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2017-03-21 City Council Agenda PacketCalifornia Public Records Act ("PRA"): In compliance with the PRA, the documents pertaining to agenda items, including attachments, which are presented to the City Council in open session are available for public inspection. They may be inspected during regular business hours in the Office of the City Clerk at Vernon City Hall, 4305 Santa Fe Avenue; Vernon, California 90058, no appointment necessary, and on the City’s website at www.cityofvernon.org. Americans with Disabilities Act (“ADA”): In compliance with the ADA, if you need special assistance to participate in the meeting, please contact the Office of the City Clerk at (323) 583-8811. Notification of at least 48 hours prior to the meeting or time when services are needed will assist the City staff in assuring that reasonable arrangements can be made to provide accessibility to the meeting or service. Agenda City of Vernon Regular City Council Meeting Tuesday, March 21, 2017, 9:00 a.m. City Hall, Council Chamber 4305 Santa Fe Avenue Vernon, California William J. Davis, Mayor Yvette Woodruff-Perez, Mayor Pro-Tem Luz Martinez, Council Member Melissa Ybarra, Council Member Leticia Lopez, Council Member CALL TO ORDER & FLAG SALUTE CHANGES TO THE AGENDA PUBLIC COMMENT - At this time the public is encouraged to address the City Council on any matter that is within the subject matter jurisdiction of the City Council. The public will also be given a chance to comment on matters which are on the posted agenda during City Council deliberation on those specific matters. PRESENTATIONS 1. A Proclamation of the Mayor and the City Council of the City of Vernon declaring the week of March 20-26, 2017 as Multiple Sclerosis Awareness Week 2. Service Pin Awards for February 2017 Presented by: Michael Earl, Director of Human Resources NAME DEPARTMENT TITLE YEARS Jose M. Cervantes Public Works, Water and Development Services Senior Warehouse Worker 35 Regular City Council Meeting Agenda March 21, 2017 Page 2 of 7 3. Financial Results from the 2016 Annual Audit Presented by: William Fox, Director of Finance CONSENT CALENDAR - All matters listed on the Consent Calendar are to be approved with one motion. Items may be removed from the Consent Calendar by any member of the Council. Those items removed will be considered immediately after the Consent Calendar. Claims Against the City – Received and Filed 4. None Warrant Registers 5. Ratification of the following City Warrant Register to record the following voided checks: A. City Warrant Register No. 1456 to record voided Check No. 352339 in the amount of $214; and B. City Warrant Register No. 1462 to record voided Check No. 353216 in the amount of $214; and C. City Warrant Register No. 1463 to record voided Check No. 353344 in the amount of $100; and D. City Warrant Register No. 1467 to record voided Check No. 353876 in the amount of $278. 6. Approval of City Payroll Warrant Register No. 729, totaling $3,673,711.06, which covers the period of February 1 through February 28, 2017 and consists of the following: A. Ratification of direct deposits, checks and taxes totaling $2,585,551.59; and B. Checks and electronic fund transfers (EFT) totaling $1,088,159.47. 7. Approval of City Warrant Register No. 1468, totaling $1,444,527.45, which covers the period of February 28 through March 13, 2017, and consists of the following: A. Ratification of wire transfers totaling $743,294.47; and B. Ratification of the issuance of early checks totaling $547,708.64; and C. Authorization to issue pending checks totaling $126,524.34. 8. Approval of Light & Power Warrant Register No. 433, totaling $4,668,648.61, which covers the period of February 28 through March 13, 2017, and consists of the following: A. Ratification of wire transfers totaling $4,556,075.04; and Regular City Council Meeting Agenda March 21, 2017 Page 3 of 7 B. Ratification of the issuance of early checks totaling $106,909.88; and C. Authorization to issue pending checks totaling $5,663.69. 9. Approval of Gas Warrant Register No. 221, totaling $141,936.65, which covers the period of February 28 through March 13, 2017, and consists of the following: A. Ratification of wire transfers totaling $100,017.89; and B. Ratification of the issuance of early checks totaling $41,918.76. Fire Department 10. Activity Report for the period of February 16 through February 28, 2017 Health and Environmental Control Department 11. February 2017 Monthly Report Public Works, Water and Development Services Department 12. Building Department Report for the Month of February 2017 ORDINANCE 13. Ordinance No. 1240 - An Ordinance of the City Council of the City of Vernon amending various sections of the Vernon Municipal Code to implement reorganization and renaming of certain departments within the City; and repealing all ordinances or parts thereof in conflict therewith (second reading and adoption) Recommendation: A. Find that the proposed action is exempt under the California Environmental Quality Act (“CEQA”) review, because it is an administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a “project” as defined by CEQA Guidelines section 15378; and B. Approve the second reading and adopt an ordinance amending various sections within Chapters 1, 2, 5, 7, 16, 17, 21, 22, 24, 25, 26, 27, 28, and 30 of the Vernon Municipal Code to Reorganize and Rename the Gas and Electric Department and the Public Works, Water, and Development Services Department. / / / / / / Regular City Council Meeting Agenda March 21, 2017 Page 4 of 7 NEW BUSINESS Finance Department 14. A Resolution of the City Council of the City of Vernon approving an agreement regarding expenditure of excess bond proceeds between the Successor Agency of the Redevelopment Agency of the City of Vernon and the City of Vernon [2005 Tax Allocation Bonds] Recommendation: A. Find that adoption of the proposed resolution for approval of the Agreement Regarding Expenditure of Excess Bond Proceeds [2005 Tax Allocation Bonds] is exempt under the California Environmental Quality Act (“CEQA”) because it is a government fiscal activity that will not result in any change to the environment and, therefore, is not a “project” as defined by CEQA Guidelines Section 15378. Even assuming the activity were a “project”, it would be exempt from CEQA review in accordance with CEQA Guidelines Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and B. Adopt a resolution to approve an Agreement Regarding Expenditure of Excess Bond Proceeds [2005 Tax Allocation Bonds]. Fire Department 15. A Resolution of the City Council of the City of Vernon approving and authorizing the City’s participation in the 2016 Urban Areas Security Initiative Grant Program, approving and authorizing the execution of an agreement by and between the City of Vernon and the City of Los Angeles, and authorizing the execution of documents necessary to obtain the grant Recommendation: A. Find that approval of the proposed action is exempt from California Environmental Quality Act (“CEQA”) review, because it is a government fiscal activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a “project” as defined by CEQA Guidelines section 15378; and B. Adopt the attached resolution approving and authorizing the City’s participation in the 2016 Urban Areas Security Initiative Grant Program (“2016 UASI”), approving and authorizing the execution of an agreement by and between the City of Vernon and the City of Los Angeles, and authorize the Mayor and City Administrator to execute documents necessary to obtain the grant. The City of Los Angeles has approved and awarded 2016 UASI grant funds in the amount of $174,955.00 to the City of Vernon’s Fire Department. / / / / / / Regular City Council Meeting Agenda March 21, 2017 Page 5 of 7 Gas and Electric Department 16. Award of a Professional Services Agreement to Interstate Gas Service dba IGService to conduct a water, sewer, and recycled water rate study Recommendation: A. Find that approval of the proposed Professional Services Agreement between the City of Vernon and IGService is exempt under the California Environmental Quality Act (“CEQA”), because it is an administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a “project” as defined by CEQA Guidelines section 15378; and B. Determine that the award of the proposed agreement is in the best interest of the City and, therefore, exempt from the competitive selection process per Section 2.17.12 (B)(3) of the Vernon Municipal Code; and C. Approve and authorize the City Administrator to execute a Professional Services Agreement with Interstate Gas Services dba IGService (“IGService”), in substantially the same form as submitted herewith, for a term of one year and an amount not to exceed $51,733.00, to conduct a water, sewer, and recycled water rate study. Human Resource Department 17. A Resolution of the City Council of the City of Vernon declaring the month of April 2017 as “Sexual Assault Awareness Month” and April 26, 2017 as “Denim Day” Recommendation: A. Find that the request to adopt the attached resolution proclaiming April 2017 as “Sexual Assault Awareness Month” and April 26, 2017 as “Denim Day” is exempt from California Environmental Quality Act (“CEQA”) review, because it is an administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a “project” as defined by CEQA Guidelines section 15378; and B. Adopt the attached resolution proclaiming April 2017 as “Sexual Assault Awareness Month” and April 26, 2017 as “Denim Day” in the City of Vernon in support of the Peace Over Violence sexual violence education campaign. 18. A Resolution of the City Council of the City of Vernon designating December 26, 2017, and January 2, 2018, as observed City holidays, and directing closure of the public offices of the City of Vernon on these days / / / / / / Regular City Council Meeting Agenda March 21, 2017 Page 6 of 7 Recommendation: A. Find that approval of the proposed resolution authorizing the closure of municipal offices of the City of Vernon on December 26, 2017 and January 2, 2018, is exempt from California Environmental Quality Act (“CEQA”) review, because it is an administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a “project” as defined by CEQA Guidelines section 15378; and B. Adopt the attached resolution designating December 26, 2017 and January 2, 2018, as observed City Holidays and approving the closure of municipal offices of the City of Vernon on said days. Public Works, Water and Development Services Department 19. Contract Award for City Contract No. CS-0757: Miscellaneous Grinding, Paving and Crack Seal Recommendation: A. Find that the proposed Capital Improvement Project at various locations along Leonis Boulevard, Vernon Avenue, District Boulevard, Alameda Street, and Atlantic Boulevard is categorically exempt under the California Environmental Quality Act (CEQA) in accordance with CEQA Guidelines Section 15301, Existing Facilities, part (c), existing highways and streets, because the project is merely to repair existing streets and involves negligible or no expansion of use beyond that existing currently; and B. Accept the bid from All American Asphalt, as the lowest responsive and responsible bidder and reject all other bids; and C. Approve and authorize the City Administrator to execute a contract in an amount not to exceed $611,700 for the Miscellaneous Grinding, Paving and Crack Seal Project (CS-0757); and D. Authorize a contingency of $75,000 in the event of an unexpected changed condition in the project and grant authority to the City Administrator to issue a change order for an amount up to the contingency amount. ORAL REPORTS 20. City Administrator Reports – brief reports on activities and other brief announcements by the City Administrator and Department Heads. 21. City Council Reports – brief AB1234 reports, or report on: activities, announcements, or directives to staff. / / / Regular City Council Meeting Agenda March 21, 2017 Page 7 of 7 ADJOURNMENT I hereby certify under penalty of perjury under the laws of the State of California, that the foregoing agenda was posted on the bulletin board at the main entrance of the City of Vernon City Hall, located at 4305 Santa Fe Avenue, Vernon, California, and on the City’s website, not less than 72 hours prior to the meeting set forth on this agenda. Dated this 16th day of March 2017. By: ________________________________ Maria E. Ayala City Clerk MAR 0E 20Il CW ADMINISTRATI()N REGEIVED MAR l4 2017 CITY CLERl('S OFFICE &6lwkr STAFF REPORT POLICE DEPARTMENT DATE: TO: FROM: RE: March 21,2017 Honorable Mayor and City Council Daniel Calleros, Chief of Police p{.u A PROCLAMATION OF THE MAYOR AND TIIE CITY COI]NCIL OF THE CITY OF VERNON DECLARING THE WEEK OF MARCII 20-26, 2017, AS *MULTIPLE SCLEROSIS AWARENESS WEEK" Recommendation It is recommended that the City Council proclaim the week of March 20-26,2017, as Multiple Sclerosis Awareness Week in support of the National Multiple Sclerosis Society's efforts in mobilizing pmple and resources to drive research for a cure, and addressing the challenges of those affected by Multiple Sclerosis. Backsround Multiple Sclerosis ("MS") is an unpredictable and often disabling disease of the central nervous system that disrupts the flow of infonnation between an individual's body and brain. Approximately 400,000 individuals have MS in the United States, and more than 2.3 million are affected worldwide. The National Multiple Sclerosis Society is a national, non-profit organization dedicated to erriching the quality of life for those affected by MS, and provides programs and services to address the challenges faced by many individuals affected by this disease. This proclamation by the Vernon City Council recogrr.izes March 2G26, 2017 , as Multiple Sclerosis Awareness Week and calls the observance to the attention of the Vernon community. Fiscal Imoact None Attachment(s) 1 . Proclamation Declaring the Week of March 20-26, 201'l , as "Multiple Sclerosis Awareness Week" RECEIVED 0f@ A PROCLAMATION OF THE MAYORAND THE CITY COUNCIL OF THE CITY OF VERNON DECLARING THE IYEEK OF MARCH 20-26,2017 AS MALTIPLE SCLEROSIS AWARENESS WEEK IV/HEREAS, Miltiple Scbntis ('MS') is a cbmric, oJten disabling dina* that attack-s the mrtral rrenn s gJ'terl, and damages or dtstmls tbe Pmhdirc corErirrg nrmwtditg lhe mnxs, ltaditg to ndtnd mnmurication betnnen the brain and nene patbuqt; and V'IIEREAS, MS can nnlt in sigrficant health inpach indrding vinal pnbhnl owwhelningfarigae, drfirul\ aith balance md coordinalion, and uio* bwls of inpaind nobiliry; and II/HEREAS, appnxirnateb 400,000 individuab haw MS it the United Staxs, a mon tbar 2.i million an afexed worlduidt; and ly'IlEREAS, tbe National M ipb Sfumsis Sociery (be 'MS Soaej') is a natiorul, non-pmft otganiqatiol dedicated to enicbing the qilaliA of W flr tblre affeded b MS; a d W'IIEREAS, tbe MS Sotiel pntifus uital pmgrans a senices to asist tbe MS commuig in baming abott differeflt trvatmeflt options, nedical eq pne distrib ion, aobng accetsoies for heal-sentitite indirridrub, ard edlcational ewnfi and aclittilies; and W'IIEREAS, the Citl of Venott tyithes to invih all nsi&fis and btinexes dtbin the Ci| of Venon t0 PaniciPah in Multiple Sclenis Awanrcss lVeek to ncogniie, unfuraand and stPPon i itidruls a,bose liwr ary afected b MS. NOIY, T'IIEREFORE, THE MAYOR AND THE CITY COUNCIL OF THE CITY OF L'ERNON, ON BEILAI.F OF ITS EMPINYEES, RE.'IDEAIIJ,4ND BUIINE.'IEJ, HEKEBY DECI-ARES THE IYEEK OF MARCH 20-26, 2017, AS MULTIPI-E, SC'I-EROSIS AV/ARENESS IYEEK THIS PROCI-,,IITATION IJ BEING PRE.'EAtrED TO TTIE NATIONALMULNPI,E SCI-EROSIS SOCIETY ByT-IIEHONORABLEMAYORWLLIAMJ. DAWS FORAND ON BEITAI-F OFTHE CITY COUNCIL OF T'I{E CITY OF I,'ERNON THIS 21' DAY OF MARCH, TIYO THOUSAND AND SE''ENTEEN. BJt CITYOF I/ERNON VILLIAMJ. DAWS, Mayr RECEIVED MAR 0 8 20i7 CITY CLERl{'S OFFICE IRtrGEBVED MAR 06 Z0r STAFF REPORT {]IT'i @ HUMAN RESOURCES DEPARTMENT ADMII.IISTRATION ?'l't7 DATE: TO: FROM: RE: March 21,2017 Honorable Mayor and City Council Michael A. Earl, Director of Hum ^o R""our"r"4 Originator: Veronica Avendano, Administrative $ecretary Service Pin Awards for February 2017 ReconmendationA. City Council to present sewice pins to those employees hired in February. Background Submitted herewith is a lis of employees who are eligible to receive their service pin based on the number of service years with the Ciry of Vemon. Fiscel Imoact None. Attachment(s)l. February 2017 Service Pin employee list. Page I of I FCFzzoFooFoo!Jo E!t-t!!r:(hzG' 6 =-_u) € t! tr1 ,l Itlz-t (n o o { o o a €o 7o .l iFEl NJF \o@NJ G! (n No \l (r)t! o E1 zF Eoopl,ooooc'o(o@t-l.-o-oorr)(f)(o-oNo(,Oi,NNxooodI-c,E,.E,!Eooooofr:=o389,8o'-EOOOO'6qqcq>\tsfo@ OF-Y,NNN.=@ere@-*ooooo =C)ECCC =lf=oooooEEEEE Eo(5(!(!!o)ooo\)- 9.g.c.c.socD@<'@(r, sl l.-o(ttN(o@ic\t(.)(.)cr)Ylr)lotr)lr)..2 (.) 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CA 9005E (323) s83-€E1 l Two Hundred Fourteen Dollars and No Cents NAPA AUTO PARTS 31OO WNDY HILL ROAD SE ATLANTA, GA 30339 NO 352339 TIi-,,N.NEGOTIABLE NON-NEGOTIABLE COPY COPY COPY COPY CIIY OFVERNON ACCOUNTS PAYABLE CHECK Cty ol vsmon 4305 Santa Fo Ava Wmon. CA 90056 (323) 583€E11 Two Hundred Fourteen Dollars and No Cents NAPA AUTO PARTS 31OO WNDY HILL ROAD SE ATLANTA, GA 30339 NO]..l-NEGOTIABLE €lttT vvEaT ura(20- rlrarrEror m_ ,o Rq9X rrftro, crl'rn TO THE ORDER OF COPY NON.NEGOTIABLE NAPATTaG(4)1',to1D016 011.00't1968 PRO OEMAND 5 REPAIR MANUAL - SHOP \'lK \qtz rzfrrIru kusne ,\- PLEASE OETACH BEFORE OEPOSITING COPY COPY COPY NO VOIIEN ON 6^rB oel.r,ln x,v 000 214 00 214 00 ooo3o9 | 12ltszo1a cfi oF vERIOt{ACCOUNTS PAYABLE CHECK $o\wD q{ 12,1412016 VERNON HOUSING COMMISSION: 12l14l16 wr l{ t3 or f rof rl 11 7.L. PLEASE OETACH BEFORE OEPOSMNG Clty ot Vomon 4305 Santa Fe Ave vemon, CA 90056 (323) s834811 One Hundred Oollars and No Cents Er$ vES afirtarplurrlll( rm.roFL6 IOIHE FROBERG. STEVEN oRoER 3386 50TH STREET oF VERNON, CA 90058 NON.NEGOTIABLE NON.NEGOTIABLE COPY COPY COPY COPY COPY NO 't21416 E\NB olloqlrr uolD Ra ils"e f,L. 000 100 00 100 00 CITY OF VERNON PLEASE DETACH EEFORE OEPOSITING ACCOUNTS PAYAELE CHECK NO 020717 r)nlDE!ON 02107 12017 adB orloq ltr VISION BENEFITS / S WIESKE \^JR tLltl otlot ln Uot> (\o ?'6s:'ru 5,L. 000 278 00 UO\DEI oN EOEITI 03 o4 r J,L.278 00 City ol Vgrnon 4305 Santa Fe Ave V6mon, CA 90056 (323) 58&8811 pAy Two Hundred Seventy Eighl Dollars and No Cents ET5l WEJT i^'I2O Kr{TnErOi fi 2iO.(@i TO THE OROER OF WlESKE, OEREK 21851 SHASTA IAKE ROAO LAKE FOREST. 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N(r)ao F c'rot- O OrOt ta,O) N (\NF O O) CD r.lJ9o z Fzc,:r ul 8g(rl<z 2o Fo. e,o@ UJo FzfoE JlLootooztu oaN -ci7 zz; ZHfrHEFF .95nFu-q;1- SHFPL.t= <b*e=vnt = oY(, UJEo =t UJ q(o(D- oqo \ao (n_ oq F o_oo oo UTFz Eo- l,u@a^ ;:F ".aQi' H:J \)1; 9EE E roq(oo)- @\@ o)_ O)q F. o-o 6Jur<LF>o E; ITJEo >JdE<oulFYolrJ-o J FoF UJt = (\lN ,- ci4 zz; ZHfrF(.l-F -EE*FLC;I 9HFPL.t =<3*a=\r(t = oz L o o- o UJt R EC tF-l\/r=D MAR I4 ZOI/ CIilCITRKSOFHCE REEE,YED ttAR t tt 20n'i r y, r-]:,;;.r;ral,476trJ @elqlqFIRE DEPARTMENT 4305 Santa Fe Avenue, Vemon, Califomia 90058 Telephone (323) 583-8811 Fax (323) 826-7407 March 13,2017 Honorable Mayor and City Council City of Vemon Honorable Members: Attached is a copy of the vemon Fire Department Activity Report which covers the period of February I 6, 201 7 through February 28, 2017. Respectfu lly Submitted, A*rrffi Bruce K. English Fire Chief BKE:ar : Fireletnow lE4fusivefi Intustriaf ACTIVITY TYPE FIRE PREVENTION: Regular Inspections (#): Re-Inspections (#): Spec. Haz. Inspections (#): Total lnspections: Total Man Hours: TRA]NING fiOT]RS): Firefighting Hazardous Materials Safety Apparatus Operations Equipment Operations CPR First Aid Total Hours: PRE-INCIDENT (HOURS): Planning District Familiarization Total Hours: PERIODIC TEST IFIOURS): Hose Testing Pump Testing VERNON FIRE DEPARTMENT COMPANY ACTIVITIES Februray 16,2017 to February 28,2017 This Period Last Year Last Year To Date 257 319 69 73 142 328 347 675 0 0 1 3 227 23 7 62 7 0 69 92 This Period This Year To Date 2115 107 20 58 185 296 391 141 489 491 492 4 t07 M 4 3 90 26 102 102 102 0 25 447 328 t07 496 493 479 22 101 2026432 74 16 r03 104 104 5 26 51 71 75 6l 136 342 335 4 2 0 0 677 Total Hours: Page I PUBLIC SERVICE PROGRAMS fiOURS) School Programs Fire Brigades Emergency Preparcdness Total Hours: ROUTINE MAINTENANCE GOURS) : Station Apparatus Equipment Total Hours: Grand Total Hours: : F ireactivity 6 0 44 50 4 0 4 8 5 4 54 63 0 0 l1 l1 483 488 497 1468 104 103 109 316 487 491 511 1489 101 103 107 3ll 988 4555 4633978 Page 2 RECEIVED MAR 0 8 20ri CIIY CLERl('S OFFICE HEALTH & ENVIRONMENTAL CONTROL DEPARTMENT Keith Allery Director / Health Officer 43)5 Santa Fe Avenue, Vemoq California 90058 Telephone (323) 58&8811 M*ch21,2017 Honorable City Council City of Vernon Vernon, California Honorable Members: Attached is a listing of the monthly activities for the Health and Environmental Control Department which cover the period from February l, 2017 through February 28,2017. Respectfully submitted,/H), Keith Allen Director lE4chuhte$ Inlustriaf ,sBt"Plt"fl ,gouoTZ February,2017 MONTHLY REPORT Keith Allen, Director HEALTH & ENVIRONMENTAL CONTROL DEPARTMENT MONTHLY REPORT FEBRUARY,2017 HAZARDOUS MATERIALS CONTROL Our staff continued to conduct routine inspections and assisted business representatives to properly complete annual Hazardous Materials Business Plan forms using the new California Environmental Reporting System (CERS) which allows electronic submittals of hazardous materials inventories and permit information. Zero Class I violations were found, 52 Class 2,Minor violations were noted during routine inspections performed of hazardous materials facilities. Department staff will continue to monitor these facilities to ensure that all violations have been corrected. Please note: According to The Califomia Department of Toxic Substances Control (DTSC), violation gpes are defined as: Class I Violation: The Health and Safety Code (HSC) section 25110.8.5 defines a Class I Violation as a violation that is a significant threat to human health or safety or the environment because of volume, hazardousness, and/or proximity to population at risk. A Class I Violation is also a violation that could result in a failure to ensure adequate financial assurance, perform corrective action or emergency cleanup; or a repeating Class II Violation committed by a recalcitrant violator. Class II Violation: The Califomia Code of Regulation (CCR), title 22, section 66260.10 and Health and Safety Code (HSC) section 25110.8.5, subdivision (b) define a Class II Violation as a violation that is not a Class I Violation and does not meet the conditions of a Minor Violation. Minor Violation: The Health and Safety Code (HSC) section 25117 .6 defines a Minor Violation as a subset of a Class II Violation that is not knowing, willful or intentional, does not enable the Respondent to gain an economic benefit for noncompliance, is not chronic or is not committed by a recalcitrant violator. Closure and cleanup activities included the ongoing site assessments/closure at Exide Technologies on Indiana Street, the former Pechiney facility on Fruitland Avenue, and 4060 E. 26th Sfieet at the former U.S. Fertilizer site. The Health Department continued to be an active participant with the Exide Technologies closure. Director Keith Allen and Chief Deputy Director David LeDuffengaged in regular conference call meetings with DTSC and other supporting agencies. As a reminder, the City's website has an Exide information page for the public to obtain information. aaaa T'NDERGROUND TANK PROGRAM No underground storage tanks were removed during the month. Three underground storage tanks were inspected by Environmental Specialist Erik Cheng, where one tank yielded 3 violations; the other two tanks had no violations. Chief Deputy Director David LeDuff prepared and submitted CUPA Report 6 which is the semi-anaual underground storage tank (UST) report. This report details the number of UST inspections that were performed and categorizes the violations that were found. In addition, USTs that have been removed or added are reported. aaaa Senior Environmental Specialist Linda Johnson attended and represented Vemon at the Southem Califomia Underground Storage tank Technical Advisory Group meeting. These meetings are held to promote consistency amongst CUPAs and to disseminate information in an efficient manner. aaaa FOODPROGRAM Staff continued in conducting inspections ofthe food facilities throughout the City as part ofa routine basis by the Departrnent. No major violations were noted during these inspections. aaaa Senior Environmental Health Specialist Lyndon Ong Yiu conducted several plan checks and construction inspections of proposed remodeling and new construction for food facilities. Lyndon also monitored construction of new food flacilities. aaaa ENVIRONMENTAL PROTECTION Environmental Specialist Erik Cheng collected eleven monthly water samples during the month. The samples were tested and found to be negative for e-coli and total coliforms. A1l the samples met State standards for potability. raaaa Health Department staff inspected 28 garment manufacturing facilities and found no major violations. aaaa Environmental Specialist Erik Cheng conducted weekly surveys ofthe Los Angeles River for mosquitoes. Pockets ofactivity were noted, and all mosquito larvae were physically eliminated. aaaa In collaboration with the Public Works, Water, and Development Services Department, Senior Environmental Specialist Jerrick Torres assisted with storm water inspections and plan reviews. Jerrick also inspected all active construction sites Citywide to ensure that storm water best management practices were being followed to prevent waste water discharge and runoff from entering the storm drain system. aaaa Senior Environmental Specialist Jerrick Torres presented information at a storm water compliance stakeholder meeting with the State Water Resources Control Board, the LA Regional Water Quality Control Board, & Industrial Environmental Association held in the City Council Chambers. Director Keith Allen attended and presented at the Vemon Chamber of Commerce meeting to discuss potential mosquito control services with Greater LA County Vector Control District. In collaboration with the Public Works Department, Environmental Specialists Gloria Valdivia & Erik Cheng inspected a total of26 City rental housing units. aaaa SOLIDWASTE PROGRAM Senior Environmental Health Specialist Linda Johnson conducted inspections of solid waste facilities throughout the City as part of a routine basis by the Departrnent. No violations were noted during these inspections. aaaa STATE OF CALIFORNIA HEALTH ANO HUUAN SERVICES AGENCY cauFoRt{rA DEPARTXET{TOF PUALTC HEALTX H HEALTH AND TRAVEL ADVISORY - February 2017 Zika in tatin America and the Caribbean Certain regions of Latin America and the Caribbean have experienced a significant increase in Zika infections in 2015-2017.