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20160517 Regular City Council Meeting - Packet
California 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.cityofvemon.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. **** Please note Special Start Time for Meeting: 7:30 a.m. Agenda City of Vernon of wE� Regular City Council Meeting `�,�;a,th .�, Tuesday, May 17, 2016, 7:30 a.m. City Hall, Council Chamber 4305 Santa Fe Avenue Vernon, California Ito `°°"C)f o 190S William J. Davis, Mayor s t'EtY 00 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 Declaring the Week of May 15 through May 21, 2016 as "National Public Works Week" Regular City Council Meeting Agenda May 17, 2016 2. Service Pin Awards for April 2016 NAME DEPARTMENT TITLE YEARS Linda R. Smith Health Administrative Secretary 25 Lyndon S. Ong Yiu Health Senior Environmental 15 Oscar E. Zoza a Police Police Officer 15 Jesse L.Blue Vernon Gas&Electric Electric Operator 5 Yesenia Ramirez Public Works Sr. Administrative Assistant 5 Jared B. Dace Vernon Gas & Electric Senior Utilities Dis atcher 5 BUDGET STUDY SESSION 3. Fire Department—Update on Proposed Budget for Fiscal Year 2015-2016 4. Review of Proposed Budgets for Fiscal Year 2016-2017 for the Following Departments: A. Overview B. Public Works, Water&Development Services Department C. Human Resources Department D. City Attorney Department E. Health and Environmental Control Department F. Gas and Electric Department G. City Administration Department 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 5. None Page 2 of 10 Regular City Council Meeting Agenda May 17, 2016 Warrant Registers 6. Ratification of the following City Warrant Register to record the following voided checks: A. City Warrant Register No. 1445 to record voided Check No. 350500 in the amount of$256.04; and B. City Warrant Register No. 1447 to record voided Check No. 350783 in the amount of$119.38. 7. Approval of City Payroll Warrant Register No. 719, totaling $ 2,973,790.02, which covers the period of April 1 through April 30, 2016 and consists of the following: A. Ratification of direct deposits, checks and taxes totaling $2,053,233.57; and B. Checks and electronic fund transfers (EFT) totaling $920,556.45. 8. Approval of City Warrant Register No. 1448, totaling $1,033,895.52, which covers the period of April 26 through May 9, 2016, and consists of the following: A. Ratification of wire transfers totaling $595,018.26; and B. Ratification of the issuance of early checks totaling $296,373.03; and C. Authorization to issue pending checks totaling $142,504.23. 9. Approval of Light & Power Warrant Register No. 413, totaling $1,439,323.01, which covers the period of April 26 through May 9, 2016, and consists of the following: A. Ratification of wire transfers totaling $1,376,810.97; and B. Ratification of the issuance of early checks totaling $61,574.18; and C. Authorization to issue pending checks totaling $937.86. 10. Approval of Gas Warrant Register No. 201,totaling$210,950.78,which covers the period of April 26 through May 9, 2016, and consists of the following: A. Ratification of wire transfers totaling $180,496.08; and B. Ratification of the issuance of early checks totaling $30,454.70. Fire Department 11. Activity Report for the period of April 16 through April 30, 2016. Page 3 of 10 Regular City Council Meeting Agenda May 17, 2016 Health and Environmental Control Department 12. April 2016 Health & Environmental Control Department Monthly Report Police Department 13. Activity Loy and Statistical Summary of Arrests and Activities for the period of April 16,through April 30, 2016, to be received and filed. 14. Settlement Proceeds and Agreement Recommendation: A. Find that the acceptance of the settlement proceeds from a False Claims Act from, United States et al. ex rel. Perez v. Stericycle, Inc., et al., is exempt from California Environmental Quality Act ("CEQA") review, because it is a continuing 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. Accept the settlement proceeds and agreement, and authorize the Police Chief to accept and deposit the settlement proceeds on behalf of the City. NEW BUSINESS City Attorney Department 15. Resolution of the City Council of the City of Vernon approving the General Form of Attorney Services Contracts Recommendation: A. Find that approval of the forms of contract and of related documents in this staff report is exempt from California Environmental Quality Act ("CEQA") review, because it is a continuing 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 Resolution approving the general form of attorney services contracts. Page 4 of 10 Regular City Council Meeting Agenda May 17, 2016 City Clerk Department 16. Resolution of the City Council of the City of Vernon updating City Council Members' Appointments to Various Agencies and/or Committees Recommendation: Items A-D: A. Find that approval of the proposed Resolution updating the City Council appointments does not constitute a "project" pursuant to section 15378(b)(2) of the Guidelines to the California Environmental Quality Act("CEQA"),because it constitutes an administrative activity; and even if the adoption of the proposed resolution did constitute a project,it would be exempt from CEQA in accordance with Section 15061(b)(3),the general rule that CEQA only applies to projects that may have an effect on the environment; and B. Appoint Council Members as delegate(s) and alternate(s), as well as some key staff as either delegate(s) and/or altemate(s) to the following boards of various agencies and/or committees as follows: 1. California Contract Cities Association. Appoint Melissa Ybarra as the delegate; and William J. Davis as the alternate. Previous appointment, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and Yvette Woodruff-Perez as the alternate. 2. Central Basin Water Association. Appoint William J. Davis as the delegate; Yvette Woodruff-Perez as the alternate; and reaffirm the City of Vernon's Director of Public Works, Water and Development Services, or his/her designee, to also serve as the City's alternate. Previous appointment, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate;William J.Davis as the alternate; and reaffirm the Director of Public Works, Water&Development Services or his/her designee, to also serve as the City's alternate. 3. County Sanitation District No. 1. Appoint William J. Davis as the presiding officer of the City of Vernon to serve as the City's member on the Board of Directors of County Sanitation District No. 1; and Yvette Woodruff-Perez as the alternate. Previous appointments,pursuant to Resolution No. 2015-22: W. Michael McCormick as the presiding officer as delegate; and Melissa Ybarra as the alternate. 4. County Sanitation District No. 2. Appoint William J. Davis to serve as the City's delegate to the Board of Directors of County Sanitation District No. 2; and Leticia Lopez as the alternate. Previous appointments,pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and William J. Davis as the alternate. 5. County Sanitation District No. 23. Page 5 of 10 Regular City Council Meeting Agenda May 17, 2016 Appoint current City Council (William J. Davis, Yvette Woodruff-Perez, Luz A. Martinez,Melissa Ybarra,and Leticia Lopez)to serve as the Board of Directors to County Sanitation District No. 23. Previous appointments, pursuant to Resolution No. 2015-22, appointed then City Council: W. Michael McCormick, William J. Davis, Luz A. Martinez, Melissa Ybarra, and Yvette Woodruff-Perez. 6. Gateway Cities Council of Governments. Appoint William J. Davis as the delegate; and Melissa Ybarra as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: William J. Davis as the delegate and Melissa Ybarra as the alternate. 7. I-710 EIR/EIS Project Committee. Appoint Leticia Lopez as the delegate and Melissa Ybarra as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: William J. Davis as the delegate; and W. Michael McCormick as the alternate. 8. Independent Cities Association of Los Angeles County. Appoint Melissa Ybarra as the delegate; and Yvette Woodruff-Perez as the alternate. Previous appointments, made pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and Yvette Woodruff-Perez as the alternate. 9. Independent Cities Finance Authority. Appoint Leticia Lopez as the delegate; and Yvette Woodruff-Perez as the alternate. Previous appointments,pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and Yvette Woodruff-Perez as the alternate. 10. League of California Cities. Appoint Melissa Ybarra as the delegate; and Yvette Woodruff-Perez and Luz Martinez as the alternates. Previous appointments,pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and William J. Davis and Melissa Ybarra as the alternates. 11. Eco-Rapid Transit (formerly known as the Orangeline Development Authority). Appoint William J. Davis as the delegate and Luz Martinez as the alternate. Previous appointments, pursuant to Resolution No. 2015-22 made to the Orangeline Development Authority were: W. Michael McCormick as the delegate; and Melissa Ybarra as the alternate. 12. Pacific Electric Right-of-Way/ West Santa Ana Branch Corridor Alternative Analysis. Appoint Melissa Ybarra as the representative on the Steering Committee; and reaffirm the City's appointment of the City's Director of Public Works, Water and Development Services, or his/her designee, to serve on the Technical Advisory Committee. Previous appointment, pursuant to Resolution No. 2015-22: W. Michael McCormick as the representative; and Director of Public Works, Water and Development Services, or his/her designee, to serve on the Technical Advisory Committee. Page 6 of 10 Regular City Council Meeting Agenda May 17, 2016 13. Southeast Community Development Corporation. Appoint Leticia Lopez as the delegate; and William J. Davis as the alternate. Previous appointments,pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and Melissa Ybarra as the alternate. 14. Southeast Water Coalition. Appoint William J. Davis as the delegate; and Yvette Woodruff-Perez as the alternate; and, reaffirm that said appointed representatives shall also be the City's representatives to attend board and committee meetings held by the Replenishment District of Southern California,Central Basin Municipal Water District and the Authority and any other water- related meeting which affect the City of Vernon. Previous appointments,pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and William J. Davis as the alternate; and, reaffirmed that said appointed representatives shall also be the City's representatives to attend board and committee meetings held by the Replenishment District of Southern California, Central Basin Municipal Water District and the Authority and any other water-related meeting which affect the City of Vernon. 15. Southern California Association of Governments. Appoint Yvette Woodruff-Perez as the delegate; and William J. Davis as the alternate. Previous appointments,pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and William J. Davis as the alternate. 16. Vernon Solid Waste Hearing Panel. Appoint William J. Davis, Yvette Woodruff-Perez, and Luz Martinez to serve on the Hearing Panel for the Local Enforcement Agency for Solid Waste Facilities. Previous appointments, pursuant to Resolution No. 2015-22: Melissa Ybarra, Yvette Woodruff-Perez, and Luz Martinez. C. Adopt a Resolution of the City Council of the City of Vernon designating and appointing its representatives and alternates to the boards of various agencies and/or committees. D. Authorize the City Clerk to complete California Form 806, Agency Report of: Public Official Appointments, and post in accordance with state laws and/or regulations. Finance Department 17. Resolution of the City Council of the City of Vernon Adopting an Annual Statement of Investment Policy for Fiscal Year 2016-2017 and Delegating Investment Authority to the Finance Director/City Treasurer. Recommendation: Items A-D: Page 7 of 10 Regular City Council Meeting Agenda May 17, 2016 A. Find that approval of the investment policy for Fiscal Year 2016-2017 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. Approve a Resolution of the City Council of the City of Vernon adopting an Annual Statement of Investment Policy for Fiscal Year 2016-2017 and delegating investment authority to the Finance Director/City Treasurer. C. Approve the addition of Section 8.3 to the investment policy. This section will prohibit speculative investments which includes investments in derivatives such as contracts-options, swaps, and futures/forward contracts without a clear, identifiable, justifiable, and effective hedgeable item. Gas and Electric Department 18. Vernon's Support of the Natural Gas Settlement Agreement for Enhanced SoCalGas Balancing Rules during the Outage of Aliso Canyon Storage Facility Recommendation: A. Find that approval of the authorization of Vernon's proposed support of the natural gas balancing settlement agreement is exempt from California Environmental Quality Act ("CEQA") review, because it is a continuing 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. Authorize the City Administrator to sign the proposed Natural Gas Balancing Settlement Agreement, on behalf of the City of Vernon, the result of which will be more favorable gas balancing rules on SoCalGas during the period that Aliso Canyon gas storage field is off line. The Natural Gas Settlement Agreement has been reviewed and approved by the City Attorney's office. 19. Base Contract with Occidental Energy Marketing,Inc. for Sale and Purchase of Natural Gas (the "NAESB Contract") Recommendation: Items A-B: A. Find that(a)the agreement between the City of Vernon and Occidental Energy Marketing, Inc. is not in reference to a "project" subject to the California Environmental Quality Act ("CEQA") under Guidelines section 15378 because it involves the administrative activity of purchasing gas; and(b) even if this approval were a"project" subject to CEQA, the approval requested is exempt in accordance with CEQA Guidelines Section 15301(b), the general rule that CEQA only applies to projects that may have an effect on the environment because purchasing gas is purely a financial transaction, and any construction that may occur by a private party in the future in reliance on this Page 8 of 10 Regular City Council Meeting Agenda May 17, 2016 approval would be subject to CEQA review by another governmental agency at that time when actual details of any physical proposal would be more than speculative; and B. Authorize the Interim Director of Gas&Electric(as per Resolution No. 9280)to execute the North American Energy Standards Board ("NAESB") contract by and between the City of Vernon ("City") and Occidental Energy Marketing, Inc. ("OEM") in substantially the same form as attached to the staff report, for the purpose of buying and selling natural gas to or from OEM, in compliance with the general terms established in the agreement. Pursuant to Vernon Municipal Code § 2.17.12(A)(6), competitive bidding is not required because this is a contract for gas and/or electrical power for the city's power utility, and it would be commercially unreasonable to procure the gas or electricity through standard bidding or request for proposal procedures. Public Works, Water and Development Service Department 20. Contract Award for City Contract No. CS-0602: City Housing Improvements Recommendation: A. Find that the proposed Capital Improvement Project is categorically exempt under the California Environmental Quality Act (CEQA) in accordance with CEQA Guidelines Section 15301, Existing Facilities,part(a), because the project is merely to make interior or exterior alterations involving partitions, plumbing, and electrical conveyances; and B. Accept the bid of St. George Groupe Inc. as the lowest responsive and responsible bidder and enter into a contract at an amount not to exceed $119,875 for the renovation of a single family home located at 4323 Furlong Place and to reject all other bids. Further authorize a contingency of$20,000 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. 21. Resolution of the City Council of the City of Vernon urging the Los Angeles County Metropolitan Transportation Authority to modify the proposed Measure R2 Local Return Funding Allocation for Local Transportation Infrastructure. Recommendation: A. Find that the approval of the proposed resolution in this staff report is exempt under the California Environmental Quality Act(CEQA) in accordance with Section 15061(b)(3),the general rule that CEQA only applies to projects that may have an effect on the environment; and B. Approve a Resolution of the City Council of the City of Vernon urging the Los Angeles County Metropolitan Transportation Authority to modify the proposed Measure R2 Local Return Funding Allocation for Local Transportation Infrastructure. Page 9 of 10 Regular City Council Meeting Agenda May 17, 2016 ORAL REPORTS 22. City Administrator Reports — brief reports on activities and other brief announcements by the City Administrator and Department Heads. 23. City Council Reports—brief report on activities, announcements, or directives to staff. CLOSED SESSION 24. CITY COUNCIL CONFERENCE WITH LABOR NEGOTIATORS Government Code Section 54957.6 Agency Designated Representative: Carlos Fandino, City Administrator Employee Organizations: Teamsters Local 911, IBEW Local 47, Vernon Firemen's Association, Vernon Fire Management Association, Vernon Police Management Association 25. CONFERENCE WITH LEGAL COUNSEL—EXISTING LITIGATION Government Code Section 54956.9(a) Name of Case: City of Vernon vs. Citigroup Energy Inc., et al. United States District Court Southern District of New York Case No. CV 16-2405 26. PUBLIC EMPLOYEE DISCIPLINE/DISMISSAL/RELEASE Government Code Section 54957(b)(1) 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 12th day of May 2016. By: Maria E. Ayala City Clerk Page 10 of 10 v RECEIVED .�L„� • MAY 1 12016 STAFF REPORT CITY CLERK'S OFFICE CITY ADMINISTRATION DATE: May 17, 2016 TO: Honorable Mayor and City Council FROM: Carlos R. Fandino,Jr., City Administrator Originator: Anthony Zarate, Administrative Secretary k-o'T RE: A Proclamation Declaring the Week of May 15 through May 21, 2016 as "National Public Works Week" Recommendation A. Approve a proclamation declaring the week of May 15 through May 21, 2016 as "National Public Works Week" to recognize the vital and respected services performed by the Public Works, Water and Development Services staff throughout the year to serve the Vernon community. Background Instituted as a public education campaign by the American Public Works Association (APWA) in 1960, National Public Works Week (NPWW) is designed to highlight the significance of public works in all communities. This week is intended to uphold the prestige of the vital role fulfilled by the public works staff in local government and their contribution to serving the community. The occasion is marked each year with resolutions and proclamations from mayors and governors throughout the United States, including a resolution from the U.S. Senate confirming the first National Public Works week in 1960 and a Presidential Proclamation signed by John F. Kennedy in 1962. The Department of Public Works, Water and Development Services of the City of Vernon works to preserve the City's quality of life for both the citizens of Vernon and its business community by providing superior services in an efficient and effective manner while providing a positive work environment for its employees. Under the guidance of the Public Works Director, the Public Works crews are responsible for the maintenance of the City's infrastructure, sewers and storm drain systems. These crews also provide graffiti removal and repair asphalt and concrete surfaces throughout the City in a responsive and timely manner. Page 1 of 2 Meanwhile, the engineering staff in the department also provide a critical role by planning, designing and implementing a wide variety of capital improvement projects and providing critical development review for projects in the public right-of-way. It is, therefore, important that we recognize the accomplishments of both the Public Works office staff and field crews by declaring the week of May 15 through May 21, 2016 as National Public Works Week in the City of Vernon and extend our sincere gratitude to all members of the City of Vernon's Public Works, Water and Development Services Department. Fiscal Impact There is no cost associated with this item. Attachment(s) None. Page 2 of 2 I of t1r. ty .10 .a A PROCLAMATION OF THE MAYOR AND THE CITY COUNCIL OF THE CITY OF VERNON DECLARING THE WEEK OF MAY15- MAY21, 2016AS NATIONAL PUBLIC WORKS WEEK WHEREAS,public works infrastructure,facilities and services provided in our community are an integral part of our citizens'health, safety and well-being;and WHEREAS, such facilities and services could not be provided without the dedicated efforts of the public works professionals, employees, and administrators, who are responsible far and must design, build, operate, and maintain the transportation, water supply, wastewater systems,public buildings, and other structures and facilities essential to serve our citizens;and WHEREAS, the health, safgy and comfort of this communitygreatly depends on these facilities and services;and WHEREAS, the qualiiyv and effectiveness of these Jacilites, as well as their planning, design, and construction, are titaly dependent upon the efforts and skill of public works ofcials;and WHEREAS, the eff aen y of the quaked and dedicated personnel who ste public works departments is materially influenced b,the people's attitude and understanding of the importance of the work thely perform;and WHEREAS, the City of I.'ernon wisher to invite all residents and businesses within the City of L'ernon to participate in Natural Public Works Week by recognising the contributions which Public Works staff make ever),day to our health, safety, comfort, and quality of life. NOW, THEREFORE, THE MAYOR AND THE CM-COUNCIL OF THE CITY OF 1,'ERNON, ON BEHALF OF ITS EMPLOYEES, RF_SIDE.N7SAND BUSINESSES HEREBY DECLARE THE WEEK OF MAY 15—MAY 21, 2016,AS NATIONAL.PUBLIC WORKS WEEK THIS PROCT_./MATION IS BEING PRESENTED TO DEREK WIESKE, DIRECTOR OF PUBLIC WORKS, IVAT ER AND DE I/-ELOPMENT SE L ICES OF THE CITY OF L'ERNON, BY THE HONORABLE MAI.OR WILLIAIVI J. DAVIS FOR AND ON BEHALF OF THE CITY COUNCIL OF THE CITY OF VERNON THIS 17Df DAY OF MAY, TWO THOUSAND.AND SIXTEEN CITY OF VERNON BY WILLIAM J. DAVIS, Mayor r RECEIVED +�' RECEIVED MAY 1,0 2016 MAY 0 4 2015 Et,. CITY CLERK'S OFFICE CITY ADMINISTRATION STAFF REPORT @� ",ty HUMAN RESOURCES DEPARTMENT DATE: May 17,2016 TO: Honorable Mayor and City Council FROM: Isaac Garibay, Director of Human Resources Originator: Veronica Avendano, Administrative Secretary RE: Service Pin Awards for April 2016 Recommendation A. City Council to present service pins to those employees hired in April. Background Submitted herewith lists the employees who are eligible to receive their service pin based on the number of service years with the City of Vernon. Fiscal Impact None. Attachment(s) 1. April 2016 Service Pin employee list. Page 1 of 1 2016 SERVICE PIN LIST APRIL ANNIVERSARY EMPLOYEE'S NAME DEPARTMENT TITLE D.O.H YEARS Linda R.Smith Health Administrative Secretary 4/29/1991 25 Lyndon S.Ong Yiu Health Senior Environmental Specialist 4/23/2001 15 Oscar E.Zozaya Police Police Officer 4/22/200I 15 Jesse L. Blue Vernon Gas& Electric Electric Operator 4/25/2011 5 Yesenia Ramirez Public Works Sr. Administrative Assistant 4/20/2011 5 Jared B. Dacey Vernon Gas& Electric Senior Utilities Dispatcher 4/25/2011 5 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1001 CITY COUNCIL A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SALARIES $ 128,745 $ 122,739 $ 128,760 $ 15 $ (6,006) $ 6,021 BENEFITS 74,604 66,418 58,653 (15,951) (8,186) (7,765) SUPPLIES/SERVICES 88,810 70,827 62,803 (26,007) (17,983) (8,024) TOTAL EXPENSES $292,159 $ 259,984 $250,216 $ (41,943) $ (32,175) $ (9,768) Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Councilmembers 4.0 $ 102,996 $ 103,008 $ 12 Mayor 1.0 25,749 25,752 $ 3 DEPARTMENT TOTALS 5.0 $128,745 $128,760 $ 15 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1001 -General Fund City Council Department Budget Detail 2016-2017 DEPARTMENT: 011.1001 CITY COUNCIL A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments EXPENSES: SALARIES 501010 Salaries-Regular 128,745 122,739 128,760 15 (6,006) 6,021 501012 Salaries-Premium - - - - - 128,745 122,739 128,760 15 (6,006) 6,021 BENEFITS 502020 Retirement 29,965 23,393 24,260 (5,705) (6,572) 867 502030 Group Insurance Premiums 42,774 40,861 31,676 (11,098) (1,913) (9,185) 502060 Medicare 1,865 2,164 2,717 852 299 553 74,604 66,418 58,653 (15,951) (8,186) (7,765) SUPPLIES/SERVICES 520000 Supplies 930 851 930 (79) 79 593200 Legal 23,964 35,947 - (23,964) 11,983 (35,947) 596500 Travel 53,578 28,860 51,535 (2,043) (24,718) 22,675 596550 Memberships 10,338 5,169 10,338 (5,169) 5,169 88,810 70,827 62,803 (26,007) (17,983) (8,024) TOTAL EXPENSES $ 292,159 $ 259,984 $ 250,216 $ (41,943) $ (32,175) $ (9,768) 1of1 PROPOSED BUDGET CITY OF VERNON FUND 011 -GENERAL FUND DEPARTMENT 1001 -CITY COUNCIL 2016-2017 Account No.520000-Supplies FY2016 FY2017 Name Description Budget Budget 1 Tim Park Photography Professional Photo Session(if a new Council member is elected at the April 2017 $ 450 $ 450 election,a professional photo of him/her will be needed for the hallway wall) 2 SILVA'S Business Cards(if any reorganizational changes occur as a result of the April 300 300 2017 election,new business cards may be needed) 3 STAPLES General Office/Desk Supplies 150 150 4 Huntington Park Rubber Stamp Company Desktop Name Plates(if any reorganizational changes occur as a result of the 30 30 April 2017 a new set of name plates may be needed for Council Office) $ 930 $ 930 Account No.593200-Legal FY2016 FY2017 Name Description Budget Budget 1 Legal Reimbursement(CALPERS) Mike McCormick 23,964 23,964 Account No.596500-Travel FY2016 FY2017 Name Description Budget Budget 1 League of Cities Conference/Seminar 7,000 18,674 2 CCCA Annual Legislative Orientation Tour Legislative Orientation Tour/Fall Seminar/Municipal Seminar 14,654 17,435 3 ICA Seminars/Meetings Winter Semminar/Summer Seminar 11,924 12,850 4 Miscellaneous Conference Attendance 20,000 - 5 Mileage Reimbursement 2,576 $ 53,578 $ 51,535 Account No.596550-Membership Dues FY2016 FY2017 Name Description Budget Budget 1 Eco-Rapid Transit(Orangeline Development At Annual Membership Dues 10,338 $ 10,338 $ 10,338 $ 10,338 1of1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1002 CITY ADMINISTRATION A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SALARIES $ 628,980 $ 803,706 $ 610,610 $ (18,370) $ 174,726 $ (193,096) BENEFITS 168,768 164,139 212,778 44,010 (4,629) 48,639 SUPPLIES/SERVICES 655,063 558,590 520,083 (134,980) (96,473) (38,507) TOTAL EXPENSES $ 1,452,811 $ 1,526,435 $ 1,343,471 $ (109,340) $ 73,624 $ (182,964) Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Administrative Aide 0.0 $ 5,200 $ - $ (5,200) Administrative Analyst 1.0 - 82,524 82,524 City Administrator 1.0 308,113 279,468 (28,645) Deputy City Administrator 1.0 155,617 148,212 (7,405) Executive Assistant to the City Administrator 1.0 71,286 71,280 (6) Senior Administrative Assistant 0.5 - 24,126 24,126 Overtime - 3,000 3,000 Payout(vacation and sick excess hours) 72,583 2,000 (70,583) DEPARTMENT TOTALS 4.5 $ 612,799 $ 610,610 $ (2,189) PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1002-General Fund- City Administrator Department Budget Detail 2016-2017 DEPARTMENT: 011.1002 CITY ADMINISTRATION A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments EXPENSES: SALARIES 501010 Salaries-Regular 540,216 506,502 605,610 65,394 (33,714) 99,108 501012 Salaries-Premium 88,764 2,000 (86,764) 208,440 (295,204)Severance pay 501020 Salaries-O.T. - - 3,000 3,000 - 3,000 628,980 803,706 610,610 (18,370) 174,726 (193,096) BENEFITS 502020 Retirement 127,540 119,311 152,630 25,090 (8,229) 33,319 502030 Group Insurance Premiums 33,178 33,570 51,294 18,116 392 17,724 502060 Medicare 8,050 11,203 8,854 804 3,153 (2,349) 502070 Unemployment - 55 - - 55 (55) 168,768 164,139 212,778 44,010 (4,629) 48,639 SUPPLIES/SERVICES 520000 Supplies 4,032 2,551 2,682 (1,350) (1,481) 131 550000 Advertisement/Promotion 97,506 101,919 97,806 300 4,413 (4,113) 570000 Vehicle Expense 17,742 10,059 8,400 (9,342) (7,683) (1,659) 593200 Professional Services-Legal 93,956 46,978 - (93,956) (46,978) (46,978) 596200 Professional Services-Other 405,000 355,165 354,800 (50,200) (49,835) (365)Need to revisit amounts for Joe A. Gonsalves&Son and Nielsen Merksamer 596500 Travel 20,750 14,929 31,500 10,750 (5,821) 16,571 596700 Training - - 2,100 2,100 - 2,100 596550 Memberships 16,077 26,989 22,795 6,718 10,912 (4,194) 596600 Books&Publications - - - - - 655,063 558,590 520,083 (134,980) (96,473) (38,507) TOTAL EXPENSES $ 1,452,811 $ 1,5265435 $ 1,3435471 $ (1095340) $ 735624 $ (1825964) 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1002 - CITY ADMINISTRATION 2016-2017 Account No.501020-Overtime Detailed FY2016 FY2017 Name Description Budget Budget 1 Executive Assistant to City Administrator Overtime 1,000 2 Sr Administrative Assistant Overtime 1,000 3 Administrative Analyst Overtime 1,000 $ - $ 3,000 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Warehouse Bottled Water, Copy Paper, Coffee 945 945 2 Staples General office supplies 1,435 1,435 3 Huntington Park Rubber Stamp Name Plates 1,550 200 4 Fed Ex Mail 102 102 $ 4,032 $ 2,682 Account No. 550000- Advertisement/Promotion Detailed FY2016 FY2017 Name Description Budget Budget 1 DDCC/Drizen-DOHS Vernon Quarterly 76,500 76,500 2 Eastern Group Publications Posting 306 306 3 Rio Hondo Rotary Christmas Fundraiser 700 1,000 4 Miscellaneous Sponsorship/Event 20,000 20,000 Attendance $ 97,506 $ 97,806 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Lincoln Mercury Gas Usage for Lincoln Mercury 5,229 1,200 2 Lincoln Mercury Garage Work Orders for Lincoln Mercury 3,642 3,000 3 Chevy Silverado Gas Usage for Chevy Silverado 5,229 1,200 4 Chevy Silverado Garage Work Orders for Chevy Silverado 3,642 3,000 $ 17,742 $ 8,400 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1002 - CITY ADMINISTRATION 2016-2017 Account No. 593200- Legal Detailed FY2016 FY2017 Name Description Budget Budget 1 City Administrator Legal Reimbursement Allowance Per City 93,956 Administrator Employment Agreement $ 93,956 $ - Account No. 596200- Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 Mayer Brown Independent Special Counsel -$6,350 monthly x 8 115,000 74,800 plus 2 reports 2 Joe A. Gonsalves&Son' Lobbyist Agreement-$5,000 monthly retainer+ 60,000 60,000 expenses(approx. $1,000) 3 Robert Stern Consultant Assisting Independent Special Counsel to 20,000 10,000 the City of Vernon 4 Fred MacFarlane Strategic Communications Advisor Agreement- 160,000 160,000 $13,000 monthly retainer 5 Nielsen Merksamer, Parrinello' Professional Services approx$5,000 for 12 months 50,000 50,000 $ 405,000 $ 354,800 Account No. 596500-Travel Detailed FY2016 FY2017 Type Description Budget Budget 1 Air, Hotel, Etc. Various Seminars/Meetings 10,750 20,500 2 Miscellaneous Conference Attendance 10,000 10,000 3 Mileage Reimbursement - 1,000 $ 20,750 $ 31,500 Account No.596700-Training Detailed FY2016 FY2017 Type Description Budget Budget 1 Fred Pryor Seminars Performance&Skill Development 600 2 Workshop Skill Development 1,500 3 $ - $ 2,100 2 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1002 - CITY ADMINISTRATION 2016-2017 Account No. 596550-Membership Dues Detailed FY2016 FY2017 Name Description Budget Budget 1 Gateway Cities Council of Governments Membership Dues 9,773 13,000 2 California Contract Cities Association Membership Dues 4,425 4,850 3 League of California Cities- L.A. County Membership Dues 992 993 Division 4 Independent Contract Cities Membership Dues 550 550 5 League of CA Cities Membership Dues 74 74 6 National League of Cities Membership Dues 263 263 7 Southern California Association of Membership Dues 115 Governments 8 ICMA Membership Dues 1,400 $ 16,077 $ 21,245 Account No. 596600- Books& Publications Detailed FY2016 FY2017 Name Description Budget Budget 3 of 3 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1021 COMMUNITY PROMOTION A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SUPPLIES/SERVICES $ 2,170,000 $ 1,335,195 $ 1,170,000 $ (1,000,000) $ (834,805) $ (165,195) TOTAL EXPENSES $ 2,170,000 $ 1,335,195 $ 1,170,000 $ (1,000,000) $ (834,805) $ (165,195) PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1021 -General Fund- Community Promotion Department Budget Detail 2016-2017 DEPARTMENT: 011.1021 COMMUNITY PROMOTION A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments EXPENSES: SUPPLIES/SERVICES 550000 Advertisement/Promotion $ 50,000 $ 25,395 $ 50,000 $ $ (24,605) $ 24,605 596200 Professional Services Other 120,000 129,800 120,000 9,800 (9,800) 797000 Good Neighbor Program 2,000,000 1,180,000 1,000,000 (1,000,000) (820,000) (180,000) 2,170,000 1,335,195 1,170,000 (1,000,000) (834,805) (165,195) TOTAL EXPENSES $ 2,170,000 $ 1,335,195 $ 1,170,000 $ (1,000,000) $ (834,805) $ (165,195) PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1021 - COMMUNITY PROMOTION 2016-2017 Account No. 797000 - Good Neighbor Program Detailed FY2016 FY2017 Name Description Budget Budget 1 Vernon Community Fund VCF Grant Awards 1,000,000 1,000,000 2 Legacy LA Good Neighbor Program -Building Renovations 1,000,000 - $ 2,000,000 $ 1,000,000 Account No. 550000 - Advertisement/Promotion Detailed FY2016 FY2017 Name Description Budget Budget 1 General Community Miscellaneous Sponsorship and Event Attendance 50,000 50,000 Sponsorship $ 50,000 $ 50,000 Account No. 596200 - Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 Jemmott Rollins Contract Services for administration of Good Neightbor 120,000 120,000 Program $ 120,000 $ 120,000 PROPOSED BUDGET PROPOSED CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 022/026.1022 Redevelopment Agency/Successor Agency A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES 6,025,707 3,644,635 6,011,415 (14,292) (2,381,072) 2,366,780 EXPENSES: SUPPLIES/SERVICES 6,025,707 6,008,777 6,011,415 (14,292) (16,930) 2,638 TOTAL EXPENSES 6,025,707 6,008,777 6,011,415 (14,292) (16,930) 2,638 PROPOSED BUDGET CITY OF VERNON Fund 026 Department 1022-Redevelopment Agency Fund Redevelopment Agency Department Budget Detail 2016-2017 DEPARTMENT: 022/026.1022 Redevelopment Agency/Successor Agency A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 400111 ROPS Distribution 6,025,707 3,639,731 6,011,415 (14,292) (2,385,976) 2,371,684 610110 Investment Income - 25,826 - 25,826 (25,826) 610170 Unrealized(Gain)Loss on Investments - (20,922) - (20,922) 20,922 TOTAL REVENUES 6,025,707 3,644,635 6,011,415 (14,292) (2,381,072) 2,366, 880 EXPENSES: SUPPLIES/SERVICES 503035 Insurance Premiums - - - - - - 530015 Real Estate Taxes - 30,000 12,721 12,721 30,000 (17,279)Unpaid property tax. 592010 Bank Service Fees 6,120 5,725 6,000 (120) (395) 275 592013 Investment Fees 18,368 18,434 26,000 7,632 66 7,566 593200 Professional Services-Legal 50,000 28,399 9,000 (41,000) (21,601) (19,399)Successor Agency Attorney 594200 Professional Services-Administrative 50,000 25,000 1,000 (49,000) (25,000) (24,000)Staff time for wind down of RDA 760005 Principal on Bonds 2,590,000 2,590,000 2,780,000 190,000 - 190,000 2005 and 2011 Series 760010 Interest on Bonds 3,311,219 3,311,219 3,176,694 (134,525) (0) (134,525)2005 and 2011 Series 6,025,707 6,008,777 6,011,415 (14,292) (16,930) 2,638 TOTAL EXPENSES 6,025,707 6,008,777 6,011,415 (14,292) (16,930) 2,638 PROPOSED BUDGET CITY OF VERNON FUND 026 - SUCCESSOR AGENCY FUND DEPARTMENT 1022 - REDEVELOPMENT 2016-2017 Account No. 595200- Professional Services Technical Detailed FY2016 FY2017 Name Description Budget Budget Insurance for Angelus Can & Austin 1 Arthur J Gallagher Trucking - - Account No. 56000- Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 City of Vernon - Light& Power Utility Cost of Angelus Can Property - - Security System for Angelus Can empty Security Network warehouse - - 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 026 - SUCCESSOR AGENCY FUND DEPARTMENT 1022 - REDEVELOPMENT 2016-2017 Account No. 592010- Bank Service Fees Detailed FY2016 FY2017 Name Description Budget Budget Bank of New York Annual Administration 1 Flat Fee and Wiring Processing Fees 6,120 6,000 6,120 6,000 Account No. 592013- Investment Fees Detailed FY2016 FY2017 Name Description Budget Budget 1 Bond Logistix Quarterly Investment Services Fees 18,368 26,000 18,368 26,000 2 of 3 PROPOSED BUDGET CITY OF VERNON FUND 026 - SUCCESSOR AGENCY FUND DEPARTMENT 1022 - REDEVELOPMENT 2016-2017 Account No. 530015- Real Estate Taxes Detailed FY2016 FY2017 Name Description Budget Budget Property tax ID#8940317010 - Austin 1 LA County Assessor's Office Trucking property - - 2 LA County Assessor's Office Unpaid Property tax - 12,721 12,721 Account No. 593200- Professional Services Legal Detailed FY2016 FY2017 Name Description Budget Budget 1 TBA Successor Agency Attorney 50,000 9,000 50,000 9,000 Account No. 594200- Professional Services Administrative Detailed FY2016 FY2017 Name Description Budget Budget 1 City of Vernon Staff Administrative Time 50,000 1,000 50,000 1,000 3 of 3 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1024 CITY ATTORNEY A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SALARIES $ 615,872 $ 583,696 $ 616,300 $ 428 $ (32,176) $ 32,604 BENEFITS 321,886 268,202 325,298 3,412 (53,684) 57,096 SUPPLIES AND SERVICES 531,800 385,131 481,800 (50,000) (146,669) 96,669 TOTAL EXPENSES $ 1,469,558 $ 1,237,029 $ 1,423,398 $ (46,160) $ (232,529) $ 186,369 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) City Attorney 1.0 $ 258,241 $ 255,440 $ (2,801) Deputy City Attorney 1.0 148,206 148,212 6 Executive Legal Secretary 1.0 64,658 67,889 3,231 Senior Deputy City Attorney 1.0 141,152 141,144 (8) Overtime 1,115 1,115 - Payout(excess vacation and sick hours) 2,500 2,500 - DEPARTMENT TOTALS 4.0 $ 615,872 $ 616,300 $ 428 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1024-General Fund City Attorney Department Budget Detail 2016-2017 DEPARTMENT: 011.1024 CITY ATTORNEY A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments EXPENSES: SALARIES 501010 Salaries-Regular $ 604,378 $ 576,153 $ 607,452 $ 3,074 $ (28,225) $ 31,299 501012 Salaries-Premiums 10,379 6,985 7,733 (2,646) (3,394) 748 501020 Salaries-O.T. 1,115 558 1,115 - (557) 557 615,872 583,696 616,300 428 (32,176) 32,604 BENEFITS 502020 Retirement 273,480 214,238 277,925 4,445 (59,242) 63,687 502030 Group Insurance Premiums 39,476 45,540 38,437 (1,039) 6,064 (7,103) 502060 Medicare 8,930 8,424 8,936 6 (506) 512 502070 Unemployment - - - - - - 321,886 268,202 325,298 3,412 (53,684) 57,096 SUPPLIES/SERVICES 510000 Office Supplies 1,000 532 1,000 - (468) 468 520000 Supplies 3,500 2,286 3,500 (1,215) 1,215 593200 Professional Services-Legal 500,000 360,662 450,000 (50,000) (139,338) 89,338 596200 Professional Services-Other 3,000 2,067 3,000 (933) 933 596500 Travel 7,000 4,749 7,000 (2,251) 2,251 596550 Memberships 3,000 3,470 3,000 470 (470) 596600 Books&Publications 8,800 7,646 8,800 (1,154) 1,154 596700 Training 5,500 3,720 5,500 (1,780) 1,780 531,800 385,131 481,800 (50,000) (146,669) 96,669 TOTAL EXPENSES $ 1,469,558 $ 1,237,029 $ 1,423,398 $ (46,160) $ (232,529) $ 186,369 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1024 - CITY ATTORNEY 2016-2017 Account No.510000-Office Expenses Detailed FY2016 FY2017 Name Description Budget Budget Fed Ex, UPS Shipping Services $ 1,000 $ 1,000 $ 1,000 $ 1,000 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget Staples General Office Supplies $ 3,000 $ 3,000 Burdge-Cooper Blue Manuscripts and Exhibit Tabs 500 500 $ 3,500 $ 3,500 Account No.593200- Professional Services Legal Detailed FY2016 FY2017 Name Description Budget Budget Richards, Watson &Gershon Legal Professional Services 4,000 10,000 Liebert, Cassidy&Whitmore Legal Professional Services 250,000 - Office of Administrative Hearings Legal Professional Services 5,000 10,000 Burke, Williams and Sorensen Legal Professional Services 10,000 100,000 Colantuono& Levin Legal Professional Services 25,000 - Lewis, Brisbois, Bisgaard & Smith Legal Professional Services 75,000 - Burhenn &Gest, LLP Legal Professional Services 10,000 - Best Best& Kreiger, LLP Legal Professional Services 50,000 25,000 Jackson Titus Legal Professional Services - 25,000 Rutan &Tucker, LLP Legal Professional Services - 25,000 Other-TBD Legal Professional Services $ 71,000 $ 255,000 $ 500,000 $ 450,000 Account No.596200- Professional Services-Other Detailed FY2016 FY2017 Name Description Budget Budget Case Anywhere, LLC Other Professional Services $ 500 $ 500 Attorney Filing Services Other Professional Services 500 500 PACER Other Professional Services 500 500 Other-TBD Other Miscellaneous 1,500 1,500 $ 3,000 $ 3,000 1 of 2 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1024 - CITY ATTORNEY 2016-2017 Account No. 596500-Travel Detailed FY2016 FY2017 Type Description Budget Budget Conferences and Meetings Legal Conferences $ 7,000 $ 7,000 $ 7,000 $ 7,000 Account No. 596550- Membership Dues Detailed FY2016 FY2017 Name Description Budget Budget California State Bar City Attorney Membership 950 950 California State Bar Brian Byun Membership 500 500 California State Bar Zaynah Moussa Membership 455 455 Los Angeles County Bar Association All Attorneys Memberships 300 300 Other-TBD Other Miscellaneous 795 795 $ 3,000 $ 3,000 Account No. 596600- Books & Publications Detailed FY2016 FY2017 Name Description Budget Budget Thomson Reuters (WestLaw) Legal Subscriptions $ 5,000 $ 5,000 Daily Journal Legal Journal 800 800 Other-TBD Other Legal Books and Publications 3,000 3,000 $ 8,800 $ 8,800 Account No. 596700-Training Detailed FY2016 FY2017 Type Description Budget Budget League of California Cities Legal Conferences City Attorneys Association of Los Angeles County Legal Conferences $ 5,500 $ 5,500 $ 5,500 $ 5,500 2 of 2 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1026 Human Resources A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 175,285 $ 185,099 $ 175,285 $ - $ 9,814 $ (9,814) EXPENSES: SALARIES $ 503,470 $ 475,029 $ 511,433 $ 7,963 $ (28,441) $ 36,404 BENEFITS 855,682 850,399 1,910,917 1,055,235 (5,283) 1,060,518 WORKERS COMP/LIABILITY 114,700 103,436 120,620 5,920 (11,264) 17,184 SUPPLIES/SERVICES 223,493 259,545 237,793 14,300 36,052 (21,752) TOTAL EXPENSES $1,697,345 $1,688,409 $2,780,763 $ 1,083,418 $ (8,936) $ 1,092,354 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Administrative Secretary 1.0 $ 63,083 $ 66,008 $ 2,925 Director of Human Resources 1.0 196,000 180,156 (15,844) Human Resources Analyst 1.0 84,031 89,925 5,894 Human Resources Assistant 1.0 48,257 48,252 (5) Senior Human Resources Analyst 1.0 112,099 112,092 (7) Overtime - - - Payout(vacation and sick excess hours) - 15,000 15,000 DEPARTMENT TOTALS 5.0 $ 503,470 $ 511,433 $ (7,037) PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1026-General Fund City Council Department Budqet Detail 2016-2017 DEPARTMENT: 011.1026 Human Resources _ A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES 459030 Group Medical Revenue $ 175,285 $ 185,099 $ 175,285 $ $ 9,814 $ (9,814) TOTAL REVENUES $ 175,285 $ 185,099 $ 175,285 $ $ 9,814 $ (9,814) EXPENSES: SALARIES 501010 Salaries-Regular $ 492,107 $ 436,392 $ 476,244 $ (15,863) $ (55,715) $ 39,852 501012 Salaries-Premium 11,363 38,637 35,189 23,826 27,274 (3,448) 503,470 475,029 511,433 7,963 (28,441) 36,404 BENEFITS 502020 Retirement 126,678 121,009 124,812 (1,866) (5,669) 3,803 502030 Group Insurance Premiums 60,535 57,196 58,200 (2,335) (3,339) 1,004 502031 Retiree Group Insurance Premiums 661,169 665,367 661,169 - 4,198 (4,198) 502060 Medicare 7,300 6,827 7,416 116 (473) 589 502096 Postemployment Benefit Contribution 1,059,320 1,059,320 1,059,320 855,682 850,399 1,910,917 1,055,235 (5,283) 1,060,518 WORKERS COMP LIABILITY 500245 Assessment Fees 25,000 43,367 31,000 6,000 18,367 (12,367) 502080 Claims Expenditures-Worker's Comp 86,200 56,355 86,120 (80) (29,845) 29,765 502095 Medical Expenditures-Workers Comp 3,500 3,713 3,500 213 (213) 114,700 103,436 120,620 5,920 (11,264) 17,184 SUPPLIES/SERVICES 520000 Supplies 13,500 7,915 13,500 - (5,585) 5,585 550000 Advertisement/Promotion 7,500 8,287 7,500 787 (787) 594200 Professional Services-Administration 92,700 111,866 85,000 (7,700) 19,166 (26,866) 596200 Professional Services-Other 7,459 8,941 12,459 5,000 1,482 3,518 596500 Travel 4,000 3,948 4,000 - (52) 52 596600 Books and Publications 1,334 1,951 1,334 617 (617) 596700 Citywide Training/EmployeeDevelopment 20,000 21,885 20,000 1,885 (1,885) 596800 Tuition/Education Reimbursement Program 25,000 27,207 25,000 2,207 (2,207) 596900 Employee Recognition Program 21,000 27,092 32,000 11,000 6,092 4,908 597000 Pre-Employment Physicals and Exams 31,000 40,453 37,000 6,000 9,453 (3,453) 223,493 259,545 237,793 14,300 36,052 (21,752) TOTAL EXPENSES $ 1,697,345 $ 1,688,409 $ 2,780,763 $ 1,083,418 $ (8,936) $ 1,092,354 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1026 - HUMAN RESOURCES 2016-2017 Account No. 500245- Assessment Fees Detailed FY2016 FY2017 Name Description Budget Budget 1 Dept of Industrial Relations Self-Insurer's Annual Report 25,000 31,000 $ 25,000 $ 31,000 Account No. 502080-Workers Comp- Claims Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Medical/Indemnity Claims Expense - Future 86,200 86,200 Medical Costs $ 86,200 $ 86,200 Account No. 502095- Medical Expenditure-Workers Comp Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD First Aid - Treat and Release claims 3,500 3,500 $ 3,500 $ 3,500 Account No. 502030- Group Insurance Premiums Detailed FY2016 FY2017 Name Description Budget Budget 1 Aetna Medical/Dental 53,760 67,673 2 Vision Vision 2,025 2,025 3 Life Life 100 100 $ 55,885 $ 69,798 Account No. 502031 - Retiree/Cobra Group Insurance Premiums Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Retiree/Cobra Group Insurance Premiums 661,169 661,169 $ 661,169 $ 661,169 1 of 4 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1026 - HUMAN RESOURCES 2016-2017 Account No. 520000- Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Annual Chamber of Commerce Posters, Forms, 13,500 13,500 General Office Supplies, Holiday and Sympathy cards, Mailing $ 13,500 $ 13,500 ACCOUNT NO. 550000- Advertisement/ Promotion Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Various Recruitment Ads 5,000 5,000 2 TBD Wellness Promotions 2,500 2,500 $ 7,500 $ 7,500 Account No. 594200- Professional Services- Administration Detailed FY2016 FY2017 Name Description Budget Budget 1 Athens Workers Comp Administration Fee 60,000 62,600 3 TBD Professional Recruiter 30,000 4 IGOES & Company IGOE & Company (FSA Administration) 2,700 2,400 5 aalrr (Irma Rodriguez Moisa) Teamsters & IBEW External Chief Negotiator 10,000 6 BB&K (Joseph Sanchez) Fire Safety External Chief Negotiator 10,000 $ 92,700 $ 85,000 Account No. 596200- Professional Services- Other Detailed FY2016 FY2017 Name Description Budget Budget 1 US Healthworks Random Drug Testing 2,700 2,700 2 Liebert Cassidy Labor Relations Consortium 3,059 3,059 3 WRIB Applicant Testing Materials 1,700 1,700 4 Monjaras Wismeyer Group Job Function Analysis 5,000 $ 7,459 $ 12,459 2of4 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1026 - HUMAN RESOURCES 2016-2017 Account No. 596500-Travel Detailed FY2016 FY2017 Name Description Budget Budget 1 CALPELRA Conference Monterey (Nov. 2016) 2,000 2,000 2 PARMA Conference Not-Known Yet (Feb. 2017) 2,000 2,000 $ 4,000 $ 4,000 Account No. 596600 - Books and Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 Thompson Publishing Annual subscription for FLSA and FMLA Manuals 1,034 1,034 Various Memberships - SCPMA HR, So Ca Labor Relations 300 300 Council $ 1,334 $ 1,334 Account No. 596700 -Citywide Training Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Employee Development and HR Training Videos 20,000 20,000 and Manuals - Notary - $600.00 $ 20,000 $ 20,000 Account No. 596800 -Tuition/Education Reimbursement Program Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Tuition/Education Reimbursement Program 25,000 25,000 $ 25,000 $ 25,000 3of4 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1026 - HUMAN RESOURCES 2016-2017 Account No. 596900 - Employee Recognition Program Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Employee Recognition Program 21,000 21,000 $ 21,000 $ 21,000 Account No. 597000 - Pre-Employment Physicals and Exams Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Pre-Employment Physicals and Exams 31,000 37,000 $ 31,000 $ 37,000 4of4 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1040 Public Works Administration A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 500 $ 448 $ 500 $ - $ (52) $ 52 EXPENSES: SALARIES $ 464,265 $ 474,457 $ 442,368 $ (21,897) $ 10,192 $ (32,089) BENEFITS 148,719 189,333 145,915 (2,804) 40,614 (43,418) SUPPLIES/SERVICES 5,600 3,821 5,600 (1,779) 1,779 TOTAL EXPENSES $ 618,584 $ 667,611 $ 593,883 $ (24,701) $ 49,027 $ (73,729) Increase EMPLOYEE TITLE FTE Salaries Salaries (Decrease) Administrative Assistant,Senior 1.00 $ 50,360 $ 54,685 $ 4,325 Administrative Secretary 1.00 59,452 62,343 2,891 Deputy Director of Public Work,Water, and Development Services 1.00 148,206 148,212 6 Director of Public Works,Water&Dev.Serv. 0.80 196,966 158,890 (38,076) Overtime 500 500 Payout(vacation and sick excess hours) 500 8,781 8,281 Stand-by 8,781 8,957 176 DEPARTMENT TOTALS 3.80 $ 464,265 $ 442,368 $ (21,897) PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1040-General Fund Public Works Administration Department Budget Detail 2016-2017 DEPARTMENT: 011.1040 Public Works Administration A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 420520 Community Service Revenues $ - $ 3 $ - $ $ 3 $ (3) 466600 Copies and Publications 400 395 400 (5) 5 466900 Miscellaneous Revenues 100 50 100 (50) 50 TOTAL REVENUES $ 500 $ 448 $ 500 $ $ (52) $ 52 EXPENSES: SALARIES 501010 Salaries-Regular $ 448,144 $ 358,808 $ 416,398 $ (31,746) $ (89,336) $ 57,590 501012 Salaries-Premiums 15,621 115,399 25,470 9,849 99,778 (89,929) 501020 Salaries-O.T. 500 250 500 - (250) 250 464,265 474,457 442,368 (21,897) 10,192 (32,089) BENEFITS 502020 Retirement 104,999 149,556 99,889 (5,110) 44,557 (49,667) 502030 Group Insurance Premiums 36,988 35,706 39,612 2,624 (1,282) 3,906 502060 Medicare 6,732 4,071 6,414 (318) (2,661) 2,343 148,719 189,333 145,915 (2,804) 40,614 (43,418) SUPPLIES/SERVICES 520000 Supplies 1,000 744 1,000 (256) 256 550000 Advertisement/Promotion 1,000 500 1,000 (500) 500 596500 Travel 1,300 807 1,300 (493) 493 596600 Books&Publications 300 150 300 (150) 150 596700 Training 2,000 1,620 2,000 (380) 380 5,600 3,821 5,600 (1,779) 1,779 TOTAL EXPENSES $ 618,584 $ 667,611 $ 593,883 $ (24,701) $ 49,027 $ (73,729) 1of1 PROPOSED BUDGET CITY OF VERNON FUND 011 -GENERAL FUND DEPARTMENT 1040-PUBLIC WORKS ADMINISTRATION 2016-2017 Account No.520000-Supplies Mw Mw Detailed FY2016 FY2017 Name Description Budget Budget 1 Staples Advantage Office Supplies 800 800 2 UPS Office Supplies 200 200 $ 1,000 $ 1,000 Account No.550000-Advertisement/Promotion Detailed FY2016 FY2017 Name Description Budget Budget 1 Eastern Group Publications Publishing of notices,information material,and legal 1,000 1,000 documents $ 1,000 $ 1,000 Account No.596500-Travel Detailed FY2016 FY2017 Type Description Budget Budget 1 VARIOUS Meetings and Conferences 1,300 1,300 $ 1,300 $ 19300 Account No.596600-Books&Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 CEQA Various Publications Updates 300 300 $ 300 $ 300 Account No.596700-Training Detailed FY2016 FY2017 Type Description Budget Budget 1 League of California Cities Training 2,000 2,000 $ 2,000 $ 29000 1 of 1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1041 BUILDING REGULATIONS AND PLANNING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 791,300 $ 1,040,292 $ 981,700 $ 190,400 $ 248,992 $ (58,592) EXPENDITURES: SALARIES $ 498,927 $ 469,661 $ 507,383 $ 8,456 $ (29,266) $ 37,722 BENEFITS 204,634 191,468 229,029 24,395 (13,166) 37,561 SUPPLIES/SERVICES 239,250 183,654 244,250 5,000 (55,596) 60,596 CAPITAL - - - - - TOTAL EXPENDITURES $ 942,811 $ 844,783 $ 980,662 $ 37,851 $ (98,028) $ 135,879 Increase EMPLOYEE TITLE FTE Salaries Salaries (Decrease) Assistant Planner 1.00 $ 80,083 $ 80,099 $ 16 Building Inspector, Senior 1.00 117,634 117,634 - Electricallnspector 1.00 86,849 89,018 2,169 Permit Technician 2.00 103,405 102,937 (468) Plumbing&Mechanical Inspector 1.00 80,956 86,195 5,239 Overtime 10,000 10,000 - Payout(vacation and sick excess hours) 20,000 20,000 Stand-by - - - DEPARTMENT TOTALS 6.00 $ 498,927 $ 505,883 $ 6,956 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1041 -Building Regulations Fund Public Works,Water&Development Services Department Budget Detail 2016-2017 DEPARTMENT: 011.1041 BUILDING REGULATIONS AND PLANNING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES 401650 State Fee-SB1186 800 1,150 800 - 350 (350) 410210 Building Permit Fees 495,000 634,442 590,000 95,000 139,442 (44,442) 410280 Conditional Use Permits 13,000 4,065 10,000 (3,000) (8,935) 5,935 Review 461100 Fines and Penalties 20,000 26,573 20,000 - 6,573 (6,573) 466200 Plan Check Fees 250,000 333,738 340,000 90,000 83,738 6,262 466220 Green Building Standards Fee 3,000 12,954 8,000 5,000 9,954 (4,954) 466900 Miscellaneous Revenues 1,500 11,095 2,900 1,400 9,595 (8,195) Review 468400 Variances 8,000 16,275 10,000 2,000 8,275 (6,275) TOTAL REVENUES 791,300 150405292 981,700 1905400 248,992 (585592) EXPENDITURES: SALARIES 501010 Salaries-Regular 431,506 410,615 435,624 4,118 (20,891) 25,009 501012 Salaries-Premiums 57,421 47,886 61,759 4,338 (9,535) 13,873 501020 Salaries-O.T. 10,000 11,160 10,000 - 1,160 (1,160) 498,927 469,661 507,383 8,456 (29,266) 37,722 BENEFITS 502020 Retirement 125,547 112,479 140,417 14,870 (13,068) 27,938 502030 Group Insurance Premiums 71,853 73,093 81,255 9,402 1,240 8,162 502060 Medicare 7,234 5,896 7,357 123 (1,338) 1,461 204,634 191,468 229,029 24,395 (13,166) 37,561 SUPPLIES/SERVICES 520000 Supplies 5,000 3,944 5,000 - (1,056) 1,056 540000 Uniforms 400 200 400 (200) 200 550000 Advertisement/Promotion 2,500 4,160 2,500 1,660 (1,660) 570000 Vehicle Expense 5,500 5,389 5,500 (111) 111 593200 Professional Services-Legal 5,000 2,500 - (5,000) (2,500) (2,500) 595200 Professional Services-Technical 206,000 159,155 216,000 10,000 (46,845) 56,845 596500 Travel 2,000 1,345 2,000 - (655) 655 596550 Memberships 850 425 850 (425) 425 596600 Books&Publications 4,000 2,263 4,000 (1,737) 1,737 596700 Training 8,000 4,274 8,000 (3,726) 3,726 239,250 183,654 244,250 5,000 (55,596) 60,596 CAPITAL TOTAL EXPENDITURES 942,811 844,783 980,662 37,851 (98,028) 135,879 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1041 - BUILDING REGULATIONS AND PLANNING 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Estimated Office Supplies 1,000 1,000 2 UPS Office Supplies 1,700 1,700 3 STAPLES ADVANTAGE Office Supplies 1,000 1,000 4 SILVA'S PRINTING NETWORK Office Supplies 600 600 6 PLANBAGS.COM Office Supplies 500 500 7 WAREHOUSE INVENTORY CONSUMPTION Office Supplies 200 200 $ 5,000 $ 5,000 Account No.540000- Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Shirts 400 400 $ 400 $ 400 Account No. 550000-Advertisement/Promotion Detailed FY2016 FY2017 Name Description Budget Budget 1 EASTERN GROUP Publishing of various notices 2,500 2,500 $ 2,500 $ 2,500 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Gas Usage 2,200 3,000 2 TBD Garage Work Orders 3,200 2,400 3 MAYWOOD CAR WASH Washing city vehicles 100 100 $ 5,500 $ 5,500 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1041 - BUILDING REGULATIONS AND PLANNING 2016-2017 Account No.593200- Professional Services- Legal Detailed FY2016 FY2017 Name Description Budget Budget 1 KMTG Legal services 5,000 $ 5,000 $ - Account No.595200- Professional Services Technical Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Natural Hazards Mitigation Plan 75,000 75,000 2 MELVYN GREEN &ASSOCIATES Building Plan Check Services 65,000 65,000 3 DEPARTMENT OF CONSERVATION Strong Motion Instrumentation Plans &Seismic 15,000 15,000 Haz. Mapping 4 JAS PACIFIC Plan Check Services 15,000 15,000 5 MIG General Plan Update 10,000 10,000 6 TBD Plan Imaging 10,000 20,000 7 INTERWEST CONSULTING GROUP On-Call Plan Check and CASp Services 10,000 10,000 8 CALIFORNIA BUILDING STANDARDS Revolving Fund 5,000 5,000 9 LOS ANGELES COUNTY ASSESSOR Maps 1,000 1,000 $ 206,000 $ 216,000 Account No. 596500-Travel Detailed FY2016 FY2017 Name Description Budget Budget 1 CALBO Mileage and parking for staff to attend workshop 2,000 2,000 $ 2,000 $ 2,000 Account No.596550-Membership Dues Detailed FY2016 FY2017 Name Description Budget Budget 1 Calbo Management 250 250 2 IAPMO Management 155 155 3 IAEI Management 125 125 4 International Code Council Management 320 320 $ 850 $ 850 2 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1041 - BUILDING REGULATIONS AND PLANNING 2016-2017 Account No. 596600- Books& Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Code Books 4,000 4,000 $ 4,000 $ 4,000 Account No. 596700-Training Detailed FY2016 FY2017 Name Description Budget Budget 1 CALBO Training 4,000 4,000 2 TBD Various staff training/seminars 4,000 4,000 $ 8,000 $ 8,000 Capital Expenditures Detailed FY2016 FY2017 Name Description Budget Budget 3 of 3 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1043 STREET OPERATIONS A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 182,000 $ 184,272 $ 182,000 $ - $ 2,272 $ (2,272) EXPENSES: SALARIES $ 1,337,729 $ 1,254,776 $ 1,388,839 $ 51,110 $ (82,953) $ 134,063 BENEFITS 515,041 484,412 553,032 37,991 (30,629) 68,620 SUPPLIES/SERVICES 1,122,760 948,239 1,715,760 593,000 (174,521) 767,521 TOTAL EXPENSES $ 2,975,530 $ 2,687,427 $ 3,657,631 $ 682,101 $ (288,103) $ 970,204 CAPITAL: REVENUES 2,067,075 15035,429 2,209,778 142,703 (1,0315646) 1,174,349 EXPENDITURES 6,158,200 3,766,498 3,366,622 (2,791,578) (2,391,702) (399,876) Increase EMPLOYEE TITLE FTE Salaries Salaries (Decrease) Assistant Engineer 1.00 $ 70,437 $ 71,280 $ 843 Associate Engineer 1.00 97,030 97,033 3 Engineering Aide 1.50 90,407 108,609 18,202 Project Engineer 1.00 97,432 101,821 4,389 Public Works&Water Foreman 0.40 42,190 42,193 3 Public Works&Water Superintendent 0.15 20,165 20,164 (1) Public Works Project Coordinator 1.00 121,581 126,603 5,022 Public Works Project Coordinator(Water) 0.30 36,775 37,981 1,206 Stormwater&Special Project Analyst 1.00 114,322 116,153 1,831 Street&Water Crew Leader 0.40 34,354 35,607 1,253 Street Maintenance Worker 3.90 196,075 203,619 7,544 Street Maintenance Worker,Senior 4.90 312,436 323,235 10,799 Warehouse Worker,Senior 0.25 18,525 18,525 - Overtime 50,000 50,000 Payout(vacation and sick excess hours) 26,000 26,000 Stand-by 10,000 10,000 - DEPARTMENT TOTALS 16.80 $ 1,337,729 $ 1,388,823 $ 51,094 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1043-General Fund Street Operations Department Budqet Detail 2016-2017 DEPARTMENT: 011.1043 STREET OPERATIONS A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 410290 Issuance Fees 20,000 15,250 20,000 (4,750) 4,750 420520 Community Services Revenues 70,000 35,000 70,000 (35,000) 35,000 450120 Engineering Inspection Fees 70,000 63,160 70,000 (6,840) 6,840 466200 Plan Check Fees 15,000 44,541 15,000 29,541 (29,541) 466210 Reconstruction Fee - 19,190 - 19,190 (19,190) 466230 Annual Fee 1,000 950 1,000 (50) 50 466900 Miscellaneous Revenues - - - - - 469300 Reserve Applied - 20 - 20 (20) EWB Street Imp Fund 600910 Other Income 6,000 6,161 6,000 161 (161) TOTAL REVENUES 182,000 184,272 182,000 2,272 (2,272) EXPENSES: SALARIES 501010 Salaries-Regular 1,101,605 1,029,834 1,141,385 39,780 (71,771) 111,551 501012 Salaries-Premiums 186,124 165,715 197,454 11,330 (20,409) 31,739 501020 Salaries-O.T. 50,000 59,227 50,000 - 9,227 (9,227) 1,337,729 1,254,776 1,388,839 51,110 (82,953) 134,063 BENEFITS 502020 Retirement 329,042 290,640 340,365 11,323 (38,402) 49,725 502030 Group Insurance Premiums 166,602 175,916 192,529 25,927 9,314 16,613 502060 Medicare 19,397 16,604 20,138 741 (2,793) 3,534 502080 Claims Expenditure-Worker's Comp 1,252 1,252 (1,252) 515,041 484,412 553,032 37,991 (30,629) 68,620 SUPPLIES/SERVICES 520000 Supplies 100,000 86,264 106,000 6,000 (13,736) 19,736 540000 Uniforms 3,000 3,465 3,000 - 465 (465) 550000 Advertisement/Promotion 1,500 1,788 3,000 1,500 288 1,213 560000 Utilities 46,760 39,043 46,760 - (7,717) 7,717 570000 Vehicle Expense 120,000 148,667 120,000 - 28,667 (28,667) 590000 Repair&Maintenance 374,000 321,481 458,000 84,000 (52,519) 136,519 593200 Professional Services-Legal 10,000 5,000 10,000 - (5,000) 5,000 595200 Professional Services-Technical 185,000 108,454 255,000 70,000 (76,546) 146,546 596200 Professional Services-Other 148,500 159,543 270,000 121,500 11,043 110,457 3043 596200 Professional Services-Other 110,000 55,000 420,000 310,000 (55,000) 365,000 596500 Travel 2,500 1,518 2,500 - (982) 982 596550 Membership Dues 500 1,071 500 571 (571) 596600 Books&Publications 1,000 500 1,000 (500) 500 596700 Training 20,000 16,446 20,000 - (3,554) 3,554 1,122,760 948,239 1,715,760 593,000 (174,521) 767,521 TOTAL EXPENSES 2,975,530 2,687,427 3,657,631 682,101 (288,103) 970,204 CAPITAL REVENUES 2043 440100 Grant Revenues-Federal 1,883,455 1,033,538 1,794,978 (88,477) (849,918) 761,441 3043 440100 Grant Revenues-State 183,620 1,891 414,800 231,180 (181,729) 412,909 2,067,075 1,035,429 2,209,778 142,703 (1,031,646) 1,174,349 EXPENDITURES 840000 Automobile 95,000 47,500 70,000 (25,000) (47,500) 22,500 850000 Non-Automobile 77,000 38,500 205,000 128,000 (38,500) 166,500 2043 900000 Capital Outlays-Federal Funding 2,161,200 1,080,600 2,075,622 (85,578) (1,080,600) 995,022 3043 900000 Capital Outlays-State Funding - - - - 900000 Capital Outlays 3,825,000 2,599,898 1,016,000 (2,809,000) (1,225,102) (1,583,898) 6,158,200 3,766,498 3,366,622 (2,791,678) (2,391,702) (399,876) 1of1 PROPOSED BUDGET CITY OF VERNON FUND 011 -GENERAL FUND DEPARTMENT 1043-STREET OPERATIONS 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 CITY WAREHOUSE Inventory Consumption 43,500 50,000 2 PACIFIC PRODUCTS&SERVICES Materials and Supplies 14,000 14,000 3 JCL BARRICADE COMPANY Materials and Supplies 7,800 7,800 4 HAWKINS TRAFFIC SAFETY SUPPLY Materials and Supplies 6,300 6,300 5 VULCAN MATERIALS COMPANY Materials and Supplies 5,300 5,300 6 HOME DEPOT CREDIT SERVICES Materials and Supplies 5,300 5,300 7 ZUMAR INDUSTRIES Materials and Supplies 3,100 3,000 8 VARIOUS OTHER VENDORS Miscellaneous Materials and Supplies 3,100 3,500 9 CATALINA PACIFIC CONCRETE Materials and Supplies 3,000 3,000 10 HANSON AGGREGATES Materials and Supplies 2,500 2,000 11 A-THRONE COMPANY, INC. Materials and Supplies 2,300 2,000 12 GRAINGER COMPANY Materials and Supplies 2,000 2,000 13 TBD Estimated Other Materials and Supplies 1,800 1,800 $ 100,000 $ 106,000 Account No.540000-Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 UNIFIRST Uniforms 3,000 3,000 $ 3,000 $ 3,000 Account No.550000- Advertisement/Promotion Detailed FY2016 FY2017 Name Description Budget Budget 1 Eastern Group Publishings/Vernon Sun Publishing of Notices 1,000 2,500 2 NPDES Stormwater Education 250 250 3 TBD Advertisement/Promotion 250 250 $ 1,500 $ 3,000 Account No.560000-Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 L&P Interfund Utilities 41,000 41,000 2 THE GAS COMPANY 2,000 2,000 3 FIBER OPTICS Interfund Utilities 1,560 1,560 4 SOUTHERN CALIFORNIA EDISON 1,200 1,200 5 THE GAS COMPANY 1,000 1,000 $ 46,760 $ 46,760 1 of 6 PROPOSED BUDGET CITY OF VERNON FUND 011 -GENERAL FUND DEPARTMENT 1043-STREET OPERATIONS 2016-2017 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 CITY GARAGE Work Orders 68,700 82,000 2 TBD Gas Usage 51,000 37,700 3 HUNTINGTON PARK CAR WASH Washing city vehicles 300 300 $ 120,000 $ 120,000 Account No.590000-Repairs& Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 CLEANSTREET SWEEPING SERVICES Street sweeping 120,000 120,000 2 AEGIS ITS, INC. Traffic signal repair&maintenance 110,000 110,000 3 J &S STRIPING COMPANY, INC. Street striping 40,000 50,000 4 NATIONWIDE, INC. Catch basin cleaning 40,000 40,000 5 WEST COAST ARBORISTS Tree trimming 30,000 100,000 6 TBD Estimated other repairs&maintenance 10,000 9,000 7 TBD Sewer cleaning and emergency repairs 10,000 10,000 8 CITY OF L.A. DEPT. OF TRANSP. Traffic signal maintenance 8,000 8,000 9 TUNNEL VISION PIPELINE Video taping of sewer systems 3,000 3,000 10 SURVEY MONUMENTS Surveys 2,000 2,000 11 COUNTY OF LOS ANGELES Traffic signal maintenance 1,000 5,000 12 TBD Survey equipment maintenance - 1,000 $ 374,000 $ 458,000 Account No.593200-Professional Services-Legal Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Legal services for NPDES matters 10,000 10,000 $ 10,000 $ 10,000 2 of 6 PROPOSED BUDGET CITY OF VERNON FUND 011 -GENERAL FUND DEPARTMENT 1043-STREET OPERATIONS 2016-2017 Account No.595200-Professional Services Technical Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Watershed Management Program Plan Feasibility 135,000 75,000 Study 2 GATEWAY WATER MANAGEMENT Watershed Management Program Plan 40,000 40,000 AUTHORITY/SIGNAL HILL Implementation Studies/Projects On-Call Services 3 COUNTY OF LOS ANGELES Public works road fund 5,000 15,000 4 TBD Estimated consulting services costs 4,000 4,000 5 CROSSROADS Data entry for traffic incidents 1,000 1,000 6 TBD ADA evaluation and transition plan - 70,000 7 TBD Citywide traffic counts - 50,000 $ 185,000 $ 255,000 Account No.596200-Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Coordinated Integrated Monitoring Plan 60,000 60,000 2 GATEWAY CITIES 1710 EIR/EIS Report,TMDL Coordination Plan 15,000 15,000 3 EAGLE AERIAL SOLUTIONS Aerial photo prints 15,000 15,000 4 TBD Estimated professional services 13,000 13,000 5 CONSOLIDATED DISPOSAL SVC Solid waste collection/hauling 11,000 50,000 6 UNITED PUMPING SERVICES, INC. Emergency environmental services 10,000 10,000 7 COALITION FOR PRACTICAL Professional services 5,000 5,000 REGULATION (NPDES) 8 SWRCB System permitting fees 5,500 7,000 9 TBD Bacteria TMDL monitoring 5,000 5,000 10 TBD Metals TMDL monitoring 3,000 3,000 11 TBD Harbor Toxics TMDL monitoring 2,000 2,000 12 TBD Atlantic Boulevard Master Plan - 10,000 12 TBD Traffic Engineering Services - 30,000 13 CASQA Contribution to legislation 3,000 3,000 14 SOUTH COAST A.Q.M.D. Emission®istration fees 1,000 1,000 15 TBD Grant Applications - 10,000 16 SCAG LA River bike path feasibility study - 31,000 $ 148,500 $ 270,000 Account No.596200-Professional Services Other-Grant Funded 3043 Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD California High Speed Rail Project - 300,000 2 TBD Bicycle Master Plan"" 60,000 45,000 3 TBD 1-710 Study 50,000 75,000 $ 110,000 $ 420,000 3 of 6 PROPOSED BUDGET CITY OF VERNON FUND 011 -GENERAL FUND DEPARTMENT 1043-STREET OPERATIONS 2016-2017 Account No.596500-Travel Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Staff training 2,500 2,500 $ 2,500 $ 2,500 Account No.596550- Membership Dues Detailed FY2016 FY2017 Name Description Budget Budget 1 CASQA Memberships 500 500 $ 500 $ 500 Account No.596600- Books& Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Publications 1,000 1,000 $ 1,000 $ 1,000 Account No.596700-Training Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Training (i.e. confined space,trench shoring, 20,000 20,000 pavement design,traffic control,stormwater, etc.) $ 20,000 $ 20,000 Capital Expenditures Detailed FY2016 FY2017 Name Description Budget Budget Project * Atlantic Boulevard Bridge Widening over LA River- Construction Project ** Atlantic Boulevard Bridge Widening over LA River- Construction Atlantic Blvd Bridge Widening over LA Project * River- Design and Right of Way 2,161,200 2,075,622 Project Slauson Avenue Resurfacing (Boyle to 1,280,000 - Downey) Project Downey Road Resurfacing (LA River to 800,000 - Fruitland) 4 of 6 PROPOSED BUDGET CITY OF VERNON FUND 011 -GENERAL FUND DEPARTMENT 1043-STREET OPERATIONS 2016-2017 Project Citywide Rubberized Slurry Seal (Phases III 500,000 300,000 Project Boyle Avenue Resurfacing (Slauson to 300,000 - Randolph) Project Miscellaneous Asphalt Paving Repairs 250,000 300,000 Roadway Improvements (District e/o Project Atlantic and Heliotrope) 200,000 - Project NPDES Structural Improvements 100,000 100,000 Project Citywide Concrete Repair 100,000 50,000 Project Catch Basin Inserts 75,000 75,000 Project Citywide Crack Seal Repair 50,000 50,000 Project Street Improvements (Exchange Ave @ Everett Ave) Project Traffic Signal Improvements (Downey @ 50,000 50,000 Vernon) Project 71 f is Signal Improvements (Bandini @ 1- 50,000 - Project Traffic Signal Improvements (Santa Fe @ 40,000 - 28th) Project Traffic Signal Improvements (Slauson @ 30,000 - Alcoa) Project Traffic Signal Improvements (Downey @ - 50,000 Leonis) Project LA River Flap Gates - Design - 31,000 Project LA River Flap Gates - Construction - - Project Traffic Signal Improvements (Downey @ - 10,000 Fruitland) Equipment Dump Truck-Mid Size 95,000 - Equipment Utility Truck F-250 SuperCab - 70,000 Equipment Signs Replacement Program - Section 3 50,000 35,000 Equipment Warning Devices 25,000 25,000 Equipment Air Compressor 2,000 25,000 Equipment Concrete Mixer - 7,000 Equipment Survey Data Collector - 3,000 5 of 6 PROPOSED BUDGET CITY OF VERNON FUND 011 -GENERAL FUND DEPARTMENT 1043-STREET OPERATIONS 2016-2017 Equipment Backhoe - 110,000 $ 6,158,200 $ 3,366,622 Federal grant funds **State grant funds 6 of 6 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1046 CITY GARAGE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 350,000 $ 410,008 $ 375,000 $ 25,000 $ 60,008 $ (35,008) EXPENDITURES: SALARIES $ 306,345 $ 287,201 $ 316,664 $ 10,319 $ (19,144) $ 29,463 BENEFITS 156,158 137,533 167,340 11,182 (18,625) 29,807 SUPPLIES/SERVICES 219,000 226,063 246,300 27,300 7,063 20,237 CAPITAL - - - - - - TOTAL EXPENDITURES $ 681,503 $ 6505797 $ 7305304 $ 48,801 $ (305706) $ 795507 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Mechanic 1.00 $ 55,176 $ 57,457 $ 2,281 Mechanic,Lead 1.00 84,228 86,195 1,967 Mechanic,Senior 2.00 130,066 136,108 6,042 Public Works&Water Foreman - - - - Public Works Foreman 0.15 11,820 11,790 (30) Warehouse Worker 0.20 13,055 13,110 55 Overtime 1,000 1,000 - Payout(vacation and sick excess hours) 11,000 11,000 Stand-by - - - DEPARTMENT TOTALS 4.35 $ 306,345 $ 316,660 $ 10,315 $ 4 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1046-General Fund City Garage Department Budget Detail 2016-2017 DEPARTMENT: 011.1046 CITY GARAGE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 499700 Credit for Garage Work Orders 350,000 410,008 375,000 25,000 60,008 (35,008) TOTAL REVENUES 350,000 410,008 375,000 25,000 60,008 (35,008) EXPENDITURES: SALARIES 501010 Salaries-Regular 279,451 263,939 283,136 3,685 (15,512) 19,197 501012 Salaries-Premiums 25,894 22,762 32,528 6,634 (3,132) 9,766 501020 Salaries-O.T. 1,000 500 1,000 - (500) 500 306,345 287,201 316,664 10,319 (19,144) 29,463 BENEFITS 502020 Retirement 109,286 85,683 112,255 2,969 (23,603) 26,572 502030 Group Insurance Premiums 42,430 47,694 50,493 8,063 5,264 2,799 502060 Medicare 4,442 4,156 4,592 150 (286) 436 156,158 137,533 167,340 11,182 (18,625) 29,807 SUPPLIES/SERVICES 520000 Supplies 155,000 156,236 166,100 11,100 1,236 9,864 540000 Uniforms 1,500 1,302 1,500 - (198) 198 570000 Vehicle Expense 6,000 6,443 6,000 - 443 (443) 590000 Repairs&Maintenance 54,000 60,831 71,200 17,200 6,831 10,369 596600 Books&Publications 500 250 500 - (250) 250 596700 Training 2,000 1,000 1,000 (1,000) (1,000) (0) 219,000 226,063 246,300 27,300 7,063 20,237 CAPITAL 850000 Non-Automobile - - - - - - TOTAL EXPENDITURES 681,503 650,797 730,304 48,801 (30,706) 79,507 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1046- CITY GARAGE 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 NAPA AUTO PARTS auto parts/supplies 32,000 32,000 2 LOPEZ& LOPEZ TIRE SERVICE auto parts/supplies 20,000 20,000 3 CAMINO REAL CHEVROLET auto parts/supplies 17,250 17,250 4 BATTERY SYSTEMS auto parts/supplies 12,000 12,000 5 DANIELS TIRE SERVICE auto parts/supplies 10,400 10,400 6 CALIFORNIA FRAME &AXLE auto parts/supplies 9,600 9,600 7 CENTRAL FORD auto parts/supplies 7,000 7,000 8 HAAKER EQUIPMENT COMPANY auto parts/supplies 6,700 10,000 9 GARVEY EQUIPMENT COMPANY auto parts/supplies 6,500 6,500 10 DAPPER TIRE COMPANY auto parts/supplies 6,100 9,000 11 SUPER FORD LINCOLN MERCURY auto parts/supplies 5,000 5,000 12 THE LIGHTHOUSE auto parts/supplies 4,100 4,100 13 DION & SONS, INC., auto parts/supplies 3,600 3,600 14 JERRY'S AUTO BODY, INC. auto parts/supplies 3,100 6,500 15 H & H WHOLESALE PARTS auto parts/supplies 2,400 2,400 16 MCMASTER CARR SUPPLY COMPANY auto parts/supplies 2,050 2,050 17 VARIOUS OTHER auto parts/supplies 2,000 2,000 18 SPEEDO ELECTRIC COMPANY auto parts/supplies 1,600 1,600 19 MISCELLANEOUS SUPPLIES Estimated other auto parts/supplies 1,300 1,300 20 WAREHOUSE INVENTORY CONSUMPTION auto parts/supplies 1,300 1,300 21 AFC HYDRAULIC SEALS& REPAIR auto parts/supplies 1,000 2,500 $ 155,000 $ 166,100 Account No.540000- Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 AMERIPRIDE Uniforms 1,500 1,500 $ 1,500 $ 1,500 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 CITY GARAGE Work Orders 4,500 4,500 2 TBD Gas Usage 1,250 1,250 3 HUNTINGTON PARK CAR WASH Washing city vehicles 250 250 $ 6,000 $ 6,000 1 of 2 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1046- CITY GARAGE 2016-2017 Account No.590000- Repairs& Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 AFC HYDRAULIC SEALS& REPAIR Repairs and maintenance 2,200 3,200 2 CENTRAL FORD Repairs and maintenance 1,100 8,000 3 DIESEL EMISSIONS DIRECT Repairs and maintenance 8,400 8,400 4 HAAKER EQUIPMENT COMPANY Repairs and maintenance 9,000 9,000 5 CAMINO REAL CHEVROLET Repairs and maintenance 9,100 7,500 6 JERRY'S AUTO BODY INC Repairs and maintenance 4,400 4,400 7 INDEPENDENT BRAKE Repairs and maintenance 1,100 1,000 8 MORGAN COMPANY Repairs and maintenance 1,000 1,000 9 PACIFIC COMMERCIAL TRUCK BODY Repairs and maintenance 2,000 3,000 10 PREFERRED AERIAL& CRANE Repairs and maintenance 4,500 4,500 11 RVD EMISSIONS Repairs and maintenance 1,200 1,200 12 LYNN'S AUTO AIR, INC. Repairs and maintenance 1,000 1,000 13 VARIOUS OTHER Repairs and maintenance 5,000 5,000 14 TBD Street Sweeper maintenance 0 10,000 15 MISCELLANEOUS REPAIRS & MAINTENANCE Estimated Repairs and maintenance 4,000 4,000 $ 54,000 $ 71,200 Account No.596600-Books& Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Publications 500 500 $ 500 $ 500 Account No.596700-Training Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Training 2,000 1,000 $ 2,000 $ 1,000 Capital Detailed FY2016 FY2017 Name Description Budget Budget 1 Equipment Scanner for large vehicles 2 of 2 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1047 CITY WAREHOUSE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENDITURES: SALARIES $ 240,457 $ 226,131 $ 242,950 $ 2,493 $ (14,326) $ 16,819 BENEFITS 101,099 95,551 101,712 613 (5,548) 6,161 SUPPLIES/SERVICES 11,700 8,733 10,950 (750) (2,967) 2,217 CAPITAL - - - - - TOTAL EXPENDITURES $ 353,256 $ 330,416 $ 355,612 $ 2,356 $ (22,840) $ 25,196 Increase EMPLOYEE TITLE FTE Salaries Salaries (Decrease) Public Works&Water Foreman - $ - $ - $ - Public Works Foreman 0.15 11,820 11,790 (30) Warehouse Worker, Lead 1.00 88,645 88,645 - Warehouse Worker,Senior 0.25 18,525 18,525 - Warehouse Worker 1.80 113,967 116,490 2,523 Overtime 1,000 1,000 - Payout(vacation and sick excess hours) 6,500 6,500 Stand-by - - - DEPARTMENT TOTALS 3.20 $ 240,457 $ 242,950 $ 2,493 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1047 - General Fund City Warehouse Department Budget Detail 2016-2017 DEPARTMENT: 011.1047 CITY WAREHOUSE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments EXPENDITURES: SALARIES 501010 Salaries- Regular 194,562 185,543 196,664 2,102 (9,019) 11,121 501012 Salaries- Premiums 44,895 40,089 45,286 391 (4,806) 5,197 501020 Salaries-Overtime 1,000 500 1,000 - (500) 500 240,457 226,131 242,950 2,493 (14,326) 16,819 BENEFITS 502020 Retirement 54,070 51,571 55,309 1,239 (2,499) 3,738 502030 Group Insurance Premiums 43,542 40,911 42,880 (662) (2,631) 1,969 502060 Medicare 3,487 3,069 3,523 36 (418) 454 101,099 95,551 101,712 613 (5,548) 6,161 SUPPLIES/SERVICES 520000 Supplies 2,000 1,464 2,000 - (536) 536 540000 Uniforms 1,000 749 1,000 (251) 251 570000 Vehicle Expense 7,000 5,491 7,000 (1,509) 1,509 596600 Books& Publications 200 100 200 - (100) 100 596700 Training 1,500 929 750 (750) (571) (179) 11,700 8,733 10,950 (750) (2,967) 2,217 CAPITAL 840000 Non-Auto - - - - - TOTAL EXPENDITURES 353,256 330,416 355,612 2,356 (22,840) 25,196 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1047- CITY WAREHOUSE 2016-2017 Account No. 520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 MISCELLANEOUS SUPPLIES Supplies 1,000 1,000 2 VARIOUS VENDORS Supplies 1,000 1,000 2,000 2,000 Account No. 540000- Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 UNIFIRST Uniforms 1,000 1,000 1,000 1,000 Account No. 570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 CITY GARAGE Work Orders 5,400 5,400 2 TBD Gas Usage 1,500 1,500 3 HUNTINGTON PARK CAR WASH Washing city vehicles 100 100 7,000 7,000 Account No. 596600- Books & Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Publications 200 200 $ 200 $ 200 Account No. 596700-Training Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Training 1,500 750 $ 1,500 $ 750 1 of 1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1048 CITY HOUSING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) REVENUES 1,630,000 1,335,138 330,000 (1,300,000) (294,862) (1,005,138) EXPENSES: SALARIES $ 125,732 $ 86,512 $ 127,450 $ 1,718 $ (39,220) $ 40,938 BENEFITS 60,669 39,903 65,992 5,323 (20,766) 26,089 SUPPLIES/SERVICES 159,750 121,988 157,950 (1,800) (37,762) 35,962 TOTAL EXPENSES $ 346,151 $ 248,403 $ 351,392 $ 5,241 $ (97,748) $ 102,989 CAPITAL $ 525,000 $ 277,350 $ 700,000 $ 175,000 $ (247,650) $ 422,650 Increase EMPLOYEE TITLE FTE Salaries Salaries (Decrease) Facilities Maintenance Worker 1.00 $ 23,078 $ 23,753 $ 675 Facilities Maintenance Worker,Lead 0.15 13,698 13,983 285 Facilities Maintenance Worker,Senior 0.30 21,039 21,640 601 Public Housing Coordinator 1.00 50,657 50,852 195 Public Works&Water Foreman - - - Public Works Foreman 0.20 15,760 15,720 (40) Overtime 750 750 - Payout(vacation and sick excess hours) - - Stand-by 750 750 - DEPARTMENT TOTALS 2.65 $ 125,732 $ 127,448 $ 1,716 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1048-General Fund City Housing Department Budget Detail 2016-2017 DEPARTMENT: 011.1048 CITY HOUSING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 431000 Rents 330,000 315,738 330,000 (14,262) 14,262 461100 Fines and Penalties - 555 - 555 (555) 466900 Miscellaneous Revenues - 86 86 (86) 670010 Sale of Capital Asset 1,300,000 1,018,759 - (1,300,000) (281,241) (1,018,759) TOTAL REVENUES 1,630,000 1,335,138 330,000 (1,300,000) (294,862) (1,005,138) EXPENSES: SALARIES 501010 Salaries-Regular 118,228 80,970 118,934 706 (37,258) 37,964 501012 Salaries-Premiums 6,754 5,103 7,766 1,012 (1,651) 2,663 501020 Salaries-O.T. 750 440 750 - (310) 310 125,732 86,512 127,450 1,718 (39,220) 40,938 BENEFITS 502020 Retirement 28,861 19,745 29,546 685 (9,116) 9,801 502030 Group Insurance Premiums 28,736 18,309 34,598 5,862 (10,427) 16,289 502060 Medicare 3,072 1,848 1,848 (1,224) (1,224) (0) 60,669 39,903 65,992 5,323 (20,766) 26,089 SUPPLIES/SERVICES 520000 Supplies 25,000 18,737 27,000 2,000 (6,263) 8,263 530015 Real Estate Taxes 31,000 32,011 22,700 (8,300) 1,011 (9,311) 550000 Advertisement/Promotion - - 2,000 2,000 - 2,000 560000 Utilities 18,000 13,765 18,000 - (4,235) 4,235 570000 Vehicle Expense 2,400 1,717 2,400 (683) 683 590000 Repair&Maintenance 60,000 31,292 60,000 - (28,708) 28,708 596200 Professional Services-Other 23,350 24,466 25,850 2,500 1,116 1,384 159,750 121,988 157,950 (1,800) (37,762) 35,962 TOTAL EXPENSES 346,151 248,403 351,392 5,241 (97,748) 102,989 CAPITAL 469300 Capital Reserve - - - - - 900000 Capital Outlay 525,000 277,350 700,000 175,000 (247,650) 422,650 TOTAL CAPITAL 525,000 277,350 700,000 175,000 (247,650) 422,650 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1048 - CITY HOUSING 2016-2017 Account No. 520000- Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 HOME DEPOT CREDIT SERVICES General Supplies 13,000 15,000 2 TBD Miscellaneous Supplies 10,250 10,250 3 CURRENT WHOLESALE General Supplies 750 750 4 PLUMBING & INDUSTRIAL SUPPLY General Supplies 500 500 5 CITY WAREHOUSE Inventory Consumption 500 500 $ 25,000 $ 27,000 Account No. 530015- Real Estate Taxes Detailed FY2016 FY2017 Name Description Budget Budget 1 LOS ANGELES COUNTY TAX 5 properties in Huntington Park 20,000 11,700 2 LOS ANGELES COUNTY TAX Possessory Interest Taxes 11,000 11,000 $ 31,000 $ 22,700 Account No. 550000 Advertisement/Promotion Detailed FY2016 FY2017 Name Description Budget Budget TBD Quarterly Housing Newsletter 2,000 $ - $ 2,000 Account No. 560000- Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 NORTHPARK HOA Utilities 6,000 6,000 2 UTILITIES - INTERNAL FUND Utilities 5,300 5,300 3 COUNTY SANITATION DISTRICTS Sewer Utilities 4,450 4,450 4 THE GAS COMPANY Utilities 900 900 5 CITY OF HUNTINGTON PARK Water Utilities 1,200 1,200 6 SOUTHERN CALIFORNIA EDISON Utilities 150 150 $ 18,000 $ 18,000 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1048 - CITY HOUSING 2016-2017 Account No. 570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS -TBD Gas Usage 1,200 1,200 2 CITY GARAGE Garage Work Orders 1,200 1,200 $ 2,400 $ 2,400 Account No. 590000- Repairs & Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 DEWEY PEST CONTROL Maintenance 600 600 2 CITY WAREHOUSE Inventory Consumption 1,000 1,000 3 VARIOUS -TBD Estimated Repairs & Maintenance 58,400 58,400 $ 60,000 $ 60,000 Account No. 596200- Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 STIPENDS FOR COMMISSIONERS Professional services 2,400 2,400 2 TBD Landscape Architectural Services - 2,500 3 HAUL-AWAY RUBBISH Professional services 650 650 4 APARTMENT ASSOCIATION Professional services 300 300 5 REED DAVIDSON Legal services 10,000 10,000 6 VARIOUS -TBD Building Condition Assessment 10,000 10,000 $ 23,350 $ 25,850 2of3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1048 - CITY HOUSING 2016-2017 Account No. 900000- Capital Expenditures Detailed FY2016 FY2017 Name Description Budget Budget 1 Project Remodel of Four Homes 450,000 300,000 2 Project City Housing (Various Improvements) 75,000 150,000 3 Project Upgrade Housing Fixtures - 125,000 4 Project Reroof City Housing Units - 125,000 $ 525,000 $ 700,000 3of3 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1049 CITY BUILDINGS A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SALARIES $ 335,612 $ 329,497 $ 341,561 $ 5,949 $ (6,115) $ 12,064 BENEFITS 126,201 123,119 135,841 9,640 (3,082) 12,722 SUPPLIES/SERVICES 750,050 694,353 759,050 9,000 (55,697) 64,697 TOTAL EXPENSES $ 1,211,863 $ 1,1469969 $ 1,2369452 $ 24,589 $ (649894) $ 89,483 CAPITAL 310,000 388,789 589,500 279,500 78,789 200,711 Increase EMPLOYEE TITLE FTE Salaries Salaries (Decrease) Facilities Maintenance Worker 1.00 $ 23,078 $ 23,753 $ 675 Facilities Maintenance Worker,Lead 0.85 77,619 79,239 1,620 Facilities Maintenance Worker,Senior 1.70 119,230 122,629 3,399 Public Works&Water Foreman - - - - Public Works&Water Superintendent 0.05 6,722 6,721 (1) Public Works Foreman 0.50 39,399 39,300 (99) Public Works Project Coordinator(Water) 0.05 6,129 6,330 201 Street Maintenance Worker,Senior 0.10 7,410 7,564 154 Warehouse Worker,Senior 0.25 18,525 18,525 - Overtime 6,000 6,000 Payout(vacation and sick excess hours) 6,500 6,500 Stand-by 25,000 25,000 - DEPARTMENT TOTALS 4.50 $ 3359612 $ 3419561 $ 5,949 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1049-General Fund City Buildings Department Budget Detail 2016-2017 DEPARTMENT: 011.1049 CITY BUILDINGS A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments EXPENSES: SALARIES 501010 Salaries-Regular 258,948 255,500 260,448 1,500 (3,448) 4,948 501012 Salaries-Premiums 70,664 69,414 75,113 4,449 (1,250) 5,699 501020 Salaries-Overtime 6,000 4,584 6,000 - (1,416) 1,416 335,612 329,497 341,561 5,949 (6,115) 12,064 BENEFITS 502020 Retirement 69,198 68,881 71,426 2,228 (317) 2,545 502030 Group Insurance Premiums 52,137 50,203 59,462 7,325 (1,934) 9,259 502060 Medicare 4,866 4,035 4,953 87 (831) 918 126,201 123,119 135,841 9,640 (3,082) 12,722 SUPPLIES/SERVICES 520000 Supplies 90,000 109,081 95,500 5,500 19,081 (13,581) 540000 Uniforms 1,000 1,199 1,000 - 199 (199) 560000 Utilities 368,000 299,608 368,000 (68,392) 68,392 570000 Vehicle Expense 15,000 17,813 15,000 2,813 (2,813) 590000 Repair&Maintenance 249,750 250,889 240,750 (9,000) 1,139 (10,139) 596200 Professional Services-Other 25,000 14,934 37,500 12,500 (10,066) 22,566 596600 Books&Publications 300 150 300 - (150) 150 596700 Training 1,000 679 1,000 - (321) 321 750,050 694,353 759,050 9,000 (55,697) 64,697 TOTAL EXPENSES 1,2115863 1,1465969 1,236,452 24,589 (645894) 89,483 CAPITAL 840000 Capital Equipment-Auto - - 50,000 50,000 - 50,000 850000 Capital Equipment-Non-auto - 3,908 - - 3,908 (3,908) 900000 Capital Outlays 310,000 384,881 539,500 229,500 74,881 154,619 $250K Moved to Fire 3105000 388,789 5895500 279,500 785789 200,711 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1049 - CITY BUILDINGS 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 CITY WAREHOUSE Inventory Consumption 21,000 21,000 2 TBD Estimated Supplies 12,500 12,500 3 PURE WATER SCIENCE LLC Supplies 10,500 10,500 4 HOME DEPOT Supplies 9,400 12,000 5 PLUMBING & INDUSTRIAL SUPPLY Supplies 8,400 9,400 6 CURRENT WHOLESALE ELECTRIC Estimated Supplies 8,100 10,000 7 VARIOUS OTHER Supplies 7,500 7,500 8 AAA ELECTRIC MOTOR SALES Supplies 3,300 3,300 9 REFRIGERATION SUPPLIES DIST. Supplies 3,000 3,000 10 GRAINGER CO. 2,000 2,000 11 ICE MACHINE SALES & SERVICE CO. 1,600 1,600 12 ORANGE COAST PETROLEUM Supplies 1,500 1,500 13 L.B. JOHNSON HARD CO. Supplies 1,200 1,200 90,000 95,500 Account No.540000- Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 UNIFIRST Uniforms 1,000 1,000 1,000 110 00 Account No.560000- Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 L&P Interdepartmental Utilities 356,000 355,000 2 THE GAS COMPANY Utilities 12,000 13,000 368,000 368,000 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 CITY GARAGE Garage Work Orders 12,500 12,500 2 TBD Gas Usage 2,500 2,500 15,000 15,000 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1049 - CITY BUILDINGS 2016-2017 Account No. 590000- Repairs & Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 SANTA FE BUILDING MAINTENANCE Janitorial services (transferred from 596200) 85,000 85,000 2 EMERGENCY REPAIRS Repairs and maintenance 50,000 45,000 3 SO CAL LAND MAINTENANCE Grounds maintenance service 40,000 40,000 4 PROFESSIONAL HEATING &AIR Repairs and maintenance 40,000 35,000 5 TBD Repairs and maintenance 9,000 9,000 6 FLEMING ENVIRONMENTAL, INC., Repairs and maintenance 9,000 10,000 7 SIMPLEX-GRINNELL Repairs and maintenance 6,000 6,000 8 FACILITIES PROTECTION SYSTEMS Repairs and maintenance 4,000 4,000 9 DEWEY PEST CONTROL Pest control (transferred from 596200) 2,750 2,750 10 CHEM PRO LAB INC. Repairs and maintenance 1,000 1,000 11 LOS ANGELES ELEVATOR SERVICES Repairs and maintenance 1,000 1,000 12 SCOTT CAMPBELL CO. Repairs and maintenance 1,000 1,000 13 WON DOOR CORPORATION Repairs and maintenance 1,000 1,000 249,750 240,750 Account No. 596200- Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Estimated other professional services 13,500 13,500 2 TBD Grant Applications - 10,000 3 CONSOLIDATED DISPOSAL SVC Solid waste hauling 8,000 8,000 4 TBD Landscape Architecture Services - 2,500 5 SOUTH COAST A.Q.M.D. Registration &emission fees 2,000 2,000 6 EXPRESS OIL CO. Removal of Used Oil, Fuel, Antifreeze &Waste 1,500 1,500 25,000 37,500 Account No. 596600- Books & Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Publications 300 300 300 300 2 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1049 - CITY BUILDINGS 2016-2017 Account No.596700-Training Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Training 1,000 1,000 1,000 110 00 Capital Expenditures Detailed FY2016 FY2017 Name Description Budget Budget 1 Project Reroof City yard offices and warehouse - - 2 Project City Hall Main Roof 120,000 120,000 3 Project Leonis building reroof - 100,000 4 Project City Hall Generator Transfer Switch - 80,000 Construction 5 Project Air conditioning units (Packaged) - City Hall 70,000 3rd floor 6 Project Replacement of City Hall Generator- CS-0522 - 52,000 7 Project Fire Department Regional Training Center 50,000 8 Project Air conditioning units Public Works Building 40,000 (Lunch room, pump room and warehouse offices) 9 Project City Hall Generator Transfer Switch - Design 27,500 10 Project Various Fire Station Repairs 150,000 - 11 Project Seal Parking Structure Deck - - 12 Project City Hall Elevator Electronics Replacement 40,000 - 13 Equipment Extended cab pick-up truck - - 14 Equipment Crew cab pick-up truck - 50,000 310,000 589,500 3of3 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 057.1057 FIBER OPTICS A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 605,000 $ 535,019 $ 605,000 $ - $ (69,981) $ 69,981 EXPENSES: SALARIES $ 73,608 $ 59,030 $ 95,442 $ 21,834 $ (14,578) $ 36,412 BENEFITS 13,789 13,143 22,007 8,218 (646) 8,864 SUPPLIES/SERVICES 360,800 352,807 364,800 4,000 (7,993) 11,993 TOTAL EXPENSES $ 448,197 $ 424,980 $ 482,249 $ 34,052 $ (23,217) $ 57,269 CAPITAL 205,000 143,054 210,000 5,000 (61,946) 66,946 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Computer Aided Drafting Technician 0.20 $ 5,371 $ 5,586 $ 215 Utilities Engineering Manager 0.30 43,237 64,856 21,619 Overtime 5,000 5,000 - Payout(vacation and sick excess hours) - - Stand-by 20,000 20,000 - DEPARTMENT TOTALS 0.50 $ 73,608 $ 95,442 $ 21,834 PROPOSED BUDGET CITY OF VERNON Fund 057 Department 1057-Fiber Optic Fund Fiber Optics Department Budget Detail 2016-2017 DEPARTMENT: 057.1057 FIBER OPTICS A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES 450050 Internet Access Services 450,000 390,309 450,000 (59,691) 59,691 450051 Dark Fiber Services 135,000 133,010 135,000 (1,990) 1,990 450060 Internet Access Services-Government - - - - Internal internet services 450061 Dark Fiber Services-Government - - - - Inter Dark Fiber services 466900 Miscellaneous Billable Construction 20,000 11,700 20,000 (8,300) 8,300 Customer connection aid in construction TOTAL REVENUES 605,000 535,019 605,000 (69,981) 69,981 SALARIES 501010 Salaries-Regular 41,402 39,660 59,633 18,231 (1,742) 19,973 Initial Budget cost of living and merit increase has not been proposed.Staff allocation (Manager from 20 to 30%) 501012 Salary Premium 27,206 16,870 30,809 3,603 (10,336) 13,939 Union change in standby pay rotation through crew,USOP,vacation&sick excess payout. 501020 Salaries-O.T. 5,000 2,500 5,000 (2,500) 2,500 Weekend service turn ups and equipment TOTAL SALARIES 73,608 59,030 95,442 21,834 (14,578) 36,412 BENEFITS 502020 Retirement 10,063 9,593 16,591 6,528 (470) 6,998 502030 Group Insurance Premium 2,688 2,554 4,032 1,344 (134) 1,478 502060 Medicare 1,038 996 1,384 346 (42) 388 TOTAL BENEFITS 13,789 13,143 22,007 8,218 (646) 8,864 SUPPLIES/SERVICES 500173 Transport Services-Telecommunication 125,000 106,334 125,000 - (18,666) 18,666 Full year transport charges 520000 Supplies 35,300 18,277 35,300 (17,023) 17,023 520010 Supplies-IT 13,000 12,753 13,000 (247) 247 530030 Bad Debt Expense 1,000 500 1,000 (500) 500 550000 Advertisement&Promotion 2,000 1,610 2,000 (390) 390 570000 Vehicle Expense 500 381 500 (119) 119 Pool car 590000 Repair&Maintenance 8,500 4,817 8,500 (3,683) 3,683 596200 Professional Services-Other 159,500 200,134 159,500 40,634 (40,634) 596500 Travel 5,000 2,500 5,000 (2,500) 2,500 596550 Memberships 500 250 500 (250) 250 596600 Books&Publications 500 250 500 (250) 250 596700 Training 10,000 5,000 14,000 4,000 (5,000) 9,000 Required staff training for new TOTAL SUPPLIES/SERVICE 360,800 352,807 364,800 4,000 (7,993) 11,993 TOTAL EXPENDITURES 448,197 424,980 482,249 34,052 (23,217) 57,269 CAPITAL 860000 IT Equipment&Software 30,000 10,000 20,000 (10,000) (20,000) 10,000 900000 Capital Outlays 175,000 133,054 190,000 15,000 (41,946) 56,946 Scheduled capital work TOTAL CAPITAL 205,000 143,054 210,000 5,000 (61,946) 66,946 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 057 - FIBER OPTICS DEPARTMENT 1057 - FIBER OPTICS SUPPLIES & SERVICES 2016-2017 Account No. 500173-Transportation Services Telecommunication Detailed FY2016 FY2017 Name Description Budget Budget 1 Level 3 Transportation charges 60,000 60,000 2 Century link Transportation charges 60,000 60,000 3 ARIN Transportation charges 5,000 5,000 $ 125,000 $125,000 Account No. 520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Various Material & Supplies 300 300 2 CSC Material & Supplies 20,000 20,000 3 Graybar & CDW Material & Supplies 15,000 15,000 $ 35,300 $ 35,300 Account No. 520010-Supplies - IT Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD New network monitoring workstation 5,000 5,000 2 TBD Fiber Network Management Software 8,000 8,000 $ 13,000 $ 13,000 1 of 4 PROPOSED BUDGET CITY OF VERNON FUND 057 - FIBER OPTICS DEPARTMENT 1057 - FIBER OPTICS SUPPLIES & SERVICES 2016-2017 Account No. 530030- Bad Debt Expenses Detailed FY2016 FY2017 Name Description Budget Budget 1 N/A Bad Debts 1,000 1,000 $ 1,000 $ 1,000 Account No. 550000- Advertisement & Promotion Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Advertising and promotional materials 2,000 2,000 $ 2,000 $ 2,000 Account No. 570000- Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Vehicle 218 Operating Expenses 500 500 $ 500 $ 500 Account No. 590000- Repairs & Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 City Hall & Fire Sta. UPS Systems repairs and maintenance 8,500 8,500 $ 8,500 $ 8,500 2 of 4 PROPOSED BUDGET CITY OF VERNON FUND 057 - FIBER OPTICS DEPARTMENT 1057 - FIBER OPTICS SUPPLIES & SERVICES 2016-2017 Account No. 596200 - Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 NOC System Network Operations 90,000 90,000 2 VCI Annual Maintenance Contract 25,000 25,000 3 ISP Consultant Services 5,000 5,000 4 CISCO Cisco 7609 Upgrade Services 30,000 30,000 5 TBD ISP Server Farm Maintenance Services 2,000 2,000 6 COV Help Desk 7,500 7,500 $ 159,500 $159,500 Account No. 596500-Travel Event FY2016 FY2017 Name Location Budget Budget 1 Training Seminar TBD 5,000 5,000 $ 5,000 $ 5,000 Account No. 596550- Membership Dues Detailed FY2016 FY2017 Name Description Budget Budget 1 Various Annual membership dues 500 500 $ 500 $ 500 3 of 4 PROPOSED BUDGET CITY OF VERNON FUND 057 - FIBER OPTICS DEPARTMENT 1057 - FIBER OPTICS SUPPLIES & SERVICES 2016-2017 Account No. 596600 - Books & Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 Various Subscription Dues 500 500 $ 500 $ 500 Account No. 596700-Training Event FY2016 FY2017 Type Name Budget Budget 1 Network Training Fujitsu Network 5,000 5,000 2 ISP Training ISP Services 3,000 7,000 3 Compliance Regulatory 2,000 2,000 $ 10,000 $ 14,000 4 of 4 PROPOSED BUDGET CITY OF VERNON FUND 057- FIBER OPTICS DEPARTMENT 1057- FIBER OPTICS Capital 2016-2017 DEPARTMENT: 057.1057 FIBER OPTICS Detailed FY2016 FY2017 Account No. Name Description Budget Budget 1 860000 Smartnet Warranties on Software and Firmware purchased through Cisco 30,000 20,000 $ 30,000 $ 20,000 1 900000 Contract Services Customer Connection to Internet Via Fiber Optic Extensions 100,000 75,000 2 900000 CPE CPE for Customer Sites 25,000 25,000 3 900000 ISP ISP Cisco Core Switch Hardware Replacement - 55,000 4 900000 Backbone Expansion Fiber Optic Backbone Expansions for City Use 30,000 15,000 5 900000 WIFI Network WIFI Deployment Network Elements 20,000 5,000 6 900000 Contract Services Internet Service Provider System Enhancement - 15,000 $175,000 $190,000 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1060 HEALTH A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 1,066,995 $ 1,067,992 $ 1,000,376 $ (66,619) $ 997 $ (67,616) SALARIES $ 765,261 $ 768,733 $ 846,022 $ 80,761 $ 3,472 $ 77,289 BENEFITS 264,236 269,014 299,827 35,591 4,778 30,813 SUPPLIES/SERVICES 104,162 108,284 102,507 (1,655) 4,122 (5,777) CAPITAL - - - - - - TOTAL EXPENDITURES $ 1,133,659 $ 1,146,031 $ 1,248,356 $ 114,697 $ 12,372 $ 1029325 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Administrative Assistant 1.00 $ 49,954 $ 52,165 $ 2,211 Administrative Secretary 0.50 41,717 41,919 202 Chief Deputy Director of Environmental Control 0.75 100,824 100,822 (2) Director of Health& Environmental Control 0.50 107,417 96,974 (10,443) Environmental Specialist 2.00 116,866 159,643 42,777 Senior Administrative Assistant 0.75 47,969 49,084 1,115 Senior Environmental Specialist 2.75 300,514 313,182 12,668 Payout(vacation and sick excess hours) 25,775 Part-time Internships(two interns at$3,229/intern) 6,458 DEPARTMENT TOTALS 8.25 $ 765,261 $ 846,022 $ 489528 PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1060-General Fund Health Department Budget Detail 2016-2017 1 � A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 410240 Public Health Permit Fees $ 960,557 $1,027,578 $ 960,557 $ $ 67,021 $ (67,021) 410250 Health Permit Late Fees 11,577 16,897 11,577 5,320 (5,320) 410400 Closure Review Fees - 2,756 - 2,756 (2,756) 410410 Plan Check Review Fees 2,436 - 2,436 (2,436) 461100 Fines and Penalties 12,754 12,000 12,000 12,754 (754) 466600 Copies and Publications 612 321 612 - (291) 291 466700 Backf low Certificates - - 15,120 15,120 - 15,120 466800 Calendar Donation Revenues - 4,700 - - 4,700 (4,700) 466900 Miscellaneous Revenues 510 550 510 40 (40) 3060 440100 State Grants 93,739 - - (93,739) (93,739) - TOTAL REVENUES $1,066,995 $1,067,992 $1,000,376 $ (66,619) $ 997 $ (67,616) SALARIES: 501010 Salaries-Regular $ 726,531 $ 695,078 $ 771,655 $ 45,124 $ (31,453) $ 76,577 501012 Salaries-Premiums 38,730 73,614 74,367 35,637 34,884 753 501020 Salaries-O.T. - 41 - - 41 (41) 765,261 768,733 846,022 80,761 3,472 77,289 BENEFITS: 502020 Retirement 177,328 170,964 190,920 13,592 (6,364) 19,956 502030 Group Insurance Premiums 75,812 85,088 96,640 20,828 9,276 11,552 502060 Medicare 11,096 10,979 12,267 1,171 (117) 1,288 502080 Claims Expenditure-Worker's Comp - 1,983 - - 1,983 (1,983) 264,236 269,014 299,827 35,591 4,778 30,813 SUPPLIES/SERVICES: 503035 Insurance Premiums 23,260 11,630 23,260 - (11,630) 11,630 520000 Supplies 9,180 7,903 7,000 (2,180) (1,277) (903) 560000 Utilities 6,120 3,771 6,120 (2,349) 2,349 570000 Vehicle Expense 5,100 5,594 5,100 494 (494) 590000 Repair&Maintenance 1,020 510 1,020 (510) 510 595200 Professional Services-Technical 27,862 50,216 27,862 22,354 (22,354) 596200 Professional Services-Other 1,020 510 1,020 (510) 510 596500 Travel 8,160 7,104 8,160 (1,056) 1,056 596550 Memberships 10,200 7,341 8,200 (2,000) (2,859) 859 596600 Books&Publications 6,120 3,060 4,120 (2,000) (3,060) 1,060 596700 Training 6,120 10,645 10,645 4,525 4,525 - 104,162 108,284 102,507 (1,655) 4,122 (5,777) CAPITAL 900000 Capital Outlays - - - - TOTAL EXPENDITURES $1,133,659 $1,146,031 $1,248,356 $ 114,697 $ 12,372 $ 102,325 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1060 - HEALTH 2016-2017 Account No. 520000 - Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Department Supplies, Water Analysis, Printing, $ 9,180 $ 7,000 Business Cards, Health Permit Forms, Stationery, Office Supplies, Mailing Services and Reproduction Services $ 9,180 $ 7,000 Account No. 560000 - Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 Utilities $ 6,120 $ 6,120 $ 6,120 $ 6,120 Account No. 570000 - Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Vehicle Expenses, Vehicle Fuel, Maintenance and Car $ 5,100 $ 5,100 Wash $ 5,100 $ 5,100 Account No. 590000 - Repairs & Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 Computer Equipment Repair, Office Maintenance, $ 1,020 $ 1,020 Servicing of Laboratory Equipment, Battery Replacement $ 1,020 $ 1,020 1 of 4 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1060 - HEALTH 2016-2017 Account No. 595200 - Professional Services Technical Detailed FY2016 FY2017 Type Description Budget Budget 1 SEAACA (ANIMAL CONTROL) $ 10,200 $ 10,200 Other $ 17,662 $ 17,662 $27,862 $ 27,862 Account No. 596200 - Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 Other $ 1,020 $ 1,020 $ 1,020 $ 1,020 Account No. 596500 -Travel Detailed FY2016 FY2017 Name Description Budget Budget 1 Travel $ 8,160 $ 8,160 $ 8,160 $ 8,160 2 of 4 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1060 - HEALTH 2016-2017 Account No. 596550- Membership Dues Detailed FY2016 FY2017 Type Description Budget Budget 1 Membership: $ 10,200 $ 8,200 2 National Environmental Health Association (NEHA) 3 Local Environmental Health Admin. 4 Foundation for Cross-Connection & Hyd, Res. 5 Haz-Mat Assoc. 6 Food Sanitation Adv. Comm. 7 Solid Waste Assoc. of No. America 8 Local Env. Admin. 9 California Conference of Directors of Environmental Health 10 Association of Food & Drug Officials 11 Health Officers Assoc. of California 12 Registration 13 CA State Registration 14 Pest Control Adv. License 15 Environmental Assessor Regular $ 10,200 $ 8,200 Account No. 596600- Books & Publications Detailed FY2016 FY2017 Type Description Budget Budget Publications: $ 1,530 $ 1,530 1 California Code of Regulations 2 West Annotated 220 3 Miscellaneous Publications as needed Subscription: $ 4,590 $ 2,590 4 Subscription as needed $ 6,120 $ 4,120 3 of 4 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1060 - HEALTH 2016-2017 Account No. 596700 -Training Detailed FY2016 FY2017 Type Description Budget Budget 1 Training / Health Dept. Staff $ 6,120 $ 10,645 $ 6,120 $ 10,645 4 of 4 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 011.1061 HEALTH-SOLID WASTE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 1,050,000 $ 19139,147 $ 19050,000 $ - $ 89,147 $ (899147) SALARIES $ 117,043 $ 124,390 $ 116,429 $ (614) $ 7,347 $ (7,961) BENEFITS 37,732 37,504 39,959 2,227 (228) 2,455 SUPPLIES/SERVICES 324,360 282,672 308,800 (15,560) (41,688) 26,128 CAPITAL - - - - TOTAL EXPENDITURES $ 479,135 $ 444,565 $ 465,188 $ (13,947) $ (34,570) $ 209623 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Administrative Secretary 0.25 $ 20,858 $ 20,959 $ 101 Director of Health&Environmental Control 0.25 53,708 48,487 (5,221) Senior Administrative Assistant 0.25 15,990 16,361 371 Senior Environmental Specialist 0.25 26,487 27,247 760 Payout(vacation and sick excess hours) 3,375 DEPARTMENT TOTALS 1.00 $ 117,043 $ 116,429 $ (39989) PROPOSED BUDGET CITY OF VERNON Fund 011 Department 1061 -General Fund-Health-Solid Waste Department Budget Detail 2016-2017 DEPARTMENT: . 011.1061 HEALTH-SOLID WASTE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES 410310 Solid Waste Franchise Fees $1,000,000 $1,057,596 $1,000,000 $ $ 57,596 $ (57,596) 410320 Solid Waste Franchise Late Fees 5,000 11,378 5,000 6,378 (6,378) Late fees expected to decrease due to hauler compliance. 