOSED SESSION: Closed Session Item No. 3 City Attorney Ihrke reported no actions were taken that require reporting pursuant Government Code Section 54957.1 (Brown Act). ADJOURNMENT There being no further business, a motion was made and seconded by Councilmembers Fitzpatrick/Radi to adjourn at 10:21 p.m. Motion passed unanimously. Respectfully submitted, MONIKA RADEVA, City Clerk City of La Quinta, California 20 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED APRIL 30, 2019 RECOMMENDATION Receive and file revenue and expenditure report dated April 30, 2019. EXECUTIVE SUMMARY •The report summarizes the City’s year-to-date (YTD) revenues and period expenditures for April 2019 (Attachment 1). •These reports are reviewed by the Financial Advisory Commission. FISCAL IMPACT - None BACKGROUND/ANALYSIS Below is a summary of the column headers used on the Revenue and Expenditure Summary Reports: Original Total Budget – represents revenue and expenditure budgets the Council adopted in June 2018 for fiscal year 2018/19. Current Total Budget – represents original adopted budgets plus any carryovers (typically associated with long-term Capital Improvement Projects (CIP) from the prior fiscal year) and any Council approved budget amendments from throughout the year. Period Activity – represents actual revenues received and expenditures outlaid in the reporting month. Fiscal Activity – represents actual revenues received and expenditures outlaid YTD. Variance Favorable/ (Unfavorable) - represents the dollar difference between YTD collections/expenditures and the current budgeted amount. Percent Used – represents the percentage activity as compared to budget YTD. CONSENT CALENDAR ITEM NO. 2 21 The revenue report includes revenues and transfers into funds from other funds (income items). Revenues are not received uniformly throughout the year, resulting in peaks and valleys. For example, large property tax payments are usually received in December and May. Similarly, Redevelopment Property Tax Trust Fund payments are typically received in January and June. Any timing imbalance of revenue receipts versus expenditures is funded from the City’s cash flow reserve. The expenditure report includes expenditures and transfers out to other funds. Unlike revenues, expenditures are more likely to be consistent from month to month. However, large debt service payments or CIP expenditures can cause swings. Prepared by: Rosemary Hallick, Financial Services Analyst Approved by: Karla Romero, Finance Director Attachment: 1. Revenue and Expenditure Report for April 30, 2019 MTD YTD YTD Percent of Budget General Fund 4,955,122$ 38,187,190$ 68.55% All Funds 7,308,174$ 65,214,353$ 41.48% MTD YTD YTD Percent of Budget General Fund 2,325,401$ 29,529,446$ 43.65% Payroll - General Fund 644,109$ 7,319,589$ 43.72% All Funds 3,577,899$ 73,368,481$ 40.80% April Expenditures April Revenues General Fund Non-General Fund Transient Occupancy (Hotel) Tax 1,632,726$ County Government Revenue -Library/Museum 708,540$ Measure G Sales Tax 1,110,612$ Interest Earned on Investments 481,644$ Sales Tax 1,002,229$ SilverRock Greens Fees 410,368$ Property Tax 670,363$ Gas Tax 205,193$ Franchise Fees- SoCal Gas 133,519$ Rebate Revenue(1)199,186$ General Fund Non-General Fund Sheriff Contract (January)1,235,244$ Capital Improvement Program (CIP)- Construction(2)360,194$ Greater Palm Springs Convention Bureau 60,322$ SilverRock Maintenance 142,867$ Contract Legal Services 36,922$ CIP - Design (3)90,146$ Parks Landscape Maintenance 35,851$ Museum Operations 50,250$ Marketing and Tourism Promotions 34,568$ Lighting and Landscape District Maintenance 45,654$ Top Five Revenue/Income Sources for April Top Five Expenditures/Outlays for April (1) Rebate revenue received from Coachella Valley Water District associated with the CIP landscape (turf) conversion projects. (2) CIP Construction: Expenses associated with Highway Safety Improvement Program (HSIP) intersection improvements and utility relocation for Dune Palms Road widening . (3) CIP Design: Multiple CIP projects including Village Complete Streets; SilverRock Event Site; Dune Palms Road widening and bridge; and traffic safety study (Systemic Safety Analysis). 22 For Fiscal: 2018/19 Period Ending: 04/30/2019 Page 1 of 2 Revenue Summary Fiscal Activity Variance Favorable (Unfavorable)Fund Period Activity Current Total Budget Original Total Budget Percent Used 101 - GENERAL FUND 38,187,1904,955,12252,297,400 55,710,250 -17,523,060 68.55 % 201 - GAS TAX FUND 1,521,974205,1931,965,500 1,965,500 -443,526 77.43 % 202 - LIBRARY & MUSEUM FUND 2,220,190708,9032,333,000 2,313,000 -92,810 95.99 % 203 - PUBLIC SAFETY FUND (MEASURE G)204,7930200,000 203,000 1,793 100.88 % 210 - FEDERAL ASSISTANCE FUND 0072,000 66,226 -66,226 0.00 % 212 - SLESA (COPS) FUND 108,6008,333100,100 100,100 8,500 108.49 % 213 - JAG FUND 26800213 55 125.88 % 215 - LIGHTING & LANDSCAPING FUND 1,138,39801,586,100 1,586,100 -447,702 71.77 % 217 - DEVELOPMENT AGREEMENT 1560030,800 -30,644 0.51 % 220 - QUIMBY FUND 50,7380367,000 383,000 -332,262 13.25 % 221 - AB 939 - CALRECYCLE FUND 43,3513,00663,700 66,200 -22,849 65.48 % 223 - MEASURE A FUND 566,79668,516971,708 974,708 -407,912 58.15 % 224 - TUMF FUND 278000 278 0.00 % 225 - INFRASTRUCTURE FUND 2780100100 178 277.70 % 226 - EMERGENCY MANAGEMENT PERFORMANCE GRANT (EMPG)830012,000 -11,917 0.69 % 227 - STATE HOMELAND SECURITY PROGRAMS (SHSP)0006,000 -6,000 0.00 % 230 - CASp FUND, AB 1379 17,8391,5264,000 10,000 7,839 178.39 % 231 - SUCCESSOR AGCY PA 1 RORF 7,568,9122020,482,627 -12,913,715 36.95 % 235 - SO COAST AIR QUALITY FUND 14,272051,500 51,500 -37,228 27.71 % 237 - SUCCESSOR AGCY PA 1 ADMIN 3,9290012,005 -8,076 32.73 % 241 - HOUSING AUTHORITY 593,56577315,000 543,000 50,565 109.31 % 243 - RDA Low-Mod Housing Fund 18,68208,000 18,000 682 103.79 % 248 - SA 2004 LO/MOD BOND FUND (Refinanced in 2014)00010,000 -10,000 0.00 % 249 - SA 2011 LOW/MOD BOND FUND (Refinanced in 2016)310,534102,00830,000 170,000 140,534 182.67 % 250 - TRANSPORTATION DIF FUND 392,14036,946369,000 379,000 13,140 103.47 % 251 - PARKS & REC DIF FUND 292,17726,624508,200 512,200 -220,023 57.04 % 252 - CIVIC CENTER DIF FUND 107,35912,246110,000 110,000 -2,641 97.60 % 253 - LIBRARY DEVELOPMENT DIF 46,7844,47230,000 30,000 16,784 155.95 % 254 - COMMUNITY CENTER DIF 19,3701,67715,400 15,400 3,970 125.78 % 255 - STREET FACILITY DIF FUND 18,4661,50815,000 15,000 3,466 123.10 % 256 - PARK FACILITY DIF FUND 5,4415204,000 4,000 1,441 136.03 % 257 - FIRE PROTECTION DIF 49,3705,62940,000 40,000 9,370 123.43 % 270 - ART IN PUBLIC PLACES FUND 57,76344588,500 88,500 -30,737 65.27 % 275 - LQ PUBLIC SAFETY OFFICER 2,49402,100 2,100 394 118.75 % 299 - INTEREST ALLOCATION FUND 481,644481,64400 481,644 0.00 % 310 - LQ FINANCE AUTHORITY DEBT SERVICE 668,8610671,600 671,600 -2,739 99.59 % 401 - CAPITAL IMPROVEMENT PROGRAMS 4,091,360199,18611,955,941 55,803,794 -51,712,433 7.33 % 405 - SA PA 1 CAPITAL IMPRV FUND 77,103000 77,103 0.00 % 501 - FACILITY & FLEET REPLACEMENT 741,2930923,700 938,700 -197,407 78.97 % 502 - INFORMATION TECHNOLOGY 841,1775,6271,189,800 1,496,800 -655,623 56.20 % 503 - PARK EQUIP & FACILITY FUND 529,3760675,000 690,000 -160,624 76.72 % 504 - INSURANCE FUND 691,1720923,600 923,600 -232,428 74.83 % 601 - SILVERROCK RESORT 3,324,570478,9654,092,800 4,147,800 -823,230 80.15 % 602 - SILVERROCK GOLF RESERVE 6,156070,000 70,000 -63,844 8.79 % 735 - 97-1 AGENCY REDEMPTION FUND 339000 339 0.00 % 740 - 2000-1 AGENCY REDEMPTION 144,348000 144,348 0.00 % 760 - SUPPLEMENTAL PENSION PLAN 1,20400800 404 150.47 % 761 - CERBT OPEB TRUST 53,5610020,000 33,561 267.81 % 762 - PARS PENSION TRUST 0006,540,000 -6,540,000 0.00 % Report Total:7,308,174 65,214,35382,049,749 157,213,623 -91,999,270 41.48 % ATTACHMENT 1 Accounts are subject to adjusting entries and audit. The City's Comprehensive Annual Financial Report (CAFR), published annually in December, is the best resource for all final audited numbers. 23 For Fiscal: 2018/19 Period Ending: 04/30/2019 Page 2 of 2 Expense Summary Fiscal Activity Variance Favorable (Unfavorable)Fund Period Activity Current Total Budget Original Total Budget Percent Used 101 - GENERAL FUND 29,529,4462,325,40151,153,413 67,657,441 38,127,996 43.65 % 201 - GAS TAX FUND 1,296,99362,5311,959,900 2,010,829 713,836 64.50 % 202 - LIBRARY & MUSEUM FUND 1,092,768117,3971,628,200 1,793,400 700,632 60.93 % 210 - FEDERAL ASSISTANCE FUND 0072,000 66,226 66,226 0.00 % 212 - SLESA (COPS) FUND 32,2150100,000 100,000 67,785 32.22 % 215 - LIGHTING & LANDSCAPING FUND 1,100,38183,6901,582,700 1,785,400 685,019 61.63 % 217 - DEVELOPMENT AGREEMENT 77,741067,000 97,000 19,259 80.15 % 220 - QUIMBY FUND 615,08503,956,000 5,748,488 5,133,403 10.70 % 221 - AB 939 - CALRECYCLE FUND 50,1816,78535,000 95,000 44,819 52.82 % 223 - MEASURE A FUND 312,9190961,708 4,733,403 4,420,484 6.61 % 225 - INFRASTRUCTURE FUND 2,7331,138028,571 25,838 9.56 % 226 - EMERGENCY MANAGEMENT PERFORMANCE GRANT (EMPG)00012,000 12,000 0.00 % 227 - STATE HOMELAND SECURITY PROGRAMS (SHSP)3,013006,000 2,987 50.22 % 230 - CASp FUND, AB 1379 1,26804,000 5,500 4,232 23.06 % 231 - SUCCESSOR AGCY PA 1 RORF 17,368,060009,339,728 -8,028,332 185.96 % 235 - SO COAST AIR QUALITY FUND 20,94329554,000 54,000 33,057 38.78 % 237 - SUCCESSOR AGCY PA 1 ADMIN 17,1813,881012,005 -5,176 143.12 % 241 - HOUSING AUTHORITY 370,44121,528604,000 602,500 232,059 61.48 % 243 - RDA Low-Mod Housing Fund 00250,000 267,667 267,667 0.00 % 248 - SA 2004 LO/MOD BOND FUND (Refinanced in 2014)963,17435,88001,451,947 488,773 66.34 % 249 - SA 2011 LOW/MOD BOND FUND (Refinanced in 2016)7,376,024007,416,000 39,976 99.46 % 250 - TRANSPORTATION DIF FUND 412,8901,138400,000 2,557,460 2,144,571 16.14 % 251 - PARKS & REC DIF FUND 2,7321,13702,405,952 2,403,220 0.11 % 252 - CIVIC CENTER DIF FUND 99,4281,137110,000 115,952 16,524 85.75 % 253 - LIBRARY DEVELOPMENT DIF 24,1011,13730,000 35,952 11,851 67.04 % 254 - COMMUNITY CENTER DIF 2,7321,1370107,591 104,859 2.54 % 255 - STREET FACILITY DIF FUND 28,6381,13715,000 20,952 -7,686 136.68 % 256 - PARK FACILITY DIF FUND 6,6981,1374,000 9,952 3,254 67.30 % 257 - FIRE PROTECTION DIF 9,2331,13740,000 45,952 36,719 20.09 % 270 - ART IN PUBLIC PLACES FUND 72,9241,689322,000 722,000 649,076 10.10 % 310 - LQ FINANCE AUTHORITY DEBT SERVICE 669,0380671,600 671,600 2,563 99.62 % 401 - CAPITAL IMPROVEMENT PROGRAMS 5,592,451488,40211,955,941 55,814,801 50,222,350 10.02 % 405 - SA PA 1 CAPITAL IMPRV FUND 9,016005,343,052 5,334,037 0.17 % 501 - FACILITY & FLEET REPLACEMENT 740,73929,840923,700 1,005,784 265,045 73.65 % 502 - INFORMATION TECHNOLOGY 758,43551,3201,090,700 1,574,200 815,765 48.18 % 503 - PARK EQUIP & FACILITY FUND 195,7570705,000 775,000 579,243 25.26 % 504 - INSURANCE FUND 794,3323,998921,100 918,500 124,168 86.48 % 601 - SILVERROCK RESORT 3,511,431335,0234,090,800 4,146,000 634,569 84.69 % 602 - SILVERROCK GOLF RESERVE 50,200050,200 105,200 55,000 47.72 % 740 - 2000-1 AGENCY REDEMPTION 144,30800144,309 1 100.00 % 760 - SUPPLEMENTAL PENSION PLAN 12,8330012,850 17 99.87 % Report Total:3,577,899 73,368,48183,757,962 179,816,165 106,447,684 40.80 % Accounts are subject to adjusting entries and audit. The City's Comprehensive Annual Financial Report (CAFR), published annually in December, is the best resource for all final audited numbers. 24 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: APPROVE DEMAND REGISTERS DATED MAY 10, 17, AND 24, 2019 RECOMMENDATION Approve demand registers dated May 10, 17, and 24, 2019. EXECUTIVE SUMMARY – None FISCAL IMPACT Demand of Cash: City 3,492,977.94$ Successor Agency of RDA 66,586.59$ Housing Authority 11,902.85$ 3,571,467.38$ BACKGROUND/ANALYSIS Routine bills and payroll must be paid between Council meetings. Attachment 1 details the weekly demand registers for May 10, 17, and 24 2019. Warrants Issued: 122381-122470 308,799.07$ 122471-122550 1,596,361.66$ 122551-122622 1,059,089.60$ Wire Transfers 357,208.81$ Payroll Tax Transfers 43,619.95$ Payroll Direct Dep & Chks #37414-37415 206,388.29$ 3,571,467.38$ CONSENT CALENDAR ITEM NO. 3 25 The most significant expenditures on the demand register are: Sheriff Dept Services CA Joint Powers Various 690,880.00$ FY 19-20 Insurance Insurance Premiums Elecnor Belco Construction 132,217.20$ Highway Safety Electric, Inc Improvement Program Payment #2 Tall Man Group, Inc Various 74,684.29$ Washington St. Apts. Relocation - Real Estate Services Universal Concrete Construction 71,603.83$ Jefferson St. Sidewalk Construction Gap Closure Payment #1 Wire Transfers: Eight transfers totaled $357,209. Of this amount, $292,586 was for Landmark and $15,000 for Wells Fargo credit card payment. (See Attachment 2 for a full listing). Investment Transactions: Full details of investment transactions as well as total holdings are reported quarterly in the Treasurer’s Report. Transaction Issuer Type Par Value Settlement Date Coupon Rate Maturity Union Bank CD 240,000$ 5/16/2019 2.200% Purchase JP Morgan Chase CD 245,000$ 5/16/2019 3.250% Maturity First Business Bank CD 240,000$ 5/20/2019 1.750% Purchase Iowa State Bank CD 245,000$ 5/23/2019 2.400% Maturity Gulf Coast Bank CD 240,000$ 5/20/2019 1.750% Purchase Tuscola National Bank CD 248,000$ 5/22/2019 2.400% Maturity City National Bank of FL CD 240,000$ 5/24/2019 2.200% ALTERNATIVES Council may approve, partially approve, or reject the demand registers. Prepared by: Bernice Choo, Account Technician Approved by: Rosemary Hallick, Financial Services Analyst Attachments:1. Demand Registers 2.Wire Transfers 26 5/10/2019 2:05:46 PM Page 1 of 7 Demand Register City of La Quinta Packet: APPKT01976 - BC 05/10/19 AmountVendor Name Payable Number Description (Item)Account Name Account Number Fund: 101 - GENERAL FUND 435.00Prepaid Expense07/01/19 - 06/30/20 MEMBERSHIP G VILL…050719IEDC 101-0000-13600 98.00Due to County Recorder03/2019 - RECORDING FEES050719RIVERSIDE ASSESSOR 101-0000-20325 15,919.02Fire Service Costs01/01-03/31/19 - EMERGENCY SVCS QTR 3050719COUNTY OF RIVERSIDE 101-2002-60139 24.00Technical03/2019 - RECORDING FEES CODE COMPL050719RIVERSIDE ASSESSOR 101-6004-60108 1,643.55Vision Insurance PayAPR'19 VSP VIA THE STANDARD050819STANDARD INSURANCE COMP…101-0000-20945 141.00Employee Recognition Events04/25/19 - REIMB TAKE CHILDREN TO WO…050819TRIPLETT, ALCADIA 101-1004-60340 5.99Employee Recognition Events05/09/19 - TAKE CHILD TO WK DONUTS050919CASH/PETTY CASH 101-1004-60340 42.46Employee Recognition Events05/09/19 - TAKE CHILD TO WK SCAV HUNT…050919CASH/PETTY CASH 101-1004-60340 7.24Operating Supplies05/09/19 - KEYS STUDY SESSION RM (2 SE…050919CASH/PETTY CASH 101-1005-60420 14.39Operating Supplies05/09/19 - TABLECLOTH/COVERS JOINT CC…050919CASH/PETTY CASH 101-1005-60420 25.50Administration05/09/19 - EXPRESS MAIL W2 FORMS IRS050919CASH/PETTY CASH 101-1006-60102 16.99Community Engagement05/09/19 - FAC MTG ITEMS050919CASH/PETTY CASH 101-1006-60137 89.75LQ Police Volunteers04/24/19 - REIMB COP SPRING MTG050919MENDEZ, MARTHA 101-2001-60109 16.92LQ Police Volunteers05/09/19 - COP MTG DONUTS050919CASH/PETTY CASH 101-2001-60109 21.50Maintenance/Services05/09/19 - FS #70 GAS CONVERSION KIT050919CASH/PETTY CASH 101-2002-60691 5.44Operating Supplies05/09/19 - BALLOONS VISUAL AID RADIO S…050919CASH/PETTY CASH 101-7003-60420 240.00Community Experiences04/27/19 - BARRICADES CITY PICNIC1074711TOPS'N BARRICADES INC 101-3003-60149 440.00Community Experiences05/04/19 - BARRICADES TEQUILA & TACOS1074892TOPS'N BARRICADES INC 101-3003-60149 480.00Maintenance/Services04/30/19 - WC CITY SEAL MAINT1098BLOWNAWAY BY WILLIAM 101-3008-60691 2,204.00Community Experiences04/27/19 - KONA ICE FOR CITY PICNIC1KONA ICE OF PALM SPRINGS 101-3003-60149 350.00Maintenance/Services04/08/19 - WC MAINT SVCS114979DOOR TECH, LLC 101-3008-60691 1,063.78Utilities - Telephone04/23-5/22/19 - EOC115832128-0TPx COMMUNICATIONS 101-2002-61300 822.00Community Experiences05/04/19 - MUSIC TEQUILA & TACOS12MACIAS, DAVID 101-3003-60149 192.85Operating Supplies04/12-04/25/19 - WC JANITORIAL SUPPLIES1402097761AMERIPRIDE SERVICES INC 101-3002-60420 540.00Prepaid Expense07/2019-04/2020 - EMERGENCY MGMT R…16794ANDERSON COMMUNICATION…101-0000-13600 108.00Mobile/Cell Phones/Satellites05/19-06/19 - EMERGENCY MGMT RADIOS16794ANDERSON COMMUNICATION…101-2002-61304 1,391.50HVAC05/01/19 - CITY HALL HVAC SERVICE17555996HYDE'S AC 101-3008-60667 266.00HVAC04/18/19 - CITY HALL HVAC SVC17758773HYDE'S AC 101-3008-60667 5,280.00Building ImprovementsFS #70 EXTERIOR PAINT18639DESERT CONCEPTS CONSTRUC…101-2002-72110 1,697.50Consultants04/15/19 DESIGN FOR HWY 111 AUTO DE…19041504HERMANN DESIGN GROUP INC 101-6001-60104 153.99Marketing & Tourism Promoti…04/22/19 - PROCLAMATION MATTE19-30895XPRESS GRAPHICS 101-3007-60461 283.30Operating Supplies04/15/19 - HUB STAMPS19-98798RIVERSIDE RUBBER STAMP & …101-6006-60420 8.16Operating Supplies04/10/19 - OPERATING SUPPLIES2018-4118MCDOWELL AWARDS 101-3002-60420 1,367.54Maintenance/Services04/19/19 - CITY HALL DOOR INSTALL22996HENRY'S GLASS COMPANY 101-3008-60691 1,820.13Community Experiences04/27/19 - AUDIO SVCS CITY PICNIC2511LH PRODUCTIONS 101-3003-60149 220.00Maintenance/Services04/03/19 - REPLACE IRRIGATION CONTRO…25324CONSERVE LANDCARE 101-3005-60691 4,562.50Consultants04/01-06/30/19 - PROP TAX MGMT26650-INHDL COREN & CONE 101-1006-60104 37.29Operating Supplies04/16/19 - OPERATING SUPPLIES302970467001OFFICE DEPOT 101-1005-60420 13.85Office Supplies04/17/19 - OFFICE SUPPLIES303831893001OFFICE DEPOT 101-1006-60400 104.55Office Supplies04/18/19 - COFFEE/SUPPLIES EOC304285075001OFFICE DEPOT 101-2002-60400 18.14Office Supplies04/19/19 - OFFICE SUPPLIES304907043001OFFICE DEPOT 101-1005-60400 87.57Operating Supplies04/23/19 - OPERATING SUPPLIES305834555001OFFICE DEPOT 101-1005-60420 400.00Professional Services02/2019 MILTARY LEAVE POLICY RESEARC…3-19-175MUNICIPAL RESOURCES GROU…101-1004-60103 358.54Office Supplies01/29/19 - OFFICE CHAIR ERGO ASSESS C…3404543261STAPLES ADVANTAGE 101-6004-60400 259.95Citywide Conf Room Supplies04/19/19 - INK & PAPER T920 PLOTTER3411419973STAPLES ADVANTAGE 101-1007-60403 206.74Office Supplies04/25/19 - OFFICE SUPPLIES3411919119STAPLES ADVANTAGE 101-1004-60400 211.33Office Supplies04/25/19 - OFFICE SUPPLIES3411919120STAPLES ADVANTAGE 101-3001-60400 14.56Office Supplies04/25/19 - OFFICE SUPPLIES3411919121STAPLES ADVANTAGE 101-3001-60400 -14.56Office Supplies04/26/19 - OFFICE SUPPLIES RETURN3411994290STAPLES ADVANTAGE 101-3001-60400 467.52Forms, Copier Paper04/26/19 - COPY PAPER 8 1/2 X 113411994291STAPLES ADVANTAGE 101-1007-60402 40.20Office Supplies05/01/19 - OFFICE SUPPLIES3412678333STAPLES ADVANTAGE 101-3005-60400 132.98Annual Permits/Inspections07/2018-06/2019 - AQMD FEE3446249SOUTH COAST AIR QUALITY M…101-3008-60196 132.98Annual Permits/Inspections07/2018-06/2019 - AQMD FEE (WC)3446598SOUTH COAST AIR QUALITY M…101-3008-60196 ATTACHMENT 1 27 Demand Register Packet: APPKT01976 - BC 05/10/19 5/10/2019 2:05:46 PM Page 2 of 7 AmountVendor Name Payable Number Description (Item)Account Name Account Number 68.94Maintenance/Services04/30/19 - FS #323568150US AIR CONDITIONING DISTRI…101-2002-60691 96.00Membership Dues04/23/19 - OASIS AWARDS ATTENDANCE36816GREATER PALM SPRINGS CVB 101-3007-60351 1,216.00Professional Services03/31/19 FY 18/19 STORMWATER JURISD…40511CASC ENGINEERING & CONSU…101-7002-60103 531.34Marketing & Tourism Promoti…04/24/19 TEQUILA & TACOS EVENT COAS…408CLQCR-FAPALMS TO PINES PRINTING 101-3007-60461 7,842.00Maintenance/Services05/01/19 FB POOL WADING POOL REPLAS…4092019-1KP1OJEDA POOL & SPA 101-3005-60691 411.74Operating Supplies05/06/19 - EMBROIDERED SHIRTS WC410CLQP572-FAPALMS TO PINES PRINTING 101-3003-60420 3,795.00Maintenance/Services04/23/19 - CITY HALL CONF RM WINDOWS4182JR HOME IMPROVEMENTS INC.101-3008-60691 903.04Professional Services04/30/19 - LQ ARTS FESTIVAL45-TP 463471 FY1…BURRTEC ENVIRONMENTAL 101-1002-60103 873.00Professional Services04/30/19 - CAREER BUILDER45-TP 518446 FY1…BURRTEC ENVIRONMENTAL 101-1002-60103 1,138.00Sexual Assault Exam Fees03/31/19 - FORENSIC INVESTIGATION46427SORENSON FORENSICS, LLC 101-2001-60193 680.20Fire Extinguisher/First Aid Serv…04/30/19 - FIRST AID KIT CITY HALL5013598732CINTAS FIRST AID & SAFETY 101-3008-60664 47.17Fire Extinguisher/First Aid Serv…04/30/19 - FIRST AID KIT FB POOL5013598733CINTAS FIRST AID & SAFETY 101-3008-60664 167.62Fire Extinguisher/First Aid Serv…04/30/19 - FIRST AID KIT PW SHOP5013598736CINTAS FIRST AID & SAFETY 101-3008-60664 151.83Fire Extinguisher/First Aid Serv…04/30/19 - FIRST AID KIT PW TRAILERS5013598737CINTAS FIRST AID & SAFETY 101-3008-60664 9.30Fire Extinguisher/First Aid Serv…04/30/19 - FIRST AID KIT MUSEUM5013598738CINTAS FIRST AID & SAFETY 101-3008-60664 65.95Fire Extinguisher/First Aid Serv…04/30/19 - FIRST AID KIT LIBRARY5013598739CINTAS FIRST AID & SAFETY 101-3008-60664 47.27Fire Extinguisher/First Aid Serv…04/30/19 - FIRST AID KIT WC5013598740CINTAS FIRST AID & SAFETY 101-3008-60664 91.56Utilities - Cable04/24-05/23/19 - FS #93 CABLE SERVICE (…502415041419TIME WARNER CABLE 101-2002-61400 92.05Professional Services04/30/19 - CAREER BUILDER50-LO 751532 FY1…BURRTEC ENVIRONMENTAL 101-1002-60103 4,128.30Professional Services04/30/19 - CAREER BUILDER50-LO 751647 FY1…BURRTEC ENVIRONMENTAL 101-1002-60103 2,550.56Professional Services04/30/19 - LQ ARTS FESTIVAL50-LT 463459 FY18…BURRTEC ENVIRONMENTAL 101-1002-60103 782.05Professional Services04/30/19 - CAREER BUILDER50-LT 740466 FY18…BURRTEC ENVIRONMENTAL 101-1002-60103 578.04Professional Services04/30/19 - CAREER BUILDER50-LT 740467 FY18…BURRTEC ENVIRONMENTAL 101-1002-60103 5,122.52Professional Services04/30/19 - CAREER BUILDER50-LT 748626 FY18…BURRTEC ENVIRONMENTAL 101-1002-60103 1,214.50Temporary Agency Services03/01/19 - HUB TEMP SVCS M GONZALEZ52977937ROBERT HALF TECHNOLOGY 101-6006-60125 1,214.50Temporary Agency Services03/08/19 - HUB TEMP SVCS M GONZALEZ53026181ROBERT HALF TECHNOLOGY 101-6006-60125 1,245.27Temporary Agency Services03/29/19 - HUB TEMP SVCS M GONZALEZ53149927ROBERT HALF TECHNOLOGY 101-6006-60125 1,219.16Temporary Agency Services04/12/19 - HUB TEMP SVCS M GONZALEZ53226205ROBERT HALF TECHNOLOGY 101-6006-60125 958.80Temporary Agency Services04/12/19 - HUB TEMP SVCS E KOLTWEIT53230942OFFICE TEAM 101-6006-60125 1,589.83Operating Supplies04/25/19 - WC GYM EQUIP PREV MAINT5328ROYAL GYM SERVICES, LLC 101-3002-60420 1,254.97Temporary Agency Services04/19/19 - HUB TEMP SVCS M GONZALEZ53292669ROBERT HALF TECHNOLOGY 101-6006-60125 958.80Temporary Agency Services04/19/19 - HUB TEMP SVCS E KOLTWEIT53297984OFFICE TEAM 101-6006-60125 871.33Temporary Agency Services04/26/19 - HR TEMP SVCS A LISTON53324367OFFICE TEAM 101-1004-60125 855.29Temporary Agency Services04/26/19 - CITY CLERK TEMP SVCS A FELIX53326135OFFICE TEAM 101-1005-60125 597.83Temporary Agency Services04/26/19 - FINANCE TEMP SVCS A CAMA…53353428ACCOUNTEMPS 101-1006-60125 1,183.75Temporary Agency Services04/26/19 - HUB TEMP SVCS M GONZALEZ53354412ROBERT HALF TECHNOLOGY 101-6006-60125 835.16Temporary Agency Services05/03/19 - CITY CLERK TEMP SVCS A FELIX53375547OFFICE TEAM 101-1005-60125 597.83Temporary Agency Services05/03/19 - FINANCE TEMP SVCS A CAMA…53385316ACCOUNTEMPS 101-1006-60125 11.09Materials/Supplies04/24/19 - CITY HALL PARTS5560976871AUTOZONE 101-3008-60431 84.99Utilities - Cable05/03-06/02/19 - FS #93 INTERNET (3514)583514042419TIME WARNER CABLE 101-2002-61400 84.99Utilities - Cable04/29-05/28/19 - FS #32 INTERNET (6491)586491041919TIME WARNER CABLE 101-2002-61400 15,190.00Contract Traffic Engineer01/29-02/22/19 ON-CALL TRAFFIC ENGIN…617338WILLDAN 101-7006-60144 20.00Credit Card Fees04/2019 - WC CREDIT CARD FEES642459PLUG & PAY TECHNOLOGIES I…101-3003-60122 20.00Administration04/2019 - HUB CREDIT CARD FEES642460PLUG & PAY TECHNOLOGIES I…101-6001-60102 132.95Citywide Conf Room Supplies05/03/19 - WC COFFEE SUPPLIES648588DAIOHS FIRST CHOICE SERVICES 101-1007-60403 61.00Pest Control03/05/19 - LQ PARK PEST CONTROL660202713TRULY NOLEN INC 101-3008-60116 70.00Pest Control03/05/19 - WC PEST CONTROL660202869TRULY NOLEN INC 101-3008-60116 47.00Pest Control03/15/19 - PW YARD PEST CONTROL660203026TRULY NOLEN INC 101-3008-60116 61.00Pest Control04/05/19 - LQ PARK PEST CONTROL660204342TRULY NOLEN INC 101-3008-60116 100.00Pest Control04/05/19 - SPORTS COMPLEX PEST CONT…660204369TRULY NOLEN INC 101-3008-60116 47.00Pest Control04/10/19 - PW YARD PEST CONTROL660204659TRULY NOLEN INC 101-3008-60116 110.13Materials/Supplies04/18/19 - SPORTS COMPLEX SOAP DISP7409139FERGUSON ENTERPRISES, INC 101-3008-60431 19.25LQ Police Volunteers04/15/19 - SHREDDING POLICE8127065590SHRED-IT USA - SAN BERNADI…101-2001-60109 404.47Materials/Supplies04/23/19 - CITY HALL HAND SOAP9154414156GRAINGER 101-3008-60431 8,575.00Professional Services04/2019 CONSULTING SVCS FOR EMP LDR…948HENSON CONSULTING GROUP 101-1004-60103 49.01Mobile/Cell Phones/Satellites03/14-04/13/19 - EOC CELL PHONES9828157181VERIZON WIRELESS 101-2002-61304 545.55Administrative Citation Services03/2019 - POLICE CITATION PROCESSING99553DATA TICKET, INC.101-6004-60111 32.48Utilities - Gas03/22-04/22/19 - FS #32 GAS SERVICEAPR'191208591246GAS COMPANY, THE 101-2002-61100 497.42Utilities - Gas03/22-04/22/19 - CITY HALL GAS SVCAPR'192692565001GAS COMPANY, THE 101-3008-61100 102.30Utilities - Gas03/22-04/22/19 - WC GAS SERVICEAPR'199422738006GAS COMPANY, THE 101-3008-61100 28 Demand Register Packet: APPKT01976 - BC 05/10/19 5/10/2019 2:05:46 PM Page 3 of 7 AmountVendor Name Payable Number Description (Item)Account Name Account Number 45.61Materials/Supplies03/22-04/22/19 - CDR/RWD FB SHADE ST…APR'19980015809…LOWE'S HOME IMPROVEMENT…101-3005-60431 16.97Materials/Supplies03/22-04/22/19 - CITY HALLAPR'19980015809…LOWE'S HOME IMPROVEMENT…101-3008-60431 51.48Materials/Supplies03/22-04/22/19 - CITY HALLAPR'19980015809…LOWE'S HOME IMPROVEMENT…101-3008-60431 20.65Materials/Supplies03/22-04/22/19 - CITY HALLAPR'19980015809…LOWE'S HOME IMPROVEMENT…101-3008-60431 61.95Tools/Equipment03/22-04/22/19 - HAND TRUCKAPR'19980015809…LOWE'S HOME IMPROVEMENT…101-7003-60432 136.30Tools/Equipment03/22-04/22/19 - RJ45 CRIMPING TOOLSAPR'19980015809…LOWE'S HOME IMPROVEMENT…101-7003-60432 60.94Tools/Equipment03/22-04/22/19 - CAT 5 TESTERAPR'19980015809…LOWE'S HOME IMPROVEMENT…101-7003-60432 10.56Materials/Supplies04/23/19 - KEYSBB00531730LOCK SHOP INC, THE 101-3005-60431 764.69Utilities - Electricity04/30/19 - ELECTRICITY SERVICECSE153IMPERIAL IRRIGATION DIST 101-2002-61101 346.97Utilities - Electric - Colonel Pai…04/30/19 - ELECTRICITY SERVICECSE153IMPERIAL IRRIGATION DIST 101-3005-61108 42.35Utilities - Electric - Adams Park04/30/19 - ELECTRICITY SERVICECSE153IMPERIAL IRRIGATION DIST 101-3005-61110 553.61Utilities - Water -Pioneer Park05/02/19 - WATER SERVICECSW207COACHELLA VALLEY WATER DI…101-3005-61207 7,000.00Marketing & Tourism Promoti…04/29/19 TASTE OF LQ ADVERTISING CON…GCVCC 9312THE CHAMBER 101-3007-60461 745.00HVAC03/29/19 - CITY HALL HVAC SVCI30458PACIFIC WEST AIR CONDITION…101-3008-60667 812.00Fritz Burns Pool04/11/19 - FB POOL HEALTH PERMIT EXP …IN0348267COUNTY OF RIVERSIDE DEPAR…101-3005-60184 1,581.00Due to SunLine04/2019 - SUNLINE BUS PASSESINV03249SUNLINE TRANSIT AGENCY 101-0000-20305 -130.75Miscellaneous Revenue04/2019 - SUNLINE BUS PASSESINV03249SUNLINE TRANSIT AGENCY 101-0000-42301 69.81Utilities - Cable04/22-05/21/19 - EOC CABLEMAY'195631ADISH NETWORK 101-2002-61400 423.61Add'l Life Insurance Pay05/2019 - ADD'L LIFE INSURANCEMAY'19643068002STANDARD INSURANCE COMP…101-0000-20948 176.34Mobile/Cell Phones/Satellites04/23-05/22/19 - EOC SATELLITE PHONE …RU08191799ROADPOST USA INC.101-2002-61304 840.40Materials/Supplies04/23/19 - SPORTS COMPLEX FIELD LIGHTSS2629646.001DESERT ELECTRIC SUPPLY 101-3005-60431 24.74Maintenance/Services04/30/19 - FS #32 HVAC SUPPLIESS2951488.001JOHNSTONE SUPPLY 101-2002-60691 Fund 101 - GENERAL FUND Total:130,376.00 Fund: 201 - GAS TAX FUND 57.26Traffic Control Signs04/19/19 - TRAFFIC CONTROL SIGNS1074581TOPS'N BARRICADES INC 201-7003-60429 16.07Materials/Supplies03/22-04/22/19 - MAINT OPERATIONSAPR'19980015809…LOWE'S HOME IMPROVEMENT…201-7003-60431 20.70Storm Drains03/22-04/22/19 - DRAIN MAINTAPR'19980015809…LOWE'S HOME IMPROVEMENT…201-7003-60672 Fund 201 - GAS TAX FUND Total:94.03 Fund: 202 - LIBRARY & MUSEUM FUND 24.40Operating Supplies05/09/19 - CREATION STATION PROPANE050919CASH/PETTY CASH 202-3004-60420 1,490.00Maintenance/Services04/19/19 - LIBRARY CITY SEAL MAINT1096BLOWNAWAY BY WILLIAM 202-3004-60691 309.48Maintenance/Services04/24/19 - LIBRARY MIRROR REPLACE ME…23012HENRY'S GLASS COMPANY 202-3004-60691 1,650.00Museum OperationsAPR 2019 ARCHIVING SVCS FOR LQ HISTO…4-2019PARKOS-MARTINEZ, SHERRY A 202-3006-60105 74.00Pest Control03/05/19 - LIBRARY PEST CONTROL660202870TRULY NOLEN INC 202-3004-60116 74.00Pest Control04/05/19 - LIBRARY PEST CONTROL660204489TRULY NOLEN INC 202-3004-60116 182.87Maintenance/Services04/29/19 - LIBRARY ACCESS SWITCH9159979542GRAINGER 202-3004-60691 46.44Utilities - Gas03/22-04/22/19 - LIBRARY GAS SVCAPR'19152944404…GAS COMPANY, THE 202-3004-61100 80.53Maintenance/Services03/22-04/22/19 - MUSEUMAPR'19980015809…LOWE'S HOME IMPROVEMENT…202-3006-60691 167.06HVAC04/26/19 - LIBRARY HVAC SUPPLIESS2943817.001JOHNSTONE SUPPLY 202-3004-60667 161.47HVAC04/26/19 - LIBRARY HVAC SUPPLIESS2943817.002JOHNSTONE SUPPLY 202-3004-60667 57.24HVAC04/26/19 - MUSEUM HVAC SUPPLIESS2949727.001JOHNSTONE SUPPLY 202-3006-60667 Fund 202 - LIBRARY & MUSEUM FUND Total:4,317.49 Fund: 215 - LIGHTING & LANDSCAPING FUND 97.43Tools/Equipment04/24/19 - CHAIN SAW REPAIR187449MOWERS PLUS INC 215-7004-60432 75.40Tools/Equipment04/24/19 - TRIMMER PARTS187450MOWERS PLUS INC 215-7004-60432 400.00Maintenance/Services05/02/19 ELECTRICAL METER REPAIR (8 H…2173KRIBBS, BRUCE 215-7004-60691 625.00Maintenance/Services05/02/19 ELECTRICAL REPAIR & WIRING (…2174KRIBBS, BRUCE 215-7004-60691 50.82Materials/Supplies04/08/19 - SUPPLY MATERIAL3468-8THE SHERWIN-WILLIAMS CO.215-7004-60431 38.63Supplies-Graffiti and Vandalism03/22-04/22/19 - GRAFFITI SUPPLIESAPR'19980015809…LOWE'S HOME IMPROVEMENT…215-7004-60423 88.16Materials/Supplies03/22-04/22/19 - MAINT OPSAPR'19980015809…LOWE'S HOME IMPROVEMENT…215-7004-60431 34.03Materials/Supplies03/22-04/22/19 - MAINT OPS BOOMSAPR'19980015809…LOWE'S HOME IMPROVEMENT…215-7004-60431 72.32Tools/Equipment03/22-04/22/19 - ELECTRIC HEDGEAPR'19980015809…LOWE'S HOME IMPROVEMENT…215-7004-60432 842.52Utilities - Electric04/30/19 - ELECTRICITY SERVICEPW206IMPERIAL IRRIGATION DIST 215-7004-61116 445.23Utilities - Electric - Medians04/30/19 - ELECTRICITY SERVICEPW206IMPERIAL IRRIGATION DIST 215-7004-61117 87.32Utilities - Water - Medians05/02/19 - WATER SERVICEPWW186COACHELLA VALLEY WATER DI…215-7004-61211 Fund 215 - LIGHTING & LANDSCAPING FUND Total:2,856.86 Fund: 221 - AB 939 - CALRECYCLE FUND 25.00AB 939 Recycling Solutions05/09/19 - RECYCL ART FLYER CONTEST D…050919CASH/PETTY CASH 221-0000-60127 7,633.35AB 939 Recycling Solutions05/02/19 TRUMAN ELEM SCHOOL RECYCL…697600MAX-R 221-0000-60127 29 Demand Register Packet: APPKT01976 - BC 05/10/19 5/10/2019 2:05:46 PM Page 4 of 7 AmountVendor Name Payable Number Description (Item)Account Name Account Number 436.80AB 939 Recycling Solutions04/15/19 - SHREDDING SVCS8127051078SHRED-IT USA - SAN BERNADI…221-0000-60127 Fund 221 - AB 939 - CALRECYCLE FUND Total:8,095.15 Fund: 241 - HOUSING AUTHORITY 192.00Professional Services03/2019 - RECORDING FEES HOUSING050719RIVERSIDE ASSESSOR 241-9101-60103 5,081.25Professional Services04/2019 HOUSING COMPLIANCE & MONI…88CAHA, BECKY 241-9101-60103 Fund 241 - HOUSING AUTHORITY Total:5,273.25 Fund: 248 - SA 2004 LO/MOD BOND FUND (Refinanced in 2014) 121.05Relocation Benefits03/22-04/18/19 - WSA RELOCAPR'1950744515IMPERIAL IRRIGATION DIST 248-9102-60159 Fund 248 - SA 2004 LO/MOD BOND FUND (Refinanced in 2014) Total:121.05 Fund: 401 - CAPITAL IMPROVEMENT PROGRAMS -6,958.80Retention PayablePO 1819-0116 RETENTION #22ELECNOR BELCO ELECTRIC, INC 401-0000-20600 139,176.00Construction04/30/19 PYMT #2 2016-01 HSIP INTERSE…2ELECNOR BELCO ELECTRIC, INC 401-0000-60188 3.30Construction03/22-04/22/19 - RJ45 COUPLERAPR'19980015809…LOWE'S HOME IMPROVEMENT…401-0000-60188 4.53Construction03/22-04/22/19 - ELECTRICAL BREAKERAPR'19980015809…LOWE'S HOME IMPROVEMENT…401-0000-60188 Fund 401 - CAPITAL IMPROVEMENT PROGRAMS Total:132,225.03 Fund: 501 - FACILITY & FLEET REPLACEMENT 25.00Fuel & Oil05/09/19 - CHRYSLER300 CO VEHICLE GAS050919CASH/PETTY CASH 501-0000-60674 152.37Parts & Maintenance Supplies04/25/19 - ARROW BOARD TRAILER134205MOUNTAIN VIEW TIRE 501-0000-60675 339.07Motorcycle Repair & Mainten…04/08/19 - ST1300 PA TIRES147818HONDA YAMAHA OF REDLAN…501-0000-60679 2,475.00Cvc Ctr Bldg Repl/Repair04/20/19 - HUB DESIGN FINAL PMT1926DESIGN ONE ELEVEN LLC 501-0000-71103 437.00Fuel & Oil04/19/19 - HAZARDOUS WASTE REMOVAL201861-EENVIRONMENTAL LOGISTICS, …501-0000-60674 458.00Car Washes05/03-05/04/19 VEHICLE WASHES247RAN AUTO DETAIL 501-0000-60148 1,153.39Vehicle Repair & Maintenance04/29/19 - BUCKET TRUCK ANNUAL SVC2834A & J TRUCK REPAIR 501-0000-60676 881.75Fuel & Oil03/2019 - FUEL CHARGESNP55779791FUELMAN 501-0000-60674 -110.44Fuel & Oil03/2019 - FUEL CHARGES REV FIN CHGNP55779791FUELMAN 501-0000-60674 Fund 501 - FACILITY & FLEET REPLACEMENT Total:5,811.14 Fund: 502 - INFORMATION TECHNOLOGY 2,228.35Utilities - Telephone04/23-5/22/19 - PHONE LINE SVC115832128-0TPx COMMUNICATIONS 502-0000-61300 810.00Cell/Mobile Phones05/01/19 - RADIO SERVICES16792ANDERSON COMMUNICATION…502-0000-61301 1,750.00Software Enhancements, D & D12/21/18 INSTALLATION TRAKIT HOST MA…221113SUPERION, LLC 502-0000-71042 1,522.50Software Enhancements, D & D02/22/19 NON-SHARED VIRTUAL SERVER …228096SUPERION, LLC 502-0000-71042 161.27Utilities - Cable05/2019 - CITY HALL CABLE (4625)34625041819TIME WARNER CABLE 502-0000-61400 244.22Utilities - Cable04/24-05/23/19 - WC CABLE (4601)504601041419TIME WARNER CABLE 502-0000-61400 8.83Utilities - Cable04/20-05/19/19 - WC CABLE (1909)61909041219TIME WARNER CABLE 502-0000-61400 528.58Prepaid Items07/01/19-06/30/20 - FTR ANNUAL MAINT76431BUSINESS INFORMATION SYST…502-0000-13600 574.06Software Enhancements, Co…04/23/19 - COMMUNITY RESOURCE UPG…90610898PASTPERFECT SOFTWARE INC.502-0000-71043 330.58Cell/Mobile Phones05/07/19 - FINAL BILL959905880T-MOBILE 502-0000-61301 294.37Cell/Mobile Phones05/07/19 - FINAL BILL (THROUGH 03/20/1…959905934T-MOBILE 502-0000-61301 1,203.61Technical04/25/19 - CLOUD CONTROL/WIRELESS A…B09878006SHI INTERNATIONAL CORP.502-0000-60108 Fund 502 - INFORMATION TECHNOLOGY Total:9,656.37 Fund: 503 - PARK EQUIP & FACILITY FUND 7,732.70Parks04/15/19 - LQ PARK CAMERA SYSTEM18252ALARM MONITORING SERVICE…503-0000-71060 Fund 503 - PARK EQUIP & FACILITY FUND Total:7,732.70 Fund: 601 - SILVERROCK RESORT 1,375.00Repair & Maintenance04/23/19 - SRR FENCE REPAIR17571SAM'S FENCE COMPANY 601-0000-60660 465.00Repair & Maintenance04/22/19 - SRR HVAC SERVICE17784865HYDE'S AC 601-0000-60660 400.00Membership Dues07/01/19-06/30/20 - GOLF ASSOC MEMB…819636GCSAA 601-0000-60351 Fund 601 - SILVERROCK RESORT Total:2,240.00 Grand Total:308,799.07 30 Demand Register Packet: APPKT01976 - BC 05/10/19 5/10/2019 2:05:46 PM Page 5 of 7 Fund Summary Fund Expense Amount 101 - GENERAL FUND 130,376.00 201 - GAS TAX FUND 94.03 202 - LIBRARY & MUSEUM FUND 4,317.49 215 - LIGHTING & LANDSCAPING FUND 2,856.86 221 - AB 939 - CALRECYCLE FUND 8,095.15 241 - HOUSING AUTHORITY 5,273.25 248 - SA 2004 LO/MOD BOND FUND (Refinanced in 2014)121.05 401 - CAPITAL IMPROVEMENT PROGRAMS 132,225.03 501 - FACILITY & FLEET REPLACEMENT 5,811.14 502 - INFORMATION TECHNOLOGY 9,656.37 503 - PARK EQUIP & FACILITY FUND 7,732.70 601 - SILVERROCK RESORT 2,240.00 Grand Total:308,799.07 Account Summary Account Number Account Name Expense Amount 101-0000-13600 Prepaid Expense 975.00 101-0000-20305 Due to SunLine 1,581.00 101-0000-20325 Due to County Recorder 98.00 101-0000-20945 Vision Insurance Pay 1,643.55 101-0000-20948 Add'l Life Insurance Pay 423.61 101-0000-42301 Miscellaneous Revenue -130.75 101-1002-60103 Professional Services 15,029.56 101-1004-60103 Professional Services 8,975.00 101-1004-60125 Temporary Agency Servic…871.33 101-1004-60340 Employee Recognition Ev…189.45 101-1004-60400 Office Supplies 206.74 101-1005-60125 Temporary Agency Servic…1,690.45 101-1005-60400 Office Supplies 18.14 101-1005-60420 Operating Supplies 146.49 101-1006-60102 Administration 25.50 101-1006-60104 Consultants 4,562.50 101-1006-60125 Temporary Agency Servic…1,195.66 101-1006-60137 Community Engagement 16.99 101-1006-60400 Office Supplies 13.85 101-1007-60402 Forms, Copier Paper 467.52 101-1007-60403 Citywide Conf Room Suppl…392.90 101-2001-60109 LQ Police Volunteers 125.92 101-2001-60193 Sexual Assault Exam Fees 1,138.00 101-2002-60139 Fire Service Costs 15,919.02 101-2002-60400 Office Supplies 104.55 101-2002-60691 Maintenance/Services 115.18 101-2002-61100 Utilities - Gas 32.48 101-2002-61101 Utilities - Electricity 764.69 101-2002-61300 Utilities - Telephone 1,063.78 101-2002-61304 Mobile/Cell Phones/Satell…333.35 101-2002-61400 Utilities - Cable 331.35 101-2002-72110 Building Improvements 5,280.00 101-3001-60400 Office Supplies 211.33 101-3002-60420 Operating Supplies 1,790.84 101-3003-60122 Credit Card Fees 20.00 101-3003-60149 Community Experiences 5,526.13 101-3003-60420 Operating Supplies 411.74 101-3005-60184 Fritz Burns Pool 812.00 101-3005-60400 Office Supplies 40.20 101-3005-60431 Materials/Supplies 896.57 101-3005-60691 Maintenance/Services 8,062.00 101-3005-61108 Utilities - Electric - Colonel…346.97 101-3005-61110 Utilities - Electric - Adams…42.35 31 Demand Register Packet: APPKT01976 - BC 05/10/19 5/10/2019 2:05:46 PM Page 6 of 7 Account Summary Account Number Account Name Expense Amount 101-3005-61207 Utilities - Water -Pioneer …553.61 101-3007-60351 Membership Dues 96.00 101-3007-60461 Marketing & Tourism Pro…7,685.33 101-3008-60116 Pest Control 386.00 101-3008-60196 Annual Permits/Inspectio…265.96 101-3008-60431 Materials/Supplies 614.79 101-3008-60664 Fire Extinguisher/First Aid…1,169.34 101-3008-60667 HVAC 2,402.50 101-3008-60691 Maintenance/Services 5,992.54 101-3008-61100 Utilities - Gas 599.72 101-6001-60102 Administration 20.00 101-6001-60104 Consultants 1,697.50 101-6004-60108 Technical 24.00 101-6004-60111 Administrative Citation Se…545.55 101-6004-60400 Office Supplies 358.54 101-6006-60125 Temporary Agency Servic…9,249.75 101-6006-60420 Operating Supplies 283.30 101-7002-60103 Professional Services 1,216.00 101-7003-60420 Operating Supplies 5.44 101-7003-60432 Tools/Equipment 259.19 101-7006-60144 Contract Traffic Engineer 15,190.00 201-7003-60429 Traffic Control Signs 57.26 201-7003-60431 Materials/Supplies 16.07 201-7003-60672 Storm Drains 20.70 202-3004-60116 Pest Control 148.00 202-3004-60420 Operating Supplies 24.40 202-3004-60667 HVAC 328.53 202-3004-60691 Maintenance/Services 1,982.35 202-3004-61100 Utilities - Gas 46.44 202-3006-60105 Museum Operations 1,650.00 202-3006-60667 HVAC 57.24 202-3006-60691 Maintenance/Services 80.53 215-7004-60423 Supplies-Graffiti and Van…38.63 215-7004-60431 Materials/Supplies 173.01 215-7004-60432 Tools/Equipment 245.15 215-7004-60691 Maintenance/Services 1,025.00 215-7004-61116 Utilities - Electric 842.52 215-7004-61117 Utilities - Electric - Media…445.23 215-7004-61211 Utilities - Water - Medians 87.32 221-0000-60127 AB 939 Recycling Solutions 8,095.15 241-9101-60103 Professional Services 5,273.25 248-9102-60159 Relocation Benefits 121.05 401-0000-20600 Retention Payable -6,958.80 401-0000-60188 Construction 139,183.83 501-0000-60148 Car Washes 458.00 501-0000-60674 Fuel & Oil 1,233.31 501-0000-60675 Parts & Maintenance Supp…152.37 501-0000-60676 Vehicle Repair & Mainte…1,153.39 501-0000-60679 Motorcycle Repair & Main…339.07 501-0000-71103 Cvc Ctr Bldg Repl/Repair 2,475.00 502-0000-13600 Prepaid Items 528.58 502-0000-60108 Technical 1,203.61 502-0000-61300 Utilities - Telephone 2,228.35 502-0000-61301 Cell/Mobile Phones 1,434.95 502-0000-61400 Utilities - Cable 414.32 502-0000-71042 Software Enhancements, …3,272.50 502-0000-71043 Software Enhancements, …574.06 503-0000-71060 Parks 7,732.70 32 Demand Register Packet: APPKT01976 - BC 05/10/19 5/10/2019 2:05:46 PM Page 7 of 7 Account Summary Account Number Account Name Expense Amount 601-0000-60351 Membership Dues 400.00 601-0000-60660 Repair & Maintenance 1,840.00 Grand Total:308,799.07 Project Account Summary Project Account Key Expense Amount **None**154,613.47 1819TMICT 7.83 201601CT 139,176.00 201601RP -6,958.80 201818E 5,280.00 201825E 7,732.70 ARCHIVEE 1,650.00 BDAYE 4,264.13 CSA152E 1,216.00 MAKERE 24.40 TACOE 1,793.34 Grand Total:308,799.07 33 5/16/2019 7:10:35 PM Page 1 of 8 Demand Register City of La Quinta Packet: APPKT01984 - BC 05/17/19 AmountVendor Name Payable Number Description (Item)Account Name Account Number Fund: 101 - GENERAL FUND 200.00Garnishments PayableGARNISHMENT0001903RIVERSIDE DEPARTMENT OF C…101-0000-20985 196.05LT Care Insurance PayLONG TERM CARE0001905CALPERS LONG-TERM CARE P…101-0000-20949 92.00United Way DeductionsCONTRIBUTION0001906UNITED WAY OF THE DESERT 101-0000-20981 162.00Garnishments PayableGARNISHMENT0001907RIVERSIDE COUNTY SHERIFF'S …101-0000-20985 682.85Garnishments PayableGARNISHMENT0001908RIVERSIDE COUNTY SHERIFF'S …101-0000-20985 -26.21Sales Taxes Payable04/30/19 - GRAFFITI REMOVER SALES TAX031-21PRESTIGE CHEMICALS INC 101-0000-20304 485.10Instructors04/09/19 - CARDIO & SUN STYLE TAI CHI040919COHEN, ANN MARIE 101-3002-60107 257.60Instructors04/09/19 - TAI CHI CHUAN040919MEDEIROS, JOYCELEEN 101-3002-60107 8.40Instructors04/09/19 - STRENGTH & BALANCE040919MILLER, TOBRUK S 101-3002-60107 158.20Instructors04/09/19 - ZUMBA040919MISELL, STACY 101-3002-60107 1,968.76Instructors04/09/19 - TAEKWONDO040919ROJAS, MIGUEL ANGEL 101-3002-60107 361.20Instructors04/09/19 - BALLROOM DANCING040919SHIRY, TERESA 101-3002-60107 295.40Instructors04/09/19 - EVENING & GENTLE YOGA040919WILSON, ALBA 101-3002-60107 320.60Instructors04/09/19 - SUNSET YOGA040919TRUE, ARTHUR ALLEN 101-3002-60107 21.00Instructors04/09/19 - GENTLE YOGA040919VIELHARBER, KAREN 101-3002-60107 200.00Instructors05/13/19 - STRETCH & RESTORE051319JOHNSON, KAREN T. PAYNE 101-3002-60107 45.00Consultants04/11-04/17/19 - FINGERPRINTING VOLU…051419RJW NOTARY PUBLIC 101-1004-60104 1,035.00Training & Education/MOU05/15/19 - TUITION REIMB051519ESCATEL-CARRELLO, ELIZABETH 101-1004-60322 128.99Travel & Training04/30/19 - TRAVEL EXP KLUZ INT'L MTG051519CHAUDHRY, ELIZABETH 101-3001-60320 2,218.50Community Special Events05/07/19 - CM COMM OPEN HOUSE CATE…051619COACHELLA VALLEY CATERING…101-1001-60137 124.70Professional Services05/2019 - ARMORED SERVICES10483942GARDAWORLD 101-1006-60103 4,480.00Land Acquisition02/25-03/30/19 FY18-19 ON-CALL ALL AM…123271NV5 101-1007-74010 133.28Uniforms04/29/19 - CODE UNIFORMS12589086GALLS LLC 101-6004-60690 192.85Operating Supplies04/26-05/09-19 - WC JANITORIAL SUPPLIES1402106258AMERIPRIDE SERVICES INC 101-3002-60420 924.00Advertising04/19/18 - PUBLICATIONS 445219 4552201740691DESERT SUN PUBLISHING, LLC 101-6002-60450 19,500.00Building ImprovementsFS #70 EXTERIOR PAINT18638DESERT CONCEPTS CONSTRUC…101-2002-72110 295.00LQ Park Water Feature05/2019 - LQ PARK WF SERVICE19110501SHARK POOLS INC 101-3005-60554 1,075.00LQ Park Water Feature04/28/19 - LQ PARK WF PLAY PALM REPAIR19110502SHARK POOLS INC 101-3005-60554 1,377.00LQ Park Water Feature04/28/19 - LQ PARK WF TANK CLEANING19110503SHARK POOLS INC 101-3005-60554 2,295.00LQ Park Water Feature04/28/19 - LQ PARK WF REFINISH & PAINT19110504SHARK POOLS INC 101-3005-60554 488.75Fritz Burns Pool05/2019 - FB POOL SERVICE19120501SHARK POOLS INC 101-3005-60184 407.50Fritz Burns Pool03/2019 - FB POOL CHLOR TABS DEL 3/3019120502SHARK POOLS INC 101-3005-60184 3,300.80Fritz Burns Pool04/28/19 - FB POOL SAND FILTERS REPAIR…19120503SHARK POOLS INC 101-3005-60184 79.75Recruiting/Pre-Employment04/2019 - PRE EMPLOYMENT BACKGROU…2019040001IRC INC 101-1004-60129 10.50Cable - Utilities05/05-06/04/19 - FS #32 CABLE (1841)231841042519TIME WARNER CABLE 101-2002-61400 1,216.00Landscape Contract01/2019 CITYWIDE LANDSCAPE SVCS FOR …24016CONSERVE LANDCARE 101-2002-60112 -26.53Sales Taxes Payable05/07/19 - WC GYM WIPES SALES TAX2509582XL CORPORATION 101-0000-20304 438.72Operating Supplies05/07/19 - WC GYM WIPES2509582XL CORPORATION 101-3002-60420 997.44Community Experiences05/04/19 - AUDIO SVCS TEQUILA & TACOS2516LH PRODUCTIONS 101-3003-60149 35,851.00Landscape Contract05/2019 CONSERVE - PARKS MAINTENAN…25545CONSERVE LANDCARE 101-3005-60112 20.80Office Supplies11/22/18 - OFFICE SUPPLIES3397022593STAPLES ADVANTAGE 101-1004-60400 66.80Office Supplies11/22/18 - OFFICE SUPPLIES3397022593STAPLES ADVANTAGE 101-3001-60400 16.85Printing01/26/19 - W3 FORMS3403200171STAPLES ADVANTAGE 101-1006-60410 506.06Repair & Maintenance - EOC04/05/19 - EOC PRINTER INK3410036364STAPLES ADVANTAGE 101-2002-60671 32.94Office Supplies04/05/19 - OFFICE SUPPLIES3410036365STAPLES ADVANTAGE 101-3001-60400 33.65Small Tools & Equipment04/06/19 - FIRE ASST CHAIR MAT3410561662STAPLES ADVANTAGE 101-2002-60545 171.59Repair & Maintenance - EOC04/06/19 - EOC PRINTER INK3410561663STAPLES ADVANTAGE 101-2002-60671 27.68Office Supplies04/11/19 - OFFICE SUPPLIES3410786296STAPLES ADVANTAGE 101-3001-60400 137.99Office Supplies05/04/19 - TONER CARTRIDGE3413269197STAPLES ADVANTAGE 101-6001-60400 102.95Office Supplies05/08/19 - FIRE OFFICE SUPPLIES3413424558STAPLES ADVANTAGE 101-2002-60400 106.55Citywide Conf Room Supplies05/08/19 - CITY WIDE SUPPLIES COFFEE3413424559STAPLES ADVANTAGE 101-1007-60403 350.00Community ExperiencesAPR 2019 FY1819 ART ON MAIN SPONSOR…3429DESERT ENTERTAINER/DESERT…101-3003-60149 1,368.61Marketing & Tourism Promoti…05/09/19 - CLQ ITEMS FY 18/19 PRINT & P…429CLQSUN-FAPALMS TO PINES PRINTING 101-3007-60461 34 Demand Register Packet: APPKT01984 - BC 05/17/19 5/16/2019 7:10:35 PM Page 2 of 8 AmountVendor Name Payable Number Description (Item)Account Name Account Number 808.53Marketing & Tourism Promoti…05/09/19 - CLQ ITEMS FY 18/19 PRINT & P…501CLQWB-FAPALMS TO PINES PRINTING 101-3007-60461 2,002.00Map/Plan Checking05/07/19 AMEND #4 TR 31681-3 ON-CALL…5276RASA/ERIC NELSON 101-7002-60183 269.93Temporary Agency Services02/15/19 - HUB TEMP SVCS M GONZALEZ52880196ROBERT HALF TECHNOLOGY 101-6006-60125 1,174.44Temporary Agency Services05/03/19 - HUB TEMP SVCS M GONZALEZ53368919ROBERT HALF TECHNOLOGY 101-6006-60125 -40.47Temporary Agency Services03/29/19 - HUB TEMP SVCS M GONZALEZ …53389986ROBERT HALF TECHNOLOGY 101-6006-60125 -40.47Temporary Agency Services04/12/19 - HUB TEMP SVCS M GONZALEZ …53389988ROBERT HALF TECHNOLOGY 101-6006-60125 571.68Temporary Agency Services05/03/19 - CODE TEMP SVCS C HARGENS53395583OFFICE TEAM 101-6004-60125 -269.93Temporary Agency Services02/15/19 - HUB TEMP SVCS M GONZALEZ …53402922ROBERT HALF TECHNOLOGY 101-6006-60125 32,716.68Marketing & Tourism Promoti…APR-MAY 2019 PRINT & DIGITAL MARKET…6856JNS MEDIA SPECIALISTS 101-3007-60461 275.00Blood/Alcohol Testing03/31/19 - BLOOD/ALCOHOL TESTING71984AMERICAN FORENSIC NURSES …101-2001-60174 980.00Consultants05/02/19 - HEPATITIS B VACCINE77623EISENHOWER OCCUPATIONAL…101-1004-60104 95.00Recruiting/Pre-EmploymentPHYSICAL77623EISENHOWER OCCUPATIONAL…101-1004-60129 77.37Mobile/Cell Phones/Satellites04/2019 - SATELLITE PHONES9041292330NI GOVERNMENT SERVICES INC 101-2002-61304 154.54Citywide Conf Room Supplies05/06/19 - CITY WIDE COFFEE951247DAIOHS FIRST CHOICE SERVICES 101-1007-60403 44.36Telephone - Utilities03/11-04/10-19 - LQ TICKET WRITERS (59…9827895202VERIZON WIRELESS 101-2001-61300 978.58Telephone - Utilities03/26-04/25/19 - LQPD CELL SVC (6852)9828882336VERIZON WIRELESS 101-2001-61300 14,511.00MSHCP Mitigation Fee04/2019 - MSHCP FEESAPR'19COACHELLA VALLEY CONSERV…101-0000-20310 -145.11CVMSHCP Admin Fee04/2019 - MSHCP FEESAPR'19COACHELLA VALLEY CONSERV…101-0000-43631 84.78Travel & Training04/04-05/01/19 - MAYOR UPDATEAPR'196413WELLS FARGO BUSINESS CARD 101-1001-60320 25.00Travel & Training04/04-05/01/19 - IND WELLS MTG MAYOR…APR'196413WELLS FARGO BUSINESS CARD 101-1001-60320 160.95Travel & Training04/04-05/01/19 - COUNCIL MTG DINNERAPR'196413WELLS FARGO BUSINESS CARD 101-1001-60320 176.11Operating Supplies04/04-05/01/19 - CC PROCLAMATION FR…APR'196413WELLS FARGO BUSINESS CARD 101-1001-60420 -505.30Travel & Training04/04-05/01/19 - REFUND G VILLALPANDOAPR'196413WELLS FARGO BUSINESS CARD 101-1002-60320 -298.36Travel & Training04/04-05/01/19 - REFUND F SPEVACEKAPR'196413WELLS FARGO BUSINESS CARD 101-1002-60320 395.58Recruiting/Pre-Employment04/04-05/01/19 - CM RECRUITMENT DEPAPR'196413WELLS FARGO BUSINESS CARD 101-1004-60129 157.14Employee Recognition Events04/04-05/01/19 - FOOD TAKE CHILD TO …APR'196413WELLS FARGO BUSINESS CARD 101-1004-60340 1,099.00Travel & Training04/04-05/01/19 - CA TRAVEL TRAIN M GR…APR'196413WELLS FARGO BUSINESS CARD 101-3007-60320 1,811.97Marketing & Tourism Promoti…04/04-05/01/19 - IPAD MARKETINGAPR'196413WELLS FARGO BUSINESS CARD 101-3007-60461 3,410.50Marketing & Tourism Promoti…04/04-05/01/19 - NEW CAMERA MARKET…APR'196413WELLS FARGO BUSINESS CARD 101-3007-60461 86.42Recruiting/Pre-Employment04/03-05/02/19 - PLANS EXAM INTERVIEW…APR'197143WELLS FARGO BUSINESS CARD 101-1004-60129 25.00Recruiting/Pre-Employment04/03-05/02/19 - ASSOC PLANNER JOB PO…APR'197143WELLS FARGO BUSINESS CARD 101-1004-60129 275.00Recruiting/Pre-Employment04/03-05/02/19 - CSMFO JR ACCT JOB PO…APR'197143WELLS FARGO BUSINESS CARD 101-1004-60129 246.03Employee Recognition Events04/03-05/02/19 - TAKE CHILD TO WORK S…APR'197143WELLS FARGO BUSINESS CARD 101-1004-60340 375.00Membership Dues04/03-05/02/19 - SALARY BUDGET SURVEY…APR'197143WELLS FARGO BUSINESS CARD 101-1004-60351 20.00Travel & Training04/03-05/02/19 - CSMFO IT FRAUD MTGAPR'197143WELLS FARGO BUSINESS CARD 101-1005-60320 39.00Administration04/03-05/02/19 - BANK FEESAPR'197143WELLS FARGO BUSINESS CARD 101-1006-60102 40.00Travel & Training04/03-05/02/19 - CSMFO IT FRAUD TRAIN…APR'197143WELLS FARGO BUSINESS CARD 101-1006-60320 40.00Travel & Training04/03-05/02/19 - CSMFO IT FRAUD TRAIN…APR'197143WELLS FARGO BUSINESS CARD 101-1006-60320 140.00Travel & Training04/03-05/02/19 - CSMFO IT FRAUD TRAIN…APR'197143WELLS FARGO BUSINESS CARD 101-1006-60320 -15,000.00Operating Supplies04/03-05/02/19 - REVERSE BANK DRAFT R…APR'197143WELLS FARGO BUSINESS CARD 101-1006-60420 43.12Operating Supplies04/03-05/02/19 - BANKING INTERVIEWSAPR'197143WELLS FARGO BUSINESS CARD 101-1006-60420 2,082.06LQ Police Volunteers04/03-05/02/19 - POLICE ITEMS FOR PICN…APR'197143WELLS FARGO BUSINESS CARD 101-2001-60109 136.36Volunteers - Fire04/03-05/02/19 - CERT SUPPLIESAPR'197143WELLS FARGO BUSINESS CARD 101-2002-60110 139.03Natural Disaster/EOC Activation04/03-05/02/19 - EOC ACTIVATION ITEMSAPR'197143WELLS FARGO BUSINESS CARD 101-2002-60195 223.21Natural Disaster/EOC Activation04/03-05/02/19 - EOC ACTIVATION ITEMSAPR'197143WELLS FARGO BUSINESS CARD 101-2002-60195 180.13Disaster Prep Supplies04/03-05/02/19 - EOC SUPPLIESAPR'197143WELLS FARGO BUSINESS CARD 101-2002-60406 153.30Disaster Prep Supplies04/03-05/02/19 - EOC SUPPLIESAPR'197143WELLS FARGO BUSINESS CARD 101-2002-60406 52.63Fire Station04/03-05/02/19 - FS #93 LOCK-OUT KIT S…APR'197143WELLS FARGO BUSINESS CARD 101-2002-60670 37.95Fire Station04/03-05/02/19 - FS #93 LOCK-OUT KIT S…APR'197143WELLS FARGO BUSINESS CARD 101-2002-60670 137.60Fire Station04/03-05/02/19 - FS #93 LOCK-OUT KIT S…APR'197143WELLS FARGO BUSINESS CARD 101-2002-60670 164.98Fire Station04/03-05/02/19 - FS #93 LOCK-OUT KIT S…APR'197143WELLS FARGO BUSINESS CARD 101-2002-60670 18.92Fire Station04/03-05/02/19 - FS #93 LOCK-OUT KIT S…APR'197143WELLS FARGO BUSINESS CARD 101-2002-60670 11.96Fire Station04/03-05/02/19 - FS #93 LOCK-OUT KIT S…APR'197143WELLS FARGO BUSINESS CARD 101-2002-60670 45.37Fire Station04/03-05/02/19 - FS #93 LOCK-OUT KIT S…APR'197143WELLS FARGO BUSINESS CARD 101-2002-60670 934.66Repair & Maintenance - EOC04/03-05/02/19 - EOC WEATHER STATIONAPR'197143WELLS FARGO BUSINESS CARD 101-2002-60671 411.45Repair & Maintenance - EOC04/03-05/02/19 - GEOCHRON DEVICE EOCAPR'197143WELLS FARGO BUSINESS CARD 101-2002-60671 151.08Operating Supplies04/03-05/02/19 - CENTERPIECES WC LUN…APR'197143WELLS FARGO BUSINESS CARD 101-3002-60420 108.70Community Experiences04/03-05/02/19 - BANNERS (15)APR'197143WELLS FARGO BUSINESS CARD 101-3003-60149 51.39Community Experiences04/03-05/02/19 - KITE EVENT SUPPLIESAPR'197143WELLS FARGO BUSINESS CARD 101-3003-60149 69.04Community Experiences04/03-05/02/19 - WRISTBANDSAPR'197143WELLS FARGO BUSINESS CARD 101-3003-60149 35 Demand Register Packet: APPKT01984 - BC 05/17/19 5/16/2019 7:10:35 PM Page 3 of 8 AmountVendor Name Payable Number Description (Item)Account Name Account Number 34.88Community Experiences04/03-05/02/19 - TRASH BAGS (2 BOXES)APR'197143WELLS FARGO BUSINESS CARD 101-3003-60149 81.36Community Experiences04/03-05/02/19 - SUPPLIES TEQ & TACO E…APR'197143WELLS FARGO BUSINESS CARD 101-3003-60149 75.00Membership Dues04/03-05/02/19 - MAILCHIMPAPR'197143WELLS FARGO BUSINESS CARD 101-3007-60351 26.08Marketing & Tourism Promoti…04/03-05/02/19 - SUPPLIES TEQ & TACO E…APR'197143WELLS FARGO BUSINESS CARD 101-3007-60461 200.00Travel & Training04/03-05/02/19 - FLIGHT CHANGE D CAST…APR'197143WELLS FARGO BUSINESS CARD 101-6001-60320 1,421.17Travel & Training04/03-05/02/19 - CONF HOTEL D CASTROAPR'197143WELLS FARGO BUSINESS CARD 101-6001-60320 58.68Travel & Training04/03-05/02/19 - APWA LUNCHEONAPR'197143WELLS FARGO BUSINESS CARD 101-6001-60320 196.19Professional Services04/03-05/02/19 - HWY 111 CORRIDOR EV…APR'197143WELLS FARGO BUSINESS CARD 101-6002-60103 87.05Professional Services04/03-05/02/19 - HWY 111 CHAR TEAM L…APR'197143WELLS FARGO BUSINESS CARD 101-6002-60103 227.58Professional Services04/03-05/02/19 - HWY 111 CHARRETTE F…APR'197143WELLS FARGO BUSINESS CARD 101-6002-60103 193.14Professional Services04/03-05/02/19 - HWY 111 CORRIDOR M…APR'197143WELLS FARGO BUSINESS CARD 101-6002-60103 1,166.33Uniforms04/03-05/02/19 - BLDG INSPECTOR SHIRTSAPR'197143WELLS FARGO BUSINESS CARD 101-6003-60690 -75.60Supplies - Field04/03-05/02/19 - RETURN PHONE CASESAPR'197143WELLS FARGO BUSINESS CARD 101-6004-60425 299.00Travel & Training04/03-05/02/19 - TRAINING EVENT T SAN…APR'197143WELLS FARGO BUSINESS CARD 101-6006-60320 299.00Travel & Training04/03-05/02/19 - TRAINING EVENT A YUAPR'197143WELLS FARGO BUSINESS CARD 101-7002-60320 96.92Water - Utilities05/07/19 - WATER SERVICECSW208COACHELLA VALLEY WATER DI…101-2002-61200 787.96Operating Supplies03/2019 - RADIO MAINTIT0000002848RIVERSIDE COUNTY INFORMAT…101-2001-60420 312.00Developer Deposits836412 - MCVEIGH CEQAMAR'19RUTAN & TUCKER 101-0000-22810 8,118.54Attorney836397 - GENERAL ACCOUNTMAR'19RUTAN & TUCKER 101-1003-60153 2,880.00Attorney836423 - WASHINGTON PLAZA PATH OF T…MAR'19RUTAN & TUCKER 101-1003-60153 96.00Attorney836413 - DUNEPALMS PROJECT ROWMAR'19RUTAN & TUCKER 101-1003-60153 1,663.55Attorney836420 - RESPONSES FOR PUBLIC RECORDMAR'19RUTAN & TUCKER 101-1003-60153 1,419.00Attorney836403 - SILVERROCK RESORT SVC MARKMAR'19RUTAN & TUCKER 101-1003-60153 4,838.50Attorney836402 - SILVERROCK RESORTMAR'19RUTAN & TUCKER 101-1003-60153 11,000.00Attorney836401 - RETAINER MATTERMAR'19RUTAN & TUCKER 101-1003-60153 666.50Attorney836399 - CODE ENFORCEMENTMAR'19RUTAN & TUCKER 101-1003-60153 6,008.00Attorney836398 - PERSONNEL GENERALMAR'19RUTAN & TUCKER 101-1003-60153 310.30Life Insurance Pay05/2019 - LIFE INSURANCEMAY'196430680001STANDARD INSURANCE COMP…101-0000-20947 2,757.32Disability Insurance Pay05/2019 - DISABILITYMAY'196430680001STANDARD INSURANCE COMP…101-0000-20955 16.97Telephone - Utilities04/28-05/27/19 - SPORTS COMPLEXMAY'197713100FRONTIER COMMUNICATIONS…101-3005-61300 730,755.12Sheriff Patrol02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60161 20,197.61Police Overtime02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60162 136,213.64Target Team02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60163 59,599.36Community Services Officer02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60164 13,243.20Gang Task Force02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60166 13,243.20Narcotics Task Force02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60167 92,167.13Motor Officer02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60169 36,758.40Dedicated Sargeants02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60170 20,795.20Dedicated Lieutenant02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60171 36,140.30Sheriff - Mileage02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60172 4,285.75Special Enforcement Funds02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…101-2001-60175 10,500.00Auditors2019 INTERIM PROCEDURES FINANCIAL A…VT23248VAVRINEK, TRINE, DAY & CO., …101-1006-60106 Fund 101 - GENERAL FUND Total:1,356,193.89 Fund: 201 - GAS TAX FUND 213.15Traffic Control Signs04/26/19 - TRAFFIC CONTROL SIGN1074701TOPS'N BARRICADES INC 201-7003-60429 24.08Materials/Supplies05/2019 - CA STATE FEE DIG ALERT18DSBFEE2104UNDERGROUND SERVICE ALERT 201-7003-60431 59.50Materials/Supplies05/01/19 - DIG ALERT FEES420190375UNDERGROUND SERVICE ALERT 201-7003-60431 Fund 201 - GAS TAX FUND Total:296.73 Fund: 202 - LIBRARY & MUSEUM FUND 2,086.00Landscape Contract05/2019 CONSERVE - PARKS MAINTENAN…25545CONSERVE LANDCARE 202-3004-60112 1,169.00Landscape Contract05/2019 CONSERVE - PARKS MAINTENAN…25545CONSERVE LANDCARE 202-3006-60112 133.75Operating Supplies04/06/19 - MUSEUM ARCHIVING PROJ SU…3410561665STAPLES ADVANTAGE 202-3006-60420 385.50Prepaid Items07/2019-06/2020 - MOVIE LICENSE504216403MOTION PICTURE LICENSING …202-0000-13600 52.47Operating Supplies04/03-05/02/19 - CREATION STATION SUP…APR'197143WELLS FARGO BUSINESS CARD 202-3004-60420 514.74Operating Supplies04/03-05/02/19 - CREATION STATION SUP…APR'197143WELLS FARGO BUSINESS CARD 202-3004-60420 88.60Operating Supplies04/03-05/02/19 - GOBO PROJECTORAPR'197143WELLS FARGO BUSINESS CARD 202-3006-60420 76.52Water - Utilities05/07/19 - WATER SERVICECSW208COACHELLA VALLEY WATER DI…202-3006-61200 Fund 202 - LIBRARY & MUSEUM FUND Total:4,506.58 36 Demand Register Packet: APPKT01984 - BC 05/17/19 5/16/2019 7:10:35 PM Page 4 of 8 AmountVendor Name Payable Number Description (Item)Account Name Account Number Fund: 212 - SLESA (COPS) FUND 9,502.65COPS Robbery Prevention02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…212-0000-60178 1,581.46COPS Burglary/Theft Preventi…02/28-03/27/19 - BP10 POLICE SERVICESH0000035066RIVERSIDE COUNTY SHERIFF D…212-0000-60179 Fund 212 - SLESA (COPS) FUND Total:11,084.11 Fund: 215 - LIGHTING & LANDSCAPING FUND 357.96Supplies-Graffiti and Vandalism04/30/19 - GRAFFITI REMOVER031-21PRESTIGE CHEMICALS INC 215-7004-60423 7.75Materials/Supplies04/25/19 - MATERIAL1432-2THE SHERWIN-WILLIAMS CO.215-7004-60431 1,350.00Maintenance/Services05/08/19 OBLISK REPAIR FY 18/19 GEN C…2175KRIBBS, BRUCE 215-7004-60691 900.00Supplies-Graffiti and Vandalism05/08/19 IRRIGATION CNTRL/CLOCK REPA…2176KRIBBS, BRUCE 215-7004-60423 41,838.77Landscape Contract01/2019 CITYWIDE LANDSCAPE SVCS FOR …24016CONSERVE LANDCARE 215-7004-60112 3,815.00Landscape Contract05/2019 CONSERVE - PARKS MAINTENAN…25545CONSERVE LANDCARE 215-7004-60112 5,278.00SilverRock Way Landscape04/2019 FY 18/19 SRR PERIMETER LANDS…43019-01LANDMARK GOLF MANAGEM…215-7004-60143 137.00Materials/Supplies02/22/19 - PROMAX WEEDING MAT'L577144HIGH TECH IRRIGATION INC 215-7004-60431 109.69Materials/Supplies04/30/19 - IRRIGATION MODULAR585395HIGH TECH IRRIGATION INC 215-7004-60431 400.00Materials/Supplies04/03-05/02/19 - REPAIR SIGNAGE FOR O…APR'197143WELLS FARGO BUSINESS CARD 215-7004-60431 893.02Water - Medians - Utilities05/07/19 - WATER SERVICEPWW187COACHELLA VALLEY WATER DI…215-7004-61211 Fund 215 - LIGHTING & LANDSCAPING FUND Total:55,087.19 Fund: 221 - AB 939 - CALRECYCLE FUND 150.00AB 939 Recycling Solutions04/04-05/01/19 - WATER ENVIRONMENT…APR'196413WELLS FARGO BUSINESS CARD 221-0000-60127 2,302.88AB 939 Recycling Solutions04/03-05/02/19 - LQMS GARDENING PGMAPR'197143WELLS FARGO BUSINESS CARD 221-0000-60127 2,302.88AB 939 Recycling Solutions04/03-05/02/19 - TRUMAN ELEM GARDEN…APR'197143WELLS FARGO BUSINESS CARD 221-0000-60127 Fund 221 - AB 939 - CALRECYCLE FUND Total:4,755.76 Fund: 224 - TUMF FUND 30,030.00TUMF Payable to CVAG04/2019 - TUMF FEE051619COACHELLA VALLEY ASSOC OF…224-0000-20320 Fund 224 - TUMF FUND Total:30,030.00 Fund: 241 - HOUSING AUTHORITY 16.16Operating Supplies05/02/19 - NAME PLATE V GAETA-MEJIA143786POWERS AWARDS INC 241-9101-60420 206.00Attorney836400 - HOUSING AUTHORITYMAR'19RUTAN & TUCKER 241-9101-60153 Fund 241 - HOUSING AUTHORITY Total:222.16 Fund: 401 - CAPITAL IMPROVEMENT PROGRAMS 26,119.57Design01/2019 SRR PHASE II INFRASTRUCTURE P…1041392MICHAEL BAKER INTERNATIO…401-0000-60185 12,686.40Design02/2019 EISENHOWER DR RETENTION BAS…1047851MICHAEL BAKER INTERNATIO…401-0000-60185 3,561.80Design02/2019 EISENHOWER DRAINAGE PRJ 201…1047852MICHAEL BAKER INTERNATIO…401-0000-60185 4,200.00Design05/03/19 - EVENT SITE PM10 (12 ACRES)19-05-07VERMILLIONS ENVIRONMENT…401-0000-60185 5,100.00Technical03/2019 ON-CALL SVC HWY 111 SIDEWALK…2219.009-01MSA CONSULTING INC 401-0000-60108 2,669.75Construction05/03/19 - CONTROL UNIT FOR CROSSWA…NEX19-126NEXTECH 401-0000-60188 Fund 401 - CAPITAL IMPROVEMENT PROGRAMS Total:54,337.52 Fund: 501 - FACILITY & FLEET REPLACEMENT 3,352.66Fuel & Oil04/16-04/30/19 - VEHICLE FUEL1313TOWER ENERGY GROUP 501-0000-60674 25.44Vehicle Repair & Maintenance03/18/19 - EQPT TIRE REPAIR133357MOUNTAIN VIEW TIRE 501-0000-60676 13,809.46Vehicle Repair & Maintenance03/04/19 - ACCIDENT REPAIRS LIC 11-000…19027340DYNAMIC COLLISION CENTER …501-0000-60676 73.41Parts & Maintenance Supplies04/02/19 - TIRE DISPOSAL2030175306PARKHOUSE TIRE INC 501-0000-60675 1,129.16Fuel & Oil04/2019 - FUEL CHARGESNP56047069FUELMAN 501-0000-60674 Fund 501 - FACILITY & FLEET REPLACEMENT Total:18,390.13 Fund: 502 - INFORMATION TECHNOLOGY 20,393.94Prepaid Items07/01/19-02/29/20 FY19-20 MS 365 LIC P…1100658021INSIGHT PUBLIC SECTOR, INC.502-0000-13600 5,210.57Prepaid Items07/01/19-02/29/20 FY19-20 AZURE PREPA…1100658021INSIGHT PUBLIC SECTOR, INC.502-0000-13600 2,605.28Software Licenses03/01-06/30/19 AZURE PREMIUM P1-163 …1100658021INSIGHT PUBLIC SECTOR, INC.502-0000-60301 10,196.98Software Licenses03/01-06/30/19 MICROSOFT OFFICE 365 -…1100658021INSIGHT PUBLIC SECTOR, INC.502-0000-60301 800.00Consultants04/2019 COUNCIL MTG MEDIA RECORD, …1237FISHER INTEGRATED INC 502-0000-60104 4,105.58Copiers02/01-02/28/19 COPIER CONTRACT19765993CANON FINANCIAL SERVICES, …502-0000-60662 809.93Copiers02/20-03/19/19 CANON COPIER CONTRA…19807547CANON FINANCIAL SERVICES, …502-0000-60662 5,395.65Copiers03/01-03/31/19 - COPIER CONTRACT19877249CANON FINANCIAL SERVICES, …502-0000-60662 5,745.00Software LicensesFY 18-19 GIS LICENSE SUBSCRIPTION REN…93516478ENVIRONMENTAL SYSTEMS RE…502-0000-60301 50.00Software Licenses04/04-05/01/19 - BASECAMP 04/13-05/13…APR'196413WELLS FARGO BUSINESS CARD 502-0000-60301 4,027.29Software Licenses04/03-05/02/19 - AZURE 3/10-04/09/19APR'197143WELLS FARGO BUSINESS CARD 502-0000-60301 324.22Machinery & Equipment04/03-05/02/19 - IT EQPT WORKBENCH (2)APR'197143WELLS FARGO BUSINESS CARD 502-0000-80100 169.11Machinery & Equipment04/03-05/02/19 - MONITOR ITAPR'197143WELLS FARGO BUSINESS CARD 502-0000-80100 37 Demand Register Packet: APPKT01984 - BC 05/17/19 5/16/2019 7:10:35 PM Page 5 of 8 AmountVendor Name Payable Number Description (Item)Account Name Account Number 326.23Computers04/03-05/02/19 - EOC ROOMAPR'197143WELLS FARGO BUSINESS CARD 502-0000-80103 170.56Technical05/08/19 - IT SUPPLIESB09940123SHI INTERNATIONAL CORP.502-0000-60108 85.98Cable - Utilities04/25-05/24/19 - CITY HALL INTERNETMAY'191693171FRONTIER COMMUNICATIONS…502-0000-61400 60.01Cable - Utilities04/27-05/26/19 - BLACKHAWK/LQ PARK D…MAY'193604861FRONTIER COMMUNICATIONS…502-0000-61400 65.01Cable - Utilities04/26-05/25/19 - CITY HALL DSLMAY'197712842FRONTIER COMMUNICATIONS…502-0000-61400 120.00Consultants05/07/19 - COUNCIL MTG VIDEOPR626-0519DESERT C.A.M INC 502-0000-60104 Fund 502 - INFORMATION TECHNOLOGY Total:60,661.34 Fund: 504 - INSURANCE FUND 6.88Office Supplies05/03/19 - BINDER & TABS310702401001OFFICE DEPOT 504-1010-60400 Fund 504 - INSURANCE FUND Total:6.88 Fund: 601 - SILVERROCK RESORT 648.65Bank Fees05/2019 - SRR ARMORED SERVICES10482774GARDAWORLD 601-0000-60455 140.72Bank Fees04/2019 - SRR ARMORED SERVICES70089227GARDAWORLD 601-0000-60455 Fund 601 - SILVERROCK RESORT Total:789.37 Grand Total:1,596,361.66 38 Demand Register Packet: APPKT01984 - BC 05/17/19 5/16/2019 7:10:35 PM Page 6 of 8 Fund Summary Fund Expense Amount 101 - GENERAL FUND 1,356,193.89 201 - GAS TAX FUND 296.73 202 - LIBRARY & MUSEUM FUND 4,506.58 212 - SLESA (COPS) FUND 11,084.11 215 - LIGHTING & LANDSCAPING FUND 55,087.19 221 - AB 939 - CALRECYCLE FUND 4,755.76 224 - TUMF FUND 30,030.00 241 - HOUSING AUTHORITY 222.16 401 - CAPITAL IMPROVEMENT PROGRAMS 54,337.52 501 - FACILITY & FLEET REPLACEMENT 18,390.13 502 - INFORMATION TECHNOLOGY 60,661.34 504 - INSURANCE FUND 6.88 601 - SILVERROCK RESORT 789.37 Grand Total:1,596,361.66 Account Summary Account Number Account Name Expense Amount 101-0000-20304 Sales Taxes Payable -52.74 101-0000-20310 MSHCP Mitigation Fee 14,511.00 101-0000-20947 Life Insurance Pay 310.30 101-0000-20949 LT Care Insurance Pay 196.05 101-0000-20955 Disability Insurance Pay 2,757.32 101-0000-20981 United Way Deductions 92.00 101-0000-20985 Garnishments Payable 1,044.85 101-0000-22810 Developer Deposits 312.00 101-0000-43631 CVMSHCP Admin Fee -145.11 101-1001-60137 Community Special Events 2,218.50 101-1001-60320 Travel & Training 270.73 101-1001-60420 Operating Supplies 176.11 101-1002-60320 Travel & Training -803.66 101-1003-60153 Attorney 36,690.09 101-1004-60104 Consultants 1,025.00 101-1004-60129 Recruiting/Pre-Employme…956.75 101-1004-60322 Training & Education/MOU 1,035.00 101-1004-60340 Employee Recognition Ev…403.17 101-1004-60351 Membership Dues 375.00 101-1004-60400 Office Supplies 20.80 101-1005-60320 Travel & Training 20.00 101-1006-60102 Administration 39.00 101-1006-60103 Professional Services 124.70 101-1006-60106 Auditors 10,500.00 101-1006-60320 Travel & Training 220.00 101-1006-60410 Printing 16.85 101-1006-60420 Operating Supplies -14,956.88 101-1007-60403 Citywide Conf Room Suppl…261.09 101-1007-74010 Land Acquisition 4,480.00 101-2001-60109 LQ Police Volunteers 2,082.06 101-2001-60161 Sheriff Patrol 730,755.12 101-2001-60162 Police Overtime 20,197.61 101-2001-60163 Target Team 136,213.64 101-2001-60164 Community Services Offic…59,599.36 101-2001-60166 Gang Task Force 13,243.20 101-2001-60167 Narcotics Task Force 13,243.20 101-2001-60169 Motor Officer 92,167.13 101-2001-60170 Dedicated Sargeants 36,758.40 101-2001-60171 Dedicated Lieutenant 20,795.20 101-2001-60172 Sheriff - Mileage 36,140.30 101-2001-60174 Blood/Alcohol Testing 275.00 101-2001-60175 Special Enforcement Funds 4,285.75 39 Demand Register Packet: APPKT01984 - BC 05/17/19 5/16/2019 7:10:35 PM Page 7 of 8 Account Summary Account Number Account Name Expense Amount 101-2001-60420 Operating Supplies 787.96 101-2001-61300 Telephone - Utilities 1,022.94 101-2002-60110 Volunteers - Fire 136.36 101-2002-60112 Landscape Contract 1,216.00 101-2002-60195 Natural Disaster/EOC Acti…362.24 101-2002-60400 Office Supplies 102.95 101-2002-60406 Disaster Prep Supplies 333.43 101-2002-60545 Small Tools & Equipment 33.65 101-2002-60670 Fire Station 469.41 101-2002-60671 Repair & Maintenance - E…2,023.76 101-2002-61200 Water - Utilities 96.92 101-2002-61304 Mobile/Cell Phones/Satell…77.37 101-2002-61400 Cable - Utilities 10.50 101-2002-72110 Building Improvements 19,500.00 101-3001-60320 Travel & Training 128.99 101-3001-60400 Office Supplies 127.42 101-3002-60107 Instructors 4,076.26 101-3002-60420 Operating Supplies 782.65 101-3003-60149 Community Experiences 1,692.81 101-3005-60112 Landscape Contract 35,851.00 101-3005-60184 Fritz Burns Pool 4,197.05 101-3005-60554 LQ Park Water Feature 5,042.00 101-3005-61300 Telephone - Utilities 16.97 101-3007-60320 Travel & Training 1,099.00 101-3007-60351 Membership Dues 75.00 101-3007-60461 Marketing & Tourism Pro…40,142.37 101-6001-60320 Travel & Training 1,679.85 101-6001-60400 Office Supplies 137.99 101-6002-60103 Professional Services 703.96 101-6002-60450 Advertising 924.00 101-6003-60690 Uniforms 1,166.33 101-6004-60125 Temporary Agency Servic…571.68 101-6004-60425 Supplies - Field -75.60 101-6004-60690 Uniforms 133.28 101-6006-60125 Temporary Agency Servic…1,093.50 101-6006-60320 Travel & Training 299.00 101-7002-60183 Map/Plan Checking 2,002.00 101-7002-60320 Travel & Training 299.00 201-7003-60429 Traffic Control Signs 213.15 201-7003-60431 Materials/Supplies 83.58 202-0000-13600 Prepaid Items 385.50 202-3004-60112 Landscape Contract 2,086.00 202-3004-60420 Operating Supplies 567.21 202-3006-60112 Landscape Contract 1,169.00 202-3006-60420 Operating Supplies 222.35 202-3006-61200 Water - Utilities 76.52 212-0000-60178 COPS Robbery Prevention 9,502.65 212-0000-60179 COPS Burglary/Theft Prev…1,581.46 215-7004-60112 Landscape Contract 45,653.77 215-7004-60143 SilverRock Way Landscape 5,278.00 215-7004-60423 Supplies-Graffiti and Van…1,257.96 215-7004-60431 Materials/Supplies 654.44 215-7004-60691 Maintenance/Services 1,350.00 215-7004-61211 Water - Medians - Utilities 893.02 221-0000-60127 AB 939 Recycling Solutions 4,755.76 224-0000-20320 TUMF Payable to CVAG 30,030.00 241-9101-60153 Attorney 206.00 241-9101-60420 Operating Supplies 16.16 40 Demand Register Packet: APPKT01984 - BC 05/17/19 5/16/2019 7:10:35 PM Page 8 of 8 Account Summary Account Number Account Name Expense Amount 401-0000-60108 Technical 5,100.00 401-0000-60185 Design 46,567.77 401-0000-60188 Construction 2,669.75 501-0000-60674 Fuel & Oil 4,481.82 501-0000-60675 Parts & Maintenance Supp…73.41 501-0000-60676 Vehicle Repair & Mainte…13,834.90 502-0000-13600 Prepaid Items 25,604.51 502-0000-60104 Consultants 920.00 502-0000-60108 Technical 170.56 502-0000-60301 Software Licenses 22,624.55 502-0000-60662 Copiers 10,311.16 502-0000-61400 Cable - Utilities 211.00 502-0000-80100 Machinery & Equipment 493.33 502-0000-80103 Computers 326.23 504-1010-60400 Office Supplies 6.88 601-0000-60455 Bank Fees 789.37 Grand Total:1,596,361.66 Project Account Summary Project Account Key Expense Amount **None**1,517,831.74 151612D 16,248.20 16-013E 312.00 1819TMICT 2,669.75 201608D 4,200.00 201709D 26,119.57 201803T 5,100.00 201812E 362.24 201818E 19,500.00 BDAYE 2,082.06 EGGE 34.88 KITEE 51.39 MAKERE 567.21 TACOE 1,282.62 Grand Total:1,596,361.66 41 5/24/2019 12:54:39 PM Page 1 of 7 Demand Register City of La Quinta Packet: APPKT01990 - BC 05/24/19 AmountVendor Name Payable Number Description (Item)Account Name Account Number Fund: 101 - GENERAL FUND 902.92Training & Education/MOU05/22/19 - TUITION REIMB052219MCKINNEY, BRYAN 101-1004-60322 550.00Employee Recognition Events05/22/19 - GALLUP SURVEY BREAKFAST052219THE PALMS CAFE LA QUINTA 101-1004-60340 125.00Travel & Training05/22/19 - TRAVEL EXP FUEL & CERTIFICA…052219JOHNSTON, ALEXANDER 101-2002-60320 50.00Consultants05/22/19 - FILING FEE ZONING ORD AME…052219COUNTY OF RIVERSIDE 101-6001-60104 860.94Administrative Citation Services04/2019 - POLICE CITATION PROCESSING100279DATA TICKET, INC.101-6004-60111 609.09Operating Supplies05/11/19 - WC LUNCHEON1JT'S FAMILY RESTAURANT 101-3002-60420 715.84Civic Center Lake Maintenance05/2019 FY 18-19 CIVIC CENTER PARK LAK…11637ALL VALLEY BBQ, SPA & PATIO…101-3005-60117 1,447.12Uniforms05/02/19 - CODE UNIFORMS12622668GALLS LLC 101-6004-60690 650.00Plan Checks04/2019 ON CALL BUILDING PLAN CHECK …126366HR GREEN PACIFIC INC 101-6003-60118 8,620.00Map/Plan Checking04/26/19 ON-CALL ENGINEERING PLAN C…126438HR GREEN PACIFIC INC 101-7002-60183 806.48Uniforms05/08/19 - CODE UNIFORMS12669225GALLS LLC 101-6004-60690 3,476.95Professional Services04/01-05/31/2019 - STVRP HOTLINE13-942-791CENTRAL COMMUNICATIONS 101-6004-60103 28.57Maintenance/Services05/08/19 - FS #32 PAINT1730-9THE SHERWIN-WILLIAMS CO.101-2002-60691 127.19PM 10 - Dust Control05/13-06/09/19 - PM10 ANSWERING SERV…190502190101ANSAFONE CONTACT CENTERS…101-7006-60146 1,772.97Operating Supplies01/30/19 - OP SUPPLIES ACADEMY19-28973XPRESS GRAPHICS 101-6006-60420 38.05Printing03/11/19 - BUDGET COVERS FY 19/2019-29918XPRESS GRAPHICS 101-1006-60410 116.84Office Supplies04/29/19 - FINANCE OFFICE SUPPLIES2300102761OFFICE DEPOT 101-1006-60400 593.11Maintenance/Services05/07/19 - CITY HALL GLASS PARTITION23072HENRY'S GLASS COMPANY 101-3008-60691 462.00Advertising04/2019 - CC PHN SP 2018-0003 #4627282443014DESERT SUN PUBLISHING, LLC 101-6002-60450 462.00Advertising04/2019 - PC PHN CUP 2018-0006 #4628162443014DESERT SUN PUBLISHING, LLC 101-6002-60450 462.00Advertising04/2019 - PC PHN ZOA 2019-0001 #4629682443014DESERT SUN PUBLISHING, LLC 101-6002-60450 462.00Printing04/2019 - CC PHN FY 19/20 - FY 23/24 #46…2443014DESERT SUN PUBLISHING, LLC 101-7002-60410 9,327.39Professional ServicesQTR 4 STVR COMPLIANCE VENDORS SERV…255-004XLTAS TECHNOLOGIES INC 101-6001-60103 5,200.00Contract Services - Administrat…04/2019 AGREEMENT FOR CONTRACT SE…3 SHUTALL MAN GROUP INC 101-1002-60101 114.45Office Supplies05/07/19 - FOLDERS FIRE311342934001OFFICE DEPOT 101-2002-60400 4.87Office Supplies05/08/19 - OFFICE SUPPLIES312876839001OFFICE DEPOT 101-3001-60400 12.51Office Supplies05/08/19 - OFFICE SUPPLIES312877151001OFFICE DEPOT 101-3001-60400 1,500.00Veterinary Service05/18/19 - SNIP CLINIC3188SPAY NEUTER IMPERATIVE PR…101-6004-60194 135.68Office Supplies01/26/19 - OFFICE SUPPLIES3403200170STAPLES ADVANTAGE 101-6001-60400 11.41Office Supplies03/30/19 - OFFICE SUPPLIES3409409175STAPLES ADVANTAGE 101-6004-60400 61.40Office Supplies04/05/19 - OFFICE SUPPLIES3410036362STAPLES ADVANTAGE 101-6001-60400 99.58Office Supplies04/05/19 - OFFICE SUPPLIES3410036363STAPLES ADVANTAGE 101-6001-60400 11.95Employee Recognition Events04/06/19 - SUPPLIES TAKE CHILD TO WOR…3410561664STAPLES ADVANTAGE 101-1004-60340 172.96Office Supplies04/10/19 - HR OFFICE SUPPLIES3410719944STAPLES ADVANTAGE 101-1004-60400 161.47Office Supplies04/12/19 - OFFICE SUPPLIES3410859881STAPLES ADVANTAGE 101-6001-60400 13.26Office Supplies04/12/19 - OFFICE SUPPLIES3410859882STAPLES ADVANTAGE 101-6001-60400 183.31Office Supplies04/18/19 - OFFICE SUPPLIES3411350388STAPLES ADVANTAGE 101-3005-60400 48.22Office Supplies04/18/19 - OFFICE SUPPLIES3411350388STAPLES ADVANTAGE 101-7003-60400 135.06Office Supplies05/08/19 - BLACK TONER3413424560STAPLES ADVANTAGE 101-3005-60400 338.31Office Supplies05/09/19 - COLOR TONER3413489013STAPLES ADVANTAGE 101-3005-60400 348.10Materials/Supplies04/30/19 - IRRIGATION & FOUNTAIN REPA…3432907SMITH PIPE & SUPPLY CO 101-3005-60431 146.88Operating Supplies03/19/19 - WC LUNCHEON3583410056771SMART & FINAL 101-3002-60420 42.13Community Experiences03/20/19 - PILLARS OF COMMUNITY SUPP…3583410056772SMART & FINAL 101-3003-60149 115.63Travel & Training03/20/19 - CONTRACTUAL INS TRAINING3583410056790SMART & FINAL 101-1004-60320 190.84Operating Supplies04/23/19 - VOLUNTEER LUNCHEON3583410058833SMART & FINAL 101-3002-60420 630.00Blood/Alcohol Testing03/13/19 - BLOOD ALCOHOL TESTING37475BIO-TOX LABORATORIES 101-2001-60174 124.00Blood/Alcohol Testing04/12/19 - BLOOD ALCOHOL TESTING37901BIO-TOX LABORATORIES 101-2001-60174 1,262.00Blood/Alcohol Testing04/12/19 - BLOOD ALCOHOL TESTING37902BIO-TOX LABORATORIES 101-2001-60174 180.29Marketing & Tourism Promoti…05/09/19 - TEQ & TACO SHIRTS PROMO409CLQTTS-FAPALMS TO PINES PRINTING 101-3007-60461 1,577.84Marketing & Tourism Promoti…05/14/19 - CLQ ITEMS FY 18/19 PRINT & P…430CLQSST-FAPALMS TO PINES PRINTING 101-3007-60461 5,875.00Plan Checks03/2019 ON CALL BUILDING PLAN CHECK …48979INTERWEST CONSULTING GR…101-6003-60118 10,081.20Janitorial04/2019 - JANITORIAL SVCS CH WC PARKS…524987MERCHANTS BUILDING MAINT…101-3008-60115 300.00Map/Plan Checking05/06/19 RUSSELL RES PMER 2019-0002 …5274RASA/ERIC NELSON 101-7002-60183 42 Demand Register Packet: APPKT01990 - BC 05/24/19 5/24/2019 12:54:39 PM Page 2 of 7 AmountVendor Name Payable Number Description (Item)Account Name Account Number 320.00Map/Plan Checking05/10/19 FINAL PARCEL MAP 37683 ONC…5278RASA/ERIC NELSON 101-7002-60183 1,740.00Map/Plan Checking05/14/19 4, 5, 6TH PLAN 37683 ONCALL …5279RASA/ERIC NELSON 101-7002-60183 558.30Temporary Agency Services05/10/19 - HR TEMP SVCS A LISTON53420541OFFICE TEAM 101-1004-60125 875.20Temporary Agency Services05/10/19 - CITY CLERK TEMP SVCS A FELIX53426103OFFICE TEAM 101-1005-60125 952.80Temporary Agency Services05/10/19 - CODE TEMP SVCS C HARGENS53442317OFFICE TEAM 101-6004-60125 275.80Temporary Agency Services05/10/19 - FINANCE TEMP SVCS A CAMA…53456092ACCOUNTEMPS 101-1006-60125 842.38Temporary Agency Services05/17/19 - CITY CLERK TEMP SVCS A FELIX53469938OFFICE TEAM 101-1005-60125 595.00Sheriff - Other05/01/19 - POLICE TOW LA191210052 (3.5…55778CLASSIC AUTO TRANSPORT 101-2001-60176 680.00Sheriff - Other05/01/19 - POLICE TOW LA19121005256000CLASSIC AUTO TRANSPORT 101-2001-60176 201.76Citywide Conf Room Supplies10/18/18 - CITY WIDE COFFEE638130DAIOHS FIRST CHOICE SERVICES 101-1007-60403 875.00Contract Services - Administrat…01/2019 REAL ESTATE SVCS66 RESTALL MAN GROUP INC 101-1002-60101 175.00Contract Services - Administrat…02/2019 REAL ESTATE SVCS67 RESTALL MAN GROUP INC 101-1002-60101 918.75Contract Services - Administrat…03/2019 REAL ESTATE SVCS68TALL MAN GROUP INC 101-1002-60101 787.50Contract Services - Administrat…04/2019 REAL ESTATE SVCS69TALL MAN GROUP INC 101-1002-60101 262.50Contract Services - Administrat…05/20/19 REAL ESTATE SVCS70TALL MAN GROUP INC 101-1002-60101 295.00Blood/Alcohol Testing04/15/19 - BLOOD/ALCOHOL TESTING72045AMERICAN FORENSIC NURSES …101-2001-60174 226.20Maintenance/Services05/09/19 - PARK SIGNS7519TOP OF THE LINE SIGNS 101-3005-60691 38.09Postage05/04/19 - OVERNIGHT MAIL8924841ONTRAC 101-1007-60470 219.52Citywide Conf Room Supplies05/16/19 - CITY WIDE COFFEE951269DAIOHS FIRST CHOICE SERVICES 101-1007-60403 2,385.00Marketing & Tourism Promoti…09/2019 - PS LIFE LQ INSERT992738DESERT PUBLICATIONS INC 101-3007-60461 120.00Due to County Recorder04/2019 - RECORDING FEES LLA 2018-0002APR'19RIVERSIDE ASSESSOR 101-0000-20325 74.88Gas - Utilities03/29-04/29/19 - FS #93 GAS SVCAPR'19165682485…GAS COMPANY, THE 101-2002-61100 1,195.00Blood/Alcohol Testing05/12/19 - CRIME SCENE CLEANUP LA191…CS51219BIO SOCAL 101-2001-60174 537.55Water - Utilities05/14/19 - WATER SERVICECSW209COACHELLA VALLEY WATER DI…101-2002-61200 1,405.06Water -Monticello Park - Utiliti…05/14/19 - WATER SERVICECSW209COACHELLA VALLEY WATER DI…101-3005-61201 82.43Water -Fritz Burns Park - Utiliti…05/14/19 - WATER SERVICECSW209COACHELLA VALLEY WATER DI…101-3005-61204 18.28Water -Seasons Park - Utilities05/14/19 - WATER SERVICECSW209COACHELLA VALLEY WATER DI…101-3005-61208 182.92Water -Community Park - Utilit…05/14/19 - WATER SERVICECSW209COACHELLA VALLEY WATER DI…101-3005-61209 113.76Water - Utilities05/14/19 - WATER SERVICECSW209COACHELLA VALLEY WATER DI…101-3008-61200 8,000.00Recruiting/Pre-EmploymentINSTALL 1 RECRUITING FIRM SVCS FOR CI…INV-01899RALPH ANDERSEN & ASSOCIA…101-1004-60129 16,000.00Recruiting/Pre-EmploymentINSTALL 2 &3 RECRUITING FIRM SVCS FOR…INV-02005RALPH ANDERSEN & ASSOCIA…101-1004-60129 63.52Subscriptions & Publications06/2019 - CITY HALL NEWSPAPERJUN'19DS0155030DESERT SUN, THE 101-6001-60352 800.00Sexual Assault Exam Fees03/25/19 - LA190830059MAR'1970000013…EISENHOWER MEDICAL CENTER 101-2001-60193 44.84Telephone - Utilities05/2019 - LQ PARK PHONEMAY'193452951FRONTIER COMMUNICATIONS…101-3005-61300 189.29Water -Desert Pride - Utilities05/14/19 - WATER SERVICEPWW188COACHELLA VALLEY WATER DI…101-3005-61206 36.06PM 10 - Dust Control05/14/19 - WATER SERVICEPWW188COACHELLA VALLEY WATER DI…101-7006-60146 100.00Home Occupations12/12/18 - HO2018-0095 REFUND HOME …R42293DOMINGUEZ, ALBERTO 101-0000-42447 1.89Credit Card Fee Revenue12/12/18 - HO2018-0095 REFUND HOME …R42293DOMINGUEZ, ALBERTO 101-0000-43505 105.00STVR Registration Fee04/17/19 - LIC-0103019 REFUND STRR48063KASPER, RICK AND AMY 101-0000-41415 18.00Business Licenses04/17/19 - LIC-0103019 REFUND STRR48063KASPER, RICK AND AMY 101-0000-41600 5.00Cash Over/Short04/23/19 - LIC-765777 REFUND OVERPYM…R48200CALIFORNIA SOUTH COAST RE…101-0000-42300 13.51TOT - Short Term Vac. Rentals04/25/19 - LIC-0100311 REFUND TOT LATE…R48268ESTRADA, EDDY 101-0000-41401 16.35TOT - Short Term Vac. Rentals04/25/19 - LIC-0100178 REFUND OVERPY…R48292ESTRADA, EDDY 101-0000-41401 60.00Cash Over/Short05/06/19 - LIC-766486 REFUND OVERPMT…R48736CHEVALIER, KATRINA 101-0000-42300 24.00Cash Over/Short05/14/19 - LIC-765577 REFUND TOT LATE …R49063TAYLOR, PATRICIA 101-0000-42300 252.14Materials/Supplies05/13/19 - SEASONS RET BASIN PLANTSREG001-11668VINTAGE ASSOCIATES 101-3005-60431 6,600.00Professional ServicesBP1 FEE SCHEDULE COMPREHENSIVE STU…UFS0419-403CLEARSOURCE FINANCIAL CO…101-1005-60103 85.38Electrical Permits01/01/19 - BELC2018-0115 REF W/DRAW …WEB3233TESLA ENERGY OPERATIONS, I…101-0000-42403 Fund 101 - GENERAL FUND Total:111,113.47 Fund: 201 - GAS TAX FUND 83.90Traffic Control Signs01/31/19 - TRAFFIC CONTROL SIGNS1072784TOPS'N BARRICADES INC 201-7003-60429 375.30Traffic Control Signs05/06/19 - TRAFFIC CONTROL SIGNS1074857TOPS'N BARRICADES INC 201-7003-60429 215.81Traffic Control Signs05/07/19 - TRAFFIC CONTROL SIGNS1074897TOPS'N BARRICADES INC 201-7003-60429 450.00Asphalt05/03/19 - SIDEWALK REPAIR2AA TO Z LANDSCAPING INC 201-7003-60430 Fund 201 - GAS TAX FUND Total:1,125.01 Fund: 202 - LIBRARY & MUSEUM FUND 924.00Maintenance/Services05/01/19 - MUSEUM ROOF REPAIR22135WESTERN PACIFIC ROOFING C…202-3006-60691 24.14Operating Supplies05/08/19 - OFFICE SUPPLIES312876839001OFFICE DEPOT 202-3004-60420 1,080.00Museum OperationsMAY 2019 ARCHIVING SVCS FOR LQ HIST…5-2019PARKOS-MARTINEZ, SHERRY A 202-3006-60105 2,470.30Janitorial04/2019 - JANITORIAL SVCS LIBRARY524987MERCHANTS BUILDING MAINT…202-3004-60115 43 Demand Register Packet: APPKT01990 - BC 05/24/19 5/24/2019 12:54:39 PM Page 3 of 7 AmountVendor Name Payable Number Description (Item)Account Name Account Number 659.25Janitorial04/2019 - JANITORIAL SVCS MUSEUM524987MERCHANTS BUILDING MAINT…202-3006-60115 3,460.93Maintenance/Services05/03/19 - LIBRARY MAINT72523ELESCO 202-3004-60691 67.00Maintenance/Services05/09/19 - LIBRARY GATE SIGN7522TOP OF THE LINE SIGNS 202-3004-60691 97.66Water - Utilities05/14/19 - WATER SERVICECSW209COACHELLA VALLEY WATER DI…202-3004-61200 49.92Water - Utilities05/14/19 - WATER SERVICECSW209COACHELLA VALLEY WATER DI…202-3006-61200 Fund 202 - LIBRARY & MUSEUM FUND Total:8,833.20 Fund: 215 - LIGHTING & LANDSCAPING FUND 155.30Supplies-Graffiti and Vandalism05/09/19 - GRAFFITI PAINT1754-9THE SHERWIN-WILLIAMS CO.215-7004-60423 5,528.00SilverRock Way Landscape03/2019 FY 18/19 SRR PERIMETER LANDS…33119-01LANDMARK GOLF MANAGEM…215-7004-60143 554.73Electric - Utilities05/13/19 - ELECTRICITY SERVICEPW207IMPERIAL IRRIGATION DIST 215-7004-61116 50.86Electric - Medians - Utilities05/13/19 - ELECTRICITY SERVICEPW207IMPERIAL IRRIGATION DIST 215-7004-61117 2,404.52Water - Medians - Utilities05/14/19 - WATER SERVICEPWW188COACHELLA VALLEY WATER DI…215-7004-61211 Fund 215 - LIGHTING & LANDSCAPING FUND Total:8,693.41 Fund: 221 - AB 939 - CALRECYCLE FUND 274.45AB 939 Recycling Solutions05/09/19 - RECYCLING SHIRTS PROMO409CLQTTS-FAPALMS TO PINES PRINTING 221-0000-60127 5,466.04AB 939 Recycling Solutions05/08/19 LQ RECYCLING SHOPPING BAGS …429CLQLS-FAPALMS TO PINES PRINTING 221-0000-60127 Fund 221 - AB 939 - CALRECYCLE FUND Total:5,740.49 Fund: 226 - EMERGENCY MANAGEMENT PERFORMANCE GRANT (EMPG) 10,500.00EMP GrantREVERSE 911 INTERACTIVE COMMUNICAT…M42843EVERBRIDGE, INC.226-0000-43120 Fund 226 - EMERGENCY MANAGEMENT PERFORMANCE GRANT (EMPG) Total:10,500.00 Fund: 230 - CASp FUND, AB 1379 4.00SB 1186 Revenue04/17/19 - LIC-0103019 REFUND STRR48063KASPER, RICK AND AMY 230-0000-42130 Fund 230 - CASp FUND, AB 1379 Total:4.00 Fund: 237 - SUCCESSOR AGCY PA 1 ADMIN 262.50Consultants01/2019 SUCCESSOR AGENCY38 SATALL MAN GROUP INC 237-9001-60104 6,300.00Consultants02/2019 SUCCESSOR AGENCY39 SATALL MAN GROUP INC 237-9001-60104 1,050.00Consultants03/2019 SUCCESSOR AGENCY40 SATALL MAN GROUP INC 237-9001-60104 350.00Consultants04/2019 SUCCESSOR AGENCY41 SATALL MAN GROUP INC 237-9001-60104 87.50Consultants05/20/19 SUCCESSOR AGENCY42 SATALL MAN GROUP INC 237-9001-60104 Fund 237 - SUCCESSOR AGCY PA 1 ADMIN Total:8,050.00 Fund: 241 - HOUSING AUTHORITY 59.49Office Supplies05/01/19 - OFFICE SUPPLIES309409704001OFFICE DEPOT 241-9101-60400 41.34Operating Supplies05/01/19 - MONITOR STAND G VILLALPA…309410029001OFFICE DEPOT 241-9101-60420 Fund 241 - HOUSING AUTHORITY Total:100.83 Fund: 248 - SA 2004 LO/MOD BOND FUND (Refinanced in 2014) 2,107.17Relocation Benefits05/23/19 REIMB WASHINGTON ST APT RE…052319TALL MAN GROUP INC 248-9102-60159 3,959.35Relocation Benefits05/23/19 REIMB RES WASHINGTON ST AP…052319ATALL MAN GROUP INC 248-9102-60159 19,800.00Relocation Benefits01/2019 WASHINGTON ST APT REHAB PR…77 WSATALL MAN GROUP INC 248-9102-60159 9,240.00Relocation Benefits02/2019 WASHINGTON ST APT REHAB PR…78 WSATALL MAN GROUP INC 248-9102-60159 10,477.50Relocation Benefits03/2019 WASHINGTON ST APT REHAB PR…79 WSATALL MAN GROUP INC 248-9102-60159 9,036.52Relocation Benefits04/2019 WASHINGTON ST APT REHAB PR…80 WSATALL MAN GROUP INC 248-9102-60159 3,795.00Relocation Benefits05/2019 WASHINGTON ST APT REHAB PR…81 WSATALL MAN GROUP INC 248-9102-60159 Fund 248 - SA 2004 LO/MOD BOND FUND (Refinanced in 2014) Total:58,415.54 Fund: 270 - ART IN PUBLIC PLACES FUND 1,000.00Art Purchases04/2019 ART CONSULTANT SERVICESLQ2242LEBASSE PROJECTS INTERNATI…270-0000-74800 Fund 270 - ART IN PUBLIC PLACES FUND Total:1,000.00 Fund: 401 - CAPITAL IMPROVEMENT PROGRAMS 1,700.00Design04/29/19 - PORTLAND LOO PLANS 2018-01156MADDEN FABRICATION 401-0000-60185 625.00Design04/30/19 - ON CALL SVC NO LQ PKWY TU…19051009HERMANN DESIGN GROUP INC 401-0000-60185 3,128.53Design04/2019 SRR EVENT SITE DESIGN SVCS, PJT…19051010HERMANN DESIGN GROUP INC 401-0000-60185 -3,768.62Retention PayablePO 1819-0127 RETENTION 11905-1UNIVERSAL CONCRETE CONST…401-0000-20600 75,372.45ConstructionPMT 1 2017-06 JEFFERSON ST SIDEWALK …1905-1UNIVERSAL CONCRETE CONST…401-0000-60188 -1,551.48Retention PayablePO 1819-20 RETENTION PAYMENT 32018-155AMERICAN ASPHALT SOUTH I…401-0000-20600 31,029.51ConstructionPYMT 3 PMP - ZONE 2 - SLURRY SEAL & ST…2018-155AMERICAN ASPHALT SOUTH I…401-0000-60188 274.72Construction05/09/19 - 2017-06 CONST SET874427PLANIT REPROGRAPHICS SYST…401-0000-60188 30,274.30Retention PayableFINAL RETENTION 2017-27RETENTIONAAMERICAN ASPHALT SOUTH I…401-0000-20600 Fund 401 - CAPITAL IMPROVEMENT PROGRAMS Total:137,084.41 44 Demand Register Packet: APPKT01990 - BC 05/24/19 5/24/2019 12:54:39 PM Page 4 of 7 AmountVendor Name Payable Number Description (Item)Account Name Account Number Fund: 502 - INFORMATION TECHNOLOGY 140.16Technical04/15-05/14/19 - CABLE SERVICE18105050319TIME WARNER CABLE 502-0000-60108 564.03Copiers04/2019 CITYWIDE COPIER LEASE207061INNOVATIVE DOCUMENT SOL…502-0000-60662 132.66Operating Supplies04/05/19 - KEYBOARD K CAMARENA3410036361STAPLES ADVANTAGE 502-0000-60420 66.52Cable - Utilities04/02-05/01/19 - BACKUP SERVER (2183)9829249749VERIZON WIRELESS 502-0000-61400 1,871.06Cell/Mobile Phones04/02-05/01/19 - CITY CELL SVC IPADS (55…9829249855VERIZON WIRELESS 502-0000-61301 1,439.30Cell/Mobile Phones04/02-05/01/19 - CITY CELL SVC (5496)9829287431VERIZON WIRELESS 502-0000-61301 7,362.92Computers02/26/19 - DELL OPTIPLEX 3060 (11)B09577908SHI INTERNATIONAL CORP.502-0000-80103 1,447.46Technical05/06/19 - DOCKING STA (4) & SUPPLIESB09927096SHI INTERNATIONAL CORP.502-0000-60108 3,480.69Technical05/08/19 - SURFACE PRO (4)B09939610SHI INTERNATIONAL CORP.502-0000-60108 62.34Technical05/10/19 - MOUNTING BRACKET (1)B09953211SHI INTERNATIONAL CORP.502-0000-60108 98.07Technical05/13/19 - IT SUPPLIESB09955896SHI INTERNATIONAL CORP.502-0000-60108 623.36Technical05/14/19 - MOUNTING BRACKETS (10)B09965506SHI INTERNATIONAL CORP.502-0000-60108 213.17Telephone - Utilities05/04-06/03/19 - DSL SERVICEMAY'197771222FRONTIER COMMUNICATIONS…502-0000-61300 5.00Technology Enhancement Sur…12/12/18 - HO2018-0095 REFUND HOME …R42293DOMINGUEZ, ALBERTO 502-0000-43611 5.00Technology Enhancement Sur…04/17/19 - LIC-0103019 REFUND STRR48063KASPER, RICK AND AMY 502-0000-43611 Fund 502 - INFORMATION TECHNOLOGY Total:17,511.74 Fund: 504 - INSURANCE FUND 211,083.00Prepaid ExpenseFY 19/20 - WORKERS COMP 504-1010-604…PRIM01667CALIFORNIA JOINT POWERS IN…504-0000-13600 377,929.00Prepaid ExpenseFY 19/20 - LIABILITY 504-1010-60441PRIM01667CALIFORNIA JOINT POWERS IN…504-0000-13600 101,868.00Prepaid ExpenseFY 19/20 - PROPERTY INS 504-1010-60443PROP01841CALIFORNIA JOINT POWERS IN…504-0000-13600 Fund 504 - INSURANCE FUND Total:690,880.00 Fund: 601 - SILVERROCK RESORT 37.50Repair & Maintenance05/03/19 - SRR MATERIALS7472197FERGUSON ENTERPRISES, INC 601-0000-60660 Fund 601 - SILVERROCK RESORT Total:37.50 Grand Total:1,059,089.60 45 Demand Register Packet: APPKT01990 - BC 05/24/19 5/24/2019 12:54:39 PM Page 5 of 7 Fund Summary Fund Expense Amount 101 - GENERAL FUND 111,113.47 201 - GAS TAX FUND 1,125.01 202 - LIBRARY & MUSEUM FUND 8,833.20 215 - LIGHTING & LANDSCAPING FUND 8,693.41 221 - AB 939 - CALRECYCLE FUND 5,740.49 226 - EMERGENCY MANAGEMENT PERFORMANCE GRANT (…10,500.00 230 - CASp FUND, AB 1379 4.00 237 - SUCCESSOR AGCY PA 1 ADMIN 8,050.00 241 - HOUSING AUTHORITY 100.83 248 - SA 2004 LO/MOD BOND FUND (Refinanced in 2014)58,415.54 270 - ART IN PUBLIC PLACES FUND 1,000.00 401 - CAPITAL IMPROVEMENT PROGRAMS 137,084.41 502 - INFORMATION TECHNOLOGY 17,511.74 504 - INSURANCE FUND 690,880.00 601 - SILVERROCK RESORT 37.50 Grand Total:1,059,089.60 Account Summary Account Number Account Name Expense Amount 101-0000-20325 Due to County Recorder 120.00 101-0000-41401 TOT - Short Term Vac. Ren…29.86 101-0000-41415 STVR Registration Fee 105.00 101-0000-41600 Business Licenses 18.00 101-0000-42300 Cash Over/Short 89.00 101-0000-42403 Electrical Permits 85.38 101-0000-42447 Home Occupations 100.00 101-0000-43505 Credit Card Fee Revenue 1.89 101-1002-60101 Contract Services - Admini…8,218.75 101-1004-60125 Temporary Agency Servic…558.30 101-1004-60129 Recruiting/Pre-Employme…24,000.00 101-1004-60320 Travel & Training 115.63 101-1004-60322 Training & Education/MOU 902.92 101-1004-60340 Employee Recognition Ev…561.95 101-1004-60400 Office Supplies 172.96 101-1005-60103 Professional Services 6,600.00 101-1005-60125 Temporary Agency Servic…1,717.58 101-1006-60125 Temporary Agency Servic…275.80 101-1006-60400 Office Supplies 116.84 101-1006-60410 Printing 38.05 101-1007-60403 Citywide Conf Room Suppl…421.28 101-1007-60470 Postage 38.09 101-2001-60174 Blood/Alcohol Testing 3,506.00 101-2001-60176 Sheriff - Other 1,275.00 101-2001-60193 Sexual Assault Exam Fees 800.00 101-2002-60320 Travel & Training 125.00 101-2002-60400 Office Supplies 114.45 101-2002-60691 Maintenance/Services 28.57 101-2002-61100 Gas - Utilities 74.88 101-2002-61200 Water - Utilities 537.55 101-3001-60400 Office Supplies 17.38 101-3002-60420 Operating Supplies 946.81 101-3003-60149 Community Experiences 42.13 101-3005-60117 Civic Center Lake Mainten…715.84 101-3005-60400 Office Supplies 656.68 101-3005-60431 Materials/Supplies 600.24 101-3005-60691 Maintenance/Services 226.20 101-3005-61201 Water -Monticello Park - …1,405.06 101-3005-61204 Water -Fritz Burns Park - …82.43 101-3005-61206 Water -Desert Pride - Utili…189.29 46 Demand Register Packet: APPKT01990 - BC 05/24/19 5/24/2019 12:54:39 PM Page 6 of 7 Account Summary Account Number Account Name Expense Amount 101-3005-61208 Water -Seasons Park - Util…18.28 101-3005-61209 Water -Community Park -…182.92 101-3005-61300 Telephone - Utilities 44.84 101-3007-60461 Marketing & Tourism Pro…4,143.13 101-3008-60115 Janitorial 10,081.20 101-3008-60691 Maintenance/Services 593.11 101-3008-61200 Water - Utilities 113.76 101-6001-60103 Professional Services 9,327.39 101-6001-60104 Consultants 50.00 101-6001-60352 Subscriptions & Publicati…63.52 101-6001-60400 Office Supplies 471.39 101-6002-60450 Advertising 1,386.00 101-6003-60118 Plan Checks 6,525.00 101-6004-60103 Professional Services 3,476.95 101-6004-60111 Administrative Citation Se…860.94 101-6004-60125 Temporary Agency Servic…952.80 101-6004-60194 Veterinary Service 1,500.00 101-6004-60400 Office Supplies 11.41 101-6004-60690 Uniforms 2,253.60 101-6006-60420 Operating Supplies 1,772.97 101-7002-60183 Map/Plan Checking 10,980.00 101-7002-60410 Printing 462.00 101-7003-60400 Office Supplies 48.22 101-7006-60146 PM 10 - Dust Control 163.25 201-7003-60429 Traffic Control Signs 675.01 201-7003-60430 Asphalt 450.00 202-3004-60115 Janitorial 2,470.30 202-3004-60420 Operating Supplies 24.14 202-3004-60691 Maintenance/Services 3,527.93 202-3004-61200 Water - Utilities 97.66 202-3006-60105 Museum Operations 1,080.00 202-3006-60115 Janitorial 659.25 202-3006-60691 Maintenance/Services 924.00 202-3006-61200 Water - Utilities 49.92 215-7004-60143 SilverRock Way Landscape 5,528.00 215-7004-60423 Supplies-Graffiti and Van…155.30 215-7004-61116 Electric - Utilities 554.73 215-7004-61117 Electric - Medians - Utiliti…50.86 215-7004-61211 Water - Medians - Utilities 2,404.52 221-0000-60127 AB 939 Recycling Solutions 5,740.49 226-0000-43120 EMP Grant 10,500.00 230-0000-42130 SB 1186 Revenue 4.00 237-9001-60104 Consultants 8,050.00 241-9101-60400 Office Supplies 59.49 241-9101-60420 Operating Supplies 41.34 248-9102-60159 Relocation Benefits 58,415.54 270-0000-74800 Art Purchases 1,000.00 401-0000-20600 Retention Payable 24,954.20 401-0000-60185 Design 5,453.53 401-0000-60188 Construction 106,676.68 502-0000-43611 Technology Enhancement…10.00 502-0000-60108 Technical 5,852.08 502-0000-60420 Operating Supplies 132.66 502-0000-60662 Copiers 564.03 502-0000-61300 Telephone - Utilities 213.17 502-0000-61301 Cell/Mobile Phones 3,310.36 502-0000-61400 Cable - Utilities 66.52 502-0000-80103 Computers 7,362.92 47 Demand Register Packet: APPKT01990 - BC 05/24/19 5/24/2019 12:54:39 PM Page 7 of 7 Account Summary Account Number Account Name Expense Amount 504-0000-13600 Prepaid Expense 690,880.00 601-0000-60660 Repair & Maintenance 37.50 Grand Total:1,059,089.60 Project Account Summary Project Account Key Expense Amount **None**862,263.09 1819PMPCT 31,029.51 1819PMPRP 28,722.82 201603D 625.00 201608D 3,128.53 201706CT 75,647.17 201706RP -3,768.62 201801D 1,700.00 999901T 58,415.54 ARCHIVEE 1,080.00 MAKERE 24.14 PILQE 42.13 TACOE 180.29 Grand Total:1,059,089.60 48 City of La Quinta Bank Transactions 05/04/19 – 05/24/19 Wire Transaction Listed below are the wire transfer from 05/04/19 – 05/24/19 Wire Transfers: 05/07/2019 - WIRE TRANSFER - TASC FLEX CLAIM 1,782.99$ 05/07/2019 - WIRE TRANSFER - LANDMARK 157,547.76$ 05/17/2019 - WIRE TRANSFER - ICMA 4,306.39$ 05/17/2019 - WIRE TRANSFER - LQCEA 486.00$ 05/17/2019 - WIRE TRANSFER - PERS 41,264.16$ 05/17/2019 - WIRE TRANSFER - LANDMARK 135,038.52$ 05/21/2019 - WIRE TRANSFER - TASC FLEX CLAIM 1,782.99$ 05/22/2019 - WIRE TRANSFER - WELLS FARGO 15,000.00$ TOTAL WIRE TRANSFERS OUT 357,208.81$ ATTACHMENT 2 49 50 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: ADOPT RESOLUTION TO APPROVE FISCAL YEAR 2019/20 INVESTMENT POLICY RECOMMENDATION Adopt a resolution to approve the Fiscal Year 2019/20 Investment Policy. EXECUTIVE SUMMARY The La Quinta Municipal Code (Code) requires that the Financial Advisory Commission (FAC) annually review and recommend changes to the City’s Investment Policy (Policy). The FAC reviewed staff recommended changes and approved the draft Policy for 2019/20 on May 15, 2019. FISCAL IMPACT - None. BACKGROUND For 2018/19, the City submitted the Policy for certification by the California Municipal Treasurers Association (CMTA). The City was granted the certification, and CMTA offered suggestions to further clarify the document and ensure consistency throughout. There were no new regulatory changes in 2018/19 that affected the Policy; however, based on the CMTA’s guidance and staff research edits were made, which are identified in Attachment 1. The following is a summary of the proposed changes by section: Table of Contents will be updated to reflect correct page numbers when final draft is completed. Sections XVI and XVII were moved and incorporated into Section III- Scope. Section VIII updated with correct reference to Personnel Manual and added a reference to the City Code regarding Conflicts of Interest. Section IX updated to add an annual review of the approved broker/dealers and financial institutions. Section X updated to include a heading for the section regarding collateralization of funds. A portion of IX.2 was moved here and incorporated as well. CONSENT CALENDAR ITEM NO. 4 51  Section X updated with minor changes regarding government agencies such as the removal of the Student Loan Marketing Association (Sallie Mae) which is no longer a government sponsored enterprise.  Section XI added clarifying language and state code references for investment pools.  Section XII removed reference to a process that is no longer completed as part of the interest allocation.  Section XVI (new) created a new section calling for an annual review of the investment portfolio to confirm adherence to the policy.  Section XVIII removed redundant list of Financial Advisory Commission duties and referenced in the City Code and Appendix A.  Edits to Appendix C, Segregation of Major Investment Responsibilities, to reflect accurate titles for responsible parties by related function.  Footnoted Appendix D, Listing of Approved Financial Institutions, to reflect the ongoing Request for Information (RFI) for broker services and Request for Proposals (RFP) for banking services.  Additional edits to Appendix D added entities previously approved such as the California Asset Management Pool (CAMP) and Public Agency Retirement Services (PARS). ALTERNATIVES Council may elect to not approve as presented or incorporate further changes. Prepared by: Rosemary Hallick, Financial Services Analyst Approved by: Karla Romero, Finance Director Attachments: 1. Draft Investment Policy for Fiscal Year 2019/20 (red-lined) 52 RESOLUTION NO. 2019 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA APPROVING AND ADOPTING THE AMENDED INVESTMENT POLICY FOR FISCAL YEAR 2019/2020 WHEREAS,the general purpose of the Investment Policy is to provide the rules and standards users must follow in investing funds of the City of La Quinta; and WHEREAS,the primary objectives, in order of priority, of the City of La Quinta’s investment activity shall be: Safety of principal is the foremost objective of the investment program. Investments of the City of La Quinta shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. The investment portfolio shall remain sufficiently liquid to meet all operating requirements that may be reasonably anticipated. The investment portfolio shall be designed with the objective of attaining a market rate of return or yield throughout budgetary and economic cycles, taking into account the investment risk constraints and liquidity needs; and WHEREAS, authority to manage the City of La Quinta’s investment portfolio is derived from the City’s municipal code, management responsibility for the investment program is delegated to the City Treasurer, who shall establish and implement written procedures for the operation of the City’s investment program consistent with the Investment Policy for each Fiscal Year; and WHEREAS,the Investment Policy will be adopted before the end of June of each year and amended as considered necessary. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta as follows: SECTION 1. This Resolution supersedes all prior Investment Policy resolutions adopted by the City Council. SECTION 2. The City Council hereby adopts the Fiscal Year 2019/2020 Investment Policy attached hereto as “Exhibit A” and incorporated herewith by this reference. 53 Resolution No. 2019- Investment Policy for Fiscal Year 2019/2020 Adopted: Page 2 of 2 SECTION 3. Severability – if any provisions of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The City Council hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof. SECTION 4. This Resolution shall become effective upon adoption. The Investment Policy adopted by this Resolution shall go into effect immediately. PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta City Council, held on this day of , 2019 by the following vote: AYES: NOES: ABSTAIN: ABSENT: ________________________ LINDA EVANS, Mayor City of La Quinta, California ATTEST: __________________________ Monika Radeva, City Clerk City of La Quinta, California (CITY SEAL) APPROVED AS TO FORM: ___________________________ WILLIAM H. IHRKE, City Attorney City of La Quinta, California 54 DRAFT2019/20 INVESTMENT POLICY EXHIBIT A 55 DRAFTFiscal year 2019/2020 Table of Contents Section Topic Page Executive Summary 1 I General Purpose 2 II Investment Policy 2 III Scope 2 IV Objectives 3 V Maximum Maturities 5 VI Prudence 5 VII Authority 5 VIII Ethics and Conflicts of Interest 6 IX Authorized Financial Dealers and Institutions 6 X Permissible Deposits and Investments 7 XI Investment Pools 10 XII Payment and Custody 10 XIII Interest Earning Distribution Policy 11 XIV Internal Controls and Independent Auditors 11 XV Reporting Standards 12 XVI Review of Investment Portfolio 13 XVII Financial Advisory Commission – City of La Quinta 13 XIII Investment Policy Adoption 13 Appendices Topic Page A Municipal Code Ordinance 2.70 – Financial Advisory Commission 14 B Municipal Code Ordinance 3.08 – Investment of Moneys and Funds 16 C Segregation of Major Investment Responsibilities 18 D Listing of Approved Financial Institutions 19 E Investment Management Process and Risk 20 F Glossary 22 56 DRAFTCITY OF LA QUINTA Investment Policy Fiscal Year 2019/2020 Executive Summary The general purpose of this Investment Policy is to provide the rules and standards that must be followed in administering the City of La Quinta's (the “City”) deposits and investments. The City's Investment Policy conforms to all state and local statutes and applies to all deposits and investments of the City, with the exception of bond proceeds and those noted in section III herein. It is the City's policy to deposit and invest public funds in a manner that shall provide safety of principal, liquidity to meet all of the City’s obligations and requirements that may be reasonably anticipated, and a risk-based market rate of return. Authority to manage the City's investment portfolio is derived from the City Municipal Code. Management responsibility for the investment program is delegated to the City Treasurer, who shall establish and implement written procedures for the operation of the City's investment program consistent with the Investment Policy. The City Manager, City Treasurer and city employees involved in the City's banking and investment process shall conduct the City's business in an ethical manner and refrain from any activity or relationship that may be, or have the appearance of, a conflict of interest. The Investment Policy shall be adopted by resolution of the La Quinta City Council on an annual basis, before the end of each fiscal year (June). 1 of 27 57 DRAFTCity of La Quinta Statement of Investment Policy July 1, 2019 through June 30, 2020 Adopted by the City Council on June 4, 2019 I. GENERAL PURPOSE The general purpose of this document is to provide the rules and standards that must be followed in administering the City of La Quinta's deposits and investments. II. INVESTMENT POLICY It is the policy of the City of La Quinta to deposit and invest public funds in a manner that shall conform to all State and local statutes governing the investment of public funds and set forth the permissible deposits and investments of the City's funds and the limitations thereon. III. SCOPE Except as further detailed in Sections XVI and XVII, this Investment Policy applies to all deposits and investments of the City of La Quinta, the Successor Agency to the City of La Quinta Redevelopment Agency, and the City of La Quinta Financing and Housing Authorities. These funds are reported in the City's Comprehensive Annual Financial Report (CAFR) and include all funds within the following fund types:  General  Special Revenue  Capital Projects  Debt Service  Enterprise  Internal Service  Trust and Agency  Any new fund types and fund(s) that may be created. Financial assets and investment activity not subject to this policy The City's Investment Policy does not apply to the following:  Cash and Investments raised from Conduit Debt Financing;  Funds held in trust in the City's name in pension or other post-retirement benefit programs;  Cash and Investments held in lieu of retention by banks or other financial institutions for construction projects; and  Short or long-term loans made to other entities by the City or Agency,  Short term (Due to/from) or long term (Advances from/to) obligations made either between the City and its funds or between the City and Agency.  Investment of bond proceeds: The City's Investment Policy shall not govern bond proceeds and bond reserve fund investments. California Code Section 2 of 27 58 DRAFT5922(d) governs the investment of bond proceeds and reserve funds in accordance with bond indenture provisions. Arbitrage Requirement - The US Tax Reform Act of 1986 requires the City to perform arbitrage calculations as required and return excess earnings to the US Treasury from investments of proceeds of bond issues sold after the effective date of this law. These arbitrage calculations may be contracted with an outside source to provide the necessary technical assistance to comply with this regulation. Investable funds subject to the 1986 Tax Reform Act will be kept segregated from other funds and records will be kept in a fashion to facilitate the calculations. The City's investment position relative to the new arbitrage restrictions is to continue pursuing the maximum yield on applicable investments while ensuring the safety of capital and liquidity. It is the City's position to continue maximization of yield and to rebate excess earnings, if necessary. IV. OBJECTIVES The objectives of the City's investment activity, in order of priority and importance, are: A. Safety of Principal Safety of principal is the foremost objective of the City's investment program. Investments shall be undertaken in a manner that seeks to ensure the preservation of principal of the overall portfolio in accordance with the permissible deposits and investments. The City shall endeavor to preserve its investment principal by making only permissible deposits and investments, undertaken in a controlled manner to minimize the possibility of loss or misappropriation through malfeasance or otherwise. Investments not backed by the full faith and credit of the United States Government shall be diversified by allocating assets between different types of permissible investments, maturities, and issuers as a means to mitigate credit risk and interest rate risk. 1. Credit Risk is the risk of loss from the failure of the security issuer or backer. Credit risk may be mitigated by: • Limiting investments to investment grade securities as permitted in Section X; and • Diversifying the issuers of the securities in the investment portfolio so that potential losses due to issuer failure or individual securities downgrades may be minimized. 2. Interest Rate Risk is the risk that market values of securities in the portfolio will decline due to changes in general interest rates. Interest rate risk may be mitigated by: 3 of 27 59 DRAFT• Structuring the investment portfolio so that securities mature to meet cash requirements for ongoing operations, thereby avoiding the need to sell securities on the open market prior to maturity; and • Investing operating funds primarily in shorter-term securities. 3. Liquidity Risk is the risk that a security cannot be liquidated because of its unique features or structure or because it is thinly traded. Liquidity risk is not a material issue for the City's portfolio because of the permissible deposits and investments (see Section X). A discussion of the City's investment process and risk is presented in Appendix E. B. Provide Liquidity The investment portfolio shall remain sufficiently liquid to meet all of the City's cash needs that may be reasonably anticipated. This is accomplished by structuring the portfolio so that sufficient liquid funds are available to meet anticipated demands. Furthermore, since all possible cash needs cannot be anticipated the portfolio should be diversified and consist of securities with active secondary or resale markets. The City's policy is to generally hold securities and other investments to maturity. Accordingly, securities may be sold prior to maturity under certain circumstances as follow: • A security with declining credit quality can be sold early to minimize loss of principal. • Unanticipated liquidity needs of the portfolio require that one or more securities be sold. • When a sale/repurchase is fiscally advantageous based on market conditions and fits the needs of the portfolio C. Yield a Risk-Based Market Rate of Return The City's investment portfolio shall be structured with the objective of yielding a risk- based market rate of return throughout budgetary and economic cycles. Return on investment is less important than the safety and liquidity objectives described above. The City's Investment Policy does not specify a single benchmark as a goal or target yield for a rate of return on its investment portfolio. The portfolio's rates of return will be influenced by several factors, including actions by the Federal Reserve Board, the marketplace, and overall economic perceptions and conditions. Performance Standards: As a basis for comparison only, the Treasurer's quarterly reports will display the rates of return on the three-month Bill, six-month Bill, and one and two-year U.S. Treasury Note, comparable-period rates for commercial paper, and the yield for the State Treasurer's Local Agency Investment Fund (LAIF). The Treasurer may use these or any other published rates of return 4 of 27 60 DRAFTthat the Treasurer deems appropriate for comparison to the return on the City's investment portfolio. The investment portfolio shall be designed with the objective of obtaining a market rate of return throughout budgetary and economic cycles, commensurate with the investment risk constraints and the cash flow needs. V. MAXIMUM MATURITIES It is the City's policy to generally hold securities and other investments until maturity. This buy- and-hold policy shall not prevent the sale of a security as listed in section IV.B The general buy-and-hold strategy requires that the City's investment portfolio be structured so that sufficient liquid funds are available from maturing investments and other sources to meet all reasonably anticipated cash needs. The City shall follow Title 5 of the California Government Code §53601 (the “State Code”) regarding maximum maturities, in that “no investment shall be made in any security…that at the time of the investment has a term remaining to maturity in excess of five years”. VI. PRUDENCE and FIDUCIARY DUTY The City shall follow the State Code §53600.3 regarding fiduciary duty and the Prudent Investor Standard as follows: Except as provided in subdivision (a) of §27000.3, all governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard. When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency. Within the limitations of this section and considering individual investments as part of an overall strategy, investments may be acquired as authorized by law. VII. AUTHORITY Authority to manage the City's investment portfolio is derived from Chapter 3.08 of the City's Municipal Code. Management responsibility for the investment program is delegated to the City Treasurer for a period of one year pursuant to the City Council's annual adoption of the Investment Policy. 5 of 27 61 DRAFTThe City Treasurer shall establish written procedures for the operation of the investment program consistent with the Investment Policy. Procedures should include reference to safekeeping, wire transfer agreements, banking service contracts, and collateral/depository agreements. Such procedures shall include explicit delegation of authority to persons responsible for investment transactions. No person may engage in an investment transaction except as provided under the terms of this Investment Policy and the procedures established by the City Treasurer. The City Treasurer shall be responsible for all transactions undertaken and shall establish a system of controls to regulate the activities of subordinate officials. VIII. ETHICS AND CONFLICTS OF INTEREST The City Manager, City Treasurer and city employees involved in the City's banking and investment process shall conduct the City's business in an ethical manner and refrain from any activity or relationship that may be, or have the appearance of, a conflict of interest. The City will maintain compliance with the procedures set forth in the Conflicts of Interest and Acceptance of Gifts and other Gratuities section of the City of La Quinta Personnel Manual and the City’s Municipal Code Chapter 2.60 Conflicts of Interest. Any questionable activity or relationship shall be reported immediately; reporting must be made in accordance with the personnel policies of the City and, until resolved, the officer or employee shall refrain from participating in the City's business related to the matter. The City Manager, City Treasurer, and City employees may conduct personal business with banks, brokers, and other financial institutions that are authorized to conduct business with the City provided that the terms of the activity to the accountholder with the City are the same as those that are available to the public in general, or to all employees as a result of contract negotiations. IX. AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS The City Treasurer maintains a listing of financial institutions which are approved for direct investment purposes, as well as a list of approved broker/dealers. 1. Broker/Dealers who desire to become bidders for direct investment transactions must supply the City with the following: • Current audited financial statements; • Proof of Financial Industry Regulatory Authority (FINRA) Certification; • Proof of State of California registration; • Resume of Financial broker; and • Completion of the City of La Quinta Broker/Dealer questionnaire, which contains a certification of having read the City's Investment Policy. The City Treasurer shall evaluate the documentation submitted by the broker/dealer and independently verify existing reports on file for any firm and individual conducting investment related business. 6 of 27 62 DRAFTThe City Treasurer will also contact the following agencies during the verification process: • Financial Industry Regulatory Authority (FINRA) Public Disclosure Report File (1-800- 289-9999). • State of California Department of Corporations (1-916-445-3062). A professional investment manager or management firm, if engaged by the City pursuant to Section X of this policy, may utilize their own list of approved broker/dealers on the condition that any such list is provided to the City upon request. All Broker/Dealers and financial institutions that provide investment services will be subject to City Council approval. An annual review of the financial condition and registrations of approved broker/dealers will be conducted by the City Treasurer or designee. Current audited financial statements and/or SSAE 16 internal control (SOC-1) reports will be maintained on file for each financial institution and broker/dealer with which the City conducts business. Each mutual fund shall provide a prospectus and statement of additional information. 2. Financial Institutions will be required to meet the following criteria in order to receive City funds for deposit or investment (see Appendix D, "Listing of Approved Financial Institutions"): • Insurance - Public Funds shall be deposited only in financial institutions having accounts insured by the Federal Deposit Insurance Corporation (FDIC). • Disclosure - Each financial institution maintaining invested funds in excess of the FDIC insured amount shall furnish the City a copy of the most recent Call Report. The City shall not invest in excess of the FDIC insured amount in banking institutions which do not disclose to the city a current listing of securities pledged for collateralization in public monies. X. PERMISSIBLE DEPOSITS AND INVESTMENTS It is the City’s policy to follow Title 5 of the California Government Code (the “State Code”) in regard to allowable securities, and to be sufficiently diversified with regard to security type and issuer. Permissible deposits and investments, as allowed by Chapter 4, Part 1, Division 2, Title 5 (hereinafter cited by §), include, but are not limited to, the following: Checking, Savings, and Sweep Accounts - The City will only maintain checking and savings, accounts with state or national banks, savings associations, federal associations, and/or credit unions in accordance with §53635.2. 7 of 27 63 DRAFT• Collateralization: The amount of the City's deposits or investments not insured by the FDIC shall be collateralized by securities in accordance with §53652. The Treasurer may invest in an interest-bearing active deposit account as approved in §53632. The deposit account must be collateralized with securities that are in accordance with §53632.5. In addition, the market value of the collateralized securities must be maintained in accordance with §53652 and be held by a custodian in accordance with the requirements of §53656. The proportion of the City's share of the deposit account shall be determined in accordance with §53658. Certificates of Deposit (Negotiable and Non-negotiable) – As authorized in §53601(i), the City may invest in Non- Negotiable and Negotiable Certificates of Deposits (CD) up to 30% of the overall portfolio. In no instance shall a CD or combined CD’s with a single issuer exceed the FDIC or NCUSIF insurance limit of $250,000. U.S. Treasury Bills, Notes, and Bonds – As authorized in §53601(b), the City may invest in U.S. Treasury bills, notes, and bonds directly issued and backed by the full faith and credit of the U.S. Government. The City's Investment Policy provides for investments in U.S. Treasury issues of 100% of the portfolio. U.S. Government Agency Securities and Federal Government Securities – As authorized in §53601(f), the City may invest in securities issued by U.S. Government instrumentalities and agencies (commonly referred to as government sponsored enterprises or GSE's). These securities may not be backed by the full faith and credit of the U.S. Government (with the exception of Government National Mortgage Association (GNMA) securities). Examples of GSE's include Federal National Mortgage Association (FNMA), Federal Home Loan Mortgage Corporation (FHLMC) Federal Home Loan Bank (FHLB), Federal Farm Credit Bank (FFCB), Federal Land Bank (FLB), Federal Intermediate Credit Bank (FICB), and GNMA securities. The City's Investment Policy allows investment only in securities of GNMA, FNMA, FHLMC, FHLB and FFCB. For Fiscal Year 2019-20, the maximum face amount per issuer is $20 million and the maximum face amount per purchase is $10 million. Prime Commercial Paper - As authorized in §53601(h), a portion of the City's portfolio may be invested in commercial paper of the highest rating as provided for by a nationally recognized statistical rating organization (NRSRO) such as Moody’s, Fitch, or Standard & Poor’s (S&P). There are a number of other qualifications regarding investments in commercial paper based on the financial strength of the corporation and the size of the investment. Up to 25% of the portfolio may be invested, with no more than 10% of the outstanding paper of any single issuer. 8 of 27 64 DRAFTLocal Agency Investment Fund (LAIF) - As authorized in §16429.1 and by LAIF procedures, local government agencies are each authorized to invest a maximum of $65 million per account in this investment program administered by the California State Treasurer. The City Treasurer may not invest more than $65 million per account in LAIF. Money Market Mutual Funds - As authorized in §53601(l), local agencies are authorized to invest in shares of beneficial interest issued by diversified management companies (mutual funds) in an amount not to exceed 20% of the agency's portfolio. There are a number of other qualifications and restrictions regarding allowable investments in corporate notes and shares of beneficial interest issued by mutual funds which include (1) attaining the highest ranking or the highest letter and numerical rating provided by not less than two of the three largest nationally recognized rating services, or (2) having an investment advisor registered with the Securities and Exchange Commission with not less than five years' experience investing in the securities and obligations and with assets under management in excess of five hundred million dollars ($500,000,000). Corporate Notes - As authorized in §53601(k), local agencies may invest in corporate notes. The notes must be issued by corporations organized and operating in the United States or by depository institutions licensed by the United States or any other state and operating in the United States. The City's Investment Policy allows investment in corporate notes authorized by the Government Code with the following limitations: • Maximum 30% of the portfolio; • Maturities shall not exceed five years from date of purchase; • Eligible notes shall be regularly quoted and traded in the marketplace; • Eligible notes shall be in a rating category of "AA" or better by an NRSRO; • The maximum aggregate investment in each issuer shall not exceed $5 million (PAR value). Professionally Managed Account(s)- The City Treasurer may place up to 50% of the portfolio with a professional portfolio management/investment management firm (firm) The firm will be approved by the City Council based upon the City Treasurer's recommendation pursuant to completion of a public request for proposal (RFP). The firm shall have: • An established professional reputation for asset or investment management; • Knowledge and working familiarity with State and Federal laws governing and restricting the investment of public funds; • Substantial experience providing investment management services to local public agencies whose investment policies and portfolio size are similar to those of the City; • Professional liability (errors and omissions) insurance and fidelity bonding in such amounts as are required by the City; and 9 of 27 65 DRAFT• Registration with the Securities and Exchange Commission under the Investment Advisers Act of 1940 Before engagement by the City and except as may be specifically waived or revised, the firm shall commit to adhere to the provisions of the City's Investment Policy with the following exceptions: • The firm may be granted the discretion to purchase and sell investment securities in accordance with this Investment Policy; • The firm is not required to adhere to a buy-and-hold policy; and • The firm does not need City Manager or City Treasurer approval to make permissible investments. Local Agency Bonds and California Local Agency Obligations – As authorized in §53601(a) and §53601(e), the City may invest in California local agency obligations. §53601(a) pertains to investing in bonds issued by a local agency, or by the department, board, agency or authority of the local agency. §53601(e) pertains to investing in bonds and other defined indebtedness of any local agency, or department, board, agency or authority of the local agency within the State of California. The Agency obligations must be invested in the long-term rating category of A or better by an NRSRO. In the case of an initial public offering, including refinancings, the Treasurer may purchase directly from the Bond Underwriter. In the case of secondary issues, the Treasurer will rely on the approved Broker/Dealers. XI. INVESTMENT POOLS There are three (3) types of investment pools: • State-run pools (e.g., LAIF); • Pools that are operated by a political subdivision where allowed by law and the political subdivision is the trustee (e.g., County Pools, and Joint Powers Authorities such as the California Asset Management Program (CAMP)); and • Pools that are operated for profit by third parties (e.g. money market funds). The City's Investment Policy permits investment in pools and money market funds as authorized by State Code §16429.1, §53601(l) and §53601(p). XII. PAYMENT AND CUSTODY The City shall engage qualified third-party custodians to act in a fiduciary capacity to maintain appropriate evidence of the City's ownership of securities and other eligible investments. Such custodians shall disburse funds received from the City for a purchase, to the broker, dealer or seller only after receiving evidence that the City has legal, record ownership of the securities. 10 of 27 66 DRAFTEven though ownership is evidenced in book-entry form rather than by actual certificates, this procedure is commonly referred to as the delivery versus payment (DVP) method for the transfer of securities. XIII. INTEREST EARNING DISTRIBUTION POLICY Interest earnings are generated from pooled investments and specific investments. The following provisions apply to the calculation and distribution of interest earnings. 1. Pooled Investments - It is the general policy of the City to pool all available operating cash of the City of La Quinta, Successor Agency to the City of La Quinta Redevelopment Agency, La Quinta Financing Authority, and La Quinta Housing Authority, and to allocate interest earnings as a payment to each fund of an amount based on the month-end cash balance included in the common portfolio for the earning period. 2. Specific Investments - Specific investments purchased by a fund shall incur all earnings and expenses to that particular fund. XIV. INTERNAL CONTROLS AND INDEPENDENT AUDITOR The City Treasurer shall establish a system of internal controls to accomplish the following objectives: • Safeguard assets; • The orderly and efficient conduct of its business, including adherence to management policies; • Prevention or detection of errors and fraud; • The accuracy and completeness of accounting records; and • Timely preparation of reliable financial information. While no internal control system, however elaborate, can guarantee absolute assurance that the City's assets are safeguarded, it is the intent of the City's internal control to provide a reasonable assurance that management of the investment function meets the City's objectives. The internal controls shall address the following: • Control of collusion. Collusion is a situation where two or more employees are working in conjunction to defraud their employer. • Separation of transaction authority from accounting and record keeping. By separating the person who authorizes or performs the transaction from the people who record or otherwise account for the transaction, a separation of duties is achieved. • Custodial safekeeping. Securities purchased from any bank or dealer including appropriate collateral (as defined by State Law) shall be placed with an independent third party for custodial safekeeping. 11 of 27 67 DRAFT• Avoidance of physical delivery securities. Book entry securities are much easier to transfer and account for since actual delivery of a document never takes place. Delivered securities must be properly safeguarded against loss or destruction. The potential for fraud and loss increases with physically delivered securities. • Clear delegation of authority to subordinate staff members. Subordinate staff members must have a clear understanding of their authority and responsibilities to avoid improper actions. Clear delegation of authority also preserves the internal control structure that is contingent on the various staff positions and their respective responsibilities as outlined in the Segregation of Major Investment Responsibilities appendices. • Written confirmation of telephone transactions for investments and wire transfers. Due to the potential for error and improprieties arising from telephone transactions, all telephone transactions shall be supported by written communications or electronic confirmations and approved by the appropriate person. Written communications may be via fax or email if on letterhead and the safekeeping institution has a list of authorized signatures. Fax correspondence must be supported by evidence of verbal or written follow-up. • Development of a wire transfer agreement with the City's bank and third- party custodian. This agreement should outline the various controls, security provisions, and delineate responsibilities of each party making and receiving wire transfers. The system of internal controls developed by the City shall be reviewed annually by the independent auditor in connection with the annual audit of the City's Financial Statements. The independent auditor's letter on internal control over financial reporting and compliance as it pertains to cash and investments, if any, shall be directed to the City Manager who will direct the City Treasurer to provide a written response to the independent auditor's letter. The auditor's letter, as it pertains, to cash and investment activities and the City Treasurer's response shall be provided to the City's Financial Advisory Commission for their consideration. Following the completion of each annual audit, the independent auditor shall meet with the Financial Advisory Commission and discuss the auditing procedures performed and the review of internal controls for cash and investment activities. See Appendix C, "Segregation of Major Investment Responsibilities." XV. REPORTING STANDARDS The City Treasurer shall submit a quarterly Treasurers Report to the City Council and the Financial Advisory Commission that includes all cash and investments under the authority of the Treasurer. In addition, the City Treasurer or designee shall ensure investment transactions are reported as they occur throughout the quarter. The Treasurer's Report shall summarize cash and investment activity and changes in balances and include the following: 12 of 27 68 DRAFT• A certification by the City Treasurer; • A listing of purchases and sales/maturities of investments; • Cash and Investments categorized by authorized investments; LAIF will also be provided quarterly and show yield and maturity; • Comparison of month end actual holdings to Investment Policy limitations; • A two-year list of historical interest rates. XVI. REVIEW OF INVESTMENT PORTFOLIO The securities held by the City must be in compliance with this Policy at the time of purchase. Due to market conditions, some securities may no longer comply subsequent to the date of purchase, therefore an annual review of the portfolio will be conducted to identify any securities which may have fallen out of compliance. Any major incidences of noncompliance identified during such review will be reported to the Financial Advisory Commission for confirmation of staff recommendation regarding course of action. XVII. FINANCIAL ADVISORY COMMISSION - CITY OF LA QUINTA The Financial Advisory Commission (FAC) is composed of seven members from the public that are appointed by the City Council. The FAC’s membership, qualifications, and powers and duties are prescribed in Chapter 2.70 of the La Quinta Municipal Code and included in this policy as Appendix A. On an annual basis, in conjunction with the Political Reform Act disclosure statutes, or at any time if a change in circumstances warrants, each commissioner will provide the City Council with a disclosure statement which identifies any matters that have a bearing on the appropriateness of that member's service on the FAC. All commissioners shall report annually to the City Clerk on Form 700, Statement of Economic Interests, any activities, interests, or relationships that may be, or have the appearance of, a conflict of interest. XVIII. INVESTMENT POLICY ADOPTION The City's Investment Policy will be reviewed annually by the City's Financial Advisory Commission and the City Treasurer. The Financial Advisory Commission will forward the Investment Policy with any revisions to the City Manager and City Attorney for their review and comment. A joint meeting will be held with the Financial Advisory Commission, City Manager, City Attorney, and City Treasurer to review the Investment Policy and any comments prior to submission to the City Council for their consideration. The Investment Policy shall be adopted by resolution of the City Council annually before the end of June of each year. 13 of 27 69 DRAFTCity of La Quinta Municipal Code Chapter 2.70 FINANCIAL ADVISORY COMMISSION 2.70.010 General rules regarding the financial advisory commission. Except as set out below, see Chapter 2.06 for general provisions. 2.70.020 Number of members. The financial advisory commission ("FAC") shall initially consist of seven members appointed by, and serving at the will of, the city council. The city council may increase or decrease the number of members from time to time but in no event shall the membership exceed nine members or be less than five members. 2.70.030 Qualifications of members. A. In addition to the qualification requirements set forth in Section 2.06.040 of this code, a minimum of three of the members shall be finance professionals and shall have a verifiable background in finance and/or securities, preferably with knowledge and/or experience in markets, financial controls and accounting for securities. B. For those applying for the professional position, background information will be requested, and potential candidates must agree to a background check and verification by the city manager or designee. 2.70.040 Powers and duties. A. The principal functions of the FAC are: 1. Review at least annually the city's investment policy and recommend appropriate changes; 2. Review at least quarterly the treasury report and note compliance with the investment policy and adequacy of cash and investments for anticipated obligations; 3. Receive and consider other reports provided by the city treasurer; 4. Meet with the independent auditor after completion of the annual audit of the city's financial statements, and receive and consider the auditor's comments on auditing procedures, internal controls, and findings for cash and investment activities; 5. Review at least annually the revenue derived from the one percent (1%) transactions and use tax instituted by voters in November 2016 to ensure these funds are used to provide services, programs and capital projects in the city of La Quinta. APPENDIX A 14 of 27 70 DRAFT6. Serve as a resource for the city treasurer on matters such as proposed investments, internal controls, use of or change of financial institutions, custodians, brokers and dealers. B. The FAC will report to the city council after each meeting either in person or through correspondence at a regular city council meeting. (Ord. 556 § 1, 2017) 2.70.050 References to the Investment Advisory Board. If any other chapter(s) or section(s) in this code refers to the Investment Advisory Board, that chapter(s) or section(s) shall be deemed to refer to the Financial Advisory Commission established by the ordinance amending chapter 2.70 of this code 15 of 27 71 DRAFTCity of La Quinta Municipal Code Chapter 3.08 INVESTMENT OF MONEYS AND FUNDS 3.08.010 Investment of city moneys and deposit of securities. Pursuant to, and in accordance with, and to the extent allowed by Sections 53607 and 53608 of the California Government Code, the authority to invest and reinvest moneys of the city, to sell or exchange securities, and to deposit them and provide for their safekeeping, is delegated to the city treasurer, which, for purposes of this chapter, is defined in Section 2.12.010 of this code. (Ord. 529 § 1, 2015; Ord. 2 § 1, 1982) 3.08.020 Authorized investments. Pursuant to the delegation of authority in Section 3.08.010, the city treasurer is authorized to purchase, at their original sale or after they have been issued, securities which are permissible investments under the city council adopted city investment policy and any provision of state law relating to the investing of general city funds, including, but not limited to, Sections 53601 and 53635 of the California Government Code, as said sections now read or may hereafter be amended, from moneys in the city treasurer's custody which are not required for the immediate necessities of the city and as he or she may deem wise and expedient, and to sell or exchange for other eligible securities and reinvest the proceeds of the securities so purchased. (Ord. 529 § 1, 2015; Ord. 2 § 1, 1982) 3.08.030 Sales of Securities. From time to time the city treasurer shall sell the securities in which city moneys have been invested pursuant to this chapter, so that the proceeds may, as appropriate, be applied to the purchase for which the original purchase money may have been designated or placed in the city treasury. (Ord.2 § 1 1982) 3.08.040 City bonds. Bonds issued by the city and purchased pursuant to this chapter may be cancelled either in satisfaction of sinking fund obligations or otherwise if proper and appropriate; provided, however, that the bonds may be held uncancelled and while so held may be resold. (Ord. 2 § 1 (part), 1982) 3.08.050 Reports. The city treasurer shall make a quarterly report to the city council of all investments made pursuant to the authority delegated in this chapter and as permitted by Section 53646(b)(1) of the Government Code. (Ord. 529 § 1, 2015; Ord. 2 § 1, 1982) 3.08.060 Deposits of securities. APPENDIX B 16 of 27 72 DRAFTPursuant to the delegation of authority in Section 3.08.010, the city treasurer is authorized to deposit for safekeeping, the securities in which city moneys have been invested pursuant to this chapter, in any institution or depository authorized by the city council adopted investment policy and terms of any state law, including, but not limited to, Section 53608 of the Government Code, as it now reads or may hereafter be amended. In accordance with said section, the city treasurer shall take from the institution or depository a receipt for the securities so deposited and shall not be responsible for the securities delivered to and receipted for by the institution or depository until they are withdrawn therefrom by the city treasurer. (Ord. 529 § 1, 2015; Ord. 2 § 1, 1982) 3.08.070 Trust fund administration. Any departmental trust fund established by the city council pursuant to Section 36523 of the Government Code shall be administered by the city treasurer in accordance with Section 36523 and 36524 of the Government Code and any other applicable provisions of law. (Ord. 2 § 1, 1982) 17 of 27 73 DRAFT Function Responsible Parties Develop and recommend modifications to the City's formal Investment Policy City Treasurer, Financial Services Analyst, and Financial Advisory Commission Review City's Investment Policy and recommend City Council action City Manager and City Attorney Adopt formal Investment Policy City Council Implement formal Investment Policy City Treasurer Review financial institutions and select investments City Treasurer or Financial Servies Analyst Acknowledge investment selections City Manager or his/her designee Execute investment transactions City Manager, City Treasurer, or Financial Services Analyst Confirm wires Senior Accountant or Accountant Record investment transactions in City's accounting records Senior Accountant or Accountant Investment cerification- match broker confirmation to City's investment records City Treasurer or Financial Servies Analyst Reconcile investment records to accounting records and bank statements Financial Services Analyst Reconcile investment records to treasurer's report of investments Senior Accountant or Financial Services Analyst Security of investments at City Senior Accountant or Management Assistant Security of investments outside of City Third Party Custodian Review internal control procedures External Auditor SEGREGATION OF MAJOR INVESTMENT RESPONSIBILITIES APPENDIX C 18 of 27 74 DRAFT Banking Services (1)-Wells Fargo Bank, Government Services, Los Angeles, CA (Banking Services) Custodian Services -The Bank of New York Mellon/Pershing LLC -Stifel Deferred Compensation -International City/County Management Association (ICCMA) Retirement Corporation Broker/Dealer Services(1)-Bank of America Securites/Merrill Lynch -Morgan Stanley -CitiGroup -Stifel, Nicholaus, & Company, Inc.(2) Government/Joint Powers Authority Pools -State of California Local Agency Investment Fund (LAIF) -California Asset Management Program (CAMP) Bond Trustee -US Bank (3) Other Post Employment Benefits (OPEB) Trust -California Employers' Retirement Benefits Trust (CERBT)/CalPERS Pension Trust -Public Agency Retirement Services (PARS) Listing of Approved Financial Institutions (3) US Bank is the fiscal agent for all of the following bonds: 1998 RDA Project Area 1&2; 2001 RDA Project Area 1; 2002 RDA Project Area 1; 2003 RDA Project Area 1; 2004 Local Agency Revenue; 2013 Successor Agency; and 2016 Successor Agency to the La Quinta RDA Assessment Districts. (2) Stifel acquired the City’s former broker, First Empire Securities, in 2019 and the name change was approved by City Council in March 2019 (1) An RFI for broker/dealer services and an RFP for banking have been issued by the City in 2019. This list may change during the 2019/20 fiscal year, subject to FAC review and City Council approval APPENDIX D 19 of 27 75 DRAFTInvestment Management Process and Risk Except as provided for in Section 27000.3, Government Code Section 53600.3 declares as a trustee each person, treasurer, or governing body authorized to make investment decisions on behalf of local agencies. Trustees are subject to the prudent investor standard. These persons shall act with care, skill, prudence, and diligence under the circumstances then prevailing when investing, reinvesting, purchasing, acquiring, exchanging, selling, and managing funds. Section 53600.5 further stipulates that the primary objective of any person investing public funds is to safeguard principal; secondly, to meet liquidity needs of the depositor; and lastly, to achieve a return or yield on invested funds (Government Code Section 27000.5 specifies the same objectives for county treasurers and board of supervisors). Risk is inherent throughout the investment process. There is investment risk associated with any investment activity and opportunity risk related to inactivity. Market risk is derived from exposure to overall changes in the general level of interest rates while credit risk is the risk of loss due to the failure of the insurer of a security. The market value of a security varies inversely with the level of interest rates. If an investor is required to sell an investment with a five percent yield in a comparable seven percent rate environment, that security will be sold at a loss. The magnitude of that loss will depend on the amount of time until maturity. Purchasing certain allowable securities with a maturity of greater than five years requires approval of the governing board (see Government Code Section 53601). Part of that approval process involves assessing and disclosing the risk and possible volatility of longer-term investments Another element of risk is liquidity risk. Instruments with call features or special structures, or those issued by little known companies, are examples of "story bonds" and are often thinly traded. Their uniqueness often makes finding prospective buyers in a secondary market more difficult and, consequently, the securities' marketability and price are discounted. However, under certain market conditions, gains are also possible with these types of securities. Default risk represents the possibility that the borrower may be unable to repay the obligation as scheduled. Generally, securities issued by the federal government and its agencies are considered the most secure, while securities issued by private corporations or negotiable certificates of deposit issued by commercial banks have a greater degree of risk. Securities with additional credit enhancements, such as bankers acceptances, collateralized repurchase agreements and collateralized bank deposits are somewhere between the two on the risk spectrum. The vast majority of portfolios are managed within a buy and hold policy. Investments are purchased with the intent and capacity to hold that security until maturity. At times, market forces or operations may dictate swapping one security APPENDIX E 20 of 27 76 DRAFTfor another or selling a security before maturity. Continuous analysis and fine tuning of the investment portfolio are considered prudent investment management. The Government Code contains specific provisions regarding the types of investments and practices permitted after considering the broad requirement of preserving principal and maintaining liquidity before seeking yield. These provisions are intended to promote the use of reliable, diverse, and safe investment instruments to better ensure a prudently managed portfolio worthy of public trust. Source: Chapter II. Fund Management from the Local Agency Investment Guidelines Issued by California Debt and Investment Advisory Commission 21 of 27 77 DRAFTGLOSSARY (Adopted from the Municipal Treasurers Association) The purpose of this glossary is to provide the reader of the City of La Quinta investment policies with a better understanding of financial terms used in municipal investing. AGENCIES: Federal agency securities and/or Government-sponsored enterprises. ASKED: The price at which securities are offered. BANKERS' ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer. BID: The price offered by a buyer of securities. (When you are selling securities, you ask for a bid.) See Offer. BROKER: A broker brings buyers and sellers together for a commission. CERTIFICATE OF DEPOSIT (CD): A time deposit with a specific maturity evidenced by a certificate. Large- denomination CD's are typically negotiable. COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies. COMMERCIAL PAPER: Short-term unsecured promissory notes issued by a corporation to raise working capital. These negotiable instruments are purchased at a discount to par value or at par value with interest bearing. Commercial paper is issued by corporations such as General Motors Acceptance Corporation, IBM, Bank America, etc. COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual report for the City of La Quinta. It includes five combined statements for each individual fund and account group prepared in conformity with GAAP. It also includes supporting schedules necessary to demonstrate compliance with finance-related legal and contractual provisions, extensive introductory material, and a detailed Statistical Section. CONDUIT FINANCING: A form of Financing in which a government or a government agency lends its name to a bond issue, although it is acting only as a conduit between a specific project and bond holders. The bond holders can look only to the revenues from the project being financed for repayment and not to the government or agency whose name appears on the bond. COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment date. DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account. DEBENTURE: A bond secured only by the general credit of the issuer. APPENDIX F 22 of 27 78 DRAFTDELIVERY VERSUS PAYMENT: There are two methods of delivery of securities: delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. DERIVATIVES: (1) Financial instruments whose return profile is linked to, or derived from, the movement of one or more underlying index or security, and may include a leveraging factor, or (2) financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates, foreign exchange rates, equities or commodities). DISCOUNT: The difference between the cost price of a security and its maturity when quoted at lower than face value. A security selling below original offering price shortly after sale also is considered to be at a discount. DISCOUNT SECURITIES: Non-interest-bearing money market instruments that are issued at discount and redeemed at maturity for full face value DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns. FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L's, small business firms, students, farmers, farm cooperatives, and exporters. FNMAs (Federal National Mortgage Association) - Like GNMA was chartered under the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD). It is the largest single provider of residential mortgage funds in the United States. Fannie Mae, as the corporation is called, is a private stockholder-owned corporation. The corporation's purchases include a variety of adjustable mortgages and second loans, in addition to fixed-rate mortgages. FNMA's securities are also highly liquid and are widely accepted. FNMA assumes and guarantees that all security holders will receive timely payment of principal and interest. FHLBs (Federal Home Loan Bank Notes and Bonds) - Issued by the Federal Home Loan Bank System to help finance the housing industry. The notes and bonds provide liquidity and home mortgage credit to savings and loan associations, mutual savings banks, cooperative banks, insurance companies, and mortgage-lending institutions. They are issued irregularly for various maturities. The minimum denomination is $5,000. The notes are issued with maturities of less than one year and interest is paid at maturity. FLBs (Federal Land Bank Bonds) - Long-term mortgage credit provided to farmers by Federal Land Banks. These bonds are issued at irregular times for various maturities ranging from a few months to ten years. The minimum denomination is $1,000. They carry semi- annual coupons. Interest is calculated on a 360-day, 30-day month basis. FFCBs (Federal Farm Credit Bank) – Debt instruments used to finance the short and intermediate term needs of farmers and the national agricultural industry. They are 23 of 27 79 DRAFTissued monthly with three- and six-month maturities. The FFCB issues larger issues (one to ten year) on a periodic basis. These issues are highly liquid. FICBs (Federal Intermediate Credit Bank Debentures) - Loans to lending institutions used to finance the short-term and intermediate needs of farmers, such as seasonal production. They are usually issued monthly in minimum denominations of $3,000 with a nine-month maturity. Interest is payable at maturity and is calculated on a 360-day, 30-day month basis. FHLMCs (Federal Home Loan Mortgage Corporation) - a government sponsored entity established in 1970 to provide a secondary market for conventional home mortgages. Mortgages are purchased solely from the Federal Home Loan Bank System member lending institutions whose deposits are insured by agencies of the United States Government. They are issued for various maturities and in minimum denominations of $10,000. Principal and interest is paid monthly. Other federal agency issues are Small Business Administration notes (SBA's), Government National Mortgage Association notes (GNMA's), and Tennessee Valley Authority notes (TVA's). FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits, currently up to $250,000 per deposit per entity. FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open- market operations. FEDERAL HOME LOAN BANKS (FHLB): Government sponsored wholesale banks (currently 12 regional banks) which lend funds and provide correspondent banking services to member commercial banks, thrift institutions, credit unions and insurance companies. The mission of the FHLBs is to liquefy the housing related assets of its members who must purchase stock in their district Bank. FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market as a means of influencing the volume of bank credit and money. FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of a seven-member Board of Governors in Washington, D.C., 12 regional banks and about 3,000 commercial banks that are members of the system. GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae): Securities influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by the FHA, VA or FMHM mortgages. The term "pass- throughs" is often used to describe Ginnie Maes. 24 of 27 80 DRAFTLAIF (Local Agency Investment Fund): - A special fund in the State Treasury which local agencies may use to deposit funds for investment. There is no minimum investment period, the minimum transaction is $5,000 and the City follows the state guidance for maximum total balance. The City is restricted to a maximum of ten transactions per month. It offers high liquidity because deposits can be converted to cash in 24 hours and no interest is lost. All interest is distributed to those agencies participating on a proportionate share basis determined by the amounts deposited and the length of time they are deposited. Interest is paid quarterly. The State retains an amount for reasonable costs of making the investments, not to exceed one-half of one percent of the earnings. LIQUIDITY: A liquid asset is one that can be converted easily and rapidly into cash without a substantial loss of value. In the money market, a security is said to be liquid if the spread between bid and asked prices is narrow and reasonable size can be done at those quotes. LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold. MASTER REPURCHASE AGREEMENT: A written contract covering all future transactions between the parties to repurchase--reverse repurchase agreements that establish each party's rights in the transactions. A master agreement will often specify, among other things, the right of the buyer- lender to liquidate the underlying securities in the event of default by the seller-borrower. MATURITY: The date upon which the principal or stated value of an investment becomes due and payable. MONEY MARKET: The market in which short-term debt instruments (bills, commercial paper, bankers' acceptances, etc.) are issued and traded. NRSRO (NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION): A credit rating agency recognized by the Securities and Exchange Commission (SEC). Examples include Fitch Ratings, Inc., Moody’s Investor’s Services, Inc., and S&P Global Ratings, among others. OFFER: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid. OPEN MARKET OPERATIONS: Purchases and sales of government and certain other securities in the open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money and credit in the economy. Purchases inject reserves into the bank system and stimulate growth of money and credit; sales have the opposite effect. Open market operations are the Federal Reserve's most important and most flexible monetary policy tool. PORTFOLIO: Collection of all cash and securities under the direction of the City Treasurer, including Bond Proceeds. 