|f you are traveling to an area with zika, the California Department of Public Health recommends taking appropriate precautions for avoiding mosquito bites during the day and at night. Pretnant women are advised not to travel to regions where there is Zika virus transmission. Zika Since the emergence of Zika in Brazil in 2015, Zika virus has spread rapidly throughout Latin America and the Caribbean. Currently, Zika outbreaks are ongoing in 61 countries and territories, including in Mexico, where the highest numbers of cases are in the southern part of the country. However, the U.S. Centers for Disease Control and Prevention (CDC) considers any travel to Mexico to be a risk for Zika infection. lndividuals have been infected in populartourist destinations including Cancun, Acapulco, Cabo 5an Lucas, Puerto Vallarta, lxtapa, Mazatlan, and most recently, Ensenada, a coastal city in Baja Norte California. Local Zika virus transmission in Baja California Norte increases the risk that California residents will be exposed to the virus due to travel across the border. ln addition, identification of local zika virus transmission in Baja California increases the risk for local transmission in California due tEr.lo.arfltre shoding indicotes counties ond ternto es where moseuito-bone tmnsfiission ol Ziko vius hos ken repotted. lt does not necessotily indicoE that mosquito- bome tronsmission is occufiing throuqhoul the entire country or terkory- U.S. centeas lor Dseose Control ond Prcvention, Decefibet 2016 lnvasive Aedei Mosquito Detection Sites in Califomia lnv.riv. Ld., SD.ci.r a Ardrt o.gt$ a Aadct o.gwtl .nd Aadc, otboplctw .r5J- L -'.+ :- to the high volume of travel across the Mexico-California border daily and the presence of Aedes mosquitoes on both sides of the border. Active Zika virus transmission in the United States and U.S. territories has only been identified in Miami-Dade county in Florida, cameron County in Texas, Puerto Rico, U.s. Virgin lslands, and American 5amoa. As of February 2017, active transmission is no longer being reported in Florida and Texas, although CDC lists Miami-Dade county, FL and Brownsville, Tx as Zika cautionary areas and advises that preBnant women consider postponing travel to those areas. Women and their sexual partners who do travel to those areas should take measures to prevent mosquito bites and use condoms during sex or not have sex during pregnancy. Zika virus infection during pregnancy can cause a serious birth defect called microcephaly, as well as other severe fetal brain defects and poor pregnancy outcomes. Zika virus infection has also been tied to Guillain-Bar16 Syndrome, a rare disorder that can cause muscle weakness and paralysis. Although primarily transmitted by mosquitoes, Zika virus can also be sexually transmitted. Mosquito Vectors Zika is transmifted by Aedes oegypti and Aedes olbopictus mosquitoes. These two mosquitoes are STATE Of CALIFORI{IA HEALTH ANO HUTAiI SERVICES AGETICY CALIFORNIA DEPARTi'ENT OF PUALIC HEAI.TH aggressive day-biters that can potentially transmit the virus after bitinB an infected person. These mosquitoes typically develop in small, water-filled containers. The presence of Aedes oegypti has been established in Mexican cities along the California-Mexico border, such as Mexicali, Tecate, and Tijuana. ln California, Aedes oegypti and Aedes olbopictus mosquitoes have been detected in numerous California counties, including along the border in San Diego and lmperial counties. Reported Zika Cases in California As of February 2017, the number of reported Zika cases among travelers returninB from Zika-affected areas continues to increase in California. Since the ongoing Zika virus outbreak in Latin America began in 2015, there have been more than four hundred travel-associated Zika virus infections in California. Zika Virus Transmission Zika virus is transmitted to people primarily throuBh the bite of an infected Aedes species mosquito. Transmission has also been reported through sexual contact with an infected person, from a pregnant woman to her fetus, through blood transfusion, and through laboratory exposure. Zika Clinical Presentation Most people infected with Zika virus have no symptoms. lf symptoms develop, the most common are fever, rash, joint pain, and/or red eyes. Symptoms usually begin a few days to a week after being bitten by an infected mosquito or having unprotected sex with an infected partner. The illness is usually mild with symptoms lasting for several days to a week. However, Zika virus infection during pregnancy can cause serious birth defects. Pregnant women should not travel to Zika-affected areas. Additionally, pregnant women should abstain ftom sex or use condoms with partners who have traveled to an area with Zika for the duration of the pregnancl. Traveler Warnint lf you are traveling to an area with Zika virus transmission, the California Department of Public Health recommends takinB steps to avoid mosquito bites during the day and at night. lf you have returned from an area with Zika and have fever with joint pain or rash within the two weeks following your return, please contact your health care provider and say where you have traveled, and use mosquito repellent for three weeks following your return, Plevention There are no vaccines to prevent Zika. Preventing mosquito bites is the best way to avoid becoming infected.. Use insect repellents containing DEET, picaridin, 1R3535, oil of lemon eucalyptus, or para-menthane-diol for long lasting protection. lf you use both sunscreen and insect repellent, apply the sunscreen first and then the repellent.. when weather permits, wear long-sleeved shirts and long pants.. Use air conditioning or windoUdoor screens to keep mosquitoes outside. lf you are unable to protect yourself from mosquitoes inside your home or hotel, sleep under a mosquito bed net.. Help reduce the number of mosquitoes outside your home or hotel room by emptying standing water from containers such as flowerpots or buckets. lmportant lnformatlon for Pretnant Women Pregnant women should take special precautions to protect themselves from Zika virus.. lf you are preBnant, do not travel to areas with Zika.. lf you are pregnant and must travel, talk to your healthcare provider before travelin& and strictly follow steps to avoid mosquito bites during your trip.. Because sexual transmission of Zika is possible, pregnant women whose partners have traveled to an area with Zika should either not have sex, or use condoms consistently and correctly for the duration of the pregnancy. STATE OF CAUFORi.IIA HEALTH ANO HUI N SERVICES AGEt{CY caLrFoRNra oEPARrxENr oF PUaLrc HEALTH alCDPH lf you are pregnant and were potentially exposed to Zika (either through travel to an area with Zika or through unprotected sex with someone who traveled to an area with Zika), talk to your healthcare provider regardless of whether or not you have Zika symptoms. More lnformation for Clinicians More information on the clinical presentation, epidemiology, and dia8nostic criteria for Zika is available in the following California Department of Public Health resources: and Zika Additional Resources What you can do to reduce the risk of Zika infection: httos://www.cdoh.ca.qov/Zika htto://www.cdc.eov/Zika How to protect yourself from mosquito bites: ticks-other-arthrooods lnformation on lnvaslve Aed6 mosqultoes in California: RECEIVED l.tAR 1{ e0l7 cflvcttfil(s0tflcE REEEIVED MAR I 3 20t', CITY ADMIiTJISTRATION STAFF REPORT &alruln PUBLIC WORKS, WATER & DEVELOPMENT SERVICES DEPARTMENT DATE: TO: FROM: March 7,2017 Honorable Mayor and City Council Samuel Kevin Wilso irector of Public Wor*s, Water & Dcvelopment Servic€s Deprrfrient Originator: Wendy Herrera, Permit Technician MONTIILY BI,JILDING DEPARTMENT REPORTRE Enclosed herewidr is $e Monftly Building Report for the month of February 2017. Thank you. City of Vemon Bulldlng Department Monthly Report frcl,i. 21112017 to 2J2812017 Typo # of P6rmits Electrical lndustrial - Remodel Mechanical Miscellaneous Plumbing February 2017 TOTALS PERMITS: PREVIOUS MONTHS TOTAL YEAR TO OATE TOTAL February 2016 TOTALS PERMITS: PREVIOUS MONTHS TOTAL PRIOR YEAR TO DATE TOTAL $780,720.00 $134,100.00 $270,782.00 $ l , 136,475.00 $156,500.00 $2,478,577.00 s2,169,450.00 $4,648,027.00 $ 8,843,151.00 61 $ 1,167,204.00 40 $10,010,355.00 .t01 10 6 5 13 3 37 36 73 Samuel Kevfn Wilson Director of Public Works, Water & Developmenl Services City of Vomon Building Department ilajor Projects from U112017 to 212812017 Valuations > 20,000 Permit No.Proiect Addr€ss Tenant Description Job Eloctdcal B-2017-1694 8-2017-1722 8-2017-1726 B-2017-1704 4 23OO 52ND ST APN 63080'16049 3810 SANTA FE AVE APN 6302019019 3840 26TH ST APN 5192030001 58OO BOYLE AVE APN 6310007003 lnstall new laser machine and new transformer. remove and replace light fixtured with LEo. Replacement of light fixtures and bulbs. Equipment value permit for duo 50/50 Enj. lnj. molding press. 79500 Bank of America 30000 117000 497120 Record(s) 3723,020.00 lndustrial - Remodel B-2017-1720 Choice Produce2360 48TH ST APN 6308015043 23OO 48TH ST APN 6308015076 Tenant lmprovement. New metal stud wall for new officeand restroom. New 10'X'10" door between cooler and dry storage. Demo existing cooler boxes 75000 21000B-2017 -',t700 2 Record(s) $96,000.00 irochanical 8-2017-',t674 B-2016-1646 5252 ALAMEDA ST APN 6308016038 3336 FRUITLAND AVE APN 6310002015 Refrigeration equipment and installation and RTO installation. Filed with B-2016-1563. lnstall ('l ) packaged roofiop condensing unit and (2) indoor evaporator coils to service the dock. 160000 76282Jobbers Meat Packing Record(s) $236,282.00 mbcellanoous 8-2017-',t723 8'-2017-16E1 8.2017-1670 B-2017-169E 4523 sOTH ST APN 63040'17011 3650 26TH ST APN 51920290'14 4060 26TH ST APN 5243021012 290,I FRUITLAND AVE APN 6303029016 Add trenches for wastewater to existing system, add pads for 6 washers Reconstruction of rail track #1 Soil remediation/ work plan attached. AECOM letter of 111312017. Voluntary alterations to the roof structure. Structural change for equipment inside the building. 23000 163000 500000 100000 B-2015-0286 23,I1 48TH ST COREMARK APN 6308014027 lnstallation of storage racking 248500 system only for cooler and fteezer. See fire permit F-2017-0623 for the high pile storage permit 5 Rocord(s) 31,03't,500.00 Plumbing 8-2016-1634 32OO SLAUSON AVE APN 6310027023 Underslab waste. I Record(s) 3'150,000.00 12,240,102.0O Oirector of Public Works, Water & Development Services City of Vemon Building Dopartsnent New Buildings Roport - February 2017 None Director of Public Works, Water & Development Services City of Vsmon Building Departnent Demolition Report - February 2017 None Public Works, Water & Development Services City of Vemon Building Oepartment Status of Certificates of Occupancy Requests Month of February 2017 Request for lnspection Approved Pending Temporary Occupancies 22 20 306 22 Director of Public Works, Water & Development Services City of Vernon Certificate of Occupancy lssued Date Frcm 2J112017 to 212812017 21612017 C-2015-0200 4851 SANTA FE AVE Unicept Apparel, lnc Manufacturing of 689.00 15740 APN 6308015044 garments/sewing 2t612017 C-2015-0202 3090 50TH ST American World Food lnc. Warehousing of 689.00 21444 APN 6303029014 dba Shalom and Sons food/dry and cold storage 2tOl2O17 C-2016-0508 3063 FRUITLAND AVE Charlie's Faxtures, LLC Warehousing of 300.00 31000 APN 6303029006 fixtures 21612017 C-2016-0406 5065 PACIFIC BLVD Asura Apparel, lnc Office use 30000 APN 6308010018 800 21612017 C-2016-0389 2031 27TH ST L.A. Packing, Crating & Warehousing of fine 689.00 46000 APN 6302009031 Transport, lnc. arts 216t2017 C-2016-0570 51OO BOYLE AVE BHJ USA, lnc. Manufacturing of 300.00 24380 APN 6303028014 Pet food 2t612017 C-2016-0555 41OO BANDINI BLVD Baker Cold Storage, lnc. Warehousing of 300.00 128000 APN 6304005019 dba Lineage Logistics - food/cold storage Vernon 21612017 C-2015-0283 3634 SOTO ST J One Total lnc. dba Restaurant 300.00 1250 APN Whats Sub 2tOt2O17 C-2016-0361 4726 LOMAVISTA AVEGarage Apparel, lnc. Manufacturing of 68900 APN 6304019025 garments/sewing ?t712o17 C-2016-OU2 6118ALCOAAVE TK Services, lnc. Service of 38900 APN 6310027031 refrigeration trailers 2t7t2017 C-2016-0523 5524 ALCOA AVE Drywired, LLC Offlce use 300 00 APN 6310002027 21712017 C-2016-0561 5524 ALCOA AVE West Coast Distflbution, Warehousing of 689.00 APN 6310002027 lnc garments 21712017 C-2016-0541 3301 LEONIS BLVD Furniture Delivery Warehousing of 689 00 APN 6303019012 Solutions, lnc. furniture 6000 21712017 C-2016-0443 2619 37TH ST Torrance Logistics Warehousing of 940.00 171315 APN 6302002020 Company LLC lubricant bulk and package storage 2tlt2o17 C-2015-0096 2652 45TH ST lns & Out Ponery, lnc Warehousing of 940 00 214000 APN Urban Trends Collection home decor 26000 6000 42350 4500 2n2O17 C-2016-0513 294744TH ST Stylevibe lnc Office use 30000 1000 APN 6303013049 City of Vernon Certificate ot Occupancy lssued Dat6 From 21112017 to 212812017 2nnx7 C-2015-0250 2900 SANTA FE AVE Gilbert Tex, lnc. Office use 300.00 APN 6302005003 211612017 C-2017-0620 5510 SOTO ST Streets Ahead, lnc./D & R Manufacture leather 0.00 APN 6310015021 dba Blujeanious 212112017 C-2016-0367 4355 FRUITLAND AVE Torgom Trading Co. Warehousing of 689.00 APN 6304023025 garments 210612017 COO-003648 3255 SACO ST Print World Corporation Manufacturing of 300.00 APN 6304023025 garmentvsilk screen Total for Certificate of Occupancy: 9,792.00 825,184.00 700 30000 14705 40000 20 Permits(s)Total Fees 9,792.00 City of Vernon Certificate of Occupancy Applications Oate From 211120'|.7 to 2l2gl20'17 lssued Permit No. Proiect Address Tenant Description Fees Paid Square Feet C-2017-0613 2726 FRUITLAND AVE F Gavina & Sons Storage of coffee 940 00 104000 APN 6309026035 C-2017-o614 4900 CORONA AVE Nitto Knit lnc Knitting fabric 689.00 26045 APN 6304016007 C-2017-0615 2100 49TH ST Jaemar, lnc. Fish processing 815 00 54000 APN 6308015077 C-2017-0616 2335 52ND ST CHW lnc. Warehousing 300 00 2000 APN 6308016016 clothing C-2017-0617 5107 DISTRICT BLVD T - Mobile West Tower, Wireless facility 300.00 APN 6304010015 LLC C-2017-0618 5899 DOWNEY RD Downtown Wholesalers Office and sampling 300.00 3000 APN 6310004014 lnc. coolers C-2017-0619 2231 49TH ST Emperia lnc, dba Emperia lmport handbags 300.00 36293 APN 6308015044 Handbag C-2017-0621 5770 ANDERSON ST Art Plus U S.A., lnc. Silk Screen 689 00 10000 APN 6308019020 C-2017-0622 4471 DOWNEY RD Teva Foods, lnc. Processing food 689.00 16516 APN 6303017007 and packaging C-2017-0623 4890 ALAMEDA ST lsabella Handbag, lnc. Handbag wholesale 300.00 28100 APN 6308015072 C-2017-0624 4921 PENNINGTON WAY T-Mobile West Tower Cell site 300.00 APN 6332002814 C-2017-0625 2550 ALAMEDA JM Foods, lnc dba Jersey Fast food 300.00 1194 APN 6302009043 Mikes C-2017-0e26 4523 50TH ST ColorRinlnc. Garment laundry 68900 15900 APN 6304017011 and finishing C-2017 -0627 6152 BOYLE AVE A Plus Apparel Group, lnc. Apparel 300.00 400 APN 6310027037 Manufacturer C-2017-O628 2333 49TH ST Advance Apparel of Los Swimwear 300 00 11480 APN 6308015044 Angeles manufacturing C-2017 -0629 3320 FRUITLAND AVE Possible Productions lnc. Warehouse 300 00 9323 APN 6310002016 C-2017 -0630 2680 BONNIE BEACH PL Dongbang Global lnc Shrpping and 300 00 APN 5243019017 teceiving of general merchandise 3000 City of Vernon Certificate of Occupancy Applications Date From 21112017 to 212812017 C-2017-0631 4160 BANDINI BLVD LA Cash and Carry General 689.00 33020 APN 6304003001 Merchandise C-2017-0632 2525 FRUITLAND AVE ICCS USA Wholesale general 300.00 4000 APN 6308010030 merchandise C-2017-0633 5831 SANTA FE AVE Andy's Super Burger Fast food 300.00 2500 APN 6308019012 C-2017-0634 3850 SANTA FE AVE lmpact Manufacturing Garment 689.00 21000 APN 6302018016 Corp. manufacturing C-2017 -0620 5510 SOTO ST Streets Ahead, lnc./D & R Manufacture leather 0.00 14705 APN 6310015021 dba Blujeanious goods Total for Certificate of Occupancy: 9,789.00 332,083.00 22 Permits(s)Total Fees Paid 9,789.00 CA 3/7y'7 //t./aal'nJ a///>"4 RECElVED MAR 0 2 20li CITY CLERKS OITICESTAFF REPORT CITY ADMINISTRATION DATE: TO: FROM: RE: March 7,2017 Honorable Mayor and City Council Carlos R. Fandino, Jr., City AdministratorF4v Ordinance Amending Various Sections of the Vernon Municipal Code to Reorganize and Rename the Gas and Electric Department and the Public Works, Water, and Development Services Department Recommendation A. Find that the proposed action is exempt under the Califomia Environmental Quality Act C'CEQA") review, because it is an administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a "project" as defined by CEQA Guidelines section 15378; and B. Conduct a Public Hearing; and C. Approve the first reading, and adopt at a subsequent meeting, an ordinance amending various sections within Chapters 1,2,5,7,16, 17,21,22,24,25,26,2'7,28, and 30 ofthe Vemon Municipal Code to Reorganize and Rename the Gas and Electric Depaffirent and the Public Works, Water, and Development Sewices Department. Backqround The City owns and operates the Water Utility Division currently under the direction of the Public Works, Water, and Development Services Department (PW). By authority granted to the City Administrator (Administrator) in Section 2.6-6(c) of the Vemon Municipal Code, it is the desire of the Administrator to consolidate the Water Utility Division into the Vemon Gas and Electric Department (VG&E). The consolidation will effectuate economic, efficiency, and productiviry advantages. These advantages include economies of scale for staff workloads, increased office space, additional equipment and vehicles, collaborative construction activities, and financial bonding capabilities. More importantly, this transfer will consolidate all utilities-related services in one single department. The Water Division will be absorbed into VG&E with no additional costs. Page I of2 Under the guidance of the City Administrator, VG&E and PW staff prepared the attached Assessment and Recommendation Report in order for a seamless transition to take place. This report is the basis for the overall reorganization of the Departments, for the preparation of a strategic action plan, and for the development ofa viable Capital lmprovement Plan. In order to facilitate this reorganization, it is prudent to rename the two Departments. It is proposed that VG&E change to Vemon Public Utilities Department (VPU), allowing the inclusion of all utility services under one roof. The current name of Public Works, Water, and Development Services Department will be simplified and shortened to Public Works Department. In alignment with the utility industry standard, it is also requested that the current title of Director of Gas & Electric be changed to General Manager of the Public Utilities Department. The title of General Manager is utilized by nearly all public utilities across the country, including the likes of Anaheim and Riverside Public Utilities. Additionally, the title for Director of Public Works, Water, and Development Services will change to Director of Public Works. If the proposed ordinance is adopted, staff will propose that the City Council amend the Fringe Benefits and Salary Resolution to revise the job descriptions where applicable and update the Classification and Compensation Plan in order to implement the title changes. It is therefore recommended that various sections of Chapters I , 2, 5,7 , 16, l'7 ,21,22,24,25,26, 27 , 28, and 30 of the Vemon Municipal Code be amended as set forth in the proposed ordinance including Exhibits A and B attached herewith as prepared and reviewed by the Ciry Attomey's Office to effectuate the reorganization of departments, rename said Departments, and change personnel titles. Fiscal Impact None. Attachments I . Notice of Public Hearing 2. Proposed Ordinance 3. Assessment and Recommendation Report Page 2 of 2 City of Vernon NOTICE OF PUBLIC HEARING The City Council of the City of Vernon will conduct a public hearing, which you may attend. PLACE: 4305 Santa Fe Avenue Yernon, CA 9fi)5t (323) st3-E8ll Vernon City Hall City Council Chambers 4305 Santa Fe Avenue Vemon, CA 90058 Tuesday, March 7,2017 at 9zlJ/D a.m. (or as soon thereafter as the matter can be heard) A first reading, to adopt at a subsequent meeting, an ordinance amending various sections within Chapters l, 2, 5,7, 16 17, 21,22, 4,25, 26, 27, 2E, and 30 of the Vernon Municipal Code to implement the reorganization and renaming of both the Gas & Electric Department and Public Works, Water, and Development Services Departments respectively; and to address the title changes of the Direttor of Gas & Electric to General Manager of Public Utilities, and the Direcaor of Public Works, Water and Development Services to Dircctor of Public Wor*s. All parties are invited to be present and to submit slaternents orally or in writing beforc or during the applicable public hearing. Subject documents are available for inspection by the public at Vemon City Hall, City Clerk Depafiment,4305 Santa Fe Avenue, Vemon, California 90058, Monday through Thursday, T:00 a.m. to 5:30 p.m. and on the City's website at: Staff plans to recomrnend that the Vernon City Council determine that the proposals will not have a significant effect on the environrnent and are exempt from the California Environmental Quality Act (CEQA) DATE & TIME: SUBJECTS: REQI]EST: REVIEW OF THE FILE: PROPOSED CEQA FINDING: If you desire to challenge the actions taken by the City Council or any portion thereof in coun, you may be limited to raising only rhos€ issues you or sonreone else raised at the applicable hearing described in this notice or in written correspondence delivered to the City of Vernon during, or before, the hearing. Arnericans with Disabilities Act (ADA): ln compliance with ADA, if you need special assistance to participate in the meeting, please contact the Ofhce of the City Clerk at (323) 583-881 I . The hearing may be continued or adjourned or cancelled and rescheduled to a stated tirne and place without funher official notice of the public hearings. Maria E. Ayala, City Clerk Dated.. )t)rt t't CITY OF VERNON WATER DIVISION ASSESSMENT AND RECOMMENDATIONS INTRODUCTION The Vernon Gas and Electric (VGE) and Public Works (PW) staff received direction from the city Administrato/s Office to study the feasibility of consolidating the Water Division into the VGE. The City Attorney's Office opined that the transfer was within the legislative authority granted to the City. Respective staff met weekly in the last months in order to collaborate on the preparation of this transitional report. Staff identified some benefits and minor disadvantages not worthy of mention. Benefits to the transfer of the Water Division include overall economies of scale for staff, office space, equipment and vehicles, construction activities, and financial bonding capabilities. WATER DIVISION The City of Vernon owns and operates a potable water distribution system within its service area of approximately five plus square miles. The City is permitted to serve potable water under the State of California Water Supply Permit issued by the Water Resources Control Board, Division of DrinkinB water. Water Supply while annual usage varies from year to year, during FY 15/16 the city used approximately 5,959 acre- feet of groundwater and approximately t,127 a..Je feet of imponed water. Based on these reporting quantities, the Average Daily Demand is approximately 9 Million Gallons per Day (MGD) with a max day peaking factor of 1.6 and a max hour peaking factor of 2.6. Fire flow demand per the 2001 Fire Code is set at 8,000 Gallons per Minute (GPM) for four hours. Since 2005, the daily demand has dropped by approximately 15% due to companies leaving the city. The Central Basin is an adiudicated basin and the City is a party to the Central Basin Third Amended Judgement. The City has an annual Allowable Pumping Allocation (APA) of 7,539 acre feet in perpetuity. Several years ago, due to budgetary restraints, the City sold 500 acre feet of its APA. The City should make every possible attempt to reBain the selloff of the 500 acre feet by purchasing available APA from judgement participants. Currently, the City does not have enough well pumping capacity to exercise its full basin water allocation. Recommendations ln lanuary 2005, staff commissioned a Water Distribution System Hydraulic Analysis (Analysis). The Analysis is critical in understanding simulated distribution system dynamics and included a hydraulic model analysis, the purchase of software, and support services. The hydraulic model and software were never used and presently cannot be located. The Analysis simulates the operations dynamic nexus ofthe production wells, distribution system, reservoirs, and booster stations and should be updated and staff should be trained in its interpretation and use. While the engineering firm that authored the report has strong familiarity with its development, there are cost savings in havin8 them perform the update. However, staff should not discount the notion of putting the proBram update out for competitive bid. The associated cost for this recommendation is estlmated at S150,000. The City must increase its inventory of production wells by constructing new groundwater wells. Production Wells The distribution system is supplied by eight (8) active production wells numbered 77, 72, 15, 76, t7, L9, and 20. Conversion construction of a well No. 21 is complete and is expected to be in service in March 2017. The well was equipped with a Variable Frequency Drive (VFDI. Well No. 11 is currently bein8 rehabilitated, slip-lined, and is expected to be in service in September 2017. well No. 14 was taken out of service due to water aesthetics and it is high in iron and at times produces discolored water. The life expectancy of production wells is approximately 50 years. The system water demands are supplemented by a Metropolitan Water District (MwD) connection located on Vernon Avenue. The wells are strategically placed throughout the distribution system to provide a more balanced and uniform water distribution. Wells 11 and 16 flow into Reservoir 1 (10MG). wells 12 and 17 flow into reservoir 2-1, 2-2, and 2-3 (lMG each). wells 15 and 19 flow into reservoirs 3-1,3-2, and 3-3 (1MG each). Well 19 is plumbed to flow directly into the distribution system as well. lt generally operates in that mode. Well 19 also has a generator for back-up power. Wells 20 and 21 flow directly into the distribution system. Each well production ranges in flowrate, but collectively are able to produce approximately 7,700 GPM. The MWD connection has a turn-out capacity of 2,500 GPM. The MWD connection is plumbed to deliver water to ReseNoir I or directly into the distribution system. Normally it delivers water directly to the distribution system. The production wells can meet the current average daily demand without the use of the MWD connection. Recommendations An operations analysis report should be initiated in July 2017. A five-year rehabilitation program for wells 15, 17, and 20 needs to be implemented starting FY 2017/2018. Well 21 should be very closely monitored (water to wire calculations) to determine the effectiveness of the VFD. wells 11 and 15 currently have generator back-up power. Well 16 has the larger pumping capacity, therefore, should be retrofitted with a Benerator back-up power. Wells 12 and 17 currently do not have generator back-up power. Well 17 has the larger pumpin8 capacity, therefore, should be retrofitted with a generator back-up power. well 20 should also be retrofitted with generator back-up power. Analysis of simulated closed system via the hydraulic model should be considered if and when the model is updated. The Division staff must increase its inventory of groundwater production by constructing new wells. The new wells serve two