410330 Franchise Fees,Prior Years 20,000 10,000 20,000 (10,000) 10,000 It is expected that financial review of haulers will not identify errors as haulers improve accounting practices. 3061 440100 State Grants 25,000 60,173 25,000 35,173 (35,173) TOTAL REVENUES $1,050,000 $1,139,147 $1,050,000 $ $ 89,147 $ (89,1i SALARIES: 501010 Salaries-Regular $ 109,564 $ 104,539 $ 104,923 $ (4,641) $ (5,025) $ 384 501012 Salaries-Premiums 7,479 19,837 11,506 4,027 12,358 (8,331) 501020 Salaries-O.T. - 14 - - 14 (14) 117,043 124,390 116,429 (614) 7,347 (7,961) BENEFITS: 502020 Retirement 26,950 25,826 26,331 (619) (1,124) 505 502030 Group Insurance Premiums 9,085 9,887 11,940 2,855 802 2,053 502060 Medicare 1,697 1,791 1,688 (9) 94 (103) 37,732 37,504 39,959 2,227 (228) 2,455 SUPPLIES/SERVICES: 503035 Insurance Premiums(Trash) 21,420 10,710 21,420 - (10,710) 10,710 520000 Supplies 7,140 4,053 4,640 (2,500) (3,087) 587 3061 520000 Supplies - - - - - 560000 Utilities 510 255 510 (255) 255 570000 Vehicle Expense 510 255 510 (255) 255 590000 Repair&Maintenance 204 102 204 (102) 102 595200 Professional Services-Technical 266,220 249,412 266,220 (16,808) 16,808 596500 Travel 2,040 2,753 2,040 713 (713) 3061 596500 Travel - - - - - 596550 Memberships 3,060 1,530 2,000 (1,060) (1,530) 470 596600 Books&Publications 816 408 816 (408) 408 596700 Training 2,040 2,994 2,040 954 (954) 3061 596700 Training 20,400 10,200 8,400 (12,000) (10,200) (1,800) 324,360 282,672 308,800 (15,560) (41,688) 26,128 CAPITAL 860000 IT Equipment&Software - - - - 900000 Capital Outlays TOTAL EXPENDITURES $ 479,135 $ 444,565 $ 465,188 $ (13,947) $ (34,570) $ 20,623 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1061 - HEALTH-SOLID WASTE 2016-2017 Account No. 520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Department Supplies, Printing, and Office Supplies, $ 7,140 $ 4,640 Mailing Services and Reproduction Services of Forms $ 7,140 $ 4,640 Account No. 560000 - Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 Utilities $ 510 $ 510 $ 510 $ 510 Account No. 570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Vehicle Expenses, Vehicle Maintenance, Fuel, Car $ 510 $ 510 Wash $ 510 $ 510 Account No. 590000- Repairs & Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 Building & Equipment Maintenance $ 204 $ 204 $ 204 $ 204 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1061 - HEALTH-SOLID WASTE 2016-2017 Account No. 595200 - Professional Services Technical Detailed FY2016 FY2017 Type Description Budget Budget 1 MSW Consultants/ Ecotelesis $250,920 $250,920 2 KJ Services $ 15,300 $ 15,300 $266,220 $266,220 Account No. 596500 -Travel Detailed FY2016 FY2017 Name Description Budget Budget 1 Travel, Conferences, Meetings $ 2,040 $ 2,040 $ 2,040 $ 2,040 Account No. 596550 - Membership Dues Detailed FY2016 FY2017 Type Description Budget Budget 1 SWANA, Air & Waste, Recycling Market Dev. Zone, $ 3,060 $ 2,000 California Product Stewardship Council $ 3,060 $ 2,000 Account No. 596600 - Books & Publications Detailed FY2016 FY2017 Type Description Budget Budget 1 Publications/ Books $ 816 $ 816 $ 816 $ 816 2 of 3 PROPOSED BUDGET CITY OF VERNON FUND 011 - GENERAL FUND DEPARTMENT 1061 - HEALTH-SOLID WASTE 2016-2017 Account No. 596700 -Training Detailed FY2016 FY2017 Type Description Budget Budget 1 011.1061 Training $ 2,040 $ 2,040 2 011.3061 SDEEC travel $ 5,100 $ 2,100 3 011.3061 SDEEC training $ 5,100 $ 2,100 4 011.3061 SDEEC stipend + meals $ 5,100 $ 2,100 5 011.3061 SDEEC misc. $ 5,100 $ 2,100 $ 22,440 $ 10,440 3 of 3 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 020.1084 WATER A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) REVENUES $ 9,663,491 $ 8,115,101 $ 8,304,544 $ (1,358,947) $ (1,548,390) $ 189,443 EXPENSES: SALARIES $ 1,329,075 $ 1,260,947 $ 1,364,451 $ 35,376 $ (68,128) $ 103,504 BENEFITS 545,866 517,954 588,577 42,711 (27,912) 70,623 SUPPLIES/SERVICES 5,396,550 4,721,513 5,590,050 193,500 (675,037) 868,537 TOTAL EXPENSES $ 7,271,491 $ 6,500,414 $ 7,543,078 $ 271,587 $ (771,077) $ 130423664 CAPITAL REVENUES - - 125,000 125,000 - 125,000 EXPENDITURES 2,517,000 13662,141 1,430,000 (1,087,000) (854,859) (232,141) Increase EMPLOYEE TITLE FTE Salaries Salaries (Decrease) Director Public Works,Water&Dev. 0.20 $ 49,242 $ 39,722 $ (9,520) Electric Operator 0.60 61,935 62,659 724 Electronic Operations Supervisor 0.05 6,097 6,097 - Engineering Aide 1.00 63,319 64,863 1,544 Meter Reader 1.00 72,922 74,101 1,179 Meter Reader, Lead 1.00 77,446 79,287 1,841 Public Works&Water Foreman 0.60 63,284 63,289 5 Public Works&Water Superintenden 0.80 107,547 6,721 (100,826) Public Works Project Coordinator(W, 0.65 79,679 82,292 2,613 Senior Utilities Dispatcher 0.15 - 18,312 18,312 Street&Water Crew Leader 0.60 51,532 53,411 1,879 Street Maintenance Worker 0.10 6,274 6,688 414 Utilities Dispatcher 0.60 72,482 72,477 (5) Utilities Operations Manager 0.15 22,230 22,232 2 Warehouse Worker,Senior 0.25 18,525 18,525 - Water Maintenance Worker 4.00 201,188 209,239 8,051 Water Maintenance Worker,Senior 4.00 273,373 281,704 8,331 Overtime 50,000 50,000 - Payout(vacation and sick excess hours) 30,000 30,000 Stand-by 22,000 22,000 DEPARTMENT TOTALS 15.75 $ 1,329,075 $ 1,263,619 $ (65,456) PROPOSED BUDGET CITY OF VERNON Fund 020 Department 1084-Water Fund Water Department Budget Detail 2016-2017 DEPARTMENT: Ir 020.1084 WATER - A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES 401000 Utility Users Tax - - - - - 450040 Water Sales 8,103,000 8,037,832 8,219,544 116,544 (65,168) 181,711 450110 Fire Service 60,000 52,098 60,000 - (7,902) 7,902 450121 Construction Revenues 20,000 20,830 20,000 830 (830) 450122 Installation Charge 2,000 2,800 2,000 800 (800) 450330 Damaged Property 3,000 1,500 3,000 (1,500) 1,500 466600 Copies and Publications - 40 - 40 (40) 469300 Reserve Applied 1,475,491 (1,475,491) (1,475,491) TOTAL REVENUES 9,663,491 8,115,101 8,304,544 (1,358,947) (1,548,390) 189,443 EXPENSES: SALARIES 501010 Salaries-Regular 1,120,567 1,043,199 1,142,186 21,619 (77,368) 98,987 501012 Salaries-Premiums 158,508 172,540 172,265 13,757 14,032 (275) 501020 Salaries-Overtime 50,000 45,209 50,000 (4,791) 4,791 1,329,075 1,260,947 1,364,451 35,376 (68,128) 103,504 BENEFITS 502020 Retirement 372,353 322,541 384,295 11,942 (49,812) 61,754 502030 Group Insurance Premiums 154,241 163,442 184,497 30,256 9,201 21,055 502060 Medicare 19,272 15,937 19,785 513 (3,335) 3,848 502080 Claims Expenditure-Worker's Comp 16,034 16,034 (16,034) 545,866 517,954 588,577 42,711 (27,912) 70,623 SUPPLIES/SERVICES 500110 Pumped Water 1,998,000 1,620,111 2,000,000 2,000 (377,889) 379,889 500130 Purchased Water 1,120,000 1,016,197 1,142,000 22,000 (103,803) 125,803 500140 Water Treatment 40,000 31,536 40,000 - (8,464) 8,464 520000 Supplies 150,000 157,455 150,000 7,455 (7,455) 530030 Bad Debt Expense 40,000 20,000 40,000 (20,000) 20,000 540000 Uniforms 3,000 2,551 3,000 (449) 449 550000 Advertisement/Promotion 2,000 1,650 2,000 (350) 350 560000 Utilities 1,180,000 965,453 1,180,000 (214,547) 214,547 570000 Vehicle Expense 90,000 87,159 90,000 (2,841) 2,841 590000 Repair&Maintenance 40,000 123,150 50,000 10,000 83,150 (73,150) 593200 Professional Services-Legal 10,000 5,000 10,000 - (5,000) 5,000 595200 Professional Services-Technical 60,500 30,250 70,500 10,000 (30,250) 40,250 596200 Professional Services-Other 40,000 41,030 189,500 149,500 1,030 148,470 596500 Travel 2,000 1,000 2,000 - (1,000) 1,000 596550 Memberships 35,050 39,062 35,050 4,012 (4,012) 596600 Books&Publications 1,000 500 1,000 (500) 500 596700 Training 25,000 19,411 25,000 (5,589) 5,589 599800 Overhead Allocation 560,000 560,000 560,000 0 (0) 5,396,550 4,721,513 5,590,050 193,500 (675,037) 868,537 TOTAL EXPENSES 7,271,491 6,500,414 7,543,078 271,587 (771,077) 1,042,664 CAPITAL REVENUES 3084 440100 Grant Revenues-State - - 125,000 125,000 125,000 125,000 125,000 125,000 CAPITAL EXPENDITURES 840000 Capital Equipment-Auto 47,500 140,000 140,000 47,500 92,500 850000 Capital Equipment-Non-Auto 8,500 212,000 212,000 8,500 203,500 3084 900000 Capital Outlays-State Funding - 400,000 400,000 - 400,000 900000 Capital Outlays 2,517,000 1,606,141 678,000 (1,839,000) (910,859) (928,141) 2,517,000 1,662,141 1,430,000 (1,087,000) (854,859) (232,141) 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 020-WATER FUND DEPARTMENT 1084-WATER 2016-2017 Account No.500110-Pumped Water Detailed FY2016 FY2017 Name Description Budget Budget 1 WRD and WMS Water Replenishment District 1,998,000 2,000,000 1,998,000 2,000,000 Account No.500130-Purchased Water Detailed FY2016 FY2017 Name Description Budget Budget 1 CBMWD Central Basin Municipal Water District 1,120,000 1,142,000 1,120,000 1,142,000 Account No.500140-Water Treatment Detailed FY2016 FY2017 Name Description Budget Budget 1 INTER-VALLEY POOL SUPPLY Water Treatment-Chlorine 40,000 40,000 40,000 40,000 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 CITY WAREHOUSE Inventory Consumption 80,000 75,000 2 CATALINA PACIFIC CONCRETE Supplies 33,000 33,000 3 VULCAN MATERIALS COMPANY Supplies 12,250 12,250 4 ZENNER PERFORMANCE METERS Supplies 7,550 9,550 5 SC FUELS Supplies 6,000 6,000 6 MSDS ONLINE INC. Supplies 3,000 3,000 7 HOME DEPOT CREDIT SERVICES Supplies 2,200 2,200 8 LIFECOM, INC. Supplies 1,500 4,500 9 MCCALL'S METER SALES&SERVICE Supplies 1,500 1,500 10 HI-LINE, INC. Supplies 1,500 1,500 11 TBD Estimated Supplies 1,500 1,500 150,000 150,000 Account No.530030-Bad Debt Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Bad Debt Expense 40,000 40,000 $ 40,000 $ 40,000 1 of 5 PROPOSED BUDGET CITY OF VERNON FUND 020-WATER FUND DEPARTMENT 1084-WATER 2016-2017 Account No.540000-Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 UNIFIRST Uniforms 3,000 3,000 3,000 3,000 Account No.550000-Advertisement/Promotion Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Annual Water Quality Report 1,000 1,000 2 EASTERN GROUP Publishing 500 500 3 TBD Public Information& Mailout 500 500 2,000 2,000 Account No.560000-Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 L&P Interdepartmental Utilities 1,169,900 1,169,900 2 FIBER OPTICS Interdepartmental Utilities 8,700 8,700 3 THE GAS COMPANY Utilities 1,400 1,400 1,180,000 1,180,000 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 CITY GARAGE Garage Work Orders 66,000 66,000 2 TBD Gas Usage 23,800 23,800 3 MAYWOOD CAR WASH Washing city vehicles 200 200 90,000 90,000 Account No.590000- Repairs&Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 GENERAL PUMP COMPANY, INC. Annual pump contract for emergency repairs 20,000 20,000 2 LITTLE-JOHN REULAND Annual motor contract for emergency repairs 10,000 20,000 3 TBD Estimated Repairs&Maintenance 10,000 10,000 40,000 50,000 2 of 5 PROPOSED BUDGET CITY OF VERNON FUND 020-WATER FUND DEPARTMENT 1084-WATER 2016-2017 Account No.593200-Professional Services Legal Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Water Fund Legal Services 10,000 10,000 10,000 10,000 Account No.595200-Professional Services-Technical Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Urban Water Management Plan 30,000 40,000 2 TBD Estimated Professional Services-Technical 15,000 15,000 3 CENTRAL BASIN WATERMASTER Annual Assessment 7,850 7,850 4 WATER REPLENISHMENT DISTRICT Watermaster Service 7,650 7,650 $ 60,500 $ 70,500 Account No.596200-Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 CENTRAL BASIN WATER ASSOCIATION Lab testing/title 22 16,000 16,000 2 TEST AMERICA Water sampling 11,000 35,000 3 DEPARTMENT OF PUBLIC HEALTH Water system fees 5,000 5,000 4 DEPARTMENT OF WATER RESOURCES System Permitting Fees 2,500 2,500 5 TBD Estimated Professional Services Other 2,300 2,300 6 SCAQMD Emission& Registration Fees 2,100 2,100 7 UNDERGROUND SERVICE ALERT Digalerts 1,000 1,500 8 TBD Water rate study - 75,000 9 BNSF Railway Company Rental lease 100 100 10 TBD Water Well Sitting Study - 50,000 40,000 189,500 Account No.596500-Travel Detailed FY2016 FY2017 Name Description Budget Budget 1 Various Mileage, airfare,food, parking, lodging 2,000 2,000 $ 2,000 $ 2,000 3 of 5 PROPOSED BUDGET CITY OF VERNON FUND 020-WATER FUND DEPARTMENT 1084-WATER 2016-2017 Account No.596550-Membership Dues Detailed FY2016 FY2017 Name Description Budget Budget 1 IRWMP Authority(Signal Hill)) Membership 15,200 15,200 2 Southeast Water Coalition (South Gate) Membership 10,200 10,000 4 Central Basin Water Association Membership 4,800 5,000 5 California Urban Water Conservation Council Membership 1,650 1,650 6 California Municipal Utilities Association Membership 1,550 1,550 7 AWWA California Nevada Section (contribution) Membership 700 700 8 California Water Awareness Membership 500 500 9 American Water Works Association Membership 450 450 $ 35,050 $ 35,050 Account No.596600- Books&Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Publications 1,000 1,000 $ 1,000 $ LOW Account No.596700-Training Detailed FY2016 FY2017 Name Description Budget Budget 1 VARIOUS Training and Certifications 25,000 25,000 25,000 25,000 Account No.599800-Overhead Allocation Detailed FY2016 FY2017 Name Description Budget Budget 1 City of Vernon Overhead Allocation 560,000 560,000 $ 560,000 $ 560,000 4 of 5 PROPOSED BUDGET CITY OF VERNON FUND 020-WATER FUND DEPARTMENT 1084-WATER 2016-2017 Capital Expenditures Detailed FY2016 FY2017 Name Description Budget Budget 1 Project Equipping Well No.21 1,400,000 - 2 Project Well No. 11 Liner 260,000 260,000 3 Project Well No. 20 Rehabilitation/Pump&Motor 260,000 - Replacement 4 Project Well No. 15 Rehabilitation - - 5 Project Installation of Smart Water Meters 125,000 400,000 6 Project Plant No.4 Demolish Two 500,000 Gallon Reservoirs - - 7 Project Engineering Design Reservoir 3-1, 3-2, 3-3 100,000 100,000 Rehabilitation 8 Project Well No. 5- Engineering Abandonment 100,000 40,000 9 Project Pump House 2 40,000 - 10 Project Fence Replacement 30,000 - 11 Project Reservoir inspections - 6,000 12 Project Contract work for City-wide electrical upgrades - - 13 Project Booster Pumps- Refurbish 90,000 - 14 Project 10 million gallon reservoir- Rehabilitation - 200,000 15 Project Pumping Plant 2,Well 17&Well 12- Design 44,000 16 Project Pumping Plant 2,Well 17&Well 12-Construction - 17 Project Well 20- Design 28,000 18 Project Well 20-Construction - 19 Project Pumping Plant 3- Design 20 Project Pumping Plant 3-Construction 21 Project Well 15- Design 22 Project Well 15-Construction 23 Project Pumping Plant 1,Well 11 and Well 16- Design 24 Project Pumping Plant 1,Well 11 and Well 16-Construction 25 Project Well 14- Design 26 Project Well 14-Construction 27 Project Well 19- Design 28 Project Well 19-Construction - - 29 Equipment Air Compressor 2,000 25,000 30 Equipment Backhoe - 100,000 31 Equipment Large water pump 40,000 32 Equipment Concrete saw 20,000 33 Equipment Trailer barricades 20,000 34 Equipment Concrete mixer 7,000 35 Equipment Ford F-150 60,000 36 Equipment Utility truck Ford F-150 - 80,000 37 Equipment Dump Truck 95,000 - 38 Equipment Chlorine Shed 15,000 - $ 2,517,000 $ 1,430,000 *State grant funds 5 of 5 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 020.1085 RECYCLED WATER A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) REVENUES $ 180,000 $ 165,109 $ 180,000 $ - $ (14,891) $ 14,891 EXPENSES: SUPPLIES/SERVICES $ 175,500 $ 163,325 $ 175,500 $ $ (12,175) $ 12,175 TOTAL EXPENSES $ 175,500 $ 163,325 $ 175,500 $ - $ (12,175) $ 12,175 PROPOSED BUDGET CITY OF VERNON Fund 020 Department 1085-Recycled Water Fund Community Services&Water Department Budget Detail 2016-2017 DEPARTMENT: IT 020.1085 RECYCLED WATER A B C C-A B-A C-B FY2016 FY2016 FY2017 Budget Forecast Budget Variance Comments REVENUES: 450045 Water-Recycled 180,000 165,109 180,000 (14,891) 14,891 TOTAL REVENUES 180,000 165,109 180,000 (14,891) 14,891 EXPENSES: SUPPLIES/SERVICES 500130 Purchased Water 160,000 158,075 160,000 (1,925) 1,925 Third party cost increases 520000 Supplies 500 250 500 (250) 250 599800 General City Administrative Service Exp 15,000 5,000 15,000 (10,000) 10,000 TOTAL EXPENSES 175,500 163,325 175,500 (12,175) 12,175 PROPOSED BUDGET CITY OF VERNON FUND 020 - WATER FUND DEPARTMENT 1085 - RECYCLED WATER 2016-2017 Account No. 500130 - Purchased Water Detailed FY2016 FY2017 Name Description Budget Budget 1 Central Basin Municipal Water District Water purchase 160,000 160,000 $ 160,000 $ 160,000 Account No. 520000 - Supplies Detailed FY2016 FY2017 Name Description Amount Amount 1 VARIOUS General Supplies 500 500 $ 500 $ 500 Account No. 599800 - General City Administrative Service Exp FY2016 FY2017 Type Amount Amount 1 City of Vernon Overhead Allocation 15,000 15,000 $ 15,000 $ 15,000 1 of 1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 095.5095 PARCEL TAX A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES 11,791,000 11,850,337 12,025,000 234,000 59,337 174,663 EXPENSES: SUPPLIES/SERVICES 11,791,000 11,791,000 12,025,000 234,000 (0) 234,000 TOTAL EXPENSES 11,791,000 11,791,000 12,025,000 234,000 (0) 234,000 PROPOSED BUDGET CITY OF VERNON Fund 095 Department 5095-Parcel Tax Fund-Parcel Tax Department Budget Detail 2016-2017 DEPARTMENT: 095.5095 PARCEL TAX A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES 400900 Parcel Taxes-Warehouse 9,800,000 9,832,587 10,000,000 200,000 32,587 167,413 400950 Parcel Taxes-Safety 1,991,000 2,017,749 2,025,000 34,000 26,749 7,251 Measure L TOTAL REVENUES 11,7915000 1158505337 1250255000 234,000 595337 174,663 EXPENSES: SUPPLIES/SERVICES 790100 Operating Transfer Out 11,791,000 11,791,000 12,025,000 234,000 (0) 234,000 Transfer to General Fund. TOTAL EXPENSES 1157915000 1157915000 1250255000 234,000 (0) 234,000 1 of 1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 056.5600 GAS UTILITY A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 45,494,900 $ 39,7219075 $ 369310,929 $ (9,1839971) $ (59773,825) $ (3,4109146) EXPENSES: SALARIES $ 530,024 $ 462,268 $ 480,536 $ (49,488) $ (67,756) $ 18,268 BENEFITS 175,055 150,562 167,279 (7,776) (24,493) 16,717 SUPPLIES/SERVICES 44,644,352 39,144,190 35,533,864 (9,110,489) (5,500,162) (3,610,326) TOTAL EXPENSES $ 459349,431 $ 39,7579020 $ 369181,679 $ (9,1679753) $ (59592,411) $ (3,5759341) CAPITAL 670,000 338,763 581,000 (89,000) (331,237) 242,237 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Computer Aided Drafting Technician 0.40 $ 20,552 16,758 (3,794) Engineering Manager - 43,237 - (43,237) Gas Systems Specialist 2.00 208,002 218,747 10,745 Gas Systems Superintendent 1.00 121,930 121,932 2 Gas Systems Technician 1.00 88,303 80,099 (8,204) Overtime 10,000 5,000 (5,000) Payout(vacation and sick excess hours) 4,000 4,000 Stand-by 34,000 34,000 - DEPARTMENT TOTALS 4.40 $ 530,024 $ 480,536 $ (499488) PROPOSED BUDGET CITY OF VERNON Fund 056 Department 5600-Gas Utility Fund Gas Utility Department Budget Detail 2016-2017 DEPARTMENT: JL 056.5600 GAS UTILITY A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES 450022 Transportation Charges-Retail 2,473,816 2,411,464 2,429,199 (44,617) (62,352) 17,735 450023 Transportation Charges-L&P 843,000 837,968 634,000 (209,000) (5,032) (203,968) 450024 Commodity Admin Fee 43,884 21,942 43,830 (54) (21,942) 21,888 450026 Natural Gas Sales-COV Retail 5,528,000 4,870,363 4,557,000 (971,000) (657,637) (313,363) Same as expense 500167 450028 Natural Gas Sales-Prepaid/SMUD Wholesale 14,972,000 13,072,126 12,013,000 (2,959,000) (1,899,874) (1,059,126) Same as expense 500168 450029 Natural Gas Sales-COV L&P 20,603,000 17,475,697 14,431,000 (6,172,000) (3,127,303) (3,044,697) Same as expense 055.5600.500160& 055.9200.500160 450101 Monthly Customer Charge 69,000 81,512 64,000 (5,000) 12,512 (17,512) 450105 Customer Connection Charge - 14,381 - 14,381 (14,381) No customer charges forecasted 5610-450030 ARB Freely Allocated Allowance Sales - 172,154 - - 172,154 (172,154) 5610-450032 CA Greenhouse Gas Surcharge 622,200 591,312 738,900 116,700 (30,888) 147,588 Surcharge Revenue from customers 5610-450034 ARB Cap and Trade Emissions Sales 340,000 170,000 1,400,000 1,060,000 (170,000) 1,230,000 Sales of ARB holding acct allowances 600910 Other Income - 1,969 - - 1,969 (1,969) 610110 Investment Income - 187 - 187 (187) TOTAL REVENUES 45,494,900 39,721,075 36,310,929 (9,183,971) (5,773,825) (3,410,146) SALARIES 501010 Salaries-Regular 462,318 402,277 415,830 (46,488) (60,041) 13,553 Initial Budget cost of living and merit increase has not been proposed.Change in management duties 501012 Salary Premium 57,706 54,991 59,706 2,000 (2,715) 4,715 Union change in standby pay rotation through crew,USOP,vacation&sick excess payout. 501020 Salaries-OT 10,000 5,000 5,000 (5,000) (5,000) 0 FY2016 Budget based on most recent 26 pay. TOTAL SALARIES 530,024 462,268 480,536 (49,488) (67,756) 18,268 BENEFITS 502020 Retirement 110,867 96,738 102,975 (7,892) (14,129) 6,237 Employer contribution rate for FY 2016 is Misc- 18.568% 502030 Group Insurance Premiums 56,866 47,245 57,336 470 (9,621) 10,091 502060 Medicare 7,322 6,568 6,968 (354) (754) 400 Medicare tax was calculated using gross wages. 502080 Claims Expenditure-Worker's Comp - 11 - - 11 (11) TOTAL BENEFITS 175,055 150,562 167,279 (7,776) (24,493) 16,717 SUPPLIES/SERVICES 500160 Natural Gas Expense-L&P 20,603,000 18,466,327 14,431,000 (6,172,000) (2,136,673) (4,035,327) 500167 Natural Gas Expense-Prepaid/COV Retail 5,528,000 4,872,606 4,557,000 (971,000) (655,394) (315,606) Prepay gas delivered to COV Retail Customers 500168 Natural Gas Expense-Prepaid/SMUD Wholes< 14,972,000 12,899,350 12,013,000 (2,959,000) (2,072,650) (886,350) Same as revenue from SMUD 1 of 2 PROPOSED BUDGET CITY OF VERNON Fund 056 Department 5600-Gas Utility Fund Gas Utility Department Budget Detail 2016-2017 DEPARTMENT: 056.5600 GAS UTILITY A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments 500230 Generation Expense 40,000 47,358 40,000 - 7,358 (7,358) "AB 32 Cost of Implementation Fee" 5610-596702 Greenhouse Gas Admin/Rebates 340,000 170,000 430,000 90,000 (170,000) 260,000 To be implemented FY16 5610-596710 Greenhouse Gas to Air Resources Board 622,200 399,110 1,708,900 1,086,700 (223,090) 1,309,790 Specifically for Emissions Credits 520000 Supplies 9,700 24,334 25,000 15,300 14,634 666 equipment needed for new dept.truck#1015 530030 Bad Debt Expense - 65,863 - - 65,863 (65,863) 540000 Uniforms 4,600 2,300 6,750 2,150 (2,300) 4,450 Employee uniform and rain gear 550022 Natural Gas Transportation Costs 1,289,244 1,216,812 1,016,205 (273,039) (72,432) (200,607) 560010 Utilities-IT 11,938 3,000 11,938 (8,938) 8,938 Minimax units for dialing in for meter readouts Transffered IT Budget General Fund 570000 Vehicle Expense 6,000 6,248 6,000 248 (248) 590000 Repair&Maintenance 88,000 85,522 68,000 (20,000) (2,478) (17,522) Reg station work and pressure monitoring for COV Dist/Trans lines 593200 Professional Services-Legal 15,000 7,500 15,000 - (7,500) 7,500 595200 Professional Services-Technical 81,500 46,435 161,500 80,000 (35,065) 115,065 AM Ortega gas services 596200 Professional Services-Other 240,000 39,901 240,000 - (200,099) 200,099 596550 Membership Dues - 375 - - 375 (375) 596600 Books&Publications 2,000 3,052 12,400 10,400 1,052 9,348 Public awareness 596700 Training 60,000 56,925 60,000 - (3,075) 3,075 790100 Operating Transfer Out 731,171 731,171 731,171 - TOTAL SUPPLIES/SERVICES 44,644,352 39,144,190 35,533,864 (9,110,489) (5,500,162) (3,610,326) TOTAL EXPENDITURES 45,349,431 39,757,020 36,181,679 (9,167,753) (5,592,411) (3,575,341) CAPITAL 900000 Capital Outlays 670,000 338,763 581,000 (89,000) (331,237) 242,237 Customer connection,Transmission pipeline inspection,tools equipment requirement. TOTAL CAPITAL 670,000 338,763 581,000 (89,000) (331,237) 242,237 2of2 PROPOSED BUDGET CITY OF VERNON FUND 056 - GAS DEPARTMENT 5600 - GAS SUPPLIES & SERVICES 2016-2017 Account No.500230-Generation Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 AQMD CA Air Resources Board Annual Fee 40,000 40,000 $ 40,000 $ 40,000 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Safety Equipment from American Safety Services 2,500 3,000 2 Home Depot Home Depot for miscellaneous parts and small tools 1,200 11,000 3 TBD Fire extinguisher and bracket for new dept.truck(#1015) 1,000 1,000 4 TBD Necessary hand tools needed to equip new dept.truck (#1015) 5,000 10,000 $ 9,700 $ 25,000 Account No.540000-Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Fire Retardant Uniform 1,866 2,866 2 TBD Fire Retardant Rain Gear 2,133 3,133 3 TBD Work Boots for four employees 601 751 $ 4,600 $ 6,750 Account No.560010-Utilities IT Detailed FY2016 FY2017 Name Description Budget Budget 1 AT&T Minimax units: #of customers x$20/mo x 12 mo/yr 6,000 6,000 2 Verizon Wireless Telecommunication Charges 1,529 1,529 3 AT&T CalNet2 Telecommunication Charges 4,409 4,409 $ 11,938 $ 11,938 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 056 - GAS DEPARTMENT 5600 - GAS SUPPLIES & SERVICES 2016-2017 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 City Vehicle Vehicle gas usage& maintenance service 6,000 6,000 $ 6,000 $ 6,000 Account No.590000-Repair&Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 Home Depot General Supplies 15,000 20,000 2 Craig Welding &Supplies General Supplies 2,000 5,000 3 Advanced Batteries Systems General Supplies 1,000 3,000 4 TBD Reg Station SCADA upgrade - 30,000 5 TBD Gas pressure monitoring alarm maintenance - 10,000 6 Regulator station upgrade (Safety Valve) inside vault. Complete 50,000 - 7 Gas pressure monitoring alarm for Distribution and trans line Comple 20,000 - $ 88,000 $ 68,000 Account No.593200-Professional Services Legal Detailed FY2016 FY2017 Name Description Budget Budget 1 Legal Gas Fund Legal Services 15,000 15,000 $ 15,000 $ 15,000 Account No.595200-Professional Services Technical Detailed FY2016 FY2017 Name Description Budget Budget 1 Corrpro Corrpro for Cathodic Protection Annual Survey&calibration for rectifier 6,500 11,500 2 TBD Natrual Gas Contruction & Repair Support(RFP Process) 75,000 150,000 $ 81,500 $ 161,500 2 of 3 PROPOSED BUDGET CITY OF VERNON FUND 056 - GAS DEPARTMENT 5600 - GAS SUPPLIES & SERVICES 2016-2017 Account No.596200- Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 IGS IGS- Bergmann (100% Natural Gas) 140,000 140,000 2 TBD via RFP Engineering services to produce Detailed Plans for Major System 100,000 100,000 Modifications $ 240,000 $ 240,000 Account No. 596600- Books & Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 Vernon Sun Public Awareness Publication (Vernon Sun/PAPA). 2,000 2,400 2 TBD VG&E mugs&shirts as customer giveaway - 10,000 $ 2,000 $ 12,400 Account No. 596700-Training Detailed FY2016 FY2017 Name Description Budget Budget 1 Regulator Trade School for staff(PG&E) 60,000 60,000 $ 60,000 $ 60,000 Account No.790100-Operating Transfer Out Detailed FY2016 FY2017 Name Description Budget Budget 1 731,171 731,171 $ 731,171 $ 731,171 3 of 3 PROPOSED BUDGET CITY OF VERNON FUND 056 - GAS DEPARTMENT 5600 - GAS CAPITAL 2016-2017 Account No.900000-Capital Outlays Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Customer Connection Costs (Assumes 15 customers costing $12,000 each 180,000 216,000 to connect) 2 TBD Transmission Pipeline Smoothing (3 locations) 50,000 100,000 3 TBD Infrared Camera 100,000 - 5 TBD 6" hydraulic pincher - 15,000 6 TBD Bobcat with backhoe attachement 80,000 - TBD Regulator Stations Protective Barriers 60,000 - 8 TBD Transmission Pipeline assessment 9 TBD Distribution main extension (Loop system) 100,000 100,000 11 TBD New Reg Station including fees to So Cal Gas for new supply feed VG&E 100,000 150,000 $ 670,000 $ 581,000 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 060.6060 HEALTH-HAZ MAT A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 560,000 $ 489,845 $ 500,000 $ (60,000) $ (70,155) $ 10,155 SALARIES $ 108,174 $ 99,715 $ 104,403 $ (3,771) $ (8,459) $ 4,688 BENEFITS 33,614 27,898 33,776 162 (5,716) 5,878 SUPPLIES/SERVICES 70,380 37,461 23,180 (47,200) (32,919) (14,281) CAPITAL - - - TOTAL EXPENDITURES $ 212,168 $ 165,074 $ 161,359 $ (50,809) $ (47,094) $ (3,715) Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Administrative Secretary 0.25 $ 20,858 $ 20,959 $ 101 Chief Deputy Director of Environmental Control 0.25 33,608 33,607 (1) Director of Health&Environmental Control 0.25 53,708 48,487 (5,221) Payout(vacation and sick excess hours) 1,350 DEPARTMENT TOTALS 0.75 $ 108,174 $ 104,403 $ (5,121) PROPOSED BUDGET CITY OF VERNON Fund 060 Department 6060- Hazardous Waste Fund Health & Environmental Control Department Budget Detail 2016-2017 DEPARTMENT: 060.6060 HEALTH-HAZ MAT A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES 410100 Business License Tax $ 560,000 $ 489,845 $ 500,000 $ (60,000) $ (70,155) $ 10,155 410120 Business License Tax-Prior Year - - - - TOTAL REVENUES $ 560,000 $ 489,845 $ 500,000 $ (60,000) $ (70,155) $ 10,155 SALARIES: 501010 Salaries-Regular $ 101,523 $ 82,311 $ 96,760 $ (4,763) $ (19,212) $ 14,449 501012 Salaries-Premiums 6,651 17,403 7,643 992 10,752 (9,760) 108,174 99,715 104,403 (3,771) (8,459) 4,688 BENEFITS: 502020 Retirement 24,898 20,202 23,988 (910) (4,696) 3,786 502030 Group Insurance Premiums 7,147 6,262 8,274 1,127 (885) 2,012 502060 Medicare 1,569 1,434 1,514 (55) (135) 80 33,614 27,898 33,776 162 (5,716) 5,878 SUPPLIES/SERVICES: 520000 Supplies 6,120 3,060 1,120 (5,000) (3,060) (1,940) 560000 Utilities 5,100 2,825 5,100 - (2,275) 2,275 595200 Professional Services-Technical 10,200 5,170 2,700 (7,500) (5,030) (2,470) 596200 Professional Services-Other 45,900 22,950 11,200 (34,700) (22,950) (11,750) 596500 Travel 510 391 510 (119) 119 596550 Memberships 1,020 510 1,020 (510) 510 596600 Books& Publications 510 255 510 (255) 255 596700 Training 1,020 2,300 1,020 1,280 (1,280) 70,380 37,461 23,180 (47,200) (32,919) (14,281) CAPITAL 900000 Capital Outlays - - - TOTAL EXPENDITURES $ 212,168 $ 165,074 $ 161,359 $ (50,809) $ (47,094) $ (3,715) PROPOSED BUDGET CITY OF VERNON FUND 060 - HAZARDOUS WASTE FUND DEPARTMENT 6060 - HEALTH & ENVIRONMENTAL CONTROL DEPARTMENT 2016-2017 Account No. 520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Laboratory Fees, Office Supplies, Laboratory Supplies, Fi $ 6,120 $ 1,120 $ 6,120 $ 1,120 Account No. 560000- Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 Utilities $ 5,100 $ 5,100 $ 5,100 $ 5,100 Account No. 595200- Professional Services Technical Detailed FY2016 FY2017 Name Description Budget Budget 1 Environmental Consultant; Sustainability $ 10,200 $ 2,700 $ 10,200 $ 2,700 Account No. 596200- Professional Services-Other Detailed FY2016 FY2017 Name Description Budget Budget 1 Emergency Hazardous Materials Clean-Up $ 10,200 $ 5,600 2 Consulting Services 35,700 5,600 $ 45,900 $ 11,200 Account No. 596500-Travel Detailed FY2016 FY2017 Type Description Budget Budget 1 Travel $ 510 $ 510 $ 510 $ 510 1 of 2 PROPOSED BUDGET CITY OF VERNON FUND 060 - HAZARDOUS WASTE FUND DEPARTMENT 6060 - HEALTH & ENVIRONMENTAL CONTROL DEPARTMENT 2016-2017 Account No. 596550- Membership Dues Detailed FY2016 FY2017 Name Description Budget Budget 1 REA $ 510 $ 510 2 California Product Stewardship Council $ 510 $ 510 $ 1,020 $ 1,020 Account No. 596600- Books & Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 Publications and Books $ 510 $ 510 $ 510 $ 510 Account No. 596700-Training Detailed FY2016 FY2017 Type Description Budget Budget 1 Training $ 1,020 $ 1,020 $ 1,020 $ 1,020 2of2 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.7100 CUSTOMER SERVICE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) REVENUES $ 167,921,128 $ 165,468,923 $ 169,327,639 $ 1,406,512 $ (2,452,205) $ 3,858,717 EXPENSES: SALARIES $ 215,775 $ 206,312 $ 220,311 $ 4,536 $ (9,463) $ 13,999 BENEFITS 85,783 90,866 90,430 4,647 5,083 (436) SUPPLIES/SERVICES 159,800 61,099 174,700 14,900 (98,701) 113,601 TOTAL EXPENSES $ 461,358 $ 358,277 $ 485,441 $ 24,083 $ (103,081) $ 127,164 CAPITAL 142,500 - 142,500 - (142,500) 142,500 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Utilities Customer Service Representative 2.00 $ 114,203 $ 114,838 $ 635 Utilities Customer Service Supervisor 0.75 77,985 81,886 3,901 Electric Resources Planning and Development Manager 0.10 20,587 20,587 - Overtime - - - Payout(vacation and sick excess hours) 3,000 3,000 Stand-by - - - DEPARTMENT TOTALS 2.85 $ 215,775 $ 220,311 $ 4,536 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 7100-UP Fund Customer Service Department Budget Detail 2016-2017 DEPARTMENT: 055.7100 CUSTOMER SERVICE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 441001 AB1890 Revenues 4,378,824 4,424,646 4,466,993 88,169 45,822 42,348 Includes expected rate increase of 3%Effective July 2016 450010 Sale of Electricity 160,698,949 161,448,210 162,323,791 1,624,842 749,262 875,580 Includes expected rate increase of 3%and (A revenue impact of$3 million per year) 450012 Discount of Sales (7,056,000) (7,352,648) (7,267,680) (211,680) (296,648) 84,968 Includes expected rate increase of 3% 450016 Fuel Cost Adjustment 931,739 465,869 889,134 (42,605) (465,870) 423,265 The Fuel Cost Adjustment(FCA)is based on cost of fuel,gas used for generation at MGS and embedded cost in purchased energy. 450031 PIPS Pass-through 8,646,988 6,293,392 8,594,772 (52,216) (2,353,596) 2,301,380 Net Pass-through amount of RPS implementation and AB32(GHG) implementation cost. 450080 Temporary Power - 694 - 694 (694) 450301 Special Charges 103,863 108,251 103,863 4,388 (4,388) 600910 Other Income 216,766 80,508 216,766 (136,258) 136,258 TOTAL REVENUES 167,921,128 165,468,923 169,327,639 1,406,512 (2,452,205) 3,858,717 SALARIES 501010 Salaries-Regular 188,051 180,856 191,906 3,855 (7,195) 11,050 Initial Budget cost of living and merit increase has not been proposed. 501012 Salaries-Premium 27,724 25,456 28,405 681 (2,268) 2,949 Union change in standby pay rotation through crew,USOP, vacation&sick excess payout. TOTAL SALARIES 215,775 206,312 220,311 4,536 (9,463) 13,999 BENEFITS 502020 Retirement 49,521 47,668 51,181 1,660 (1,853) 3,513 502030 Group Insurance Premiums 33,176 32,995 36,054 2,878 (181) 3,059 502060 Medicare 3,086 2,929 3,195 109 (157) 266 502080 Claims Expenditure-Workers Comp 7,274 7,274 (7,274) TOTAL BENEFITS 85,783 90,866 90,430 4,647 5,083 (436) SUPPLIES/SERVICES 520000 Supplies 5,500 4,460 5,500 - (1,040) 1,040 530030 Bad Debt Expense 100,000 50,000 100,000 (50,000) 50,000 Fiscal year end Write-off on uncollectible accounts. 560000 Utilities 800 400 800 (400) 400 590110 Repair&Maintenance-IT 51,500 5,165 60,400 8,900 (46,335) 55,235 Transferred from IT budget/general fund 596500 Travel 1,000 574 4,000 3,000 (426) 3,426 Planning to upgrade all TOU meters 4G which will require training&travel-New software 596700 Training 1,000 500 4,000 3,000 (500) 3,500 TOTAL SUPPLIES/SERVICES 159,800 61,099 174,700 14,900 (98,701) 113,601 TOTAL EXPENDITURES 461,358 358,277 485,441 24,083 (103,081) 127,164 1 of 1 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT& POWER DEPARTMENT 7100-CUSTOMER SERVICE SUPPLIES&SERVICES 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Various Office supplies and utility bills stock: 5,500 5,500 This would include all various types of Envelopes for utility billing (Regular, Final,Special,Non-Window,Windows,Self-Address)Postage&Ink $ 5,500 $ 5,500 Account No.530030-Bad Debt Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Write-off on uncollectible accounts 100,000 100,000 This include Electric,Water&Gas Service $100,000 $100,000 Account No.560000-Utilities Detailed FY2016 FY2017 Name Description Budget Budget Verizon 3 phones-Sprint/Nextel(Anthony,Victor&Cust.Svc)@a$20.00 per mo per line.$60.00 x 12=$7, 800 800 Cellphone service budget transferred to IT Department 011.9019 $ 800 $ 800 Account No.590110-Repairs&Maintenance IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Pitney Bowes Maintenance Agreement for Pitney Bowes(Mailing Stuffer): 3,200 3,200 Added 10%increase from last year since we haven't received new invoice yet 2 Advanced Utilities CIS Infinity Annual Support 35,000 37,000 3 Itron Mv90xi Annual Support 8,100 15,000 4 Itron MVRS Annual Support 5,200 5,200 $ 51,500 $ 60,400 1 of 2 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT& POWER DEPARTMENT 7100-CUSTOMER SERVICE SUPPLIES&SERVICES 2016-2017 Account No.595200-Professional Services Technical Detailed FY2016 FY2017 Name Description Budget Budget 1 Itron Mv90xi Maintenance&Support software for time of use programs(big consumers of power) Maint.&Support software for regular electric,water&gas meters programs&handheld 2 Itron MVRS devices Maintenance&Support software for entire billing system(aka CIS infinity) 10%(estimate) increase from last yr.This FY Yr upgrading from V2 to V4 in Billing Sys.(required) System 3 Advanced Utilities upgrade cost transferred to IT budget 011.9019.590110.) (All Maintenance agreements are due beginning of the new fiscal year) Account No.596500-Travel FY2016 FY2017 Type Name Budget Budget 1 MV90 Software MV90 training software 500 3,000 2 MVRS Software MVRS training software 500 1,000 $ 1,000 $ 4,000 Account No.596700-Training FY2016 FY2017 Type Name Budget Budget 1 MV90 Software MV90 training software 500 3,000 2 MVRS Software MVRS training software 500 1,000 $ 1,000 $ 4,000 2 of 2 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 7100 - CUSTOMER SERVICE CAPITAL 2016-2017 Account No. 860000- IT Equipment & Software Detailed FY2016 FY2017 Name Description Budget Budget 1 Advance Utility Utility Billing System Upgrade 65,000 65,000 2 Advance Utility Utility Billing System Additional Licenses 67,500 67,500 3 Dell Utility Billing Server Upgrade 10,000 10,000 $ 142,500 $ 142,500 1 of 1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.7200 ENERGY MANAGEMENT A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ - $ (139,230) $ - $ - $ (139,230) $ 139,230 EXPENSES: SALARIES $ 46,582 $ 44,996 $ 47,882 $ 1,300 $ (1,586) $ 2,886 BENEFITS 14,624 14,400 15,926 1,302 (224) 1,526 SUPPLIES/SERVICES 731,500 374,728 735,500 4,000 (356,772) 360,772 TOTAL EXPENSES $ 792,706 $ 434,124 $ 799,308 $ 6,602 $ (358,582) $ 365,184 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Electric Resources Planning and Development Manager 0.10 $ 20,587 $ 20,587 $ - Utilities Customer Service Supervisor 0.25 25,995 27,295 1,300 Overtime - - - Payout(vacation and sick excess hours) Stand-by - - - DEPARTMENT TOTALS 0.35 $ 46,582 $ 47,882 $ 1,300 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 7200-UP Fund Energy Management Department Budget Detail 2016-2017 DEPARTMENT: 055.7200 ENERGY MANAGEMENT A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 450035 Solar Rebate (139,230) (139,230) 139,230 (139,230) (139,230) 139,2 00 SALARIES 501010 Salaries-Regular 38,818 37,497 39,902 1,084 (1,321) 2,405 501012 Salaries-Premium 7,764 7,500 7,980 216 (264) 480 TOTAL SALARIES 46,582 44,996 47,882 1,300 (1,586) 2,886 BENEFITS 502020 Retirement 10,842 10,472 11,278 436 (370) 806 502030 Group Insurance Premiums 3,106 3,279 3,954 848 173 675 502060 Medicare 676 649 694 18 (27) 45 TOTAL BENEFITS 14,624 14,400 15,926 1,302 (224) 1,526 SUPPLIES/SERVICES 520000 Supplies 500 250 500 - (250) 250 596200 Professional Services-Other 30,000 15,000 30,000 - (15,000) 15,000 This is per customer request free of charge which supports Public Benefits Programs(AB1890)Demand has increased. 596500 Travel 1,000 500 5,000 4,000 (500) 4,500 SCAPA and CEC will be more training via SCPPA 596701 Solar/Photovoltaic Rebate 250,000 125,000 250,000 - (125,000) 125,000 Supported by SB1-offer incentives for installing solar/photovoltaic energy systems.The demand for this program is very high with not enough funds to support COV commercial base.High volume of request but is based on what is budgeted 596702 Public Benefit Program Rebate 450,000 233,978 450,000 - (216,022) 216,022 This program is very popular with customers and the demand is very high for the new Fiscal 13/14.This supports COV Public Benefit Programs-AB1890 Res.#7511 TOTAL SUPPLIES/SERVICES 731,500 374,728 735,500 4,000 (356,772) 360,772 TOTAL EXPENDITURES $ 792,706 $ 434,124 799,308 6,602 (358,582) 365,184 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 7200 - ENERGY MANAGEMENT SUPPLIES & SERVICES 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Various Paper, pencils, pens, envelopes 500 500 $ 500 $ 500 Account No.596200-Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 Energy Audits Vendor for Energy audits-Supports Public Benefits Programs- Res.#7511 30,000 30,000 Assembly Bill (AB1890) Requires COV to offer energy audits free of charge per request by customer Having most interest for the fiscal year $ 30,000 $ 30,000 Account No.596500-Travel FY2016 FY2017 Type Name Budget Budget 1 SCPPA, CEC and other industry workshops and meetings 1,000 5,000 $ 1,000 $ 5,000 Account No.596701 -Solar/Photovoltaic Rebate Detailed FY2016 FY2017 Name Description Budget Budget 1 Solar/Photovoltare SB1 mandated by the State in 01/01/08,which 250,000 250,000 requires the City to adopt, implement&finance a solar initiative program for COV Customers. The demand for this program is very high with not enough funds to support large customers request to implement a project. $ 250,000 $ 250,000 1 of 2 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 7200 - ENERGY MANAGEMENT SUPPLIES & SERVICES 2016-2017 Account No.596702-Public Benefit Program Rebate Detailed FY2016 FY2017 Name Description Budget Budget 1 Customer Incentives This offers customers rebates for replacement 450,000 450,000 for lighting, motors&energy efficient equipment. This program is very popular with customers and the demand is very high This supports COV Public Benefits Programs AB1890 Res.#7511 $ 450,000 $ 450,000 2 of 2 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.8000 FIELD OPERATIONS A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SALARIES $ 613,625 $ 582,216 $ 619,666 $ 6,041 $ (31,409) $ 37,450 BENEFITS 190,812 184,715 203,129 12,317 (6,097) 18,414 SUPPLIES/SERVICES 354,412 257,049 380,871 26,459 (97,362) 123,821 TOTAL EXPENSES $ 1,158,849 $ 1,023,981 $ 1,203,666 $ 44,817 $ (134,868) $ 179,685 CAPITAL 217,000 168,770 265,000 48,000 (48,230) 96,230 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Electrical Test Technician,Senior 1.00 $ - $ 126,553 $ 126,553 Electronic Operations Supervisor 0.95 115,834 115,835 1 Metering Technician 2.00 206,507 206,514 7 Substation Technician 1.00 220,991 100,471 (120,520) Overtime 9,491 9,491 Payout(vacation and sick excess hours) 15,000 15,000 Utilities System Operation Premium (USOP) 1,000 1,000 Stand-by 44,802 44,802 - DEPARTMENT TOTALS 4.95 $ 613,625 $ 619,666 $ 6,041 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 8000-L&P Fund Field Operations Department Budget Detail 2016-2017 DEPARTMENT: 055.8000 FIELD OPERATIONS A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments SALARIES 501010 Salaries-Regular 493,647 471,951 498,683 5,036 (21,696) 26,732 Electrical Test Technician,Senior classification change. 501012 Salaries-Premium 110,487 99,024 111,492 1,005 (11,463) 12,468 Union change in standby pay rotation through crew, USOP,vacation&sick excess payout. 501020 Salaries-O.T. 9,491 11,240 9,491 1,749 (1,749)FY2017 Budget based on most recent 26 pay. TOTAL SALARIES 613,625 582,216 619,666 6,041 (31,409) 37,450 BENEFITS 502020 Retirement 126,315 120,851 129,245 2,930 (5,464) 8,394 502030 Group Insurance Premiums 56,552 55,946 64,899 8,347 (606) 8,953 502060 Medicare 7,945 7,919 8,985 1,040 (26) 1,066 TOTAL BENEFITS 190,812 184,715 203,129 12,317 (6,097) 18,414 SUPPLIES/SERVICES 520000 Supplies 10,030 5,240 10,030 - (4,790) 4,790 Replace office equipment over 10 years old 540000 Uniforms 8,039 7,412 9,050 1,011 (627) 1,638 Compliance Arc Flash Hazard Potential 560000 Utilities 51,397 25,698 51,397 - (25,699) 25,699 560010 Utilities-IT 10,340 45 10,340 - (10,295) 10,295 Transferred from IT Budget general Fund 570000 Vehicle Expense 30,900 27,889 34,630 3,730 (3,011) 6,741 Small increase due to rearranging vehicles for more efficient and safe practices. 590000 Repair&Maintenance 206,486 175,865 217,924 11,438 (30,621) 42,059 With aging infrastructure,need to perform proactive maintenance. Expand thermal imaging program and design and implement metering maintenance schedule in Lucitv. Substation/Meterina responsible 590010 Repair&Maintenance IT 12,500 - 12,500 - (12,500) 12,500 Transferred from IT Budget general Fund 596200 Professional Services-Other - - - Doble-Transmission&Distribution Asset Analysis 596700 Training 24,720 14,900 35,000 10,280 (9,820) 20,100 Staff growth,training and knowledge. TOTAL SUPPLIES/SERVICES 354,412 257,049 380,871 26,459 (97,362) 123,821 TOTAL EXPENDITURES 1,158,849 1,023,981 1,203,666 44,817 (134,868) 779,685 CAPITAL 860000 IT Equipment&Software - - - - - - 900000 Capital Outlays 217,000 168,770 265,000 48,000 (48,230) 96,230 Replacement of aging equipment from the 70's. TOTAL CAPITAL 217,000 168,770 265,000 48,000 (48,230) 96,230 1of1 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 8000-FIELD OPERATIONS SUPPLIES&SERVICES 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Janitorial Supplies-floor wax,coffee,napkins,toilet paper,soap,ect. 1,030 1,030 2 TBD Misc.department and office supplies(training binders,dividers,writing utensils,notepads,etc..) 9,000 9,000 (Office chairs over 10 years old,need 10 chairs) $ 10,030 $ 10,030 Account No.540000-Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 Brian Montoya FR Uniforms-LS FR Shirt 4,Layer Shirt 2 Cargo Pant 4, Polo 2,Hat 1,Jacket,Coverall, Rain Geai 1,500 1,660 2 Chris Delgado FR Uniforms-LS FR Shirt 4,Layer Shirt 2 Cargo Pant 4, Polo 2,Hat 1,Jacket,Coverall, Rain Geai 1,500 1,660 3 Jorrie Estrada FR Uniforms-LS FR Shirt 4,Layer Shirt 2 Cargo Pant 4, Polo 2,Hat 1,Jacket,Coverall, Rain Geai 1,500 1,660 4 Mike Hendrickson FR Uniforms-LS FR Shirt 4,Layer Shirt 2 Cargo Pant 4, Polo 2,Hat 1,Jacket,Coverall, Rain Geai 1,500 1,660 5 Don Quiroz FR Uniforms-LS FR Shirt 4,Layer Shirt 2 Cargo Pant 4, Polo 2,Hat 1,Jacket,Coverall, Rain Geai 1,339 1,660 6 Brian Montoya Safety Boots(Boot increase per IBEW) 150 150 7 Chris Delgado Safety Boots(Boot increase per IBEW) 150 150 8 Jorrie Estrada Safety Boots(Boot increase per IBEW) 150 150 9 Mike Hendrickson Safety Boots(Boot increase per IBEW) 150 150 10 Don Quiroz Safety Boots 100 150 Prior Year (Increase per person to comply with Eng Arc Flash Hazard Potential Study) 8,039 9,050 Account No.560000-Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 Trilliant Time of Use(TOU)meter connection charges. 22,660 22,660 2 TBD Fiber Optics 28,737 28,737 $ 51,397 $ 51,397 Account No.560000-Utilities IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Verizon Wireless Telecommunication Charges 10,340 10,340 $ 10,340 $ 10,340 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT& POWER DEPARTMENT 8000- FIELD OPERATIONS SUPPLIES&SERVICES 2016-2017 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Sub Tech Truck L1012 Service&Fuel 4,120 4,200 2 Sub Swat Truck L1009 Service&Fuel 4,120 4,200 3 Sub Van Truck L1010 Service&Fuel 4,120 4,200 4 Sub Cargo Bed Truck L1042 Service&Fuel 4,120 4,200 5 Meter Tech Truck L1028 Service&Fuel 4,120 4,200 6 Meter Tech Large Truck L 1049 Service&Fuel(Added to Fleet for Safety Purposes) 4,200 7 Sub Bucket Truck L1030 Service&Fuel 4,120 4,200 8 Supervisor Truck L1044 Service&Fuel 5,150 4,200 9 Generator L172 515 515 10 Generator L1037 515 515 30,900 34,630 Account No.590000-Repairs&Maintenance I . Detailed FY2016 FY2017 Name Description Budget Budget TBD AVO,Insulation Power Factor,Model#672001,Serial#3396,Annual Certification 824 824 TBD Replacement Safety Items,(Oil Absorbent,Gloves,Glasses, Face Shields,etc..)(SPCC Complianc 5,150 15,000 TBD Doble Power System Simulator,Model#F6150,Serial#60200444,Annual Certification+shipping 1,133 1,133 TBD Fluke 87 III Multimeter Serial#60060935,Annual Certification 206 206 TBD Fluke 87 III Multimeter Serial#61100653,Annual Certification 206 206 TBD Fluke 87 III Multimeter Serial#73650566,Annual Certification 206 206 TBD Fluke 87 III Multimeter Serial#81220192,Annual Certification 206 206 TBD Replacement/Contingency Substation Maintenance Parts 100,000 100,000 TBD Substation Test Equipment Purchase or Rental 20,600 20,600 TBD Vanguard CB Timer Model#CT 7000,Serial#70077,Annual Certification 464 464 TBD Vanguard Ductor,Model#AUTOOHM,Serial#60132,Annual Certification 464 464 TBD Vanguard TTR,Model#ATRT-03A,Serial#19014,Annual Certification 464 464 TBD Vanguard Winding Resistance Tester,Model#WRM-10P,Serial#98022,Annual Certification 464 464 TBD Safety,Hi Voltage Glove Annual Certification(Change to Quarterly for Safety Purposes) 206 1,000 TBD Safety,Hi Voltage Blankets Annual Certification(Change to Quarterly for Safety Purposes) 206 1,000 TBD Safety,Eye Wash Stations Fluid Replacement 2,369 2,369 TBD Altek 20mA Signal Analyzer,Model#234,Annual Certification 258 258 TBD Altek Calibrator Process Volt,Model#235,Annual Certification 258 258 TBD Altek Calibrator Type E,Model#222,Serial#125387,Annual Certification 258 258 TBD Altek Calibrator Type K,Model#222,Serial#125386,Annual Certification 258 258 TBD Altek Calibrator Type RTD,Model#211,Serial#125251,Annual Certification 258 258 TBD Fluke 1520 MegOhmMeter,Serial#80780037,Annual Certification 206 206 TBD Fluke 1520 MegOhmMeter,Serial#80780039,Annual Certification 206 206 TBD Fluke 187 Multimeter,Serial#88690034,Annual Certification 155 155 TBD Fluke 33 Clamp Meter Serial#5095098,Annual Certification 103 103 TBD Fluke 36 Clamp Meter Serial#72659200,Annual Certification 103 103 TBD Fluke 718 100G Pressure Calibrator Serial#8039236,Annual Certification 361 361 TBD Fluke 77 Multimeter Serial#57550960,Annual Certification 103 103 TBD Fluke 80i-400 AC Current Probe Serial#7326 14942,Annual Certification 103 103 2 of 3 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 8000-FIELD OPERATIONS SUPPLIES&SERVICES 2016-2017 TBD Fluke 87 III Multimeter Serial#81220193,Annual Certification 206 206 TBD Fluke 87 III Multimeter Serial#81220194,Annual Certification 206 206 TBD Fluke 87 III Multimeter Serial#81220195,Annual Certification 206 206 TBD Fluke Y8101 AC Current Probe,Annual Certification 103 103 TBD Replacement/Contigency Metering Maintenance Parts 50,000 50,000 TBD Powermate Meter Test Set,Model#330,Annual Certification 927 927 TBD Powermate Meter Test Set,Model#330,Annual Certification 927 927 TBD Radian Model#RM-10-06 Annual Calibration 515 515 TBD Torque Wrench UTICA Annual Calibration 103 103 TBD Dissolved Gas Analysis(DGA)and oil quality test for 30 transformers 10,000 10,000 TBD Petrelli-Substation Support-Crane operation,Building repairs,safety item repairs 7,500 7,500 Prior Year FY2011/12 Approved Budget$208,000(Trend$229,000 at time of budget submittal) 206,486 217,924 Account No.590010-Repairs&Maintenance IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Trimark Associates Yearly Rig Certification 3,500 3,500 2 Kronos TeleStaff System Support 7,500 7,500 3 Stancill Stancil Recording Maintenance 1,500 1,500 $ 12,500 $ 12,500 Account No.596200-Professional Services Other Event FY2016 FY2017 Type Name Budget Budget 1 - - 2 3 Account No.596700-Training Event FY2016 FY2017 Type Name Budget Budget 1 TBD Mike Hendrickson SEL/IR Training 6,180 7,000 2 TBD Jorrie Estrada SEL/IR Training 6,180 7,000 3 TBD Brian Montoya Meter/EUSERC/DG/SOLAR Training 6,180 7,000 4 TBD Chris Delgado Meter/EUSERC/DG/SOLAR Training 6,180 7,000 5 TBD Don Quiroz Hazwoper,OSHA 7,000 Need increased training efforts to meet regulatory best practices&keep pace with changing technology Prior Year APPA RP3,NERC/WECC,CPUC,OSHA, EUSERC,SCPPA,AQMD,SCE,SEL Prior Year $ 24,720 $ 35,000 3 of 3 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT& POWER DEPARTMENT 8000 - FIELD OPERATIONS CAPITAL 2016-2017 Account No.900000-Capital Outlays Detailed FY2016 FY2017 Description Budget Budget Time of Use Revenue Meter Upgade 2G to 4G (security issues&no future support for 2G,ability to disconnect single phase meters remotely and can transmit gas&water 1 meter signal for remote reads) 100,000 125,000 2 Spare 66kV circuit breaker parts-Must have spare parts in case of failure. 10,000 10,000 Spare Capacitors and fuses- Experienced capacitor issues due to failure and avian 3 interruptions 10,000 10,000 4 Replace portable meter tester/analyzer&bench tester(obtained new quote) 35,000 40,000 Substation Yard Replacement Lights-Safety issues and weather breaking down 5 fasteners 5,000 5,000 SF6 Gas Leak Detection IR Camera(to proactively detect leaks(Aliso Canyon) 50,000 6 Metering truck. Current truck does not meet DOT requirements. 50,000 - Substation grounding improvements& rock replacement(Safety per ground grid 7 study) 7,000 25,000 Continuation of block wall from FS/City Apartments to surround Leonis Sub(to prevent 8 theft and sabotage) - $217,000 $265,000 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.8100 SYSTEM DISPATCH A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SALARIES $ 1,268,431 $ 1,168,104 $ 1,314,058 $ 45,627 $ (100,327) $ 145,954 BENEFITS 340,938 323,833 415,639 74,701 (17,105) 91,806 SUPPLIES/SERVICES 511,639 437,579 516,409 4,770 (74,060) 78,830 TOTAL EXPENSES $ 2,121,008 $ 1,929,516 $ 2,246,106 $ 125,098 $ (191,492) $ 316,590 CAPITAL - - 65,000 65,000 65,000 Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Electric Operator 3.40 $ 350,963 $ 355,057 $ 4,094 Electrical Engineer 1.00 - 122,080 122,080 Utilities Dispatcher 3.40 410,725 410,699 (26) Utilities Dispatcher,Cover 1.00 - 110,742 110,742 Utilities Dispatcher,Senior 0.00 116,274 - (116,274) Utilities Operations Manager 0.85 125,969 125,980 11 Overtime 175,000 100,000 (75,000) Payout(vacation and sick excess hours) 40,000 40,000 Utilities System Operation Premium 1,000 1,000 Stand-by 48,500 48,500 - DEPARTMENT TOTALS 9.65 $ 1,268,431 $ 1,314,058 $ 45,627 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 8100-L&P Fund System Dispatch Department Budqet Detail 2016-2017 DEPARTMENT: - 055.8100 SYSTEM DISPATCH A B C C-A B-A C-B FY2016 FY2016 I FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments SALARIES 501010 Salaries-Regular 942,945 825,745 1,053,556 110,611 (117,200) 227,811 Initial Budget cost of living and merit increase has not be proposed.Electrical Engineer dept change 501012 Salary Premium 150,486 170,639 160,502 10,016 20,153 (10,137)Union change in standby pay rotation through crew,USOP, vacation&sick excess payout. 501020 Salaries-O.T. 175,000 171,720 100,000 (75,000) (3,280) (71,720)Includes built in rotating shift OT for 24/7 coverage,monthly staff safety training,emergency response and time off coverage. Based on FY variance projection TOTAL SALARIES 1,268,431 1,168,104 1,314,058 45,627 (100,327) 145,954 BENEFITS 502020 Retirement 233,383 220,417 277,335 43,952 (12,966) 56,918 502030 Group Insurance Premiums 96,010 91,563 119,250 23,240 (4,447) 27,687 502060 Medicare 11,545 11,853 19,054 7,509 308 7,201 TOTAL BENEFITS 340,938 323,833 415,639 74,701 (17,105) 91,806 SUPPLIES/SERVICES 520000 Supplies 21,630 15,393 21,630 - (6,237) 6,237 Replace Office Equipment utilized 24/7 520010 Supplies-IT 20,600 10,300 20,600 - (10,300) 10,300 Use by LPD 540000 Uniforms 17,509 10,065 19,050 1,541 (7,444) 8,985 Required PPE per engineering Arc Flash report Staff safety priority 560000 Utilities 20,600 10,300 20,600 - (10,300) 10,300 560010 Utilities-IT - 276 - - 276 (276) 570000 Vehicle Expense 46,900 42,778 46,900 - (4,122) 4,122 Surplus COVPD&budgeting for 1004&233 L&P Admin Vehicles. Older&High Mileage fleet from 1990's and early 2000 require more maintenance. Change over surplus/used 590000 Repairs&Maintenance - 643 - - 643 (643) 590110 Repairs&Maintenance IT 7,800 - 2,000 (5,800) (7,800) 2,000 Transferred from IT Budget General Fund 590020 Station Maintenance 20,765 10,382 25,744 4,979 (10,382) 15,361 Vendor and equipment costs increase. 595200 Professional Services-Technical 15,450 7,725 20,000 4,550 (7,725) 12,275 Safety program based on current applicable regulatory mandates. 596200 Professional Services-Other 269,942 293,524 269,942 - 23,582 (23,582)Security Guard Services due to NERC CIP,multiple break ins,NERC alert, dispatcher focus&VS gate forced entry 596550 Memberships 443 221 443 - (221) 221 596700 Training 70,000 35,971 69,500 (500) (34,029) 33,529 Includes required NERC,WECC,OSHA,State,SCPPA, Staff,Joint Utility,In City,MSDS,CDPH training/certification. Systems Supervisor NERC/WECC TOTAL SUPPLIES/SERVICES 511,639 437,579 516,409 4,770 (74,060) 78,830 TOTAL EXPENDITURES 2,121,008 1,929,516 2,246,106 125,098 (191,492) 316,590 CAPITAL 860000 Capital Outlay IT - - - - - - IT department budgeting this line item. 900000 Capital Outlays 65,000 65,000 65,000 TOTAL CAPITAL 65,000 65,000 65,000 1 of PROPOSED BUDGET CITY OF VERNON FUND 055-LIGHT&POWER DEPARTMENT 8100-SYSTEM DISPATCH SUPPLIES&SERVICES 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Misc.department and office supplies(training binders,dividers,writing utensils,notepads, 7,210 7,210 pocket,calculators,electrical tags,PUD forms,time stamps and other miscellaneous items - - of this nature. - - 2 TBD Janitorial Supplies-floor wax,coffee,napkins,toilet paper,soap,etc.. 8,240 8,240 3 TBD Control Room Supplies used 24 hrs per day 365 days per year 6,180 6,180 $ 21,630 $ 21,630 Account No.520010-Supplies IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Fry's Electronic Miscellaneous computer items(Fry's Electric)Connectors;cables;electrical components Turbines; 20,600 20,600 scada cards;Scada RTU connectors;PLC connectors;batteries;low voltage wire;low voltage adaptors;laptop batteries for field pc;radio components for electrical radio system;monitors; turbine crt's;specialized ink or printers for turbines and scada;security camera accessories. $ 20,600 $ 20,600 Account No.540000-Uniforms i Detailed FY2016 FY2017 Name Description Budget Budget Fandino,C FR Uniforms-LS FR Shirt 2,Layer Shirt 2 Cargo Pant 4,Polo 2,Hat 1,Jacket,Coverall,Rain Gear 1,339 1,400 Dusenberry,T FR Uniforms-LS FR Shirt 2,Layer Shirt 2 Cargo Pant 4,Polo 2,Hat 1,Jacket,Coverall,Rain Gear 1,339 1,400 Operations MGR FR Uniforms-LS FR Shirt 2,Layer Shirt 2 Cargo Pant 4,Polo 2,Hat 1,Jacket,Coverall,Rain Gear 1,339 1,400 Carram,W FR Uniforms-LS FR Shirt 2,Layer Shirt 2 Cargo Pant 4,Polo 2,Hat 1,Jacket,Coverall,Rain Gear 1,133 1,400 Flores,F FR Uniforms-LS FR Shirt 2,Layer Shirt 2 Cargo Pant 4,Polo 2,Hat 1,Jacket,Coverall,Rain Gear 1,133 1,400 Hinojos,A FR Uniforms-LS FR Shirt 2,Layer Shirt 2 Cargo Pant 4,Polo 2,Hat 1,Jacket,Coverall,Rain Gear 1,133 1,400 Keye,P FR Uniforms-LS FR Shirt 2,Layer Shirt 2 Cargo Pant 4,Polo 2,Hat 1,Jacket,Coverall,Rain Gear 1,133 1,400 Dacey,J. FR Uniforms-LS FR Shirt 2,Layer Shirt 2 Cargo Pant 4,Polo 2,Hat 1,Jacket,Coverall,Rain Gear 1,442 1,400 Recano,R FR Uniforms-LS FR Shirt 4,Cargo Pant 4,Hat 4,Coverall,Jacket,Layer Shirt,Coverall,Rain Gear 1,442 1,550 Tolmasoff,G FR Uniforms-LS FR Shirt 4,Cargo Pant 4,Hat 4,Coverall,Jacket,Layer Shirt,Coverall,Rain Gear 1,442 1,550 Blue,J FR Uniforms-LS FR Shirt 4,Cargo Pant 4,Hat 4,Coverall,Jacket,Layer Shirt,Coverall,Rain Gear 1,442 1,550 Simpson,J FR Uniforms-LS FR Shirt 4,Cargo Pant 4,Hat 4,Coverall,Jacket,Layer Shirt,Coverall,Rain Gear 1,442 1,550 Fandino,C Steel Toe Safety Boots 150 100 Dusenberry,T Steel Toe Safety Boots 150 100 Operations MGR Steel Toe Safety Boots 100 100 Carram,W Steel Toe Safety Boots 150 150 Flores,F Steel Toe Safety Boots 150 150 Hinojos,A Steel Toe Safety Boots 150 150 Keye,P Steel Toe Safety Boots 150 150 Recano,R Steel Toe Safety Boots 150 150 Dacey,J. Steel Toe Safety Boots 150 150 Tolmasoff,G Steel Toe Safety Boots 150 150 Blue,J Steel Toe Safety Boots 150 150 Simpson,J Steel Toe Safety Boots 150 150 Prior Year $ 17,509 $ 19,050 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 055-LIGHT&POWER DEPARTMENT 8100-SYSTEM DISPATCH SUPPLIES&SERVICES 2016-2017 Account No.560000-Utilities Detailed FY2016 FY2017 Description Budget Budget Services listed below: 20,600 20,600 ISO Phone Line to schedule real time bulk electric power on the system. AT&T Mobility Verizon Wireless Backup Data Card(ISO) Backup Hot Spot AT&T services for accounts listed below: AT&T CD Cove-Backup for ISO AT&T 323-583-7147 907 6-Dig Alert At Petrelli Building AT&T 323-583-7149-Petrelli USA Ticket Master AT&T 323-585-3119-Control Center Fax Line AT&T 323-585-4198-L&P SCADA Modem AT&T 323-589-9490-Petrelli Fax Machine Sprint services for accounts listed below: SPRINT 624511650-LD-Dig Alert/Petrelli USA SPRINT 624513620-LD-Petrelli Fax Machine SCE 2-02-386-8433 City Signal @ Garfield Control Center Two Way Radio, Annual Maint.Contract $ 20,600 $ 20,600 Account No.570000-Vehicle Expenses Detailed FY2016 FY2017 Vehicle Description Budget Budget 1 L1004 Service&Fuel 6,180 6,180 2 L1023 Service&Fuel 3,200 3,200 3 L1032 Service&Fuel 6,180 6,180 4 L1041 Service&Fuel 6,180 6,180 5 L233 Service&Fuel 6,180 3,200 6 L1008 Service&Fuel 6,180 6,180 8 L1021 Service&Fuel 3,200 3,200 9 L175 Service&Fuel 3,200 3,200 10 L1025 PD Service&Fuel 3,200 1,600 11 L1019 PD Service&Fuel 3,200 1,600 12 L176 Service&Fuel(Added to Fleet) 6,180 $ 46,900 $ 46,900 -W Account No.590110-Rapairs&Maintenance IT Detailed FY2016 FY2017 Description Budget Budget 1 Stancil Solutions Stancil Recording Maintenance 7,800 2,000 $ 7,800 $ 2,000 2 of 3 PROPOSED BUDGET CITY OF VERNON FUND 055-LIGHT&POWER DEPARTMENT 8100-SYSTEM DISPATCH SUPPLIES&SERVICES 2016-2017 Account No.590020-Station Maintenance Detailed FY2016 FY2017 Description Budget Budget 1 Replacement tools and supplies for standby truck,flashlight,safety equipment,gloves(New Vehicle) 10,300 15,000 2 Substation janitorial maintenance items-weed killer,etc.. 5,665 5,665 3 Hot stick certification/testing 2,060 2,060 4 Eagle Gas Detector,Serial#ElZ046&#E22011 Annual Certification 721 1,000 5 Safety,Hi Voltage Glove Annual Certification 1,236 1,236 6 Switching suit maintenance 515 515 7 Time Clock Service 268 268 $ 20,765 $ 25,744 Account No.595200-Professional Services Technical rr Detailed FY2016 FY2017 Name Description Budget Budget 1 OSHA/State 3rd party assessment of regulatory compliance 15,450 20,000 $ 15,450 $ 20,000 Account No.595200-Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 Absolute Security Security Guard Services 269,942 269,942 $ 269,942 $ 269,942 Account No.596550-Memberships 611111111111111. ' Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD APPA ANNUAL DUES 185 185 2 TBD Facility Manager Subscription 258 258 $ 443 $ 443 Account No.596700-Training Event FY2016 FY2017 Type Name Budget Budget 1 TBD Electrical Operator Training/Certification 11,000 11,000 2 TBD D2 Distribution System Operator Training/Renewal 6,000 6,000 3 TBD APPA/EUCI Training/Publications 9,500 9,500 4 TBD Electric System Dispatcher Training 20,000 20,000 5 TBD Personnel Software Training/Workforce Development 2,500 2,000 6 TBD SCPPA Conference&Training 7,500 7,500 7 TBD Joint Utility Training 5,000 5,000 8 TBD confined space,First Aid,CPR,Extinguisher 1,000 1,000 9 TBD OSHA Safety ComplianceTraining 7,500 7,500 Increased safety regulation and workforce development $ 70,000 $ 69,500 3of3 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 8100 - SYSTEM DISPATCH CAPITAL 2016-2017 DEPARTMENT: 055.8100 SYSTEM DISPATCH Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Replace emergency response vehicle 1032 as it has gone 50,000 over 250,000 miles 2 TBD Spill&Traffic control response trailer 15,000 3 4 5 6 $ - $ 65,000 1 of 1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.8200 GENERATION STATION A A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SALARIES $ 119,626 $ 110,036 $ 119,630 $ 31,630 $ (9,590) $ 9,594 BENEFITS 41,332 38,132 43,282 47,787 (3,200) 5,150 SUPPLIES/SERVICES 152,413 81,440 154,071 1,658 (70,973) 72,631 TOTAL EXPENSES $ 313,371 $ 229,608 $ 316,983 $ 81,075 $ (83,763) $ 87,375 CAPITAL 72,100 36,050 25,000 (47,100) (36,050) (11,050) Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Power Plant Operator 1.00 $ 110,827 $ 110,831 $ 4 Overtime 6,589 6,589 - Payout(vacation and sick excess hours) 1,210 1,210 Utilities System Operation Premium(USOP) 1,000 1,000 Stand-by - - - DEPARTMENT TOTALS 1.00 $ 119,626 $ 119,630 $ 4 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 8200-L&P Fund Generation Station A Department Budget Detail 2016-2017 DEPARTMENT: _ 055.8200 GENERATION STATION A A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments SALARIES 501010 Salaries-Regular 90,981 86,733 90,984 3 (4,248) 4,251 FY2015 Budget is Base Salary with cost of living and merit increase. 501012 Salary Premium 22,056 20,009 22,057 24,353 (2,047) 2,048 Union change in standby pay rotation through crew,USOP,vacation&sick excess payout. 501020 Salaries-O.T. 6,589 3,294 6,589 7,275 (3,295) 3,295 TOTAL SALARIES 119,626 110,036 119,630 31,630 (9,590) 9,594 BENEFITS 502020 Retirement 25,759 20,479 26,067 28,780 (5,280) 5,588 502030 Group Insurance Premiums 13,900 13,162 15,480 17,091 (738) 2,318 502060 Medicare 1,673 1,281 1,735 1,916 (392) 454 502080 Claims Expenditure-Worker's Comp - 3,210 - - 3,210 (3,210) TOTAL BENEFITS 41,332 38,132 43,282 47,787 (3,200) 5,150 SUPPLIES/SERVICES 500230 Generation Expense CH2MHILL,AOMD,for regulatory 51,500 31,521 51,500 - (19,979) 19,979 emission fees 520000 Supplies 1,545 6,311 1,545 - 4,766 (4,766)Office equipment and supplies 540000 Uniforms 1,592 796 1,700 108 (796) 904 Compliance due to ARC Flash Hazard 560010 Utilities IT 15,206 15,206 - (15,206) 15,206 Transferred from IT budget General Fund 570000 Vehicle Expense 4,120 2,731 4,120 (1,390) 1,390 Power Plant Operator Joe Pereyra Vehicle L1033 590000 Repairs&Maintenance - 728 - 728 (728) 596200 Professional Services-Other 78,450 39,353 80,000 1,550 (39,097) 40,647 This account can have a large variable. Equipment failures hard to predict. As vendor/equip costs increase,budget must reflect Only parts exist for Hgonzales units in Aberdeen Scotland with Rolls/Wood TOTAL SUPPLIES/SEVICES 152,413 81,440 154,071 1,658 (70,973) 72,631 TOTAL EXPENDITURES 313,371 229,608 316,983 81,075 (83,763) 87,375 CAPITAL 900000 Capital Outlays 72,100 36,050 25,000 (47,100) (36,050) (11,050)Turbine replacement parts for as needed basis.No change TOTAL CAPITAL 72,100 36,050 25,000 (47,100) (36,050) (11,050) PROPOSED BUDGET CITY OF VERNON FUND 055-LIGHT&POWER DEPARTMENT 8200-GENERATION STATION A SUPPLIES&SERVICES 2016-2017 Account No.500230-Generation Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 AQMD AQMD PERMITS&FEES 10,300 10,300 2 Regulatory Environmental Compliance PERMIT&FEES 5,150 10,300 3 5,150 - 4 CH2MHILL CHM2 Hill(Green House Reports) 20,600 20,600 5 CARE; California Air Resources Board for managing AB32 programs. 10,300 10,300 $ 51,500 $ 51,500 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Various Misc.department and office supplies(printer paper binders,dividers,writing utensils 1,545 1,545 $ 1,545 $ 15545 Account No.540000-Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 Jose Pereyra Uniforms-4 FR Shirts,4 FR Pants,FR Jacket,FR Coverall,FR Layer,FR Rain Gear 1,442 1,550 2 Jose Pereyra Safety Boots 150 150 $ 1,592 $ 15700 Account No.560010-Utilities IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Verizon Wireless Utility Meters(Trillian Lines) 15,206 15,206 $ 15,206 $ 15,206 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 3 Plant Truck Truck L1033 Service&Fuel 4,120 4,120 $ 45120 $ 45120 1 of 2 PROPOSED BUDGET CITY OF VERNON FUND 055-LIGHT&POWER DEPARTMENT 8200-GENERATION STATION A SUPPLIES&SERVICES 2016-2017 Account No.596200-Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 Northwest Service Contract(Turbine Maintenance) 28,000 65,000 35,000 2 DC Systems Service Contract(HGonzales ISO Metering) 5,150 5,000 3 ABB Inc. (HGonzales Gas Skid Meter) 5,150 5,000 4 D&D HGonzales Air Conditioner Service Contract 3,090 3,000 5 Marx Brothers HGonzales Fire System Service Contract 2,060 2,000 $ 78,450 $ 80,000 2of2 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 8200 - GENERATION STATION A CAPITAL 2016-2017 Account No. 900000- Capital Outlays Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Turbine replacement parts for as needed basis 72,100 25,000 Parts Very Scarce & ship from Aberdeen Scotland & need TCSD replacement cards per turbine controls upgrade $ 72,100 $ 25,000 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.8300 ELECTRICAL TRANSMISSION &DISTRIBUTION A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES 550,000 573,893 550,000 23,893 (23,893) EXPENSES: SUPPLIES/SERVICES 6,911,487 7,168,190 6,747,961 (163,526) 256,703 (420,229) TOTAL EXPENSES 6,911,487 7,168,190 6,747,961 (163,526) 256,703 (420,229) CAPITAL - 55,528 - 55,528 (55,528) PROPOSED BUDGET CITY OF VERNON Fund 055 Department 8300-UP Fund Electrical Transmission&Distribution Department Budget Detail 2016-2017 DEPARTMENT: 055.8300 ELECTRICAL TRANSMISSION&DISTRIBUTION A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 450330 Damaged Property 200,000 97,213 150,000 (50,000) (102,787) 52,787 461900 District Service Change or Miscellaneous 350,000 476,680 400,000 50,000 126,680 (76,680) TOTAL REVENUES 550,000 573,893 550,000 23,893 (23,893) SUPPLIES/SERVICES 520000 Supplies 11,000 5,500 11,000 (5,500) 5,500 560000 Utilities 7,000 5,842 7,000 (1,158) 1,158 570000 Vehicle Expense 70,000 60,560 70,000 (9,440) 9,440 590000 Repair&Maintenance 6,823,487 7,089,977 6,659,961 (163,526) 266,490 (430,016) Petrelli Services 596200 Professional Services-Other - 6,311 - 6,311 (6,311) 596700 Training - - - - TOTAL SUPPLIES/SERVICES 6,911,487 7,168,190 6,747,961 (163,526) 256,703 (420,229) TOTAL EXPENDITURES 6,911,487 7,168,190 6,747,961 (163,526) 256,703 (420,229) proof (6,361,487) (6,594,297) (6,197,961) 163,526 (232,810) 396,336 CAPITAL 900000 Capital Outlays 55,528 - 55,528 (55,528)All capital improvement project related to bond financing will be assign to 055.9100.900000 (Engineering Dept.) TOTAL CAPITAL 55,528 55,528 (55,528) PROPOSED BUDGET CITY OF VERNON FUND 055-LIGHT&POWER DEPARTMENT 8300-ELECTRICALTRANSMISSION&DISTRIBUTION SUPPLIES&SERVICES 2016-2017 1 Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Miscellaneous department(Quill)supplies,paper,pens,ink,staples,clips,binders,fed ex,and other misc. 10,000 10,000 Air Gas: Cylinders for Welders,and Circuit air Breakers,Nitrogen. Arrowhead water Field Crews and jugs for Service trucks. Burlington Safety Laboratory,Rubber glove,insulator blanket,and misc.PPE Safety Equipment replacement. CDW Direct Specialized ink for Engineer plotter. Orkin Pest Control:Petrelli Building service. LSS Lab Safety Services: Transformer oil,and hazardous material testing 2 DigAlert Underground Service Alert 1,000 1,000 $ 11,000 $ 11,000 Account No.560000-Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 AT&T Phone service for Petrelli Building Fax for Dig Alert Service 7,000 7,000 $ 7,000 $ 7,000 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Vehicle Fuel 60,000 60,000 Vehicle Maintenance for vehicle lease,service truck,Altec 4065 Derrick,Altec D947 Derrick,Altec AM 55 Bucket,AltecA77TE93 Bucket,Altec AM 900 bucket,Altec35 ton crane,Altec TA 50 bucket,substation truck, 2 Ingersol Rand 125,Arrowboard,300 KW generator,25 KW generator,Lite Tower,CAT R80 forklift 10,000 10,000 $ 70,000 $ 70,000 Account No.590000-Repair&Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 Petrelli Maintenance and repairs for various field equipment(2 Troubleman crews) 620,317 605,451 2 Petrelli ON/OFF Orders,repairs for service drops,customer panels,field equipment for electric service 620,317 605,451 3 Petrelli Maintenance mechanic for leased truck service 620,317 605,451 4 Petrelli Inspections:GO 095 and 128 inspection. Underground vaults and customer facilities 620,317 605,451 5 Petrelli Yearly labor for Warehouse,restocking,equipment outlay,and Eden Support 620,317 605,451 6 Petrelli Yearly On call hours for Petrelli crews(Stand-by pay)for emergency call outs. 620,317 605,451 7 Petrelli General Manager,Foreman,admin support teams for various eminence projects and supervision 620,317 605,451 8 Petrelli (2)Secretary for yearly support for billing,purchasing,invoicing,and work order management 620,317 605,451 9 Petrelli General eminence crew for repairs to facilities,substation equipment,offices and General services 620,317 605,451 10 Lifecom Lifecom:Service and calibration for test set,boot meter infer red scope and misc.equip. 620,317 605,451 11 Weidmann Weidmann Electrical technology:Transformer repairs to small KVA transformers. 620,317 605,451 $6,823,487 $6,6595961 1 of 1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.8400 BUILDING MAINTENANCE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) EXPENSES: SUPPLIES/SERVICES 88,511 67,132 88,511 (21,379) 21,379 TOTAL EXPENSES 88,511 67,132 88,511 - (21,379) 21,379 CAPITAL 13,000 6,500 - (13,000) (6,500) (6,500) PROPOSED BUDGET CITY OF VERNON Fund 055 Department 8400-L&P Fund Building Maintenance Department Budget Detail 2016-2017 DEPARTMENT: 055.8400 BUILDING MAINTENANCE A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments EXPENSES: SUPPLIES/SERVICES 520000 Supplies 2,060 2,616 2,060 - 556 (556) 540000 Uniforms - 750 - 750 (750)Power Plant Operator Joe Pereyra 570000 Vehicle Expense 3,090 3,641 3,090 - 551 (551) 590000 Repair&Maintenance 45,300 36,870 45,300 - (8,430) 8,430 OSHA/State compliance and safety 596200 Professional Services-Other 38,061 23,255 38,061 (14,806) 14,806 Plumbimg,electrical,A/C and facility maintenance TOALSUPPLIES/SERVICES 88,511 67,132 88,511 (21,379) 21,379 TOTAL EXPENDITURES 88,511 67,132 88,511 (21,379) 21,379 CAPITAL 900000 Capital Outlays 13,000 6,500 (13,000) (6,500) (6,500)COV and industry incidents&safety requirements. TOTAL CAPITAL 13,000 6,500 (13,000) (6,500) (6,500) PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 8400- BUILDING MAINTENANCE SUPPLIES&SERVICES 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Varoius Janitorial Supplies-floor wax,coffee,napkins,toilet paper,soap,etc.. 2,060 2,060 Misc.department and office supplies(training binders,dividers,writing utensils, notepads,etc..) $ 2,060 $ 2,060 Account No.540000-Uniforms Detailed FY2016 FY2017 Name Description Budget Budget Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Forklift Forklift Fuel and Service L182 2,060 2,060 2 Cart Electric Cart Service L411 1,030 1,030 $ 3,090 $ 3,090 Account No.590000-Repair&Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 Varoius Miscellaneous maintenance items (Based on actuals and increased regulations) 35,000 35,000 2 Varoius Plant Safety Equipment Replacement/Maintenance items 10,300 10,300 Increase due to changing OSHA compliance regulations Smoke detectors tied to SCADA alarm system (Based on insurance company 10,000 10,000 3 Varoius recommendation) $ 45,300 $ 45,300 Account No.596200-Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Building Air Conditioner Service Contract 6,180 6,180 2 TBD Elevator Maintenance Service Contract 1,545 1,545 3 TBD Crane Maintenance Service Contract 10,300 10,300 4 TBD Trash Removal Service Contract 8,500 8,500 5 Common Area Janitorial Service(Common Area Services) 10,300 10,300 6 TBD Backf low Device Testing 206 206 7 TBD Electronic Door Lock Service Contract 1,030 1,030 $ 38,061 $ 38,061 1of1 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 8400 - BUILDING MAINTENANCE CAPITAL 2016-2017 Account No.900000-Capital Outlays Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Replace Cracked Windows&Tint South Facing @ Station A& Leonis 2 TBD Replace Roof @ Gas Warehouse&City Storage Facility 3 TBD Landscape Exterior Building to replace uprooted trees 4 TBD Paint Exterior Building Station A& Leonis Control Room 5 TBD Install Bollard System to protect Sub from TC&Sabotage 6 TBD Remove Obsolete Battery System to create additonal office space 7 TBD Interior& Exterior LED safety&security lighting replacement 8 TBD Elevator Upgrade 9 TBD Upgrade Remodel Restroom facility from 1930's Leonis/Station A 13,000 10 TBD Dept. Emergency Operations Center/Backup Control Room $ 13,000 $ - PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.9000 ADMINISTRATION A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 32,184,838 $ 17,540,733 $ 38,654,671 $ 6,469,833 $ (14,644,105) $ 21,113,938 EXPENSES: SALARIES $ 782,531 $ 718,881 $ 787,031 $ 4,500 $ (63,650) $ 68,150 BENEFITS 280,111 254,998 312,146 32,035 (25,113) 57,148 SUPPLIES/SERVICES 73,720,159 71,566,355 64,352,365 (9,367,794) (2,153,804) (7,213,990) TOTAL EXPENSES $ 74,782,801 $ 72,540,235 $ 65,451,542 $ (9,331,259) $ (2,242,566) $ (7,088,693) CAPITAL 550,351 471,422 453,351 (97,000) (78,929) (18,071) Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Account Clerk 1.00 $ 41,076 $ 47,452 $ 6,376 Account Clerk,Senior 1.00 64,661 64,663 2 Administrative Secretary 1.00 64,661 64,656 (5) Business&Account Supervisor 1.00 106,833 106,836 3 Director of Gas and Electric 1.00 266,157 266,160 3 Utilities Compliance Analyst 1.00 82,527 82,524 (3) Utilities Compliance Manager 1.00 134,433 134,429 (4) Overtime 6,196 4,324 (1,872) Payout(vacation and sick excess hours) 15,987 15,987 Stand-by - - - DEPARTMENT TOTALS 7.00 $ 782,531 $ 787,031 $ 4,500 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 9000-L&P Fund Administration Department Budget Detail 2016-2017 DEPARTMENT: 055.9000 ADMINISTRATION A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 9200 450027 Natural Gas Sales-Prepaid/COV Retail 5,528,000 12,151,690 4,557,000 (971,000) 6,623,690 (7,594,690) 9200 450028 Natural Gas Sales-Prepaid/SMUD Whole: 14,972,000 5,451,106 12,013,000 (2,959,000) (9,520,894) 6,561,894 466900 Miscellaneous Revenue 3,500 1,750 3,500 - (1,750) 1,750 469300 Reserve Applied 13,165,175 - 20,000,000 6,834,825 (13,165,175) 20,000,000 600105 Proceeds From Long-Term Debt - - - - - - 600910 Other Income 50,000 480,558 50,000 - 430,558 (430,558)Sell of NOX credit. 610110 Investment Income(Loss) (1,965,008) (908,040) 1,300,000 3,265,008 1,056,968 2,208,040 610170 Unrealized Gain(Loss)on Investments (300,000) (367,503) - 300,000 (67,503) 367,503 690100 Operating Transfer In 731,171 731,171 731,171 - Transfer-in from Gas Fund TOTAL REVENUES $ 32,184,838 $ 17,540,733 $ 38,654,671 $ 6,469,833 $ (14,644,105) $21,113,938 SALARIES 501010 Salaries-Regular $ 744,351 $ 692,061 $ 747,036 $ 2,685 $ (52,290) $ 54,975 501012 Salaries-Premium 31,984 23,496 35,671 3,687 (8,488) 12,175 Union change in standby pay rotation through crew,USOP,vacation&sick excess payout. 501020 Salaries-O.T. 6,196 3,325 4,324 (1,872) (2,871) 999 FY2016 Budget based on most recent 26 pay. TOTAL SALARIES 782,531 718,881 787,031 4,500 (63,650) 68,150 BENEFITS 502020 Retirement 196,261 174,327 199,873 3,612 (21,934) 25,546 Employer contribution rate for FY 2016 is Misc- 18.568 502030 Group Insurance Premiums 72,824 70,558 100,861 28,037 (2,266) 30,303 502060 Medicare 11,026 10,113 11,412 386 (913) 1,299 Medicare tax was calculated using gross wages. TOTAL BENEFITS 280,111 254,998 312,146 32,035 (25,113) 57,148 SUPPLIES/SERVICES 503035 Insurance Premiums(Property) 330,000 165,000 335,000 5,000 (165,000) 170,000 Based on Property Insurance Analysis& consistent with the 5 year projection 520000 Supplies 32,757 19,842 32,157 (600) (12,915) 12,315 Emergency meals and water 520010 Supplies IT - 50,000 50,000 - 50,000 Transferred from IT Budget General Fund 530010 In-Lieu Taxes 4,431,800 4,628,880 4,565,144 133,344 197,080 (63,736)3%of Retail sales paid as franchise tax to General Fund.Resource Department Analysis 530015 Real Estate Taxes 13,333 6,666 13,333 - (6,667) 6,667 2/3 Property tax on Kern county Wind Farm 550000 Advertisement&Promotions - - 100,000 100,000 - 100,000 Rebranding&promote APPA RP3 Diamond Award 560000 Utilities 431,393 215,697 440,021 8,628 (215,696) 224,324 Annual street light electrical expense.Consistent with 5 year projection 560010 Utilities IT 14,208 - 14,208 - (14,208) 14,208 Transferred from IT Budget General Fund 570000 Vehicle Expense 6,000 7,681 7,500 1,500 1,681 (181)L1047-Chevrolet Trailblazer,1008-Chevy Tahoe,176 Dodge Charger 590000 Repair&Maintenance 1,000 16,317 1,000 - 15,317 (15,317) 590110 Repair&Maintenance-IT 1,000 500 500 (500) (500) 0 Typewriter annual service 592010 Bank Service Fees 24,000 18,639 24,000 - (5,362) 5,362 Bank of New York admin and wire processing fees. 592013 Investment Fees 101,000 365,153 101,000 - 264,153 (264,153)Future Investment Management Services by Morgan Stanley Escrow,PFM&Grant Thorton, LLP-2015A Bond Issuance closed on July 2015. 593200 Professional Services-Legal 270,000 152,981 210,000 (60,000) (117,019) 57,019 Latham,Kahn Scares,Spiegel,Lewis Brisbois and Orrick legal services. Removed Nielsen Merksamer Parrinello services. 595200 Professional Services-Technical 65,000 322,075 65,000 - 257,075 (257,075)Macias Gini&O'Connell's&Standard/Poors Services 596200 Professional Services-Other 422,600 362,118 418,000 (4,600) (60,482) 55,882 Port Canaveral,CH2MHILL,Common Area, RMG services and NERC Compliance,SCPPA 596500 Travel 75,600 43,277 75,600 - (32,323) 32,323 NERC/WECC Conference and CUG/CIPUG, CPUC,CUEA,SCPPA,CEC,SMUA,APPA, SCAQMD,COTP 596550 Memberships 103,806 107,388 125,174 21,368 3,582 17,786 California Municipal Association&Climate Registry,APPA,ICE,CUEA,APPA,RMG 596600 Books&Publications 7,000 15,001 10,000 3,000 8,001 (5,001)Various publication subscription:APPA,Eastern Group Publications,Thomson Routers 596700 Training 50,500 32,145 60,000 9,500 (18,355) 27,855 Nerc Compliance,Performance Fred Pryor, SCAPPA,APPA,WECC. 599800 General City Administrative Service Exp 3,018,677 3,018,677 3,018,677 - 0 (0)Transfer to general fund. Resource Department Analysis 760005 Principal on Bonds 33,355,000 32,970,000 23,475,000 (9,880,000) (385,000) (9,495,000)2008,2009,Series A 760010 Interest on Bonds 20,917,737 19,050,571 20,770,161 (147,576) (1,867,166) 1,719,590 2008,2009 and 2012 A,B Series 790100 Operating Transfer Out 10,047,748 10,047,748 10,440,890 393,142 (0) 393,142 Based on 5 year projection.Resource Department Analysis. TOTAL SUPPLIES/SERVICES 73,720,159 71,566,355 64,352,365 (9,367,794) (2,153,804) (7,213,990) TOTAL EXPENDITURES $ 74,782,801 $ 72,540,235 $ 65,451,542 $ (9,331,259) $ (2,242,566) $ (7,088,693) CAPITAL 860000 IT Equipment&Software - - - - - - Budget Transferred to IT Department 011.9019 900000 Capital Outlays 550,351 471,422 453,351 (97,000) (78,929) (18,071)City Retained Land Project in Kern County TOTAL CAPITAL 550,351 471,422 453,351 (97,000) (78,929) (18,071) 1 of PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 9000-ADMINISTRATION SUPPLIES&SERVICES 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget Various General office supplies,2 filing cabinets for Doc Control.Also for NERC Compliance 10,000 10,000 1 usage 2 Various Delivery services 1,000 1,000 3 TBD Annual Preliminary Notice 2,987 2,987 4 Various Ink refills,regular robber stamps&custom rubber stamps 300 300 5 600 - 6 TBD 100 Polo Shirts for L&P Staff 4,000 4,000 7 TBD Breakfast and Fruit combo meals for emergency 3,000 3,000 8 TBD MRE Full Meals for Emergency 10,000 10,000 9 TBD 30 cases of water for emergency 870 870 $ 32,757 $ 32,157 Account No.520010-Supplies IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Insight Software Miscellaneous IT Purchases 50,000 $ $ 50,000 Account No.530010-In-Lieu Taxes Detailed FY2016 FY2017 Description Budget Budget 1 3%of Retail sales paid as franchise tax to General Fund. 4,431,800 4,565,144 $ 4,431,800 $ 4,565,144 Account No.503035-Insurance Premiums(Property) Detailed FY2016 FY2017 Description Budget Budget 1 Property Insurance 330,000 335,000 $ 330,000 $ 335,000 Account No.530015-Real Estate Taxes Detailed FY2016 FY2017 Name Description Budget Budget 1 2/3 Property tax on Kern county Wind Farm 13,333 13,333 $ 13,333 $ 13,333 1 of 6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 9000-ADMINISTRATION SUPPLIES&SERVICES 2016-2017 Account No.550000-Advertisement&Promotions Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Rebranding to Vernon Gas&Electric and promote APPA RP3 Diamond Award 100,000 $ - $ 100,000 Account No.560000-Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 Annual Street Light Electrical Expense 431,393 440,021 $ 431,393 $ 440,021 Account No.560000-Utilities IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Verizon Wireless Telecommunication Charges 7,244 7,244 2 AT&T CalNet2 Telecommunication Charges 4,152 4,152 3 AT&T Wireless Telecommunication Charges 2,812 2,812 $ 14,208 $ 14,208 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 L1047 vehicle-Chevrolet Trailblazer,1008-Chevrolet Tahoe and 176-Charger 6,000 7,500 $ 6,000 $ 7,500 Account No.590000-Repair&Maintenance Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Misc.Repairs&Maintenance 1,000 1,000 2 TBD Kitchen new appliances(stove,dishwasher,sink) - - 3 Community Services Kitchen range upgrade and new table 4 TBD New kitchen floor 5 TBD 3rd Floor Kitchen cabinets - - $ 1,000 $ 1,000 2of6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 9000-ADMINISTRATION SUPPLIES&SERVICES 2016-2017 Account No.590110-Repair&Maintenance IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Southwest Service Solutions Maintenance service for 3 typewriters 1,000 500 $ 1,000 $ 500 Account No.592013-Investment Fess Detailed FY2016 FY2017 Name Description Budget Budget 1 Morgan Stanley Escrow&Custody Potential Escrow Services 1,000 1,000 Escrow,Grant Thorton,LLP 2 PFM Potential Investment Management Services 100,000 100,000 $ 1013000 $ 101,000 Account No.592010-Bank Service Fees Detailed FY2016 FY2017 Name Description Budget Budget 1 THE BANK OF NEW YORK Admin and wire processing fees. 24,000 24,000 MELLON,TRUST COMPANY $ 24,000 $ 24,000 Account No.593200-Professional Service Legal Detailed FY2016 FY2017 Name Description Budget Budget 1 Spiegel&McDiarmid,LLP Professional legal services 40,000 40,000 2 Latham&Watkins Professional legal services 50,000 50,000 3 Kahn Scares&Conway,LLP Professional legal services 20,000 20,000 4 Lewis Brisbois Bisgaard Professional legal services 50,000 50,000 5 Orrick,Herrington&Sutcliffe Professional legal services 50,000 50,000 6 Nielsen Merksamer Parrinello Professional legal services-No longer in service 60,000 - $ 2703000 $ 210,000 Account No.595200-Professional Service Technical Detailed FY2016 FY2017 Name Description Budget Budget 1 PFM Investment Management and general financial advisory services fees 25,000 25,000 2 Macias Gini&O'Connell L&P Financial Audits 20,000 20,000 3 Standard&Poor' Risk Assement Module 20,000 20,000 $ 65,000 $ 65,000 3of6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 9000-ADMINISTRATION SUPPLIES&SERVICES 2016-2017 Account No.596200-Professional Service Other Detailed FY2016 FY2017 Name Description Budget Budget 1 Port Canaveral Power Consultants Consultant services for project engineering. Avg 1400 hours at$180 per hour.70% 185,000 185,000 Expense 30°%Capital. 2 CH2MHILL Engineers,Inc. Consultant services for regulatory and environmental compliance matters. 128,000 128,000 3 SCPPA Palo Verde Project - 40,000 4 RMG Consulting services to perform credit review of specific trading counterparties 20,000 15,000 5 Common Area Maintenance Janitorial Services 25,000 25,000 6 54,600 - 7 USE Preparatory Compliance Audit/External Assessment 10,000 15,000 8 HPI Seminar Human Performance Improvement Expert Speaker - 10,000 $ 422,600 $ 418,000 Account No.596500-Travel Event FY2016 FY2017 Type Name Budget Budget 1 APPA APPA 10,000 10,000 2 SMUA SMUA 2,000 2,000 3 League of Cities League of Cities 1,000 1,000 5 SCAQMD SCAQMD 1,000 1,000 4 CEC CEC 2,000 2,000 5 COTP COTP 1,000 1,000 6 OSHA OSHA 2,000 2,000 7 SCPPA SCPPA 1,000 1,000 8 CUEA CUEA 3,000 3,000 9 CPUC CPUC 3,000 3,000 10 Performance(Fixed Pryor) Performance(Fixed Pryor) 1,600 1,600 11 CUG/CIPUG/WICF CUG/CIPUG/WICF 24,000 24,000 12 NERC/WECC NERC/WECC Conference&Training(including HPI) 24,000 24,000 13 TBD Registration baseline per person - - $ 75,600 $ 75,600 Account No.596550-Memberships Detailed FY2016 FY2017 Name Description Budget Budget 1 CMUA California Municipal Utilities Association-Membership Dues plus 5%annual increases 57,356 60,224 2 RMG RMG Financial Consulting,Inc.Annual Membership dues 750 750 3 APPA APPA Annual Dues 37,000 37,000 4 CUEA Annual Invoice(Mutual Aid) 700 700 5 The Climate Registry The Climate Registry 3,500 - 6 ICE TV(DODD FRANK) Swap Data Repository 4,500 4,500 6 TBD Regulatory standards&aging infrastructure&Workflow - 22,000 $ 103,806 $ 125,174 4of6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 9000-ADMINISTRATION SUPPLIES&SERVICES 2016-2017 Account No.596600-Books&Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 Incisivemedia Incisivemedia 1,000 1,000 2 News Data Corporation News Data Corporation 2,500 2,500 3 Eastern Group Publications RFP and Competitive Bid advertisement 2,500 2,500 4 The Economist The Economist 250 250 5 The Wall Street Journal The Wall Street Journal 250 250 6 Thomson Reuters/Barclays Thomson Reuters/Barclays 500 500 6 APPA APPA literature handouts and books - 3,000 $ 7,000 $ 10,000 Account No.596700-Training Detailed FY2016 FY2017 Name Description Budget Budget 1 NERC/WECC NERC/WECC Compliance Program 12,500 20,000 2 Workshop Excel Workshop 2,000 - 3 Fred Pryor Performance(Fred Pryor) 2,000 5,000 4 PMP Project Management Professional(PMP) 5,000 3,000 5 SCAPPA SCAPPA Training 20,000 20,000 6 APPA APPA Training 5,000 6,000 7 NERC NERC Workshop 4,000 6,000 $ 50,500 $ 60,000 Account No.599800-General City Administrative Service Exp Detailed FY2016 FY2017 Name Description Budget Budget 1 City of Vernon Overhead Allocation 3,018,677 3,018,677 $ 3,018,677 $ 33018,677 Account No.760005-Principal on Bonds Detailed FY2016 FY2017 Name Description Budget Budget 1 2008 Series A Principal Repayment 385,000 415,000 2 2009 Series A Principal Repayment 32,970,000 23,060,000 3 2012 Series A Principal Repayment - - 4 2012 Series B Principal Repayment 5 2015 Series A Principal Repayment - - $33,3553000 $ 233475,000 5of6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT&POWER DEPARTMENT 9000-ADMINISTRATION SUPPLIES&SERVICES 2016-2017 Account No.760010-Interest on Bonds Detailed FY2016 FY2017 Name Description Budget Budget 1 2008 Series A Interest Payments 3,592,355 3,562,755 2 2009 Series A Interest Payments 13,071,088 7,865,594 3 2012 Series A Interest Payments 2,031,394 2,031,394 4 2012 Series B Interest Payments 2,222,900 2,222,900 5 2015 Series A Interest Payments - 5,087,518 $20,917,737 $ 20,770,161 Account No.790100-Operating Transfer Out Detailed FY2016 FY2017 Description Budget Budget Reimbursement transfer for General Government Services(Excludes Legal Services), Risk Management Services,Fire Services,Police Services,Public Work Services, 1 Health Services. 10,047,748 10,440,890 $ 10,047,748 $ 10,440,890 6of6 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 9000 - ADMINISTRATION CAPITAL 2016-2017 DEPARTMENT: 055.9000 ADMINISTRATION Detailed FY2016 FY2017 Name Description Budget Budget 1 Anemometry Specialist Maintenance Service to all MET towers 65,000 65,000 2 CH2MHILL Consultant 200,000 175,000 3 Port Canaveral Project Management 108,351 108,351 4 Renu Resources Property Management(TERM Contract) 72,000 - 5 V-BAR Meteorological Studies 80,000 80,000 6 Wireless Innovation Modem minutes to all MET towers 25,000 25,000 7 TBD Architectural Remodel 3rd floor to accomidate additional - - office's for expanding staff. $ 550,351 $ 453,351 1 of 1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.9100 ENGINEERING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 205,000 $ 341,108 $ 265,000 $ 60,000 $ 1365108 $ (76,108) EXPENSES: SALARIES $ 755,815 $ 675,409 $ 828,719 $ 72,904 $ (80,406) $ 153,310 BENEFITS 262,153 229,131 316,930 54,777 (33,022) 87,799 SUPPLIES/SERVICES 208,750 120,362 208,750 - (88,388) 88,388 TOTAL EXPENSES $ 1,2265718 $ 15024,901 $ 1,3545399 $ 1275681 $ (2015817) $ 3295498 CAPITAL 13,435,000 9,609,141 9,252,000 (4,183,000) (3,825,859) (357,141) Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Administrative Assistant,Senior 1.00 $ 57,957 $ 58,653 $ 696 Associate Electrical Engineer 1.00 47,770 50,160 2,390 Computer Aided Drafting Technician 1.40 76,835 61,446 (15,389) Electrical Engineer 2.00 270,317 196,014 (74,303) Supervising Electrical Engineer 1.00 100,314 116,124 15,810 Utilities Engineering Manager 0.70 129,711 151,331 21,620 Utilities Project Coordinator 1.00 - 122,080 122,080 Overtime 6,736 6,736 - Payout(vacation and sick excess hours) 24,419 24,419 Stand-by 41,756 41,756 - DEPARTMENT TOTALS 8.10 $ 755,815 $ 828,719 $ 72,904 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 9100-L&P Fund Electrical Engineering Budget Detail 2016-2017 DEPARTMENT: 055.9100 ENGINEERING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Comments REVENUES: 464000 Joint Pole Revenue 205,000 341,108 265,000 60,000 136,108 (76,108) TOTAL REVENUES 205,000 341,108 265,000 60,000 136,108 (76,108) SALARIES 501010 Salaries-Regular 648,385 595,530 721,687 73,302 (52,855) 126,157 Alocation to Dept 8100. 501012 Salaries-Premium 100,694 75,896 100,296 (398) (24,798) 24,400 Union change in standby pay rotation through crew,USOP,vacation&sick excess payout. 501020 Salaries-O.T. 6,736 3,983 6,736 - (2,753) 2,753 FY2016 Budget based on most recent 26 pay. TOTAL SALARIES 755,815 675,409 828,719 72,904 (80,406) 153,310 BENEFITS 502020 Retirement 180,052 154,951 202,866 22,814 (25,101) 47,915 502030 Group Insurance Premiums 71,200 64,052 102,048 30,848 (7,148) 37,996 502060 Medicare 10,901 10,128 12,016 1,115 (773) 1,888 TOTAL BENEFITS 262,153 229,131 316,930 54,777 (33,022) 87,799 SUPPLIES/SERVICES 520000 Supplies 18,000 14,054 18,000 - (3,946) 3,946 540000 Uniforms 750 839 750 89 (89) 560000 Utilities 500 250 500 (250) 250 570000 Vehicle Expense 5,000 4,600 5,000 (400) 400 590110 Repair&Maintenance-IT 123,500 62,066 123,500 (61,434) 61,434 Transferred from IT Budget General Fund 596200 Professional Services-Other 15,000 10,340 15,000 (4,660) 4,660 596500 Travel 12,000 6,000 12,000 (6,000) 6,000 596550 Memberships 2,000 1,000 2,000 (1,000) 1,000 596600 Books&Publications 2,000 1,802 2,000 (198) 198 596700 Training 30,000 19,410 30,000 (10,590) 10,590 Various software and utility practices TOTAL SUPPLIES/SERVICE 208,750 120,362 208,750 (88,388) 88,388 TOTAL EXPENSES 1,226,718 1,024,901 1,354,399 127,681 (201,817) 329,498 CAPITAL 860000 IT Equipment&Software - - - - - 900000 Capital Outlays 13,435,000 9,609,141 9,252,000 (4,183,000) (3,825,859) (357,11AL Scheduled capital projects TOTAL CAPITAL 13,435,000 9,609,141 9,252,000 (4,183,000) (3,825,859) (357,141) 1of1 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 9100 - ELECTRICAL ENGINEERING SUPPLIES & SERVICES 2016-2017 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Budget Budget 1 Staples Business Solutions General offices supplies 2,000 2,000 2 Duron Business Forms Perforated laser sheets forms 1,000 1,000 3 Graybar General Supplies 2,000 2,000 4 Home Depot General Supplies 3,000 3,000 5 ARC General Supplies 3,000 3,000 6 Royal Wholesale General Supplies 2,000 2,000 7 Walters Technology General Supplies 3,000 3,000 8 Current Wholesale General Supplies 2,000 2,000 $ 18,000 $ 18,000 Account No.540000-Uniforms Detailed FY2016 FY2017 Name Description Budget Budget 1 Shoeteria Steel toe shoes and boots for engineers 750 750 $ 750 $ 750 Account No.560000-Utilities Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD General Supplies 500 500 $ 500 $ 500 Account No.570000-Vehicle Expense Detailed FY2016 FY2017 Name Description Budget Budget 1 Vehicle City Autos-216, 1038, 1024 Fuel and maintenance 5,000 5,000 $ 5,000 $ 5,000 1 of 3 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 9100 - ELECTRICAL ENGINEERING SUPPLIES & SERVICES 2016-2017 Account No.590110-Repair&Maintenance IT Detailed FY2016 FY2017 Name Description Budget Budget 1 Survalent Technology SCADA annual maintenance service 15,000 15,000 2 Digital Map Products CITY GIS map data services 35,000 35,000 3 Operation Technology ETAP upgrade&maintenance services 25,000 25,000 4 Xerox Xerox Corporation maintenance services 10,000 10,000 5 Milsoft Milsoft firmware maintenance 2,000 2,000 6 ETAP ETAP Support 25,000 25,000 7 Milsoft Utility Solutions WindMil Support 6,000 6,000 8 AutoCAD AutoCAD Annual Support 5,500 5,500 $123,500 $123,500 Account No.596200-Professional Services Other Detailed FY2016 FY2017 Name Description Budget Budget 1 SCJP Southern California Joint Pole services 15,000 15,000 $ 15,000 $ 15,000 Account No.596500-Travel Event FY2016 FY2017 Type Name Budget Budget 1 TBD Various travel expenses related to utility meetings 12,000 12,000 EUSERC, G.O.95, IEEE,Joint Pole Committee $ 12,000 $ 12,000 Account No.596550-Memberships Detailed FY2016 FY2017 Name Description Budget Budget 1 TBD Various L& P Memberships IEEE, EUSERC, GO 95, P.E. 2,000 2,000 $ 2,000 $ 2,000 2of3 PROPOSED BUDGET CITY OF VERNON FUND 055 - LIGHT & POWER DEPARTMENT 9100 - ELECTRICAL ENGINEERING SUPPLIES & SERVICES 2016-2017 Account No.596600-Books& Publications Detailed FY2016 FY2017 Name Description Budget Budget 1 Various Miscellaneous engineering and technical articles and standards 2,000 2,000 $ 2,000 $ 2,000 Account No.596700-Training Event FY2016 FY2017 Type Name Budget Budget 1 TBD Miscellaneous training: Engineering, SCADA, 30,000 30,000 Safety and system protection $ 30,000 $ 30,000 3of3 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT & POWER DEPARTMENT 9100- ELECTRICAL ENGINEERING CAPITAL 2016-2017 Account No.900000-Capital Outlays FY2016 FY2017 Name Budget Budget 1 Leonis Substation Improvements 4,000,000 3,000,000 2 Aged Wood Pole Replacement Program&Emergency Restoration 1,500,000 1,575,000 3 New electric system extensions and new customer connections 3,000,000 1,600,000 4 Engineering Support Contract Services(Major System Upgrades) 1,200,000 750,000 5 Miscellaneous Electric Substation Improvements 500,000 - 6 54th Street 7KV rebuilt 500,000 400,000 7 Allison Turbine System Control Upgrade(H-1 and H-2) 500,000 - 8 Department portion of 16 KV Consumer Substation Upgrades 500,000 50,000 9 Street paving for Public Works due to V&G underground construction 120,000 120,000 in the public right-of-way. 10 Vernon Substation Improvements 100,000 - 11 Distribution Capacitor Banks and Controls/Smart Grid 100,000 200,000 12 7 to 16 KV Voltage Conversion 100,000 100,000 13 Vernon Substation Bank#2 Oil Containment 100,000 20,000 14 Underground Distribution Switch Replacement 50,000 100,000 15 SCADA and Communications System Network Management 50,000 75,000 16 Dist.System Improvements related to Street Improvements 50,000 50,000 17 Augmentation of 66 KV Relays at Leonis Substation 50,000 212,000 18 Street Lighting-HPS Conversion to L.E.D. 15,000 100,000 19 Hi Voltage Cable Replacement-Vernon Substation Getaways - 500,000 20 Equipment purchases(transformers) 1,000,000 400,000 TOTAL 13,435,000 9,252,000 1of1 PROPOSED BUDGET CITY OF VERNON Budget Summary 2016-2017 DEPARTMENT: 055.9200 RESOURCE PLANNING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) TOTAL REVENUES $ 8,299,884 $ 7,507,548 $ 9,167,943 $ 868,059 $ (792,336) $ 1,660,395 EXPENSES: SALARIES $ 801,978 $ 734,472 $ 813,898 $ 11,920 $ (67,506) $ 79,426 BENEFITS 240,348 226,544 285,380 45,032 (13,804) 58,836 SUPPLIES/SERVICES 105,437,523 96,853,430 127,211,666 21,774,144 (8,584,092) 30,358,236 TOTAL EXPENSES $ 106,479,849 $ 97,814,446 $ 128,310,944 $ 21,831,096 $ (8,665,402) $ 30,496,498 CAPITAL - 2,940 - - 2,940 (2,940) Salaries Salaries Increase EMPLOYEE TITLE FTE Proposed Proposed (Decrease) Assistant Resource Scheduler 1.00 $ 92,477 $ 92,485 $ 8 Associate Resource Scheduler 1.00 100,311 100,321 10 Electric Resources Planning and Development Manager 0.80 164,701 164,701 - PrincipalResourceScheduler/Trader 2.00 239,559 251,459 11,900 Resource Planner 1.00 121,930 121,932 2 Overtime 10,000 10,000 - Payout(vacation and sick excess hours) 25,000 25,000 Stand-by 48,000 48,000 - DEPARTMENT TOTALS 5.80 $ 801,978 $ 813,898 $ 11,920 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 9200-L&P Fund Resource Planning Department Budget Detail 2016-2017 DEPARTMENT: 055.9200 RESOURCE PLANNING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Explanation REVENUES: 450011 Sale of Resource Adequacy capacity-Whok 817,540 334,733 903,872 86,332 (482,807) 569,139 Increased acivity tracing excess local resource adequacy 450340 Transmission Revenue 2,329,247 2,516,362 2,937,596 608,348 187,115 421,234 Budget reflects increased Transmission Revenue Requirement due to increaein SCE transmission service cost. 450030 ARB Allocated Allowance 5,153,097 4,656,453 5,326,475 173,378 (496,644) 670,022 Revenue received from ARB from the sale of freely allocated allowances for the benefit of end-users.Budget reflectshigher cap&Trade clearing prices, TOTAL REVENUES 8,299,884 7,507,548 9,167,943 868,059 (792,336) 1,660,395 SALARIES 501010 Salaries-Regular 668,083 636,888 679,435 11,352 (31,195) 42,547 Initial Budget cost of living and merit increase has not been proposed. 501012 Salaries-Premium 123,895 90,632 124,463 568 (33,263) 33,831 Union change in standby pay rotation through crew, USOP,vacation&sick excess payout. 501020 Salaries-O.T. 10,000 6,952 10,000 (3,048) 3,048 FY2016 Budget based on most recent 26 pay. TOTAL SALARIES 801,978 734,472 813,898 11,920 (67,506) 79,426 BENEFITS 502020 Retirement 167,335 155,800 197,021 29,686 (11,535) 41,221 Retirement contribution for Robin Tolmasoff 502030 Group Insurance Premiums 62,587 60,837 76,557 13,970 (1,750) 15,720 502060 Medicare 10,426 9,907 11,802 1,376 (519) 1,895 TOTAL BENEFITS 240,348 226,544 285,380 45,032 (13,804) 58,836 SUPPLIES/SERVICES 500150 Energy 15,858,701 13,840,427 16,936,034 1,077,332 (2,018,274) 3,095,607 Cost of energy includes increased CAISO charges related to energy transactions. Also reflects cost increase due to annual MGS payment escalation. 500154 Renewable Energy 769,711 382,942 10,195,730 9,426,019 (386,769) 9,812,789 Reflects the cost of three long-term renewable contracts starting January 2017 and increased RIPS compliance target. 500160 Natural Gas Expense 20,598,134 17,470,831 14,431,695 (6,166,438) (3,127,303) (3,039,136)Budget reflects lower natural gas prices. 500162 Biomethane Fuel 17,118,150 14,030,266 16,656,475 (461,675) (3,087,884) 2,626,210 Expect slightly lower than the contract volumes delivery by both biomethane suppliers. 500163 Greenhouse Gas Cost 4,821,876 4,879,710 3,685,150 (1,136,726) 57,834 (1,194,560) Reflects lower generation by MGS and a decrease in imported power needs. 500170 Transmission-Firm 12,074,664 13,816,484 14,766,982 2,692,317 1,741,820 950,498 Budget reflects higher SCE charges and increased transmission access charge by the CAISO. 500180 Capacity 31,959,254 30,390,257 48,344,439 16,385,185 (1,568,997) 17,954,182 Budget reflects increased Capacity payment to Bicent for MGS due to a payment step-up and Hoover CFD due to annual escalation. 500190 Ancillary Services 35,983 (64,298) 198,656 162,673 (100,280) 262,953 Budget reflects MGS plant being dispatch for more energy and less ancillary services. 500210 Grid Management Charges 891,836 877,911 890,610 (1,226) (13,925) 12,699 500240 Ferc Filing Charges 94,961 180,749 100,665 5,703 85,788 (80,085) 500260 Dispatching Inter 13,800 9,200 6,900 (6,900) (4,600) (2,300) 1 of 2 PROPOSED BUDGET CITY OF VERNON Fund 055 Department 9200-L&P Fund Resource Planning Department Budget Detail 2016-2017 DEPARTMENT: I 055.9200 RESOURCE PLANNING A B C C-A B-A C-B FY2016 FY2016 FY2017 Increase Increase Increase Budget Forecast Budget (Decrease) (Decrease) (Decrease) Explanation 520000 Supplies 6,000 5,158 6,120 120 (842) 962 550000 Advertisement&Promotion 1,000 500 1,000 - (500) 500 550022 Natural Gas Transportation Costs 842,880 814,444 643,950 (198,929) (28,436) (170,493)Budget reflects lower transportation service charges from so Cal gas company and reduced gas needs at the MGS plant. 