25 of 27 81 DRAFTPRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC) registered securities broker- dealers, banks and a few unregulated firms. QUALIFIED PUBLIC DEPOSITORIES: A financial institution which does not claim exemption from the payment of any sales or compensating use or ad valorem taxes under the laws of this state, which has segregated for the benefit of the commission eligible collateral having a value of not less than its maximum liability and which has been approved by the Public Deposit Protection Commission to hold public deposits. RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond the current income return. REPURCHASE AGREEMENT (RP OR REPO) and REVERSE REPURCHASE AGREEMENTS (RRP or RevRepo): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security "buyer" in effect lends the "seller" money for the period of the agreement, and the terms of the agreement are structured to compensate him for this. Dealers use RP extensively to finance their positions. Exception: When the Fed is said to be doing RP, it is lending money that is increasing bank reserves. SAFEKEEPING: A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank's vaults for protection. SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following the initial distribution. SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors in securities transactions by administering securities legislation. SEC RULE 15C3-1: See Uniform Net Capital Rule. SSAE 16: The Statement on Standards for Attestation Engagements No. 16 (SSAE 16) is a set of auditing standards and guidance on using the standards, published by the Auditing Standards Board (ASB) of the American Institute of Certified Public Accountants (AICPA) for redefining and updating how service companies report on compliance controls. The Service Organizational Control report (SOC-1) contains internal controls over financial reporting and is used by auditors and office controllers. STRUCTURED NOTES: Notes issued by Government Sponsored Enterprises (FHLB, FNMA, SLMA, etc.) and Corporations which have imbedded options (e.g., call features, step-up coupons, floating rate coupons, and derivative-based returns) into their debt structure. Their market performance is impacted by the fluctuation of interest rates, the volatility of the imbedded options and shifts in the shape of the yield curve. SURPLUS FUNDS: Section 53601 of the California Government Code defines surplus funds as any money not required for immediate necessities of the local agency. The City has defined immediate necessities to be payment due within one week. 26 of 27 82 DRAFTTREASURY BILLS: A non-interest- bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months or one year. TREASURY BONDS: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years. TREASURY NOTES: Medium-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities from two to 10 years. UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member firms as well as nonmember broker-dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1; also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm, including margin loans and commitments to purchase securities, one reason new public issues are spread among members of underwriting syndicates. Liquid capital includes cash and assets easily converted into cash. UNIFORM PRUDENT INVESTOR ACT: The State of California has adopted this Act. The Act contains the following sections: duty of care, diversification, review of assets, costs, compliance determinations, delegation of investments, terms of prudent investor rule, and application. YIELD: The rate of annual return on an investment, expressed as a percentage. (a) INCOME YIELD is obtained by dividing the current dollar income by the current market price for the security. (b) NET YIELD or YIELD TO MATURITY is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond. 27 of 27 83 84 2019/20 INVESTMENT POLICY ATTACHMENT 1 85 1 of 24 Fiscal year 2019/2020 Table of Contents Section Topic Executive Summary Pag e 2 I General Purpose 3 II Investment Policy 3 III Scope 3 IV Objectives 3 V Maximum Maturities 5 VI Prudence 5 VII Authority 5 VIII Ethics and Conflicts of Interest 6 IX Authorized Financial Dealers and Institutions 6 X Permissible Deposits and Investments 7 XI Investment Pools 9 XII Payment and Custody 10 XIII Interest Earning Distribution Policy 10 XIV Internal Controls and Independent Auditors 10 XV Reporting Standards 12 XVI Financial Assets and Investment Activity Not subject to this Policy 12 XVII Investment of Bond Proceeds 12 XVIII Financial Advisory Commission – City of La Quinta 12 XIX Investment Policy Adoption 13 Appendice s Topic Pag e A City of La Quinta Municipal Code Ordinance 2.70 – Financial Advisory Commission 14 B City of La Quinta Municipal Code Ordinance 3.08 – Investment of Moneys and Funds 15 C Segregation of Major Investment Responsibilities 17 D Listing of Approved Financial Institutions 18 E Investment Management Process and Risk 19 F Glossary 20 Commented [RH1]: Any necessary page number changes on the table of contents, as well as throughout the document, will be made after any final redlines are accepted. 86 2 of 24 CITY OF LA QUINTA Investment Policy Fiscal Year 2018/20192019/2020 Executive Summary The general purpose of this Investment Policy is to provide the rules and standards that must be followed in administering the City of La Quinta's (the “City”) deposits and investments. The City's Investment Policy conforms to all state and local statutes and applies to all deposits and investments of the City, with the exception of bond proceeds and those noted in section XVI III herein. It is the City's policy to deposit and invest public funds in a manner that shall provide safety of principal, liquidity to meet all of the City’s obligations and requirements that may be reasonably anticipated, and a risk-based market rate of return. Authority to manage the City's investment portfolio is derived from the City Municipal Code. Management responsibility for the investment program is delegated to the City Treasurer, who shall establish and implement written procedures for the operation of the City's investment program consistent with the Investment Policy. The City Manager, City Treasurer and city employees involved in the City's banking and investment process shall conduct the City's business in an ethical manner and refrain from any activity or relationship that may be, or have the appearance of, a conflict of interest. The Investment Policy shall be adopted by resolution of the La Quinta City Council on an annual basis, before the end of each fiscal year (June). 87 3 of 24 City of La Quinta Statement of Investment Policy July 1, 2018 through June 30, 2019 Adopted by the City Council on May 15, 2018 July 1, 2019 through June 30, 2020 Adopted by the City Council on XXXX XX, XXXX I GENERAL PURPOSE The general purpose of this document is to provide the rules and standards that must be followed in administering the City of La Quinta's deposits and investments. II INVESTMENT POLICY It is the policy of the City of La Quinta to deposit and invest public funds in a manner that shall conform to all State and local statutes governing the investment of public funds and set forth the permissible deposits and investments of the City's funds and the limitations thereon. III SCOPE Except as further detailed in Sections XVI and XVII, this Investment Policy applies to all deposits and investments of the City of La Quinta, the Successor Agency to the City of La Quinta Redevelopment Agency, and the City of La Quinta Financing and Housing Authorities (hereafter referred to in this document as the "City" or the “Agency”). These funds are reported in the City's Comprehensive Annual Financial Report (CAFR) and include all funds within the following fund types:  General  Special Revenue  Capital Projects  Debt Service  Enterprise  Internal Service  Trust and Agency  Any new fund types and fund(s) that may be created. Financial assets and investment activity not subject to this policy The City's Investment Policy does not apply to the following:  Cash and Investments raised from Conduit Debt Financing;  Funds held in trust in the City's name in pension or other post- retirement benefit programs;  Cash and Investments held in lieu of retention by banks or other financial institutions for construction projects; and  Short or long term loans made to other entities by the City or Agency,  Short term (Due to/from) or long term (Advances from/to) obligations made either between the City and its funds or between the City and Formatted: Indent: Left: 0.63", No bullets ornumbering Commented [RH2]: Moved from end of policy 88 4 of 24 Agency.  Investment of bond proceeds The City's Investment Policy shall not govern bond proceeds and bond reserve fund investments. California Code Section 5922 (d) governs the investment of bond proceeds and reserve funds in accordance with bond indenture provisions. Arbitrage Requirement - The US Tax Reform Act of 1986 requires the City to perform arbitrage calculations as required and return excess earnings to the US Treasury from investments of proceeds of bond issues sold after the effective date of this law. These arbitrage calculations may be contracted with an outside source to provide the necessary technical assistance to comply with this regulation. Investable funds subject to the 1986 Tax Reform Act will be kept segregated from other funds and records will be kept in a fashion to facilitate the calculations. The City's investment position relative to the new arbitrage restrictions is to continue pursuing the maximum yield on applicable investments while ensuring the safety of capital and liquidity. It is the City's position to continue maximization of yield and to rebate excess earnings, if necessary.  IV OBJECTIVES The objectives of the City's investment activity, in order of priority and importance, are: 1. A. Safety of Principal Safety of principal is the foremost objective of the City's investment program. Investments shall be undertaken in a manner that seeks to ensure the preservation of principal of the overall portfolio in accordance with the permissible deposits and investments. The City shall endeavor to preserve its investment principal by making only permissible deposits and investments, undertaken in a controlled manner to minimize the possibility of loss or misappropriation through malfeasance or otherwise. Investments not backed by the full faith and credit of the United States Government shall be diversified by allocating assets between different types of permissible investments, maturities, and issuers as a means to mitigate credit risk and interest rate risk. a. 1. Credit Risk is the risk of loss from the failure of the security issuer or backer. Credit risk may be mitigated by:  Limiting investments to investment grade securities as permitted in Section X; and  Diversifying the issuers of the securities in the investment portfolio so that potential losses due to issuer failure or individual securities downgrades may be minimized. b. 2. Interest Rate Risk is the risk that market values of securities in the portfolio will decline due to changes in general interest rates. Interest rate risk may be mitigated by: Formatted: Bulleted + Level: 1 + Aligned at: 1.08" +Indent at: 1.33" Formatted: Font: Verdana Formatted: Normal, No bullets or numbering Formatted: Indent: Left: 0.63", No bullets ornumbering Formatted: Normal, Indent: Left: 0.83", No bullets ornumbering Formatted: Font: Verdana Formatted: Normal, Indent: Left: 0.83", No bullets or numbering Formatted: Font: Verdana 89 5 of 24  Structuring the investment portfolio so that securities mature to meet cash requirements for ongoing operations, thereby avoiding the need to sell securities on the open market prior to maturity; and  Investing operating funds primarily in shorter-term securities. c.b. Liquidity Risk is the risk that a security cannot be liquidated because of its unique features or structure or because it is thinly traded. Liquidity risk is not a material issue for the City's portfolio because of the permissible deposits and investments (see Section X). A discussion of the City's investment process and risk is presented in Appendix E. 2. B. Provide Liquidity The investment portfolio shall remain sufficiently liquid to meet all of the City's cash needs that may be reasonably anticipated. This is accomplished by structuring the portfolio so that sufficient liquid funds are available to meet anticipated demands. Furthermore, since all possible cash needs cannot be anticipated the portfolio should be diversified and consist of securities with active secondary or resale markets. The City's policy is to generally hold securities and other investments to maturity. Accordingly, securities may be sold prior to maturity under certain circumstances as follow:  A security with declining credit quality can be sold early to minimize loss of principal.  Unanticipated liquidity needs of the portfolio require that one or more securities be sold.  When a sale/repurchase is fiscally advantageous based on market conditions and fits the needs of the portfolio 3. C. Yield a Risk-Based Market Rate of Return The City's investment portfolio shall be structured with the objective of yielding a risk- based market rate of return throughout budgetary and economic cycles. Return on investment is less important than the safety and liquidity objectives described above. The City's Investment Policy does not specify a single benchmark as a goal or target yield for a rate of return on its investment portfolio. The portfolio's rates of return will be influenced by several factors, including actions by the Federal Reserve Board, the marketplace, and overall economic perceptions and conditions. Performance Standards: As a basis for comparison only, the Treasurer's quarterly reports will display the rates of return on the three-month Bill, six- month Bill, and one and two-year U.S. Treasury Note, comparable-period rates for commercial paper, and the yield for the State Treasurer's Local Agency Investment Fund (LAIF). The Treasurer may use these or any other published rates of return that the Treasurer deems appropriate for comparison to the return on the City's investment portfolio. The investment portfolio shall be designed with the objective of obtaining a market rate of return throughout budgetary and economic cycles, Formatted: Indent: Left: 0.63", No bullets ornumbering Formatted: Indent: Left: 0.63", No bullets or numbering Formatted: Font: Bold 90 6 of 24 commensurate with the investment risk constraints and the cash flow needs. V MAXIMUM MATURITIES It is the City's policy to generally hold securities and other investments until maturity. This buy- and-hold policy shall not prevent the sale of a security as listed in section IV.3B The general buy-and-hold strategy requires that the City's investment portfolio be structured so that sufficient liquid funds are available from maturing investments and other sources to meet all reasonably anticipated cash needs. To meet anticipated cash needs, it is essential that the Treasurer have reliable, diligently prepared cash flow projections. The City shall follow Title 5 of the California Government Code §53601 (the “State Code”) regarding maximum maturities, in that “no investment shall be made in any security…that at the time of the investment has a term remaining to maturity in excess of five years”. VI PRUDENCE and FIDUCIARY DUTY The City shall follow the State Code §53600.3 regarding fiduciary duty and the Prudent Investment Investor Standard as follows: Except as provided in subdivision (a) of Section §27000.3, all governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard. When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency. Within the limitations of this section and considering individual investments as part of an overall strategy, investments may be acquired as authorized by law. VII AUTHORITY Authority to manage the City's investment portfolio is derived from section Chapter 3.08 of the City's Municipal Code. Management responsibility for the investment program is delegated to the City Treasurer for a period of one year pursuant to the City Council's annual adoption of the Investment Policy. The City Treasurer shall establish written procedures for the operation of the investment program consistent with the Investment Policy. Procedures should include reference to safekeeping, wire transfer agreements, banking service contracts, and collateral/depository agreements. Such procedures shall include explicit delegation of authority to persons responsible for investment transactions. No person may engage in an investment transaction except as provided under the terms of this Investment Policy and the procedures established by the City Treasurer. The City Treasurer shall be responsible for all transactions undertaken and shall establish a system of controls to regulate the activities of subordinate 91 7 of 24 officials. VIII ETHICS AND CONFLICTS OF INTEREST The City Manager, City Treasurer and city employees involved in the City's banking and investment process shall conduct the City's business in an ethical manner and refrain from any activity or relationship that may be, or have the appearance of, a conflict of interest. Any questionable activity or relationship shall be reported immediately and inThe City will maintain compliance with the procedures set forth in Section 1.40 - the Conflicts of Interest and Acceptance of Gifts and other Gratuities section of the City of La Quinta Personnel Manual and the City’s Municipal Code Chapter 2.60 Conflicts of Interest. Any questionable activity or relationship shall be reported immediately; Rreporting must be made in accordance with the personnel policies of the City and, until resolved, the officer or employee shall refrain from participating in the City's business related to the matter. The City Manager, City Treasurer, and City employees may conduct personal business with banks, brokers, and other financial institutions that are authorized to conduct business with the City provided that the terms of the activity to the accountholder with the City are the same as those that are available to the public in general, or to all employees as a result of contract negotiations. IX AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS The City Treasurer maintains a listing of financial institutions which are approved for direct investment purposes, as well as. In addition, a list will also be maintained of approved broker/dealers. selected by credit worthiness. 1. Broker/Dealers who desire to become bidders for direct investment transactions must supply the City with the following:  Current audited financial statements;  Proof of Financial Industry Regulatory Authority (FINRA) Certification;  Trading resolution;Proof of State of California registration;  Resume of Financial broker; and  Completion of the City of La Quinta Broker/Dealer questionnaire, which contains a certification of having read the City's Investment Policy. The City Treasurer shall evaluate the documentation submitted by the broker/dealer and independently verify existing reports on file for any firm and individual conducting investment related business. The City Treasurer will also contact the following agencies during the verification process:  Financial Industry Regulatory Authority (FINRA) Public Disclosure Report File (1-800- 289-9999).  State of California Department of Corporations (1-916-445-3062). A professional investment manager or management firm, if engaged by the City pursuant to Section X of this policy, may utilize their own list of approved Formatted: Left, Indent: Hanging: 0.01", Right: 0.67",Line spacing: Multiple 1.07 li 92 8 of 24 broker/dealers on the condition that any such list is provided to the City upon request. All Broker/Dealers and financial institutions that provide investment services will be subject to City Council approval. Each securities dealer shall provide monthly and quarterly reports filed pursuant to U.S. Treasury Department regulationsAn annual review of the financial condition and registrations of approved broker/dealers will be conducted by the City Treasurer or designee. Current audited financial statements and/or SSAE 16 internal control (SOC-1) reports will be maintained on file for each financial institution and broker/dealer with which the City conducts business. Each mutual fund shall provide a prospectus and statement of additional information. 2. Financial Institutions will be required to meet the following criteria in order to receive City funds for deposit or investment (see Appendix D, "Listing of Approved Financial Institutions"):  Insurance - Public Funds shall be deposited only in financial institutions having accounts insured by the Federal Deposit Insurance Corporation (FDIC).  Collateral- The amount of the City's deposits or investments not insured by the FDIC shall be collateralized by securities with market values of 110%, or by mortgages with market values 150%, of the amount of invested funds plus unpaid interest earnings.  Disclosure - Each financial institution maintaining invested funds in excess of the FDIC insured amount shall furnish the City a copy of the most recent Call Report. The City shall not invest in excess of the FDIC insured amount in banking institutions which do not disclose to the city a current listing of securities pledged for collateralization in public monies. X PERMISSIBLE DEPOSITS AND INVESTMENTS It is the City’s policy to follow the applicableTitle 5 of the California State Government Code in regard to allowable securities, and to be sufficiently diversified with regard to security type and issuer. Permissible deposits and investments, as allowed by Chapter 4, Part 1, Division 2, Title 5 (hereinafter cited by §), include, but are not limited to, the following: Checking. Savings. and Sweep Accounts - The City will only maintain checking and savings, accounts with state or national banks, savings associations, federal associations, and/or credit unions in accordance with §53635.2.  Collateralization: The amount of the City's deposits or investments not insured by the FDIC shall be collateralized by securities in accordance with §53652. In addition, tThe Treasurer may invest in an interest-bearing active deposit account as approved in §53632. The deposit account must be collateralized with securities that are in accordance with §53632.5(c). In Formatted: List Paragraph, Indent: Left: 1.13",Hanging: 0", Bulleted + Level: 2 + Aligned at: 1.08" + Indent at: 1.33", Tab stops: 1.38", Left 93 9 of 24 addition, the market value of the collateralized securities must be maintained in accordance with §53652(a), and be held by a custodian in accordance with the requirements of §53656. The proposition proportion of the City's share of the deposit account shall be determined in accordance with §53658. Certificates of Deposit (Negotiable and Non-negotiable) -– As authorized in §53601(i), Tthe City may invest in Non- Negotiable and Negotiable Certificates of Deposits (CD) up to 30% of the overall portfolio §53601(i). In no instance shall a CD or combined CD’s with a single issuer exceed the FDIC or NCUSIF insurance limit of $250,000. U.S. Treasury Bills. Notes. and Bonds and Government National Mortgage Associations (GNMA) securities -– As authorized in §53601(b), Tthe City may invest in U.S. Treasury bills, notes, and bonds and GNMA securities directly issued and backed by the full faith and credit of the U.S. Government. The City's Investment Policy provides for investments in U.S. Treasury issues and GNMA's of 100% of the portfolio §53601(b). U.S. Government Agency Securities and Federal Government Securities -– As authorized in §53601(f), Tthe City may invest in securities issued by U.S. Government instrumentalities and agencies (commonly referred to as government sponsored enterprises or GSE's) §53601(f). These securities are notmay not be backed by the full faith and credit of the U.S. Government (with the exception of Government National Mortgage Association (GNMA) securities). Publicly ownedExamples of GSE's include Federal National Mortgage Association (FNMA), Federal Home Loan Mortgage Corporation (FHLMC) and Student Loan Marketing Association (SLMA). Non- publicly owned GSE's include the Federal Home Loan Bank (FHLB), Federal Farm Credit Bank (FFCB), Federal Land Bank (FLB), and Federal Intermediate Credit Bank (FICB), and GNMA securities. The City's Investment Policy allows investment only in securities of GNMA, FNMA, FHLMC, FHLB and FFCB. For Fiscal Year 2018-192019-20, the maximum face amount per issuer is $20 million and the maximum face amount per purchase is $10 million. Prime Commercial Paper - As authorized in §53601(h), a portion of the City's portfolio may be invested in commercial paper of the highest rating as provided for by a nationally recognized statistical rating organization (NRSRO) such as; i.e. Moody’s, Fitch, or S&PStandard & Poor’s (S&P).) There are a number of other qualifications regarding investments in commercial paper based on the financial strength of the corporation and the size of the investment. Up to 25% of the portfolio may be invested, with no more than 10% of the outstanding paper of any single issuer. Per state code, "Eligible commercial paper shall have a maximum maturity of 270 days or less. Local agencies, other than counties or a city and county, may invest no more than 25 percent of their moneys in eligible commercial paper. Local agencies, other than counties or city and county, may purchase no more than 10 percent of the outstanding commercial paper of any single issuer”. Formatted: Font: Not Bold 94 10 of 24 Local Agency Investment Fund (LAIF) - As authorized in §16429.1 and by LAIF procedures, local government agencies are each authorized to invest a maximum of $65 million per account in this investment program administered by the California State Treasurer. The City Treasurer may not invest more than $65 million per account in LAIF. Money Market Mutual Funds - As authorized in §53601(l), local agencies are authorized to invest in shares of beneficial interest issued by diversified management companies (mutual funds) in an amount not to exceed 20% of the agency's portfolio. There are a number of other qualifications and restrictions regarding allowable investments in corporate notes and shares of beneficial interest issued by mutual funds which include (1) attaining the highest ranking or the highest letter and numerical rating provided by not less than two of the three largest nationally recognized rating services, or (2) having an investment advisor registered with the Securities and Exchange Commission with not less than five years' experience investing in the securities and obligations and with assets under management in excess of five hundred million dollars ($500,000,000). Corporate Notes - As authorized in §53601(k), local agencies may invest in corporate notes. The notes must be issued by corporations organized and operating in the United States or by depository institutions licensed by the United States or any other state and operating in the United States. The City's Investment Policy allows investment in corporate notes authorized by the Government Code with the following limitations:  Maximum 30% of the portfolio;  Maturities shall not exceed five years from date of purchase;  Eligible notes shall be regularly quoted and traded in the marketplace;  Eligible notes shall be rated in a rating category of "AA" or better by an NRSRO; and  The maximum aggregate investment in each issuer shall not exceed $5 million (PAR value). Professionally Managed Account(s)- The City Treasurer may place up to 50% of the portfolio with a professional portfolio management/investment management firm (firm) The firm will be approved by the City Council based upon the City Treasurer's recommendation pursuant to completion of a public request for proposal (RFP). The firm shall have:  An established professional reputation for asset or investment management;  Knowledge and working familiarity with State and Federal laws governing and restricting the investment of public funds;  Substantial experience providing investment management services to local public agencies whose investment policies and portfolio size are similar to those of the City;  Professional liability (errors and omissions) insurance and fidelity bonding in such amounts as are required by the City; and  Registration with the Securities and Exchange Commission under the 95 11 of 24 Investment Advisers Act of 1940 Before engagement by the City and except as may be specifically waived or revised, the firm shall commit to adhere to the provisions of the City's Investment Policy with the following exceptions:  The firm may be granted the discretion to purchase and sell investment securities in accordance with this Investment Policy;  The firm is not required to adhere to a buy-and-hold policy; and  The firm does not need City Manager or City Treasurer approval to make permissible investments. Local Agency Bonds and California Local Agency Obligations -– As authorized in §53601(a) and §53601(e), Tthe City may invest in California local agency obligations. pursuant to §53601(a) and §53601(e). §53601(a) pertains to investing in bonds issued by a local agency, or by the department, board, agency or authority of the local agency. §53601(e) pertains to investing in bonds and other defined indebtedness of any local agency, or department, board, agency or authority of the local agency within the State of California. The Agency obligations must be invested in the long-term rating category of A or better by S&P, Moody's or Fitchan NRSRO. In the case of an initial public offering, including refinancings, the Treasurer may purchase directly from the Bond Underwriter. In the case of secondary issues, the Treasurer will rely on the approved Broker/Dealers. XI INVESTMENT POOLS There are three (3) types of investment pools:  State-run pools (e.g., LAIF);  Pools that are operated by a political subdivision where allowed by law and the political subdivision is the trustee (e.g., County Pools, and Joint Powers Authorities such as the California Asset Management Program (CAMP)); and  Pools that are operated for profit by third parties (e.g. money market funds). The City's Investment Policy permits investment in pools and money market funds as authorized by Government Code§16429.1, §53601(l) and §53601(p). XII PAYMENT AND CUSTODY The City shall engage qualified third-party custodians to act in a fiduciary capacity to maintain appropriate evidence of the City's ownership of securities and other eligible investments. Such custodians shall disburse funds received from the City for a purchase, to the broker, dealer or seller only after receiving evidence that the City has legal, record ownership of the securities. Even though ownership is evidenced in book-entry form rather than by actual certificates, this procedure is commonly accepted referred to as the delivery versus payment (DVP) method for the transfer of securities. XIII INTEREST EARNING DISTRIBUTION POLICY 96 12 of 24 Interest earnings are generated from pooled investments and specific investments. The following provisions apply to the calculation and distribution of interest earnings. 1. Pooled Investments - It is the general policy of the City to pool all available operating cash of the City of La Quinta, Successor Agency to the City of La Quinta Redevelopment Agency, La Quinta Financing Authority, and La Quinta Housing Authority, and to allocate interest earnings as follows:a a. Payment to the General Fund of an amount equal to the total annual bank service charges as incurred by the general fund for all operating funds as included in the annual operating budget. b. Payment to the General Fund of a management fee equal to 5% of the annual pooled cash fund investment earnings. c. pPayment to each fund of an amount based on thethe average computed daily month-end cash balance included in the common portfolio for the earning period. 2.1. Specific Investments - Specific investments purchased by a fund shall incur all earnings and expenses to that particular fund. XIV INTERNAL CONTROLS AND INDEPENDENT AUDITOR The City Treasurer shall establish a system of internal controls to accomplish the following objectives:  Safeguard assets;  The orderly and efficient conduct of its business, including adherence to management policies;  Prevention or detection of errors and fraud;  The accuracy and completeness of accounting records; and  Timely preparation of reliable financial information. While no internal control system, however elaborate, can guarantee absolute assurance that the City's assets are safeguarded, it is the intent of the City's internal control to provide a reasonable assurance that management of the investment function meets the City's objectives. The internal controls shall address the following:  Control of collusion. Collusion is a situation where two or more employees are working in conjunction to defraud their employer.  Separation of transaction authority from accounting and record keeping. By separating the person who authorizes or performs the transaction from the people who record or otherwise account for the transaction, a separation of duties is achieved.  Custodial safekeeping. Securities purchased from any bank or dealer including appropriate collateral (as defined by State Law) shall be placed with an independent third party for custodial safekeeping. Formatted: Justified, Right: 0.67", Space Before: 13.1pt, Tab stops: 1.63", Left Formatted: Tab stops: 1.13", Left + 1.13", Left Formatted: Normal, No bullets or numbering Formatted: Font: Verdana Formatted: Font: Verdana Formatted: Font: Verdana 97 13 of 24  Avoidance of physical delivery securities. Book entry securities are much easier to transfer and account for since actual delivery of a document never takes place. Delivered securities must be properly safeguarded against loss or destruction. The potential for fraud and loss increases with physically delivered securities.  Clear delegation of authority to subordinate staff members. Subordinate staff members must have a clear understanding of their authority and responsibilities to avoid improper actions. Clear delegation of authority also preserves the internal control structure that is contingent on the various staff positions and their respective responsibilities as outlined in the Segregation of Major Investment Responsibilities appendices.  Written confirmation of telephone transactions for investments and wire transfers. Due to the potential for error and improprieties arising from telephone transactions, all telephone transactions shall be supported by written communications or electronic confirmations and approved by the appropriate person. Written communications may be via fax or email if on letterhead and the safekeeping institution has a list of authorized signatures. Fax correspondence must be supported by evidence of verbal or written follow-up.  Development of a wire transfer agreement with the City's bank and third party custodian. This agreement should outline the various controls, security provisions, and delineate responsibilities of each party making and receiving wire transfers. The system of internal controls developed by the City shall be reviewed annually by the independent auditor in connection with the annual audit of the City's Financial Statements. The independent auditor's letter on internal control over financial reporting and compliance as it pertains to cash and investments, if any, shall be directed to the City Manager who will direct the City Treasurer to provide a written response to the independent auditor's letter. The auditor's letter, as it pertains, to cash and investment activities and the City Treasurer's response shall be provided to the City's Financial Advisory Commission for their consideration. Following the completion of each annual audit, the independent auditor shall meet with the Financial Advisory Commission and discuss the auditing procedures performed and the review of internal controls for cash and investment activities. See Appendix C, "Segregation of Major Investment Responsibilities." XV REPORTING STANDARDS The City Treasurer shall submit a monthly quarterly Treasurers Report to the City Council and the Financial Advisory Commission that includes all cash and investments under the authority of the Treasurer. In addition, the City Treasurer or designee shall ensure investment transactions are reported as they occur throughout the quarter. The Treasurer's Report shall summarize cash and investment activity and changes in balances and include the following:  A certification by the City Treasurer;  A listing of purchases and sales/maturities of investments;  Cash and Investments categorized by authorized investments;, except for LAIF which will also be provided quarterly and show yield and maturity; 98 14 of 24  Comparison of month end actual holdings to Investment Policy limitations;  Distribution of cash and investment balances by fund;  A two-year list of historical interest rates. XVII FINANCIAL ASSETS AND INVESTMENT ACTIVITY NOT SUBJECT TO THIS POLICY The City's Investment Policy does not apply to the following:  Cash and Investments raised from Conduit Debt Financing;  Funds held in trust in the City's name in pension or other post- retirement benefit programs;  Cash and Investments held in lieu of retention by banks or other financial institutions for construction projects; and  Short or long term loans made to other entities by the City or Agency,  Short term (Due to/from) or long term (Advances from/to) obligations made either between the City and its funds or between the City and Agency. XVIII INVESTMENT OF BOND PROCEEDS The City's Investment Policy shall not govern bond proceeds and bond reserve fund investments. California Code Section 5922 (d) governs the investment of bond proceeds and reserve funds in accordance with bond indenture provisions. Arbitrage Requirement - The US Tax Reform Act of 1986 requires the City to perform arbitrage calculations as required and return excess earnings to the US Treasury from investments of proceeds of bond issues sold after the effective date of this law. These arbitrage calculations may be contracted with an outside source to provide the necessary technical assistance to comply with this regulation. Investable funds subject to the 1986 Tax Reform Act will be kept segregated from other funds and records will be kept in a fashion to facilitate the calculations. The City's investment position relative to the new arbitrage restrictions is to continue pursuing the maximum yield on applicable investments while ensuring the safety of capital and liquidity. It is the City's position to continue maximization of yield and to rebate excess earnings, if necessary. XVI REVIEW OF INVESTMENT PORTFOLIO The securities held by the City must be in compliance with this Policy at the time of purchase. Due to market conditions, some securities may no longer comply subsequent to the date of purchase, therefore an annual review of the portfolio will be conducted to identify any securities which may have fallen out of compliance. Any major incidences of noncompliance identified during such review will be reported to the Financial Advisory Commission for confirmation of staff recommendation regarding course of action. XVII FINANCIAL ADVISORY COMMISSION - CITY OF LA QUINTA The Financial Advisory Commission (FAC) is composed of seven members from the public that are appointed by the City Council. Background information will be requested and potential candidates must agree to a background check and verification. The FAC’s membership, qualifications, and powers and duties are prescribed in Chapter 2.70 of the La Quinta Municipal Code and included in this policy as Appendix A. Commented [RH3]: Moved to section III- Scope Commented [RH4]: Moved to section III- Scope Formatted: Body Text Formatted: Justified 99 15 of 24 On an annual basis, in conjunction with the Political Reform Act disclosure statutes, or at any time if a change in circumstances warrants, each commissioner will provide the City Council with a disclosure statement which identifies any matters that have a bearing on the appropriateness of that member's service on the FAC. All commissioners shall report annually every June to the City Clerk on Form 700, Statement of Economic Interests, any activities, interests, or relationships that may be, or have the appearance of, a conflict of interest. The FAC must meet at least quarterly to:  Review at least annually the City's Investment Policy and recommend appropriate changes;  Review at least quarterly the treasury report and note compliance with the Investment Policy as well as adequacy of cash and investments for anticipated obligations;  Receive and consider other reports provided by the City Treasurer;  Meet with the independent auditor after completion of the annual audit of the City's financial statements, and receive and consider the auditor's comments on auditing procedures, internal controls and findings for cash and investment activities;  Review at least annually the revenue derived from the one percent (1%) transactions and use tax instituted by voters in November 2016 to ensure these funds are used to provide services, programs, and capital projects in the city of La Quinta  Serve as a resource for the City Treasurer on matters such as proposed investments, internal controls, use of or change of financial institutions, custodians, brokers and dealers. The FAC will report to the City Council after each meeting either in person or through correspondence at a regular City Council meeting. See Appendix A: "Financial Advisory Commission Provisions." XVIII INVESTMENT POLICY ADOPTION The City's Investment Policy will be reviewed annually by the City's Financial Advisory Commission and the City Treasurer. The Financial Advisory Commission will forward the Investment Policy with any revisions to the City Manager and City Attorney for their review and comment. A joint meeting will be held with the Financial Advisory Commission, City Manager, City Attorney, and City Treasurer to review the Investment Policy and any comments prior to submission to the City Council for their consideration. The Investment Policy shall be adopted by resolution of the City Council annually before the end of June of each year. 100 16 of 24 Chapter 2.70 FINANCIAL ADVISORY COMMISSION Appendix A Section s: 2.70.0 10 2.70.0 20 2.70.0 30 2.70.0 40 General rules regarding the financial advisory commission. Number of members. Qualifications of members. Powers and duties. 2.70.010 General rules regarding the financial advisory commission. Except as set out below, see Chapter 2.06 for general provisions. 2.70.020 Number of members. The financial advisory commission ("FAC") shall initially consist of seven members appointed by, and serving at the will of the city council. The city council may increase or decrease the number of members from time to time but in no event shall the membership exceed nine members or be less than five members. 2.70.030 Qualifications of members. A. In addition to the qualification requirements set forth in Section 2.06.040 of this code, a minimum of three of the members shall be finance professionals and shall have a verifiable background in finance and/or securities, preferably with knowledge and/or experience in markets, financial controls and accounting for securities. B. For those applying for the professional position, background information will be requested and potential candidates must agree to a background check and verification by the city manager or designee. 2.70.040 Powers and duties. A. The principal functions of the FAC are: 1. Review at least annually the city's investment policy and recommend appropriate changes; 2. Review at least quarterly the treasury report and note compliance with the investment policy and adequacy of cash and investments for anticipated obligations; 3. Receive and consider other reports provided by the city treasurer; 4. Meet with the independent auditor after completion of the annual audit of the city's financial statements, and receive and consider the auditor's comments on auditing procedures, internal controls, and findings for cash and investment activities; 5. Review at least annually the revenue derived from the one percent (1%) transactions and use tax instituted by voters in November 2016 to ensure these funds are used to provide services, programs and capital projects in the city of La 101 17 of 24 Quinta. 6. Serve as a resource for the city treasurer on matters such as proposed investments, internal controls, use of or change of financial institutions, custodians, brokers and dealers. B. The FAC will report to the city council after each meeting either in person or through correspondence at a regular city council meeting. 2.70.050 References to the Investment Advisory Board. If any other chapter(s) or section(s) in this code refers to the Investment Advisory Board, that chapter(s) or section(s) shall be deemed to refer to the Financial Advisory Commission established by the ordinance amending chapter 2.70 of this code 102 18 of 24 Section s: City of La Quinta Municipal Code Chapter 3.08 INVESTMENT OF MONEYS AND FUNDS Appendix B 3.08.010 Investment of city moneys and deposit of securities. 3.08.020 Authorized investments. 3.08.030 Sales of securities. 3.08.040 City bonds. 3.08.050 Reports. 3.08.060 Deposits of securities. 3.08.070 Trust fund administration. 3.08.010 Investment of city moneys and deposit of securities. Pursuant to, and in accordance with, and to the extent allowed by Sections 53607 and 53608 of the California Government Code, the authority to invest and reinvest moneys of the city, to sell or exchange securities, and to deposit them and provide for their safekeeping, is delegated to the city treasurer, which, for purposes of this chapter, is defined in Section 2.12.010 of this code. (Ord. 529 § 1, 2015; Ord. 2 § 1, 1982) 3.08.020 Authorized investments. Pursuant to the delegation of authority in Section 3.08.010, the city treasurer is authorized to purchase, at their original sale or after they have been issued, securities which are permissible investments under the city council adopted city investment policy and any provision of state law relating to the investing of general city funds, including, but not limited to, Sections 53601 and 53635 of the California Government Code, as said sections now read or may hereafter be amended, from moneys in the city treasurer's custody which are not required for the immediate necessities of the city and as he or she may deem wise and expedient, and to sell or exchange for other eligible securities and reinvest the proceeds of the securities so purchased. (Ord. 529 § 1, 2015; Ord. 2 § 1, 1982) 3.08.030 Sales of Securities. From time to time the city treasurer shall sell the securities in which city moneys have been invested pursuant to this chapter, so that the proceeds may, as appropriate, be applied to the purchase for which the original purchase money may have been designated or placed in the city treasury. (Ord.2 § 1 (part), 3.08.040 City bonds. Bonds issued by the city and purchased pursuant to this chapter may be cancelled either in satisfaction of sinking fund obligations or otherwise if proper and appropriate; provided, however, that the bonds may be held uncancelled and while so held may be resold. (Ord. 2 § 1 (part), 1982) 103 19 of 24 3.08.050 Reports. The city treasurer shall make a quarterly report to the city council of all investments made pursuant to the authority delegated in this chapter and as permitted by Section 53646(b)(1) of the Government Code. (Ord. 529 § 1, 2015; Ord. 2 § 1, 1982) 3.08.060 Deposits of securities. Pursuant to the delegation of authority in Section 3.08.010, the city treasurer is authorized to deposit for safekeeping, the securities in which city moneys have been invested pursuant to this chapter, in any institution or depository authorized by the city council adopted investment policy and terms of any state law, including, but not limited to, Section 53608 of the Government Code, as it now reads or may hereafter be amended. In accordance with said section, the city treasurer shall take from the institution or depository a receipt for the securities so deposited and shall not be responsible for the securities delivered to and receipted for by the institution or depository until they are withdrawn therefrom by the city treasurer. (Ord. 529 § 1, 2015; Ord. 2 § 1, 1982) 3.08.070 Trust fund administration. Any departmental trust fund established by the city council pursuant to Section 36523 of the Government Code shall be administered by the city treasurer in accordance with Section 36523 and 36524 of the Government code and any other applicable provisions of law. (Ord. 2 § 1 (, 1982) 104 20 of 24 Appendix C SEGREGATION OF MAJOR INVESTMENT RESPONSIBILITIES Function Responsible Parties Develop and Recommend Modifications to City's Formal Investment Policy Review City's Investment Policy and Recommend City Council Action Adopt Formal Investment Policy Implement Formal Investment Policy Review Financial Institutions & Select Investments Acknowledge Investment Selections Execute Investment Transactions Confirm Wires (if applicable) Record Investment Transactions in City's Accounting Records Investment Verification (match broker confirmation to City investment records) Reconcile Investment Records to Accounting Records and Bank Statements Reconcile Investment Records to Treasurers Report of Investments Security of Investments at City Security of Investments outside City Review Internal Control Procedures Financial Advisory Commission, Financial Services Analyst and City Treasurer City Manager and City Attorney City Council City Treasurer City Treasurer or Financial Services Analyst City Manager or his/her designee City Treasurer, Financial Services Analyst, or City Manager Senior Accountant or Financial Services AnalystAccountant, or 105 21 of 24 Management Assistant Senior Accountant or Accountant City Treasurer and Financial Services Analyst Senior Accountant or Financial Services Analyst Senior Accountant or Financial Services Analyst Senior Accountant or Management Assistant Third Party Custodian External Auditor 106 22 of 24 Appendix D Listing of Approved Financial Institutions Banking Services(1) Wells Fargo Bank, Government Services, Los Angeles, CA (Banking Services) Rabobank N.A., Government Banking Group, Roseville, CA (Collateralized Bank Deposits) Custodian Services The Bank of New York Mellon/Pershing LLC Stifel Deferred Compensation International City/County Management Association (ICCMA) Retirement Corporation Broker/Dealer Services(1) Bank of America Securities/Merrill Lynch Morgan Stanley CitiGroup First Empire Securities Stifel, Nicolaus, & Company, Inc.(2) Government/Joint Powers Authority Pools State of California Local Agency Investment Fund (LAIF) California Asset Management Program (CAMP) Bond Trustee US Bank (31) Other Post-Employment Benefits (OPEB) Trust California Employers' Retirement Benefits Trust (CERBT)/CalPERS Public Agency Retirement Services (PARS) (1) RFI for broker/dealer services and RFP for banking have been issued by the City in 2019. This list may change during the 2019/20 fiscal year, subject to FAC review and llowing bonds: 1996 Lease Revenue Bonds; 1998 RDA Formatted Table Formatted: Superscript Formatted: Superscript Formatted: Superscript Formatted: Superscript Formatted: Indent: Left: 0.14", Right: 0.9", Space Before: 6 pt, After: 18 pt Formatted: Numbered + Level: 1 + Numbering Style:1, 2, 3, … + Start at: 1 + Alignment: Left + Aligned at: 0.14" + Indent at: 0.64" Formatted: Normal, Indent: Left: 0", Space Before: 0pt, Line spacing: single 107 23 of 24 City Council approval. (2) Stifel acquired the City’s former broker, First Empire Securities, in 2019 and the name change was approved by City Council in March 2019. (31) US Bank is the fiscal agent for all of the fo Project Area 1&2; 2001 RDA Project Area 1; 2002 RDA Project Area 1; 2003 RDA Project Area 1; 2004 Local Agency Revenue; 2013 Successor Agency; and 2016 Successor Agency to the La Quinta RDA Assessment Districts. Formatted: Right: 0.9", Space Before: 6 pt, After: 6 pt,Line spacing: single, Numbered + Level: 1 +Numbering Style: 1, 2, 3, … + Start at: 1 + Alignment: Left + Aligned at: 0.14" + Indent at: 0.64" Formatted: Space Before: Auto, After: Auto 108 24 of 24 Appendix E Investment Management Process and Risk Except as provided for in Section 27000.3, Government Code Section 53600.3 declares as a trustee each person, treasurer, or governing body authorized to make investment decisions on behalf of local agencies. Trustees are subject to the prudent investor standard. These persons shall act with care, skill, prudence, and diligence under the circumstances then prevailing when investing, reinvesting, purchasing, acquiring, exchanging, selling, and managing funds. Section 53600.5 further stipulates that the primary objective of any person investing public funds is to safeguard principal; secondly, to meet liquidity needs of the depositor; and lastly, to achieve a return or yield on invested funds (Government Code Section 27000.5 specifies the same objectives for county treasurers and board of supervisors). Risk is inherent throughout the investment process. There is investment risk associated with any investment activity and opportunity risk related to inactivity. Market risk is derived from exposure to overall changes in the general level of interest rates while credit risk is the risk of loss due to the failure of the insurer of a security. The market value of a security varies inversely with the level of interest rates. If an investor is required to sell an investment with a five percent yield in a comparable seven percent rate environment, that security will be sold at a loss. The magnitude of that loss will depend on the amount of time until maturity. Purchasing certain allowable securities with a maturity of greater than five years requires approval of the governing board (see Government Code Section 53601). Part of that approval process involves assessing and disclosing the risk and possible volatility of longer-term investments Another element of risk is liquidity risk. Instruments with call features or special structures, or those issued by little known companies, are examples of "story bonds" and are often thinly traded. Their uniqueness often makes finding prospective buyers in a secondary market more difficult and, consequently, the securities' marketability and price are discounted. However, under certain market conditions, gains are also possible with these types of securities. Default risk represents the possibility that the borrower may be unable to repay the obligation as scheduled. Generally, securities issued by the federal government and its agencies are considered the most secure, while securities issued by private corporations or negotiable certificates of deposit issued by commercial banks have a greater degree of risk. Securities with additional credit enhancements, such as bankers acceptances, collateralized repurchase agreements and collateralized bank deposits are somewhere between the two on the risk spectrum. The vast majority of portfolios are managed within a buy and hold policy. Investments are purchased with the intent and capacity to hold that security until maturity. At times, market forces or operations may dictate swapping one security for another or selling a security before maturity. Continuous analysis and fine tuning of the investment portfolio are considered prudent investment management. 109 25 of 24 The Government Code contains specific provisions regarding the types of investments and practices permitted after considering the broad requirement of preserving principal and maintaining liquidity before seeking yield. These provisions are intended to promote the use of reliable, diverse, and safe investment instruments to better ensure a prudently managed portfolio worthy of public trust. Chapter II. Fund Management from the Local Agency Investment Guidelines Issued by California Debt and Investment Advisory Commission 110 26 of 24 GLOSSARY (Adopted from the Municipal Treasurers Association) The purpose of this glossary is to provide the reader of the City of La Quinta investment policies with a better understanding of financial terms used in municipal investing. AGENCIES: Federal agency securities and/or Government-sponsored enterprises. ASKED: The price at which securities are offered. BANKERS' ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer. BID: The price offered by a buyer of securities. (When you are selling securities, you ask for a bid.) See Offer. BROKER: A broker brings buyers and sellers together for a commission. CERTIFICATE OF DEPOSIT (CD): A time deposit with a specific maturity evidenced by a certificate. Large- denomination CD's are typically negotiable. COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies. COMMERCIAL PAPER: Short-term unsecured promissory notes issued by a corporation to raise working capital. These negotiable instruments are purchased at a discount to par value or at par value with interest bearing. Commercial paper is issued by corporations such as General Motors Acceptance Corporation, IBM, Bank America, etc. COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual report for the City of La Quinta. It includes five combined statements for each individual fund and account group prepared in conformity with GAAP. It also includes supporting schedules necessary to demonstrate compliance with finance-related legal and contractual provisions, extensive introductory material, and a detailed Statistical Section. CONDUIT FINANCING: A form of Financing in which a government or a government agency lends its name to a bond issue, although it is acting only as a conduit between a specific project and bond holders. The bond holders can look only to the revenues from the project being financed for repayment and not to the government or agency whose name appears on the bond. COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment date. DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account. DEBENTURE: A bond secured only by the general credit of the issuer. DELIVERY VERSUS PAYMENT: There are two methods of delivery of securities: delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. 111 27 of 24 DERIVATIVES: (1) Financial instruments whose return profile is linked to, or derived from, the movement of one or more underlying index or security, and may include a leveraging factor, or (2) financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates, foreign exchange rates, equities or commodities). DISCOUNT: The difference between the cost price of a security and its maturity when quoted at lower than face value. A security selling below original offering price shortly after sale also is considered to be at a discount. DISCOUNT SECURITIES: Non-interest- bearing money market instruments that are issued at discount and redeemed at maturity for full face value DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns. FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L's, small business firms, students, farmers, farm cooperatives, and exporters. FNMAs (Federal National Mortgage Association) - Like GNMA was chartered under the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD). It is the largest single provider of residential mortgage funds in the United States. Fannie Mae, as the corporation is called, is a private stockholder-owned corporation. The corporation's purchases include a variety of adjustable mortgages and second loans, in addition to fixed-rate mortgages. FNMA's securities are also highly liquid and are widely accepted. FNMA assumes and guarantees that all security holders will receive timely payment of principal and interest. FHLBs (Federal Home Loan Bank Notes and Bonds) - Issued by the Federal Home Loan Bank System to help finance the housing industry. The notes and bonds provide liquidity and home mortgage credit to savings and loan associations, mutual savings banks, cooperative banks, insurance companies, and mortgage-lending institutions. They are issued irregularly for various maturities. The minimum denomination is $5,000. The notes are issued with maturities of less than one year and interest is paid at maturity. FLBs (Federal Land Bank Bonds) - Long-term mortgage credit provided to farmers by Federal Land Banks. These bonds are issued at irregular times for various maturities ranging from a few months to ten years. The minimum denomination is $1,000. They carry semi- annual coupons. Interest is calculated on a 360-day, 30-day month basis. FFCBs (Federal Farm Credit Bank) – Debt instruments used to finance the short and intermediate term needs of farmers and the national agricultural industry. They are issued monthly with three- and six-month maturities. The FFCB issues larger issues (one to ten year) on a periodic basis. These issues are highly liquid. FICBs (Federal Intermediate Credit Bank Debentures) - Loans to lending institutions used to finance the short-term and intermediate needs of farmers, such as seasonal production. They are usually issued monthly in minimum denominations of $3,000 with a nine-month maturity. Interest is payable at maturity and is calculated on a 360-day, 30-day month basis. 112 28 of 24 FHLMCs (Federal Home Loan Mortgage Corporation) - a government sponsored entity established in 1970 to provide a secondary market for conventional home mortgages. Mortgages are purchased solely from the Federal Home Loan Bank System member lending institutions whose deposits are insured by agencies of the United States Government. They are issued for various maturities and in minimum denominations of $10,000. Principal and interest is paid monthly. Other federal agency issues are Small Business Administration notes (SBA's), Government National Mortgage Association notes (GNMA's), and Tennessee Valley Authority notes (TVA's), ).and Student Loan Association notes (SALLIE-MAE's). FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits, currently up to $250,000 per deposit through December 31, 2013entity. FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open- market operations. FEDERAL HOME LOAN BANKS (FHLB): Government sponsored wholesale banks (currently 12 regional banks) which lend funds and provide correspondent banking services to member commercial banks, thrift institutions, credit unions and insurance companies. The mission of the FHLBs is to liquefy the housing related assets of its members who must purchase stock in their district Bank. FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market as a means of influencing the volume of bank credit and money. FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of a seven-member Board of Governors in Washington, D.C., 12 regional banks and about 3,000 commercial banks that are members of the system. GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae): Securities influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by the FHA, VA or FMHM mortgages. The term "pass-throughs" is often used to describe Ginnie Maes. LAIF (Local Agency Investment Fund) - A special fund in the State Treasury which local agencies may use to deposit funds for investment. There is no minimum investment period, the minimum transaction is $5,000., in multiples of $1,000 above that, with a maximum balance of $50,000,000 for any agency. and the City follows the state guidance for maximum total balance. The City is restricted to a maximum of ten transactions per month. It offers high liquidity because deposits can be converted to cash in 24 hours and no interest is lost. All interest is distributed to those agencies participating on a proportionate share basis determined by the amounts deposited and the length of time they are deposited. Interest is paid quarterly. The State retains an amount for reasonable costs of making the investments, not to exceed one-half of one percent of the earnings. LIQUIDITY: A liquid asset is one that can be converted easily and rapidly into cash without Commented [RH5]: Verified on Federal Reserve’s Education Website https://www.federalreserveeducation.org/about-the- fed/structure-and-functions 113 29 of 24 a substantial loss of value. In the money market, a security is said to be liquid if the spread between bid and asked prices is narrow and reasonable size can be done at those quotes. LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold. MASTER REPURCHASE AGREEMENT: A written contract covering all future transactions between the parties to repurchase--reverse repurchase agreements that establish each party's rights in the transactions. A master agreement will often specify, among other things, the right of the buyer- lender to liquidate the underlying securities in the event of default by the seller-borrower. MATURITY: The date upon which the principal or stated value of an investment becomes due and payable. MONEY MARKET: The market in which short-term debt instruments (bills, commercial paper, bankers' acceptances, etc.) are issued and traded. NRSRO (NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION): A credit rating agency recognized by the Securities and Exchange Commission (SEC). Examples include Fitch Ratings, Inc., Moody’s Investor’s Services, Inc., and S&P Global Ratings, among others. OFFER: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid. OPEN MARKET OPERATIONS: Purchases and sales of government and certain other securities in the open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money and credit in the economy. Purchases inject reserves into the bank system and stimulate growth of money and credit; sales have the opposite effect. Open market operations are the Federal Reserve's most important and most flexible monetary policy tool. PORTFOLIO: Collection of all cash and securities under the direction of the City Treasurer, including Bond Proceeds. PRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC) registered securities broker- dealers, banks and a few unregulated firms. QUALIFIED PUBLIC DEPOSITORIES: A financial institution which does not claim exemption from the payment of any sales or compensating use or ad valorem taxes under the laws of this state, which has segregated for the benefit of the commission eligible collateral having a value of not less than its maximum liability and which has been approved by the Public Deposit Protection Commission to hold public deposits. RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond the current income return. 114 30 of 24 REPURCHASE AGREEMENT (RP OR REPO) and REVERSE REPURCHASE AGREEMENTS (RRP or RevRepo): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security "buyer" in effect lends the "seller" money for the period of the agreement, and the terms of the agreement are structured to compensate him for this. Dealers use RP extensively to finance their positions. Exception: When the Fed is said to be doing RP, it is lending money that is increasing bank reserves. REVERSE REPURCHASE AGREEMENTS (RRP or RevRepo) - A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security "buyer" in effect lends the "seller" money for the period of the agreement, and the terms of the agreement are structured to compensate him for this. Dealers use RRP extensively to finance their positions. Exception: When the Fed is said to be doing RRP, it is lending money that is increasing bank reserves. SAFEKEEPING: A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank's vaults for protection. SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following the initial distribution. SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors in securities transactions by administering securities legislation. SEC RULE 15C3-1: See Uniform Net Capital Rule. SSAE 16: The Statement on Standards for Attestation Engagements No. 16 (SSAE 16) is a set of auditing standards and guidance on using the standards, published by the Auditing Standards Board (ASB) of the American Institute of Certified Public Accountants (AICPA) for redefining and updating how service companies report on compliance controls. The Service Organizational Control report (SOC-1) contains internal controls over financial reporting and is used by auditors and office controllers. STRUCTURED NOTES: Notes issued by Government Sponsored Enterprises (FHLB, FNMA, SLMA, etc.) and Corporations which have imbedded options (e.g., call features, step-up coupons, floating rate coupons, and derivative-based returns) into their debt structure. Their market performance is impacted by the fluctuation of interest rates, the volatility of the imbedded options and shifts in the shape of the yield curve. SURPLUS FUNDS: Section 53601 of the California Government Code defines surplus funds as any money not required for immediate necessities of the local agency. The City has defined immediate necessities to be payment due within one week. TREASURY BILLS: A non-interest- bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months or one year. TREASURY BONDS: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years. TREASURY NOTES: Medium-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities from two to 10 years. Formatted: Font: Bold 115 31 of 24 UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member firms as well as nonmember broker-dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1; also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm, including margin loans and commitments to purchase securities, one reason new public issues are spread among members of underwriting syndicates. Liquid capital includes cash and assets easily converted into cash. UNIFORM PRUDENT INVESTOR ACT: The State of California has adopted this Act. The Act contains the following sections: duty of care, diversification, review of assets, costs, compliance determinations, delegation of investments, terms of prudent investor rule, and application. YIELD: The rate of annual return on an investment, expressed as a percentage. (a) INCOME YIELD is obtained by dividing the current dollar income by the current market price for the security. (b) NET YIELD or YIELD TO MATURITY is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond. 116 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: ADOPT RESOLUTION TO APPROVE AMENDING THE SURPLUS PROPERTY AND EQUIPMENT POLICY RECOMMENDATION Adopt a resolution to approve amendments to the Surplus Property and Equipment Policy. EXECUTIVE SUMMARY The Surplus Property and Equipment Policy (Policy) governs current and future city property (excluding real property). The Policy should be reviewed every five years and the recommended minor amendments were the result of this review. The Financial Advisory Commission (FAC) reviewed and approved the recommended amendments. FISCAL IMPACT - None. BACKGROUND The Policy was last updated on October 6, 2015. While the Policy continues to conform with current laws and regulations, the following minor amendments are recommended: Section IV is amended so that the Finance Director may assign a designee to receive notification (from City departments) of the operational status of surplus property and notify other departments of the availability of surplus property. Surplus sales are currently coordinated by the Finance Department’s Management Assistant with oversight by the Finance Director. Section VI is added to require a comprehensive review of the Policy every five years. On May 15, 2019 the FAC reviewed and approved the amended Policy. CONSENT CALENDAR ITEM NO. 5 117 ALTERNATIVES Council may elect to not approve the amendments, incorporate further changes or request further review. Prepared by: Karla Romero, Finance Director Approved by: Frank J. Spevacek, City Manager 118 RESOLUTION NO. 2019 - xxx A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, ADOPTING A SURPLUS PROPERTY AND EQUIPMENT POLICY WHEREAS, purchasing, contracting, grant acceptance, and disposal policies provide a guideline to City employees for the purchase and acceptance of goods, services and funds used to supplement city operations, and for the disposal of goods that are no longer needed or unusable; and WHEREAS, purchasing, contracting, grant acceptance, and disposal policies provide transparency and consistency; and WHEREAS, purchasing, contracting, grant acceptance and disposal policies enable the Finance Department and the City Manager to maintain a system of financial controls for the efficient use, expenditure and disposal of public funds and property; and WHEREAS, the ability to sell, auction, donate, properly dispose or transfer surplus property that is no longer in use by the City of La Quinta is an act that is taken solely for the common benefit of the City and its citizenry; and WHEREAS, the City Council adopted the City’s Surplus Property and Equipment Policy on October 6, 2015 via Resolution No. 2015-046, which is hereby repealed and superseded by this Resolution. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: SECTION 1. Resolution No. 2015-046 adopted on October 6, 2015 is hereby repealed and this Resolution supersedes all prior Surplus Property and Equipment Policy Resolutions adopted by the City Council. SECTION 2. The Surplus Supplies and Equipment Policy attached hereto as "Exhibit A" and incorporated herein by reference shall govern the disposition of the City’s surplus property (excluding real property) in a manner that is for the common benefit, whether it be through transfer, sale, auction, disposal, or donation. SECTION 3. This Policy, as applicable, shall constitute the procedures and rules governing the disposal of all of the City’s non-real, surplus property pursuant to Chapter 3.12 of the La Quinta Municipal Code. 119 Resolution No. 2019 – xxx Surplus Property and Equipment Policy Adopted: June 4, 2019 Page 2 of 8 SECTION 4. Severability. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The City Council hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof. SECTION 5. This Resolution shall become effective upon adoption. The Surplus Property and Equipment Policy adopted by this Resolution shall go into effect immediately. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 4th day of June 2019, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ________________________ LINDA EVANS, Mayor City of La Quinta, California ATTEST: __________________________ MONIKA RADEVA, City Clerk City of La Quinta, California (CITY SEAL) APPROVED AS TO FORM: ___________________________ WILLIAM H. IHRKE, City Attorney City of La Quinta, California 120 Resolution No. 2019 – xxx Surplus Property and Equipment Policy Adopted: June 4, 2019 Page 3 of 8 CITY OF LA QUINTA, CALIFORNIA SURPLUS SUPPLIES AND EQUIPMENT POLICY SECTION I. Purpose. To set forth the City of La Quinta’s administrative policy for the transfer and disposition of surplus personal property, equipment and materials, pursuant to the power granted onto the City Council pursuant to Article 1 of the Charter of the City of La Quinta, and Chapter 3.12 of the La Quinta Municipal Code. SECTION II. Definitions. (1)The term “City” means the City of La Quinta. (2)The term “nonprofit organization” means any charitable organization exempt under Section 501(c)(3) of the United States Internal Revenue Code, or successor statute. (3)The term “public agency” means the United States or the State of California or any agency or subdivision thereof, including any city, county, special district, or school district. (4)The term “surplus property” as used herein is used generically to describe any City personal property, equipment or material that is no longer needed or usable by the holding department. For purposes of this policy, all surplus property including scrap, recyclables, trash, and/or junk disposed, discarded or abandoned on City premises, including all surplus property placed in storage or collection containers of any kind, is hereby deemed to be City property and not property of any City employee. “Surplus property” does not include real property or any interest in real property. (5)The terms “scrapping” and “recycling” as used herein refer to the act of transferring discarded surplus property, including scrap or recyclables, to a vendor for use, salvage or resale. (6)The terms “scrap” or “recyclables” as used herein refer to surplus property that (a) may be reused “as is” or after repair, or (b) may be salvaged for its mineral value after treatment or processing. (7)The term “trash” or “junk” as used herein refers to surplus property which has no practical salvage or recyclable value. RESOLUTION 2019-XXX EXHIBIT A 121 Resolution No. 2019 – xxx Surplus Property and Equipment Policy Adopted: June 4, 2019 Page 4 of 8 SECTION III. Methods of Transfer and Disposition. All surplus property is disposed of “as is” and “where is,” with no warranty, guarantee, or representation of any kind, expressed or implied, as to the condition, utility or usability of the property offered unless expressly authorized by the City Council. (1)Transfer to Another Department. Surplus property may be transferred between City departments. All surplus property will first be considered for transfer for the benefit of the city. (2)Trade-In. Property declared as surplus may be offered as a trade-in for credit toward the acquisition of new property. (3)Return to Manufacturer. Surplus property may, when possible, be returned to the manufacturer for buy-back credit. (4)Donation. Surplus property may be donated or sold at less than estimated value to any public agency or nonprofit organization. (5)Sale and Disposal. Appropriate methods of sale and disposal are as follows: (a)Auction. Surplus property may be sold at public auction. Auctions may be conducted by City staff, or the City may contract with a professional auctioneer or electronic auction site. (b)Sealed Bids. Sealed bids may be solicited for the sale of surplus property. Surplus property disposed of in this manner shall be sold to the highest responsible bidder, and the procedure for soliciting and awarding by sealed bid shall follow the procedure for bidding public works contracts as established by the City Council. (c)Scrapping. Surplus property may be sold, auctioned, recycled, donated, or discarded as scrap if the value of the surplus property’s parts exceeds the value of the surplus property as a whole. (d)No Value Item. Where the property is of minimal or no value to the City due to spoilage, obsolescence or similar reason, or where the cost of disposal of such surplus property would exceed the recovery value, the surplus property may be sold or disposed in such a manner as appropriate and in the best interest of the City. 122 Resolution No. 2019 – xxx Surplus Property and Equipment Policy Adopted: June 4, 2019 Page 5 of 8 SECTION IV. Procedures. Consistent with California Government Code Section 37350, the City Council sets forth the policy of the City for disposal or destruction of surplus property. (1)City Council- and City Manager-Directed Transfers and Dispositions. Transfers and dispositions of surplus property. Consistent with the methods in Section III above, are hereby authorized according to the following: (a)Property with an Estimated Market Value Exceeding $500. Once a department head has identified surplus property, the transfer or disposition of surplus property with an estimated market value exceeding $500 per item shall be determined by the City Council pursuant to a specific agenda item on an agenda for a regular or special City Council meeting. (b)Property with an Estimated Market Value of $500 or Less. Once a department head has identified surplus property, the City Manager may direct the transfer and disposition of such surplus property with an estimated market value of $500 or less per item. (2)Identifying and Valuing Surplus Property. Each department head is responsible to identify surplus property regularly. (a)Each department head will evaluate the operational status of the surplus property and notify the Finance Director or their designee in writing. (b)The Finance Director or their designee will circulate the surplus property notification between the other departments within the City. (c)The department head from which the surplus property originates will determine the estimated market value of the surplus property and recommend the most fiscally advantageous method of disposal. (d)In determining the estimated market value, the department head shall document the methods used to make such determination including tools such as Kelly Blue Book, classified advertisements, and vendors in the United States with similar products available. (e)The estimated market value will consider a computation of expenses associated with the disposal of surplus property. These 123 Resolution No. 2019 – xxx Surplus Property and Equipment Policy Adopted: June 4, 2019 Page 6 of 8 expenses may include advertising, auction costs, storage and other costs. (3)Accounting for the Disposition of Surplus Property. It is critical to maintain all documentation for audit purposes regarding the disposition of surplus property. (a)Notice to Finance Director. Notification will be provided to the Finance Director in writing of any transfer or disposal of surplus property to a different location or department. (b)Proceeds from Transfer and Disposition of Property. When so authorized to transfer, sell, dispose, donate, recycle, or scrap surplus property by the City Council or the City Manager pursuant to this policy, the employee directed to undertake such activity shall remit the entire proceeds from any such activity to the Finance Director by check or money order made payable to the City of La Quinta, and shall be deposited into the general fund or, if required by law, deposited into a special purpose fund, of the City. (c)Notification and Documentation. The department head will notify the Finance Department in writing of the disposition of all surplus property and attach all supporting documentation, including the records required by this policy. (d)Transfer of Ownership and Title. Delivery of the surplus property together with transfer of ownership and title passes upon receipt of the proceeds. The Finance Director shall cause licenses and title documents to be executed and transferred upon verification of receipt of funds. (e)Inventory Adjustment. The Finance Department shall make adjustments to the City’s inventories/assets lists showing the disposition of surplus property. (f)Recordkeeping. Copies of all records documenting the surplus property process will be kept on file with the Finance Department for so long as records are to be maintained by the City’s records retention policy and by applicable law. (4)Personal Scrapping, Recycling or Disposal of Trash or Junk (Unauthorized). It is the policy of the City that no employee may engage in any sale, scrapping or recycling or other transfer or disposal of surplus property, unless specifically directed to engage in such activity by the City Council or the City Manager who have been lawfully and duly authorized and 124 Resolution No. 2019 – xxx Surplus Property and Equipment Policy Adopted: June 4, 2019 Page 7 of 8 designated to direct such activity pursuant to this policy. Transferring, selling, donating, scrapping, recycling or disposing of surplus property, regardless of monetary value, by City employees for personal gain or to benefit the interest of any person or party other than the City, is strictly forbidden. (5)Surplus Property and Employees. City officials and employees shall be allowed to be the purchasers or direct recipients of any surplus property of the City, on the condition that they acquire the surplus property according to this Policy. Furthermore, when attempting to acquire surplus property, City officials and employees must be treated the same as the general citizenry and are therefore subject to all of the same notice, value, and accounting requirements as set forth in this Policy. (6)Exceptions. Any exceptions to this policy will only be made at the direction of the City Manager; provided, however, that no exception may be made concerning the transfer or disposition of surplus property exceeding $500 in estimated market value per item without the approval of the City Council. SECTION V. Disciplinary Action(s). Appropriate disciplinary action, up to and including termination, will be taken if an employee is found, through proper investigation and application of appropriate process, to: (1)Have failed to promptly remit to persons officially designated to receive proceeds, including cash or other consideration, from the sale of surplus property; (2)Have failed, in the performance of their duties, to promptly place in appropriate City containers, bins, dumpsters, or other collection facilities, equipment or containers, or have received, taken, given away, collected, stored or retained in other than appropriate City containers, bins, or collection facilities, or dump sites, City scrap, recyclables, trash or any such surplus property belonging to City tenants; (3)Have engaged in selling, scrapping, recycling or handling of surplus property in violation of this policy or the procedures set forth herein, including having engaged in any such activity for their personal interest or gain, or in aid of others doing the same for their respective interest or gain; (4)Have used City vehicles, facilities or equipment to collect, store, or transport surplus property to sites, locations, or facilities, including the facilities of scrap vendors or recycling centers, except as specifically directed by the authorized City Manager, in accordance with this policy and the procedures set forth herein; or 125 Resolution No. 2019 – xxx Surplus Property and Equipment Policy Adopted: June 4, 2019 Page 8 of 8 (5)Have failed to notify his/her department director in a prompt and timely manner after having observed any individual engaging in any of the above- described act(s) or having learned that such act(s) were being committed by other City employees. SECTION VI. Policy Review. The Finance Director shall review this Policy at a minimum of every five (5) years and recommend any changes to the City Manager and City Council. 126 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: ADOPT RESOLUTIONS TO 1) APPROVE PRELIMINARY 2019/20 ENGINEER’S ANNUAL LEVY REPORT FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1, AND 2) DECLARE INTENT TO LEVY ANNUAL ASSESSMENTS FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1 RECOMMENDATION Adopt a Resolution approving the preliminary 2019/20 Engineer’s Annual Levy Report for Landscape and Lighting Assessment District 89-1; and Adopt a Resolution declaring the City’s intent to levy annual assessments for construction, maintenance and servicing landscape and lighting improvements within the Citywide Landscape and Lighting Assessment District 89-1 and giving notice thereof. EXECUTIVE SUMMARY •Annually, Council must take certain actions to allow the City to levy annual assessments pertaining to Citywide Landscape and Lighting Assessment District 89-1 (District). •These actions include adopting the recommended resolutions and scheduling a public hearing (Hearing). •The annual assessments fund 44% of the citywide landscape, lighting, median, and parkways maintenance costs. The 2019/20 assessment rate will remain at $35.60 per dwelling/parcel also identified as an equivalent benefit unit (EBU). This has been the rate since 1997. •Any increases to the assessment rate require a benefit analysis; new assessments must then be approved by a majority vote of all property owners within the City, which comprises the District. FISCAL IMPACT The estimated 2019/20 cost for retention basin maintenance, and median and parkway landscape and lighting maintenance is $2,218,100 (Table 1). The EBU will generate an estimated $976,540. The City will also receive $150,000 from County Service Area 152, levied by Riverside County, for retention basin maintenance. The combined income is projected to be $1,126,540, leaving a shortfall (funded by the General Fund) of $1,091,560. CONSENT CALENDAR ITEM NO. 6 127 BACKGROUND/ANALYSIS In 1989, the City formed the District to fund 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 (Attachment 1), including preparation of an annual engineer’s report. The 2019/20 Preliminary Engineer’s Annual Levy Report (Engineer’s Report) (Attachment 2) has been prepared by City staff and Willdan Financial Services (Willdan provides parcel recognition support) to establish the maintenance budget and identify the benefitting parcels. Below is a comparison of the 2018/19 and 2019/20 Engineer’s Reports (Table 2) 2018/19 2019/20 Citywide Benefit Zone Yes Yes Number of Local Benefit Zones 6 6 Number of Equivalent Benefit Units (EBU’s) 26,979 27,431 EBU Rate $35.60/EBU $35.60/EBU District Revenue $960,433 $976,540 Willdan projects an increase of 452 EBU’s from 2018/19 to 2019/20; actuals will be based on the final 2019/20 County Secured Tax Roll. All property owners, including those within the six local benefit zones, would be assessed a flat rate. The methodology has remained the same under the provisions of Proposition 218, which prohibits assessment increases without the approval of a simple majority of property owners in a public vote within the District. The Council is required to approve the Engineer’s Report and schedule a hearing to allow property owners an opportunity to provide testimony regarding any proposed changes. The hearing is scheduled for June 18, 2019. Approving the Engineer’s Report does impose the proposed EBU; the City can only levy the fee after a public hearing. Upon conclusion of the hearing, Council may consider the testimony and a resolution confirming the assessment diagram and EBU Rate. The Engineer’s report also includes an annual review of the total parks cost (Table 1) including assigned City staff, the parks maintenance contract, and materials and supplies for City Council to consider if they ever chose to pursue the creation of a Parks Assessment District. 128 ALTERNATIVES Council may elect to increase assessments in order to fully fund the District costs. Staff projects that the assessment would need to increase by $39.79 per EBU to balance the District budget. If the Council selects this option, a District- wide benefit analysis and approval of the new assessments by vote of all affected property owners would be needed. Prepared by: Dianne Hansen, Management Assistant Approved by: Steve Howlett, Facilities Director Attachments: 1. Annual Activities Report 2. Preliminary 2019/20 Engineer’s Annual Levy Report 129 130 RESOLUTION NO. 2019 - xxx A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING THE PRELIMINARY ENGINEER’S REPORT FOR FISCAL YEAR 2019/2020 IN CONNECTION WITH LA QUINTA LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89-1 WHEREAS, the City Engineer has prepared and filed a report entitled “La Quinta Landscape and Lighting Assessment District 89-1, Preliminary Engineer’s Report” (the “Report”) with the City Clerk of the City of La Quinta; and WHEREAS, the Report has been presented to City Council for review; 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. SECTION 2. The City Council authorizes and directs the City Clerk to (i) submit certified copies of this resolution to the County of Riverside and (ii) take such other and further actions as may be necessary and proper for the County Assessor to place this assessment on the tax roll. PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta City Council held on this 4th day of June 2019, by the following vote: AYES: NOES: ABSENT: ABSTAIN: 131 Resolution No. 2019- Preliminary Engineer’s Report L&L District 89-1 Adopted: June 4, 2019 Page 2 ________________________ LINDA EVANS, Mayor City of La Quinta, California ATTEST: ___________________________ MONIKA RADEVA, City Clerk City of La Quinta, California (CITY SEAL) APPROVED AS TO FORM: ___________________________ WILLIAM H. IHRKE, City Attorney City of La Quinta, California 132 RESOLUTION NO. 2019 - xxx 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, 2019 and ending June 30, 2020 to pay the costs and expenses of constructing, operating, maintaining, and servicing landscaping, lighting and associated facilities located within public places in the City; and WHEREAS, the Engineer selected by the City Council has prepared and filed a report in connection with the Landscape and Lighting Assessment District 89-1 with the City Clerk of the City of La Quinta; and WHEREAS, the report has presented to the City Council 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. 133 Resolution No. 2019 - xxxx Intent to Levy L&L Assessment District 89-1 Adopted: June 4, 2019 Page 2 of 3 SECTION 2. The City Council hereby finds that the maintenance and operation of projects identified in the Preliminary Engineer’s Report for Landscape 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, 2019 and ending June 30, 2020 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 June 18, 2019 at 5:00 p.m. at the City Council Chambers, 78495 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 June 18, 2019, at 5:00 p.m. at the City Council Chambers, 78495 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. 134 Resolution No. 2019 - xxxx Intent to Levy L&L Assessment District 89-1 Adopted: June 4, 2019 Page 3 of 3 SECTION 9. The City Council authorizes and directs the City Clerk to (i) submit certified copies of this resolution to the County of Riverside and (ii) take such other and further actions as may be necessary and proper for the County Assessor to place this assessment on the tax roll. PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta City Council held on this 4th day of June 2019, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ________________________ LINDA EVANS, Mayor City of La Quinta, California ATTEST: __________________________ MONIKA RADEVA, City Clerk City of La Quinta, California (CITY SEAL) APPROVED AS TO FORM: ___________________________ WILLIAM H. IHRKE, City Attorney City of La Quinta, California 135 136 ATTACHMENT 1 ANNUAL ACTIVITIES LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT Adopt the following Resolutions: 1.Approve Preliminary Engineer’s Report (June 4, 2019). 2.Intention to levy annual assessment and notice of Public Meeting/Hearing (June 18, 2019). 3.Conduct a Public Meeting to allow testimony regarding the proposed assessments prior to Public Hearing (June 18, 2019). 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 (June 18, 2019). 137 138 City of La Quinta Street Lighting and Landscape District No. 89-1 2019/2020 ENGINEER’S ANNUAL LEVY REPORT Intent Meeting: June 4, 2019 Public Hearing: June 18, 2019 27368 Via Industria Suite 200 Temecula, CA 92590 T 951.587.3500 | 800.755.6864 F 951.587.3510 www.willdan.com/financial ATTACHMENT 2 139 AFFIDAVIT FOR THE ENGINEER'S ANNUAL LEVY REPORT 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 ______________, 2019. Willdan Financial Services Assessment Engineer On Behalf of the City of La Quinta By: ________________________________ Daniel Louie Project Manager, District Administration Services By: ________________________________ Richard Kopecky R. C. E. # 16742 140 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 , 2019. BY: Monika Radeva, 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 , 2019. BY: Monika Radeva, 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 , 2019. BY: Monika Radeva, City Clerk City of La Quinta Riverside County, California 141 TABLE OF CONTENTS I. OVERVIEW 1 A. INTRODUCTION 1 B. COMPLIANCE WITH CURRENT LEGISLATION 1 C. HISTORICAL BACKGROUND AND LEGISLATION 2 II. DESCRIPTION OF THE DISTRICT 2 A. DISTRICT BOUNDARIES AND SPECIFIC AREAS OF IMPROVEMENT 2 B. IMPROVEMENTS AUTHORIZED BY THE 1972 ACT 2 C. IMPROVEMENTS WITHIN THE DISTRICT 4 III. METHOD OF APPORTIONMENT 5 A. GENERAL 5 B. BENEFIT ANALYSIS 5 C. METHODOLOGY 6 IV. DISTRICT BUDGETS 10 A. DESCRIPTION OF BUDGET ITEMS 10 B. 2019/2020 DISTRICT BUDGET 11 APPENDIX A – DISTRICT ASSESSMENT DIAGRAM 14 APPENDIX B – 2019/2020 COLLECTION ROLL 15 142 2019/2020 City Of La Quinta L&L 89-1 Page 1 of 15 I. 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 2019/2020. 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 2019/2020 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 2019/2020. B. COMPLIANCE WITH CURRENT LEGISLATION The District was formed in 1989 pursuant to the Landscaping and Lighting Act of 1972 (the “1972 Act”). As such, the City has determined that pursuant to California Constitutional Article XIIID Section 5 Subsection A the existing assessments are exempt from the substantive and procedural requirements of Proposition 218. Any new or increased assessments above the maximum assessment rates previously approved and levied by the City Council would be subject to both the substantive and procedural requirements of the Proposition. 143 2019/2020 City Of La Quinta L&L 89-1 Page 2 of 15 C. 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. 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. II. 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 AUTHORIZED BY THE 1972 ACT As applicable or may be applicable to this District, the 1972 Act defines improvements to mean one or any combination of the following: • The installation or planting of landscaping. • The installation or construction of statuary, fountains, and other ornamental structures and facilities. • The installation or construction of public lighting facilities. • The installation or construction of any facilities which are appurtenant to any of the foregoing or which are necessary or convenient for the maintenance or servicing thereof, including, but not limited to, grading, clearing, removal of debris, the installation or construction of curbs, gutters, walls, sidewalks, or paving, or water, irrigation, drainage, or electrical facilities. • The maintenance or servicing, or both, of any of the foregoing. 144 2019/2020 City Of La Quinta L&L 89-1 Page 3 of 15 • The acquisition of any existing improvement otherwise authorized pursuant to this section. Incidental expenses associated with the improvements including, but not limited to: • The cost of preparation of the report, including plans, specifications, estimates, diagram, and assessment; • The costs of printing, advertising, and the publishing, posting and mailing of notices; • Compensation payable to the County for collection of assessments; • Compensation of any engineer or attorney employed to render services; • Any other expenses incidental to the construction, installation, or maintenance and servicing of the improvements; • Any expenses incidental to the issuance of bonds or notes pursuant to Section 22662.5. • Costs associated with any elections held for the approval of a new or increased assessment. The 1972 Act defines "Maintain" or "maintenance" to mean furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including: • Repair, removal, or replacement of all or any part of any improvement. • Providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury. • The removal of trimmings, rubbish, debris, and other solid waste. • The cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti. 145 2019/2020 City Of La Quinta L&L 89-1 Page 4 of 15 C. 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, 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. • 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. 146 2019/2020 City Of La Quinta L&L 89-1 Page 5 of 15 III. 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, 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 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 landscaping improvements are specifically: • Enhanced desirability of properties through association with the 147 2019/2020 City Of La Quinta L&L 89-1 Page 6 of 15 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. • 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 148 2019/2020 City Of La Quinta L&L 89-1 Page 7 of 15 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 Benefit 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 Benefit Unit (“EBU”) 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 EBU. The EBU 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 EBU. Every other land-use is assigned an EBU 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 EBU 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 provides a listing of land use types, the EBU factors applied to that land use and the multiplying factor used to calculate each parcel’s individual EBU for each improvement provided in the District. During the formation of the District, a methodology was developed to calculate the EBUs for other residential and non-residential land use parcels, which are outlined below for reference. Every land use is assigned EBUs 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 EBU and parcels that are determined to receive lesser benefit than SFR parcels are assigned less than 1 EBU as reflected in the Assessment Methodology. 149 2019/2020 City Of La Quinta L&L 89-1 Page 8 of 15 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) EBU. Multi-Family Residential Multi-Family Residential parcels are assessed one-half (0.5) EBU per unit. 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) EBUs per acre with a minimum number per parcel of one (1) EBU. 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 EBU per parcel. 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 EBU per acre or any portion of an acre. The minimum number of EBUs per parcel is one (1) EBU. 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. Land Use EBU Factor Exempt Parcels 0.0 Single Family Residential Parcels 1.0 per unit Multi-Family Residential Parcels 0.5 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 150 2019/2020 City Of La Quinta L&L 89-1 Page 9 of 15 Golf Courses Properties identified as golf courses will be assessed a rate of 10 percent (10%) of the developed nonresidential properties, or 0.50 EBU per acre or any portion of an acre. The minimum number per parcel is one (1) EBU. Agricultural Properties identified as agricultural will be assessed a rate of 5 percent (5%) of developed nonresidential properties, or 0.25 EBU per acre or any portion of an acre. The minimum number per parcel is one (1) EBU. 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 EBU 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 EBUs per acre or portion thereof, for the first twenty (20) acres, with a minimum of one (1) EBU 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) EBU for the first acre and 0.33 EBUs for each additional acre or portion of an acre. 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 2019/2020 over or above the maximum rate established. The proposed rate per EBU for Fiscal Year 2019/2020 is the same rate assessed for Fiscal Year 2018/2019. The base assessment rate to be approved for Fiscal Year 2019/2020 is $35.60. The maximum assessment rate per EBU 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 EBU. This equates to total projected assessment revenue of $976,540. 151 2019/2020 City Of La Quinta L&L 89-1 Page 10 of 15 The City proposes the remaining $3,577,501 be funded through a General Fund contribution of $3,427,501 and $150,000 of revenue from CSA 152. IV. 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. 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 152 2019/2020 City Of La Quinta L&L 89-1 Page 11 of 15 including any required notices, mailings or property owner protest ballot proceedings. B. 2019/2020 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 2019/2020 is summarized on the next page in Table 1. 153 2019/2020 City Of La Quinta L&L 89-1 Page 12 of 15 Table 1 Fiscal Year 2019/2020 Budget Category Description Estimated Expenditures Funding Fiscal Year 2019/2020 L & L Assessments General Fund– Parks Personnel Salaries-Permanent Full Time $437,000 $119,600 $317,400 Other Benefits & Deductions 177,700 51,900 125,800 Stand By 0 0 0 Stand By Overtime 0 0 0 Overtime 0 0 0 Total Personnel $614,700 $171,500 $443,200 Contract Services Annual Lighting & Landscape Report $0 $0 $0 Civic Center Campus Lake Maintenance 45,000 0 45,000 Landscape Lighting Maintenance 77,000 77,000 0 Financial Services Admin. Fee 0 0 0 Citywide Maintenance Contract 1,355,000 830,000 525,000 Undeveloped Parks PM10 Services 0 0 0 Maintenance & Repair 50,000 50,000 0 CVWD Lease-Pioneer Dog Park 1 0 1 Tree Trimming 25,000 15,000 10,000 Janitorial Services 0 0 0 Security Service - Corporation Yard 0 0 0 Fritz Burns Pool 115,000 0 115,000 Musco Lighting 1,000 0 1,000 SilverRock Way Landscaping 65,000 65,000 0 Total Contract Services $1,733,001 $1,037,000 $696,001 Rental Services Uniforms $2,000 $1,000 $1,000 Total Rental Services $2,000 $1,000 $1,000 Park Equipment Vehicle Operations Facilities Charges $0 $0 $0 Fleet Maintenance 73,700 29,500 44,200 Facility & Equipment Depreciation 674,000 0 674,000 Total Operations $747,700 $29,500 $718,200 Utilities Electric $251,640 $120,000 $131,640 Phone 1,000 0 1,000 Water 363,800 200,000 163,800 Total Utilities $616,440 $320,000 $296,440 Travel Training & Meetings $5,500 $500 $5,000 Total Travel Training & Meetings $5,500 $500 $5,000 Information Technology Computers Printers and Services $80,600 $24,100 $56,500 Total Information Technology $80,600 $24,100 $56,500 Operating Supplies Plant Replacement $620,000 $570,000 $50,000 Graffiti Removal 40,000 15,000 25,000 Safety Gear 1,200 600 600 Field Materials 70,000 30,000 40,000 Total Operating Supplies $731,200 $615,600 $115,600 Small Tools / Equipment Non-Capital $4,500 $2,500 $2,000 Total Small Tools/Equipment $4,500 $2,500 $2,000 Total Landscape & Lighting Budget $4,535,641 $2,201,700 $2,333,941 District Administration Public Works Administration $0 $0 $0 Citywide Administration 18,400 16,400 2,000 Total District Administration $18,400 $16,400 $2,000 Total Landscape & Lighting Expenditures $4,554,041 $2,218,100 $2,335,941 Less CSA 152 Revenue ($150,000) ($150,000) $0 Less General Fund Contribution (3,427,501) (1,091,560) 2,335,941 Balance to Levy $976,540 $976,540 Total EBU 27,431.50 Levy Per EBU $35.60 154 2019/2020 City Of La Quinta L&L 89-1 Page 13 of 15 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. Table 2 Land Use FY 2019/2020 Parcel Count County Acres Prior Year EBU Prior Year Levy FY 2019/2020 EBU FY 2019/2020 Levy (1) Agricultural 17 371.44 93.22 $3,318.60 93.22 $3,318.60 Exempt 51 104.36 0.00 0.00 0.00 0.00 Golf Course 283 3,497.90 1,805.65 64,279.28 1,805.65 64,279.28 Hillside Conservation 12 319.03 31.90 1,135.62 31.90 1,135.62 Multi-Family Residential 34 92.81 635.50 22,623.80 635.50 22,623.80 Non-Residential 272 575.15 2,903.65 103,369.94 2,903.65 103,369.94 Rural/ Estate 51 106.18 86.04 3,062.58 86.04 3,062.58 Vacant/ Remote 13 144.48 119.20 4,243.30 119.20 4,243.30 Single Family Residential 20,469 2,516.83 20,469.00 728,696.40 20,469.00 728,696.40 Vacant Residential 2,169 1,039.07 715.77 25,464.06 715.77 25,464.06 Vacant Non- Residential 206 563.48 571.58 20,346.28 571.58 20,346.28 Total 23,577 9,330.73 27,431.50 $976,539.86 27,431.50 $976,539.86 (1) The difference in the “Balance to Levy” amount in Table 1 and the total FY 2019/2020 Levy amount in Table 2 is a rounding difference due to the Riverside County even penny requirement for each charged parcel. Actuals will be based on the final County Secured Roll for Fiscal Year 2019/2020. Differences are generally due to changes in County Land Use Classifications or Assessor Parcel Number changes. 155 2019/2020 City Of La Quinta L&L 89-1 Page 14 of 15 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. The attached Landscape Maintenance Map displays the landscape maintenance areas within the City. 156 Cactus Flower Esplanade Monticello Wild FlowerSun Flower Jefferson Square La Quinta Palms Rancho Ocotillo Quinterra SonrisaDesert Flower La Quinta Highlands AcaciaLa Quinta Del Oro Palm Royale C.C. Bella Vista Starlight Dunes Desert Pride (Reunion) Marbella Point Happy Estates Del Rey Topaz Aliso Del Rey Aliso II Highland Palms Rancho La Quinta Miraflores Watercolors Desert Cove Lake La Quinta Hadley Villas Hidden Canyon Laguna De La Paz Legacy Villas Rancho La Quinta Talante Renaissance Althea Parc La Quinta Desert Club Manor TR 1 Montero Estates La Quinta Golf Estates La Quinta Club & Resort Lago La Quinta La Quinta C.C. Estates Villas of La Quinta Haciendas at La Quinta The Seasons Duna La Quinta La Quinta Fairways Bajada Painted Cove The Citrus Desert Club TR Unit 5 Estancias Palmilla Watermark Villas Citrus El Dorado Gold Reserve Mountain View C.C. La Quinta Polo Estates Diamante La Canterra Polo Estates La Quinta Polo Estates Codorniz The Hideaway Madison Club Rancho Santana Carmela Griffin Ranch PGA West Greg Norman Monterra The Estates at La Quinta PGA West Legends The Village at the Palms Capistrano Piazza Serena Andalusia Trilogy Palizada Village at Coral Mtn. Stone Creek Ranch Coral Mtn Estates PGA West Palo Verde Santa Rosa Trails Alta Verde Lions Gate Santerra The Quarry Puerta Azul PGA West Residence Club Silver Rock Resort Tradition Malaga YMCA Seasons Dog Park Cove Oasis La Quinta High School Vista Dunes Fire Station #93 Fire Station #70 Fire Station #32 La Quinta Entrance Monument (Water Feature) La Quinta Entrance Monument (Water Feature) L a n d s c a p e M a i n t e n a n c e M a p FRED WARING DR JEFFERSON STDUNE PALMS RDWASHINGTON STWASHINGTON ST48TH AVENUE JEFFERSON ST52ND AVENUE CALLE TAMPICO MADISON ST54TH AVENUEMADISON ST58TH AVENUE Facilities Department Maintenance Division Contact: James Lindsey, Maintenance Manager Email: jlindsey@laquintaca.gov Direct Tel. (760) 777-7052 Design & Development Department Engineering Division GIS Contact: Ubaldo Ayón, Management Specialist Email: uayon@laquintaca.gov Direct Tel. (760) 777-7051 AIRPORT BLVD. MILES AVENUE ·|}þ1 1 1 ·|}þ1 1 1 0 0.25 0.5 0.75 10.125 MilesADAMS ST.FRED WARING DR MILES AVENUE 50TH AVENUE 52ND AVENUE 48TH AVENUE 50TH AVENUE CALLE TAMPICO AVENIDA BERMUDASEISENHOWER DRAVENIDAMONT E Z U M A 54TH AVENUE 58TH AVENUE 60TH AVENUE 62ND AVENUEMONROE STMONROE STDate: March 22, 2019 This map is for reference only. Legend Parkway Maintained by LLD (~89,257ft) Parkway Maintained by LLD (Wall Adjacent ~36,005ft) Parkways Maintained by HOA or Property Owners Facilities Maintained by LLD COLQCityLimits CALLE RONDOPARK STCALLE SINALOA DESERTCLUB DRSAGEBRUSH AVECALEO CALLE TECATE 53RD AVENUE EISENHOWER DR 47TH AVE SIMON DR SEELEY DR AUTO CTR DR WESTWARD HO DR BAY 157 2019/2020 City Of La Quinta L&L 89-1 Page 15 of 15 APPENDIX B – 2019/2020 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 2019/2020. 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. 158 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: ADOPT RESOLUTION TO REQUEST COUNTY OF RIVERSIDE PLACE COLLECTION COSTS FOR SOLID WASTE HANDLING SERVICES AT SINGLE-FAMILY DWELLINGS ON TAX ROLLS RECOMMENDATION Adopt a Resolution to request the County of Riverside place collection costs for solid waste handling services for single-family dwellings on the Tax Rolls. EXECUTIVE SUMMARY •The County Tax Assessor requires Council to annually adopt a resolution requesting that the cost of solid waste collection services be placed on the residential Tax Rolls. •Included in the residential and commercial recycling rates is the recycling process fee to address the realignment of recycling. •May 3, 2016, Council approved an Amended and Restated Agreement (Agreement) with Burrtec Waste and Recycling Services (Burrtec) that included property tax roll billing for residential customers. FISCAL IMPACT - None BACKGROUND/ANALYSIS The City contracts with Burrtec for solid waste collection, handling, and street sweeping services. The Agreement stipulates that the cost for single-family dwelling services will be collected on the Tax Rolls. Section 24 of the Agreement states Burrtec can adjust the rates per the Consumer Price Index and any increases from the Transfer Station (Attachment 1). Single-Family Dwelling 2018 Rate (existing) 2019 Rate (proposed) Service Component of Maximum Rate $10.25/month $10.67/month Disposal Component of Maximum Rate $4.50/month $5.59/month AB 939 Fee $0.10/month $0.10/month Total Rate $14.85/month $178.20/year $16.36/month $196.32/year CONSENT CALENDAR ITEM NO. 7 159 Additional Refuse Cart $7.28/month $87.36/year $7.49/month $89.88/year Backyard Service For refuse and first recycling carts/containers $6.86/month $82.32/year $7.06/month $84.72/year For each additional cart/container $6.86/month $82.32/year $7.06/month $84.72/year Surcharge for Homeowners’ Associations Desiring Monday Service 10 percent of Service Component These service costs are not subject to Proposition 218 (which provides that all taxes and most charges are subject to voter approval) because the Council does not set rates but instead establishes a rate ceiling pursuant to its regulatory authority. The Council may adjust the maximum rate ceiling each year. ALTERNATIVES Staff does not recommend an alternative. Prepared by: Gil Villalpando, Assistant to City Manager Approved by: Frank J. Spevacek, City Manager Attachment: 1. Burrtec Notification 160 RESOLUTION NO. 2019 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, REQUESTING THE COUNTY OF RIVERSIDE TO PLACE COLLECTION OF COSTS FOR SOLID WASTE HANDLING SERVICES AT SINGLE-FAMILY DWELLINGS ON THE TAX ROLLS WHEREAS, the La Quinta City Council wishes to ensure the uniform collection of rates for solid waste handling services at single-family dwellings and place collection thereof on the County of Riverside Tax Assessor’s Tax Rolls; and WHEREAS, the attached Exhibit A sets forth the maximum rates that may be collected for solid waste handling services at single-family dwellings in the City of La Quinta pursuant to a franchise agreement with an Effective Date of July 1, 2019, entitled “Agreement Between The City of La Quinta and Burrtec Waste and Recycling Services, LLC, for Solid Waste Handling Services”; and WHEREAS, the City of La Quinta has determined that applicable provisions, if any, of Proposition 218 (Articles XIII C and XIII D of the California Constitution) have been satisfied in connection with the matters addressed by the Resolution. NOW, THEREFORE, BE IT RESOLVED by the City of La Quinta, to adopt as follows: SECTION 1. The City Council hereby requests the Riverside County Tax Assessor to place collection of costs for solid waste handling services at single- family dwellings in the City on the County’s tax rolls as set forth by “Exhibit A” attached hereto and incorporated by this reference. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 4TH day of June, 2019, by the following vote: AYES: NOES: ABSENT: ABSTAIN: 161 Resolution No. 2019- Residential Waste Fee Schedule on Tax Roll Adopted: June 4, 2019 Page 2 of 3 ________________________ LINDA EVANS, Mayor City of La Quinta, California ATTEST: _________________________ MONIKA RADEVA, City Clerk City of La Quinta, California (CITY SEAL) APPROVED AS TO FORM: ___________________________ WILLIAM H. IHRKE, City Attorney City of La Quinta, California 162 Resolution No. 2019- Residential Waste Fee Schedule on Tax Roll Adopted: June 4, 2019 Page 3 of 3 163 164 ATTACHMENT 1 165 166 167 168 169 170 171 172 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: APPROVE AMENDMENT NO. 3 TO COOPERATIVE AGREEMENT BETWEEN THE CITY OF LA QUINTA AND THE CITY OF INDIO FOR THE DESIGN AND CONSTRUCTION OF STREET AND CANAL IMPROVEMENTS ALONG MADISON STREET FROM AVENUE 50 TO AVENUE 52 RECOMMENDATION Approve Amendment No. 3 to the Cooperative Agreement between the City of La Quinta and the City of Indio for the design and construction of street and canal improvements along Madison Street from Avenue 50 to Avenue 52; and authorize the City Manager to execute the amendment. EXECUTIVE SUMMARY •The Cities of La Quinta and Indio entered into a Cooperative Agreement (Agreement) on July 29, 2009 for the design and construction of a concrete box culvert to underground the Coachella Canal at the intersection of Madison Street and Avenue 50. •In December 2012, Council approved Amendment No. 1 to include the widening of Madison Street from Avenue 50 to Avenue 52 (Project). •On July 3, 2018, Council approved Amendment No. 2 for a total estimated project cost of $21,582,561. Indio’s City Council approved a total estimated project cost of $22,182,561. Due to the cost difference, Amendment No. 2 was not executed. •Amendment No. 3 (Attachment 1) reconciles these cost differences to reflect the project cost to date and the cost to complete. FISCAL IMPACT Amendment No. 3 would increase the City of La Quinta’s 12.5% share by $75,000 to $2,914,398. The total project cost is now $23,315,185. Coachella Valley Association of Governments (CVAG) is funding 75% ($17,486,389) and the City of Indio (Indio) 12.5% funding share is now $2,914,398. Adequate funding is available; the Capital Improvement Plan (CIP) allocates $2,914,994 for this Project. The City has previously deposited $700,000 with the City of Indio. This prior expenditure will be credited against the City’s overall 12.5% share. The City La Quinta has expended $88,535 on administrative costs which will be reimbursed by Indio. CONSENT CALENDAR ITEM NO. 8 173 BACKGROUND/ANALYSIS The Agreement outlines responsibilities and establishes the cost each agency will fund. It does not provide for any contingency for additional cost overruns. While not anticipated, any additional cost overruns will be negotiated in good faith. The proposed improvements (Attachment 2) include Phase I construction to underground the Coachella Canal at the intersection of Avenue 50 and Madison Street, and Phase II and III construction to widen and reconstruct Madison Street, from two to four lanes, between Avenue 50 and Avenue 52. Madison Street is under shared jurisdiction between the cities of Indio and La Quinta. Indio is serving as “Lead Agency” for the Project. Indio awarded a contract to construct the improvements on June 20, 2018. Construction is approximately 90% complete. There are several incomplete components located in La Quinta. Those include, per Council’s direction, to replace the sidewalk with DG in the west parkway (in the City of La Quinta), installing a block wall adjacent to the Giannini property and additional utility undergrounding costs. Amendment 3 includes the cost for these contract changes. ALTERNATIVES No alternative is recommended. Prepared by: Bryan McKinney, P.E., City Engineer Approved by: Frank J. Spevacek, City Manager Attachments: 1. Amendment 3 – La Quinta/Indio Cooperative Agreement 2 Vicinity Map/Improvement Exhibit 174 AMENDMENT NO. 3 TO THE COOPERATIVE AGREEMENT BY AND BETWEEN THE CITY OF INDIO AND CITY OF LA QUINTA FOR THE DESIGN AND CONSTRUCTION OF COACHELLA CANAL AT MADISON STREET/ AVENUE 50 This agreement constitutes Amendment No. 3 to the Cooperative Agreement by and between the City of Indio and City of La Quinta for the Design and Construction of Coachella Canal at Madison Street/Avenue 50 (hereinafter “Amendment No. 3”) entered into the 29th day of July, 2009, by and between the City of La Quinta, a municipal corporation and charter city, referred to herein as “LA QUINTA,” and the City of Indio, a municipal corporation, referred to herein as “INDIO.” Amendment No. 3 is entered into this ________ day of _____________, 2019. LA QUINTA and INDIO are collectively referred to in this Amendment No. 3 as “Parties.” RECITALS (1) INDIO and LA QUINTA previously entered into a Cooperative Agreement for the design and construction of certain Coachella Canal bridge improvements located at Madison Street and Avenue 50. (2) INDIO and LA QUINTA previously entered into Amendment 1 to the Cooperative Agreement to include the Madison Street Improvements from Avenue 50 to Avenue 52 and update the total project cost. The Cooperative Agreement and Amendment 1 to the Cooperative Agreement shall be referred to as the “Cooperative Agreement.” The collective improvements are referred to as the “STREET AND CANAL IMPROVEMENTS”. (3) INDIO approved a prior Amendment 2 on June 20, 2018, for a total estimate project cost of $22,182,561, whereas La Quinta approved a prior Amendment 2 on July 3, 2018 for a total project of $21,582,561. (4) INDIO and LA QUINTA now wish to document a revised agreement relating to the total expected costs and construction timing and resolve the prior discrepancy in the total project costs. (5) INDIO has secured funding for the STREET AND CANAL IMPROVEMENTS at Seventy-Five (75%) from CVAG controlled regional funds for eligible roadway improvements. The remaining Twenty-Five percent (25%), plus ineligible roadway costs, is referred to hereinafter as the “Local Share”. (6) INDIO received and opened bids for Phase III including construction of the ultimate street improvements for a total of five lanes on or about April 19, 2018 and awarded the contract on June 20, 2018. ATTACHMENT 1 175 (7) The updated total cost for the STREET AND CANAL IMPROVEMENTS is estimated at $23,315,185. (8) LA QUINTA wishes to ultimately contribute 50% of the estimated cost of the Local Share to complete the STREET AND CANAL IMPROVEMENTS. The estimate of the Local Share of the STREET AND CANAL IMPROVEMENTS is $5,828,796. Therefore, LA QUINTA’s contribution is estimated to be $2,914,398. (9) INDIO wishes to ultimately contribute 50% of the estimated cost of the Local Share to complete the STREET AND CANAL IMPROVEMENTS. Therefore, INDIO’S contribution is estimated to be $2,914,398. (10) LA QUINTA has already deposited $700,000 with INDIO. Therefore, LA QUINTA’s remaining contribution is estimated to be $2,214,398. NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is acknowledged, the PARTIES agree as follows: Paragraph (1) and Paragraph (2) of Section I of the Cooperative Agreement are modified to read as follows: “CITY OF LA QUINTA AGREES: (1) To pay an amount equal to Fifty percent (50%) of the Local Share of STREET AND CANAL IMPROVEMENTS costs for design, right of way, construction, inspection/testing/survey, contingency and administrative costs as described on attached Exhibit “A.” (2) To deposit a total of up to $2,914,398 which figure represents LA QUINTA’s estimated share of the cost of design, right of way acquisition, construction, inspection/testing/survey, contingency and administrative costs, as required to complete the STREET AND CANAL IMPROVEMENTS. LA QUINTA has already deposited with Indio $700,000 as part of the original Cooperative Agreement. LA QUINTA’s remaining amount is $2,214,398. All estimated costs are subject to adjustment based on actual cost when a Notice of Completion has been filed. Paragraph (1) of Section II of the Cooperative Agreement is modified to read as follows: INDIO AGREES: (1) To pay an amount equal to Fifty percent (50%) of the Local Share of STREET AND CANAL IMPROVEMENTS costs for design, right of way, construction, inspection/testing/survey, contingency and administrative costs as described on attached Exhibit “A.” To cause the preparation of the Plans, Specifications, and 176 Engineer’s Estimate (PS&E) for the STREET IMPROVEMENTS. PS&E is to be prepared in accordance with the standards and practices of INDIO and LA QUINTA and all applicable laws and regulations. Paragraph (1) and Paragraph (2) of Section III of the Cooperative Agreement are modified to read as follows: IT IS MUTUALLY AGREED AS FOLLOWS: (1) The total cost of STREET AND CANAL IMPROVEMENTS is estimated to be $23,315,185. The estimated cost of the LOCAL SHARE, after CVAG (75%) Regional Fund contribution is estimated at $5,828,796. (2) If based upon the construction bids and cumulative change orders, costs for the STREET AND CANAL IMPROVEMENTS, exceeds $5,828,796, INDIO, and LA QUINTA shall endeavor to negotiate in good faith to agree upon an alternative course of action. If, after sixty (60) calendar days from the date of bid opening, or from the date that change orders not yet authorized together with the construction bid award exceed $5,828,796, an alternative course of action is not agreed upon, this Amendment No. 2 shall be deemed to be terminated by mutual consent and without further action, with each agency sharing incurred costs in accordance with the cost shares as set forth in Section I, Article (1), Section II, Article (1), and Section III, Article (1). NOTICES: Any notice required to be send pursuant to this Agreement shall be sent by regular mail, addressed as indicated in the signature blocks which follow: CITY OF INDIO CITY OF LA QUINTA City of Indio City of La Quinta Mark Scott, City Manager Frank J. Spevacek, City Manager 100 Civic Center Mall 78-495 Calle Tampico Indio, CA 92202 La Quinta, CA 92253 REMAINING PROVISIONS: Except as specifically amended by this Second Amendment, all other provisions of the Cooperative Agreement (including Amendment No. 1) shall remain in full force and effect. If there are any inconsistencies between this Second Amendment and the Cooperative Agreement, the provisions of this Second Amendment shall prevail. 177 Dated:_________________________ Dated:_________________________ By:____________________________ By:____________________________ Michael H. Wilson, Mayor Linda Evans, Mayor ATTEST: ATTEST: By:____________________________ By:______________________________ Cynthia Hernandez, City Clerk Monica Radeva, Interim City Clerk APROVED AS TO FORM: APPROVED AS TO FORM: By:_____________________________ By:_____________________________ Roxanne M. Diaz William H. 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(951) 686-1070 FAX (951) 788-1256 38' CITY OF LA QUINTA PROJECT NO: 12-0049 DATE PREPARED: 06/13/2018 VISTA DEL MAR CENTER LEFT TURN LANE 38' CITY OF IND/O EXISTING RIW AND PROPOSED NEWCURB MADISON STREET MADISON STREET 21' PROPOSED RIW PROPOSED 8' BLOCK WALL AND/OR METAL FENCE BY PROPERTY OWNER PLANTER BY PROPERTY OWNER RETAINING WALL EXISTING POLO FIELDS UNDERGROUND STORMWATER RETENTION BASIN ALONG ROADWAY (BENEATH TRAIL) PROPOSED TRAFFIC SIGNAL COACHELLA CANAL --- AVENUE 50 I I I I AVENUE 51 ----- "- C � "-"- "-"- �) MADISON STREET IMPROVEMENT PROJECT FROM AVENUE 50 TO AVENUE 52183 184 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: APPROVE AGREEMENT FOR CONTRACT SERVICES WITH SOUTHSTAR ENGINEERING AND CONSULTING, INC TO PROVIDE CONSTRUCTION MANAGEMENT AND INSPECTION SERVICES FOR THE LA QUINTA VILLAGE COMPLETE STREETS PROJECT (PROJECT NO. 2015-03/ 151603) RECOMMENDATION Contingent upon Caltrans acceptance of the contract financial documents, approve Agreement for Contract Services with Southstar Engineering and Consulting, Inc., in the amount not to exceed $1,468,941, to provide construction management and inspection services for the La Quinta Village Complete Streets Project; and authorize the City Manager to finalize and execute the agreement. EXECUTIVE SUMMARY •In 2016, the City was awarded a $7.3M State Active Transportation Program (ATP) grant for the Village Complete Streets Project (Project), (Attachment 1); construction is scheduled to begin in late June/July 2019. •Due to the project’s complexity, staff recommends that a construction management and inspection services firm be retained to supplement staff capabilities. Southstar Engineering and Consulting, Inc. (Southstar) submitted the most qualified proposal for these services. FISCAL IMPACT This contract will cost $1,468,941, which is included in the total project budget of $13,608,786; the following lists the sources of funds: State ATP Grant $7,313,100 54% Measure A and SB1 Road Maintenance/Rehab $3,705,210 27% City Funding $2,519,776 18% Utility Reimbursements - CVWD $70,700 1% Total Budget $13,608,786 100% Funds are available in the La Quinta Village Complete Streets Capital Improvement Program budget (Project 2015-03/151603). CONSENT CALENDAR ITEM NO. 9 185 BACKGROUND/ANALYSIS Due to the complexity and construction duration, a construction management company is best suited to provide the construction management, inspection, survey, biological resource review, and material testing services needed to implement this project. The City circulated a Request for Proposals and received four (4) proposals on April 11, 2019. The Consultant Selection Committee consisted of staff and the project design team reviewed the proposals, interviewed the firms and recommend Southstar, in the amount not to exceed $1,468,941. In order to expedite the construction phase staff recommends approving this contract contingent upon Caltrans acceptance. Since this project includes State funds, Caltrans must review and approve this contract; staff anticipates that Caltrans will complete their review in 30 days. The following is the project schedule: Council Considers Agreement June 4, 2019 Caltrans Review/Approval June 5, 2019 to July 2, 2019 Construction (360 Working Days) June 2019 to October 2020 Accept Improvements November 2020 Construction will occur in three stages: Stage 1 - Calle Tampico from just east of Eisenhower Drive to Washington Street; Stage 2 - Calle Sinaloa/Avenue 52 from just east of Eisenhower Drive to Desert Club Drive; and Stage 3 - Eisenhower Drive from just north of Calle Tampico to Calle Sinaloa. ALTERNATIVES Staff does not recommend an alternative due to the funding timing constraints. Prepared by: Julie Mignogna, Management Analyst Approved by: Bryan McKinney, City Engineer Attachments: 1. Vicinity Map 2.Agreement for Contract Services 186 187 188 AGREEMENT FOR CONTRACT SERVICES 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 Southstar Engineering and Consulting, Inc., a California Corporation (“Contracting Party”). The parties hereto agree as follows: 1.SERVICES OF CONTRACTING PARTY. 1.1 Scope of Services. In compliance with all terms and conditions of this Agreement, Contracting Party shall provide those services related to Construction Management, Inspection, Material Testing, and Survey Services for the La Quinta Village Complete Streets – A Road Diet Project, City Project No. 2015-03 and State Project No. ATP03AL-5433(020) as specified in the “Scope of Services” attached hereto as “Exhibit A” and incorporated herein by this reference (the “Services”). Contracting Party represents and warrants that Contracting Party is a provider of first-class work and/or services and Contracting Party is experienced in performing the Services contemplated herein and, in light of such status and experience, Contracting Party covenants that it shall follow industry standards in performing the Services required hereunder, and that all materials, if any, will be of good quality, fit for the purpose intended. For purposes of this Agreement, the phrase “industry standards” shall mean those standards of practice recognized by one or more first-class firms performing similar services under similar circumstances. 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 and any Federal, State, or local governmental agency of competent jurisdiction. 1.3 Wage and Hour Compliance, Contracting Party shall comply with applicable Federal, State, and local wage and hour laws. 1.4 Licenses, Permits, Fees and Assessments. Except as otherwise specified herein, Contracting Party 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, including a City of La Quinta business license. Contracting Party and its employees, agents, and subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that are legally required for the performance of the Services required by this Agreement. Contracting Party 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 ATTACHMENT 2 189 -2- of the Services required by this Agreement, and shall indemnify, defend (with counsel selected by City), and hold City, its elected officials, officers, employees, and agents, free and harmless against any such fees, assessments, taxes, penalties, or interest levied, assessed, or imposed against City hereunder. Contracting Party shall be responsible for all subcontractors’ compliance with this Section. 1.5 Familiarity with Work. By executing this Agreement, Contracting Party warrants that (a) it has thoroughly investigated and considered the Services to be performed, (b) it has investigated the site where the Services are to be performed, if any, and fully acquainted itself with the conditions there existing, (c) it has carefully considered how the Services should be performed, and (d) it fully understands the facilities, difficulties, and restrictions attending performance of the Services under this Agreement. Should Contracting Party discover any latent or unknown conditions materially differing from those inherent in the Services or as represented by City, Contracting Party shall immediately inform City of such fact and shall not proceed except at Contracting Party’s risk until written instructions are received from the Contract Officer, or assigned designee (as defined in Section 4.2 hereof). 1.6 Standard of Care. Contracting Party acknowledges and understands that the Services contracted for under this Agreement require specialized skills and abilities and that, consistent with this understanding, Contracting Party’s work will be held to an industry standard of quality and workmanship. Consistent with Section 1.5 hereinabove, Contracting Party represents to City that it holds the necessary skills and abilities to satisfy the industry standard of quality as set forth in this Agreement. Contracting Party shall adopt reasonable methods during the life of this Agreement to furnish continuous protection to the Services performed by Contracting Party, 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 Services by City, except such losses or damages as may be caused by City’s own negligence. The performance of Services by Contracting Party shall not relieve Contracting Party 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 Contracting Party. 1.7 Additional Services. In accordance with the terms and conditions of this Agreement, Contracting Party shall perform services in addition to those specified in the Scope of Services (“Additional Services”) only when directed to do so by the Contract Officer, or assigned designee, provided that Contracting Party shall not be required to perform any Additional Services 190 -3- without compensation. Contracting Party shall not perform any Additional Services until receiving prior written authorization (in the form of a written change order if Contracting Party is a contractor performing the Services) from the Contract Officer, or assigned designee, incorporating therein any adjustment in (i) the Contract Sum, and/or (ii) the time to perform this Agreement, which said adjustments are subject to the written approval of Contracting Party. It is expressly understood by Contracting Party that the provisions of this Section shall not apply to the Services specifically set forth in the Scope of Services or reasonably contemplated therein. It is specifically understood and agreed that oral requests and/or approvals of Additional Services shall be barred and are unenforceable. Failure of Contracting Party to secure the Contract Officer’s, or assigned designee’s written authorization for Additional Services shall constitute a waiver of any and all right to adjustment of the Contract Sum or time to perform this Agreement, whether by way of compensation, restitution, quantum meruit, or the like, for Additional Services provided without the appropriate authorization from the Contract Officer, or assigned designee. Compensation for properly authorized Additional Services shall be made in accordance with Section 2.4 of this Agreement. 1.8 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”), which is incorporated herein by this reference and expressly made a part hereof. 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. 2.COMPENSATION. 2.1 Contract Sum. For the Services rendered pursuant to this Agreement, Contracting Party shall be compensated based on actual cost plus a fixed fee in accordance with “Exhibit B” (the “Schedule of Compensation”). The total amount payable by City including the Fixed Fee, as provided in Section 2.2, shall not exceed One million Four Hundred and Sixty-Eight Thousand Nine Hundred and Forty-One Dollars ($1,468,941.00) (the “Contract Sum”), except as provided in Section 1.7. The City will reimburse Contracting Party for actual costs (including labor costs, employee benefits, travel, equipment rental costs, overhead and other direct costs) incurred by Contracting Party in performance of the work, provided the payment of those costs does not result in an amount exceeding the Contract Sum. Contracting Party will not be reimbursed for actual costs that exceed the estimated wage rates, employee benefits, travel, equipment rental, overhead, and other estimated costs set forth in the Schedule of Compensation, except as provided in Section 1.7. In no event will Contracting Party be reimbursed for overhead 191 -4- costs at a rate that exceeds City’s approved overhead rate set forth in the Schedule of Compensation. The Contract Sum shall include the attendance of Contracting Party at all project meetings reasonably deemed necessary by City; Contracting Party shall not be entitled to any additional compensation for attending said meetings. 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. Contracting Party’s overall compensation shall not exceed the Contract Sum, except as provided in Section 1.7 of this Agreement. 2.2 Allowable Costs. The indirect cost rate established for this Agreement is extended through the duration of this specific Agreement. Contracting Party’s agreement to the extension of the 1-year applicable period shall not be a condition or qualification to be considered for the work or Agreement award. Reimbursement for transportation and subsistence costs shall not exceed the rates specified in the Schedule of Compensation. When milestone cost estimates are included in the Schedule of Compensation, Contracting Party shall obtain prior written approval for a revised milestone cost estimate from the Contract Officer before exceeding such cost estimate. Salary increases will be reimbursable if the new salary is within the salary range identified in the Schedule of Compensation and is approved by City’s Contract Officer and does not result in an amount exceeding the Contract Sum. For personnel subject to prevailing wage rates as described in the California Labor Code, all salary increases, which are the direct result of changes in the prevailing wage rates are reimbursable and subject to the not to exceed amount of the Contract Sum. In addition to the allowable incurred costs, City will pay Contracting Party a fixed fee of Forth-Nine Thousand, Six Hundred Seventy-One Dollars and Eight Cents ($49,671.08) (the “Fixed Fee”), provided the payment of the Fixed Fee does not result in an amount exceeding the Contract Sum. The Fixed Fee is nonadjustable for the term of the Agreement, except as provided for in Section 1.7. 2.3 Method of Billing & Payment. Progress payments will be made monthly in arrears based on services provided and allowable incurred costs. A pro rata portion of the Fixed Fee will be included in the monthly progress payments. Any month in which Contracting Party wishes to receive payment, Contracting Party 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. Invoices shall be submitted no later than thirty (30) calendar days after the performance of work for which Contracting Party is billing. Invoices shall detail the work performed on each milestone and each project as applicable. Invoices shall follow the format stipulated in the Schedule of Compensation and shall 192 -5- reference this Agreement number (or City project number for which this Agreement applies) and project title. Invoices shall contain a certification by a principal member of Contracting Party specifying that the payment requested is for Services performed in accordance with the terms of this Agreement. Upon approval in writing by the Contract Officer, or assigned designee, and subject to retention pursuant to Section 8.3, City will pay Contracting Party for all items 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. If Contracting Party fails to submit the required deliverable items according to the schedule set forth in Section 3.2, City shall have the right to delay payment or terminate this Agreement. No payment will be made prior to approval of any work, nor for any work performed prior to approval of this Agreement. The final invoice must contain the final cost and all credits due City including any equipment purchased under the provisions of Section 12.6. Except as provided for Section 10.3, the final invoice should be submitted within sixty (60) calendar days after completion of Contracting Party’s work. 2.4 Compensation for Additional Services. Additional Services approved in advance by the Contract Officer, or assigned designee, pursuant to Section 1.7 of this Agreement shall be paid for in an amount agreed to in writing by both City and Contracting Party in advance of the Additional Services being rendered by Contracting Party. Any compensation for Additional Services amounting to five percent (5%) or less of the Contract Sum may be approved by the Contract Officer, or assigned designee. Any greater amount of compensation for Additional Services must be approved by the La Quinta City Council, the City Manager, or Department Director, depending upon City laws, regulations, rules and procedures concerning public contracting. Under no circumstances shall Contracting Party receive compensation for any Additional Services unless prior written approval for the Additional Services is obtained from the Contract Officer, or assigned designee, pursuant to Section 1.7 of this Agreement. 3.PERFORMANCE SCHEDULE. 3.1 Time of Essence. Time is of the essence in the performance of this Agreement. If the Services not completed in accordance with the Schedule of Performance, as set forth in Section 3.2 and “Exhibit C”, it is understood that the City will suffer damage. 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, or assigned designee. 193 -6- 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 Contracting Party, 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 Contracting Party shall within ten (10) days of the commencement of such delay notify the Contract Officer, or assigned designee, in writing of the causes of the delay. The Contract Officer, or assigned designee, 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 the Contract Officer’s judgment such delay is justified, and the Contract Officer’s determination, or assigned designee, shall be final and conclusive upon the parties to this Agreement. Extensions to time period in the Schedule of Performance which are determined by the Contract Officer, or assigned designee, to be justified pursuant to this Section shall not entitle the Contracting Party to additional compensation in excess of the Contract Sum. 3.4 Term. Unless earlier terminated in accordance with the provisions in Article 8 of this Agreement, the term of this agreement shall commence on June 5, 2019, contingent upon approval by City, and Contracting Party shall commence work after notification to proceed by City’s Contract Officer. The Agreement shall terminate on December 31, 2020 unless extended by an Amendment to this Agreement. Contracting Party is advised that any recommendation for Agreement award is not binding on City until the Agreement is fully executed and approved by City. 4.COORDINATION OF WORK. 4.1 Representative of Contracting Party. The following principals of Contracting Party (“Principals”) are hereby designated as being the principals and representatives of Contracting Party authorized to act in its behalf with respect to the Services specified herein and make all decisions in connection therewith: (a)Amr Abuelhassan, PE, Executive Vice President/CFO Tel No. (909) 262-7858 E-mail: amra@southstareng.com (b)Jason Bernnecke, PE, Principal Tel No. (909) 262-7858 Email: jason@southstareng.com 194 -7- 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 Contracting Party and devoting sufficient time to personally supervise the Services hereunder. For purposes of this Agreement, the foregoing Principals may not be changed by Contracting Party and no other personnel may be assigned to perform the Services required hereunder without the express written approval of City. 4.2 Contract Officer. The “Contract Officer”, otherwise known as Bryan McKinney, PE, City Engineer or assigned designee may be designated in writing by the City Manager of the City. It shall be Contracting Party’s responsibility to assure that the Contract Officer, or assigned designee, is kept informed of the progress of the performance of the Services, and Contracting Party shall refer any decisions, that must be made by City to the Contract Officer, or assigned designee. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Contract Officer, or assigned designee. The Contract Officer, or assigned designee, shall have authority to sign all documents on behalf of City required hereunder to carry out the terms of this Agreement. 4.3 Prohibition Against Subcontracting or Assignment. The experience, knowledge, capability, and reputation of Contracting Party, its principals, and its employees were a substantial inducement for City to enter into this Agreement. Except as set forth in this Agreement, Contracting Party shall not contract or subcontract 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 transferred, assigned, conveyed, hypothecated, or encumbered, voluntarily or by operation of law, without the prior written approval of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty five percent (25%) of the present ownership and/or control of Contracting Party, taking all transfers into account on a cumulative basis. Any attempted or purported assignment or contracting or subcontracting by Contracting Party without City’s express written approval shall be null, void, and of no effect. No approved transfer shall release Contracting Party of any liability hereunder without the express consent 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 Contracting Party, its agents, or its employees, perform the Services required herein, except as otherwise set forth herein. City shall have no voice in the selection, 195 -8- discharge, supervision, or control of Contracting Party’s employees, servants, representatives, or agents, or in fixing their number or hours of service. Contracting Party 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. Contracting Party 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. City shall not in any way or for any purpose become or be deemed to be a partner of Contracting Party in its business or otherwise or a joint venture or a member of any joint enterprise with Contracting Party. Contracting Party shall have no power to incur any debt, obligation, or liability on behalf of City. Contracting Party 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. Except for the Contract Sum paid to Contracting Party as provided in this Agreement, City shall not pay salaries, wages, or other compensation to Contracting Party for performing the Services hereunder for City. City shall not be liable for compensation or indemnification to Contracting Party for injury or sickness arising out of performing the Services hereunder. Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Contracting Party and any of its employees, agents, and subcontractors providing services under this Agreement shall not qualify for or become entitled to any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California Public Employees Retirement System (“PERS”) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits. Contracting Party agrees to pay all required taxes on amounts paid to Contracting Party under this Agreement, and to indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement. Contracting Party shall fully comply with the workers’ compensation laws regarding Contracting Party and Contracting Party’s employees. Contracting Party further agrees to indemnify and hold City harmless from any failure of Contracting Party to comply with applicable workers’ compensation laws. City shall have the right to offset against the amount of any payment due to Contracting Party under this Agreement any amount due to City from Contracting Party as a result of Contracting Party’s failure to promptly pay to City any reimbursement or indemnification arising under this Section. 4.5 Identity of Persons Performing Work. Contracting Party represents that it employs or will employ at its own expense all personnel required for the satisfactory performance of any and all of the Services set forth herein. Contracting Party represents that the Services required herein will be performed by Contracting Party or under its direct supervision, and 196 -9- that all personnel engaged in such work shall be fully qualified and shall be authorized and permitted under applicable State and local law to perform such tasks and services. 4.6 City Cooperation. City shall provide Contracting Party with any plans, publications, reports, statistics, records, or other data or information pertinent to the Services to be performed hereunder which are reasonably available to Contracting Party only from or through action by City. 5.INSURANCE. 5.1 Insurance. Prior to the beginning of any Services under this Agreement and throughout the duration of the term of this Agreement, Contracting Party shall procure and maintain, at its sole cost and expense, and submit concurrently with its execution of this Agreement, policies of insurance as set forth in “Exhibit E” (the “Insurance Requirements”) which is incorporated herein by this reference and expressly made a part hereof. 5.2 Proof of Insurance. Contracting Party shall provide Certificate of Insurance to Agency along with all required endorsements. Certificate of Insurance and endorsements must be approved by Agency’s Risk Manager prior to commencement of performance. 6.INDEMNIFICATION. 6.1 Indemnification. To the fullest extent permitted by law, Contracting Party shall indemnify, protect, defend (with counsel selected by City), and hold harmless City and any and all of its officers, employees, agents, and volunteers as set forth in “Exhibit F” (“Indemnification”) which is incorporated herein by this reference and expressly made a part hereof. 7.RECORDS AND REPORTS. 7.1 Reports. Contracting Party shall periodically prepare and submit to the Contract Officer, or assigned designee, such reports concerning Contracting Party’s performance of the Services required by this Agreement as the Contract Officer, or assigned designee, shall require. Contracting Party’s Project Manager shall meet with City as necessary to discuss progress on the Agreement. Contracting Party hereby acknowledges that City is greatly concerned about the cost of the Services to be performed pursuant to this Agreement. For this reason, Contracting Party agrees that if Contracting Party becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the Services contemplated herein or, if Contracting Party is providing design services, the cost of the project being designed, Contracting Party shall promptly notify the Contract 197 -10- Officer, or assigned designee, of said fact, circumstance, technique, or event and the estimated increased or decreased cost related thereto and, if Contracting Party is providing design services, the estimated increased or decreased cost estimate for the project being designed. 7.2 Records. Contracting Party shall keep, and require any subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports (including but not limited to payroll reports), studies, independent certified public accountant (CPA) “Audited Indirect Cost Rate” workpapers, or other documents relating to the disbursements charged to City and the Services performed hereunder (the “Books and Records”), as shall be necessary to perform the Services required by this Agreement and enable the Contract Officer, or assigned designee, to evaluate the performance of such Services. Any and all such Books and Records, including those of the Contracting Party’s independent CPA, shall be maintained in accordance with generally accepted accounting principles and shall be complete and detailed. The Contract Officer, California Department of Transportation (Caltrans) Auditor, Federal Highway Administration (FHWA) or any duly authorized representative of the Federal government having jurisdiction under Federal laws or regulations (including the basis of Federal Funding in whole or in part), or assigned designee, shall have full and free access to such Books and Records at all times during normal business hours of City, including the right to inspect, copy, audit, and make records and transcripts from such Books and Records. Such Books and Records shall be maintained for a period of three (3) years following completion of the Services hereunder, and City shall have access to such Books and Records in the event any audit, examination, workpaper review, excerpt, or transaction is required. In the event of dissolution of Contracting Party’s business, custody of the Books and Records may be given to City, and access shall be provided by Contracting Party’s successor in interest. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds Ten Thousand Dollars ($10,000.00), this Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of City, for a period of three (3) years after final payment under this Agreement. 7.3 Ownership of Documents. All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents, and other materials plans, drawings, estimates, test data, survey results, models, renderings, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings, digital renderings, or data stored digitally, magnetically, or in any other medium prepared or caused to be prepared by Contracting Party, its employees, subcontractors, and agents in the 198 -11- performance of this Agreement (the “Documents and Materials”) shall be the property of City and shall be delivered to City upon request of the Contract Officer, or assigned designee, or upon the expiration or termination of this Agreement, and Contracting Party shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership use, reuse, or assignment of the Documents and Materials hereunder. Any use, reuse or assignment of such completed Documents and Materials for other projects and/or use of uncompleted documents without specific written authorization by Contracting Party will be at City’s sole risk and without liability to Contracting Party, and Contracting Party’s guarantee and warranties shall not extend to such use, revise, or assignment. Contracting Party may retain copies of such Documents and Materials for its own use. Contracting Party shall have an unrestricted right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any Documents and Materials prepared by them, and in the event Contracting Party fails to secure such assignment, Contracting Party shall indemnify City for all damages resulting therefrom. 7.4 In the event City or any person, firm, or corporation authorized by City reuses said Documents and Materials without written verification or adaptation by Contracting Party 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 Contracting Party from liability resulting from said change. The provisions of this clause shall survive the termination or expiration of this Agreement and shall thereafter remain in full force and effect. 7.5 In the event of Termination under Article 8, immediately upon termination, City shall be entitled to, and Contracting Party shall deliver to City, reports, investigations, appraisals, inventories, studies, analyses, drawings and data estimates performed to that date, whether completed or not, and other such materials as may have been prepared or accumulated to date by Contracting Party in performing this Agreement which is not Contracting Party’s privileged information, as defined by law, or Contracting Party’s personnel information, along with all other property belonging exclusively to City which is in Contracting Party’s possession. 