purposes; to allow full APA pumpinB and provide backup production pumPing in case older wells have to be rehabilitated and/or repaired. More importantly, additional well production will increase pumping capacity and allow full utilization the City's APA. Staff must also research the concept of becoming a water wholesaler and/or leasinB out unused portions of the APA. Because groundwater is cheaper than imported water, groundwater ri8hts have monetary value. The Division can supply local water purveyors with groundwater deliveries or leasinB out groundwater allocations that it doesn't use. This option creates a new revenue stream for the Division. The associated cost for this recommendation is estimated at approximately 5500,000 to 5750,000 per well rehabilitation and between S2,000,000 and S3,000,000 for construction of a new well. Service Connections (Meters) The system is comprised of approximately 1,277 potable water service connections serving the businesses and residences throughout the City. However, it is unknown how many of these service connections are active and inactive. lt is estimated that there are approximately 1,106 active connections. Staff implemented a large meter repair program that focuses on the 100 largest water users only. Water staff is currently engaged in implementin8 an Automatic Meter Read (ARM) preplacement program from a federal grant, however, the program has not started and the grant termination date is set for December 3!,2OL7. The program would reduce meter read time by 25%. Recommendations The Water Division should immediately implement a biannual meter testing/calibration program for the top 100 largest meter users. lmplementation of a citywide meter replacement/repair program to increase meter accuracy should begin in FY U/18. Staff should consider an ARMS program to eliminate re-reads, improve meter accuracy, and eliminate meter reading labor. The program serves to increase revenues and allows to repurpose labor savings to other field activities such as meter repairs and installations. lndustry standards recommend that meters should be replaced every twenty years. Therefore, annual meter replacement program entails replacement of approximately 54 meters of varying sizes per year. The associated cost for this recommendation is estimated at 550,000 per year. The cost to test and calibrate meter should be performed by Field Staff as routine maintenance and does not have an additional cost. Calibration is minimal and can be absorbed by the annual operating budget. Distribution Pipint System The piping network is comprised of approximately 49.3 miles of water lines ranging in size from 4 to 20 inches in diameter. The pipeline material is approximately 95% cast iron,4% ductile iron, and 1% steel. Portions ofthe distribution system were constructed in 1924 and 1958 and appear to be in good condition. It is standard practice for pipe coupons to be inspected as they become available form tapping activities. While visual inspections of the sample tapping coupons has been made laboratory testing has never been initiated. Because the Cltyhasa relatively flat (elevation) geographic profile, the distribution system only has one pressure zone. The average pressure is approximately 70 PSl. Portions of the pipes are cement mortar lined which further deters interior pipe corrosion and deterioration. ln addition, the City overlies an alluvial fan from the Los Angeles River and soil conditions are such that it deters exterior corrosion and deterioration. lastly, the practice of using thick-walled cast iron and ductile iron pipe has been used in the distribution system for decades. All of these factors lead to the extremely low pipe breaks throughout the distribution system. Recommendations At this point in time it not recommended to implement a pipe replacement program due to the probable condition of the pipes. ln addition, the ertremely low number of annual pipe line breaks is good reason to presume the pipes are in good condition. Laboratory testing of the pipe coupons should be considered to determine the remaining structural inte8rity of the pipe. At minimum, compression, impact, fracture, and deterioration testing should be considered. The associated cost for this recommendation is estimated at S1,000 per coupon. Booster Stations The distribution system only has one pressure zone and flow demands are met through the use of three booster pumping stations. The booster stations ran8e in pumping design capacity from 1,050 GPM to 3,000 GPM. Booster Plant 1 is located at 4305 Santa Fe Avenue and consists of five booster pumps (design flowrates are 1,050, L,40O,2,860,3,972, and 4,041 GPM). The boosters pump outof Reservoir l directly intothe distribution system at Santa Fe and Vernon Avenues. The booster station currently does not have back- up power. However, the MWD service connection ties into the 10MG and is able to be used as a back-up source. Booster Plant 2 is located at Vernon and Downey Avenues and consists of three boosters pumps (design flowrates are 1,200, 1,150, and a 2,400 GPM decommissioned diesel driven pump). A pump house is also located at BP2 and consist of three booster pumps (design flowrates are 1,310, 2,240, and 3,015 GPM). The boosters pump out of Reservoirs 2 -1,2-2, and 2-3 ditectly into the distribution system at 4355 Downey Road and 3570 Vernon Avenue. Booster plant 3 also has one generator with sufficient power rating to provide back-up power to 3 booster pumps. Booster Plant 3 is located at 3381 Fruitland Avenue and consists of five booster pumps (design flowrates arc L,175, 1,150, 1,905, 1,900, and a 2,450 GPM decommissioned diesel driven pump). The boosters pump out of Reservoirs 3-1, 3-2, and 3-3 directly into the distribution system at Fruitland Avenue. Booster plant 2 also has one generator with sufficient power ratin8 to provide back-up power to four booster pumps or two boosters and one well. Staff commissions annual pump tests for all well and booster pumps. The tests are critica I for operatio ns, electrical efficiency, and pump sequences and cycling. Recommendations An operations analysis report should be initiated in July 2017. Pump sequencing and cycling, pump and motor repair, rehabilitation, or replacement, energy efficiency, motor control valves, and generator back- up must be considered. Booster Plant l should be retrofitted with generator back-up power for three of the five pumps. Booster House 2 at Booster Plant 2 should be retrofitted with generator back-up power for all three pumps. The associated cost for this recommendation is estimated at 590,000 for pump, motor, and electrical rehabilitation and 5450,000 per back-up generator. Storage water Reservoirs There are eight reservoirs in the City's system that range in capacity from 750KG to 10MG. There are six steel above ground reservoirs, one concrete underground reservoir, and one steel elevated reservoir in the distribution system. The reservoirs serve as wet wells for the previously described booster pump stations. The combined storage capacity of all reservoirs is approximately 16,750,000, however, only 15,375,000 gallons capacity is available due to limitation placed on the elevated tank. Reservoir No. 1 is an underground reservoir located at 4305 Santa Fe Avenue and has a 10 MG capacity. The reservoir is rectangular in shape and is underneath the City Hall parkinB lot. The reservoir was cleaned and rehabilitated in December 2015. The MWD service connection ties into the 10MG and is able to be 4 used as a back-up source. The MWD connection is tied into the distribution system, thereby, bypassing the 10MG reservoir. Reservoirs 2-1, 2-2, and 2-3 are above ground steel reservoirs and are located at 4355 Downey Road and 3570 Vernon Avenue. Each reservoir has a 1MG storage capacity and is round in shape. The reservoirs are in need of rehabilitation in the next three years. Reservoirs 3-1,3-2, and 3-3 are above ground steel reservoirs and are located at 3381 Fruitland Avenue. Each reservoir has a lMG storage capacity and is round in shape. The reservoirs are in need of rehabilitation within the next three years. The elevated tank stands at an approximate elevation of 175 feet above ground level and is located at 2800 Soto Street. The reservoir has a storage capacity of 750,000 gallons, however, due to seismic limitations, the elevated reservoir can only be partially filled to approximately 20 feet in height. ln 2007 the tank was structurally retrofitted, the exterior was painted, and interior was cleaned. The elevated tank is critical to the delivery of system pressure to the entire distribution network. Currently, the tank is operated with the inlet fully open with no means to turn off the flow. The flow control valve was disconnected many years ago and is in need of repairs and or replacement. Over the years, thoughts have been Biven to eliminating the elevated tank from the distribution system and converting to a closed pressure system. The tank would remain in place and be rendered inoperable. Recommendations An operations analysis report should be initiated in July 2017. The analysis must include rehabilitation recommendations and schedules, sequencing of the reservoirs, emergency, fire, and operatlonal flow analysis, and operating scenarios. There is an urgent need to repair or replace the altitude flow control valve at the elevated tank. The associated cost for this recommendation is estimated at S75,00O for engineering P&S, rehabilitation construction cost of S40o,000 per tank, and 520,000 for repair or replacement of the flow control valve at the elevated tank. Fire Hydrants and Distribution valves The distribution system contains approximately 554 main line control valves ranging in sizes from 4 to 16 inches and 720 fire service valves ranging in size from 4 to 10 inches. The valves are used to control all flows throughout the system and also serve to isolate portions of the systems in order to facilitate necessary repairs or improve water quality conditions. Many of the valves are inoperable and there is limited documentation as to which valves are inoperable. ln many cases upstream/downstream valves have to be shut off from nonfunctioning valves in order to facilitate a repair. The additional upstream/downstream valve shut offs affect a larger number of customers. State Standards mandate that allvalves be exercised a minimum of once every five years. While the Division does not have a routine valve replacement program, valves are replaced on an as needed basis. The system also contains 774 fire hydrants located throuthout the City and used for fire protection by the City's Fire Department. The hydrants are a lso used to flush out the systems as deemed necessary in order to improve water quality. The State also mandates a water quality testing program for the distribution system. Recommendations An operations analysis report should be initiated in July 2017. The report must include implementation programs for valve turning, valve replacement, hydrant testing, and hydrant repairs. The report must include logistics plan data collection, reporting methods, and labor analysis. This task should be performed by field staff as routine maintenance and does not have an additional cost. water Quality Approximately 52 primary and secondary constituents and other chemicals of additional interest are tested weekly, monthly, semi-annually, annually, bi-annually, tri-annually, and quint-annually to ensure public health. The test samples are taken from strateBic locations throughout the entire system. The City is required to publish an annual water quality report and make it available to the consumers. The system also contains a multitude of cross connection control and backflow prevention devices throughout the City. Currently, the field crew members take weekly bacterial samples for testing by an independent laboratory. The primary, secondary, and special constituencies are conducted by an engineering consulting firm through the Water Replenishment District and through Metropolitan Water District via Central Basin Municipal Water District. Recommendations The Divlsion staff should implement a routine scheduled main flushing program for the purpose of improving and maintainin8 water quality standards. Staff should also monitor and keep in contact with the water quality consultant hired by the Water Replenishment District to ensure working knowledge of full disclosure, interpretation of water quality reports, and review of new water quality State mandates and the impacts to the City. This task should be performed by in-house staff and does not have an additional cost. SCADA and MCC'S The water distribution SCADA is located at the power plant and monitored on a2417/365 schedule by VGE staff members. The system is out of date, very basic, limlted in monitoring attributes, and should be updated. An updated SCADA system will increase data collection and allow the operators more flexibility in operating the system facilities. Approximately 18 months ago staff from Pw and VGE inspected all of the MCC panels. However, the information and data collected was not memorialized, therefore, it is not available for review. Currently, an electrical engineering consulting firm is approximately 90% complete with plans and specifications for the upgrades of several water faciliry MCC electrical panels. The scope of work for the consultant's agreement also includes an Enginee/s Estimate. Recommendations The SCADA should be upgraded to include an open architecture desi8n and have expanded l/O points that allows more data collection and control. The scADA should remain at its present location and a new "view only' station should be installed in the Water superintendent's office. The McC engineering design should be coordinated with the future replacement of booster and well motors and pumps so that MCC and motors are compatible. ADMINISTRATIVE MANAGEMENT The water Division's staff, responsibillties, and duties are divided into Administration and Field activities. Administration staff duties include management, regulatory compllance, budgetary, administrative functions, finance, customer seryice, engineering, water quality, operations analysis, and project /program management. Field duties encompass, operations, repair, and maintenance of all water related facilities. The Water Division also employs outside consultinB firms for engineering design, construction management, start-ups, water quality, rate studies, operations analysis, and regulatory compliance. There is also engineerinB and planning PW staff that supports the Water Division occasionally. Recommendations The following are recommendations for the Division's duties and responsibilities: . Management - oversees, directs, prioritizes, and organizes all managerial duties of the entire division including, operations, budgetary, capital lmprovement Projects (ClP), en8ineerinS, regulatory compliance, and water quality. . Regulatory compliance - oversees, directs, prioritizes, and organizes all regulatory compliance reporting, legislative updates, all permits, vulnerability reports, water quality reports, . Budgetary - prepares, develops, and administrates the water Division's annual operatin8 and CIP budgets. Administrative Functions - administrative duties support staff, memos, staff reports, invoices, interdepartmental correspondence, meeting calendar and scheduling, and other duties as required. Finance - currently performed by the Finance Department. Customer Services - currently performed by the Customer Service Department. Engineering - all civil engineering functions are performed by outside consultants. The Water Division does not have a qualified staff member that can provide engineering consultant oversight. lt is hiShly recommended that Preliminary DesiEn Reports (PDRS) be implemented immediately. PDRs set the design criteria and are the basis for the scope of work for the RFP. The practice of using contractors that provide engineering services must be discontinued. There is an inherent risk in this practice. Water Quality - the Water Division does have a staff members qualified to oversee water quality functions, make interpretations of water quality data, and review new State water quality mandates and the impacts to the City. The City, through the Water Replenishment and Central Basin Districts, receives all water quality for primary, secondary, and special constituencies for inclusion into the Annual Water Quality Report. Operations Analysis - the water Division does not have staff member qualified to converge engineering and operations data and information for the purpose of operating the system in an effective and efficient manner. The city does, however, collect sufficient data, records, and reports to develop a nd create operational scenarios. This function is critical in maximizing system performance. Program/Project Management - oversees, directs, prioritizes, schedules, and organizes all Water Division programs and projects. Statf is proposing that three PW administration positions be transferred to VGE from PW. VGE staff is of sufficient skill and size that management, budgetary, regulatory compliance, and administration functions can be absorbed into existing VGE staff without new hires. Customer service and finance duties will remain as they currently exist. EngineerinB, water quality, and operations analysis will continue through the use of consulting firms. Proiect/program management will be handled by the three PW staff members transferred to VGE. There is sufficient space in the VGE offices to absorb the three new staff members being transferred. Another benefit is the ability for field crews to perform construction work for the gas component of VGE. The water crews will require traininB and certification, but vehicles and equipment are transferable with minimal new purchases. The water crews will continue to occupy the existing offices and shops where they presently reside. All City utility services will be housed under one department and be better able to serve the industrial and commercial customers. VGE will function as a "one stop shop" for City utility services. VGE also currently processes the Water Division's utility bills, therefore, the transition of this function will be seamless. The transfer of the three staff members from PW to VGE will leave a personnel void in the PW Department. A separate staffing needs assessment for the Public works Department will need to be conducted to address management, regulatory compliance, and administrative functions. OPERATIONS MANAGEMENT The potable water system requires daily operations and maintenance in order to meet daily demands and more importantly to meet or exceed water quality mandates and standards. The system is operated and maintained by 11 water crewmembers and supported by three administration staff members. Three crew members are designated water operators and reside at the City's power plant building. They operate the distribution system through the use of a SCADA system. There are 10 crewmembers and one supervisor who maintain the entire distribution system including the water production facilities, distribution pipelines, fire hydrants, and pumping facilities. Recommendations An operations analysis report should be initiated in July 2017. The analysis must include a labor needs assessment in order to determine the appropriate number of crew members required to properly and effectively maintain the system. The needs assessment can be accomplished by in-house management staff. There are sufficient records to conduct a system evaluation and to begin the desi8n and implementation of an asset life-cycle replacement and maintenance program. These tasks should be performed by in-house staff as their daily duties and does not have additional cost. REGUIITORY COMPTIANCE The Cihy's water and recycle water systems have a myriad of federal, state, and county regulatory compliance mandates. The more critical organizations include: state water supply permit, operator certificates, NPDES for drinking water discharges, MS4 NPDES compliance, AQMD compliance, water quality vulnerability assessment, annual water quality report (CCR), Urban Water Management Plan, state production reports, and backflow/cross connection program. The water staff must also be familiar with the following: california water Code (Title 22 &17), public contract code, Water Boards mandates, Clean water Act, and the CEQA and NEPA environmental processes. WATER ASSOCIATIONS The Water Division staff must attend a variety of meetings and keep themselves apprised with the following organizations: Clean Water Act, EPA, California Department of Water Resources, Water Resources control Board, Regional Water Resources control Board Los Angeles Region, Metropolitan Water District, Central Basin Water District, Water Replenishment District, Central Basin Water Association, South East Water Coalition, Gateway Water Management Association, American Water works Association, and Association of california water ABencies. FINANCIAT The Water Division currently does not have any debt. The annual FY 2016/2017 water Division operating budget is approximately 59,451,642. The annual Water Division revenues are approximately 58,609,544. RECYCTED WATER The City also receives recycled water from Central Basin Water District through a connection located at the Vernon Power Plant. The turn-out capacity is adjustable to necessitate City water demands and currently, recycled water is only used at the Cit/s power plant. WATER DIVISION ASSETS The Division owns all of the water assets (pipelines, valves, booster pumps, wells, storage reservoirs, etc.) outlined in this report. The Division also owns approximately 15 vehicles of various descriptions and uses and a large stock oftools used in the daily maintenance activities ofthe waterassets. The Garage Services Division has a complete and comprehensive inventory of these assets. WATER DIVISION STAFFING Water industry standard criteria requires that proper management of all water distribution systems be accomplished by a combination of technically skilled staff fluent in engineerinB design, budgeting, and operations and maintenance. lt is not important that these skilled individua ls a re in-house or out-sourced, but you must have them. Currently, the Water Division (Division) lacks in many areas: staffinB needs, strategic planning of the workforce and priorities, the use of technology, lacks in clear communications and in written policies and procedures. The Superintendent position is so overloaded with Director level duties and responsibilities that it has created a tremendous backlog of work. The backlog has impeded stafffrom making proBress in the modernization ofthe Division. For example, the Division has in the past commissioned major studies and reports that were shelved simply because the Superintendent lacked the skill set to review, interpret, implement, and make recommendations. lt is imperative that an administrative staff member of the Division be wellversed in water industry matters and must be involved in the management of the Division directly. lt is the intent of the Director of Vernon Gas and Electric to reorganize the Water Division by distributinB the managerial duties to existinB VGE management staff and by creating new positions and/or requesting classification studies of existing positions tofill thetechnical and managerial void that currently exists. STAFFIN6 The three-member administrative staff consists of a Superintendent, a Project Coordinator, and an Engineering Aide. The three positions are expected to perform all entineerinS, managerial, and operational duties without the assistances and benefit of an enBineering support 8roup. While the Division does employ consulting engineers to perform design engineering, the Division administrative staff of three does not have the in-depth engineering knowledge to constructively evaluate, much less oversee, the consultant's work product. Other Public Works support staff also lack the required engineering expertise to assist the Division. The engineering support Eroup does not have to be an in-house group, but can be a water industry expert on retainer. For example, the use of Preliminary Desi8n Reports (PDRs) should be used in order to guide the Administrative staff in the appropriate direction. PDRs lay the design map and include a 10% of the infrastructure design. The engineering firm that develops the PDR should not be allowed to propose on the Request for Proposal on the remaining 90% design. However, their contract should include hours to perform a peer review and/or value-engineering services for the 90% design contract. There is a lo-member crew and one foreman who maintain the entire distribution systems including the water production facilities, distribution pipelines, fire hydrants, reservoirs, and pumping facilities. Alabor analysis was conducted and based on the information gathered to perform the analysis it appears that the current number of crewmembers are sufficient for the estimated amount of labor the Division is tasked with. There are three caveats to the analysis, there is a long term FMLA absence currently that affects the workload, three employees are recent hires (within two years) and lack the erperience that is required to be as efficient as the more experienced employees, and because of the heavy industrial presence in the City's customer base, the Division's labor tasks require additional time to complete as opposed to a more traditional mixture or industrial, commercial, and residential customer base. lt is important for the ActinB Superintendent to initiate a validation process in order to affirm or disaffirm the results of the analysis. The validation process is simple and should take no more than two days to complete. Another important focus is the implementation of a secession plan. The plan must address reduction of the labor deficit, must improve elficiencies, and must infuse technological methods and tools. Simpty stated, Water Division must improve the manner by which they perform the day-to-day functions and duties. The Division's ll-memebr crew consists of a Foreman who supervises and schedules the day-to-day maintenance functions of the Division. The Foreman meets frequently with the Project Coordinator to discuss operational matters. Two Senior Water Maintenance Workers and one Water Maintenance Worker are assigned to well maintenance duties. A Senior Water Maintenance Worker is assigned to meter repairs and USA markings. A Senior Water Maintenance Worker is currently on FMLA leave. One Senior Water Maintenance Worker and three Water Maintenance Workers are assigned to construction duties. A Lead Meter Reader and a Meter Reader are on meter reading duties. The most observable outstanding concerns are: no incentives to innovate, no incentives to be more efficient, little to no technological or automated tools to assist in the crew's daily duties, little to no opportunities to move up the ranks and a serious lack of managerial support from the PW administrative staff. For example, the City is issued the Drinking Water Permit, therefore, it is the responsibility of the Superintendent through the guidance and planning of the Director to maintain the permit in compliance. Furthermore, it is not the responsibility of the employee to maintain a pool of D-4 and T-3 certified employees, but is the responsibility of the Director and Superintendent. lncentives for additional certifications and specialized training could be explored as a means for professional development and improved service. While it appears that crewmembers are well placed, they, nonetheless, operate in a reactive mode rather than proactive mode. Crewmembers are moved within their respective job descriptions at will and the 10 reassignment is typically unplanned. This type of reactionary management practices exPosures the Division to unnecessary risk liabilities. There are also a lack of metric tools to measure and quantify how crewmembers perform their duties and how their time is spent. The GIS Pro8ram must be desiSned to capture all technical information of assets, the amount of labor spent on maintenance activities, and an analysis of the infrastructure in order to make informed decisions. The City's DrinkinB Water Permit requires a D-4 and T-2 certification in order to meet permit compliance. The following are the current certificates held by all employees: . Two D-3s and two T-2s . Five D-2s The division is deficient in maintaining a sufficient pool of certified employees. Currently only the Project Coordinator meets the Drinking Water Permit compliance requirements. A minimum pool of three employees must have their D-4 and T-2 to provide permit compliance. The new Division management staff must create a collaborative working relationship with the State Water Board. The Board is the Boverning authority over the City's Drinking Water Permit. lf the City becomes out of compliance regarding operator certification, they have the authority to grant a temporary waiver while the City hires a certified operator or an existing D-3 Division operator successfully acquires his or her D4 certificate. The Division does not have a formal certification proBram which is critical for secession and employee retention planning. The program must track, incentivize, and follow-up with all employees who hold water certificates. For example, a negotiated premium pay could be offered for employees who successfully obtain their D-4 and T-2 certificates. The Division field staff is not well versed in budgeting and procurement processes. Staff relies on the Superintendent for budgeting matters. While the foreman does assist in the preparation of a preliminary estimate of certain line items, staff is not aware of how budget funds are allocated, reassigned, or expensed. Equally, they are not aware of how the procurement process works and rely on management staff to guide them through the process. Their inability to interpret or navigate through the budget and procurement process has the effect of slowing down their work and impeding their performance. The Division must develop and implement a concise and goal oriented secesslon plan. Once ahe Water Division is transferred, additional consideration should be given to staffing alternatives. A classification study should be conducted for the Proiect Coordinator position. The position must continue in its present duties of pro8ram/proiect management and must also directly supervise the Engineering Aide and Foreman positions. a Supervisory position should be created to indirectly oversee all Division crewmembers, maintenance planning, be the operations liaison for engineering design projects (but not as the engineer), and oversee replacement and mandated programs and proiects such as valve turning, valve replacement, hydrant repair and line replacement. ln addition to staffing needs, the Division does not have a written employee development program. The program at minimum should include career paths, cross training, mentoring, training, and division of labor. 