560010 Utilities-IT 10,686 10,686 (10,686) 10,686 590000 Repair&Maintenance 10,848 5,424 10,848 - (5,424) 5,424 590110 Repair&Maintenance IT 650 - 104,435 103,785 (650) 104,435 593200 Professional Services-Legal 200,000 100,000 150,000 (50,000) (100,000) 50,000 595200 Professional Services-Technical 50,000 25,000 - (50,000) (25,000) (25,000) 596200 Professional Services-Other 54,388 69,945 47,291 (7,098) 15,556 (22,654) 596500 Travel 10,000 7,890 10,000 (2,110) 2,110 596550 Membership Dues 2,000 1,000 2,000 (1,000) 1,000 596600 Books&Publications 2,000 1,000 2,000 (1,000) 1,000 596700 Training 10,000 8,590 10,000 (1,410) 1,410 596706 Electric Rebate Program - - - - - TOTAL SUPPLIES/SERVICES 105,437,523 96,853,430 127,211,666 21,774,144 (8,584,092) 30,358,236 TOTAL EXPENDITURES 106,479,849 97,814,446 128,310,944 21,831,096 (8,665,402) 30,496,498 CAPITAL 900000 Capital Outlays - 2,940 - - 2,940 (2,940) TOTAL CAPITAL 2,940 2,940 (2,940) 2of2 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT & POWER DEPARTMENT 9200 - RESOURCE PLANNING SUPPLIES & SERVICES 2016-2017 Account No.500150-Energy Detailed FY2016 FY2017 Name Description Budget Budget 1 MGS MGS Energy Payment(PPTA) 4,154,463 3,576,965 2 Palo Verde Palo Verde variable cost component 995,904 1,237,808 3 Hoover Hoover Energy Cost-CES Credit (288,000) (225,210) 4 Hoover Hoover Energy Payment-CFD/WAPA 400,372 324,910 WSPP FIRM ENERGY PURCHASES Other - 1 Market Market Purchase/Balance of Load 9,585,058 10,934,543 2 Market Market Purchase/Variable 710,904 - 3 ISO ISO MISC Charges 300,000 1,087,019 15,858,701 16,936,034 Account No.500154-Renewable Energy Credit Detailed FY2016 FY2017 Description Amount Amount Renewable Energy credit 169,711 31,200 Renewable Energy 600,000 10,164,530 769,711 10,195,730 Account No.500160-Natural Gas Expense Detailed FY2016 FY2017 Name Description Amount Amount MGS MGS Market Gas Cost and H.Gonzales Turbine Gas Cost 20,598,134 14,431,695 20,598,134 14,431,695 Account No.500162-Biomethane Fuel Detailed FY2016 FY2017 Description Amount Amount 1 Biomethane Fuel 17,118,150 16,656,475 17,118,150 16,656,475 1 of 6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT & POWER DEPARTMENT 9200 - RESOURCE PLANNING SUPPLIES & SERVICES 2016-2017 Account No.500163-Greenhouse Gas Cost Detailed FY2016 FY2017 Description Amount Amount 1 Greenhouse Gas Cost 4,821,876 3,685,150 4,821,876 3,685,150 Account No.500170-Transmission Firm Detailed FY2016 FY2017 Name Description Amount Amount DWP 1 DWP Transmission-Adelanto to Midpoint VV-Lugo 262,440 262,440 SCE 2 SCE Mead-Laguna Bell 1,397,760 1,809,600 3 SCE Victorville-Lugo-Vernon 591,360 765,600 4 SCE Laguna-Bell Interconnection 296,028 296,028 5 SCE SCE Added Facilities Charge (MGS RTU,Tri-Gas) 8,984 8,984 ISO 6 ISO High Voltage Access Charge-372 10,212,287 12,272,127 7 ISO Third-Party Transmission(New) - 8 ISO CONGESTION (710,195) (667,863) 9 Other 16,000 20,065 12,074,664 14,766,982 Account No.500180-Capacity Detailed FY2016 FY2017 Name Description Amount Amount 1 MGS MGS Capacity Payment(PPTA) 24,836,212 41,116,744 2 Hoover Hoover Capacity Cost-CES Credit (552,000) (552,000) 3 Hoover Hoover Capacity Payment-CFD 3,170,640 3,206,914 4 Hoover Hoover-Uprating Credit Payment-CFD 520,268 528,647 5 Palo Verde Palo Verde Capacity(minimum cost) 3,744,134 3,744,134 6 SCPPA SCPPA- Project stabilization Fund 240,000 300,000 31,959,254 48,344,439 2 of 6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT & POWER DEPARTMENT 9200 - RESOURCE PLANNING SUPPLIES & SERVICES 2016-2017 Account No.500190-Ancillary Services Detailed FY2016 FY2017 Description Amount Amount 1 System Spinning Reserve,non-spinning reserve, regulation up,regulation down, replacement reserve 35,983 198,656 35,983 198,656 Account No.500210-Grid Management Charges Detailed FY2016 FY2017 Name Description Amount Amount 1 CAISO CAISO GRID MANAGEMENT CHARGE 891,836 890,610 891,836 890,610 Account No.500240-Ferc Filing Charges Detailed FY2016 FY2017 Name Description Amount Amount 1 ISO ISO- FERC FEES 21,942 28,582 2 ISO ISO- NERC/WECC FEES 73,020 72,083 94,961 100,665 Account No.500260-Dispatching Inter Detailed FY2016 FY2017 Name Description Amount Amount 1 DWP Scheduling&Dispatching Fee-DWP 13,800 6,900 13,800 6,900 Account No.520000-Supplies Detailed FY2016 FY2017 Name Description Amount Amount 1 Staples Department Supplies and Services 6,000 6,120 General purchases from staples for pens,peci Is,binders,paper clips, writing pads, markers,etc. 6,000 6,120 3 of 6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT & POWER DEPARTMENT 9200 - RESOURCE PLANNING SUPPLIES & SERVICES 2016-2017 Account No.550000-Advertisement&Promotion Detailed FY2016 FY2017 Name Description Amount Amount 1 TBD Advertisement(Rates,TRBAA,etc..) 1,000 1,000 1,000 1,000 Account No.560010-Utilities IT Detailed FY2016 FY2017 Name Description Amount Amount 1 AT&T One Net Telecommunication Charges 5,898 5,898 1 AT&T Business Telecommunication Charges 4,788 4,788 10,686 10,686 Account No.550022-Natural Gas Transportation Cost Detailed FY2016 FY2017 Name Description Amount Amount Various Gas Transportation, MGS,and Gas Transportation, H.Gonzales Units 842,880 643,950 842,880 643,950 Account No.593200-Legal Detailed FY2016 FY2017 Name Description Amount Amount TBD Legal Services 200,000 150,000 200,000 150,000 Account No.590000-Repair&Maintenance Detailed FY2016 FY2017 Description Amount Amount 1 City allocated cost 10,848 10,848 10,848 10,848 4 of 6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT & POWER DEPARTMENT 9200 - RESOURCE PLANNING SUPPLIES & SERVICES 2016-2017 Account No.590110-Repair&Maintenance IT Detailed FY2016 FY2017 Description Amount Amount 1 Stancil Stancil Recording Maintenance 650 650 2 Settlecore Settlement service software - 103,785 650 104,435 Account No.595200-Professional Services Technical Detailed FY2016 FY2017 Name Description Amount Amount 1 Professional Service Cross Border Energy,Consulting 50,000 50,000 - Account No.596200-Professional Services Other Detailed FY2016 FY2017 Name Description Amount Amount 1 ICE ICE 15,054 14,832 2 Bloomberg Bloomberg 25,091 23,523 3 Platts Platts 6,090 783 4 Open Access Open Access Technology 7,563 7,563 6 Stancil recording device service 590 590 54,388 47,291 Account No.596500-Travel Event FY2016 FY2017 Type Name Amount Amount 1 TBD CEC Workshops, ISO,SCPPA,CMUA, Hoover 10,000 10,000 10,000 10,000 5 of 6 PROPOSED BUDGET CITY OF VERNON FUND 055- LIGHT & POWER DEPARTMENT 9200 - RESOURCE PLANNING SUPPLIES & SERVICES 2016-2017 Account No.596550-Membership Dues Detailed FY2016 FY2017 Name Description Amount Amount 1 Various Various membership 2,000 2,000 2,000 2,000 Account No.596600-Books&Publications Detailed FY2016 FY2017 Name Description Amount Amount 1 Various Books and Publications Platts Gas Daily,technical books 2,000 2,000 2,000 2,000 Account No.596700-Training Detailed FY2016 FY2017 Type Description Amount Amount 1 TBD Training(Gas and Power Trading, ISO Market design) 10,000 10,000 10,000 10,000 6of6 N W 0 p 1 to Q C O O W N a N o — N r W Y C) 0 o 0 cm W O O Cl? > Co O) LO r C 64 d} 3 O O O H o c c LLI Z O to 0 E 10 v m cc c O m a Q c Oa •� o co W C ` � � O O N M LO V + LLI N O O Z Z � LV U U a) (D Q A c -a � W - v -� Z o = a c°) 8 Q C) v 4 � (D L- m Z_ 3 oN o 0 CL c3 o It C V U m >1 C U m l4 O O O C ( Z Z m LL G O N Cn O N O LL Q1 E Q v co ti +L+ E +r � a3 � O C� i� � '0 -- C rA w 7+ c r �+ O U m m 0 O ♦W '—` W L) V Q —' W N L7 r CM Q 0 w Lii A/ � 0 H LL w - m CnY OF VERNON ACCOUNTS PAYABLE CHECK NO 350500 +Mr--E MRAMIR I u+cn: PV IW.K+ioe oIM1314 OD0. SKr �,yry 032816 0328/2016 EXPENSE ALL.OWANC;E 0.00 256.04 �r 256.04 PLEASE DETACH BEFORE DEPOSITING City of Vemon EASTWE a YABLE W ,* m 4305 Santa Fe Ave 10°°"SANMATWO C 911062ND RVemon CA90058 ���tcg (323)583-8811 ,Fyn I3AT€ �r� CHfiECK 000906 03)2212016 3505 PAY Two Hundred Fifty Six Dollars and Four Cents TO THE MARTINEZ, GABRIEL ti ;: -; 1 i', -,• ORDER 5558 TREMAINE WAY OF CHINO HILLS, CA91709 { COPY GurY CCY COPY COPY CITY OF VERNON ACCOUNTS PAYABLE CHECK NO 350783 kwpcLbuw9EA GATE PC 4-*Qe k LFSCWPTW A 6i{Owft �Mitr s 041916 04/1912016 EXPENSE ALLOWANCE 0 00 f19.38 Qv {� -N 11938 A4FAsE oETArN BEFORE[ApOSiTjW, Fl►y.�f tweOUCr City of Vemon CAST V"TI~ FLOCO 4305 Santa Fe Ave SA^:un 08 • Vernon,CA 90058 (323)58]8811 , DATE CkECI€auDUl4fi 50 000074 104/19/2016 3783 11938 PAY One Hundred Nineteen Dollars and Thirty Eight Cents TO THE ' RAMOS, JOSE C ORDER 8655 BLUFORD AVENUE OF WHITTIER, CA90602 _ 00350783V 1: 3 2 20 70 313 0: 80 36 2 78 30 .1 5 MAY 10 201fi RECEIVED CITY CLERK'S OFFICE MAY 10 2016 STAFF REPORT CITY ADMINISTRATION FINANCE/TREASURY DEPARTMENT Cq S-W-vo DATE: May 9, 2016 TO: Honorable Mayor and City Council FROM: William Fox, Finance Director " f RE: City Payroll Warrant Register for City Council Agenda of May 17, 2016 It is recommended that the attached Payroll Warrant Register No. 719 be approved at the City Council meeting of May 17, 2016 Payroll Warrant Register No. 719 totals $2,973,790.02, and covers claims and demands presented for April 1, 2016 to April 30, 2016, drawn from East West Bank, Payroll Account. The following list details the components of Payroll Warrant Register No. 719: 1. Ratification of direct deposits, checks and taxes totaling $2,053,233.57; and 2. Checks and electronic fund transfers (EFT) paid through General bank account totaling 920,556.45 Raquel Franco 151912016 4:10 PM PAYROLL WARRANT REGISTER City of Vernon No. 719 Month of April 2016 1 hereby Certify: that claims or demands covered by the This is to certify that the claims or demands above listed warrants have been audited as to accuracy covered by the above listed warrants have been and availability of funds for payments thereof; and that audited by the City Council of the City of Vernon said claims or demands are accurate and that funds are and that all of said warrants are approved for pay- available for payments thereof. ments William Fox DATE Director of Finance DATE Date: Page 1 of 1 Payroll Warrant Register Memo:Warrant ++ Ln0D OOa00 LnrF- r- 0000LO0 C LO OD t- 0 0 0 0 M0 a ti rLn � OOMO ti r COOOOOf� O w N O rd0) CO1-- 00 � 1- 'tLn LB O O r00 (D � O) f . O. N (O C-i M OO � gLnf� O NGOQ V, LnLnr O Cp C7 E r N (D (D L*7 r M Ln CO N O r (D r M Ln L-) r N 0 0 O 00 � M r 00 O O I� r qT CO Cef V N O f,_ N qq CO N Mf OI Q M (O r r CO M (V N N LO r f� mCO � � Ln M N N M (r3r00 O () N N M N N L ~ M r r N ti 1l- N fl- N C M 01 47 N N 64 � C c O O I f_C ra N Q g C o O @ C O CL �a1 CD a a a a to y r 0 al a u Y " i "V p c 0 toco r- 0 c 0 to Lj m y (D N N N N d N «(D m (D O a m u `a m 0 `a ya " a m E L"u E o ;9 E � � E u a) ro = a� a► - a, (n Cl)H yr a) = v) a' o t �r a o c i ° mro tv, Nai c ° 10 cn � � o oy o (n@m nia ro iiaa T E HL Of EO v c a 00 Ta_ w o o w o u o oc Q aNNN Qao ao o oK Q vcNcE Qfl cc .+ T.aTr 2 N waC cs 9O � a a) O 0 ro 0 N 0 p La a 6 N a) O a 0) a zza. zza. zILza UUUr0L > > VU) U- > > c O Lo ro (go d a d d CO (D (D CD CD (D (n (D CO (D C CO (D (D (O (D (D (D (D (D (0 (D (D CO (D (D (D (O ` ' aNI► r r r r r T r r r r r r r r r r r r r r T r r r r r r O Jq (D tp CD (D er co a0 00 co CO 00 00 00 00 O W (D 00 00 00 CaU ro N= � rr_ r = NN (�V �VNNNN ro to Q ` y V) CO (D (D (D 0 N toC 00 0) M LC) O � CD ti d C (7 G Y Y d O CD I� f- O r N N N O C 22 = ~ 0 00 0000 a = = = ( a U U ' (+�j 004 00 m z000Us05C) (7 UULnLn LnLn LnUUU LnLOto UnLoU O d d8S � IL UQQQQUQQQQ H < < < 0 m m m m < < m ce) MMMQ a H f i RIECrk-;; 'ED .� : � . v�� RECEIVED MAY 10 2016 '- +� MAY 10 2016 CITY CLEWS OFFICE STAFF REPORT CITY ADMINISTRATION FINANCE/TREASURY DEPARTMENT 0� S--to-wq DATE: May 9, 2016 TO: Honorable Mayor and City Council FROM: William Fox, Finance DirectorLp-;'� RE: City Warrant Register for City Council Agenda of May 17, 2016 It is recommended that the attached City Warrant Register No. 1448 be approved at the City Council meeting of May 17, 2016. City Warrant Register No. 1448 totals $1,033,895.52, and covers claims and demands presented during the period of April 26 trhough May 9, 2016, drawn, or to be drawn, from East West Bank. The following list details the components of City Warrant Register No. 1448: 1. Ratification of wire transfers totaling $595,018.26; 2. Ratification of the issuance of early checks totaling $296,373.03; and 3. Authorization to issue pending checks totaling $142,604.23. 1x 41 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 +kr47 1�� I hereby certify that claims and/or demands included in above listed warrant This is to certify that the claims or demands covered by the above listed register have been audited for accuracy and availability of funds for warrants have been audited by the City Council of the City of Vernon and payments and that said claims and/or demands are accurate and that the that all of said warrants are approved for payments except Warrant funds are available for payments thereof. Numbers: William Fox Finance Director Date: Printed 51912016 9 51 30AM Paqe 2 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 WIRES ACCOUNT DATE WIRE VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P,OX ISSUED NUMBER AMOUNT STATE BOARD OF EQUALIZATION 011.200250 712.22 Fund 011 - 1Q16 Pmt 033116 1381 011.150199 764.55 Fund 055- 1Q16 Pmt 033116 1381 011.1004.466900 0.23 Fund 011 - 1 Q16 Rounding Adjustment 033116 1381 04/28/2016 1,477.00 ICMA RETIREMENT TRUST 457 011.210220 49,609.11 Deferred Compensation: Payment Ben188710 1382 04/28/2016 49.609.11 CALPERS 011.210240 409,221.23 PERS Contributions: Payment Ben188712 1383 011.210240 238.08 PERS Survivor's Benefit: Payment Ben188712 1383 011.210240 1,023.16 PERS Buy-back: Payment Ben188712 1383 011 1033.502020 37.53 PERS Adjustment: Barajas Bilingual Pay Ben188712 1383 011.1004.502020 -0.11 PERS Contributions:Adjustment Ben188712 1383 05/02/2016 410,519.89 CITY OF VERNON, FSAACCOUNT 011.100013 496.31 FSA- Dependent: Payment Ben188714 1384 011 100013 223.07 FSA- Medical: Payment Ben188714 1384 04/28/2016 719.38 STATE DISBURSEMENT UNIT 011.210260 3,228.87 Child Support: Payment Ben188716 1385 05/02/2016 3,22887 WATER REPLENISHMENT 020 1084.500110 129,464.01 Groundwater Production 02/16 022916 1386 DISTRICT 05/06/2016 129,464.01 TOTAL WIRES $ 595,018.26 Printed 51912016 9 51 30AM Pape 3 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT BROADBAND LLC 057.1057.500173 4,250.00 Internet Access May 2016-- IN0515201620037 057.0000053 350888 44 04/26/2016 4,250.00 CALIFORNIA BUILDING 011 1041.595200 475.20 Building Standards Admin Fees 040716 350889 STANDARDS 04/26/2016 475.20 INC CDW GOVERNMENT 011.9019.520010 568.44 2555946-- CFX6631 011.0011387 350890 011.9019.520010 578.68 3292077-- CFX6631 011.0011387 350890 011.9019.520010 367.08 3808153— CFX6631 011.0011387 350890 011.9019.520010 468.00 2065438— CFX6631 011.0011387 350890 011.9019.520010 51.16 Sales Tax CFX6631 350890 011.9019.520010 52.08 Sales Tax CFX6631 350890 011.9019.520010 33.04 Sales Tax CFX6631 350890 011.9019 520010 42.12 Sales Tax CFX6631 350890 011.9019.520010 95.45 338042E-- CGM9041 011.0011387 350890 011.9019.520010 8.59 Sales Tax CGM9041 350890 04/26/2016 2,264.64 DALE'S TRANSPORT 011.1043.520000 40.00 Truck Washing/Steam Out Services- 244753 011.0010900 350891 04/26/2016 40.00 LP DELL MARKETING 011.9019.520010 391.99 INSPIRON 15 3000 SERIES XJWP4D1W3 011.0011383 350892 (INTEL(R))-3542 011.9019.520010 4.00 STATE ENVIRONMENTAL FEE XJWP4D1W3 011 0011383 350892 011.9019.520010 31.30 Sales Tax XJWP4D1 W3 350892 Panted 51912016 9:51:30AM Page 4 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT 04/26/2016 427.29 INC EASTERN GROUP 011.1048.900000 1,050.00 Inviting Bids/City Housing Improvements 44123 350893 PUBLICATIONS 04/26/2016 1,050.00 FEDEX 011.1004.520000 29.80 Service Period:03116 538571600 350894 04/26/2016 29.80 INC GENERAL DATA COMPANY 011.9019.590110 739.90 Toner 6046144IN 350895 011.9019.590110 137.97 Toner 6046588IN 350895 04/26/2016 877.87 GOVCONNECTION, INC. 011.9019.520010 3.00 Fee: 9— 53529782 011.0011377 350896 011.9019.520010 3,443.98 16958272_ 53529782 011.0011377 350896 011.9019.520010 309.96 Sales Tax 53529782 350896 011 9019.520010 792.13 16513151— 53539077 011.0011377 350896 011.9019.520010 71.29 Sales Tax 53539077 350896 011.9019.520010 214.48 5725887— 53543138 011.0011377 350896 011.9019.520010 128.78 DS-DA-602— 53551718 011.0011377 350896 011.9019.520010 11.59 Sales Tax 53551718 350896 04/26/2016 4,975.21 LLC LEVEL 3 COMMUNICATIONS 057.1057.500173 4,541.83 Fiber Optic Internet Access Contract 43205352 057.0000051 350897 04/26/2016 4.541.83 LEVITON LAW GROUP,A PC 011 1048.596200 2,345.00 Re:Vernon Housing Commission 5707 350898 Printed:519/2016 9,51:30AM Pape 5 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 EARLY CHECKS ACCOUNT OATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT 04/26/2016 2.34500 LEXISNEXIS RISK SOLUTIONS 011.9019.590110 7,910.44 Annual License(DORS) C10022520160331 350899 04/26/2016 7.910.44 MAYWOOD CAR WASH 011.1043.520000 17.00 Car Wash Service- 773 011.0010873 350900 011.1043.520000 17.00 Car Wash Service- 781 011.0010873 350900 020.1084.520000 34.00 Car Wash Service- 781 011.0010873 350900 04/26/2016 68.00 GOVERNMENT STAFFING 011.1003.501010 3,836.25 Temp Services/C Lira 126430 350901 SERVICES 04/26/2016 3,836.25 NAPA AUTO PARTS 011.1046.520000 1,728.23 Parts for cars and trucks.- 033116_multiple 011.0010827 350902 04/26/2016 1,728.23 INC SECURITY PAVING COMPANY 020.1084.520000 63 22 Crush Base Materials-- 022916_multiple 011.0010958 350903 020.1084.520000 31.61 Crush Base Materials- 12566 011.0010958 350903 04/26/2016 94.83 VCI CONSTRUCTION, INC. 057.1057.596200 1,231.58 Trouble Shooting Fire Station 31851 350904 04/26/2016 1,231.58 SANDRA D BINGMAN 011.210260 2.000.00 GARNISHMENTS: Payment Ben188702 350905 04/28/2016 2.000.00 CITY OF HUNTINGTON PARK 011.1026.594200 258.00 Recruitment Exam HPF1084 350906 Printed 5/9/2016 9 51 30AM Paqe 6 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT 04/28/2016 258.00 JEREMY CROSS 011.1031.596500 224.90 Rental Car 042616 350907 04/28/2016 224.90 ANTHONY ENCINAS II 011.1031 596500 388.84 Physical Training Instructor's Course 040416 350908 04/28/2016 388.84 ALEXY ESCOBEDO 011.1031.596500 145.00 CA Peace Officers Memorial D42116 350909 04/28/2016 145.00 FRANCHISE TAX BOARD 011.210260 534.00 Garnishment: Payment Ben188698 350910 011.210260 180.00 Garnishment: Payment Ben188698 350910 04/28/2016 714.00 LORENZO GAYTAN 011.1031.596500 57.58 Crisis Intervention First Responders 032316 350911 04/28/2016 57.58 GIRL SCOUTS OF GREATER L.A. 011.1021.797000 35,000.00 Community Fund Grant 042516 350912 04/28/2016 35,000.00 HSA BANK 011.1004.502030 1,000.00 New Hire Plan Effective 05/01/16 042216 350913 04/28/2016 1,000.00 L.A. CENTER FOR LAW 8 JUSTICE 011.1021,797000 50,000.00 Community Fund Grant 042616 350914 04/2 B/2016 50.000.00 GABRIEL MARTINEZ 011.1031.596500 57.58 Crisis Intervention First Responders 032316 350915 011.1031.596500 145.00 CA Peace Officers Memorial 042116 350915 Printed 519/2015 9'51 30AM Pape 7 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P 04 ISSUED NUMBER AMOUNT 04/28/2016 202.58 MERRIMAC ENERGY GROUP 011.120030 4,166.81 Diesel Fuel. 2161019 011.0011511 350916 011.120030 8.72 AB32 Fee Phase 3& 2161019 011.0011511 350916 011.120030 5.14 Federal Oil Spill 2161019 011.0011511 350916 011.120030 349.70 State Diesel Excise Tax 2161019 011.0011511 350916 011.120030 2.69 Lust Fee 2161019 011 0011511 350916 011.120030 449.70 Clear Diesel Sales Tax 2161019 350916 011.120030 8.184.78 Unleaded Fuel. 2161020 011.0011511 350916 011.120030 15.75 CA Enviro/Fed Oil Spill Tax 2161020 011.0011511 350916 011.120030 12.44 AB32 Fee Phase 3&4 2161020 011.0011511 350916 011.120030 1,342.50 State Gasoline Excise Tax 2161020 011.0011511 350916 011 120030 4.48 Lust Fee 2161020 011,0011511 350916 011.120030 35847 Sales Tax 3.75% 2161020 350916 04/28/2016 14,901 18 ASSOCIATION NEIGHBORHOOD 011.1021 797000 50,000.00 Community Fund Grant 042616 350917 MU51C 04/28/2016 50,000.00 CARLOS OURIQUE 011.1031.596500 57.58 Crisis Intervention First Responders 032316 350918 04/28/2016 57.58 INC SELF HELP GRAPHICS AND 011.1021,797000 40,000.00 Community Fund Grant 042616 350919 ART 04/28/2016 40,000.00 Pnnted 5/9/2016 9 51 3oAM Paqe 8 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.Q.# ISSUED NUMBER AMOUNT SO CAL EDISON 011.1042.560000 207.48 Service Period: 03/16-04/16 041616_multiple 350920 011.1043.560000 74.11 Service Period: 03/16-D4/96 041616_multiple 350920 04/28/2016 281.59 LLC SOLOMON PAGE GROUP 011.1015.501010 1,144.00 Temp Services/A. Luu 425444 350921 04/28/2016 1,144.00 INC SONORA VALLEY 011.1049.520000 525.00 Repairs 4082016 350922 WINDOWWORKS O4128/2016 525.00 ROBERTO SOUSA 011.1031.596500 40.00 LA Police Leadership Program 041216 350923 D4/28/2016 40.00 TEAMSTERS LOCAL 911 011.210250 2,265.00 Teamsters Local 911 Dues: Payment Beni BB694 350924 04/28/2016 2,265.00 THE GAS COMPANY 011.1D49.560000 1,198.54 Service Period: 04/16 041516_multiple 350925 011.1043.560000 124.14 Service Period: 04/16 041516_multiple 350925 020.1084.560000 124.14 Service Period: 04/16 041516_multiple 350925 011.1033.560000 189.85 Service Period: 04/16 041516_multiple 350925 04/28/2016 1,636.67 VERNON FIREMENS ASSOCIATION 011.210250 3,415.00 Fire House Fund: Payment Ben188704 350926 04/28/2016 3,415.00 BENEFIT ASSOCIATION VERNON 011,210250 1,837.75 Police Association Member Dues: Ben188700 350927 POL Payment Pnnted:5/912016 9.51:30AM Page 9 o1 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT 04/28/2016 1,837.75 AFLAC 011.210223 13,060.53 Supplemental Ins-03/16 579077 350928 05/03/2016 13,060.53 INC CARLSON SOFTWARE 011.9019.590110 770.00 2016.999.001— 1279361N 011 0011526 350929 05/03/2016 770.00 ARNOLD DE BOER 011.200100 7.66 Refund receipt#: 0006789 Ref000188772 350930 05/03/2016 766 DISH NETWORK 011.5031.560000 61.44 Subscription D41116 350931 05/03/2016 61.44 INC EASTERN GROUP 011.1048.596200 262.50 Market Rental Rates 44064 350932 PUBLICATIONS 05/03/2016 26250 HSA BANK 011.1002.502030 1,000.00 Effective dated 05/01/16 042716 350933 05/03/2016 1,000.00 INC JEMMOTT ROLLINS GROUP 011.1021.596200 10,000.00 Professional Services APR16 350934 05/03/2016 10,000 00 NELSON MACIAS 011.1048.530015 921.64 1st 8 2nd Install FY 15-16 050216 350935 05/03/2016 92164 MURRIETA CREEK OPTOMETRY 011.1033.502030 75.00 Vision Benefits/N. Dome 040416 350936 011.1033.502030 75.00 Vision Benefits/L. Dome 040416(2) 350936 Printed 519/2016 9 5130AM Paqe 10 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P_O_# ISSUED NUMBER AMOUNT MURRIETA CREEK OPTOMETRY 011.1033.502030 225.00 Vision Benefits I E. Dome 040416(3) 350936 05/03/2016 375.00 MUTUAL OF OMAHA 011.210223 4,365.96 Insurance Premiums 04116 040716 350937 011.210223 519.54 Voluntary Life Insurance: Payment Ben188385 350937 011.210223 -2 05 EE Change Adj:Villicana- Ben188385 350937 011.210223 0.23 EE Change Adj: McCormick- Ben188385 350937 011.210223 3,108.10 Voluntary Life Insurance: Payment Ben188696 350937 020.1084.502030 86.26 EE Change Adj: Lopez Ben188696 350937 05/03/2016 8,078.04 LLC SOLOMON PAGE GROUP 011.1015.501010 1,144.00 Temp Services 1 A. Luu 426740 350938 05/03/2016 1,144.00 STAPLES ADVANTAGE 011.120010 609.45 Office Supplies- 040916_multiple 011.0011486 350939 011.1049.520000 101.67 Office Supplies- 040916_multiple 011 0011486 350939 020.1084.520000 135.24 Office Supplies- 040916_multiple 011 0011486 350939 011.120010 54.85 Sales Tax 040916_multiple 350939 011.1049.520000 9.15 Sales Tax 040916_multiple 350939 020.1084.520000 12 17 Sales Tax 040916_multiple 350939 05/03/2016 922.53 THE GAS COMPANY 011.1048.560000 24.56 Service Period: 04116 041416 350940 05/03/2016 24.56 LLC WEBCO LB 011,1043.590000 9,145.00 Street Sweeping Services LB2683 350941 Printed 5/9/2016 9:51 30AM Pape 11 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT 05/03/2016 9,145.00 FEDEX 011.9019.520000 66.27 Service Period: 04/16 540089369 350942 05/05/2016 66.27 ISAAC GARIBAY 011.1026.596700 70.00 Reimbursement of Livescan 050316 350943 05/05/2016 70.00 JOE A. GONSALVES&SON 011.1002.596200 5,000.00 Professional Services 26111 350944 05/05/2016 5,000.00 LAUSD-TALENT ACQUISITION 011.1026 594200 90.00 Bilingual Testing Services/A. Cass 1754 350945 05/05/2016 90.00 NORTH PARK HOA 011.1048.560000 260.00 Association Dues: 6010 Oak St. 041816 350W 011.1048.560000 260.00 Association Dues: 2915 60tt1 Plc 041816(2) 350946 05/05/2016 520.00 OFFICE DEPOT 011.1024.520000 73.70 Office Supplies— 041416_multiple 011.0011508 350947 011.1024.520000 6.63 Sales Tax 041416_multiple 350947 011.1003.520000 373.18 Office Supplies— 041416_multiple(2) 011.0011507 350947 011.1003.520000 33.58 Sales Tax 041416_multiple(2) 350947 05/05/2016 487.09 SOUTH COAST AQMD 011.1033.590000 367.59 Station 1, 3, and 4 040116_mulliple 350948 05/05/2016 367.59 STAPLES ADVANTAGE 011.1033.520000 1,306.09 Office Supplies-- 040916_multiple(2) 011,0011445 350949 Printed:5/9/2016 9 51 30AM Paqe 12 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O_# ISSUED NUMBER AMOUNT STAPLES ADVANTAGE 011.1033.520000 117.55 Sales Tax 040916_multiple(2) 350949 05/05/2016 1,423.64 UPS 011.1041.520000 43.56 Service Period: 04/16 933312166(2) 350950 Oi1.1043.520000 220.90 Service Period: 04/16 933312166(2) 350950 011.1033.520000 10.62 Service Period:04/16 933312166(2) 350950 05/05/2016 275.08 FELIX VELASCO 011.1043.596500 23.44 LA River Meeting 041616 350951 011.1043.596500 21.17 Complete Streets&Tech Conference 042016 350951 011 1043.596500 15.01 Gateway Cities Council of Governments 042616 350951 05/05/2016 59.62 TOTAL EARLY CHECKS $ 296,373.03 Printed 519/2016 9 51:30AM Page 13 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT LLC 5770 SOUTH ANDERSON 095.5095.400900 1,955.68 1st. Installment FY 15-16 042716 350952 STREET 1,955.68 INC ADVANCED ELECTRONICS 011.1036.590000 2,009.89 DM-SD08MIN-A 8 CH 500GB DVR 7250000281 011 0011391 350953 011.1036.590000 8.00 Freight 7250000281 011.0011391 350953 011.1036.590000 180.89 Sales Tax 7250000281 350953 2,198.78 AGILITY RECOVERY 011.1004,888200 395.00 Agility Recovery membership services A405084 011 0010991 350954 395.00 ALL CITY MANAGEMENT 011.1031.594200 1,030.20 Crossing Guard Services 43116 350955 SERVICES, 1,030.20 INC ATHENS INSURANCE 011.1026.594200 5,064.16 TPA Fees 05116 IVCOOGO00000115 350956 SERVICES 97 5,064.16 INC AURORA INDUSTRIAL 011 1060.596700 1,035.00 Lunch Truck Inspection IH8900 350957 HYGIENE 1,035.00 LLP BEST BEST& KRIEGER 011.1024.593200 90.00 Re: General Municipal Matters 770157 350958 90.00 INC CAINE&WEINER COMPANY 011.1033.467100 369.50 Collection Fees 453594 350959 369.50 Printed 519=16 9.51 30AM Pape 14 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT CAL DEPT OF PUBLIC HEALTH 011.1060.596550 75.00 Lead Cerl Renewal G. Valdivia 041816 350960 75.00 CONTROL CAL DEPT OF TOXIC 011.123100 3,652.94 Period: 07115- 12115 15SM1820 350961 SUBS 3,652.94 INC CALOX 011.1033.520000 32.50 Service Period: 04/08/16 211135 350962 32.50 CENTRAL BASIN WATER 020.1084.596200 2,466.30 Title 22 Monitoring 3160007 350963 ASSOCATION 2,466.30 CI"NTRAL FORD 011.1046.520000 59.95 6W7Z-19835-BA a/c tube (P17) 040516_multiple 011.0011453 350964 011.1046,520000 27.43 1C3Z-16720-AA drivers door nameplate 040516_multiple 011.0011453 350964 011.1046.520000 8.74 Sales Tax 10.00 040516_multiple 350964 011.1046.520000 1213 BW1Z-10A936-A air bag jewel switch- 040516_multiple(2) 011.0011455 350964 011 1046.520000 35.38 6F2Z-1A193-D low air sensor strap-- 040516_multiple(2) 011.0011455 350964 011.1046.520000 4.75 Sales Tax 10.00 040516_multiple(2) 350964 011.1046,520000 35.68 F81Z-9A153-AA water valve 274858 011.0011452 350964 011 1046.520000 31.39 F81Z-9C065-AA water valve o-ring kit 274858 011.0011452 350964 011.1046.520000 6.71 Sales Tax 10.00 274858 350964 011 1046.520000 19.80 164RBG40 duplicate ignition key 275298 011.0011458 350964 011.1046.520000 1.98 Sales Tax 10.00 275298 350964 011.1046.520000 20.36 2F1Z-9A317-AA fuel filter clips 275764 011.0011491 350964 011.1046 520000 2.04 Sales Tax 10.00 275764 350964 Printed 5/912016 9 51 30AM Page 15 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT CENTRAL FORD 011 1046.590000 115 96 labor to repair wiring for mirror C96524 011.0011493 350964 38230 CITY OF DOWNEY 011 1060.595200 2,896.15 Animal Control Svcs 3rd Qtr FY15-16 230244 350965 2,89615 WHATLEY, PC COLANTUONO, 011 1024.593200 3,284.45 Re:ADV. Jurupa Avenue 30628 350966 HIGHSM 3,284.45 COMMERCIAL TIRE COMPANY 011.1046.520000 519.80 st22575r15 tires 1129277 011.0011492 350967 011.1046.590000 7.00 recycle fee 1129277 011.0011492 350967 011.1G46 590000 20.00 disposal fee 1129277 011.0011492 350967 011.1046 520000 46.78 Sales Tax 1129277 350967 011.1046.520000 11.88 Tape on weights 1129470 011.0011497 350967 011.1046.520000 32.00 TV553 valve stems 1129470 011 0011497 350967 011.1046.590000 80.00 Labor to mount&dismount tires 1129470 011.0011497 350967 011 1046.590000 40.00 Labor to balance front tires 1129470 011.0011497 350967 011 1046.520000 3.95 Sales Tax 1129470 350967 761.41 INC COMPLETE THERMAL 011.1049.590000 1,999.00 Replace Compressor 19027M 350968 SERVICES 1,999.00 THE GOODYEAR TIRE&RUBBER 011 1046,590000 250.38 P245155R18 goodyear eagle rs-a tires 43042830 ❑11.0011448 350969 CO 011.1046.590000 3.50 State lire fee 43042830 011 0011448 350969 Pnnted:51912016 9 51:30AM Page 16 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P-0-4 NUMBER AMOUNT THE GOODYEAR TIRE 8 RUBBER 011.1046.590000 22.53 Sales Tax 43042830 350969 CO 011.1046.520000 461 55 P225/60R16 goodyear eagle rs-a tires 43124268 011.0011495 350969 011.1046.590000 8.75 State tire tee 43124268 011 0011495 350969 011 1046.520000 41 54 Sales Tax 43124268 350969 78825 DEWEY PEST CONTROL 011.1049 590000 42.00 Service Period: 04/16 10045280 350970 011.1049 590000 67.00 Service Period: 04/16 10065071 350970 011.1048.590000 40.00 Service Period: 04116 10066306 350970 011.1033.520000 27.00 Service Period: 04/16 10066307 350970 011.1033,520000 25.00 Service Period: 04/16 10066308 350970 011 1033.520000 2500 Service Period: 04116 10066309 350970 011.1033.520000 25.00 Service Period: 04/16 10068987 350970 011.1048.590000 62.00 Service Period: 04/16 10069630 350970 011.1048.590000 95.00 Pest Control Services 10100540 350970 408.00 DYNATECT MANUFACTURING, 011.1046.520000 20.00 PN310138 bracket handle assy 3104390 011.0011424 350971 INC. 011 1046 520000 18.80 Freight 3104390 011.0011424 350971 011 1046 520000 349 Sales Tax 3104390 350971 42.29 EAGLE RADIATOR SERVICE 011.1046.590000 45.00 Labor only to rod out radiator 042016 011,0011494 350972 45.00 Printed 51912016 9:51 30AM Pape 17 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT ECMS, INC 011.1033.540000 154.51 Turnout Cleaning— INV9794 011.0010842 350973 154.51 EL MONTE TRANSMISSION 011.1046.520000 900.00 Transmission overhaul kit: clutch 041116 011.0011488 350974 011 1046.590000 995 00 Labor to diagnose, remove, rebuild and 041116 011.0011488 350974 011.1046,520000 85.50 Sales Tax 9.5% 041116 350974 1,980.50 ENVIRONMENTAL 020.1084.900000 56,810.00 Equipping Well No. 21 040716 350975 CONSTRUCTION 56,810.00 FEDERAL SIGNAL CORPORATION 011.1046.590000 300.00 Labor only to repair 3 touchmaster 6266763 011.0011451 350976 300.00 INC FLEMING ENVIRONMENTAL 011 1049.590000 475.00 Site Inspections 11399 350977 011.1049.590000 800.00 Vapor Recovery Test 11439 350977 1,275.00 FLORENCE FILTER 011.120010 42.00 1631-955 16"X 25"X 2"Mery 10 Pleat, 9946BIN 011.0011502 350978 CORPORATION 011.120010 40.20 1631-964 20"X 25"X 1"Mery 10 Pleat, 99468IN 011 0011502 350978 011,120010 86.40 1631-980 24"X 24"X 1"Mery Pleat, 99468IN 011 0011502 350978 011,120010 58.42 Freight 99468IN 011.0011502 350978 011.120010 15.18 Sales Tax 99468IN 350978 24220 INC GE MOBILE WATER 011.1033.520000 170.04 Supplies 98201875 350979 Printed:51912016 9 51:30AM Page 18 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P_0.9 NUMBER AMOUNT INC GE MOBILE WATER 011.1033 520000 113.36 Supplies 98201876 350979 283.40 H&H WHOLESALE PARTS 011.1046.520000 204.96 X05W20QSP motorcrafl synthetic blend 11NO084550 011 0011454 350980 011.1046.520000 18.45 Sales Tax 11NO084550 350980 223.41 HAAKER EQUIPMENT COMPANY 011.1046.520000 109.25 EL 1025992 water filter cartridge C20857 011 0011449 350981 011.1046.590000 11.00 Freight C20857 011.0011449 350981 011.1046.520000 9.83 Sales Tax C20857 350981 130.08 INC HAULAWAY RUBBISH 011.1048.596200 61.00 Hauling Services 63XO0213 350982 SERVICE 011.1049.596200 207.00 Hauling Services 63XO0214 350982 011.1033.520000 61.00 Hauling Services 63XO0215 350982 011,1033.520000 61.00 Hauling Services 63X002i6 350982 011.1048.520000 61.00 Hauling Services 63XO0217 350982 011.1033.520000 61.00 Hauling Services 63XO0218 350982 011,1043.596700 1,196.78 Hauling Services 63XO0221 350982 1,708.78 HDL COREN & CONE 011 1004.596200 1,250.00 Property Tax 04116-06116 22579 350983 1,250.00 HI-LINE INC 011 1046.520000 188.97 CC840 310 cable cutting tool 10454021 011.0011489 350984 011.1046.590000 9.40 Freight 10454021 011.0011489 350984 Printed'5/912016 9 51'30AM Pape 19 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P_0-0 NUMBER AMOUNT HI-LINE INC 011.1046.520000 17.01 Sales Tax 10454021 350984 214.38 INC HILTI 011.1043.520000 148.00 Cutting Disc SP-S 12"X 1" Universal, 4607495707 011.0011523 350985 011.1043.520000 31.06 Screw Anchor KH 1/2"X 3-1/2",#434442. 4607495707 011.0011523 350985 011.1043.520000 33.91 Screw Anchor KH 112"X 4",#434443. 4607495707 011 0011523 350985 011.1043.520000 19.17 Sales Tax 4607495707 350985 232.14 HUNTINGTON PARK RUBBER 011.1003.520000 13.20 NAME PLATE 2X10" BLACK W/WHIT RGC2124 011 0011531 350986 STAMP FONT- 011.1003.520000 13.20 NAME PLATE 2x10" BLACK WIWHITE RGC2124 011 0011531 350986 FONT- Oil 1003.520000 13.20 NAME PLATE 2X10" BLACK W/WHITE RGC2124 011 0011531 350986 FONT:- 011.1003.520000 7.95 ITEM NO. HP1-48 SILVER NAME PLATE RGC2124 011.0011531 350986 FRAME 011.1003.520000 12.20 NAME PLATE 2x8" BLACK W/WHITE RGC2124 011.0011531 350986 FONT- Oil 1003.520000 5.38 Sales Tax RGC2124 350986 65.13 INC IGOE&COMPANY 011.1026 594200 200.00 Administrative Fees 143699 350987 200.00 IMPERIAL SUPPLIES, LLC 011.1043.520000 1920 Imperial Chemical Goggles-Clear, NL8250 011.0011525 350988 011.1043.520000 21.88 Imperial Safety Goggles-Clear, NL8250 011.0011525 350988 011 1043.520000 15.16 Imperial Safety Glasses- Blue/Gray, NL8250 011.0011525 350988 Printed 5/9/2016 9 51 30AM Pape 20 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT IMPERIAL SUPPLIES, LLC 011.1043.520000 14.04 Imperial Safety Glasses- Black 1 NL8250 011 0011525 350988 011.1043.520000 11.27 Freight NL8250 0110011525 350988 011.1043.520000 6.33 Sales Tax NL8250 350988 87.88 INC JERRY'S AUTO BODY 011.1046.520000 12.00 Parts to repair sliding door 30118 011.0011490 350989 011.1046.590000 104.00 Labor to replace sliding door lock 30118 011.0011490 350989 011.1046.520000 1.08 Sales Tax 30118 350989 11708 JUDICIAL DATA SYSTEMS CORP 011.1031.594200 97.68 Parking Activity 03116 5969 350990 97.68 KJ SERVICES 011.1060.595200 135.00 Recycling Program Activities 03/16 8587 350991 011.1060.595200 760.00 Used Oil Trucking Grant 03/16 8588 350991 011.1060.595200 1,060.00 Used Oil Grant 04116 8597 350991 011.1060.595200 1,537.50 Used Oil Collection Event Services 8598 350991 3,492.50 INC LIBERTY MFG 011.4031.596200 172.80 Range Maintenance 8897 350992 172.80 LIEBERT CASSIDY WHITMORE 011,1024 593200 1,199 50 Re: F. Pirello IDR 1418144 350993 011.1024.593200 8,374.80 Re: Malkenhorst Breach of Contract 1418146 350993 011.1024.593200 51.00 Re:J. Chavez Discipline 1418147 350993 011 1024 593200 2,159.78 Re: Malkenhorst CalPers Writ Petition 1418148 350993 Printed 5/9/2016 9 51 30AM Page 21 of 20 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P_O_# NUMBER AMOUNT 11,785.08 INC LIFE ASSIST 011.1033.520000 1.364.75 Cylinder, M60 Aluminu, CGA540 Valve 745555 011.0011443 350994 011.1033.520000 122.83 Sales Tax 745555 350994 1,487.58 LN CURTIS&SONS 011.1033.520000 228.90 Jumper Boots 138203901 350995 011 1033.520000 375.00 O-Plate Rescue Plate w19.5 Ton Shackle 139314500 011.0011516 350995 011.1033.520000 25.22 Freight 139314500 011.0011516 350995 011.1033.520000 33.75 Sales Tax 139314500 350995 011.1033.520000 173.47 Steel Toe Boots 605174400 350995 836.34 INC LU'S LIGHTHOUSE 011.1046.520000 15.52 HMEG fuse holders 618962 011.0011460 350996 011 1046.520000 177.14 230-ST 310 red starter cable(25ft) 618962 011.0011460 350996 011.1046.520000 17.34 Sales Tax 618962 350996 210.00 GABRIEL MARTINEZ 011.1031.596500 256.04 ICI Homicide School 032816 350997 256.04 NATIONAL SIGNAL 011 1046 520000 55.00 2165966 10"swivel tongue jack assy 234151N 011.0011447 350998 011.1046.590000 15.98 Freight 234151N 011.0011447 350998 011.1046.520000 4.96 Sales Tax 234151N 350998 75.94 INC OGS TECHNOLOGIES 011.4031,520000 1,500.00 Supplies 203147 350999 Printed:5/912016 9 51 30AM Paqe 22 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT 1,500.00 LLC POPCORNOPOLIS 011.199999 940.00 Refund New Bldng C-2016-0411 Ref000188787 351000 940.00 LLC PROCHEMCO 011.1031.590000 503.97 1-Gallon Bottles of PrOlix solvent-- 510309 011 0011519 351001 50397 JOSE RAMOS 011.1031.502030 160.00 Vision Benefits: Spouse 042516 351002 160.00 INC RICHARD P GUESS MD 011.1033.596200 750.00 Medical Director Fees 041016 351003 750.00 RICHARDS,WATSON &GERSHON 011.1024.593200 1,033.05 Re: LA MS4 Permit Petition 206282 351004 1.03305 RUBEN RODRIGUEZ 011.1026.596800 467.80 Tuition Reimbursement 042716 351005 467.80 ANTHONY ROTELL 011.1026.596800 574.00 Tuition Reimbursement 032416 351006 574.00 SANTA FE BUILDING 011.1049,590000 6,368.00 Janitorial Services 03116 14742 351007 MAINTENANCE 6,368.00 SCOTT CAMPBELL CO 011.1049 590000 309.00 Repairs 31890 351008 309.00 Printed 51912W 6 9 51 30AM Page 23 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT SIMPLEXGRINNELL, LP 011.120010 1.920.00 2780-100 12"Clocks, Round, 82408584 011.0011482 351009 011.120010 90.00 Freight 82408584 011.0011482 351009 011.120010 172.80 Sates Tax 82408584 351009 2,182.80 SLA CORPORATION 011.9019.590110 493.56 ESCHAT SUBSCRIPTION•- 330201601 011.0011480 351010 011.9019.590110 1,425.84 ESCHAT SUBSCRIPTION LPD 330201601 011.0011480 351010 DEPARTMENT- 011.9019 590110 2,577.48 ESCHAT SUBSCRIPTION CS 330201601 011.0011480 351010 DEPARTMENT 4,496.88 LINDA SMITH 011.1060.502030 243.99 Vision Benefits: Spouse 041816 351011 011.1060.502030 202.98 Vision Benefits 041816(2) 351011 446.97 SNAP-ON INDUSTRIAL 011 1046.520000 945.83 EELD100A evap smoke machine ARV28621735,285 011 0011450 351012 94698 011.1046.520000 28.04 EELD500CVR cover smart smoke evap ARV28621735,285 011.0011450 351012 94698 011.1046.520000 87.64 Sales Tax ARV28621735,285 351012 94698 1,061.51 SOUTHWESTERN BAG COMPANY 011 120010 337.50 1628.150 36"X 60"X 22" .0009 mic, 405968 011 0011524 351013 011 120010 30.38 Sales Tax 405968 351013 367.88 STACY MEDICAL CENTER 011.1026.597000 87.50 Medical Services 1 G.Valdivia 245315804 351014 Printed:5/912016 9 51:30AM Pape 24 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT STACY MEDICAL CENTER 011.1031.594200 120.00 Pre-Booking Exam 521115998 351014 207.50 STATE STREET LAUNDRY 011.1031.520000 36.00 LAUNDRY SERVICES— 042716_multiple 011 0010824 351015 36.00 TESTAMERICA LABORATORIES, 020.1084.596200 6.50 Source Samples 44224946 351016 INC 020.1084.596200 19.50 Routine Bacti Samples 44224948 351016 020.1084.596200 78.00 Routine Bacti Samples 44224950 351016 020.1084.596200 39.00 Source Samples 44224958 351016 020.1084.596200 45.50 Source Samples 44225058 351016 020.1084.596200 105.00 Gen Phys Samples 44225059 351016 020.1084.596200 97.50 Routine Bacti Samples 44225061 351016 020.1084.596200 97.50 Routine Bacti Samples 44225313 351016 020.1084.596200 45.50 Source Samples 44225314 351016 020,1084.596200 105.00 Gen Phys Samples 44225612 351016 020,1084.596200 13.00 Source Samples 44226009 351016 020.1084.596200 97.50 Routine Bacti Samples 44226011 351016 020.1084.596200 45.50 Source Samples 44226245 351016 020.1084 596200 650 Potability 44226463 351016 020.1084.596200 97.50 Bacti Samples 44226549 351016 020.1084.596200 91.00 Potability 44226556 351016 020.1084 596200 45.50 Source Samples 44226993 351016 020.1084 596200 45.50 Source Samples 44227641 351016 Printed 5/9/2016 9 51:30AM Page 25 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 PRINTED CHECKS _ ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT TESTAMERICA LABORATORIES, 020.1084.596200 97.50 Routine Bacti Samples 44227642 351016 INC 1,178.50 TRINITY HONEY BEES 011.1060.595200 130.00 Swarm-Bee Pickup 144 351017 130.00 PC US HEALTHWORKS MEDICAL 011.1026.597000 175.00 Medical Services 2882544CA 351018 GROU 011 1026.597000 33.00 DMV Questionnaire 1 D. Moore 2886032CA 351018 011.1026.597000 119.00 Medical Services 1 J. Lau 2888699CA 351018 011 1026.597000 119.00 Medical Services 1 W. Herrera 2892873CA 351018 011A026.597000 238.00 PE Basic 2896035CA 351018 684.00 INC US TOW 011.1046.590000 75.00 Labor only to tow unit from 3255 Saco 139992 011 0011496 351019 75.00 GLORIA VALDIVIA 060.6060.596500 138.56 Hazardous Waste Training 041816 351020 88.56 FERNANDO VALENZUELA 011.1031.502030 200.00 Vision Benefits: Spouse 041316 351021 200,00 LLC WITTMAN ENTERPRISES 011.1033.596200 1,344.58 Billing Services 1603069 351022 1,344.58 Y&M ARCHITECTS 011.1048.900000 696.20 Remodel Vernon Homes 15175003 351023 011.1048.900000 604.80 Remodel Vernon Homes 15175005 351023 Printed:5/9/2016 9:51.30AM Page 26 of 28 CITY OF VERNON WARRANT REGISTER NO. 1448 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# NUMBER AMOUNT 1,301.00 YALE CHASE EQUIP& SERVICES 011.1046.520000 164.45 OE1047024 air filter housing assy. SI133635 011.0011457 351024 011.1046.590000 14.50 Freight S1133635 011.0011457 351024 011.1046.520000 14.80 Sales Tax S1133635 351024 193.75 INC ZUMAR INDUSTRIES 011.120010 1,100.00 Street Name Signs, 36"X 12", .125" 164344 011.0011414 351025 011.120010 105.00 Cantilever Arm Brackets,#1010 164344 011.0011414 351025 011.120010 108.45 Sales Tax 164344 351025 011.120010 79500 3260-360 SEMI-TRIALERS 164455.164535 011.0011476 351025 UNATTACHED, 36" 011.120010 993.80 3260-435 NO STOPPING 164455,164535 011.0011476 351025 COMMERCIAL 011.120010 -20.09 Difference from Invoice#0164535& 164455,164535 011.0011476 351025 011.120010 160.96 Sales Tax 164455,164535 351025 3.243.12 TOTAL PRINTED CHECKS $ 142,504.23 Pnnted 5/912015 9,51 30AM Page 27 of 28 CITY OF VERNON WARRANT REGISTER NO. 1"8 MAY 17, 2016 RECAP BY FUND EARLY PRINTED FUND WIRE TOTAL CHECK TOTAL CHECK TOTAL TOTAL 011 -GENERAL $ 465,554.25 5 285,862.98 S 80,005 19 5 831,422.42 020-WATER 129,464.01 486.64 60,454.80 190,405.45 057-FIBER OPTIC 0.00 10,023.41 0.00 10,023.41 060-HAZARDOUS WASTE 0.00 0.00 88.56 88.56 095-PARCEL TAX 0.00 0.00 1,955.68 1,955.68 GRAND TOTAL $ 595,018.26 $ 296,373.03 142,504.23 $ 1,033,895.52 TOTAL CHECKS TO BE PRINTED 74 Pnnred SIW2016 1:31 31)AM Page 20 of 28 �7- EFP./ED y MAY 10 Z016 *; m RECEIVED CITY CLERK'S OFFICE STAFF REPORT MAY f 0 20f6 CITY ADMINISTRATION FINANCE/TREASURY DEPARTMENT 5; (40 DATE: May 9, 2016 TO: Honorable Mayor and City Council FROM: William Fox, Finance Director RE: Light & Power Warrant Register for City Council Agenda of May 17, 2016 It is recommended that the attached Light & Power Warrant Register No. 413 be approved at the City Council meeting of May 17, 2016. Light & Power Warrant Register No. 413 totals $1,439,323.01, and covers claims and demands presented during the period of April 26 trhough May 9, 2016, drawn, or to be drawn, from East West Bank. The following list details the components of Light & Power Warrant Register No. 411 1. Ratification of wire transfers totaling $1,376,810.97; 2. Ratification of the issuance of early checks totaling $61,574.18; and 3. Authorization to issue pending checks totaling $937.86. y1...; LIGHT& POWER r WARRANT REGISTER NO.413 i a MAY 17, 2016 * ■ Y I hereby certify that claims and/or demands included in above listed warrant This is to certify that the claims or demands covered by the above listed register have been audited for accuracy and availability of funds for warrants have been audited by the City Council of the City of Vernon and payments and that said claims and/or demands are accurate and that the that all of said warrants are approved for payments except Warrant funds are available for payments thereof Numbers: William Fox Finance Director Date: Printed 5/9/2016 9 54 53AM Paqe 2 of 10 LIGHT& POWER WARRANT REGISTER NO.413 MAY 17, 2016 WIRES ACCOUNT DATE WIRE VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT WIRELESS INNOVATION LIMITED 055.9000.900000 10.00 Adjustments 28180 6081 055.9000.900000 3.540.00 Iridium 28664 6081 04/26/2016 3,550.00 LLC BICENT(CALIFORNIA) 055.9200.500150 -18,660.04 Energy CFD3201601 6082 MALBUR 055.9200,500180 236,567.66 Capacity CFD3201601 6082 055.9200.500180 44,053.89 Uprating Credit CFD3201601 6082 055.9200.500150 -7,331.40 CES Costs CFD3201601 6082 04/27/2016 254,630.11 LLC BIOFUEL GENERATION 055 9200 500162 8,470.75 Biomethane rps32016 6083 SERVICE 04/27/2016 8,470.75 NORTHWEST ELECTRICAL 055 9100.900000 662,330.16 System Upgrade 1624 6084 SERVICES, 04/28/2016 662,330.16 LLC ICE US OTC COMMODITY 055.9200.596200 1,200.00 Market Data Exchange Fees 316001688088 6085 MARKE 04/29/2016 1,200.00 STATE BOARD OF EQUALIZATION 055.200230 75,354.53 Elec Energy Surchages 01/16-03/16 043016 6086 04/29/2016 75,354.53 CALIFORNIA ISO 055.9200.500150 -1,032.55 Recalc Charges 04116 201604263132287 6087 930 055 9200.500170 -1,632.64 Recalc Charges 04116 201604263132287 6087 930 Printed 5/9/2016 9 54:53AM Pape 3 of 10 LIGHT& POWER WARRANT REGISTER NO. 413 MAY 17, 2016 WIRES ACCOUNT DATE WIRE VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.D.# ISSUED NUMBER AMOUNT CALIFORNIA ISO 055.9200.500190 90.15 Recalc Charges 04/16 201604263132287 6087 930 055 9200.500210 85.19 Recalc Charges 04/16 201604263132287 6087 930 055.9200.500150 131,349.35 initial Charges 04116 201604263132287 6087 930 055.9200.500170 3,189.93 Initial Charges 04/16 201604263132287 6087 930 055.9200,500210 14,361.92 Initial Charges 04/16 201604263132287 6087 930 055.9200.500190 -8,859 93 Initial Charges 04/16 201604263132287 6087 930 05/02/2016 137,551 42 SO CAL EDISON 055 9200.500170 146,640.00 Mead Laguna Bell 03/16 7500649822 6088 055.9200.500170 62,040.00 Victorvilie Lugo-Vernon 04/16 7500649853 6088 055.9200.500170 24,669.00 Laguna Bell 04/16 7500649854 6088 05/02/2016 233.349.00 LLC ICE TRADE VAULT 055 9200.596200 375.00 Minimum/Maximum Fee 316US01864 6089 05/03/2016 375.00 TOTAL WIRES $ 1,376,810.97 Printed 5/9/2016 9:54 53AM Paqe 4 of 10 LIGHT& POWER WARRANT REGISTER NO.413 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT INC FRY'S ELECTRONICS 055.8100.520000 834 84 Computer related items-- 16391426 055.0002289 512031 04/26/2016 834.84 MAYWOOD CAR WASH 055.8100.570000 41 50 Full Service Car Wash- 771(2) 055.0002302 512032 055.8100.570000 42 50 Full Service Car Wash- 780 056.0002302 512032 04/26/2016 84.00 SO CAL JOINT POLE COMMITTEE 055 9100 596200 609.00 Operating Expenses 03/16 18969 512033 04/26/2016 609.00 STAPLES ADVANTAGE 055.8000.520000 134.21 Office Supplies, Order#7151295076 022716_multiple(2) 055 0002373 512034 055.9000.520000 76.63 Office Supplies, Order#7151295076 022716_multiple(2) 055.0002373 512034 055.9100.520000 21.08 Office Supplies, Order#7151295076 022716_multiple(2) 055.0002373 512034 055 9200 520000 80.63 Office Supplies, Order#7151295076 022716_multiple(2) 055.0002373 512034 055.8000.520000 12.07 Sales Tax 022716_multiple(2) 512034 055.9000.520000 6.89 Sales Tax 022716_multiple(2) 512034 055.9100.520000 1.90 Sales Tax 022716_multiple(2) 512034 055.9200.520000 7.24 Sales Tax 022716_multiple(2) 512034 055.9000.520000 459.95 Office Supplies, Order#7152946371 032616_multiple 055.0002378 512034 055.9100.520000 216.37 Office Supplies, Order#7152946371 032616_multiple 055.0002378 512034 055.8000.520000 16.75 Office Supplies, Order#7152946371 032616_multiple 055.0002378 512034 055 9000.520000 41.39 Sales Tax 032616_multiple 512034 055.9100.520000 19.47 Sales Tax 032616_multiple 512034 055.8000.520000 1 50 Sales Tax 032616_multiple 512034 04/26/2016 1,096.08 Printed 51912016 9 54 53AM Page 5 of 10 LIGHT & POWER WARRANT REGISTER NO. 413 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT LOS ANGELES ELEVATOR 055.8400.590000 1,200.00 Elevator Repairs 8933(2) 512035 SERVICES 04/28/2016 1,200.00 SO CAL EDISON 055.9100.464000 1,731.00 Bill of Sale for Joint Pole 7500649402 512036 04/28/2016 1,731.00 UNITED STEEL FENCE COMPANY 055.8400.590000 2,147.00 Repair Fence 17627 512037 04/28/2016 2,147.00 CURRENT WHOLESALE ELECTRIC 055.8000.590000 1,554.98 Electrical Supplies-- 240362 055.0002288 512038 05/03/2016 1,554.98 HOME DEPOT CREDIT SERVICES 055.9100.520000 106.92 Model#747-123050H31- 1002252442 055.0002370 512039 055.9100.520000 99.97 Model#3PL-TP-DF-24W- 1002252442 055.0002370 512039 055.9100.520000 89,70 Model#18888004- 1002252442 055.0002370 512039 055.9100.520000 64.70 Model#GT-200STCB- 1002252442 055.0002370 512039 055.9100.520000 52.90 Model#HCWi516- 1002252442 055.0002370 512039 055 9100.520000 74.85 Model#HRW1516- 1002252442 055.0002370 512039 055.9100.520000 188.00 Model#CFHD0620C^- 1002252442 055.0002370 512039 055.9100.520000 9.94 Model#5109LSH15-- 1002252442 055.0002370 512039 055.9100.520000 61.83 Sales Tax 1002252442 512039 05/0312016 748.81 LB JOHNSON HARDWARE CO#1 055.8000.590000 240.05 Building Hardware- 032816_multiple 055.0002290 512040 05/03/2016 240.05 Printed 519/2016 9 54 53AM Paqe 6 of 10 LIGHT& POWER WARRANT REGISTER NO.413 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P,0.0 ISSUED NUMBER AMOUNT LOS ANGELES ELEVATOR 055.8400.590000 2,450.00 Elevator Repairs 9088 512041 SERVICES 05/03/2016 2,450.00 MCMASTER CARR SUPPLY 055.8000.590000 63.89 Hardware Supplies- 51244386 055.0002291 512042 COMPANY 055.8000.590000 43.35 Hardware Supplies- 53054104 055.0002291 512042 055.8000.590000 769.00 Hardware Supplies- 53113341 055.0002291 512042 055.8000.590000 308.17 Hardware Supplies- 53412546 055.0002291 512042 05/03/2016 1,184.41 HILDA MORENO 055.9000.596500 28.51 Mileage Reimbursement 042816 512043 05/03/2016 28.51 LISA UMEDA 055.9000.596500 16.32 CPUC Safety Event 042816 512044 05/03/2016 16.32 WALTERS WHOLESALE ELECTRIC 055.8000.590000 627.56 Electrical Parts- 032416_multiple 055,0002301 512045 CO. 05/03/2016 627.56 INC PORT CANAVERAL PWR 055.9000.900000 6,674.90 Consulting Services VERNPVHAPRIL2 512046 CONSULT 016 055.9000.596200 40,334.89 Consulting Services VERNPVHAPRIL2 512046 016 05/05/2016 47,009.79 UPS 055.8000.590000 11.83 Service Period: 04/16 933312166 512047 05/05/2016 11.83 Printed:51912016 9:54:53AM Page 7 of 10 LIGHT& POWER WARRANT REGISTER NO. 413 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT TOTAL EARLY CHECKS $ 61,574.18 Prmbed 5+9+20i6 9-S4:53AM Page a of 10 LIGHT& POWER WARRANT REGISTER NO. 413 MAY 17, 2016 PRINTED CHECKS ACCOUNT CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O_# NUMBER AMOUNT JESSE BLUE 055.8100.596700 60.00 City Mandated Program 042716 512048 60.00 CHARLES MONTOYA 055.8000.596700 494.88 NW Electricity Metering System 042616 512049 494.88 RICHARD RECANO 055.8100,502030 250.00 Vision Benefits: Spouse 042516 512050 250.00 EFRAIN SANDOVAL 055.9200.596700 32.98 GHG Working Group 042616 512051 32.98 SHOETERIA 055.9100.540000 100.00 Steel Toe Boots-- 97155 055 0002316 512052 100.00 TOTAL PRINTED CHECKS 5 937.86 Printed:519/2016 9-54 53AM Page 9 of 10 LIGHT& POWER WARRANT REGISTER NO. 413 MAY 17, 2016 RECAP BY FUND EARLY PRINTED FUND WIRE TOTAL CHECK TOTAL CHECK TOTAL TOTAL 055- LIGHT&POWER 1,376,810 97 $ 61,574.18 $ 937.86 $ 1,439,323 01 GRAND TOTAL $ 1,376,810.97 $ 61,574.18 s 937.86 $ 1,439,323.01 TOTAL CHECKS TO BE PRINTED 5 Pnnted 5/9*01$ 8-94-51W Page 10 of 10 F-]CEAS ED i MAY 10 2016 ` �� RECEIVED CITY CLERKS OFFICE MAY 10 2016 STAFF REPORT CITY ADMINISTRATION FINANCE/TREASURY DEPARTMENT DATE: May 9, 2016 TO: Honorable Mayor and City Council FROM: William Fox, Finance DirectorW-�L RE: Gas Warrant Register for City Council Agenda of May 17, 2016 It is recommended that the attached Gas Warrant Register No. 201 be approved at the City Council meeting of May 17, 2016. Gas Warrant Register No. 201 totals $210,950.78, and covers claims and demands presented during the period of April 26 trhough May 9, 2016, drawn, or to be drawn, from East West Bank. The following list details the components of Gas Warrant Register No. 201: 1. Ratification of wire transfers totaling $180,496.08; 2. Ratification of the issuance of early checks totaling $30,454.70; and of i; 41 CITY OF VERNON GAS DEPARTMENT 'x WARRANT REGISTER NO. 201 rT . MAY 17, 2016 *`4rtr tiW I hereby certify that claims and/or demands included in above listed warrant This is to certify that the claims or demands covered by the above listed register have been audited for accuracy and availability of funds for warrants have been audited by the City Council of the City of Vernon and payments and that said claims and/or demands are accurate and that the that all of said warrants are approved for payments except Warrant funds are available for payments thereof. Numbers: William Fox Finance Director Date: Printed 5/9/2016 9 46:46AM Paqe 2 of 5 CITY OF VERNON GAS DEPARTMENT WARRANT REGISTER NO. 201 MAY 17, 2016 WIRES ACCOUNT DATE VVIRE VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT THE GAS COMPANY 056.5600.550022 87,187.52 Transmission Services 02/16 030216 449 04/28/2016 87,187.52 THE GAS COMPANY 056.5600.550022 93,308.56 Transmission Services 03/16 030216(2) 450 04/29/2016 93,308.56 TOTAL WIRES $ 180,496.08 Printed 5/912016 9:46 46AM Page 3 of 5 CITY OF VERNON GAS DEPARTMENT WARRANT REGISTER NO. 201 MAY 17, 2016 EARLY CHECKS ACCOUNT DATE CHECK VENDOR DISPLAY NUMBER AMOUNT DESCRIPTION INVOICE P.O.# ISSUED NUMBER AMOUNT INC A-BEST INDUSTRIAL 056.5600.520000 1,415.91 Gas Materials- IN7852 056.0000348 1409 04/26/2016 1,415.91 MAYWOOD CAR WASH 056.5600.570000 17.00 Car Wash- 771 056.0000345 1410 04/26/2016 17.00 INC Al CONSTRUCTION 056.5600.900000 17,642.50 Special Inspection 2016204 1411 INSPECTION 05/05/2016 17,642.50 CALTROL, INC. 056.5600.900000 4,441.76 NPS 2 299H- 355396RI 056.0000384 1412 056.5600.900000 53.68 Freight 355396RI 056.0000384 1412 056.5600.900000 404.59 Sales Tax 355396RI 1412 05/05/2016 4,900.03 INC MEASUREMENT CONTROL 056.5600.900000 5,898.00 11M175-CTR 186696 056.0000386 1413 SYSTEM 056.5600.900000 50.44 Freight 186696 056.0000386 1413 056.5600.900000 530.82 Sales Tax 186696 1413 05/05/2016 6,479.26 TOTAL EARLY CHECKS S 30,454.70 Printed 5/9/2016 9 46 46AM Page 4 of 5 CITY OF VERNON GAS DEPARTMENT WARRANT REGISTER NO. 201 MAY 17, 2016 RECAP BY FUND EARLY PRINTED FUND WIRE TOTAL CHECK TOTAL CHECK TOTAL 70rAL 056- NATURAL GAS $ 180,496.08 $ 30,454.70 $ i i;i' $ 210,950 78 GRAND TOTAL $ 180,496.08 $ 30,454.70 $ 0.00 $ 210,950.78 TOTAL CHECKS TO BE PRINTED 0 Printed 5/9/2016 9 46:46AM Page 5 of 5 RECEIVED MAY 10 2016Of RECEIVED "ty CITY GLfR!{S OFFICE MAY 10 2W el - ; CITY ADM INI TRATIOI, FIRE DEPARTMENT la— Michael A.Wilson,Fire Chief 4305 Santa Fe Avenue,Vernon,California 90058 Telephone(323)583-8811 Fax(323)826-1407 May 10, 2016 Honorable Mayor and City Council City of Vernon Honorable Members: Attached is a copy of the Vernon Fire Department Activity Report which covers the period of April 16, 2016 through April 30, 2016. Respectfully Submitted, tic el i�son Fire Chief MAW:ar Fircletnow E7 cfusivefy Industriaf VERNON FIRE DEPARTMENT COMPANY ACTIVITIES April 16, 2016 to April 30,2016 This Period Last Year This This Year Last Year To Date Period To Date ACTIVITY TYPE FIRE PREVENTION: Regular Inspections (#): 93 626 22 534 Re-Inspections (#): 11 87 6 53 Spec. Haz. Inspections {#): 1 18 1 9 Total Inspections: 105 731 29 596 Total Man Hours: 142 1066 44 742 TRAINING (HOURS): Firefighting 111 769 74 631 Hazardous Materials 28 286 25 232 Safety 129 1041 132 999 Apparatus Operations 126 1013 130 993 Equipment Operations 128 1025 129 982 CPR 4 19 0 30 First Aid 18 174 38 196 Total Hours: 544 4327 528 4063 PRE-INCIDENT(HOURS): Planning 88 715 78 655 District Familiarization 86 735 97 713 Total Hours: 174 1450 175 1368 PERIODIC TEST(HOURS): Hose Testing 0 26 0 1 Pump Testing 0 10 0 3 Total Hours: 36 0 4 Page 1 PUBLIC SERVICE PROGRAMS (HOURS) School Programs 7 15 2 7 Fire Brigades 5 13 0 4 Emergency Preparedness 14 102 10 100 Total Hours: 26 130 12 111 ROUTINE MAINTENANCE(HOURS): Station 126 990 124 976 Apparatus 131 1009 125 990 Equipment 132 1025 135 1008 Total Hours: 389 3024 384 2974 Grand Total Hours: 1275 10033 1143 9262 Tireactivity Page 2 .o a N ti O Ln O x w � o a a� Lnl 41 w C .D m O � N A •� N V � w _ a .0 � a 0 a a v m r••i a r N r T p a � a 0 x a N fr1 r N r' Ill M M • y Z p a G •a•� 0 }_ a zW 3 0 i a u a uj .. o z 3 z L� W Ha mCL zo J •� z aocE o � � � YQ d � 0 � °u " Fu— � z _vLt7 � y 0 0 Z a �, N Q °`w W r� U eaLLI ar ri Q ,orj.4/ Jcc: Y m 7 ++ y a v � uaa � = v�'-, H 52 = zuEiv+ �7' 33 W W W W W W W W W W W W W Uj k. W Li LL W W LL L. W U. Vf Incident Type Incident Date PREVENTION FOLLOW-UP? Shift 745 Alarm system activation,no fire,u n intentional 04/16/2016 10:28:40 No 700 False alarm or false call, other 04/16/2016 12:16:59 No 322 Motor vehicle accident with injuries 04/16/2016 14:00:01 No 622 No incident found on arrival at dispatch addr 04/17/2016 17:44:12 No 321 EMS call, excluding vehicle accident with inju 04/17/2016 18:06:17 No 621 Wrong location 04/17/2016 20:56:42 No 321 EMS call, excluding vehicle accident with inju 04/18/2016 05:07:37 No 142 Brush, or brush and grass mixture fire 04/18/2016 10:47:58 No 321 EMS call, excluding vehicle accident with inju 04/18/2016 13:46:52 No 422 Chemical spill or leak 04/18/2016 15:09:07 No 321 EMS call, excluding vehicle accident with inju 04/18/2016 16:15:17 No 322 Motor vehicle accident with injuries 04/19/2016 09:28:59 No 311 Medical assist, assist EMS crew 04/19/2016 09:47:27 No 311 Medical assist, assist EMS crew 04/19/2016 16:20:42 No 700 False alarm or false call, other 04/19/2016 17:13:26 No 700 False alarm or false call, other 04/20/2016 03:07:51 No 700 False alarm or false call, other 04/20/2016 08:08:17 No 324 Motor vehicle accident with no injuries 04/20/2016 12:49:25 No 311 Medical assist, assist EMS crew 04/20/2016 18:15:55 No 321 EMS call, excluding vehicle accident with inju 04/20/2016 18:38:47 No 611 Dispatched $ canceled en route 04/21/2016 11:32:54 No 571 Cover assignment, standby, moveup 04/21/2016 11:%09 No 111 Building fire 04/21/2016 14:49:37 No 321 EMS call, excluding vehicle accident with inju 04/21/2016 15:32:23 No 463 Vehicle accident, general cleanup 04/21/2016 15:45:18 No 321 EMS call, excluding vehicle accident with inju 04/21/2016 16:55:25 No 311 Medical assist, assist EMS crew 04/21/2016 22:05:27 No 321 EMS call, excluding vehicle accident with inju 04/22/2016 09:24:53 No 700 False alarm or false call, other 04/22/2016 13:59:21 No 700 False alarm or false call, other 04/22/2016 14:06:03 No 700 False alarm or false call, other 04/22/2016 17:35:17 No 321 EMS call, excluding vehicle accident with inju 04/23/2016 06:58:28 No 321 EMS call, excluding vehicle accident with inju 04/23/2016 09:16:58 No 571 Cover assignment, standby, moveup 04/23/2016 15:15:03 No 571 Cover assignment, standby, moveup 04/23/2016 15:18:50 No 321 EMS call, excluding vehicle accident with inju 04/23/2016 16:03:13 No 324 Motor vehicle accident with no injuries 04/26/2016 07:22:02 No 740 Unintentional transmission of alarm, other 04/26/2016 08:08:46 No 300 Rescue, EMS incident, other 04/26/2016 11.11:52 No 531 Smoke or odor removal 04/27/2016 07:55:40 No 424 Carbon monoxide incident 04/27/2016 10:32:24 No 600 Good intent call, other 04/27/2016 13:49:28 No 321 EMS call, excluding vehicle accident with inju 04/27/2016 14:22:00 No 322 Motor vehicle accident with injuries 04/28/2016 05:00:21 No 622 No incident found on arrival at dispatch addr 04/28/2016 10:55:54 No 321 EMS call, excluding vehicle accident with inju 04/28/2016 22:14:16 No 731 Sprinkler activation due to malfunction 04/29/2016 02:50:20 No 700 False alarm or false call, other 04/29/2016 10:51:40 No 321 EMS call, excluding vehicle accident with inju 04/29/2016 11:51:30 No 322 Motor vehicle accident with injuries 04/30/2016 03:09:30 No 551 Assist police or other governmental agency 04/30/2016 11:44:53 No w 0 N 0 0 x w a ° a as o� in r N N o Q V c * aw � CL x � k 0 � o a o W � o � u 3 x zLA a r r r r r r r M r N N "IT M M r r M Lf'1 r r r r e^ r r qr N 1l1 N r • ar + dg Q S 'a Z G C ar LA a.+ c ' = � = + uZW � a° 3 OC Y Y CL 9 l7 0 + V1 O �_ 0 } a G G Z wo a W Z O J z a 1i W Z 3 C J J Li A� a � C y rf J z o 0 o u ,,, L D b ro L �' 3 3 F- 9 Z CC U LA J J LLJ �n > > W Y u. 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LA Ln LA Ln s^ AA wN T ^ M T T M r r r T T T T N %D N9r T N T r N T N V. ca • A p + p p • • �' • --� � p + as • � H 0 � E � W W a ~ G bZ � potuw > � + pOz � � = zaaoa4 : zap a » � zQL5 _jE- � zzW � � 2 � � � " f= � 3 � 3v, 3 ~ Z H a T Q d J U p H H a w 9 � W W W W V y�� to W n a a Y H m U O tip V O � M O r3 r u .�T' t O V Swan ' mgQ� = acua. lai � = = � ? �' 46ACAiau"i+ NH �H � =m W W W W W W W W W W W W W W W W W W W W W W W W W W W Il. LL LL ... RECEIVED MEMO r MAY 0 9 2016 4 CITY ADMINISTRATION +kf r w* . X S-lo-(`f HEALTH & ENVIRONMENTAL CONTROL DEPARTMENT DATE: May 9, 2016 TO: Carlos Fandino, City Administrator FROM: Lewis Pozzebon, Interim Director/Health Officer � � RE: Transmittal of Health & Environmental Control Department Monthly Report I am forwarding the attached subject report for April 2016 for submission to the City Council. 1 am requesting that the report be placed on the next City Council agenda. Please let me know if you need additional information. Attachment RECEIVED MAY 10 2016 CITY CLERK'S OFFICE HEALTH & ENVIRONMENTAL CONTROL DEPARTMENT A 4 2M 6 J100* + ya�f 4 City of Vernon Lewis Pozzebon, Interim Director/ Health Officer HEALTH & ENVIRONMENTAL CONTROL DEPARTMENT MONTHLY REPORT APRIL 2016 HAZARDOUS MATERIALS CONTROL Hazardous Materials Program activities in April were significant and numerous. Staff continue to participate in the closures of Exide and Clorox, as well as several other long term closures (Thermador, Pechiney, and others). In addition,we are focusing on responding to the most recent Certified Unified Program Agency evaluation report prepared by the California Environmental Protection Agency that noted some needed improvements. With the extra efforts and time required for staff to assist business in entering chemical data into the mandated California Electronic Reporting System during the last several years, inspections of businesses were delayed. Staff are concentrating on getting caught up, as well as making some improvements in our program procedures. Senior Environmental Specialist Linda Johnson is assisting the City and current owner in efforts to monitor the left-in-place contamination approved by the California Department of Toxic Substance Control at the former Thermador site on Atlantic and District Boulevards. In addition, Senior Environmental Specialist Lyndon Ong Yiu provided guidance to the City's Public Works Department and the contractor for the new Fire Department Training Center to address worker safety concerns with the presence of lead at the site. Support was provided for emergency response incidents regarding carbon monoxide and an oven fire in April. In addition, one special enforcement investigation was conducted in coordination with Los Angeles County's Haz Mat Department. UNDERGROUND TANKS Five underground tanks were removed in April from the Exxon Mobil facility including three 6,000 gallon diesel tanks,one 1,000 gallon waste oil tank,and one 1,000 gallon spill containment tank. The City's Health Department has 63 underground storage tanks still remaining under permit,and has documented the removal 1226 tanks since it started tracking removals! Our staff continues to monitor various underground tank sites which are undergoing testing and repairs as a result of annual requirements. FOOD PROGRAM Inspections of retail and wholesale food facilities were the dominant activities for April. 444 Senior Environmental Specialist Lyndon Ong Yiu conducted three plan check reviews for wholesale food processing facilities. SOLID WASTE PROGRAM Linda Johnson has been working on several State grant applications that will help fund Health Department program activities. The grants will be applied to improving local enforcement of solid waste regulations and laws, the used oil and filter recycling program, and beverage container recycling. Environmental Specialist Gloria Valdivia participated in an electronic waste collection event on April 5, 2016 sponsored by the Health Department. Initial reports indicate that approximately twenty businesses brought in electronic waste for recycling and disposal. An official report detailing the amount and types of waste will be provided at a later date. STORM WATER PROGRAM Senior Environmental Specialist Jerrick Torres conducted storm water protection plan reviews for several facilities and construction sites in Vernon. In addition, he is participating in Los Angeles County's coordinated integrated monitoring plan process. ENVIRONMENTAL PROTECTION/OUTREACH Health Department staff continues to expand its education and knowledge by attending special training and conferences to further their technical skills that are required to conduct the wide range of public environmental health protection programs in Vernon. Some of the sessions included vector control, emergency response, hazardous materials, and lead monitoring. 444 Fifteen water samples were collected from the three potable water supply systems within the City. All of the samples met State standards for potability. Samples are tested for Total Coli-forms and E-Coli; which are indicators of possible contamination. 444 Environmental Specialist Erik Cheng conducted mosquito surveillance in April. He also responded to and investigated a rodent complaint. Animal control activities in April included the rescue of several cats from a local business, several possum complaints, and multiple loose dog calls. 444 Animal control activities in April included requests for Southeast Area Animal Control Authority (SEAACA) to pick up four cats and one dog. Also an injured bird was rescued. K:LEWIS/Monthly Reports/2016/monthly April 2016 doc RE07,1�k;'r77D of RECEIVED �4Q 1 MAY 0 4 2�13+0 { ru I.,,� 0 2 2016 CITY CLERKS 0FFICE � � � CITY ADMINISTRATION POLICE DEPARTMENT Daniel Calleros, Chief of Police 4305 Santa Fe Avenue,Vernon, California 90058 Telephone (323)587-5171 Fax(323)826-1481 May 2, 2016 Honorable City Council City of Vernon Vernon, California Honorable Members: Attached are copies of the Vernon Police Department Activity Log and Statistical Summary of Arrest and Activities which cover the period from 12:01 a.m., April 16, 2016 up to and including midnight of April 30, 2016. Respectfully submitted, VERNON POLICE DEPARTMENT �,� �'a", DANIEL CALLEROS CHIEF OF POLICE DC/dr EY,cfusivefy Industriaf VERNON POLICE DEPARTMENT Department Activity Report First Date: 04/16/2016 Jurisdiction: VERNON Last Date: 04/30/2016 Department Complaint All Units Primary Unit Type Description VPD 10-6 OFFICER IS 10-6 C7.961,962,10-10,WASH, EQUIPh 113 1 1 1 10-96H PICK UP THE JAIL PAPER WORK FROM HP JAIL 2 2 10-96M 10-96 MARY(MAIL DETAIL) 9 5 140 SUPPLEMENTAL REPORT 1 1 20001 INJURY HIT AND RUN 15 2 20001R INJURY HIT AND RUN REPORT 3 1 20002 NON-INJURY HIT AND RUN 8 4 20002R NON-INJURY HIT AND RUN REPORT 10 8 207R KIDNAPPING REPORT 3 1 211R ROBBERY REPORT 2 l 211S SILENT ROBBERY ALARM 5 1 242 BATTERY 6 2 242R BATTERY REPORT 12 3 245 ASSAULT WITH A DEADLY WEAPON 15 2 245R ASSAULT WITH A DEADLY WEAPON REPORT 2 1 273.5 DOMESTIC VIOLENCE 4 1 415 DISTURBING THE PEACE 11 5 459 BURGLARY 9 2 459A AUDIBLE BURGLARY ALARM 170 90 459R BURGLARY REPORT 6 2 459S SILENT BURGLARY ALARM 2 1 459V BURGLARY TO A VEHICLE 2 1 459VR BURGLARY TO A VEHICLE REPORT 5 5 476R FRAUD REPORT 3 1 484 PETTY THEFT 4 2 484R PETTY THEFT REPORT 8 4 487R GRAND THEFT REPORT 3 3 586 PARKING PROBLEM 23 13 594 VANDALISM 3 1 594R VANDALISM REPORT 12 8 602 TRESPASS 18 6 901T INJURY TRAFFIC COLLISION 14 4 901TR INJURY TRAFFIC COLLISION REPORT 2 1 902T NON-INJURY TRAFFIC COLLISION 34 23 902TR NON-INJURY TRAFFIC COLLISION REPORT 3 2 909T TRAFFIC HAZARD 2 1 911 911 MISUSE 1 HANGUP 3 2 911A CONTACT THE REPORTING PARTY 19 16 917A ABANDONED VEHICLE 1 1 925 SUSPICIOUS CIRCUMSTANCES 21 9 927 UNKNOWN TROUBLE 2 1 AB109 PROBATION I PAROLE COMPLIANCE CHECKS 2 1 ASTVFD ASSIST VERNON FIRE DEPARTMENT 22 14 BOVEH BROKEN DOWN VEHICLE 17 14 CITCK CITATION CHECK 8 8 CIVIL CIVIL MATTER 1 1 COP COP DETAIL 4 4 DET DETECTIVE INVESTIGATION 26 12 0510112016 00:03.24 Page 1 of 2 VERNON POLICE DEPARTMENT Department Activity Report First Date: 04/16/2016 .jurisdiction: VERNON Last Date: 04/30/2016 Department Complaint All Units Primary Unit Type Description VPD DETAIL DETAIL 3 3 DPTAST DEPARTMENTAL ASSIST 1 1 DUI DRIVING UNDER THE INFLUENCE 6 3 FILING OFFICER IS 10-6 REPORT WRITING 53 51 FOUND FOUND PROPERTY REPORT 2 1 FU FOLLOW UP 11 8 GTA GRAND THEFT AUTO 4 1 GTAR GRAND THEFT AUTO REPORT 3 2 HBC HAILED BY A CITIZEN 6 4 KTP KEEP THE PEACE 6 2 MR60 MISC REPORT 3 1 PAPD PUBLIC ASSIST-POLICE 8 5 PATCK PATROL CHECK 99 84 PEDCK PEDESTRIAN CHECK 74 41 PRSTRAN PRISONER TRANSPORTED 12 9 REC RECOVERED STOLEN VEHICLE 17 6 RECKLESS DF RECKLESS DRIVING(23103) 6 3 REPO REPOSSESSION 2 2 SPEED SPEED CONTEST OR SPEEDING(23109) 1 1 TRAFFIC STOI TRAFFIC STOP 156 119 VCK VEHICLE CHECK 81 57 VEH RELEASE VEHICLE RELEASE 2 2 VIDEOCHECK VIDEO EQUIPMENT CHECK(10-96 V) 1 1 WARRANT WARRANT ARREST 3 1 WELCK WELFARE CHECK 14 6 WRNTSVC WARRANT SERVICE 13 13 Department: 1257 831 Overall: 1257 832 0510112016 00:03:24 Page 2 of 2 VERNON POLICE DEPARTMENT Police Activity Report Period Ending: 04/30/16 TRAFFIC COLLISIONS NO. PROPERTY RECOVERED TOTAL 16 VEHICLES: $3,500.00 NON-INJURY 14 INJURY 2 Pedestrian Fatalities City Property Damage 3 Hit&Run(Misdemeanor) 4 Hit&Run(Felony) Persons Injured 5 VEHICLES STORED PROPERTY RECOVERED FOR Unlicensed Driver 7 OTHER DEPARTMENTS Abandoned/Stored Vehicle 10 VEHICLES: $45,108.00 Traffic Hazard 1 CITATIONS Citations Iss (Prisoner Release) 16 Citations Iss (Moving) 68 Citations Iss (Parking) 24 Citations Iss (Total) 92 Hazardous 32 Non-Hazardous 36 Other Violations CASES CLEARED BY ARREST AR16-129 CR16-0648 487(D)(1) PC AR16-139 CR16-0680 11364 HS AR16-130 CR16-0651 11364 HS AR16-140 CR16-0681 11364 HS AR16-131 CR16-0653 245(A)(1) PC AR16-145 CR16-0685 25850(A) PC AR16-132 CR16-0654 11364 HS AR16-147 CR16-0692 496(A) PC AR16-133 CR16-0656 594(B)(1) PC AR16-149 CR16-0711 11364 HS AR16-134 CR16-0642 245(A)(1)PC AR16-150 CR16-0714 459 PC AR16-137 CR16-0674 10851(A) VC AR16-151 CR16-0715 11364 HS AR16-138 CR16-0679 245(A)(1) PC AR16-152 CR16-0716 10851(A) VC VERNON POLICE DEPARTMENT REPORT FOR PERSONS ARRESTED PERIOD ENDING_ 04/30/16 ADULT FELONY ARRESTS AND DISPOSITIONS MALE FEMALE TOTAL ASSAULT WITH A DEADLY WEAPON 3 3 BURGLARY 1 1 CRIMINAL THREATS EVADING PEACE OFFICER HIT AND RUN LOADED FIREARM IN VEHICLE 1 1 2 VANDALISM 1 1 VEHICLE THEFT 1 2 3 WARRANT VERNON CASE WARRANT OUTSIDE AGENCY TOTAL FELONY ARRESTS 7 3 10 ADULT MISDEMEANOR ARRESTS AND DISPOSITIONS MALE FEMALE TOTAL BATTERY BATTERY ON SPOUSE FALSE INFO TO PEACE OFFICER POSS. CONTROLLED SUBSTANCE POSS. NARCOTIC PARAPHERNALIA 4 2 6 POSS. STOLEN PROPERTY 1 1 RESIST/DELAY TO PEACE OFCR. TRESPASSING WARRANTS VERNON CASE 4 1 5 WARRANTS (OUTSIDE AGENCY) 2 2 TOTAL MISD. ARRESTS 11 3 14 JUVENILES DETAINED --- FELONY AND MISDEMEANOR MALE FEMALE TOTAL BURGLARY PETTY THEFT VANDALISM VEHICLE THEFT WARRANTS (BENCH) TOTAL JUVENILES DET. 1 0 0 0 TOTAL FELONY ARRESTS (ADULT) TO DATE: 47 TOTAL MISDEMEANOR ARRESTS (ADULT)TO DATE: 99 TOTAL JUVENILES DETAINED (FELONY AND MISDEMEANOR)TO DATE: 6 TOTAL ARRESTS AND DETAINED JUVENILES (FELONY AND MISDEMEANOR) TO DATE: 152 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/16/2016 Jurisdiction: VERNON Last Date: 04/1 612 01 6 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407221 RPT 04/16/2016 02:34:13 JOSHUA 245R S SANTA FE AV H 49TH,VERNON VPD R2 DeDartmenl CR2 Number RMS Juris 0160643 CA0197300 VPD LUCAS,JASON *11-11 02:40:36 02:40:37 02:43:39 03:32:53 VPD OURIQUE,CARLO 11-12 02:41:53 02:43:16 03:35:52 20160407227 RPT 04/16/2016 05:44:28 FRANCISCO Departmem OCA Number RMS Juris 459 5831 S SANTA FE AV,VERNON VPD CR20160644 CA0197300 VPD *21-8 06:48:53 07:53:52 VPD LUCAS,JASON 1 L11 05:44:56 05:45:57 07:13:55 VPD 11-12 05:45:06 05:49:20 06:48:55 VPD VASQUEZ,LUIS 1L8 05:45:01 05:45:29 07:04:58 VPD SANTOS,DANIEL 1S1 05:44:49 05:49:22 07:16:33 VPD 21-12 06:50:29 06:57:02 07:15:44 20160407235 RPT 04/16/2016 11:19:04 L A CLOSEOUT Departmem OCA Number RMS Juris GTAR 5526 S SOTO,VERNON VPD CR20160645 CA0197300 VPD HERNANDEZ,EDV *2L12 11:21:01 11:24:35 11:25:59 11:21:04 12:31:29 VPD VELASQUEZ,RICt 21-11 11:21:07 11:24:37 20160407271 RPT 04/16/2016 23:00:30 SOW PEDCK S SANTA FE AV//28TH,VERNON Departmem OCA Number RMS Juris VPD CR20160646 CA0197300 CKOK SRVD VPD OURIQUE,CARLO *11-8 23:00:30 23:12:54 VPD LUCAS,JASON 1 L12 23:06:43 23:12:53 0411712016 05:01:34 Page 1 of 1 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/17/2016 Jurisdiction: VERNON Last Date: 04/17/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407307 VREC 04/17/2016 09:42:29 LASO AIRSHIP#8 Departmem OCA Number RMS Juris REC 2501 E 27TH,VERNON VPD CR20160647 CA0197300 VPD ONOPA,DANIEL *2L12 09:44:44 09:47:10 09:52:22 VPD HERRERA,GUSTF 21-11 09:44:47 09:47:06 11:22:54 20160407312 1015 04/17/2016 13:55:06 VREC REC S SOTO//44TH,VERNON PDartmem CR20 0648 Number C 0 97300 CITE VPD ONOPA,DANIEL *2L12 13:55:06 15:47:02 VPD HERRERA,GUSTF 21-11 13:58:13 13:59:32 15:58:43 VPD RODRIGUEZ,FER 2S2 13:59:34 15:46:59 VPD 2Z8 17:32:12 13:58:07 15:46:58 18:23:15 VPD ZOZAYA,OSCAR K91 13:58:05 15:46:56 20160407327 CITE 04/17/2016 20:13:48 SRVD TRAFFIC STOP S SANTA FE AV//27TH,VERNON DPDDartmem CRC20 0649 Number CR 0 97300 RPT VI VPD LUCAS,JASON *11-5 20:13:48 21:27:11 VPD REYNA,JOSE S 1 L6 20:13:52 20:19:21 21:27:12 20160407329 VI 04/17/2016 20:42:26 RPT VCK E 44TH H ALCOA AV,VERNON DPDDartmeni CR20 0650 Number R 0 97300 CITE VPD CERDA,EUGENIO *11-4 20:42:26 21:21:48 0412112016 00:53:1f Page 1 of 1 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/18/2016 Jurisdiction: VERNON Last Date: 04/18/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407361 1015 04/18/2016 07:04:30 S Juris RPT PEDCK 2501 E 27TH,VERNON DDartmem CR20160651 _ R 0 97300 VPD HERRERA,GUST/ *21-6 07:04:30 08:13:32 VPD 21-4 07:04:51 07:04:51 07:09:51 07:30:19 VPD 21-7 07:08:44 07:08:45 07:16:29 07:40:05 20160407385 RPT 04/18/2016 12:12:26 MCDONALDS MR60 3737 S SOTO,VERNON Departmem OCA Number RMS Ju0 VPD CR20160652 CA0197300 VPD ONOPA,DANIEL *21-4 12:13:38 12:13:54 12:18:39 12:59:16 VPD HERRERA,GUST/ 21-6 12:13:39 12:13:56 12:20:02 12:37:56 VPD WINEGAR,JERRY 21-92 12:15:32 12:41:45 20160407399 RPT 04/18/2016 16:10:28 PAULINA SALAZAR 1015 1 L4 242 S SANTA FE AV//PACIFIC BL,VERNON Departmem OCA Number RMS J300 VPD CR20160653 CA0197300 VPD ONOPA,DANIEL *21-4 16:11:56 23:08:13 VPD GAYTAN,LOREN2 11-4 18:57:09 19:37:09 VPD CERDA,EUGENIO 11-5 04:01:01 VPD 1 L6 18:57:40 19:37:07 VPD CERDA,PAUL,JR 11-7 04:01:04 VPD ESTRADA,IGNACI 1S1 20:47:25 23:03:50 VPD ENCINAS,ANTHO 21-5 16:14:10 16:40:21 VPD HERRERA,GUST/ 21-6 16:13:37 17:55:32 VPD MADRIGAL,MARI/ 21-7 16:20:04 17:56:56 VPD WINEGAR,JERRY 21-92 16:19:15 16:42:59 0411912016 04:02:41 Page 1 of 1 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/19/2016 Jurisdiction: VERNON Last Date: 04/19/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Den Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407421 1015 04/19/2016 09:05:36 TOP QUALITY Juris RPT 925 5005 HAMPTON,VERNON VPDDartmem O 20160 54 Number CA0197300 VPD VPD MADRIGAL,MARV *2L5 09:06:59 09:07:44 09:10:33 VPD ENCINAS.ANTHO 2L4 09:08:32 09:10:45 09:49:21 VPD VALENZUELA,FEI 21-6 09:10:31 09:14:01 09:57:10 VPD HERRERA,GUSTE 2L7 09:07:01 09:07:45 09:10:35 VPD GENERA.ELISEO 2W45 09:38:07 09:49:52 20160407422 RPT 04/19/2016 09:28:27 YASELL Departmem OCA Number RMS Juris CITE 901T 3278 E SLAUSON AV,VERNON VPD CR20160655 CA0197300 VPD HERRERA,GUST/ "21-7 09:29:16 09:29:34 09:50:46 VPD MADRIGAL,MARIf 21-5 09:30:18 09:31:21 10:14:40 20160407423 1015 04/19/2016 09:45:58 VERNON CREDIT UNION RPT 602 2529 S. CR2 Number RMS Juris SANTA FE AV.VERNON Departmem VPD R2016065fi CA0197300 VPD ENCINAS,ANTHO *2L4 09:49:23 09:49:24 09:53:18 11:11:03 VPD VALENZUELA,FEI 2L6 10:01:28 10:05:33 VPD HERRERA,GUSTf 21-7 09:50:49 10:01:34 11:22:32 VPD GENERA,ELISEO 2W45 10:00:59 11:11:22 VPD MARTINEZ,GABR 5d31 10:01:32 10:09:08 10:07:55 12:22:40 VPD RAMOS,JOSE 51335 10:09:31 12:22:41 20160407427 RPT 04/19/2016 10:21:37 JUCO 594R 2164 E 25TH,VERNON VPD VALENZUELA.FEI *21-6 10:23:43 10:23:45 10:2T50 11:10:55 VPD ENCINAS,ANTHO 21-4 11:11:04 11:48704 11:54:56 20160407429 RPT 04/19/2016 10:37:24 J AND J SNACK FOODS 487R 5407 DOWNEY RD.VERNON Departmem Number RMS Juris CR2 VPD CR20160658 CA0197300 VPD MADRIGAL,MARII *2L5 10:43:32 10A3:34 10:55:39 12:12:36 04/21/2016 00:53:3f Page 1 of 3 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/19/2016 Jurisdiction: VERNON Last Date: 04/19/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Den Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407431 RPT 04/19/2016 10:43:12 REBUILT METALIZING Departmem OCA Number RMS Juris 484R 2229 E 38TH,VERNON VPD CR20160657 CA0197300 VPD HERRERA,GUST/ `21-7 11:22:37 11:22:38 11:32:39 11:49:57 VPD VALENZUELA,FEI 21-6 11:29:32 11:37:01 12:06:16 20160407432 RPT 04/19/2016 10:49:42 MIKAWAYA Departmem OCA Number RMS Juris 594R 5563 ALCOA AV,VERNON VPD CR20160659 CA0197300 VPD HERRERA,GUSTE '21-7 11:32:25 11:54:12 11:32:34 12:50:39 20160407434 RPT 04/19/2016 11:45:20 911A 4305 S SANTA FE AV,VERNON VPD ESCOBEDO,ALEX `5D23 11:59:44 12:58:42 20160407442 REPO 04/19/2016 14:26:09 CARLOS GARCIA REPO 2200 E VERNON AV,VERNON Departmem OCA Number RMS Juris VPD CR20160660 CA0197300 VPD RECORDS BURE! "RECD 14:31:02 14:47:23 20160407453 RPT 04/19/2016 18:08:28 T-MOBILE(877)653-7911 Departmem OCA Number RMS Juris 207R S SANTA FE AV//VERNON AV,VERNON VPD CR20160661 CA0197300 VPD ENCINAS,ANTHO '21-4 18:11:48 18:12:24 18:12:49 VPD VALENZUELA.FEI 21-6 18:12:44 18:17:22 18:59:46 VPD HERRERA,GUSTF 21-7 18:13:00 18:17:24 18:59:47 20160407466 SUP 04/19/2016 23:27:34 VCK S BOYLE AV//SLAUSON AV,VERNON VPD VILLEGAS,RICHA `1 L11 23:27:34 00:42:25 VPD DOCHERTYWICH 1 L12 23:28:07 23:31:43 23:36:45 VPD GAYTAN,LOREN2 11-8 23:28:08 23:30:29 00:42:26 0412112016 00:53:36 Page 2 of 3 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/19/2016 Jurisdiction: VERNON Last Date: 04/19/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Den Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407466 SUP 04/19/2016 23:27:34 VCK S BOYLE AV//SLAUSON AV,VERNON VPD SANTOS,DANIEL 1S1 23:30:13 00:41:39 0412112016 00:53:31 Page 3 of 3 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/20/2016 Jurisdiction: VERNON Last Date: 0412012016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Den Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407481 1015 04/20/2016 07:23A7 RPT DET 4305 S SANTA FE AV,VERNON VPD RAMOSAOSE '5D35 07:23:34 10:42:07 VPD ESCOBEDO,ALEX 5D23 10:07:26 10:42:07 20160407482 RPT 04/20/2016 07:53:42 MONARCH TRADING 487R 6180 ALCOA AV,VERNON VPID menu CR2 Number RMS Juris VPD R20160662 CA0197300 VPD VALENZUELA,FEI *21-11 07:56:19 07:59:21 08:34:13 20160407500 RPT 04/20/2016 12:43:10 COAST PACKING 476R 3275 E VERNON AV,VERNON Deparlmem CR2 Number RMS Juris VPD R20160663 CA0197300 VPD NEWTON.TODD `21-12 12:46:51 12:51:25 13:15:52 VPD VALENZUELA,FEI 21-11 12:45:25 12:46:53 VPD ENCINAS,ANTHO 21-8 12:51:47 12:51:49 20160407501 RPT 04/20/2016 12:48:48 HUGO BELTRAN 901 S SOTO 1126TH,VERNON Departmem OCA Number RMS Juris VPD CR20160664 CA0197300 VPD VALENZUELA,FEI '2L11 12:50:19 12:50:57 13:47:03 VPD ENCINAS.ANTHO 21-8 12:51:55 12:53:45 13:15:17 20160407523 VI 04/20/2016 19:17:33 TRAFFIC STOP S BOYLE AV 11 SLAUSON AV.VERNON Departmeltl OCA Number RMS Juris RPT VPD CR20160665 CA0197300 VPD REYNA,JOSE S1LI '3Al2 19:17:33 20:12:55 20160407538 CITE 04/20/2016 21:28:34 RMS Juris VI TRAFFIC STOP SLAUSON 11 MALABAR,VERNON DPDDartmen� OCA 1 0 Number C 0 97300 VPD HERRERA,GUST/ "3A11 21:28:34 21:55:12 0412112016 00:51:0! Page 1 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/20/2016 Jurisdiction: VERNON Last Date: 04/20/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407539 CITE 04/20/2016 21:29:48 VI TRAFFIC STOP PACIFIC//55TH,VERNON Departmem OCA Number RMS Juris VPD CR20160666 CA0197300 VPD GAYTAN,LORENZ *1 L6 21:30:02 22:00:33 20160407553 RPT 04/20/2016 23:27:46 VS TRAFFIC STOP E SLAUSON AV//BOYLE AV,VERNON Department VPD R2 CR2 Number RMS Juris 0160668 CA0197300 1015 VPD HERRERA,GUSTE *3A11 23:27:46 23:57:09 VPD GAYTAN,LOREN2 11-6 23:46:06 23:57:09 0412112016 00:51:0! Page 2 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/21/2016 Jurisdiction: VERNON Last Date: 04/21/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Den Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407574 RPT 04/21/2016 09:13:12 NATURES PRODUCE 594R 3305 BANDINI,VERNON Departmem OCA Number RMS Juris VPD CR20160669 CA0197300 VPD HERNANDEZ,EDV `21-11 09:15:35 09:19:28 09:51:40 20160407576 RPT 04/21/2016 09:45:51 RAUL MELETTI 902TR BANDINI BL//SOTO,VERNON Departmem OCA Number RMS Juris VPD CR20160670 CA0197300 VPD VILLEGAS,RICHA '21-12 09:47:05 09:47:05 10:26:37 20160407579 RPT 04/21/2016 10:16:32 YANG SUNG CHU 20002R BANDINI//PENNINGTON WAY,VERNON Departmem OCA Number RMS Juris VPD CR20160671 CA0197300 VPD VILLEGAS,RICHA '21-12 10:26:42 11:48:28 20160407589 RPT 04/21/2016 12:07:28 S Juris 1015 WARRANT 4305 S SANTA FE AV,VERNON OPDartmem CRC20 0672 Number R CA0197300 VPD MARTINEZ,GABR `5D31 12:07:28 13:45:57 VPD LANDA,RAFAEL 51334 12:25:22 13:45:57 VPD RAMOS,JOSE 5D35 12:25:25 13:45:57 20160407596 RPT 04/21/2016 13:47:31 VERNON HOUSING Departmem OCA Number RMS Juris FOUND 3353 FRUITLAND AV,VERNON VPD CR20160673 CA0197300 VPD HERNANDEZ,EDV *21-11 13:50:01 13:50:30 13:57:32 14:24:42 VPD NEWTON,TODD M1 13:54:17 13:57:34 14:27:01 20160407607 1015 04/21/2016 19:06:51 VREC REC S SOTO//LEONIS BL,VERNON DPDartmem CRC20 0674 Number RMS 97300 VI VPD *1 L11 19:06:56 19:06:58 19:08:41 20:36:47 VPD 1 L12 19:07:41 19:51:43 0412212016 04:50:1c Page 1 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/21/2016 Jurisdiction: VERNON Last Date: 04/21/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407607 1015 04/21/2016 19:06:51 VREC REC S SOTO//LEONIS BL,VERNON Department OCA Number RMS J300 VPD CR20160674 CA0197300 VI VPD 1 L8 19:07:19 19:08:40 20:49:31 VPD SANTOS,DANIEL 1S1 19:16:33 20:36:49 0412212016 04:50:1c Page 2 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/22I2016 Jurisdiction: VERNON Last Date: 04/22/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Camp 20160407652 RPT 04/22/2016 10:16:24 FRANCIS Department OCA Number RMS Juris 902T E DISTRICT BL II DOWNEY RD,VERNON VPD CR20160675 CA0197300 VPD VILLEGAS.RICHA '2L11 10:18:01 10:27:45 11:05:16 20160407654 RPT 04/22/2016 10:53:34 IRIS Department OCA Number RMS Juris 484R 3317 E 50TH,VERNON VPD CR20160676 CA0197300 VPD ENCINAS,ANTHO `2L8 10:58:01 11:05:53 11:09:18 VPD VILLEGASAICHA 2L11 11:05:21 11705:50 11:52:27 20160407672 RPT 04/22/2016 18:09:24 ANA SANCHEZ Departmen! OCA Number RMS Juris 901T E 55TH 11 SANTA FE AV.VERNON VPD CR20160677 CA0197300 VPD ENCINAS,ANTHO '2L8 18:12:10 18:13:01 18:40:22 VPD VILLEGAS,RICHA 2L11 18:31:59 18:15:52 18:28:49 18:40:22 20160407695 RPT 0412212016 22:24:14 CITY 20002R BANDINI BL H ATLANTIC BL.VERNON Departmem OCA Number RMS Juris VPD CR20160678 CA0197300 VPD HERNANDEZ.MIG *1L5 22:26:15 22:26:16 22:29:42 22:47:16 0412312016 05:33:5"r Page 1 of 1 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/23/2016 Jurisdiction: VERNON Last Date: 04/23/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407744 1015 04/23/2016 17:08:14 NANI SOCCER Juris RPT 245 5500 S SANTA FE AV,VERNON Ppartmeni CRC20 0679 Number �97300 VPD RODRIGUEZ,FER *2S2 17:08:53 17:13:06 17:13:07 17:30:35 VPD VELASQUEZ,RICF 21-11 17:12:33 17:15:50 17:34:19 VPD ONOPA,DANIEL 21-12 17:11:10 17:11:11 17:12:56 18:13:35 VPD VILLEGAS,RICHA 2L8 17:12:10 17:15:31 17:25:45 VPD HERNANDEZ,EDV 2Z8 17:25:15 18:13:35 20160407747 VREC 04/23/2016 17:31:37 EAST LA SHERIFFS RPT LOCATE 4969 RANDOLPH,MAYWOOD 20160407759 1015 04/23/2016 23:02:51 RPT PEDCK E 26TH//HARRIETT,VERNON VPDDartmen� CR201 068p Number R AO 97300 VPD OURIQUE,CARLO '1 L12 23:02:51 23:36:31 VPD CERDA,EUGENIO 1 L11 23:08:28 23:14:18 23:21:07 VPD REYNA,JOSE S 1 L8 23:08:30 23:08:35 0412412016 03:30:31 Page 1 of 1 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04124/2016 Jurisdiction: VERNON Last Date: 04/2412016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407770 1015 04/24/2016 00:41:37 RPT PEDCK E 30TH!!SANTA FE AV,VERNON VPDDartmen� CR20OCA 81 R 0 97300 VPD OURIQUE,CARLO *1 L12 00:41:37 01:13:35 VPD REYNA,JOSE S 1 L8 00:43:56 01:07:31 20160407781 CITE 04/24/2016 02:23:06 VI TRAFFIC STOP OLYMPIC 11 SANTA FE,VERNON VPDartmen� CR2 p 01 0682 Number C 0 97300 RPT VPD REYNA.JOSE S *1L8 02:23:06 03:12:44 VPD OURIQUE,CARLO 11-12 02:23:16 02:24:13 03:10:30 20160407788 1015 04/24/2016 06:37:23 RPT WRNTSVC 2734 HOPE STREET,HUNTINGTON PARK Devartmen� OCA Number RMS J300 VPD CR20160683 CA0197300 VPD HERNANDEZ,EDV *2W8 06:37:23 06:45:39 07:52:44 20160407793 1015 04/24/2016 08:07:16 RPT WRNTSVC 7120 MILES AVE, HUNTINGTON PARK VPD VALENZUELA,FEI '2W8 08:07:16 08:07:20 09:10:09 20160407803 1015 04/24/2016 11:37:41 RPT WRNTSVC 8952 ELIZABETH AVE.SOUTHGATE DDartmen! OC2A0 umber RAMO Juri VPD VALENZUELA,FEI "2W8 11:37:41 12:21:23 20160407807 1015 04/24/2016 12:50:44 RPT WRNTSVC 4351 E 52D ST, MAYWOOD VPD VALENZUELA,FEI *2W8 12:50:44 13:13:15 0412612016 00:41:2L Page 1 of 1 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04125/2016 Jurisdiction: VERNON Last Date: 04125/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407848 RPT 04/25/2016 05:54:48 FARMER JOHN-BENNY 1015 586 3163 E VERNON AV,VERNON Departmem OCA Number RMS Juris VPD CR20160685 CA0197300 V5 VPD REYNA,JOSE S *11-12 D5:56:16 D5:56:47 06:06:02 08:09:05 VPD CERDA,PAUL,JR 1L11 05:56:17 05:56:50 06:01:21 07:40:04 VPD LUCAS,JASON 11-8 05:5T05 06:13:02 07:24:59 VPD 21-5 06:56:18 07:02:26 08:05:28 VPD 21-7 07:00:36 07:07:53 07:57:40 VPD RODRIGUEZ,FER 2S2 07:00:39 07:24:56 20160407859 RPT 04/2512016 07:37:48 ENVIRONMENTAL CONSTRUCTION 459VR 2170 E 55TH,VERNON Departmen! OCA Number RMS Juris VPD CR20160686 CA0197300 VPD HERRERA,GUSTF *2L6 07:41:22 07:59:59 08:41:01 20160407866 RPT 04/25/2016 09:04:43 SAROJ 594R 2615 S SANTA FE AV,VERNON Department OCA Number RMS Juris VPD CR20160687 CA01497300 VPD HERRERA,GUSTE "2L6 09:05:42 09:06:46 VPD ZOZAYA.OSCAR K91 09:06:44 09:08A6 09:37:22 20160407879 RPT 04/25/2016 11:25:53 STERLING RUBY STUDIOS 594R 4900 S SOTO.VERNON Departmem OCA Number RMS Juris VPD CR20160688 CA0197300 VPD ONOPA,DANIEL *2L8 11:29:01 11:44:04 11:32:27 12:14:10 VPD ENCINAS,ANTHO 21-5 11:32:25 11:33:33 12:12:44 20160407892 RPT 04/25/2016 15:24:43 BAROUSH 902T E DISTRICT BL 11 LOMA VISTA AV,VERNON Departmem OCA Number RMS Juris VPD CR20160690 CA0197300 VPD HERRERA.GUSTE "21-6 15:26:16 15:26:47 VPD ENCINAS,ANTHO 21-5 15:26:45 15:35:08 16:48:56 0412612016 02:38:1f Page 1 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/25/2016 Jurisdiction: VERNON Last Date: 04/25/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407894 VOID 04/25/2016 15:56:29 ASST PAPD 2602 E 37TH,VERNON DPDartmeni O 2Q Number CAO 97300 VPD HERRERA,GUSTf `2L6 15:56:29 16:28:57 20160407902 RPT 04/25/2016 17:30:26 ARCADIA INC 459VR 2301 E VERNON AV,VERNON Departmen� CR2 Number RMS Ju00 VPD R20160691 CA0197300 VPD MADRIGAL,MARIf '21-7 17:32:48 17A3:42 18:11:46 04/26/2016 02:38:1E Page 2 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/26/2016 Jurisdiction: VERNON Last Date: 04/26/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Den Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407924 1015 04/26/2016 00:28:01 S Juris RPT PEDCK E 277H/1 SANTA FE AV,VERNON DPDartmen� O 2� 61 0696er R 0 97300 VPD CERDA,EUGENIO *1L5 00:28:01 02:54:56 VPD GAYTAN,LORENZ 11-4 00:32:32 00:32:46 01:42:35 20160407934 REPO D412612016 04:09A6 MASONS RECOVERY REPO 4675 52D DR.VERNON Departmen7 Number RMS Ju0 CR2 VPD CR2D160fi93 CA0197304 VPD RECORDS BURET "RECD 04:11:08 04:18:46 20160407941 RPT 04/26/2016 07:09:06 ERIG 459VR 2345E 52D,VERNON Departmenj OCA Number RMS Juris VPD CR20160694 CA0197300 VPD '21-6 07:12:21 07:12:21 0715:24 07:51:34 20160407943 RPT 04/26/2016 07:23:01 DOWNEY FIRE MS Juris CITY 20002 4505 BANDINI BL,VERNON DPDartmen� CR2 R01 0 95 er .0 0 97300 VPD ZOZAYA,OSCAR 'K91 07:23:52 07:24:06 07:28750 08:41:20 VPD VALENZUELA,FEI 21-5 07:31:51 07:57:11 08:30:52 20160407955 RPT 04/26/2016 09A4:40 VREC GTAR 5972 GALLANT ST, BELL GARDENS VPD ZOZAYA,OSCAR "K91 09:45:19 10:20:11 20160407959 RPT 04/26/2016 10:20:35 ISABELLA WELCK S BOYLE AV//VERNON AV,VERNON Departmem CR2 Number RMS Juns VPD R20164fi9fi CA0197300 VPD VALENZUELA,FEI '2L5 10:21:52 10:21:53 10:26:44 11:37:35 VPD ENCINAS,ANTHO 21-4 10:22:51 10:25:39 10:46:05 VPD HERRERA,GUSTf 21.8 10:27:32 13:02:20 VPD CROSS.JEREMY 2S2 10:28:45 10:43:49 04/27/2016 03:16.44 Page 1 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/26/2016 Jurisdiction: VERNON Last Date: 04/26/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160407988 VI 04/26/2016 17:44:31 VCK FRUITLAND AV 11 GIFFORD AV,VERNON Departmem CR2 Number RMS Juris VPD R20160697 CA0197300 VPD ENCINAS,ANTHO *2L4 17:44:31 18:35:31 20160407995 RPT 04/26/2016 20:39:20 RANCHO FOODS 594R 2528E 37TH,VERNON Department OCA Number RMS Juris VPD CR20160698 CA0197300 VPD DOCHERTY,MICH *1 L4 20:42:43 20:43:02 20:52:00 21:09:45 0412712016 03:16:44 Page 2 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/27/2016 Jurisdiction: VERNON Last Date: 04/27/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Den Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160408009 VS 04/27/2016 04:24:43 WILLE 917A E 46TH 1/SEVILLE AV.VERNON DeAartmen� OCA Number RMS Juris VPD CR20160699 CA0197300 VPD DOCHERTY,MICH *1L4 04:26:39 04:26:53 04:30:07 05:01:00 20160408012 RPT 04/27/2016 06:49:58 BON APETITE 459VR 4700 ALCOA AV,VERNON Department OCA Number RMS Juris VPD CR20160700 CA0197300 VPD ZOZAYA,OSCAR *K91 06:52:18 07:00:08 07:01:10 08:13:11 20160408014 RPT 04/2712016 07:22:11 PACIFIC WEST 594R 4803 EVERETT AV,VERNON Department CR2 Number RMS Juris VPD R20160701 CA0197300 VPD VALENZUELA,FEI *21-8 07:25:16 07:33:52 08:13:02 20160408023 VS O4127/2016 09:4016 Juris RPT TRAFFIC STOP 24TH//ALAMEDA,VERNON DPDartmeu� CR201 0 42 er RMS 17300 1015 VPD VALENZUELA,FEI *2L8 09:40:16 10:11:03 VPD MADRIGAL,MARIF 2L12 09:46:20 09:56:12 10:31:20 20160408029 RPT 04/27/2016 11:12:41 A4 MOSHAY 911A 6200 MALBURG WY,VERNON VPD ZOZAYA,OSCAR *K91 11:19:25 11-29:20 11:52:11 20160408030 RPT 04/27/2016 11:1&39 20002R LEONIS BL CR2 VPD R2 1/BOYLE AV,VERNON Departmem Number RMS Juris 0160703 CA0197300 VPD NEWTON,TODD *M1 11:18:54 12:23:41 20160408052 04/28/2016 00:16:11 Page 1 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/27/2016 Jurisdiction: VERNON Last Date: 04/27/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160408052 VI 04/27/2016 17:22:25 CITE TRAFFIC STOP S SOTO 1/LEONIS BL,VERNON DPDartmen� CR201 0704er CAO 97300 RPT VPD MADRIGAL,MARI{ *202 17:22:25 18:14:42 VPD ZOZAYA.OSCAR K91 17:39A4 18:14:42 20160408057 RPT 04/27/2016 19:15:56 RANDALL FOODS 594R 2905E 50TH,VERNON Departmelt! OCA Number RMS Juris VPD CR20160705 CA0197300 VPD *1 L12 19:17:19 1917:20 19:19:39 VPD VASQUEZ.LUIS 1L11 19:17:39 19:21:15 19:50:37 20160408065 1015 04/27/2016 2107:38 PEDCK 3294 E 26TH,VERNON VPD VASQUEZ,LUIS *1 L11 23:07:38 23:30:38 VPD CERDA.EUGENIO 1L8 23:07:42 23:11:55 23:30:39 04/28/2016 00:16:11 Page 2 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/2812016 Jurisdiction: VERNON Last Date: 04/28/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160408071 RPT 04/28/2016 05:00:00 T-MOBILE(877)653-7911 Department OCA Number RMS Juris VS 901T FRUITLAND AV/1 DOWNEY RD,VERNON VPD CR20160706 CA0197300 VPD VASQUEZ.LUIS *11-11 05:00:39 05:00:42 05A&12 05AT50 06:31:08 VPD DOCHERTY,MICH 1 L12 05:00:44 05:05:22 05:45:55 VPD CERDA,EUGENIO 1L8 05:04:46 05:12:06 05:45:58 VPD GAYTAN,LORENZ 1XL8 05:03:48 05:05:10 05:46:01 20160408074 RPT 04/28/2016 06:54:20 SOOFER CO a87R 2828 S ALAMEDA,VERNON Department OCA Number RMS Juris VPD CR20160707 CA0197300 VPD SWINFORD,PHILL *2L12 06:57:32 06:58:07 07:13:58 07:40:18 20160408102 VREC 04/28/2016 14:47:22 HPPD REC RANDOLPH It MAYWOOD. HUNTINGTON PARK VPD RECORDS BURET *RECD 14:48:19 15:39:58 20160408103 RPT 04/28/2016 14:56A8 JUDE CASTRO Department OCA Number RMS Juris 902T 4133 BANDINI BL,VERNON VPD CR20160708 CA0197300 VPD HERNANDEZ.EDV *2L11 14:59:12 15:27:48 15:27:40 16:24:55 20160408113 VI 04/28/2016 19:20:33 Department OCA Number RMS Juris CITE TRAFFIC STOP S SANTA FIE AV 11 VERNON AV,VERNON VPD CR20160709 CA0197300 RPT VPD VASQUEZ,LUIS *1L7 19:20:33 19:51:27 VPD HERNANDEZ,MIG 11-5 19:22:49 19:51:27 VPD OURIQUE.CARLO 11-6 19:22:50 19:51:27 20160408119 RPT 04/28/2016 21:03:14 AT&T MOBILITY 800 635 6840 4 Department OCA Number RMS Juris GTA 4903 S SANTA FE AV,VERNON VPD CR20160710 CA0197300 0510212016 08:30:2: Page 1 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 0412812016 Jurisdiction: VERNON Last Date: 04/28/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Den Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160408119 RPT 04/28/2016 21:03:14 AT&T MOBILITY 800 635 6840 4 Department OCA Number RMS Juris GTA 4903 S SANTA FE AV,VERNON VPD CR20160710 CA0197300 VPD DOCHERTY,MICH *1L4 21:09:24 21:28:25 VPD HERNANDEZ,MIG 1L5 21:15:24 21:27:48 VPD OURIQUE.CARLO 1L6 21:09:28 21:09:53 22:00:01 VPD VASQUEZ,LUIS 1 L7 21:09:54 21:09:49 21:27:24 20160408127 1015 04/28/2016 22:50:57 PEDCK 2164E 25TH VERNON Denartmem OCA Number RMS Juris . RPT VPD CR20160711 CA0197300 VPD OURIQUE,CARLO "1 L6 22:50:67 23:32:08 05/02/2016 08:30:2-' Page 2 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 0412912016 Jurisdiction: VERNON last Date: 04129/2016 Call Number Disp Ten Received Caller Code Complaint Address Untt Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160408159 RPT 04/29/2016 09:25:47 NATIONAL DYEING 459VR 2522E 37TH,VERNON Departmenl OCA Number RMS Juris VPD CR20160712 CA0197300 VPD ENCINAS.ANTHO *21-4 09:25:55 09:27:05 09:33:43 10:24:04 VPD VELASQUEZ,RICI 21-5 09:33:32 09:41:34 20160408162 VREC 04/29/2016 10:11:45 REC MATEO I!OLYMPIC. LOS ANGELES VPD VELASQUEZ,RICF *2L5 10:11:45 11:24:47 20160408170 RPT 04/29/2016 11:47:53 SPEEDY FUEL 242 3308 BANDINI BL,VERNON Departmem OCA Number RMS Juris VPD CR20160713 CA0197300 VPD VELASQUEZ,RICI *21-5 11 A9:03 11:56:40 12:16:59 VPD MADRIGAL.MARY 2L4 11:51:37 12:54:0 VPD VILLEGASAICHA 2L6 11:49:24 11:53:13 12:54:01 VPD HERNANDEZ.EDV 2L7 11:49:10 11:50:51 12:54:01 20160408177 1015 04/29/2016 14:33:46 GLEN ROSE MEAT 459 4561 LOMA VISTA AV VERNON Deparlmem Number RMS Juris . CR2 RPT VPD CR20160714 CA0197300 VPD HERNANDEZ,EDV *21-7 14:36:51 14:43:51 16:28:13 VPD VELASQUEZ,RICF 21-5 14:36:55 15:13:04 16:00:55 VPD VILLEGAS,RICHA 2L6 14:37:30 14A5:51 17:05:12 20160408200 1015 04/29/2016 21:16:53 PEDCK E 25TH/I ALAMEDA VERNON Departmenj OCA Number RMS Juris , RPT VPD CR20160715 CA0197300 VPD OURIQUE,CARLO *1L12 21:16:53 22:13:41 0510212016 08:30:3� Page i of l VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/30/2016 Jurisdiction: VERNON Last Date: 04130/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160408214 VS O413012016 00:21:09 VREC REC S SOTO 11 LEONIS BL,VERNON DPDpartmen� C 2fl 60CA 16ber R 0 97300 RPT 1015 VPD OURIQUE.CARLO '1L12 00:21:49 01:01:55 VPD HERNANDEZ,MIG 1L11 00:36:4D 01:20:59 VPD VASQUEZ,LUIS iL8 00:21:50 01:40:43 VPD SANTOS,DANIEL 1S1 00:21:52 01:08:42 20160408225 RPT 04/30/2016 03:11:18 T-MOBILE(877)653-7911 VI 20001 E 37TH 11 SANTA FE AV,VERNON DPeppartmenl OCA Num71 ber er RM Juris 97300 VPD VASQUEZ,LUIS `1L8 05:03:41 03:12:42 07:16:09 06:27:45 VPD HERNANDEZ,MIG 1 L11 03:23:42 04:21:14 VPD OURIQUE,CARLO 1 L12 03:23A3 08:47:44 06:27:45 VPD SANTOS,DANIEL 1S1 03:23:44 06:27:46 VPD HERRERA,GUSTf 2L11 06:44:12 06:52:25 VPD ONOPA,DANIEL 2L12 06:47:55 12:23:05 VPD HERNANDEZ.EDV 2L8 06:47:58 12:23:30 VPD CROSS,JEREMY 2S2 07:16:14 07:32:16 VPD HERNAND£Z,EDV 2XL8 06:44:18 07:32:14 VPD PEREZ,NICK 5D30 06:47:09 10:05:45 VPD MARTINEZ.GABR 5D31 06:47:11 12:15:48 VPD RAMOS,JOSE 5D35 09:24:41 09:40:38 20160408226 j RPT 04/30/2016 04:16:30 AT&T MOBILITY 800 635 6840 4 20002R 3737 S SOTO.VERNON Department OCA Number RMS Juris VPD CR20160717 CA0197300 VPD HERNANDEZ,MIG "101 04:21:15 04:23:43 04:49:12 VPD VASQUEZ,LUIS 1 L8 04:49:20 05:00:20 20160408243 0413012016 23:59:01 Page 1 of 2 VERNON POLICE DEPARTMENT Call Log Report Type All Unit Times and Location with OCA 's First Date: 04/30/2016 .jurisdiction: VERNON Last Date: 04/30/2016 Call Number Disp Ten Received Caller Code Complaint Address Unit Time Dep Officer Unit Dispatch Enroute OnScene Depart Arrive Remove Comp 20160408243 RPT 04/30/2016 10:05:43 VI VCK 2601 S SOTO,VERNON VPD PEREZ,NICK *5D30 10:05:46 12:01:10 VPD HERRERA,GUSTf 2L11 10:05:49 10:07:53 10:12:10 11:19:43 VPD VILLEGAS,RICHA 2L8 10:07:59 10:11:40 10:57:27 VPD CROSS,JEREMY 2S2 10:12:50 12:01:09 0413012016 23:59:Ob Page 2 of 2 F "'EIVEn RECEIVED MAY 0 5 2016 CITY CLERK'S OFFICE CITY ADMINISTRATION 4R- s--q i10 STAFF REPORT VERNON POLICE DEPARTMENT DATE: May 17, 2016 TO: Honorable Mayor and Council Members FROM: Daniel Calleros, Chief of Police Y RE: Settlement Proceeds and Agreement Recommendation A. Find that the acceptance of the settlement proceeds from a False Claims Act from, United States et al. ex rel. Perez v. Stericycle, Inc., et al., is exempt from California Environmental Quality Act("CEQA")review, because it is a continuing 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. Accept the settlement proceeds and agreement, in substantially the same form as submitted herewith, and authorize the Police Chief to accept and deposit the settlement proceeds on behalf of the City. Background The settlement is the result of a False Claims Act whistleblower complaint, United States et al. ex rel. Perez v. Stericycle, Inc., et al. The complaint alleged that Stericycle, Inc. violated federal and state False Claim Acts by knowingly over charging governmental customers for its services without contractual authorization. During negotiation, the settlement was extended to provide financial relief to include California governmental agencies that were allegedly overcharged. The Vernon Police Department("VPD")has used services from Stericycle Inc., for many years as they are they only Iocal provider of bio-hazardous waste management services. Although it was not a party to this litigation,because the VPD utilized services from Stericycle, Inc. during the relevant time period, it was determined that the VPD is entitled to a portion of the settlement proceeds. As part of the settlement, the California Attorney General's Office ("CAGO") determined a pro rats share of$21,000.84, for the VPD. The amount of the settlement was derived from an agreed upon common damage formula to governmental sales data provided by Stericycle. The amount provided is almost double the amount of VPD estimated losses. By accepting the settlement proceeds, the VPD is consenting to the provisions of the settlement agreement,which include waiver and settlement of its potential individual claims against Stericycle. Fiscal Imoact There is no direct fiscal impact by accepting the settlement proceeds. Attachment(s) 1. Department of Justice Settlement Notification 2. Settlement Agreement 3. Copy of Settlement Check KAMALA D.HARRIS State of California Attorney General DEPARTMENT OF JUSTICE 13001 Street,9"Floor Sacramento CA 95814 E-Mail: stericyclesettlement�.doj.ca.gov March 25, 2016 Via Certified Mail Vernon Police Department c/o City Attorney 4305 Santa Fe Avenue Vernon, CA 90058 RE: Notice of Settlement of United States et al. ex rel. Perez v. Stericycle, Inc.. et al. Civil Action No. 1:08-cv-2390 United States District Court,Northern District of Illinois Dear Sir/Madam: I am pleased to inform you that the California Attorney General's Office ("CAGO") has determined that your organization is entitled to receive a portion of the settlement proceeds from a recently settled lawsuit. This settlement is the result of a False Claims Act whisdeblower complaint, United States et al. ex rel. Perez v. Stericycle, Inc., et al., filed in the United States District Court for the Northern District of Illinois. The complaint alleged that Stericycle, Inc. violated federal and state False Claims Acts by knowingly overcharging governmental customers for its services without contractual authorization. Although the complaint did not originally include local governments, during negotiations the settlement was expanded to provide financial relief to local government entities allegedly overcharged by Stericycle, including local entities in California. Enclosed please find a check for$21,000.84, your organization's pro rata share of the settlement. The CAGO derived the amount of this check by applying an agreed-upon common damage formula to local governmental sales data obtained from Stericycle, then making one deduction mandated by the California False Claims Act.218 The final amount of this check represents almost double the amount of your organization's estimated losses. By accepting and depositing the enclosed check within 60 days of the date of its issuance, you are consenting to the provisions of the enclosed settlement agreement, including the provisions in paragraph 8 and 9 of the agreement. If you do not deposit the enclosed check within 60 days of the date of its issuance, you will forfeit your pro rata share of the settlement proceeds. 2111 Pursuant to California Government Code section 12652(g)(2),the whistleblower is entitled to receive between 15%and 33%of the settlement proceeds. During negotiations, the whistleblower agreed to accept the statutory minimum of 15%. The CAGO has withheld this amount from your organization's check and shall forward it to the whistleblower. March 25, 2016 Page 2 The CAGO does not legally represent your organization, and it is ultimately up to you to decide whether to consent to the settlement and deposit the proceeds. However, the CAGO believes that this settlement represents a favorable outcome for all parties involved, particularly in light of the fact that the California local government entities are recouping almost two times their estimated losses. For your information, I am enclosing a copy of the settlement agreement. Should you have any questions,please do not hesitate to contact me at the following email address: stericyclesettlement@doj.ca.gov. Sincerely, Isl Rachel Coles Deputy Attomey General For KAMALA D. HARRIS Attorney General Enclosures ,s SETTLEMENT AGREEMENT This Agreement of Settlement ("Agreementj is entered into by and between Pla€ntiff- Relator Jeruiifer Perez("Relator"), and defendant Stericycle, Inc. {"Stericycle" , through their authorized representatives, relator and St,ericycle are collectively the "Parties." RECITALS WHEREAS: A. StericycIe, based in Lake Forest, Illinois, is a provider of regulated medical waste management services and pharmaceutical returns services to medical offices, hospitals, other health care providers, and other entities. Steficycle does or has done business with government customers at the fed [, state, and local government Ieve] ("Government Customers"). B. Relator is an individual resident of the Stair of Illinois. On A pr i 12 8, 2008, Relator filed aqui Para action in the United States District Cowl for the Northern District of Illinois captioned UniredSrares of America ex ref. Jennffier D_ Perez v, S'tericycle, Inc.. Case No. l:08--r-v-2390 (hereirfter referred to as the "Action"). C, On Iune 28, 201U, Relator filed an Amended Complaint adding the States of California, Delaware, Florida., Illinois, Indiana, Nevada, New Ifampshire,New Jersey, New Mork, North Carolina, Rhode Island, Tonncsscc, the Commonwealths of Massachusetts and Virginia, and the District of Columbia(except for New Hampshire and New York, "Government Entities")as plaintiffs and a]leging claims for rel€e€'under the respective state false claims law on behalf of state and Iocal govemmental agencies, as applicable. D. On July 23, 2013, Relator filers her Second Amended Complaint C'SAC") in which she alleged claims on behalf of she Gowmment Entities. The SAC dropped any claims on behalf of the State of New Hampshire. 