7.6 Licensing of Intellectual Property. This Agreement creates a non- exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, rights of reproduction, and other intellectual property embodied in the Documents and Materials. Contracting Party shall require all subcontractors, if any, to agree in writing that City is granted a non-exclusive and perpetual license for the Documents and Materials the subcontractor prepares under this Agreement. Contracting Party 199 -12- represents and warrants that Contracting Party has the legal right to license any and all of the Documents and Materials. Contracting Party makes no such representation and warranty in regard to the Documents and Materials which were prepared by design professionals other than Contracting Party or provided to Contracting Party by City. City shall not be limited in any way in its use of the Documents and Materials at any time, provided that any such use not within the purposes intended by this Agreement shall be at City’s sole risk. Publication of the information derived from work performed or data obtained in connection with services rendered under this Agreement must be approved in writing by City. Additionally, it is agreed that the Parties intend this to be an Agreement for services and each considers the products and results of the services to be rendered by Contracting Party hereunder to be work made for hire. Contracting Party acknowledges and agrees that the work (and all rights therein, including, without limitation, copyright) belongs to and shall be the sole and exclusive property of City without restriction or limitation upon its use or dissemination by City. 7.7 Release of Documents. The Documents and Materials shall not be released publicly without the prior written approval of the Contract Officer, or assigned designee, or as required by law. Contracting Party 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. Contracting Party shall not issue any news release or public relations item of any nature for any media, whatsoever, regarding the Records and Materials and work performed or to be performed under this Agreement, without the City’s prior written consent. 7.8 Confidential or Personal Identifying Information. Contracting Party covenants that all City data, data lists, trade secrets, documents with personal identifying information, documents that are not public records, draft documents, discussion notes, or other information, if any, developed or received by Contracting Party or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Contracting Party to any person or entity without prior written authorization by City or unless required by law. City shall grant authorization for disclosure if required by any lawful administrative or legal proceeding, court order, or similar directive with the force of law. Permission to disclose the aforementioned City confidential information on one occasion, or public hearing held by City relating to the Agreement, shall not authorize Contracting Party to further disclose such information, or disseminate the same on any other occasion. Contracting Party shall not comment publicly to the press or any other media regarding the aforementioned City confidential information except to City’s staff, at public hearings when raised by the City’s staff or City Council, or in response to questions from a Legislative committee. All City data, data lists, trade 200 -13- secrets, documents with personal identifying information, documents that are not public records, draft documents, discussions, or other information shall be returned to City upon the termination or expiration of this Agreement. Contracting Party’s covenant under this section shall survive the termination or expiration of this Agreement. 8.ENFORCEMENT OF AGREEMENT. 8.1 California Law. This Agreement shall be interpreted, construed, and governed both as to validity and to performance of the parties in accordance with the laws of the State of California without regard to conflict of law principles. 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 Contracting Party covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. 8.2 Disputes; Right to Cure; Meet and Confer. 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, or assigned designee; provided that if the default is an immediate danger to the health, safety, or 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 this Article 8. During the period of time that Contracting Party is in default, City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices. In the alternative, City may, in its sole discretion, elect to pay some or all of the outstanding invoices during any period of default. During the period allowed for cure in this Section, and prior to either party commencing any legal action under Section 8.1 and other provisions in this Agreement, the parties may meet and confer in good faith to settle a dispute amicably between them. The injured party shall have the right to commence the good-faith meet and confer negotiations by written notice thereof to the injuring party. If a dispute has not been resolved after forty-five (45) days of good-faith negotiations (commencing from the date the injured party delivers notice to participate in good-faith meet and confer negotiations) or the expiration of the 201 -14- cure period provided in this Section, whichever date is earlier, then either party may commence legal action against the other. As part of the good-faith meet and confer negotiations, any dispute, other than audit, concerning a question of fact arising under this Agreement that is not disposed of by agreement shall be decided by a committee consisting of City’s Contract Administrator and City Manager (or authorized designee), who may consider written or verbal information submitted by Contracting Party. If a dispute is not resolved by good-faith meet and confer negotiations, and a legal action has not commenced by the time all work under this Agreement is alleged to have been completed, then not later than thirty (30) calendar days after alleged completion of all work under the Agreement, Contracting Party may request review by the La Quinta City Council of unresolved claims or disputes, other than audit; such a request for review shall be submitted in writing; neither the pendency of a dispute nor its consideration by the City committee or City Council will excuse Contracting Party from full and timely performance in accordance with the terms of this Agreement; and, notwithstanding any of the alternative dispute resolution provisions in this Section, neither party waives or releases any rights or remedies the party has under this Agreement or at law or in equity when using the alternative dispute resolution provisions in this Section. Furthermore, any audit disputes shall be considered as provided for Article 10. 8.3 Retention of Funds. City may withhold from any monies payable to Contracting Party sufficient funds to compensate City for any losses, costs, liabilities, or damages it reasonably believes were suffered by City due to the default of Contracting Party 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 Contracting Party 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 Contracting Party. Any waiver by either party of any default must be in writing and shall not be a 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. 202 -15- 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 declaratory or 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 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 Contracting Party. Upon receipt of any notice of termination, Contracting Party shall immediately cease all Services hereunder except such as may be specifically approved by the Contract Officer, or assigned designee. Upon termination, City shall be entitled to all work, including but not limited to, reports, investigations, appraisals, inventories, studies, analyses, drawings and data estimates performed to that date, whether completed or not, and in accordance with Section 7.5. Contracting Party 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, or assigned designee, thereafter in accordance with the Schedule of Compensation or such as may be approved by the Contract Officer, or assigned designee, except amounts held as a retention pursuant to this Agreement. 8.8 Termination for Default of Contracting Party. If termination is due to the failure of Contracting Party to fulfill its obligations under this Agreement, Contracting Party shall vacate any City-owned property which Contracting Party is permitted to occupy hereunder and City may, after compliance with the provisions of Section 8.2, take over the Services and prosecute the same to completion by contract or otherwise, and Contracting Party 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 Contracting Party for the purpose of setoff or partial payment of the amounts owed City. 8.9 Attorneys’ Fees. If either party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorneys’ fees; provided, however, that the attorneys’ fees awarded pursuant to this Section shall not exceed the hourly rate paid by City for legal services multiplied by the reasonable number of hours spent by the prevailing party in the conduct of 203 -16- the litigation. Attorneys’ fees shall include attorneys’ fees on any appeal, and in addition a party entitled to attorneys’ fees shall be entitled to all other reasonable costs for investigating such action, taking depositions and discovery, and all other necessary costs the court allows which are incurred in such litigation. All such fees shall be deemed to have accrued on commencement of such action and shall be enforceable whether or not such action is prosecuted to judgment. The court may set such fees in the same action or in a separate action brought for that purpose. 8.10 Suspension of Work. City may temporarily suspend this Agreement, at no additional cost to City, provided that Contracting Party is given written notice (delivered by certified mail, return receipt requested) of temporary suspension. If City gives such notice of temporary suspension, Contracting Party shall immediately suspend its activities under this Agreement. A temporary suspension may be issued concurrent with the notice of termination provided for in this Article 8. 9.CITY OFFICERS AND EMPLOYEES; NONDISCRIMINATION. 9.1 Non-liability of City Officers and Employees. No officer, official, employee, agent, representative, or volunteer of City shall be personally liable to Contracting Party, or any successor in interest, in the event or any default or breach by City or for any amount which may become due to Contracting Party or to its successor, or for breach of any obligation of the terms of this Agreement. 9.2 Conflict of Interest. Contracting Party covenants that neither it, nor any officer or principal of it, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contracting Party’s performance of the Services under this Agreement. Contracting Party further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent, or subcontractor without the express written consent of the Contract Officer, or assigned designee. Contracting Party agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement. During the term of this Agreement, the Contracting Party shall disclose any financial, business, or other relationship with City that may have an impact upon the outcome of this Agreement or any ensuing City construction project. The Contracting Party shall also list current clients who may have a financial interest in the outcome of this Agreement or any ensuing City construction project which will follow. No officer or employee of City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee 204 -17- participate in any decision relating to this Agreement which effects his financial interest or the financial interest of any corporation, partnership or association in which he is, directly or indirectly, interested, in violation of any State statute or regulation. Contracting Party warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement. Contracting Party certifies that it has disclosed to City any actual, apparent, or potential conflicts of interest that may exist relative to the services to be provided pursuant to this Agreement. Contracting Party agrees to advise City of any actual, apparent or potential conflicts of interest that may develop subsequent to the date of execution of this Agreement. Contracting Party further agrees to complete any statements of economic interest if required by either City ordinance or State law. 9.3 Covenants against Discrimination. The Contracting Party’s signature affixed herein and dated shall constitute a certification under penalty of perjury under the laws of the State of California that the Contracting Party has, unless exempt, complied with the nondiscrimination program requirements of California Government Code Section 12990 and Title 2, Section 11102 (former Section 8301) of the California Code of Regulations (CCR). During the performance of this Agreement, Contracting Party and its subcontractors shall not deny the Agreement’s benefits to any person on the basis of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, gender, gender identity, gender expression, age, sexual orientation, or military and veteran status, nor shall they unlawfully discriminate, harass, or allow harassment against any employee or applicant for employment because of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, gender, gender identity, gender expression, age, sexual orientation, or military and veteran status. Contracting Party and subcontractors shall insure that the evaluation and treatment of their employees and applicants for employment are free from such discrimination and harassment. Contracting Party and subcontractors shall comply with the provisions of the Fair Employment and Housing Act (Cal. Gov. Code § 12990 et seq.), the applicable regulations promulgated there under (2 CCR § 11000 et seq.), the provisions of California Government Code §§ 11135-11139.5, and the regulations or standards adopted by City to implement such article. The applicable regulations of the Fair Employment and Housing Commission implementing California Government Code § 12990(a)-(f), set forth Title 2, 205 -18- Section 11099-11124 (former sections 8100-8504) of the CCR, are incorporated into this Agreement by reference and made a part hereof as if set forth in full. Contracting Party shall permit access by representatives of the Department of Fair Employment and Housing and the City upon reasonable notice at any time during the normal business hours, but in no case less than twenty-four (24) hours’ notice, to such of its books, records, accounts, and all other sources of information and its facilities as said Department or City shall require to ascertain compliance with this clause. Contracting Party and its subcontractors shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other Agreement. Contracting Party shall include the nondiscrimination and compliance provisions of this clause in all subcontracts to perform work under this Agreement. The Contracting Party, with regard to the work performed under this Agreement, shall act in accordance with Title VI of the Civil Rights Act of 1964 (42 U.S.C. §2000d et seq.). Title VI provides that the recipients of federal assistance will implement and maintain a policy of nondiscrimination in which no person in the United States shall, on the basis of race, color, national origin, religion, sex, age, disability, be excluded from participation in, denied the benefits of or subject to discrimination under any program or activity by the recipients of federal assistance or their assignees and successors in interest. The Contracting Party shall comply with regulations relative to non- discrimination in federally-assisted programs of the U.S. Department of Transportation (Title 49, Part 21 of the Code of Federal Regulations (CFR) - Effectuation of Title VI of the Civil Rights Act of 1964). Specifically, the Contracting Party shall not participate either directly or indirectly in the discrimination prohibited by 49 CFR § 21.5, including employment practices and the selection and retention of Subcontractors. 10.AUDIT REVIEW PROCEDURES. 10.1 Audit Disputes. Any dispute concerning a question of fact arising under an interim or post audit of this Agreement that is not disposed of by agreement provided for in Article 8, shall be reviewed by City’s Chief Financial Officer. Not later than thirty (30) calendar days after issuance of the final audit report, Contracting Party may request a review by City’s Chief Financial Officer of unresolved audit issues. The request for review will be submitted in writing. Neither the pendency of a dispute nor its consideration by City will excuse Contracting Party from full and timely performance, in accordance with the terms of this Agreement. 206 -19- 10.2 Audit Review Procedures. Contracting Party and subcontractor agreements, including Schedule of Compensation, cost proposals and Indirect Cost Rates (ICR), may be subject to audits or reviews such as, but not limited to, an agreement audit, an incurred cost audit, an ICR Audit, or a CPA ICR audit work paper review. If selected for audit or review, this Agreement, cost proposal and ICR and related work papers, if applicable, will be reviewed to verify compliance with 48 CFR Part 31 and other related laws and regulations. In the instances of a CPA ICR audit work paper review it is Contracting Party’s responsibility to ensure federal, state, City, or local government officials are allowed full access to the CPA’s work papers including making copies as necessary. The Agreement, cost proposal, and ICR shall be adjusted by Contracting Party and approved by City Contract Officer to conform to the audit or review recommendations. Contracting Party agrees that individual terms of costs identified in the audit report shall be incorporated into this Agreement by this reference if directed by City at its sole discretion. Refusal by Contracting Party to incorporate audit or review recommendations, or to ensure that the federal, state, City or local governments have access to CPA work papers, will be considered a breach of Agreement terms and cause for termination under Article 8 of the Agreement and disallowance of prior reimbursed costs. 10.3 Caltrans Audits and Investigations Work Paper Review. Contracting Party’s Schedule of Compensation may be subject to a CPA ICR “Audit Work Paper Review” and/or audit by Caltrans Audits and Investigation (A&I). Caltrans A&I, at its sole discretion, may review and/or audit and approve the CPA ICR documentation. The Schedule of Compensation shall be adjusted by the Contracting Party and approved by the City Contract Officer to conform to the Work Paper Review recommendations included in the management letter or audit recommendations included in the audit report. Refusal by the Contracting Party to incorporate the Work Paper Review recommendations included in the management letter or audit recommendations included in the audit report will be considered a breach of the Agreement terms and cause for termination under Article 8 of the Agreement and disallowance of prior reimbursed costs. During Caltrans A&I’s review of the ICR audit work papers created by the Contracting Party’s independent CPA, Caltrans A&I will work with the CPA and/or Contracting Party toward a resolution of issues that arise during the review. Each party agrees to use its best efforts to resolve any audit disputes in a timely manner. If Caltrans A&I identifies significant issues during the review and is unable to issue a cognizant approval letter, City will reimburse the Contracting Party at an “accepted rate” (defined below) until a Federal Acquisition Regulation (FAR)-compliant ICR (pursuant to, for example, 48 CFR Part 31; GAGAS (Generally Accepted Auditing Standards); CAS (Cost 207 -20- Accounting Standards), if applicable; in accordance with procedures and guidelines of the American Association of State Highways and Transportation Officials (AASHTO) Audit Guide; and other applicable procedures and guidelines) is received and approved by A&I. “Accepted rates” will be as follows: A.If the proposed rate is less than one hundred fifty percent (150%) - the accepted rate reimbursed will be ninety percent (90%) of the proposed rate. B.If the proposed rate is between one hundred fifty percent (150%) and two hundred percent (200%) - the accepted rate will be eighty- five percent (85%) of the proposed rate. C.If the proposed rate is greater than two hundred percent (200%) - the accepted rate will be seventy-five percent (75%) of the proposed rate. If Caltrans A&I is unable to issue a cognizant letter per this Section 10.3, Caltrans A&I may require Contracting Party to submit a revised independent CPA-audited ICR and audit report within three (3) months of the effective date of the management letter. Caltrans A&I will then have up to six (6) months to review the Contracting Party’s and/or the independent CPA’s revisions. If the Contracting Party fails to comply with the provisions of this Section 10.3, or if Caltrans A&I is still unable to issue a cognizant approval letter after the revised independent CPA audited ICR is submitted, overhead cost reimbursement will be limited to the accepted ICR that was established upon initial rejection of the ICR and set forth this Section 10.3 for all rendered services. In this event, this accepted ICR will become the actual and final ICR for reimbursement purposes under this Agreement. Contracting Party may submit to City a final invoice only when all of the following items have occurred: (1) Caltrans A&I accepts or adjusts the original or revised independent CPA audited ICR; (2) all work under this Agreement has been completed to the satisfaction of City; and (3) Caltrans A&I has issued its final ICR review letter. The Contracting Party must submit its final invoice to City no later than sixty (60) calendar days after occurrence of the last of these items. The accepted ICR will apply to this Agreement and all other agreements executed between City and the Contracting Party, either as a prime or subcontractor, with the same fiscal period ICR. 208 -21- 11.STATE PREVAILING WAGE RATES 11.1 State Prevailing Wage Rates. No contractor (including Contracting Party) or subcontractor may be awarded an Agreement containing public work elements unless registered with the Department of Industrial Relations (DIR) pursuant to California Labor Code Section 1725.5. Registration with DIR must be maintained throughout the entire term of this Agreement, including any subsequent amendments. The Contract Party shall comply with all of the applicable provisions of the California Labor Code requiring the payment of prevailing wages. The General Prevailing Wage Rate Determinations applicable to work under this Agreement are available and on file with the Department of Transportation's Regional/District Labor Compliance Officer. These wage rates are made a specific part of this Agreement by reference pursuant to Labor Code Section 1773.2 and will be applicable to work performed at a construction project site. Prevailing wages will be applicable to all inspection work performed at City construction sites, at City facilities and at off-site locations that are set up by the construction contractor or one of its subcontractors solely and specifically to serve City projects. Prevailing wage requirements do not apply to inspection work performed at the facilities of vendors and commercial materials suppliers that provide goods and services to the general public. General Prevailing Wage Rate Determinations applicable to this project may also be obtained from the Department of Industrial Relations Internet site at http://www.dir.ca.gov. 11.2 Payroll Records. Contracting Party and each Subcontractor shall keep accurate certified payroll records and supporting documents as mandated by Labor Code Section 1776 and as defined in Title 8 Section 16000 of the CCR, showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by the Contracting Party or a subcontractor in connection with the public work. Each payroll record shall contain or be verified by a written declaration that it is made under penalty of perjury, stating both of the following: A.The information contained in the payroll record is true and correct. B.The employer has complied with the requirements of Labor Code Sections 1771, 1811, and 1815 for any work performed by his or her employees on the public works project. The payroll records enumerated under this Section 11.2 shall be certified as correct by the Contracting Party under penalty of perjury. The payroll records and all supporting documents shall be made available for inspection and copying by City Contract Officer at all reasonable hours at the principal 209 -22- office of the Contracting Party. The Contracting Party shall provide copies of certified payrolls or permit inspection of its records as follows: A.A certified copy of an employee's payroll record shall be made available for inspection or furnished to the employee or the employee's authorized representative on request. B.A certified copy of all payroll records enumerated in this Section 11.2 shall be made available for inspection or furnished upon request to a representative of City, the Division of Labor Standards Enforcement and the Division of Apprenticeship Standards of the Department of Industrial Relations. Certified payrolls submitted to City, the Division of Labor Standards Enforcement and the Division of Apprenticeship Standards shall not be altered or obliterated by the Contracting Party. C.The public shall not be given access to certified payroll records by the Contracting Party. The Contracting Party is required to forward any requests for certified payrolls to the City Contract Officer by both email and regular mail on the business day following receipt of the request. Contract Party and all subcontractors shall submit a certified copy of the records enumerated in this Section 11.2, to the entity that requested the records within ten (10) calendar days after receipt of a written request. Any copy of records made available for inspection as copies and furnished upon request to the public or any public agency by City shall be marked or obliterated in such a manner as to prevent disclosure of each individual's name, address, and social security number. The name and address of the Contracting Party or subcontractor performing the work shall not be marked or obliterated. The Contracting Party shall inform City of the location of the records enumerated under this Section 11.2, including the street address, city and county, and shall, within five (5) working days, provide a notice of a change of location and address. The Contracting Party or subcontractor shall have ten (10) calendar days in which to comply subsequent to receipt of written notice requesting the records enumerated in this Section 11.2. In the event the Contracting Party or subcontractor fails to comply within the ten (10) day period, he or she shall, as a penalty to City, forfeit one hundred dollars ($100) for each calendar day, or portion thereof, for each worker, until strict compliance is effectuated. Such penalties shall be withheld by City from payments then due. Contracting Party 210 -23- is not subject to a penalty assessment pursuant to this section due to the failure of a subcontractor to comply with this section. 11.3 Responsibility. When prevailing wage rates apply, the Contracting Party is responsible for verifying compliance with certified payroll requirements. Invoice payment will not be made until the invoice is approved by the City Contract Officer. 11.4 Penalty. The Contracting Party and any of its Subcontractors shall comply with Labor Code Sections 1774 and 1775. Pursuant to Labor Code Section 1775, the Contracting Party and any subcontractor shall forfeit to the City a penalty of not more than two hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the Director of DIR for the work or craft in which the worker is employed for any public work done under the Agreement by the Contracting Party or by its subcontractor in violation of the requirements of the Labor Code and in particular, Labor Code Sections 1770 to 1780, inclusive. The amount of this forfeiture shall be determined by the Labor Commissioner and shall be based on consideration of mistake, inadvertence, or neglect of the Contracting Party or subcontractor in failing to pay the correct rate of prevailing wages, or the previous record of the Contracting Party or subcontractor in meeting their respective prevailing wage obligations, or the willful failure by the Contracting Party or subcontractor to pay the correct rates of prevailing wages. A mistake, inadvertence, or neglect in failing to pay the correct rates of prevailing wages is not excusable if the Contracting Party or subcontractor had knowledge of the obligations under the Labor Code. The Contracting Party is responsible for paying the appropriate rate, including any escalations that take place during the term of the Agreement. In addition to the penalty and pursuant to Labor Code Section 1775, the difference between the prevailing wage rates and the amount paid to each worker for each calendar day or portion thereof for which each worker was paid less than the prevailing wage rate shall be paid to each worker by the Contracting Party or subcontractor, as applicable. If a worker employed by a subcontractor on a public works project is not paid the general prevailing per diem wages by the subcontractor, the Contracting Party is not liable for the penalties described above unless the Contracting Party had knowledge of that failure of the subcontractor to pay the specified prevailing rate of wages to those workers or unless the Contracting Party fails to comply with all of the following requirements: A.The agreement executed between the Contracting Party and the subcontractor for the performance of work on public works projects 211 -24- shall include a copy of the requirements in Labor Code Sections 1771, 1775, 1776, 1777.5, 1813, and 1815. B.The Contracting Party shall monitor the payment of the specified general prevailing rate of per diem wages by the subcontractor to the employees by periodic review of the certified payroll records of the Subcontractor. C.Upon becoming aware of the subcontractor’s failure to pay the specified prevailing rate of wages to the Subcontractor’s workers, the Contracting Party shall diligently take corrective action to halt or rectify the failure, including but not limited to, retaining sufficient funds due the subcontractor for work performed on the public works project. D.Prior to making final payment to the subcontractor for work performed on the public works project, the Contracting Party shall obtain an affidavit signed under penalty of perjury from the subcontractor that the subcontractor had paid the specified general prevailing rate of per diem wages to the subcontractor’s employees on the public works project and any amounts due pursuant to Labor Code Section 1813. Pursuant to Labor Code Section 1775, City shall notify the Contracting Party on a public works project within fifteen (15) calendar days of receipt of a complaint that a subcontractor has failed to pay workers the general prevailing rate of per diem wages. If City determines that employees of a subcontractor were not paid the general prevailing rate of per diem wages and if City did not retain sufficient money under this Agreement to pay those employees the balance of wages owed under the general prevailing rate of per diem wages, the Contracting Party shall withhold an amount of moneys due the subcontractor sufficient to pay those employees the general prevailing rate of per diem wages if requested by City. 11.5 Hours of Labor. Eight (8) hours labor constitutes a legal day's work. The Contracting Party shall forfeit, as a penalty to the City, twenty-five dollars ($25) for each worker employed in the execution of this Agreement by the Contracting Party or any of its subcontractors for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of the Labor Code, and in particular Sections 1810 to 1815, inclusive, except that work performed by employees in excess of eight (8) hours per day, and forty (40) hours during any one week, shall be 212 -25- permitted upon compensation for all hours worked in excess of eight (8) hours per day and forty (40) hours in any week, at not less than one and one-half (1.5) times the basic rate of pay, as provided in Section 1815. 11.6 Employment of Apprentices. Where either the prime contract or the subcontract exceeds thirty thousand dollars ($30,000), the Contracting Party and any subcontractors under him or her shall comply with all applicable requirements of Labor Code Sections 1777.5, 1777.6 and 1777.7 in the employment of apprentices. The Contracting Party and its subcontractors are required to comply with all Labor Code requirements regarding the employment of apprentices, including mandatory ratios of journey level to apprentice workers. Prior to commencement of work, Contracting Party and its subcontractors are advised to contact the DIR Division of Apprenticeship Standards website at https://www.dir.ca.gov/das/ for additional information regarding the employment of apprentices and for the specific journey-to- apprentice ratios for the work under this Agreement. The Contracting Party is responsible for all subcontractors’ compliance with these requirements. Penalties are specified in Labor Code Section 1777.7. 12.MISCELLANEOUS PROVISIONS. 12.1 Notice. Any notice, demand, request, consent, approval, or 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: Bryan McKinney, PE, City Engineer 78495 Calle Tampico La Quinta, California 92253 To Contracting Party: AMR ABUELHASSAN, PE EXECUTIVE VICE PRESIDENT/CFO SOUTHSTAR ENGINEERING & CONSULTING, INC. 1945 CHICAGO, AVE. 12.2 Interpretation. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply. 213 -26- 12.3 Section Headings and Subheadings. The section headings and subheadings contained in this Agreement are included for convenience only and shall not limit or otherwise affect the terms of this Agreement. 12.4 Cost Principals. The Contracting Party agrees that Title 48 CFR Part 31, Contract Cost Principles and Procedures, shall be used to determine the allowability of individual terms of cost. The Contracting Party also agrees to comply with Federal procedures in accordance with Title 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Any costs for which payment has been made to the Contracting Party that are determined by subsequent audit to be unallowable under Title 48 CFR Part 31 or 2 CFR Part 200 are subject to repayment by the Contracting Party to City. When Contracting Party or Subcontractor is a Non-Profit Organization or an Institution of Higher Education, the Cost Principles for Title 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards shall apply. 12.5 Subcontracting. Nothing contained in this Agreement or otherwise shall create any contractual relation between the City and any subcontractors, and no subcontracts shall relieve the Contracting Party of its responsibilities and obligations hereunder. The Contracting Party agrees to be as fully responsible to the City for the acts and omissions of its subcontractors and of persons either directly or indirectly employed by any of them as it is for the acts and omissions of persons directly employed by the Contracting Party. The Contracting Party's obligation to pay its subcontractors is an independent obligation from the City’s obligation to make payments to the Contracting Party. The Contracting Party shall perform the work contemplated with resources available within its own organization and no portion of the work shall be subcontracted without written authorization by the City Contract Officer, except that which is expressly identified in the Schedule of Compensation. Any subcontract entered into as a result of this Agreement shall contain all the provisions stipulated in this entire Agreement to be applicable to subcontractors unless otherwise noted. Contracting Party shall pay its subcontractors within Fifteen (15) calendar days from receipt of each payment made to the Contracting Party by the City. Any substitution of subcontractors must be approved in writing by the City Contract Officer in advance of assigning work to a substitute Subcontractor. 12.6 Equipment Purchase. Prior authorization in writing by City Contract Officer shall be required before Contracting Party enters into any unbudgeted purchase order, or subcontract exceeding five thousand dollars ($5,000) for supplies, equipment, or services. Contracting Party shall provide an evaluation of the necessity or desirability of incurring such costs. For 214 -27- purchase of any item, service, or consulting work not covered in Schedule of Compensation and exceeding five thousand dollars ($5,000), with prior authorization by City Contract Officer, three competitive quotations must be submitted with the request, or the absence of bidding must be adequately justified. Any equipment purchased with funds provided under the terms of this Agreement is subject to the following: Contracting Party shall maintain an inventory of all nonexpendable property. Nonexpendable property is defined as having a useful life of at least two years and an acquisition cost of five thousand dollars ($5,000) or more. If the purchased equipment needs replacement and is sold or traded in, City shall receive a proper refund or credit at the conclusion of the Agreement, or if this Agreement is terminated as provided for in Article 8, Contracting Party may either keep the equipment and credit City in an amount equal to its fair market value, or sell such equipment at the best price obtainable at a public or private sale, in accordance with established City procedures; and credit City in an amount equal to the sales price. If Contracting Party elects to keep the equipment, fair market value shall be determined at Contracting Party’s expense, on the basis of a competent independent appraisal of such equipment. Appraisals shall be obtained from an appraiser mutually agreeable to by City and Contracting Party, if it is determined to sell the equipment, the terms and conditions of such sale must be approved in advance by City. Title 2 CFR Part 200 requires a credit to State or Federal funds when participating equipment with a fair market value greater than five thousand dollars ($5,000) is credited to the project. 12.7 Rebates, Kickbacks or Other Unlawful Consideration. The Contracting Party warrants that this Agreement was not obtained or secured through rebates, kickbacks or other unlawful consideration either promised or paid to any City employee. For breach or violation of this warranty, City shall have the right, in its discretion, to terminate this Agreement without liability, to pay only for the value of the work actually performed, or to deduct from this Agreement price or otherwise recover the full amount of such rebate, kickback or other unlawful consideration. 12.8 Prohibition of Expending City, State, or Federal Funds for Lobbying. The Contracting Party certifies, to the best of his or her knowledge and belief, that no State, Federal, or City appropriated funds have been paid or will be paid, by or on behalf of the Contracting Party, to any person for influencing or attempting to influence an officer or employee of any local, State, or Federal agency, a Member of the State Legislature or United States Congress, an officer or employee of the Legislature or Congress, or any 215 -28- employee of a Member of the Legislature or Congress in connection with the awarding or making of this Agreement, or with the extension, continuation, renewal, amendment, or modification of this Agreement. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a member of Congress in connection with this Agreement, the Contracting Party shall complete and submit Standard Form-LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Federal law (31 U.S.C. § 1352). Any person who fails to file the required certification shall be subject to a civil penalty of not less than ten thousand dollars ($10,000) and not more than one hundred thousand dollars ($100,000) for each such failure. The Contracting Party also agrees by signing this document that he or she shall require that the language of this certification be included in all lower tier subcontracts, which exceed one hundred thousand dollars ($100,000), and that all such subrecipients shall certify and disclose accordingly. 12.9 Debarment and Suspension Certification. The Contracting Party’s signature affixed herein shall constitute a certification under penalty of perjury under the laws of the State of California, that the Contracting Party or any person associated therewith in the capacity of owner, partner, director, officer or manager is not currently under suspension, debarment, voluntary exclusion, or determination of ineligibility by any federal agency; has not been suspended, debarred, voluntarily excluded, or determined ineligible by any federal agency within the past three (3) years; does not have a proposed debarment pending; and has not been indicted, convicted, or had a civil judgment rendered against it by a court of competent jurisdiction in any matter involving fraud or official misconduct within the past three (3) years. Any exceptions to this certification must be disclosed to City. Exceptions will not necessarily result in denial of recommendation for award but will be considered in determining responsibility. Disclosures must indicate the party to whom the exceptions apply, the initiating agency, and the dates of agency action. Exceptions to the Federal Government Excluded Parties List System maintained by the U.S. General Services Administration are to be determined by FHWA. 12.10 Funding Requirements. It is mutually understood between the parties that this Agreement may have been written before ascertaining the availability of funds or appropriation of funds, for the mutual benefit of both parties, in order to avoid program and fiscal delays that would occur if the 216 -29- Agreement were executed after that determination was made. This Agreement is valid and enforceable only if sufficient funds are made available to City for the purpose of this Agreement. In addition, this Agreement is subject to any additional restrictions, limitations, conditions, or any statute, regulation, or law enacted by Congress, State Legislature, or La Quinta City Council, that may affect the provisions, terms, or funding of this Agreement in any manner. It is mutually agreed that if sufficient funds are not appropriated, this Agreement may be amended to reflect any reduction in funds. City has the option to terminate the Agreement pursuant to Article 8 or by mutual agreement to amend the Agreement to reflect any reduction of funds. 12.11 Contingent Fee. Contracting Party warrants by execution of this Agreement that no person or selling agency has been employed, or retained, to solicit or secure this Agreement upon an agreement or understanding, for a commission, percentage, brokerage, or contingent fee, excepting bona fide employees, or bona fide established commercial or selling agencies maintained by Contracting Party for the purpose of securing business. For breach or violation of this warranty, City has the right to annul this Agreement without liability; pay only for the value of the work actually performed, or in its discretion to deduct from the Agreement price or consideration, or otherwise recover the full amount of such commission, percentage, brokerage, or contingent fee. 12.12 Inspection of Work. Contracting Party and any subcontractor shall permit City, the State, and the FHWA if federal participating funds are used in this Agreement; to review and inspect the project activities and files at all reasonable times during the performance period of this Agreement. 12.13 Safety. Contracting Party shall comply with Federal and State Occupational Safety and Health Administration (OSHA) regulations applicable to Contracting Party regarding necessary safety equipment or procedures. Contracting Party shall comply with safety instructions issued by City Contract Officer and other City representatives. Contracting Party personnel shall wear hard hats and safety vests at all times while working on the construction project site. Pursuant to the authority contained in California Vehicle Code Section 591, City has determined that such areas are within the limits of the project and are open to public traffic. Contracting Party shall comply with all of the requirements set forth in Divisions 11, 12, 13, 14, and 15 of the Vehicle Code. Contracting Party shall take all reasonably necessary precautions for safe operation of its vehicles and the protection of the traveling public from injury and damage from such vehicles. Contracting Party must have a Division of Occupational Safety and Health (CAL-OSHA) permit(s), as outlined in Labor Code Sections 6500 and 6705, prior to the initiation of any practices, work, 217 -30- method, operation, or process related to the construction or excavation of trenches which are five (5) feet or deeper. 12.14 Claims Filed by City’s Construction Contractor. If claims are filed against the City or by the City Contract Officer relating to work performed by Contracting Party’s personnel, and additional information or assistance from Contracting Party’s personnel is required in order to evaluate or defend against such claims, Contracting Party agrees to make its personnel available for consultation with City staff and City Attorney’s Office, and for testimony, if necessary, at depositions and at trial or arbitration proceedings. Contracting Party’s personnel that City considers essential to assist in defending against construction contractor claims will be made available on reasonable notice from City. Consultation or testimony will be reimbursed at the same rates, including travel costs that are being paid for Contracting Party’s personnel services under this Agreement. Services of Contracting Party’s personnel in connection with any claims will be performed pursuant to a written contract amendment, if necessary, extending the termination date of this Agreement in order to resolve the construction claims. 12.15 National Labor Relations Board Certification. In accordance with California Public Contract Code Section 10296, Contracting Party hereby states under penalty of perjury that no more than one final un-appealable finding of contempt of court by a federal court has been issued against Contracting Party, within the immediately preceding two-year period, because of Contracting Party’s failure to comply with an order of a federal court that orders Contracting Party to comply with an order of the National Labor Relations Board. 12.16 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument 12.17 Integrated Agreement. This Agreement including the exhibits hereto is the entire, complete, and exclusive expression of the understanding of the parties. It is understood that there are no oral agreements between the parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements, and understandings, if any, between the parties, and none shall be used to interpret this Agreement. 12.18 Amendment. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by Contracting Party and by the City Council of City. The parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void. Contracting Party shall only commence work covered by an amendment after 218 -31- the amendment is executed and notification to proceed has been provided by City Contract Officer. 12.19 Severability. In the event that any one or more of the articles, phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable, such invalidity or unenforceability shall not affect any of the remaining articles, 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 unless the invalid provision is so material that its invalidity deprives either party of the basic benefit of their bargain or renders this Agreement meaningless. 12.20 Unfair Business Practices Claims. In entering into this Agreement, Contracting Party offers and agrees to assign to City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. § 15) or under the Cartwright Act (Chapter 2, (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services, or materials related to this Agreement. This assignment shall be made and become effective at the time City renders final payment to Contracting Party without further acknowledgment of the parties. 12.21 No Third-Party Beneficiaries. With the exception of the specific provisions set forth in this Agreement, there are no intended third-party beneficiaries under this Agreement and no such other third parties shall have any rights or obligations hereunder. 12.22 Authority. The persons executing this Agreement on behalf of each of the parties hereto represent and warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement, such party is formally bound to the provisions of this Agreement, and (iv) that entering into this Agreement does not violate any provision of any other Agreement to which said party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors, and assigns of the parties. [SIGNATURES ON FOLLOWING PAGE] 219 -32- IN WITNESS WHEREOF, the parties have executed this Agreement as of the dates stated below. CITY OF LA QUINTA, a California Municipal Corporation FRANK J. SPEVACEK, City Manager City of La Quinta, California Dated: CONTRACTING PARTY: By: Name: Title: ATTEST: MONIKA RADEVA, City Clerk La Quinta, California By: Name: Title: APPROVED AS TO FORM: WILLIAM H. IHRKE, City Attorney City of La Quinta, California 220 EXHIBIT A SCOPE OF SERVICES LA QUINTA VILLAGE COMPLETE STREETS – A ROAD DIET PROJECT Services and products to be rendered in performing all work associated with this request may include, but may not be limited to: • Construction Management o Obtain a field office for the duration of construction. o Perform a “third” party constructability review of the project plans and specifications prior to the preconstruction conference and identify potential problems that may need attention before construction starts. o Review project right of way and permit requirements. o Schedule and attend a field walk with inspector(s), design engineer, and City representatives. o Schedule and chair a kick off meeting with the City to discuss the proposed work plan and special concerns to be presented at the preconstruction meeting and be present at the Pre-Construction meeting. o Provide a preconstruction agenda to the City for concurrence, schedule a preconstruction meeting and notify attendees. It is envisioned that the preconstruction meeting will include all interested parties, including utilities, sub-contractors, etc. o Coordinate the activities of on-site inspectors and administrators such that appropriate coverage of all contractor activities is provided. o Coordinate with Biologist and have them conduct nesting bird surveys as required. o Prepare reports and documents, as necessary, for City review and action. o Maintain at the project site, on a current basis: a record copy of all contracts, drawings, specifications, addenda, change orders, and other modifications, in good order and marked to record all changes made during construction; shop drawings, product data; samples; submittal; purchases; materials; equipment; applicable handbooks; maintenance and operating manuals and instructions; other related documents and revisions which are relevant to the contract work. o Provide weekly status reports to the City as required. o Prepare and send a Weekly Statement of Working Days, noting the controlling operations, to the contractor. Exhibit A Page 1 of 11 221 o Monitor contractor and sub-contractor compliance with State labor laws and paperwork requirements including: monitor Contractor’s certified payroll; spot check payrolls for prevailing wage compliance; conduct employee interviews; maintain evidence of apprentices employed on the project; and ensure that the contractor has posted all required posters, notices, and wage determinations at the job site. o Prepare daily/weekly Resident Engineer reports listing the type of work done, controlling operation, weather conditions, important discussions/agreements with the Contractor, and any other important facts pertaining to the project that are not specifically covered elsewhere in the contract records. o Coordinate, monitor and document utility relocations as necessary. o Administer the construction contract in conformance with the requirements set forth in the project plans and specifications including applicable requirements from Caltrans’ Standard Plans and Specifications, Local Assistance Procedures, Standard Specifications for Public Works Construction and the City of La Quinta. o Receive, log, and respond to contractor Request for Information (RFI). o Conduct weekly construction progress meetings with the Contractor, Sub- contractors, City Staff, Design Engineer, Sub-consultants, affected outside agencies, etc. to discuss matters such as procedures, progress, problems, and scheduling. Prepare and distribute meeting minutes. o Review and approve Subcontracting Request forms. o Coordinate and monitor all inspection activities. o Maintain an open-door policy and meet with general public as needed regarding the street construction and make recommendations to address their concerns. o Submit Requests for Information as required on any items that should be coordinated with the design engineer(s). o Receive and process all shop drawings, project data, samples, and other submittals to the design engineer for review. Establish and implement procedures for expediting the processing and approval of submittal. o Review and approve laboratory, shop, and mill test reports of materials and equipment. o Coordinate submittal review with the design engineer on an as-needed basis. o Coordinate with the City Engineer and other City Departments. o Document all potential claims and maintain for account records. Provide all necessary documentation and support to the City in settling claims. o Verify that the contractor’s traffic control implementation is consistent with the approved Traffic Control Plan. Take contractually-stipulated action in the event of deviations from the approved Plan. Exhibit A Page 2 of 11 222 o Coordinate and provide construction surveying. o Coordinate and perform all required materials testing. o Review and analyze the Contractor’s schedule (weekly), including activity sequences and duration, schedule of submittal and schedule of delivery for products with long lead times. Review the Contractor’s weekly scheduled for compliance with project specifications. Note any contractual non- compliances and request remedial action plan from Contractor. Include contractor schedule as an agenda item at each weekly meeting. o Recommend necessary or desirable changes in the Construction Contractor’s scope of work to the City. Review and evaluate the contractor’s request for changes. Negotiate with the Contractor and submit recommendations to the City supported by field data related to any additional work. If change orders are accepted by the City, prepare change orders for signature and authorization by the city. Maintain a log of change requests. o Create and maintain “As-Built” project schedule with Microsoft Project or equivalent program. o Review pay requests and provide recommendation for contractor payments. o Coordinate the Transition of the project to City Maintenance. o Coordinate any training sessions required for City Staff. o Coordinate with the Contractor to ensure the construction video monitoring is maintained. Provide information as needed to the City’s Marketing Group on the progress of construction to be posted on the City’s website. o Construction Closeout Administer and coordinate final inspections. Coordinate the correction and the completion of the work. Assist the City in determining when the project, or a designated portion thereof, is substantially complete. Prepare for the City, a summary of the status of the work of the Contractor, listing changes in the previously issued certificates of substantial completion of the work, and recommending the times within which the Contractor shall complete uncompleted items on the certificate of substantial completion of the work. Calculate the amount of final payment due to the prime Contractor and prepare the proposed final estimate. Obtain evidence of certification of all lien releases after the City files their notice of completion. Secure from the contractor and transmit to the City, required guarantees. Coordinate any startup requirements. Exhibit A Page 3 of 11 223 Deliver all equipment manuals, special equipment, spare parts, catalogs, and other materials required by specifications. Collect all “As-Built” data from all contractors and consultants. Make recommendation for the release of retention. o Provide construction management documents and records to the City within 60 days of the filing of the notice of completion. o As necessary, prepare Caltrans Local Assistance Pre-Construction, Mid- Construction, and Post-Construction review checklists. Attend meetings scheduled by Caltrans Local Assistance. Represent the City in providing answers to Caltrans regarding procedures, processes, documentation, payments, etc. • Inspection o Review contract documents, plans, and permits. o Attend field walks and kick off meetings. o Attend the pre-construction meeting. o Monitor and enforce construction noticing requirements, including but not limited to, PM-10 and SWPPP requirements. o Maintain field diary (bound workbook) during construction, including a cumulative record of quantities constructed, daily and weekly reports, working day reports, change order documentation, photographs and other documentation. Maintain a separate field diary for change order work. o Monitor the Contractor’s fugitive dust control plan and ensure that the Contractor uses approved haul routes and that they are kept clean. o Verify compliance with the construction contract by monitoring, evaluating, approving or rejecting the Contractor’s work in accordance with the approved construction contract documents. o Determine that the Contractor’s work is being performed in accordance with the requirements of the contract documents. Endeavor to guard the City against defect and deficiencies in the work. As appropriate, require special inspection or testing, or make recommendations to the City regarding special inspection or testing of work not in accordance with the provisions of the contract documents, whether or not such work is fabricated, installed, or completed. o Provide and maintain a digital photographic history of the progress of the project. Photos will also be taken of the following: Showing existing conditions prior to construction. Disputed work items. Work that has to be duplicated, replaced, or removed. Completed work. Exhibit A Page 4 of 11 224 Extra work. o Record the progress of the project. Maintain a daily log containing a record of weather, the Contractor and Sub-contractors’ work on-site, the Contractor and Sub-contractors’ equipment on site, number of workers, work accomplished, problems encountered, and other relevant data. Provide copies of daily logs to the City as requested. Include information on the Contractor and the entire project, showing percentages of completion. o During the course of construction, maintain one set of plans, with markings and dimensions in red ink, to denote field changes or other corrections. o Inspect for ADA compliance. o Maintain copies of all permits needed to construct the project and enforce special requirements of each. • Material Testing o Perform the materials testing services in accordance with the City’s approved Quality Assurance Program (QAP), California Department of Transportation, Construction Manual, “Chapter 3 – Control of Materials” and Chapter 6 – Sample Types and Frequencies.” o Provide for initial “Samples and Tests” on materials proposed for use in the project. o Provide for “Acceptance Tests” on materials that will be incorporated into the work. Sampling should begin as soon as material is delivered or is in place and shall continue as work progresses. o All testing shall be conducted in a Caltrans Certified Laboratory, or equivalent. All sampling and testing shall be done by personnel and laboratory with the appropriate accreditation for the testing and sampling designated to perform. Proof of the appropriate accreditation shall be maintained in the project files. o Provide a qualified technician as necessary to conduct density tests on roadway sub-grade, aggregate base, asphalt concrete, slope fill and trench backfill placement as required. o Provide an ACI-certified technician as necessary to check gradations and make sets of concrete cylinders as-needed and perform slump tests for the curb, gutter, concrete drainage devices, channel slope paving and other minor concrete. o Perform extraction/gradation tests on the asphalt concrete placed. o Keep records of all samples and tests in the project files as permanent job records. Materials incorporated into the project, represented by failing tests, must be documented in the project files also. Test results shall cite applicable contract requirements, test and/or analytical procedures used. Provide actual Exhibit A Page 5 of 11 225 results and include a statement that the item tested or analyzed conforms or fails to conform to specified requirements. Test results shall be signed by a testing laboratory representative authorized to sign certified documentation and forwarded to the City and maintained in the project files. o Testing Plan and Log shall be maintained. The QC Manager shall record on the “Test Plan and Log” the date the test was conducted, the date test results were forwarded to the Engineer, remarks and acknowledgement that an accredited, or Engineer approved, testing laboratory was used. Attach a copy of the updated “Test and Log” to the last daily Contract Quality Control Report of each month. o Consultant shall maintain a list of items to be reworked that do not comply with the contract. Include this Rework Items List as an agenda items at each weekly meeting. o Maximum density tests shall be performed at the job-site, unless otherwise approved by the City Engineer. o The Consultant shall use the most economical mode of transportation available consistent with the time element involved. o Project Certification – The Consultant shall send a materials certification memorandum to the Resident Engineer upon the completion of the project; File a copy of the memorandum in the job files; Note all non-conforming materials on the memorandum. This includes materials accepted at reduced pay factors. o A California licensed engineer shall sign the materials certification memorandum. o Any non-compliance results of materials shall be reported, when practical, to the City’s Construction Administrator and the City Project Inspector within twenty-four (24) hours from the time of sampling. • Construction Staking o The Construction Surveyor shall perform services in accordance with the California Department of Transportation, Survey Manual, Chapter 12. o The Construction Surveyor shall establish “control stakes” for basic line and grade for construction. o The Construction Inspector shall check the work for contract compliance using the control stakes. o The Construction Surveyor shall use the tolerances established in the Caltrans Survey Manual. Contract requirements, regarding lines and grades and construction stakes and marks, are included in the Contract Standard Specifications. Additional contractual requirements may be shown on the plans or included in the special provisions for the work. Exhibit A Page 6 of 11 226 o Accuracy. The Consultant shall use appropriate surveying methods to obtain the following standards: For fixed works (i.e. cast-in-place concrete; asphalt pavement, pipes and drains; and other items determined by the Engineer) the following survey standards shall be used. The absolute horizontal accuracy, in relationship to the Engineer’s control, shall be such that the semi- major axis of its 95% error ellipse is ±0.015 foot or less. The absolute vertical accuracy, in relationship to the Engineer’s control, shall be such that its standard deviation is ±0.015 foot or less. The relative horizontal accuracy of survey points within the project shall be such that the semi-major axis of its 95% error ellipse is ±0.015 foot or less. The relative vertical accuracy of survey points within the project shall be such that its standard deviation is ±0.015 foot or less. For excavation purposes, the following standards shall be used. The absolute horizontal accuracy, in relationship to the Engineer’s control, shall be such that the semi-major axis of its 95% error ellipse is ±0.1 foot or less. The absolute vertical accuracy, in relationship to the Engineer’s control, shall be such that its standard deviation is ±0.1 foot or less. The relative horizontal accuracy of survey points within the project shall be such that the semi-major axis of its 95% error ellipse is ±0.1 foot or less. The relative vertical accuracy of survey points within the project shall be such that its standard deviation is ±0.1 foot or less. o Survey Control: Will be sufficiently marked and will be preserved and protected. o Slope Stakes: (A) One set of offset / slope stakes set at intervals established by the Resident Engineer and at all horizontal and vertical curves for areas requiring site grading and slope construction marked with cut or fill to proposed elevation. (B) One set of sub-grade line and grade stakes for roadway improvements at stations established by the Resident Engineer. o Intermediate Slope Stakes: The resident Engineer in cooperation with the Construction Contractor’s Surveyor will determine the requirements. o Toe of Slope Stakes: One set of top of sub-grade line and grade stakes at same intervals required for toe of slope stakes. o Final Grade Stakes: One set of final grade stakes shall be provided for each grading plane. This one set of final grade stakes will control all elements of the structural section (the grading plane, sub-base, base, and pavement). o Curb Stakes: One set of stakes may be used for several purposes, such as slopes, final grades, and curbs. Exhibit A Page 7 of 11 227 o Utility Stakes: Stakes set for sewer, water, and minor drainage structures; pipes and similar facilities. o Minor Structure Stakes: Minor structure stakes shall be set for sign bases, lighting and signal foundations, other foundations, and similar miscellaneous structures. o Miscellaneous Stakes: The Resident Engineer shall in coordination with the Construction Survey Contractor to determine the requirements for the City to provide stakes for contour grading, channels, dikes, ditches, signs, subsurface drains, over-side drains, markers, railings, barriers, AC dikes, box culverts, and pavement markers. o Monument Ties and Replacement: Ties to existing survey monuments of record which may be lost due to new construction shall be performed for preservation and shall be replaced pursuant to California State Law. Prepare and file with Riverside County Surveyor’s Office and the Caltrans Survey Department, the necessary documentation required in association with preserving and replacing any destroyed survey monuments. o Corner Record Preparation: Prepare and file with the Riverside County Surveyor’s Office the necessary documentation required in association with preserving and replacing any destroyed survey monuments. o Office Calculations and Supervision: Calculations shall be prepared as necessary to provide the field survey crews with data as needed for staking and supervision as required. • Public Outreach o The project calls for two construction cameras to be provided by the contractor with specific capabilities such as live streaming of videos and time lapse photos in accordance with Article 8 of Section 4000-Technical Specifications. The CM firm is to manage the camera data, footage, capabilities per the specifications, website link, etc. and make sure that all the data is being collected and stored for the City’s instant use and future use. o Post Cards The City intends to put together and distribute post cards, however, the Construction Manager should be prepared to provide pertinent project information to City Staff throughout the project duration. The City is intending to send 3-4 mailers to ALL La Quinta households. o Rack Cards The City intends to put together and distribute Rack Cards, however, the Construction Manager should be prepared to provide pertinent project information throughout the project duration. These cards will Exhibit A Page 8 of 11 228 be for posting at La Quinta Businesses, especially in the Village area and at ALL City locations/events. o Signage The City will be making five (5) Project Information Signs and four (4) businesses open during construction signs which the contractor will need to pick up and install. The intent of these signs is to let the community know about the project and to make sure it is clear that businesses are open during construction. It is the intent of these signs to be placed along the routes people will be coming in to access the project or the businesses. Construction Manager shall work with the City’s marketing team to determine final placement. There are six (6) portable changeable message signs included in the contract. Four of them are to be used for standard construction and detour information. However, two of them must be dedicated to marketing purposes only. The City will provide language and locations, which will vary by stage. Construction Manager shall coordinate this information between the City and Contractor. o Website The City will be creating a dedicated project webpage. The Construction Manager will be responsible for developing, maintaining and providing material to City staff throughout the project duration for inclusion on this webpage. These materials shall be prepared for the website but also be able to be clearly shown on a standard website, mobile website, and the City’s mobile App. It is assumed that duplicate materials will not be needed for the webpage and widget. The content of the webpage should reflect the construction activities and address any issues with construction. The content of the webpage will need to be agreed upon by the Construction Manager and the City, however at a minimum should include: A construction hotline number as the first thing the user sees. o The Construction Manager is responsible for providing, maintaining and monitoring the hotline 24 hours a day / 7 days a week. o The number must be toll free. o All calls received on the hotline and the responses provided must be documented in writing by the person manning the phone line and provided to the City within 24 hours of receiving the call. o All calls received must be responded to within 24 hours during the work week or on the next business day if the Exhibit A Page 9 of 11 229 call was received on a weekend or holiday. Responses should be vetted by the City. A dedicated email address where people can ask questions o Responses to the emails will be the Construction Manager’s responsibility but all responses should be vetted with the City o All emails received must be responded to within 24 hours during the work week or on the next business day if the call was received on a weekend or holiday. Map which shows the current work locations, traffic impacts and alternative routes The map should be updated as construction changes, with any major change that impacts traffic or work location, or every two weeks at a minimum A map with business open information. Project Updates/Construction Status. Live Video feed from the two cameras that are provided by contractor, but available to be linked to the website. Time lapse video from the construction cameras. Frequently Asked Questions updated regularly. o Mobile Application The Construction Manager will be responsible for developing, maintaining and providing material for an application that can be accessed by the public. Any platform for the App, like Pingstreet or similar, can be used but the public must be directed to the City App and then you can auto redirect from there to the App used. The content of the App will need to be agreed upon by the Construction Manager and the City, however at a minimum should include: Widget (pingstreet or similar) – with two tiles on existing City App Pull the following data from City’s website and make it available on the City’s App: o Map – with traffic impacts and alternative routes o Map with business open information Integrates with current City app o Communication with Stakeholders Exhibit A Page 10 of 11 230 Monthly meetings will need to be held at City Hall to answer questions and provide status updates. It is assumed that at a minimum four meetings will be held. o Communication with Emergency Responders The Construction Manager should communicate regularly with the emergency responders including but not limited to the Fire Department and Police. The emergency responders should be notified prior to construction and given advance notice, ideally two weeks, of any work that may impact traffic or response routes. The emergency responders should be given look ahead schedules and information regarding construction areas so they can make choices on how to respond to emergencies. Quality Control The Consultant shall have a Quality Control Plan in effect to assist quality assurance during the entire time work is in effect. The Consultant has responsibility for the accuracy and completeness of the calculations, related documents, and all other work furnished and shall meet that responsibility through the implementation of a Quality Control Plan. The Consultant’s Quality Control Plan shall remain in effect throughout the entire Contract and, at a minimum, shall ensure that all work is completed in accordance with good engineering practice and that it meets the standards set forth herein. Specifically: • The Quality Control Plan shall establish a process whereby all work is independently checked, corrected and back-checked, in accordance with accepted practice, by a person qualified and appropriately registered in the State of California. All original drawings and calculations shall be maintained for the duration of the Contract. • Coordination and checks shall be performed to ensure that conflicts and misalignment do not occur between different design documents (i.e. plans coordinated with specifications). Evidence the Quality Control Plan is functioning may be periodically confirmed by the City. Exhibit A Page 11 of 11 231 Exhibit B Page 1 of 3 Exhibit B Schedule of Compensation With the exception of compensation for Additional Services, provided for in Section 2.4 of this Agreement, the maximum total compensation to be paid to Contracting Party under this Agreement is not to exceed One Million Four Hundred and Sixty-Eight Thousand Nine Hundred and Forty One Dollars ($1,468,941.00) (“Contract Sum”). The Contract Sum shall be paid to Contracting Party in installment payments made on a monthly basis and in an amount identified in Contracting Party’s schedule of compensation attached hereto for the work tasks performed and properly invoiced by Contracting Party in conformance with Section 2.3 of this Agreement. 