77 STRATEGIC PTANNING OF WORKFORCE and PRIORITIES The Division lacks project engineering oversight. The Division does not have qualified in-house engineering staff to oversee design projects (plans and specs), construction management, and develop or evaluate Preliminary Design Reports (PDRS) and to supervise and provide guidance to consulting engineers. The Manager position recommended above should perform these functions. The Mana8er position recommended above should be able to perform these duties or an on-call independent consultant can perform the duties. Over the years the Division has commissioned independent and mandated reports such as the Urban water Management Plan (UWMP), Hydraulic Modeling Program, Hydrological Evaluation of Vernon's Groundwater Supplies Study, Water Quality Annual Report, and others. Currently, these report are shelved and never reviewed and implemented. The Division also interfaces with regional water agencies such as central Basin and Replenishment District for the purpose of discussing technological advances, raters, hydrological reviews, technical support, Brant-funding of water infrastructure, and a host of others programs. The Division lacks a position that oversees these functions in a constructive and analytical manner. For example, the city entered into a meter replacement grant program with a program life of three years. The Coordinator created a cost and labor spreadsheet and upper management did not act on the program. As time passed, the value of the program diminished to a level that made the program financially ineffective. The Manager position recommended above should be able to perform these functions or they can be performed by an on-call independent consultant. Another example is the UWMP. The UWMP is a legislative mandate under the SBXT-7 implemented by the Department of Water Resources (DWR) in 2009. The plan is a long term resources plan to ensure adequate water supplies to meet future water demand. The plan also requires assessment of a reliable water source over a 20 year plannlng horizon. The plan also mandates a water conseryation reduction of 20% by the year 2020. The UWMP requires updating every five years and submission to DwR after the update occurs. The plan is reviewed, filed, and monitored by DWR staff. The DwR does provide guidance and workshops for urban users in the preparation of their UWMP. The City's plan is a 30O page document and was updated in 2016, however, to my knowledge, no one is in charge of its implementation. The Division has a serious and detrimental disconnect between enBineering and operations staff. Lower level staff (the Project Coordinator) is expected to provide technical engineering guidance to out-sourced engineering consultants. To his credit, he does this best given the limited resources available to him or better stated, the lack of resources Biven to him. For example, the Well 21 conversion and well 11 rehabilitation projects did not have in-house engineering oversight. The design engineer designed Well 21 with a VFD electrical component in case the well production did not meet the design criteria. The engineer informed staff that the design capacity of 1500 GPM may not be able to be achieved, but instead may fall to approximately 1,200 GPM. ln order for the lower design capacity of 1,200 GPM to be met, the engineer proposed the VFD design. While the practice is common for small domestic wells, it is not recommended on high produaion wells. A hydraulic model that simulate the distribution system's dynamic should have been created by the design engineer to prove the effects the VFD will have on the distribution system and more importantly on the geological structure of the well. ln the case of Well 11, during the rehabilitation process it was discovered that the existing well was not worth developing. The contractor recommended a slip liner that has the effect of reducing the well's production yield. lt is not clear whether or not a licensed engineer was brought in to evaluate the existing well to determine if the well's structural integrity was compromised to a point that a liner would not work. Plans and 72 specifications should have been commissioned along with hydraulic calculations to prove the worthiness of the well's production yield. A benefit/cost analysis should have been developed to determine whether or not a new well was the better solution. The liner retrofit should have been designed and modeled by an independent licensed engineer. While water well contractors do have licensed engineers on their staff, they are not h ired for or required to provide signed plans; that is typical industry practice. Currently, there is a serious lack of technical engineering leadership in the Division. The Division does not have any Computer Maintenance Management Systems (CMM5)to capture critical data and information for the purpose of planning maintenance and CIP programs. They also are not able to perform analysis and analytical functions and calculate asset repair costs, down time, unit costing, and other useful implementation calculations. The new Supervisor position should be assigned this function. The Division does not have any written Standard Operations Procedures (SOPS). SOPS are a set of step- by-step instructions to achieve operational efficiencies, produce quality output, maximize performance, standardize performance, and to reduce miscommunications. SOPs should include operations manuals, manufacture/s maintenance manuals, and an information database. The new Supervisor position should be assigned this function. The Division does not currently have a written formal Capital lmprovement Program (ClP). The CIP must contain all assets and be prioritized in order of needs. A life cycle Asset Management (AM) approach must be employed and the following tasks must be used in order to develop the clP: asset assessment needs analysis, benefit/cost analysis, operations validation, and prioritization matrix and program timeline. The new Supervisor position should be able to perform this function. The Division has the basis for valve, meter, and hydrant exercising and replacement proBrams, but currently the programsare implementedon an as needed basis. However, lwastoldonJanuary30,zOLT that the valve exercise program was completed and the database was being populated. Formal exercise and replacement programs must be written and contain implemented schedules and a cost matrix. The service should be divided into quadrants for ease of tracking and implementation and all functions must be captured on the Gls program. The new Supervisor position should be able to perform this function. TECHNOLOGY The Division is not automated and if automation does exist it is outdated or not in use. The SCADA is a Bood example of outdated technology. The need for technology tools and accompanying recommendations are embedded into the other sections of this report. However, in summary, implementation of the GIS pro8ram, introduction of CMMS software, and an updated SCADA system are all recommended. The implementation of new and advanced technologicaltools serve to decrease work efforts, make efforts more efficient, be more proactive, create standardization of procedures, reduce labor hours, reprioritize programs and projects, and redirect labor savings. The Engineering Coordinator is currently working with the lT Department to develop the Division's GlS program. lt is hiBhly recommended that the Coordinator be allowed to collaborate with neighboring water agencies to Sather ideas and to identify useful attributes to enhance the performance of the Gls database program. COMMUNICATIONS The Director and Superintendent attend many association and agency meetings, however, there is no formal methodology to capture or update the Division staff on the current event matters from such 13 meetings. A simple email or short concise memo in a chronological file would be sufficient. For example, the GWMA offered a meter replacement Brant over a span of three years terminating on December 31, 2017. The program provided a rate of return to the City of approximately 48%. The program has not been started and is In its final year. lt would take doubling the original labor estimates to complete the program, thereby, diminishing the rate of return to approximately 17%. There is little to no technical interaction between the Director and Superintendent and the Field staff. Field staff is not being exposed or trained to understand the correlation between englneering and operations of water facilities. Forexample,the Field staff does not have a basic understanding of system hydraulics as to why some wells flow into reservoirs and others into the distribution system, how well and system distribution pressures affect well production, how to interpret efficiency pump and motor analysis reports. Even though they collect daily data, they are not trained to calculate "specific capacity'' of a well to interrupt production performance. This type of training is critical for staff to have in order to properly operate and maintain all water assets. The Division does not have a system of documenting, cataloging or utilizin8 daily system records. Currently, much of Division's operations data is kept in a shared drive and/or in someone's office files. For example, currently there is only one person who knows where the data is located, the Director and Superintendent do not utilize the data for system improvements, and the data is not shared with crewmembers in order to better understand the dynamics of the distribution system they are required to operate and maintain. ln the past, the Division commissioned reports, studies, and analytical manuals for the purpose of meeting regulatory mandates and to improve the operation of the distribution system. However, the reports and studies are not shared nor used by in-house staff or out-sourced consultants in the evaluation or design of critical water infrastructure. This practice must stop and the reports and studies must be revised and made available to the appropriate staff and consultants. POTICIES AND PROCEDURES Due to a lack of time, I was not able to properly evaluate the Division's policies and procedures. lt appears that the Division does not have written policies and procedures other than job descriptions, employee rules and regulations, and union contracts overseen by the Human Resources Department. There is a fairly descriptive section in the City's Code of Ordinance as to the governance and legislative authority of the Water Division. lt is highly recommended that Code of Ordinances be reviewed and updated as deemed appropriate. Lastly, a name change of the department in charge of the Water Division will be required in Code of Ordinances. All references of the Division's legislative authority should be removed from the Public Works Department and transferred to the Electric and Gas Department. 14 ORDINA}ICE NO. L24O AN ORDINANCE OF THE CITY COUNCTL OF THE CITY OF VERNON AI4ENDfNG VARIOUS SECTIONS OF THE VERNON MUNICIPAL CODE TO IMPLEMENT REORGANIZATION AND RENAMING OF CERTAIN DEPARTMENTS WITHIN THE CITY; ATiID REPEALING ALL ORDINANCES OR PARTS THEREOF IN CONFLICT THEREWITH WHEREjAS, Ehe Cit.y of Vernon (the ,City,) is a municipal corporaEion and a charEered city of Ehe State of California organized and existing under iEs Chartser and the ConstituE.ion of the StsaEe of California; and WHEREAS, sect.ion 2.6-6(a) of tshe Vernon Municipal Code grantss the City Administrator broad auEhoriEy and discretion tso control the administ.rative affairs of Ehe CiEy; and WHEREAS, section 2.5-5(c) of the Vernon Municipal Code aut.horizes the City Administrator to reconrmend tso the City Council any " reorganj-zatsion of officers, departments or divisions as may be indicaled in the interests of Ehe efficient, effective and economical conducts of tshe City's business, and to effec! such reorganization when autshorized by appropriate ordinance, resolution or motsion of the City Council" ; and WHEREAS, under Article IV of ChapE.er 25 of tshe Vernon Municipal Code, custsomer-facing waEer-rel-at.ed servj.ces are current.ly under the purview of tshe Pub1ic Works, Water and Devel-opment Servj-ces Department. i and WHEREAS, for purposes of efficiency and consist,ency with other municipal utiliEies in California, the CiEy Administrator desires to consolidaEe all uti l ities - relatsed services in one departmenC - namely, t.he Gas and Electric DeparEmenE; and WHEREAS, the oversighE, mainEenance, and regnrlation of the CiEy's storm sewer system sha1l remain witsh tshe Pu.blic works, water and Developmen! Services Departmene and sha1l not be included in the tsransfer of water-relatsed services to Ehe Gas and Electric Departsment; and WHEREAS, certain additions and amendments !o the Vernon Municipal Code are needed to implemenE this reorganization and renaming of t.he Public works, water and DevelopmenE Services Department to the "Public works DepartmenE"; of the cas & ElecEric Department to the "Public Utilities Departsment"; and, when referring tso the department as a stand-alone ent,iE,y, of Vernon Gas & Electric to "Vernon Public Utilities" ; and WHEREAS, the title of the head of Ehe Public UtiliEies Department sha1l be changed from "Director" to "ceneral Manager"; and WHEREAS, Chapter 4.1(f) and (h) of Ehe Charter of the CiEy of Vernon provides Chat. an ordinance shal1 amend a code or repeal any ordinance or code previously adopted. THE CITY COUNCIL OF THE CITY OF VERNON HEREBY ORDAINS: SECTION L: The City Council of the CiCy of Vernon hereby finds and deEermines that all of the foregoing reciEals are true and correct . SECTION 2: The CiEy Council of the City of Vernon hereby amends Sections 1.8-1(b) Q), 1.8-1(b) (3), L.8-5(a) (2), 2.63, 2.64, 2.66-2,2.69-L(dl ,2.69-1(j),5.92(k) , s.97, s.107.01 (d), s.l_07.08(9) , 7.l-3 (a) , 7 .13 (b) , L5.1, 15.21(d), 17.15 (d) (1) (B), 2L.r.2, 2L.3.L, 22.L, 22.90 (a) , 24.L, 24.L6 ld) , 24.6]-, 24.LLt(b) , 24.111(c) , 24.LtL(e) through (g) (inclusive) , 25.7, E.itle of ArEicle IV of Chapt er 25, 25.60 tshrough 25.54 (inclusive) , 25.65 through 25.68 (inclusive) , 25.70 tshrough 25.74 (inclusive) , 25.75, 25.82, 25.84 lal , 25.L06 tshrough 2 25.110 (inclusive) , 26.2.3, 26.2.4, 26.3.2, 25.5.1-5lal , 26.6.2-2, 26.6.2-3, 25.6.3-t, 26.6.3-2, 26.6.4-2, 26.5.4-3, 25.6.5-2, 26.6.6-6, 26.6.7-2, 25.5-7-4, 25.Ll .l-7, 27.34 through 27.37 (irlclusive ) , 27.40 through 27 .45 (j-'rc]-usive) , 27 .47 , 27 .48, 28.6, 28.47 , 28.48, 28.50 (b) , 28.50(d) , 28.5]-(a) through (c) (inclusive) of the Vernon Municipal Code, as set forth in ExhibiE A which is attached hereto and incorporat.ed by reference . SECTION 3: The CiEy Council of tshe City of Vernon furtsher hereby amends Rule Nos. 5, l-0, 12 and 15 of the City of Vernon Rules for Elect,ric Service, which are incorporatsed by reference in tshe Vernon Municipal Code under sectsion 30.8 of ArEicle II of Chapter 30 of the vernon Municipal Code, as set forth in Exhibit B which is attached hereto and incorporated by reference. SEcTfoN 4: Any ordinance or parts of ordinances in conflicE with this Ordinance are hereby repealed. SECTIoN 5: Severability. If any chapcer, article, section, subsection, subdivision, paragraph, sentence, clause, phrase, or word in Ehis ordinance or any par! tshereof is for any reason held Eo be unconsEitutional or invalid or ineffective by any courE of competent jurisdiction, such decision shalI noE affect the validity or effecEiveness of tshe remaining portions of this Ordinance or any part. thereof. The City Council hereby declares thaE its would have adopted this ordinance and each chapter, artsicle, section, subsectsion, subdivision, paragraph, senEence, clause or phrase thereof, irrespective of the fact lhat any one or more chapters, arE.icles, sections, subsect.ions, subdivisions, paragraphs, sentences, clauses, phrases or words be declared unconsEitutional, or invalid, or ineffective. 3 SECTION 5: Book of Ordinances. The CiEy Clerk, or Deputsy City C1erk, shal1 at,cesE and cert.ify to Ehe adoption of this ordinance and shall cause this Ordinance and tshe City Clerk's, or Deputy CiEy Clerk's, certificaEion t.o be ent.ered in Ehe Book of Ordinances of the Council of this City. The ciEy clerk, or Deputy City Clerk, shall cause this ordinance to be published or post.ed as required by 1aw. SECTION 7: Effective Date. This Ordinance sha11 go into effecE and be in fuII force and effects ats 12:01 a.m. on the E.hirty- firsE (31st) day af t.er iEs passage. APPROVED AND ADOPTED Ehis 21sr day of March, 2017. Name: Tirle:Ittayor / Mayor Pro-Tem ATTEST : City Clerk / Deputsy City Clerk APPROVED AS TO FORM : City Attorney 4 STATE OF CAIIFORNIA )) ss COUNTY OF LOS ANGELES ) I,, CiE.y Cl-erk / Deputy Cicy Clerk of Ehe Cit.y of vernon, do hereby cerEify Ehat the foregoing ordinance, being ordinance No. 1240 was duly and regularly introduced ats a regTular meeting of the ciEy Council of tshe Citsy of Vernon, held in the City of Vernon on T\.lesday, March 7, 2O!7, arl.d EhereafEer adopEed at a meeting of said CiEy Council held on Tuesday, Marcl\21, ]9f7, by the following vot.e : AYES: NOES: ABSENT: Counc i Imembers : Councilmembers: Councilmembers: And thereafter was duly signed by the Mayor or Mayor Pro-Tem of the CiEy of Vernon. Executed this _ day of March, 2017, aL Vernon, California. ciEy Clerk / Deputy City Clerk (SEAL) 5 EXHIBIT A E:XHIBIT 'A" Sectioa 1.8-1. Ad'ni niatrative eaforcemeat - Scope, defiuitlong, and heariag procedurea. (b) Def init.ions. (2) Director means each of the Director of pu-bIic Works, the General Manager of Public Utilities, the Director of Health and Environment.al Control, the Chief of the Fire Department and the Chief of the PoIice Department, individually. (3) Enforcement official means any person authorized toenforce the provisions of the Vernon City Code. including but not Iimited to City Attorney, City Police, Fire Officials, employees ofthe Pu.blic works Department, employees of the pubLic utiliEies Department, employees of the Health and Environmental Control Department, Code Enforcement Officers, and any other person authorized by the City Attorney. SectioD 1.8-5. NuLsances. (a) Public nuisances defined. (21 Buildings or struct.ures which are partially destroyed, or abandoned and not fully secured, for more than ninety(90) consecutive calendar days, or ninety (90) calendar days within a one hundred twenty (L20) calendar day period, r:n1ess a longer time limit is approved by the Director of Public works; *** sec. 2.63. Water Fu.ud. The City Council of the City of Vernon hereby ratifies the esEablishment of Wat.er I and If (CMD) Funds to be used for Che collection of revenues and the payment of expenditures for water- related services. *** Sec. 2.64. Pu.bllc Utilities Department. Pu-Ed. The City Council of the CiEy of vernon hereby ratifies the esE.abl-ishment of the hrblic Utilit.ies Depart.ment as a separate department of Ehe City of Vernon and the establishmenE of a pr:blic UtiliEies Department F\md to be used for the collection of revenues and tshe payment of e)q)enditures for said department, except for suctrrelated to water or gas. Sec. 2.66-2. Authorized funda. Upon the adoption of this article, the authorized funds of the City of Vernon sha1l consist of the following: 055 - Public UtiI it ies *** Sec. 2.59-1. Departneut.. The City shall have the following departmenEs and Ehe City Council of the City of Vernon shall appoint the department head by resolut.ion, after receiving the recommendation of the City AdminisErator: (d) Pu.blic works Department. There is hereby created and ratified in the service of the city the Public works DepartmenE. The Director of Public Works shall administer Ehe Public works Department and report to the City Administrator, subject to the provisions of the Code of Ehe CiEy of vernon or as prescribed by Ehe City Council. The Director of Pllblic 9lorks also serves as the City Engineer, Building Official , Director of Community Services, Traffic Engineer and superinEendent of sEreeEs, and in these capacities shall also report to the City Administrator. (j) Public Utilities Department. There is hereby created and raEified in Ehe service of the City, Ehe Public Utilities Department. The General Manager of Public Utilities shall administer Ehe Public utilities Department and report to the city AdminisErator, subject Eo the provisions of the code of the city of vernon or as prescribed by Ehe city council. sec. 5.92. Adult or Bexually orieDted buEinees developmeat aod performa-D.ce EEaadardE . (k) No person under the age of eighteen (18) years sha1l be permiEted rrrithin the premises aE any Eime. The building entrance t.o an adult or sexually orienEed business shall be clearly and legiblyposted with a notice indicating that people under the age of eighteen(18) years are precluded from enEering the premises. Said notice sha1I be construcEed and posted to Ehe satisfaction of the Director of Pulllic works or his/her designee. sec.5.97. rEsp€ctLon. The permittee and/or operator shall permiE officers of the City and representatives of the PoIice Department., Health Department, Fire Department, E\Dlic Works Department, or other City deparEments to conduct unscheduled inspections of Ehe premises of the adulE or sexually oriented business for the purpose of ensuring compliance wiEh the law at any time the adulE or sexually oriented business is open for business or occupied. .- Delay or obstruction of such inspection may be grounds for suspension or revocation of any license or permit issued by the City. *ili Sec. 5.107.01. DefiDitioa6. For t.he purposes of Ehis Article, the following definitions apply: (d) "Direct.or" means the Director of Health & Environmental Control or the Director of Public Works or each Director's respective desigmee. The Director's desigrrees may include the City's code EnforcemenE officers. sec. 5.107.08. Facillty RequireEeEtg. ... In addiEion, the massage establishment shal1 meeE the following requiremenEs: (S) AIl plunrbing and electrical installations shall be installed under permiE and inspected by the Department of Public Works and such installations shall be installed in accordance with the Uniform Building code and Ehe Uniform Plumbing code. *** gec. 7.13. ApplLcatiou for per it aad iaeuaace. (a) To obtain a permit., the applicant shall first file an application therefor in lvriting on a form furnished by the Director of Public Works for that purpose. (b) Plans, engineering calculations, diagrams and other data shall be submitted in a minimum of four sets with each applicat.ion for a permit. The Director of Public works may require plans and calculat.ions to be prepared and designed by an engineer licensed by Ehe State t.o practice as such. **!t sec. 15.1. Definitlola. Traffic Engineer. The Traffic Engineer of t.he city or his/her duly authorized representative. In the event that at any time Ehere shall noE be a Traffic Engineer of Ehe CiEy, then the same shall be deemed to be the Director of Public Works of the City. *** Sec. 15.21. Prohlblt.lEg the parkLDg or stardlag of aay geni-t,raLler upoD or along a-oy public stree! iD the City of verD,oDi exceptloD. (d) The Chief of Police and Director of hrblic works are hereby instructed to cooperate in Ehe securing and placing of sigms to comply with S 22651(n) of the vehicle code of the state of California. Sec. 17.15 Caq)irg prohibited. (d) The provisions of Ehis sect.ion do not apply to: (1) portable uniEs which B. have received writt.en approval from the Director of Public works for such Eemporary usage .... *!t* gec. 2L.L.2. statsutory autshority. The provisions of Ehis chapEer are adopted pursuant to the Federal Water PolluEion Control Act, also knordn as the Clean Water Act., as amended, 33 U.S.C. SS 1251, et seq. Nothing in this chapEer prohibits the Director of zublic works and Ehe Health Officer fron regulating gewers or stormwater in a manner that exceeds Ehe requirements of the Clean Water Act, the State Water Resources Control Board and negional Boards . *** Soc. 21.3 . 