'Me SAC alleges SwricycIe improperly increased its Page 1 of 10 �� service price to certain government customers, From January 1, 2003 until June 30, 2014, witliout consent of the Government Customers or contractual authorization, resulting in overpayment for products and services ("Covered Conduct'). E_ Stericycle denies all allegations of wrongdoing in connection with the Covered Conduct, and this Agreement shall not he construed as an admission of any wrongdoing or liability by Stericycle. F. Neither the United States,any State, or the District of Columbia has intervened in the Action. O. Relator claims an entitlement to a share of the proceeds of this Agreement, the teams of which are incorporated in a separate agreement between Relator and the Govemment Entities, and to reasonable attorneys' fees, costs, and expenses under the federal False Claims Act and its state analogues. H. The Attorneys General for the States of California, Florida, New Jersey and Rhode Island do not represent all governmental entities within their states under their respective false claims acts, including local governmental or political subdivision ce,storners within their States, which were also allegedly affected by the Covered Conduct("Affected Local Governmental Customers"). The Attorneys General of California, Florida, New Jersey and Rhode Island will provide effective notice of the Settlement to each Affected Local Governmental Customer pursuant to Paragraphs 8 and 9 of this Agreement. NOW THEREFORE, to avoid the delay, uncertainty, inconvenience, and expense of protracted litigation of the above claims, and the unique remedies and penalties exclusively available under the federal False Claims Act and its state analogues, and in consideration or the mutual promises and obligations of this Agreement, Relator and Steri eye le agree as follows: C Page 2 of 10 1, Stericycle agrees to pay $26,750,000.00 ("Settlement Sum") plus S 1,7 0.000.00 ("Attorneys' Fees Settlement Sum'), for a total payment amount of S 28, 00,000.00 ("Total Payment Sure"). Stericycle will pay the Settlement Sure to a third party as described below, The allocation of the Settlerent Sum between the Government F..ntities has been determined by and among the Government F..ntities without any involvem, nl by or input whatsoever from Sterievele or Stericycle's counsel. In addition, Stericycle alone agrees to pay the Attorneys' Fees Settlement Sung in full and final satisfaction of any claims by Relator and Relator's Counsel for reasonable expenses. attorneys' fees, and costs. The Total Payment Sum resolves any and all claims that were alleged on behalf of the Government Entities by Relator in the Action and Relator's claim for attorneys' fees. costs, and expenses under 31 U.S.C. § 3730(d) and analogous provisions of state False Claims Acts. . No later than fourteen (14)days aver the Effective Date of this Agreement, Stericycle shall pay, pursuant to written instructions from Relator's counsel, the Settlement Sum to the third party administrator, Garden City Group, LLP. No later than fourteen (14) days after receiving payment of the Settlement 5urn from Stericycle, Garden City Group, LLP shall distribute the Settlement Sure to the Government Entities pursuant to written instructions provided by the Government Entities. Igo later than fourteen (14) days after the Effective Date of this Agreement, Stericycle shall pay the Attorneys' Fees Settlement Sure to and in the manner directed by Relator's counsel. 3_ Stericycle shall comply with all applicable state and/or federral laws, rules, and regulations as now constituted or as may hereafter be amended. Page 3 of 10 ' 1 4. Re]atnr affirms that This Agreement is fair, adequate, and reasonable under all the circunistances in accordance with 31 U.S.C. § 3730(c)(2)(B) and similar state statutes, and promises not to challenge the terms of this Agreement. 5. A stipulation of dismissal with prejudice will. be filed, along with the Government Entities consent to dismissM, ifso Fequired, fourteen (14)calendar day after pkyrent is received by all Government Entities pursuant to paragraph _ b, Other than payment of the Attorneys' Fees Settlement Sum, each party to this Agreement shall bear its own attorneys' fees and costs. 7, Subject to the other provisions and limitations set out in this Agreement and effective as of the receipt of the Total Payment Sum, Relator, on behalf of herself, and for her heirs, successors, attorneys, agents, and aiWgns, hereby agrees to and shall release Stericycle, and each of Stericycle's respective past and present affiliates, parents, subsidiaries, divisions, branches, departments, predecessors, successors, assigns,and the heirs, principals, employees, associates, owners, stockholders, devises, agents, distributors, directors, officers, representatives, insurers, attorneys, and predecessors and successors in interest from any and all claims that she may have against Stericycle in her own right or that she brought in the Action for the Covered Conduct, including but not limited to claims under the federal False Claims Act, 31 U.S, , §� 379-3733 and/or its state analogues. In connection with the foregoing, Relator acknowledges that she is familiar with and hereby waives and relinquishes any and all rights and benefits she may knave under the Ia s of any state, similar to and including Section 1542 of the California Civil Code, which provides as follows: A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing Page 4 of 10 the release, which if known by him must have materially affected his settlement with the debtor. S. Within ten (10) business days of the Cffective Date, Stericycle will provide the Attorney general's Offices in Ca]ifornia, Florida. and New Jersey with sufficient contact information of presently-known government customers in the respective State to allow them to provide effective notice to each Affected Local Govennmental Customer("Contact Information"). Within 45 business days of the date by which the Attorney General's Offices in Ca]ifo ntia, Florida, and New Jersey receive the Contact Information, the Attorney General's Offices in California, Florida, and New Jersey will provide to each Affected Local Governmental Customer its check along with a letter or other notification that contains the following language in boldface text. "By accepting anal depositing the enclosed check within 60 days of its issuance, you are consenting to the provisions of the enclosed Settlement Agreeatetnt, including the pro►isions in paragraph 7 of the Agreement. tfyou do not deposit the enclosed cheek within 60 days of its issuance, you will forfeit your pro rats share of the settlement proceeds." Rhode island has received the Contact information frarrt Relator's counsel and will provide to each Affected Local Governmental Customer its check along with a letter or other notification that contains the language cited above. Contemporaneous copies of the notification will be provided to 5tericycle. Any amounts that an Affected Local Covemmental Customer does not timely deposit under this paragraph shall be retained by the Mate where that Affected Local Govemmental Customer is located. 9. Each Affected Local 6overnmental Customer in Ca]iforma, l±lorida. New Jersey and Rhode island will have 60 days of the issuance of the check and letter or other notification described in the above paragraph, to review the Nati€ication, seek additional information. If Page 5 of 10 X needed, from the Attorney General's Offioes in those states, and decide whether to consent to the settlement consistent with the terms set forth in par raph 8 herein. An Affected Local Governmental Custorner's failure to deposit the check within 60 days of its issuance will not result in any increase in the pro rats share of the settlement funds to which any other Affected Local Go►+ernmental Customer is entitled wider the terms of'this Agreement. 10. Subject to the other provisions and limitations set out in this Agmernent and effective as of the receipt of the Total Payment Sum, Stcricycle, for itself as well as for each of tericycle's respective past and present affiliates, parents, subsidiaries, divisions, branches, departments, predecessors, successors, assigns, and the heirs, principals,employees, associates, owners, stockholders, devises, agents, distributors, directors, officers, representatives, insurers, attorneys, and predecessors and successor in interest, does and hereby agrees to and does release Relator, her heirs, successors, attorneys, agents, and assigns from any claim (including attorneys' fees, costs, and expenses of every kind and however denominated)that Stericycle has asserted, or could have asserted, or may assert in the future against Relator and her heirs, successors, attorneys, agents, and assigns, including without limitation, claims related to the Covered Conduct and the invesfigation and prosecution thereof. In connection with the foregoing. Stericycle acknowledges that it is familiar with and hereby waives and relinquishes any and all rights and benefits it may have under the laws of any state, similar to and including Section 15 42 of the California Civil Code. which provides as follows: A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release,which if known by him must have materially affected his settlement with the debtor. 11. Relator and her counsel agree that all documents, data, or other information Page 6 of 10 provided or produced to Relator by Stericycle in connection with or related to the Action, will be (1) returned to counsel for StericycIe; or (2) destroyed and Relator will aeftify in writing that all such information was destroyed; within thirty (30)days of the dismissal of the Action. 12, Documents provided or produced by Stericycle to the States of North! Carolina and Tennessee and the Commonwealths of Massachusetts and Virginia, will be treated as and kept confidential to the extent provided by lave. 13. Each party and signatory to this Agreement represents that it Freely and voluntarily enters into this Agreement without any degree of duress or compulsion, 14. This Agreement is governed by the laws of the State of Illinois. The exclusive jurisdiction and venue for any dispute relating to this Agreement is the United States District Court for the Northern District of 11 finois. 15. This Agreement constitutes the complete agreement between the Parties_ This Agreement may not he amended except by written consent of each of the Parties. 16. The undersigned counsel represent and warrant that they are fully authorized to execute this Agreement on behalf of the person and entities indicated below. 17. For purposes of construing this Agreement, this Agreement stall be deemed to have been drafted by all Parties to this Agreement and shall not. therefore, be construed against any Party for that reason in any subsequent dispute. 1 . This Agreement may be executed in counterparts, each of which constitutes an original and all of which corwitute one and the. sarne Agreement. Facsimiles of signatures shall canstituW acceptable, binding signatures for purposes of this Agreement. Page 7 of 10 19. This Agreement is binding on Stericycle's successors, transferees, heirs, and assigns. 20. This Agreement is binding on Relator's successors,transferees,heirs,and assigns. 21. The Parties agree that either Party may disclose this Agreement publicly, but all other information related to this Action or this Agreement that has not been publicly filed or is not a matter of public record is confidential and may not be disclosed by either of the Parties for any reason,except as otherwise required by law or court order. 22. This Agreement is effective on the date the last party signs this Agreement ("Effective Date"). IN WITNESS WHEREOF,the Parties have executed this Agreement. JENNIFER D.PEREZ DATED: %4-07 r .2015 I KK L) KRUR f F� DATED: �CTo�� ,2015 es` . Ratner Ad hilted pro hac vice) P.O. Box 1035 Woodstock,NY 12498 Tel.: (845)G88-5222 Email: jamestratncr@yahoo.c:om Page 8 of 10 DATED: C� ,2015 MENZ BONNER KOMAR& .1�`1 BF,RO Ll_P By: -- David A. Koenigsberg - (AdmNledpro hac vice) John R. Menz 444 Madison Avenue, 39 h Floor New York,New York 10022 Tel.: (212)223-2100 Email: dkocnigsberg a mbkklaw.com DATED: 2015 ichacl C. Rmsenblal Michael C. Rosenblat P.C. 707 Skokie RoUlevard, Suite 600 Northbrook,Illinois 60062-2841 Tel.: (847)480=2390 Email: mike ra osenblatlaw.com Auorneys for Plainlifj-ARIator Jennifer Perez Page 9 of 10 STERICYCLE, INC. DATED: <K2015 B Y: _ John Schetz TITLE: MVP General Counsel DATED: OCQ-Ce , 2015 mond]_ tc ev ( dmrtled pro hoc vice)) Cory D. Sinclair(Admitted pro hart vice) PARSONS BEHLE& LATIMER 201 South Main Street, Suite 1800 Salt Lake City, UT 84111 Telephone: (801) 532-1234 E-mail:REtcheverry@parsonsbehle.com csnnclair@parsonsbehle.com and Paul E. Chronis Elinor L. Hart Duane Morris LLP 190 S. LaSalle Street, Suite 3700 Chicago,Illinois 60603 Telephone: (312)499-6700 Email: PEChronis@duanemorris.com EHart@duanemorris.com Counsel for Defendant StericXle, Inc. Page 10 of 10 ` Jennifer Perez v Stericycic,Inc S l�il����lt�lltllttnitltl���rllttti�l�tti�ll�llt�it�tlttll�l���� 000001 Grp No:000001 Page:228 of 404 (Seq#227 1 r; VERNON POLICE DEPARTMENT 4305 S SANTA FE AVE VERNON CA 90058-1714 Cy-) M CD 00 00 Jennifer Pcrcz v Stcricyc[c,Inc Bank of the West90-78/1211 Check No. CD 100227 M M CID 00 co PAY **********Twenty One Thousand Dollars and 84/100 ********** 00 Date: 3/23/2016 Pay Amount: $21,000.84 TO THE Claim#:SUZ-1 0ON227-7 CASH PROMPTLY,VOID AFTER May 22.2016 ORDER OF VERNON POLICE DEPARTMENT 4305 S SANTA FE AVE c VERNON CA 90058-1714 0000 100 2 2 711' : & 2 1 100 78 21: 01.08 3 2 6 9 30 IF Z ::. �1l�J � '' RECEIVED MAY 10 20") 5 v f MAY 0 9 2016 CITY CLERK'S OFFICE MY ADMINISTRATION STAFF REPORT CITY ATTORNEY'S OFFICE DATE: May 17, 2016 TO: Honorable Mayor and City Council FROM: Hema Patel, City Attorney RE: Approval of the General !Form of Attorney Services Contracts under the Competitive Bidding and Purchasing Ordinance. Recommendation A. Find that approval of the forms of contract and of related documents in this staff report is exempt from California Environmental Quality Act ("CEQA") review, because it is a continuing 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 approving the general form of attorney services contracts. The Proposed Form Contracts Presented to the City- Council Sunport the Recommendations of Continued Good Governance Efforts T Senator Kevin De Leon's Critical Path Reforms and Independent Reform Monitor,John Van De Kamp's Reports both made substantial and detailed recommendations for Vernon's procurement practices. As the initial step in carrying out those recommendations,a Competitive Bidding and Purchasing Ordinance,Ordinance No. 1200, amending Article IV of Chapter 2, Sections 2.17 through 2.31, was adopted on December 18, 2012, and was amended by Ordinance No. I221 on May 20, 2014, to make necessary changes to the City's purchasing system. The Ordinance established, among other things, an open and competitive process for service and personal services contracts. On February 5,2013,the City Council of the City of Vernon adopted Resolution No. 2013-23, approving the General Form of Personal Service Contracts, Types of Insurance and Indemnity, Purchase Order Contracts, Requests for Proposals and Attorney Services Contracts. The Resolution presented to City Council with this Staff Report will,in turn, standardize a number of the contracts used by the City Attorney's Office in order to further institutionalize the recommendations of Senator De Leon and Reform Monitor Van De Kamp in the day to day work of Vernon. The form of documents presented are the basis for the contracting activity of the City Attorney's Office,whether approved by City Council or approved by the City Administrator according to the dollar thresholds established in the Competitive Bidding and Purchasing Ordinance. This provides a core of intelligible and commercially reasonable documents for Vernon. As part of the City Attorney's Office continued review and analysis of all form documents, several revisions and updates are being proposed to the form Attorney Services agreements. These updates reflect changes in current law or procedure, and/or are aimed at increasing efficiency and the Office's ability to conduct meaningful oversight of outside legal work and costs. A further resolution will be brought forward in the near future with additional updates to the other form documents for City Council approval. Title and Surnman of Documents to Be Approved by the Attached Resolution 1. Attorney ervices (Litigation) Agreement. This is the model contract to be used for procuring Litigation Services for Vernon from outside law firms. As required by the good governance reforms, there is a recital that the rates charged to Vernon do not exceed the rates charged to other governmental entities (Section 4.1), a recital that, for services of a continuing nature, the contract will not exceed a term of three years (Section 2.0), and a stated not to exceed amount for the contract (Section 4.1). In addition, it has an Equal Employment Opportunity Practices Provision (Section 19.0 and Exhibit E) and a Living Wages Provision(Section 18.0 and Exhibit D). 2. Attorney Services (Transactional) Agreement. This is the model contract to be used for procuring Transactional Services for Vernon from outside law firms. As required by the good governance reforms, there is a recital that the rates charged to Vernon do not exceed the rates charged to other governmental entities (Section 4.1), a recital that, for services of a continuing nature, the contract will not exceed a term of three years (Section 2.0), and a stated not to exceed amount for the contract (Section 4.1). In addition, it has an Equal Employment Opportunity Practices Provision (Section 19.0 and Exhibit E) and a Living Wages Provision (Section 18.0 and Exhibit D). Fiscal Impact There is no direct fiscal impact as a result of adopting the general form of attorney services contracts. Standardizing documents and processes will sustain efficiencies that work to the financial benefit of Vernon over time. - 2 - RESOLUTION NO . A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING THE GENERAL FORM OF ATTORNEY SERVICES CONTRACTS WHEREAS, the City of Vernon (the "City" ) , is a municipal corporation and a chartered city of the State of California organized and existing under its Charter and the Constitution of the State of California; and WHEREAS, an open and transparent, competitive bidding and purchasing process serves the interests of all of Vernon' s stakeholders and constituencies, including its individual, corporate and business residents, as well labor organizations and workers within Vernon, all of whom deserve the highest quality of municipal services; and WHEREAS, on December 18, 2012, the City Council of the City of Vernon adopted Ordinance No. 1200, as amended by Ordinance No. 1221 on May 20, 2014 , amending Article IV of Chapter 2 , Sections 2 . 17 through 2 . 31, to make necessary changes to the City' s purchasing system in order to create the foundation for an open and transparent, competitive bidding and purchasing process; and WHEREAS, Article IV of Chapter, Section 2 . 17 . 34 provides that the City Council shall approve, by Resolution, the general forms of contract, purchase order contracts, notice inviting bids, and the general provisions of bid specifications and request for proposals for use in City purchasing; and WHEREAS, on February 5, 2013, the City Council of the City of Vernon adopted Resolution No. 2013-23, approving the General Form of Personal Service Contracts, Types of Insurance and Indemnity, Purchase Order Contracts, Requests for Proposals and Attorney Services Contracts; and WHEREAS, by memorandum dated May 17, 2016, the City Attorney has recommended the approval of the general form of Attorney Services Contracts in order to update changes in current law or procedure, and/or increase efficiency and the Office' s ability to conduct meaningful oversight of outside legal work and costs; and WHEREAS, the City Council of the City of Vernon desires to approve the general form of attorney services contracts . NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1 : The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct . SECTION 2 : The City Council of the City of Vernon finds that this action is exempt under the California Environmental Quality Act (CEQA) , because it is a continuing 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 . SECTION 3 : The City Council of the City of Vernon hereby approves and adopts the general form of attorney services contracts for use by the City Attorney' s Office as attached hereto as the following Exhibits: A. Attorney Services (Litigation) Agreement. B. Attorney Services (Transactional) Agreement. SECTION 4 : The City Council of the City of Vernon hereby authorizes and empowers the City Attorney to make whatever administrative and non-material changes to the approved documents, as - 2 - are necessary from time-to-time in order to carry out the intent of this Resolution. SECTION 5 : The City Clerk, or Deputy City Clerk, of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, or Deputy City Clerk, of the City of Vernon shall cause this resolution and the City Clerk' s, or Deputy City Clerk' s, certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 17th day of May, 2016- Name : Title: Mayor / Mayor Pro-Tem ATTEST: City Clerk / Deputy City Clerk APPROVED AS TO FORM: Zayna4)M0Lssa, Senior Deputy City Attorney - 3 - STATE OF CALIFORNIA 1 1 Ss COUNTY OF LOS ANGELES ) I, City Clerk / Deputy City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. , was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, May 17, 2016, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this day of May, 2016, at Vernon, California. City Clerk / Deputy City Clerk (SEAL) - 4 - EXHIBIT A ATTORNEY SERVICES AGREEMENT (LITIGATION) BETWEEN THE CITY OF VERNON AND [ASSOCIATE COUNSEL] REGARDING [CASE NAME] COVER PAGE Associate Counsel: [insert name of Associate Counsel] Responsible Principal of Associate Counsel. [insert name, title] Notice Information -Associate Counsel [insert name of Associate Counsel] [insert street address] [insert city, state, zip code] Attention: [insert name, title] Phone: [insert phone number] Facsimile: [insert fax number] Notice Information - City: City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Attention: [insert department head] [insert department head title] Telephone: (323) 583-8811 ext. [insert] Facsimile: [insert fax number] Commencement Date: [insert commencement date] Termination Date: [insert termination date] Consideration: Total not to exceed $[insert amount] (includes all applicable sales tax); and more particularly described in Exhibit B Records Retention Period Three (3) years, pursuant to Section 12.2 ATTORNEY SERVICES AGREEMENT (LITIGATION) BETWEEN THE CITY OF VERNON AND [NAME OF FIRM] REGARDING [CASE NAME] This Agreement is entered into by and between the City of Vernon, a California charter City and California municipal corporation ("City") and [Associate Counsel's Name], a [State incorporated in] corporation ("Associate Counsel"). City and Associate Counsel are collectively referred to herein as the "Parties." RECITALS [OPTION 1: ONGOING/AS-NEEDED AGREEMENT] WHEREAS, the City, acting through its City Attorney, desires to engage Associate Counsel, in association with the City Attorney, to assist the City Attorney in various cases in litigation, and to provide advice and assistance in other legal matters from time to time; and [OPTION 2: ONE-TIME CASE ASSIGNMENT] WHEREAS, a lawsuit entitled . was filed in [insert name of court or other tribunal], Case No. herein referred to as the "Action"; and WHEREAS, Associate Counsel possesses the skills, qualifications and experience necessary to assist as Associate Counsel in the Action; and WHEREAS, the City Attorney of the City of Vernon, herein referred to as "City Attorney," is the chief legal advisor and litigator for the City and is charged with the responsibility of protecting the interests of the City, its Council, officers, employees and agents in any litigation initiated by or against the City, its Council, officers, employees and agents as provided for by California law and the Charter and ordinances of the City; WITNESSETH: NOW, THEREFORE, THE PARTIES HERETO AGREE AS FOLLOWS: 1.0 Scope of Services. Associate Counsel hereby is associated as Counsel of Record in association with the City Attorney to perform such legal services as may be required from time to time in connection with assigned litigation and other matters as specked in Exhibit "A" hereto. [principal member name], a principal member of the firm of Associate Counsel, shall be responsible for the performance of services hereunder, shall personally handle all significant matters, and shall supervise any services performed by other members of Associate Counsel's firm and by its employees. It is understood that the City Attorney is chief counsel of record for all purposes relating to litigation, and Associate Counsel's performance hereunder shall be under the direction and supervision of the City Attorney, that Associate Counsel shall coordinate its services hereunder with the City Attorney to the extent required by said City Attorney, and that all performances required hereunder by Associate Counsel shall be performed to the satisfaction of said City Attorney. 2 Associate Counsel shall report to and receive direction from the City Attorney only, and not from any other Department Head or City staff. 2.0 Time of Performance. The services of Associate Counsel are to commence as of the signing hereof (the "Effective Date") and the written assignment of particular matters, provided, the effectiveness of this Agreement is subject to approval by the City Council or City Administrator (as appropriate), and shall be undertaken and completed in such sequence as to assure their completion as expeditiously as is consistent with professional skill and care. This Agreement shall automatically terminate three (3) years from the Effective Date, subject and pursuant to the terms of this Agreement. 3.0 Litigation Budgeting. Associate Counsel handling City matters will be expected to institute and to adhere to litigation budgeting and planning procedures in the sole discretion of the City Attorney. The general framework of the litigation budgeting and planning procedures is as follows: 3.1 Case Budget: 3.1.1 Associate Counsel shall, if requested by the City Attorney, provide a Litigation Plan and a Case Budget, or revisions thereof, which will include a projection of recommended steps to be taken in the litigation and a range of costs for each step. The Plan and Budget will be reviewed and updated as necessary, at least every twelve months, or as more frequently requested by the City Attorney. 3.1.2 The Case Budget shall include an estimate of Associate Counsel's attorneys' hours, fees and disbursements during each phase and activity, including: 1) pre-commencement (legal and factual research for the complaint or answer); 2) pleadings; 3) motions (including research); 4) initial discovery; 5) factual investigation of merits (interviewing clients, employees and third parties); 6) review and analyze City's documents; 7) expert (non-medical) investigation and reports; 8) medical experts and examinations; 9) legal research on merits; 10) more thorough discovery (including the identity of deponents and expected costs of each deposition and preparation); 11) post-discovery pre-trial dispositive motions; 12) settlement evaluation and negotiations; 13) trial preparation; and 14) trial. All anticipated expenses must be listed and costs estimated. 3.1.3 The Case Budget should include the anticipated cost of each line item, the time estimated to complete it and the identity (name, title, billing rate) of the primary attorney handling it. 3.1.4 Each line item should be given a code number that can be used in the billing process and in preparation of updated progress reports. 3.1.5 The Case Budget is not a fixed fee agreement and is subject to revision. However, Associate Counsel understands and agrees that failure to timely submit a Case Budget or major unjustified deviations therefrom may constitute a breach and result in termination of this Agreement with Associate Counsel. 32 Litigation Plan. 3.2.1 In addition to the Case Budget, Associate Counsel shall prepare a Litigation Plan, on forms as may be required by the City, at least every twelve months or as more frequently requested. The Litigation Plan will start as an initial evaluation (before substantial costs are incurred) and shall include, with a discussion (where applicable): a) anticipated total costs; b) the primary issues and likely resolution; c) the probability of success— either on the merits or on procedural grounds; d) a strategy for defense/offense/resolution, including a settlement/trial recommendation based on a cost-benefit analysis; e) damages claimed; f) evidence (i.e., witness, documentary or demonstrative) relevant to liability or damages; g) recent developments such as law and motion rulings,judicial opinions in other cases, and legislative/executive action; h) deposition summaries, if appropriate and cost effective; and i) settlement demands. The Litigation Plan will be modified during the litigation as the need arises. The City Attorney shall be consulted by Associate Counsel regarding the component parts of projects/cases handled so that the City Attorney can determine, or secure a determination from the City Council, as appropriate, tactics, strategy and whether a particular activity makes sense from an economic standpoint or can be done more economically in another fashion. 3.2.2 The City Attorney is to be consulted regarding staffing of litigation and is to be advised of any significant shift in staffing. 3.2.3 The City Attorney is to be provided with copies of any billing manuals or directions for billing practices in use by Associate Counsel within thirty (30) days of signing this Agreement. 3.2.4 It is the policy of the City of Vernon to avoid a "deep pockets" reputation by taking a "hard-nosed" approach to settlements, and by not giving nuisance settlements. Settlement will generally be considered only where there is some liability exposure. If there is no liability exposure, trial is generally the only option_ 4.0 Compensation, Reimbursement and Methods of Payments. 4.1 Compensation. Associate Counsel has established rates for the City of Vernon which are comparable to and do not exceed the best rates offered to other governmental entities in and around Los Angeles County for the same services. Fees for all services provided hereunder by all billers shall be charged in accordance with Exhibit "B", which is attached hereto and fully incorporated herein by reference. The grand total compensation under this Agreement shall not exceed the amount of$[insert amount], without prior approval of the City Council and written amendment of this Agreement. 4.2 Reimbursement. In addition to the compensation provided above, the City will reimburse Associate Counsel only for the following expenses: printing, copying costs (not to exceed 15 cents a page), long distance telephone calls, faxes, transcription fees, reporter's fees and ground transportation (in the amount set forth by the Internal Revenue Service standard mileage rate). Any other expense (e.g., travel expenses or travel time beyond Southern California) must be approved by the City Attorney in writing and in advance. No compensation shall be allowed for general overhead or support services such as typing, word processing, scanning hard-copy documents to .pdf format, secretarial time of any nature (normal, overflow or overtime), clerical work, Lexis or Westlaw, equipment rental, calendaring, setting up files, updating files, computer time or service, nor any other expense not itemized in the approved Case Budget or otherwise approved by the City Attorney. There shall be no mark-ups on outside services. 4.3 The City Attorney must approve in advance any single disbursement item in excess of$500.00, including, but not limited to, investigators, copying and experts. Requests for costs exceeding $500.00 shall contain a recommendation of alternative information services, including use of City employees. Associate Counsel will use City Staff in lieu of outside experts whenever feasible. 4.4 The City expects moderation with regard to all expenses_ 4.5 Method of Billing. Unless otherwise agreed, Associate Counsel shall provide monthly bills unless fees and costs for a particular month are insignificant (i.e., $500 or less), in which case such charges will be added to the following month's bill. The following information must be provided in monthly bills: A. A detailed description of work, in time increments of .1 hour (one tenth of an hour)for and by each and every individual billing services. Associate Counsel shall keep the City advised regarding the identity and the billing rates of those people who work on the litigation account. B. identification of the lawyer who is in charge of the matter. C. Detailed disbursement breakdowns, including the nature and purpose of each disbursement. D. Each billing item will be separately stated on a separate line identifying the biller, the time spent and the exact nature of the service rendered. Narrative billing and block billing are unacceptable. For example, if numerous tasks are undertaken in one day, each should be identified with a specified time for performing that task, i.e. a telephone call, a court appearance, a meeting or legal research. All tasks performed on the same day should be entered as separate entries, identifying the time spent on each. Telephone conferences should specify the participants and the subject matter discussed. The City will not pay for vague descriptions for services which do not state the precise 4 nature of the work performed and the need for the work. Words such as "research", "strategy", "analysis", "discovery", "conference", "preparation", "case management", "memorandum", "correspondence", "telephone call" or "meeting,"without an explanation of(1) the specific topic or subject matter, (2) the persons involved, and (3) the need therefor, do not allow for accountability and are therefore non-reimbursable. E. The City will not pay for inter-office conferences among attomeyslbillers unless a conference is a necessary strategy meeting relating to some significant legal issue or event, such as an upcoming trial, and then only one attomey may be billed. Where charges are made for conferences, the specific reason and need for each conference must be stated in detail, and the participants identified. F. Where charges are made for research time, the specific issue being researched and the need must be identified. City has retained Associate Counsel for its expertise, and therefore expects not to be billed for introductory or background research. The City will not pay for attorneys, law clerks and paralegals educating themselves or doing work of a transient nature on the case. G. The City expects the attorney assigned to the case to handle all significant matters in the litigation. If other attorneys are assigned to assist the primary attorney, the City must be notified. The City may request that the assigned work be instead handled by the primary attorney. Thus, only those attorneys or persons approved in advance by the City may bill on the case. Upon City request, resumes will be provided for all persons (other than clerical or secretarial) working on the case. H No more than two non-attorney support staff may bill on a particular case without the prior approval of the City. I. One paralegal may be used. Assignment of work to such paralegal should not result in duplicative work by the attorneys or reworking of paralegal's work. Paralegal shall not perform clerical work, such as filing, indexing, date- stamping, organizing, etc., but shall perform work such as research, summarizing depositions, investigation, interviews of witnesses, etc. J. Upon request, each item billed must be coded to a speck Case Budget line item, so a bill may be easily compared with the approved Case Budget. K. A tracking system must be set up to periodically, at least every six months, compare the amount of work completed to a percentage of the Case Budget absorbed. L The City Attorney reserves the right to request various levels of detail and specific formats (such as columnar comparisons with established budgets). M. The City will not pay for more than one hiller doing any task (e.g. two or more attorneys attending the same depositions or the same court appearances, a biller redoing the work of another biller, or duplicative entries for reviewing and analyzing documentation and legal research). N. Charges for time spent complying with billing inquiries and/or City audits are non-reimbursable. O. Photocopies of deposition transcripts shall be made whenever possible to reduce deposition expenses- P. No finance charge or interest will be paid by the City, nor billed by Associate Counsel. 4.6 Timing of Payment. The City shall pay Associate Counsel for services rendered and costs incurred hereunder, at the rates and in the amounts provided hereunder, on a monthly basis. 5.0 Engagement of Other Counsel, Specialists or Experts. Associate Counsel shall not engage or otherwise incur an obligation to pay other counsel, specialists or experts for services in connection with this Agreement without the prior written approval of the City Attorney. 6.0 Termination of Agreement and Legal Services. Subject to the applicable provisions of the Rules of Professional Conduct of the State Bar of California, this Agreement and all legal services to be rendered hereunder may be terminated at any time by written notice from either party with or without cause. In such event, all finished or unfinished documents, project data and reports, both originals and all duplicate copies, in all forms and media requested by the City, shall immediately be turned over to the possession of City, which owns all such materials. In the event of such termination, Associate Counsel shall be paid for all satisfactory work, unless such termination is made for cause, in which event compensation, if any, shall be adjusted, in the City's sole discretion, in light of the particular facts and circumstances involved in such termination. 7.0 Interest of Members of Local Public Agency. No member of the governing body of the City, and no other officer, employee or agent of the City who exercises any discretion, function or responsibility in connection with the carrying out of any project to which this Agreement pertains, shall have any personal interest, direct or indirect, in this Agreement. 8.0 General Procedures. 8.1 Copies of major pleadings, reports on significant developments and quarterly status reports shall be submitted to keep the City Attorney advised of any major developments in the lawsuit. Once the Litigation Plan is approved, Associate Counsel need not advise the City of each and every step being taken. As long as Associate Counsel is complying with the Litigation Plan, it should provide periodic reviews and information on significant matters. The City does not, however, want boilerplate routine letters announcing each and every procedural step being taken. 9.0 Policy for Investigation and Discovery Assistance. A copy of the City Attorney's Policy for Investigation and Discovery Assistance is attached hereto as Exhibit "C"which is attached hereto and fully incorporated herein by reference. 10.0 Conflict of Interest. Associate Counsel certifies that no member, officer or employee of Associate Counsel is an officer or employee of the City of Vernon except to the extent permitted by law. Associate Counsel agrees to secure the informed written consent of the City Attomey before accepting any representation adverse to the City (actual or apparent) during the term of this Agreement, and to forego such representation if the City Attorney, in his/her sole discretion, objects for any reason. 11.0 Maintenance_and Inspection of Records. 11.1 The City and any other Federal, State or local governmental agency, and any of their authorized auditors or representatives, shall have access to, and the right to audit and reproduce any of Associate Counsel's records to the extent the City or such other governmental agency deems necessary to ensure that City is paying only the amounts to which Associate Counsel is properly entitled or for other purposes relating to the Agreement. 11.2 Associate Counsel shall maintain and preserve all such records for at least three (3) years after termination of the Agreement or until an audit has been completed and accepted in writing by City. Upon written notice by the City, the Associate Counsel shall promptly make all such records available to auditors or other representatives of the City or other governmental agencies. 11.3 If Associate Counsel does not maintain such records in the City of Vernon, Associate Counsel shall either deliver said records at its expense to City or shall promptly reimburse City for all reasonable costs incurred in conducting the audit at a location other than the City of Vernon, including, but not limited to, expenses for personnel, salaries, private auditors, lodging, meals and overhead. 12.0 Indemnity. 12.1 Associate Counsel agrees to indemnify City, its officers, elected officials, employees and agents against, and will hold and save each of them harmless from, any and all actions, suits, claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein `claims or liabilities"), including but not limited to professional negligence, that may be asserted or claimed by any person, firm or entity arising out of or in connection with the work, operations or activities of Associate Counsel, its agents, employees, subcontractors, or invitees, provided for herein, or arising from the acts or omissions of Associate Counsel hereunder, or arising from Associate Counsel's performance of or failure to perform any term, provision, covenant or condition of this Agreement, except to the extent such claims or liabilities arise from the gross negligence or willful misconduct of City, its officers, elected officials, agents or employees. 13.0 INSURANCE. Associate Counsel shall, at its own expense, procure and maintain policies of insurance of the types and in the amounts set forth below, for the duration of the Agreement, including any extensions thereto. 13.1 Automobile Liability with minimum limits of at least $100,000/300,000/500,000 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. 13.2 General Liability with minimum limits of at least $1,000,000 combined single limits written on an Insurance Services Office (ISO) Comprehensive General Liability "occurrence"form or its equivalent for coverage on an occurrence basis. Premises/Operations and Personal Injury coverage is required. The City of Vernon, its Council, commissioners, officers, employees, agents and volunteers registered with the City of Vernon must be endorsed on the policy as additional insureds as respects liability arising out of the Associate Counsel's performance of this Agreement. 13.3 Professional Errors and Omissions coverage in a sum of at least $1,000,000. If a claims-made policy is obtained, a "tail" of at least three years shall be purchased if non-renewed within three (3) years of completion of performance under this Agreement. Applicable aggregates must be identified and claims history provided to determine amounts remaining under the aggregate. 13.4 Associate Counsel shall comply with the applicable sections of the California Labor Code concerning workers' compensation for injuries on the job. Compliance is accomplished in one of the following manners: 13.1.1 Provide copy of permissive self-insurance certificate approved by the State of California; or 13.1.2 Secure and maintain in force a policy of workers' compensation insurance with statutory limits and Employer's Liability Insurance with a minimal limit of $1,000,000 per accident. The policy shall be endorsed to waive all rights of subrogation against City, its Council, commissioners, officers, employees, and volunteers for losses arising from performance of this Agreement; or 13.1.3 Provide an insurance exemption form certifying that no employees subject to workers' compensation law will be used in performance of this Agreement. 13.1.4 Each insurance policy included in this clause shall be endorsed to state that coverage shall not be canceled except after thirty (30) days' prior written notice to City. 13.1.5 Insurance shall be placed with insurers with a Best's rating of no less than B:VIII. 13.1.6 Prior to commencement of performance, Associate Counsel 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. 13.1.7 Failure to maintain required insurance at all times shall constitute a default and material breach. In such event, Associate Counsel shall immediately notify City and cease all performance under this Agreement until further directed by the City. In the absence of satisfactory insurance coverage, City may, at its option: (a) procure insurance with collection rights for premiums, attorney's fees and costs against Associate Counsel by way of set-off or recoupment from sums due Associate Counsel, at City's option; (b) immediately terminate this Agreement; or (c) self-insure the risk, with all damages and costs incurred, by judgment, settlement or otherwise, including attorney's fees and costs, being collectible from Associate Counsel, by way of set-off or recoupment from any sums due Associate Counsel. 14.0 Choice of Forum. This Contract shall be governed by and construed in accordance with the laws of the State of California. Associate Counsel agrees that the State and Federal courts which sit in the State of California shall have exclusive jurisdiction over all controversies and disputes arising hereunder, and submits to the jurisdiction thereof. 15.0 Incorporation by Reference. This contract incorporates by reference the Request for Proposal and specifications therein, and all attachments, and the Proposal by Associate Counsel, and all attachments. 16.0 Order of Precedence. In case of conflict between the terms of this Agreement and the terms in any document attached as an exhibit or otherwise incorporated by reference, the terms of this Agreement shall strictly prevail. 17.0 Livinq Wages. Associate Counsel working on City service contracts of any amount, as to all employees spending time on City contracts, shall observe the City's Living Wage Ordinance 10 and all requirements thereof at all times on City contracts. The Current Living Wage Standards are set forth in Exhibit "D". Upon request, certified payroll shall be provided to the City. 18.0 Equal Employment Opportunity Practices. Associate Counsel certifies and represents that, during the performance of this Agreement, 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. Associate Counsel further certifies that it will not maintain any segregated facilities. The Equal Employment Opportunity Practices provisions are set forth in Exhibit "E"_ 19.0 Ethical Guarantees 19.1 Associate Counsel warrants that no gratuities (in the form of entertainment, gifts, or otherwise were offered or given by Associate Counsel, or any agent or representative of Associate Counsel, to any officer or employee of City with a view toward securing this Agreement or favorable treatment with respect to any determination concerning the performance of this Agreement. In the event of breach of this warranty, City shall be entitled to pursue the same remedies including, but not limited to, termination, against Associate Counsel as it could pursue in the event of Associate Counsel's default. 19.2 Associate Counsel and its members shall comply with all applicable federal, state and local laws and regulations, including the conflict of interest provisions of Government Code Section 1090 and the Political Reform Act (Government Code Section 81000 et seq.). 20.0 Right to Offset Claims for Money.. All claims of money due or to become due from City shall be subject to deduction or offset by City from any monies due Associate Counsel by reason of any claim or counterclaim arising out of: (i) this Agreement, or (ii) any purchase order, or (iii) any other transaction with Associate Counsel. 21.0 Modification. Any modification of this Agreement will be effective only if it is in writing signed by all parties to this Agreement, and, where applicable, if it is approved by City Council. 22.0 Severabilit /Partial Invalidity. If any term or provision of this Agreement, or the application of any term or provision of this Agreement to a particular situation, shall be finally found to be void, invalid, illegal, or unenforceable by a court of competent jurisdiction, then notwithstanding such determination, such term or provision shall remain in force and effect to the extent allowed by such ruling and all other terms and provisions of this Agreement or the application of this Agreement to other situations shall remain in full force and effect. Notwithstanding the foregoing, if any material term or provision of this Agreement or the application of such material term or condition to a particular situation is finally found to be void, invalid, illegal, or 11 unenforceable by a court of competent jurisdiction, then the parties hereto agree to work in good faith and fully cooperate with each other to amend this Agreement to carry out its intent. 23.0 Time of the Essence. Time is of the essence in the performance of this Agreement. 24.0 No assignment by a party hereto of any rights under or interest in this Agreement will be binding on another party hereto without the written consent of the party sought to be bound; and specifically but without limitation, moneys that may become due and moneys that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically state to the contrary in written consent to an assignment no assignment will release or discharge the assignor from any duty or responsibility under the Agreement. [Signatures Begin on Next Page]_ 12 IN WITNESS WHEREOF, the City and Associate Counsel agree as set forth hereinabove. DATED: CITY OF VERNON, a California charter City and California municipal corporation By: _ Hema Patel, City Attorney DATED: [ASSOCIATE COUNSEL'S NAME], a [State incorporated in] corporation By: Name: Title: ATTEST: Maria E. Ayala, City Clerk APPROVED AS TO FORM: Hema Patel, City Attorney 13 EXHIBIT A SCOPE OF SERVICES 14 EXHIBIT B LAW FIRM XXXXXXXXXXXXXXXX Los Angeles, CA XXXXX (XXX) XXX-XXXX Hema Patel City Attorney City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Re: Plaintiff v. City of Vernon City Attorney No.: XXXXX Dear Mrs. Patel: The following hourly fees are agreeable: A) [Insert Partner Name], Partner $ B) [Insert Associate Name), Associate C) One paralegal $ Very truly yours, For the Firm 15 EXHIBIT C POLICY FOR INVESTIGATION AND DISCOVERY ASSISTANCE The following sets forth the policy of this office regarding investigation and other assistance in the defense of liability cases involving the City of Vernon or City employees. The objective is to provide current and long-range investigative assistance and guidance on all liability cases. 1. Copies of the summons, complaint and claims investigation reports, if available, will be forwarded to Associate Counsel upon assignment of the lawsuit to defense counsel. 2. Associate Counsel, in evaluating the lawsuit, is to advise the City Attomey as to further investigative needs. The services of an investigating agency, approved by the City Attorney, may be requested to assist Associate Counsel in their investigation. The agency is to furnish this office with copies of all its reports. 3. After receiving Associate Counsel's request, the investigating agency commences the specified investigation and outlines its recommendations for additional investigation, but does not commence such additional investigation until specifically requested by Associate Counsel to do so. 4. In addition to investigation, the investigating agency assists with such discovery, needed diagrams, photographs and other information as may be requested by Associate Counsel. 5. Associate Counsel is requested to review the claims investigation file sent with the assignment of defense so as to preclude unnecessary or duplicate investigative expenses. 6. Copies of the Vernon Municipal Code and other City documents can be readily obtained from the City Attorney's Office_ 7. Attendance at mandatory settlement conferences will include only Associate Counsel and an attorney from the City Attorney's Office. Neither the Claims Coordinator nor investigators shall attend unless specifically requested to do so by this office. 16 EXHIBIT D LIVING WAGE PROVISIONS Minimum Livina Wages: A requirement that Employers pay qualifying employees a wage of no less than $10.30 per hour with health benefits, or$11.55 per hour without health benefits. Paid and Unpaid Days 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 action 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 EXHIBIT E EQUAL OPPORTUNITY EMPLOYMENT PRACTICES PROVISIONS A. Associate Counsel 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. Contractor further certifies that it will not maintain any segregated facilities. B. Associate Counsel agrees that it shall, in all solicitations or advertisements for applicants for employment placed by or on behalf of Associate Counsel, 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. C. Associate Counsel 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. D. Associate Counsel 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. E. Nothing contained in this Agreement shall be construed in any manner as to require or permit any act which is prohibited by law. 18 EXHIBIT B ATTORNEY SERVICES AGREEMENT (TRANSACTIONAL) BETWEEN THE CITY OF VERNON AND [ASSOCIATE COUNSEL] COVER PAGE Associate Counsel: [insert name of Associate Counsel] Responsible Principal of Associate Counsel: [insert name, title] Notice Information -Associate Counsel: [insert name of Associate Counsel] [insert street address] [insert city, state, zip code] Attention: [insert name, title] Phone: [insert phone number] Facsimile: [insert fax number] Notice Information - City_ City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Attention: [insert department head] [insert department head title] Telephone: (323) 583-8811 ext. [insert] Facsimile: [insert fax number] Commencement Date: [insert commencement date] Termination Date: [insert termination date] Consideration: Total not to exceed $[insert amount] (includes all applicable sales tax) Records Retention Period Three (3) years, pursuant to Section 12.2 ATTORNEY SERVICES AGREEMENT (TRANSACTIONAL) BETWEEN THE CITY OF VERNON AND [ASSOCIATE COUNSEL] This Agreement is entered into by and between the City of Vernon ("City"), a California charter City and California municipal corporation ("City"), and [Associate Counsel's Name], a [State incorporated in] corporation ("Associate Counsel"). City and Associate Counsel are collectively referred to herein as the "Parties." RECITALS [OPTION 1: ONGOING 1 AS-NEEDED AGREEMENT] WHEREAS, the City, acting through its City Attorney, desires to engage Associate Counsel, in association with the City Attorney, to assist the City Attorney in connection with various transactions, and to provide advice and assistance in other legal matters from time to time; and [OPTION 2: ONE-TIME TRANSACTION ASSIGNMENT] WHEREAS, the City is involved in a transaction specifically described as [insert description] (the "[insert short name] Transaction"); and WHEREAS, Associate Counsel possesses the skills, qualifications, and experience necessary to assist as Associate Counsel in [OPTION 1] transactional matters [OPTION 21 the [insert short name] Transaction; and WHEREAS, the City Attorney of the City of Vernon, herein referred to as "City Attorney," is the Chief Legal Advisor for the City and is charged with the responsibility of protecting the interests of the City, its Council, officers, employees and agents, as provided for by California law and the Charter and ordinances of the City. WITNESSETH: NOW, THEREFORE, the Parties agree as follows: 1.0 Scope of Services. Associate Counsel hereby is associated as Counsel of Record in association with the City Attorney to perform such legal services as may be required from time to time in connection with specific transactional matters and other legal matters as specified in Exhibit "A", hereto. [principal member name], a principal member of the firm of Associate Counsel, shall be responsible for the performance of services hereunder, shall personally handle all significant matters, and shall supervise any services performed by other members of Associate Counsel's firm and by its employees. It is understood that the City Attorney is chief counsel of record for all purposes, and Associate Counsel's performance hereunder shall be under the direction and supervision of the City Attorney, that Associate Counsel shall coordinate its services hereunder with the City Attorney to the extent required by said City Attorney, and that all performances required hereunder by Associate Counsel shall be performed to the satisfaction of said City Attorney. 2 Associate Counsel shall report to and receive direction from the City Attorney only, and not from any other Department Head or City staff. 2.0 Time of Performance and Term. The services of Associate Counsel are to commence upon the signing hereof ("Effective Date"), and the written assignment of particular matters, provided, the effectiveness of this Agreement is subject to approval by the City Council or City Administrator (as appropriate), and shall be undertaken and completed in such sequence as to assure their completion as expeditiously as is consistent with professional skill and care. This Agreement shall automatically terminate three (3) years from the Effective Date, subject and pursuant to the terms of this Agreement. 3.0 Budgeting. Associate Counsel handling specific City matters will be expected to institute and to adhere to budgeting and planning procedures in the sole discretion of the City Attorney. The general framework of the litigation budgeting and planning procedures is as follows: 3.1 Budget: 3.1.1 Associate Counsel shall, if requested by the City Attorney, provide a Plan and a Budget, or revisions thereof, which will include a projection of recommended steps to be taken in the assigned matter and a range of costs for each step. The Plan and Budget will be reviewed and updated as necessary, at least every twelve months, or as more frequently requested by the City Attorney. 3.1.2 The Budget shall include an estimate of Associate Counsel's attorney's hours, fees, and disbursements during each phase and activity. 3.1.3 The Budget should include the anticipated cost of each line item, the time estimated to complete it, and the identity (name, title, billing rate) of the primary attorney handling it. 3.1.4 Each line item should be given a code number that can be used in the billing process and in preparation of updated progress reports. 3.1.5 The Budget is not a fixed fee agreement and is subject to revision. However, Associate Counsel understands and agrees that failure to timely submit a Budget or major unjustified deviations therefrom may constitute a breach and result in termination of this Agreement with Associate Counsel. 3.2 Plan. 3.2.1 In addition to the Budget, Associate Counsel shall prepare a Plan, at least every twelve months, or as more frequently requested. The plan will start as an initial evaluation (before substantial costs are incurred) and shall include, with a discussion (where applicable): a) anticipated total costs; b) the primary issues; and c) tasks toward completion. 3.2.2 The City Attorney shall be consulted by Associate Counsel regarding the component parts of projects/cases handled so that the City Attorney can determine, or secure a determination from the City Council, as appropriate, tactics, strategy, and whether a particular activity makes sense from an economic standpoint or can be done more economically in another fashion. 3.2.3 The City Attorney is to be consulted regarding staffing of litigation and is to be advised of any significant shift in staffing. 3.2.4 The City Attorney is to be provided with copies of any billing manuals or directions for billing practices in use by Associate Counsel within thirty (30) days of signing this Agreement. 4.0 Compensation. Reimbursement and Methods of Payments. 4.1 Compensation. Associate Counsel has established rates for the City of Vernon which are comparable to and do not exceed the best rates offered to other governmental entities in and around Los Angeles County for the same services. Fees for all services provided hereunder by all billets shall be charged in accordance with Exhibit "B", which is attached hereto and fully incorporated herein by reference. Associate Counsel's grand total, not-to-exceed compensation for the three (3) years of this Contract shall not exceed the amount of$[insert amount], without prior approval of the City Council and written amendment of this Contract. 4.2 Reimbursement. In addition to the compensation provided above, the City will reimburse Associate Counsel only for the following expenses: printing, copying costs (not to exceed 15 cents a page), long distance telephone calls, faxes, transcription fees, reporter's fees and ground transportation (in the amount set forth by the Internal Revenue Service standard mileage rate). Any other expense (e.g., travel expenses or travel time beyond Southern California) must be approved by the City Attorney in writing and in advance. No compensation shall be allowed for general overhead or support services such as typing, word processing, scanning hard-copy documents to .pdf format, secretarial time of any nature (normal, overflow, or overtime), clerical work, Lexis or Westlaw, equipment rental, calendaring, setting up files, updating files, computer time or service, nor any other expense not itemized in the approved Case Budget or otherwise approved by the City Attorney. There shall be no mark-ups on outside services. 4.3 The City Attorney must approve in advance any single disbursement item in excess of$500.00, including, but not limited to, investigators, copying, and experts. Requests for costs exceeding $500.00 shall contain a recommendation of alternative information services, including use of City employees. Associate Counsel will use City Staff in lieu of outside experts whenever feasible. 4.4 The City expects moderation with regard to all expenses. 4 4.5 Method of Billing. Unless otherwise agreed, Associate Counsel shall provide monthly bills unless fees and costs for a particular month are insignificant (i.e., $500 or less), in which case such charges will be added to the following month's bill. The following information must be provided in monthly bills: A. A detailed description of work, in time increments of .1 hour (one tenth of an hour) for and by each and every individual billing services. Associate Counsel shall keep the City advised regarding the identity and the billing rates of those people who work on the litigation account. B. Identification of the lawyer who is in charge of the matter. C. Detailed disbursement breakdowns, including the nature and purpose of each disbursement. D. Each billing item will be separately stated on a separate line identifying the biller, the time spent, and the exact nature of the service rendered. Narrative billing and block billing are unacceptable. For example, if numerous tasks are undertaken in one day, each should be identified with a specified time for performing that task, i.e. a telephone call, a court appearance, a meeting or legal research. All tasks performed on the same day should be entered as separate entries, identifying the time spent on each. Telephone conferences should specify the participants and the subject matter discussed. The City will not pay for vague descriptions for services which do not state the precise nature of the work performed and the need for the work. Words such as "research", "strategy", "analysis", "discovery", "conference", "preparation", "case management", "memorandum", "correspondence", "telephone call" or "meeting", without an explanation of(1) the specific topic or subject matter, (2) the persons involved, and (3) the need therefor, do not allow for accountability and are therefore non-reimbursable. E. The City will not pay for inter-office conferences among attomeyslbillers unless a conference is a necessary strategy meeting relating to some significant legal issue or event, such as an upcoming trial, and then only one attorney may be billed. Where charges are made for conferences, the specific reason and need for each conference must be stated in detail, and the participants identified. F Where charges are made for research time, the specific issue being researched and the need must be identified. City has retained Associate Counsel for its expertise, and therefore expects not to be billed for introductory or background research. The City will not pay for attorneys, law clerks and paralegals educating themselves or doing work of a transient nature on the case. G. The City expects the attorney assigned to the case to handle all significant matters in the case. If other attorneys are assigned to assist the primary attorney, the City must be notified. The City may request that the assigned work be instead handled by the primary attorney. Thus, only those attorneys or persons approved in advance by the City may bill on the case. Upon City request, resumes will be provided for all persons (other than clerical or secretarial) working on the case. H. No more than two non-attorney support staff may bill on a particular case without the prior approval of the City. I. One paralegal may be used. Assignment of work to such paralegal should not result in duplicative work by the attorneys, or reworking of paralegal's work. Paralegal shall not perform clerical work, such as filing, indexing, date- stamping, organizing, etc., but shall perform work such as research, summarizing depositions, investigation, interviews of witnesses, etc. J. Upon request, each item billed must be coded to a specific budget line item, so a bill may be easily compared with the approved budget. K. A tracking system must be set up to periodically, at least every six months, to compare the amount of work completed to a percentage of the budget absorbed. L. The City Attorney reserves the right to request various levels of detail and specific formats (such as columnar comparisons with established budgets). M. The City will not pay for more than one biller doing any task (e.g. two or more attorneys attending the same depositions or the same court appearances, a biller redoing the work of another biller, or duplicative entries for reviewing and analyzing documentation and legal research). N. Charges for time spent complying with billing inquiries and/or City audits are non-reimbursable. O. Photocopies of deposition transcripts shall be made whenever possible to reduce deposition expenses. P. No finance charge or interest will be paid by the City, nor billed by Associate Counsel. 4.6 Timing of Payment. The City shall pay Associate Counsel for services rendered and costs incurred hereunder, at the rates and in the amounts provided hereunder, on a monthly basis. 5.0 Enga-gement of Other Counsel, Specialists or Experts. Associate Counsel shall not engage or otherwise incur an obligation to pay other counsel, specialists or experts for services in connection with this Agreement without the prior written approval of the City Attorney. 6 6.0 Termination of A reement and Legal Services. Subject to the applicable provisions of the Rules of Professional Conduct of the State Bar of California, this Agreement and all legal services to be rendered hereunder may be terminated at any time by written notice from either party with or without cause. In such event, all finished or unfinished documents, project data and reports, both originals and all duplicate copies, in all forms and media requested by the City, shall immediately be turned over to the possession of City, which owns all such materials. In the event of such termination, Associate Counsel shall be paid for all satisfactory work, unless such termination is made for cause, in which event compensation, if any, shall be adjusted, in the City's sole discretion, in light of the particular facts and circumstances involved in such termination. 7.0 Interest of Members of Local Public Agency. No member of the governing body of the City, and no other officer, employee or agent of the City who exercises any discretion, function or responsibility in connection with the carrying out of any project to which this Agreement pertains, shall have any personal interest, direct or indirect, in this Agreement. 8.0 Interest of Counsel. Associate Counsel agrees to secure the informed written consent of the City Attorney before accepting any representation adverse to the City (actual or apparent) during the term of this Agreement, and to forego such representation if the City Attorney, in his sole discretion, objects for any reason. 9.0 General Procedures. 9.1 Copies of major documents, correspondence and periodic status reports shall be submitted to keep the City Attorney advised of any major developments in the matter. Once the Plan is approved, Associate Counsel need not advise the City of each and every step being taken. As long as Associate Counsel is complying with the Plan, it should provide periodic reviews and information on significant matters. The City does not, however, want boilerplate routine letters announcing each and every procedural step being taken. 10.0 Policy for Investigation and Discovery Assistance. A copy of the City Attorney's Policy for Investigation and Discovery Assistance is attached hereto as Exhibit "C" which is attached hereto and fully incorporated herein by reference. 11.0 Conflict of Interest. Associate Counsel certifies that no member, officer or employee of the Associate Counsel is an officer or employee of the City of Vernon except to the extent permitted by law. 7 Associate Counsel agrees to secure the informed written consent of the City Attorney before accepting any representation adverse to the City (actual or apparent) during the term of this Agreement, and to forego such representation if the City Attorney, in his/her sole discretion, objects for any reason. 12.0 Maintenance and inspection of Records. 12.1 The City and any other Federal, State or local govemmental agency, and any of their authorized auditors or representatives, shall have access to, and the right to audit and reproduce any of Associate Counsel's records to the extent the City or such other governmental agency deems necessary to ensure that City is paying only the amounts to which Associate Counsel is properly entitled or for other purposes relating to the Agreement. 12.2 Associate Counsel shall maintain and preserve all such records for at least three (3) years after termination of the Agreement or until an audit has been completed and accepted in writing by City. Upon written notice by the City, the Associate Counsel shall promptly make all such records available to auditors or other representatives of the City or other governmental agencies. 12.3 If Associate Counsel does not maintain such records in the City of Vernon, Associate Counsel shall either deliver said records at its expense to Vemon or shall promptly reimburse City for all reasonable costs incurred in conducting the audit at a location other than the City of Vernon, including, but not limited to, expenses for personnel, salaries, private auditors, lodging, meals, and overhead. 13.0 Indemnity. Associate Counsel agrees to indemnify City, its officers, elected officials, employees and agents against, and will hold and save each of them harmless from, any and all actions, suits, claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein "claims or liabilities"), including but not limited to professional negligence, that may be asserted or claimed by any person, firm or entity arising out of or in connection with the work, operations or activities of Associate Counsel, its agents, employees, subcontractors, or invitees, provided for herein, or arising from the acts or omissions of Associate Counsel hereunder, or arising from Associate Counsel's performance of or failure to perform any term, provision, covenant or condition of this Agreement, except to the extent such claims or liabilities arise from the gross negligence or willful misconduct of City, its officers, elected officials, agents or employees. 14.0 INSURANCE. Associate Counsel shall, at its own expense, procure and maintain policies of insurance of the types and in the amounts set forth below, for the duration of the Agreement, including any extensions thereto. 8 14.1 Automobile Liability with minimum limits of at least $100,000/300,0001500,000 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. 14.2 General Liability with minimum limits of at least $1,000,000 combined single limits written on an Insurance Services Office (ISO) Comprehensive General Liability "occurrence" form or its equivalent for coverage on an occurrence basis. Premises/Operations and Personal Injury coverage is required. The City of Vemon, its Council, commissioners, officers, employees, agents, and volunteers registered with the City of Vernon must be endorsed on the policy as additional insureds as respects liability arising out of the Associate Counsel's performance of this Agreement. 14.3 Professional Errors and Omissions coverage in a sum of at least $1,000,000. If a claims-made policy is obtained, a "tail" of at least three years shall be purchased if non-renewed within three (3) years of completion of performance under this Agreement. Applicable aggregates must be identified and claims history provided to determine amounts remaining under the aggregate. 14.4 Associate Counsel shall comply with the applicable sections of the California Labor Code concerning workers' compensation for injuries on the job. Compliance is accomplished in one of the following manners: 14.4.1 Provide copy of permissive self-insurance certificate approved by the State of California; or 14.4.2 Secure and maintain in force a policy of workers' compensation insurance with statutory limits and Employer's Liability Insurance with a minimal limit of $1,000,000 per accident. The policy shall be endorsed to waive all rights of subrogation against City, its Council, commissioners, officers, employees, and volunteers for losses arising from performance of this Agreement; or 14.4.3 Provide an insurance exemption form certifying that no employees subject to workers' compensation law will be used in performance of this Agreement. 14.4.4 Each insurance policy included in this clause shall be endorsed to state that coverage shall not be canceled except after thirty (30) days' prior written notice to City. 14.4.5 Insurance shall be placed with insurers with a Best's rating of no less than B:VIII. q 14.4.6 Prior to commencement of performance, Associate Counsel 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. 14.4.7 Failure to maintain required insurance at all times shall constitute a default and material breach. In such event, Associate Counsel shall immediately notify City and cease all performance under this Agreement until further directed by the City. In the absence of satisfactory insurance coverage, City may, at its option: (a) procure insurance with collection rights for premiums, attomey's fees and costs against Associate Counsel by way of set-off or recoupment from sums due Associate Counsel, at City's option; (b) immediately terminate this Agreement; or (c) self-insure the risk, with all damages and costs incurred, by judgment, settlement or otherwise, including attorney's fees and costs, being collectible from Associate Counsel, by way of set-off or recoupment from any sums due Associate Counsel. 15.0 Choice of Forum. This Contract shall be governed by and construed in accordance with the laws of the State of California. Associate Counsel agrees that the State and Federal courts which sit in the State of California shall have exclusive jurisdiction over all controversies and disputes arising hereunder, and submits to the jurisdiction thereof. 16.0 Incorporation by Reference. This contract incorporates by reference the Request for Proposal and specifications therein, and all attachments, and the Proposal by Associate Counsel, and all attachments. 17.0 Order of Precedence. In case of conflict between the terms of this Agreement and the terms in any document attached as an exhibit or otherwise incorporated by reference, the terms of this Agreement shall strictly prevail. 18.0 Living Wades. Associate Counsel working on City service contracts of any amount, as to all employees spending time on City contracts, shall observe the City's Living Wage Ordinance and all requirements thereof at all times on City contracts. The Current Living Wage Standards are set forth in Exhibit "D". Upon request, certified payroll shall be provided to the City. 10 19.0 Equal Employment Opportunity Practices. Associate Counsel certifies and represents that, during the performance of this Agreement, 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. Associate Counsel further certifies that it will not maintain any segregated facilities. The Equal Employment Opportunity Practices provisions are set forth in Exhibit "E". 20.0 Ethical Guarantees. 20.1 Associate Counsel warrants that no gratuities (in the form of entertainment, gifts, or otherwise) were offered or given by Associate Counsel, or any agent of representative of Associate Counsel, to any officer or employee of City with a view toward securing this Agreement or favorable treatment with respect to any determination conceming the performance of this Agreement. In the event of breach of this warranty, City shall be entitled to pursue the same remedies including, but not limited to, termination, against Associate Counsel as it could pursue in the event of Associate Counsel's default. 20.2 Associate Counsel and its members shall comply with all applicable federal, state and local laws and regulations, including the conflict of interest provisions of Government Code Section 1090 and the Political Reform Act (Government Code Section 81000 et seq.). 21.0 Right to Offset Claims for Money. All claims of money due or to become due from City shall be subject to deduction or offset by City from any monies due Associate Counsel by reason of any claim or counterclaim arising out of: (i) this Agreement, or (ii) any purchase order, or (iii) any other transaction with Associate Counsel. 22.0 Modification. Any modification of this Agreement will be effective only if it is in writing signed by all parties to this Agreement, and, where applicable, if it is approved by City Council. 23.0 Severability/Partial Invalidity. If any tern or provision of this Agreement, or the application of any term or provision of this Agreement to a particular situation, shall be finally found to be void, invalid, illegal, or unenforceable by a court of competent jurisdiction, then notwithstanding such determination, such term or provision shall remain in force and effect to the extent allowed by such ruling and all other terms and provisions of this Agreement or the application of this Agreement to other situations shall remain in full force and effect. Notwithstanding the foregoing, if any material term or provision of this Agreement or the application of such material term or condition to a particular situation is finally found to be void, invalid, illegal, or unenforceable by a court of competent jurisdiction, then the parties hereto agree to work in good faith and fully cooperate with each other to amend this Agreement to carry out its intent. 11 24.0 Time of the Essence. Time is of the essence in the performance of this Agreement. 25.0 No assignment by a party hereto of any rights under or interest in this Agreement will be binding on another party hereto without the written consent of the party sought to be bound; and specifically but without limitations, moneys that may become due and moneys that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically state to the contrary in written consent to an assignment no assignment will release or discharge the assignor from any duty or responsibility under the Agreement. [Signatures Begin on Next Page]. 12 IN WITNESS WHEREOF, the City and Associate Counsel agree as set forth hereinabove. DATED: CITY OF VERNON, a California charter City and California municipal corporation By: _ Hema Patel, City Attorney DATED: [ASSOCIATE COUNSEL'S NAME], a [State incorporated in] corporation By-- Name- Title: ATTEST: Maria E. Ayala, City Clerk APPROVED AS TO FORM: Hema Patel, City Attorney 13 EXHIBIT A SCOPE OF SERVICES 14 EXHIBIT B LAW FIRM XXXXXXXXXXXXXXXX Los Angeles, CA XXXXX (XXX) XXX-XXXX Hema Patel City Attorney City of Vemon 4305 Santa Fe Avenue Vernon, CA 90058 Re: Plaintiff v. City of Vernon City Attorney No.: XXXXX Dear Mrs. Patel: The following hourly fees are agreeable: A) [Insert Partner Name], Partner $ B) [Insert Associate Name], Associate $ C) One paralegal Very truly yours, For the Firm 15 EXHIBIT C POLICY FOR INVESTIGATION AND DISCOVERY ASSISTANCE The following sets forth the policy of this office regarding investigation and other assistance in the defense of liability cases involving the City of Vernon or City employees. The objective is to provide current and long-range investigative assistance and guidance on all liability cases. 1. Copies of the summons, complaint and claims investigation reports, if available, will be forwarded to Associate Counsel upon assignment of the lawsuit to defense counsel. 2. Associate Counsel, in evaluating the lawsuit, is to advise the City Attorney as to further investigative needs. The services of an investigating agency, approved by the City Attorney, may be requested to assist Associate Counsel in their investigation. The agency is to furnish this office with copies of all its reports. 3. After receiving Associate Counsel's request, the investigating agency commences the specified investigation and outlines its recommendations for additional investigation, but does not commence such additional investigation until specifically requested by Associate Counsel to do so. 4. In addition to investigation, the investigating agency assists with such discovery, needed diagrams, photographs and other information as may be requested by Associate Counsel. 5. Associate Counsel is requested to review the claims investigation file sent with the assignment of defense so as to preclude unnecessary or duplicate investigative expenses. 6. Copies of the Vernon Municipal Code and other City documents can be readily obtained from the City Attorney's Office. 7. Attendance at mandatory settlement conferences will include only Associate Counsel and an attorney from the City Attorney's Office. Neither the Claims Coordinator nor investigators shall attend unless specifically requested to do so by this office. 16 EXHIBIT D LIVING WAGE PROVISIONS Minimum Living Wages: A requirement that Employers pay qualifying employees a wage of no less than $10.30 per hour with health benefits, or$11.55 per hour without health benefits. Paid and Unpaid Days 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 employers compliance with the living wage ordinance. Employees may bring an action 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 EXHIBIT E EQUAL EMPLOYMENT OPPORTUNITY EMPLOYMENT PRACTICES PROVISIONS A. Associate Counsel 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. Contractor further certifies that it will not maintain any segregated facilities. B. Associate Counsel agrees that it shall, in all solicitations or advertisements for applicants for employment placed by or on behalf of Associate Counsel, 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. C. Associate Counsel 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. D. Associate Counsel 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. E. Nothing contained in this Agreement shall be construed in any manner as to require or permit any act which is prohibited by law. 18 RECEIVED RECEIVED MAY 12016 �f MAY 12 2016 CITY CLERKSaEFlCE STAFF REPORT CITY ADMINISTRATION W' CITY CLERK DEPARTMENT DATE: May 17,2016 TO: Honorable Mayor and City Council FROM: Maria E. Ayala, City Clerk RE: Approval of a Resolution for City Council Appointments/Reappointments as Representatives to Various Agencies and/or Committees Recommendation Items A-D: A. Find that approval of the proposed Resolution updating the City Council appointments does not constitute a "project" pursuant to section 15378(b)(2) of the Guidelines to the California Environmental Quality Act ("CEQA"), because it constitutes an administrative activity; and even if the adoption of the proposed resolution did constitute a project, it would be exempt from CEQA in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and B. Appoint Council Members as delegate(s) and altemate(s), as well as some key staff as either delegate(s) and/or altemate(s) to the following boards of various agencies and/or committees as follows: l. California Contract Cities Association. Appoint Melissa Ybarra as the delegate; and William J. Davis as the alternate. Previous appointment, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and Yvette Woodruff-Perez as the alternate. 2. Central Basin Water Association. Appoint William J. Davis as the delegate; Yvette Woodruff-Perez as the alternate; and reaffirm the City of Vernon's Director of Public Works, Water and Development Services, or his/her designee, to also serve as the City's alternate. Previous appointment, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; William J. Davis as the alternate; and reaffirm the Director of Public Works, Water & Development Services or his/her designee, to also serve as the City's alternate. Page I of 9 3. County Sanitation District No. 1. Appoint William J. Davis as the presiding officer of the City of Vernon to serve as the City's member on the Board of Directors of County Sanitation District No. 1; and Yvette Woodruff-Perez as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: W. Michael McCormick as the presiding officer as delegate; and Melissa Ybarra as the alternate. 4. County Sanitation District No. 2. Appoint William J. Davis to serve as the City's delegate to the Board of Directors of County Sanitation District No. 2; and Leticia Lopez as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and William J. Davis as the alternate. 5. County Sanitation District No. 23. Appoint current City Council (William J. Davis, Yvette Woodruff-Perez, Luz A. Martinez, Melissa Ybarra, and Leticia Lopez) to serve as the Board of Directors to County Sanitation District No. 23. Previous appointments, pursuant to Resolution No. 2015-22, appointed then City Council: W_ Michael McCormick, William J. Davis, Luz A. Martinez, Melissa Ybarra, and Yvette Woodruff-Perez. 6. Gateway Cities Council of Governments. Appoint William J. Davis as the delegate; and Melissa Ybarra as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: William J. Davis as the delegate and Melissa Ybarra as the alternate. 7. I-710 EIR/EIS Project Committee. Appoint Leticia Lopez as the delegate and Melissa Ybarra as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: William J. Davis as the delegate; and W. Michael McCormick as the alternate. 8. Independent Cities Association of Los Angeles County. Appoint Melissa Ybarra as the delegate; and Yvette Woodruff-Perez as the alternate. Previous appointments, made pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and Yvette Woodruff-Perez as the alternate. 9. Independent Cities Finance Authority. Appoint Leticia Lopez as the delegate;and Yvette Woodruff-Perez as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and Yvette Woodruff-Perez as the alternate. I I I Page 2 of 9 10. League of California Cities. Appoint Melissa Ybarra as the delegate; and Yvette Woodruff-Perez and Luz Martinez as the alternates. Previous appointments, pursuant to Resolution No. 2015-22. W. Michael McCormick as the delegate; and William J. Davis and Melissa Ybarra as the alternates. 11. Eco-Rapid Transit (formerly known as the Orangeline Development Authority). Appoint William J. Davis as the delegate and Luz Martinez as the alternate. Previous appointments,pursuant to Resolution No.2015-22 made to the Orangeline Development Authority were:W. Michael McCormick as the delegate;and Melissa Ybarra as the alternate. 12. Pacific Electric Right-of-Way/ West Santa Ana Branch Corridor Alternative Analysis. Appoint Melissa Ybarra as the representative on the Steering Committee; and reaffirm the City's appointment of the City's Director of Public Works, Water and Development Services, or his/her designee, to serve on the Technical Advisory Committee. Previous appointment, pursuant to Resolution No. 2015-22: W. Michael McCormick as the representative; and Director of Public Works, Water and Development Services, or his/her designee, to serve on the Technical Advisory Committee. 13. Southeast Community Development Corporation. Appoint Leticia Lopez as the delegate; and William J. Davis as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and Melissa Ybarra as the alternate. 14. Southeast Water Coalition. Appoint William J. Davis as the delegate; and Yvette Woodruff-Perez as the alternate; and, reaffirm that said appointed representatives shall also be the City's representatives to attend board and committee meetings held by the Replenishment District of Southern California, Central Basin Municipal Water District and the Authority and any other water-related meeting which affect the City of Vernon. Previous appointments, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and William J. Davis as the alternate; and, reaffirmed that said appointed representatives shall also be the City's representatives to attend board and committee meetings held by the Replenishment District of Southern California, Central Basin Municipal Water District and the Authority and any other water-related meeting which affect the City of Vernon. 15. Southern California Association of Governments. Appoint Yvette Woodruff-Perez as the delegate; and William J. Davis as the alternate. Previous appointments, pursuant to Resolution No. 2015-22: W. Michael McCormick as the delegate; and William J. Davis as the alternate. Page 3 of 9 16. Vernon Solid Waste Hearing Panel. Appoint William J. Davis, Yvette Woodruff-Perez, and Luz Martinez to serve on the Hearing Panel for the Local Enforcement Agency for Solid Waste Facilities. Previous appointments, pursuant to Resolution No. 2015-22: Melissa Ybarra, Yvette Woodruff-Perez, and Luz Martinez. C. Adopt a Resolution of the City Council of the City of Vernon designating and appointing its representatives and alternates to the boards of various agencies and/or committees. D. Authorize the City Clerk to complete California Form 806, Agency Report of. Public Official Appointments, and post in accordance with state laws and/or regulations. Backsround On April 12, 2016, a Vernon Municipal Election was held which resulted in the election of a new member to the City Council. At the regular City Council meeting of April 19, 2016, the City Council held its City Council reorganization. Having elected the Mayor and Mayor Pro-tempore for the year, this is the appropriate point in time for the Council to review and address annual appointments of representatives to the various regional boards of agencies and/or committees. Appointees serve as voting members on some of these boards and/or committees, with some (not all) of the positions entitling the appointee to additional compensation. Each appointment is to be considered individually, with the vote to be voted on as a whole by the City Council. The following is an overview of each entity's function: 1. California Contract Cities Association (CCCA) - To develop and foster public and private partnerships between member cities and the business community in order to provide mutually beneficial resources and services that educate and inform, to create revenue opportunities, long term relationships and a forum to better serve the goals and priorities of the CCCA and its Associate Members. Consistency of Monthly on the 3`d Wednesday, at 6 p.m. (dark months: January, Meetings: July, and September) Meeting Location: Varies Stipend: None '_ Central Basin Water Association (CBWA) — Composed of water rights holders in the West Coast Basin. CBWA membership includes municipalities and private owners. This association provides a forum to members to discuss current water rights issues and policies. Consistency of Quarterly Luncheon Meetings (February, May, August, and Meetings: September) on I" Thursday, at 11.30 a.m. Meeting Location: Rio Hondo Event Center, 10627 Old River School Road Downey, CA 90241 Stipend: None Page 4 of 9 3. County Sanitation District No. 1- Its Mission is to protect public health and the environment through innovative and cost-effective wastewater and solid waste management, and in doing so convert waste into resources such as recycled water, energy, and recycled materials. Pursuant to Health and Safety Code, Section 4730, the presiding officer of the City is the designated member of the Board of Directors for this District and requires the selection of an alternate. Consistency of Monthly on the 2"d Wednesday, at 1:30 p.m. Meetings: f Meeting Location: Joint Administration Office - 1955 Workman Mill Road, Whittier, L CA 90601 Stipend: I $125 4. County Sanitation District No. 2 - Its Mission is to protect public health and the environment through innovative and cost-effective wastewater and solid waste management, and in doing so convert waste into resources such as recycled water,energy, and recycled materials. Pursuant to Health and Safety Code, Section 4730, the presiding officer of the City is the designated member of the Board of Directors for this District and requires the selection of an alternate. Consistency of Monthly on the 2"d and 4`t' Wednesday, at 1:30 p.m. Meetings: Meeting Location: Joint Administration Office - 1955 Workman Mill Road, Whittier, CA 90601 Stipend: $125 5. County Sanitation District No. 23 - Its Mission is to protect public health and the environment through innovative and cost-effective wastewater and solid waste management, and in doing so convert waste into resources such as recycled water, energy, and recycled materials. Pursuant to Health and Safety Code, Section 4730, because ties wholly in the City of Vernon, the Vernon City Council is the Board of Directors for this District. Consistency of Monthly on the 2"d Wednesday, at 1:30 p.m. Meetings: Meeting Location: Joint Administration Office - 1955 Workman Mill Road, Whittier, CA 90601 Stipend: $125 1 1 I I I I Page 5 of 9 6. Gateway Cities Council of Governments — For the purpose of engaging in regional and cooperative planning and coordination of government services and responsibilities to assist its member in the conduct of their affairs for the collective benefit of cities in the Southeast Los Angeles County area. Consistency of Monthly on the 1" Wednesday, at 6:00 p.m. Meetings: Meeting Location: Gateway Cities Council of Government 16401 Paramount Boulevard, Paramount CA 90723 Stipend: $125 7. I-710 EIR/EIS Prqiect Committee—Evaluates the freeway corridor,parallel arterials and other elements of the system's infrastructure, including good movement and an analysis of quality of life impacts on local communities, including public health. Consistency of Quarterly on the 5`h Thursday, at 6:30 p.m. Meetings: Meeting Location: Progress Park, 15500 Downey Avenue, Paramount, CA 90723 Stipend: 1 $100 8. Independent Cities Association of Los Angeles County (ICA) - Focuses on education, legislative advocacy, intergovernmental relationships and other major issues that transcend the boundaries of its member cities. ICA holds two Annual Seminars bringing together city council members, other city officials and business partners for the purpose of being better informed and to share relevant experiences. The Winter Seminar addresses public safety and the Summer Seminar focuses on contemporary issues. Consistency of Monthly on the 2"d Thursday, at 7:00 p.m. Meetings: Meeting Location: Metropolitan Water District, 700 N. Alameda Avenue, Los Angeles, CA 90012 Stipend: None i 9. Independent Cities Finance Authority —Joint Powers Agreement with several cities for the purpose of providing low-cost sources of financing for the acquisition, construction, installation, and/or equipping of public capital improvements. Consistency of As Needed (Usually from 12 p.m. to 1 p.m.) Meetings: Meeting Location: Varies (Vernon, South Gate, or Lynwood) Stipend: 1 $150 Page 6 of 9 10. League of California Cities — The League holds an Annual Conference each year and member cities have the opportunity to participate in the Annual Business meeting. To be eligible to cast the City's vote, each Voting Delegate and Alternate Delegates (up to two) must be specifically designated by the City Council. Consistency of January, March, May, and December, on the I 1 Thursday, at 6:30 Meetings: p.m. Meeting Location: Varies Stipend: None 11. Eco-Rid Transit(formerly known as the Orange Dev—elopment Authority)—Eco-Rapid Transit, formerly known as the Orangeline Development Authority, is a joint powers authority(JPA) created to pursue development of a transit system that moves as rapidly as possible, uses grade separation as appropriate, and is environmentally friendly and energy efficient. The system is designed to enhance and increase transportation options for riders of this region utilizing safe, advanced transit technology to expand economic growth that maximizes ridership in Southern California. Consistency of Monthly, on the 2nd Wednesday, at 6:00 p.m. Meetings: Meeting Location: January— March: City of Glendale, Police Community Room, 131 N. Isabel Street, Glendale, CA 91206 April — December: Gateway Cities Council of Governments, 16401 Paramount, Boulevard, Paramount, CA 90723 Stipend: $100 12. Pacific Electric Right-of-Way WE ROW)IWest Santa Ana Branch Corridor Alternatives Analysis— Southern California Association of Governments in coordination with the Los Angeles County Metropolitan Transportation Authority and the Orange County Transportation Authority initiated a transit Alternative Analysis study to explore opportunities for connecting Los Angeles and Orange Counties through the reuse of the Pacific Electric Right-of-Way/ West Santa Ana Branch Corridor which will examine potential transit service along the corridor that can provide additional travel options between Los Angeles and Orange Counties, reduce congestion on nearby streets and freeways, and provide adjacent communities with access to the regional transit network. Consistency of As Needed Meetings: Meeting Location: SCAG Main Office, 818 W. 7 h Street#1200, Los Angeles, CA 90017 Stipend: None Page 7 of 9 13. Southeast Community Development Corporation—Creation with the Cities of Bell,Bell Gardens, Commerce, Cudahy, Huntington Park, Maywood, South Gate, and Vernon to promote activities relating to business attraction, business retention, job training, job creation and various social programs. Consistency of Bi-monthly Luncheon Meetings, on the 3rd Wednesday, from 12 p.m. Meetings: to 2 p.m. ' Meeting Location: Southeast Community Development Corporation, 6423 Florence Place, Suite 103, Bell Gardens, CA 90201 _ i Stipend: None 14. Southeast Water Coalition — Created in response to the inaction by the United States Environmental Protection Agency to commence clean-up of the San Gabriel Basin and the Whittier Narrows area, the outlet of the San Gabriel Basin into the Central Basin. Consistency of Monthly, on I"t Thursday, at 7 p.m. Meetings: Meeting Location: Azalea Shopping Center (Azalea Room),4827 Firestone, South Gate, CA 90280 Stipend: None 15. Southern California Association of Governments - Nation's largest metropolitan planning organization, undertakes a variety of planning and policy initiatives to encourage a more sustainable Southern California now and in the future. Consistency of Monthly, on I" Thursday, from 11 a.m. to 2 p.m. Meetings: Meeting Location: SCAG Main Office, , 818 W. 711' Street#1200, Los Angeles, CA 90017 Stipend: None 16. Vernon Solid Waste Hearing Panel — The Vernon Health and Environmental Control Department serves as the Local Enforcement Agency for Solid Waste Facilities in the City of Vernon. Pursuant to Section 44308 of the Public Resources Code, the City Council may appoint three of its members to serve as the Hearing Panel for all hearings conducted pursuant to Chapter 4 of the Public Resources Code. The hearing panel is available to convene and provide resolution to solid waste related issues and conflicts that may arise from within the Local Enforcement Agency's purview. Pursuant to FPPC Regulation 18705.5 each agency must post on its website a single Form 806 which lists all the paid appointed positions to which an official will vote to appoint themselves. The Form 806 will be completed and posted in accordance with FPPC regulations upon City Council action. Page 8 of 9 Fiscal Impact There is no fiscal impact for the appointment to various agencies and committees as this is an administrative item. Associated costs may include travel and registration expenditures for attendance to various meetings and functions, some of which may be covered by the hosting agency or committee. Attachment(s) Draft Resolution: A Resolution Of The City Council Of The City Of Vernon Updating City Council Members' Appointments To Various Agencies And/Or Committees. Page 9 of 9 RESOLUTION NO . A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON UPDATING CITY COUNCIL MEMBERS' APPOINTMENTS TO VARIOUS AGENCIES AND/OR COMMITTEES WHEREAS, the City of Vernon (the "City" ) , is a municipal corporation and a chartered city of the State of California organized and existing under its Charter and the Constitution of the State of California; and WHEREAS, the City is a member of various Agencies and/or Committees; and WHEREAS, the City Council of the City of Vernon desires to update appointments of Council Members to various Agencies and/or Committees. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1 : The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct . SECTION 2 : The City Council of the City of Vernon finds that this action is exempt under the California Environmental Quality Act (CEQA) , in accordance with Section 15061 (b) (3) , the general rule that CEQA only applies to projects that may have an effect on the environment. SECTION 3 : The City Council of the City of Vernon hereby appoints Melissa Ybarra, to serve as the City' s delegate on the Board of Directors of the California Contract Cities Association and William J. Davis, as the City' s alternate . SECTION 4 : The City Council of the City of Vernon hereby appoints William J. Davis, to serve as the City' s delegate on the Central Basin Water Association and Yvette Woodruff-Perez, as the City' s alternate; and reaffirms the Director of Public works, water & Development Services, or his/her designee, to also serve as the City' s alternate . SECTION 5 : The City Council of the City of Vernon hereby appoints William J. Davis, as the presiding officer of the City of Vernon to serve as the City' s member on the Board of Directors of County Sanitation District No. 1 and Yvette Woodruff-Perez, as the City' s alternate . SECTION 6 : The City Council of the City of Vernon hereby appoints William J. Davis, to serve as the City' s delegate on the Board of Directors of County Sanitation District No. 2 and Leticia Lopez, as the City' s alternate. SECTION 7 : The City Council of the City of Vernon hereby appoints the following members of the City Council of the City of Vernon to serve on the Board of Directors of County Sanitation District No. 23 : William J. Davis, Mayor Yvette Woodruff-Perez, Mayor Pro-Tem Luz A. Martinez, Councilwoman Melissa Ybarra, Councilwoman Leticia Lopez, Councilwoman SECTION 8 : The City Council of the City of Vernon hereby appoints William J. Davis, to serve as the City' s delegate on the Board of Directors of Gateway Cities Council of Governments and, Melissa Ybarra as the alternate. SECTION 9 : The City Council of the City of Vernon hereby appoints Leticia Lopez, to serve as the City' s delegate on the I-710 for the EIR/EIS Project Committee and Melissa Ybarra, as - 2 - the City' s alternate. SECTION 10 : The City Council of the City of Vernon hereby appoints Melissa Ybarra, to serve as the City' s delegate on the Board of Independent Cities Association of Los Angeles County and Yvette Woodruff-Perez, as the City' s alternate. SECTION 11 : The City Council of the City of Vernon hereby appoints Leticia Lopez, to serve as the City' s delegate on the Board of Directors of the Independent Cities Finance Authority and Yvette Woodruff-Perez, as the alternate. SECTION 12 : The City Council of the City of Vernon hereby appoints Melissa Ybarra, to serve as the City' s delegate on the Board of Directors of the League of California Cities and Yvette Woodruff-Perez and Luz Martinez, as the alternates . SECTION 13 : The City Council of the City of Vernon hereby appoints William J. Davis, to serve as the City' s delegate on the Board of Directors of the Eco-Rapid Transit and Luz Martinez, as the alternate. SECTION 14 : The City Council of the City of Vernon hereby appoints Melissa Ybarra, to serve as the City' s representative on the Steering Committee for the Pacific Electric Right-of-Way (PE ROW) /West Santa Ana Branch Corridor Alternative Analysis and reaffirms the Director of Public Works, Water & Development Services, or his/her designee, to serve on the Technical Advisory Committee. SECTION 15 : The City Council of the City of Vernon hereby appoints Leticia Lopez, to serve as the City' s delegate on the Board of Directors of the Southeast Community Development Corporation and William J. Davis, as the City' s alternate . SECTION 16 : The City Council of the City of Vernon hereby 3 - appoints William J. Davis, to serve as the City' s delegate on the Board of Directors of the Southeast Water Coalition and Yvette Woodruff-Perez, as the City' s alternate; and reaffirms that said appointed Representatives shall also be the City' s representatives to attend board and committee meetings held by the Replenishment District of Southern California, Central Basin Municipal Water District and the Authority and any other water-related meeting which affects the City of Vernon. SECTION 17 : The City Council of the City of Vernon hereby appoints Yvette Woodruff-Perez, to serve as the City' s delegate to the assembly of Southern California Association of Governments and William J. Davis, as the City' s alternate . SECTION 18 : The City Council of the City of Vernon hereby appoints William J. Davis, Yvette Woodruff-Perez, and Luz Martinez, to serve on the Hearing Panel for the Local Enforcement Agency for Solid Waste Facilities in accordance with 14 CCR § 18060 and Section 44308 (a) (1) of the Public Resources Code . SECTION 19 : Such appointments shall be effective until the death, resignation, disqualification or subsequent removal by the City Council of such representatives . SECTION 20 : Any resolutions or parts of a resolution or minute orders in conflict with this Resolution are hereby repealed as to the portions in conflict, only. - 4 SECTION 21 : The City Clerk, or Deputy City Clerk, of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, or Deputy City Clerk, of the City of Vernon shall cause this resolution and the City Clerk' s, or Deputy City Clerk' s, certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 17th day of May, 2016. Name : Title : Mayor / Mayor Pro-Tem ATTEST: City Clerk / Deputy City Clerk APPROVED AS TO FORM: y-1 Za ussa, Senior Deputy City Attorney - 5 - STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES ) I, _ City Clerk / Deputy City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. , was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, May 17, 2016, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this day of May, 2016, at Vernon, California. City Clerk / Deputy City Clerk (SEAL) - 6 - RECEIVED MAY 12 2016 ' CLERKS `RYI"°°`s� RECEIVED CITY C ��=r� E P O RT MAY 1 1 2016 STAFF R CITY ADMINISTRATION Finance Department DATE: May 17, 2016 TO: Honorable Mayor and City Council FROM: William Fox, Finance Director��' RE: Approval of the Investment Policy for Fiscal Year 2016-2017 Recommendation It is recommended that the City Council: A. Find that approval of the investment policy for Fiscal Year 2016-2017 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. Approve a resolution approving the Annual Statement of Investment Policy for Fiscal Year 2016-2017. The investment policy requires an annual approval by City Council. Such approval is performed annually through the review of any updates and reaffirming the investment policy in effect. C. Approve the addition of Section 8.3 to the investment policy. This section will prohibit speculative investments which includes investments in derivatives such as contracts- options, swaps, and futures/forward contracts without a clear, identifiable,justifiable, and effective hedgeable item. Background The Annual Statement of Investment Policy sets forth the course of action necessary to guide the decision-making of the City Council, City Treasurer, and those authorized to make investment decisions in the administration of the City's investment portfolio. The existing policy is in compliance with the California Government Code and is a restatement of relevant sections applying to investment activities. The policy is designed to ensure that the administration of surplus funds is performed in accordance with the "prudent investor standard" pursuant to California Government Code Section 53600.3. As such capital preservation is of paramount importance and that no speculative activities are entered into. For this reason, Section 8.3 — the prohibition of derivative investments —was added to the investment policy to ensure compliance with the"prudent investor standard" and capital preservation. Fiscal Impact There is no direct fiscal impact by the approval of the investment policy resolution. The investment policy provides the framework to ensure sound investment practices are being followed in compliance with California Government Code. WF/JL RESOLUTION NO . A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON ADOPTING AN ANNUAL STATEMENT OF INVESTMENT POLICY FOR FISCAL YEAR 2016-2017 AND DELEGATING INVESTMENT AUTHORITY TO THE FINANCE DIRECTOR/CITY TREASURER WHEREAS, pursuant to California Government Code Section 53646 (a) (2) , the City Treasurer may annually render to the City Council an Annual Statement of Investment Policy which the City Council shall consider at a public meeting; and WHEREAS, pursuant to Resolution No. 2015-42 , the City Council approved the Annual Statement of Investment Policy for fiscal year 2015-2016 which delegated investment authority to the City Treasurer, and granted the City Treasurer express authority, as limited by Section 5 . 1 of the Policy, to make investments of City funds in securities with a term, of term remaining to maturity at the time of investment, in excess of five years, as part of an investment program; and WHEREAS, the City has continued to follow the Annual Statement of Investment Policy approved by Resolution No. 2015-42 ; and WHEREAS, the City Council des-res to approve a new Annual Statement of Investment Policy for fiscal year 2016-2017 . NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS : SECTION 1 : The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct. SECTION 2 : The City Council of the City of Vernon hereby finds that approval of the Investment Policy is exempt under the California Environmental Quality Act (CEQA) , because it is a government fiscal activit 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 . SECTION 3 : The City Council of the City of Vernon hereby adopts the Annual Statement of Investment Policy (the "Investment Policy" ) , for fiscal year 2016-2017, a copy of which is attached hereto as Exhibit A. SECTION 4 : The City Council of the City of Vernon hereby delegates to the Finance Director/City Treasurer, or to his authorized designee, the authority to implement the Investment Policy and select the instruments for the City' s investment portfolio in accordance with the Investment Policy. SECTION 5 : The City Council of the City of Vernon hereby grants, as part of the City' s investment program, to the Finance Director/City Treasurer, and to his authorized designee, express authority, as limited by Section 5 . 1 of the Policy, to invest in securities with a term, or term remaining to maturity, at the time of investment, in excess of five years, and, consistent with Government Code 53601, this authority shall become effective on September 24, 2014 . SECTION 6 : If any section or part of this Resolution is found to be unenforceable by operation of law, the remaining sections or parts of this Resolution shall be in full force and effect . SECTION 7 : This Resolution shall become effective immediately. - 2 - SECTION 8 : The City Clerk, or Deputy City Clerk, of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, or Deputy City Clerk, of the City of Vernon shall cause this resolution and the City Clerk' s, or Deputy City Clerk' s, certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 17thday of May, 2016 . Name: Title: Mayor / Mayor Pro-Tem ATTEST: City Clerk / Deputy City Clerk APPROVED AS TO FORM: Zax h Moussa, Senior Deputy City Attorney - 3 - STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES ) I, City Clerk / Deputy City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. , was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, May 17, 2016, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this day of May, 2016, at Vernon, California. City Clerk / Deputy City Clerk (SEAL) - 4 - EXHIBIT A CITY OF VERNON VFA V ti V LY 1 9 ANNUAL STATEMENT OF INVESTMENT POLICY William F. Fox Finance Director / City Treasurer May 2016 Approved by the City Council May 17,2016 TABLE OF CONTENTS 0.0 PREFACE------------------------------------------------------------------------------------------------------------------------------1 1.0 SCOPE----------------------------------------------------------------------------------------------------------------------------------1 2.0 PURPOSE------------------------------------------------------------------------------------------------------------------------------1 3.0 OBJECTIVE---------------------------------------------------------------------------------------------------------------------------2 4.0 DELEGATION OF AUTHORITY------------------------------------------------------------------------------------------------3 5.0 INVESTMENT PROGRAM--------------------------------------------------------------------------------------------------------4 6.0 INSTRUMENTS AUTHORIZED FOR INVESTMENT----------------------------------------------------------------------4 7.0 DESIGNATED ENTITIES FROM WHOM THE CITY MAY PURCHASE AUTHORIZED INVESTMENTS- 10 8.0 PROHIBITED INVESTMENTS------------------------------------------------------------------------------------------------- 11 9.0 STATEMENTS OF INVESTMENTS ACTIVITIES------------------------------------------------------------------------- 11 10.0 CONFLICT OF INTEREST----------------------------------------------------------------------------------------------------- 12 11.0 PUBLIC INQUIRTY-------------------------------------------------------------------------------------------------------------- 12 12.0 ANALYSIS OF PROSPECTIVE INVESTMENTS------------------------------------------------------------------------- 12 13.0 SAFEKEEPING-------------------------------------------------------------------------------------------------------------------- 13 14.0 BROKERIDEALER AND DEPOSITORY INSTITUTION RELATIONSHIPS--------------------------------------- 13 0.0 PREFACE This Annual Statement of Investment Policy(the "Investment Policy") sets forth the course of action necessary to guide the decision-making of the City Council, and to the extent authorized under Section 4.0 hereof, City Treasurer and all persons authorized to make investment decisions on behalf of the City of Vernon (the "City") in the administration of the City's investment portfolio. While some portions of this Investment Policy are a restatement of the laws of the State of California(the"State"), it is viewed that these restatements are integral to the purpose and flow of this Investment Policy. In most instances the use of future tense throughout this Investment Policy is intended to mean a continued practice or a practice which shall be continued. The following statements are intended to ensure the achievement of the purpose, the goals and objectives in an orderly and accurate manner. However, there is no guarantee that problems, errors or losses will not arise in the course of administering the investment of idle or surplus funds. Among the obstacles and deterrents in achieving the goals and objectives of the portfolio are: unforeseen national or international events or crises, deviation of actual cash flow from forecasted cash flow, unforeseen demands on cash flow, policies made with regard to investment in local depositories, errors in data or advice used to make decisions, as well as any other unanticipated event that may have an effect on local, national or international financial markets, economies or politics which in turn has a decided effect upon the portfolio. This Investment Policy is designed to achieve, keeping in mind the obstacles and deterrents in pursuing portfolio goals and objective, the safety of the principal of all City funds, consistent with limited risk and prudent investment practices. 1.0 SCOPE This Investment Policy governs the deposit, safekeeping and investment of the funds of the Treasury, as well as all related transactions and investment activities. The investment of bond proceeds and amounts held under indentures and other security agreements with respect to bonds as provided in Section 6.12 will be governed by the provisions of the relevant bond documents. 2.0 PURPOSE The purpose of the Investment Policy is to facilitate accomplishment of the goals and objectives of the Treasurer with regard to the investment of surplus funds (funds not required for the immediate needs of the City), to provide a framework within which to carry out the business of administering and investing the surplus funds of the Treasury, and to improve communications at all levels between those involved and those interested in the process of investing and administering the surplus funds of the Treasury. - 1 - 3.0 OBJECTIVE 3.1 Legal Compliance All investments shall be made in accordance with this Investment Policy, California Government Code Section 53600 et seq., and any forthcoming amendments or additions to the California Government Code in relation to the investment of local agency surplus funds. 3.2 Prudence The administration of surplus funds of the City Treasurer, as a fiduciary trustee, shall be performed in accordance with the prudent investor standard pursuant to California Government Code Section 53600.3. The City Treasurer and the City Council of the City, including the Finance Committee, and all persons authorized to make investment decisions on behalf of the City are "trustees" and therefore fiduciaries subject to the prudent investor standard. When investing,reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee of the City shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the City, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and satisfy the liquidity needs of the City. Within the limitations of this Investment Policy and Section 53600.3 of the California Government Code and considering individual investments as part to an overall strategy, the City Treasurer and all persons authorized to make investment decisions on behalf of the City are authorized to acquire investments as authorized by law. As prudence shall be applied in the context of portfolio management, investment officers and their advisors, acting in accordance with written procedures and exercising due diligence, shall report deviations from expectation in an individual security's performance to the Treasurer in a timely fashion evaluate and appropriate action to be taken to control adverse developments. 3.3 Investment Criteria Goals The Treasurer's primary goals for the investment of surplus funds (in the City's Treasury or monies in a sinking fund) are, in order of priority pursuant to California Government Code Section 53600.5: 3.3.1 Safety-- Safety of capital shall mean the safeguarding of capital through the selection of investments and investing procedures to best protect against loss, whether arising from various investment risks (such as interest rate risk, market risk, counterparty risk, etc.) or from default, fraud, or error. 3.3.2 Liquidity-- The City's portfolio shall be invested so as to always have the ability to convert sufficient securities in the portfolio to cash, with little or no loss in value, to cover cash flow needs of the City to meet contingency needs. - 2 - 3.3.3 Yield --Yield refers to earning a reasonable rate of return and shall take into consideration current market conditions, the present phase of the market cycle, both present and future cash flow needs, and the other primary goals of Safety and Liquidity. 3.4 Performance Measurement The investment portfolio will be managed in accordance with the parameters specified within this Investment Policy. The methods of measuring investment performance and performance benchmarks shall be articulated in the internal policies of the City Treasurer's Department. 3.5 Maintenance of Public Trust As the Treasurer has been entrusted with the safekeeping of public monies received from all sources, the Treasurer, in managing the investment portfolio, shall exercise a high degree of professionalism to ensure and sustain public confidence, remembering that both the investment instruments and the methods of transacting investment business are subject to public review and scrutiny. 4.0 DELEGATION OF AUTHORITY The management responsibility for the City's investment program is hereby delegated to the City Treasurer in accordance with California Government Code Section 53607. Pursuant to California Government Code Sections 53601, the City Treasurer shall be responsible for the investment of the City's funds (including the purchase, sale, or exchange of securities), the monitoring and reviewing of all investments for consistency under this Investment Policy, and the establishment of a system of controls to regulate the activities of subordinate officials. The Treasurer shall have the responsibility to execute investment transactions on a day to day basis. When circumstances warrant, the responsibility to execute investment transactions may be delegated to the Deputy City Treasurer or to the City Treasurer's authorized designee. However, each and every transaction must be approved by the City Treasurer. Any persons authorized to make investment decisions on behalf of the City, shall be subject to daily oversight and monitoring by the City Treasurer or the Treasurer's Office in order to insure full and complete compliance with this Investment Policy and the Government Code of the State of California, relating to the deposit and investment of funds and local agency finances. NO PERSON MAY ENGAGE IN AN INVESTMENT TRANSACTION EXCEPT AS PROVIDED UNDER THE LIMITS OF THIS POLICY. - 3 - 5.0 INVESTMENT PROGRAM 5.1 Investfflgnt-in-L-ong Term Securities The City Treasurer and the authorized designees of the City Treasurer shall actively manage the City's portfolio of investments in order to take advantage of changing economic conditions and to insure that the liquidity needs of the City are satisfied. As part of the City's investment program, the City Treasurer has the express authority to make investments in securities that have a term, or a term remaining to maturity, at the time of investment, in excess of five years, as long as such investments, taken in the aggregate in relation to the City's entire investment portfolio, do not adversely impact the ability to satisfy the liquidity needs of the City and its funds and enterprises. Notwithstanding anything contained in this Investment Policy to the contrary, it is the policy of the City to limit the investment of money in the Light and Power Department Fund, including operating, reserve and surplus funds, in an amount up to one hundred million dollars ($100,000,000), to investments otherwise permitted for such Fund under this Investment Policy which mature no later than five years from the time of such investment. 5.2 Active Portfolio Management The City Treasurer has the express authority to sell, as he deems prudent, any securities in the City's portfolio of investments prior to the maturity date of the particular security. The City Treasurer has the express authority to invest in, as he deems prudent, any security authorized by this Investment Policy with the objective of selling that same security prior to its maturity date. The City Treasurer's authority to buy and sell securities for investment on behalf of the City includes the authorization to buy and sell the same security on the same trading day. 6.0 INSTRUMENTS AUTHORIZED FOR INVESTMENT The City, having money in a sinking fund of, or surplus money in, its treasury not required for the immediate needs of the City may invest any portion of the money that it deems wise or expedient in those investments set forth below. If the City purchases or obtains any securities prescribed in this Section 6.0, in a negotiable, bearer, registered, or nonregistered format, the City shall require delivery of the securities to the City, including those purchased for the City by financial advisors, consultants, or managers using the City's funds, by book entry, physical delivery, or by third party custodial agreement. The transfer of securities to the Counterparty bank's customer book entry account may be used for book entry delivery. For purposes of this Section 6.0, "Counterparty" means the other party to the transaction. A Counterparty bank's trust department or separate safekeeping department may be used for the physical delivery of the security if the security is held in the name of the City. Investments may be made in any security authorized by this Section 6, and by Section 53601 of the California Government Code, that has at the time of investment, a term, or a term remaining to maturity, in excess of five years, as long as such investment comports with the policies and objectives of this Investment Policy and the provisions of the California Government Code. - 4 - 6.1 Bonds Issued_by the City Bonds issued by the City, including bonds payable solely out of the revenues from a revenue-producing property owned, controlled, or operated by the City or by a department, board, agency, or authority of the City. 6.2 United States Treasury Bonds United States Treasury notes, bonds, bills, or certificates of indebtedness, or those for which the faith and credit of the United States are pledged for the payment of principal and interest. 6.3 Bonds of the State of California Registered State warrants or treasury notes or bonds of the State, including bonds payable solely out of the revenues from a revenue-producing property owned, controlled, or operated by the State or by a department, board, agency, or authority of the State. 6.4 Bonds of State of California Local Agencies Bonds, notes, warrants, or other evidences of indebtedness of any local agency within this state, including bonds payable solely out of the revenues from a revenue-producing property owned, controlled, or operated by the local agency, or by a department, board, agency, or authority of the local agency. 6.5 Obligations Issued by Federal A;;encv or United States Government- Sponsored Enterprises Federal agency or United States government-sponsored enterprise obligations, participations, or other instruments, issued by, or fully guaranteed as to principal and interest by federal agencies or United States government-sponsored enterprises. 6.6 Bills of Exchange Bankers' acceptances otherwise known as bills of exchange or time drafts that are drawn on and accepted by a commercial bank. Purchases of bankers' acceptances may not exceed 180 days maturity or 40 percent of the City's surplus money that may be invested pursuant to this Section 6. However, no more than 30 percent of the City's money may be invested in the bankers' acceptances of any one commercial bank pursuant to this Investment Policy. 6.7 Commercial Paper Commercial paper of"prime" quality of the highest ranking or of the highest letter and numerical rating as provided for by Moody's Investors Service, Inc. ("Moody's"), or the Standard & Poor's Corporation ("S&P") or Fitch Financial Services, Inc. ("Fitch"). The corporation that issues the - 5 - commercial paper shall be organized and operating within the United States, shall have total assets in excess of five hundred million dollars ($500,000,000) and shall issue debt, other than commercial paper, if any, that is rated "A" or higher by Moody's, S&P or Fitch. Eligible commercial paper shall have a maximum maturity of 270 days or less. The City may invest no more than 25% of its money in eligible commercial paper. The City may purchase no more than 10 percent of the outstanding commercial paper of any single corporate issue. 6.8 NNe otiable Certificates of Deyosit Negotiable certificates of deposit issued by a nationally or state-chartered bank, savings association or a federal association (as defined by Section 5102 of the California Financial Code), a state or federal credit union, or by a state-licensed branch of a foreign bank. Purchases of negotiable certificates of deposit may not exceed 30 percent of the City's money which may be invested pursuant to this Investment Policy. For purposes of this Section 6.8, negotiable certificates of deposit do not come within Article 2 of the California Government Code (commencing with Section 53630), except that the amount so invested shall be subject to the limitations of California Government Code Section 53638 concerning maximum deposits. The City Council of the City and the City Treasurer or other official of the City having legal custody of the money are prohibited from investing City funds, or funds in the custody of the City, in negotiable certificates of deposit issued by a state or federal credit union if a member of the City Council of the City, or any person with investment decision making authority in the City Administrator's Office, Budget-Auditor's Office, Treasurer's Office or Finance Department of the City, also serves on the board of directors, or any committee appointed by the board of directors, or the credit committee or the supervisory committee of the state or federal credit union issuing the negotiable certificates of deposit. 6.9 Repurchase, Reverse Repurchase and Securities Lendin Agreements 6.9.1 Investments in repurchase agreements or reverse repurchase agreements or securities lending agreements of any securities authorized by this Section 6, as long as the agreements are subject to this Section 6.9, including, the delivery requirements specified in this Section 6.9. 6.9.2 Investments in repurchase agreements may be made, on any investment authorized in Section 6, when the term of the agreement does not exceed one year. The market value of securities that underlay a repurchase agreement shall be valued at 102 percent or greater of the funds borrowed against those securities and the value shall be adjusted no less than quarterly. Since the market value of the underlying securities is subject to daily market fluctuations, the investments in repurchase agreements shall be in compliance if the value of the underlying securities is brought back up to 102 percent no later than the next business day. 6.9.3 Reverse repurchase agreements or securities lending agreements may be utilized only when all of the following conditions are met: - 6 - 6.9.3.1 The security to be sold on reverse repurchase agreement or securities lending agreement has been owned and fully paid for by the City for a minimum of 30 days prior to sale. 6.9.3.2 The total of all reverse repurchase agreements and securities lending agreements on investments owned by the City does not exceed 20 percent of the base value of the portfolio. 6.9.3.3 The agreement does not exceed a term of 92 days, unless the agreement includes a written codicil guaranteeing a minimum earning or spread for the entire period between the sale of a security using a reverse repurchase agreement or securities lending agreement and the final maturity date of the same security. 6.9.3.4 Funds obtained or funds within the pool of an equivalent amount to that obtained from selling a security to a counterparty by way of a reverse repurchase agreement or securities lending agreement, shall not be used to purchase another security with a maturity longer than the maturity of the reverse repurchase agreement or securities lending agreement. 6.9.4 Investments in reverse repurchase agreements, securities lending agreements or similar investments in which the City sells securities prior to purchase with a simultaneous agreement to repurchase the security, may only be made upon prior approval of the City Council of the City and shall only be made with primary dealers of the Federal Reserve Bank of New York or with a nationally or state- chartered bank that has or has had a significant banking relationship with the City. 6.9.4.1 For purposes of this Section 6.9, "significant banking relationship" means any of the following activities of a bank: 6.9.4.1.1 Involvement in the creation, sale,purchase, or retirement of the City's bonds, warrants, notes, or other evidence of indebtedness. 6.9.4.1.2 Financing of the City's activities. 6.9.4.1.3 Acceptance of the City's securities or funds as deposits. 6.9.5 Definitions 6.9.5.1 Repurchase Agreement Repurchase Agreement means a purchase of securities by the City pursuant to an agreement by which the counterparty seller will repurchase the securities on or before a specified date and for a specified amount and the counterparty will deliver the underlying securi ties to the City by book - 7 - entry, physical delivery, or by third party custodial agreement. The transfer of underlying securities to the counterparty bank's customer book- entry account may be used for book-entry delivery. 6.9.5.2 Securities Securities mean securities of the same issuer, description, issue date, and maturity. 6.9.5.3 Reverse Repurchase Agreement Reverse Repurchase Agreement means a sale of securities by the City pursuant to an agreement by which the City will repurchase the securities on or before a specified date and includes other comparable agreements. 6.9.5.4 Securities Lending Agreement Securities Lending Agreement means an agreement under which the City agrees to transfer securities to a borrower who, in turn, agrees to provide collateral to the City. During the term of the agreement, both the securities and the collateral are held by a third party. At the conclusion of the agreement, the securities are transferred back to the City in return for the collateral. 6.9.5.5 Base Value Base Value of the City's pool portfolio shall be that dollar amount obtained by totaling all cash balances placed in the pool by all pool participants, excluding any amounts obtained through selling securities by way of reverse repurchase agreements or other similar borrowing methods. 6.9.5.6 Spread Spread means the difference between the cost of funds obtained using the reverse repurchase agreement and the earnings obtained on the reinvestment of the funds. 6.10 Medium-Term Notes Medium-term notes, defined as all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating within the United States or by depository institutions licensed by the United States or any state and operating within the United States. Notes eligible for investment under this Section 6.10 shall be rated "A" or better by a nationally recognized rating service. Purchases of medium- term notes shall not include other instruments authorized by Section 6 and may not exceed 30 percent of the City's surplus money which may be invested. - 8 - 6.11 Diversified Management Company Shares 6.11.1 Shares of beneficial interest issued by diversified management companies that invest in the securities and obligations as authorized by Sections 6.1 to 6.10, inclusive, or Sections 6.13 or 6.14 and that comply with the investment restrictions of Article 1 (commencing with Section 53600 of the California Government Code) and Article 2 (commencing with Section 53630 of the California Government Code). However, notwithstanding these restrictions, a counterparty to a reverse repurchase agreement is not required to be a primary dealer of the Federal Reserve Bank of New York if the company's board of directors finds that the counterparty presents a minimal risk of default, and the value of the securities underlying a repurchase agreement may be 100 percent of the sales price if the securities are marked to market daily. 6.11.2 Shares of beneficial interest issued by diversified management companies that are money market funds registered with the Securities and Exchange Commission under the Investment Company Act of 1940 (15 U.S.C. Sec. 80a-1, et seq.). 6.11.3 If investment is in shares issued pursuant to Section 6.11.1, the company shall have met either of the following criteria: 6.11.3.1 Attained the highest ranking or the highest letter and numerical rating provided by not less than two nationally recognized statistical rating organizations; or 6.11.3.2 Retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years' experience investing in the securities and obligations authorized by Sections 6.1 to 6.10, inclusive, or Sections 6.13 or 6.14 and with assets under management in excess of five hundred million dollars ($500,000,000). 6.11.4 If investment is in shares issued pursuant to Section 6.11.2, the company shall have met either of the following criteria: 6.11.4.1 Attained the highest ranking or the highest letter and numerical rating provided by not less than two nationally recognized statistical rating organizations; or 6.11.4.2 Retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years' experience managing money market mutual funds with assets under management in excess of five hundred million dollars ($500,000,000). - 9 - 6.11.5 The purchase price of shares of beneficial interest purchased pursuant to this Section 6.11 shall not include any commission that the companies may charge and shall not exceed 20 percent of the City's surplus money that may be invested pursuant to this Section 6. However, no more than 10 percent of the City's surplus funds may be invested in shares of beneficial interest of any one mutual fund pursuant to Section 6.11.1. 6.12 Moneys Pledued to Payment or Security of Bonds of the City Moneys held by a trustee or fiscal agent and pledged to the payment or security of bonds or other indebtedness, or obligations under a lease, installment sale, or other agreement of the City, or certificates of participation in those bonds, indebtedness, or lease installment sale, or other agreements, may be invested in accordance with the statutory provisions governing the issuance of those bonds, indebtedness, or lease installment sale, or other agreement, or to the extent not inconsistent therewith or if there are no specific statutory provisions, in accordance with the ordinance, resolution, indenture, or agreement of the City providing for the issuance. 6.13 Bonds Secured br Government Code Section 53651 Eligible Securities Notes, bonds, or other obligations that are at all times secured by a valid first priority security interest in securities of the types listed by Section 53651 of the California Government Code as eligible securities for the purpose of securing local agency deposits having a market value at least equal to that required by Section 53652 of the California Government Code for the purpose of securing local agency deposits. The securities serving as collateral shall be placed by delivery or book entry into the custody of a trust company or the trust department of a bank which is not affiliated with the issuer of the secured obligation, and the security interest shall be perfected in accordance with the requirements of the Uniform Commercial Code or federal regulations applicable to the types of securities in which the security interest is granted. 6.14 Mortgage Pass-Through Security Any Mortgage pass-through security, collateralized mortgage obligation, mortgage-backed or other pay-through bond, equipment lease-backed certificate, consumer receivable pass-through certificate, or consumer receivable-backed bond, in each case, of a maximum of five years maturity. Securities eligible for investment under this Section 6.14 shall be issued by an issuer having an "A" or higher rating for the issuer's debt as provided by a nationally recognized rating service and rated in a rating category of"AA" or its equivalent or better by a nationally recognized rating service. Purchase of securities authorized by this Section 6.14 may not exceed 20 percent of the City's surplus money that may be invested pursuant to Section 6. 7.0 DESIGNATED ENTITIES FROM WHOM THE CITY MAY PURCHASE AUTHORIZED INVESTMENTS The purchase by the City of any investment authorized pursuant to California Government Code Sections 53601 or 53601.1, not purchased directly from the issuer, shall be purchased either from an institution licensed by the State as a broker-dealer, as defined in Section 25004 of the - 10 - California Corporations Code, or from a member of a federally regulated securities exchange, from a national or state-chartered bank, from a savings association or federal association(as defined by Section 5102 of the California Financial Code) or from a brokerage firm designated as a primary government dealer by the Federal Reserve Bank. 8.0 PROHIBITED INVESTMENTS 8.1 The City shall not invest any funds pursuant to this Investment Policy or pursuant to California Government Code, Article 2, Deposit of Funds (commencing with Section 53630) in inverse floats, range notes, or mortgage-derived, interest-only strips. 8.2 The City shall not invest any funds pursuant to this Investment Policy or pursuant to California Government Code, Article 2, Deposit of Funds (commencing with Section 53630) in any security that could result in zero interest accrual if held to maturity. However, the City may hold prohibited instruments currently owned by the City until their maturity dates. The limitation in this Section 8.2 shall not apply to City investments in shares of beneficial interest issued by diversified management companies registered under the Investment Company Act of 1940 (15 U.S.C. Sec. 80a-1, and following) that are authorized for investment pursuant to Section 6.11. 8.3 The City is prohibited under this policy from engaging in speculative activities typical to many organizations orientated toward profit maximization. Taking risks in order to arbitrage market opportunities, or risks unrelated to the City's normal business activities is prohibited. These include investments in derivatives such as contracts-options, swaps, and futures/forward contracts without a clear, identifiable,justifiable, and effective hedgeable item. 9.0 STATEMENTS OF INVESTMENT ACTIVITIES 9.1 Annual Statement of Investment Polick The City Treasurer shall annually render to the City Council and the Finance Committee of the City a statement of investment policy, which the City shall consider at a public meeting. Any changes in the investment policy shall also be considered by the City Council of the City at a public meeting. 9.2 Ouarterly Report of Investments The City Treasurer shall render a quarterly report to the Finance Committee of the City and City Council. The quarterly report shall be so submitted within 30 days following the end of the quarter covered by the report. This report shall include the type of investment, issuer, date of maturity par and dollar amount invested on all securities, investments and moneys held by the City and shall additionally include a description of any of the City's funds, investments, or programs, that are under the management of contracted parties, including lending programs. With respect to all securities held by the City and under management of any outside party that is not also a local agency or the State of California Local Agency Investment Fund, the report shall - 11 - also include a current market value as of the date of the report, and shall include the source of this same valuation. For local agency investments that have been placed in the State of California Local Agency Investment Fund, in National Credit Union Share Insurance Fund-insured accounts in a credit union, in accounts insured or guaranteed pursuant to Section 14858 of the California Financial Code, or in Federal Deposit Insurance Corporation-insured accounts in a bank or savings and loan association, in a California County investment pool, or any combination of these, the City Treasurer and the Treasurer's Department may supply to the City Council and Finance Committee the most recent statements received by the City from these institutions. The quarterly report shall state compliance of the portfolio to this Investment Policy, or the manner in which the portfolio is not in compliance. The quarterly report shall include a statement denoting the ability of the City to meet its budgeted expenditure requirements for the next six months, or provide an explanation as to why sufficient money shall, or may, not be available. In the quarterly report, a subsidiary ledger of investments may be used in accordance with accepted accounting practices. 9.3 Monthly Investment Transaction Re ort The authority of the City Council to invest or to reinvest funds of the City, or to sell or exchange securities so purchased has been delegated for a one-year period by the City Council to the City Treasurer, who shall thereafter assume full responsibility for those transactions and shall make a timely monthly report of those transactions to the City Council. 10.0 CONFLICT OF INTEREST No City employee shall, outside of regular working hours, engage in any professions, trade, business or occupation which is incompatible or involves a conflict of interest with his/her duties as a City Officer or employee. 11.0 PUBLIC INQUIRY The City Treasurer's portfolio and related transactions are a matter of public record. Any member of the public may receive a copy of the portfolio or this Investment Policy by requesting a copy at the Treasurer's Office. The Treasurer may charge a fee for the copy, as allowed by law. 12.0 ANALYSIS OF PROSPECTIVE INVESTMENTS Due to the complexity of the various investment instruments available and uncertainty of market conditions the Treasurer may seek professional advice in making investment decisions in order to optimize investment selections. - 12 - 13.0 SAFEKEEPING As required by California Government Code Section 53601 all investment instruments in a negotiable, bearer, registered, or nonregistered format, shall be delivered to the City's custodial bank by using book entry or physical delivery. The "delivery vs. payment" purchase procedure shall be used. The City's custodial bank for safekeeping of the bonds, notes, bills, debentures, obligations, certificates of indebtedness, warrants, or other evidences of indebtedness in which the money of the City is invested pursuant to this policy shall be one of the following: (a) a federal or state association(as defined by Section 5102 of the Financial Code), (b) a trust company or a state or national bank located within California, (c)the Federal Reserve Bank of San Francisco or any branch thereof within California, (d) any Federal Reserve Bank, or(e) with any state or national bank located in any city designated as a reserve city by the Board of Governors of the Federal Reserve System- 14.0 BROKER/DEALER AND DEPOSITORY INSTITUTION RELATIONSHIPS 14.1 Approved List of Broker/Dealer Institutions Subject to Section 7.0, the City Treasurer shall approve and maintain a list of broker/dealers and depository institutions authorized to provide investment and other services to the City. All investments must be made with institutions that have been approved by the City Treasurer prior to investing. 14.2 Broker/Dealer Commissions and Fees Chargeable to the Citv All broker/dealers who transact with the City and buy and sell securities on the City's behalf shall earn a commission or charge a fee not to exceed an amount deemed prudent and reasonable by the Financial Industry Regulatory Authority("FINRA") and what is customary in the industry for the types of securities being purchased by the City. 14.3 Deposit and Investment of Funds of the GO,, All depository institutions that do business with the City shall be in compliance with the requirements of Article 2, commencing with Section 53630, of the Government Code of the State of California, concerning the deposit of funds, including the overall creditworthiness and credit ratings requirements of the sections of that Article. - 13 - kEnEIVEn RECEIVED MAY 0 2016 MAY 0 9 2016 `r`►rL. + OITY CLERK'S OFFiff CITY ADMINISTRATION STAFF REPORT 04-s-jo-t4, VERNON GAS & ELECTRIC DEPARTMENT DATE: May 17, 2016 TO: Honorable Mayor and City Council FROM: Peter Hervish, Interim Director of Vernon Gas & Electric Depar Originator: Dan Bergmann, Natural Gas Consultant RE: Vernon's Support of the Natural Gas Settlement Agreement for Enhanced SoCalGas Balancing Rules during the Outage of Aliso Canyon Storage Facility Recommendation A. Find that approval of the authorization of Vernon's proposed support of the natural gas balancing settlement agreement is exempt from California Environmental Quality Act ("CEQA") review, because it is a continuing 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. Authorize the City Administrator to sign the proposed natural gas balancing settlement agreement, on behalf of the City of Vernon, the result of which will be more favorable gas balancing rules on SoCalGas during the period that Aliso Canyon gas storage field is off line. The Natural Gas Settlement Agreement has been reviewed and approved by the City Attorney's office. Background In October 2015, an underground leak occurred in SoCalGas' Aliso Canyon Storage Field. The result was seepage of gas into the atmosphere and surrounding area for over three months until the leak was finally stopped in February. During that period, for operational reasons and under pressure from various regulatory agencies, SoCalGas withdrew most of the gas reserves from the field. SoCalGas is now prohibited from using the field until extensive testing is completed of around 200 wells. Aliso Canyon is SoCalGas' largest storage field,critical for daily gas balancing and for winter gas supply during cold spells in Southern California. The result of not having Aliso is the need for tighter gas balancing rules. However, even with enhanced balancing rules, various Page l of 2 agencies still predict up to 14 days of scheduled outages during the hottest weather this summer in Southern California.I In response to the problems at Aliso,on March 1, 2016, SoCalGas filed with the CPUC a"Motion for Interim Order to Establish Daily Balancing requirements." Numerous parties, including City of Vernon (in conjunction with Shell Trading) filed comments in opposition to daily balancing. Over the weeks that followed, several parties, primarily led by Norm Pederson, representing Southern California Generation Coalition,and John Leslie,representing Shell Trading,took action to formulate a more reasonable settlement agreement with SoCalGas. The settlement does not include daily balancing, but instead provides for enhanced operational flow orders that are acceptable to all parties. Fiscal Impact No fiscal impact. Attachments 1. Joint Motion of Southern California Gas Company (U 904 G), San Diego Gas & Electric Company (U 902 G), and the Indicated Parties for Adoption of Daily Balancing Proposal Settlement Agreement, dated April 29, 2016. 2. Southern California Gas Company(U 904 G), San Diego Gas&Electric Company (U 902 G), and the Indicated Parties Settlement Agreement regarding Daily Balancing Issues, dated April 29, 2016. ' Aliso Canyon Risk Assessment Technical Report. Prepared by the staff of the CPUC,CEC,CAL ISO, LADWP, and SoCalGas,April 5, 2016. Page 2 of 2 BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA Application of Southern California Gas Company A.15-06-020 (U 904 G) and San Diego Gas & Electric Company (U 902 G) for Authority to Revise their Curtailment (Filed June 26, 2015) Procedures JOINT MOTION OF SOUTHERN CALIFORNIA GAS COMPANY (U 904 G), SAN DIEGO GAS & ELECTRIC COMPANY (U 902 G), AND THE INDICATED PARTIES FOR ADOPTION OF DAILY BALANCING PROPOSAL SETTLEMENT AGREEMENT MICHAEL R. THORP Attorney for: SOUTHERN CALIFORNIA GAS COMPANY SAN DIEGO GAS & ELECTRIC COMPANY 555 West 5`" Street, GT14E7 Los Angeles, CA 90013 Telephone: (2l3) 244-2981 Facsimile: (213) 629-9620 Dated: April 29, 2016 E-mail: MThorpaSempraUtilities.com TABLE OF CONTENTS Page I. BACKGROUND........................................................ ....................2 IL THE SETTLEMENT IS REASONABLE IN LIGHT OF THE WHOLE RECORD, CONSISTENT WITH LAW, AND IN THE PUBLIC INTEREST....................................4 A. The Settlement is Reasonable in Light of the Record...................................................4 B. The Settlement is Consistent with Law.........................................................................5 C. The Settlement is in the Public Interest.........................................................................5 D. The Settlement Should be Adopted without Modification............................................6 E. The Settlement is Reasonable and Promotes the Public Interest...................................6 F. Summary of the Proposed Settlement............................................................................7 G. Proposed Reduction of the Motion Comment Period and Proposed Waiver of Comments on a Draft Decision Approving the Settlement.........................................I 1 [II. CONCLUSION..................................................................................................................12 -i- BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA Application of Southern California Gas Company A.15-06-020 (U 904 G) and San Diego Gas & Electric Company (U 902 G) for Authority to Revise their Curtailment (Filed June 26, 2015) Procedures JOINT MOTION OF SOUTHERN CALIFORNIA GAS COMPANY (U 904 G), SAN DIEGO GAS & ELECTRIC COMPANY (U 902 G), AND THE INDICATED PARTIES FOR ADOPTION OF DAILY BALANCING PROPOSAL SETTLEMENT AGREEMENT Pursuant to Article 12 of the Commission's Rules of Practice and Procedure, Southern California Gas Company (SoCalGas), San Diego Gas& Electric Company (SDG&E), and the Indicated Parties comprised of The Alliance for Retail Energy Markets (AReM), California Independent System Operator(CAISO), California State University (CSU), California Cogeneration Council (CCC), California Manufacturers & Technology Association (CMTA), California League of Food Processors (CLFP), City of Long Beach Gas & Oil Department,' City of Vernon, Clean Energy Fuels Corp., Commerce Energy, Commercial Energy, Independent Energy Producers Association (IEPA), Indicated Shippers, Interstate Gas Supply, Inc. (IGS), NRG Energy, Inc., Office of Ratepayer Advocates (ORA), Pacific Summit Energy LLC, Shell Energy North America (US), L.P., Southern California Edison Company (SCE), Southern California Generation Coalition (SCGC), Southwest Gas Corporation (SWG), Tiger Natural Gas, University of California(UC), and Western Power Trading Forum (WPTF) (collectively referred to as the Settling Parties) hereby move the Commission to adopt the Daily Balancing Proposal Settlement Agreement (Settlement) attached hereto in Attachment A. This Settlement proposes resolution of all issues related to the daily balancing proposal of March 1, 2016, by SoCalGas and SDG&E, and ' The City of Long Beach Gas& Oil Department's inclusion as a Settling Party is contingent on the approval of the Settlement by the Long Beach city council. '- In accordance with Rule 1.8 of the Commission's Rules of Practice and Procedure SoCalGas and SDG&E have been authorized to submit this Joint Motion on behalf of all Settlement Parties. I related proposals from other parties. All other contested issues in this proceeding are the subject of a separate Curtailment Procedures Settlement Agreement. This Settlement provides that during the Settlement term, which will end no later than November 30, 2016, SoCalGas and SDG&E will deal with supply shortages and surpluses using Operational Flow Order(OFO) tariff procedures rather than daily balancing procedures. To facilitate this approach, the Settlement provides that during the Settlement term SoCalGas and SDG&E will make a number of temporary changes to their existing low and high OFO tariff provisions, including changing the existing 110% high OFO tolerance to a default of 105% that can be changed to l 10% at SoCalGas and SDG&E's sole discretion. The Settling Parties also request that the Commission establish a subsequent phase in this proceeding to consider reliability measures that may be needed beyond November 30, 2016. Parties will meet in good faith to address this, and will provide a Status Report to the Commission no later than September 8, 2016. Finally, SoCalGas and SDG&E reserve the right to resubmit their daily balancing proposal during and after the Settlement term if low and high OFO procedures do not provide the necessary supply-related responses, and the other Settling Parties reserve the right to oppose any future daily balancing proposal. A more detailed description of the Settlement is provided below. I. BACKGROUND SoCalGas and SDG&E filed their Application to Revise Their Curtailment Procedures (Application) on June 26, 2015. A prehearing conference(PHC) was noticed and held on October 27, 2015, to discuss the issues raised by the Application and by the parties' protests and responses, the need for evidentiary hearings, and the schedule for resolving the issues. An Assigned Commissioner's Scoping Memo and Ruling(Scoping Memo) was issued on November 6, 2015. The Scoping Memo identified the issues to be considered in this proceeding, set a procedural -2- schedule, determined the category of the proceeding as ratesetting, and determined there was a need for hearings. On March 1, 2016, SoCaIGas and SDG&E filed a Motion for Interim Order to Establish Daily Balancing requirements. Numerous parties filed comments on the Motion on March 16, 2016. On April 12, 2016, a group of parties calling themselves the Joint Parties filed a Motion Requesting Approval of System Reliability Measures. Hearings had been scheduled for March 28 through March 30 and April 1, 2016. At the first day of hearings, SoCalGas, SDG&E, and certain Settling Parties notified Administrative Law Judge (ALJ) Bushey that a settlement in principle had been reached regarding all contested issues in this proceeding other than issues related to the SoCalGas and SDG&E daily balancing proposal and related proposals from other parties, and that hearings were no longer necessary on this initial scope of the proceeding. ALJ Bushey ruled that the parties should file any motion for adoption of a settlement regarding such issues by April 29, 2016. ALJ Bushey also set a PHC for April 20, 2016, to address the SoCalGas and SDG&E daily balancing proposal. Parties were directed to hold Clarification Sessions to attempt to reach a compromise solution before establishing a procedural schedule. On April 14, 2016, an Assigned Commissioner's Amended Scoping Memo and Ruling was issued, which added the following to the scope of this proceeding: The issues to be addressed in this proceeding are expanded to include the need for temporarily establishing five percent daily balancing on the SoCalGas and SDG&E systems to address operational constraints at the Aliso Canyon storage field."3 At the April 20, 2016 PHC, parties notified Commissioner Florio and ALJ Bushey that a settlement in principle had been reached with most active parties regarding the SoCalGas and Assigned Commissioner's Amended Scoping Memo and Ruling at 2. -3- SDG&E daily balancing proposal and related proposals from other parties, and that there did not appear to be any parties who opposed the settlement in principle. Also on April 20, 2016, SoCa1Gas and SDG&E served a Notice of Settlement Conference, pursuant to Rule 12. That Settlement Conference was held telephonically on April 28, 2016. II. THE SETTLEMENT IS REASONABLE IN LIGHT OF THE WHOLE RECORD, CONSISTENT WITH LAW, AND IN THE PUBLIC INTEREST Rule 12.1(d) states that the Commission will not approve a settlement "unless the settlement is reasonable in light of the whole record, is consistent with law, and in the public interest." As discussed below, the Settlement meets these criteria. The Commission has consistently recognized the "strong public policy favoring the settlement of disputes to avoid costly and protracted litigation.i' This policy supports many worthwhile goals, including reducing the expense of litigation, conserving scarce Commission resources, and allowing parties to reduce the risk that litigation will produce unacceptable results.' Moreover, in assessing settlements the Commission evaluates the entire agreement, and not just its individual parts: In assessing settlements we consider individual settlement provisions but, in light of strong public policy favoring settlements, we do not base our conclusion on whether any single provision is the optimal result. Rather, we determine whether the settlement as a whole produces a just and reasonable outcome.6 A. The Settlement is Reasonable in Light of the Record Settling parties participated in numerous settlement negotiation sessions to consider the SoCal.Gas and SDG&E daily balancing proposal and related proposals from other parties. From April 4 through April 19, SoCalGas and SDG&E met with the other parties at least five times, and a number of these sessions were attended by more than 70 representatives. Throughout these ' D.88-12-083, mimeo., at 54. See also D.11-05-018, mimeo., at Ib. s D.92-12-019, mimeo., at 7-8. 6 D.10-04-033, mimeo., at 9. -4- sessions the parties devoted substantial time and effort to working collaboratively to identify and achieve a better common understanding of the range of issues in dispute, the various options for narrowing the number of disputed issues, and opportunities to develop compromise positions that would permit resolution of the disputed issues. The Settlement is a product of those efforts. The specific outcomes on the issues covered by the Settlement are within the range of positions and outcomes presented by the parties. The sheer number of interested parties involved in these negotiations helped to ensure that the interests of shippers and end-use customers were fully represented. B. The Settlement is Consistent with Law The Settling Parties are represented by experienced counsel, and believe that the terms of the Settlement comply with all applicable statutes and prior Commission decisions, and reasonable interpretations thereof. In agreeing to the terms of the Settlement, the Settling Parties considered relevant statutes and Commission decisions and believe that the Settlement is fully consistent with those statutes and prior Commission decisions. C. The Settlement is in the Public Interest The Commission has determined that a settlement that"commands broad support among participants fairly reflective of the affected interests" and "does not contain terms which contravene statutory provisions or prior Commission decisions" meets the"public interest" criterion.? Here, all of the active parties who took positions on the issues covered by the Settlement have joined this motion and have signed the attached Settlement indicating that they believe the agreement represents a reasonable compromise of their respective positions. The volume and range of Settling Parties should provide the Commission comfort, as it includes the applicant utilities and representatives of impacted customer groups that are well-known to the ' D.l 0-06-015, mimeo.,at I I-12,citing D.92-12-019, mimeo., at 7. -5- Commission and bring years (and, in some cases, decades) of experience in Commission proceedings to their work here. The Settlement, if adopted by the Commission, avoids the cost of further litigation, and frees up Commission resources for other proceedings. The Settlement frees up the time and resources of other parties as well, so that they may focus on other Commission proceedings. D. The Settlement Should be Adopted without Modification Though each section is discussed separately in the summary below, the Settlement is presented as a whole, and Settling Parties request that it be reviewed and adopted as a whole. Each provision of the Settlement is dependent on the other provisions of the Settlement; thus modification of any one part of the Settlement would harm the balancing of interests and compromises achieved in the Settlement. The various provisions reflect specific compromises between litigation positions and differing interests; in some instances the proposed outcome reflects a party's concession on one issue in consideration for the outcome provided on a different issue. As described further in the following sections, the proposed outcome on each issue is reasonable in light of the entire record. Accordingly, the Commission should consider and approve the Settlement as a whole, with no modification. E. The Settlement is Reasonable and Promotes the Public Interest The Settlement represents agreement among most parties that actively participated in this proceeding. In addition, though there are a few parties who have not signed on to the Settlement, it does not appear that any of them oppose the Settlement. Through the negotiation process, the Settling Parties were able to identify preferred outcomes that, if adopted, would represent an acceptable resolution for each party involved in the settlement discussions. Each provision of the Settlement is dependent on the other provisions of the Settlement; thus modification of any one part of the Settlement would harm the balancing of -6- interests and compromises achieved in the Settlement. The various provisions reflect specific compromises between differing interests; the Settling Parties believe the provisions of the Settlement are reasonable and supported by the record. Accordingly, the Settlement should be considered and approved as a whole by the Commission as reasonable in light of the entire record, with no modification. The Settlement represents agreement among the Settling Parties regarding resolution of issues and reflects a compromise among the litigation positions taken by the Settling Parties in this proceeding in a manner that promotes the public interest. Longstanding Commission policy favors settlements. The Settlement is therefore reasonable in light of the whole record and promotes the public interest as required by Rule 12.1(d). The issues addressed in this Settlement are discussed below. F. Summary of the Proposed Settlement Settling Parties seek Commission approval of the terms set forth in the attached Settlement, as summarized below. l. This Settlement is not intended by the Settling Parties to be precedent for any future proceeding or any issues not included in the Settlement. Except as expressly provided for in this Settlement, each of the Settling Parties expressly reserves its right to advocate, in current and future proceedings, positions, principles, assumptions, arguments and methodologies which may be different than those underlying this Settlement. The term of this Settlement will begin upon adoption by the California Public Utilities Commission(Commission), and conclude upon the earlier of. (1) any superseding decision or order by the Commission, (2) return of Aliso Canyon to at .7_ least 450 MMcfd of injection capacity and 1,395 MMcfd of withdrawal capacity, or (3)November 30, 2016. 3. The Settling Parties request that the Commission establish a subsequent phase in this proceeding to consider reliability measures that may be needed beyond November 30, 2016, in the event that by that date: (1) Aliso Canyon has not returned to the service levels set forth in Section 2, or(2)working inventory at Aliso Canyon is not at least 45 BCF. Parties will meet in good faith to address reliability measures that may be needed beyond November 30, 2016, through Clarification Sessions, informal meetings, and/or Rule 12 settlement discussions, and will provide a Status Report to the Commission no later than September 8, 2016. Settling Parties, individually or jointly, may seek Alternate Dispute Resolution or other procedures earlier than September 8, 2016, and other Settling Parties may oppose such proposals. 4. During the Settlement term, SoCalGas and SDG&E will deal with supply shortages and surpluses using OFO tariff procedures rather than daily balancing procedures, subject to paragraph 7 in this Settlement. To do this, SoCalGas and SDG&E may be required to call both low and high OFOs for the same gas day, as is permitted under current tariffs. 5. During the Settlement term, SoCalGas and SDG&E will make the following temporary changes to their existing low and high OFO tariff provisions. At the end of the Settlement term, unless ordered to do otherwise by the Commission, SoCalGas and SDG&E will remove each of these temporary changes from their tariffs. -8- a. The existing 110% high OFO tolerance(specified in G-IMB) will be changed to 105%or 110%. The default will be 105%, but SoCalGas and SDG&E will have the ability to set the tolerance at 110% if, in SoCalGas' and SDG&E's sole discretion, operational circumstances allow. b. From the beginning of the Settlement term through July 1, 2016, high OFO buyback rate will be double the otherwise applicable buy-back rate. C. Low OFO noncompliance charges for the gas flow day will be waived when the confirmation process limiting nominations to system capacity cuts previously scheduled BTS8 nominations during any of the Intraday 1-3 Cycles (Cycles 3-5). d. SoCalGas and SDG&E will have the discretion to waive OFO noncompliance charges for an electric generation customer who was dispatched after the Intraday 1 (Cycle 3) nomination deadline in response to (1) a SoCalGas System Operator request to an Electric Grid Operator to reallocate dispatched electric generation load to help maintain gas system reliability and integrity, or(2) an Electric Grid Operator request to the SoCalGas System Operator to help maintain electric system reliability and integrity that can be accommodated by the SoCalGas System Operator at its sole discretion. For electric generators served by a contracted marketer, OFO noncompliance charges can be waived under this section only to the extent the contracted marketer nominates their electric generation customer's gas to the electric generation customer's Order Control Code. s Backbone Transportation Service. -9- C. The existing exemption from low OFO noncompliance charges for daily imbalances of 10,000 therms or less will be extended to high OFO buyback rate charges. f. During the Settlement term, low OFO noncompliance charges received from noncore customers will be credited to the noncore fixed cost account and low OFO noncompliance charges received from core customers will be credited to the core fixed cost account. g. These tariff changes are reflected in the redlined tariffs attached to this Settlement. SoCalGas and SDG&E will be authorized to implement these tariff changes via Tier 1 advice filings upon Commission approval of this Settlement. SoCalGas and SDG&E will also be authorized to remove each of these temporary changes from their tariffs via Tier 1 advice filings at the end of the Settlement term. 6. During the Settlement term, SoCalGas and SDG&E will take the following additional actions: a. SoCalGas and SDG&E will revise their current Low OFO formula so that the balancing trigger is based on operational constraints. SoCalGas and SDG&E will have the sole discretion to set the level of withdrawal capacity available for balancing based on operational conditions. To the extent operationally feasible, SoCalGas and SDG&E will attempt to maximize the amount of withdrawal capacity available for balancing, up to the amount of withdrawal capacity allocated to the balancing function. SoCalGas and -10- SDG&E will continue to post any changes to the low OFO formula on Envoy. b. Injection nominations will be held to the injection capacity in every flowing cycle regardless of OFO status. C. SoCalGas will provide a cycle-by-cycle low OFO calculation on Envoy. d. SoCalGas will hold at least two customer education workshops regarding low and high OFO procedures prior to.tune 1, 2016. 7. SoCalGas and SDG&E reserve the right to resubmit their daily balancing proposal during and after the Settlement term if low and high OFO procedures do not provide the necessary supply-related responses, and the other Settling Parties reserve the right to oppose any future daily balancing proposal. G. Proposed Reduction of the Motion Comment Period and Proposed Waiver of Comments on a Draft Decision Approving the Settlement The Settling Parties believe that the enhanced reliability measures presented by this Settlement should be put into place quickly, so that the measures will be available if needed. To that end, the Settling Parties respectfully request that the Commission reduce the standard 30-day comment period provided by Rule 12.2 to five days. This reduced comment period will enable the Commission to consider the Settlement at least one business meeting earlier than otherwise, and it is particularly appropriate given that all parties to the proceeding have been involved in the settlement discussions leading up to the Settlement, and given that there are numerous parties to this portion of the proceeding—many of whom who do not generally appear in Commission proceedings—and these numerous parties represent a broad range of shipper and end-use customer interests. For these same reasons, the Settling Parties request that the Commission waive comments on a Proposed Decision if the Proposed Decision adopts the Settlement as presented. III. CONCLUSION As shown herein, the Settlement is reasonable in light of the whole record, is consistent with law, promotes the public interest, and should be approved the Commission. Further, the Commission should reduce the standard 30-day comment period for comments on settlements to five days, and the Commission should waive comments on a Proposed Decision if the Proposed Decision adopts the Settlement as presented. Respectfully submitted, By: Is/Michael R. Thorp MICHAEL R. THORP Attorney for: SOUTHERN CALIFORNIA GAS COMPANY SAN DIEGO GAS & ELECTRIC COMPANY 555 West 5th Street, GT14E7 Los Angeles, CA 90013 Telephone:(213) 244-2981 Facsimile: (213) 629-9620 Dated: April 29, 2016 E-mail: MThorp@SempraUtilities.com -12- BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA Application of Southern California Gas Company A.15-06-020 (U 904 G) and San Diego Gas & Electric Company (U 902 G) for Authority to Revise their Curtailment (Filed June 26, 2015) Procedures SOUTHERN CALIFORNIA GAS COMPANY (U 904 G), SAN DIEGO GAS & ELECTRIC COMPANY (U 902 G), AND THE INDICATED PARTIES SETTLEMENT AGREEMENT REGARDING DAILY BALANCING ISSUES Pursuant to Article 12 of the California Public Utilities Commission's (Commission) Rules of Practice and Procedure, Southern California Gas Company (SoCalGas), San Diego Gas & Electric Company (SDG&E), and the Indicated Parties comprised of The Alliance for Retail Energy Markets (AReM), California Independent System Operator(CAISO), California State University (CSU), California Cogeneration Council (CCC), California Manufacturers & Technology Association (CMTA), California League of Food Processors (CLFP), City of Long Beach Gas & Oil Department,' City of Vernon, Clean Energy Fuels Corp., Commerce Energy, Commercial Energy, Independent Energy Producers Association (IEPA), Indicated Shippers, Interstate Gas Supply, Inc. (IGS), NRG Energy, Inc., Office of Ratepayer Advocates (ORA), Pacific Summit Energy LLC, Shell Energy North America(US), L.P., Southern California Edison Company (SCE), Southern California Generation Coalition (SCGC), Southwest Gas Corporation (SWG), Tiger Natural Gas, University of California(UC), and Western Power Trading Forum (WPTF) (collectively referred to hereafter as the Settling Parties) respectfully submit to the Commission this Settlement Agreement (Settlement). In this Settlement, the ' The City of Long Beach Gas& Oil Department's inclusion as a Settling Party is contingent on the approval of the Settlement by the Long Beach city council. A-1 Settling Parties provide a recommended resolution of the following item identified in the April 14, 2016 Assigned Commissioner's Amended Scoping Memo and Ruling: The issues to be addressed in this proceeding are expanded to include the need for temporarily establishing five percent daily balancing on the SoCalGas and SDG&E systems to address operational constraints at the Aliso Canyon storage field."Z I. REASONABLENESS OF THE SETTLEMENT The Settling Parties submit that this Settlement complies with the Commission's requirements that settlements be reasonable, consistent with law, and in the public interest. The Settling Parties have recognized that there is risk involved in litigation, and that a party's filed position might not prevail, in whole or in part, in the Commission's final determination. The Settling Parties have reached compromise positions that they believe are appropriate in light of the litigation risks. This Settlement reflects the Settling Parties' best judgments as to the totality of their positions and risks, and their agreement herein is explicitly based on the overall results achieved. II. SETTLEMENT TERMS AND CONDITIONS A. Effective Date 1. The Effective Date of this Settlement is the date upon which the Commission approves the Settlement. B. Settlement Terms 1. This Settlement is not intended by the Settling Parties to be precedent for any future proceeding or any issues not included in the Settlement. Except as expressly provided for in this Settlement, each of the Settling Parties expressly reserves its right to advocate, in current and future proceedings, positions, principles, assumptions, arguments and methodologies which may be different than those underlying this Settlement. '- Assigned Commissioner's Amended Scoping Memo and Ruling at 2. A-2 '. The term of this Settlement will begin upon adoption by the California Public Utilities Commission(Commission), and conclude upon the earlier of: (1) any superseding decision or order by the Commission, (2) return of Aliso Canyon to at least 450 MMcfd of injection capacity and 1,345 MMcfd of withdrawal capacity, or (3) November 30, 2016. 3. The Settling Parties request that the Commission establish a subsequent phase in this proceeding to consider reliability measures that may be needed beyond November 30, 2016, in the event that by that date: (1) Aliso Canyon has not returned to the service levels set forth in Section 2, or(2) working inventory at Aliso Canyon is not at least 45 BCF. Parties will meet in good faith to address reliability measures that may be needed beyond November 30, 2016, through Clarification Sessions, informal meetings, and/or Rule 12 settlement discussions, and will provide a Status Report regarding their discussions to the Commission no later than September 8, 2016. Settling Parties, individually or jointly, may seek Alternate Dispute Resolution or other procedures earlier than September 8, 2016, and other Settling Parties may oppose such proposals. 4. During the Settlement term, SoCalGas and SDG&E will deal with supply shortages and surpluses using OFO tariff procedures rather than daily balancing procedures, subject to paragraph 7 in this Settlement. To do this, SoCalGas and SDG&E may be required to call both low and high OFOs for the same gas day, as is permitted under current tariffs. 5. During the Settlement term, SoCalGas and SDG&E will make the following temporary changes to their existing low and high Operational Flow Order(OFO) tariff provisions. At the end of the Settlement term, unless ordered to do otherwise by the Commission, SoCalGas and SDG&E will remove each of these temporary changes from their tariffs. a. The existing 110% high OFO tolerance (specified in G-IMB) will be changed to 105%or 110%. The default will be 105%, but SoCalGas and SDG&E will have the ability to set the tolerance at 110% if, in SoCalGas' and SDG&E's sole discretion, operational circumstances allow. b. From the beginning of the Settlement term through July 1, 2016, high OFO buyback rate will be double the otherwise applicable buy-back rate. C. Low OFO noncompliance charges for the gas flow day will be waived when the confirmation process limiting nominations to system capacity cuts previously scheduled BTS nominations during any of the Intraday 1- 3 Cycles (Cycles 3-5). d. SoCalGas and SDG&E will have the discretion to waive OFO noncompliance charges for an electric generation customer who was dispatched after the Intraday 1 (Cycle 3) nomination deadline in response A-3 to (1) a SoCalGas System Operator request to an Electric Grid Operator to reallocate dispatched electric generation load to help maintain gas system reliability and integrity, or(2) an Electric Grid Operator request to the SoCalGas System Operator to help maintain electric system reliability and integrity that can be accommodated by the SoCalGas System Operator at its sole discretion. For electric generators served by a contracted marketer, OFO noncompliance charges can be waived under this section only to the extent the contracted marketer nominates their electric generation customer's gas to the electric generation customer's Order Control Code. C. The existing exemption from low OFO noncompliance charges for daily imbalances of 10,000 therms or less will be extended to high OFO buyback rate charges. f. During the Settlement term, low OFO noncompliance charges received from noncore customers will be credited to the noncore fixed cost account and low OFO noncompliance charges received from core customers will be credited to the core fixed cost account. g. These tariff changes are reflected in the redlined tariffs attached to this Settlement. SoCalGas and SDG&E will be authorized to implement these tariff changes via Tier l advice filings upon Commission approval of this Settlement. SoCalGas and SDG&E will also be authorized to remove each of these temporary changes from their tariffs via Tier 1 advice filings at the end of the Settlement term.. 6. During the Settlement term, SoCalGas and SDG&E will take the following additional actions: a. SoCalGas and SDG&E will revise their current Low OFO formula so that the balancing trigger is based on operational constraints. SoCalGas and SDG&E will have the sole discretion to set the level of withdrawal capacity available for balancing based on operational conditions. To the extent operationally feasible, SoCalGas and SDG&E will attempt to maximize the amount of withdrawal capacity available for balancing, up to the amount of withdrawal capacity allocated to the balancing function. SoCalGas and SDG&E will continue to post any changes to the low OFO formula on Envoy. b. Injection nominations will be held to the injection capacity in every flowing cycle regardless of OFO status. C. SoCalGas will provide a cycle-by-cycle low OFO calculation on Envoy. d. SoCalGas will hold at least two customer education workshops regarding low and high OFO procedures prior to June 1, 2016. A-4 7. SoCalGas and SDG&E reserve the right to resubmit their daily balancing proposal during and after the Settlement term if low and high OFO procedures do not provide the necessary supply-related responses, and the other Settling Parties reserve the right to oppose any future daily balancing proposal. III. ADDITIONAL TERMS AND CONDITIONS A. The Public Interest The Settling Parties agree jointly by executing and submitting this Settlement that the relief requested herein is just, fair and reasonable, and in the public interest. B. Non-Precedential Effect This Settlement is not intended by the Settling Parties to be precedent for any future proceeding or any issues not included in the Settlement. The Settling Parties have assented to the terms of this Settlement only for the purpose of arriving at the settlement embodied in this Settlement. Except as expressly precluded in this Settlement, each of the Settling Parties expressly reserves its right to advocate, in current and future proceedings, positions, principles, assumptions, arguments and methodologies which may be different than those underlying this Settlement, and the Settling Parties expressly declare that, as provided in Rule 12.5 of the Commission's Rules, this Settlement should not be considered as a precedent for or against them. Likewise, the Settlement explicitly does not establish any precedent on the litigated issues in the case. C. Partial Settlement This Settlement is a partial settlement of the issues in A.15-06-020. Namely, this Settlement only addresses the following item identified in the April 14, 2016, Assigned Commissioner's Amended Scoping Memo and Ruling: The issues to be addressed in this proceeding are expanded to include the need for temporarily establishing five percent daily A-5 balancing on the SoCalGas and SDG&E systems to address operational constraints at the Aliso Canyon storage field.3 This Settlement is not intended to resolve issues not covered by the Settlement, or to preclude any of the Settling Parties from making any arguments or taking any positions with respect to such issues. D. Indivisibility This Settlement embodies compromises of the Settling Parties' positions. No individual term of this Settlement is assented to by any of the Settling Parties, except in consideration of the other Settling Parties' assents to all other terms. Thus, the Settlement is indivisible and each part is interdependent on each and all other parts. Any party may withdraw from this Settlement if the Commission modifies, deletes from, or adds to the disposition of the matters stipulated herein. The Settling Parties agree, however, to negotiate in good faith with regard to any Commission-ordered changes to the Settlement in order to restore the balance of benefits and burdens, and to exercise the right to withdraw only if such negotiations are unsuccessful. The Settling Parties acknowledge that the positions expressed in the Settlement were reached after consideration of all positions advanced in the March 1, 2016 motion of SoCalGas and SDGE, the various responses to that motion, and the April 12, 2016 motion of California Cogeneration Council, California Manufacturers and Technology Association, California League of Food Processors, Commercial Energy, Indicated Shippers, Southern California Generation Coalition, Pacific Summit Energy LLP, the City of Vernon, NRG Energy, Western Power Trading Forum, Shell Energy North America(US), L.P., and The Alliance for Retail Energy Markets, as well as proposals offered during the settlement negotiations. This document sets forth the entire agreement of the Settling Parties on all of those issues, except as 3 Assigned Commissioner's Amended Scoping Memo and Ruling at 2. A-6 specifically described within the Settlement. The terms and conditions of this Settlement may only be modified in writing subscribed by all Settling Parties. Dated this 29' day of April, 2016. SOUTHERN CALIFORNIA GAS COMPANY and SAN DIEGO GAS & ELECTRIC COMPANY By: MICHAEL R. THORP Title: Chief Regulatory Counsel THE ALLIANCE FOR RETIAL ENERGY MARKETS and SHELL ENERGY NORTH AMERICA (US), L.P. By. JOHN LESLIE Title: Counsel CALIFORNIA INDEPENDENT SYSTEM OPERATOR By: ANDREW ULMER Title: Director, Federal Regulatory Affairs CALIFORNIA STATE UNIVERSITY By: AARON KLEMM Title: Chief, Energy and Sustainability CALIFORNIA COGENERATION COUNCIL By: BETH VAUGRAN Title: Executive Director A-7 CALIFORNIA MANUFACTURERS & TECHNOLOGY ASSOCIATION By: RONALD LIEBERT Title: Counsel CALIFORNIA LEAGUE OF FOOD PROCESSORS By. JOHN LARREA Title: Director of Government Affairs CITY OF LONG BEACH GAS & OIL DEPARTMENT By: PATRICK WEST Title: City Manager CITY OF VERNON By: CARLOS R. FANDINO,JR. Title: City Administrator CLEAN ENERGY FUELS CORP. By: J. NATHAN JENSEN Title: Counsel COMMERCE ENERGY By: INGER GOODMAN Title: Regulatory Affairs Specialist A-8 COMMERCIAL ENERGY By: MICHAEL B. DAY Title: Counsel INDEPENDENT ENERGY PRODUCERS ASSOCIATION By: BRIAN CRAGG Title: Counsel INDICATED SHIPPERS .By: EVELYN KHAL Title: Counsel INTERSTATE GAS SUPPLY, INC. By. JOSEPH OLIKER Title: Senior Regulatory Counsel NRG ENERGY, INC. By: ABRAHAM SILVERMAN Title: Assistant General Counsel, Regulatory OFFICE OF RATEPAYER ADVOCATES By: ELIZABETH ECHOLS Title: Director, Office of Ratepayer Advocates PACIFIC SUMMIT ENERGY LLC By: JIKJA CHUNG Title: General Counsel & Chief Compliance Officer A-9 SOUTHERN CALIFORNIA EDISON COMPANY By: COLIN CUSHNIE Title: VP of Energy Procurement & Management SOUTHERN CALIFORNIA GENERATION COALITION By: NORMAN PEDERSEN Title: Counsel SOUTHWEST GAS CORPORATION By: KYLE O. STEPHENS Title: Assistant General Counsel TIGER NATURAL GAS By: GREGORY KLATT Title: Counsel UNIVERSITY OF CALIFORNIA By: ERIC EBERHARDT Title: Associate Director, Energy Services WESTERN POWER TRADING FORUM By: DANIEL DOUGLASS Title: Counsel A-10 Attachments to the Settlement Agreement For reference, the following documents are available upon request at the office of the City Clerk: 1 . SoCalGas Rule 30 2. SoCalGas Rule 41 3. SoCalGas Schedule G-IMB 4. SDG&E Rule 30 5. SDG&E Schedule G-IMB 6. SoCalGas CFCA 7. SoCalGas NFCA A-] RECEIVED RECEIVED MAY I�0 2016 4 MAY 0 5 2016 CITY CLERK'S OFFICE `*`* "} CITY ADMINISTRATION STAFF REPORT as-q-t(, VERNON GAS & ELECTRIC DEPARTMENT DATE: May 17, 2016 TO: Honorable Mayor and City Council FROM: Peter Hervish, Interim Director of Vernon Gas & Electric Departme Originator: Irene Castillo, Account Clerk, Senior RE: Base Contract with Occidental Energy Marketing, Inc. for Sale and Purchase of Natural Gas (the"NAESB Contract) Recommendation A. Find that (a) the agreement between the City of Vernon and Occidental Energy Marketing, Inc. is not in reference to a "project" subject to the California Environmental Quality Act ("CEQA") under Guidelines section 15378 because it involves the administrative activity of purchasing gas; and (b) even if this approval were a "project" subject to CEQA, the approval requested is exempt in accordance with CEQA Guidelines Section 15301(b), the general rule that CEQA only applies to projects that may have an effect on the environment because purchasing gas is purely a financial transaction, and any construction that may occur by a private party in the future in reliance on this approval would be subject to CEQA review by another governmental agency at that time when actual details of any physical proposal would be more than speculative; and B. Authorize the Interim Director of Gas & Electric (as per Resolution No. 9280) to execute the North American Energy Standards Board ("NAESB") contract by and between the City of Vernon ("City") and Occidental Energy Marketing, Inc. ("OEM") in substantially the same form as attached to the staff report, for the purpose of buying and selling natural gas to or from OEM, in compliance with the general terms established in the agreement. Pursuant to Vernon Municipal Code § 2.17.12(A)(6), competitive bidding is not required because this is a contract for gas and/or electrical power for the city's power utility, and it would be commercially unreasonable to procure the gas or electricity through standard bidding or request for proposal procedures. Background The City of Vernon owns and operates a municipal natural gas distribution system for supplying the City's municipal electric system with natural gas and providing natural gas to businesses and industries within the City. On March 19, 2007, Resolution No. 9280 was adopted by the City Page 1 of 2 Council, thereby granting authority to the Director of Gas & Electric to enter into various contracts for the purchase and sale of electric energy, natural gas, and financial hedges, subject to ratification of the City Council. VG&E desires to sell and purchase natural gas to or from OEM, under general terms and conditions published by the NAESB. The Interim Director of Vernon Gas & Electric has determined that it is to the City's advantage, and in the public interest of the customers and residents of the City, to enter into a contract with OEM for the purchase and sale of natural gas. This agreement constitutes general terms and conditions only and does not obligate the City to enter into a specific purchase or sale transaction; however, the result of fully executing the agreement will provide the ability for the City to transact with OEM. The City has similar agreements in place with Sacramento Municipal Utility District ("SMUD"), BP Energy, Shell Energy, Southern California Gas Company, EDF Trading North America, LLC, Anahau Energy, ConocoPhillips, and Iberdrola. The key objectives of the agreement with OEM are as follows: • To expand the City's counterparty pool • Create an opportunity for better pricing and liquidity • To maximize trading capability Vernon Gas & Electric staff recommends that the NAESB Contract with OEM be approved. Attached herewith is a copy of the proposed Base Contract for Sale and Purchase of Natural Gas with OEM. The NAESB Base Contract and Special Provisions to the NAESB have been reviewed and approved by the City Attorney's office. Fiscal Impact The agreement with OEM will provide Vernon flexibility to buy and sell natural gas as needs dictate, which could potentially produce a monetary benefit for the City. The exact financial impact of this agreement is unknown at this time. Attachment(s) 1. Base Contract for Sale and Purchase of Natural Gas between City of Vernon and Occidental Energy Marketing, Inc. 2. Special Provisions to the NAESB Base Contract Page 2 of 2 Base Contract for Sale and Purchase of Natural Gas This Base Contract is entered into as of the following date: . _ The parties to this Base Contract are the following: PARTY A PARTY B PARTY NAME Occidental Energy Marketing, Inc. City of Vernon 5 Greenway Plaza,Suite 110,Houston,TX 77046 4305 Santa Fe Ave.Vernon,CA 90058 ADDRESS www.oxy.com BUSINESS WEBSITE www.cityofvemon.org CON TRACT NUMBER 05-229-8721 D-U-N-S6NUMBER 06-088-3022 d US FEDERAL: 94-3051926 ® US FEDERAL: TAX ID NUMBERS ❑ OTHER: ❑ OTHER: Delaware JURISDICTION OF ORGANIZATION rI Corporation ❑ LLC ❑ Corporation ❑ LLC ❑ Limited Partnership ❑ Partnership ❑ Limited Partnership ❑ Partnership ❑ LLP ❑ Other: COMPANY TYPE ❑ LLP M Other City of Vernon,a Chartered City and Municipal Corporation of the State of California GUARANTOR IF APPLICABLE CONTACT INFORMATION ATTN: Shawn h Efrain San l ATTN: COMMERCIAL TEL#. 323-82"625/1424 FAXA 323-826-3629 TELM FAX#: EMAIL- sshariOci.vemon.u.us d esandovaMcl.vemon.ca.Muff us -- ATTN: Shawn Sharifcadeh & Efrain SandNaI Ate' SCHEDULING TEL#: 323-82"625 11424 FAX#: 323-82&3629 TELM FAX#: EMAIL: ssrign _ci.rernvn.ca.ua d esandovalfel.vernon.ca.us EMAIL: • CONTRACT AND ATTN: Hema Patel ATTN: Contracts Administration LEGAL NOTICES TELP 323-583.8811 Ext_292 FAX#: 323-826-1431 T1:L#: FAX#: 713-215-7616 EMAIL: hoate!Ati.vemon.ca.us EMAIL: ConUact-Ad"J x .corn Credtt Department ATTN: Javier Valdez ATTN. Administration CREDIT TEL#: 323-583-8811 Ext.825 FAX#: 323-826-1431 TELM 713-215-7626 FAX#: 713-3504802 EMAIL: ivaldezttilcl.vernon.fa_{ �s EMAIL- ATTN: Cont7rmadons Debarment _ TRANSACTION ATTN: Edwin Ochoa TEL#. FAX#: 713-085-1601 CONFIRMA77ONS TELM 323-583-011 Ext 227 _FAXW 323.82"29 EMAIL: eochoo( cimemon.co.us EEMAIL.- HatGasConll ,corn 'R ACCOUNTING INFORMATION A 0.Box 27570,Houston.TX 77227-7570 . TEL#: 713-215-7861 FAX#: 713-215.7488 INVOICES ATTN: _ ,City of Vemon Treasury Department ATTN: Marketing AccounitnQ . PAYMENTS TELM 323 583 8811 Ext:227 FAX*323-826-3629 EMAIL: SETTLEMENTS EMAIL:invoices(ftimemon.Cf.us BANK: JPMoraan Chase Bank.New York.NY WIRE TRANSFER BANK: Easr W�-sr Sam ABA: 021000021 ACCT. 323.010709 NUMBERS ABA: #322070381 ACCT. 80362791 OTHER DETAILS: OEMI Account (IF APPLICABLE) OTHER DETAILS: Gas&Electric Acct, BANK: BANK: ACH NUMBERS ABA: _ ACCT. (IF APPLICABLE) ABA' ACCT: OTHER DETAILS: OTHER DETAILS: ATTN: A TTN: ADDRESS: CHECKS ADDRESS: (1F APPLICABLl7 Copyright m 2006 North American Energy Standards Board,Inc. NAES13 Standard 6.3.1 All Rights Reserved Page 1 of 13 September 5,2006 Base Contract for Sale and Purchase of Natural Gas (Continued) This Base Contract ircarporates by reference for all purposes the General Terms and Conditions for Sale and Purchase of Natural Gas published by the North American Energy Standards Board. The parties hereby agree to the folk wing provisions offered in said General Terrns and Conditions. In the event the parties fail to check a box,the spedfied default provision shall apply. Select the appropriate boxes) from each section: Section 1.2 J Oral(default) Section 10.2 J No Additional Events of Default(default) Transaction OR Additional Procedure ❑ Written Events of ❑ Indebtedness Cross Default Default Party A: Section 2.7 J 2 Business Days after receipt(default) Confirm Deadline OR ❑ Party B: ❑ Business Days after receipt Transactional Cross Default Specified Transactions: Section 2.8 ❑ Seller(default) Confirming Party OR ❑ Buyer J Occidental Energy Marketing,Inc. Section 3.2 J Cover Standard(default) Section 10.3.1 J Early Termination Damages Apply(default) Performance OR Early Obligation ❑ Spot Price Standard Termination OR Damages ❑ Early Termination Damages Do Not Apply Note:The fiollowing Spot Prfce Publication applies to both of the immediately preceding. Section 10.3.2 J Other Agreement Setoffs Apply(default) Other J Bilateral(default) Section 2.31 J Gas Daily Midpoint(default) Agreement Spot Prier OR Setoffs ❑ Triangular Publication ❑ OR Q Other Agreement Setoffs Do Not Apply Section 6 J Buyer Pays At and After Delivery Point(default) Taxes OR c Seller Pays Before and At Delivery Point on 7.2 J 2r Day of Month following Month of delivery Section 15.5 _T "alifomia Payment Date OR (default) Choice Of law -- ❑ Dav of Month followina Month of delivery Section 7.2 J Wire transfer(default) Section 15.10 J Confidentiality applies(default) Method of Payment ❑ Automated Clearinghouse Credit(ACH) Confidentiality OR ❑ Check ❑ Confidentiality does not apply Section 7.7 J Netting applies(default) Netting OR ❑ Neltino does not a q Special Provisions Number of sheets attached.One. Addendumis): IN WITNESS WHEREOF,the parties hereto have executed this Base Contract in duplicate. OCCIDENTAL ENERGY MARKETING,INC. PARTrNAME CITY OF VERNON SIGNATURE By. Shawn McGovern PRINTED NAME Peter Hervish Executive Vlce President Gas Marketing MLE Director of Gas&Electric(Interim) Copyright®2006 North American Energy Standards Board, Inc NAESB Standard 6.3.1 All Rights Reserved Page 2 of 13 September 5,2006 General Terms and Conditions Base Contract for Sale and Purchase of Natural Gas SECTION 1 . PURPOSE AND PROCEDURES 1.1. These General Terms and Conditions are intended to facilitate purchase and sale transactions of Gas on a Firm or Interruptible basis. "Buyer' refers to the party receiving Gas and "Seller' refers to the party delivering Gas. The entire agreement between th_e.parties shall be the Contract as defined in Seddon 2.9. The parties have selected either the"Oral Transaction Procedure"or the "Written Transaction Procedure"as indicated on the Base Contract Oral Transaction Procedure: 1.2. The parties will use the following Transaction Confirmation procedure. Any Gas purchase and sale transaction may be effectuated in an EDI transmission or telephone conversation with the offer and acceptance constituting the agreement of the parties. The parties shall be legally bound from the time they so agree to transaction terms and may each rely thereon. Any such transaction shall be considered a "writing' and to have been "signed". Notwithstanding the foregoing sentence, the parties agree that Confirming Party shall, and the other party may, confirm a telephonic transaction by sending the other party a Transaction Confirmation by facsimile, EDI or mutually agreeable electronic means within three Business Days of a transaction covered by this Section 1.2 (Oral Transaction Procedure) provided that the failure to send a Transaction Confirmation shall not invalidate the oral agreement of the parties. Confirming Party adopts its confirming letterhead, or the like, as its signature on any Transaction Confirmation as the identification and authentication of Confirming Party. If the Transaction Confirmation contains any provisions other than those relating to the commercial terms of the transaction (i.e., price, quantity, performance obligation, delivery point, period of delivery and/or transportation conditions), which modify or supplement the Base Contract or General Terms and Conditions of this Contract (e.g., arbitration or additional representations and warranties), such provisions shall not be deemed to be accepted pursuant to Section 1.3 but must be expressly agreed to by both parties; provided that the foregoing shall not invalidate any transaction agreed to by the parties. Written Transaction Procedure: 1.2. The parties will use the following Transaction Confirmation procedure. Should the parties come to an agreement regarding a Gas purchase and sale transaction for a particular Delivery Period, the Confirming Party shall, and the other party may, record that agreement on a Transaction Confirmation and communicate such Transaction Confirmation by facsimile, EDI or mutually agreeable electronic means, to the other party by the dose of the Business Day following the date of agreement. The parties acknowledge that their agreement will not be binding until the exchange of nonconflicting Transaction Confirmations or the passage of the Confirm Deadline without objection from the receiving party, as provided in Section 1.3. 1.3. If a sending party's Transaction Confirmation is materially different from the receiving party's understanding of the agreement referred to in Section 12,such receiving party shall notify the sending party via facsimile. EDI or mutually agreeable electronic means by the Confirm Deadline,unless such receiving party has previously sent a Transaction Confirmation to the sending party. The failure of the receiving party to so notify the sending party in writing by the Confirm Deadline constitutes the receiving party's agreement to the terms of the transaction described in the sending party's Transaction Confirmation. If there are any material differences between timely sent Transaction Confirmations governing the same transaction, then neither Transaction Confirmation shall be binding until or unless such differences are resolved including the use of any evidence that dearly resolves the differences in the Transaction Confirmations. In the event of a conflict among the terms of n a binding Transaction Confirmation pursuant to Section 1.2,()the oral agreement of the parties which may be evidenced by a recorded conversation, where the parties have selected the Oral Transaction Procedure of the Base Contract, (iii)the Base Contract, and Qv)these General Terms and Conditions, the terms of the documents shall govern in the priority listed in this sentence. 1.4. The parties agree that each party may electionicalty record all telephone conversations with respect to this Contract between their respective employees, without any special or further notice to the other party. Each party shall obtain any necessary consent of its agents and employees to such recording. Where the parties have selected the Oral Transaction Procedure in Section 1.2 of the Base Contract,the parties agree not to contest the validity or enforceability of telephonic recordings entered into in accordance with the requirements of this Base Conti ct. SECTION 2. DEFINITIONS The terms set forth below shall have the meaning ascribed to them below. Other terms are also defined elsewhere in the Contract and shall have the meanings ascribed to them herein. 2.1. "Additional Event of DefauW shall mean Transactional Cross Default or Indebtedness Cross Default, each as and if selected by the parties pursuant to the Base Contract. 