232 Resource/Key Staff Member **Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Month 13 Month 14 Month 15 Month 16 Month 17 Month 18 Principal-In-Charge / Resident Engineer / Construction Manager (Amr Abuelhassan, PE,QSD) 88 88 88 88 88 88 88 88 88 88 88 88 88 88 88 88 88 88 1584.00 242.41$ 383,964.88$ Project Manager / Aerial Photography and 3D Modeling (Jason Bennecke, PE)12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 216.00 242.41$ 52,360.56$ Assistant Resident Engineer / QC Manager / Office Engineer (Philip Hanawii, PE,QSD) 12 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 148.00 200.66$ 29,697.68$ Roadway Inspector (Mike Smith),152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 2736.00 143.34$ 392,178.24$ Roadway Inspector (Ezzat Kabbara)16 16 16 16 16 16 16 16 16 16 16 16 16 16 16 16 16 16 288.00 147.74$ 42,549.12$ As Needed Roadway Inspectors (FCG)4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 72.00 Varies 9,511.44$ Public Outreach (Vanessa Barrientos),70 70 70 70 70 70 70 70 70 70 70 70 70 70 70 70 70 70 1260.00 112.97$ 142,342.20$ Electrical Inspection (DESI) - John Kannor 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 17.72 10 10 337.72 199.34$ 67,320.27$ Survey Crew (DEA - Bob Vasques)60 60 60 60 60 60 60 60 60 60 60 60 60 60 60 60 60 60 1080.00 Varies 178,217.77$ Environmental Compliance (ECORP)32 3 0 0 0 0 0 32 0 0 0 0 36 2 0 0 0 3 108.00 Varies 8,760.73$ Materials Testing (SCST)36 36 36 36 36 36 36 36 36 36 36 36 36 36 36 36 36 36 648.00 Varies 57,883.83$ Totals 502 469 466 466 466 466 466 498 466 466 466 466 502 468 466 463.72 456 459 8,478 1,364,786.72$ Percent of Construction Cost 15.64% 9,511.44$ 95,949.83$ 67,320.27$ 1,468,941.00$ 1,468.27$ Total Sum 104,154.28$ -$ 38,066.00$ -$ FCG Consultants SCST DESI Total CostHourly RateTotals (hrs.) David Evans and Associates 184,746.91$ EXHIBIT B COST PROPOSAL AND STAFFING PLAN CONSTRUCTION MANAGEMENT AND INSPECTION SERVICES LA QUINTA VILLAGE COMPLETE STREETS – A ROAD DIET PROJECT CITY PROJECT: 2015-03 Total Labor Cost and ODCs 1,101,183.55$ CITY OF LA QUINTA 10,229.00$ Total ODC Cost Southstar ECORP 58,090.87$ 6,529.14$ Exhibit B Page 2 of 3 233 DESCRIPTION OF ITEMS QTY Cost per Unit Total DESCRIPTION OF ITEMS UNIT COST DESCRIPTION OF ITEMS UNIT COST Special Tooling Special Tooling Special Tooling Meals and Lodging for out of Town Staff LS Caltrans Perdiem Rate 6,590.87$ N/A N/A Field Office 20 2,250.00$ 45,000.00$ Public Relations Items 0 A. Laptop N/C Pingstreet Application 1 $5,000.00 $5,000.00 Mileage 9533 $0.58 $5,529.14 Post Cards Postage 0 $3,600.00 $0.00 Filing Fees 40 $20.00 $800.00 Post Cards Printing 0 $3,500.00 $0.00 Research 20 $10.00 $200.00 Subtotal $0.00 Rack Cards for Businesses 1 $1,500.00 $1,500.00 Travel QTY Cost per Unit Total $0.00 N/A $0.00 $0.00 $0.00 $0.00 Subtotal $0.00 Total ODC 58,090.87$ Total ODC 6,529.14$ Total ODC $0.00 DESCRIPTION OF ITEMS UNIT Cost per Unit Total DESCRIPTION OF ITEMS UNIT Cost per Unit Total DESCRIPTION OF ITEMS UNIT COST Total Special Tooling Special Tooling -$ Misc 0 200.00$ -$ Asphalt Hveem-Max Density 5 300.00$ 1,500.00$ -$ -$ Percent Bitumen Asphaltic Concrete 10 183.00$ 1,830.00$ -$ -$ Hamburg Wheel 2 900.00$ 1,800.00$ Travel Travel Mositure Vapor Susceptiblity 10 259.00$ 2,590.00$ Per diem per Caltrans guidelines Note 2 Mileage 2,531.5 $0.58 $1,468.27 Maximum Theoretical Density (Rice) 10 133.00$ 1,330.00$ Mileage Reimbursement Mile $0.58 Maximum Density test 40 200.00$ 8,000.00$ Sieve Analysis 40 90.00$ 3,600.00$ Sand Equivalent 40 88.00$ 3,520.00$ Durability Index 2 224.00$ 448.00$ LA Abrasion 12 224.00$ 2,688.00$ Soundness 2 375.00$ 750.00$ Resistance - Value 10 276.00$ 2,760.00$ Cleaness Value 10 200.00$ 2,000.00$ Total ODC -$ Total ODC 1,468.27$ Crushed Particles 10 150.00$ 1,500.00$ Fine Aggregate Anguilarity 10 200.00$ 2,000.00$ Flat and Elongated Pieces 10 175.00$ 1,750.00$ Concrete Cylinder Compression 0 27.00$ -$ Flex Beam Modulous of Rupture 0 74.00$ -$ Total ODC 38,066.00$ SCHEDULE OF OTHER DIRECT COST ITEMS DESI ECORP FCGDEASouthstar SCST Exhibit B Page 3 of 3 234 Exhibit C Page 1 of 1 Exhibit C Schedule of Performance Contracting Party shall complete services identified in the Scope of Services, Exhibit A of this Agreement, through December 31, 2020 235 Exhibit D Page 1 of 4 Exhibit D Special Requirements ADDENDUM TO AGREEMENT Re: Scope of Services If the Scope of Services include construction, alteration, demolition, installation, repair, or maintenance affecting real property or structures or improvements of any kind appurtenant to real property, the following apply: 1.Prevailing Wage Compliance. If Contracting Party is a contractor performing public works and maintenance projects, as described in this Section 1.3, Contracting Party shall comply with applicable Federal, State, and local laws. Contracting Party is aware of the requirements of California Labor Code Sections 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Sections 16000, et seq., (collectively, the “Prevailing Wage Laws”), and La Quinta Municipal Code Section 3.12.040, which require the payment of prevailing wage rates and the performance of other requirements on “Public works” and “Maintenance” projects. If the Services are being performed as part of an applicable “Public works” or “Maintenance” project, as defined by the Prevailing Wage Laws, and if construction work over twenty-five thousand dollars ($25,000.00) and/or alterations, demolition, repair or maintenance work over fifteen thousand dollars ($15,000.00) is entered into or extended on or after January 1, 2015 by this Agreement, Contracting Party agrees to fully comply with such Prevailing Wage Laws including, but not limited to, requirements related to the maintenance of payroll records and the employment of apprentices. Pursuant to California Labor Code Section 1725.5, no contractor or subcontractor may be awarded a contract for public work on a “Public works” project unless registered with the California Department of Industrial Relations (DIR) at the time the contract is awarded. If the Services are being performed as part of an applicable “Public works” or “Maintenance” project, as defined by the Prevailing Wage Laws, this project is subject to compliance monitoring and enforcement by the DIR. Contracting Party will maintain and will require all subcontractors to maintain valid and current DIR Public Works contractor registration during the term of this Agreement. Contracting Party shall notify City in writing immediately, and in no case more than twenty-four (24) hours, after receiving any information that Contracting Party’s or any of its subcontractor’s DIR registration status has been suspended, revoked, expired, or otherwise changed. It is understood that it is the responsibility of Contracting Party to determine the correct salary scale. Contracting Party shall make copies of the prevailing rates of per diem wages for each craft, classification, or type of 236 Exhibit D Page 2 of 4 worker needed to execute the Services available to interested parties upon request, and shall post copies at Contracting Party’s principal place of business and at the project site, if any. The statutory penalties for failure to pay prevailing wage or to comply with State wage and hour laws will be enforced. Contracting Party must forfeit to City TWENTY-FIVE DOLLARS ($25.00) per day for each worker who works in excess of the minimum working hours when Contracting Party does not pay overtime. In accordance with the provisions of Labor Code Sections 1810 et seq., eight (8) hours is the legal working day. Contracting Party also shall comply with State law requirements to maintain payroll records and shall provide for certified records and inspection of records as required by California Labor Code Section 1770 et seq., including Section 1776. In addition to the other indemnities provided under this Agreement, Contracting Party shall defend (with counsel selected by City), indemnify, and hold City, its elected officials, officers, employees, and agents free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. It is agreed by the parties that, in connection with performance of the Services, including, without limitation, any and all “Public works” (as defined by the Prevailing Wage Laws), Contracting Party shall bear all risks of payment or non-payment of prevailing wages under California law and/or the implementation of Labor Code Section 1781, as the same may be amended from time to time, and/or any other similar law. Contracting Party acknowledges and agrees that it shall be independently responsible for reviewing the applicable laws and regulations and effectuating compliance with such laws. Contracting Party shall require the same of all subcontractors. 2.Retention. Payments shall be made in accordance with the provisions of Article 2 of this Agreement. In accordance with said Sections, City shall pay Contracting Party a sum based upon ninety-five percent (95%) of the Contract Sum apportionment of the labor and materials incorporated into the Services under this Agreement during the month covered by said invoice. The remaining five percent (5%) thereof shall be retained as performance security to be paid to Contracting Party within sixty (60) days after final acceptance of the Services by the City Council of City, after Contracting Party has furnished City with a full release of all undisputed payments under this Agreement, if required by City. In the event there are any claims specifically excluded by Contracting Party from the operation of the release, City may retain proceeds (per Public Contract Code § 7107) of up to one hundred fifty percent (150%) of the amount in dispute. City’s failure to deduct or withhold shall not affect Contracting Party’s obligations under the Agreement. 3.Utility Relocation. City is responsible for removal, relocation, or protection of existing main or trunk-line utilities to the extent such utilities 237 Exhibit D Page 3 of 4 were not identified in the invitation for bids or specifications. City shall reimburse Contracting Party for any costs incurred in locating, repairing damage not caused by Contracting Party, and removing or relocating such unidentified utility facilities. Contracting Party shall not be assessed liquidated damages for delay arising from the removal or relocation of such unidentified utility facilities. 4.Trenches or Excavations. Pursuant to California Public Contract Code Section 7104, in the event the work included in this Agreement requires excavations more than four (4) feet in depth, the following shall apply: (a)Contracting Party shall promptly, and before the following conditions are disturbed, notify City, in writing, of any: (1) material that Contracting Party believes may be material that is hazardous waste, as defined in Section 25117 of the Health and Safety Code, that is required to be removed to a Class I, Class II, or Class III disposal site in accordance with provisions of existing law; (2) subsurface or latent physical conditions at the site different from those indicated by information about the site made available to bidders prior to the deadline for submitting bids; or (3) unknown physical conditions at the site of any unusual nature, different materially from those ordinarily encountered and generally recognized as inherent in work of the character provided for in the Agreement. (b)City shall promptly investigate the conditions, and if it finds that the conditions do materially so differ, or do involve hazardous waste, and cause a decrease or increase in Contracting Party’s cost of, or the time required for, performance of any part of the work shall issue a change order per Section 1.8 of the Agreement. (c)in the event that a dispute arises between City and Contracting Party whether the conditions materially differ, or involve hazardous waste, or cause a decrease or increase in Contracting Party’s cost of, or time required for, performance of any part of the work, Contracting Party shall not be excused from any scheduled completion date provided for by this Agreement, but shall proceed with all work to be performed under this Agreement. Contracting Party shall retain any and all rights provided either by contract or by law which pertain to the resolution of disputes and protests between the contracting Parties. 5.Safety. Contracting Party shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out the Services, Contracting Party shall at all times be in compliance with all applicable local, state, and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be 238 Exhibit D Page 4 of 4 performed. Safety precautions as applicable shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C)adequate facilities for the proper inspection and maintenance of all safety measures. 6.Liquidated Damages. Since the determination of actual damages for any delay in performance of the Agreement would be extremely difficult or impractical to determine in the event of a breach of this Agreement, Contracting Party shall be liable for and shall pay to City the sum of One Thousand dollars ($1,000.00) as liquidated damages for each working day of delay in the performance of any of the Services required hereunder, as specified in the Schedule of Performance. In addition, liquidated damages may be assessed for failure to comply with the emergency call out requirements, if any, described in the Scope of Services. City may withhold from any moneys payable on account of the Services performed by Contracting Party any accrued liquidated damages. 239 Exhibit E Page 1 of 6 Exhibit E Insurance Requirements E.1 Insurance. Prior to the beginning of and throughout the duration of this Agreement, 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) $2,000,000 (per occurrence) $4,000,000 (general aggregate) Must include the following endorsements: General Liability Additional Insured General Liability Primary and Non-contributory Commercial Auto Liability (at least as broad as ISO CA 0001) $1,000,000 (per accident) Personal Auto Declaration Page if applicable Errors and Omissions Liability $1,000,000 (per claim and aggregate) Workers’ Compensation (per statutory requirements) Must include the following endorsements: Workers Compensation with Waiver of Subrogation Workers Compensation Declaration of Sole Proprietor if applicable Contracting Party shall procure and maintain, at its cost, and submit concurrently with its execution of this Agreement, Commercial General Liability insurance against all claims for injuries against persons or damages to property resulting from Contracting Party’s acts or omissions rising out of or related to Contracting Party’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 Contracting Party’s performance hereunder and neither City nor its insurers shall be required to contribute to any such loss. An endorsement evidencing the foregoing and naming the City and its officers and employees as additional insured (on the Commercial General Liability policy only) must be submitted concurrently with the execution of this Agreement and approved by City prior to commencement of the services hereunder. 240 Exhibit E Page 2 of 6 Contracting Party 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 Contracting Party, its officers, any person directly or indirectly employed by Contracting Party, any subcontractor or agent, or anyone for whose acts any of them may be liable, arising directly or indirectly out of or related to Contracting Party’s performance under this Agreement. If Contracting Party or Contracting Party’s employees will use personal autos in any way on this project, Contracting Party 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 policy shall contain a severability of interest clause providing that coverage shall be primary for losses arising out of Contracting Party’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 Contracting Party 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. Contracting Party 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. If coverage is maintained on a claims-made basis, Contracting Party shall maintain such coverage for an additional period of three (3) years following termination of the contract. Contracting Party shall provide written notice to City within ten (10)working days if: (1) any of the required insurance policies is terminated; (2)the limits of any of the required polices are reduced; or (3) the deductible or self-insured retention is increased. In the event any of said policies of insurance are cancelled, Contracting Party shall, prior to the cancellation date, submit new evidence of insurance in conformance with this Exhibit to the Contract Officer. The procuring of such insurance or the delivery of policies or certificates evidencing the same shall not be construed as a limitation of Contracting Party’s obligation to indemnify City, its officers, employees, contractors, subcontractors, or agents. 241 Exhibit E Page 3 of 6 E.2 Remedies. In addition to any other remedies City may have if Contracting Party 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 Contracting Party to stop work under this Agreement and/or withhold any payment(s) which become due to Contracting Party hereunder until Contracting Party 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 Contracting Party’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 Contracting Party may be held responsible for payments of damages to persons or property resulting from Contracting Party’s or its subcontractors’ performance of work under this Agreement. E.3 General Conditions Pertaining to Provisions of Insurance Coverage by Contracting Party. Contracting Party and City agree to the following with respect to insurance provided by Contracting Party: 1.Contracting Party 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. Contracting Party also agrees to require all contractors, and subcontractors to do likewise. 2.No liability insurance coverage provided to comply with this Agreement shall prohibit Contracting Party, or Contracting Party’s employees, or agents, from waiving the right of subrogation prior to a loss. Contracting Party 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 Contracting Party 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 242 Exhibit E Page 4 of 6 agreement relating to 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. Contracting Party 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 the coverages required and an additional insured endorsement to Contracting Party’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 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 Contracting Party or deducted from sums due Contracting Party, at City option. 8.It is acknowledged by the parties of this agreement that all insurance coverage required to be provided by Contracting Party 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.Contracting Party agrees to ensure that subcontractors, and any other party involved with the project that is brought onto or involved in the project by Contracting Party, provide the same minimum insurance coverage required of Contracting Party. Contracting Party 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. Contracting Party agrees that upon request, all agreements with subcontractors and others engaged in the project will be submitted to City for review. 243 Exhibit E Page 5 of 6 10.Contracting Party 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 Contracting Party’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 Contracting Party, 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 this Agreement to change the amounts and types of insurance required by giving the Contracting Party ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Contracting Party, 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.Contracting Party acknowledges and agrees that any actual or alleged failure on the part of City to inform Contracting Party of non- compliance with any 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.Contracting Party 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 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.Contracting Party 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 Contracting Party’s insurance agent to this effect is acceptable. A certificate of insurance and an additional insured endorsement is required in these specifications applicable to the renewing or 244 Exhibit E Page 6 of 6 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 Contracting Party under this agreement. Contracting Party 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 Exhibit 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 Exhibit. 20.Contracting Party 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 Contracting Party 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 requirements. There shall be no recourse against City for payment of premiums or other amounts with respect thereto. 21.Contracting Party agrees to provide immediate notice to City of any claim or loss against Contracting Party 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. 245 Exhibit F Page 1 of 3 Exhibit F Indemnification F.1 Indemnity for the Benefit of City. a.Indemnification for Professional Liability. When the law establishes a professional standard of care for Contracting Party’s Services, to the fullest extent permitted by law, Contracting Party shall indemnify, protect, defend (with counsel selected by City), 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 Contracting Party or of any subcontractor), 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 caused in whole or in part by any negligent or wrongful act, error or omission of Contracting Party, its officers, agents, employees or subcontractors (or any entity or individual that Contracting Party shall bear the legal liability thereof) in the performance of professional services under this agreement. With respect to the design of public improvements, the Contracting Party 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 A without the written consent of the Contracting Party. b.Indemnification for Other Than Professional Liability. Other than in the performance of professional services and to the full extent permitted by law, Contracting Party shall indemnify, defend (with counsel selected by City), and hold harmless the Indemnified Parties 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 Contracting Party or by any individual or entity for which Contracting Party is legally liable, including but not limited to officers, agents, employees, or subcontractors of Contracting Party. c.Indemnity Provisions for Contracts Related to Construction (Limitation on Indemnity). Without affecting the rights of City under any 246 Exhibit F Page 2 of 3 provision of this agreement, Contracting Party 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 Contracting Party will be for that entire portion or percentage of liability not attributable to the active negligence of City. d.Indemnification Provision for Design Professionals. 1. Applicability of this Section F.1(d). Notwithstanding Section F.1(a) hereinabove, the following indemnification provision shall apply to a Contracting Party who constitutes a “design professional” as the term is defined in paragraph 3 below. 2.Scope of Indemnification. When the law establishes a professional standard of care for Contracting Party’s Services, to the fullest extent permitted by law, Contracting Party shall indemnify and hold harmless City and any and all of its officials, employees, and agents (“Indemnified Parties”) from and against any and all losses, liabilities of every kind, nature, and description, damages, injury (including, without limitation, injury to or death of an employee of Contracting Party or of any subcontractor), costs and expenses, including, without limitation, incidental and consequential damages, court costs, reimbursement of 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 caused by any negligent or wrongful act, error or omission of Contracting Party, its officers, agents, employees or subcontractors (or any entity or individual that Contracting Party shall bear the legal liability thereof) in the performance of professional services under this agreement. With respect to the design of public improvements, the Contracting Party 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 A without the written consent of the Contracting Party. 3. Design Professional Defined. As used in this Section F.1(d), 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. F.2 Obligation to Secure Indemnification Provisions. Contracting Party agrees to obtain executed indemnity agreements with provisions 247 Exhibit F Page 3 of 3 identical to those set forth herein this Exhibit F, as applicable to the Contracting Party, from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Contracting Party in the performance of this Agreement. In the event Contracting Party fails to obtain such indemnity obligations from others as required herein, Contracting Party agrees to be fully responsible according to the terms of this Exhibit. 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 in this Agreement are binding on the successors, assigns or heirs of Contracting Party and shall survive the termination of this Agreement. 248 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: AWARD CONTRACT TO GRANITE CONSTRUCTION COMPANY IN THE AMOUNT OF $8,115,118 FOR THE LA QUINTA VILLAGE COMPLETE STREETS PROJECT (PROJECT NO. 2015-03/151603) RECOMMENDATION Award a contract to Granite Construction Company in the amount of $8,115,118 for the La Quinta Village Complete Streets Project; and authorize the City Manager to execute the contract. EXECUTIVE SUMMARY •In 2016, the City was awarded a $7.3M State Active Transportation Program (ATP) grant for the Village Complete Streets Project (Project). •The Project will transform the La Quinta Village by reducing the number of travel lanes on Calle Tampico, Calle Sinaloa and Eisenhower Drive from four to two to accommodate bike, golf cart and Neighborhood Electric Vehicle (NEV) lanes; converting four-way intersections to roundabouts; and providing pedestrian and bicycle friendly facilities. (Attachment 1). •Granite Construction Company of Indio, California submitted the lowest responsible and responsive bid of $8,115,118 (Attachment 2). FISCAL IMPACT The following chart presents the proposed funding sources and percentage of total project cost for each: State ATP Grant $7,313,100 54% Measure A and SB1 Road Maintenance/Rehab $3,705,210 27% City Funding $2,519,776 18% Utility Reimbursements - CVWD $70,700 1% Total Budget $13,608,786 100% The following is the adjusted overall project budget: Professional (Local Funds) $220,000 Environmental/Design (Local Funds) $1,419,066 Inspection/Testing/Survey (State Funds $1,468,941 CONSENT CALENDAR ITEM NO. 10 249 Right of Way Acquisition (Local Funds) $41,094 Construction (Local/State Funds) $8,115,118 City Administration (Local Funds) $24,965 Contingency (Local/State Funds) $2,319,602 Total Budget $13,608,786 Funds are available in the La Quinta Village Complete Streets budget (Project 201503/151603). BACKGROUND/ANALYSIS The Project will reduce four traffic lanes to two lanes along Calle Tampico and Calle Sinaloa from Eisenhower to Desert Club Drive, and along Eisenhower from Calle Tampico to Calle Sinaloa. This area will be used as space for designated bike and golf cart lanes. Roundabouts will be installed at five key intersections to provide better traffic flows. The reduced lanes and midblock crosswalks will provide pedestrians with safer access to Civic Center Park, Old Town La Quinta, and the Benjamin Franklin Elementary School. In addition, the Project includes drainage and landscaping enhancements. The scope of these improvements were developed through public outreach meetings. On April 19, 2019 staff solicited construction bids from qualified contractors. The City received 4 bids on May 16, 2019. Granite Construction Company submitted the lowest responsible and responsive bid of $8,115,118. This amount includes two additive alternates for refreshing the existing medians with decomposed granite and to perform the CVWD utility adjustments. The following is the project schedule: Council Considers Project Award June 4, 2019 Execute Contract and Mobilize June 5, 2019 to June 26, 2019 Construction (360 Working Days) June 2019 to October 2020 Accept Improvements November 2020 Construction will occur in three stages. Stage 1 includes work on Calle Tampico from just east of Eisenhower Drive to Washington Street; Stage 2 includes work on Calle Sinaloa/Avenue 52 from just east of Eisenhower Drive to Desert Club Drive; and Stage 3 includes work on Eisenhower Drive from just north of Calle Tampico to Calle Sinaloa. ALTERNATIVES Staff does not recommend an alternative due to the funding timing constraints. Prepared by: Julie Mignogna, Management Analyst Approved by: Bryan McKinney, City Engineer Attachments: 1. Vicinity Map 2. Bid Comparison Summary 250 252 Bid Opening Date: 5/16/19La Quinta Village Complete Streets ‐ A Road Diet ProjectCity Project No. 2015‐03ItemItem DescriptionUnit Quanitity Unit PriceTotal CostUnit PriceTotal CostUnit PriceTotal CostUnit PriceTotal CostUnit PriceTotal Cost1 MobilizationLS 1854,300.00$         854,300.00$  480,000.00$  480,000.00$  570,000.00$  570,000.00$  975,000.00$  975,000.00$  135,000.00$  135,000.00$  2 Dust ControlLS 140,000.00$           40,000.00$ 120,000.00$  120,000.00$  45,000.00$ 45,000.00$ 25,000.00$ 25,000.00$ 5,000.00$ 5,000.00$ 3 Storm Water Pollution Prevention Plan (SWPPP)LS 115,000.00$           15,000.00$ 75,000.00$ 75,000.00$ 95,000.00$ 95,000.00$ 100,000.00$  100,000.00$  50,000.00$ 50,000.00$ 4 Install City Furnished Project SignEA 9300.00$                 2,700.00$ 800.00$ 7,200.00$ 1,100.00$ 9,900.00$ 1,200.00$ 10,800.00$ 400.00$ 3,600.00$ 5 Construction Monitoring (Camera)LS 120,000.00$           20,000.00$ 25,000.00$ 25,000.00$ 30,000.00$ 30,000.00$ 80,000.00$ 80,000.00$ 45,000.00$ 45,000.00$ 6 Traffic Control/Construction Staging LS 1400,000.00$         400,000.00$  455,000.00$  455,000.00$  246,000.00$  246,000.00$  350,000.00$  350,000.00$  220,000.00$  220,000.00$  7 Traffic Signal RemovalLS 195,000.00$           95,000.00$ 50,000.00$ 50,000.00$ 58,000.00$ 58,000.00$ 50,000.00$ 50,000.00$ 70,000.00$ 70,000.00$ 8 Clearing and GrubbingLS 120,000.00$           20,000.00$ 134,122.06$  134,122.06$  50,000.00$ 50,000.00$ 75,000.00$ 75,000.00$ 50,000.00$ 50,000.00$ 9 Roadway Excavation ("F")SF 151,1441.50$  226,716.00$  3.00$ 453,432.00$  3.45$ 521,446.80$  3.50$ 529,004.00$  9.00$ 1,360,296.00$  10 Remove Concrete CurbLF4,35410.00$  43,540.00$ 3.50$ 15,239.00$ 4.55$ 19,810.70$ 6.00$ 26,124.00$ 7.00$ 30,478.00$ 11Remove Concrete Curb and GutterLF 8,38425.00$  209,600.00$  6.50$ 54,496.00$ 8.25$ 69,168.00$ 7.00$ 58,688.00$ 15.00$ 125,760.00$  12 Remove Valley GutterLF 1,15610.00$  11,560.00$ 25.00$ 28,900.00$ 17.25$ 19,941.00$ 20.00$ 23,120.00$ 15.00$ 17,340.00$ 13 Remove Stamped ConcreteSF 3,5072.50$  8,767.50$ 4.00$ 14,028.00$ 3.60$ 12,625.20$ 1.50$ 5,260.50$ 4.00$ 14,028.00$ 14 Remove Concrete Sidewalk SF 32,4456.00$  194,670.00$  2.00$ 64,890.00$ 2.35$ 76,245.75$ 1.50$ 48,667.50$ 3.00$ 97,335.00$ 15 Remove Concrete DrivewaySF 28910.00$  2,890.00$ 5.00$ 1,445.00$ 6.00$ 1,734.00$ 5.00$ 1,445.00$ 4.00$ 1,156.00$ 16 Remove/Salvage Masonry PaversSF 7,78010.00$  77,800.00$ 4.00$ 31,120.00$ 6.00$ 46,680.00$ 14.00$ 108,920.00$  6.00$ 46,680.00$ 17 Remove FenceLF 4804.00$  1,920.00$ 14.00$ 6,720.00$ 5.80$ 2,784.00$ 7.00$ 3,360.00$ 12.00$ 5,760.00$ 18 Remove TreeEA 161,500.00$             24,000.00$ 400.00$ 6,400.00$ 2,700.00$ 43,200.00$ 500.00$ 8,000.00$ 1,300.00$ 20,800.00$ 19 Relocate MailboxEA 61,000.00$             6,000.00$ 800.00$ 4,800.00$ 2,500.00$ 15,000.00$ 1,200.00$ 7,200.00$ 500.00$ 3,000.00$ 20Relocate Sanitary Sewer CleanoutEA1900.00$                 900.00$ 2,100.00$ 2,100.00$ 10,000.00$ 10,000.00$ 1,200.00$ 1,200.00$ 2,500.00$ 2,500.00$ 21 Cold Milling AC Pavement (T=0.2')SF 127,3551.00$  127,355.00$  0.60$ 76,413.00$ 0.80$ 101,884.00$  0.80$ 101,884.00$  0.30$ 38,206.50$ 22a 5.5” Asphalt Concrete over 6.5” Aggregate BaseSF 13,4465.50$  73,953.00$ 9.00$ 121,014.00$  8.40$ 112,946.40$  7.50$ 100,845.00$  12.00$ 161,352.00$  22b Asphalt Concrete (Variable Overlay, varies between 0.2’‐1’)SF 131,3413.00$  394,023.00$  4.00$ 525,364.00$  4.10$ 538,498.10$  7.00$ 919,387.00$  6.00$ 788,046.00$  23 Asphalt Concrete(Full Depth Patch w/CLSM)SF 15,97225.00$  399,300.00$  10.00$ 159,720.00$  10.00$ 159,720.00$  23.00$ 367,356.00$  8.00$ 127,776.00$  24 Textured Asphalt Concrete (HMA)SF 1,75322.00$  38,566.00$ 101.00$ 177,053.00$  100.00$ 175,300.00$  65.00$ 113,945.00$  120.00$ 210,360.00$  25 Crushed Aggregate BaseSF 26,7943.50$  93,779.00$ 1.40$ 37,511.60$ 3.60$ 96,458.40$ 4.00$ 107,176.00$  2.75$ 73,683.50$ 26 Concrete Curb (Truck Apron Type 1)LF 1,17245.00$  52,740.00$ 24.00$ 28,128.00$ 30.00$ 35,160.00$ 28.00$ 32,816.00$ 37.00$ 43,364.00$ 27 Concrete Curb (Truck Apron Type 2)LF 72640.00$  29,040.00$ 26.00$ 18,876.00$ 36.25$ 26,317.50$ 40.00$ 29,040.00$ 37.00$ 26,862.00$ 28 Concrete Curb (Type C Rolled Curb)LF 68835.00$  24,080.00$ 35.00$ 24,080.00$ 50.00$ 34,400.00$ 30.00$ 20,640.00$ 60.00$ 41,280.00$ 29 Concrete Curb (6" Median Curb)LF 7,63825.00$  190,950.00$  25.00$ 190,950.00$  22.00$ 168,036.00$  20.00$ 152,760.00$  22.00$ 168,036.00$  30 Concrete Curb and Gutter (6" Curb and Gutter)LF 8,61635.00$  301,560.00$  40.00$ 344,640.00$  20.00$ 172,320.00$  27.00$ 232,632.00$  32.00$ 275,712.00$  31 Concrete Curb (Bio‐Retention Curb)LF 1,61145.00$  72,495.00$ 55.00$ 88,605.00$ 44.00$ 70,884.00$ 32.00$ 51,552.00$ 70.00$ 112,770.00$  32 Concrete Curb and Gutter (Bio‐Retention Curb and Gutter)LF 38360.00$  22,980.00$ 60.00$ 22,980.00$ 120.00$ 45,960.00$ 55.00$ 21,065.00$ 50.00$ 19,150.00$ 33Concrete Sidewalk (Shared Use Path)SF39,20812.00$  4704967.00$ 274,456.00$  6.00$ 235,248.00$  4.50$ 176,436.00$  6.50$ 254,852.00$  34 Concrete Driveway SF 7,66720.00$  153,340.00$  10.00$ 76,670.00$ 10.75$ 82,420.25$ 8.00$ 61,336.00$ 10.00$ 76,670.00$ 35 Concrete Curb CutEA 801,000.00$             80,000.00$ 500.00$ 40,000.00$ 400.00$ 32,000.00$ 825.00$ 66,000.00$ 1,200.00$ 96,000.00$ 36 Concrete Valley GutterSF 11,15517.00$  189,635.00$  11.00$ 122,705.00$  12.50$ 139,437.50$  8.00$ 89,240.00$ 11.00$ 122,705.00$  37 Concrete (Truck Apron & Truck Blister)SF 13,82025.00$  345,500.00$  15.00$ 207,300.00$  12.00$ 165,840.00$  15.00$ 207,300.00$  20.00$ 276,400.00$  38 Concrete Curb Opening (Catch Basin)EA 23,000.00$             6,000.00$ 3,600.00$ 7,200.00$ 13,000.00$ 26,000.00$ 1,350.00$ 2,700.00$ 8,000.00$ 16,000.00$ 39 Stamped ConcreteSF 3,52612.00$  42,312.00$ 10.00$ 35,260.00$ 24.00$ 84,624.00$ 14.00$ 49,364.00$ 11.00$ 38,786.00$ 40 Concrete Curb Ramp (Modified Case A)EA 46,500.00$             26,000.00$ 800.00$ 3,200.00$ 4,400.00$ 17,600.00$ 2,300.00$ 9,200.00$ 2,000.00$ 8,000.00$ 41 Concrete Curb Ramp (Case B)EA 74,500.00$             31,500.00$ 1,300.00$ 9,100.00$ 3,800.00$ 26,600.00$ 2,300.00$ 16,100.00$ 2,000.00$ 14,000.00$ 42Concrete Curb Ramp (Modified Case B)EA55,000.00$             25,000.00$ 1,900.00$ 9,500.00$ 3,700.00$ 18,500.00$ 2,300.00$ 11,500.00$ 2,000.00$ 10,000.00$ 43 Concrete Curb Ramp (Modified Case F)EA 683,500.00$             238,000.00$  1,050.00$ 71,400.00$ 2,500.00$ 170,000.00$  2,300.00$ 156,400.00$  2,000.00$ 136,000.00$  44 Concrete Curb Ramp (Median Passageway)EA 248,000.00$             192,000.00$  1,000.00$ 24,000.00$ 2,700.00$ 64,800.00$ 3,200.00$ 76,800.00$ 3,000.00$ 72,000.00$ 45 Detectable Warning SurfaceSF 2,71530.00$  81,450.00$ 50.00$ 135,750.00$  52.00$ 141,180.00$  40.00$ 108,600.00$  37.00$ 100,455.00$  46 Install Bio‐Retention AreasLS 1260,000.00$         260,000.00$  250,000.00$  250,000.00$  325,000.00$  325,000.00$  310,000.00$  310,000.00$  500,000.00$  500,000.00$  47 Bio‐Retention RiserEA 101,000.00$             10,000.00$ 3,200.00$ 32,000.00$ 4,100.00$ 41,000.00$ 2,500.00$ 25,000.00$ 3,000.00$ 30,000.00$ 48 Remove Existing Catch BasinEA 22,000.00$             4,000.00$ 3,000.00$ 6,000.00$ 3,300.00$ 6,600.00$ 2,500.00$ 5,000.00$ 5,000.00$ 10,000.00$ 49 Adjust Existing Catch BasinEA 143,000.00$             42,000.00$ 5,700.00$ 79,800.00$ 5,600.00$ 78,400.00$ 4,500.00$ 63,000.00$ 7,000.00$ 98,000.00$ 50 Adjust Storm Drain Manhole to GradeEA 11,000.00$             1,000.00$ 1,600.00$ 1,600.00$ 1,500.00$ 1,500.00$ 3,200.00$ 3,200.00$ 1,500.00$ 1,500.00$ 51Storm Drain Catch BasinEA95,000.00$             45,000.00$ 9,200.00$ 82,800.00$ 13,000.00$ 117,000.00$  8,000.00$ 72,000.00$ 7,000.00$ 63,000.00$ 52 Curb Opening Catch Basin with GrateEA 12,500.00$             2,500.00$ 12,000.00$ 12,000.00$ 13,000.00$ 13,000.00$ 7,800.00$ 7,800.00$ 12,000.00$ 12,000.00$ 53 Reverse Parkway Drain (including rebar)EA 152,500.00$             37,500.00$ 4,000.00$ 60,000.00$ 5,000.00$ 75,000.00$ 4,500.00$ 67,500.00$ 7,000.00$ 105,000.00$  54 18" RCPLF 81050.00$  40,500.00$ 150.00$ 121,500.00$  290.00$ 234,900.00$  185.00$ 149,850.00$  215.00$ 174,150.00$  55 18"x12" Reinforced Concrete BoxLF 91100.00$                 9,100.00$ 300.00$ 27,300.00$ 470.00$ 42,770.00$ 280.00$ 25,480.00$ 240.00$ 21,840.00$ 56 4'x1.5’ Reinforced Concrete BoxLF 52150.00$                 7,800.00$ 450.00$ 23,400.00$ 840.00$ 43,680.00$ 465.00$ 24,180.00$ 270.00$ 14,040.00$ 57 8" HDPE Irrigation Crossover ConduitLF 1,69940.00$  67,960.00$ 80.00$ 135,920.00$  62.00$ 105,338.00$  75.00$ 127,425.00$  28.00$ 47,572.00$ 58 4" PVC Irrigation Under sidewalk ConduitLF 89120.00$  17,820.00$ 20.00$ 17,820.00$ 20.00$ 17,820.00$ 25.00$ 22,275.00$ 27.00$ 24,057.00$ 59 Junction Structure ManholeEA 25,000.00$             10,000.00$ 11,000.00$ 22,000.00$ 12,500.00$ 25,000.00$ 14,500.00$ 29,000.00$ 3,000.00$ 6,000.00$ 60Flared EndEA1500.00$                 500.00$ 2,500.00$ 2,500.00$ 4,100.00$ 4,100.00$ 950.00$ 950.00$ 5,000.00$ 5,000.00$ 61 Riprap ApronEA 1600.00$                 600.00$ 1,200.00$ 1,200.00$ 1,700.00$ 1,700.00$ 1,500.00$ 1,500.00$ 2,500.00$ 2,500.00$ 62 Protect Existing Dry WellEA 21,000.00$             2,000.00$ 500.00$ 1,000.00$ 4,100.00$ 8,200.00$ 1,000.00$ 2,000.00$ 7,000.00$ 14,000.00$ 63 Install Dry WellEA 230,000.00$           60,000.00$ 30,000.00$ 60,000.00$ 34,000.00$ 68,000.00$ 30,000.00$ 60,000.00$ 33,000.00$ 66,000.00$ 64 Remove Roadside Sign (All Types)LS 18,990.00$             8,990.00$ 3,600.00$ 3,600.00$ 4,600.00$ 4,600.00$ 5,000.00$ 5,000.00$ 8,000.00$ 8,000.00$ 65Roadside Signs and Object Markers (Including Relocation, Object Markers, One Post, Two Posts, and SSBM)LS 1225,000.00$         225,000.00$  120,000.00$  120,000.00$  90,000.00$ 90,000.00$ 70,000.00$ 70,000.00$ 85,000.00$ 85,000.00$ Granite Construction Co.Sully‐Miller Contracting Co.Riverside Construction Company, Inc.Los Angeles Engineering, Inc.Engineer's Estimate ‐ Base BidATTACHMENT 2ATTACHMENT 2 253 254 Bid Opening Date: 5/16/19La Quinta Village Complete Streets ‐ A Road Diet ProjectCity Project No. 2015‐0366Traffic Stripes, Painted Curbs, Pavement Markings, and Pavement Markers (not including green paint)LS 1 120,000.00$          120,000.00$  90,000.00$ 90,000.00$ 105,000.00$  105,000.00$  80,000.00$ 80,000.00$ 96,000.00$ 96,000.00$ 67 Post and Cable FenceLF 33010.00$                   3,300.00$ 61.00$ 20,130.00$ 58.00$ 19,140.00$ 45.00$ 14,850.00$ 72.00$ 23,760.00$ 68 Furnish and Install Street LightingLS 1416,000.00$         416,000.00$  500,000.00$  500,000.00$  580,000.00$  580,000.00$  675,000.00$  675,000.00$  650,000.00$  650,000.00$  69 Landscape Irrigation SystemLS 1357,259.00$         357,259.00$ 280,000.00$ 280,000.00$ 320,000.00$ 320,000.00$ 275,000.00$ 275,000.00$ 600,000.00$ 600,000.00$ 70 Landscape Plant MaterialsLS 1258,000.00$         258,000.00$ 200,000.00$ 200,000.00$ 200,000.00$ 200,000.00$ 135,000.00$ 135,000.00$ 300,000.00$ 300,000.00$ 71 Landscape 3"‐8" Mixed Cobble RockSF 15,8663.00$ 47,598.00$ 2.48$ 39,347.68$ 3.50$ 55,531.00$ 3.00$ 47,598.00$ 4.00$ 63,464.00$ 72 Landscape 3/4" 'Desert Gold' Crushed RockSF 3,3342.50$ 8,335.00$ 0.92$ 3,067.28$ 1.00$ 3,334.00$ 1.00$ 3,334.00$ 3.00$ 10,002.00$ 73 Landscape 3/4" 'Apache Sunset' Crushed RockSF 9,7672.50$  24,417.50$ 1.31$ 12,794.77$ 1.50$ 14,650.50$ 1.50$ 14,650.50$ 4.00$ 39,068.00$ 74 Landscape 'Desert Gold' Decomposed GraniteSF 71,3782.00$ 142,756.00$ 1.13$ 80,657.14$ 1.15$ 82,084.70$ 1.00$ 71,378.00$ 1.60$ 114,204.80$  75Landscape Boulders 'A'EA 173200.00$                 34,600.00$ 200.00$ 34,600.00$ 110.00$ 19,030.00$ 100.00$ 17,300.00$ 190.00$ 32,870.00$ 76 Landscape Boulders 'B'EA 166100.00$                 16,600.00$ 250.00$ 41,500.00$ 125.00$ 20,750.00$ 100.00$ 16,600.00$ 200.00$ 33,200.00$ 77 Landscape 'PermaLoc Header‐Asphalt Edge'LF 2,06610.00$ 20,660.00$ 8.86$ 18,304.76$ 15.00$ 30,990.00$ 13.00$ 26,858.00$ 15.00$ 30,990.00$ 78 Landscape 90 day Maintenance and Plant EstablishmentLS 112,000.00$           12,000.00$ 15,000.00$ 15,000.00$ 12,000.00$ 12,000.00$ 10,000.00$ 10,000.00$ 10,000.00$ 10,000.00$ 79 Landscape Concrete Planter WallLS 115,000.00$           15,000.00$ 30,000.00$ 30,000.00$ 28,000.00$ 28,000.00$ 35,000.00$ 35,000.00$ 30,000.00$ 30,000.00$ 80 Landscape Gravity Rock WallLF 17575.00$ 13,125.00$ 116.00$ 20,300.00$ 200.00$ 35,000.00$ 135.00$ 23,625.00$ 200.00$ 35,000.00$ 81 Enhanced Pedestrian Crosswalk SystemsLS 1375,000.00$         375,000.00$ 215,000.00$ 215,000.00$ 320,000.00$ 320,000.00$ 235,000.00$ 235,000.00$ 270,000.00$ 270,000.00$ 82 Pavement Marking (Green Paint)SF 8,2974.00$ 33,188.00$ 10.00$ 82,970.00$ 11.60$ 96,245.20$ 10.00$ 82,970.00$ 12.00$ 99,564.00$ 83 Crack Seal & Type II Slurry SealSF 396,0070.35$ 138,602.45$ 0.41$ 162,362.87$ 0.71$ 281,164.97$ 0.30$ 118,802.10$ 0.35$ 138,602.45$  84 Future Electrical Connection (Conduit and Pull box)EA52,500.00$             12,500.00$ 2,000.00$ 10,000.00$ 1,750.00$ 8,750.00$ 10,000.00$ 50,000.00$ 1,200.00$ 6,000.00$ 85 Misc Concrete (Future Art Pad)EA 5500.00$                 2,500.00$ 5,500.00$ 27,500.00$ 2,600.00$ 13,000.00$ 750.00$ 3,750.00$ 1,000.00$ 5,000.00$ 86 Junction Structure No. 1, Standard Drawing No. 352EA 29,000.00$             18,000.00$ 5,300.00$ 10,600.00$ 3,200.00$ 6,400.00$ 2,500.00$ 5,000.00$ 3,000.00$ 6,000.00$ 87 24" RCP, (D‐LOAD PER PROFILE)LF 674150.00$                 101,100.00$ 250.00$ 168,500.00$ 240.00$ 161,760.00$ 200.00$ 134,800.00$ 185.00$ 124,690.00$ 88 18" RCP, (D‐LOAD PER PROFILE)LF 16140.00$                 2,240.00$ 300.00$ 4,800.00$ 400.00$ 6,400.00$ 185.00$ 2,960.00$ 260.00$ 4,160.00$ 89 Junction Structure, Standard Drawing No. 353 Case 2EA 14,000.00$             4,000.00$ 5,000.00$ 5,000.00$ 2,200.00$ 2,200.00$ 4,500.00$ 4,500.00$ 3,000.00$ 3,000.00$ 90 Sawcut Window through Existing RCB ("F")EA 44,000.00$             16,000.00$ 1,800.00$ 7,200.00$ 3,600.00$ 14,400.00$ 1,000.00$ 4,000.00$ 1,200.00$ 4,800.00$ 91 Construct Manhole, Standard Drawing No. 341EA 25,000.00$             10,000.00$ 10,000.00$ 20,000.00$ 13,000.00$ 26,000.00$ 4,000.00$ 8,000.00$ 6,000.00$ 12,000.00$ 92 Remove Asbestos Cement Pipe Water Line (Abandoned)LS 11,000.00$             1,000.00$ 6,000.00$ 6,000.00$ 7,200.00$ 7,200.00$ 500.00$ 500.00$ 6,000.00$ 6,000.00$ 9,013,468.45$  8,027,842.16$  8,657,307.97$  8,936,498.60$  9,648,233.25$  ItemItem DescriptionUnitQuanitity Unit PriceTotal CostUnit PriceTotal CostUnit PriceTotal CostUnit PriceTotal CostUnit PriceTotal Cost93(S) Landscape 'Desert Gold' Decomposed Granite in Existing MediansSF 30,6962.00$ 61,392.00$ 0.54$ 16,575.84$ 1.15$ 35,300.40$ 0.60$ 18,417.60$ 2.00$ 61,392.00$ 61,392.00$ 16,575.84$ 35,300.40$ 18,417.60$ 61,392.00$ ItemItem DescriptionUnit Quanitity Unit PriceTotal CostUnit PriceTotal CostUnit PriceTotal CostUnit PriceTotal CostUnit PriceTotal Cost94(S) Adjust to Grade, Sewer CleanoutEA 2300.00$                 600.00$ 250.00$ 500.00$ 1,500.00$ 3,000.00$ 600.00$ 1,200.00$ 1,000.00$ 2,000.00$ 95(S) Adjust to Grade, Water ValveEA 26900.00$                 23,400.00$ 1,200.00$ 31,200.00$ 1,400.00$ 36,400.00$ 150.00$ 3,900.00$ 300.00$ 7,800.00$ 96(S) Adjust to Grade, Sewer ManholeEA 191,100.00$             20,900.00$ 2,000.00$ 38,000.00$ 1,400.00$ 26,600.00$ 850.00$ 16,150.00$ 600.00$ 11,400.00$ 97(S) Adjust to Grade, Water MeterEA 51,000.00$             5,000.00$ 200.00$ 1,000.00$ 2,900.00$ 14,500.00$ 950.00$ 4,750.00$ 500.00$ 2,500.00$ 49,900.00$ 70,700.00$ 80,500.00$ 26,000.00$ 23,700.00$ 9,124,760.45$ 8,115,118.00$ 8,773,108.37$ 8,980,916.20$ 9,733,325.25$ 9,074,860.45$ 8,044,418.00$ 8,692,608.37$ 8,954,916.20$ 9,709,625.25$ 9,063,368.45$ 8,098,542.16$ 8,737,807.97$ 8,962,498.60$ 9,671,933.25$ Grand Total Base Bid Including Alternate Nos. 1 &2:Bid Alternate No. 2 Sub‐Total Bid Alternate No. 2:Grand Total Base Bid with Alternate No. 1:Grand Total Base Bid with Alternate No. 2:Sub‐Total Base Bid:Bid Alternate No. 1 Sub‐Total Bid Alternate No. 1:255 256 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: AWARD CONTRACT TO URBAN HABITAT IN THE AMOUNT OF $721,040 FOR THE LA QUINTA LANDSCAPE RENOVATION IMPROVEMENTS PROJECT LOCATED AT THE LA QUINTA HIGHLANDS, ON THE SOUTH SIDE OF FRED WARING DRIVE AND WEST SIDE OF ADAMS STREET (PROJECT NO. 2016- 03D) RECOMMENDATION Award a contract to Urban Habitat in the amount of $721,040 for the La Quinta Landscape Renovation Improvements Project Located at The La Quinta Highlands, on the South Side of Fred Waring Drive and West Side of Adams Street. EXECUTIVE SUMMARY •This fourth phase of the La Quinta Landscape Renovation project is located at the La Quinta Highlands on the south side of Fred Waring Drive, the entrance on Las Vistas Drive at Fred Waring Drive, and the west side of Adams Street (Attachment 1). •Urban Habitat of La Quinta, California submitted the lowest responsible and responsive bid of $937,423 (Attachment 2). Staff is recommending the award of only the second additive alternate to repair the wall in lieu of replacement for a total of $721,040. FISCAL IMPACT The Capital Improvement Program (CIP) includes $4,682,189 of funding for Landscape Renovation projects, $3,932,189 of Measure G Funds, $611,880 of General Funds, and $138,119 of CVWD reimbursement. The following is the project budget, which includes carryovers from the prior fiscal year: Total Budget (All Phases) Phase 4 – Highlands* Professional: $ 249,509 $ 35,000 Design: $ 321,947 $ 41,600 Inspection/Testing/Survey: $ 313,898 $ 73,000 Construction: $ 3,219,469 $ 721,040 Contingency: $ 577,366 $ 75,000 Total Budget: $ 4,682,189 $ 945,640 CONSENT CALENDAR ITEM NO. 11 257 *Note:  Following the construction of Phase 4, approximately $2,200,000 would be available to construct the next phase of Landscape Renovation Turf Conversion project (Rancho Ocotillo), projected for winter, 2019.  Staff anticipates an additional $120,000 in Coachella Valley Water District (CVWD) turf rebates for the Highlands project. BACKGROUND/ANALYSIS The 2018/19 CIP prioritizes renovating the parkways in north La Quinta over the next three years. These improvements entail converting turf to the Desert Oasis landscape palette, which uses hardscape textures with minimal planting to create an aesthetically pleasing environment with lower installation, long- term maintenance, and water costs. Wall cleaning complete the renovation effort. The parkway renovation effort is divided into seven phases. The fifth phase, located at Rancho Ocotillo, is under design and anticipated to be under construction in the winter of 2019. On April 19, 2019 staff solicited construction bids from qualified contractors. The City received 3 bids on May 16, 2019. The lowest two (2) bids were non- responsive due to improper subconsultants and missing bid bonds. Staff recommends awarding the base bid and additive alternate number 2 to Urban Habitat since they are considered to be the only responsive and responsible bid. City staff listed 2 alternatives on the bid, alternate number 1 was to replace the wall and alternate number 2 was to repair the wall. After reviewing the bids, City staff is recommending to repair the wall. When comparing the base bid plus additive alternate number 2 among the three bidders there is a $70,000 difference between the lowest non-responsive bid and Urban Habitat. Staff does not recommend rejecting all bids but to keep the schedule and have the work start when school is out of session. The following is the project schedule: Council Considers Project Award June 4, 2019 Execute Contract and Mobilize June 4 to July 1, 2019 Construction (120 Working Days) July to December 2019 Accept Improvements January 2020 ALTERNATIVES Staff does not recommend an alternative. Prepared by: Julie Mignogna, Management Analyst Approved by: Bryan McKinney, City Engineer Attachments: 1. Vicinity Map 2. Bid Comparison Summary 258 *IMPORTANT* Maps and data are to be used for reference purposes only. Map features are approximate, and are not necessarily accurate to surveying or engineering standards. The County of Riverside makes no warranty or guarantee as to the content (the source is often third party), accuracy, timeliness, or completeness of any of the data provided, and assumes no legal responsibility for the information contained on this map. Any use of this product with respect to accuracy and precision shall be the sole responsibility of the user. © Riverside County GIS Legend Notes REPORT PRINTED ON...4/5/2019 11:12:16 AM Vicinity Map La Quinta Highlands Landscape Renovation 0 3,0091, 505 Feet Blueline Streams City Areas World Street Map ATTACHMENT 1ATTACHMENT 1 259 260 Bid Opening Date: 5/16/19 North La Quinta Landscaping - Highlands City Project No. 2016-03D Item Item Description Unit Quanitity Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost 1 Mobilization LS 1 20,000.00$ 20,000.00$ 80,000.00$ 80,000.00$ 1,500.00$ 1,500.00$ 16,200.00$ 16,200.00$ 2 Traffic Control and Plans LS 1 29,800.00$ 29,800.00$ 28,500.00$ 28,500.00$ 7,500.00$ 7,500.00$ 26,000.00$ 26,000.00$ 3 Dust Control LS 1 13,832.00$ 13,832.00$ 25,000.00$ 25,000.00$ 15,000.00$ 15,000.00$ 18,000.00$ 18,000.00$ 4 Clearing and Grubbing LS 1 60,395.00$ 60,395.00$ 138,000.00$ 138,000.00$ 47,680.00$ 47,680.00$ 70,762.00$ 70,762.00$ 5 Demolition and Disposal LS 1 61,400.00$ 61,400.00$ 5,300.00$ 5,300.00$ 191,460.00$ 191,460.00$ 32,000.00$ 32,000.00$ 6 Modify, Relocate, and Repair Existing Electrical System LS 1 24,000.00$ 24,000.00$ 20,800.00$ 20,800.00$ 7,500.00$ 7,500.00$ 8,500.00$ 8,500.00$ 7 Wall Cleaning LS 1 48,403.00$ 48,403.00$ 9,500.00$ 9,500.00$ 1,200.00$ 1,200.00$ 1,500.00$ 1,500.00$ 8 AC Repair per City Standards LS 1 6,166.67$ 6,166.67$ 4,500.00$ 4,500.00$ 5,000.00$ 5,000.00$ 9,000.00$ 9,000.00$ 9 Soil Prep and Fine Grading LS 1 24,409.00$ 24,409.00$ 9,300.00$ 9,300.00$ 5,000.00$ 5,000.00$ 4,000.00$ 4,000.00$ 10 Furnish and Install Boulders per Plan – “Hickory Creek”, 2’-3’EA 76 150.00$ 11,400.00$ 165.00$ 12,540.00$ 150.00$ 11,400.00$ 125.00$ 9,500.00$ 11 Furnish and Install 3/8” Apache Brown Crushed Rock SF 9,144 2.25$ 20,574.00$ 1.20$ 10,972.80$ **16,133.00$ 1.80$ 16,459.20$ 12 Furnish and Install 3/4" Minus Desert Gold Crushed Rock SF 58,817 1.75$ 102,929.75$ 0.90$ 52,935.30$ **58,529.00$ 1.50$ 88,225.50$ 13 Furnish and Install 6” Minus Baja Cresta Rubble SF 13,402 3.50$ 46,907.00$ 2.50$ 33,505.00$ **32,828.00$ 2.25$ 30,154.50$ 14 Furnish and Install PermaLoc Header - Asphalt Edge LF 12 20.00$ 240.00$ 40.00$ 480.00$ 7.00$ 84.00$ 12.00$ 144.00$ 15 Furnish and Install Landscaping per Plan LS 1 49,310.00$ 49,310.00$ 63,000.00$ 63,000.00$ 192,000.00$ 192,000.00$ 60,226.00$ 60,226.00$ 16 Furnish and Install Irrigation per Plan LS 1 142,385.00$ 142,385.00$ 91,500.00$ 91,500.00$ 35,190.00$ 35,190.00$ 147,730.00$ 147,730.00$ 17 Keystone Concrete Retaining Block Wall LS 1 37,800.00$ 37,800.00$ 45,000.00$ 45,000.00$ 42,000.00$ 42,000.00$ 44,091.00$ 44,091.00$ 18 90 – Day Maintenance Period LS 1 3,255.00$ 3,255.00$ 10,500.00$ 10,500.00$ 9,000.00$ 9,000.00$ 7,500.00$ 7,500.00$ 703,206.42$ 641,333.10$ 679,004.00$ 589,992.20$ Item Item Description Unit Quanitity Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost 1 Demo Existing Retaining Wall LF 101 110.00$ 11,110.00$ 79.00$ 7,979.00$ 100.00$ 10,100.00$ 151.50$ 15,301.50$ 2 Concrete Wall and Masonry Block Wall Construction - 8'LF 76 101.00$ 7,676.00$ 250.00$ 19,000.00$ 250.00$ 19,000.00$ 1,155.00$ 87,780.00$ 3 Concrete Wall and Masonry Block Wall Construction - 6'LF 25 60.00$ 1,500.00$ 215.00$ 5,375.00$ 200.00$ 5,000.00$ 858.50$ 21,462.50$ 4 Retaining Wall Earth Removal and Backfill LF 101 106.00$ 10,706.00$ 30.00$ 3,030.00$ 80.00$ 8,080.00$ 787.80$ 79,567.80$ 5 Retaining Wall Waterproofing and Drain Line LF 101 56.00$ 5,656.00$ 62.00$ 6,262.00$ 118.81$ 11,999.81$ 121.50$ 12,271.50$ 36,648.00$ 41,646.00$ 54,179.81$ 216,383.30$ Item Item Description Unit Quanitity Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost 1 Retaining Wall Repair LF 25 200.00$ 5,000.00$ 275.00$ 6,875.00$ 880.00$ 22,000.00$ 3,939.00$ 98,475.00$ 2 Retaining Wall Earth Removal and Backfill LF 25 106.00$ 2,650.00$ 30.00$ 750.00$ 480.00$ 12,000.00$ 1,060.50$ 26,512.50$ 3 Retaining Wall Waterproofing and Drain Line LF 25 56.00$ 1,400.00$ 62.00$ 1,550.00$ 320.00$ 8,000.00$ 242.40$ 6,060.00$ 9,050.00$ 9,175.00$ 42,000.00$ 131,047.50$ 748,904.42$ 692,154.10$ 775,183.81$ 937,423.00$ 739,854.42$ 682,979.10$ 733,183.81$ 806,375.50$ 712,256.42$ 650,508.10$ 721,004.00$ 721,039.70$ **Inappropiate Unit Price - Provided the Extended Price as the unit Price Miscalculations and rounding errors Grand Total Base Bid Including Alternate Nos. 1 &2: Marina Landscape, Inc.AK Lanscaping Maintenance, Inc.Urban Habitat Bid Alternate No. 2 - Repair Existing Retaining Wall Sub-Total Bid Alternate No. 2: Engineer's Estimate - Base Bid Grand Total Base Bid with Alternate No. 1: Grand Total Base Bid with Alternate No. 2: Sub-Total Base Bid: Bid Alternate No. 1 - Construct New Retaining Walls Sub-Total Bid Alternate No. 1: ATTACHMENT 2 ATTACHMENT 2261 262 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: ACCEPT JEFFERSON STREET SIDEWALK GAP CLOSURE PROJECT LOCATED ON THE WEST SIDE OF JEFFERSON STREET BETWEEN AVENUE 50 AND DEREK ALAN DRIVE (PROJECT NO. 2017-06) RECOMMENDATION Accept the Jefferson Street Sidewalk Gap Closure Project as complete; authorize the City Clerk to file a Notice of Completion with the Office of the County Recorder; and authorize staff to release retention in the amount of $3,769, thirty-five days after the Notice of Completion is recorded. EXECUTIVE SUMMARY •The project entailed constructing a sidewalk, a new curb ramp, and reinforced under sidewalk drains, and reconstructing an existing curb ramp (Attachment 1). •The work is complete and Council acceptance will close the contract and allow final payment. FISCAL IMPACT The following is the financial accounting for Project No. 2017-06: Original Contract Amount $ 75,373 Project Budget $ 180,000 Final Contract Amount ($ 75,373) Design, Professional, & Personnel Costs ($ 25,000) Inspection, Survey, Plans, & Other Construction Costs ($ 1,653) Anticipated Funds Remaining* $ 77,974 * All costs to date have been accounted for and no further costs are anticipated . There are adequate funds to close this project; the final retention amount of $3,769 will be paid from account number 401-0000-20600. Total project costs will be split using City and SB821 Grant funds. Remaining City funds will be returned to the Sidewalk account and remaining SB821 funds will remain in the Special Fund. CONSENT CALENDAR ITEM NO. 12 263 BACKGROUND/ANALYSIS On April 2, 2019 Council awarded a $75,373 contract to Universal Concrete Construction. On April 30, 2019 a Notice to Proceed was issued with a 15-working day completion time starting on May 6, 2019 and ending on May 24, 2019. The project was deemed substantially complete on May 15, 2019. No liquidated damages or early completion incentives are recommended. The project construction effort is complete and in compliance with the plans and specifications. Staff recommends acceptance and release of the retention thirty-five days after the Notice of Completion is recorded. ALTERNATIVES Staff does not recommend an alternative. Prepared by: Carley Escarrega, Management Assistant Approved by: Bryan McKinney, P.E., City Engineer Attachment: 1. Vicinity Map 264 *IMPORTANT* Maps and data are to be used for reference purposes only. Map features are approximate, and are not necessarily accurate to surveying or engineering standards. The County of Riverside makes no warranty or guarantee as to the content (the source is often third party), accuracy, timeliness, or completeness of any of the data provided, and assumes no legal responsibility for the information contained on this map. Any use of this product with respect to accuracy and precision shall be the sole responsibility of the user. © Riverside County GIS Legend From Avenue 50 to Derek Alan Drive Notes REPORT PRINTED ON...2/7/2019 11:38:16 AM Vicinity Map Jefferson Street Sidewalk Gap Closure 0 12,0376, 019 Feet Blueline Streams City Areas World Street Map ATTACHMENT 1 265 266 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: APPROVE AMENDMENT NO. 7 TO PROFESSIONAL SERVICES AGREEMENT WITH MICHAEL BAKER INTERNATIONAL TO PREPARE SEPARATE BID DOCUMENTS FOR THE CANAL CROSSING ON SILVERROCK WAY AND TO PROVIDE CONSTRUCTION SUPPORT FOR THE SILVERROCK WAY (PROJECT NO. 2014-17) RECOMMENDATION Approve Amendment No. 7 to the Professional Services Agreement with Michael Baker International in the amount of $47,450 to prepare separate bid documents to construct a portion of the canal crossing on SilverRock Way with Coachella Valley Water District improvements and to provide construction support; and authorize the City Manager to execute the amendment. EXECUTIVE SUMMARY •In August 2006, the La Quinta Redevelopment Agency (RDA) contracted with RBF Consulting, now Michael Baker International (MBI), to design the SilverRock Phase II Infrastructure Improvements. •In July 2016, Council approved an Implementation of Services Agreement (Agreement) with MBI to complete project plans, specifications and engineer’s estimate (PS&E) for SilverRock Resort Phase II Infrastructure Improvements (Attachment 1). •As part of their irrigation main improvements, Coachella Valley Water District (CVWD) is relocating the L-4 pump station within SilverRock and will need to divert the canal water flow; this is also needed to construct the SilverRock Way canal crossing structure. •In an effort to reduce costs and avoid contractor conflicts, Staff recommends partnering with CVWD to construct the canal crossing structure as part of their pump station relocation project. •Amendment No. 7 (Attachment 2) facilitates separating the current plans, specifications, and engineer’s estimate into two bid documents and for MBI to provide construction support to CVWD. CONSENT CALENDAR ITEM NO. 13 267 FISCAL IMPACT Sufficient funds are available for this amendment. The project is funded with Bond proceeds and will be reimbursed on a time and materials not to exceed basis. Original Implementation Agreement $394,170 Amendment No. 1 $ 7,000 Amendment No. 2 $183,565 Amendment No. 3 $ 26,800 Amendment No. 4 $100,700 Amendment No. 5 $ 19,150 Amendment No. 6 $ 4,810 Amendment No. 7 $ 47,450 Revised Agreement Total $783,645 BACKGROUND/ANALYSIS The RDA entered into a Professional Services Agreement (PSA) with RBF Consulting in July 2006 to design Phase II infrastructure improvements for SilverRock. In 2014, Council approved an agreement with SilverRock Development Company (Robert Green Company), which requires the City to fund the design and construction of SilverRock Way, a public roadway that will be owned and maintained by the City. In August 2016, the City entered into an agreement with MBI to finish designing these improvements. Amendments No. 1 and 2 added the design of the Jefferson Street and Avenue 53 roundabout (Project No. 2017-09), Amendment No. 3 provided preliminary engineering services for the SilverRock Phase II infrastructure improvements, which include the SilverRock Way street improvements and water and sewer improvements and Event Site, Amendment No. 4 provided final engineering and coordination services for the SilverRock Event Site (Project No. 2016-08), Amendment No. 5 slightly re-aligned SilverRock Way near the intersection with Avenue 52, and Amendment No. 6 added striping and signing modifications to the Avenue 53 and Jefferson Street Intersection Roundabout Design. As part of their irrigation main line improvements, CVWD will be relocating the L-4 Pump Station (this facility pumps canal water from the canal to the irrigation lines). To accomplish this, CVWD must lower and divert canal water flows; this is also required to build the canal crossing structure that will accommodate the City’s project, constructing the SilverRock Way roadway and wet/dry utility infrastructure over/under the canal. Staff anticipates cost savings by allowing CVWD to construct the structure and diversion channel since the contractor they will utilize specializes in this type of work. Combining the projects will also eliminate possible conflicts between the City and CVWD working in the same small area. 268 ALTERNATIVES Staff does not recommend an alternative. This work would provide cost savings when constructing the SilverRock Way improvements. Prepared by: Julie Mignogna, Management Specialist Approved by: Bryan McKinney, P.E., City Engineer Attachments: 1. Vicinity Map 2. Amendment No. 7 269 270 ATTACHMENT 1 SilverRock Way Infrastructure Street Improvements (Project No. 2014-17) Vicinity Map 271 272 AMENDMENT NO. 7 TO PROFESSIONAL SERVICES AGREEMENT WITH MICHAEL BAKER INTERNATIONAL This Amendment No. 7 to Professional Services Agreement (Agreement) is made and entered into as of the ___ day of June, 2019 (“Effective Date”) by and between the CITY OF LA QUINTA (“City”), a California municipal corporation and Michael Baker International (“Consultant”). RECITALS WHEREAS, on or about August 16, 2006, the La Quinta Redevelopment Agency and Consultant, formerly known as RBF, entered into an Agreement to provide services related to the SilverRock Resort Phase II Infrastructure Improvements, Project No. 2014-13. The term of the Agreement is in full force and effect until completion of the services; and (602200 WHEREAS, on or about July 8, 2016, the City entered into Implementation of Services Pursuant to the Agreement with Michael Baker International; Scope of Services was unchanged; total not to exceed amount at transfer was $394,170; and WHEREAS, Amendment No. 1 executed on or about August 16, 2017, amended the Scope of Services to include design of a roundabout at Jefferson Street and Avenue 53, and increased the Contract Sum by $7,000; and WHEREAS, Amendment No. 2 executed on or about February 27, 2018, amended the Scope of Services to include additional design of a roundabout at Jefferson Street and Avenue 53; Schedule of Performance; and increased the Contract Sum by $183,565; and WHEREAS, Amendment No. 3, executed on or about April 6, 2018, amended the Scope of Services to include preparation of Plats and Legals for the SilverRock Venue Site; Schedule of Performance; and increased the Contract Sum by $26,800; and WHEREAS, Amendment No. 4, executed on or about July 19, 2018, amended the Scope of Services to include preparation of project Plans, Specifications and Engineer’s estimates for SilverRock Resort Phase II Infrastructure Improvements – SilverRock Venue Site Final Engineering and Coordination; Schedule of Performance; and increased the Contract Sum by $100,700; and WHEREAS, Amendment No. 5, executed on or about October 15, 2018, amended the Scope of Services to include SilverRock Way Plan Modifications, and increased the Contract Sum by $19,150; and ATTACHMENT 2 273 WHEREAS, Amendment No. 6, executed on or about January 27, 2019, amended the the Scope of Services to include striping and signing modifications to the Avenue 53 and Jefferson Street Intersection Roundabout Design, and increased the Contract Sum by $4,810; and WHEREAS, the City is utilizing the Consultant to prepare the Plans, Specifications and Estimates (PS&E) for SilverRock Resort Phase II Infrastructure Improvements, Project No. 2014-13. WHEREAS, the City and Consultant wish to amend the Scope of Services to include modifications to the canal crossing for SilverRock Way to allow Coachella Valley Water District to construct a portion of the work and to provide construction support services for the canal crossing; and WHEREAS, the Contract Sum of the Agreement is being amended by $47,450 for the additional services being provided and will be compensated on a time and materials basis not to exceed amount; and WHEREAS, the Term of the Agreement is extended to September 30, 2020 (“Extended Term”); and AMENDMENT NO. 7 NOW THEREFORE, in consideration of the mutual covenant herein contained, the parties agree as follows: In consideration of the foregoing Recitals and the covenants and promises hereinafter contained, and for good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, the parties hereto agree as follows: 1. Section 1.1 – Scope of Services. is amended to read as follows: For the services rendered pursuant to this Agreement, Consultant shall provide additional services outlined in Exhibit “A”, attached hereto and made apart hereof. 2. Section 2.1 – Contract Sum is amended to read as follows: 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 up to but shall not exceed Seven Hundred Thirty Six Thousand One Hundred and Ninety Five Dollars ($736,195.00) (the “Contract Sum”) for the life of the Agreement 274 encompassing initial terms and Amendments 1 through 6; and in a time and materials amount up to but shall not exceed Forty Seven Thousand Four Hundred Fifty Dollars ($47,450.00) for Amendment No. 7; for a total Agreement not to exceed amount of Seven Hundred Eighty Three Six Hundred and Forty Five Dollars ($783,645) (the “Contract Sum”) for the life of the Agreement encompassing the initial and extended terms of Amendments 1 through 7 except as provided in Section 1.6. Exhibit B – Deliverables and Budget is amended as attached in Exhibit B attached hereto and made apart hereof. 3. Section 3.4 – Term is amended to read as follows: The Agreement Term is extended to September 30, 2020 In all other respects, the Original Agreement shall remain in effect. 275 IN WITNESS WHEREOF, the City and Consultant have executed this Amendment No. 7 to the Professional Services Agreement on the respective dates set forth below. CITY OF LA QUINTA a California municipal corporation FRANK J. SPEVACEK, City Manager ATTEST: ____________________ MONIKA RADEVA, City Clerk APPROVED AS TO FORM: __________________________ WILLIAM H. IHRKE, City Attorney Dated: CONSULTANT: MICHAEL BAKER INTERNATIONAL By: Name: Christopher Alberts Title: Associate Vice-President 276 Exhibit A Scope of Services 277 278 279 Exhibit B Schedule of Compensation The following represents the contract total of Seven Hundred and Thirty-Six Thousand One Hundred and Ninety-Five Dollars ($736,195.00) to be paid as lump sum not to exceed after the consideration of Amendments 1-6: Base Contract: Amendment 1: Amendment 2: Amendment 3: Amendment 4: Amendment 5: Amendment 6: Contract Sum with Amendments 1-6: $394,170.00 $7,000.00 $183,565.00 $26,800.00 $100,700.00 $19,150.00 $ 4,810.00 $736,195.00 The following represents the contract total of Forty Seven Thousand Four Hundred Fifty Dollars ($47,450.00) to be paid as time and materials not to exceed after the consideration of Amendment 7: 280 Exhibit C Term of Agreement The Agreement Term is extended to September 30, 2020 (“Extended Term”). 281 282 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: APPROVE 27-DAY EXTENSION TO THE CURRENT CITY MANAGER’S EMPLOYMENT AGREEMENT; APPROVE THE NEW CITY MANAGER’S EMPLOYMENT AGREEMENT; AND RECEIVE UPDATE ON TERMINATION AGREEMENTS WITH TALL MAN GROUP RECOMMENDATION (1) Approve the Third Amendment to the current City Manager Employment Agreement extending his term through June 30, 2019, substantially in the form attached to this report; (2) Approve the new City Manager Employment Agreement with Jon McMillen, to be effective July 1, 2019, substantially in the form attached to this report; and (3) Receive and file update on the mutual termination agreements with Tall Man Group. EXECUTIVE SUMMARY •The City Council has concluded a 5-month recruitment process for a new City Manager. •At its May 21, 2019 meeting, the Council unanimously voted to extend the current City Manager’s employment term through June 30, 2019; to appoint Mr. McMillen as the next City Manager, effective July 1, 2019; to approve terms and conditions of the new City Manager’s Employment Agreement; and to have City’s designated representatives oversee mutual termination of executory agreements with Tall Man Group prior Mr. McMillen starting as the new City Manager. FISCAL IMPACT There is no fiscal impact from extending the current City Manager’s employment for 27 days (Attachment 1); the new City Manager cannot start until July 1 and the Council would need to appoint an interim city manager for this period. The current City Manager’s compensation will be a pro-rated allocation of his current annual base salary plus benefits (total “pro-ratable” compensation including benefits is $220,366) for the extension days. The new City Manager Employment Agreement (Attachment 2) sets a base annual salary of $210,000 (starting July 1, 2019), subject to potential increase to $215,000 at the Council’s discretion, after six months employment. The new City Manager also may be eligible, at the Council’s discretion, for annual performance- based compensation up to 5% of the annual base salary, not to exceed $10,000, CONSENT CALENDAR ITEM NO. 14 283 for any year in which performance-based compensation may be paid. The new City Manager would receive the same benefits as currently authorized for management employees; these benefits would annually cost $20,998. There is no fiscal impact with the mutual termination of the Tall Man Group professional services agreements (Attachment 3), as all City payment obligations have been fully performed under those agreements. These agreements were set to terminate on June 30, 2019 and the City has not determined if these services are needed. BACKGROUND/ANALYSIS After working for the City as a consultant since 1988 and as the City Manager since June 4, 2012, current City Manager Frank Spevacek announced his plan to retire earlier this year. The City hired Ralph Andersen & Associates, with designated representative Dave Morgan, in February to assist in the process of hiring a new City Manager. After a national recruitment that attracted 72 applicants from around the country, Council narrowed the list of finalists to six semi-finalists and two finalists after a series of candidate interviews and a thorough review of references, among other recruiting actions. At its May 21, 2019 regular meeting, the Council unanimously voted (5-0 in favor) to appoint Mr. McMillen as the next City Manager, effective July 1, 2019, and to approve terms and condition of an Employment Agreement as negotiated between the City Attorney, Dave Morgan and Mr. McMillen, with instructions to have the final written agreement scheduled for Council consideration at this meeting. Mr. McMillen’s qualifications include 17 years of services to the City as a consultant. He has led some of the City’s more significant projects and programs over the last several years, such as the SilverRock Resort planning and development, Vista Dunes mobile home affordable housing development, Last and Final Recognized Obligation Payment Schedule (ROPS) for the La Quinta Successor Agency, and Washington Street Apartments temporary relocation and affordable rental housing development. With his expertise in real property acquisition and construction management, he has provided to the City general financial analysis for project feasibility; from his company management and business experience, he has provided to the City general economic advice for City programs and operations, including strategic organizational planning. He is a state-licensed general contractor and has worked closely with staff in several other cities, such as Coronado. To bridge the 27-day gap between the current City Manager’s employment term and new City Manager’s start-date, the Council also unanimously voted (5-0 in favor) to extend the current City Manager’s Employment Agreement through June 30, 2019. To ensure Mr. McMillen’s transition from the President and sole shareholder/owner of the Tall Man Group, Inc., to the new City Manager as a City employee, the Council also unanimously voted (5-0 in favor) to authorize the City’s designated representatives to execute mutual terminations of current executory agreements for various services provided by Tall Man Group. 284 The Third Amendment to Employment Agreement for the current City Manager (Attachment 1) memorializes in writing the Council’s action to extend Mr. Spevacek’s current contract through and including June 30, 2019. The Employment Agreement for the new City Manager (Attachment 2) sets forth the terms and conditions approved by Council at its May 21, 2019 meeting. Prior to the Council’s June 4, 2019 meeting, the City and Tall Man Group entered into: (i) a Professional Services Agreement, as amended, under which Tall Man Group provided on behalf of the City fiscal analysis and projections, real estate analysis, property acquisition/disposition services, due diligence activities and review, assistance to the City with developer negotiations, project proposal and pro-forma analysis and evaluation, and assistance with negotiations and agreement structure, which agreement expires on June 30, 2019; and (ii) an Agreement for Contract Services under which Tall Man Group provided on behalf of the City building assessment and evaluation services relating to the Shumway Ranch, which agreement expires 180 days after its execution (or September 2, 2019). Additionally, the La Quinta Housing Authority and Tall Man Group entered into a Professional Services Agreement, as amended, under which Tall Man Group provided on behalf of the Housing Authority project management services related to the Washington Street Apartments temporary relocation and affordable rental housing rehabilitation, which agreement expires on December 31, 2019. Pursuant to the Council’s direction from May 21, 2019, the City Manager (on behalf of the City and Housing Authority) executed with Tall Man Group an “Acknowledgment of Completion of Services and Mutual Termination” (Attachment 3) for all of the pending Tall Man Group agreements, with the mutual termination effective as of June 1, 2019. All independent contractor services agreements with Tall Man Group have now been terminated. ALTERNATIVES: None proposed, as the Council voted at its last meeting. The recommended action is to ratify and memorialize those official Council actions. Prepared by: Bill Ihrke, City Attorney Approved by: Frank J. Spevacek, City Manager Attachments: 1.Third Amendment to Employment Agreement (for current City Manager) 2.Employment Agreement (for new City Manager) 3.Acknowledgment of Completion of Services and Mutual Termination of Agreements for Professional Services Provided by Tall Man Group 285 286 ATTACHMENT 1 287 288 289 290 ATTACHMENT 2 291 292 293 294 295 296 297 298 299 300 ATTACHMENT 3 301 302 303 304 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: AUTHORIZE OVERNIGHT TRAVEL FOR TWO COUNCILMEMBERS TO ATTEND THE LEAGUE OF CALIFORNIA CITIES MAYOR AND COUNCILMEMBERS EXECUTIVE FORUM AND ADVANCED LEADERSHIP WORKSHOP IN NEWPORT BEACH, CALIFORNIA, JUNE 19-20, 2019 RECOMMENDATION Authorize overnight travel for two Councilmembers to attend the League of California Cities Executive Forum and Advanced Leadership Workshop in Newport Beach, California, June 19-20, 2019. EXECUTIVE SUMMARY •The League of California Cities (League) is an association of California cities who collaborate to exchange information, learn from one another and combine resources to influence state legislation. •The League’s Executive Forum and Leadership Workshop agenda will focus on natural disaster training, city finance and cannabis regulation practices. FISCAL IMPACT Estimated expenses are $1000 per attendee; this cost includes registration, mileage, lodging, and meals. Funds are included in the City Council travel and training budget (101-1001-60320). BACKGROUND/ANALYSIS The League’s Executive Forum and Advanced Leadership Workshop provides an opportunity for local leaders to learn from leading experts as well as from their peers’ experiences. The sessions will include topics such as leading your city through a catastrophic event, city finances and cannabis regulation practices. ALTERNATIVES The Council could elect to deny this travel request. Prepared by: Teresa Thompson, Management Specialist Approved by: Frank J. Spevacek, City Manager CONSENT CALENDAR ITEM NO. 15 305 306 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: APPROVE THIRD ROUND COMMUNITY SERVICES GRANTS FOR 2018/19 RECOMMENDATION Approve third round Community Service Grants for 2018/19. EXECUTIVE SUMMARY The Council considers Community Services Grants and Economic Development/Marketing funding requests three times per fiscal year. Ten grant applications were received and reviewed by the Community Services Grant Ad Hoc Committee (Committee). FISCAL IMPACT The total 2018/19 grant budget is $170,000 with $60,000 allocated to Community Service Grants. During the last two rounds the Council awarded $37,500 leaving a balance of $22,500 (Account No. 101-3001-60510). The Committee recommends funding $22,500 of these requests. BACKGROUND/ANALYSIS Grants are awarded to 501(c)3 non-profit organizations that benefit La Quinta residents. Grants are limited to $5,000 per request and consecutive fiscal year funding is not allowed (Attachment 1). In 2017, Council created a Starter Grant category for organizations applying for the first time. This allows first time applicants up to $500 of funding and eligibility to apply again the next fiscal year. The Committee, comprised of Mayor Pro-Tem Sanchez and Council Member Radi, reviewed the applications and recommended the following: BUSINESS SESSION ITEM NO. 1 307 Applicant Requested Committee Recommendation About Families $5,000 $2,750 American Red Cross $5,000 $5,000 AYSO La Quinta $5,000 $2,000 Certified Farmers Markets of the CV $4,200 $1,000 Chuck Jones Center for Creativity* $500 $500 Coachella Valley Horse Rescue $5,000 $2,500 Galilee Center Inc $5,000 $1,000 La Quinta High School Blackhawk Boosters Aquatics $5,000 $5,000 Swing Against Cancer Golf Tournament* $2,000 $500 Transgender Community Coalition (TCC) $5,000 $2,250 Total $41,700 $22,500 *Starter Grant Recipient Attachment 2 presents all submitted grant requests. All applications are available for review in the Community Resources Department. ALTERNATIVES Council may modify and/or deny funding for any or all grant applications received. Prepared by: Christina Calderon, Community Resources Manager Approved by: Chris Escobedo, Community Resources Director Attachments: 1. City of La Quinta Grant Guidelines 2. Grant Request Descriptions 308 The City of La Quinta offers a grant program for community services support. •Community Services Grants go to recognized nonprofit organizations that benefit the residents of La Quinta. •Grants are considered and funded up to three times per year (rounds). •All three rounds are held within the city’s fiscal year (July 1 – June 30). •Organizations that have been funded are ineligible for funding for the next fiscal year. •All funding requests are limited to an amount not to exceed $5,000. Q: How much money is available? A: Requests are limited to an amount not to exceed $5,000. Any funding amount requested could be adjusted to a lesser amount at the discretion and approval of the City Council. Q: Who can apply for this grant? A: Applications are accepted from recognized nonprofit organizations that directly benefit La Quinta residents. Second consideration is given to nonprofit organizations that indirectly affect the quality of life for the residents of La Quinta. Q: Can an individual apply for this grant? A: No, individuals are not eligible for funding through the City of La Quinta grant program. Q: What if my organization is applying for a grant for the first time? A: Organizations applying to the Community Services Grant program for the first time are eligible for a “Starter Grant” The “Starter Grant” allows first time applicants grant funding up to $500 if they demonstrate their commitment to provide services to the La Quinta community. If an organization is selected to receive the “Starter Grant” they would then be eligible to apply to the program again the next fiscal year. Q: Can my organization request “seed” money for a start-up? A: Yes, organizations can request “seed” money, however they are required to obtain matching funds from other sources in the same fiscal year before the grant funds will be released. Q: Is my organization eligible if we received Community Development Block Grant (CDBG) funds? A: No, organizations that receive CDBG funds from the City of La Quinta during the same fiscal year are not eligible for funding. Q: Is my organization eligible if we received Community Services Grant (CSG) funds in the past? A: Yes, and No. Organizations that were funded before June 30, 2017 are now eligible to apply. Organizations that were funded after July 1, 2017 are ineligible for funding and must wait until July 1, 2019 to re-apply. What you need to do: 1.Determine eligibility based on the information provided above. If eligible, proceed to step 2. 