1. IJocal authority. The DirecEor of Public works, as t.he City Engineer, shall have charge and control of all sewers and sEofln drains in the city and sha1l construct, operate, maintain, alld repair all such systems subject Eo Ehe direction of the City Council. The ciEy Engineer and/or Ehe Health Officer shal} enforce t.he provisions of this chapter. *** Sec. 22.L. city Bagineer-offLce created. There is hereby created and established the office of city Engineer. The Director of Public Works sha11 be the city Engineer. The ciEy Engineer shall hold the positi.on at the pleasure of the ciEy Council. Sec. 22.90. Trafflc coDtrol. (a) -. The countersigned transparency and a reasonable number of official copies, as determined by the Traffic Engineer, are to be retained by the Public works DeparEment. *** sec. 24.1. Dilector of Pu.blic l9orks defiaed. Director of Public works, Building official , ciEy Engineer, Traffic Engineer, and superintendent of streeEs are defined to have one meaning. In this chapter and wherever else the same may be appropriate in this code, or in state statutes whenever reference is made to Director of Pub1ic works, Building official , city Engineer, Traffic Engineer, or superintsendent of streets, they shall be deemed to refer to the same official . *** Sec. 24.15. Electrical Code anendnent€, addlElons a-ad deletloEs. The 2013 Edition of t.he California Electrical Code is hereby amended as f ol lows : ... (d) S€c 402.7 Utiltty Notlflcation. en applicant for an electrical installation Ehat will require an increase in Ehe amounE of power supply to the elecErical service by more Ehan 50 amps shall notify the Vernon Pub1ic Utilities Department of the addj,Eional new load. gec. 24.51. Notlce to owaera. At the time of approval of any change of occupancy for an existing unreinforced masonry bearing wall building, except for a change of occupancy subject to section 24.63(cl of Ehis code, Ehe Public Works Department shalI provide a notice to the oyrner that the city considers Ehe building t.o be unsafe and shall encourage the owner to voluntarily comply with Appendix chapter 1 of the Uniform code for Building Conservation. *** sEa1l RegideDt.ial Rooftop golar Energy system Revievsec. 24.111. Process. (b) .- The Director of Public Works, or his/her desigrnee, is hereby authorized and directed to develop and adopt such checklisE. (c) ... The applicant may submiE Ehe permit application and associated documentation to the City's Public Works Department by personal, mail, or electronic submitEa] Eogether r.ritsh any requiredpermit processing and inspection fees. (e) For a small residential rooft.op solar energy systemeligible for expedited review, only one inspection shall be required, which shall be done in a cimely manner and may include a consolidated inspection by the Director of Public works, or his/her desig"nee, a.nd the Fire Chief, or his/her designee. .... (f) An application that satisfies Ehe information requirementsin Ehe checklist, as determined by the Director of Pu.blic Works, orhis/her designee, shaIl be deemed complete. Upon receipt of an incomplete application, the Director of Public works, or his/her desigmee, shall issue a written correction notice detailing alI deficiencies in the application and any additional information required Eo be eligible for expedited permit issuance. (s)Upon confirmation by the Director of Public Works, or his/her designee, of the application and supporting documentation being complete and meeting the requirements of the checklist, the Director of hrblic works, or his/her desigrree, shall administratively approve the applicaEion and issue all required permits orauthorizations. ... The applicant is responsible for obtaining such approval or permission from the vernon Public Utilities. gec. 25.7. BoDd or deposits Prerequlsite to teq)orary coDaectlou. ... said deposit shall guarantee the pa],/menE of all water charged Ehrough said connection and the return to the City Public UtiliEies DepartmenE in good condition, usual wear and tear excepted, of all materials furnished by the City in making said connection, Eogether with aII labor costs with respect thereEo. *** Article IV. Public Irtilities Departneat Ruleg ard Regulations. sec.25.60. PUL?oae. The Public UEilities Departmenc will exercise reasonable diligence and care to deliver a continuous and sufficient supply of water to the customer at a proper pressure, and to avoid any shortage or interruption in delivery. The Public Utilities Department will endeavor Eo supply a safe and potable water at all times. wtlere the use of water on a cusEomerrs premises requires water for specific uses demanding a better qualiEy of water tshan that served by the Alblic utiliEies Department, the customer shall provide water treatment facilities capable of producing water of the desired quality. *** sec. 25.61. DeflDlEloE of terms. Standby senrice. city water service to property which is supplied in part. with water from some source of supply other Ehan the Fublic UtiliEies Department . water serlrice. A water service consisEs of all piping, valves, meters and appurtenances insEalled by Ehe PubIic Utilities Department for the purpose of furnishing water Eo public or private property from the municipal water distribution system. *** gec. 25.62. classea of eervice. ALl services installed by the Public Utilities Departsment will be claesified as follows: -. sec . 25 . 63 . :ftE)€a of ge*Lce. The t)Des of service available from the Public Utilities Department are: (a) MeEered rate; (b) st.andby rate, (c) Fire protection rate; (d) Temporary service rate. The Public Utilities Department. will serve water from the city's wat.er distribution system Eo Ehe customer's property. when installed, all components of the water service, up to and including the vrater meEer, whether located on public or private property shall become the property of the City of vernon arrd Ehe City reserves the righE to repair, replace and maintain Ehe water service. sec. 25.64. Apprlcatiotr for ""r-r]a"r gervlce. Before water shall be supplied to any property for domesEic, commercial, industrial and fire prot.ection service, the or.rner or customer sha1l make application to t.he Pub1ic Utilities Department. The Public Utilities Department, as a condition to approving such application and furnishing water Eo sai-d property, is authorized Eo and shall require a payment in advance equal Eo the cost of water service installaEion and any applicable deposit. The cost esE.imated by the Public utilities Department must be deposited in advance, lrith tinal adjustment of charges to be made upon completion of installation and prior to turn-on of water. sec. 25.55. *** Tenporary fire hydrant connectioa. The Public UtiliEies Department will insEall a water service on a fire hydrant in such a manner as noE Eo interfere wiE.h t.he free use of such hydrant for fire purposes, and the applicant shall pay for aII water passing through such service at applicable rates. The applicant sha1l be held responsible for loss or damage to the water service or services from Ehe time of installation until the removal, or until forty-eighE hours after notice in writing has been given Ehe Public UtiliEies Department that termination of the serviceis desired. sec. 25.67. staDdby gervice. ... The Public Ut.ilities Deparlment reserves the right to refuse to furnish water and may discontinue standby service to any premises where such service may be detrimental or injurious to the service furnished Eo other customers . *** Sec. 25.58. Extelsloa of distributioE syaten. (a) AppTication. Any applicant who as owner or subdivider of a single Iot, subdivision or Eract of land, desires Ehe. exEension of waE.er mains and services Eo such lot, subdivision or EracE of 1and, shall file a writ.ten application !,rith Ehe Public utiliEies DeparEment. (b) Deposit. In the event such application is approved, said applicant shall deposit with the Public utilities DeparEmenE, cash or other method of payment satisfact.ory to Ehe ciEy in an amount determined by the Public utiliEies DeparEment to be the total estimated cost of such mains and services, including all Iabor, pipe, valves, fittings, fire hydrants and aII appurEenances necessary for a complete sysEem exclusive of customer services. -. sec. 25.70. Meter teatltrg. ... such demand shall be made in writing to the hrblic utilities DepartmenE, and shall be accompanied by a deposit of one hundred dollars for one, one and one-haIf, and two inch meEers, and one hundred fifty dollars for Ehree, four, and six inch meters. Upon receipE of such demand, the Pulclic UEiliEies Department shall examine and Eest the meter. If the meEer is for:nd to regisEer over two percent more water than acLually delivered, another meEer will be substituted and the deposiE shal1 be repaid to the customer making Ehe application, and Ehe water bill for the current period adjusted in such manner as the Public utilities Department may consider fair and j ust . ... *** Sec. 25.71. Irasafe apparatu6. The Public UtiliEies Department may refuse to furnish water arrd discontinue service to any premises $rhere apparatus, appliance, or equipment using water are dangerous, unsafe, or not in conformity with any applicable laws or ordinances, and where such service may be detrimenEal or injurious to Ehe service furnished to other customers. *** Sec. 25-72- Custsomer'a coEtrol valvea. ... No person except authorized City of Vernon personnel shall enter the meEer vaulE or operate or cause Eo be operated Ehe curb stop or valve in the meter box installed by Ehe Public Utilities Department . *** Sec. 25.73. ID.terruptlou La gervLce. The Public utilities Department reserves the right to shut off the water to any premises or portion of the distribution sysEem as long as necessary, without notice to the customer, if an emergency so dictates. In cases other than an emergency, the hrblic Utilities Department shall attempt Eo notify all cusEomers of the forEhcoming interruption of service and Ehe probable length of time for which Ehe wat.er wi 1I be shut of f . sec.25.74.File hydrantg. ... The Public Utilit.ies Departsment wiII, upon reqJuest, subjec! Eo approval by the Fire Department, change the location along the curb, provided the Ia-bor arld material costs are paid for by the person or persons requesting the change. The hrblic utilities Department. shall esEimate the cost of the required installation. The estimated cost shall be paid to Ehe Pub1ic Utilities DeparEmenE in cash or certified check payabLe to the City of Vernon. ... gec.25.75. Liabtlitsy. All customers sha1l, upon application for water service, consent Eo and hold Ehe Public Utilities Department and the city of vernon harmless for any damages caused by fluctuation of water pressures or interruption of service. -.. (a) Cugtomers' property. The city of vernon and/or the Public Utilities DepartmenE shall in no way be responsible for any damage to person or property because of any leakage, breakage or seepage from any pipe, valve, appurEenance, or equipment situated on any private property, nor shall they be responsible for any leakage, breakage or seepage from any pipe situated between Ehe meEer insEalled at Ehe curb and private property served thereby. (b) Senlicing. The City of vernon and/ or t.he Public Utilities Department sha1l not be responsible for damage to property caused by defective piping on the customer's premises and by spigots, faucets, valves and other equipment that are open when water is turned onoriginally or when turned on after a temporary shuEdown. (c) Damage of FtbTic UtiTities Department property. ..,. Sec. 25.82. DefinltlonE. BuiTding Department shall mean t.he CiEy of vernon Department of PubIic works. Sec. 25.84. CroEs-coDaectloa protectioD requiremeDtg. (a) The city Public Utilities DeparEment is responsible for protecEing Ehe wat.er within the city-owned public water system. ... Sec . 25 . 106 . Rellef f ron corylla.Ece. The ceneral Manager of Public Utilities of Ehe City of Vernon shall develop such procedures as are necessary to process applications for relief and shall, upon the filing by a customer of an application for relief. take such steps as are reasonable to resolve the application. gec.25.10?.Failure to conply. (b) .- (3) Third and subsequent violat.ions. For a third and each su-bsequent violation, the City may impose an additional surcharge of Een percent for each such violaEion and the City may install a flow restricting device on Ehe service of the customer at t.he premises at which the violation occurred for a period determined by the ceneral Manager of public utilit.ies. ... *:t* Sec. 25.108. Hearirg regardlag violatloug. (a) Any cusEomer receiving notice of a second or sub- sequent. violation of this ordinance shall have a right to a hearing by the General Manager of Public Utilities of the Cit.y of Vernon. (b) within Ehirty days of mailing of the notice of violation, the customer must file a timely writ.ten request for a hearing with the General Manager of Pub1ic Utilities, which request shall automatically stay installation of a flow- restsricting device on the customer's premises unEil a decision has been rendered. (d) Notice of the decision of Ehe ceneral Manager of Public Utilities shall be given in writing. *** sec.25.109. Appeal. Any determination or decision by the General Manager of Pul:Iic Utilities may be appealed to the City Counci]. ... *** Sec. 25.110. DeterminaEion of Phaae I, II, and III Shortage. ... The General Manager of Pu-bl,ic UtiliEies shall file a report and documentation supporting the need for such a determj-nation with the Cit.y Council . .... *** sec. 26.2.3. Definitione (C). Change of Use shall mean any new use or change of acEivity, including Erny commencement of a new business activity, purpose, or use Ehat requires a permit from the Department of Public Works pursuant to this Chapt.er, excepE that a use permitted by a Temporary Use Permit or a Special Events Permit shalL not be considered a Change of Use- Sec. 26.2.4. Definitioas (D). Director shaLl mean the City of Vernon Director of Public Works. gec. 25 -1 .2 . CoryreheDsive ZoDiDg Map. .- Copies of the Zoning Map are on file hrith the Department of hrblic Works arld are available on request. .... *** gec. 25.5.1. Off-Street Parklag aad Loaditlg Facllities. gec.26.5.7-6. standards. gec. 25.6.3. Parking, Maneuvering, and Loading DeveTopment (a) ceneraT. ... ... with the concurrence of the City Council, the Director of Public works shall utilize the reconmended minimum parking and loading and maneuvering requiremenEs as Ehe standard for thaE and similar sec.26.6.2-variances. sec. 26.6.2-2. AppTication and Fee. An application for a Variance shall be made by the property owner or authorized agent to the Department of Pub1ic works, on a form provided for Ehat purpose by Ehe city, and shall be accompanied by a filing fee in an amount established by resolution of the city council. ... Sec. 26.6.2-3. fotice of Public Hearing. Following presentation of a completed application Co the Department of hrblic Works, the City Clerk shall set the matter for public hearing to be held not less than ten (10) days or more than sixty (60) days from Ehe date of notice. ... rt!t* conditional Use Permit. Sec. 26.6.3-7. Application and Fee. Application for a Conditional Use Permit shall be made by the property owner or authorized agent to the Department of Public works, on a form provided for that purpose by Ehe City, and sha1l be accompanied by a filing fee in an amount esEablished by resolution of Ehe CiEy Council. ... Sec. 26.6.3-2. .lvotice of Pu.bTic Hearing, Following presentation of a completed application to the Department of Public works, t.he ciEy C1erk shal1 seE the matEer for public hearing in not less than ten(10) days nor more than sixty (50) days, and shall give notice of Ehe time and place of Ehe hearing and the informaEion concerning Ehe subject matter and purpose of the meeting in the manner described in Sect.ion 26.6,2-3, "Notice of Public Hearing.,, Sec. 26.6.4. uiDor Coaditloaal Use Pernit. Sec. 25.5.4-2. Minor Conditional Use Pemit - AppLication and Fee. Application for a Minor Conditional Use Permit shall be made by the property owner or authorized agent. Eo the Depart.ment of Public Works, on a form provided for that purpose by the City, and shall be accompanied by a filing fee in an amount established by resoluEion of Ehe CiEy Council . ... Sec. 26.6.4-3. Minor ConditionaT Use Permit - Public Notice. Following presenEation of a complet.ed application to the Department of Public works, the City Clerk shall give not.ice Ehat a Minor Conditional Use Permit is Eo be considered. ,-- *i.* gec. 25.6.5. Teq)orary Use Perrlt. Sec. 26.6.5-2. AppTication and Fee. Application for a Temporary Use Permit shall be nade by Ehe property oerner or authorized agent Eo the Department of hrblic works, on a form provided for that purpose by the City, and sha11 be accompanied by a filing fee in an amount established by resolution of the cit.y council. ... *** Sec. 25.5.5. ZoDlDg OrdiDaace or for(t AEeEdmeD,t. Sec. 26.6.6-6. Zoning Map Modification. rf Ehe Amendment involves an amendment to the Zoning Map, the Department of Pub1ic works, immediately following the effective date of Ehe ordinance, shall cause the zoning Map to be so modified. .., *** gec. 26.6.7. IDterpretatlooa, ltiuor Bxceptlo!,s, a.Bd Appeala. Sec. 26.6.?-2. Record of Interpretations. The Director shall keep a $rritten record of interpretaEions made on file in t.he Department of Public Works. ... Sec. 26.6.7-4. Record of Exceptions. -. The record shall, be filed in the Department of Public works by property location using a st.reet address or other reasonable system to permit reference to the exception made at any future date. *!t* sec.25.11.1.Application of AlEicIe. *** DeterminaEion by Director of Pu.blic Workg. Sec. 26.77.J--7. ResponsibiLiEy. ... In accordErnce !{ith the provisions of California Penal Code Section 835.5(a), employees of the Department of Public works, as directed and desigrraEed from time Eo time by the Director, are hereby authorized to issue citations for violations of this chapt.er. ... sec. 27 .34. whenever Ehe DirecEor of Public Works det.ermines by inspection that graffiti or ot.her inscribed material is so located on pu.blic or private property as to be capable of being viewed by a person utilizing any public right-of-way in this ciEy, be this road, parkway, alley, or otherwise, Ehe Director of Public works sha1l order the abatsement of t.he nuisance by removal of the graffiti or other inscribed material in accordance with the following procedures unless the owner of the property consenEs to the removal by the City of the graffiEi or other inscribed material and execuEes such documenE as the City may provide relaE.ive to the removal of the graffiti or other inscribed material , then the Director of Public works is aut.horized E.o provide for the removal of Ehe graffiti or other inscribed material . ff the Director of Public Works provides for the removal of the graffiEi or other inscribed mat.erial , he/she shall not authorize nor undertake to provide for the painting or repair of any more extensive area than that where Ehe graffiti or other inscribed maEerial is Iocated . Sec. 27.35.Informal notice. The Director of Public works, in addiEion Eo any other notices hereafter required by this article, may give Eo the occupants of the public or private property, and !o any other person whom he deems should be not.ified, information concerning the provisions of this article, any violat.ion Ehereof, how the person notified may complywi!h, and any other information as he/she deems expedient. gec. 27.36. 9frittetr coEseEt. The Director of Public works, or his/her designated representatives, including personnel desigmated by Ehe City to removegraffiti, shal1 make reasonable efforts to obtain writEen consent ofthe property owner or legal occupant of the property prior to entering upon private propert.y to remove said graffiti. Sec. 27 -37 - NotLce of reEoval of graffLtl . If, in the opinion of Ehe Director of Public works, any public or private property is found to have any graffiti or other inscribed material on it as defined in this arEic1e, Ehe Director of Public Works shall give Eo the party concerned wriEEen notice in the event that desigrrated personnel from the City are unable to obtain written consent from an o!{ner or occupant granting permission for the city of Vernon employees to enter upon their property for the sole purpose of graffiti removal . *** gec. 27.4O. Right of hearlDg. Any party concerned. or the DirecEor of h:blic works, may request a hearing regarding Ehe removal of graffiti or other inscribed mat.erial after the property is post.ed. A requesE by any person other than the Director of Prlblic Works shall be made in writ.ing Eo the graffiti appeals board within ten days after the property is posted or receipE of notice. ... *** gec. 27.4L. Heari[g not requeet,ed. If neiEher Ehe Director of Public works nor .rny concerned party request.s a hearing and the condition as seE forth in the Notice of Intent to Remove Graffiti From Premises is not corrected wit.hin the time specified in such notice, the Director of h.lblic works, or his/her desigmaEed representative, may enter upon such private or public property in order to remove the graffiti or other inscribed materials, or may cause such oEher work Eo be done to the extent necessary t.o abate the public nuisance and other conditions which have been found to exist . Sec. 27.42. Notice of heariag. If eiEher the Director of n:blic Works, or any party concerned, request.s a hearing wiEhin Ehe proper Eime as provided in section 27.40, Et]e graffiti appeals board shal1 hold a noticed hearing. No less than ten days prior to the hearing, the Director of public Works shall serve, or cause t.o be served, either in the manner reguired by law for Ehe service of summons or by first class mail, postage prepaid, a copy of Ehe notice of hearing upon every person whom t.hisarticle requires E.haE the Notice of Int.enE to Remove craffiti From Premises be served. gec. 27.43. ForB aud coutents of Eotlce. The noEice of hearing shall staEe: (b) The conditions because of which the Direclor of Public works believes EhaE the property is a public nuisance. *** sec. 27.44. PogtLEg of aotice. The Director of hrblic works shall posE one copy of Ehe noEice of hearing in a conspicuous pLace on Ehe public or private property involved, not less than ten days prior to the hearing. *** sec. 27.45. Hearilg by Erafflti appeals board. The graffiti appeals board shall hold a hearing and consider all competent evidence offered by any person pertaining to the matters set forth in the report of the Director of Public works. t** gec. 27.47. work by city. ff any order of the graffiti appeals board made pursuants tso section 27.46 aIrd not superseded is not complied wiEh wiEhin the period designated by the board, the Director of public works, or his/her desigrrated represenEaEive, may then enter upon such private orpublic property in order to remove the graffiti or oEher inscribed materials, or may cause such oEher work Eo be done to the extent necessary Eo remove the graffiti and other inscribed materials deEermined to exist by the graffiti appeals board. :l*t gec. 27.48. Co6ta. The coscs involved in the removal or otsher work by the Director of Public works, shall be paid by the city. gec. 28.5. EuvLroDneDtaf fre""al No final or parcel map filed pursuant to the provisions of this chapter shall be approved until an environment.al review has been conducted by Ehe DirecE.or of Public Works. .... *** gec. 28.47. Maldatory nergers-Dlrector of Public works to file for recordaEion with cou:lty. The DirecEor of hrblic works is authorized to file for recordaEion with the Recorder of the County of Los Angeles a noEice of such merger specifying the names of Ehe record owners and particularly describing the real property; provided that, aE leasE thirEy (30) daysprior to the recording of the not.ice, the owner of the parcels or uniEs Eo be affecEed by the merger shalI be advised in writing of the intention to record the notice ald specifying a Eime, daEe and place aE which the owner may present evidence to the City Council as to r,{hy such notice should not be recorded. Sec. 28.48. MaDdatory Eergers-deternlulug couforEaace to staadarda for developmeDt . In implemenEing Sections 56451.10 et seq. of the California Government Code, Ehe Direct.or of Public Works shal] specifically consider the parking requirement.s of the existing property when determining whether the parcels or units conform to st.andards for development within Ehe city. Sec. 28.50. VoluDtary mergers by comon property owaera. (b) volunt.ary merger application. -. The Direct.or of Public works may require additional items as he or she deems necessary. 