2.2. "Affiliate"shall mean, in relation to any person,any entity controlled,directly or indirectly,by the person,any entity that controls, dimcdy or indirectly,the person or any entity directly or indirectly under common control with the person. For this purpose, "eontroaA of any entity or person means ownership of at least 50 percent of the voting power of the entity or person. Copyright®2006 North American Energy Standards Board, Inc. NAESB Standard 6.3 1 All Rights Reserved Page 3 of 13 September 5,2006 2.3. "Alterative Damages"shall mean such damages,expressed in dollars or dollars per MMBtu, as the parties shall agree upon in the Transaction Confirmation, in the event either Seller or Buyer fails to perform a Firm obligation to deliver Gas in the rase of Seller or to receive Gas in the case of Buyer. 2.4. "Base Contract" shall mean a contract executed by the parties that incorporates these General Terms and Conditions by reference;that specifies the agreed selections of provisions contained herein;and that sets forth other information required herein and any Special Provisions and addendum(s)as identified on page one. 2.5. "British thermal unit'or"Btu"shall mean the International BTU,which is also called the Btu(IT). 2.6. "Business Day(s)"shall mean Monday through Friday,excluding Federal Banking Holidays for transactions in the U.S. 2.7. "Confirm Deadline" shall mean 5:00 p.m. in the receiving party's time zone on the second Business Day following the Day a Transaction Confirmation is received or, if applicable, on the Business Day agreed to by the parties in the Base Contract; provided, if the Transaction Confirmation is time stamped after 5:00 p.m. in the receiving party's time zone, it shall be deemed received at the opening of the next Business Day. 2.8. "Confirming Party"shall mean the party designated in the Base Contract to prepare and forward Transaction Confirmations to the other party. 2.9. "Contract" shall mean the legally-binding relationship established by (i)the Base Contract, (ii) any and all binding Transaction Confirmations and (iii) where the parties have selected the Oral Transaction Procedure in Section 1.2 of the Base Contract, any and all transactions that the parties have entered into through an EDI transmission or by telephone, but that have not been confirmed in a binding Transaction Confirmation, all of which shall form a single integrated agreement between the parties. 2.10. "Contract Price" shall mean the amount expressed in U.S. Dollars per MMHtu to be paid by Buyer to Seller for the purchase of Gas as agreed to by the parties in a transaction. 2.11. "Contract Quantity" shall mean the quantity of Gas to be delivered and taken as agreed to by the parties in a transaction. 2.12. "Cover Standard", as referred to in Section 3.2, shall mean that if there is an unexcused failure to take or deliver any quantity of Gas pursuant to this Contract, then the performing party shall use commercially reasonable efforts to (i) if Buyer is the performing party, obtain Gas, (or an alternate fuel if elected by Buyer and replacement Gas is not available), or(ii) if Seller is the performing party, sell Gas, in either case, at a price reasonable for the delivery or production area, as applicable, consistent with: the amount of notice provided by the nonperforming party; the immediacy of the Buyers Gas consumption needs or Seller's Gas sales requirements,as applicable;the quantities involved;and the anticipated length of failure by the nonperforming party. 2.13. "Credit Support Obligation(s)' shall mean any obligation(s)to provide or establish credit support for, or on behalf of, a party to this Contract such as cash,an irrevocable standby letter of credit, a margin agreement, a prepayment, a security interest in an asset, guaranty,or other good and sufficient security of a continuing nature. 2.14. "Day"shall mean a period of 24 consecutive hours, coextensive with a "day" as defined by the Receiving Transporter in a particular transaction. 2.15. "Delivery Period"shall be the period during which deliveries are to be made as agreed to by the parties in a transaction. 2.16. "Delivery Point(s)"shall mean such point(s)as are agreed to by the parties in a transaction. 2.17. "EDI" shall mean an electronic data interchange pursuant to an agreement entered into by the parties, specifically relating to the communication of Transaction Confirmations under this Contract. 2.18. "EFP" shall mean the purchase, sale or exchange of natural Gas as the "physical" side of an exchange for physical transaction involving gas futures contracts. EFP shall incorporate the meaning and remedies of"Firm", provided that a party's excuse for nonperformance of its obligations to deliver or receive Gas will be governed by the rules of the relevant futures exchange regulated under the Commodity Exchange Act. 2.19. "Firm" shall mean that either party may interrupt its performance without liability only to the extent that such performance is prevented for reasons of Force Majeure; provided, however, that during Force Majeure interruptions, the party invoking Force Majeure may be responsible for any Imbalance Charges as set forth in Section 4.3 related to its interruption after the nomination is made to the Transporter and until the change in deliveries and/or receipts is confirmed by the Transporter. 2.20. "Gas" shall mean any mixture of hydrocarbons and noncombustible gases in a gaseous state consisting primarily of methane. 2.21. "Guarantor'shall mean any entity that has provided a guaranty of the otWigabons of a party hereunder_ 2.22. "Imbalance Charges"shall mean any fees,penalties,costs or charges(in cash or in kind)assessed by a Transporter for failure to satisfy the Transporters balance and/or nomination requirements. 2.23. "Indebtedness Cross Default" shall mean if selected on the Base Contract by the parties with respect to a party, that it or its Guarantor, if any, experiences a default, or similar condition or event however therein defined, under one or more agreements or instruments, individually or collectively, relating to indebtedness (such indebtedness to include any obligation whether present or future, contingent or otherwise, as principal or surety or otherwise)for the payment or repayment of borrowed money in an aggregate amount greater than the threshold specified in the Base Contract with respect to such party or its Guarantor, if any,which results in such indebtedness becoming immediately due and payable. Copyright®2006 North American Energy Standards Board, Inc. NAESB Standard 6 3.1 All Rights Reserved Page 4 of 13 September 5, 2006 2.24. "Interruptible" shall mean that either party may interrupt its performance at any time for any reason, whether or not caused by an event of Force Majeure, with no liability, except such interrupting party may be responsible for any Imbalance Charges as set forth in Section 4.3 related to its interruption after the nomination is made to the Transporter and until the change in deliveries and/or receipts is confirmed by Transporter. 2.25. "MMBtu"shall mean one million British thermal units,which is equivalent to one dekatherm. 2.26. "Month" shall mean the period beginning on the first Day of the calendar month and ending immediately prior to the commencement of the first Day of the next calendar month. 2.27. "Payment Date"shall mean a date,as indicated on the Base Contract, on or before which payment is due Seller for Gas received by Buyer in the previous Month. 2.28. "Receiving Transporter' shall mean the Transporter receiving Gas at a Delivery Point, or absent such receiving Transporter,the Transporter delivering Gas at a Delivery Point. 2.29. "Scheduled Gas" shall mean the quantity of Gas confirmed by Transporter(s) for movement, transportation or management. 2.30. "Specified Transaction(s)" shall mean any other transaction or agreement between the parties for the purchase, sale or exchange of physical Gas,and any other transaction or agreement identified as a Specified Transaction under the Base Contract. 2.31. "Spot Price"as referred to in Section 3.2 shall mean the price listed in the publication indicated on the Base Contract, under the listing applicable to the geographic location closest in proximity to the Delivery Point(s)for the relevant Day, provided, if there is no single price published for such location for such Day, but there is published a range of prices, then the Spot Price shall be the average of such high and low prices_ If no price or range of prices is published for such Day, then the Spot Price shall be the average of the following: (i)the price (determined as stated above) for the first Day for which a price or range of prices is published that next precedes the relevant Day; and (ii)the price (determined as stated above)for the first Day for which a price or range of prices is published that next follows the relevant Day. 2.32. "Transaction Confirmation" shall mean a document, similar to the form of Exhibit A, setting forth the terms of a transaction formed pursuant to Section 1 for a particular Delivery Period. 2.33. "Transactional Cross Default" shall mean if selected on the Base Contract by the parties with respect to a party, that it shall be in default,however therein defined, under any Specified Transaction. 2.34. "Termination Option" shall mean the option of either party to terminate a transaction in the event that the other party fails to perform a Firm obligation 10 deliver Gas in the rase of Seder or to reoeive Gas in the case of Buyer for a designated number of days during a period as specified on the applicable Transaction Confimriation. 2.35. "Transporter(s)" shall mean all Gas gathering or pipeline companies,or local distribution companies,acting in the capacity of a transporter, transporting Gas for Seller or Buyer upstream or downstream, respectively, of the Delivery Point pursuant to a particular transaction. SECTION 3. PERFORMANCE OBLIGATION 3.1. Seller agrees to sell and deliver, and Buyer agrees to receive and purchase,the Contract Quantity for a particular transaction in accordance with the teems of the Contract Sates and purchases will be on a Firm or Interruptible basis,as agreed to by the parties in a transaction. The aarties have selected either the"Cover Standard" or the "Spot Price Standard"as indicated on the Base Contract. Cover Standard: 3.2. The sole and exclusive remedy of the parties in the event of a breach of a Firm obligation to deliver or receive Gas shall be recovery of the following: (i) in the event of a breach by Seller on any Day(s), payment by Seller to Buyer in an amount equal to the positive difference, if any, between the purchase price paid by Buyer utilizing the Cover Standard and the Contract Price, adjusted for commercially reasonable differences in transportation costs to or from the Delivery Point(s), multiplied by the difference between the Contract Quantity and the quantity actually delivered by Seller for such Day(s) excluding any quantity for which no replacement is available; or (ii) in the event of a breach by Buyer on any Day(s), payment by Buyer to Seller in the amount equal to the positive difference, if any, between the Contract Price and the price received by Seller utilizing the Cover Standard for the resale of such Gas, adjusted for commercially reasonable differences in transportation costs to or from the Delivery Point(s), multiplied by the difference between the Contract Quantity and the quantity actually taken by Buyer for such Day(s) excluding any quantity for which no sale is available; and (iii) in the event that Buyer has used commercially reasonable efforts to replace the Gas or Seller has used commercially reasonable efforts to sell the Gas to a third party, and no such replacement or sale is available for all or any portion of the Contract Quantity of Gas, then in addition to (i) or (H) above, as applicable, the sole and exGusive remedy of the performing party with respect to the Gas not replaced or sold shall be an amount equal to any unfavorable difference between the Contract Price and the Spot Price, adjusted for such transportation to the applicable Delivery Point, multiplied by the quantity of such Gas not replaced or sold. Imbalance Charges shall not be recovered under this Section 3.2, but Seller and/or Buyer shall be responsible for Imbalance Charges, if any, as provided in Section 4.3. The amount of such unfavorable difference shall be payable five Business Days after presentation of the performing parry's invoice, which shall set forth the basis upon which such amount was calculated. Copyright®2006 North American Energy Standards Board,Inc. NAESB Standard 6.3 1 All Rights Reserved Page 5 of 13 September 5,2006 Spot Price Standard: 3.2. The sole and exclusive remedy of the parties in the event of a breach of a Firm obligation to deliver or receive Gas shall be recovery of the following: (i)in the event of a breach by Seller on any Day(s), payment by Seller to Buyer in an amount equal to the difference between the Contract Quantity and the actual quantity delivered by Seller and received by Buyer for such Day(s), multiplied by the positive difference, if any, obtained by subtracting the Contract Price from the Spot Price; or (ii) in the event of a breach by Buyer on any Day(s), payment by Buyer to Seller in an amount equal to the difference between the Contract Quantity and the actual quantity delivered by Seller and received by Buyer for such Day(s), multiplied by the positive difference, if any, obtained by subtracting the applicable Spot Price from the Contract Price. Imbalance Charges shall not be recovered under this Section 3.2, but Seller and/or Buyer shall be responsible for Imbalance Charges, if any, as provided in Section 4.3. The amount of such unfavorable difference shall be payable five Business Days after presentation of the performing party's invoice, which shall set forth the basis upon which such amount was calculated. 3.3. Notwithstanding Section 3.2, the parties may agree to Alternative Damages in a Transaction Confirmation executed in writing by both parties. 3.4. In addition to Sections 3.2 and 3.3, the parties may provide for a Termination Option in a Transaction Confirmation executed in writing by both parties. The Transaction Confirmation containing the Termination Option will designate the length of nonperformance triggering the Termination Option and the procedures for exercise thereof, how damages for nonperformance will be compensated, and how liquidation costs will be calculated. SECTION 4. TRANSPORTATION, NOMINATIONS, AND IMBALANCES 4.1. Seller shall have the sole responsrbifity for transporting the Gas to the Delivery Point(s). Buyer shall have the sole responsibility for transporting the Gas from the Delivery Point(s). 4.2. The parties shall coordinate their nomination activities,giving sufficient time to meet the deadlines of the affected Transporter(s). Each party shall give the other party timely prior Notice, sufficient to meet the requirements of all Transporters)involved in the transaction,of the quantities of Gas to be delivered and purchased each Day. Should either party become aware that actual deliveries at the Delivery Point(s)are greater or lesser than the Scheduled Gas,such party shad promptly notify the other party. 4.3. The parties shall use commereialty reasonable efforts to avoid imposition of any Imbalance Charges. If Buyer or Seller receives an invoice from a Transporter that includes Imbalance Charges, the parties shall determine the validity as well as the cause of such Imbalance Charges. If the Imbalance Charges were incurred as a result of Buyer's receipt of quantities of Gas greater than or less than the Scheduled Gas, then Buyer shall pay for such Imbalance Charges or reimburse Seller for such Imbalance Charges paid by Seder. If the Imbalance Charges were incurred as a result of Seller's delivery of quantities of Gas greater than or less than the Scheduled Gas,then Seder shad pay for such Imbalance Charges or reimburse Buyer for such Imbalance Charges paid by Buyer. SECTION 5. QUALITY AND MEASUREMENT All Gas delivered by Seller shall meet the pressure,quality and heat content requirements of the Receiving Transporter. The unit of quantity measurement for purposes of this Contract shad be one MMBtu dry. Measurement of Gas quantities hereunder shall be in accordance with the established procedures of the Receiving Transporter. SECTION 6. TAXES _ The parties have selected either "Buyer Pays At and After Delivery Point" or "Seller Pays Before and At Delivery Point" as indicated on the Base Contract _ B er Pays At and After Delivery Point: Seller shall pay or cause to be paid all taxes,fees, levies, penalties, licenses or charges imposed by any government authority("Taxes") on or with respect to the Gas prior to the Delivery Point(s). Buyer shall pay or cause to be paid all Taxes on or with respect to the Gas at the Delivery Point(s) and all Taxes after the Delivery Point(s). If a party is required to remit or pay Taxes that are the other party's responsibility hereunder,the party responsible for such Taxes shall promptly reimburse the other party for such Taxes. Any party entitled to an exemotion from anv such Taxes or charges shall furnish the other oarty env necessary documentation thereof. Seller Pays Before and At Delivery Point: Seller shall pay or cause to be paid all taxes,fees, levies, penalties, licenses or charges imposed by any government authority("Taxes") on or with respect to the Gas prior to the Delivery Point(s)and all Taxes at the Delivery Point(s). Buyer shall pay or cause to be paid all Taxes on or with respect to the Gas after the Delivery Point(s). If a party is required to remit or pay Taxes that are the other party's responsibility hereunder,the party responsible for such Taxes shall promptly reimburse the other party for such Taxes. Any party entitled to an exemotion from anv such Taxes or charges shall furnish the other party any necessary documentation thereof. SECTION 7. BILLING, PAYMENT, AND AUDIT 7.1. Seller shall invoice Buyer for Gas delivered and received in the preceding Month and for any other applicable charges, providing supporting documentation acceptable in industry practice to support the amount charged. If the actual quantity delivered is not Ivhown by the billing date,Chilling will be prepared based on the quantity of Scheduled Gas. The invoiced quantity will then be adjusted to the actual quantity on the following Mortth's biding or as soon thereafter as actual delivery information is available_ Copyright®2006 North American Energy Standards Board, Inc. NAESB Standard 6.3 1 All Rights Reserved Page 6 of 13 September 5, 2006 7.2. Buyer shall remit the amount due under Section 7.1 in the manner specified in the Base Contract,in immediately available funds, on or before the later of the Payment Date or 10 Days after receipt of the invoice by Buyer, provided that d the Payment Date is not a Business Day,payment is due on the next Business Day following that date. In the event any payments are due Buyer hereunder, payment to Buyer shall be made in accordance with this Section 7.2. 7.3. In the event payments become due pursuant to Sections 3.2 or 3.3, the performing party may submit an invoice to the nonperforming party for an accelerated payment setting forth the basis upon which the invoiced amount was calculated. Payment from the nonperforming party will be due five Business Days after receipt of invoice. 7.4. If the invoiced party,in good faith,disputes the amount of any such invoice or any part thereof,such invoiced party will pay such amount as it concedes to be correct provided, however, if the invoiced party disputes the amount due, it must provide supporting documentation acceptable in industry practice to support the amount paid or disputed without undue delay. In the event the parties are unable to resolve such dispute,either party may pursue any remedy available at law or in equity to enforce its rights pursuant to this Section. 7.5. If the invoiced party fails to remit the full amount payable when due,interest on the unpaid portion shall accrue from the date due until the date of payment at a rate equal to the lower of n the then-e�prime rate of interest published under"Money Rates"by The Wall Street Journal,plus two percent per annum;or()the maximum applicable lawful interest rate. 7.6. A party shall have the right,at its own expense, upon reasonable Notice and at reasonable times,to examine and audit and to obtain copies of the relevant portion of the books, records, and telephone recordings of the other party only to the extent reasonably necessary to verify the accuracy of any statement,charge, payment,or computation made under the Contract. This right to examine,audit and to obtain copies shall not be available with respect to proprietary information rot directly relevant to transactions under this Contract. All invoices and billings shall be conclusively presumed final and accurate and aH associated claims for under-or overpayments shall be deemed waived unless such invoices or bAfings are objected to in writing,with adequate explanation and/or documentation,within two years after the Month of Gas delivery. All retroactive adjustments under Section 7 shall be paid in full by the party owing payment within 30 Days of Notice and substantiation of such inaccuracy. 7.7. Unless the parties have elected on the Base Contract not to make this Section 7.7 applicable to this Contract, the parties shall net all undisputed amounts due and owing, and/or past due, arising under the Contract such that the party owing the greater amount shall make a single payment of the net amount to the other party in accordance with Section 7; provided that no payment required to be made pursuant to the terms of any Credit Support Obligation or pursuant to Section 7.3 shall be subject to netting under this Section. If the parties have executed a separate netting agreement, the terms and conditions therein shall prevail to the extent inconsistent herewith. SECTION 8. TITLE, WARRANTY, AND INDEMNITY 8.1. Unless otherwise specifically agreed,title to the Gas shall pass from Seller to Buyer at the Delivery Point(s). Seller shall have responsibility for and assume any liability with respect to the Gas prior to its delivery to Buyer at the specified Delivery Point(s). Buyer shall have responsibility for and assume any liability with respect to said Gas after its delivery to Buyer at the Delivery Point(s). 8.2. Seller warrants that it will have the right to convey and will transfer good and merchantable title to all Gas sold hereunder and delivered by it to Buyer, free and clear of all liens, encumbrances, and claims. EXCEPT AS PROVIDED IN THIS SECTION 82 AND IN SECTION 15.8, ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR OF FITNESS FOR ANY PARTICULAR PURPOSE,ARE DISCLAIMED. 8.3. Seller agrees to indemnify Buyer and save it harmless from all losses, liabilities or claims including reasonable attorneys' fees and costs of court ("Claims"), from any and all persons, arising from or out of claims of title, personal injury (including death) or property damage from said Gas or other charges thereon which attach before title passes to Buyer. Buyer agrees to indemnify Seller and save it harmless from all Claims,from any and all persons,arising from or out of claims regarding payrnent, personal injury(including death)or property damage from said Gas or other charges thereon which attach after title passes to Buyer. 8.4. The parties agree that the delivery of and the transfer of title to all Gas under this Contract shall take place within the Customs Territory of the United States (as defined in general note 2 of the Harmonized Tariff Schedule of the United States 19 U.S.C. §1202, General Notes, page 3); provided, however, that in the event Seller took title to the Gas outside the Customs Territory of the United States, Seller represents and warrants that it is the importer of record for all Gas entered and delivered into the United States, and shall be responsible for entry and entry summary filings as well as the payment of duties, taxes and fees, if any, and all applicable record keeping requirements. 8.5. Notwffistandrng the other provisions of this Section 8,as between Seller and Buyer,Seller will be liable for all Claims to the extent that such arise from the failure of Gas delivered by Seller to meet the quality requirements of Section 5. SECTION 9. NOTICES 9.1. Ail Transaction Confirmations, invoices, payment instructions, and other communications made pursuant to the Base Contract("Notices")shall be made to the addresses specified in writing by the respective parties from time to time. 9.2. All Notices required hereunder shall be in writing and may be sent by facsimile or mutually acceptable electronic means, a nationally recognized overnight courier service,first class mail or hand delivered. 9.3. Notice shall be given when received on a Business Day by the addressee. In the absence of proof of the actual receipt date, the following presumptions will apply. Notices sent by facsimile shall be deemed to have been received upon the sending party's receipt of its facsimile machine's confirmation of successful transmission. If the day on which such facsimile is received is Copyright C 2006 North American Energy Standards Board, Inc NAESB Standard 6.3.1 All Rights Reserved Page 7 of 13 September 5,2006 not a Business Day or is after five p.m. on a Business Day, then such facsimile shall be deemed to have been received on the next following Business Day. Notice by overnight mail or courier shall be deemed to have been received on the next Business Day after it was sent or such earlier time as is confirmed by the receiving party. Notice via first class mail shall be considered delivered five Business Days after mailing. 9.4. The party receiving a commercially acceptable Notice of change in payment instructions or other payment information shall not be obligated to implement such change until ten Business Days after receipt of such Notice. SECTION 10. FINANCIAL RESPONSIBILITY 10.1. If either party('X' has reasonable grounds for insecurity regarding the performance of any obligation under this Contract (whether or not then due) by the other party ("Y') (including, without limitation, the occurrence of a material change in the creditworthiness of Y or its Guarantor, if applicable), X may demand Adequate Assurance of Performance. "Adequate Assurance of Performance' shall mean sufficient security in the form, amount, for a tern, and from an issuer, all as reasonably acceptable to X, including, but not limited to cash, a standby irrevocable letter of credit, a prepayment, a security interest in an asset or guaranty. Y hereby grants to X a continuing first priority security interest in, lien on, and right of setoff against all Adequate Assurance of Performance in the form of cash transferred by Y to X pursuant to this Section 10.1. Upon the return by X to Y of such Adequate Assurance of Performance, the security interest and lien granted hereunder on that Adequate Assurance of Performance shall be released automatically and,to the extent possible,without any further action by either party. 10.2. In the event (each an "Event of Default") either party (the "Defaulting Party") or its Guarantor shall: (i) make an assignment or any general arrangement for the benefit of creditors: (ii) file a petition or otherwise commence, authorize, or acquiesce in the commencement of a proceeding or case under any bankruptcy or similar law for the protection of creditors or have such petition filed or proceeding commenced against it; (iii) otherwise become bankrupt or insolvent (however evidenced): (iv) be unable to pay its debts as they fall due; (v) have a receiver, provisional liquidator, conservator, custodian, trustee or other similar official appointed with respect to it or substantially all of its assets; (vi)fail to perform any obligation to the other party with respect to any Credit Support Obligations relating to the Contract; (vii)fail to give Adequate Assurance of Performance under Section 10.1 within 48 hours but at least one Business Day of a written request by the other party; (viii) not have paid any amount due the other party hereunder on or before the second Business Day following written Notice that such payment is due; or ix) be the affected party with respect to any Additional Event of Default; then the other party (the "Non-Defaulting Party") shall have the right, at its sole election, to immediately withhold and/or suspend deliveries or payments upon Notice and/or to terminate and liquidate the transactions under the Contract, in the manner provided in Section 10.3, in addition to any and all other remedies available hereunder. 10.3. If an Event of Default has occurred and is continuing, the Non-Defaulting Party shall have the right, by Notice to the Defaulting Party, to designate a Day, no earlier than the Day such Notice is given and no later than 20 Days after such Notice is given, as an early termination date (the'Early Termination Date') for the liquidation and termination pursuant to Section 10.3.1 of all transactions under the Contract, each a "Terminated Transaction". On the Early Termination Date, all transactions will terminate, other than those transactions, if any, that may not be liquidated and terminated under applicable law ("Excluded Transactions/, which Excluded Transactions must be liquidated and terminated as soon thereafter as is legally permissible, and upon termination shall be a Terminated Transaction and be valued consistent with Section 10.3.1 below. With respect to each Excluded Transaction, its actual termination date shall be the Early Termination Date for purposes of Section 10.3 1. The parties have selected either "Early Termination Damages Apply" or "Early Termination Damages Do Not Apply" as indicated on the Base Contract_ Earl Termination Damages Apply- 10.3.1. As of the Early Termination Date, the Non-Defaulting Party shall determine, in good faith and in a commercially reasonable manner, (i) the amount owed (whether or not then due) by each party with respect to all Gas delivered and received between the parties under Terminated Transactions and Excluded Transactions on and before the Early Termination Date and all other applicable charges relating to such deliveries and receipts(including without limitation any amounts owed under Section 3.2), for which payment has not yet been made by the party that owes such payment under this Contract and (ii) the Market Value, as defined below, of each Terminated Transaction. The Non-Defaulting Party shall (x) liquidate and accelerate each Terminated Transaction at its Market Value, so that each amount equal to the difference between such Market Value and the Contract Value, as defined below, of such Terminated Transaction(s) shall be due to the Buyer under the Terminated Transaction(s) if such Market Value exceeds the Contract Value and to the Seller if the opposite is the case; and (y) where appropriate, discount each amount then due under clause (x) above to present value in a commercially reasonable manner as of the Early Termination Date (to take account of the period between the date of liquidation and the date on which such amount would have otherwise been due pursuant to the relevant Terminated Transactions). For purposes of this Section 10.3.1, "Contract Value' means the amount of Gas remaining to be delivered or purchased under a transaction multiplied by the Contract Price, and"Market Value"means the amount of Gas remaining to be delivered or purchased under a transaction multiplied by the market price for a similar transaction at the Delivery Point determined by the Non-Defaulting Party in a commercially reasonable manner_ To ascertain the Market Value, the Non-Defaulting Party may consider, among other valuations, any or all of the settlement prices of NYMEX Gas futures contracts, quotations from leading dealers in energy swap contracts or physical gas trading markets, similar sales or purchases and any other bona fide third-party offers, all adjusted for the length of the term and differences in transportation costs. A party shall not be required to enter into a replacement transaction(s) in order to determine the Market Value. Any extension(s) of the term of a transaction to which parties are not bound as of the Early Termination Date inciudi ng bw not limited to 'evergreen provisions' shall not be considered in deteEMining Coq,ac.l Values ad Copyright®2006 North American Energy Standards Board,Inc. NAESB Standard 6.3.1 All Rights Reserved Page 8 of 13 September 5, 2006 Market Values. For the avoidance of doubt, any option pursuant to which one party has the right to extend the term of a I transaction shall be considered in determining Contract Values and Market Values. The rate of interest used in calculating net present value shall be determined by the Non-Defaulting Partv in a commercially reasonable manner. Early Termination Damages Do Not Apply: 10.3.1. As of the Early Termination Hate, the Non-Defaulting Party shall determine, in good faith and in a commercially i reasonable manner, the amount owed (whether or not then due) by each party with respect to all Gas delivered and received between the parties under Terminated Transactions and Excluded Transactions on and before the Early Termination Date and all other applicable charges relating to such deliveries and receipts(including without limitation any amounts owed under Section 3.2), for which oavment has not yet been made by the oarty that owes such payment under this Contract. The parties have selected either "Other Agreement Setoffs Apply" or "Other Agreement Setoffs Do Not Apply" as indicated on the Base Contract. Other Agreement Setoffs Apply: Bilateral Setoff Option: 10.3.2. The Non-Defaulting Party shall net or aggregate, as appropriate, any and all amounts owing between the parties under Section 10.3.1, so that all such amounts are netted or aggregated to a single liquidated amount payable by one party to the other(the"Net Settlement Amount"). At its sole option and without prior Notice to the Defaulting Party, the Non-Defaulting Party is hereby authorized to setoff any Net Settlement Amount against(i) any margin or other collateral held by a party in connection with any Credit Support Obligation relating to the Contract; and (ii) any amount(s) (including any excess cash margin or excess cash collateral) owed or held by the party that is entitled to the Net Settlement Amount under any other agreement or arrangement between the parties. Triangular Setoff Option: 10.3.2. The Non-Defaulting Party shall net or aggregate, as appropriate, any and all amounts owing between the parties under Section 10.3.1, so that all such amounts are netted or aggregated to a single liquidated amount payable by one party to the other(the"Net Settlement Amount'). At its sole option,and without prior Notice to the Defaulting Party,the Non-Defaulting Party is hereby authorized to setoff(i) any Net Settlement Amount against any margin or other collateral held by a party in connection with any Credit Support Obligation relating to the Contract; (ii)any Net Settlement Amount against any amount(s) (including any excess cash margin or excess cash collateral) owed by or to a party under any other agreement or arrangement between the parties; (iii) any Net Settlement Amount owed to the Non-Defaulting Party against any amount(s) (including any excess cash margin or excess cash collateral) owed by the Non-Defaulting Party or its Affiliates to the Defaulting Party under any other agreement or arrangement; (iv) any Net Settlement Amount owed to the Defaulting Party against any amourrt(s) (including any excess cash margin or excess cash collateral) owed by the Defaulting Party to the Non-Defaulting Party or its Affiliates under any other agreement or arrangement; and/or (v) any Net Settlement Amount owed to the Defaulting Party against any amount(s) (including any excess cash margin or excess cash collateral) owed by the Defaulting Party or its Affiliates to the Non-Defaulting Party under anv other agreement or arrangement. Other Agreement Setoffs Do Not Apply: _ 10.3.2. The Non-Defaulting Party shall net or aggregate, as appropriate, any and all amounts owing between the parties under Section 10.3.1, so that all such amounts are netted or aggregated to a single liquidated amount payable by one party to the other (the"Net Settlement Amount"). At its sole option and without prior Notice to the Defaulting Party, the Non-Defaulting Party may setoff any Net Settlement Amount against any margin or other collateral held by a party in connection with any Credit Support Obligation relating to the Contract. 10.3.3. If any obligation that is to be included in any netting, aggregation or setoff pursuant to Section 10.3.2 is unascertained, the Non-Defaulting Party may in good faith estimate that obligation and net, aggregate or setoff, as applicable, in respect of the estimate, subject to the Non-Defaulting Party accounting to the Defaulting Party when the obligation is ascertained. Any amount not then due which is included in any netting, aggregation or setoff pursuant to Section 10.3.2 shall be discounted to net present value in a commercially reasonable manner determined by the Non-Defaulting Party. 10.4. As soon as practicable after a liquidation, Notice shall be given by the Non-Defaulting Party to the Defaulting Party of the Net Settlement Amount, and whether the Net Settlement Amount is due to or due from the Non-Defaulting Party. The Notice shall include a written statement explaining in reasonable detail the calculation of the Net Settlement Amount, provided that failure to give such Notice shall not affect the validity or enforceability of the liquidation or give rise to any claim by the Defaulting Party against the Non-Defaulting Party. The Net Settlement Amount as well as any setoffs applied against such amount pursuant to Section 10.3.2, shall be paid by the dose of business on the second Business Day following such Notice, which date shall not be earlier than the Early Termination Date. Interest on any unpaid portion of the Net Settlement Amount as adjusted by setoffs,shall accrue from the date due until the date of payment at a rate equal to the lower of n the then-effective prime rate of interest published under"Money Rates"by The Wall Street Journal,plus two percent per annum;or()the maximum applicable lawful interest rate. 10.5. The parties agree that the transactions hereunder constitute a "forward contract" within the meaning of the United States Bankruptcy Code and that Buyer and Seller are each"forward contract merchants"within the meaning of the United States Bankruptcy Code. 10.6. The Nan-Defaulting Parry's remedies under this Section 10 are the sole and exclusive remedies of the Non-Defaulting Party with respect to the occurrence of any Early Termination Date. Each party reserves to itself all other rights, setoffs, counterclaims and other defenses that it is or may be entitled to arising from the Contract. Copyright®2006 North American Energy Standards Board, Inc. NAESB Standard 6.3.1 All Rights Reserved Page 9 of 13 September 5,2006 10.7. With respect to this Section 10, if the parties have executed a separate netting agreement with close-out netting provisions,the terms and conditions therein shall prevail to the extent inconsistent herewith. SECTION 11. FORCE MAJEURE 11.1. Except with regard to a party's obligation to make payment(s) due under Section 7, Section 10.4, and Imbalance Charges under Section 4, neither party shall be liable to the other for failure to perform a Finn obligation,to the extent such failure was caused by Force Majeure. The term"Force Majeure"as employed herein means any cause not reasonably within the control of the party claiming suspension,as further defined in Section 11.2. 11.2. Force Majeure shall include, but not be limited to, the following: (i)physical events such as ads of God, landslides, lightning, earthquakes,fires, storms or storm warnings, such as hurricanes,which result in evacuation of the affected area, floods, washouts, explosions, breakage or accident or necessity of repairs to machinery or equipment or lines of pipe; (ii)weather related events affecting an entire geographic region, such as low temperatures which cause freezing or failure of wells or lines of pipe; (iii)interruption and/or curtailment of Firm transportation and/or storage by Transporters; (iv)acts of others such as strikes, lockouts or other industrial disturbances, riots, sabotage, insurrections or wars, or acts of terror; and (v)governmental actions such as necessity for compliance with any court order, law, statute, ordinance, regulation, or policy having the effect of law promulgated by a governmental authority having jurisdiction. Seller and Buyer shall make reasonable efforts to avoid the adverse impacts of a Force Majeure and to resolve the event or occurrence once it has occurred in order to resume performance_ 11.3. Neither party shall be entitled to the benefit of the provisions of Force Majeure to the extent performance is affected by any or all of the following circumstances: (i)the curtailment of interruptible or secondary Firm transportation unless primary, in-path, Firm transportation is also curtailed; (ii)the party claiming excuse failed to remedy the condition and to resume the performance of such covenants or obligations with reasonable dispatch; or(iii)economic hardship,to include,without limitation,Seder's ability to sell Gas at a higher or more advantageous price than the Contract Price, Buyer's ability to purchase Gas at a lower or more advantageous price than the Contract Price, or a regulatory agency disallowing, in whole or in part, the pass through of costs resulting from this Contract; (iv) the loss of Buyer's market(s) or Buyer's inability to use or resell Gas purchased hereunder, except, in either case, as provided in Section 11.2; or(v) the foss or failure of Seller's gas supply or depletion of reserves, except, in either case, as provided in Section 11.2. The party claiming Fong Majeure shall not be excused from its responsibility for Imbalance Charges. 11.4. Notwithstanding anything to the contrary herein, the parties agree that the settlement of strikes, lockouts or other industrial disturbances shall be within the sole discretion of the party experiencing such disturbance. 11.5. The party whose performance is prevented by Force Majeure must provide Notice to the other party. Initial Notice may be given orally; however, written Notice with reasonably full particulars of the event or occurrence is required as soon as reasonably possible. Upon providing written Notice of Force Majeure to the other party,the affected party will be relieved of its obligation,from the onset of the Force Majeure event,to make or accept delivery of Gas,as applicable,to the extent and for the duration of Force Majeure, and neither party shall be deemed to have failed in such obligations to the other during such occurrence or event. 11.6. Notwithstanding Sections 11.2 and 11.3,the parties may agree to alternative Force Majeure provisions in a Transaction Confirmation executed in writing by both parties. SECTION 12. TERM This Contract may be terminated on 30 Days written Notice, but shall remain in effect unfit the expiration of the latest Delivery Period of any transaction(s). The rights of either party pursuant to Section 7.6, Section 10,Section 13,the obligations to make payment hereunder, and the obligation of either party to indemnify the other, pursuant hereto shall survive the termination of the Base Contract or any transaction. SECTION 13. LIMITATIONS FOR BREACH OF ANY PROVISION FOR WHICH AN EXPRESS REMEDY OR MEASURE OF DAMAGES IS PROVIDED, SUCH EXPRESS REMEDY OR MEASURE OF DAMAGES SHALL_ BE THE SOLE AND EXCLUSIVE REMEDY. A PARTY'S LABILITY HEREUNDER SHALL BE LIMITED AS SET FORTH IN SUCH PROVISION,AND ALL OTHER REMEDIES OR DAMAGES AT LAW OR IN EQUITY ARE WAIVED. IF NO REMEDY OR MEASURE OF DAMAGES IS EXPRESSLY PROVIDED HEREIN OR IN A TRANSACTION, A PARTY'S LIABILITY SHALL BE LIMITED TO DIRECT ACTUAL DAMAGES ONLY. SUCH DIRECT ACTUAL DAMAGES SHALL BE THE SOLE AND EXCLUSIVE REMEDY,AND ALL OTHER REMEDIES OR DAMAGES AT LAW OR IN EQUITY ARE WAIVED. UNLESS EXPRESSLY HEREIN PROVIDED, NEITHER PARTY SHALL BE LIABLE FOR CONSEQUENTIAL, INCIDENTAL, PUNITIVE, EXEMPLARY OR INDIRECT DAMAGES, LOST PROFITS OR OTHER BUSINESS INTERRUPTION DAMAGES,BY STATUTE, IN TORT OR CONTRACT, UNDER ANY INDEMNITY PROVISION OR OTHERWISE. IT IS THE INTENT OF THE PARTIES THAT THE LIMITATIONS HEREIN IMPOSED ON REMEDIES AND THE MEASURE OF DAMAGES BE WITHOUT REGARD TO THE CAUSE OR CAUSES RELATED THERETO, INCLUDING THE NEGLIGENCE OF ANY PARTY, WHETHER SUCH NEGLIGENCE BE SOLE,JOINT OR CONCURRENT,OR ACTIVE OR PASSIVE. TO THE EXTENT ANY DAMAGES REQUIRED TO BE PAID HEREUNDER ARE LIQUIDATED,THE PARTIES ACKNOWLEDGE THAT THE DAMAGES ARE DIFFICULT OR IMPOSSIBLE TO DETERMINE, OR OTHERWISE OBTAINING AN ADEQUATE REMEDY IS INCONVENIENT AND THE DAMAGES CALCULATED HEREUNDER CONSTITUTE A REASONABLE APPROXIMATION OF THE HARM OR LOSS. Copyright C 2006 North American Energy Standards Board,Inc. NAESB Standard 6 3.1 All Rights Reserved Page 10 of 13 September 5,2006 SECTION 14. MARKET DISRUPTION If a Market Disruption Event has occurred then the parties shall negotiate in good faith to agree on a replacement price for the Floating Price (or on a method for determining a replacement price for the Floating Price) for the affected Day, and if the parties have not so agreed on or before the second Business Day following the affected Day then the replacement price for the Floating Price shall be determined within the next two following Business Days with each party obtaining, in good faith and from non- affiliated market participants in the relevant market, two quotes for prices of Gas for the affected Day of a similar quality and quantity in the geographical location closest in proximity to the Delivery Point and averaging the four quotes. If either party fails to provide two quotes then the average of the other party's two quotes shall determine the replacement price for the Floating Price. "Floating Price" means the price or a factor of the price agreed to in the transaction as being based upon a specified index. "Market Disruption Event" means, with respect to an index specified for a transaction, any of the following events: (a)the failure of the index to announce or publish information necessary for determining the Floating Price; (b)the failure of trading to commence or the permanent discontinuation or material suspension of trading on the exchange or market acting as the index; (c) the temporary or permanent discontinuance or unavailability of the index; (d)the temporary or permanent closing of any exchange acting as the index; or (e) both parties agree that a material change in the formula for or the method of determining the Floating Price has occurred. For the purposes of the calculation of a replacement price for the Floating Price, all numbers shall be rounded to three decimal places. If the fourth decimal number is five or greater, then the third decimal number shall be increased by one and if the fourth decimal number is less than five,then the third decimal number shall remain unchanged. SECTION 15. MISCELLANEOUS 15.1. This Contract shall be binding upon and inure to the benefit of the successors,assigns, personal representatives, and heirs of the respective parties hereto, and the covenants, conditions, rights and obligations of this Contract shall run for the full term of this Contract. No assignment of this Contract, in whole or in part, will be made without the prior written consent of the non-assigning party (and shall not relieve the assigning party from liability hereunder), which consent will not be unreasonably withheld or delayed; provided, either party may()transfer, sell, pledge, encumber, or assign this Contract or the accounts, revenues,or proceeds hereof in connection with any financing or other financial arrangements, or(ii)transfer its interest to any parent or Affiliate by assignment, merger or otherwise wMW the prior approval of the other party. Upon any such assignment,transfer and assumption,the transferor shall remain principally liable for and shall not be relieved of or discharged from any obligations hereunder. 15.2. If any provision in this Contract is determined to be invalid, void or unenforceable by any court having judsdicf on, such determination shall not invalidate,void,or make unenforceable any other provision,agreement or covenant of this Contract. 15.3. No waiver of any breach of this Contract shall be held to be a waiver of any other or subsequent breach. 15.4. This Contrad sets forth all understandings between the parties respecting each transaction subject hereto, and any prior contracts,understandings and representations,whether oral or written, relating to such transactions are merged into and superseded by this Contract and any effective transadion(s). This Contract may be amended only by a writing executed by both parties. 15.5. The interpretation and performance of this Contract shall be governed by the laws of the jurisdiction as indicated on the Base Contract excluding,however,any conflict of laws rule which would apply the law of another jurisdiction. 15.6. This Contract and all provisions herein will be subject to all applicable and valid statutes, rules,orders and regulations of any governmental authority having jurisdiction over the parties, their facilities, or Gas supply, this Contrad or transaction or any provisions thereof. 15.7. There is no third party beneficiary to this Contract. 15.8. Each party to this Contract represents and warrants that it has full and oomplete authority to enter into and perform this Contract. Each person who executes this Contract on behalf of either party represents and warrants that it has full and complete authonty to do so and that such party will be bound thereby. 15.9. The headings and subheadings contained in this Contract are used solely for convenience and do not constitute a part of this Contract between the parties and shall not be used to construe or interpret the provisions of this Contract. 15.10. Unless the parties have elected on the Base Contract not to make this Section 15.10 applicable to this Contract, neither party shall disclose directly or indirectly without the prior written consent of the other party the terms of any transaction to a third party(other than the employees, lenders, royalty owners, counsel, accountants and other agents of the party, or prospective purchasers of all or substantially all of a partys assets or of any rights under this Contract, provided such persons shall have agreed to keep such terms confidential)except 0 in order to comply with any applicable law, order, regulation, or exchange rule, {)to the extent necessary for the enforcement of this Contrad , (ii) to the extent necessary to implement any transaction, (rv) to the extent necessary to comply with a regulatory agencys reporting requirements including but not limited to gas cost recovery proceedings;or(v)to the extent such information is delivered to such third party for the sole purpose of calculating a published index Each party shall notify the other party of any proceeding of which it is aware which may result in disclosure of the terms of any transaction(other than as permitted hereunder)and use reasonable efforts to prevent or limit the disclosure. The existence of this Contract is not subject to this confidentiality obligation. Subjed to Section 13, the parties shall be entitled to all remedies available at law or in equity to enforce, or seek relief in connection with this confidentiality obligation. The terms of any transaction hereunder shall be kept confidential by the parties hereto for one year from the expiration of the transaction. In the event that disclosure is required by a governmental body or applicable law, the party subject to such requirement may disclose the material terms of this Contract to the extent so required, but shall promptly notify the other party, prior to disclosure, Copyright®2006 North American Energy Standards Board,Inc. NAESB Standard 6.3.1 All Rights Reserved Page 11 of 13 September 5,2006 and shall cooperate(consistent with the disclosing party's legal obligations)with the other party's efforts to obtain protective orders or similar restraints with respect to such disclosure at the expense of the other party. 15.11. The parties may agree to dispute resolution procedures in Special Provisions attached to the Base Contract or in a Transaction Confirmation executed in writing by both parties 15.12. Any original executed Base Contract, Transaction Confimation or other related document may be digitally copied, photocopied, or stored on computer tapes and disks (the"Imaged Agreement'). The Imaged Agreement, if introduced as evidence on paper, the Transaction Confirmation, if introduced as evidence in automated facsimile form, the recording, if introduced as evidence in its original form, and all computer records of the foregoing, if introduced as evidence in printed format, in any judicial, arbitration, mediation or administrative proceedings will be admissible as between the parties to the same extent and under the same conditions as other business records originated and maintained in documentary form. Neither Party shall object to the admissibility of the recording,the Transaction Confirmation,or the Imaged Agreement on the basis that such were not originated or maintained in documentary form. However, nothing herein shall be construed as a waiver of any other objection to the admissibility of such evidence. DISCLAIMER The purposes of this Conhad are to faciRate trade,avoid msumlerstandings and make more definite the terms of oontracls of purchase and sale of natural gas. Further,NAESB does not mandate the use of this Contract by any party NAESB DISCLAIMS AND EXCLUDES,AND ANY USER OF THIS CONTRACT ACKNOWLEDGES AND AGREES TO NAESB'S DISCLAIMER OF,ANY AND ALL WARRANTIES,CONDITIONS OR REPRESENTATIONS,EXPRESS OR IMPLIED,ORAL OR WRITTEN,WITH RESPECT TO THIS CONTRACT OR ANY PART THEREOF,INCLUDING ANY AND ALL IMPLIED WARRANTIES OR CONDITIONS OF TITLE,NON-INFRINGEMENT,MERCHANTABILITY,OR FITNESS OR SUITABILITY FOR ANY PARTICULAR PURPOSE(WHETHER OR NOT NAESB KNOWS,HAS REASON TO KNOW,HAS BEEN ADVISED,OR IS OTHERWISE IN FACT AWARE OF ANY SUCH PURPOSE],WHETHER ALLEGED TO ARISE BY LAW,BY REASON OF CUSTOM OR USAGE IN THE TRADE,OR BY COURSE OF DEALING. EACH USER OF THIS CONTRACT ALSO AGREES THAT UNDER NO CIRCUMSTANCES WILL NAESB BE LIABLE FOR ANY DIRECT,SPECIAL,IHCOENTAL,EXEMPLARY,PUNITIVE OR CONSEQUENTIAL DAMAGES ARISING OUT OF ANY USE OF THIS CONTRACT. Copyright®2006 North American Energy Standards Board, Inc. NAESB Standard 6.3.1 All Rights Reserved Page 12 of 13 September 5,2006 TRANSACTION CONFIRMATION EXHIBIT A FOR IMMEDIATE DELIVERY LefterheadfLogo Date: Transaction Confirmation#: This Transaction Confirmation is subject to the Base Contract between Seller and Buyer dated The terms of this Transaction Confirmation are binding unless disputed in writing within 2 Business Days of receipt unless otherwise specified in the Base Contract. SELLER: BUYER- Attn: Attn- Phone. Phone. Fax: Fax: Base Contract No. Base Contract No. Transporter: Transporter: Transporter Contract Number: Transporter Contract Number. Contract Price: $ IMMBtu or Delivery Period: Begin: End: . Performance Obligation and Contract Quantity: (Select One) Firm (Fined Quantity): Firm (Variable Quantity)- Interruptible: MIUBtuVday , MMBtuslday Minimum Up to MMBlusrday EFP MMBtusfday Maximm subject to Section 4.2. at election of Buyer or Seller Delivery Point,(s): (If a pooling point is used, list a specific geographic and pipeline location): Special Conditions, Seller: Buyer: By: By: Title: _ Trtle: Date: Date- Copyright 0 2006 North American Energy Standards Board,Inc. NAESB Standard 6.3.1 All Rights Reserved Page 13 of 13 September 5,2006 Special Provisions to Base Contract for Sale and Purchase of Natural Gas (the"NAESB") Between OCCIDENTAL ENERGY MARKETING, INC. and CITY OF VERNON dated May 1, 201S. 1 The following language shall be added at the end of Section 1.2: "Notwithstanding the provisions of Section 1.2, Occidental Energy Marketing, Inc. ("OEMI") will not be obligated to send a written Transaction Confirmation for transactions with a Delivery Period of less than five Days." . The following language shall be added at the end of Section 7.1: "All invoices shall be provided by Seller to Buyer and such invoices shall reflect Sellers name of the entity that is a party to this Contract-" 3. The following language shall be added immediately before the last sentence of Section 7.7: "Each month, prior to the Payment Date, the parties shall use reasonable efforts to confer with each other by any reasonable means, (e.g. telephone, facsimile or electronic data transmission) to compare and confirm invoice amounts and total net amounts owed to each other" 4. The following language shall be added after the last paragraph of Section 15.10: "Notwithstanding the foregoing, the City of Vernon represents to OEMI that it is a municipality and it may be required to disclose certain information regarding the terms of any transaction hereunder between the parties to the public as part of its approval process. If the City of Vernon receives a request for, or is required to disclose, information concerning this Base Contract or the terms of any transaction hereunder, City of Vernon will promptly notify OEMI thereof and of the nature of the request or requirement and City of Vernon's interpretation of the applicable disclosure requirements. OEMI will have the sole obligation at its sole expense to seek a protective order or other appropriate remedy to prevent disclosure if OEMI so elects." IN WITNESS WHEREOF, the parties have executed these Special Provisions to supplement and, where applicable, to modify and supersede the Base Contract by and between the parties. CITY OF VERNON OCCIDENTAL ENERGY MARKETING, INC. By_ By , Name: Name: Shawn McGovern Title: Title: Executive Vice President Gas Marketing RECEWED RECEIVE[ MAY 10 2016 MAY 1 0 2016 CITY CLERK'S OFFICE CITY ADMINISTRATION tir Mcl +'k STAFF REPORT PUBLIC WORKS, WATER AND DEVELOPMENT SERVICES DEPARTMENT Eng DATE: May 17,2016 TO: Honorable Mayor al►d City Council i FROM: Derek Wieske,Director of Public Works,Water and Development Services Department Originator: Felix Velasco,Assistant Engineer RE: Contract Award for City Contract No. CS-0602: City Housing Improvements Recommendations A. Find that the proposed Capital Improvement Project is categorically exempt under the California Environmental Quality Act(CEQA) in accordance with CEQA Guidelines Section 15301, Existing Facilities, part(a), because the project is merely to make interior or exterior alterations involving partitions, plumbing, and electrical conveyances; and B. Accept the bid of St. George Groupe Inc. as the lowest responsive and responsible bidder and enter into a contract at an amount not to exceed$119,875 for the renovation of a single family home located at 4323 Furlong Place and to reject all other bids. Further authorize a contingency of$20,000 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. Background The renovation of City housing units is part of the five year capital improvement plan to improve existing city building facilities. The proposed project will consist of refurbishing and remodeling of approximately 1,300 square feet of residential space in the City owned single family dwelling located at 4323 Furlong Place, including the construction of an accessibility ramp. On March 17, 2016, the Public Works, Water and Development Services Department advertised the notice inviting sealed, competitive bids for the renovations of a single family home located at 4323 Furlong Place. The notice inviting bids was posted on the City's website and published in the Page 1 of 2 Vernon Sun newspaper, and was also advertised in the following construction related websites: Bid America, Bidboard Construction Contract Advertising, McGraw-Hill Construction, Reed Construction Data and Bid Clerk. The specifications included the standard terms and conditions for the contract that have been approved by the City Council. The bids for Contract No. CS-0602, City Housing Improvements, were received and opened on April 13, 2016. The calculated bid results were as follows: 1. St. George Groupe Inc. $ 119,875 2. SD Design Construction Corp. $ 126,300 3. Dependable Construction Inc. $ 224,000 The contract between the City of Vernon and St. George Groupe,Inc.has been reviewed and approved by the City Attorney's office. Fiscal Impact $450,000 has been budgeted in the Fiscal Year 2015-2016 to remodel four single family dwelling units. The low bid amount of$119,875,plus the contingency of$20,000,is within the budgeted amount. Therefore,the budgeted amount is sufficient to cover the cost of this project. The remaining three units will be remodeled at a later time. Attachments 1. CS-0602 City Housing Improvements Agreement Page 2 of 2 BIDDING FORMS STANDARD FORM OF CONSTRUCTION CONTRACT BETWEEN CITY AND CONTRACTOR This Agreement is made and entered into at Vernon, California this_day of , 20 by and between the CITY OF VERNON, a chartered municipal corporation (hereinafter "City") and a [Insert State of Incorporation) corporation (hereinafter "Contractor"),for construction of City Housing Remodel,Contract No.CS-0602. THE PARTIES HERETO AGREE AS FOLLOWS: 1. CONTRACT DOCUMENTS The"Contract Documents"except for modifications issued after execution of this Agreement, shall consist of the following documents which are either attached hereto as exhibits or are incorporated into this Agreement by this reference,with the same force and effect as if set forth at length herein: A. Governmental Approvals including, but not limited to, permits required for the Work; B. This Agreement; C. Exhibit 1 —Performance Bond; D. Exhibit 2—Payment Bond; E. Exhibit 3—Maintenance Bond F. Exhibit 4—Insurance Requirements ; G. Notice Inviting Bids; H. Instructions to Bidders; I. Bid Forms; J. Designation of Subcontractors; and K. Bidding Addenda Nos. 2. SECTION INTENTIONALLY OMMITTED 3. SCOPE OF WORK Within the Contract Time and for the stated Contract Sum, subject to adjustments thereto, and pursuant to the Contract Documents, the Contractor shall perform and provide all necessary: labor; services; supervision; materials; tools; equipment; apparatus; facilities; supplies; tools; permits, inspections, plan BF 37 of 39 BIDDING FORMS checks, and similar Governmental Approvals; temporary utilities; utility connections; and transportation necessary to complete the Work in strict conformity with the Contract Documents for: City Housing Remodel Contract No. CS-0602 4. TIME FOR PERFORMANCE Contract Time. Contractor shall achieve Substantial Completion of the Work within calendar days from the Date of Commencement established in City's written Notice to Proceed ("Contract Time"), subject to adjustment in accordance with the Contract Documents. Contractor shall achieve Final Completion of the Work, within the time established by the Certificate of Substantial Completion issued by the City. The Contract Time may only be adjusted as permitted by this Construction Contract and the General Conditions. Time is of the essence of this Agreement. Except when the Contract Documents state otherwise, time is of the essence in the performance of the Work. Contractor acknowledges that the time limits and deadlines set forth in the Contract Documents are reasonable for Contractor to perform and complete the Work. Liquidated Damages. If Contractor fails to achieve Substantial Completion of the entire Work within the Contract Time for Substantial Completion, Contractor shall pay City as liquidated damages the amount of ($ ) per day for each calendar day occurring after the expiration of the Contract Time for Substantial Completion until Contractor achieves Substantial Completion of the entire Work,as required by Article 3 of the General Conditions of Contract. Contractor Initial here: 5. CONTRACT SUM In consideration of the Contractor's full,complete,timely, and faithful performance of the Work required by the Contract Documents, City shall pay Contractor the sum of dollars/no cents ($ ), payable as set forth in the General Conditions("Contract Sum"). IN WITNESS WHEREOF, the parties have caused this Contract to be executed the date and year first above written. BF 38 of 39 BIDDING FORMS Executed at California. [Contractor's Corporate Seal] [Contractor]: By: An Authorized Signatory Printed Name: Title: Date: CITY OF VERNON: APPROVED AS TO FORM: By: By: Name: Name: Title: Title: Date: ATTEST: By: Name: Title: CONTRACTOR'S SIGNATURE MUST BE NOTARIZED BF 39 of 39 i EXHIBIT A GENERAL CONDITIONS ARTICLE 1 - PRELIMINARY PROVISIONS 1.01 DEFINITIONS The following words shall have the following meanings: A. Allowance. A line item cost estimate established by the City to be carried in the Base Bid sum, Contract Sum, and Schedule of Values for Payment for a particular item of Work, which cannot be sufficiently defined so as to allow the Contractor to adequately determine fair value before the Bid Deadline. Allowances include estimated amounts established by the City for certain construction elements that have not yet been fully designed or authorized for inclusion in the Work or to permit deferred approval or selection of actual materials and equipment to a later date when additional information is available for evaluation. B. As-Builts. The documents prepared by Contractor showing the condition of the Work as actually built, including, without limitation, all changes and the exact locations of all mechanical, electrical, plumbing, HVAC or other portions of the Work that are shown diagrammatically in the Contract Documents. C. Base Bid. The total sum stated in the Bid Form for which the Bidder offers to perform Work described in the Contract Documents as the base Contract Work (e.g. not designated as part of a Bid Alternate). Bid. A complete and properly executed offer by the Bidder on City-prescribed forms to perform the Work for the prices stated in response to the Notice Inviting Bids. E. Bid Alternate. An item of Work described in the Contract Documents as an Alternate Bid that will be added to or deducted from the Base Bid and the Contractor's responsibility only if the City accepts the Bid Alternate. F Bid Forms: The City-prescribed forms which the Bidder shall complete and use to submit a Bid. The Bid Forms include: (1) Bidder's Proposal; (2) Schedule of Bid Prices; (3) Incumbency Certificate; (4) Bid Bond; (5) Bidder's Statement of Qualifications; (6) Experience Form; (7)Trades Experience Form; (8) Contractor Safety Questionnaire; (9) Designation of Subcontractors; (10) Affidavit of Non-Collusion; (11) Insurance Requirements Affidavit; and (12) forms included in the Specification required by the type of project funding (e.g.federal, ARRA, HUD, etc.). G. Bidder. The individual, partnership, firm, corporation,joint venture or other legal entity submitting a bid on these Contract Documents or any part thereof. H. Bidding Documents. Bidding Documents include the Bidding Requirements and the proposed Contract Documents. The Bidding Requirements consist of: (1) Notice Inviting Bids; (2) Instructions to Bidders; and (3) Bid Forms. The proposed Contract Documents consist of: (1) the Bidding Requirements; (2) the Construction Contract Between City and Contractor; (3) the Conditions of the Contract(General, Supplementary, and Special, if applicable); (4) all Exhibits to the Contract; (5)the Drawings; (6) the Specifications; (7) all Addenda issued prior to the execution of the Construction ARTICLE 1 GC-1 Contract; (8) all Modifications issued after the execution of the Construction Contract; and (9) Governmental Approvals, if any,including but not limited to, permits. I. Change Order. A Change Order is a written document prepared by the City reflecting the agreement between the City and Contractor for: a change in the terms or conditions of the Contract, if any; a specific Scope Change in the Work; the amount of the adjustment, if any, in the Contract Sum;and the extent of the adjustment, if any, in the Contract Time. J. Change Order Request(COR). A Change Order Request is a written document originated by the Contractor, which describes an instruction issued by the City after the effective date of the Contract, which Contractor believes to be a scope change that may result in changes to the Contract Sum or Contract Time or, which describes the need for or desirability of a change in the Work proposed by Contractor. K. City or Owner. The City of Vernon, California, acting through its City Council or other City officials authorized to act for the City, acting in its proprietary rather than regulatory capacity in connection with the Project. L. Construction Change Directive. A written order prepared and signed by the City directing a change in Work prior to agreement on adjustment, if any, in the Contract Sum or Contract Time,or both. M. Contract Documents. The Contract Documents are enumerated in the Construction Contract between City and Contractor and consist of: (1) the Bidding Requirements; (2) the Construction Contract; (3)the Conditions of the Contract(General, Supplementary, and Special, if applicable); (4) all Exhibits to the Contract;(5)the Drawings; (6)the Specifications; (7)all Addenda issued prior to the execution of the Contract; (8) all Modifications issued after the execution of the Contract; and (9) Governmental Approvals, including, but not limited to, permits. The intent of the Contract Documents is to include all items necessary for the proper execution and completion of the Work by the Contractor. The Contract Documents are complementary, and what is required by one shall be as binding as if required by all; performance by the Contractor shall be required to the extent consistent with the Contract Documents and reasonably inferable from them as being necessary to produce the indicated results. N. Contract. The Contract Documents form the Contract for Construction. The Contract Represents the entire and integrated agreement between the parties hereto and supersedes prior negotiations, representations, or agreements, either written or oral. The Contract may be amended or modified on by a Modification. The Contract Documents shall not be construed to create a contractual relationship of any kind between any persons or entities other than the Owner and the Contractor. There shall be no third party beneficiaries of the Contract Documents. 0. Contract Sum. The total amount of compensation stated in the Construction Contract that is payable to Contractor for the complete performance of the Work in accordance with the Contract Documents. P Contract Time. The total number of days set forth in the Construction Contact within which Substantial Completion of the Work must be achieved beginning with the Date of Commencement established in the Notice to Proceed, subject to adjustments in accordance with the terms of the Contract Documents. The Contract Time for Contractor's performance of the Work is measured in calendar days(not work days). ARTICLE 1 GC-2 Q. Contractor. The individual, partnership, firm, corporation, joint venture or other legal entity with whom the Contract is made by City, or the agent or legal representative who may be appointed to represent such individual, partnership, firm, corporation, joint venture or other legal entity in the execution of the Contract as general contractor for construction of the Work. R. Correction Period. Correction Period is synonymous with the terms of the correction guarantee period used in the Contract Documents. S. Date of Commencement. The date for commencement of the Work fixed by City in a Notice to Proceed to Contractor. T Day. The terms "day" or"days" mean calendar days unless otherwise specifically designated in the Contract Documents. The term "Work Day" or "Working Day" shall mean any calendar day except Saturdays, Sundays and City-recognized legal holidays. U. Director. The Director of the Community Service and Water Department of the City of Vernon or his/her duly appointed representative. V. Drawings. The Drawings are the graphic and pictorial portions of the Contract Documents showing the design, location, and dimensions of the Work, generally including plans, elevations, sections, details,schedules,and diagrams. W. Extra Work. New or unforeseen work will be classified as Extra Work when determined by the City that the work is not described in, or reasonably inferable from,the Contract Documents,the work is not covered by any Bid line item or Allowance, and the work causes Contractor to incur additional and unforeseen costs. Field Directive. See, "Work Directive." Y. Final Completion. Final Completion is the stage of performance of the Work when (1) all Work required by the Contract Documents has been fully completed in compliance with the Contract Documents and all applicable laws including, but not limited to, correction or completion of all punch list items noted by City upon Substantial Completion; (2) Contractor has delivered to City an Application for Final Payment and all closeout documentation required by the Contract Documents; and (3) documentation of all final Governmental Approvals has been submitted to City including, but not limited to a final Certificate of Occupancy or equivalent Building Department sign-off has been issued covering the entire Project site without exception or conditions. Z. Force Majeure. "Force Majeure"includes but is not limited to declared or undeclared war,sabotage, insurrection, riot, or other acts of civil disobedience, labor disputes, fires, explosions, floods, earthquakes or other acts of God. AA, Fragnet. The sequence of new activities that are proposed to be added to an existing schedule. BB. Governmental Approval. Any approval, authorization, inspection, certification, consent, exemption, filing, permit, registration, plan check, ruling or similar authorization required by any federal, state or local law, regulation or procedures in order for Contractor to perform the Work. CC. Guarantee. Assurance to City by Contractor or product manufacturer or other specified party, as guarantor, that the specified warranty will be fulfilled by the guarantor in the event of default by the warrantor. ARTICLE 1 GC-3 DD. Modification. A Modification is: (1) a written amendment to Contract signed by both parties; (2) a Change Order; or(3)a Construction Change Directive. EE. Notice to Proceed. The Notice to Proceed is a document issued by the City fixing the date for Commencement for the Work. FF. Parties. The City and Contractor may be referred to in the Contract Documents from time to time as the Parties. GG. Permit Fees. Governmental Approvals and Utility Fees as required by any agency to be paid by the City of Vernon. HH. Project. The Project is the total construction of which the Work performed under the Contract Documents may be the whole or a part and which may include construction by the City or by separate contractors. Il. Project Manual/Contract Package. The volumes of Contract Documents and reference documents assembled for the Work made available to Bidders. JJ. Record Documents. The Drawings, Specifications, addenda, requests for information, bulletins, Change Orders and other modifications to the Contract Documents, approved shop drawings, product data, samples, mock-ups, permits, inspection reports, test results, daily logs, schedules, subcontracts, and purchase orders. Records Documents shall include a set of"As-Built" Drawings and Specifications,which shall be continuously updated during the prosecution of the Work. KK. Site. The physical area designated in the Contract Documents for Contractor's performance of the Work. LL. Specifications. The Specifications are the volume(s) assembled for the Work that includes, without limitation, the Bidding Documents, the Construction Contract and Exhibits, the General Conditions, Supplementary and/or Special Conditions, if any, the "GREENBOOK" STANDARD SPECIFICATIONS FOR PUBLIC WORKS CONSTRUCTION (2012 Edition), the Standard Plans for Public Works Construction (2009 Edition), State of California, Department of Transportation Standard Plans and Standard Specifications (2010 Edition), and the City of Vernon Standard Plans. MM. Specifications. The Specifications are that portion of the Contract Documents consisting of the written requirements for materials, equipment, systems, standards, and workmanship for the Work and performance of related services, including, but not limited to, the Project Technical Specifications, Standard Specifications, if any, and any applicable Trade Association Specifications. NN. Substantial Completion. Substantial Completion is defined to mean the stage in the progress of the Work when the Work is sufficiently complete in accordance with the Contract Documents as determined by the City so that the City can occupy and utilize the Work for its intended use and as further defined in the Contract Documents. 00, Unilateral Change Order. See"Work Directive." PP. Utility Fees. The fees charged by any public, private,cooperative, municipal and/or government line, facility or system used for the carriage, transmission and/or distribution of cable television, electric ARTICLE 1 GC-4 power, telephone, water, gas, oil, petroleum, steam, chemicals, sewage, storm water or similar commodity including, but not limited to fees for temporary utilities and refuse hauling. QQ. Warranty. Assurance to City by contractor, installer, supplier, manufacturer or other party responsible as warrantor, for the quantity, quality, performance and other representations of a product,system service of the Work. RR. Work. The term "Work" means the construction and other services required by, and reasonably inferable from the Contract Documents, whether completed or partially completed, and includes all other labor, materials, equipment, and services provided or to be provided by the Contractor to fulfill the Contractor's obligations.The Work may constitute the whole or a part of the Project. SS. Work Directive. A Work Directive is a unilateral written order issued by the City directing Contractor to continue performance of the Work or to perform a disputed change in the Work prior to agreement or adjustment, if any, in the Contract Sum, Contract Time,or both. 1.02 REPRESENTATIVES A. The Director shall be the representative of the City and, except as otherwise expressly provided herein,shall make all decisions and interpretations to be made by the City under the provisions of the Contract Documents. B. The Contractor shall at all times be represented on the Work in person or by a duly designated agent. Instructions and information given by the Director to the Contractor's agent on the Work shall be considered as having been given to the Contractor. 1.03 PERMITS, INSPECTIONS, PLAN CHECKS, AND SIMILAR GOVERNMENTAL APPROVALS AND UTILITIES A. City of Vernon shall obtain all Governmental Approvals and Utility Fees required for the construction of the project. B. All documents evidencing Contractor's satisfaction with all Governmental Approvals and Utility Fees must be submitted to the City prior to submission of the Application for Final Payment. C. Where requirements of the Governmental Approvals differ from those of the Drawings and Specifications,the more stringent requirements shall apply. 1.04 LICENSES The Contractor shall apply for, obtain, and pay for all licenses required by governing authorities for the Work. Contractor shall apply and pay for a City of Vernon business license. 1.05 ALLOWANCES A. Contractor shall include in the Contract Sum and Schedule of Values for Payment, the City's estimated cost established for each Work item covered by an Allowance stated in the Contract Documents. See Paragraph 1.01 for definition of Allowance. B. The line item cost estimate established by the City for Work covered by an Allowance includes the cost to Contractor of: all materials and equipment, preparation of submittals; labor; transportation; ARTICLE 1 GC-5 delivery; handling; installation;supervision;overhead; profit; licenses; bonds; insurance; all sales, use and other taxes legally chargeable;and all other costs and expenses incidental to such Work. C. Work items covered by Allowances shall be supplied with such materials and equipment and for such prices approved in advance by City. Contractor shall notify and request City's approval of material equipment, and pricing information for Work covered by an Allowance before ordering the material or equipment and in sufficient time to avoid delay to the Work. City shall provide approval of materials, equipment,and prices with reasonable promptness. The material,equipment,and pricing information submitted by the Contractor to the City's Project Manager shall, at a minimum, include product data and detailed costs of material, equipment, and labor to complete such Work, itemized by costs incurred by Contractor and each subcontractor associated with the performance of such Work. Contractor shall not order materials or equipment or proceed with Work covered by an Allowance until the material, equipment, and pricing information for such Work items have been submitted to the City's Project Representative for review and the Contractor has received City's approval to proceed with a Work item covered by an Allowance. D. All expenditures for Allowance Work shall be separately itemized in each Application for Payment. E. To the extent that the cost of Work items covered by an Allowance is less than the Allowance cost estimate established by the City,the Contact Sum shall be reduced by Change Order or Construction Change Directive to reflect the actual cost of the Allowance item. Similarly, to the extent the cost of Work items covered by an Allowance is greater than the Allowance cost estimate,the Contract Sum shall be increased by Change Order or Construction Change Directive to reflect the actual cost of the Allowance item. If Work items covered by an Allowance are not performed or the City deletes such items from the Scope of Work,the Contract Sum shall be reduced by Change Order or Construction Change Directive to deduct the Cost of the unused Allowance item. 1.06 WAIVER A waiver by City of any breach of any term, covenant, or condition contained in the Contract Documents shall not be deemed to be a waiver of any subsequent breach of the same or any other term,covenant,or condition contained therein,whether of the same or a different character. 1.07 DATA TO BE FURNISHED BY THE CONTRACTOR The Contractor shall furnish the Director with such information as the Director may desire respecting the character of the materials and the progress and manner of the Work, including all information necessary to determine the Contractor's costs, such as the number of persons employed, their pay, the time during which they worked on the various classes of construction,and other pertinent data. 1.08 CONTRACT DRAWINGS The City will accept no responsibility for errors resulting from misinterpretation or scaling of the Drawings. 1.09 SPECIFICATIONS AND DRAWINGS A. The Contractor shall keep on the Work Site a copy of all Specifications, Drawings, and Change Orders pertaining to the Work and shall at all times give the Director access thereto. Anything mentioned in the Specifications and not shown on the Drawings or shown on the Drawings and not mentioned in the Specifications shall be of like effect as though shown or mentioned in both. ARTICLE 1 GC-6 B. In general, the Drawings will show dimensions, positions, and kind of construction; and the Specifications will define materials, quality, and standards. Any Work not particularly detailed, marked or specified,shall be the same as similar parts that are detailed, marked or specified. C. The Drawings shall not be scaled to determine dimensions, and in all cases shall be calculated from figures shown on the Drawings. Any discrepancies between scale and figured dimensions, not marked "not to scale," must be brought to the Director's attention before proceeding with the Work affected by the discrepancy. D. Omissions from the Drawings and/or Specifications shall not relieve the Contractor from the responsibility of furnishing, making, or installing all items required by law or code, or usually furnished, made or installed in a project of the scope and general character indicated by the Drawings and Specifications. E. For convenience,the Drawings and Specifications may be arranged in various trade subparagraphs, but such segregation shall not be considered as limiting the Work of any subcontract or trade. The Contractor shall be solely responsible for all subcontract arrangements of the Work regardless of the location or provision in the Drawings and Specifications. F. The City will furnish free of charge to the Contractor, a maximum of six(6)sets of Contract Drawings and Specifications. The Contractor shall pay for the costs of any additional sets or portions thereof. The Contractor shall be responsible to see that all sets are the same as the up-to-date approved set. 1.10 PRECEDENCE OF CONTRACT DOCUMENTS A. In the event of conflict between any of the Contract Documents, the provisions placing a more stringent requirement on the Contractor shall prevail. The Contractor shall provide the better quality or greater quantity of Work and/or materials unless otherwise directed by City in writing. In the event none of the Contract Documents place a more stringent requirement or greater burden on the Contractor,the controlling provision shall be that which is found in the document with higher precedence in accordance with the following order of precedence: 1. Governmental Approvals including, but not limited to, permits required for the Work 2. Modifications issued after execution of the Contract (including modifications to Drawings and Specifications) 3. The Contract, including all exhibits, attachments, appendices and Addenda, with later Addenda having precedence over earlier Addenda a. Special Conditions, if any 5. General Conditions 6. Specifications 7. Drawings 8. Bidding Requirements ARTICLE 1 GC-7 B. With reference to the Drawings,the order of precedence is as follows: 1. Change Order Drawings 2. Addenda Drawings 3. Contract Drawings 4. Project Drawings 5. Standard Drawings 6. Detail Drawings 7. General Drawings 8. Figures 9. Scaled dimensions C. Within the Specifications,the order of precedence is as follows: 1. Change Orders 2. Special Conditions 3. Project Technical Specifications 4. Standard Specifications, if any 5. Applicable Trade Association Specifications 1.11 NOTICE OF CONFLICTS If the Contractor, in the course of the Work, becomes aware of any claimed conflicts, errors or omissions in the Contract Documents or in the City's fieldwork or work of City's separate contractors,the Contractor shall immediately notify the Director in writing. The Director shall promptly review the matter, and if the Director finds a conflict, error or omission, the Director shall determine the corrective actions and advise the Contractor accordingly. If the correction associated with a conflict, error or omission increases or decreases the amount of Work called for in the Contract, the City shall issue an appropriate Change Order in accordance with the Contract Documents. After discovery of an error or omission by the Contractor, any related additional work performed by the Contractor shall be done at the Contractor's risk unless authorized by the Director. 1.12 REPORTS A. Daily Construction Reports: The Contractor shall prepare a daily construction report recording the following information concerning events at Project site: 1. List of Subcontractors at Project site. 2. List of other contractors at Project site. 3. Approximate count of personnel at Project site. ARTICLE 1 GC-8 4. Equipment at Project site. 5. Material deliveries. 6. High and low temperatures and general weather conditions, including presence of rain or snow. 7. Accidents. 8. Meetings and significant decisions. 9. Unusual events. 10. Stoppages,delays,shortages,and losses. 11. Meter readings and similar recordings. 12. Emergency procedures. 13. Orders and requests of authorities having jurisdiction. 14. Change Orders received and implemented. 15. Construction Change Directives received and implemented. 16. Services connected and disconnected. 17. Equipment or system tests and startups. 18. Partial completions and occupancies. 19. Substantial Completions authorized. 20. List of visitors to Project Site. 21. List of personnel at Project Site including names and job classifications. 22. Description of Work for the day including locations,quantities and related bid items. Immediately upon discovery of a difference between field conditions and the Contract Documents, the Contractor shall prepare and submit a detailed report through a Request for Information (RFI). Include a detailed description of the differing conditions,together with recommendations for a remedy. The Daily Construction Report must be: signed by Contractor's Superintendent, submitted within 24 hours (next Working Day)to the Director,and shall be made available to others as directed by City. 1.13 LINES,GRADES,AND MEASUREMENTS A. All lines and grades will be established by the Contractor. The Contractors shall carefully preserve all survey stakes and reference points as far as possible. Should any stakes or points be removed or destroyed unnecessarily by any act of the Contractor or his/her employees,they must be reset to the satisfaction of the Director,at the Contractor's expense. B. The Contractor shall inform the Director 48 hours (two Work Days) in advance of the times and places at which he/she intends to Work in order that inspection may be provided,and that necessary measurements for records and payments may be made with minimum inconvenience. C. No direct payment will be made for the cost to the Contractor of any of the Work or delay occasioned by giving lines and grades, by making other necessary measurements,or by inspection. 1.14 RIGHT OF WAY A. The site for the installation of equipment or the right of way for the Work to be constructed under this Contract will be provided by the City. B. The City will provide the appropriate rights of way and property for pipelines and structures. Upon approval by the Director,the Contractor may, without cost, use portions of any of the City's rights of way or property which may be suitable for working space and for storage of equipment and ARTICLE 1 GC-9 materials.The Contractor will be held responsible for any damage to structures, streets, and roads, trees and landscaping, and for any damage that may result from his/her use of City property. C. In case areas additional to those available on the City's rights of way or property are required by the Contractor for his/her operations, he/she shall make arrangements with the property owners for the use of such additional areas at his/her own expense. 1.15 CONTRACTOR'S OPERATIONS/STORAGE YARD In the event the Contractor requires space for the storage and/or staging of construction materials, supplies, equipment, stockpiling of debris,or any other needs required for construction operations, he/she shall acquire at his/her own expense such areas as he/she may desire. For properties within the City of Vernon,the staging area must be enclosed at Contractor's expense with construction fencing covered with a mesh screen to limit visibility to the site. Private property used for storage of construction material or debris shall be restored to a legal condition with regard to appearance and maintenance upon conclusion of the project. Property should be graded and free of weeds and debris when project is completed. [END OF ARTICLE] ARTICLE 1 GC-10 ARTICLE 2-PERFORMANCE OF THE WORK 2.01 PERFORMANCE OF WORK-GENERAL Contractor shall, at its own cost and expense, furnish all necessary materials, labor, transportation, and equipment for doing and performing said Work and the materials used shall comply with the requirements of the Contract Documents. All Work shall be performed and completed as required in the Contract Documents, and subject to the approval of the Director,or his/her designated assistant. 2.02 NO ASSIGNMENT OR DELEGATION Contractor shall not assign or delegate the duties or obligations under this Contract or his/her interest therein in whole or in part without the prior written consent of the City which may be withheld at the City's sole discretion. 2.03 STANDARD OF PERFORMANCE Contractor agrees that all services performed hereunder shall be provided in a manner commensurate with the highest professional standards and shall be performed by qualified and experienced personnel; that any Work performed by Contractor under the Contract will be performed in the best manner; that any material furnished shall be subject to the approval of the Director; and that both Work and materials will meet fully the requirements of the Contract Documents. Any work deemed unacceptable by the Director, whether a cause is determined or not shall be repaired or replaced by Contractor at Contractor's expense. The Contractor shall be responsible for the final product and shall make any quality control, adjustments and corrections necessary to obtain the final product accepted by the City Engineer, The Contractor shall perform process and quality control sampling and testing and exercise management control the work of his/her subcontractors, technicians and workers to ensure that the milling,transporting, recycling, spreading, compaction, and finishing processes conform to these Specifications. The proficiency of testing laboratories and sampling and testing personnel shall be reviewed and approved by the City Engineer prior to providing services to the project. The City Engineer shall have unrestricted access to the laboratory, sampling,testing sites, and all information resulting from mix design and quality control activities. All Quality Control testing results shall be submitted to the City Engineer on a daily basis. 2.04 DEFECTIVE WORK Within the time periods that the City specifies, the Contractor shall correct all deficient, improperly executed,or unsatisfactory Work determined by the City. The Contractor shall remove and shall repair or replace, at his/her own expense any part of the Work that is deficient, improperly executed, or unsatisfactorily executed, even though it has been included in the monthly estimates. If he/she refuses or neglects to remove, repair, or replace such defective Work, prior to the City's acceptance of the Work, it may be replaced by the City at the expense of the Contractor, plus 15% for overhead expenses, and his/her sureties shall be liable therefor. (See Paragraph 2.15 for curing defects after acceptance of the Work.) ARTICLE 2 GC-11 2.05 CITY'S RIGHT TO CARRY OUT THE WORK A. Notwithstanding other remedies available to the City, if the Contractor defaults, fails to perform Work required by the Contract Documents, or otherwise neglects to carry out the Work in accordance with the Contract Documents and fails within a 48 hour period after receipt of written notice from the City to commence and correct such default,failure to perform, or neglect with diligence and promptness, the City, at its sole discretion and without obligation, may, with its own or outside forces, perform the Work Contractor has failed to perform and/or replace or correct deficiencies in the Work. In such case, a Change Order or Construction Change Directive shall be issued deducting from payments then or thereafter due to the Contractor the cost of completion, replacement or correction of such deficiencies, including compensation for additional services by the City's project management staff, the Architect, and their respective consultants made necessary by such default,failure to perform, or neglect, plus 15%for City's overhead expenses. If payments then or thereafter due the Contractor are not sufficient to cover such amounts, the Contractor shall pay the difference to the City immediately. This remedy is cumulative. B. The City also has the right, but not the obligation, to self-perform or have outside forces perform portions of the Work previously assigned to Contractor. In such case a Change Order or Construction Change Directive shall be issued, reducing the Contract Sum by the Unit Price(s) applicable to such deleted Work or, in the absence of Unit Prices, an amount that reflects the reasonable cost of performing such deleted Work and the Allowable Mark-Up applicable to such deleted Work. 2.06 COMMUNICATIONS AND NOTICES REGARDING THE WORK A. Notices under the Contract Documents shall be in writing and (a) delivered personally, (b) sent by certified mail, return receipt requested, (c) sent by a recognized overnight mail or courier service, with delivery receipt requested,or(d)sent by facsimile communication followed by a hard copy and with receipt confirmed by telephone, to the following addresses (or to such other address as may from time to time be specified in writing by such Person): All correspondence with Contractor shall be sent to the following address: Attention: Phone: Facsimile: All communications shall be copied to City and shall be delivered to City's Director at the address set forth below,with copies to such additional persons as may be directed by City's Director. City of Vernon Public Works,Water,and Development Services Department 4305 Santa Fe Avenue Vernon, CA 90058 Attention: Felix Velasco ARTICLE 2 GC-12 Phone: (323)583-8811 x318 Facsimile: (323)826-1435 E-mail: fvelasco@ci.vernon.ca.us B. Notices shall be deemed received when actually received in the office of the addressee (or by the addressee if personally delivered) or when delivery is refused, as shown on the receipt of the U. S. Postal Service, private carrier or other Person making the delivery. Notwithstanding the foregoing, notices sent by facsimile after 4:00 p.m. Pacific Standard or Daylight Time (as applicable) and all other notices received after 5:00 p.m. shall be deemed received on the first business day following delivery(that is, in order for a fax to be deemed received on the same day, at least the first page of the fax must have been received before 4:00 p.m.). Any technical or other communications pertaining to the Work shall be conducted by Contractor's Project Manager and technical representatives designated by City. Contractor's representatives shall be available at all reasonable times for consultation, and shall be authorized to act on behalf of Contractor in matters concerning the Work. C. Contractor shall copy City on all written correspondence pertaining to the Contract between Contractor and any Person other than Contractor's Subcontractors,consultants and attorneys. D. Notification of Affected Residents/Businesses —The Contractor shall be responsible for distribution of the general information letter of the project to all affected residents and businesses. A project general information letter and sufficient copies thereof will be prepared by City staff for Contractor distribution to all residents, business establishments, and institutions fronting on or directly affected by the project. The Contractor shall be responsible for distribution of said letter in handout form to all the appropriate residences and buildings in the subject area. Distribution shall be accomplished in a manner acceptable to the City Engineer and shall be five (5)working days prior to the beginning of construction operations in the immediate vicinity. In addition to the above, the Contractor shall be fully responsible for such other notifications as may be required related to necessary closures of streets, alleys, driveways, etc., or to unavoidable access or parking restrictions. These notifications shall apply where the closures and access or parking restrictions required in the performance of any work under this contract preclude any resident,tenant,or property owner from utilizing the premises or conducting business thereon in a reasonable and customary manner. Additional notification to the affected businesses and residents shall be prepared by the City and distributed by the Contractor for roadway and driveway closures five(5)working days in advance of any construction work. No removal or excavation work is allowed until the additional notification has been distributed to the affected residents and businesses. If a Contractor is unable to adhere to his schedule as indicated on his written notification,then all the affected residents and places of business shall be re-notified of the revised schedule, in writing, as indicated above. Contractor costs for all of the above notifications shall be considered as included in the appropriate items of the Bid Proposal. E. Notification of Utilities—The provisions of Section 5 entitled "Utilities" of the "Greenbook" Standard Specifications shall apply. The Contractor shall contact the Underground Service Alert of Southern California(U.S.A.)at least two working days in advance of the construction work ARTICLE 2 GC-13 2.07 INDEPENDENT CONTRACTOR The Contractor in the performance of the Work hereunder will be acting in an independent capacity and not as an agent,employee, partner,or joint venture of the City. 2.08 EMERGENCY WORK A. During Working Hours: In case of an emergency which threatens loss or injury of property,and/or safety of life during working hours, the Contractor shall act, without previous instructions from the City, as the situation may warrant. He/she shall notify the Director of the emergency and the action taken immediately thereafter. Any compensation claimed by the Contractor, together with substantiating documents in regard to expense, shall be submitted to the Director within 15 calendar days after the emergency. Compensation,if allowed,will be paid for as Extra Work. B. Outside of Working Hours: Whenever, in the opinion of the City, there shall arise outside of the regular Working hours on the Contract Work of an emergency nature which threatens loss or injury of property, or danger to public safety, the Contractor shall act, without previous instructions from the City as the situation may warrant. He/she shall notify the Director of the emergency and the action taken immediately thereafter. Any compensation claimed by the Contractor, together with substantiating documents in regard to expense, shall be submitted to the Director within 15 calendar days after the emergency. Compensation, if allowed, will be paid for as Extra Work. In the event the Contractor is not able to respond to an emergency outside of regular working hours, the City's forces will handle such emergency Work. If such emergency arises out of or is the result of operations by the Contractor,the cost of the corrective measures will be billed to the Contractor and deducted from his/her payment as provided in the Contract Documents. The performance of emergency Work by City forces will not relieve the Contractor of any of his/her responsibilities,obligations,or liabilities under the Contract. 