2.Review the grants calendar for submission dates (in red). If within due date, proceed to step 3. 3.Fill out the grant application. Once completed proceed to step 4. 4.Submit application via email to ccalderon@laquintaca.gov, or in person to the Wellness Center. a.The Wellness Center is located at 78450 Avenida La Fonda, La Quinta, CA 92253. The next steps: 5.Applications are received and reviewed by staff to ensure eligibility and completeness. 6.Completed grant applications will be reviewed by a designated Grant Review Committee (in blue). a.The committee’s review includes: consideration of the funding amount, the intended use of the funds, and the organizations service to the community. If the committee approves the application, they will then recommend for approval to the City Council. 7.Committee approved applications are submitted to the City Council for consideration and approval (in green) 8.If approved, funds will be dispersed to grantee (in white ) and can be spent over a 12 month period. 9.Funding expenditures will need to be reported to the city at 6 months and a full reconciliation form with supporting documentation will be due before the end of the 12 month period. For more information on the City of La Quinta Grant program, please contact the Community Resources Department at the Wellness Center 760.564-0096 COMMUNITY SERVICES GRANT OVERVIEW IS MY ORGANIZATION ELIGIBLE? THE PROCESS… 309 The City of La Quinta offers a grant program for marketing and event sponsorship. •Marketing/Sponsorship Grants go to nonprofit organizations that would benefit the City of La Quinta in a marketing capacity. •Economic Development Grants go to organizations that will help strengthen the business community in La Quinta. •Grants are considered and funded up to three times per year (rounds). •Organizations that have been funded are ineligible for funding for the next fiscal year. •All three rounds are held within the city’s fiscal year (July 1- June 30). •All funding requests must include a detailed marketing/media plan to be considered. Q: How much money is available? A: Requests are limited to an amount not to exceed $5,000. A second tier is available for Economic Development/Marketing requests above $5,000 (submission of a detailed marketing/media plan is required). For Economic Development/Marketing requests above $5,000, an in depth review will be conducted by the La Quinta Marketing Committee. Any funding amount requested could be adjusted to a lesser amount at the discretion and approval of the City Council. Q: Who can apply for this grant? A: Applications are accepted from recognized organizations that would benefit the City of La Quinta in a marketing capacity. Second consideration is given to organizations that indirectly affect the quality of life for the residents of La Quinta. Q: Can an individual apply for this grant? A: No, individuals are not eligible for funding through the City of La Quinta grant program. Q: Can my organization request “seed” money for a start-up? A: Yes, organizations can request “seed” money; however they are required to obtain matching funds from other sources in the same fiscal year before the grant funds will be released. Q: Is my organization eligible if we received Community Development Block Grant (CDBG) funds? A: No, organizations that receive CDBG funds from the City of La Quinta during the same fiscal year are not eligible for funding. Q: Is my organization eligible if we received Community Services Grant (CSG) funds in the past? A: Yes, and No. Organizations that were funded before June 30, 2017 are now eligible to apply. Organizations that were funded after July 1, 2017 are ineligible for funding and must wait until July 1, 2019 to re-apply. What you need to do: 1.Determine eligibility based on the information provided above. If eligible, proceed to step 2. 2.Review the grants calendar for submission dates (in red). If within due date, proceed to step 3. 3.Fill out the grant application. Once completed proceed to step 4. 4.Submit application via email to ccalderon@laquintaca.gov, or in person to the Wellness Center. a.The Wellness Center is located at 78450 Avenida La Fonda, La Quinta, CA 92253. The next steps: 5.Applications are received and reviewed by staff to ensure eligibility and completeness. 6.Completed grant applications will be reviewed by a designated Grant Review Committee (in blue). a.The committee’s review includes: consideration of the funding amount, the included marketing/media plans, and the amount of impressions and visitors the event would bring to the city. If the committee approves the application, they will then recommend approval to the City Council. 7.Committee approved applications are submitted to the City Council for consideration and approval (in green) 8.If approved, funds will be dispersed to grantee (in white ) and can be spent over a 12 month period. 9.Funding expenditures will need to be reported to the city at 6 months and a full reconciliation form with supporting documentation will be due before the end of the 12 month period. For more information on the City of La Quinta Grant program, please contact the Community Resources Department at the Wellness Center 760.564-0096 MARKETING/SPONSORSHIP GRANT OVERVIEW IS MY ORGANIZATION ELIGIBLE? THE PROCESS… 310 Community Services Grants First Round JULY 2018 AUGUST SEPTEMBER OCTOBER 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 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 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 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 Second Round NOVEMBER DECEMBER JANUARY 2019 FEBRUARY 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 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 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 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 Third Round MARCH APRIL MAY JUNE 2019 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 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 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 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 Application Due Date Ad-Hoc Committee Review City Council Decision Checks Distributed 311 312 Recommended Grant Requests: 1.About Families is requesting $5,000 for funding additional programs and classes that will be offered at a new location in La Quinta. This organization was offered an opportunity to have a designated private classroom space at a local business location in La Quinta. This organization was last funded $1,000 in 2015/16. The Grant Review Committee recommends funding $2,750. 2.American Red Cross is requesting $5,000 for The Red Cross Home Fire Campaign preparedness initiative. This will include installation of free smoke alarms with 10- year batteries, replace batteries in existing alarms, provide home fire safety tips and help families create escape plans. This organization was last funded $5,000 in 2000/01. The Grant Review Committee recommends funding $5,000. 3.AYSO La Quinta is requesting $5,000 to fund travel, transportation, food expenses, and accommodations for 4 teams of players to participate in the AYSO National Games to be held in Oahu, Hawaii June 30-July 7th. This organization was last funded $5,000 in 2015/16. The Grant Review Committee recommends funding $2,000. 4.Certified Farmers Markets of the Coachella Valley is requesting $4,200 to fund La Quinta Market Tours to local families participating in the WIC and Cal Fresh government nutrition programs. These tours will include live cooking demonstrations, healthy meal preparation, explanation of seasonal produce, and budgeting tips. Children will be able to participate in a sustainable materials craft class while parents participate in the market tour. This organization was last funded $500 in 2016/17. The Grant Review Committee recommends funding $1,000. 5.Chuck Jones Center for Creativity is requesting $500 to be used to expand their Food for Thought Adult Brain Health program to the Coachella Valley. They will use a consultant to research and develop relationships with geriatric providers, public community centers, private community HOAs, and potential funders to start a La Quinta based program in 2020. This organization is applying for the Starter Grant since they are a first-time applicant for the Community Services Grant program. The Grant Review Committee recommends funding $500 as a Starter Grant. 6.Coachella Valley Horse Rescue (CVHR) is requesting $5,000 to fund their continuing Veterans Boot Camp and Horsinalities 101 Youth Camp programs. CVHR provides lessons in leadership, horsemanship, bully prevention and deterrence. Their programs use a hands-on approach, focus on the people/horse connection, and offer a place for participants to bond with the horses. They teach proper grooming, feeding, care, riding, horse anatomy, and how horses think and respond to cues. CVHR received a Starter Grant for $500 in 2017/18 and are eligible to apply for grant for 2018/19. The Grant Review Committee recommends funding $2,500. ATTACHMENT 2 313 7.Galilee Center Inc is requesting $5,000 to support their Food Distribution Program that serves the Eastern Coachella Valley. Funds will be used to purchase perishable and non-perishable food items, as well as baby food/formula that is distributed every Thursday at the Mecca site. This organization was last funded $2,500 in 2015/16. The Grant Review Committee recommends funding $1,000. 8.La Quinta High School Blackhawk Boosters Aquatics is requesting $5,000 to be used for the installation of a Colorado Timing System (CTS) Scoreboard so that referees, athletes, and spectators can view accurate times/scores for swim meets, water polo matches, practices, and tournaments. The LQHS Blackhawk Boosters Aquatics is a first-time applicant to the Community Services Grant program. The Grant Review Committee recommends funding $5,000. Requests that a recognition plaque be placed on the equipment showing “Sponsored by City of La Quinta”. 9.Swing Against Cancer Golf Tournament is requesting $2,000 for sponsorship for their 5th annual golf tournament that will be held on November 15, 2019 at Rancho La Quinta Country Club. Funds will be used to market this event that raises money to help to increase awareness for cancer research. The committee, works with The USC Norris Comprehensive Cancer Center, is made up of La Quinta residents who meet a couple times a year to organize the details of this charity golf event. The Swing Against Cancer Golf Tournament is a first-time applicant to the Community Services Grant program. The Grant Review Committee recommends funding $500 as a Starter Grant. 10.Transgender Community Coalition (TCC) is requesting $5,000 to support the Stonewall Humanitarian Awards annual fundraiser that will be held on June 13, 2019. Proceeds raised from this fundraiser will support expansion of services/programs to the La Quinta community. TCC received a Starter Grant for $500 in 2017/18 and are eligible to apply for grant for 2018/19. The Grant Review Committee recommends funding $2,250. 314 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: APPROVE CONTRACT SERVICES AGREEMENT WITH BANK OF THE WEST FOR BANKING AND MERCHANT SERVICES RECOMMENDATION Approve Contract Services Agreement with Bank of the West for Banking and Merchant Services; and authorize the City Manger to execute the Agreement. EXECUTIVE SUMMARY x Cities periodically solicit proposals for banking services to Hnsure they are receiving cost effective services. Wells Fargo has provided the City with banking services since 1995 and the last time the City solicited banking services proposals was in 2004. x A Request for Proposals (RFP) for Banking and Merchant Services was issued on August 30, 2018 and reissued on December 7, 2018. x A selection committee was established that included two Financial Advisory Commissioners (FAC) and three Finance Staff. x Six banks responded and two banks were selected for second interviews attended by the selection committee and staff that frequently use banking services as part of their daily operations. x The selection committee recommend Bank of the West (Bank) and the FAC unanimously supported this recommendation. FISCAL IMPACT Based on current service levels, the monthly banking fees are estimated to be $1,005 per month and are are anticipated to be covered by a deposit balance earning credit rate of 1.50%. Prices are based on a per unit charges and are set for the five-year term of the contract (Exhibit B of Attachment 2). In addition, the Bank is waiving three months on account analysis fees and the cost of the new account supplies required for implementation. BACKGROUND/ANALYSIS Since 1995 the City has banked with Wells Fargo. The last RFP for banking services was issued in 2004 and Wells Fargo was selected. Since 2007, three contract extensions have been issued. Since December 2016, the City has been on a month to month contract with Wells Fargo. As a matter of best practices BUSINESS SESSION ITEM NO.  315 and financial due diligence to ensure cost effective and up-to-date services, the City commenced a full review of current banking services. The City initially issued the RFP for Banking and Merchant Services on August 30, 2018 and subsequently reissued the RFP on December 7, 2018. The initial RFP included four responses, which all continued to participate on the reissued RFP. An additional two banks responded to the subsequent RFP for a total of six respondents. x Bank of the West - recommendation x Bank of America x East West Bank x Opus Bank x U.S. Bank – second finalist x Wells Fargo A selection committee was formed that included two Financial Advisory Commission members (Commissioners Batavick and Mills) and three finance staff members (Finance Director, Finance Analyst, and Accountant). The committee interviewed all six banks. Over the years, banking institutions have consolidated, leaving only marginal service level differences. At the same time, City services have expanded and technology and cyber security continue to revolutionize how we conduct business transactions. Given these circumstances, the committee evaluated current services, future needs, and banking trends. In addition, the banks were evaluated on the following criteria: Qualifications and Experience: The organization, affiliations, branch locations, financial experience, qualifications of the relationship management team, independent bank rating agency reports, and compliance and good standing reports. Fees: One-time and recurring fees for all services including management, administrative, and transactional. Including guaranteed pricing for the contract period. Structure: The different parties to the agreement, such as custodian of collateral and merchant service processor, as well as the legal structure of the bank. Start-up cost and effort: Level of staff, legal, and other efforts to establish the banking relationship. Ongoing administration: Level of effort to maintain the trust, ensure that the program is properly functioning, and monitoring performance; in addition to reporting and support provided by the bank. Accessibility and Services: Accessibility to branch locations and services offered by the banking institution. 316 Other considerations: Integration with current financial software, credit card services, online reporting and accessibility, fraud prevention and detection and data security. Based on the RFP response and first interviews, Bank of the West and U.S. Bank were invited for a second interview. The second interview was focused on internal processes, implementation of banking services, merchant credit card services, and the proposed pricing structure. Because banking services affect multiple internal processes, staff from Community Resources, Design and Development, City Manager’s office and the City Clerk joined the selection committee for second interviews. Both banks have a robust online platform, provide the services the City is seeking, are qualified to provide government banking services, have competitive start-up costs, would require equal implementation effort, utilize the same merchant services for credit card processing (Elevon), and have appropriate staff for the ongoing administration of services. However, Bank of the West demonstrated a superior implementation team within one time zone (Pacific Standard Time), offered a lower pricing model, and offered a set earnings credit rate of 1.5% for the term of the contract without a collateralization limit on deposits. A Bank of the West branch is in Indian Wells at 74-989 Highway 111. The Bank is headquartered and chartered in San Francisco and is the third-largest commercial bank based in California. On May 15, the FAC unanimously supported the selection and review committee’s recommendation to contract for banking and merchant services with Bank of the West. Questions asked during the first and second interviews are provided in Attachment 1. ALTERNATIVES The Council may not approve the recommendation and renew the Wells Fargo contract. Prepared by: Karla 5RPHUR, Finance Director Approved by: Frank J. Spevacek, City Manager Attachments: 1. Banking and Merchant Service Interview Questions 2. Agreement for Contract Services 317 318 City of La Quinta Banking Services, Interview Questions April 2019 Page 1 FIRST ROUND INTERVIEW QUESTIONS Interview Dates and Times: Wednesday, April 3rd 1:00pm – 2:00pm ±Bank of the West 2:30pm – 3:30pm ± East West Bank 4:00pm – 4:30pm – Break 4:30pm – 5:30pm – Wells Fargo Bank Thursday, April 11th 9:00am – 10:00am – Bank of America 11:30am – 12:30pm – US Bank 12:30pm – 2:00pm – /unch/%reak 2:00pm – 3:30pm – Opus Bank The room being used for the first one-hour interview is equipped with wi-fi access and has a large monitor and computer with internet access. The City would like to set aside up to 15 minutes to review your online banking platform and the services we would be able to view online. The City also requests that you bring five copies of the following. Please omit any reports included in the RFP response. x Daily transactions and bank balance report x Monthly bank statement x Monthly and/or Quarterly analysis statement x Notice of banking correction for deposits (such as insufficient funds check or deposit error) 1. Please explain your bank’s approach to customer service. Who is on your team and how would we interact with them? Including, how often do you currently meet with other government clients and if any are in the Coachella Valley? 2. What steps does your bank take to ensure we remain educated on new services and on issues impacting our banking services. $77$&+0(17 319 City of La Quinta Banking Services, Interview Questions April 2019 Page 2 3. The City keeps an average daily bank balance of $1 million. Explain your approach to Account Analysis and how the earning credit (ECR) is calculated? How often would our ECR change and how will we be notified if it does change? How long do you carry earnings in excess of analysis fees (monthly, quarterly, annually)? Lastly, how often do you meet with current government clients to discuss their fees? 4. The banking industry has experienced significant changes in the past decade. In your opinion, what does the banking environment look like in 10 years? 5. The City prides itself on providing excellent internal and external customer service, health and wellness, having a vibrant and safe community, and embracing cultural diversity. What sets you apart from other banking institutions? Describe your bank’s work culture and the company’s future vision? 6. The City has banked with Wells Fargo since 1995. If the City were to change banks as a result of this process. How would your bank assist the City with the transition of services? How long do you anticipate the process will take? 7. How does the bank ensure its information technology is secure from data breaches, hacks, fraudulent attempts, or other external threats? Where is your banks information technology center located and what redundancy is in place? 8. To your knowledge are there any internal control weaknesses reported in the company’s last System and Organization Controls (SOC 1) report? 9. Is there anything we haven’t asked or that is not conveyed in your proposal that we should know? 10. Do you have any questions for us? For Wells Fargo Only 11. Under government code 53635.2 to be eligible to receive local agency money, a bank, savings association, federal association, or federally insured industrial loan company shall have received an overall rating of not less than “satisfactory” in its most recent evaluation by the appropriate federal financial supervisory agency of its record of meeting the credit needs of California’s communities, including low- and moderate-income neighborhoods. Wells Fargo’s last CRA rating was “need to improve”. How is it that your financial institution is able to respond to this RFP? What are the broader implications of this rating for the evaluation period of 11-13- 2009 to 11-13-2012? When do you anticipate a new rating being issued? Do you anticipate the rating to change with a new valuation? 320 City of La Quinta Banking Services, Interview Questions April 2019 Page 3 12.The City has banked with Wells Fargo since 1995. If the City were to change banks as a result of this process. In your opinion, how would the winddown of services occur? Who from your team would assist the City during this process? SECOND ROUND INTERVIEW QUESTIONS Interview Date and Times: Both on Monday, April 29th Bank of the West – 1:00pm – 3:00pm US Bank – 3:00pm – 5:00pm The City will be using the City Council Chambers for the second interview. This room is also equipped with wi-fi access, has a large monitor and computer with internet access, conference call and Skype capability. The selection committee plus internal Finance staff and two members that oversee special events, business license, permits, and short-term vacation rentals have been asked to join us. We expect a total of approximately 10 attendees during this meeting. We have set aside up to 2 hours for this second interview. The goal of the second interview are to further explore what implementation would mean to staff. This will be an opportunity for staff to view the online platform, ask deadline questions for processes, understand mobile and online merchant services, and the implementation process. After the group presentation the selection committee will meet with the bank to discuss pricing in more detail. We recommend setting aside at least 30 minutes for this. The following are items we would like further clarification on during this second interview. 1. Review your online banking platform and the services we would be able to view online. A similar demo as before is adequate. All the individuals in the room are very familiar with logging in to current banking services platform. 2. Please explain your purchasing card services system. Including restriction limitations, user settings, fraud alerts, emergency preparedness capabilities such as changing user setting when needed, and rebate programs that may be available. 321 City of La Quinta Banking Services, Interview Questions April 2019 Page 4 3. The City processes payroll every two weeks with an effective pay date of Thursdays. By when (date and time of day) would the data file need to be transmitted and how will we be notified that the information was received? 4. The City processes accounts payable checks weekly (on Thursdays or Fridays). Upon issuance of any checks a PosPay file is created and uploaded to the bank. How soon can manual checks be released for payment for the bank to cash the check? What steps does the bank take if a check is presented at a branch office and a PosPay file has not been received? 5. In what formats are notifications sent for exceptions; such as text messaging or emails and are notifications customizable for each user? 6. Please explain your remote check deposit capabilities, including deadlines for same day credit. 7. Does your bank have a preferred armored carrier service, if so whom? 8. The City has the following proposed timeline: Selection of bank: By May 6, 2019 Financial Advisory Committee Approval: May 15, 2019 City Council Approval on: May 21, 2019 or June 4, 2019 Contract review and execution: month of June Start implementation: July 8, 2019 Complete implementation: October 1, 2019 Based on this timeline, please explain how you would advise the City to transition banking and merchant services. What service(s) would you recommend be transitioned first and what are some steps we can take now to ensure the process is continuous? 322   AGREEMENT FOR CONTRACT SERVICES   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 Bank of the West, a subsidiary of holding company BancWest Corporation, BancWest Corporation is a wholly owned subsidiary of BNP Paribas (“Contracting Party”). The parties hereto agree as follows: 1.SERVICES OF CONTRACTING PARTY. 1.1Scope of Services. In compliance with all terms and conditions of this Agreement, Contracting Party shall provide those services related to Banking and Merchant, Project No. ____NA_____, as specified in the “Scope of Services” attached hereto as “Exhibit A” and incorporated herein by this reference (the “Services”). Contracting Party represents and warrants that Contracting Party is a provider of first-class banking and/or services and Contracting Party is experienced in performing the Services contemplated herein and, in light of such status and experience, Contracting Party covenants that it shall follow industry standards in performing the Services required hereunder, and that all materials, if any, will be of good quality, fit for the purpose intended. For purposes of this Agreement, the phrase “industry standards” shall mean those standards of practice recognized by one or more first-class firms performing similar services under similar circumstances. 1.2Compliance with Law. All Services rendered hereunder shall be provided in accordance with all ordinances, resolutions, statutes, rules, regulations, and laws of the City and any Federal, State, or local governmental agency of competent jurisdiction. 1.3Wage and Hour Compliance, Contracting Party shall comply with applicable Federal, State, and local wage and hour laws. 1.4Licenses, Permits, Fees and Assessments. Except as otherwise specified herein, Contracting Party 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, including a City of La Quinta business license. Contracting Party and its employees, agents, and subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that 323 ATTACHMENT 2 - are legally required for the performance of the Services required by this Agreement. Contracting Party 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, and shall indemnify, defend (with counsel selected by City), and hold City, its elected officials, officers, employees, and agents, free and harmless against any such fees, assessments, taxes, penalties, or interest levied, assessed, or imposed against City hereunder. Contracting Party shall be responsible for all subcontractors’ compliance with this Section. 1.5 Familiarity with Work. By executing this Agreement, Contracting Party warrants that (a) it has thoroughly investigated and considered the Services to be performed, (b) it has investigated the site where the Services are to be performed, if any, and fully acquainted itself with the conditions there existing, (c) it has carefully considered how the Services should be performed, and (d) it fully understands the facilities, difficulties, and restrictions attending performance of the Services under this Agreement. Should Contracting Party discover any latent or unknown conditions materially differing from those inherent in the Services or as represented by City, Contracting Party shall immediately inform City of such fact and shall not proceed except at Contracting Party’s risk until written instructions are received from the Contract Officer (as defined in Section 4.2 hereof). 1.6 Standard of Care. Contracting Party acknowledges and understands that the Services contracted for under this Agreement require specialized skills and abilities and that, consistent with this understanding, Contracting Party’s work will be held to an industry standard of quality and workmanship. Consistent with Section 1.5 hereinabove, Contracting Party represents to City that it holds the necessary skills and abilities to satisfy the industry standard of quality as set forth in this Agreement. Contracting Party shall adopt reasonable methods during the life of this Agreement to furnish continuous protection to the Services performed by Contracting Party, 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 Services by City, except such losses or damages as may be caused by City’s own negligence. The performance of Services by Contracting Party shall not relieve Contracting Party 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 Contracting Party. 1.7 Additional Services. In accordance with the terms and conditions of this Agreement, Contracting Party shall perform services in addition to 324 - those specified in the Scope of Services (“Additional Services”) only when directed to do so by the Contract Officer, provided that Contracting Party shall not be required to perform any Additional Services without compensation. Contracting Party shall not perform any Additional Services until receiving prior written authorization (in the form of a written change order if Contracting Party is a contractor performing the Services) from the Contract Officer, incorporating therein any adjustment in the Contract Sum, and, which said adjustments are subject to the written approval of Contracting Party. It is expressly understood by Contracting Party that the provisions of this Section shall not apply to the Services specifically set forth in the Scope of Services or reasonably contemplated therein. It is specifically understood and agreed that oral requests and/or approvals of Additional Services shall be barred and are unenforceable. Failure of Contracting Party to secure the Contract Officer’s written authorization for Additional Services shall constitute a waiver of any and all right to adjustment of the Contract Sum or time to perform this Agreement, whether by way of compensation, restitution, quantum meruit, or the like, for Additional Services provided without the appropriate authorization from the Contract Officer. Compensation for properly authorized Additional Services shall be made in accordance with Section 2.3 of this Agreement. 1.8 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”), which is incorporated herein by this reference and expressly made a part hereof. 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. 2. COMPENSATION. 2.1 Contract Sum. For the Services rendered pursuant to this Agreement, Contracting Party shall be compensated in accordance with “Exhibit B” (the “Schedule of Compensation”), except as provided in Section 1.7. 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 Contracting Party’s rate schedule, but not exceeding the Contract Sum, or such other reasonable methods as may be specified in the Schedule of Compensation. The Contract Sum shall include the attendance of Contracting Party at all project meetings reasonably deemed necessary by City; Contracting Party shall not be entitled to any additional compensation for attending said meetings. 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 325 - method of compensation set forth in the Schedule of Compensation, Contracting Party’s overall compensation shall not exceed the Contract Sum, except as provided in Section 1.7 of this Agreement. 2.2 Method of Billing & Payment. The City will receive monthly account analysis statements which will reflect monthly earnings credit and monthly banking service fees. At the end of each calendar quarter, all banking service fees and earnings credits are accumulated and netted together. Any shortage in earnings credits to offset banking fees will be invoiced to the City. Any excess in earnings credit at the end of each quarter shall not be carried over into the subsequent month and quarterly period. Such invoice shall describe in detail the Services provided. Such invoice shall contain a certification by a principal member of Contracting Party specifying that the payment requested is for Services performed in accordance with the terms of this Agreement. Upon approval in writing by the Contract Officer and subject to retention pursuant to Section 8.3, City will pay Contracting Party for all items 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. 2.3 Compensation for Additional Services. Additional Services approved in advance by the Contract Officer pursuant to Section 1.7 of this Agreement shall be paid for in an amount agreed to in writing by both City and Contracting Party in advance of the Additional Services being rendered by Contracting Party. 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, the City Manager, or Department Director, depending upon City laws, regulations, rules and procedures concerning public contracting. Under no circumstances shall Contracting Party receive compensation for any Additional Services unless prior written approval for the Additional Services is obtained from the Contract Officer pursuant to Section 1.7 of this Agreement. 3. PERFORMANCE SCHEDULE. 3.1 Time of Essence. Time is of the essence in the performance of this Agreement. If the Services not completed in accordance with the Schedule of Performance, as set forth in Section 3.2 and “Exhibit C”, it is understood that the City will suffer damage. 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 326 - 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 Contracting Party, 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 Contracting Party 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 the Contract Officer’s judgment such delay is justified, and the Contract Officer’s determination shall be final and conclusive upon the parties to this Agreement. Extensions to time period in the Schedule of Performance which are determined by the Contract Officer to be justified pursuant to this Section shall not entitle the Contracting Party to additional compensation in excess of the Contract Sum. 3.4 Term. Unless earlier terminated in accordance with the provisions in Article 8.0 of this Agreement, the term of this agreement shall commence on June4, 2019 and terminate on June4 2024 (“Initial Term”). This Agreement may be extended for five additional year(s) upon mutual agreement by both parties (“Extended Term”). 4. COORDINATION OF WORK. 4.1 Representative of Contracting Party. The following principals of Contracting Party (“Principals”) are hereby designated as being the principals and representatives of Contracting Party authorized to act in its behalf with respect to the Services specified herein and make all decisions in connection therewith: (a) Lily Ng, Government Banking Manager E-mail:lily.ng@botw.com (b) Matthew Kirschenman, Senior Government Relationship Manager E-mail: matthew.kirschenman@botw.com 327 - 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 Contracting Party and devoting sufficient time to personally supervise the Services hereunder. For purposes of this Agreement, the foregoing Principals may not be changed by Contracting Party and no other personnel may be assigned to perform the Services required hereunder without the express written approval of City. 4.2 Contract Officer. The “Contract Officer” shall be the Finance Director_ or such other person as may be designated in writing by the City Manager of City. It shall be Contracting Party’s responsibility to assure that the Contract Officer is kept informed of the progress of the performance of the Services, and Contracting Party shall refer any decisions, that 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. The Contract Officer shall have authority to sign all documents on behalf of City required hereunder to carry out the terms of this Agreement. 4.3 Prohibition Against Subcontracting or Assignment. The experience, knowledge, capability, and reputation of Contracting Party, its principals, and its employees were a substantial inducement for City to enter into this Agreement. Except as set forth in this Agreement, Contracting Party shall not contract or subcontract 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 transferred, assigned, conveyed, hypothecated, or encumbered, voluntarily or by operation of law, without the prior written approval of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty five percent (25%) of the present ownership and/or control of Contracting Party, taking all transfers into account on a cumulative basis. Any attempted or purported assignment or contracting or subcontracting by Contracting Party without City’s express written approval shall be null, void, and of no effect. No approved transfer shall release Contracting Party of any liability hereunder without the express consent 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 Contracting Party, its agents, or its employees, perform the Services required herein, except as otherwise set forth herein. City shall have no voice in the selection, discharge, supervision, or control of Contracting Party’s employees, servants, representatives, or agents, or in fixing their number or hours of service. 328 - Contracting Party 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. Contracting Party 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. City shall not in any way or for any purpose become or be deemed to be a partner of Contracting Party in its business or otherwise or a joint venture or a member of any joint enterprise with Contracting Party. Contracting Party shall have no power to incur any debt, obligation, or liability on behalf of City. Contracting Party 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. Except for the Contract Sum paid to Contracting Party as provided in this Agreement, City shall not pay salaries, wages, or other compensation to Contracting Party for performing the Services hereunder for City. City shall not be liable for compensation or indemnification to Contracting Party for injury or sickness arising out of performing the Services hereunder. Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Contracting Party and any of its employees, agents, and subcontractors providing services under this Agreement shall not qualify for or become entitled to any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California Public Employees Retirement System (“PERS”) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits. Contracting Party agrees to pay all required taxes on amounts paid to Contracting Party under this Agreement, and to indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement. Contracting Party shall fully comply with the workers’ compensation laws regarding Contracting Party and Contracting Party’s employees. Contracting Party further agrees to indemnify and hold City harmless from any failure of Contracting Party to comply with applicable workers’ compensation laws. City shall have the right to offset against the amount of any payment due to Contracting Party under this Agreement any amount due to City from Contracting Party as a result of Contracting Party’s failure to promptly pay to City any reimbursement or indemnification arising under this Section. 4.5 Identity of Persons Performing Work. Contracting Party represents that it employs or will employ at its own expense all personnel required for the satisfactory performance of any and all of the Services set forth herein. Contracting Party represents that the Services required herein will be performed by Contracting Party or under its direct supervision, and that all personnel engaged in such work shall be fully qualified and shall be 329 - authorized and permitted under applicable State and local law to perform such tasks and services. 4.6 City Cooperation. City shall provide Contracting Party with any plans, publications, reports, statistics, records, or other data or information pertinent to the Services to be performed hereunder which are reasonably available to Contracting Party only from or through action by City. 5. INSURANCE. 5.1 Insurance. Prior to the beginning of any Services under this Agreement and throughout the duration of the term of this Agreement, Contracting Party shall procure and maintain, at its sole cost and expense, and submit concurrently with its execution of this Agreement, policies of insurance as set forth in “Exhibit E” (the “Insurance Requirements”) which is incorporated herein by this reference and expressly made a part hereof. 5.2 Proof of Insurance. Contracting Party shall provide Certificate of Insurance to Agency along with all required endorsements. Certificate of Insurance and endorsements must be approved by Agency’s Risk Manager prior to commencement of performance. 6. INDEMNIFICATION. 6.1 Indemnification. To the fullest extent permitted by law, Contracting Party shall indemnify, protect, defend (with counsel selected by City), and hold harmless City and any and all of its officers, employees, agents, and volunteers as set forth in “Exhibit F” (“Indemnification”) which is incorporated herein by this reference and expressly made a part hereof. 7. RECORDS AND REPORTS. 7.1 Reports. Contracting Party shall periodically prepare and submit to the Contract Officer such reports concerning Contracting Party’s performance of the Services required by this Agreement as the Contract Officer shall require. Contracting Party hereby acknowledges that City is greatly concerned about the cost of the Services to be performed pursuant to this Agreement. For this reason, Contracting Party agrees that if Contracting Party becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the Services contemplated herein or, if Contracting Party is providing design services, the cost of the project being designed, Contracting Party shall promptly notify the Contract Officer of said fact, circumstance, technique, or event and the estimated increased or decreased cost related thereto and, if Contracting 330 - Party is providing design services, the estimated increased or decreased cost estimate for the project being designed. 7.2 Records. Contracting Party shall keep, and require any subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports (including but not limited to payroll reports), studies, or other documents relating to the disbursements charged to City and the Services performed hereunder (the “Books and Records”), as shall be necessary to perform the Services required by this Agreement and enable the Contract Officer to evaluate the performance of such Services. Any and all such Books and Records shall be maintained in accordance with generally accepted accounting principles and shall be complete and detailed. The Contract Officer shall have full and free access to such Books and Records at all times during normal business hours of City, including the right to inspect, copy, audit, and make records and transcripts from such Books and Records. Such Books and Records that are material shall be maintained for a period of three (3) years following completion of the Services hereunder, and City shall have access to such Books and Records in the event any audit is required. In the event of dissolution of Contracting Party’s business, custody of the Books and Records may be given to City, and access shall be provided by Contracting Party’s successor in interest. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds Ten Thousand Dollars ($10,000.00), this Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of City, for a period of three (3) years after final payment under this Agreement. 7.3 Ownership of Documents. Except for such materials that are created by Contracting Party in connection to this agreement, all drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents, and other materials plans, drawings, estimates, test data, survey results, models, renderings, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings, digital renderings, or data stored digitally, magnetically, or in any other medium prepared or caused to be prepared by Contracting Party, its employees, subcontractors, and agents in the performance of this Agreement (the “Documents and Materials”) shall be the property of City and shall be delivered to City upon request of the Contract Officer or upon the expiration or termination of this Agreement, and Contracting Party shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership use, reuse, or assignment of the Documents and Materials hereunder. Any use, reuse or assignment of such completed Documents and Materials for other projects and/or use of uncompleted documents without specific written 331 - authorization by Contracting Party will be at City’s sole risk and without liability to Contracting Party, and Contracting Party’s guarantee and warranties shall not extend to such use, revise, or assignment. Contracting Party may retain copies of such Documents and Materials for its own use. Contracting Party shall have an unrestricted right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any Documents and Materials prepared by them, and in the event Contracting Party fails to secure such assignment, Contracting Party shall indemnify City for all damages resulting therefrom. 7.4 Licensing of Intellectual Property. Except as otherwise provided by Contracting Party, this Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, rights of reproduction, and other intellectual property embodied in the Documents and Materials. Contracting Party shall require all subcontractors, if any, to agree in writing that City is granted a non-exclusive and perpetual license for the Documents and Materials the subcontractor prepares under this Agreement. Contracting Party represents and warrants that Contracting Party has the legal right to license any and all of the Documents and Materials. Contracting Party makes no such representation and warranty in regard to the Documents and Materials which were prepared by design professionals other than Contracting Party or provided to Contracting Party by City. City shall not be limited in any way in its use of the Documents and Materials at any time, provided that any such use not within the purposes intended by this Agreement shall be at City’s sole risk. 7.5 Release of Documents. The Documents and Materials shall not be released publicly without the prior written approval of the Contract Officer or as required by law. Contracting Party shall not disclose to any other entity (except for an affiliate or parent company of Contracting Party) or person any information regarding the activities of City, except as required by law or as authorized by City. 7.6 Confidential or Personal Identifying Information. Except as otherwise disclosed by Contracting Party, Contracting Party covenants that all City data, data lists, trade secrets, documents with personal identifying information, documents that are not public records, draft documents, discussion notes, or other information, if any, developed or received by Contracting Party or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Contracting Party to any person or entity without prior written authorization by City or unless required by law. City shall grant authorization for disclosure if required by any lawful administrative or legal proceeding, court order, or similar directive with the force of law. All City data, data lists, trade secrets, documents with personal 332 - identifying information, documents that are not public records, draft documents, discussions, or other information shall be returned to City upon the termination or expiration of this Agreement. Contracting Party’s covenant under this section shall survive the termination or expiration of this Agreement. 8. ENFORCEMENT OF AGREEMENT. 8.1 California Law. This Agreement shall be interpreted, construed, and governed 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 Contracting Party 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, or 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 this Article 8.0. During the period of time that Contracting Party is in default, City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices. In the alternative, City may, in its sole discretion, elect to pay some or all of the outstanding invoices during any period of default. 8.3 Retention of Funds. City may withhold from any monies payable to Contracting Party sufficient funds to compensate City for any losses, costs, liabilities, or damages it reasonably believes were suffered by City due to the default of Contracting Party 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 333 - remedy or be construed as a waiver. City’s consent or approval of any act by Contracting Party 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 Contracting Party. Any waiver by either party of any default must be in writing and shall not be a 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 declaratory or 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 for termination for cause. City reserves the right to terminate this Agreement at any time, with or without cause, upon a six- month (180) days’ written notice to Contracting Party. Upon receipt of any notice of termination, Contracting Party shall immediately cease all Services hereunder except such as may be specifically approved by the Contract Officer. Contracting Party 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 amounts held as a retention pursuant to this Agreement. 8.8 Termination for Default of Contracting Party. If termination is due to the failure of Contracting Party to fulfill its obligations under this Agreement, Contracting Party shall vacate any City-owned property which Contracting Party is permitted to occupy hereunder and City may, after compliance with the provisions of Section 8.2, take over the Services and prosecute the same to completion by contract or otherwise, and Contracting Party 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 Contracting Party for the purpose of setoff or partial payment of the amounts owed City. 334 - 8.9 Attorneys’ Fees. If either party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorneys’ fees; provided, however, that the attorneys’ fees awarded pursuant to this Section shall not exceed the hourly rate paid by City for legal services multiplied by the reasonable number of hours spent by the prevailing party in the conduct of the litigation. Attorneys’ fees shall include attorneys’ fees on any appeal, and in addition a party entitled to attorneys’ fees shall be entitled to all other reasonable costs for investigating such action, taking depositions and discovery, and all other necessary costs the court allows which are incurred in such litigation. All such fees shall be deemed to have accrued on commencement of such action and shall be enforceable whether or not such action is prosecuted to judgment. The court may set such fees in the same action or in a separate action brought for that purpose. 9. CITY OFFICERS AND EMPLOYEES; NONDISCRIMINATION. 9.1 Non-liability of City Officers and Employees. No officer, official, employee, agent, representative, or volunteer of City shall be personally liable to Contracting Party, or any successor in interest, in the event or any default or breach by City or for any amount which may become due to Contracting Party or to its successor, or for breach of any obligation of the terms of this Agreement. 9.2 Conflict of Interest. Contracting Party covenants that neither it, nor any officer or principal of it, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contracting Party’s performance of the Services under this Agreement. Contracting Party further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent, or subcontractor without the express written consent of the Contract Officer. Contracting Party agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement. No officer or employee of City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to this Agreement which effects his financial interest or the financial interest of any corporation, partnership or association in which he is, directly or indirectly, interested, in violation of any State statute or regulation. Contracting Party warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement. 335 - 9.3 Covenant against Discrimination. Contracting Party 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 any impermissible classification including, but not limited to, race, color, creed, religion, sex, marital status, sexual orientation, national origin, or ancestry in the performance of this Agreement. Contracting Party shall take affirmative action to ensure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, marital status, sexual orientation, national origin, or ancestry. 10. MISCELLANEOUS PROVISIONS. 10.1 Notice. Any notice, demand, request, consent, approval, or 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: Karla Romero, Finance Director 78-495 Calle Tampico La Quinta, California 92253 To Contracting Party: Bank of the West Attention: Matthew Kirschenman Vice President 300 S Grand Ave, 5th Floor Mail Sort: SC-CAL-05-H Los Angeles, CA 90071 10.2 Interpretation. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply. 10.3 Section Headings and Subheadings. The section headings and subheadings contained in this Agreement are included for convenience only and shall not limit or otherwise affect the terms of this Agreement. 10.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument 10.5 Integrated Agreement. This Agreement including the exhibits hereto is the entire, complete, and exclusive expression of the understanding 336 - of the parties. It is understood that there are no oral agreements between the parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements, and understandings, if any, between the parties, and none shall be used to interpret this Agreement. This agreement includes the Contracting Party’s standard documentation and disclosures, which includes: x Deposit Account Disclosure for Business Accounts (Attachment 1) x Contract for Deposit of Public Funds (Attachment 2) x Public Agency Signature Card (Attachment 3) x Treasury Management Agreement/Terms & Conditions (Attachment 4) 10.6 Amendment. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by Contracting Party and by the City Council of City. The parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void. 10.7 Severability. In the event that any one or more of the articles, phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable, such invalidity or unenforceability shall not affect any of the remaining articles, 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 unless the invalid provision is so material that its invalidity deprives either party of the basic benefit of their bargain or renders this Agreement meaningless. 10.8 Unfair Business Practices Claims. If applicable, in entering into this Agreement, Contracting Party offers and agrees to assign to City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. § 15) or under the Cartwright Act (Chapter 2, (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services, or materials related to this Agreement. This assignment shall be made and become effective at the time City renders final payment to Contracting Party without further acknowledgment of the parties. 10.9 No Third Party Beneficiaries. With the exception of the specific provisions set forth in this Agreement, there are no intended third-party beneficiaries under this Agreement and no such other third parties shall have any rights or obligations hereunder. 10.10 Authority. The persons executing this Agreement on behalf of each of the parties hereto represent and warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver 337 - this Agreement on behalf of said party, (iii) by so executing this Agreement, such party is formally bound to the provisions of this Agreement, and (iv) that entering into this Agreement does not violate any provision of any other Agreement to which said party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors, and assigns of the parties. [SIGNATURES ON FOLLOWING PAGE] 338 - IN WITNESS WHEREOF, the parties have executed this Agreement as of the dates stated below. CITY OF LA QUINTA, a California Municipal Corporation FRANK J. SPEVACEK, City Manager City of La Quinta, California Dated: CONTRACTING PARTY: By: Name: Matthew Kirschenman Title: Senior Government Relationship Manager ATTEST: MONIKA RADEVA, City Clerk La Quinta, California APPROVED AS TO FORM: WILLIAM H. IHRKE, City Attorney City of La Quinta, California 339 Last revised summer 2017 Exhibit A Scope of Services 1. Services to be Provided: Contracting party shall provide the City banking and merchant services including but not limited to: x Online banking processes and information reporting, x Account reconciliation services, x Wire transfers, x Payroll tax processing, x State activity including Local Agency Investment Fund transfers, x Merchant services, and x Purchasing card(s) 340 Exhibit B Schedule of Compensation With the exception of compensation for Additional Services, provided for in Section 2.3 of this Agreement, the Contracting Party shall be compensated in accordance with the attached “Exhibit B”. 341 Item Per Unit Cost Estimated Monthly Unit Volume Total Monthly Cost Estimated Total Annual Cost Comments Balance & Compensation Information Services Deposit Insurance-Bank Assessment 0.10 3,289.16 328.92$ 3,946.99$ General Account Services Account Maintenance 7.00 3.00 21.00$ 252.00$ ZBA Depository + Master Maint 8.00 1.00 8.00$ 96.00$ ZBA Subsidiary Account Maint 8.00 1.00 8.00$ 96.00$ Debits Posted-Other - 27.00 -$ -$ No Charge Credits Posted-Other - - -$ -$ No Charge Paper Deposit Statement Mailed - - -$ -$ Depository Services Banking Center Deposit-CA 0.80 22.00 17.60$ 211.20$ Vault Deposit-CA 1.10 44.00 48.40$ 580.80$ Dep Conditioning-Surchg-Vault - - -$ -$ Curr/Coin Dep/$100 Vault-CA 0.11 666.04 73.26$ 879.17$ Vault Deposit-Extended Hours-CA N/A -$ -$ CKS Dep Un-Encoded Items 0.05 26.00 1.30$ 15.60$ Returns-Chargeback 2.25 - -$ -$ 3rd Party Courier-Vault N/A - -$ -$ Courier bills direct to City Mail Notification-Receipt-Vault 2.00 - -$ -$ Deposit Correction-Cash 5.00 - -$ -$ Deposit Correction-Non Cash 2.00 - -$ -$ Paper Disbursement Services ARP PPay Maint-No Recon 35.00 1.00 35.00$ 420.00$ ARP Full mo. Maint General Checks Paid Truncated 0.07 327.00 22.89$ 274.68$ NSF Items Paid/Returned 2.25 -$ -$ Payee Positive Pay Maint 55.00 1.00 55.00$ 660.00$ Payee Pos Pay w/o Reconcilement Payee Positive Pay-Issue Match - 327.00 -$ -$ No Charge Positive Pay Exceptions 0.75 - -$ -$ Stop Pay Automated-12 months 7.50 - -$ -$ ARP PPay No Recon Input Item 0.06 310.00 18.60$ 223.20$ CD Rom Maintenance - -$ -$ No Charge Image Maintenance 40.00 -$ -$ Image Express Online Flat Rate; all accounts, all items; 7 yr hist. Image Retrieval CPO 0.055 1.00 0.06$ 0.66$ Image via Prev Day Rptg - 90 day hist On Line Image Retrieval CPO 0.055 7.00 0.39$ 4.62$ Image via Prev Day Rptg - 90 day hist CD Rom Disk 12.00 1.00 12.00$ 144.00$ CD Rom per Image 0.03 327.00 9.81$ 117.72$ ARP Positive Pay Notif - - -$ -$ No Charge ARP Issue Posted Notif - - -$ -$ No Charge ARP Issue Recd Notif - - -$ -$ No Charge ARP PPay Input File Trans - -$ -$ No Charge Paper Disb Recon Services ARP Void Cancel Items 0.06 - -$ -$ General ACH Services ACH Monthly Maintenance (w) 30.00 1.00 30.00$ 360.00$ ACH Corporate On Us Credits 0.05 - -$ -$ ACH Corporate Off Us Credits 0.05 251.00 12.55$ 150.60$ Consumer Credit On Us Credits (w) 0.05 16.00 0.80$ 9.60$ Consumer Credit Off Us Credits (w) 0.05 - -$ -$ PC Tax Payment 3.00 - -$ -$ ACH Blocks Auth Instructions 5.00 - -$ -$ Account Block ACH Blocks Auth Maintenance 0.75 - -$ -$ Maintenance per Filter ACH Blocks Auth Add-Change 2.25 - -$ -$ Add/Change per Filter ACH Debit Received Item (w) 0.08 - -$ -$ ACH Credit Received Item (w) 0.08 138.00 11.04$ 132.48$ ACH Return Item (w) 2.00 - -$ -$ ACH Input-Transmission (w) 7.50 - -$ -$ via transmission; no charge online ACH Delete/Reversal (w) 8.00 - -$ -$ per file ACH Notif of Change (NOC) 2.00 - -$ -$ ACH Optional Reports-Electronic 0.35 - -$ -$ ACH Optional Reports-Fax (w) N/A - -$ -$ Online Only - 0.35 each ACH Optional Reports-Mail (w) N/A - -$ -$ Online Only - 0.35 each ACH Standard Reports-Mail (w) N/A - -$ -$ Online Only - 0.35 each ACH Standard Reports-Electronic 0.35 - -$ -$ ACH Standard Reports-Fax (w) N/A - -$ -$ Online Only - 0.35 each Wire & Other Funds Transfer Svc GP Mthly Maint Basic 10.00 1.00 10.00$ 120.00$ Online Wire Maint. &9)*#*5# 342 Item Per Unit Cost Estimated Monthly Unit Volume Total Monthly Cost Estimated Total Annual Cost Comments Electronic Wire Out-Domestic 8.00 2.00 16.00$ 192.00$ Book Credit 0.35 - -$ -$ Book transfer charge Outgoing Wire Confirm Notif - - -$ -$ No Charge Wire Payee Advising N/A - -$ -$ GPS Confirms - - -$ -$ No Charge Pend Wire Approval Notif - - -$ -$ No Charge Incoming Wire Notif-Email - - -$ -$ No Charge GP Cust Mant Temp Storage - - -$ -$ No Charge Incoming Domestic Wire 8.00 2.00 16.00$ 192.00$ Wire Advice-Phone 15.00 - -$ -$ On Line Information Services Previous Day Account Fee - - -$ -$ See W ebDirect Info Rptg fees below Previous Day Standard Item - - -$ -$ See W ebDirect Info Rptg fees below Previous Day Maintenance - - -$ -$ No Charge Email Notification Schedule - - -$ -$ No Charge Online Subscription - 1.00 -$ -$ No Charge Per Image Access 0.055 - -$ -$ Image via Prev Day Rptg - 90 day hist Service Enhancements/Other Remote Deposit Services 45.00 1.00 45.00$ 540.00$ Monthly Maint. 1st acct Image Cash Letter Deposits 0.65 21.00 13.65$ 163.80$ RDC per deposit Totals – Monthly and Annual Fees 815.26 9,783.12 Other Information Earnings Credit Rate for August 2018 1.50% - -$ -$ Uncollected Funds Rate (%)015 Prime +2.00% - -$ -$ Overdraft Rate (%) Prime +2.00% - -$ -$ Fixed Pricing Guarantee (# of Years) 5.00 - -$ -$ NSF/OD Charge 1-4 Occurrences 18.00 - -$ -$ NSF/OD Charge 5+ Occurrences 22.00 - -$ -$ Additional RDC Location/DDA Fee 8.00 - -$ -$ RDC Deposits Processed 0.65 - -$ -$ RDC Checks Deposited 0.04 890.00 35.60$ 427.20$ Non Customer Check Cashed - 2.00 -$ -$ Foreign Item Deposited 3.00 2.00 6.00$ 72.00$ Canadian Items (USD) WebDirect Information Reporting Online Setup & Training WAIVED -$ -$ No Charge Monthly Maintenance - Includes 5 accounts 40.00 1.00 40.00$ 480.00$ Additional Mo. Maint. 6+ accounts 6.00 -$ -$ Prev Summary Balance Reported Items 1-500 Included 500.00 -$ -$ Prev Summary Balance Reported Items 501-1,000 0.08 -$ -$ Prev Summary Balance Reported Items 1,001 + 0.06 -$ -$ Prev Detail Items - 1-500 Included 500.00 -$ -$ Prev Detail Items - 500-1,000 0.08 133.00 10.64$ 127.68$ Prev Detail Items - 1,001+ 0.06 -$ -$ Curr Summary Balance Reported Items 1-500 Included 500.00 -$ -$ Curr Summary Balance Reported Items 501-1,000 0.08 -$ -$ Curr Summary Balance Reported Items 1,001 + 0.06 -$ -$ Curr Detail Items - 1-500 Included 500.00 -$ -$ Curr Detail Items - 500-1,000 0.08 -$ -$ Curr Detail Items - 1,001+ 0.06 -$ -$ Extended Storage - 180 Days (per account) 22.00 -$ -$ Extended Storage - 1 Year (per account) 50.00 -$ -$ Special Reports - Analysis Statement 0.35 4.00 1.40$ 16.80$ Special Reports - Deposit Statement 0.35 3.00 1.05$ 12.60$ Special Reports - ACH Reports 0.35 -$ -$ Special Reports - Acct Recon Reports 0.35 -$ -$ Check Images viewed 0.06 -$ -$ Stop Payments (6 mo.) 5.00 -$ -$ Stop Payments (12 mo.) 7.50 -$ -$ Stop Payment Cancellation 2.75 -$ -$ Account Level Billing Report 35.00 -$ -$ Online Wire Transfer Book Wire 1.75 -$ -$ Transfer To LAIF International Wires 12.00 -$ -$ Incoming Wire Transfers 8.00 -$ -$ Incoming Wire Notification by Fax 8.00 -$ -$ Incoming Wire Notification by Phone 8.00 -$ -$ Incoming Wire Notification by Mail 0.75 -$ -$ Online ACH Services No charge for file upload Monthly Maintenance 18.00 -$ -$ 343 Item Per Unit Cost Estimated Monthly Unit Volume Total Monthly Cost Estimated Total Annual Cost Comments Per Transaction 1-1,000 0.08 -$ -$ Per Transaction 1,001-1,000 0.06 -$ -$ Returned Item 2.00 -$ -$ ACH Services Direct Input (Transmission) Setup Fee (One Time) WAIVED -$ -$ No Charge Vendor Input (Transmission) Setup Fee (One Time) WAIVED -$ -$ No Charge Monthly Maintenance 30.00 -$ -$ Additional Company IDs 30.00 -$ -$ Input Per Transmission 7.50 -$ -$ Transactions Processed - Per Item 0.05 -$ -$ ACH Addenda Character 0.0050 -$ -$ Prenote per transaction 0.010 -$ -$ Returned Item 2.00 -$ -$ ACH Return File - per month 75.00 -$ -$ ACH Receipt File - per month 75.00 -$ -$ Changes /Reversals/Deletions per File 8.00 -$ -$ Changes/Deletions per Batch 8.00 -$ -$ Batch Reversals 25.00 -$ -$ Rejected Debits and Credits 0.35 -$ -$ Branch Cash Services Currency Deposited per dollar, Branch 0.00140 -$ -$ Coin Deposited - Loose, per $1 0.03 -$ -$ Coin Deposited - Rolls 0.10 -$ -$ Coin Bags - FRB Standard 2.25 -$ -$ Coin Bags - Non-FRB Standard 4.00 -$ -$ Non-Standard Bags - Mixed Denomination 10.00 -$ -$ Cash Orders 2.50 -$ -$ Coin Supplied - Individual Roll 0.10 -$ -$ Coin Supplied - Standard Box 2.50 -$ -$ Currency Supplied, per $1 0.00140 -$ -$ Dual Control Dep. Processing, per dep. 0.60 -$ -$ Deposit Adjustments 2.00 -$ -$ Cashiers Checks 4.00 -$ -$ Copy of Paid Check 2.50 -$ -$ Foreign Item Deposited - Collection 50.00 -$ -$ Cash Vault Deposits 1.10 -$ -$ Adjustments 5.00 -$ -$ Currency Deposited per dollar Standard 0.00110 -$ -$ Non-Standard 0.00130 -$ -$ Cash Bag Deposit Processing Fee 0.25 -$ -$ Mixed Bag Deposit Processing Fee 0.50 -$ -$ Coin Deposited Standard Sorted 2.40 -$ -$ Standard Half 2.20 -$ -$ Non-Standard - Partial/Mixed 4.70 -$ -$ Subject to Count 8.50 -$ -$ Rolled Coin 0.85 -$ -$ Cash Orders Automated Touchtone 2.55 -$ -$ Non-Electronic 13.00 -$ -$ Late/Emergency 30.00 -$ -$ Touchtone Standing Order 3.00 -$ -$ Standing 2.00 -$ -$ Standing Order Change (per location) 20.00 -$ -$ Currency/Coin Supplied Currency - Standard 0.00090 -$ -$ Currency - Non-Standard 0.00120 -$ -$ Coin Full Box 3.40 -$ -$ Coin Half Box 2.25 -$ -$ Coin per Roll 0.085 -$ -$ Deposit Receipts and Adjustment Notices Adjustment - Electronic 0.85 -$ -$ Receipt - Electronic 0.85 -$ -$ Adjustment - Mailed 2.75 -$ -$ Receipt - Mailed 2.55 -$ -$ Adjustment - Faxed 2.00 -$ -$ Receipt - Faxed 2.00 -$ -$ Supplies/Vendor Billing Cost + 15% -$ -$ 344 Item Per Unit Cost Estimated Monthly Unit Volume Total Monthly Cost Estimated Total Annual Cost Comments Research (per hour) 30.00 -$ -$ Incorrect Packaging (per occurance) 40.00 -$ -$ TaxDirect Enrollment - One Time 12.00 -$ -$ Account Maintenance - per change 3.00 -$ -$ Federal Tax Payment Fee 3.00 -$ -$ State Tax Payment Fee 3.00 -$ -$ Mailed Receipt Fee 4.00 -$ -$ Fax Receipts 1.50 -$ -$ Quarterly Reports 9.00 -$ -$ Image Express - CD Rom & Online Online Access (7 year archive) -$ -$ Monthly Maintenance 40.00 -$ -$ Image Express Online Flat Rate; all accounts, all items; 7 yr hist. CD Rom 12.00 -$ -$ Per Item 0.03 -$ -$ Additional Copies of CD Rom 5.00 -$ -$ Account Reconcilement Monthly Maintenance - per account 35.00 -$ -$ Data Transmission per issue 0.06 -$ -$ Void - Cancel per Issue 0.06 -$ -$ Output Transmssion per File 6.00 -$ -$ Monthly Max. (Daily Output) 75.00 1.00 75.00$ 900.00$ Partial Reconcilement Monthly Maintenance 35.00 -$ -$ Checks Paid 0.03 -$ -$ Deposit Reconcilement Monthly Maintenance 35.00 -$ -$ Deposit Processed 0.05 -$ -$ Positive Pay Monthly Maintenance 20.00 -$ -$ Exception Item 0.75 -$ -$ Payee Positive Pay Monthly Maintenance 55.00 -$ -$ Exception Item 0.75 -$ -$ Check Return 3.00 -$ -$ ACH Positive Pay - Debit Block / Filter Setup and training - one time fee WAIVED -$ -$ No Charge ACH Positive Pay - Monthly Maintenance 20.00 1.00 20.00$ 240.00$ Exception Item 1.25 -$ -$ Block Monthly Maintenance per account 5.00 -$ -$ EPA Debit Filter (Setup/Modify) 2.25 -$ -$ Filter Monthly Maintenance 0.75 -$ -$ Investment Sweeps Repo Monthly Maintenance 55.00 -$ -$ Dreyfus CM Treasury Sweep 100.00 -$ -$ Home Bill Consolidation Monthly Maint (per PO Box or Address) 50.00 -$ -$ Per Item 0.06 -$ -$ Returned Item 5.00 -$ -$ SubTotal 189.69$ 2,276.28$ Sub total from above 815.26$ 9,783.12$ Grand Total 1,004.95$ 12,059.40$ Bank Information Name of Contact Bank Officer Matt Kirschenman Signature of Authorized Bank Officer Bank Officer’s Telephone Number (213) 972-0646 Bank Officer’s E-mail Address Matt.Kirschenman@botw.com 345 Exhibit C Schedule of Performance Contracting Party shall complete all services identified in the Scope of Services, Exhibit A of this Agreement, in accordance with the Project Schedule below. The implementation process relies on a structured but flexible project management methodology. The first step, to be completed no later than 30 days from the execution date of the contract, shall include an implementation planning meeting with the City and Contractor implementation staff to discuss and strategize the conversion process. The meeting shall include an outline of expectations, resource requirements, and task responsibility of both parties. From this initial meeting, within 15 calendar days, a formal Implementation Plan will be developed, provided to the City, and serve as a working document for both parties. The Implementation Plan shall include regularly scheduled update meetings via conference call in most cases unless otherwise agreed upon. Services shall be fully implemented no later than December 31, 2019. 346 Exhibit D Special Requirements None. 347 Exhibit E Insurance Requirements E.1 Insurance. Prior to the beginning of and throughout the duration of this Agreement, 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) Must include the following endorsements: General Liability Additional Insured General Liability Primary and Non-contributory Commercial Auto Liability (at least as broad as ISO CA 0001) $1,000,000 (per accident) Personal Auto Declaration Page if applicable Errors and Omissions Liability $1,000,000 (per claim and aggregate) Cyber Liability $1,000,000 (per accident) $2,000,000 (general aggregate) Workers’ Compensation (per statutory requirements) Must include the following endorsements: Workers Compensation with Waiver of Subrogation Workers Compensation Declaration of Sole Proprietor if applicable Contracting Party shall procure and maintain, at its cost, and submit concurrently with its execution of this Agreement, Commercial General Liability insurance against all claims for injuries against persons or damages to property resulting from Contracting Party’s acts or omissions rising out of or related to Contracting Party’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 Contracting Party’s performance hereunder and neither City nor its insurers shall be required to contribute to any such loss. An endorsement evidencing the foregoing and naming the City and its officers and employees as additional insured (on the Commercial General Liability policy only) must be submitted concurrently with 348 the execution of this Agreement and approved by City prior to commencement of the services hereunder. Contracting Party 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 Contracting Party, its officers, any person directly or indirectly employed by Contracting Party, any subcontractor or agent, or anyone for whose acts any of them may be liable, arising directly or indirectly out of or related to Contracting Party’s performance under this Agreement. If Contracting Party or Contracting Party’s employees will use personal autos in any way on this project, Contracting Party 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 policy shall contain a severability of interest clause providing that coverage shall be primary for losses arising out of Contracting Party’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 Contracting Party 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. Contracting Party 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. Contracting Party shall procure and maintain Cyber Liability insurance with limits of $1,000,000 per occurrence/loss which shall include the following coverage: a. Liability arising from the theft, dissemination and/or use of confidential or personally identifiable information; including credit monitoring and regulatory fines arising from such theft, dissemination or use of the confidential information. b. Network security liability arising from the unauthorized use of, access to, or tampering with computer systems. 349 c. Liability arising from the failure of technology products (software) required under the contract for Consultant to properly perform the services intended. d. Electronic Media Liability arising from personal injury, plagiarism or misappropriation of ideas, domain name infringement or improper deep-linking or framing, and infringement or violation of intellectual property rights. e. Liability arising from the failure to render professional services. If coverage is maintained on a claims-made basis, Contracting Party shall maintain such coverage for an additional period of three (3) years following termination of the contract. Contracting Party shall provide written notice to City within ten (10) working days if: (1) any of the required insurance policies is terminated; (2) the limits of any of the required polices are reduced; or (3) the deductible or self-insured retention is increased. In the event any of said policies of insurance are cancelled, Contracting Party shall, prior to the cancellation date, submit new evidence of insurance in conformance with this Exhibit to the Contract Officer. The procuring of such insurance or the delivery of policies or certificates evidencing the same shall not be construed as a limitation of Contracting Party’s obligation to indemnify City, its officers, employees, contractors, subcontractors, or agents. E.2 Remedies. In addition to any other remedies City may have if Contracting Party 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 Contracting Party to stop work under this Agreement and/or withhold any payment(s) which become due to Contracting Party hereunder until Contracting Party 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 Contracting Party’s failure to maintain or secure appropriate 350 policies or endorsements. Nothing herein contained shall be construed as limiting in any way the extent to which Contracting Party may be held responsible for payments of damages to persons or property resulting from Contracting Party’s or its subcontractors’ performance of work under this Agreement. E.3 General Conditions Pertaining to Provisions of Insurance Coverage by Contracting Party. Contracting Party and City agree to the following with respect to insurance provided by Contracting Party: 1.Contracting Party 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. Contracting Party also agrees to require all contractors, and subcontractors to do likewise. 2.No liability insurance coverage provided to comply with this Agreement shall prohibit Contracting Party, or Contracting Party’s employees, or agents, from waiving the right of subrogation prior to a loss. Contracting Party 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 Contracting Party 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 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. Contracting Party 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. 351 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 Contracting Party’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 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 Contracting Party or deducted from sums due Contracting Party, at City option. 8.It is acknowledged by the parties of this agreement that all insurance coverage required to be provided by Contracting Party 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.Contracting Party agrees to ensure that subcontractors, and any other party involved with the project that is brought onto or involved in the project by Contracting Party, provide the same minimum insurance coverage required of Contracting Party. Contracting Party 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. Contracting Party agrees that upon request, all agreements with subcontractors and others engaged in the project will be submitted to City for review. 10.Contracting Party 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, 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 Contracting Party’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 Contracting Party, 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 this Agreement to change the amounts and types of insurance required by giving the Contracting Party ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Contracting Party, the City will negotiate additional compensation proportional to the increased benefit to City. 352 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.Contracting Party acknowledges and agrees that any actual or alleged failure on the part of City to inform Contracting Party of non- compliance with any 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.Contracting Party 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.Contracting Party 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 Contracting Party’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 Contracting Party under this agreement. Contracting Party 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. 