12\ Proof of written notice, deemed sufficient by the Director of Pub1ic Works, of the proposed voluntary merger to allparties having any record title interest in the affected real property. (d) The Director of Public works may approve the voluntary merger applj-cation if he or she finds that the parcel created by Ehe merger conforms Eo the purposes and requirements of this Chapter. The Direct.or of Public Works may impose a1I conditions on such merger approval he or she deems necessary Eo ensure Ehe compliance wiE.h the purposes and requirements this ChapEer, such as condilions to retain,reserve, reLocate or establish easements, and to protect t.he public health, safety and welfare. sec.28.51. *** IJot liDe adJuBtBeDtE betseeD adjaceDt parcele. (a) No person shall record a deed or other document adjusting the boundary between four or fe$rer existing adjoining parcels by esta.blishing new property boundaries unless a lot line adjustment is first approved by the Director of Pr.rbl ic works in the manner describedin this Chapter . (b) Requests for loE line adjustments shall be made on application forms provided by the Director of PLrblic works. (c) After investigation and receipE of reports of other affecEed divisions or outside agencies, the Director of Pub1ic works shall approve the IoE line adjusEment, provided he or she has found in writing Ehat the proposed lot line adjustment conforms to Ehe city's general p1an, any applicaJcle specific plan and local zoning and building ordinances including, buE not limited to, drainage and the minimum loE requiremenEs as set forth in Section 28.28 of this Code. The Director of Public Works may approve the lot line adjustment subject to conditions or exacEions as he or she deems necessary to:(i) conform to the City's general plan, any applicable specific p1an, and zoning and building ordinances; (ii) to facilitate the relocation of exisEing utilities, infrasErucEure, or easements; (iii) to require the prepayment of real property taxes prior to Ehe approval of t.he lot line adjustment; and (iv) to assure that one or more deeds are properly recorded. EXHIBIT B RuIe No. 5. EXITIBIT *B" CITY OF VBRNON - RI'I,BS FOR EIJECTRIC SERVICB SPECIAIJ INFOR ATION RBOI'IRED ON FORITS Customer's Bills. ... IIIFORUATION If you question Ehis bill, please requesE an e:q)Ianation from the Customer Service Division. If you thereafter believe that you have been billed incorrecEly, to avoid discontinuance of service send your payment under protesE Eo Ehe Customer Service Division wit.h a copy of Ehe bil,l and a written statement supporting your belief that the billis not correcE. Such statement.s regarding dispuEed electric or water bills should be made to the attention of the General Manager of the Public Utilities DepartmenE. The General Manager will review Ehe basisof the bilted amount and authorize any adjusEment required in accordance $riEh his/her findings. If the matter is not satisfactorily resolved by the ceneral Manager, you may petition the City Council for final determination. ff you need further information, please call Ehe eusEomer Service Division at (323) 583-8811 between the hours of 7:00 a.m. and 5:30 p.m., Monday through Thursday. ". "ro"t Notlce. The following statement will be prinEed on each Fina1 Notice: This noEice includes a late fee. If you quesEion this bill ptease request an explanation from Ehe Customer Service Division. If you thereafter believe EhaE you have been billed incorrectly, to avoid discontinuance of service send your paymenE. under protest t.o the Customer Service Division with a copy of the biII and a writEen statement supporting your belief that the bill is not correct.. Such statement.s regarding disputed electric or water bi1ls should be made to the at.tention of the General Manager of the hrblic Utilities Department. The General Manager will review Ehe basis of the billed amount and authorize any adjustment required in accordance with his/her findings. If Ehe matter is not. sat.isfactorily resolved bythe ceneral Manager, you may peEition t.he City Council for fj-naldetermination. If you need further information, please call the Customer Service Division at (323) 583-8811 between the hours of7:00 a.m. and 5:30 p.m., Monday through Thursday. If a discontinued service is reestablished, a reconnection charge wi 1I be assessed. Rule No. 10 . DISPIXTED BIIJIJS B. RevLew by General Manager of Publlc Utsilltles. Any Customer, whose request for review regarding a bill for electric service has resulted in a deEermination by the Customer Service Division representaEive which is adverse, may have such determination reviewed by the General Manager of Public Utilities of the CiEy of Vernon. 2. Checks or oEher forms of remiEtance for such pa).ment. under protest shall be accompanied by a letter of explanation to the ceneral Manager of Public Utilit.ies. 3. Upon receipt of the pa).ment under prot.est arld letter of explanaEion Ehe General Manager will review the basis of the billed amount. After review the General Manager may: ... 4. If the matter is not satisfactorily resolved by the eeneral Manager, Ehe Customer may petition Ehe City Council for a final decision. *** RuIe No. 12. RATES AND OPTIONAL RATES F. IatercoD.EectioD 2. Where necessary to meet minimum requirements during emergencies, a standby generator may be interconnected through a double-throw switch with the written approval of t.he ceneral Manager of Public Utilities. ..- rlrt* Rule No. ].6. SERVICE CONNECTIONS AT{D FACILITIES ON CUSTOMER, S PREMI gES A. Meter and UiscellaD.eou8 Service EqulpErent oD' CuEtomer,s premiEea. 1,. MeEer fnstallat.ions - c. Master Meters. A master Met.er and associat.ed eguipment.will be furnished and installed by Ehe City uponapplication by Ehe ov,rner or Lessee of any mult.ipl,e- occupancy Premises where electric energy is to be furnished and/or metered by said ordner or lessee Eo Ehe individual tenants as provided in RuIe No. 18. RECEIVED MAR 16 201i CW CLERKSOFITCE REEEEVED MAR l6 20t7 STAFF REPORT FINANCE DEPARTMENT CITY ADMINISTRATIO DATE: TO: FROM: RE: March 21,2017 Honorable Mayor and Members of the City Council of the City of Vernon William Fox, Director of firro".dT Originator: Outside Counsel, Iris Yang of Best Best & Krieger A Resolution Approving an Agreement Regarding Expenditure of Excess Bond Proceeds [2005 Tax Allocation Bonds] Recommendation A. Find that adoption of the proposed resolution for approval of the Agreement Regarding Expendinre of Excess Bond Proceeds [2005 Tax Allocation Bonds] is exempt under the Califomia Environmental Quality Act C'CEQA) because it is a govemment fiscal activity that will not result in any change to the environment and, therefore, is not a "project" as defined by CEQA Guidelines Section 15378. Even assuming the activity were a "project", it would be exempt from CEQA review in accordance with CEQA Guidelines Section 15061(bX3), the general rule that CEQA only applies to projects that may have an effect on the environment; and B. Adopt a resolution to approve an Agreement Regarding Expenditure of Excess Bond Proceeds [2005 Tax Allocation Bonds]. Background Health and Safety Code Section 34191.4(c) provides that after the Successor Agency to the Redevelopment Agency has received a Finding of Completion from the state Departrnent of Finance ("DOF"), the Successor Agency is authorized to use the bond proceeds from bonds issued on or before December 31, 2010, in a manner consistent with the original bond covenants. Further, the Successor Agency may designate the use of and commit indebtedness obligation proceeds that were derived from indebtedness issued for redevelopment purposes after January 1, 2011, and that remain available after the satisfaction of enforceable obligations that have been approved on a Recognized Obligation Payment Schedule C'ROPS) and that are consistent with the indebtedness obligation covenants (hereafter "Excess Bond Proceeds"). The Successor Agency received its Finding of Completion from DOF on April 17,2013. 8117 6. 00003\2 9638511 . 1 Page I of2 The Successor Agency and City by Resolution No. 2017-03 previously approved an Agreement Regarding Expenditure ofExcess Bond Proceeds [2005 Tax Allocation Bonds] ("Agreernent") to transfer all the excess bond proceeds from the Excess Bond Proceeds from the Redevelopment Agency's Industrial Redevelopment Project Tax Allocation Bonds, Series 2005, dated October 4, 2005 (the "2005 Bonds") held by the Successor Agency to the City to be expended in a manner consistent with the applicable bond covenants. The Agreernent was approved by the Oversight Board by Resolution No. 42 on January 17, 2017, and submitted to the State Department of Finance ("DOF") for review as required by Health and Safety Code Section 34179(h). By letter dated March 10,2017, DOF notified the Successor Agency that it did not approve Oversight Board Resolution No. 42 because the amount ofexcess bond proceeds specified to be transferred to the City included bond reseryes and tax revenue. DOF retumed Resolution No. 42 to the Oversight Board for reconsideration. The City and Successor Agency have revised the Agreernent to revise the amount of2005 bond proceeds eligible for transfer to the City pursuant to Health and Safety Code Section 34191.4(c). The revised Agreement must be approved by the Oversight Board, and is subject to review by DOF. DOF has approved similm agreernents transferring bond proceeds from a Successor Agency to the City. If the revised Agreement is approved by the Oversight Board, the Successor Agency may list the revised Agreement as an enforceable obligation on the Recogrrized Obligation Payment Schedule ("ROPS"). The proposed Agreement Regarding Expenditure of Excess Bond Proceeds between the City and Successor Agency (which has been approved as to form by outside counsel) would permit all Excess Bond Proceeds from the 2005 Bonds to be transferred from the Successor Agency to the City, which in tum must use the proceeds in accordance with the bond covenants. As ofJune 30, 2016, the Successor Agency had 922,892,349.60 in Excess Bond Proceeds available from the 2005 Bonds. The exact amount of Excess Bond Proceeds shall be determined by the Successor Agency, and as agreed to by the DOF. Fiscal Imoact Approval ofthe revised Agreernent would allow the transfer of the remaining proceeds from the 2005 Tax Allocation Bond issuance to the City for the City to administer. These agreernents have been approved by the Department ofFinance for other successor agencies and their cities. Attachment(s) 1. Resolution Approving the Agreement Regarding Exporditure ofExcess Bond Proceeds [2005 Tax Allocation Bonds] 81176.00003\2 9638511 . 1 Page 2 of 2 RESOIJUTION NO. A RESOLUTION OF THE CITY COIJNCIL OF THE CITY OF VERNON APPROVING AN AGREEMENT REGARDING EXPENDITURE OF EXCESS BOND PROCEEDS BETWEEN THE SUCCESSOR AGENCY OF THE REDEVELOPMEI{T AGENCY OF THE CITY OF VERNON AND THE CITY OF VERNON [2005 TAX AILOCATION BONDS] WHEREAS, pursuant to Assembfy Bill X1 25, enacEed on alune 28, 2011, Assembly Bill l-484, enacEed on .fune 2'l , 20L2, and other subsequent l-egislat.ion (co1lectiveIy, the "Dissolution Law"), the Redevelopment Agency of the City of Vernon ( "Redevel-opment Agency,, ) was dissolved on February L, 2Ol2; and I{HEREAS. pursuant to Health and Safety Code SecEion 34173, the City of Vernon elecEed !o serve as the Successor Agency to the Redevel-opmenE Agency and pursuant t.o Heal,th and Safety Code Section 34173 (g) , E.he Successor Agency is a separate public entity from the City; and WHEREAS, pursuant to Health and Safety Code Section 34L9L.4 (c), aftser a successor agency has received a finding of completion from tshe stsaEe Departments of Finance ("DoF"), a successor agency, with the approval of it.s oversigh! board, may list enforceable obligations to expend excess bond proceeds on its Recognized Obligation Palment Schedul-e ("ROPS"), so long as such expendilures are consislent wit.h E.he bond covenanE.s; and WHEREAS, Ehe Successor Agency received a Finding of Completion from DOF on April 17, 2013; and WHEREAS, the Successor Agency has excess bond proceeds from the Redevelopment Agency's Indust.rial Redevelopment projecE Tax Al-focat.ion Bonds, Series 2005 ("2005 Bonds,,); and WHEREAS, the Successor Agency and City, by Resofut.ion No. 20f7-O3, previousLy approved an Agreement Regarding E>q)enditure of Excess Bond Proceeds [2005 Tax Allocation Bonds] (.'Agreement" ) to have all Ehe excess bond proceeds from E.he 2005 Bonds held by the Successor Agency transferred to the City t.o be e>q>ended in a manner consistent with the applicable bond covenants. which Agreement. was approved by Ehe Oversight Board by Resolution No. 42 on ,January L7t 20L7; arld WHEREAS, by ]etter dated March L0, 2017, t.he California Department of Finance ( "DOF" ) notified the Successor Agency thaE it was nots approving Oversight Board Resol-ution No. 42 because the amount of excess bond proceeds specified to be E.ransferred to tshe City included 2005 bond reserves and tax revenue, and DOF returned Resolut.ion No. 42 to the Oversight Board for recons ideration; and WHEREAS, t.he City and Successor Agency have revised the Agreement to revise the amount of 2005 bond proceeds eligible for Eransfer to t.he City pursuanE to Healch and Safety Code Section 3419]- .4 (c); and WHEREAS, the Successor Agency had, as of June 30, 20L5, approximately $22,892,349.50 in bond proceeds, with Ehe exact amount to be transferred Eo the City to be approved by the DOF. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COIINC]L OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of tshe Cit.y of Vernon hereby finds and deEermines t.hat the above reci-ta1s are true and correct.. SECTION 2: The City Council_ of the City of Vernon hereby finds that this act.ion is exempt under the California Environmental Oual-it.y Act ("CEOA") because it is a government fiscal activity that. will not resulE. in any change to tshe environmenE and, therefore, is noE 2 a "project." as defined by CEQA Guidelines Section L5378. Even assuming the activity were a "project", it would be exemp! from CEoA review in accordance with CEoA Guidelines Sectsion 15051(b) (3), the general rule that CEoA only applies tso projects Ehat may have an effect. on t.he environment. SECTIoN 3: The City Council- of the City of Vernon hereby approves Proceeds t.he copy t,he revised Agreement. Regarding Expenditure of Excess Bond [2005 Tax AllocaEion Bonds] , in su.bstantially tshe same form as which is attached hereto as Exhibit. A. SECTION 4: Subject. to the conditions set forth in Section 5, beLow, Ehe City Administrator is hereby autshorized and directed Eo execute the Agreement Regarding Expenditure of Excess Bond Proceeds [2005 Tax A]-location Bondsl , on behalf of the City, subjecE to any minor, technical and clarifying changes as may be approved by the Cit,y Attorney. The City Administrator, or his designee, is hereby further authorized and direcEed !o Eake such act.ions as are necessary and appropriat.e to implement said Agreement on behalf of Ehe City. SECTTON 5:The approvals and auEhorizations set forth in Sectsions 3 and 4 of Ehis Resolution are conditioned upon all of the following: a. Approval of t.he Agreement Regarding ExpendiEure of Excess Bond Proceeds by tshe Successor Agency; and b. Approval of the AgreemenE Regarding Expenditure of Excess Bond Proceeds by the OversighE Board, and su-bmittal of such actsion to DOF for review in accordance with Hea1th and Safety Code Section 34179 (h) ; and c. Approval by DOF of Ehe OversighE Board's act.ion t.o approve t.he Agreement Regarding Expenditure of Excess Bond Proceeds, or if DOF does not request a review OversighE. Board's action becomeE Section 34179 (h) . within five business days, the effective in accordance wiEh said SECIION 6: The CiEy Clerk, or Depuly City Clerk, of the CiEy of Vernon shall certify to the passage, approval and adopt ion of this resolution, and the City Clerk, or Deputy City Clerk, of tshe Cit.y of vernon shalI cause Ehia reEolution and the City Cterk, s, or Deputy City Clerk'a, certification to be enEered in the File of ResoluEions of the Council of this City. APPROVED AND ADOPTED thiE 21EE day of March, 2012. Name: Title: Mayor / Mayor Pro-Tem ATTEST : CiEy Clerk / Deputy Cicy Clerk Beat, Best. 6. Krieger LLP,Special Counsel Eo Ehe City of Vernon APPROVED AS TO FORM: fria Yang, -4- STATE OF CALIFORNIA )) ss COUNTY OF LOS ANGELES ) t,, City Clerk / Deputy City Clerk of the Cit.y of Vernon, do hereby certify Ehat tshe foregoing Resolut.ion, being Resolutsion No. , was duly passed, approved and adopted by the City Council- of the City of Vernon at a regular meetsing of Ehe Cit.y Council duly held on Tuesday, Marc}] 21, 2oL'7, and t.hereaf ter was duly signed by the l"layor or Mayor Pro-Tem of the City of Vernon. ExecuEed this day of March, 2oL7, aL Vernon, California. City Clerk / Deput.y City Clerk (SEAL) 5 EXHIBIT A Exhibit A AGREEMENT REGARDING EXPENDITI,]RE OF EXCESS BOND PROCEEDS [2005 Bondsl -6- AGREEMENT REGARDING EXPENDITURE OF EXCESS BOND PROCEEDS [2005 Tax Allocation Bondsl This Agreernent Regarding Expenditure of Excess Bond Proceeds ("Agreement") is entered into this 21't day of March, 2017, by and between the Successor Agency to the Redevelopment Agency of the City of Vernon ("Successor Agency'') and the City of Vernon, a charter city ("City"). The Successor Agency and the City are hereinafter collectively referred to as the "Parties." RECITALS A. Pursuant to the Community Redevelopment Law (Health & Saf. Code $33000 el a/.) ("CRL"), the former Redevelopment Agency of the City of Vemon ("Redevelopment Agency'') was responsible for implementing the Redevelopment Plan for the lndustrial Project Area (the "Redevelopment Project Area"), originally adopted by the City Council of the City of Vemon ("City Council"). B. Pursuant to an Indenture ofTrust Ageement, dated October 1, 2005, executed by and between the Redevelopment Agency and the Bank of New York Trust Company, N.A., as Trustee, (the "Trust Agreements"), the Redevelopment Agency issued Tax Allocation Bonds as more fully described below (collectively, the "2005 Bonds"). C. Following dissolution of the Redevelopment Agency on February l, 2012, pursuant to Assembly Bill lX 26, the City elected to serve zrs the Successor Agency to the Redevelopment Agency. Pursuant to Health and Safety Code Section 3a173(g), the Successor Agency is a separate public entity from the City. D. Health and Safety Code Section 34191.4(c) provides that once the Successor Agency has been issued a Finding of Completion by the Califomia Department of Finance C'DOF"), the Successor Agency is authorized to use bond proceeds from bonds issued on or before Decernber 3 I , 2010, in a manner consistent with the original bond covenants. Further, the Successor Agency may desigrate the use of and commit indebtedness obligation proceeds that were derived from indebtedness issued for redevelopment purposes after January l, 2011, and that remain available after the satisfaction of enforceable obligations that have been approved on a Recogrized Obligation Payment Schedule ('ROPS") and that are consistent with the indebtedness obligation covenants (hereafter "Excess Bond Proceeds"). E. The DOF issued a Finding of Completion to the Successor Agency on April 17, 2013. F. Health and Safety Code Section 34191.4(c) further provides that the expenditure of Excess Bond Proceeds must be listed separately on the applicable ROPS. Agt to Expend Excess Bond Proceeds [2005 Bonds] E r r76.00003\29484r02.2 I G. The Pa(ies desire to enter into this Agreement to use the Excess Bond Proceeds for the purposes identified in and consistent with the covenants contained in the Trust Agreement and related documents (the "Bond Covenants") and the requirements ofthe CRL, and to provide for the Successor Agency to transfer the Excess Bond Proceeds to the City to be used for such purposes. H. The execution of this Agreanent was approved in a public meeting of the City Council and the Successor Agency on March2l,2Ol7. I. This Agreement was approved by the Oversight Board for the Successor Agency in a public meeting on 20t7. J. The Oversight Board's action to approve this Agreernent was submitted to DOF pursuant to Health and Safety Code Section 34179(h), and DOF approved this Agreernent on 2017. NOW, THEREFORE, in consideration of the mutual covenants, conditions and promises herein contained, the Parties hereby agree as follows: l. reference. Recitals. The Recitals above are true and correct and are incorporated herein by 2. Term. The term of this Agreernent shall commence on the Effective Date, and shall continue in effect until the date that all Excess Bond Proceeds are expended in accordance with the requiranents of this Agreement. 3. 2005 Bonds. The following bonds were issued by the Redevelopment Agency: Redevelopment Agency of the City of Vernon Industrial Redevelopment Project Tax Allocation Bonds, Series 2005, in the amount of $49,420,000, dated October 4,2005, to be used to finance various public improvernents within or benefiting the Redevelopment Project Area. As of June 30, 2016, the Successor Agency had approximately 522,892,349.60 in Excess Bond Proceeds available from the 2005 Bonds. The exact amount of Excess Bond Proceeds shall be determined by the Successor Agency, and as agreed to by the DOF. 4. Use of Excess Bond Proceeds. The City agrees that it shall use the Excess Bond Proceeds available from the 2005 Bonds identified above solely for the purposes identified in Recital G., above, or for other projects consistent with the 2005 Bond Covenants and the provisions of the CRL, as may be amended from time to time, that apply to the expenditure of such Excess Bond Proceeds. 5. Transmittal of Excess Bond Proceeds. Subject to the last sentence of Section 3, above, upon the Effective Date, the Successor Agency shall transfer the Excess Bond Proceeds (including any interest accrued thereon as of the Effective Date) to the City, and the City shall deposit such funds into a separate 2005 Excess Bond Proceeds Account for the City's use in accordance with the terms, conditions and purposes set forth in this Agreement. Agt to Expend Excess Bond Proceeds [2005 Bonds] 8r 176.00003v94E4t02.2 2 6. Project Approvals: Environmental Review. This Agreernent is not intended to limit in any manner the discretion of the City in connection with the issuance of approvals and entitlements for the projects described in this Agreernent, nor to avoid legally required processes attendant to project approval, including, without limitation, the undertaking and completion of any required environmental review pursuant to the Califomia Environmental Quality Act and the National Environmental Protection Act, as applicable, and the review and approval of plans and specifications. '7. Severability. If any term, provision, coverant, or condition set forth in this Agreement is held by the final judgrnent of a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions, covenants, and conditions shall continue in full force and effect to the extent that the basic intent of the Parties as expressed herein can be accomplished. In addition, the Parties shall cooperate in good faith in an effort to amend or modifu this Agreement in a manner such that the purpose ofany invalidated or voided provision, covenant or condition can be accomplished to the maximum extent legally permissible. 8. No Third-Partv Beneficiaries: Assienments. Nothing in this Agreement is intended to create any third-party beneficiaries to this Agreement, and no person or entity other than the Successor Agency and the City, and the permitted successors and assigns of either of thern, shall be authorized to enforce the provisions ofthis Agreement. 9. Further Assurances. Each Party agrees to execute, acknowledge and deliver all additional documents and instruments, and to take such other actions as may be reasonably necessary to carry out the intent of the transactions conternplated by this Agreernent. 10. Governins Law. This Agreernent shall be governed by and construed in accordance with the laws of the State of Califomia. 11. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original and all ofwhich shall constitute but one and the same instrument. 12. Amendment. This Agreernent may be modified or amended, in whole or in part, only by an instrument in writing, executed by the Parties. 13. Effective Date. This Agreement shall be effective when signed by both parties, and approved by the Oversight Board and DOF. Agt to Expend Excess Bond Proceeds [2005 Bonds] 8l 176.00003v9484102.2 -J- By: IN WITI\ESS WIIEREOF, the Parties have executed this Agreement as of the date first written above. CITY OF vERr\ON SUCCESSORAGENCYTO THE REDEVELOPMENT AGENCY OF THE CITY OF VERNON By: Carlos Fandino, City Administrator Chairperson Attest: Maria E. Ayala City Clerk Secretary Approved as to Form:Approved as to Form: By:By, Hema Patel, City Anomey Legal Counsel Agt to Expend Excess Bond hoceeds [2005 Bonds] t I r 76 00003\29484 102 2 4- RECEIVED MAR I 6 2017 CIIY CLERKS OFFICE R,ECEIVED MAR I 5 2017 CITY ADMINISTRATION STAFF REPORT @zls(n GAS & ELECTRIC DEPARTMENT DATE: TO: FROM: RE: Nlarch2l,2017 Honorable Mayor and City Council Kelly Nguyen, Director of Gas & Electric Department Originator: Fred Cardenas, Interim Water Specialist Award of a Professional Services Agreement to Interstate Gas Service dba IGService to conduct a water, sewer, and recycled water rate study Recommendation A. Find that approval ofthe proposed Professional Services Agreement between the City of Vemon and IGService is exempt under the Califomia Environmental Quality Act C'CEQA), because it is an administrative activiry that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a "project" as defined by CEQA Guidelines section 15378; and B. Determine that the award of the proposed agreement is in the best interest of the City and, therefore, exempt from the competitive selection process per Section 2.17.12 (B)(3) ofthe Vemon Municipal Code; and C. Approve and authorize the City Administrator to execute a Professional Services Agreement with Interstate Gas Sewices dba IGService ("IGService"), in substantially the same form as submitted herewith, for a term of one year and an amount not to exceed S51,733.00, to conduct a water, sewer, recycled water rate study. Backqround The City of Vernon last performed a potable water rate study in March of 1995. Formal rate studies for recycled water and sewer services have not yet been commissioned, but are needed. Proposition 218, requires that each customer class pay only its share of the cost to provide service and revenue collected only be used to fund the respective enterprise. Funhermore, rate studies should be updated periodically to confirm that the actual costs associated with providing water, recycled water, and sewer services to residential, commercial, and industrial customers are comparative with regional rates. Page I of2 Given that the Water Division will be transferred to the Gas & Electric Department, it would be timely for the water rates to be reviewed and verified before the transfer occurs. If the proposed ordinance requesting the reorganization ofthe Water Division is adopted, the division transfer will occur before the end of fiscal year 2016-2017 . Staffproposes that a rate study be commissioned and recommends using IGService to prepare the rate study. The company has a successful performance record with the Gas & Electric Department and is American Water Works Association certified to perform cost of service studies. At this time, IGService has an active Professional Services Agreement for gas operational support services and staff is more than satisfied with their work product. The proposal submitted by IGService will evaluate existing rates to determine adequate operational and capital improvement cost needs. The proposed study will also develop cost of service models for recycled water and sewer services and establish revenue needs to justi$ a dedicated enterprise fund. Scope of Work The proposal is divided into the following four stages for water, recycled water, and sewer: l. Analysis ofexisting rate stnrcfure and revenue; 2. Review of existing expenses; 3. Projection of future expenses, including major improvements in the next five years; and 4. Development of a cost of service rate structure to meet projected expenses. IGService previously performed successful work for the City and the company's utility industry qualifications include: . American Water Works Association Cost of Sewice Certification. Extensive experience in municipal rate studies. Current gas work provides economies ofscale that reduce project overhead costs. Familiarity with the City's Financial Systems. Established working relationships with the City's largest water customers The proposed agreement cost to perform the potable water, recycled water sewer, and sewer rate study is $51,733.00. Staff has prepared a compzrative metric survey, which demonstrates IGService's proposed fee is cost effective and lower than any other water rate studies performed in the area. Results of the comparative survey are attached. For the reasons set forth in this staffreport, it is recommended that the City Council authorize staff to award a Professional Services Agreement to IGSewice to perform a water, recycled water, and sewer rate study. Staff requests that this agreement be awarded since it is prudent that the City: . Standardize rates schedules across the all utilities (gas, electric, and water). Provide economies ofscale and cost efficiencies. Reduce the study's time schedule. Benefit from IcService's famitiarity with the City The proposed agreement is exempt from competitive bidding pursuant to Section 2.17.12 (AXl0) of the Vemon Municipal Code ("VMC"). Staff recommends that Council find that the proposed Page 2 of 2 agreement is exempt from competitive selection based upon the determination that the best interests of the City are served by a direct award, pursuant to Section 2.17.12 (B)(2) of the VIvlC. The proposed agleement has been reviewed and approved to form by the City Attomey's Office. Fiscal Impact This amount has been included in the budget for the Gas & Electric Department Water Division for fiscal year 2016-2017 . Attachments 1. Proposed Professional Services Agreement2. Water Rate Study Cost Comparison Metric Page 3 of2 SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND INTERSTATE GAS SERVICES DBA IGSERVICE TO CONDUCT A WATER, SEWER, AND RECYCLED WATER RATE STUDY COVER PAGE Contrac{or: lnterstate Gas Services, lnc. dba lGService Responsible Principal of Contractor: Dan Bergmann, Principal Notice lnformation - Contractor: lnterstate Gas Services, lnc. dba lGService 15 Shasta Lane Walnut Creek, CA 94597 Attention: Dan Bergmann, Principal Phone: (925) 946-9090 Email: dan@igservice.com Notice lnformation - City: City of Vemon 4305 Santa Fe Avenue Vemon, CA 90058 Attention: Kelly Nguyen, Direc{or of Gas & Electric Telephone: (323) 583-8811 ext. 834 Facsimile: (323) 826-1408 Commencement Date: March 21,2017 Termination Date: March 19,2018 Consideration: Total not to exceed $51,733.00 (includes all applicable sales tax); and more particularly described in Exhibit B Records Retention Period Three (3) years, pursuant to Section 9.'19 SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND INTERSTATE GAS SERVICES DBA IGSERVICE TO CONDUCT A WATER, SEWER, AND RECYCLED WATER RATE STUDY This Contract is made between the City of Vernon ("City"), a California charter City and California municipal corporation ('City'), and lnterstate Gas Services dba lcservice, a California corporation ('Contracto/). The City and Contrac{or agree as follows: 1.0 EMPLOYMENT OF CONTMCTOR. City agrees to engage Contractor to perform the services as hereinafter set forth. 