2.09 SUBCONTRACTORS A. Each subcontract shall contain a reference to the Contract between the City and the principal Contractor,and the terms of the Contract and all parts thereof shall be made part of each subcontract insofar as applicable to the Work covered thereby. If, in the Director's opinion,the Subcontractor fails to comply with the requirements of the principal Contract insofar as the same may be applicable to the Subcontractor's Work,the Director may disqualify the Subcontractor. B. Nothing contained in these Contract Documents shall be construed as creating any contractual relationship between any Subcontractor and the City. C. The Contractor shall be considered the employer of the Subcontractors and shall be fully responsible to the City for the acts and omissions of Subcontractors and of persons employed by them as the Contractor is for the acts and omissions of persons directly employed by him/her. D. The Contractor shall be responsible for the coordination of the trades, Subcontractors, and material suppliers engaged upon the Work. It shall be the Contractor's duty to see that all of his/her Subcontractors commence their Work at the proper time and carry it on with due diligence so that they do not delay or injure either the Work or materials; and that all damage caused by them or their workers is made good at his/her expense. ARTICLE 2 GC-14 E. The City will not undertake to settle differences between the Contractor and his/her Subcontractors or between subcontractors. F. The Contractor shall utilize the services of specialty Subcontractors,without additional expense to the City,on those parts of the Work which are specified to be performed by specialty contractors. 2.10 USE OF FACILITIES PRIOR TO COMPLETION OF CONTRACT A. Whenever in the opinion of the Director any Work under the Contract,or any portion(s)thereof, is in a condition suitable for use by the City, the City may, after written notice and designation from the Director to the Contractor, use (which includes, but is not limited to, taking over or placing into service)any portion(s)designated by the Director. B. The use of any portion(s) by the City shall not be construed as, and will not constitute acceptance in any sense, of any portion(s)of the Work of the Contractor nor will such use trigger the running of any warranty and/or guarantee periods. C. All necessary repairs, renewals,changes,or modifications in the Work or any portion thereof so used, not due to ordinary wear and tear, but due to defective materials or workmanship, the operations of the Contractor,or any other cause,shall be made at the expense of the Contractor. D. The use of any portion(s) by the City shall not relieve the Contractor of any of his/her responsibilities or liabilities under the Contract nor constitute a waiver by the City of any of the conditions thereof. Said use shall not cancel liquidated damages as of the first date of use, or any continuance thereof, nor impair, reduce,or change the amount of liquidated damages. 2.11 COOPERATION WITH OTHER WORK FORCES A. The City reserves the right to perform other Work at or near the site at any time by the use of its own forces or other contractors. B. Other contractors, other utilities and public agencies or their contractors, other City contractors, and City personnel may be working in the vicinity during the project construction period. There may be some interference between these activities and the Work under the Contract Documents. The Contractor shall cooperate and coordinate his/her Work with that of other Work forces to assure timely Contract completion. 2.12 AGREEMENTS WITH PROPERTY OWNERS Agreements with property owners for storing excavated material, storing any other materials, or for any other purpose related to the Work shall be made in writing and a copy submitted to the Director for his/her information. All storage charges shall be at the Contractor's sole expense. 2.13 PROTECTION OF PROPERTY All public and private property, pavement or improvement, shall be safely guarded from damage or loss in connection with this Contract by the Contractor at all times. Should any facility, structure, or property be damaged during operations of the Contractor, he/she shall immediately notify the property owners or authorities. All damages and losses incurred shall be paid by the Contractor. ARTICLE 2 GC-15 2.14 CONTRACTOR'S RESPONSIBILITIES FOR LOSSES OR LIABILITIES A. Risk of Loss Except as otherwise provided in the Contract Documents and except as to the cost of repair or restoration of damage to the Work caused by force majeure, the Contractor shall bear all losses resulting to him/her on account of the amount or character of the Work, or from any unforeseen obstructions or difficulties which may be encountered, or from any encumbrances on the line of the Work, or because the nature of the ground in or on which the Work is done is different from what is assumed. The Contractor shall bear the risk for any City equipment, material, or supplies with which he/she has been entrusted. B. Materials and Facilities The Contractor shall be responsible for materials and facilities as hereinafter provided and in the event of his/her failure to carry out said responsibilities,the same may be carried out by the City at the expense of the Contractor: 1. The Contractor shall be responsible for any materials so furnished and for the care of all Work until its completion and final acceptance,and he/she shall at his/her own expense replace damaged or lost materials and repair damaged parts of the Work. 2. The Contractor shall protect City facilities from damage resulting from his/her Work. City facilities damaged by,or as a result of,the Contractor's Work under this Contract shall be repaired or replaced,as directed by the Director,at the Contractor's expense. 3. The Contractor shall remove from the vicinity of the completed Work all buildings, rubbish, unused material,concrete forms,and other materials belonging or used under his/her direction during construction. If Contractor fails to completely remove such items within a reasonable time the City may do so at the Contractor's expense. C. Laws and Regulations 1. The Contractor shall obey all laws, ordinances, and regulations in any manner affecting those engaged or employed on the Work, or the materials used in the Work, or in any way affecting the conduct of the Work, and of all court orders and decrees having any jurisdiction or authority over the same. If any discrepancy or inconsistency should be discovered in this Contract, or in the Drawings or Specifications herein referred to, in relation to any such law, ordinance, regulation, order, or decree, he/she shall immediately report the same in writing to the Director. 2. Contractor shall,at all times,cause all his/her agents and employees to observe and comply with all such applicable laws, ordinances, regulations, orders, and decrees in effect or which may become effective before Final Completion of this Contract. 3. Nothing in the Contract Documents shall be construed to permit Work not conforming to such laws, ordinances, and regulations. If the Contractor ascertains at any time that any requirement of this Contract is at variance with such applicable law requirement, he/she shall immediately notify the Director. ARTICLE 2 GC-16 4. If such applicable law requirement was not in effect on the date of submission of bids, any necessary adjustment of the Contract price shall be made as provided in Article 6 herein. If such applicable law requirement was in effect on said date of bid submission, no adjustment of Contract price will be considered. 5. The Contractor, at his/her own expense, shall pay all taxes properly assessed against his/her equipment, materials,or property used or required in connection with the Work. 2.15 WARRANTY AND CORRECTIONS A. Warranty 1. Warranty. The Contractor warrants to the City that: (i) materials and equipment furnished under the Contract will be of good quality and new unless otherwise required or permitted by the Contract Documents; (ii) the Work will be of good quality and free from defects; (iii)the Work will conform to the requirements of the Contract Documents; and (iv) Contractor will deliver the Project free of stop notice claims. Work not conforming to these requirements, including substitutions not accepted by the City,will be deemed defective. The Contractor's warranty excludes improper or insufficient maintenance, improper operation,or normal wear and tear and normal usage. If required by the City, the Contractor shall furnish satisfactory evidence as to the kind and quality of materials and equipment. This warranty is not limited by the correction obligation of Paragraph 2.04 herein. 2. Overlap. Where any warranties provided under the Contract Documents overlap,conflict,or are duplicative,Contractor will be bound by the more stringent requirements. 3. Procurement and Assignment of Warranties: Contractor shall obtain in the name of City, or transfer or assign to City or City's designee prior to the time of Final Completion of the Work, any and all warranties or guarantees which Contractor is required to obtain pursuant to the contract Documents and which Contractor obtained from any other person or entity other than Contractor including, but not limited to, Subcontractors and manufacturers, and further agrees to perform the Work in such a manner so as to preserve any and all such warranties. Contractor shall secure written warranties from all Subcontractors. Contractor and its Subcontractors shall offer any warranty upgrades or extensions that are offered by manufacturers of any equipment or system installed in the Work to the City. Contractor shall deliver to City all warranty and guarantee documents and policies. 4. Survival of Warranties: The provisions of this paragraph 2.15 will survive Contractor's completion of the Work or termination of Contractor's performance of the Work. B. Correction of Work 1. Before or After Final Completion. The Contractor shall promptly correct Work rejected by the City or City's designee, as failing to conform to the requirements of the Contract Documents, whether discovered before or after Final Completion and whether or not fabricated, installed, or completed. Costs of correcting such rejected Work, including additional testing, inspections, and compensation for the City's services and expenses made necessary thereby,will be at the Contractor's expense within the Contract Price. 2. After Final Completion. ARTICLE 2 GC-17 (a) In addition to the Contractor's warranty obligations under Paragraph 2.15-A, if, within one (1) year after the date of Final Completion of the Work or within the time period established by any applicable special warranty required by the Contract Documents, any of the Work is found to be not in accordance with the requirements of the Contract Documents, the Contractor shall commence correction or replacement of such Work within forty-eight(48) hours after receipt of written notice from the City to do so. The Contractor shall perform such corrective work without charge or cost to the City after Final Completion of the Work. The City shall give such notice promptly after discovery of the condition. (b) If the Contractor fails to commence correction or replacement of non-conforming Work within forty-eight (48) hours after receipt of written notice, the City will proceed to have defects repaired or replaced at the expense of the Contractor and its Performance Bond surety, plus fifteen percent (15%) for the City's overhead and administrative expense. The City may charge such costs against any payment due Contractor. If, in the opinion of the City, defective work creates a dangerous or hazardous condition or requires immediate correction or attention to prevent further loss to the City or to prevent interruption of operations of the City, the City may take immediate action, give notice, make such correction, or provide such attention and the cost of such correction or attention will be charged against the Contractor. Such action by the City will not relieve the Contractor of the warranties provided in this Article or elsewhere in the Contract Documents, 3. Replacement or Removal of Defective or Unauthorized Work. The Contractor shall remove from the Site and replace those portions of the Work which are not in accordance with the requirements of the Contract Documents in a manner acceptable to and as ordered by the Director. No compensation shall be allowed for such removal or replacement. Director shall have authority to cause defective work to be remedied, removed or replaced and to deduct the costs from monies due or to become due to the Contractor. 4. Destruction or Damage. In the event the Contractor destroys or damages any construction of the City or another contractor while correcting or removing Work which is not in accordance with the requirements of these Contract Documents, the Contractor shall bear the cost of repairing or reconstructing that other construction as well. 5. No Limitation. Nothing contained in Paragraph 2.15-B will be construed to establish a period of limitation with respect to other obligations which the Contractor might have under the Contract Documents. Establishment of the one-year period for correction of Work as described in Paragraph 2.15-13 relates only to the specific obligation of the Contractor to correct the Work, and has no relationship to the limitations periods established by statute for any construction defect or other causes of action. 2.16 CLEANING AND ENVIRONMENTAL CONTROLS The Contractor, Subcontractors and employees shall comply with all litter and pollution laws and it shall be the responsibility of the Contractor to ensure compliance.The Contractor shall do all of the following: A. Maintain the Site free of waste materials, debris, and rubbish and in a clean and orderly condition; and Remove waste materials,debris and rubbish from site and dispose off-site legally. ARTICLE 2 GC-18 B. The Contractor shall maintain at his/her disposal any and all equipment necessary to prevent and remediate any sanitary sewer overflow arising out of the Work. The Contractor shall furnish and operate a self-loading motor sweeper with spray nozzles, as directed by the Director, to maintain the affected areas in a condition of cleanliness acceptable to the City at all locations affected by the Contractor's operations. For purposes of this Paragraph, the affected areas include the project Site as well as all haul routes to and from the project Site and all areas of construction and restoration which have not been completed. C. The Contractor shall take appropriate action to ensure that no dust originates from the project Site. D. Any equipment or vehicles driven and/or operated within or adjacent to a street gutter, storm drain, runoff conveyance or ocean shall be checked and maintained daily to prevent leaks of materials that if introduced to water could be deleterious to aquatic life. E. No debris,soil,silt,sand, bark,trash,sawdust, rubbish,cement or concrete or washings thereof,oil or petroleum products or other organic or earthen material from any construction, or associated activity or whatever nature shall be allowed to enter into or placed where same may be washed by rainfall or runoff into waters of the State. When operations are completed, any excess materials or debris shall be removed from the Work area. 2.17 WATER POLLUTION CONTROL A.. The Contractor shall meet all applicable City of Vernon, state and federal clean water laws, rules and regulations including but not limited to all conditions set forth in the Vernon Municipal Code Chapter 21, Article 5 regarding stormwater and urban runoff controls as it relates to public agency activities including, but not limited to storm and/or sanitary sewer system inspection and repair, street sweeping, trash pick-up and disposal, and street and right-of-way construction and repair are required to implement and maintain the activity specific Best Management Practices (BMPs) listed in Table 2-1 below in compliance with the National Pollutant Discharge Elimination System (NPDES) requirements. Contractor shall not discharge any water containing trash, debris, pollutants, fuels, oils, soaps or other non-allowable constituents from its sweeping vehicles upon any city street, to any storm drain or any non-permitted outlet. As part of its submission, contractor shall describe its methods for preventing NPDES violations during sweeping operations within the City. In addition, Contractor shall comply with all NPDES requirements at its maintenance facilities, storage yards and company facilities. Failure to comply with this section may result in termination for cause by the City of any contract resulting from this solicitation. ARTICLE 2 GC-19 Table 2-1. BMPs for Public Agency Facilities and Activities General and Activity Specific BMPs Scheduling and Planning Spill Prevention and Control Sanitary/Septic Waste Management Material Use General BMPs Safer Alternative Products Vehicle/Equipment Cleaning, Fueling and Maintenance Illicit Connection Detection, Reporting and Removal Illegal Spill Discharge Control Maintenance Facility Housekeeping Practices Asphalt Cement Crack and Joint Grinding/Sealing Asphalt Paving Flexible Pavement Structural Pavement Failure (Digouts) Pavement Grinding and Paving Emergency Pothole Repairs Sealing Operations Portland Cement Crack and Joint Sealing Rigid Pavement Mudjacking and Drilling Concrete Slab and Spall Repair ShoulderGrading Nonlandscaped Chemical Vegetation Control Nonlandscaped Mechanical Vegetation Control/Mowing Nonlandscaped Tree and Shrub Pruning, Brush Chipping,Tree Slope/Drains/Vegetation and Shrub Removal Fence Repair Drainage Ditch and Channel Maintenance Drain and Culvert Maintenance Curb and Sidewalk Repair Sweeping Operations Litter/Debris/Graffiti Litter and Debris Removal Emergency Response and Cleanup Practices Graffiti Removal Chemical Vegetation Control Manual Vegetation Control Landscaped Mechanical Vegetation Control/Mowing Landscaping Landscaped Tree and Shrub Pruning, Brush Chipping, Tree and Shrub Removal Irrigation Line Repairs Irrigation(Watering), Potable and Nonpotable ARTICLE 2 GC-20 Storm Drain Stenciling Roadside Slope Inspection Environmental Roadside Stabilization Stormwater Treatment Devices Traction Sand Trap Devices Welding and Grinding Bridges Sandblasting, Wet Blast with Sand Injection and Hydroblasting Painting Bridge Repairs Pump Station Cleaning OtherStructures Tube and Tunnel Maintenance and Repair Tow Truck Operations Toll Booth Lane Scrubbing Operations Electrical Sawcutting for Loop Installation Thermoplastic Striping and Marking Paint Striping and Marking Traffic Guidance Raised/ Recessed Pavement Marker Application and Removal Sign Repair and Maintenance Median Barrier and Guard Rail Repair Emergency Vehicle Energy Attenuation Repair Storm Maintenance Minor Slides and Slipouts Cleanup/Repair Building and Grounds Maintenance Storage of Hazardous Materials(Working Stock) Material Storage Control (Hazardous Waste) Management and Support Outdoor Storage of Raw Materials Vehicle and Equipment Fueling Vehicle and Equipment Cleaning Vehicle and Equipment Maintenance and Repair Aboveground and Underground Tank Leak and Spill Control B. Water Quality Protection Requirements for Construction Projects with Less than One (1)Acre of Disturbed Soil. All construction projects, regardless of size, will be required to implement best management practices (BMPs) necessary to reduce pollutants to the Maximum Extent Practicable (MEP) to meet the minimum water quality protection requirements and implement all applicable set of BMPs as defined in Table 2-2. ARTICLE 2 GC-21 Table 2-2 Minimum Water Quality Protection Requirements and Applicable Set of BMPs for All Construction Projects Category Minimum Requirements BMPs 1. Sediment Control Sediments generated on the project site shall be Sediment retained using adequate Treatment Control or Controls Structural BMPs. 2. Non-Stormwater Construction-related materials,wastes, spills or Non-Stormwater Management, residues shall be retained at the project site to avoid Management and Waste discharge to streets, drainage facilities, receiving WasteManageme Management and waters, or adjacent properties by wind or runoff. nt Materials Pollution Non-storm water runoff from equipment and vehicle Control washing and any other activity shall be contained at the project sites. 3. Erosion Control Erosion from slopes and channels shall be Erosion Controls controlled by implementing an effective combination of BMPs, such as the limiting of grading scheduled during the wet season; inspecting graded areas during rain events; planting and maintenance of vegetation on slopes; and covering erosion susceptible slopes. Please refer to the California Stormwater Quality Association's Construction Handbook(available on their website: www.cabmphandbooks.com)for further information regarding the BMPs listed in Table 2-2. All construction projects with Less than One(1)Acre of Disturbed Soil shall submit to the City a signed Statement of Intent to Comply with Minimum Requirements of the Stormwater Permit (Exhibit 5). The Contractor may self-certify that the following training was completed on an annual basis providing they certify they have received all applicable training: • The Contractor shall train all of their employees in targeted positions (whose interactions, jobs, and activities affect stormwater quality) on the requirements of the overall stormwater management program. • When the Work includes the use or have the potential to use pesticides or fertilizers, the Contractor shall train all of their employees (whether or not they normally apply pesticides or fertilizers as part of their work). Training programs shall address: 1) The potential for pesticide-related surface water toxicity 2) Proper use, handling, and disposal of pesticides ARTICLE 2 GC-22 3) Least toxic methods of pest prevention and control, including Integrated Pest Management 4) Reduction of pesticide use C. Water Quality Protection Requirements for Construction Projects with One (1)Acre (or greater) of Disturbed Soil. In addition to the minimum BMPs required in Paragraphs A and B, all construction projects where at least one (1) acre of soil will be disturbed, construction activity that results in land surface disturbances of less than one acre if the activity is part of a larger common plan of development, or the sale of one or more acres of disturbed land surface requires a Construction Activities Storm Water General Permit(2009.0009-DWQ Permit). Prior to commencement of construction activities, the Permit Registration Documents (PRDs) must be submitted electronically in the Storm Water Multi-Application Report Tracking System (SMARTS) (http://smarts.waterboards.ca.gov/smarts/faces/SwSmartsLogin.'sp). PRDs consist of the Notice of Intent, Risk Assessment, Post-Construction Calculations, a Site Map, the Storm Water Pollution Prevention Plan (SWPPP), a signed certification statement by the Legally Responsible Person (LRP), and the first annual fee. See: http://www.swrcb.ca.gov/water_issues/programs/stormwater/construction.shtml for more information. A Waste Discharger Identification (WDID) will be emailed to the LRP after the PRDs have been submitted and are deemed complete. Construction activities cannot begin until a WDID is issued by the State Water Resources Control Board. Contractor shall bear the costs of any delays to the Project caused by a delay in obtaining its WDID. The SWPPP shall include: 1. The name, location, period of construction, and a brief description of the project; 2. Contact information for the owner and contractor; 3. The building permit number for the project; 4. The grading permit number for the project(where applicable); 5. A list of major construction materials,wastes, and activities at the project site; 6. A list of best management practices to be used to control pollutant discharges from major construction materials,wastes, and activities; 7, A site plan (construction plans may be used) indicating the selection of BMPs and their location where appropriate; 8. Non-storm water discharges, their locations, and the BMPs necessary to prevent the discharge; 9. A maintenance and self-inspection schedule of the BMPs to determine the effectiveness and necessary repairs of the BMPs; and 10. A certification statement that all required and selected BMPs will be effectively implemented. Within seven (7) days after the City awards the Contract, the Contractor shall submit seven 7 copies of the proposed SWPPP to the City. The City shall review the SWPPP within 14 days of receipt of the plan. If revisions are required, the Contractor shall revise and re-submit the document within seven (7) days of its receipt of the City's comments. The City shall then have seven (7)days to consider the revisions made by the Contractor and approve the SWPPP. ARTICLE 2 GC-23 The Contractor shall maintain a minimum of two (2) readily accessible copies of the SWPPP at the Project site. The SWPPP shall be made available upon request of a representative of the Los Angeles Regional Water Quality Control Board (LARWQCB) or the U.S. Environmental Protection Agency (U.S. EPA). Requests by environmental groups and the public shall be directed to the City. D. Best Management Practices The objective of the SWPPP is to identify potential sources of pollution that may reasonably affect the quality of storm water discharge associated with construction activities. The plan will describe and ensure the implementation of Best Management Practices (BMPs) which will be used to reduce pollutants in the storm water discharges from the construction site. A Best Management Practice is defined as any program, technology, process, operating method, measure, or device that controls, prevents, removes, or reduces pollution. The Contractor shall select appropriate BMPs from the California Stormwater BMP Handbook, Municipal, Industrial, New Development, and Construction Volumes (www.cabmphandbooks.com) in conjunction with all activities and construction operations. Copies of the California Stormwater BMP Handbooks may be obtained from: California Stormwater Quality Association Cashier P.O. Box 2313 Los Angeles County DPW Livermore, CA 94551 900 South Fremont Avenue www.cabmphandbooks.com Alhambra, CA 91803 Tel. No. (626)458-6959 E. Implementation The Contractor will be responsible throughout the duration of the Project for the installation, monitoring, inspection and maintenance of the BMPs included in the SWPPP and for removing and disposing of temporary BMPs. The Contractor may be required to implement additional BMPs as a result of changes in actual field conditions, contractor's activities,or construction operations. The Contractor shall demonstrate the ability and preparedness to fully deploy these SWPPP control measures to protect soil-disturbed areas of the project site before the onset of precipitation and shall maintain a detailed plan for the mobilization of sufficient labor and equipment to fully deploy these control measures. Throughout the winter season, active soil-disturbed areas of the project site shall be fully protected at the end of each day with these control measures unless fair weather is predicted through the following day. The Contractor shall monitor daily weather forecasts. If precipitation is predicted prior to the end of the following workday, construction scheduling shall be modified, as required, and the Contractor shall deploy functioning control measures prior to the onset of the precipitation. The City may order the suspension of construction operations which are creating water pollution if the Contractor fails to conform to the requirements of this Paragraph 2.17. Unless otherwise directed by the City, the Contractor's responsibility for SWPPP implementation shall continue throughout any temporary suspension of the Work. ARTICLE 2 GC-24 F. Sewage Spill Prevention. The Contractor's attention is directed to the sewer bypass operation required during any sewer construction pursuant to the 2012 edition of the "Greenbook" Standard Specifications for Public Works Construction, Section 500.1.2.4 or as that section is subsequently amended. The Contractor shall exercise extraordinary care to prevent the cause of events that may lead to a sewage spill. In the event of a sewage spill, the Contractor shall make arrangements for an emergency response unit comprised of emergency response equipment and trained personnel to be immediately dispatched to the project site. The Contractor shall be fully responsible for preventing and containing sewage spills as well as recovering and properly disposing of raw sewage. In addition, the Contractor is responsible for any fines, penalties and liabilities arising from negligently causing a sewage spill. Any utility that is damaged by the contractor shall be immediately repaired at the Contractor's expense. The Contractor shall take all measures necessary to prevent further damage or service interruption and to contain and clean up the sewage spills. G. Sewage Spill Telephone Notification Should a sewage spill occur, the Contractor shall immediately report the incident to either one of these two City Departments: Sewer Maintenance Services City of Vernon Control Center(323)826-1461 Fire Department Dispatch Center 911 The Contractor is encouraged to obtain telephone numbers, pager numbers and cellular telephone numbers of City representatives such as Project Managers and Inspectors. However, if these City representatives are not available,then the Contractor shall immediately call: Felix Velasco, Project Manager(323)605-8702 H. Sewage Spill Written Notification The Contractor shall prepare and submit a written report to the Director within three (3) Working Days from the occurrence of a spill to the City. This report shall describe all of the following: 1. The exact location on the Thomas Guide map 2. The nature and volume 3. The date,time and duration 4. The cause 5. The type of remedial and/or cleanup measures taken and date and time implemented 6. The corrective and preventive action taken, and 7. The water body impacted and results of necessary monitoring ARTICLE 2 GC-25 I. Enforcement The City is subject to enforcement actions by the LARWQCB, U.S. EPA, environmental groups and private citizens. The Contractor shall indemnify, defend and hold City, its officers, agents and employees harmless from Contractor's failure to comply and/or fulfill the requirements set forth in this Paragraph 2.17. Contractor shall be responsible for all costs and liabilities imposed by law as result of Contractor's failure to comply and/or fulfill the requirements set forth in this Paragraph 2.17. The costs and liabilities include, but are not limited to fines, penalties and damages whether assessed against the City or the Contractor. In addition to any remedy authorized by law, any money due to the Contractor under this contract shall be retained by the City until all costs and liabilities imposed by law against the City or Contractor have been satisfied. I Maintenance The Contractor shall ensure the proper implementation and functioning of BMP control measures and shall regularly inspect and maintain the construction site for the BMPs identified in the SWPPP. The Contractor shall identify corrective actions and time frames in order to properly address any damaged measure,or reinitiate any BMPs that have been discontinued. If the City identifies a deficiency in the deployment or functioning of identified control measures, the deficiency shall be corrected by the Contractor immediately or by a later date and time if agreed to by Director and if requested in writing, but not later than the onset of the subsequent precipitation events. The correction of deficiencies shall be at no additional cost to the City. K. Payment All costs involved in the implementation of the SWPPP, including furnishing all labor, materials, tools, equipment and all incidentals; and for doing all the work involved in installing, constructing, maintaining, removing, and disposing of control measures, except those that were installed as a part of another structure, shall be included in the unit prices bid for the various related items of work and no additional compensation will be made therefor. 2.18 SOLID WASTE DISPOSAL AND DIVERSION The Contractor shall submit to the Director the following summary of solid waste generated by the Work, disposed in Class III landfills, or diverted from disposal through recycling. Report disposal in inert fill separately. This form must be accompanied by legible copies of weight tickets, receipts, or invoices that specifically identify the project generating the material. Said documents must be from recyclers and/or disposal site operators that are acceptable to the Director. Further,the documents must be submitted to the Director with each application for progress payment. Failure to submit the form and its supporting documentation will render the application for progress payment incomplete and delay progress payments. ARTICLE 2 GC-26 SUMMARY OF SOLID WASTE DISPOSAL AND DIVERSION I Project Title: Specification No. Type of Material (a) (b) (c) (d) Disposed in Class III Landfills Diverted from Class III [Leave This Column Blank] Disposed in Inert Fills Landfills by Recycling Tons/CY Tons/CY Tons/CY Tons/CY Asphalt Concrete Metal Other Segregated Materials (Describe): Miscellaneous Construction Waste Total Form to be submitted to the City SIGNATURE: TITLE: DATE: 2.19 RECYCLED, REUSABLE AND RECYCLABLE PRODUCTS The Contractor is encouraged to propose recycled, reusable and recyclable products for use by the City. Those items should be clearly identified. The City may require further information or documentation to ascertain the suitability/appropriateness of a proposed product. [END OF ARTICLE] ARTICLE 2 GC-27 ARTICLE 3 -TIME OF COMMENCEMENT AND COMPLETION 3.01 COMMENCEMENT,PROSECUTION,AND COMPLETION OF WORK A. Notice to Proceed The Contractor is not authorized to perform any Work the Contract Documents until he/she has received from the City an official notification to commence Work. The date on which the notification is received by the Contractor is herein referred to as the Notice to Proceed. The Contractor shall commence Work on the Date of Commencement established in the Notice to Proceed is issued. The Notice to Proceed shall be issued after the Contract is properly executed, bonds are furnished and approved,and insurance has been submitted and approved. B. Prosecution of the Work Work shall be continued at all times with such force and equipment as will be sufficient to complete it within the specified time. The Contractor expressly proposes that he/she has taken into consideration and made allowances for all ordinary delays and hindrances to the Work to be performed and that he/she will complete the Work within the specified time. C. Required Contract Completion Time is of the essence in the completion of this Contract. The Work shall be completed in its entirety and made ready for service within sixty(60) calendar days following the Date of Commencement established in the Notice to Proceed ("Contract Time"). By executing the Contract, Contractor confirms that the Contract Time is a reasonable period for performing the Work. 3.02 CITY'S DISCRETION TO EXTEND CONTRACT TIME In the event the Work required hereunder is not satisfactorily completed in all parts and in compliance with the Contract Documents, City shall have the right, in its sole discretion,to increase the number of Working Days or not, as may seem best to serve the interest of City. A change order extending the Contract Time only will be issued by the City should the City decide to increase the number of Working Days, 3.03 SUBSTANTIAL COMPLETION A. Contractor Request for Inspection and Punch List When the Contractor considers that it has achieved Substantial Completion of the Work, or designated portion thereof, Contractor shall prepare and submit to the Director a request for inspection and a comprehensive punch list of items to be completed or corrected prior to Final Payment. Failure to include an item on such punch list does not alter the responsibility of the Contractor to complete all Work in accordance with the Contract Documents. B. City Inspection Upon receipt of the Contractor's punch list, the Director will make an inspection to determine whether the Work or designated portion thereof is Substantially Complete. If the inspection discloses any item, whether or not included on the Contractor's punch list, which is not sufficiently complete in accordance with the Contract Documents so that the City can occupy or utilize the ARTICLE 3 GC-28 Work or designated portion thereof for its intended use,the Contractor shall, before City's issuance of the Certificate of Substantial Completion,complete or correct such item upon notification by City. The Contractor shall then submit a request for another inspection by City to determine Substantial Completion. C. Certificate of Substantial Completion When the Work or designated portion thereof is substantially complete, the Director will prepare a Certificate of Substantial Completion which shall establish the date of Substantial Completion, shall establish responsibilities of the City and Contractor for security, maintenance, utilities, damage to the Work, and insurance, and shall fix the time within which the Contractor shall finish all items on the Contractor's punch list accompanying the Certificate. Warranties required by the Contract Documents shall commence on the date of Substantial Completion of the Work. Contractor shall deliver to City all warranty and guarantee documents and policies. 3.04 DELAYS AND EXTENSIONS OF TIME FOR CONTRACTOR A. The Contractor shall take reasonable precautions to foresee and prevent delays to the Work. In the event of any delay to the Work, the Contractor shall revise his/her sequence of operations, to the extent possible under the terms of the Contract,to offset the delay. B If any delay to the Work is caused by circumstances within the Contractor's control, it is not excusable and not compensable, and the Contractor will not be entitled to any extension of time or to any other compensation for damages resulting directly or indirectly therefrom. C. If any delay having a direct effect on the Work is caused by circumstances beyond the control of the Contractor except for causes of delay specified in Paragraph 3.04-D., such delay may be excusable and may entitle the Contractor to an equivalent extension of time, but not to any other compensation. Excusable but not compensable causes include but are not limited to labor disputes,weather conditions unfavorable for prosecution of the Work, and force majeure. D. If any delay having a direct effect on the Work is caused by failure of the City to provide information as specified,or necessary instructions for carrying on the Work,or to provide the necessary right of way or site for installation, or failure of a utility to remove or relocate an existing facility such delay may be compensable and may entitle the Contractor to an equivalent extension of time, and to compensation for damages resulting directly from any of the causes of delay specified in this paragraph. E. The Contractor shall notify the Director in writing of any delay having a direct effect on the Work and the causes thereof within 15 days from the beginning of such delay. F. Any claim for an extension of time or for compensation for damages resulting from delay shall be made in writing to the Director not more than 30 days after the ending of such delay. The Contractor shall provide a written report evaluating the impact of the delay which shall include, at a minimum,all of the following: 1. a narrative description of the delay and its impact on the critical path to Substantial Completion of the Work or a portion of the Work designated by City; 2. a detailed breakdown of the Allowable Costs, if any,sought by Contractor due to the delay; ARTICLE 3 GC-29 3. the number of days of extension sought by Contractor as an adjustment to the Contract time; 4. a statement that Contractor has complied with the requirements of the General Conditions for written notice of delays,along with the dates and copies of such notices; 5. the measures taken by Contractor and Subcontractors to prevent or minimize the delay;and 6. the Contactor's recommendations for reordering or re-sequencing the Work to avoid or minimize further delay. No extension of time or compensation for damages resulting from delay will be granted unless the delay affects the timely completion of the overall Work under the Contract or the timely completion of a portion of the Work for which a time of completion is specified. G. The Director will investigate the facts and ascertain the extent of the delay, and his/her findings thereon shall be final and conclusive. H. Failure of the Contractor to give written notice of a delay, or to submit or document a claim for an extension of time or for damages resulting from delay in the manner and within the times stated above shall constitute a waiver of all claims thereto. I. When a Contractor experiences two concurrent delays,one compensable and the other excusable, no compensation other than an extension of time will be allowed. J. An extension of time must be approved by the Director to be effective, but an extension of time whether with or without consent of the sureties,shall not release the sureties from their obligations, which shall remain in full force until the discharge of the Contract. 3.05 CLIMATIC CONDITIONS A. The Director may suspend the Work whenever weather conditions or conditions resulting from inclement weather are unfavorable for the prosecution of the Work. The delay caused by such suspension may entitle the Contractor to an extension of time but not to any other compensation. B. If the Contractor believes that Work should be suspended under this Paragraph 3.05, he/she may request such suspension. The delay caused by such suspension may entitle the Contractor to an extension of time but not to any other compensation. C. No extension of time will be granted for suspension of Work unless the suspension affects the timely completion of all Work under the Contract or the timely completion of a portion of the Work for which a time of completion is specified. Determination that the suspension for inclement weather conditions or conditions resulting from inclement weather affects timely completion and entitles the Contractor to an extension of time shall be made and agreed to in writing by the Director and the Contractor on each day that Work is suspended. In the event of failure to agree, the Contractor may protest under the provisions of Paragraph 7.07. D. If Work is suspended and an extension of time is granted under this Paragraph 3.05 the Contractor will be entitled to a one day extension of time for each day that he/she is unable to Work at least one-half of his/her current normal Work day; and if the Work is suspended at the regular starting time on any Work day and the Contractor's Workforce is dismissed as a result thereof, then he/she ARTICLE 3 GC-30 will be entitled to a one day extension of time whether or not conditions change thereafter and the major portion of the day is suitable for Work. 3.06 COMPLETION AND ACCEPTANCE A. Upon request by the Contractor, the Director shall conduct a final inspection of the Work. If, in the Director's opinion, Final Completion has been achieved,the Director will accept the Work by issuing a "Notice of Completion"of the Work to the Contractor. Upon the issuance of the Notice of Completion the Contractor will be relieved from responsibility to protect the Work. B. Within 15 calendar days after issuing the Notice of Completion, the Director will record the Notice of Completion with the County Recorder. 3.07 LIQUIDATED DAMAGES A. Contractor and City agree to liquidate damages in the amount of one thousand and five hundred dollars($1,500) per day,with respect to Contractor's failure to achieve Substantial Completion of the Work within the Contract Time. The Parties intend for the liquidated damages set forth herein to apply to this Contract as set forth in Government Code Section 53069.85. The Contractor acknowledges and agrees that the liquidated damages are intended to compensate City solely for the Contractor's failure to meet the deadline for Substantial Completion and shall not excuse Contractor from liability from any other breach, including any failure of the Work to conform to the requirements of the Contract Documents. B. In the event that Contractor fails to achieve Substantial Completion of the Work within the Contract Time, Contractor agrees to pay City the amount specified in the Contract form for each calendar day that Substantial Completion is delayed. C. Contractor and City acknowledge and agree that the foregoing liquidated damages have been set based on an evaluation of damages that the City will incur in the event of late completion of the Work. Contractor and City acknowledge and agree that the amount of such damages are impossible to ascertain as of the effective date hereof and have agreed to such liquidated damages to fix City's damages and to avoid later disputes. It is understood and agreed by Contractor that liquidated damages payable pursuant to this Agreement are not a penalty and that such amount are not manifestly unreasonable under the circumstances existing as of the effective date of this Agreement. D. It is further mutually agreed that City shall have the right to deduct liquidated damages against progress payments or retainage and that the City will issue a Construction Change Directive and reduce the Contract Sum accordingly. In the event the remaining unpaid Contract Sum is insufficient to cover the full amount of liquidated damages. Contractor shall pay the difference to City. [END OF ARTICLE] ARTICLE 3 GC-31 ARTICLE 4-CONSTRUCTION SCHEDULES 4.01 BASELINE PROJECT SCHEDULE The Contractor shall submit his/her work Baseline Project Schedule, in electronic as well as hard-copy format, to the Director at the pre-construction meeting showing in detail how the Contractor plans to execute and coordinate the Work. The construction schedule shall show the sequence of work, critical path and estimated time for completion of each segment of work. This schedule must be reviewed and accepted by the Director before the Contractor will be permitted to begin work. In addition, the Contractor shall submit a detailed schedule forecasting two (2) weeks of work describing each day's work. This schedule shall be updated and submitted to the City every other Monday during the construction period. The Contractor shall give 48 hours notice to the City Engineer prior to the start of the work. A. Format 1. At a minimum,the Baseline Project Schedule activities shall be coded on a work discipline basis and by geographic area or location on the Project. The Baseline Project Schedule shall include a detailed description of each activity code. The Baseline Project Schedule shall be based on and incorporate contract milestone and completion dates specified in the Contract Documents. It shall depict events,jobs, and their interrelationships and shall recognize the progress that must be made on one task before subsequent tasks can begin. The schedule shall be comprehensive and shall include all logical interdependencies and interactions required to perform the Work of the Project. 2. Overall time of completion and time of completion for each milestone shown on the Schedule shall adhere to the specified Contract Time, unless an earlier(advanced) time of completion is requested by Contractor,agreed to by the City and formalized by Change Order. 3. Contractor shall use the latest version of Microsoft Project or equivalent software agreed to by the parties. 4. The City will review the submitted Baseline Project Schedule for conformance with these scheduling requirements. Within fourteen (14) calendar days after receipt, the City will accept the proposed Baseline Project Schedule or will return it with comments. If the proposed Baseline Project Schedule is accepted by the City, it shall be deemed part of the Contract Documents. If the Baseline Project Schedule is not accepted by City, Contractor shall revise the Baseline Project Schedule, in accordance with the recommendations of the City, and re-submit same for acceptance, no later than seven(7)calendar days after receipt of said recommendation. 5. Acceptance of Baseline Project Schedule by City, failure to include an element of work, or inaccuracy in Baseline Project Schedule shall not relieve Contractor from the responsibility for accomplishing the Work in accordance with the Contract Documents. B. Float 1. Critical Work activities are defined as Work activities which, if delayed or extended, will delay the scheduled completion of the milestones and/or time of completion. All other Work activities are defined as non-critical Work activities and are considered to have float. Float is defined as the time that a non-critical Work activity can be delayed or extended without delaying the scheduled completion of the milestones and/or time of completion. Float is considered a Project resource ARTICLE 4 GC-32 available to either party or both parties as needed. Once identified, Contractor shall monitor, account for,and maintain float in accordance with Critical Path Methodology. 2. Delays of any non-critical Work shall not be the basis for an extension of Contract Time until the delays consume all float associated with that non-critical Work activity and cause the Work activity to become critical. 3. It is acknowledged that City-caused time savings (i.e., critical path submittal reviews returned in less time than allowed by the Contract Documents,approval of substitution requests which result in a savings of time for Contractor, etc.) create shared float. Accordingly, City-caused delays may be offset by City-caused time savings. C. Early Completion While the Contractor may schedule completion of the Project earlier than the date established by the Contract Documents, no additional compensation shall become due the Contractor for the use of float time between the Contractor's projected early completion date and the date for Substantial Completion established by the Contract Documents, unless an earlier(advanced)time of completion is requested by Contractor,agreed to by the City,and formalized by Change Order. 4.02 SCHEDULE UPDATES A. With each Application for Payment submitted by Contractor (other than the final Application for Payment),the Contractor shall submit to the City an updated Project Schedule revised to indicate the Work completed, status of Work in progress, all progress slippages, corrective actions taken, or slippage carry-over, for all anticipated delays or difficulties, and all other information required to accurately present the actual status of the progress of the Work as of the date of the Application for Payment. If the Contractor does not submit an updated Project Schedule with an Application for Payment, City may withhold payment, in whole or in part, until the updated Project Schedule is submitted. In the event that an update to the Project Schedule indicates a delay to the Contract Time the Contractor shall propose an affirmative plan to correct each such delay, including overtime and/or additional labor, if necessary. In no event shall any Project Schedule update constitute an adjustment in the Contract Time, any deadline,or the Contract Sum unless any such adjustment is agreed to by the City and authorized pursuant to Change Order or Work Directive. B. At no time shall historical data contained within the updated Project Schedule (i.e. completed activities)be removed and/or altered in any way. This historical data is to be preserved within each of the updated Project Schedules and submitted with the final schedule update to reflect the actual start and finish dates for each activity within the Schedule. C. Any work stoppages within individual work activities that exceed seven (7) calendar days in duration shall be clearly indicated within the updated Project Schedule. In cases where unplanned activity work stoppages exceed seven (7)calendar days activities shall be added to the Project Schedule to clearly indicate the work stoppage period and identify forecasted resumption and completion of the activity where work has stopped. Contractor shall clearly note all schedule revisions when Project Schedule updates are submitted, as required in this Paragraph 4.02 above. 4.03 NONCOMPENSABLE EXTRAORDINARY MEASURES A. Should the City determine, in its sole judgment,that the performance of the Work has not progressed to the level of completion required by the Contract Documents, City shall have the right to order the ARTICLE 4 GC-33 Contractor to take corrective measures to expedite the progress of construction, at no additional cost to the City,including,without limitation,the following: 1. Working additional shifts of overtime. 2. Supplying additional manpower,equipment,and/or facilities. 3. Reschedule activities to maximize practical concurrence of accomplishment of activities. 4. Submitting a Recovery Schedule discussed above,for resequencing performance of the Work or other similar measures. 5. Any other actions that may be necessary to mitigate delays. B. Such Extraordinary Measures shall continue until the progress of the Work is no longer behind schedule and/or reaches the stage of completion required by the Contract Documents. Contractor shall not be entitled to an adjustment in the Contract Sum in connection with the performance of any such Extraordinary Measures required by the City under this Paragraph. The City may exercise the rights furnished the City pursuant to this Paragraph as frequently as the City deems necessary to ensure that the Contractor's performance of the Work will comply with the Contract Time or interim completion dates set forth in the Contract Documents. If Contractor or its Subcontractors fail to implement or commence Extraordinary Measures within ten (10) calendar days of City's written demand, City may, without prejudice to other remedies, take corrective action at the expense of the Contractor which shall reduce the Contract Sum accordingly. 4.04 CONDITION OF PAYMENT Compliance by Contractor with the requirements of the Contract Documents pertaining to preparation, submission, revising and updating of the Schedule is a condition precedent to City's obligation to make payment to Contractor of any or all sums that might otherwise be due to Contractor in the absence of such noncompliance. Payment by City under circumstances in which City, for any reason, fails or elects not to assert its right to withhold payment for noncompliance with this Paragraph shall not be construed as a waiver of the right to withhold future payments on account of such noncompliance or any other noncompliance. [END OF ARTICLE] ARTICLE 4 GC-34 ARTICLE 5- SUSPENSION OR TERMINATION OF CONTRACT 5.01 TERMINATION BY THE CONTRACTOR A. Contractor shall have the right to terminate its performance of the Contract only upon the occurrence of one of the following: 1. The Work is stopped for a period of ninety (90) consecutive days through no act or fault of the Contractor, any Subcontractor, Sub-subcontractor, their agents or employees, or any other persons or entities performing portions of the Work under direct or indirect contract with the Contractor,due to: a. the issuance of an order of a court or other public authority having jurisdiction;or b. an act of government, such as a declaration of national emergency making material unavailable; and Contractor has given City written notice within ten (10) days of the occurrence of such ground for termination,then the Contractor may, upon thirty(30)additional calendar days written notice to City, unless the reason has theretofore been cured, terminate its performance of the Work. 2. The Work is stopped for a period of 120 consecutive days through no act or fault of Contractor, any Subcontractor, Sub-subcontractor, their agents or employees, or any other persons or entities performing portions of the Work under direct or indirect contract with the Contractor, because the City has persistently failed to perform any material obligation under the Contract Documents and fails to cure such default within ninety(90)days after the receipt of notice from Contractor stating the nature of such default. B. If Contractor terminates its performance of the Contract in accordance with this Paragraph 5.01, the City shall pay Contractor for the Work executed through the date of termination as set forth in Paragraph 5.04-C below. 5.02 TERMINATION BY THE CITY FOR CAUSE A. Grounds The City shall have the right to terminate the Contractor's performance of the Contract, in whole or in part,without liability to City if: 1. Contractor fails promptly to begin the Work under the Contract Documents;or 2. Contractor refuses or fails to supply enough properly skilled workers or proper materials;or 3. Contractor fails to perform the Work in accordance with the Contract Documents, including conforming to applicable standards set forth therein in constructing the Project, or refuses to remove and replace rejected materials or unacceptable Work;or 4. Contractor discontinues the prosecution of the Work (exclusive of work stoppage: (a) due to termination by City; or (b) due to and during the continuance of a Force Majeure event or suspension by City);or ARTICLE 5 GC-35 5. Contractor fails to resume performance of Work which has been suspended or stopped,within a reasonable time after receipt of notice from City to do so or(if applicable) after cessation of the event preventing performance;or 6. Any representation or warranty made by Contractor in the Contract Documents or any certificate, schedule, instrument, or other document delivered by Contractor pursuant to the Contract Documents shall have been false or materially misleading when made;or 7. Contractor fails to make payment to Subcontractors or Material Suppliers for materials or labor in accordance with the respective Contract Documents and applicable law;or 8. Contractor disregards laws, ordinances, or rules, regulations, or orders of a public authority having jurisdiction;or 9. Contractor is guilty of breach of a provision of the Contract Documents;or 10. Contractor becomes insolvent, is adjudicated bankrupt, or makes a general assignment for the benefit of creditors and fails to provide City with adequate assurances of Contractor's ability to satisfy its contractual obligations. A receiver, trustee, or other judicial officer shall not have any right, title, or interest in or to the Contract. Upon that person's appointment, City has, at its option and sole discretion, the right to immediately cancel the Contract and declare it null and void. B. City's Rights. When any of the reasons specified in Paragraph 5.02-A exist,the City may, in addition to and without prejudice to any other rights or remedies of the City, and after giving the Contractor five (5) calendar days written notice,terminate Contractor's performance of the Work,in whole or in part,and may: 1. Take possession of the site and all materials, equipment, tools, construction equipment, and machinery thereon owned by the Contractor; 2. Withhold from Contractor amounts unpaid hereunder and to offset such amounts against damages or losses incurred by City; 3. Accept assignment of subcontracts from Contractor,at the sole discretion of City,and 4. Finish the Work by whatever reasonable method the City may deem expedient. Upon request of the Contractor, the City shall furnish to the Contractor a detailed accounting of the costs incurred by the City in finishing the Work. C. Costs If City's costs to complete and damages incurred due to Contractor's default exceed the unpaid Contract balance,the Contractor shall pay the difference to the City. D. Wrongful Termination If it has been adjudicated or otherwise determined that City has wrongfully terminated the Contractor for cause, then said termination shall be deemed converted to a termination for convenience as set ARTICLE 5 GC-36 forth in Paragraph 5.04 and Contractor's remedy for wrongful termination in such event shall be limited to the recovery of the payments permitted for termination for convenience as set forth in Paragraph 5.04. 5.03 PARTIAL DELETION OR SUSPENSION OF WORK BY THE CITY A. Contractor agrees that the City may determine whether any or all of the Work described in the Contract Documents shall be deleted or performance suspended without electing to terminate the Contractor's performance under the Contract and without any penalty being incurred by the City. B. Any such partial deletion or suspension of the Work shall in no way void or invalidate the Contract nor shall it provide Contractor with any basis for seeking payment from City for Work deleted or suspended except to the extent such Work has already been performed and is otherwise compensable under the Contract. C. The City shall have the right to later have any such suspended or deleted Work performed by Contractor or others without any penalty to the City. D. In the event of any partial or complete deletion or suspension of Work, the City shall furnish Contractor with prompt written notice thereof, and the City shall be entitled to take possession of and have as its property all Record Documents, Accounting Records, and other data prepared by Contractor or its Subcontractors. Suspension for Convenience. 1. The City may at any time and from time to time,without cause,order the Contractor, in writing,to suspend, delay, or interrupt the Work in whole or in part for such period of time as the City may determine. Such order shall be specifically identified as a "Work Suspension Directive" under this Section. 2. Upon receipt of a Work Suspension Directive, Contractor shall, at the City's expense, comply with its terms and take all reasonable steps to minimize costs allocable to the Work covered by the Work Suspension Directive during the period of Work stoppage. 3. Within the period of suspension,or such extension to that period as is agreed upon by Contractor and the City, the City shall either cancel the Work Suspension Directive or delete the Work covered by such Work Suspension Directive by issuing a Change Order or Construction Change Directive. 4. If a Work Suspension Directive is cancelled or expires, Contractor shall continue the Work. A Change Order or Construction Change Directive will be issued to cover any adjustments of the Contract Sum and Contract Time necessarily caused by such suspension. No adjustment shall be made to the extent: (a) That performance is, was, or would have been so suspended, delayed, or interrupted by another cause for which the Contractor is responsible;or (b) That an equitable adjustment is made or denied under another provision of the Contract. ARTICLE 5 GC-37 F. Suspensions for Cause City has the authority by written order to suspend the Work, in whole or in part,without liability to City for Contractor's failure to: 1. Correct conditions unsafe for the Project personnel or general public,or 2. Carry out the Contract;or 3. Carry out orders of City. G. Responsibilities of Contractor During Suspension Periods During periods that Work is suspended, Contractor shall continue to be responsible for the Work and shall prevent damage or injury to the Project, provide for drainage, and shall erect necessary temporary structures,signs or other facilities required to maintain the Project and continue to perform according to the Contract Documents. 5.04 TERMINATION BY THE CITY FOR CONVENIENCE A. Grounds Without limiting any rights which City may have by reason of any default by Contractor hereunder, City may terminate Contractor's performance of the Contract, in whole or in part, at any time, for convenience upon fifteen(15)calendar days written notice to Contractor. B. Contractor Actions Upon receipt of such notice, Contractor shall perform the duties required by Paragraph 5.05 below. At the election of and as directed by the City, any or all of the subcontracts and purchase orders entered in to by Contractor prior to the effective date of termination shall be terminated or shall be assigned to City. C. Compensation 1. If the Parties are unable to agree on the amount of a termination settlement, the City shall pay the Contractor the following amounts: For Work performed before the effective date of termination, the total (without duplication of any items)of: i. The cost of the Work;and ii. A sum, as overhead and profit on the cost of the Work, determined by the City to be fair and reasonable. In no event shall Contractor be entitled to recover overhead or profit on Work not performed. b. The reasonable costs of settlement of the Work terminated, including: i. Accounting, clerical, and other expenses reasonably necessary for the preparation of termination settlement proposals and supporting data, if any;and ARTICLE 5 GC-38 ii. Storage,transportation,and other costs reasonably necessary for the preservation, protection,or disposition of inventory. 2. Such payment shall be Contractor's exclusive remedy for termination for convenience and will be due and payable on the same conditions as set forth for final payment to the extent applicable. Upon receipt of such payment, the Contractor and City shall have no further obligations to each other except for Contractor's obligations with respect to warranties, representations, indemnity, maintenance of insurance, and other obligations that survive termination or Final Completion as provided for herein. 3. It is understood and agreed that no fee, anticipated profit, compensation for lost opportunity costs, or other compensation or payment of any kind or character shall be due or payable for unperformed Work regardless of the basis of termination and the inclusion of this provision within this subparagraph shall in no way limit its application to termination under this Paragraph. 4. Contractor agrees that each of its subcontracts will reserve for the Contractor the same right of termination for convenience provided by this Paragraph 5.04. D. No Consequential Damages Under no circumstances shall Contractor be entitled to anticipatory or unearned profits or consequential or other damages as a result of a termination or partial termination under this Article 5. The payment to Contractor determined in accordance with this Article constitutes Contractor's exclusive remedy for a termination hereunder. 5.05 CONTRACTOR'S DUTIES UPON TERMINATION FOR CAUSE OR CONVENIENCE If the City terminates Contractor's performance of Work under the Contract, for cause or convenience or if Contractor terminates a Subcontractor with the City's approval, Contractor shall: (1)cease performance of the Work to the extent specified in the notice; (2)take actions necessary or that the City may direct,for the protection and preservation of the Work; (3)settle outstanding liabilities,as directed by City; (4)transfer title and deliver to City Work in progress,specialized equipment necessary to perform the Work; (5) submit all Record Documents, Accounting Records and other data prepared pursuant to the Contract by Contractor and/or its Subcontractors, as applicable, to the City with fifteen (15) calendar days after the City's notice of termination in an organized, usable form, in both hard copy and electronic/digital form, with all items properly labeled to the degree of detail specified by the City;and, (6) except for Work directed by City to be performed prior to the effective date of termination stated in the notice, incur no further costs or expenses and enter into no further subcontracts and purchase orders. No compensation shall be due Contractor, if any, until Contractor complies with the requirements of this Paragraph. [END OF ARTICLE] ARTICLE 5 GC-39 ARTICLE 6—CHANGES 6.01 CITY'S RIGHT TO ORDER CHANGES The City, without invalidating the Contract, may authorize changes in the Work consisting of additions, deletions, or other revisions, with the Contract Sum and Contract Time being adjusted accordingly, if necessary. All such changes in the Work shall be authorized by Change Order or Construction Change Directive and Contractor shall perform such changes in the Work according to the applicable requirements of the Contract Documents. 6.02 APPLICABLE PROVISIONS Changes in the Work shall be performed under applicable provisions of the Contract Documents. The Contractor shall proceed promptly and diligently with the change, unless otherwise provided in the Change Order or Construction Change Directive. It is of the essence to this Contract that all scope changes in the Work that form the basis of an adjustment of the Contract Sum or Contract Time must be authorized in advance in writing through either a Change Order or Construction Change Directive. A change in the Contract Sum or the Contract Time shall be accomplished only by Change Order or Construction Change Directive. Accordingly, no verbal directions, course of conduct or dealings between the Parties, express or implied acceptance of alterations or additions to the Work, or claim that the Contract has been abandoned or the City has been unjustly enriched by any alteration or addition to the Work shall be the basis of any claim for an increase in any amounts due under the Contract Documents or a change in any time period provided in the Contract Documents. 6.03 NOTICE OF SCOPE CHANGE Contractor shall submit written notice of any change in scope to the Director if, in the Contractor's opinion, any instruction, request, Drawings, Specifications, action, condition, omission, default, or other situation occurs that the Contractor believes constitutes a scope change or other matter resulting in Extra Work, for which Contractor believes it is entitled to an adjustment of the Contract Sum or Contract Time. Such notice shall be provided prior to performance of the Work affected by such occurrence and within seven (7) calendar days after the discovery date of the circumstances of such scope change or other matters. The written notice shall state the date, circumstances, extent of adjustment to the Contact Sum or the Contract Time, if any, requested. The mere presentation of such notice shall not establish the existence of any right by Contractor to adjustment of the Contract Sum or Contract Time. Failure to provide such timely written notice described herein shall constitute a waiver by Contractor of the right to any adjustment to the Contract Sum or Contract Time on account thereof. 6.04 CHANGE ORDERS A. Computation Methods used in determining adjustments to the Contract Sum by Change Order may include those listed in Paragraph 6.06 below. B. Accord and Satisfaction Agreement on any Change Order shall be a full compromise and settlement of all adjustments to Contract Time and Contract Sum, and compensation for any and all delay, extended or additional field and home office overhead, disruption, acceleration, inefficiencies, lost labor or equipment ARTICLE 6 GC-40 I I productivity, differing Site conditions, construction interferences and other extraordinary or consequential damages (hereinafter called "Impacts"), including any ripple or cumulative effects of said Impacts on the overall Work under the Contract arising directly or indirectly from the performance of Work described in the Change Order. By execution of any Change Order, Contractor agrees that the Change Order constitutes a complete accord and satisfaction with respect to all claims for schedule extension, Impacts,or any costs of whatever nature, character or kind arising out of or incidental to the Change Order. No action, conduct, omission, product failure or course of dealing by the City shall act to waive, modify, change, or alter the requirement that(i) Change Order's must be in writing, signed by the City and Contractor and; (ii) that such written Change Orders are the exclusive method for effectuating any change to the Contract Sum and/or Contract Time. 6.05 CONSTRUCTION CHANGE DIRECTIVE(FIELD DIRECTIVE) A. A Construction Change Directive shall be used in the absence of total agreement on the terms of a Change Order. The City may by Construction Change Directive, without invalidating the Contract, order changes in the Work within the general scope of the Contract consisting of additions, deletion, or other revisions,the Contract Sum and Contract Time being adjusted accordingly. B. If the Construction Change Directive provides for an adjustment to the Contract Sum, the adjustment shall be calculated in accordance with Paragraph 6.06 herein (Pricing Changes in the Work). C. Upon receipt of the Construction Change Directive, the Contractor shall promptly proceed with the change in the Work involved and advise the City of the Contractor's agreement or disagreement with the method, if any, provided in the Construction Change Directive, for determining the proposed adjustment in the Contract Sum or Contract Time. D. If Contractor believes a Construction Change Directive constitutes a basis for adjustment to the Contract Sum or Contract Time, then Contractor shall give a Notice of Scope Change provided in Paragraph 6.03, followed by a submission of a Change Order Request as required by Paragraph 6.08. Contractor shall, if requested by City in such Construction Change Directive or in a subsequent Construction Change Directive, proceed with the performance of the Work as described in the Construction Change Directive. Failure of Contractor to proceed with the performance of Work, as described in the Construction Change Directive shall give the City the right to carry out the Work, as set forth in Paragraph 2.05. E. A Construction Change Directive signed by the Contractor indicates the Contractor's agreement therewith, including adjustment in Contract Sum and Contract Time or the method for determining them. Such agreement shall be effective immediately and shall be recorded as a Change Order. F. If the Contractor does not respond promptly or disagrees with the method for adjustment in the Contract Sum, the method and the adjustment shall be determined by the City on the basis of reasonable expenditures and savings of those performing the Work attributable to the change, including, in the case of an increase in the Contract Sum, Allowable Mark-Ups in accordance with Paragraph 6.06(E) herein. ARTICLE 6 GC-41 6.06 PRICING CHANGES IN THE WORK A. Alternative Methods of Pricing The amount of any adjustment by Change Order or Construction Change Directive increasing or decreasing the Contract Sum shall be determined by the Director using one or a combination of the following methods: 1. Lump Sum. By mutual acceptance of a lump sum proposal from Contractor properly itemized and supported by sufficient substantiating data to permit evaluation. Such proposal shall be based solely on Allowable Costs, as defined in Subparagraph 6.06-C, and Allowable Mark- Ups,as defined in Subparagraph 6.06-E,and shall not include any costs or expense that is not permitted by the terms of any provision of the Contract Documents. 2. Unit Prices. By unit prices contained in Contractor's original Bid and incorporated in the Contract Documents or fixed by subsequent agreement between City and Contractor. Unless otherwise stated in the Bidding Documents, unit prices stated in the Contract Documents or agreed upon by the County and Contractor shall be deemed to include and encompass all Allowable Markups. 3. Time and Materials. By calculating the actual Allowable Costs directly incurred, plus a sum for Allowable Mark-Ups on such Allowable Costs. 4. Deletion of Work. By Unit Prices contained in Contractor's original Bid and incorporated in the Contract Documents, or by using the Schedule of Values to determine the value of the decrease of the Contract Sum, less the value of any Work performed, plus a reasonable percentage of the decrease for the Contractor's saved overhead unless the Schedule of Values allocates general conditions costs to individual line items, in which case no percentage of the decrease shall be added. When a change consists of both addition and deletion of Work, the added costs and deleted costs shall be calculated separately, and then added together, resulting in the net cost for the change. The Allowable Mark-Up shall be applied to this net cost. B. Contractor Maintenance of Daily Records for Changes 1. In the event that Contractor is directed to perform any Extra Work, or should Contractor encounter conditions which the Contractor believes would obligate the City to adjust the Contract Sum and/or the Contract Time, Contractor shall maintain detailed records of the cost of such changes on a daily basis summarized in a daily report supplemented by back-up records. Such records shall include without limitation: a. Labor. At the close of each day on which such Extra Work is performed, Contractor shall submit an Extra Work labor report, on forms provided by Director, to Director that sets forth a list of the actual hours spent in performing the Extra Work, that clearly differentiates between the labor expended on the Extra Work and other Work, and the Allowable Costs for such Extra Work performed that day showing the names of workers,their classifications, hours worked and hourly rates. Materials, Equipment. A list of Allowable Costs of materials and equipment consumed in the performance of the Extra Work on the day on which such Extra Work is performed, together with copies of applicable delivery tickets and unit prices ARTICLE 6 GC-42 i i for all materials and for all equipment used the type of equipment, identification i number, hours of operation (including loading and transportation) and hourly/daily rates involved for that day. I C. Other Services or Expenditures. A list of other services and expenditures constituting Allowable Costs incurred in performance of the Extra Work on the day on which such Extra Work is performed, along with documentation verifying the amounts thereof in such detail as Director may require. 2. In the event that more than one change to the Work is performed by the Contractor in a calendar day, Contractor shall maintain separate records of labor, construction equipment, materials, and equipment for each such change. In the event that any Subcontractor of any tier shall provide or perform any portion of any change to the Work, Contractor shall require that each such Subcontractor maintain records in accordance with this Section. 3. Each daily record maintained hereunder shall be signed by Contractor;such signature shall be deemed Contractor's representation and warranty that all information contained therein is true, accurate, complete, and relates only to the change referenced therein. All records maintained by Subcontractors of any tier, relating to the costs of a change in the Work shall be signed by such Subcontractor's authorized project manager or superintendent. All such records shall be forwarded to the Director on the day the Work is performed (same day) for independent verification. The Director shall attempt to review and reconcile costs for changes on a daily basis. Records not available on the day on which the Extra Work is performed, such as, but not limited to, material invoices, shall be submitted as soon as they are available but not later than five (5) calendar days after the earlier of the day of delivery or incorporation of the particular item of Extra Work at the Site. 4. The Director may additionally require authentication of all time and material tickets and invoices by persons designated by the Director for such purpose. In the event that Contractor shall fail or refuse,for any reason,to maintain or make available for inspection, review, and/or reproduction such records, adjustments to the Contract Sum or Contract Time, if any, on account of any change to the Work may be deemed waived for that day. Contractor's obligation to maintain back-up records hereunder is in addition to, and not in lieu of, any other Contractor obligation under the Contract Documents with respect to changes to the Work. 5. Waiver by Contractor. Failure to submit such records as are required by this Paragraph daily shall waive any rights for recovery of Allowable Costs incurred for Extra Work performed that day. The failure of the Contractor to secure any required authentication shall, if the City elects in its sole discretion to treat it as such, constitute a waiver by the Contractor of any right to adjustment of the Contract Sum for the Allowable Cost of all or that portion of the Extra Work covered by such non-authenticated ticket or invoice. Allowable Costs The term "Allowable Costs" shall mean in the case of Extra Work actual costs incurred by Contractor and/or any Subcontractor, regardless of tier, and necessarily involved in direct performance of the Extra Work, or in the case of deleted work the actual costs that would have been incurred in performing deleted work by Contractor and/or any Subcontractor, regardless of tier, and shall be limited to the following costs: ARTICLE 6 GC-43 1. Labor. Straight-time wages or salaries, and overtime wages and salaries specifically authorized by City in writing, for employees employed at the site, or at fabrication sites off the site, in the direct performance of the Extra Work or that would have been incurred in the direct performance of the deleted work, based on the actual cost for wages prevailing locally for each craft or type of workers at the time the Extra Work is done or the deleted work is ordered eliminated. Labor costs for equipment operators and helpers shall be reported only when such costs are not included in the invoice for equipment rental. The use of labor classification which would increase the Allowable Cost for Extra Work will not be permitted unless Contractor establishes the necessity for such additional costs. 2. Benefits. Payroll taxes, insurance, health and welfare, pension, vacation, apprenticeship funds and benefits required by lawful collective bargaining agreements for employees on straight-time wages or salaries, and on overtime wages and salaries specifically authorized by City in writing, for employees employed at the site, or at fabrication sites off the site, in the direct performance of the Extra Work or that would have been incurred in the direct performance of the deleted work. 3. Materials, Consumables. Costs of materials and consumable items which are furnished and incorporated into the Work,as approved by City, or that would have been incorporated into the Work in the case of deleted work shall be at the lowest price available to Contractor but in no event shall such costs exceed competitive wholesale prices obtainable from other Subcontractors, suppliers, manufacturers and distributors in the general vicinity of the site. If City determines, in its discretion,that the cost of materials is excessive,or if Contractor fails to furnish satisfactory evidence of the cost from the actual supplier thereof, then in either case the cost of the materials shall be deemed to be the lowest wholesale price at which similar materials are available in the quantities required at the time they were needed. The City reserves the right to furnish such materials as it deems advisable, and Contractor shall have no claim for costs or profits on materials so furnished. Material invoices must be included with the extra work report to obtain payment. 4. Taxes. Sales taxes on the costs of materials and consumable items described in Paragraph 5.04-C.3 above. 5. Tool, Equipment Rental. Rental charges for necessary machinery and equipment, whether owned or hired, as authorized in writing by City, exclusive of hand tools, used directly in the performance of the Extra Work or that would have been used in the direct performance of the deleted work. Regardless of ownership, such rental charges shall not exceed the hourly rate derived from the most recently published "Rental Rate Blue Book for Construction Equipment' or the"Rental Rate Blue Book for Older Construction Equipment," as published by K-111, San Jose, California, which is in effect at the time of commencement of the changed work. The Contractor shall attach a copy of the rate schedule to the daily reports required by Paragraph 6.06-B, above. The charges for any machinery and equipment shall cease when the use thereof is no longer necessary for the Extra Work or deleted work. No charge shall be allowed for use of equipment or tools which have a replacement value of$500 or less. The allowable rental rates shall include the cost of fuel, power oil, lubrication, supplies, small tools, necessary attachments, loading, transportation, repairs and maintenance of any kind, depreciation, storage, insurance, and all incidentals. Notwithstanding the provisions of Paragraph 6.06-E below, no mark-up shall be allowed for overhead, profit or bond premiums for use of equipment if the equipment is supplied by an equipment rental firm. If equipment is used intermittently and, when not in use, could be returned to its rental source at less expense to City than holding it at the Site, it shall be returned, unless Contractor elects to keep it at the ARTICLE 6 GC-44 Site at no expense to City. Costs incurred while equipment is inoperative due to breakdowns, regular maintenance, or for non-Working Days shall not be allowed. The rental time shall include the time required to move the equipment to the Work from the nearest available source for rental of such equipment and to return it to the source. If such equipment is not moved by its own power, then loading and transportation will be allowed. Neither moving time nor loading and transportation costs will be paid if the equipment is for use on the Project unrelated to the Extra Work. All equipment shall be acceptable to City, in good working condition,and suitable for the purpose for which it is to be used. 6. Royalties. Additional or saved costs of royalties due to the performance of the Extra Work or deleted work. 7. Insurance, Bonds. Additional or saved costs of insurance and bonds, provided, however, that for Extra Work such costs shall not exceed one percent(1%)of Items 1 through 6 above. D. Costs Not Allowed Allowable Costs shall not include any of the following: 1. Wages, salaries, fringe benefits and payroll taxes of Contractor's and all Subcontractor's non- craft labor(above a Foreman level); 2. Overhead (including home office overhead), administrative or general expenses of any kind including engineering, estimating, scheduling, drafting, detailing, etc., incurred in connection with Extra Work; 3. Vehicles not dedicated solely for the performance of the extra of deleted work; 4. Small tools(replacement value not exceeding $500); 5. Office expenses, including secretarial and administrative staff, materials and supplies; 6. On-site and off-site trailer and storage rental and expenses; 7. Site fencing; 8. Utilities, including gas,electric, sewer,water,telephone,telefax, copier equipment; 9. Computer and data processing personnel,equipment and software; 10. Federal, state of local business income and franchise taxes; 11. Losses of efficiency or productivity;and 12. Costs and expenses of any kind or item not specifically and expressly included in Paragraph 6.06-C. E. Allowable Mark-Up 1. Extra Work by contractor(Markup):The following percentages shall be added to the Contractor's costs and shall constitute the markup for all overhead and profits: Labor 20% ARTICLE 6 GC-45 Materials 15% Equipment Rental 15% Other Items and Expenditures 15% 2. Extra Work by Subcontractor(Markup):When all or any part of the extra work is performed by a Subcontractor, the markup provided for the Contractor in 6.06.E.1 shall apply to the Subcontractor's actual costs. A markup of 5% on the subcontracted portion of each extra work may be added for the Contractor. F. Net Allowable Costs If anyone scope change involves both Extra Work and deleted work in the same portion of the Work and the additive allowable costs exceed the deductive allowable costs, the Allowable Markups on the Extra Work will be only the difference between the two amounts. 6.07 CITY ORIGINATED REQUEST FOR ITEMIZED CHANGE ORDER PROPOSAL REQUEST City may issue a Construction Change Directive or other written request to Contractor describing a proposed change to the Work and requesting the Contractor submit an itemized change order proposal in a format acceptable to City within ten (10) calendar days after City issues the request. The Contractor's change order proposal shall include an analysis of impacts to cost and time, if any, to perform additional work, change Work or delete Work, as applicable, including the effects and impacts, if any, on unchanged Work, estimates of costs (broken down by the cost categories listed in this Paragraph), and Contractor's proposed methods to minimize costs, delay, and disruption to the performance of the Work. If Contractor fails to submit a written change order proposal within such period of time, it shall be presumed that the change described in the City's original proposal request will not result in an increase to the Contract Sum or Contract Time and the change shall be performed by Contractor without additional compensation to Contractor. City's request for itemized change order proposal request does not authorize the Contractor to commence performance of the change. If City desires that the proposed change be performed, the Work shall be authorized according to the Change Order or Construction Change Directive procedures set forth herein. 6.08 CONTRACTOR ORIGINATED CHANGE ORDER REQUEST(COR) If the Contractor believes that instructions issued by the City after the effective date of the Contract will result in changes to the Contract Sum or Contract Time or if the Contractor otherwise becomes aware of the need for or desirability of a change in the Work, Contractor may submit a written Change Order Request ("COR") to the City in writing, in a format acceptable to City and in accordance with the notice provisions and other requirements of Article 7 below for Claims. The COR must specify the reasons for the proposed change, cost impacts and relevant circumstances and impacts on the Construction Schedule. The document shall be complete in its description of the Work, its material and labor quantities and detail, and must support and justify the costs and credits claimed by the Contractor. A Critical Path Method schedule Fragnet is required to support and justify any additional time of performance requested by the Contractor. The City will not review any COR which is incomplete. The Contractor may request additional compensation and/or time through a COR but not for instances that occurred more than ten (10) calendar days prior to the notice date. Contractor's failure to initiate a COR within this ten-day period or to provide detailed back-up documentation to substantiate the COR within thirty(30)calendar days of the initial written notice shall be deemed a waiver of the right to adjustment of the Contract Sum or the Contract Time for the alleged change. Any COR that is approved by the City shall be incorporated in a Change Order or Construction Change Directive. If the COR is denied but the Contractor believes that it does have merit, the Contractor shall proceed with the disputed Work and may submit a Claim in accordance with the procedures set forth herein. ARTICLE 6 GC-46 6.09 ISSUANCE OF WORK DIRECTIVE(UNILATERAL). In the event of a dispute as to whether or not Extra Work is required, City shall have the right to unilaterally issue a Work Directive; Contractor shall continue performance of disputed Work pending resolution and shall maintain and submit to City all accounting and cost data necessary to substantiate Contractor's cost of such disputed Work. [END OF ARTICLE] ARTICLE 6 GC-47 ARTICLE 7 - CONTRACT PAYMENTS AND CLAIMS 7.01 GENERAL A. Payment will be made at the price for each item listed on the bidding form or as Extra Work as provided in the General Conditions. B. Initial progress payment will not be made prior to approval by the Director of the Schedule of Values, the Construction Progress Schedule,and the Schedule of Submittals. C. No subsequent progress payment will be made prior to receipt by the Director of the monthly revision of the Construction Progress Schedule. 7.02 SCHEDULE OF VALUES FOR PAYMENTS A. Submission Upon City's request,the three(3) lowest bidders shall complete and submit a Preliminary Schedule of Values, within seven(7)calendar days. In addition, Contractor shall complete and furnish within seven(7)calendar days after receiving the Notice of Award of the Construction Contract a Final Schedule of Values giving a complete breakdown of the Contract Sum for each component of the Work. B. Content The Schedule of Values shall be in sufficient detail as the Director may, in its discretion, deem necessary to evaluate progress at any point in the performance of the Work. Unless otherwise specified in the Contract Documents, the Schedule of Values shall include, without limitation, a breakdown of the general categories of Subcontractor work, direct overhead, profit and contingency, and a further breakdown of the general categories of Subcontractor work into separate trade line items of costs for Subcontractor services, labor and material,which is based on actual Subcontractor contract, subcontract, purchase order or vendor prices. If requested by Director, Contractor shall revise the Schedule of Values to allocate sums for Contractor overhead, profit and/or contingency among the individual line items for trade portions of the Work. No amounts shall be reflected in the Schedule of Values or Application for Payment for Extra Work or Deleted Work for which a Change Order has not been executed by Contractor and City or for which a Construction Change Directive has not been issued by City. Amounts that have been mutually agreed to by Change Order or unilaterally determined by City pursuant to a Construction Change Directive shall be segregated from the cost of the base Contract Work and separately listed by line item in the Schedule of Values. The Schedule of Values must be prepared in sufficient detail and supported by sufficient data to substantiate its accuracy as the Director may require. C. A plications for Payment The Schedule of Values, when approved by the Director, shall be used as a basis for Contractor's Applications for Payment and may be considered as fixing a basis for adjustments to the Contract Sum. ARTICLE 7 GC-48 D. Revisions If, at any time, it is determined that the Schedule of Values does not allocate the Contract Sum in a manner that reasonably and fairly reflects the actual costs anticipated to be progressively incurred by Contractor, it shall be revised and resubmitted for the Director's approval. 7.03 APPLICATIONS FOR PAYMENT A. Marked Schedule of Values Five (5) Days prior to the date set forth in Paragraph 7.03-B below for the monthly progress payment meeting, Contractor shall submit to Director a copy of the proposed Schedule of Values, marked to show the percentage of completion certified by Contractor for each line item in the Schedule of Values, including any stored materials approved for payment by City pursuant to Paragraph 7.03-D, below and any withholdings from Contractor proposed by Director. B. Monthly Review For the purpose of expediting the progress payment procedure, Contractor shall meet with the Director on or before the twentieth (20th) day of each month to review the Contractor's marked Schedule of Values prepared in accordance with Paragraph 7.03-A, above. The Director shall revise as appropriate and sign the marked Schedule of Values to verify such review. If any item in the marked Schedule of Values submitted for payment is disputed during this review, Contractor agrees to use its best efforts to resolve the disputed items with the Director before submitting its Application for Payment. If the Director and Contractor cannot agree, then the percentage completion shall be established at such percentage as the Director, in good faith, determines is appropriate to the actual progress of the Work. No inaccuracy or error in the Director's good faith estimate shall operate to release Contractor or Surety from any responsibility or liability arising from or related to performance of the Work. The Director shall have the right subsequently to correct any error and dispute any item submitted in Contractor's Application for Payment, regardless of whether an item was identified as disputed in the review process provided for herein. C. Certification Each Application for Payment shall be signed and certified by Contractor under penalty of perjury to City that: 1. the data comprising the Application for Payment is accurate and the Work has progressed to the point indicated; 2. to the best of Contractor's knowledge, information and belief, the Work is in accordance with the Contract Documents; 3. Contractor is entitled to payment in the amount certified;and 4. all sums previously applied for by Contractor on account of Work performed by Subcontractors and that have been paid by City have been paid to the Subcontractors performing such Work, without any retention, withholding or backcharge by Contractor. ARTICLE 7 GC-49 D. Stored Materials Payments may be made by City, at its discretion, on account of materials or equipment not incorporated into the Work but delivered on the ground at the Site and suitably stored by Contractor or stored off-Site under the control of City. Such payments shall only be considered upon submission by Contractor of satisfactory evidence that it has acquired title to same, that the material or equipment will be utilized in the Work and that the material is satisfactorily stored, protected and insured, and that such other procedures are in place satisfactory to City to protect City's interests. To be considered for payment, materials or equipment stored off-Site shall, in addition to the above requirements and unless otherwise specifically approved by City in writing, be stored in a bonded warehouse, fully insured, and available to City for inspection. City shall have sole discretion to determine the amount of material and equipment that may be stored on the Site at any given time. 7.04 PROGRESS PAYMENTS A. Conditions to Progress Payments Contractor shall submit its Application for Payment to the Director, using such forms as required by City, once a month on or before the first (1st) Day of the month following the month in which the Work that is the subject of such Application for Payment was performed. Without limitation to any other provisions of the Contract Documents, the following shall be conditions precedent to a proper submission and to the Director approval of each Application for Payment: 1. submission of a Schedule of Values that reflects the percentages of completion either agreed to or determined by Director in accordance with Paragraph 7.03-B,above; 2. submission of the Contractor's certification required by Paragraph 7.03-C,above; 3. submission of conditional releases of stop notice, if any, and bond rights upon progress payment, complying with California Civil Code Section 8132,for all Work performed during the time period covered by the current Application for Payment, signed by Contractor, its Subcontractors of every tier, and all material suppliers to each, and (2)forms of unconditional release of stop notice and bond rights upon progress payment, complying with California Civil Code Section 8134 for all Work performed during the time period covered by the previous Application for Payment, signed by Contractor, its Subcontractors of every tier and all material suppliers to each; 4. compliance by Contractor with its obligation for maintenance of As-Builts as required by the Contract Documents; 5. compliance by Contractor with its obligation for submission of monthly and daily reports as required by the Contract Documents; 6. compliance by Contractor with its obligations for submission of scheduling information and updating of the Construction Schedule as required by Article 4, above and other provisions of the Contract Documents pertaining to preparation or updating of schedule information; 7. submission of certified payroll records as required by the Contract Documents; ARTICLE 7 GC-50 8. submission of certifications by Contractor and each Subcontractor as required by applicable collective bargaining agreements certifying that all employee benefit contributions due and owing pursuant to any applicable collective bargaining agreement have been paid in full;and 9. compliance by Contractor with all of its other obligations for submission of documentation or performance of conditions which, by the terms of the Contract Documents, constitute conditions to Contractor's right to receive payment for Work performed. B. Payments by City Pursuant to California Public Contract Code Section 20104.50, City shall make progress payment of undisputed sums due within thirty (30) Days after receipt by Director of an undisputed and properly submitted Application for Payment, calculated on the basis of ninety-five percent(95%) of value determined pursuant to Paragraph 7.03-B above of the following: 1. the portion of the Work permanently installed and in place; 2. plus,the value of materials delivered on the ground or in storage as approved by City pursuant to Paragraph 7.03-D, above, 3. less,the aggregate of previous payments, and 4. less,any other withholdings authorized by the Contract Documents. C. Rejection by City Any Application for Payment determined not to be undisputed, proper and suitable for payment shall be returned to Contractor as soon as practicable, but not later than seven (7) Days, after receipt by City accompanied by an written explanation of the reasons why the payment request was rejected. Failure by City or Director to either timely reject an Application for Payment or specify any grounds for rejection shall not constitute a waiver of any rights by City. Applications for Payment that are rejected shall be corrected and resubmitted within seven(7) Days after receipt by Contractor. D. Interest If City fails to make a progress payment to Contractor as required by Paragraph 7.04-B, above, City shall pay interest to Contractor equivalent to the legal rate set forth in subdivision (a) of California Code of Civil Procedure Section 685.010. The number of Days available to City to make payment pursuant to Paragraph 7.04-13, above without incurring interest pursuant to this Paragraph shall be reduced by the number of Days by which City exceeds the seven (7) Day return requirement applicable to City as set forth in Paragraph 7.04-C, above. 