353 19.The requirements in this Exhibit 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 Exhibit. 20.Contracting Party 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 Contracting Party 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 requirements. There shall be no recourse against City for payment of premiums or other amounts with respect thereto. 21.Contracting Party agrees to provide immediate notice to City of any claim or loss against Contracting Party 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. 354 Exhibit F Indemnification F.1 Indemnity for the Benefit of City. a. Indemnification for Professional Liability. When the law establishes a professional standard of care for Contracting Party’s Services, to the fullest extent permitted by law, Contracting Party shall indemnify, protect, defend (with counsel selected by City), 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 Contracting Party or of any subcontractor), 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 caused in whole or in part by any negligent or wrongful act, error or omission of Contracting Party, its officers, agents, employees or subcontractors (or any entity or individual that Contracting Party shall bear the legal liability thereof) in the performance of professional services under this agreement. b. Indemnification for Other Than Professional Liability. Other than in the performance of professional services and to the full extent permitted by law, Contracting Party shall indemnify, defend (with counsel selected by City), and hold harmless the Indemnified Parties 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 Contracting Party or by any individual or entity for which Contracting Party is legally liable, including but not limited to officers, agents, employees, or subcontractors of Contracting Party. 355 356 357 358 359 360 361 362 363 364 365 366 367 368 369 370 371 372 373 374 375 376 377 378 379 380 381 382 383 041-00906 (/) CONTRACT FOR DEPOSIT OF PUBLIC FUNDS [California –Inactive and Active] Depository:Bank of the West Local Agency: Agent of Depository: Security Safekeeper: Depository’s Net Worth as of : Depository’s Paid-up Capital and Surplus: $ Depository’s Most Recent CRA Rating: Effective Date of this Agreement: This agreement is made by and between Bank of the West (“Depository”) and the Treasurer of the local agency named above (“Agency”) on behalf of the Agency with respect to the Agency’s deposit of funds with Depository. Depository and Agency agree, as follows: 1.Governing law.This agreement is entered into pursuant to California Government Code Title 5, Division 2 (the “Code”)(Note: all sections referenced in this agreement shall be to the California Government Code). 2.Agency Representations.Agency has determined that the deposit accounts and services contemplated by this agreement are to the public advantage. The person(s) executing this agreement on behalf of Agency represent and warrant that: (a) they are authorized by the Agency and under applicable law to bind the Agency to this agreement; (b) no further approval by any other person, board or governing body is required to make this agreement effective and binding as to the Agency; and (c) Agency’s funds may be deposited with Depository in accordance with this agreement. 3.Depository Representations. Depository represents and warrants that its net worth and latest Community Reinvestment Act rating are as set forth at the top of this agreement. 4.Interest. Interest shall accrue on interest-bearing accounts maintained by Agency at the rate set forth in Agency’s account agreement with Depository. If Depository does not have a system that can accrue interest on a 360-day basis for inactive deposits, Depository may increase the rate of interest on the account so that the interest yield is "55"$).&/5 384 041-00906 (/1)2 equivalent to an account where interest is calculated on a 360-day basis. Interest shall be paid quarterly or more frequently, as set forth in the account agreement. 5.Expenses. Unless otherwise agreed by the parties: (a) Depository shall bear the expense of transportation of eligible securities maintained as collateral to and from the designated Agent of the Depository; (b) Agency shall bear the expense of transportation of funds to and from Depository; and (c) Depository shall handle, collect, and pay checks, drafts, and other exchange for the fees set forth in the account agreement between Depository and Agency. 6.Other Deposit Terms. Each deposit shall be subject to the terms of the account agreement between Depository and Agency. This agreement supplements and supersedes, where inconsistent, the terms of the account agreement between Depository and Agency. 7.Deposits. At the time of each deposit, Depository will issue a receipt to Agency. Each deposit shall be subject to the terms of this agreement and the account agreement, which shall state if and when interest is to be paid, the rate of interest, the duration of the deposit, and the terms of withdrawal. 8.Security for Deposits.Depository shall at all times maintain the required amount of eligible securities with the Agent of Depository named above to secure the deposits of the Agency, in accordance with the Code. The Agent of Depository is authorized to place such securities for safekeeping with the bank named above as “Security Holder” or with any Federal Reserve Bank or branch thereof or with any other Approved Agents of Depository, in accordance with Section 53659. Pursuant to Section 53653, Treasurer waives security for the portion of any deposits that is insured pursuant to federal law. Depository may add, substitute or withdraw securities being used as security for deposits in accordance with Section 53654. Depository shall not interchange classes of security, as defined in Section 53632.5, without the prior written approval of the Treasurer. Depository shall have and hereby reserves the right to collect interest on the securities maintained as collateral, except in cases where the securities are liable to sale or are sold or converted in accordance with the provisions of California Government Code §53665. 9.Default by Depository.If Depository fails as an institution or fails to pay all or part of the deposits of the Agency secured by pooled securities in accordance with this agreement and upon the demand of the Treasurer or any other authorized official, Treasurer will send written notice to the Administrator of Local Agency Security of the State of California (the “Administrator”), who shall draw on any applicable letter of credit and/or convert into money any securities necessary to cover (a) the deposits of the Agency, (b) any accrued interest, and (c) the reasonable expenses of the Administrator, which shall be distributed and used by the Administrator, as provided in Section 53665 of the Code. If the Administrator determines that a security is not qualified to secure public deposits, Depository will substitute other securities to comply with the requirements of this agreement. 385 041-00906 (0/1)3 Upon notice to the Treasurer from the Administrator, Treasurer may withdraw deposits in the event the Depository fails to pay the assessments, fines, or penalties assessed by the Administrator or may withdraw authorization for the placement of pooled securities in an agent of depository in the event the Agent of Depository fails to pay the fines or penalties assessed by the Administrator. 10.Compliance.Subject to Section 53648 and applicable federal law, the parties shall comply in all respects with the provisions of the Code and other applicable provisions of law. 11.Termination.Either party may terminate this agreement as to future deposits by providing 30 days prior written notice to the other party. Date: AGENCY By: Name/Title: BANK OF THE WEST Date: “DEPOSITORY” By: Name/Title: 386 Public Agency Signature Card Revised ϭϮ/ϭϳ/201ϴ1Public Agency includes Public Agency Associations Page 1 PUBLIC AGENCY1 DEPOSIT ACCOUNT SIGNATURE CARD ĂƚĞĂƌĚZĞĐĞŝǀĞĚďLJĂŶŬ͗ ĂŶŬhƐĞKŶůLJͲWƌĞǀŝŽƵƐĂƌĚĂƚĞ͗ Select One: New Signature Card (New Account) Superseding Signature Card Agency Information Legal Name: Physical Address: Name Line 2: City, State, Zip: Phone Number: Fax: Website: Account Information Mailing Address, if different Account Number: Address: Account Title: City, State, Zip: Designated Signers SIGNATURE TAX CERTIFICATION: By signing below, I authorize the following Taxpayer Identification Number (TIN) to be used for tax reporting purposes. Public Agency Name Tax Identification Number Under penalties of perjury, I certify that (1) The number shown on this form is the correct Taxpayer Identification Number for the Public Agency, and (2) The Public Agency is not subject to backup withholding either because: (a) The Public Agency is exempt from backup withholding, or (b) The Public Agency has not been notified by the Internal Revenue Service (IRS) that it is subject to backup withholding as a result of a failure to report all interest or dividends; or (c) the IRS has notified the Public Agency that it is no longer subject to backup withholding; and (3) The Public Agency is a U.S. person (including a U.S. resident alien). Certification Instructions: You must cross out item two (2) above if the Public Agency has been notified by the IRS that it is currently subject to backup withholding because it has failed to report all interest and dividends on its tax return. Name Title Signature Date NAME "TJUBQQFBSTPO%SJWFST-JDFOTF d/d>'KsZEDEd/EhDZ 387 ATTACHMENT 3 Public Agency Signature Card Revised ϭϮ/ϭϳ/201ϴ1Public Agency includes Public Agency Associations Page 2 PUBLIC AGENCY1 DEPOSIT ACCOUNT SIGNATURE CARD USA Patriot Act Disclosure To help the government fight the funding of terrorism and money laundering activities, Section 326 of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 requires that all financial institutions obtain, verify and record information that identifies the identity of any person seeking to open an account with the institution. The undersigned acknowledges that Bank of the West’s ("Bank's") identity verification procedures require the Bank to request certain information from Public Agency or third parties regarding the Public Agency and, in some situations, on any Designated Signer to the account; and Public Agency agrees to provide Bank with any requested information and consents to Bank making such inquiries of third parties as Bank deems necessary or appropriate as a condition of opening an account with or using any service provided by Bank. AGREEMENT By signing this Signature Card on behalf of the Public Agency, the undersigned Authorized Representative(s): (a) agrees to open one or more deposit accounts with; (b) agrees that all deposit accounts opened pursuant to this Signature Card and any addendum to this Signature Card shall be governed by the Signature Card, as amended by addenda from time to time, any agreement regarding the deposit of public funds (if required by State regulation), Bank’s Deposit Account Disclosure, Schedule of Fees and Charges for Business Accounts, any addenda thereto; and any other applicable agreements pertaining to this Public Agency's deposit accounts all of which together shall be called the Terms and Conditions; (c) agrees that Bank may add to, delete from and otherwise amend the Terms and Conditions from time to time, and Public Agency agrees to be bound by any and all such future additions, deletions and amendments to the Terms and conditions; (d) authorizes Bank to verify any of the information given in connection with opening and maintaining the deposit accounts, to obtain credit reports or to make any other inquiries of third parties about the Public Agency. ; (e) represents and warrants as to each Designated Signer (i) the signatures appearing above are genuine or facsimile signatures of the Designated Signers; (ii) each Designated Signer is authorized to conduct transactions on all current and future accounts opened under this Signature Card; (iii) the authority granted to each Designated Signer includes authority to sign checks and other items; to give Bank other instructions to withdraw or transfer funds; to endorse and deposit checks and other items that are payable to or that belong to the Public Agency; and to transact any other business relating to each of this Public Agency's accounts; and (f) agrees that Bank may rely on this authorization for each account opened pursuant to this Signature Card until Bank receives written notice revoking the authorization in a form and at an agreed upon location, and Bank has a reasonable time to act upon it; and (g) represents and warrants that all necessary and appropriate actions or formalities, have been taken to authorize the undersigned Authorized Representatives and the Designated Signers to so act. As a designated depository of this Public Agency, Bank is hereby requested, authorized and directed to honor checks, drafts or other orders for the payment of money drawn in the Public Agency's name, including those payable to the individual order of any Designated Signer, or when bearing or purporting to bear the facsimile signature(s) of any Designated Signer pursuant to the Public Agency's banking resolutions on file with the Bank, and the Bank shall be entitled to honor and to charge the Public Agency for such checks, drafts or other orders, regardless of by whom or by what means the actual or purported facsimile signatures thereon may have been affixed thereto, if such signature or signatures resemble the facsimile specimens duly certified to or filed with the Bank by the Secretary or other official of the Public Agency. This Public Agency adopts the authorization above and certifies that all information on this document is true and correct. The undersigned certifies: x That the persons who signed below are Authorized Representatives and are authorized to enter into this agreement on behalf of the Public Agency. x That any of the undersigned Authorized Representatives, acting alone, may (a) agree to establish additional accounts for the Public Agency under the same signature requirements; and (b) provide changes to this Signature Card. I certify as an Authorized Representative of Public Agency that the foregoing information is complete and accurate. Name Title Signature Date 388 Page 1 of 2 Revision Date 07/20/2018 AUTHORIZATION AND AGREEMENT FOR CASH MANAGEMENT SERVICES This Authorization and Agreement for Cash Management Services (this “Agreement”) applies to Cash Management Services (collectively, the “Services”) provided by Bank of the West (“Bank”). This Agreement may be agreed to by one or more business organizations from time to time and references herein to “you” and “your” refer to the undersigned entity and any and all other business organizations added to this Agreement, now or in the future, with the approval of the Bank and the undersigned (each a “Related Entity”). You agree to this Agreement by signing it or an Addendum hereto either in writing or, by prior agreement with Bank, electronically. You may also agree to this Agreement by requesting, accepting or using any of the Services. By agreeing to this Agreement, each of you agrees that all Services are subject to this Agreement and Bank’s Cash Management Terms and Conditions, including any separate disclosures, schedules and other documents and materials referenced therein or provided to you in connection with the Services (collectively, “Terms and Conditions”). References to this Agreement and the Terms and Conditions include all additions, deletions and other amendments (“Amendments”) thereto from time to time. Amendments may be made as set forth in the Terms and Conditions. You acknowledge receipt of the Terms and Conditions. Bank will maintain records of the Services you have requested either orally or in writing from time to time. Bank’s records shall be final and conclusive as to the Services that you have requested and the Bank has agreed to provide to you. Bank’s obligation to provide any Service is subject to: (1) Bank’s receipt of any required information and documentation from you; (2) Bank’s approval of your request for the Service; and (3) completion of any testing or training requirements established by Bank. By agreeing to this Agreement, you represent that the individual who signs this Agreement or an Addendum hereto on your behalf (your “Designee”) is an authorized signer on your behalf. You further agree that: (1) your Designee and the Designee of any Related Entity is authorized to access electronically any of your accounts or the accounts of any Related Entity; (2) each such Designee shall be entitled to access and control all such accounts singly without regard to any multiple signer designations or other requirements or restrictions that might otherwise be applicable to a specific account. Such access and control includes but is not limited to, the ability to: (1) control accounts electronically; (2) view or initiate transactions including, without limitation, withdrawals; (3) deposit and transfer money; (4) perform all types of electronic transactions to and from any such accounts; and (5) authorize other users to access such accounts to perform similar functions. You authorize the linking of your accounts to the Services that are provided to any Related Entity. Bank may treat you and all Related Entities as one entity for purposes of the Services. This includes, but is not limited to, authority to link, without restriction, any or all of your deposit or other accounts with the accounts of a Related Entity for Account Analysis, Deposit Concentration, Zero Balance Accounting, and Online Banking Services (and regardless of whether provided by Bank or any of its affiliates). Linked accounts may include, but are not limited to, deposit accounts of any type, credit accounts of any type, investment and brokerage accounts of any type and any and all other accounts that Bank may now or in the future hold for you or on your behalf. Linking of your accounts could subject you to claims involving or arising out of the commingling of funds and you assume all such risks. You acknowledge and agree that, for purposes of Online Banking and other electronic access, the granting of access to accounts by way of a single identification number, log-on and/or password will be considered done at your request and for your convenience. You agree to indemnify, protect, hold harmless and defend Bank from and against any and all claims, demands, damages, expenses, liabilities or costs (including attorneys’ fees, professional fees and court costs) of whatever kind or nature whatsoever, in connection with or arising from the linking of accounts contemplated hereby. Bank is not required to obtain consent from any Related Entity for actions 389 ATTACHMENT 4 AUTHORIZATION AND AGREEMENT FOR CASH MANAGEMENT SERVICES Page 2 of 2 Revision Date 07/20/2018 by you or for any linking of accounts. Bank is not required to give you notice of the acts or omissions of the others. You and each Designee signing this Agreement on your behalf represent and warrant that: (1) your Designee is your officer, owner, or principal or is otherwise authorized to act on your behalf; and (2) you have taken all action required by your organizational or constituent documents to authorize the Designee to execute and deliver this Agreement and any other documents Bank may require with respect to a Service, to provide instructions to Bank, and to designate employees and agents to act in your name and on your behalf regarding the Services and any and all of your accounts. Effective Date: AGREED: Tax Identification Number Business Entity Name Printed Signer’s Name Authorized Signature Title For Bank Use Only Bank of the West (Office/Unit) Bank of the West (Cash Management Sales) Name: Name: Title: Title: Office/Unit: Date: Date: Signature Signature 390 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: RECEIVE AND FILE FISCAL YEAR 2018/19 FOURTH QUARTER BUDGET REPORT AND APPROVE THE RECOMMENDED BUDGET ADJUSTMENTS RECOMMENDATION Receive and file fiscal year 2018/19 Fourth Quarter Budget Report and approve the recommended budget adjustments. EXECUTIVE SUMMARY •The 2018/19 Fourth Quarter Budget Report (Attachment 1) provides an update of the City’s fiscal activities from July 2018 to May 2019. •Quarterly, a budget report is prepared to assess the budget and incorporate adjustments based on current economic conditions and operational requirements. •Additional adjustments may be considered and approved prior to June 30, 2019. FISCAL IMPACT Staff recommends adjustments to funds as outlined below: BACKGROUND/ANALYSIS Throughout the fiscal year each Department monitors their budget and proposes adjustments to reflect current conditions and ongoing operational needs. Requests are reviewed and discussed by the City Manager, Finance Director and Executive Team before presenting recommendations for Council consideration. City Funds with no adjustments are excluded. BUSINESS SESSION ITEM NO. 3 Fund Revenues Expenses General Fund (101)120,800$ 190,000$ Economic Development Fund (247)2,981,600 - Public Safety Fund (203)650,000 Facility & Fleet Fund (501)150,000 150,000 TOTAL ADJUSTMENTS 3,902,400$ 340,000$ 2018/19 Fourth Quarter Adjustment Requests (All Funds) 391 Additional adjustments may be presented to City Council for approval prior to June 30, 2019. ALTERNTIVES The Council could delay, modify, or reject the requested budget amendments. Prepared by: Karla Romero, Finance Director Approved by: Frank J. Spevacek, City Manager Attachment: 1. 2018/19 Fourth Quarter Budget Report 392 June 4, 2019 2018/19 Fourth Quarter Budget Report GENERAL FUND Proposed budget adjustments are detailed in Exhibits 1 and 2. A summary of the General Fund is provided below. Adjustments are based on current year-to-date activity, updated forecasts, and provide resources to implement anticipated operational needs to end the fiscal year. REVENUES License and Permit Fee adjustments recognize unanticipated revenues from increased short-term vacation rental compliance and new inspections on certain rental permits, the lack of cannabis delivery licenses, and other specialized permit and planning fees. Combined these revenue adjustments total $79,800. False Alarm fees were established in October 2017 with the goal of educating the community and reducing the number of Police and Fire false alarms. False alarms are being internally tracked and billed by City Staff. The City anticipates these fees will be reduced in the upcoming fiscal year as community awareness increases. The revised 2018/19 False Alarm revenue budgets after these proposed adjustments would be $23,000 for Police and $10,000 for Fire False Alarms, respectively. Ambulance reimbursements are anticipated to end the year at $26,000 (including the proposed reimbursement of $11,000). Late response fees to American Medical Response (AMR) are assessed and collected by Riverside County then remitted to the City per the AMR Ambulance Agreement. EXPENSES An expenditure adjustment of $40,000 to Fire Non-Reimbursable Expenses recognizes the use of ambulance reimbursement funds used to improve the Emergency Management System. The remaining $14,000 of expenses is paid from the General Fund. Budgetary savings of $228,500 from 2017/18 for building repairs were not carried over to 2018/19. Since this did not occur the current Facility and Fleet Fund budget is overspent by $50,000 due to unanticipated 2018/19 expenses for a computer Revenue Adjustments Various License and Permit Fees 79,800$ False Alarm Fees 30,000 Ambulance Reimbursement 11,000 Total 120,800$ Expense Adjustments Fire Expenses 40,000$ Wellness Center Enhancements 150,000 Total 190,000$ GENERAL FUND SUMMARY ATTACHMENT 1 393 server room fire suppression system, extending the vehicle security gate at City Hall, and City Hall exterior painting. The original 2018/19 budget ($225,000) included $100,000 to upgrade the Wellness Center’s multi-purpose room, which now requires additional funding due to the aforementioned unanticipated 2018/19 expenses. A proposed adjustment of $150,000 from the General Fund to the Facility and Fleet Fund would cover the $50,000 over expenditure and provide funding for the Wellness Center upgrades. Two additional interfund transfers with no net effect on the General Fund are recommended. These expenses are summarized as follows. The Land Acquisition fund balance ($1,592,000) was carried over from 2017/18 to 2018/19. $2,000,000 was appropriated in 2017/18 to fund the auction purchase of the former Sam’s Club property, which did not occur; the Council subsequently appropriated $400,000 of this amount for the SilverRock Event Center building and $8,000 has been expended for SilverRock canal easement reconciliation which included title search and land surveying. Staff recommends transferring the remaining funds to the Economic Development Fund, which currently has no fund balance and is intended to promote economic development and generate ongoing General Fund revenues. The land sale proceeds from the 2.9-acre City owned parcel on Highway 111 ($1,389,600 from the Residence Inn developer) will also be deposited into this Fund when escrow closes (early June). The second interfund transfer recommendation recognizes anticipated savings from the current police services contract ($650,000) and allocates these funds to the Public Safety Fund; the Public Safety Fund could be used for future cost increases or unanticipated overages in public safety costs. Anticipated savings are a result of lower than anticipated contractual cost increases for 2018/19 (2.1% versus the 2018/19 budget assumption of 7.1%). The current fund balance is $506,500; this deposit would increase the balance to $1,156,500. Expenditures in 2018/19 are not proposed for these interfund transfers. If budgets remain unused at fiscal year-end they are recognized as an increase to Unassigned Reserves in the General Fund. Land Acquisition (1,592,000)$ Transfer Out to Economic Development Fund 1,592,000$ Police Contract Savings (650,000)$ Transfer Out to Public Safety Fund 650,000$ 394 City of La Quinta FY 2018/19 Recommended Fourth Quarter Budget Adjustments Exhibit 2 Account No. Description Revenues Expenses Finance 101-0000-41415 Short-Term Vacation Rental Registrations 32,000 101-0000-41411 Short-Term Rental Inspection Fee 9,000 101-0000-41601 Cannabis Delivery License (1,000) 101-0000-42404 Miscellaneous Permits 20,000 101-0000-42443 Zone Changes 10,000 101-0000-42446 General Plan Amendments 4,800 101-0000-42451 Special Plan Amendments 5,000 101-0000-42709 False Alarm Fees, Police 20,000 101-0000-42710 False Alarm Fees, Fire 10,000 101-0000-41504 AMR Compliance 11,000 Total Revenue Adjustments 120,800$ City Manager 101-1007-74010 Land Acquisition (1,592,000) 101-1007-99900 Transfer Out to Economic Development Fund 1,592,000 Community Resources 101-2001-60161 Police Contract Savings (650,000) 101-1007-99900 Transfer Out to Public Safety Fund 650,000 101-2002-60445 Fire Non-Reimburseable Misc. Expenses 40,000 Facilities 101-1007-99900 Transfer Out to Facility & Fleet Fund 150,000 TOTAL GENERAL FUND 120,800$ 190,000$ General Fund (Fund 101) 395 City of La Quinta FY 2018/19 Recommended Fourth Quarter Budget Adjustments Exhibit 2 Account No. Description Revenues Expenses 247-0000-49500 Transfer In from the General Fund 1,592,000 - 247-0000-45000 Sale of Assets 1,389,600 Account No. Description Revenues Expenses 203-0000-49500 Transfer In from the General Fund 650,000 - Account No. Description Revenues Expenses 501-0000-49500 Transfer In from the General Fund 150,000 501-0000-71103 Building Repairs 150,000 TOTAL ALL OTHER FUNDS 3,781,600 150,000 Economic Development Fund (247) Public Safety Fund (203) Facility & Fleet Fund (501) 396 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: APPROVE RIGHT OF ENTRY, TEMPORARY CONSTRUCTION EASEMENT, IMPROVEMENTS AND MAINTENANCE AGREEMENT BETWEEN THE CITY OF LA QUINTA AND TUTTLE LLC, FOR THE DESIGN AND CONSTRUCTION OF A BLOCK WALL, GATES, DRIVEWAY AND PARKWAY IMPROVEMENTS AT 51555 MADISON STREET RECOMMENDATION Approve Right of Entry, Temporary Construction Easement, Improvements and Maintenance Agreement between the City of La Quinta and Tuttle LLC, for the design and construction of a block wall, gates, driveway, and parkway improvements at 51555 Madison Street; and authorize the City Manager to execute the Agreement. EXECUTIVE SUMMARY •A portion of 51555 Madison Street (Property) is adjacent to the Madison Street Widening Project No. 2009-02 (Project) being completed by the Cities of La Quinta and Indio. •The Agreement (Attachment 1) would allow the Project to construct improvements caused by Project impacts that were not addressed during the original design by the City of Indio. •The proposed actions include design and construction of a block wall, gates, driveway, and minor parkway improvements at the Property (Attachment 2). FISCAL IMPACT The estimated cost would be $480,000 and is included in the reimbursement agreement between the Cities of La Quinta and Indio for the Madison Street Improvement Project being considered by Council per the Amendment No.3 to the Cooperative Agreement, also on this Council agenda. BACKGROUND/ANALYSIS A portion of the Property is adjacent to the Project under construction by the Cities of La Quinta and Indio. During the design process, there was insufficient coordination with the property owner and the project design was modified to stop short of the street right of way, leaving an unsightly chain link fence and BUSINESS SESSION ITEM NO. 4 397 vegetation in place within the public right of way. The property owner, in conjunction with La Quinta, requested the City of Indio extend the project design to the right of way limits, which required removal of the chain link fence and existing landscaping. As this was a project impact, the City agrees to facilitate certain improvements in connection with the Project that include: ➢ removing the existing chain-link metal fence and gates that run along the entire boundary between the Property and the public right-of-way, ➢ replacing the fence with a 6-ft. high block wall, ➢ installing wrought iron gates and driveway approach, and ➢ installing DG and a few boulders within the public right-of-way adjacent to the Property. The Agreement outlines the responsibilities of the City and the Owner for the improvements and necessary easements to complete the work. It establishes terms for right of entry, temporary construction easement, City improvement work, access and security during City construction work, Owner obligations to prepare for the improvement work, and Owner maintenance obligations. This work is being performed due to project construction impacts, and because the project frontage adjacent to the Giannini property is currently not protected from noise generated as a result of the roadway widening. Replacement of the existing chain link and barbed wire fence with the block wall, would serve as a noise mitigation measure necessitated by the road widening. ALTERNATIVES Staff does not recommend an alternative. Prepared by: Julie Mignogna, Management Analyst Approved by: Bryan McKinney, P.E., City Engineer Attachments: 1. Agreement 2. Vicinity Maps 398 698/015610-0002 12641581.3 a05/29/19 RECORDED REQUESTED BY AND WHEN RECORDED, RETURN TO: City of La Quinta 78-395 Calle Tampico La Quinta, CA 92253 Attn: City Clerk (SPACE ABOVE LINE FOR RECORDER’S USE ONLY) EXEMPT RECORDING REQUESTED PER GOV. CODE § 27383 RIGHT OF ENTRY, TEMPORARY CONSTRUCTION EASEMENT, IMPROVEMENTS AND MAINTENANCE AGREEMENT THIS RIGHT OF ENTRY, TEMPORARY CONSTRUCTION EASEMENT, IMPROVEMENTS AND MAINTENANCE AGREEMENT (the “Agreement”) is made and entered into this___ day of _______________, 20___, by and between Tuttle LLC, a California limited liability company (hereinafter referred to as “Property Owner”), and the City of La Quinta, California, a California municipal corporation and charter city (hereinafter referred to as “City”). RECITALS: A. Property Owner is the owner of that certain real property at 51555 Madison Street, located in the City and more particularly described in Exhibit A attached hereto and incorporated herein by this reference (the “Property”). B. A portion of the Property is adjacent to a right of way and improvement project along and around Madison Street located in the vicinity of the Property (the “Project”), to be overseen and completed (or caused to be completed) by the City and neighboring City of Indio (“Indio”). C. The purpose of this Agreement is to outline and memorialize various actions that the City and Property Owner agree to undertake in connection with the Project and its impact on the Property. NOW , THEREFORE, it is agreed by and between the parties hereto as follows: 1.Right of Entry. Subject to the terms of this Agreement, Prope rty Owner hereby grants to City, Indio, and their respective agents, employees and contractors the temporary right to enter onto the Property, and temporary construction easement on the Property, for the purposes set forth in this Agreement, and no other purpose. 2.Term of Agreement for Right of Entry and Temporary Construction Easement. The term of the right of entry and temporary construction easement shall commence on the recording of this Agreement and shall be continuously in effect for the ATTACHMENT 1 399 698/015610-0002 12641581.3 a05/29/19 -2- duration necessary to complete the improvement work by the City (or caused to be completed by the City) as set forth in Paragraphs 3, 4 and 5 of this Agreement (the “City Improvement Work”). Upon completion of the City Improvement Work, City, upon the written request received by Property Owner, shall memorialize the date of the completion of the City Improvement Work, and the City, upon the written request received by Property Owner, shall record or cause to be recorded a release from right of entry and temporary construction easement granted to the City under this Agreement. 3.City Improvement Work – Generally. The City agrees to undertake, or to facilitate and cause to be undertaken, certain improvements in connection with the Project that include the removal of the existing chain-link metal fence and gates that run along the entire boundary between the Property and the public right -of-way, and the replacement of such fence with a 6-ft. high block wall. At the northerly and southerly ends of the block wall the City will extend the block wall westerly so that it connects up to the existing north-south boundary walls of the Property and the adjacent properties to the north and south of the Property. The block wall will be made of blocks that are light beige in color (which color shall be reasonably approved by Property Owner) and shall include a cap on top of the wall. The block wall will include two (2) wrought iron gates. The northerly of the two gates will be located at and replace the existing chain link gate located on the Property line. The southerly or “main entrance” gate will be located at and replace the existing “main entrance” chain link gate that is located on the Property westerly of the Property line. The City will install 6-ft high block walls (“wing walls”) on both sides of the main entrance (commencing approximately 24 feet apart at the Property line) and extending from the Property line to the location of the main entrance gate. The main entrance gate will be 20 feet in width and replace the existing chain link fence of approximately the same size. The northerly gate will be 24 feet in width in order to comply with emergency vehicle access requirements. The approved designs of the two gates are attached hereto as Exhibit B. The gate at the main entrance to the Property will be motorized by hooking up the gate with the existing electric motors and arms owned by Property Owner and currently located at the main entrance gate. The western face of the block wall (except for the wing walls) will be located along the boundary line between the Property and the adjacent public right of way. The block walls will have standard columns on both sides of the northerly gate. At the main entrance, standard columns will be located both at the Property line on each side of the driveway entrance at the intersection of the block walls on the Property line and the wing walls and also at the end of the wing walls at the location of the main entrance gate. The City will also install, or cause to be installed, concrete driveways from the street to the faces of the northerly and main entrance gates. The City will install Property Owner’s mailbox (to be provided by Property Owner) at a location directly west of and next to the column at the intersection of the Property line and the southerly wing wall. The City will, if required as a result of its work, re-connect the electrical wiring to the gate motors and the key pad. Further, the City will repair any damage to existing electrical wiring or irrigation lines on the Property caused by any of the City Improvement Work and shall cap any irrigation lines that are no longer required and tie off and/or 400 698/015610-0002 12641581.3 a05/29/19 -3- relocate any existing electrical wiring, as appropriate. The City will also install, or cause to be installed, a 28 foot wrought iron fence in a portion of the block wall commencing 8 feet south of the northern most point of the Pr operty line and will install a 24 foot driveway approach to be located in the center of the wrought iron fence section. The City also agrees to install, or cause to be installed, decomposed gravel that is brown in color (which color shall be reasonably approved by Property Owner) and boulders within the public right-of-way adjacent to the Property. The boulders shall be spaced so as to keep cars from parking within the public right of way. All of the foregoing improvements will be installed concurrently with or immediately following the installation of the other works of improvement that are part of the Project that are located adjacent to the Property. Property Owner shall be provided with as much prior notice as practicable (but in all events at least 10 days’ notice) before commencing the above described work. Property Owner shall receive copies of the amended and updated improvement plans for the foregoing work as soon as such plans are completed, but in all events prior to the receipt by Property Owner of the ten-day notice described in the preceding sentence. 4.Access & Security During City Construction Work. The City agrees to provide, or cause to be provided, that at all times during the construction of the Project , Property Owner and its invitees shall have access to the Property through at least one of the existing driveways and gates (or their replacements) located on the boundary line of the Property. Further, during removal and replacement of the existing fence and gates, the City shall install and maintain, or cause to be installed and maintained, a security barrier/fence to prevent unauthorized access to the Property from the Madison Street right-of-way. As soon as practicable but in all events at least 10 days prior to commencement of the City Improvement Work, Property Owner will be provided with copies of the plans for the block wall, gates, driveways and landscaping in order to receive Property Owner’s comments and suggestions, which the City will incorporate, or cause to be incorporated, into the plans if reasonably practicable. 5.Purpose for Right of Entry & Temporary Construction Easement; Property Owner Obligations for Preparing Property for City Improvement Work. Property Owner agrees under this Agreement to provide the City, Indio, and their respective agents, employees and contractors, with a right-of-entry and temporary construction easement at no cost to them allowing them to enter the Property for the purpose of (i) removing the existing chain link fence, gates, trees, bushes and shru bbery located along the Property line, and (ii) constructing the new block wall, columns, gates and driveways. In addition, in order to facilitate the construction of the new block wall, Property Owner shall, at Property Owner’s cost, remove the two (2) existing sheds and the shipping container which currently encroach upon the Property boundary line. This work will be done by the Property Owner at least 10 days prior to the commencement of any work relating to the removal of the existing chain link fence. Further, Property Owner will cooperate with the City, Indio, and their respective agents, employees and contractors, in connection with any third party applications required for the performance of the works of improvement identified in this Agreement. Gabriella Giannini (whose address and contact 401 698/015610-0002 12641581.3 a05/29/19 -4- information is 51555 Madison St., La Quinta, California, phone 760 -485-1466, email gabriellagiannini@gmail.com) shall be the designated Property Owner representative for all contacts from the City required to implement the right-of-way and temporary construction easements under this Agreement. 6.Property Owner Maintenance Obligation. Property Owner agrees that once the block wall, gates, driveway and landscaping improvements have been installed pursuant to this Agreement, Property Owner will maintain the block wall, gates, driveway and landscaping improvements at Property Owner’s own cost. 7.Disputes. In the event of any dispute arising under this Agreement, the injured party shall notify the injuring party of its contentions in writing by letter. The injured party shall continue performing its obligations incurred herein so long as the injuring party commences to cure such injuring action within twenty (20) business days of delivery of such notice; provided, however, that if the injuring action is a type that cannot reasonably be cured within twenty (20) business days, it will be deemed cured if the injuring party commences to cure the injury within such period and proceeds diligently and continuously thereafter to complete the cure of such injury. For purposes of this Agreement, “business days” means any and all days the La Quinta City Hall is open for business to the public. 8.Attorney’s Fees. If either party commences an action against the other arising out of or in connection with this Agreement, the prevailing party shall be entitled to recover reasonable attorney’s fees and costs from the losing party. 9.Indemnification. Property Owner agrees to indemnify, defend and hold City, Indio, and their respective officers, employees, agents, representatives, and assigns (“City Indemnitees”) harmless from and against any losses, claims, demands, actions, or causes of action (“Claims”), of any nature whatsoever, including costs of suit and reasonable attorney’s fees, in connection with Property Owner’s obligations under this Agreement. In the event the City Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding in any way involving such Claims, Property Owner shall provide a defense to the City Indemnitees, or at the City’s option, reimburse the City Indemnitees their costs of defense, including reasonable attorneys’ fees, incurred in defense of such claim. In addition Property Owner shall be obligated to promptly pay any final judgment or portion thereof rendered against the City Indemnitees. City agrees to indemnify, defend and hold Property Owner and its respective officers, employees, agents, representatives, and assigns (“Owner Indemnitees”) harmless from and against any losses, claims, demands, actions, or causes of action (“Claims”), of any nature whatsoever, including costs of suit and reasonable attorney’s fees, in connection with City’s obligations under this Agreement. In the event the Owner Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding in any way involving such Claims, City shall provide a defense to the Owner Indemnitees, or at the Property Owner’s option, reimburse the Owner Indemnitees their costs of defense, including reasonable attorneys ’ 402 698/015610-0002 12641581.3 a05/29/19 -5- fees, incurred in defense of such claim. In addition City shall be obligated to promptly pay any final judgment or portion thereof rendered against the Owner Indemnitees. 10.Officers and Employees; No officer or employee of Property Owner, City, Indio, or Members and Managers shall be personally liable for any default or breach of the terms of this Agreement. 11.Term of Agreement for Maintenance Obligations. The maintenance obligations under this Agreement shall remain in full force and effect in perpetuity unless and until one or both parties hereto give notice of termination, which may be terminated only if the party responsible for ongoing maintenance obligations is released in writing from those obligations by the other party. 12.Runs with the Land. This Agreement shall run with the Property and shall bind successors in interest to Property Owner. The property benefited by this Agreement is the right of way/Madison Street, and the property burdened by this Agreement is the Property. 13.Notice. Any notice, demand, request, consent, approval, or communication either party desires or is required to give to the other party or any person shall be in writing and either served personally or sent by prepaid, first-class mail to the address set forth below. 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 78-395 Calle Tampico La Quinta, CA 92253 (760) 777-7075 Attn: Bryan McKinney City Engineer With City To: Rutan & Tucker, LLP 611 Anton Blvd., Suite 1400 Costa Mesa, CA 92626 (714) 641-5100 Attn: William H. Ihrke, Esq. To Owner: Tuttle, LLC 51555 Madison Street La Quinta, CA 92253 (760) 485-1466 Attn: Gabriella Giannini 14.Assignment of Agreement. The Property Owner may not assign, sublet, hypothecate, encumber, or transfer (whether voluntarily or involuntarily) its obligations hereunder to any party without the prior written consent of the City, 403 698/015610-0002 12641581.3 a05/29/19 -6- which consent may not be unreasonably withheld or delayed. City may freely assign its obligations to Property Owner under this Agreement to Indio or any contractor(s) or subcontractor(s) retained by City or Indio to complete City’s obligations hereunder. 15.General Provisions. A.The terms, conditions, covenants, and agreements set forth herein shall apply to and bind the heirs, executors, administrators, assigns, and successors of the parties hereto. B. Indio is an expressed third-party beneficiary of this Agreement. As such, Indio shall have the right but not the obligation to enforce any terms and conditions that are for the benefit of Indio. C. Neither party to this Agreement relies upon any warranty or representation not contained in this Agreement. D. This Agreement shall be governed by and interpreted with respect to the laws of the State of California without regard to conflict of law principles. Any dispute between the parties arising under this Agreement shall be adjudicated in a court of competent jurisdiction, or (if agreed by the parties, binding arbitration) in Riverside County, California, whereby the parties expressly provide venue is proper in said county. E. Any failure or delay by either party in asserting any of its rights and remedies as to any default shall not operate as a waiver of any default or of any rights or remedies provided for herein. F. This Agreement may be amended at any time by the mutual consent of the parties by an instrument in writing signed by both parties. G. In the event that any provision or provisions of this Agreement are held unenforceable, all provisions not so held shall remain in full force and effect. H. The person 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 are formally bound to the provisions of this Agreement. I. This Agreement may be executed in counterparts, which when taken together, shall constitute one fully executed document. 404 698/015610-0002 12641581.3 a05/29/19 -7- IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first written above. Tuttle, LLC a California limited liability company By: ________________________________ _____________________ Date Title: ________________________________ By: ________________________________ _____________________ Date Title: ________________________________ City of La Quinta, a California municipal corporation and charter city By: ________________________________ _____________________ Frank J. Spevacek, City Manager Date Attest: ________________________________ Monika Radeva, City Clerk Approved as to Form: ___________________________ William H. Ihrke, City Attorney 405 406 ATTACHMENT 2 Sources: County of Riverside GIS, 2012; Eagle Aerial, April 2010. 0 500 1,000 1,500 Feet Location Map Madison Street Improvement Project from Avenue 50 to Avenue Overall Project Vicinity Map 407 408 Property Location - Vicinity Map 409 410 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: FISCAL YEAR 2019/20 PRELIMINARY PROPOSED BUDGET RECOMMENDATION As this is a study session item, no action is recommended. EXECUTIVE SUMMARY •The May 7 budget study session focused on the General Fund and Internal Service Funds. •The May 21 budget study session focused on an update of the General Fund and a first review of Special Revenue Funds, Capital Funds, and Enterprise Funds of the City. •This study session provides an update to the General Fund and presents unfunded requests for Council consideration. There are no updates for other Funds. •Final budget adoption is scheduled for June 18, 2019. FISCAL IMPACT The updated General Fund budget projects a surplus of $428,496, a $149,800 decrease from the May 21 study session. BACKGROUND/ANALYSIS The goal of the June 4 study session is to incorporate all final recommendations for funding. Based on this study session, staff will prepare and present a comprehensive budget for all Funds on June 18 for adoption. Attachment 1 provides a narrative for General Fund updates. Line item details for revenues and expenses are in documents presented during the first and second study sessions on May 7 and May 21. ALTERNATIVES The City Council may wish to request further information regarding specific items and then provide direction regarding the next steps. Per State law, the City must adopt a budget by June 30. STUDY SESSION ITEM NO. 1 411 Prepared by: Karla Romero, Finance Director Approved by: Frank J. Spevacek, City Manager Attachment: 1. Fiscal Year 2019/20 Proposed Budget Overview 412 June 4, 2019 2019/20 BUDGET STUDY SESSION OVERVIEW The third budget study session provides an update for the General Fund based on the first two budget study sessions and incorporates an unfunded request for consideration. There are no adjustments to the other Funds. The budget is scheduled for adoption on June 18. GENERAL FUND UPDATE Since the last budget study session, the following adjustments have been incorporated into the General Fund budget resulting in an expense increase of $149,800 as follows: •Funding 50% of the cost of a School Resource Officer (going from one to two Officers) for an anticipated increase of $91,000; Desert Sands Unified School District will fund the other 50%. •Funding the purchase of a Citizens on Patrol golf cart at $7,500. •The employee medical insurance expense in the Human Resources budget was corrected to add the required budget of $51,300. UNFUNDED PROPOSAL FOR CONSIDERATION After these adjustments the amended budget surplus is anticipated to be $428,496 which is available for unfunded considerations. Currently, Staff has one unfunded request of $90,300 to add an additional Code Enforcement Officer II. The City has experienced an increased number of code related requests during the weekends and early mornings. If approved, the Code Officer would be available to monitor trails, short- term vacation rentals, and provide support for property maintenance. The summary to the right provides all adjustments since the first budget study session, including the unfunded request for consideration. Revenues 57,345,620$ Less Operating/CIP Expenses (54,805,040) Preliminary Budget Surplus 2,540,580 Less Measure G Reserves (1,916,384) PRELIMINARY BUDGET SURPLUS 624,196$ Fire Reserve Fund Revenue for CIP (501,600) Transfers Out for Fire Station CIP 500,000 Landscape District Contract 54,000 Fritz Burns Pool Operations 44,000 SilverRock Golf Course Operations 35,200 Fire Station Landscape Contract 1,600 Gas Tax Fund Operations (40,000) State Unemployment Insurance (25,000) Parks Landscape Contract (22,300) Total Adjustments 45,900$ AMENDED BUDGET SURPLUS 578,296$ School Resource Officer 91,000 Citizens on Patrol - Golf Cart, Training 7,500 Employee Medical Insurance, HR Budget 51,300 149,800$ Available for Considerations 428,496$ Code Enforcement Officer 90,300 AMENDED BUDGET SURPLUS 338,196$ GENERAL FUND AS OF 5/7/19 GENERAL FUND AS OF 5/21/19 GENERAL FUND AS OF 6/4/19 For Consideration ATTACHMENT 1 413 414 City of La Quinta CITY COUNCIL MEETING: June 4, 2019 STAFF REPORT AGENDA TITLE: DISCUSS PARKING OPTIONS ON CALLE TECATE RECOMMENDATION Discuss and provide direction on parking options on Calle Tecate. EXECUTIVE SUMMARY •At the March 5, 2019 Council meeting, staff presented the Calle Tecate parking survey results; Council directed staff to lower the speed limit from 35-30 miles per hour (MPH) and conduct further research on parking options. •Staff has researched property ownership and approvals needed to construct a parking lot on the south side of Calle Tecate on City -owned land. •Staff is seeking Council direction on how to proceed. FISCAL IMPACT - None BACKGROUND/ANALYSIS In March 2019, staff presented the parking survey results and the Traffic Calming Study conducted for Calle Tecate. Based upon this information, Council instructed staff to lower the speed limit from 35 to 30 MPH and conduct further research on parking alternatives. Staff investigated the possibility of eliminating on-street parking and creating a parking lot on the west end of Calle Tecate, on the south side of the street (Attachment 1); the City owns the subject land. Staff reached out to Coachella Valley Association of Governments (CVAG) and confirmed that the property does not fall within the habitat protection zone; therefore, the property could be considered for a parking lot. Staff worked with the Traffic Engineer to locate a suitable entry -point for the parking lot. The ideal location would include a curb-cut opposite Avenida Juarez, which would allow for a clear line of site for those vehicles entering and exiting the parking facility. The lot would be able to accommodate up to 40 vehicles, which is approximately how many spaces would be removed from the on-street parking on the north side of the street. Additionally, this development would require the following: STUDY SESSION ITEM NO. 2 415 • Site Development Permit (Planning Commission approval); • Environmental findings (completed at staff level); • Grading permit; and • Installation of 2 ADA compliant parking spaces. Staff estimates that it will cost approximately $50,000 for the installation of the necessary curb cuts, procurement and installation of gravel to infill the lot, and construction of 2 ADA compliant parking spaces. Should the Council opt for another course of action, the following was previously presented for consideration: • Eliminate parking on the north side and replace it with a bike lane; •Move the parking on the north side of Calle Tecate to the s outh side of the street and move the bike lane from the south side of the street to the north side of the street; • All way stop control - install two (2) four-way stop signs (at Avenida Diaz and Avenida Ramirez) to break up the long uninterrupted section of Calle Tecate into three shorter segments; or •Leave the parking as-is and wait to see if lowering the speed limit effectuated change. Additionally, staff has received input from several affected residents requesting that the Council consider the following: •Eliminate parking on the north side and replace it with a bike lane, and provide parking permits for those residents that have property facing Calle Tecate, the permits would allow for their service providers (gardeners, housekeepers, pool maintenance companies, etc,.) to have access to street parking for a 30-60 minute duration. Should Council elect to move forward with the option above, permit parking would need to be made available for various areas around the City, and a cost analysis for enforcement would be needed. Staff seeks Councils direction for parking remedies on Calle Tecate. Prepared by: Angela Ferreira, Management Analyst Approved by: Frank J. Spevacek, City Manager Attachment: 1. Map of a proposed parking lot 416 ATTACHMENT 1 ATTACHMENT 1 418 City of La Quinta CITY COUNCIL MEETING DEPARTMENT REPORT TO: Madam Mayor and Members of the City Council FROM: Zander Johnston, Sr. Emergency Management Coordinator DATE: June 4, 2019 SUBJECT: EMERGENCY AND COMMUNITY NOTIFICATION SYSTEM On May 20, 2019, the City initiated the integration and setup of Nixle 360. This is an emergency and emergency notification system to help provide residents, visitors, City Staff and La Quinta Police with up-to-date information. Notifications will include information about road closures, crime alerts, utility disruptions, school closures, special events, weather alerts, emergencies and more. The Nixle 360 also offers message delivery options which include: text messages, phone calls, emails, social media and web alerts. This system replaces Swift Reach 911. Staff will be rolling out Nixle 360 over the next 3 months with additional marketing when seasonal residents return. Features include:(Attachment 1) Preloaded landline phone data Easy Opt-In - Text 92253, City’s zip code, or a keyword to 888-777 Multiple message types are available (Attachment 2) o Alert (critical information – potential life safety) o Advisory (information to heighten resident awareness) o Community (local news and events) Next Steps May Nixle 360 initial activation completed Upload landline phones (14,020) and previous opt-in users (795) June Import employee contact information Configure National Weather Service re-broadcasts July Send an introductory message to residents and staff Promote system through the Gem, City website and social media August Finalize Integrated Public Alert & Warning System (IPAWS) Access System will be fully operational The system was initially purchased with Emergency Management Program Grant funds and will be maintained with grant funds in the future. DEPARTMENTAL REPORT ITEM NO. 4-A 419 420 COMMUNITY ENGAGEMENT + EMERGENCY NOTIFICATION TOGETHER +Emergency Voice Messages +Unlimited Text, Email & Web Messaging +Facebook, Twitter, and YouTube Posting +IPAWS Publication (FEMA Authorization required) +Publication to Google Alerts +Anonymous Tipping for residents +National Weather Service (NWS) severe weather alerts +GIS targeting of households and neighborhoods +Robust and customizable reporting and analytics +Automatic retry for unconnected calls +Mobile Message Publishing Nixle 360 delivers maximum community impact by enabling public safety agencies to connect and engage their residents through all communication channels including voice. Features include: AN EVERBRIDGE SOLUTION QUICK AND RELIABLE communication techniques to enhance emergency preparedness planning. MULTI-MODAL ENGAGEMENT with residents and key personnel using voice, email, SMS texting and social media. COMPREHENSIVE SOLUTION is completely web-based, combining reverse 911 directories with a database of geographically-located phone numbers that don’t require citizen opt-in for emergency usage. Call Us Today 877-649-5362360 Enroll www.nixle.com/enroll Call 877.649.5362 Learn www.nixle.com - CHARLIE BECK LOS ANGELES POLICE CHIEF SIMPLIFY, AUTOMATE AND ACCELERATE COMMUNICATIONS FOR: +Emergency resident notifications +Coordination across first responders +Shelter-in-place and evacuations +Publication to IPAWS +Posting to Facebook, Twitter, Youtube, and Google Public Alerts TO ENGAGE THE PUBLIC WHEREVER THEY ARE WHEN IT MATTERS MOST - THAT’S WHAT NIXLE DOES FOR US. ATTACHMENT 1 421 422 “Nixle makes it easy to seNd out a message oN the go. With Nixle, you are alWays coNNected With your commuNity.” - CHIEF JOHN SORRENTINO SEA BRIGHT POLICE DEPARTMENT NJ Join the 8,000 Public Safety Agencies that Use Nixle Enroll www.nixle.com/enroll Call 877.649.5362 Learn www.nixle.com Nixle is the first and only commercial public safety service to partner with Google, increasing your reach by millions. Contact us today to learn more about how this exciting partnership benefits you or visit www.nixle.com/google oNe PlatForm, multiPle commuNicatioN chaNNels. GOOGLE + NIXLE + YOU 423 424 Nixle Message Types Message Publishing Best Practices Selecting the correct Message Type is extremely important when creating a new publication. See below for suggestions on how to choose the correct Message Type for your next Nixle message. Definition: Advisory messages are intended to communicate important, need-to-know information. Advisories should be considered less time-critical than Alerts and require a heightened sense of awareness from your residents. Resident Notification Settings: By default, Advisory messages reach your residents by SMS and Email; however, residents have the ability to change their settings at www.nixle.com. Sending non-important Advisories, or overusing the Advisory message type, increases the chance that residents will opt out of SMS notifications from your agency. Advisory Examples: Road Closure/Detour Wanted Suspect Police Activity Severe Weather Watch School Closing Traffic Congestion Wildfire Definition: Alert messages should be reserved for critically important information where loss of life and/or property is potentially imminent. Alert messages are time-sensitive and require your residents to take immediate action. Additionally, Alert messages may be republished on Google Public Alerts based on the message content and the chosen CAP fields. Resident Notification Settings: By default, Alert messages reach your residents by SMS and Email; however, residents have the ability to change their settings on www.nixle.com. Sending non-critical Alerts, or overusing the Alert message type, increases the chance that residents will opt out of SMS and/or Email notifications from your agency. Alert Examples: Severe Weather Warning Missing Child Gas Leak Tsunami Warning Contagious Disease Outbreak Definition: Community messages should be used to convey everday local news, happenings, and developments. Community messages should not contain any time-critical information. Resident Notification Settings: By default, Community messages will reach your residents by Email only; however, residents can adjust their settings at www.nixle.com and opt in to receive Community messages by SMS as well. Community Examples: Police Blotter Event Reminder Sobriety Checkpoint Notice Town Hall Meeting Crime Prevention Tips Community Updates www.nixle.com securedesk@nixle.com ATTACHMENT 2 425 426 City of La Quinta CITY COUNCIL MEETING DEPARTMENT REPORT TO: Madam Mayor and Members of the City Council FROM: Martha Mendez, Public Safety Manager Chris Escobedo, Community Resources Director DATE: June 4, 2019 SUBJECT: MATRIX REGIONAL STUDY To continue to secure outstanding police services and find efficiencies while maintaining the safety of the community, City of La Quinta, Indian Wells, Palm Desert and Rancho Mirage contracted with Matrix Consulting Group (Matrix) to conduct a regional analysis to understand: Individual City needs based on: o Number of community generated calls for service (CFS) o Police workload o Crime statistics Evaluate possible service and cost saving options for all four cities. The City Managers and staff will be meeting on June 5th to review the initial findings from the report and recommend next steps for this initiative. Among the findings are: Opportunities to gain efficiencies and savings by combining patrol services. If all four cities decide to develop a regional contract, there is potential to capture savings by: o Adjusting service levels o Combining service areas An initial meeting to review methodology and results with Matrix was held on May 24, 2019. This meeting was led by Byron Pipkin, who was the lead researcher and provided a general overview of the Study. Additional meetings will be scheduled to continue to review findings. Staff will provide updates to Council as recommendations are formulated. DEPARTMENTAL REPORT ITEM NO. 4-C 427 428 City of La Quinta CITY COUNCIL MEETING DEPARTMENT REPORT TO: Madam Mayor and Members of the City Council FROM: Carlos Flores, Senior Planner DATE: June 4, 2019 SUBJECT: MOTORIZED SCOOTERS UPDATE On February 19, 2019, the City Council conducted a study session on motorized scooter operations. Council directed staff to not take immediate action, utilize existing codes for any violations, and gauge scooter demand during festival season. Motorized scooters did not make an appearance during festival season within or nearby the City. The City’s Code Compliance reported one abandoned Bird motorized scooter. After the February 19 Study Session, Staff received the following feedback: •The Cove Neighborhood Association, residents, and business owners expressed concerns regarding safety, aesthetics, and feasibility of motorized scooter operations in La Quinta. •The California Joint Powers Insurance Authority (JPIA) detailed the risks and challenges of electric scooters in their March newsletter; relative to liability, accessibility, and property damage. (Attachment 1) •The Coachella Valley Association of Governments (CVAG) provided suggested guidelines for motorized scooters (Attachment 2). CVAG does not recommend a regional program but rather cities could adopt their own individual policies. Staff will continue to monitor motorized scooter regulations and responses of other municipalities, community input and monitor any demand in La Quinta. Attachments: 1.California JPIA article 2.CVAG Scooter Guidelines DEPARTMENTAL REPORT ITEM NO. D5 429 430 ATTACHMENT 1 431 432 ITEM 8i Staff Report Subject: Suggested Guidelines for Electric Scooter Sharing Contact: Shawn Isaac, Program Manager (sisaac@cvag.org) Recommendation: Information only. Background: Electric scooter, or e-scooter, sharing has brought a new mode of transportation to many cities worldwide. The first scooter-share company, Bird, started in September 2017 by a former Uber and Lyft executive. Soon after, Bird scooters started showing up in major cities across the country. Competitors followed, such as Lime, Spin and Jump. Some companies also offer other forms of last-mile transportation such as bike share. These companies aimed to fill the gap in short-distance transportation for riders to reach destinations such as home, work, recreation, dining or shopping. Companies promote them as a convenient, accessible mobility option for everyday users, low-income communities, tourists, and recreational users. Riders use a smart phone app and typically pay a per-mile fee. Riders are generally warned not to ride on sidewalks or park in the right-of-way. Many companies provide users with city-specific data on preferred parking locations. At night, e-scooter companies use short-term contractors to pick up the scooters, charge them and redistribute them to target areas the next morning. Under current California law, e-scooters must be driven by licensed drivers who are at least 18 years old. They are required to be ridden on streets – in bike lanes or close to the curb – but not on sidewalks. California cities have had mixed experiences with them, particularly rogue launches where they arrive unannounced without obtaining proper permits and licenses. Cities have also expressed concerns with the dockless parking, as they can be left wherever users have reached their destination. In some instances, scooters have blocked ADA access areas, driveways, crosswalks, sidewalks and other important access points. Others have raised public safety questions, saying the potential use of scooters on sidewalks can jeopardize the safety of pedestrians. On February 11th, staff presented a report to the Transportation Committee about scooter-share programs and the regional landscape. It was discussed that cities should make their own individual determinations, as opposed to creating a regional program. Additionally, it was determined that staff could source general guidelines to share with ATTACHMENT 2 433 the Committee at the next meeting for cities to consider utilizing if they decide to allow scooter-share programs in their respective cities. The following information is provided as a guide, based on research from other jurisdictions and meetings with scooter-share companies such as Razor and Spin: Suggested Guidelines: • Information Sharing o Operator to provide data-sharing plan while not violating applicable State of California data privacy regulations such as personally identifiable information. o Operator to provide local permitting agency with quarterly usage reports, including origin/destination locations, accidents/crashes categorized by type, maintenance logs including inoperable, reported, or broken vehicles. • Prohibited Areas o Create geo-fenced areas where vehicles cannot go by having the vehicles slow down and shut off. • Parking Areas o Operators to incorporate local permitting agency input in their phone application (app) on the desired and prohibited areas for parking. • Safety & Community Outreach o Operator to provide a plan on community outreach including educating users on best safety practices, applicable rules and laws, hosting workshops, and providing free helmets. o Operator to provide a support hotline and/or other means of communications to field resident questions and issues. o Operator to repair inoperable vehicles before returning it for usage. o Operator to adhere to all applicable safety laws such as providing lights and reflectors for night time operation and following safety standards established by the Consumer Product Safety Commission (CPSC) • Revenue sharing o Establish a fee structure with operator such as a flat fee or per vehicle/trip fee. • Scooter Deployment o Place a vehicle cap on initial deployment based on population and/or anticipated usage such as 200-500 vehicles to start. Thereafter, utilize a dynamic fleet cap approach that allows more vehicles based on usage and in consideration of impact on City resources. • Battery Charging, Rebalancing, & Maintenance o Vehicles to be charged and rebalanc ed/redistributed nightly or on an as needed basis. o Any vehicles idling in the same spot for more than 168 consecutive hours (1 week) can be impounded by the City at the expense of the operator. o Operator to provide a maintenance plan on they will provide a consistently operable, safe fleet that meets applicable safety laws and requirements. 434 • Hours of Operation o Limit hours of operation to prevent night-time riding to allow for charging and rebalancing, and also to mitigate potential safety issues such as DUIs and poor visibility. Possible hours could be 6:00am – 10:00pm. • Agency Permits & Costs o Operator to pay an annual operation fee. o Operator to pay an annual operation fee per vehicle. o Operator to provide liability coverage as required by the local permitting agency and indemnify the local agency. o Operator to be responsible for any costs incurred by the local jurisdiction due to the vehicles, including but not limited to, having to impound vehicles. • Accessibility o Operator to provide a multilingual phone application (app). o Operator to provide a non-phone option to access the service and a non- credit/debit card option to pay for the service. o Operator to provide plan on increasing accessibility to disadvantaged communities such as equity plans, payment plans, or targeted usage education. Fiscal Analysis: No impact. 435 436 POWER POINTS CITY COUNCIL MEETING JUNE 04, 2019 City Council Meeting ‐ June 4, 2019 1 City Council Meeting June 4, 2019 City Council Meeting June 4, 2019 B1 – 3 rd Round Community Services Grant Requests 2018/19 City Council Meeting ‐ June 4, 2019 2 Community Services Grants •$22,500 remaining •Recommend $22,500 for all 10 non-profits Applicant Requested Committee Recommendation About Families $5,000 $2,750 American Red Cross $5,000 $5,000 AYSO La Quinta $5,000 $2,000 Certified Farmers Markets of the Coachella Valley $4,200 $1,000 Chuck Jones Center for Creativity* $500 $500 *Starter Grant Recipient City Council Meeting ‐ June 4, 2019 3 Applicant Requested Committee Recommendation Coachella Valley Horse Rescue $5,000 $2,500 Galilee Center Inc $5,000 $1,000 La Quinta High School Blackhawk Boosters Aquatics $5,000 $5,000 Swing Against Cancer Golf Tournament Sponsorship* $2,000 $500 Transgender Community Coalition $5,000 $2,250 *Starter Grant Recipient City Council Meeting ‐ June 4, 2019 4 City Council Meeting June 4, 2019 B2 – Approve Contract with Bank of the West Why Evaluate Banking Services? Last RFP  2004 Pricing  Product  Evaluation Internal  Assessment City Council Meeting ‐ June 4, 2019 5 Responding Banks  •Bank of America •Bank of the West ‐ Recommended •East West Bank •Opus Bank  •US Bank  •Wells Fargo Summary of the  Selection Process •Issued RFP twice •Received 6 responses •Interviewed all 6 banks •Second interview for top 2 banks •Conducted extra research •Negotiated contract terms •Requesting approval today City Council Meeting ‐ June 4, 2019 6 Summary  of Terms •Fixed fees for 5 years •Fixed earnings credit rate  for 5 years •3 months of fee waivers •New account supplies are  waived •Contract can be renewed  for up to 5 additional one  year terms Discussion & Questions Thank you to the selection  committee & banks.  ‐ Chairman Mills ‐ Commissioner Batavick ‐ Rosemary Hallick ‐ Krystena Blondell ‐Karla Romero City Council Meeting ‐ June 4, 2019 7 City Council Meeting June 4, 2019 B3 – 2018/19 Fourth Quarter Budget Report City Council Meeting ‐ June 4, 2019 8 Summary of Recommendations •Revenue adjustments ‐ $120,800 –License & permits, false alarms, reimbursements •Expenditures adjustments ‐ $190,000 –Interfund transfer of $150,000 –Fire Expenses $40,000 •Three Interfund Transfers $2,392,000 •Recognize sale of Highway 111 property Interfund Transfers General  Fund  $2,392,000 Economic  Development  $1,592,000 Public Safety  $650,000 Facility &  Fleet  $150,000 Savings Reallocated Savings Reallocated New Expense City Council Meeting ‐ June 4, 2019 9 Discussion  &  Questions City Council Meeting ‐ June 4, 2019 10 City Council Meeting June 4, 2019 S1 – 2019/20 Budget Study Session Today’s Discussion •Update on General Fund •Unfunded requests •Receive final direction to  complete the budget  process City Council Meeting ‐ June 4, 2019 11 General  Fund  Update AMENDED BUDGET SURPLUS 578,296$ School Resource Officer 91,000 Citizens on Patrol - Golf Cart, Training 7,500 Employee Medical Insurance, HR Budget 51,300 149,800$ Available for Considerations 428,496$ Code Enforcement Officer 90,300 AMENDED BUDGET SURPLUS 338,196$ GENERAL FUND AS OF 5/21/19 GENERAL FUND AS OF 6/4/19 For Consideration Discussion and Questions Final Budget on 6/18/19 City Council Meeting ‐ June 4, 2019 12 City Council Meeting June 4, 2019 S2 – Calle Tecate Parking Discussion City Council Meeting ‐ June 4, 2019 13 Background •March 2019 - Staff moved forward with lowering the speed limit – 35 MPH to 30 MPH •Council requested additional parking options Parking Lot •City owned land •Not located in habitat  protection zone •Accommodates up‐to 40  vehicles •Approx. $50k to improve City Council Meeting ‐ June 4, 2019 14 Parking Lot‐ South Facing View  Previous Options •Eliminate parking on north  side and replace with a bike  lane •Move parking from north  side to south side and move  bike lane from south side to  the north side of the street •All way stop control – 2 four  way stops (Avenida Diaz and  Avenida Ramirez) •Leave parking “as‐is” City Council Meeting ‐ June 4, 2019 15 Additional Consideration •Possible 30‐60 minute permit parking on  north side for service providers HAND OUTS CITY COUNCIL MEETING JUNE 4, 2019 CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY BRIAN DALY OF AMERICAN RED CROSS BUSINESS ITEM NO. 1 - THIRD ROUND COMMUNITY SERVICES GRANTS FOR 2018/19 CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY BRIAN DALY OF AMERICAN RED CROSS BUSINESS ITEM NO. 1 - THIRD ROUND COMMUNITY SERVICES GRANTS FOR 2018/19 CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY BRIAN DALY OF AMERICAN RED CROSS BUSINESS ITEM NO. 1 - THIRD ROUND COMMUNITY SERVICES GRANTS FOR 2018/19 CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY BRIAN DALY OF AMERICAN RED CROSS BUSINESS ITEM NO. 1 - THIRD ROUND COMMUNITY SERVICES GRANTS FOR 2018/19 CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY BRIAN DALY OF AMERICAN RED CROSS BUSINESS ITEM NO. 1 - THIRD ROUND COMMUNITY SERVICES GRANTS FOR 2018/19 CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY RESIDENT ED BERNAULT ITEMS NOT ON THE AGENDA - WALL AT CALLE TAMPICO AND PARK AVENUE CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY RESIDENT ED BERNAULT ITEMS NOT ON THE AGENDA - WALL AT CALLE TAMPICO AND PARK AVENUE CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY RESIDENT ED BERNAULT ITEMS NOT ON THE AGENDA - WALL AT CALLE TAMPICO AND PARK AVENUE CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY RESIDENT ED BERNAULT ITEMS NOT ON THE AGENDA - WALL AT CALLE TAMPICO AND PARK AVENUE CITY COUNCIL MEETING - JUNE 4, 2019 - HANDOUT BY RESIDENT ED BERNAULT ITEMS NOT ON THE AGENDA - WALL AT CALLE TAMPICO AND PARK AVENUE