2.O SCOPE OF SERVICES. 2.1 Contractor shall perform all work necessary to complete the services set forth Contractor's proposal to the City ("Proposal") dated December 5, 2016, Exhibit "A", both of which are attached to and incorporated into this Contract, by reference. 2.2 All services shall be performed to the satisfaction of City. 2.3 All services shall be performed according to the standards then prevailing in the consulting industry. 3.0 PERSONNEL. 3.1 Contractor represents that it employs, or will employ, at its own expense, all personnel required to perform the services under this Contract. 3.2 Contractor shall not subcontract any services to be performed by it under this Contract without prior written approval of City. 3.3 All of the services required hereunder will be performed by Contractor or by City-approved subcontractors. Contractor, and all personnel engaged in the work, shall be fully qualified and authorized or permitted under State and local law to perform such services and shall be subject to approval by the City. 4.O TERM. The term of this Contract shall commence on March 21, 2017 , and it shall continue until March 19, 2018 unless terminated at an earlier date pursuant to the provisions thereof. 5.0 COMPENSATION AND FEES. 5.1 Contractor has established rates for the City of Vemon which are comparable to and do not exceed the best rates offered to other govemmental entities in and around Los Angeles County for the same services. For satisfactory and timely performance of the services, the City will pay Contractor in accordance with the payment schedule set forth in Exhibit "B'. 5.2 Contractor's grand total compensation for the entire term of this Contract, including change orders, shall not exceed $51,733.00 without the prior authorization of the City and written amendment of this Contract. 5.3 Contrac{or shall, at its sole cost and expense, fumish all necessary and incidental labor, material, supplies, facilities, equipment and transportation which may be required for furnishing services pursuant to this Contract. Materials shall be of the highest quality. The above Contract fee shall include all staff time and all clerical, administrative, overhead, insurance, reproduction, telephone, air travel, auto rental, subsistence, and all related costs and expenses. 6.0 PAYMENT. 6.1 As scheduled services are completed, Contractor shall submit to the City an invoice for the services completed, authorized expenses, and authorized extra work actually performed or incurred according to said schedule. 6.2 Each such invoice shall state the basis for the amount invoiced, including a detailed description of the services completed, the number of hours spent, reimbursable expenses incuned and any extra work performed. 6.3 Contractor shall also submit a progress report with each invoice that describes in reasonable detail the services and the extra work, if any, performed in the immediately preceding calendar month. 6.4 Contractor understands and agrees that invoices which lack sufficient detail to measure performance will be returned and not processed for payment. 6.5 City will pay Contractor the amount invoiced within thirty (30) days after the City approves the invoice. 6.6 Payment of such invoices shall be payment in full for all services, authorized costs and authorized extra work covered by that invoice. 7.0 CHANGE ORDERS. The Director of the Gas & Electric Department shall have the authority to issue change orders for administrative and non-material changes to the scope of services and to the time for performance as long as the change orders do not increase the compensation due to Contractor under this Contract and as long as the time is not extended beyond three years. The City Administrator, shall have the authority to issue administrative change orders to increase the compensation due Contractor under this Contract, but the combined total amount of such change orders shall not exceed $51,733.00. 8.0 CITY'S RESPONSIBLIry. City shall cooperate with Contractor as may be reasonably necessary for Contractor to perform its services; and will give any required decisions as promptly as practicable so as to avoid unreasonable delay in the progress of Contractot's services. 9.0 GENERAL TERMS AND CONDITIONS, 9.,1 INDEPENDENTCONTMCTOR. 9.1.1 lt is understood that in the performance of the services herein provided for, Contractor shall be, and is, an independent contractor, and is not an agent or employee of City and shall furnish such services in its own manner and method except as required by this Contract. Further, Contractor has and shall retain the right to exercise full control over the employment, direction, compensation and discharge of all persons employed by Contractor in the performance of the services hereunder. Contraclor shall be solely responsible for, and shall indemnify, defend and save City harmless from all matters relating to the payment of its employees, including compliance with social security, withholding and all other wages, salaries, benefits, taxes, exactions, and regulations of any nature whatsoever. 9.1.2 Contractor acknowledges that Contractor and any subcontractors, agents or employees employed by Contractor shall not, under any circumstances, be considered employees of the City, and that they shall not be entitled to any of the benefits or rights afforded employees of City, including, but not limited to, sick leave, vacation leave, holiday pay, Public Employees Retirement System benefits, or health, life, dental, long{erm disability or workers' compensation insurance benefits. 9.2 CONTMCTOR NOT AGENT. Except as the City may authorize in writing, Contractor and its subcontractors shall have no authority, express or implied, to act on behalf of or bind the City in any capacity whatsoever as agents or otheMise. 9.3 OWNERSHIP OF WORK. All reports, drawings, plans, specifications, computer tapes, floppy disks and printouts, studies, memoranda, computation sheets and other documents prepared by Contractor in furtherance of the work shall be the sole property of City and shall be delivered to City whenever requested. Contractor shall keep such documents and materials on file and available for audit by the City for at least three (3) years after completion or earlier termination of this Contract. Contractor may make duplicate copies of such materials and documents for its own files or for such other purposes as may be authorized in writing by the City. 9.4 CORRECTION OF WORK. Contractor shall promptly correct any defective, inaccurate or incomplete tasks, deliverables, goods, services and other work, without additional cost to the City. The performance or acceptance of services fumished by Contractor shall not relieve the Contractor from the obligation to conect subsequently discovered defects, inaccuracy or incompleteness. 9.5 WAIVER. The City's waiver of any term, condition, breach or default of this Contract shall not be considered to be a waiver of any other term, condition, default or breach, nor of a subsequent breach of the one waived. 9.6 SUCCESSORS. This Contract shall inure to the benefit of, and shall be binding upon, the parties hereto and their respective heirs, successors and/or assigns. 9.7 NO ASSIGNMENT. Contrac{or shall not assign or transfer this Contract or any rights hereunder without the prior written consent of the City and approval by the City Attomey, which may be withheld in the City's sole discretion. Any unauthorized assignment or transfer shall be null and void and shall constitute a material breach by the Contractor of its obligations under this Contract. No assignment shall release the original parties or otherwise constitute a novation. 9.8 COMPLIANCE WITH LAWS. Contractor shall comply with all Federal, State, County and City laws, ordinances, rules and regulations, which are, as amended from time to time, incorporated herein and applicable to the performance hereof, including but without limitation, the Vernon Living Wage Ordinance. Molation of any law material to performance of this Contract shall entitle the City to terminate the Contract and otherwise pursue its remedies. 9.9 ATTORNEY'S FEES. lf any action at law or in equity is brought to enforce or interpret the terms of this Contract, the prevailing party shall be entitled to reasonable attorney's fees, costs and necessary disbursements in addition to any other relief to which such party may be entitled. 9.10 INTERPRETATION, 9.10.1 Aoplicable Law. This Contracl, and the rights and duties of the parties hereunder (both procedural and substantive), shall be governed by and construed according to the laws of the State of California. 9.10.2 Entire Aoreement. This Contracl, including any exhibits attached hereto, constitutes the entire agreement and understanding between the parties regarding its subject matter and supersedes all prior or contemporaneous negotiations, representations, understandings, conespondence, documentation and agreements (written or oral). 9.10.3 Written Amendment. This Contract may only be changed by written amendment signed by Contrac{or and the City Administrator or other authorized representative of the City, subject to any requisite authorization by the City Council. Any oral representations or modifications conceming this Contract shall be of no force or effect. b 9.10.4 Severabilitv. lf any provision in this Contract is held by any court of competent jurisdiction to be invalid, illegal, void, or unenforceable, such portion shall be deemed severed from this Contract, and the remaining provisions shall nevertheless continue in full force and effect as fully as though such invalid, illegal, or unenforceable portion had never been part of this Contract. 910.5 Order of Precedence. ln case of conflict between the terms of this Contract and the terms contained in any document attached as an Exhibit or otheMise incorporated by reference, the terms of this Contract shall strictly prevail. The terms of the City's Request for Proposals shall control over the Contractor's Proposal. 9.10.6 Choice of Forum. The parties hereby agree that this Contract is to be enforced in accordance with the laws of the State of California, is entered into and/or is to be performed in the City of Vernon and that all claims or controversies arising out of or related to performance under this Contract shall be submitted to and resolved in a forum within the County of Los Angeles at a place to be determined by the rules of the forum. 9.10.7 Duplicate Orioinals. There shall be two (2) fully signed copies of this Contract, each of which shall be deemed an original. S.11 TIME OF ESSENCE. Time is strictly of the essence of this contract and each and every covenant, term and provision hereof. 9.12 AUTHORITY OF CONTRACTOR. The Contractor hereby represents and warrants to the City that the Contrac{or has the right, power, legal capacity and authority to enter into and perform its obligations under this Contract, and its execution of this Contract has been duly authorized. 9.13 ARBITMTION OF DISPUTES. Any dispute for under $25,000 arising out of or relating to the negotiation, construction, performance, non-performance, breach or any other aspect of this Contracl, shall be settled by binding arbitration in accordance with the Commercial Rules of the American Arbitration Association at Los Angeles, California and judgment upon the award rendered by the Arbitrators may be entered in any court having jurisdiction thereof. The City does not waive its right to object to the timeliness or sufficiency of any claim filed or required to be filed against the City and reserves the right to conduct full discovery. 9.14 INDEMNITY. Contractor agrees to indemnify harmless and defend (even if the allegations are false, fraudulent or groundless), to the maximum extent permitted by law, the City, its City Council and each member thereof, and its officers, employees, commission members and representatives, from any and all liability, loss, suits, claims, damages, costs, judgments and expenses (including attomey's fees and costs of litigation) which in whole or in part result from, or arise out of, or are claimed to result from or to arise out of: (1) any activity on or use of City's premises or facilities or any performance under this Contract; or (2) any acts, enors or omissions (including, without limitation, professional negligence) of Contractor, its employees, representatives, subcontractors, or agent in connection with the performance of this Contract. i. This agreement to indemnify includes, but not limited to, personal injury (including death at any time) and property or other damage (including, but without limitation, contract or tort or patent, copyright, trade secret or trademark infringement) sustained by any person or persons (including, but not limited to, companies, or corporations, Contractor and its employees or agents, and members of the general public). 9. 14. 1 RELEASE. Contractor agrees to release and covenants not to sue the City, its City Council and each members thereof, and its officers, employees, commission members and representatives for any damage or injury (including death) to itself, its officers, employees, agents and independent contractors damaged or claiming to be damaged from any performance under this Contract. 9.15 INSURANCE. Contractor shall, at its own expense, procure and maintain policies of insurance of the types and in the amount set forth below, for the duration of the I Contract, including any extensions thereto. The policies shall state that they afford primary coverage. i. Automobile Liability with minimum limits of at least $100,000/300,000/50,000 if written on a personal automobile liability form, for using a personal vehicle; or an amount of $500,000 including owned, hired, and non-owned liability coverage if written on a Commercial automobile liability form. ii. General Liability with minimum limits of at least $1,000,000 combined single limits written on an lnsurance Services ffice (lSO) Comprehensive General Liability 'occunence" form or its equivalent for coverage on an occurrence basis. Premises/Operations and Personal lnjury coverage is required. The City of Vernon, its directors, commissioners, officers, employees, agents and volunteers must be endorsed on the policy as additional insured as respects liability arising out of the Contrac{or's performance of this Contract. (1) lf Contractor employs other contractors as part of the services rendered, Contractor's Protective Coverage is required. Contractor may include all subcontractors as insured under its own policy of shall furnish separate insurance for each subcontrac{or, meeting the requirements set forth herein. (2) Blanket Contractual Coverage (if required by the city). (3) Products/Completed Operations Coverage (where such risk is applicable, as determined by the city) (4) Explosion, Collapse and/or Underground (X, C, and/or U) coverage (where such risk is applicable, as determined by the city). iii. Professional Enors and Omissions coverage in a sum of at least $1,000,000. Applicable aggregates must be identified and claims history provided to determine amounts remaining under the aggregate. iv. Contractor shall comply with the applicable sections of the California Labor Code conceming worker's compensation for injuries on the job. Compliance is accomplished in one of the following manners: (1) Provide copy of permissive self-insurance certificate approved by the State of California; or (2) Secure and maintain in force a policy of workers' compensation insurance with statutory limits and Employe/s Liability lnsurance with a minimal limit of $1,000,000 per accident. The policy shall be endorsed to waive all rights of subrogation against City, its directors, commissioners, officers, employees, and volunteers for losses arising from performance of this Contract; or (3) Provide a "waiver' form certifying that no employees subject to the Labor Code's Workers' Compensation provision will be used in performance of this Contract. v. Each insurance policy included in this clause shall be endorsed to state that coverage shall not be cancelled except after thirty (30) days' prior written notice to City. vi. lnsurance shall be placed with insurers with a Best's rating of no less than B. vii. Prior to commencement of performance, Contract shall furnish City with a certificate of insurance for each policy. Each certificate is to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificate(s) must be in a form approved by City. City may require complete, certified copies of any or all policies at any time. Failure to maintain required insurance at all times shall constitute a default and material breach. ln such event, Contractor shall immediately notify City and cease all performance under this Contract until further directed by the City. ln the absence of satisfactory insurance coverage, City may, at its option: (a) procure insurance with collection rights for premiums, viii 10 attorney's fees and costs against Contractor by way of set-off or recoupment from sums due Contractor, at City's option; (b) immediately terminate this Contract; or (c) self- insure the risk, with all damages and costs incurred, by judgment, settlement or otheMise, including attomey's fees and costs, being collectible from Contractor, by way of set-off or recoupment from any sums due Contractor. 9.16 NOTICES. Any notice or demand to be given by one party to the other be given in writing and by personal delivery or prepaid first-class, registered or certified mail, addressed as follows. Notice simply to the City of Vemon or any other City department is not adequate notice. lf to the City: City of Vernon, Gas and Electric Department Attention: Kelly Nguyen, Director of Gas & Electric 4305 Santa Fe Avenue Vernon, CA 90058 lf to the Contractor: lnterstate Gas Services, lnc. dba lcservice Attention: Dan Bergmann, Principal 15 Shasta Lane Walnut Creek, CA 94597 Any such notice shall be deemed to have been given upon delivery, if personally delivered, or, if mailed, upon receipt or upon expiration of three (3) business days from the date of posting, whichever is earlier. Either party may change the address at which it desires to receive notice upon giving written notice of such request to the other party. 9.17 TERMINATION FOR CONVENIENCE (Without Cause). City may terminate this Contract in whole or in part at any time, for any cause or without c€luse, upon fifteen (15) calendar days' written notice to Contractor. lf the Contract is thus terminated by City for reasons other than Contraclo/s failure to perform its obligations, City shall pay Contractor a prorated amount based on the services satisfaclorily completed and accepted prior to the effective date of termination. Such payment shall be Contractor's exclusive remedy for termination without cause. 11 9.'18 DEFAULT. ln the event either party materially defaults in its obligations hereunder, the other party may declare a default and terminate this Contract by written notice to the defaulting party. The notice shall specify the basis for the default. The Contract shall terminate unless such default is cured before the effective date of termination stated in such notice, which date shall be no sooner than ten (10) days after the date of the notice. Termination for cause shall relieve the terminating party of further liability or responsibility under this Contract, including the payment of money, except for payment for services satisfactorily and timely performed prior to the service of the notice of lermination, and except for reimbursement of (1) any payments made by the City for service not subsequently performed in a timely and satisfactory manner, and (2) costs incurred by the City in obtaining substitute performance. 9.19 MAINTENANCE AND INSPECTION OF RECORDS. The City, or its authorized auditors or representatives, shall have access to and the right to audit and reproduce any of the Contracto/s records to the extent the City deems necessary to insure it is receiving all money to which it is entitled under the Contract and/or is paying only the amounts to which Contractor is properly entitled under the Contract or for other purposes relating to the Contract. The Contractor shall maintain and preserve all such records for a period of at least 3 years after termination of the Contract. The Contractor shall maintain all such records in the City of Vernon. lf not, the Contractor shall, upon request, promptly deliver the records to the City of Vernon or reimburse the City for all reasonable and extra costs incurred in conducting the audit at a location other than the City of Vernon, including, but not limited to, such additional (out of the City) expenses for personnel, salaries, private auditors, travel, lodging, meals and overhead. 9.2O CONFLICT. Contractor hereby represents, warrants and certifies that no member, officer or employee of the Contractor is a director, officer or employee of the City of 12 Vernon, or a member of any of its boards, commissions or committees, except to the extent permitted by law. 9.21 ENFORCEMENT OF WAGE AND HOUR LAWS. Eight hours labor constitutes a legal day's work. The Contractor, or subcontractor, if any, shall forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by the respective Contractor or subcontractor for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of Sections 1 810 through 1815 of the California Labor Code as a penalty paid to the City; provided, however, work performed by employees of contractors in excess of 8 hours per day, and 40 hours during any one week, shall be permitted upon compensation for all hours worked in excess of 8 hours per day at not less than 1 % times the basic rate of pay. 9.22 LIVING WAcEscontractor, and any Subcontractor(s), shall comply with the City's Living Wage Ordinance. The cunent Living Wage Standards are set forth in Exhibit 'C". Upon the City's request, certified payroll records shall promptly be provided to the City. 9.23 EQUAL EMPLOYMENT OPPORTUNITY PRACTICES. Contrac'tor certlfies and represents that, during the performance of this Contract, it and any other parties with whom it may subcontract shall adhere to equal employment opportunity practices to assure that applicants, employees and recipients of service are treated equally and are not discriminated against because of their race, religion, color, national origin, ancestry, disability, sex, age, medical condition, sexual orientation or marital status. Contraclor further certifies that it will not maintain any segregated facrlities. Contractor further agrees to comply with The Equal Employment Opportunity Practices provisions as set forth in Exhibit 'D". [Signatures Begin on Next Page]. IJ lN WITNESS WHEREOF, the Parties have signed this Agreement as of the date stated in the introductory clause. City of Vernon, a Califomia charter City lnterstate Gas Services, lnc. dba lGService, and California municipal corporation a California corporation Carlos Fandino, City Administrator By: Name: Title: By. ATTEST: [,tarla E Ayalarcfty Obrk Name: Tifle: APPROVED AS TO FORM: Brian Byun, Deputy City Attorney 14 EXHIBIT A PROPOSAL Otcservice December 5, 2016 Derek Wieske By email: dwieske@ci.vernon.ca.us Public Works Director City of Vernon 4305 South Santa Fe Avenue VernorL CA 90058 Re: Scope of Work for Rate Studies: Water, Sewer, and Recycled Water Dear Mr. Wieske: This is my proposed scope of work for the water, sewer, and recycled water rate studies. Estimated budgets are attached. This letter is focused on scope only, as qualifications, past experience, and work examples were provided separately to you in the letter dated September 13,2016. The key component ofthe rate analysis is that it be consistent with Proposition 218, such that each customer class pay only its share ofthe cost to provide service, and further that revenue collected from each enterprise must be used only for the enterprise, including directly related government overhead costs. The rate study process will be done cooperatively with Vernon stafi providing frequent updates and seeking feedback on findings. The process will be flexible and iterative as needed to accommodate interim findings. Specifically for water, and generally for sewer and recycled water, the rate study work will be done in four stages in the following order. I . Analysis of existing rate structure and revenue2. Review of existing expenses 3. Projection of future expenses, including major improvements next few years 4. Development of cost of service rate structue to meet projected expenses Stage I will focus on the existing rate stnrcture and associated revenue.. Analyze one year's billing data for all cycles ofall customerso Evaluate existing cost assignment and revenue for hre protection. Evaluate two-component versus tkee-conponent rate structureo Determine customer classes and divide data accordinglyo Reconcile billing revenue data to audited financial reportso Reconcile billing volumes to production volumes to veriff unaccounted water Stage 2 is the review ofexisting expenses.o Categorize costs to operate (electricity, personnel, chemicals, vehicles, etc.)o Reconcile operating costs to audited financial reportso Assign operating costs to each customer class l5 Shaea Lone, llalrut CreeN CA 94597 Ofice: 925-9469090 Cell: 925499-2578 Enail: dan@igsemice.com . Evaluate govemment overhead costs. Examine cost ofwholesale water purchases Stage 3 is the projection of future expenses.. Adjust operating cost forecast as neededo Include major improvement costs over next three years o Include mechanism to adjust water rates as function ofwholesale water cost Stage 4 is development ofcost ofservice rate structure.. Create rate options, balanced between fixed and variable costso Include modified rates for fue service, as appropriateo Excel modeling showing how modified rates will yield needed revenue. Compare to fire prevention rate components in similar citieso Compare existing and proposed rates to similar nearby industrial areas Additionally to be included:o PowerPoint slides and presentations as needed. A written report for distribution to the city council and public o Proposition 218 rate notice for legal review and approval. Meet with individual city council members and industry, when requestedo The Excel workbook used to develop the cost of service results (AWWA methodology) Regarding schedule, I would like to begin preliminary meetings with staff and gathering data when this work scope is approved. My focused effort would begin in January, with preliminary frndilgs for water in February, and an initial city council workshop in early March. A second city council meeting would occur in early April asking for support to issue a rate change notice. (The work on sewer and recycled water will be done in conjunction with water; however, if water requires more focused attention because ofunanticipated complexity, work on water will be given fust priority.) Theq after 45 days, the final city council rate hearing could occur in June such that new rates could be in place July l,2017. Sincerely, D- e4f"^- Dan Bergmann Principal Attachment 1. Budget for water, sewer, and recycled water rate studies lGS Estimated Budget for Cost of Service WATER Rate Study Labor Hrs Rate Total subtotals Public Works/Field: Tour water system to familiarize infrastructure. Study water system maps. lnvestigate pumping, storage, and metering status. Time spent with Field staff. 8 resl 51,480 I Customer Classes, including data processint: Detailed analysis of customer billing data. Determine and assign customers to classes. Allocate water volumes sold to customer classes. Based on database- friendly export from billing system of all billing cycles last 12 months. L2 185 52,22O Fire Service: Evaluate the existing square footage method of assiBninB water system cost for fire protection service. Work with staff to create model for actual cost of fire stand-by service to customers. Create and evaluate alternative options for allocation of fire service costs. L2 185 52,22o Unbilled and Lost water: Calculate water system balance by month for at least last 12 months comparing water production to water billed. Provide separate report and Excel workbook showing data. 6 185 s1,110 Historical revenue and operatint costs: Develop comparison table showing last three years (tY14, 15, 15) actual costs to operate water enterprise. Confirm revenue shown from billing system to audited statements, include evaluation of unpaid bills. lnclude tY17 projected revenue/cost based on recently revised rates. Confirm debt service burden, covenants, and terms. ldentify fund transfers and payback structure. Reconcileto audited statements. Meeting time with Finance Dept. 72 185 52,22o Government Overhead Costs: Conduct cursory evaluation of basis for Government Overhead assigned to Water Enterprise to be included in rate setting. To be done in coordination with staff. 5 185 51,110 Funds Available: Review Balance Sheet and lmpact Funds available. Confirm funds available to Water Enterprise for capital projeas. Current Assets, lmpact Fees, or other. 2 185 S37o Capital lmprovement Projects: Work with public works staff to establish scenarios for projects that must be completed within three to five years, and estimated cost of each project. Prioritize projects. Evaluate fundinS options (pay as go, grant, bonds). Determine appropriate options to present to city council, and associated rate impact. 8 185 s1,480 Page 1 of 5 Assign Operating Costs: Use AWWA cost of service model to assign operating costs to each customer class. Categories are volume, peakinB capacity, fire protection, billinB,/customer services, and Gen Gov't. L2 185 s2,22O New Rates: Create Rate Options meeting revenue requirement in each class, including scenarios with CIP options. Provide comparison to old rates, and cost differences by class. Methodology for allocation of fixed vs volumetric components. 8 185 S1,480 Wholesale Water Cost lncrease Mechanism: Propose mechanisms in rate structure to adiust water costs proportionalto increases in wholesale water costs. 4 185 s740 Comparison to other cities: Provide comparison data and chart showing present and proposed rates to other communities based small and large com mercial/industrial. 4 185 S74o Councilworkshop fll: Prepare slides, attend meeting and provide presentation.8 185 S1,480 Prop 218 Notice Preparation 2 185 S370 Formal Written Report: Prepare for city council and public distributio 18 185 s3,330 Council Meetint S2 for Approval of218 Notice: Prepareslides, attend meeting and provide presentation.4 185 5740 Customer Meetings: Preparation and participation in meetinBs with largest customers.8 185 s1,480 Council Meetint fl3: Rate Hearing: Prepare slides, attend meeting and provide presentation 4 185 s740 subtotals 138 s2s,s30 Expenses (Assuming six visits| 1 Round Trip Flight Cost Estimate S2so 1 Travel Time 7 S7s ss2s 1 Lodging, assuming two nights per visit 2 S2oo s400 1 Airport Parking s40 1 Mileage tolfrom Airport 50.00 s0.540 5zt 1 Meals not included n/a 5t,242 2 Combined Trip (Prorate 50% Water / 50% Natural Gas)0.5 51,242 s521 3 Combined Trip 1.0 s7,242 57,242 4 Combined Trip (Prorate 50% Water / 50% Natural Gas)0.5 5r,242 S621 5 Combined Trip 1.0 5L,242 57,242 6 Combined Trip (Prorate 50% Water / 50% Natural Gas)0.5 5L,242 S621 54,347 Total Estimated Cost s31,119 s31,119 Page 2 of 6 IGS Estimated Budget for Cost of Service WASTE WATER Rate Study Labor Hrs Rate Total subtotals Public Work/Field: Tour system to familiarize infrastructure, including interview time with field staff to quantify effort and tasks toward sewer system. Study system maps. 2 185 S37o Custome6: Determine and assign customers to classes based on flow rates.4 185 5740 Historical operating costs and infrastructure improvements: Develop comparison table showing last three years (FY14, 15, 16) actual costs to operate. Meeting time with Finance Dept. 2 185 S37o Government Ovelhead Costs: Conduct cursory evaluation of basis for Government Overhead assigned to sewer to be included in rate settinB. To be done in coordination with staff. 2 185 S37o Funds Available: Review Balance Sheet and lmpact Funds available. Confirm funds available for capital proiects. Current Assets, lmpact Fees, or other. 2 La's3 70 Capital lmprovement Proiects: work with public works staff to establish scenarios for proiects that must be completed five to 10 years, and estimated cost of each project. Prioritize projects. Evaluate fundinB options (pay as go, grant, bonds). Determine appropriate options to present to city council, and associated rate impact. 6 185 S1,110 Assatn Operating Costs: Use AWWA cost of service model to assign operating costs to each customers.4 18s s740 New Rates: Create Rate Options meetinB revenue requirement as function of flow rate, including scenarios with CIP options.4 185 s74o Council Workhop #1: Prepare slides, attend meeting and provide presentation.4 185 5740 Prop 218 Notice Preparation, (lf needed)2 185 S37o Formal Written Report: Prepare for city councll and public distribution.8 185 S1,480 Council Meetint fl2 for Approval of218 Notice: Prepare slides, attend meeting and provide presentation. (lf needed)4 185 5740 Customer Meetings: Preparation and participation in meetings with largest customers. (lf needed)4 185 s740 Council Meeting S3: Rate Hearing: Prepare slides, attend meeting and provide presentation. (lf needed)4 r.8 5 s740 Page 3 of 6 Subtotals 52 S9,520 Expenses (Assuming one additional visit) 1 Round Trip FliBht Cost Estimate S2so 1 Travel Time 7 S7s Ss2s 1 Lodging, assuming two nights pervisit 2 s200 s400 1 Airport Parking s40 1 Mileage tofrom Airport 50.00 So.s4o Szt 5L,242 Total Estimated Cost s10,862 s10,862 Page 4 of 6 IGS Estimated Budget for Cost of Service RECYCTED WATER Rate Study Labor Hrs Rate Total subtotals Public Work/Field: Tour system to familiarize infrastructure, including interview time with field staff to quantify effort and tasks toward Recycled Water system. Study system maps. 2 185 S37o Customers: Determine and assign customers to classes based on flow rates and volumes taken.4 185 5740 Historical operatint costs and infrastructure improvements: Develop comparison table showinB last three years (FY14, 15, 16) actual costs to operate. Meeting time with Finance Dept. 2 185 S37o Goyernment Overhead Costs: Conduct cursory evaluation of basis for Government Overhead assigned to sewer to be included in rate settinB. To be done in coordination with staff. 2 185 s37o Funds Available: Review Balance Sheet and lmpact Funds available. Confirm funds available for capital proiects. Current Assets, lmpact Fees, or other. 2 185 S37o Capital lmprovement Proiects: Work with public works staff to establish scenarios for projects that must be completed five to 10 years, and estimated cost ofeach project. Prioritize projects. Evaluate funding options (pay as go, grant, bonds). Determine appropriate options to present to city council, and associated rate impact. 6 185 S1,110 Assign Operatint Costs: Use AWWA cost of service model to assign operating costs to each customers.4 185 s740 New Rates: Create Rate Options meeting revenue requirement as function of flow rate, including scenarios with CIP options.4 185 s740 Council Workshop #1: Prepare slides, attend meeting and provide presentation.4 185 s740 Formal Written Report: Prepare for city council and public distribution.8 185 s1,480 Customer Meetints: Preparation and participation ln meetings with largest customers. (lf needed)4 185 5740 Council Meeting S2: Rate Hearin8: Prepare slides, attend meeting and provide presentation. (lf needed)4 185 s740 Subtotals 46 S8,s10 Page 5 of 6 Expenses (Assuming one additional visitl 1 Round Trip Flight Cost Estimate s2s0 1 Travel Time 7 s7s ss2s 1 Lodging, assuming two nights per visit 2 s 2oo S4oo L Airport Parking S4o 1 Mileage to/from Airport 50.00 So.s4o izt 5t,242 Total Estimated Cost 59,7s2 59,7s2 Page 6 of 6 EXHIBIT B SCHEDULE 16 IGService Dan Bergmann Principal Consultant March2,2017 Kelly Nguyen Director of Utilities 4305 South Santa Fe Avenue Vemon, CA 90058 Re: Schedule for Rate Study Work Dear Ms. Nguyen: This letter contains my estimated schedule for the rate study work proposed December 5, 2016 (attached). The estimated schedule assumes I can begin work during my visit to Vernon the week of March l3th. The dates in April coincide with visits already plannsd to Vernon. Task Comoletion Date Initial field tours March 16 Initial staff meetings regarding capital projects March 16 Collect data from Customer Service and Finance March 16 Complete last-three-year revenue expense comparison March 16 Alalysis offire protection rates April 13 Review and assign customer classes April 13 Assign operating costs based on cost of service April 13 Rate comparison to other similar cities Apil 27 Presentation offindings and opportunities to staff May Customer meetings May Written report draft June City council workshop (ifrequested) May/June Written repon complete One week after comments Proposition 218 notice (if rate increase) June Rate Hearing August Rate increase effective date September I The schedule will likely shift around, but the intent is to complete the work in about three months, except for the waiting period related to the rate notice. Sincerely D- 140 Mayhewwqy, Suite 901, Pleasarrt Hill, CA 94523 Ofice: 925-91G9090 Cell: 925-899-2578 EXHIBIT C LIVING WAGE PROVISIONS Ujljro-tlvllsWes: A requirement that Employers pay qualifying employees a wage of no less than $10.30 per hour with health benefits, or $1 1.55 per hour without health benefits. Paid and Unoaid Davs Off: Employers provide qualifying employees at least twelve compensated days off per year for sick leave, vacation, or personal necessity, and an additional ten days a year of uncompensated time for sick leave. No Retaliation: A prohibition on employer retaliation against employees complaining to the City with regard to the employer's compliance with the living wage ordinance. Employees may bring an ac{ion in Superior Court against an employer for back pay, treble damages for willful violations, and attorney's fees, or to compel City officials to terminate the service contract of violating employers. 17 c D EXHIBIT D EQUAL EMPLOYMENT OPPORTUNITY PRACTICES PROVISIONS Contraclor certifies and represents that, during the performance of this Agreement, the contractor and each subcontractor shall adhere to equal opportunity employment practices to assure that applicants and employees are treated equally and are not discriminated against because of their race, religious creed, color, national origin, ancestry, handicap, sex, or age. Contraclor further certifies that it will not maintain any segregated facilities. Contractor agrees that it shall, in all solicitations or advertisements for applicants for employment placed by or on behalf of Contractor, state that it is an "Equal Opportunity Employer'' or that all qualified applicants will receive consideration for employment without regard to their race, religious creed, color, national origin, ancestry, handicap, sex or age. Contractor agrees that it shall, if requested to do so by the City, certify that it has not, in the performance of this Agreement, discriminated against applicants or employees because of their membership in a protected class. Contractor agrees to provide the City with access to, and, if requested to do so by City, through its awarding authority, provide copies of all of its records pertaining or relating to its employment practices, except to the extent such records or portions of such records are confidential or privileged under state or federal law. Nothing contained in this Agreement shall be construed in any manner as to require or permit any act which is prohibited by law. 18 N'\.IItFNFhr{-a(.{-lF{rtdoocroooo(tNNdNTtN l! OJ oooooooooooooooOONNOoFralnrl F{ i/} r.,} <r> Ar V} 66tigt:,t^=:a!:!!!tEaEicc\. = \ \. \.EzEEEE-uEEE3<88E6\-\-\-i,d,ti6vtPcp&& 5!C EyFIU 9E-o (, ca oooooooooro oIT'cl a0 E UI 8ePte3$N-HE,{=-t\ =oiro'R.i33 .99 Egc3o l! EL EOoUl-c .g8E(JE !et! I/tEf;g G, of;EEE ooc)oPPocrcrcl=x o'fddQ.nvr66HR !!c 3-crtIo9g,EtL!,g_oEaSoE-EE*EE.Eo.6J>q(!, oooo<o RECEIVED MAR l6 2017 CIIY CLERKS OFFICE REGEIVED MAR ' 6 20? STAFF REPO HUMAN RESOURCES DEPA DATE: TO: FROM: R.E: March 21,2017 A RESOLUTION OF THE CITY COUNCIL PROCLAIMING THE MONTH OF APRIL 2OI7 AS "SEXUAL ASSAULT AWARIIESS MONTH" AND APRIL 26,2017 AS "DENIM DAY'IN THE CITY OF VERNON. Recommendation A. Find that the request to adopt the attached resolution proclaiming April 2017 as "Sexual Assault Awareness Month" and April 26, 2017 as "Denim Day" is exempt from Califomia Environmental Quality Act C'CEQA) review, because it is an administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a "project" as defined by CEQA Guidelines section 15378. B. Adopt the attached resolution proclaiming April 2017 as "Sexual Assault Awareness Month" and April26,2017 as "Denim Day" in the City of Vemon in support of the Peace Over Violence sexual violence education campaign. Background Since 2001 the month of April has been observed as "Sexual Assault Awareness Month" by the National Sex"al Violence Resource Center and other nonprofit sexual assault coalition service agencies. As part of the Sexual Assault Awareness Month activities, the local nonprofit organization Peace Over Violence has declared April 26,2017 "Denim Day" in Los Angeles. The Denim Day campaign protests an Italian Supreme Court decision to overtum a rape conviction because the victim wore jeans. The campaign draws attention to the fact that rape and sexual assault remains a serious issue in our society. The Denim Day campaigrr encourages community members, elected officials, business and students to make a social statement with their fashion by wearing jeans on Apri I 26s as a visible means of protest against misconceptions surrounding sexual assault. As in recent years, Peace Over Violence encourages local cities to adopt resolutions in suppo( of this campaign. Page 1 of 2 Fiscal Imoact This activity can be carried out without additional impact on the current operating budget. Attachment(s) I . Resolution. Page 2 of 2 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON DECI.ARING THE MONTH OF APRIL 2017 AS(SEXLIAL ASSAULT AWARENESS MONTH" AND APRIL 26,2017 AS "DENIM DAY' WHEREAS, Peace Over Violence is a nonprofit volunteet otganizad.on dedicated to building healthy telationships, families and communities ftee ftom sexual, domestic and intetpersonal violence, which, since 1999, has organtzed sexual violence prevention and educadon campaigns; and WHEREAS, Peace Over Violence encourages the City Council of the City of Vemon to tecogniz e Apll2017 as "Sexual Assault Awateness Month," aLod Apn126,2O77 as "Denim Day"; and 'iIHEREAS, Sexual Assault Awareness Month and Demm Day are intended to dtaw atteotion to the fact that rape and sexual assault condnue to be serious issues in our society, and both events wete instituted to call attention to misconceptions and 'nisinfotmation about rape and sexual assault, and the problem that many in society temaln uninfomed with respect to issues of assault aod forcible repe; and WHEREAS, Denim Day orignated ln 1999 after women in the ltrlian perliafi1g11 ptotested the Italan Supreme Court's overtuming of a. r3;pe conviction; and WHEREAS, the City Council of the City of Vemofl encouiages its employees, tesidents and membets of the business commuruty to particrpate in Sexual Assault Au/areness Month in support of the effotts of Peace Ovet Violence to educate all people in our community about the true impact ofrape and sexual assault, and to u/ear ieans on April26, 2017 as a visible means of awareness against misconcepdons that surround sexual assault. NOw' THEREFORE, BE IT RESOL\IED BYTHE CIryCOUNCIL OF THE CITY OF VERNON AS FOIIOWS: SECTION 1: The City Councrl of the City of Vemon hereby declares tle month of Aprl2017 as Sexual Assault Awaieness Month, and April 26,2017 as Denim Day. SECTION 2: The City Council of the City of Vemon hereby authorizes all employees to exercise appropnate disctetion .in wearing jeans on Apt 26,2017, zs a visible means of awateness against misconceptrons that surround sexual assault. SECTION 3: The City Clerk" or Deputy City Clerk, of the City of Vemon shall certifr to the passage, approval and adoptron of tlus Resolution, and the City Clerk, or Deputy City Cletlq of the City of Vemon shall cause this Resolution and the City Cletk's, or Deputy City Clerk's, certiEcation to be entered in the File of Resolutions of the Cou:cil of this City. APPROVED AND ADOPIED this 2lstday of M^tch,2077. Tide: Mayor / Mayor Pro Tem ATTEST: City Clerk / Deputy City Clerk APPRO\'ED AS TO FORN{: 2 STATE OF CAIIFORNIA ) ).t COTINTY OF LOS ANGFT FS ) City Clerk / Deputy City Clerk of the City of Vemon, do hereby certi$ that the foregoing Resolution, being Resolution No. was duly passed, approved and adopted by the City Council of the City of Vernon at a tegular meeting of the City Council duly held on Tuesdan March 21. 2017, and thereafter was duly signed by the Mayot or Mayor Pto-Tem of the City of Vernon. Executed this _ day of M xch, 2077 , at Vemon, Califomia. City Clerk / Deputy City Cletk (sEAr) 3 RECEIVED MAR 15 20li CITY CLERti'S OFFICE ECESVED tdAR t + 20n STAFF REPORT IRAIION HUMAN RESOURCES DEPARTMENT DATE: TO: FROM: RE: March 21,2017 Honorable Mayor and City Council Michael A. Earl. Director of Hum ,o Y,"rour""flfl Originator: Karina Rueda, Human Resources ,(nalyst A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON DESIGNATING DECEMBER 26, 2OI7 AND JANUARY 2, 2018, AS OBSERVED CITY HOLIDAYS Recommendation A. Find that approval ofthe proposed resolution authorizing the closure of municipal offices of the City of Vemon on December 26.2017 and January 2,2018, is exempt from Califomia Environmental Quality Act C'CEQA) review, because it is an administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not constitute a "project" as defined by CEQA Guidelines section 15378; and B. Adopt the attached resolution designating December 26,2017 and January 2,2018, observed City Holidays and approving the closure of ,municipal offices of the City Vemon on said days. Background In preparation for this year's holiday seasons and in determining the days the City will observe designated holidays, there have been discussions regarding the holiday schedule for the Christmas's Eve, Christmas Day, New Year's Eve, and New Year's Day Holidays. This year, Christmas Eve and New Year's Eve fall on a Sunday and Christmas Day and New Year's Day fall on Monday. The language contained in the Fringe Benefits and Salary Resolution as well as in the various memorandum of understanding, states that when a holiday falls on a Sunday, the City observes the holiday on Monday. However, the language does not address what is observed when Monday is already an observed holiday. Therefore, staff is respectfully requesting the closure of City Hall on December 26,2017 and January 2,2018. For calendar year 2017, employees will already be losing Cesar Chavez Day and Veteran's Day as these holidays fall on either a Friday or Saturday. The existing policy language specifies that as of Page I of2 when a holiday falls on a Friday or Saturday, the City does not observe the holiday. Observing December 26,2017 and January 2,2018, will not add to the total number ofholidays provided to City employees. While there is a potential indirect cost associated with inJieu holiday time that cenain employees will receive as a result of the proposed closure, any such costs would be included in the budget as the number of city designated holidays remains the same. Traditionally there is minimal non-emergency business brought to the City ofVernon during the holiday season, therefore, closing non-emergency services (City Hall) should not have a significant impact on the businesses and residential communities. However, our Fire, Police, and Vemon Gas & Electric Department, whose services are critical year-round, will remain staffed as usual to ensure availability for any issue that may require immediate attention. The City has fulfilled its obligations to the extent required under the Myers-Milias Brown Act and/or any respective memoranda of understanding as it is related to the proposed action(s) in this staff report. Fiscal Imoact There is a potential indirect cost to provide 20 hours of inJieu holiday time to represented employees in accordance with their respective memoranda of understanding. However, since the anaual number ofhours per employee will remain unchanged, no additional appropriation will be necessary. Attachment(s) l. Resolution Page 2 of 2 RESOIJUTION NO. A RESOLUTfON OF THE CITY COUNCIL OF THE CTTY OF VERNON DESIGNATING DECEIUBER 25, 2017, AND JANUARY2, 201.8, AS OBSERVED CITY HOLIDAYS, AND DIRECTING CLOSURE OF THE PIJBLIC OFFTCES OF THE CITY OF VERNON ON THESE DAYS WHEREAS, on Oct.ober 4, 20L6, the City Council of the City of vernon ("City Council" ), adopted Resolution No. 2016-53, which, in pertinenE parts, established holidays for t,he Citsy of Vernon (..City,, ) , and directed closure of the public offices of the City on those days ("City Holidays"); and WHEREAS, pursuant Eo Resolution No. 2Of6-53, the City Council sha11 approve the dates for observation of holidays; and WHEREAS, tshe City Council- desires Eo designate Tuesday, December 26, 2017, and Tuesday, January 2, 20f8, as City Holidays; and WHEREAS, Ehe City Council desires to provide in-lieu holiday time to represented employees in accordance with their respecE.ive memoranda of understanding and the Citlnuide Fringe Benefits and Sa1ary ResoluE,ion; and WHEREAS, observing December 26, 2Of7 and ,January 2, 2078 will not add to the t.otaI number of designated holidays provided to City employees during this fiscal year; and WHEREAS, the designated holidays will have only a minor impact on pu.blic and business assi,slance due to the historically minimal non-emergency activity during this time period, and because City Fire, Police and Gas & ElecE.ric services will remain sEaffed as usual; and WHEREAS, for all of the above reasons. this action serves a municipal and public purpose . NOW, THEREFORE, BE IT RESOLVED BY THE CITY COIINCIL OF THE CTTY OF VERNON AS FOLLOWS: SECTION l-: The Cit,y Council of the City of Vernon hereby finds and determines that the above recitals are tsrue and correct. SECTION 2: The City Council of the City of vernon hereby finds that. the California Environment.al Quality Acts (CEQA) does not apply to approval of the proposed resolution authorizing E.he desigmation of City Holidays because CEQA does not apply Eo personnel-- re1aE.ed actsions and administrative accivities, as described by CEeA Guidelines Section 15378 (b) (2) and (5). Further, even if CEQA did apply, approval of the proposed resolution is exempE. from CEQA in accordance with Section 15051 (b) (3), the general rule that CEQA only applies t.o projects that may have an effects on the environment. SECTION 3: The City Council hereby desigrrates Tuesday, December 25, 20]-7, and Tuesday, January 2, 2OLA, as observed holidays for tshe Citsy and direct.s EhaC the public offices of the City sha1I be closed on these days. Cert.ain employees shalI receive in lieu holiday tsime in accordance wit.h their respecE,ive memoranda of understanding and the Citywide Fringe Benefits and Salary Resolution. SECTfON 4: The CiEy Council of the City of Vernon hereby instruct.s t.he City Administ.raE.or, or his designee, to take whatever aclions are deemed necessary or desirable for the purpose of implement.ing and carrying out the purposes of tshis Resolut.ion. SECTION 5:The City Clerk, or Deputy City C1erk, of the CiCy of Vernon shall certify to E.he passage, approval and adoption of this resolutsion, and the City C1erk, or Deputy City Clerk, of the City of Vernon shall- cause this resoluEion and the City C1erk, s, or Deputy City Clerk's, cerEification !o be entered in the File of Resolutions of tshe Council- of this City. APPROVED AND ADOPTED Ehis 21sE day of March, 20L7 Name: Title: l(ayor / Mayor Pro-Tem A.L.LE51: City Clerk / Deputy City Clerk APPROVED AS TO sa, Senior DepuEy Cit.y At.lorney -3- STATE OF CALfFORNIA )) ss COUNTY OF LOS ANGELES ) t,, Cit.y Clerk / Deputy City Cterk of the CiEy of Vernon, do hereby certify Ehat the foregoing Resolution, being Resolution No. _. was duly passed, approved and adopted by tshe City CounciL of the City of Vernon at a regular meeting of t.he CiEy Council duly held on Tuesday, Marchl 2!, 2O!?. and Chereafter was duly signed by the Mayor or Mayor Pro-Tem of the Cit.y of Vernon. Executed this day of March, 2017, at Vernon, California. Cit.y Clerk / Deputy City Clerk (SEAL) 4