7.05 FINAL PAYMENT A. Retention In addition to withholdings permitted by Paragraph 7.09 below, a sum equal to five percent(5%) of all sums otherwise due to Contractor as progress payments shall be withheld by city pursuant to Paragraph 7.04-13 from each progress payment ("Retention") and retained until such time as it is due as described herein. A higher Retention amount may be approved by the City Council where project is deemed"substantially complex"by City Council. ARTICLE 7 GC-51 B. Conditions to Final Payment Contractor shall submit its Application for Final Payment, using such forms as required by Director, prior to requesting a final inspection of the Work in accordance with Paragraph 3.06 above. Such Application for Final Payment shall be accompanied by all the following: 1. an affidavit that payrolls, bills for materials and equipment, and other indebtedness connected with the Project for which City or City's property or funds might be liable have been paid or otherwise satisfied; 2. Contractor's certification as required by Paragraph 7.03-C,above; 3. consent of surety, if any,to Final Payment; 4. a certificate evidencing that the insurance required by the Contract Documents is in force; 5. Conditional Waiver and Release Upon Final Payment in the form required by California Civil Code Section 8136 executed by Contractor, all Subcontractors of every tier and by all material suppliers of each,covering the final payment period; 6. Unconditional Waiver and Release Upon Progress Payment in the form required by California Civil Code Section 8136 executed by Contractor, all Subcontractors of every tier and by all material suppliers of each,covering the previous payment period; 7. all Record Documents (including, without limitation, complete and accurate As-Built drawings which shall be kept up to date during the performance of the Work); 8. documentation that Contractor has inspected, tested, and adjusted performance if every system or facility of the Work to ensure that overall performance is in compliance with the terms of the Contract Documents; 9. four(4)copies of all warranties from vendors and Subcontractors, operation and maintenance manuals, instructions and related agreements, and equipment certifications and similar documents; 10. certifications by Contractor and each Subcontractor as required by applicable collective bargaining agreements that all employee benefit contributions due and owing pursuant to any applicable collective bargaining agreement have been paid in full; 11. releases of rights and claims relating to patents and trademarks, as required by the Contract Documents; and 12. any other documents or information required by the Contract Documents as a condition of Final Payment or Final Completion. C. Final Payment Pursuant to the Public Contract Code Section 7107, within sixty (60) Days after City issues the Notice of Completion to Contractor, the Final Payment, including Retention, shall be released to Contractor,subject to the City's right to withhold 150%of any disputed amounts. ARTICLE 7 GC-52 D. Disputed Amounts Pursuant to California Public Contract Code 7107, City may deduct and withhold from the Final Payment due under Paragraph 7.05-C, above, an amount up to 150% of any disputed amounts, including, without limitation, amounts to protect City against any loss caused or threatened as a result of Contractor's failing to fully perform all of those obligations that are required to be fulfilled by Contractor as a condition to Final Completion and Final Payment. Alternatively, City may elect, in its sole discretion, to accept the Work without correction or completion and adjust the Contract Sum pursuant to the Contract Documents. E. Acceptance of Final Payment Acceptance of Final Payment by Contractor shall constitute a waiver of all rights by Contractor against City for recovery of any loss, excepting only those Claims that have been submitted by Contractor in the manner required by the Contract Documents prior to or at the time of the Final Payment. 7.06 MISCELLANEOUS A. Joint Payment City shall have the right, if deemed necessary in its sole discretion, to issue joint checks made payable to Contractor and any Subcontractor(s) of any Tier. The joint check payees shall be solely responsible for the allocation and disbursement of funds included as part of any such joint payment. Endorsement on such check by a payee shall be conclusively presumed to constitute receipt of payment by such payee. In no event shall any joint check payment be construed to create any contract between City and a Subcontractor of any Tier, any obligation from City to such Subcontractor or any third party rights against City or Director. B. Withhold!ng/Duty to Proceed The payment, withholding or retention of all or any portion of any payment claimed to be due and owing to Contractor shall not operate in any way to relieve Contractor from its obligations under the Contract Documents. Contractor shall continue diligently to prosecute the Work without reference to the payment, withholding or retention of any payment. The partial payment, withholding or retention by City in good .faith of any disputed portion of a payment,whether ultimately determined to be correctly or incorrectly asserted, shall not constitute a breach by City of the Construction Contract and shall not be grounds for an adjustment of the Contract Sum or Contract Time. C. No Acceptance No payment by City or partial or entire use of the Work by City shall be construed as approval or acceptance of the Work,or any portion thereof. D. Contractor Payment Warranty Submission of an Application for Payment shall constitute a representation and warranty by Contractor that: 1. Title to Work covered by an Application for Payment will pass to City either by incorporation into the construction or upon receipt of payment by Contractor,whichever occurs first; and ARTICLE 7 GC-53 2. Work covered by previous Applications for Payment are free and clear of liens, stop notices, claims,security interests or encumbrances imposed by the Contractor or any other person. E. Corrections No inaccuracy or error in any Application for Payment provided by Contractor shall operate to release Contractor from the error, or from losses arising from the Work, or from any obligation imposed by the Contract Documents. City retains the right to subsequently correct any error made in any previously approved Application for Payment, or progress payment issued, by adjustments to subsequent payments. 7.07 PAYMENTS BY CONTRACTOR Contractor shall not include in its Applications for Payment sums on account of any Subcontractor's portion of the Work that it does not intend to pay to such Subcontractor. Upon receipt of payment from City, Contractor shall pay the Subcontractor performing Work on the Project,out of the amount paid to Contractor on account of such Subcontractor's portion of the Work, the amount to which said Subcontractor is entitled in accordance with the terms of its contract with Contractor and applicable laws, including, without limitation, California Public Contract Code Section 7107. Contractor shall remain responsible notwithstanding a withholding by City pursuant to the terms of these Contract Documents, to promptly satisfy from its own funds sums due to all Subcontractors who have performed Work that is included in Contractor's Application for Payment. Contractor shall, by appropriate agreement, require each Subcontractor to make payments to its subcontractors and material suppliers in similar manner. City shall have no obligation to pay or be responsible in any way for payment to a Subcontractor of any tier or material supplier. 7.08 PAYMENTS WITHHELD A. Withholding by City In addition to any other amounts which City may have the right to retain under the Contract Documents, City may withhold a sufficient amount of any payment otherwise due to Contractor as City, in its sole discretion, may deem necessary to cover actual or threatened loss due to any of the following: 1. Third Party Claims. Third-party claims or stop notices filed or reasonable evidence indicating probable filing of such claims or stop notices. City shall promptly inform Contractor of any third party claims related to this Contract; 2. Defective Work. Defective Work not remedied; 3. Nonpayment. Failure of Contractor to make proper payments to its Subcontractors for services, labor, materials or equipment; 4. Inability to Complete. Reasonable doubt that the Work can be completed for the then unpaid balance of the Contract Sum or within the Contract Time; 5. Violation of Applicable Laws. Failure of Contractor or its Subcontractors to comply with applicable laws or lawful orders of governmental authorities; ARTICLE 7 GC-54 6. Penalty. Any claim or penalty asserted against City by virtue of Contractor's failure to comply with applicable laws or lawful orders of governmental authorities (including, without limitation labor laws); 7. Failure to Meet Contract Time. Any damages which may accrue as a result of Contractor failing to meet the Construction Schedule or failing to perform within the Contract Time; 8. Setoff. Any reason specified elsewhere in the Contract Documents as grounds for a withholding offset or set off or that would legally entitle City to a set-off or recoupment; 9. Consultant Services. Additional professional, consultant or inspection services required due to Contractor's failure to comply with the Contract Documents. 10. Liquidated Damages. Liquidated damages assessed against Contractor 11. Materials. Materials ordered by City pursuant to the Contract Documents. 12. Damages. Loss caused by Contractor or Subcontractor to City, Separate Contractors or any other person or entity under contract to City. 13. Clean Up. Clean up performed by City and chargeable to Contractor pursuant to the Contract Documents. 14. Employee Benefits. Failure of Contractor to pay contributions due and owing to employee benefits funds pursuant to any applicable collective bargaining agreement or trust agreement. 15. Required Documents. Failure of Contractor to submit on a timely basis, proper and sufficient documentation required by the Contract Documents, including, without limitation, Construction Schedule updates, 'look ahead' schedules, Submittals, Schedules of Values, information on Subcontractors, Change Orders,certifications and other required reports or documentation. 16. Other Breach. A breach of any obligation or provision of the Contract Documents. B. Release of Withholding If and when City determines, in its sole discretion, that the above grounds for withholding have been removed and that all losses incurred or threatened have been paid, credited or otherwise satisfied, then payment shall be made for amounts withheld because of them. C. Application of Withholding City may apply sums withheld pursuant to Paragraph 7.08-A above, in payment of any loss or threatened loss as City determines, in its sole discretion, to be appropriate. Such payments may be made without a prior judicial determination of City's actual rights with respect to such loss. Contractor agrees and hereby designates City as its agent for such purposes, and agrees that such payments shall be considered as payments made under Construction Contract by City to Contractor. City shall not be liable to Contractor for such payments made in good faith. City shall submit to Contractor an accounting of such funds disbursed on behalf of Contractor. As an alternative to such payment, city may, in its sole discretion, elect to exercise its right to adjust the Contract Sum as provided in the Contract Documents. ARTICLE 7 GC-55 D. Continuous Performance Provided City pays the undisputed portion, if any, of funds withheld in good faith, Contractor shall maintain continuous and uninterrupted performance of the Work during the pendency of any disputes or disagreements with City. 7.09 SUBSTITUTION OF SECURITIES A. Public Contract Code Pursuant to the requirements of California Public Contract Code Section 22300, upon Contractor's request, City will make payment to Contractor of any funds withheld from payments to ensure performance under the Contract Documents if Contractor deposits with City, or in escrow with a California or federally chartered bank in California acceptable to City ("Escrow Agent"), securities eligible for the investment of State Funds under Government Code Section 16430,or bank or savings and loan certificates of deposit,interest-bearing demand deposit accounts,standby letters of credit,or any other security mutually agreed to by the Contractor and the City, upon the following conditions: 1. Contractor shall be the beneficial owner or any securities substituted for monies withheld for the purpose of receiving any interest thereon. 2. All expenses relating to the substitution of securities under Public Contract Code Section 22300 and under this Paragraph 7.04, including, but not limited to City's overhead and administrative expenses, and expenses of Escrow Agent shall be the responsibility of Contractor. 3. Securities or certificates of deposit substituted for monies withheld shall be of a value of at least equivalent to the amounts of retention to be paid to Contractor pursuant to the Contract Documents, 4. If Contractor chooses to deposit securities in lieu of monies withheld with an Escrow Agent, Contractor, City and Escrow Agent shall, as a prerequisite to such deposit, enter into an escrow agreement, using the City's form, "Escrow Agreement for Deposit of Securities in Lieu of Retention." 5. Contactor shall obtain the written consent of Surety to such agreement. 6. Securities, if any, shall be returned to Contractor only upon satisfactory Final Completion of the Work. B. Substitute Security To minimize the expense caused by such substitution of securities, Contractor shall, prior to or at the time Contractor requests to substitute security, deposit sufficient security to cover the entire amount to be withheld. Should the current market value of such substituted security fall below the amount for which it was substituted, or any other amounts which the City withholds pursuant to the Contract Documents, Contractor shall immediately and at Contractor's expense and at no cost to City deposit additional security qualifying under Public Contract Code Section 22300 until the current market value of the total security deposited is no less than the amount subject to withholding under the Contract Documents. Securities shall be valued as often as conditions of the securities market warrant, but in no case less frequently than once per month. ARTICLE 7 GC-56 C. Deposit of Retentions Alternatively, subject to the conditions set forth in Paragraph 7.04-A above, upon request of Contractor, City shall make payment of retentions directly to Escrow Agent at the expense of Contractor, provided that Contractor, City and Escrow Agent shall, as a prerequisite such payment, enter into an escrow agreement in the same form as prescribed in Part 4 of Paragraph A, above. At the expense of Contractor and at no cost to City, Contractor may direct the investment of the payments into securities and interest bearing accounts, and Contractor shall receive the interest earned on the investments. Escrow Agent shall hold such direct payments by City under the same terms provided herein for securities deposited by Contractor. Upon satisfactory Final Completion of the Work, Contractor shall receive from Escrow Agent all securities, interest and payments received by Escrow Agent from City, less escrow fees and charges of the Escrow Account, according to the terms of Public Contract Code Section 22300 and the Contract Documents. D. Time for Election of Substitution of Securities Notwithstanding the provision of 7.04 A, B, and C above and California Public Contract Code Section 22300, the failure of Contractor to request the Substitution of eligible securities for monies to be withheld by City within ten (10) days of the award of Contract to Contractor shall be deemed to be a waiver of all such rights. 7.10 CLAIMS A. Arising of Claim. 1. Scope Change. When Contractor has a claim for an increase in the Contract Sum or Contract Time due to a scope change which has not yet become final, a"claim"will be deemed to arise once the Director has issued a decision denying, in whole or in part, the Contractor's Change Order Request. 2. Other Claims. In the case of a Claim by Contractor that does not involve an adjustment to the Contract Sum or Contract Time due to a scope change and which has not become final, the Claim may be asserted if, and only if, Contractor gives written notice to City of intent to file the Claim within three (3) days of the date of discovery relative to such circumstances (even if Contractor has not yet been damaged or delayed). Such written notice of intent to file a Claim shall be valid if, and only if, it identifies the event or condition giving rise to the Claim, states its probable effect, if any with respect to Contractor's entitlement to an adjustment of the Contract Sum or Contract Time and complies with the requirements of Paragraph 7.11-B, below. For purposes of this Paragraph 7.11, a Claim for which such written notice is required and has been given by Contractor shall be deemed to arise on the date that such written notice is received by City. B. Content of Claim A Claim by Contractor must include all of the following: 1. A statement that it is a Claim and a request for a decision on the Claim; 2. A detailed description of the act, error, omission, unforeseen condition, event or other circumstance giving rise to the Claim. ARTICLE 7 GC-57 3. If the Claim involves an adjustment to the Contract Sum or Contract Time due to a change in scope, a statement demonstrating that all requisite notices were provided, including, without limitation, timely written notice and a Change Order Request as required by Article 6 of these General Conditions and timely notice of delay and request for extension of time in accordance with Article 3. If the Claim does not involve an adjustment to the Contract Sum or Contract Time due to a change in scope, a statement demonstrating that a notice of intent to file the Claim was timely submitted as required by Paragraph 7.10-A.2,above; 4. A detailed justification for any remedy or relief sought by the Claim including without limitation, a detailed cost breakdown in the form' required for submittal of Change Order Requests and actual job cost records demonstrating that the costs have been incurred; 5. If the Claim involves a request for adjustment of the Contract Time, written documentation demonstrating that Contractor has complied with the requirements of the Contract Documents and written substantiation(including, without limitation, a Time Impact Analysis)demonstrating that Contractor is entitled to an extension of time under the Contract Documents; and 6. A written certification signed by a managing officer of Contractor's organization, who has the authority to sign contracts and purchase orders on behalf of Contractor and who has personally investigated and confirmed the truth and accuracy of the matters set forth in such certification, in the'following form: "I hereby certify under penalty of perjury that I am a managing officer of(Contractor's name) and that I have reviewed the Claim presented herewith on Contractor's behalf and/or on behalf of (Subcontractor's name) and that, to the best of my knowledge after conducting a diligent inquiry into the facts of the Claim,the following statements are true and correct: The facts alleged in or that form the basis for the Claim are, to the best of my knowledge following diligent inquiry,true and accurate; and, (a) I do not know of any facts or circumstances, not alleged in the Claim, that by reason of their not being alleged render any fact or statement alleged in the Claim materially misleading; and, (b) I have, with respect to any request for money or damages alleged in or that forms the basis for the Claim, reviewed the job cost records (including those maintained by Contractor and by any Subcontractor, of any tier, that is asserting all or any portion of the Claim) and confirmed with reasonable certainty that the losses or damages suffered by Contractor and/or such Subcontractor were in fact suffered in the amounts and for the reasons alleged in the Claim; and, (c) I have, with respect to any request for extension of time or claim of delay, disruption, hindrance or interference alleged in or that forms the basis for the Claim, reviewed the job schedules(including those maintained by Contractor and the Subcontractor, of any tier, that is asserting all or any portion of the Claim) and confirmed on an event-by-event basis that the delays or disruption suffered by Contractor and/or such Subcontractor were in fact experienced for the durations, in the manner, and with the consequent effects on the time and/or sequence of performance of the Work, as alleged in the Claim;and, ARTICLE 7 GC-58 (d) I have not received payment from City for, nor has Contractor previously released City from,any portion of the Claim." Signature: Date: Name: Title: Company C. Noncompliance Failure to submit any of the information, documentation or certifications required by Paragraph 7.10-B, above,shall result in the Claim being returned to Contractor without any decision. D. Submission of Claims 1. Director. Claims shall be first submitted to the City for decision by the Director. 2. Continuous Work. Notwithstanding the making of any Claim or the existence of any dispute regarding any Claim, unless otherwise directed by City, Contractor shall not delay, slow or stop performance of the Work, but shall diligently proceed with performance in accordance with the Contract Documents and City will continue, to make undisputed payments as by the Contract Documents. 3. Time for Filing. All Claims and supporting documentation and certifications must be filed within thirty(30)days after the Claim arises. No Claims shall be filed after Final Payment. 4. Conditions Precedent. No Claim may be asserted unless Contractor has strictly complied with the requirements of this Paragraph 7.10-D, which shall be considered conditions precedent to Contractor's right to assert the Claim and to initiate the Dispute Resolution Process with respect to such Claim. E. Response to Claims, Meet and Confer 1. Claims less than $50,000. Claims less than $50,000 shall be responded to by City in writing within forty-five(45)days of receipt of the Claim, unless City requests additional information or documentation of the Claim within thirty (30) days of receipt of the Claim, in which case City shall respond to the Claim within fifteen (15) days after receipt of the further information or documentation or within a period of time no greater than that taken by Contractor in producing the additional information or documentation,whichever is greater. 2. Claims $50,000 or more. Claims $50,000 or more shall be responded to by City in writing within (60) days of receipt of the Claim, unless City requests additional information or documentation of the Claim within thirty (30) days of receipt of the Claim, in which case City shall respond to the Claim within thirty (30) days after receipt of the further information or documentation or within a period of time no greater than that taken by Contractor in producing the additional information or documentation,whichever is greater. ARTICLE 7 GC-59 3. Meet and Confer. If Contractor disputes City's response, or if City fails to respond within the prescribed time set forth in Paragraph 7.10-E.1 and 7.10-E.2, above, Contractor may so notify City, in writing, within fifteen (15) days of City's response, or within fifteen (15) days of City's response due date in the event of a failure to respond, and demand an informal conference to meet and confer for settlement of the issues in dispute. Upon such demand, City shall schedule a meet and confer conference within thirty (30)days of such demand, for discussion of settlement of the dispute. F. Finality of Decision If Contractor disputes the Director's decision under this Article, it shall commence the Dispute Resolution Process as set forth in Article 15 of these General Conditions by filing a Statement of Dispute within seven(7)days after receipt of the Director's response. G. Continuing Contract Performance/Duty to Proceed with Disputed Work Contractor shall not delay or postpone any Work pending resolution of any claims, disputes or disagreements. Pending final resolution of a claim, the Contactor shall proceed diligently with performance of the Contract and the City shall continue to make payments for undisputed Work in accordance with the Contract Documents. In the event of disputed Work, City shall have the right to unilaterally issue a Work Directive and Contractor shall continue performance pending resolution of the dispute and shall maintain the accounting and cost data to substantiate the cost of such disputed work. [END OF ARTICLE] ARTICLE 7 GC-60 ARTICLE 8 - MATERIALS AND EQUIPMENT 8.01 GENERAL A. The Contractor shall furnish all materials and equipment needed to complete the Work and installations required under the terms of this Contract, except those materials and equipment specified to be furnished by the City. B. The Contractor shall submit satisfactory evidence that the materials and equipment to be furnished and used in the work are in compliance with the Specifications. Materials and equipment incorporated in the Work and not specifically covered in the Specifications shall be the best of their kind. Unless otherwise specified, all materials and equipment incorporated in the Work under the Contract shall be new. 8.02 QUALITY AND WORKMANSHIP All material and equipment furnished by the Contractor shall be new, high grade, and free from defects and imperfections, unless otherwise hereinafter specified. Workmanship shall be in accordance with the best standard practices. All materials and equipment must be of the specified quality and equal to approved samples, if samples have been required. All Work shall be done and completed in a thorough, workmanlike manner, notwithstanding any omission from the Specifications or Drawings, and it shall be the duty of the Contractor to call attention to apparent errors or omissions and request instructions before proceeding with the Work. The Director may, by appropriate instructions, correct errors and supply omissions, which instructions shall be binding upon the Contractor as though contained in the original Specifications or Drawings. All Work performed under the Specifications will be inspected by the Director as provided in Paragraph 8.04. All materials and equipment furnished and all Work done must be satisfactory to the Director. Work, material, or equipment not in accordance with the Specifications, in the opinion of the Director shall be made to conform thereto. Unsatisfactory materials and equipment will be rejected, and if so ordered by the Director, shall, at the Contractor's expense, be immediately removed from the vicinity of the Work. 8.03 TRADE NAMES AND"OR APPROVED EQUAL" PROVISION Whenever in the Specifications or Drawings the name or brand of a manufactured article is used it is intended to indicate a measure of quality and utility or a standard. Except in those instances where the product is designated to match others in use on a particular improvement either completed or in the course of completion, the Contractor may substitute any other brand or manufacture of equal appearance, quality, and utility on approval of the Director, provided the use of such brand or manufacture involves no additional cost to the City. 8.04 APPROVAL OF MATERIALS A. The Contractor shall furnish without additional cost to the City such quantities of construction materials as may be required by the Director for test purposes. He/she shall place at the Director's disposal all available facilities for and cooperate with him in the sampling and testing of all materials and workmanship. The Contractor shall prepay all shipping charges on samples. No samples are to be submitted with the bids unless otherwise specified. B. Each sample submitted shall be labeled. A letter, in duplicate, submitting each shipment of samples shall be mailed to the Director by the Contractor. Both the label on the sample and the letter of transmittal shall indicate the material represented, its place of origin, the names of the producer and ARTICLE 8 GC-61 the Contractor, the Specifications number and title, and a reference to the applicable Drawings and Specifications paragraphs. Materials or equipment of which samples are required shall not be used on the Work until approval has been given by the Director in writing.Approval of any sample shall be only for the characteristics of the uses named in such approval and no other. No approval of a sample shall be taken in itself to change or modify any Contract requirement. D. Failure of any material to pass the specified tests, including life cycle maintenance data may be sufficient cause for refusal to consider under this Contract, any further sample of the same brand or make of that material. 8.05 ORDERING MATERIALS AND EQUIPMENT One copy of each of the Contractor's purchase orders for materials and equipment forming a portion of the Work must be furnished to the Director, if requested. Each such purchase order shall contain a statement that the materials and equipment included in the order are subject to inspection by the City. Materials and equipment purchased locally will, at the City's discretion, be inspected at the point of manufacture or supply, and materials and equipment supplied from points outside the Los Angeles area will be inspected upon arrival at the job, except when other inspection requirements are provided for specific materials in other sections of the Contract Documents. 8.06 AUTHORITY OF THE DIRECTOR A. On all questions concerning the acceptability of materials or machinery,the classification of materials, the execution of the Work, and conflicting interests of Contractors performing related work, the decision of the Director shall be final and binding. B. The Director will make periodic observations of materials and completed work to observe their compliance with Drawings, Specifications, and design and planning concepts, but he/she is not responsible for the superintendence of construction processes, site conditions, operations, equipment, personnel, or the maintenance of a safe place to work or any safety in, on, or about the site of work. 8.07 INSPECTION All materials furnished and work done under this Contract will be subject to rigid inspection. The Contractor shall furnish, without extra charge, the necessary test pieces and samples, including facilities and labor for obtaining them, as requested by the Director. The Director, or his/her authorized agent or agents, at all times shall have access to all parts of the shop and the works where such materials under his/her inspection is being manufactured or the work performed. Work or material that does not conform to the Specifications, although accepted through oversight, may be rejected at any stage of the Work. Whenever the Contractor is permitted or directed to do night work or to vary the period during which work is carried on each day, he/she shall give the Director due notice, so that inspection may be provided. Such work shall be done under regulations to be furnished in writing by the Director. 8.08 INFRINGEMENT OF PATENTS The Contractor shall hold and save the City, its officers, agents, servants, and employees harmless from and against all and every demand or demands, of any nature or kind,for or on account of the use of any patented invention, process, equipment, article, or appliance employed in the execution of the Work or included in the ARTICLE 8 GC-62 materials or supplies agreed to be furnished under this Contract, and should the Contractor, his/her agents, servants, or employees, or any of them, be enjoined from furnishing or using any invention, process, equipment, article, materials, supplies or appliance supplied or required to be supplied or used under this Contract, the Contractor shall promptly substitute other inventions, processes, equipment, articles, materials, supplies, or appliances in lieu thereof, of equal efficiency, quality, finish, suitability, and market value, and satisfactory in all respects to the Director. Or in the event that the Director elects, in lieu of such substitution,to have, supplied, and to retain and use, any such invention, process, equipment, article, materials, supplies, or appliances, as may by this Contract be required to be supplied and used, in that event the Contractor shall at his/her expense pay such royalties and secure such valid licenses as may be requisite and necessary to enable the City, its officers, agents, servants, and employees, or any of them, to use such invention, process, equipment, article, materials, supplies, or appliances without being disturbed or in way interfered with by any proceeding in law or equity on account thereof. Should the Contractor neglect or refuse promptly to make the substitution hereinbefore required,or to pay such royalties and secure such licenses as may be necessary and requisite for the purpose aforesaid, then in that event the Director shall have the right to make such substitution, or the City may pay such royalties and secure such licenses and charge the cost thereof against any money due the Contractor from the City, or recover the amount thereof from him/her and his/her surety, notwithstanding final payment under this Contract may have been made. [END OF ARTICLE] ARTICLE 8 GC-63 ARTICLE 9— SUBMITTALS 9.01 GENERAL A. The Contractor shall submit samples, drawings, and data for the Director's approval which demonstrate fully that the construction, and the materials and equipment to be furnished will comply with the provisions and intent of the Drawings and Specifications. B. Specific items to be covered by the submittals shall include,as a minimum,the following: 1. For structures, submit all shop, setting, equipment, miscellaneous iron and reinforcement drawings and schedules necessary. 2. For conduits, submit a detailed layout of the conduit with details of bends and fabricated specials and furnish any other details necessary. Show location of shop and field welds. 3. For equipment which requires electrical service, submit detailed information to show power supply requirements, wiring diagrams, control and protection schematics, shop test data, operation and maintenance procedures, outline drawings, and manufacturer's recommendation of the interface/interlock among the equipment. 4. For mechanical equipment submit all data pertinent to the installation and maintenance of the equipment including shop drawings, manufacturer's recommended installation procedure, detailed installation drawings, test data and curves, maintenance manuals, and other details necessary. 5. Samples 6. Colors 7. Substitutions 8. Manuals 9. As-built drawings 10. Safety plans required by Article 10 9.02 PRODUCT HANDLING A. Submittals shall be accompanied by a letter of transmittal and shall be in strict accordance with the provisions of this Article. B. Submit priority of processing when appropriate. 9.03 SCHEDULE OF SUBMITTALS A. The Contractor shall prepare and submit a schedule of submittals. The schedule of submittals shall be in the form of a submittal log. Refer to Paragraph 9.12. ARTICLE 9 GC-64 9.04 SHOP DRAWINGS A. All shop drawings shall be produced to a scale sufficiently large to show all pertinent features of the item and its method of connection to the Work. B. All shop drawing prints shall be made in blue or black line on white background. Reproductions of City/Contract Drawings are not acceptable. C. The overall dimensions of each drawing submitted to the Director shall be equal to one of the City's standard sheet sizes as listed below. The title block shall be located in the lower right hand corner of each drawing and shall be clear of all line Work,dimensions,details,and notes. Sheet Sizes Height X Width 11"X 81/2" 11"X 17" 24"X 36" 30"X 42" 9.05 COLORS Unless the precise color and pattern are specified elsewhere, submit accurate color charts and pattern charts to the Director for his/her review and selection whenever a choice of color or pattern is available in a specified product. Label each chart naming the source,the proposed location of use on the project,and the project. 9.06 MANUFACTURERS'LITERATURE Where contents of submitted literature from manufacturers includes data not pertinent to the submittal, clearly show which portions of the contents are being submitted for review. 9.07 SUBSTITUTIONS A. The Contract is based on the materials, equipment, and methods described in the Contract Documents.Any Contractor proposed substitutions are subject to the Director's approval. The Director will consider proposals for substitution of materials, equipment, and methods only when such proposals are accompanied by full and complete technical data, and all other information, including life cycle maintenance data, required by the Director to evaluate the proposed substitution. B. Any requests for substitutions by the Contractor must be made within forty-five (45) calendar days from the Issuance Date on the Notice to Proceed. Otherwise,such requests will not be considered. C. Trade names and"or approved equal"provision as set forth in Paragraph 8.03. 9.08 MANUALS A. When manuals are required to be submitted covering items included in this Work, prepare and submit such manuals in approximately 8-1/2" X 11" format in durable plastic binders. In addition, manuals shall be submitted in electronic format. Manuals shall contain at least the following: 1. Identification on,or readable through,the front cover stating general nature of the manual. ARTICLE 9 GC-65 2. Neatly typewritten index near the front of the manual,furnishing immediate information as to location in the manual of all emergency data regarding the installation. 3. Complete instructions regarding operation and maintenance of all equipment involved. 4. Complete nomenclature of all replaceable parts,their part numbers, current cost, and name and address of nearest vendor of parts. 5. Copy of all guarantees and warranties issued. 6. Copy of drawings with all data concerning changes made during construction. B. Where contents of manuals include manufacturers'catalog pages, clearly indicate the precise items included in this installation and delete,or otherwise clearly indicate,all manufacturers'data with which this installation is not concerned. 9.09 AS-BUILT DRAWINGS A. When required to be submitted covering items included in this Work, the Contractor shall deliver to the City one complete set of final As-Built hard copy drawings together with a set of AutoCAD drawing files in electronic format showing completed building,"as-built"for City records before the Contract will be accepted by the City. B. The drawings shall be duplicates and at the same size and dimensional scale as the originals. They shall be on a polyester translucent base material with a minimum sheet thickness of .003 inch (.08mm). C. The legibility and contrast of each drawing submitted to the City shall be such that every line, number, letter,and character is clearly readable in a full size blow back from a 35 mm microfilm negative of the drawing. 9.10 SUBMITTALS QUANTITIES A. Submit seven(7)copies of all data and drawings unless specified otherwise. B. Submit all samples, unless specified otherwise, in the quantity to be returned, plus two, which will be retained by the Director. 9.11 IDENTIFICATION OF SUBMITTALS Completely identify each submittal and re-submittal by showing at least the following information: A. Name and address of submitter, plus name and telephone number of the individual who may be contacted for further information. B. Name of project as it appears in the Contract Documents and Specification No. C. Drawing number and Specifications section number other than this section to which the submittal applies. D. Whether this is an original submittal or re-submittal. ARTICLE 9 GC-66 E. For samples, indicate the source of the sample. 9.12 SCHEDULE OF SUBMITTALS A. Submit initial schedule of submittals within five(5)Working Days after the Issuance Date on Notice to Proceed. B. Submit revised schedule of submittals within five (5) Working Days after date of request from the Director. C. The Director will review schedule of submittals and will notify Contractor that schedule is acceptable or not acceptable within five(5)Working Days after receipt. 9.13 COORDINATION OF SUBMITTALS A. Prior to submittal for the Director's review, use all means necessary to fully coordinate all material, including the following procedures: 1. Determine and verify all field dimensions and conditions, materials, catalog numbers, and similar data. 2. Coordinate as required with all trades and with all public agencies involved. 3. Secure all necessary approvals from public agencies and others and signify by stamp, or other means,that they have been secured. 4. Clearly indicate all deviations from the Specifications. B. Unless otherwise specifically permitted by the Director, make all submittals in groups containing all associated items;the Director may reject partial submittals as not complying with the provisions of the Specifications. 9.14 TIMING FOR SUBMITTALS A. Make all submittals far enough in advance of scheduled dates of installation to provide all required time for reviews, for securing necessary approvals, for possible revision and re-submittal, and for placing orders and securing delivery. B. In scheduling, allow at least 15 Working Days for the Director's review, plus the transit time to and from the City office. C. Manuals shall be submitted prior to performing functional tests. 9.15 APPROVAL BY CITY A. Up to three (3) copies of each submittal, except manuals, schedule of costs for progress payments, and as-built drawings will be returned to the Contractor marked "No Exceptions Taken," "Make Corrections Noted- Do Not Resubmit," or"Make Corrections Noted - Resubmit." Manuals, schedule of costs,and as-built drawings will be returned for re-submittal if incomplete or unacceptable. B. Submittals marked"Approved as Noted"need not be resubmitted, but the notes shall be followed. ARTICLE 9 GC-67 C. If submittal is returned for correction, it will be marked to indicate what is unsatisfactory. D. Resubmit revised drawings or data as indicated, in five(5)copies. E. Approval of each submittal by the Director will be general only and shall not be construed as: 1. Permitting any departures from the Specifications requirements. 2. Relieving the Contractor of the responsibility for any errors and omissions in details,dimensions, or of other nature that may exist. 3. Approving departures from additional details or instructions previously furnished by the Director. 9.16 CHANGES TO APPROVED SUBMITTALS A. A re-submittal is required for any proposed change to an approved submittal. Changes which require re-submittal include, but are not necessarily limited to, drawing revisions, changes in materials and equipment, installation procedures and test data.All re-submittals shall include an explanation of the necessity for the change. B. Minor corrections to an approved submittal may be accomplished by submitting a"Corrected Copy". [END OF ARTICLE] ARTICLE 9 GC-68 ARTICLE 10— SAFETY 10.01 PROTECTION OF PERSONS AND PROPERTY A. Contractor's Responsibility: Notwithstanding any other provision of the Contract Documents, the Contractor shall be solely and completely responsible for conditions of the job site, including safety of all persons and property, during performance of the Work. This requirement will apply continuously and will not be limited to normal working hours. Safety and sanitary provisions shall conform to all applicable Federal, State, County, and local laws, regulations, ordinances, standards, and codes. Where any of these are in conflict,the more stringent requirement shall be followed. B. Sanitary Facilities.The Contractor shall furnish and maintain sanitary facilities by the worksites for the entire construction period. C. Protection of the Public. The Contractor shall take such steps and precautions as his/her operations warrant to protect the public from danger, loss of life, loss of property or interruption of public services. Unforeseen conditions may arise which will require that immediate provisions be made to protect the public from danger or loss, or damage to life and property, due directly or indirectly to prosecution of work under this contract. Whenever, in the opinion of the Director, a condition exists which the Contractor has not taken sufficient precaution of public safety, protection of utilities and/or protection of adjacent structures or property, the Director will order the Contractor to provide a remedy for the condition. If the Contractor fails to act on the situation within a reasonable time period as determined by the Director,or in the event of an emergency situation,the Director may provide suitable protection by causing such work to be done and material to be furnished as, in the opinion of the Director, may seem reasonable and necessary. The cost and expense of all repairs (including labor and materials) as are deemed necessary, shall be borne by the Contractor. All expenses incurred by the City for emergency repairs will be deducted from the final payment due to the Contractor. 10.02 PROTECTION FROM HAZARDS A. Trench Excavation Excavation for any trench four (4) feet or more in depth shall not begin until the Contractor has received approval from the Director of the Contractor's detailed plan for worker protection from the hazards of caving ground during the excavation of such trench. Such plan shall show the details of the design of shoring, bracing, sloping or other provisions to be made for worker protection during such excavation. No such plan shall allow the use of shoring, sloping or protective system less effective than that required by the Construction Safety Orders of the Division of Occupational Safety and Health, and if such plan varies from the shoring system standards established by the Construction Safety Orders, the plan shall be prepared and signed by an engineer who is registered as a Civil or Structural Director in the State of California. B. Confined Spaces Contractor shall comply with all of the provisions of General Industry Safety Orders of the California Code of Regulations. Entry of a confined space shall not be allowed until the Contractor has received approval from the Director of the Contractor's program for confined space entry. Confined space means a space that (1) Is large enough and so configured that an employee can bodily enter and perform assigned Work; and (2) Has limited or restricted means for entry or exit(for example,tanks, vessels, silos, storage bins, hoppers, vaults, and pits are spaces that may have limited means of entry); and (3) Is not designed for continuous employee occupancy. Failure to submit a confined ARTICLE 10 GC-69 space entry program may result in actions as provided in Article 5: "Suspension or Termination of Contract." C. Material Safety Data Sheet Contractor shall comply with all of the provisions of General Industry Safety Orders of the California Administrative Code. The Contractor shall submit to the Director a Material Safety Data Sheet (MSDS) for each hazardous substance proposed to be used, ten (10) days prior to the delivery of such materials to the job site or use of such materials at a manufacturing plant where the Director is to perform an inspection. For materials which are to be tested in City laboratories,the MSDS shall be submitted with the sample(s). Hazardous substance is defined as any substance included in the list (Director's List)of hazardous substances prepared by the Director,California Department of Industrial Relations, pursuant to Labor Code Section 6382. Failure to submit an MSDS for any hazardous substance may result in actions as provided in Article 5,"Suspension or Termination of Contract". 10.03 DIFFERING SITE CONDITIONS A. Differing Site Conditions Defined. The Contractor shall promptly, and before such conditions are disturbed, notify the Director in writing of any Differing Site Conditions. Differing Site Conditions are those conditions, located at the project site or in existing improvements and not otherwise ascertainable by Contractor through the exercise of due diligence in the performance of its inspection obligations in the Contract Documents, encountered by Contractor in digging trenches or other excavations(s)that extend deeper than four feet below the surface of the ground that constitute: 1. Material that the Contractor believes may be material that is hazardous waste as defined in Section 25117 of the Health and Safety Code, which is required to be removed to a Class I, Class ll,or Class III disposal site in accordance with provisions of existing law. 2. Subsurface or latent physical conditions at the site differing materially from those indicated in these Contract Documents. 3. Unknown physical conditions at the site, of any unusual nature, different materially from those ordinarily encountered and generally recognized as inherent in Work of the character provided for in these Contract Documents. 3. Notice by Contractor. If the Contractor encounters conditions it believes constitute Differing Site Conditions, then notice of such conditions shall, before such conditions are disturbed, be promptly reported to the Director followed within twenty-four (24) hours by a further written notice stating a detailed description of the conditions encountered. C. The Director will promptly investigate the conditions and If he/she finds that such conditions do materially differ, or do involve hazardous waste, and do cause an increase or decrease in the Contractor's cost of,or time required for, performance of any part of the Work under this Contract,an equitable adjustment will be made,as determined by the Director. D. Change Order Request. If Contractor intends to seek an adjustment to the Contract Sum or Contract Time based upon Differing Site Conditions, it must, within ten (10) Days after the Discovery Date relative to such conditions, submit a Change Order Request setting forth a detailed cost breakdown and Time Impact Analysis, in the form required by Article 6 of these General Conditions, of the additional Allowable Costs and Excusable Delay resulting from such Differing Site Conditions. ARTICLE 10 GC-70 F Failure to Comply. Failure by Contractor to strictly comply with the requirements of this Paragraph 10.03 concerning the timing and content of any notice of Differing Site Conditions or request for adjustment in Contract Sum or Contract Time based on Differing Site Conditions shall be deemed waiver of any right by the Contractor for an adjustment in the Contract Sum or Contract Time by reason of such conditions. F. Final Completion. No claim by the Contractor for additional compensation for Differing Site Conditions shall be allowed if asserted after Final Payment. G. In the event of disagreement between the Contractor and the Director whether the conditions do materially differ or whether a hazardous waste is involved or whether the conditions cause an increase or decrease in the Contractor's cost of, or time required for, performance of any part of the Work, the Contractor shall not be excused from any completion date required by the Contract, but shall proceed with all Work to be performed under the Contract Documents. H. The Contractor shall retain all rights provided by, and shall be subject to all requirements of, this Contract which pertain to the resolution of disputes and protests. I. Contractor Responsibility. Except as otherwise provided in this Paragraph 10.03 for Differing Site Conditions, Contractor agrees to solely bear the risk of additional cost and Delay due to concealed or unknown conditions, surface or subsurface, at the Site or in Existing Improvements, without adjustment to the Contract Sum or Contract Time. 10.04 TRAFFIC REGULATION A. During the performance of the Work the Contractor shall erect and maintain necessary temporary fences, bridges, railings, lights, signals, barriers, or other safeguards as shall be appropriate under the circumstance in his/her judgment for the prevention of accidents; and he/she shall take other precautions as necessary for public safety including, but not limited to, traffic control. Traffic control shall be conducted in accordance with the latest edition of the Work Area Traffic Control ("WATCH") handbook, published by BNi Books, and as directed and approved by the City Traffic and Transportation Administrator. B. Contractor shall submit at least ten(10)Working Days prior to Work a detailed traffic control plan,that is approved by all agencies having jurisdiction and that conforms to all requirements of the Specifications. C. No changes or deviations from the approved detailed traffic control plan shall be made, except temporary changes in emergency situations, without prior approval of the City Traffic and Transportation Administrator and all agencies having jurisdiction. Contractor shall immediately notify the Director,the City Traffic and Transportation Administrator and the agencies having jurisdiction of occurrences that necessitate modification of the approved traffic control plan. D. Contractor's failure to comply with this provision may result in actions as provided in Article 5: "Suspension or Termination of Contract"of these General Conditions. ARTICLE 10 GC-71 10.05 TRAFFIC CONTROL DEVICES A. Traffic signs, flashing lights, barricades and other traffic safety devices used to control traffic shall conform to the requirements of the WATCH handbook or the manual of traffic control, whichever is more stringent,and as approved by the City Traffic and Transportation Administrator. 1. Portable signals shall not be used unless permission is given in writing by the agency having jurisdiction. 2. Warning signs used for nighttime conditions shall be reflectorized or illuminated. "Reflectorized signs" shall have a reflectorized background and shall conform to the current State of California Department of Transportation specification for reflective sheeting on highway signs. B. If the Contractor fails to provide and install any of the signs or traffic control devices required herby or ordered by the City staff, staff may cause such signs or traffic control devices to be placed by others, charge the costs therefore against the Contractor, and deduct the same from the next progress payment. 10.06 EXECUTION A. The Contractor shall provide written notification to the Police Department at the address below: Police Chief Daniel Calleros Vernon Police Department 4305 Santa Fe Avenue Vernon,CA 90058 Notification shall be sent at least two(2)weeks prior to the beginning of construction at any particular location. Notification will include the specific location, project dates,what lanes of the roadway will be closed and when. Also the construction project manager's name and business phone number and the construction inspector's name and business phone number. B. The Contractor shall notify, by telephone,the Police Department, (323)587-5171 at the completion of any posting of temporary no parking signs. Notification will include the times, dates and locations of the posting. When vehicles must be towed for violation of temporary no parking signs, the person who actually posted the signs, or on-view supervisor of that posting, will be present to answer pertinent questions that may be asked by the parking enforcement officer or police officer towing the vehicles. C. The Contractor shall notify the Vernon Fire Department,on a daily basis during the entire period that construction is in progress whenever roadways are reduced in width or blocked. Notification shall be made to the Fire Dispatch(323)583-4821 and the Contractor shall provide the information required to identify which roadways would have accessibility problems due to his/her operations. The Contractor shall submit to Fire Department schedule of Work for their use and files. D. Roads subject to interference from the Work covered by this Contract shall be kept open, and the fences subject to interference shall be kept up by the Contractor until the Work is finished. Except where public roads have been approved for closure, traffic shall be permitted to pass through designated traffic lanes with as little inconvenience and delay as possible. ARTICLE 10 GC-72 E. Where alternating one-way traffic has been authorized, the maximum time that traffic will be delayed shall be posted at each end of the one-way traffic section. The maximum delay time shall be approved by the agency having jurisdiction. r- Contractor shall install temporary traffic markings where required to direct the flow of traffic and shall maintain the traffic markings for the duration of need. Contractor shall remove the markings by abrasive blasting when no longer required. G. Convenient access to driveways and buildings in the vicinity of Work shall be maintained as much as possible. Temporary approaches to, and crossing of, intersecting traffic lanes shall be provided and kept in good condition. H. When leaving a Work area and entering a roadway carrying public traffic,the Contractor's equipment, whether empty or loaded,shall in all cases yield to public traffic. 10.07 FLAGGING A. Contractor shall provide flaggers to control traffic where required by the approved traffic control plan. 1. Flaggers shall perform their duties and shall be provided with the necessary equipment in accordance with the current "Instructions to Flaggers" of the California Department of Transportation. 2. Flaggers shall be employed full time on traffic control and shall have no other duties. 10.08 PEDESTRIAN CANOPIES OR BARRICADE IMPROVEMENTS Refer to City of Vernon for requirements for building or access road safety improvements that the Contractor shall construct during construction period. These devices or improvements, as the City deems necessary or prudent,shall be at the expense of the Contractor. [END OF ARTICLE] ARTICLE 10 GC-73 ARTICLE 11 - INDEMNITY 11.01 INDEMNITY To the maximum extent permitted by law, the Contractor shall fully indemnify, hold harmless, protect, and defend the City, its officers, employees, agents, representatives and their successors and assigns ("Indemnitees") from and against any and all demands, liability, loss, suit, claim, action, cause of action, damage, cost, judgment, settlement, decree, arbitration award, stop notice, penalty, loss of revenue, and expense (including any fees of accountants, attorneys, experts or other professionals, and costs of investigation, mediation, arbitration, litigation and appeal), in law or in equity, of every kind and nature whatsoever, arising out of or in connection with, resulting from or related to, or claimed to be arising out of the Work performed by Contractor, or any of its officers, agents,employees, Subcontractors, Sub-Subcontractors, design consultants or any person for whose acts any of them may be liable, regardless of whether such claim, suit or demand is caused,or alleged to be caused,in part,by an Indemnitee, including but not limited to: A. Bodily injury,emotional injury,sickness or disease,or death to any persons; B. Infringement of any patent rights, licenses, copyrights or intellectual property which may be brought against the Contractor or City arising out of Contractor's Work, for which the Contractor is responsible; C. Stop notices and claims for labor performed or materials used or furnished to be used in the Work, including all incidental or consequential damages resulting to City from such stop notices and claims; D. Failure of Contractor or its Subcontractors to comply with the provisions for insurance; E. Failure to comply with any Governmental Approval or similar authorization or order; F. Misrepresentation,misstatement,or omission with respect to any statement made in or any document furnished by the Contractor in connection therewith; G. Breach of any duty,obligation,or requirement under the Contract Documents; H. Failure to provide notice to any Party as required under the Contract Documents; 1. Failure to protect the property of any utility provider or adjacent property owner;or J. Failure to make payment of all employee benefits. This indemnity provision is effective regardless of any prior, concurrent, or subsequent active or passive negligence by Indemnitees, except that,to the limited extent mandated by California Civil Code Section 2782, the Contractor shall not be responsible for liabilities which arise from the sole negligence or willful misconduct of Indemnitees or arise from the active negligence of City. 11.02 ENFORCEMENT Contractor's obligations under this Article extend to claims occurring after termination of the Contractor's performance of the Contract or Final Payment to Contractor. The obligations apply regardless of any actual or alleged negligent act or omission of Indemnitees. Contractor, however, shall not be obligated under this Agreement to indemnify an Indemnitee for claims arising from the sole active negligence or willful misconduct of the Indemnitee or independent contractors who are directly responsible to Indemnitees. Contractor's ARTICLE 11 GC-74 obligations under this Article are in addition to any other rights or remedies which the Indemnitees may have under the law or under the Contract Documents. In the event of any claim, suit or demand made against any Indemnitees,the City may in its sole discretion reserve, retain or apply any monies due to the Contractor under the Contract for the purpose of resolving such claims; provided, however,that the City may release such funds if the Contractor provides the City with reasonable assurance of protection of the City's interests. The City shall in its sole discretion determine whether such assurances are reasonable. 11.03 NO LIMITATIONS Contractor's indemnification and defense obligations set forth in this Article are separate and independent from the insurance provisions set forth in Article 12 herein; and do not limit, in any way, the applicability, scope, or obligations set forth in those insurance provisions. In claims,suits, or demands against any Indemnitee by an employee of the Contractor, a Subcontractor, anyone directly or indirectly employed by them, or anyone for whose acts they may be liable,the Contractor's indemnification and defense obligations shall not be limited by a limitation on amount or type of damages, compensation, or benefits payable by or for the Contractor or a Subcontractor under workers'compensation acts,disability benefits acts,or other employee benefits acts. [END OF ARTICLE] ARTICLE 11 GC-75 ARTICLE 12—INSURANCE 12.01 CONDITION TO COMMENCEMENT Contractor shall not commence Work under this Contract until Contractor has obtained all insurance required hereunder from a company or companies acceptable to City, nor shall the Contractor allow any Subcontractor to commence Work on a subcontract until all insurance required of said Subcontractor has been obtained. Proof of insurance including insurance certificates and endorsements as set forth in Exhibit 4 must be submitted by the Contractor prior to the City's execution of the Contract. 12.02 MINIMUM COVERAGE AND LIMITS Contractor shall maintain the insurance coverage as set forth in Exhibit 4 throughout the term of the Contract. 12.03 CONDITIONS REGARDING INSURANCE COVERAGE AND LIMITS City and Contractor agree as follows: A. All insurance coverage and limits provided pursuant to the Contract Documents shall apply to the full extent of the policies involved, available or applicable. Nothing contained in the Contract Documents or any other agreement relating to City or its operations limits the application of such insurance coverage. B. None of the policies required by this Contract shall be in compliance with these requirements if they include any limiting endorsement that has not been first submitted to City and approved in writing by the City Attorney or City's Risk Manager. 12.04 INSURANCE OBLIGATION IS SEPARATE FROM INDEMNITY OBLIGATION This Agreement's insurance provisions: A. Are separate and independent from the indemnification and defense provisions in Article 12 of the Agreement;and B. Do not limit, in any way,the applicability, scope, or obligations of the indemnification and defense provisions in Article 12 of the Agreement. [END OF ARTICLE] ARTICLE 12 GC-76 i ARTICLE 13— BONDS 13.01 REQUIRED BONDS A. Contractor shall furnish the following bonds: 1. A Performance Bond in an amount equal to one hundred percent (100%) of the total Contract price in the form shown in Exhibit 1"attached hereto. 2. A Payment Bond(Labor and Material)in an amount equal to one hundred percent(100%)of the total Contract price in the form shown in Exhibit"2"attached hereto. 3. A Maintenance Bond in an amount equal to ten percent(10%) of the total Contract price in the form shown in Exhibit"3"attached hereto. 13.02 POWER OF ATTORNEY All bonds shall be accompanied by a power of attorney from the surety company authorizing the person executing the bond to sign on behalf of the company. If the bonds are executed outside the State of California, all copies of the bonds must be countersigned by a California representative of the surety. The signature of the person executing the bond on behalf of Surety shall be acknowledged by a Notary Public as the signature of the person designated in the power of attorney. 13.03 APPROVED SURETY All bonds must be issued by a California admitted surety insurer with the minimum A.M Best Company Financial strength rating of "A: VII", or better. Bonds issued by a California admitted surety not listed on Treasury Circular 570 will be deemed accepted unless specifically rejected by the City. Bonds issued from admitted surety insurers not listed in Treasury Circular 570 must be accompanied by all documents enumerated in California Code of Civil Procedure Section 995.660. All such bonds must be accompanied by a power of attorney from the surety company authorizing the person executing the bond to sign on behalf of the company. If the bonds are executed outside the State of California, all copies of the bonds must be countersigned by a California representative of the surety. The signature of the person executing the bond on behalf of Surety must be acknowledged by a Notary Public as the signature of the person designated in the power of attorney. 13.04 REQUIRED PROVISIONS Every bond must display the surety's bond number and incorporate the Contract for construction of the Work by reference. The terms of the bonds shall provide that the surety agrees that no change, extension of time, alteration,or modification of the Contract Documents or the Work to be performed thereunder shall in any way affect its obligations and shall waive notice of any such change,extension of time, alteration,or modification of the Contract Documents. 13.05 NEW OR ADDITIONAL SURETIES If, during the continuance of the Contract, any of the sureties, in the opinion of the City, are or become non- responsible or otherwise unacceptable to City, City may require other new or additional sureties, which the Contractor shall furnish to the satisfaction of City within ten (10) days after notice, and in default thereof the ARTICLE 13 GC-77 Contract may be suspended and the materials may be purchased or the Work completed as provided in Article 5 herein. 13.06 WAIVER OF MODIFICATIONS AND ALTERATIONS No modifications or alterations made in the Work to be performed under the Contract or the time of performance shall operate to release any surety from liability on any bond or bonds required to be given herein. Notice of such events shall be waived by the surety. 13.07 APPROVAL OF BONDS The Contract will not be executed by City nor the Notice to Proceed issued until the required bonds have been received and approved by City. City's decision as to the acceptability of all sureties and bonds is final. No substitution of the form of the documents will be permitted without the prior written consent of City. [END OF ARTICLE] ARTICLE 13 GC-78 ARTICLE 14- LABOR PROVISIONS 14.01 WORKING HOURS A. Work or activity of any kind shall be limited to the hours from 7:00 a.m.to 7:00 p.m. No construction noise shall be permitted between the hours of 7:00 p.m.and 7:00 a.m.of the next day. B. Work in excess of eight(8) hours per day, on Saturdays, Sundays, or on City holidays requires prior consent of the Director and is subject to Cost of Overtime Construction Inspection. C. Night,Sunday and Holiday Work. No Work shall be performed at night, Sunday,or the ten(10) legal holidays to wit: New Year's Day, Martin Luther King, Jr. Day, Washington's Birthday, Memorial Day, Independence Day, Labor Day, Veteran's Day, Thanksgiving Day, Friday following Thanksgiving Day, and Christmas Day, except Work pertaining to the public safety or with the permission of the Director, and accordance with such regulations as he/she shall furnish in writing. Before performing any Work at said times, except Work pertaining to the public safety, the Contractor shall give written notice to the Director so that proper inspection may be provided. "Night"as used in this paragraph shall be deemed to include the hours from 7:00 P.M.to 7:00 A.M. of the next succeeding day. 14.02 COST OF OVERTIME CONSTRUCTION SERVICES AND INSPECTIONS A. Overtime construction Work performed at the option of, or for the convenience of, the Contractor will be inspected by the City at the expense of the Contractor. For any such overtime beyond the regular 8-hour day and for any time worked on Saturday, Sunday,or holidays the charges will be determined by the City,and submitted to the Contractor for payment. B. Equipment, materials, or services provided by the City, in connection with Contractor-initiated overtime construction Work described in Paragraph 14.02(A), will also be at the expense of the Contractor. The charges will be determined by the City,and submitted to the Contractor for payment. C. There will be no charges to the Contractor for the inspection of overtime Work ordered by the Director or required by the Contract Documents. 14.03 COMPLIANCE WITH STATE LABOR CODE A. Contractor shall comply with the provisions of the Labor Code of the State of California and any amendments thereof. 1. The time of service of any worker employed upon the Work shall be limited and restricted to eight (8) hours during any one-calendar day,and 40 hours during any one-calendar week. Work performed by employees of the Contractor in excess of eight (8) hours per day, and 40 hours during any one calendar week,shall be permitted upon compensation for all hours worked in excess of eight(8)hours per day at not less than one and one-half times the basic rate of pay. 3. The Contractor and every Subcontractor shall keep an accurate record showing the name of and the actual hours worked each calendar day and each calendar week by each worker employed by him/her in connection with the Work; the record shall be kept open at all reasonable hours to the inspection of the City and to the Division of Labor Standards Enforcement of the State of California. ARTICLE 14 GC-79 4. In the event City deems Contractor is in violation of this Paragraph 14.03,the Contractor shall,as a penalty,forfeit Fifty Dollars($50.00)for each worker employed in the execution of the Contract by the Contractor or by any Subcontractor for each calendar day for which the employee was underpaid in addition to an amount sufficient to recover underpaid wages. For each subsequent violation, a(one hundred dollar) $100 penalty shall apply for each underpaid employee for each pay period for which the employee was underpaid in addition to an amount sufficient to cover underpaid wages.This subparagraph is effective to the extent it does not directly conflict with the overtime penalty provision of California Labor Code Section 558. In the event of such conflict, the California Labor Code governs over this Paragraph 14.03(A)(4). 14.04 WAGE RATES A. Prevailing Wages 1. Contractor shall comply with the general prevailing rates of per diem wages and the general prevailing rates for holiday and overtime Work in the locality in which the Work is to be performed,for each craft, classification, or type of worker needed to execute the Contract. The Director of the Department of Industrial Relations of the State of California (pursuant to California Labor Code)and the United States Secretary of Labor(pursuant to the Davis-Bacon Act) have determined the general prevailing rates of wages in the locality in which the Work is to be performed. The rates are available online at www.dir.ca.gov/DLSR/PWD/. To the extent that there are any differences in the federal and state prevailing wage rates for similar classifications of labor,the Contractor and its Subcontractors shall pay the highest wage rate. 2. The Contractor shall post a copy of the general prevailing rate of per diem wages at the job site. 3. The Contractor and any Subcontractor under him/her shall pay not less than the specified prevailing rate of wages to all workers employed in the execution of the Contract. 4. The holidays upon which such rates shall be paid shall be all holidays recognized in the collective bargaining Contract applicable to the particular craft, classification, or type of worker employed on the project. 5. The Contractor shall, as a penalty to the State or the City, forfeit not more than Fifty Dollars ($50) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates for the Work or craft in which the worker is employed under the Contract by the Contractor or by any Subcontractor under him. The difference between the prevailing wage rates and the amount paid to each worker for each calendar day or portion thereof for which such worker was paid less than the stipulated prevailing wage rate shall be paid to such worker by the Contractor. 6. The specified wage rates are minimum rates only and the City will not consider and shall not be liable for any claims for additional compensation made by the Contractor because of payment by him/her of any wage rate in excess of the general prevailing rates. All disputes in regard to the payment of wages in excess of those specified herein shall be adjusted by the Contractor at his/her own expense. B. Payroll Records 1. Pursuant to California Labor Code Section 1776, the Contractor and each Subcontractor shall keep an accurate payroll record, showing the name, address, social security number, Work ARTICLE 14 GC-80 I classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker or other employee employed in connection with the Work. The payroll records shall be certified and shall be available for inspection. 2. The Contractor shall inform the City of the location of the payroll records, including the street address,city and county,and shall,within five(5)Working Days, provide a notice of change in location and address. 3. Upon request by the Director,the Contractor shall provide a copy of the certified payroll records along with a statement of compliance. 14.05 APPRENTICESHIP STANDARDS A. Compliance with California Labor Code Section 1777.5 requires all public works contractors and subcontractors to: 1. Prior to commencing work on a public works contract, submit Contract Award information to the applicable joint apprenticeship committee, including an estimate of the journeyman hours to be performed under the Contract, the number of apprentices to be employed, and the approximate dates the apprentices will be employed. Use Form DAS-140 from the State Department of Industrial Relations. The City reserves the right to require Contractor and Subcontractors to submit a copy of said forms to the City. 2. Employ apprentices for the public work at a ratio of no less than one (1) hour or apprentice work for every five(5) hours or labor performed by a journeyman. To request dispatch of apprentices, use Form DAS-142 from the State Department of Industrial Relations. The City reserves the right to require Contractor and Subcontractors to submit a copy of said forms to the City. 3. Pay the apprentice rate on public works projects only to those apprentices who are registered,as defined in Labor Code Section 3077. 4. Contribute to the training fund in the amount identified in the Prevailing Wage Rate publication for journeyman and apprentices. Contractors who choose not to contribute to the local training trust fund must make their contributions to the California Apprenticeship Council, P.O. Box 420603, San Francisco, CA 94142. B. Failure to comply with the provisions of California Labor Code Section 1777.5 may result in the loss of the right to bid or perform work on all public works projects for a period of one to three years and the imposition of a civil penalty of One Hundred Dollars ($100.00) for each calendar day of noncompliance for the first violation and up to Three Hundred Dollars ($300.00) for each calendar day of noncompliance for a second or subsequent violation. Contractor should make a separate copy of this material for each of his/her Subcontractors. C. Payroll Records. The Contractor and each Subcontractor shall keep an accurate payroll record, showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman apprentice, worker or other employee employed in connection with the work. The payroll records shall be certified and shall be submitted to the Project Manager every two weeks. ARTICLE 14 GC-81 D. Statement of Employer Fringe Benefit Payments. Within five (5) calendar days of signing the Contract or Subcontract, as applicable, the Statement of Employer Payments (DLSE Form PW 26 from the State Department of Industrial Relations) shall be completed for each Contractor and Subcontractor of any tier who pays benefits to a third party trust, plan or fund for health and welfare benefits, vacation funds or makes pension contributions. The form must contain, for each worker classification,the fund, plan or trust name, address, administrator,the amount per hour contributed and the frequency of contributions. Training fund contributions shall also be reported in this form. City reserves the right to require Contractors and Subcontractors to submit a copy of said forms to the City. 14.06 EMPLOYMENT OF APPRENTICES A. In the performance of this Contract, the Contractor and any Subcontractor shall comply with the provisions concerning the employment of apprentices in the Labor Code of the State of California and any amendments thereof. B. In the event the Contractor or any Subcontractor willfully fails to comply with the aforesaid provisions of the Labor Code, such Contractor or Subcontractor shall be subject to the penalties for noncompliance in the Labor Code of the State of California and any amendments thereof. 14.07 CHARACTER OF WORKERS The Contractor shall not allow his/her agents or employees, Subcontractors, or any agent or employee thereof,to trespass on premises or lands in the vicinity of the Work. Only skilled foremen and workers shall be employed on Work requiring special qualifications, and when required by the Director, the Contractor shall discharge any person who commits trespass, or in the opinion of the Director, acts in a disorderly, dangerous, insubordinate, incompetent, or otherwise objectionable manner. Any employee being intoxicated or bringing or having intoxicating liquors or controlled substances on the Work shall be discharged. Such discharge shall not be the basis of any claim for compensation of damages against the City or any of its officers,agents,and employees. 14.08 NO SMOKING—STATE LABOR CODE SECTION 6404.5 The Contractor and its agents,employees, Subcontractors, representatives, and any person under Contractor's control,are prohibited from smoking in—or within a 20-foot distance from—the Site,which is a "place of employment" under California Labor Code§6404.5. [END OF ARTICLE] ARTICLE 14 GC-82 ARTICLE 15- DISPUTE RESOLUTION 15.01 SUBMISSION OF CLAIMS A. By Contractor Contractor's right to commence the Claims Dispute Resolution Process shall arise upon the Director's written response denying all or part of a Claim. Contractor shall submit a written Statement of Dispute to the Director within seven (7) Days after the Director rejects all or a portion of Contractor's Claim. Contractor's Statement of Dispute shall be signed under penalty of perjury and shall state with specificity the events or circumstances giving rise to the Claim,the dates of their occurrence and the effect, if any, on the compensation due or performance obligations of Contractor under the Construction Contract. Such Statement of Dispute shall include adequate supporting data to substantiate the disputed Claim. Adequate supporting data for a Claim relating to the adjustment of the Contractor's obligations relative to time of performance shall include a detailed, event-by-event description of the impact of each delay on Contractor's time for performance. Adequate supporting data to a Statement of Dispute submitted by Contractor involving Contractor's compensation shall include a detailed cost breakdown and supporting cost data in such form and including such detailed information and other supporting data as required to demonstrate the grounds for, and precise amount of,the Claim. B. By City City's right to commence the Claims Dispute Resolution Process shall arise at any time following the City's actual discovery of the circumstances giving rise to the Claim. Nothing contained herein shall preclude City from asserting Claims in response to a Claim asserted by Contractor. A Statement of Dispute submitted by City shall state the events or circumstances giving rise to the Claim,the dates of their occurrence and the damages or other relief claimed by City as a result of such events. C. Claims Defined The term "claims" as used herein shall be as defined in California Public Contract Code § 20104(b)(2). 15.02 CLAIMS DISPUTE RESOLUTION PROCESS The parties shall utilize each of the following steps in the Claims Dispute Resolution Process in the sequence they appear below. Each party shall participate fully and in good faith in each step in the Claims Dispute Resolution Process,which good faith effort shall be a condition precedent to the right of each party to proceed to the next step in the Claims Dispute Resolution Process. A. Direct Negotiations Designated representatives of City and Contractor shall meet as soon as possible(but not later than ten (10) Days after receipt of the Statement of Dispute) in a good faith effort to negotiate a resolution to the Claim. Each party shall be represented in such negotiations by an authorized representative with full knowledge of the details of the Claim or defenses being asserted by such party, and with full authority to resolve such Claim then and there,subject only to City's right and obligation to obtain City Council [or other City official] approval of any agreed settlement or resolution. In the Claim involves the assertion of a right or claim by a Subcontractor against Contractor that is in turn being asserted by Contractor against City, then such Subcontractor shall also have a representative attend such ARTICLE 15 GC-83 negotiations, with the same authority and knowledge as just described. Upon completion of the meeting, if the Claim is not resolved, the parties may either continue the negotiations or either party may declare negotiations ended. All discussions that occur during such negotiations and all documents prepared solely for the purpose of such negotiations shall be confidential and privileged pursuant to California Evidence Code Sections 1119 and 1152. B. Deferral of Claims Following the completion of the negotiations required by Paragraph 15.02-A., all unresolved Claims, except those that do not involve parties other than the Contractor and City,shall be deferred pending Final Completion of the Work,subject to City's right, in its sole and absolute discretion,to require that the claims Dispute Resolution Process proceed prior to Final Completion. In the event that City does not elect to proceed with the Claims Dispute Resolution Process prior to Final Completion of the Work, all Claims that have been deferred until such Final Completion shall be consolidated within a reasonable time after such Final Completion and thereafter pursued to resolution pursuant to the Claims Dispute Resolution Process. Nothing contained in this Article 15 shall be interpreted as limiting the parties' rights to continue informal negotiations of Claims that have been deferred until such Final Completion; provided, however,that such informal negotiations shall not be interpreted as altering the provisions of this Article 15 deferring final determination and resolution of unresolved Claims until after Final Completion of the Work. C. Legal Proceedings If the Claim is not resolved by direct negotiations then the party wishing to further pursue resolution or determination of the Claim shall submit the Claim for determination by commencing legal proceedings in a court of competent jurisdiction. 15.03 NO WAIVER Participation in the Claims Dispute Resolution Process shall not constitute a waiver, release or compromise of any defense of either party, including, without limitation, any defense based on the assertion that the rights of Contractor that are the basis of a Claim were previously waived by Contractor due to failure to comply with the Contract Documents, including, without limitation, Contractor's failure to comply with any time periods for providing notices or for submission or supporting documentation of Claims. [END OF ARTICLE] ARTICLE 15 GC-84 i ARTICLE 16 -ACCOUNTING RECORDS 16.01 MAINTENANCE OF RECORDS Contractor shall keep, and shall include in its contracts with its Subcontractors, provisions requiring its Subcontractors to keep full and detailed books and records in accordance with the requirements of the Contract Documents, including the following: all information, materials and data of every kind and character (hard copy, as well as computer readable data if it exists), that have any bearing on or pertain to any matters, rights, duties or obligations relating to the Project or the performance of the Work, including, without limitation, agreements, purchase orders, leases, contracts, commitments, arrangements, notes, change orders, change order requests, estimates, field orders, schedules, diaries, logs, reports, shop drawings, samples, exemplars, Drawings, Specifications, invoices, delivery tickets, receipts, vouchers, cancelled checks, memoranda; accounting records;job cost reports;job cost files (including complete documentation covering negotiated settlements); backcharge; general ledgers; documentation of cash and trade discounts earned; insurance rebates and dividends, and other documents relating in way to Claims or Change Orders, Construction Change Directives, Work Directives, or other claims for payment related to the Project asserted by Contractor or any Subcontractor ("Accounting Records"). Contractor shall exercise such controls as may be necessary for proper financial management of the Work. Such accounting and control systems shall comply with prevailing custom and practice for similar projects, be satisfactory to City and shall include preservation of such records for a period of five (5) years after approval of the Notice of Completion and Acceptance by City,or for such longer period as may be required by applicable laws. 16.02 ACCESS TO RECORDS Contractor shall allow, and shall include in its contracts with its Subcontractors provisions requiring its Subcontractors to allow, City and its authorized representative(s), auditors, attorneys and accountants, upon twenty-four(24) hours notice to Contractor,full access to inspect and copy all books and records relating to the Project that Contractor is required to maintain pursuant to Paragraph 16.01, above. 16.03 CONTRACTOR NONCOMPLIANCE,WITHHOLDING Contractor's compliance with Paragraphs 16.01 and 16.02, above, shall be a condition precedent to maintenance of any legal action or arbitration by Contractor against City. In addition to and without limitation upon City's other rights and remedies for breach, including any other provisions for withholding set forth in the Contract Documents, City shall have the right, exercised in its sole discretion, to withhold from any payment to Contractor due under a current Application for Payment an additional sum of up to ten percent (10%) of the total amount set forth in such Application for Payment, until Contractor and its Subcontractors have complied with any outstanding and unsatisfied request by City under this Article 16. Upon such compliance with this Article 16, any additional monies withheld pursuant to this Paragraph 16.03 shall be released to Contractor. 16.04 SPECIFIC ENFORCEMENT BY CITY Contractor agrees that any failure by Contractor or any Subcontractor to provide access to its books and records as required by this Article 16 shall be specifically enforceable, by issuance of a preliminary and/or permanent mandatory injunction by a court of competent jurisdiction based on affidavits submitted to such court and without the necessity of oral testimony, to compel Contractor to permit access, inspection, audits and/or reproduction of such books and records or to require delivery of such books and records to City for inspection, audit and/or reproduction. [END OF ARTICLE] ARTICLE 16 GC-85 ARTICLE 17-MISCELLANEOUS PROVISIONS 17.01 COMPLIANCE WITH APPLICABLE LAWS A. Notices,Compliance Contractor shall give all notices required by governmental authorities and comply with all applicable laws and lawful orders of governmental authorities,including but not limited to the provisions of the California Code of Regulations applicable to contractors performing construction and all laws, ordinances, rules, regulations and lawful orders relating to safety, prevailing wage and equal employment opportunities. B. Taxes,Employee Benefits Contractor shall pay at its own expense, at no cost to the City and without adjustment to the Contract Sum, all local, state and federal taxes, including, without limitation all sales, consumer, business license, use and similar taxes on materials, labor or other items furnished for the Work or portions thereof provided by Contractor or Subcontractors, all taxes arising out of its operations under the Contract Documents and all benefits, insurance, taxes and contributions for social security and unemployment insurance which are measured by wages,salaries or other remuneration paid to Contractor's employees. If under federal excise tax law any transaction hereunder constitutes a sale on which a federal excise tax is imposed and the sale is exempt from such excise tax because it is a sale to meat for its exclusive use, then City, upon request, will execute documents necessary to show that is a political subdivision of the State for the purposes of such exemption and that the sale is for the exclusive use of the City, in which case no excise tax for such materials shall be included in the Bid or Contract Sum. C. Notice of Violations Contractor shall immediately notify the City and Director in writing of any instruction received from the City, Director, Architect or other person or entity that, if implemented, would cause a violation of any applicable law or lawful order of a governmental authority. If Contractor fails to provide such notice,then Director and Architect shall be entitled to assume that such instruction is in compliance with applicable laws and lawful orders of governmental authorities. If Contractor observes that any portion of the Drawings and Specifications or Work are at variance with applicable laws or lawful orders of governmental authorities, or should Contractor become aware of conditions not covered by the Contract Documents which will result in Work being at variance therewith,Contractor shall promptly notify Director in writing. If, without such notice to Director, Contractor or any Subcontractor performs any Work which it knew, or through the exercise of reasonable care should have known, was contrary to lawful orders of governmental authorities or applicable laws, then Contractor shall bear all resulting losses at its own expense, at no cost to City and without adjustment to the Contract Sum. 17.02 OWNERSHIP OF DESIGN DOCUMENTS A. Property of City All Design Documents, Contract Documents and Submittals(including, without limitation, all copies thereof) and all designs and building designs depicted therein are and shall remain the sole and exclusive property of the City and the City shall solely and exclusively hold all copyrights thereto. Without derogation the City's rights under this Paragraph, the Contractor ARTICLE 17 GC-86 and Subcontractors are granted a limited, non-exclusive license, revocable at will of City, to use and reproduce applicable portions of the Contract Documents and Submittals as appropriate to and for use in the execution of the Work and for no other purpose. B. Documents on Site Contractor shall keep on the Project site,at all times and for use by City, Director, Inspectors of Record and City's Consultants,a complete set of the Contract Documents that have been approved by applicable Governmental Authorities. C. Delivery to City All Design Documents, Contract Documents and Submittals in the possession of Contractor or Subcontractors shall be returned to the City upon the earlier of Final Completion or termination of the Construction Contract; provided, however, that Contractor and each Subcontractor shall have the right to retain one (1) copy of the Contract Documents and Submittals for its permanent records D. Subcontractors Contractor shall take all necessary steps to assure that a provision is included in all subcontracts with Subcontractors, of every tier, who perform Work on the Project establishing, protecting and preserving the,City's rights set forth in this Paragraph. 17.03 AMENDMENTS The Contract Documents may be amended only by a written instrument duly executed by the parties or their respective successors or assigns. 17.04 WAIVER Either party's waiver of any breach or failure to enforce any of the terms, covenants, conditions or other provisions of the Contract Documents at any time shall not in any way limit or waive that party's right thereafter to enforce or compel strict compliance with every term, covenant, condition or other provision, any course of dealing or custom of the trade notwithstanding. Furthermore, if the parties make and implement any interpretation of the Contract Documents without documenting such interpretation by an instrument in writing signed by both parties, such interpretation and implementation thereof will not be binding in the event of any future disputes. 17.05 INDEPENDENT CONTRACTOR Contractor is an independent contractor,and nothing contained in the Contract Documents shall be construed as constituting any relationship with City other than that of Project owner and independent contractor. In no event shall the relationship between City and Contractor be construed as creating any relationship whatsoever between City and Contractor's employees. Neither Contractor nor any of its employees is or shall be deemed to be an employee of City. Except as otherwise specified in the Contract Documents, Contractor has sole authority and responsibility to employ, discharge and otherwise control its employees and has complete and sole responsibility as a principal for its agents, for all Subcontractors and for all other Persons that Contractor or any Subcontractor hires to perform or assist in performing the Work. ARTICLE 17 GC-87 17.06 SUCCESSORS AND ASSIGNS The Contract Documents shall be binding upon and inure to the benefit of City and Contractor and their permitted successors, assigns and legal representatives. A. City may assign all or part of its right, title and interest in and to any Contract Documents, including rights with respect to the Payment and Performance Bonds, to (a) any other governmental person as permitted by governmental rules, provided that the successor or assignee has assumed all of City's obligations, duties and liabilities under the Contract Document then in effect; and (b) any other Person with the prior written approval of Contractor. B. Contractor may collaterally assign its rights to receive payment under the Contract Documents. Contractor may not delegate any of its duties hereunder, except to Subcontractors as expressly otherwise permitted in the Contract Documents. Contractor's assignment or delegation of any of its Work under the Contract Documents shall be ineffective to relieve Contractor of its responsibility for the Work assigned or delegated, unless City, in its sole discretion, has approved such relief from responsibility. Any assignment of money shall be subject to all proper set-offs and withholdings in favor of City and to all deductions provided for in the Contract. All money withheld, whether assigned or not, shall be subject to being used by City for completion of the Work, should Contractor be in default. C. Except for the limited circumstances set forth in Paragraph 17.06-B, above, Contractor may not, without the prior written consent of City in its sole discretion, voluntarily or involuntarily assign, convey, transfer, pledge, mortgage or otherwise encumber its rights or interests under the Contract Documents. No partner, joint venturer, member or shareholder of Contractor may assign, convey, transfer, pledge, mortgage or otherwise encumber its ownership interest in Contractor without the prior written consent of City, in City's sole discretion. 17.07 SURVIVAL Contractor's representations and warranties, the dispute resolution provisions contained in Article 15, and all other provisions which by their inherent character should survive termination of the Contract and/or Final Acceptance, shall survive the termination of the Contract and the Final Acceptance Date. 17.08 LIMITATION ON THIRD PARTY BENEFICIARIES It is not intended by any of the provisions of the Contract Documents to create any third party beneficiary hereunder or to authorize anyone not a party hereto to maintain a suit for personal injury or property damage pursuant to the terms or provisions hereof, except to the extent that specific provisions (such as the warranty and indemnity provisions) identify third parties and state that they are entitled to benefits hereunder. The duties, obligations and responsibilities of the parties to the Contract Documents with respect to such third parties shall remain as imposed by law. The Contract Documents shall not be construed to create a contractual relationship of any kind between City and a Subcontractor or any other Person except Contractor. 17.09 PERSONAL LIABILITY OF CITY EMPLOYEES City's authorized representatives are acting solely as agents and representatives of City when carrying out the provisions of or exercising the power or authority granted to them under the ARTICLE 17 GC-88 Contract. They shall not be liable either personally or as employees of City for actions in their ordinary course of employment. No agent, consultant, Council member, officer or authorized employee of City, shall be personally responsible for any liability arising under the Contract. 17.10 NO ESTOPPEL City shall not, nor shall any officer thereof, be precluded or estopped by any measurement, estimate or certificate made or given by the City representative or other officer, agent, or employee of City under any provisions of the Contract from at any time (either before or after the final completion and acceptance of the Work and payment therefor) pursuant to any such measurement, estimate or certificate showing the true and correct amount and character of the work done, and materials furnished by Contractor or any person under the Contract or from showing at any time that any such measurement, estimate or certificate is untrue and incorrect, or improperly made in any particular, or that the work and materials, or any part thereof, do not in fact conform to the Contract Documents. Notwithstanding any such measurement, estimate or certificate, or payment made in accordance therewith, City shall not be precluded or estoppel from recovering from Contractor and its Sureties such damages as City may sustain by reason of Contractor's failure to comply or to have complied with the Contract Documents. 17.11 GOVERNING LAW The laws of the State of California govern the construction and interpretation of the Contract Documents, without regard to conflict of law principles. Unless the Contract Documents provide otherwise, any reference to laws, ordinances, rules, or regulations include their later amendment, modifications, and successor legislation. If Contractor or City brings a lawsuit to enforce or interpret one or more provisions of the Contract Documents,jurisdiction is in the Superior Court of the County of Los Angeles, California, or where otherwise appropriate, in the United States District Court, Central District of California. Contractor and City acknowledge that the Contract Documents were negotiated,entered into,and executed—and the Work was performed—in the City of Vernon, California. 17.12 FURTHER ASSURANCES Contractor shall promptly execute and deliver to City all such instruments and other documents and assurances as are reasonably requested by City to further evidence the obligations of Contractor hereunder, including assurances regarding assignments of Subcontractors contained herein. 17.13 SEVERABILITY If any clause, provision, section, paragraph or part of the Contract is ruled invalid by a court having proper jurisdiction, then the parties shall: (a) promptly meet and negotiate a substitute for such clause, provision, section, paragraph or part,which shall, to the greatest extent legally permissible, effect the original intent of the parties, including an equitable adjustment to the Contract Price to account for any change in the Work resulting from such invalidated portion; and (b) if necessary or desirable, apply to the court or other decision maker(as applicable)which declared such invalidity for an interpretation of the invalidated portion to guide the negotiations. The invalidity or unenforceability of any such clause, provision,section, paragraph or part shall not affect the validity or enforceability of the balance of the Contract, which shall be construed and enforced as if the Contract did not contain such invalid or unenforceable clause, provision,section, paragraph or part. ARTICLE 17 GC-89 17.14 HEADINGS The captions of the sections of the Contract are for convenience only and shall not be deemed part of the Contract or considered in construing the Contract. 17.15 ENTIRE AGREEMENT The Contract Documents contain the entire understanding of the parties with respect to the subject matter hereof and supersede all prior agreements, understandings, statements, representations and negotiations between the parties with respect to its subject matter. 17.16 COUNTERPARTS This instrument may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. [END OF ARTICLE] ARTICLE 17 GC-90 EXHIBIT 1 Bond No.: Premium Amount:$ Bond's Effective Date: PERFORMANCE BOND RECITALS: 1. The City of Vernon,California("City"),has awarded to (Name,address,and telephone of Contractor) ("Principal"), a Contract(the"Contract")for the Work described as follows: Specification No. in Vernon,CA. 2. Principal is required under the terms of the Contract— and all contract documents referenced in it ("Contract Documents")—to furnish a bond guaranteeing Principal's faithful performance of the Work. 3. The Contract and Contract Documents, including all their amendments and supplements, are incorporated into this Bond and made a part of it by this reference. OBLIGATION: THEREFORE,for value received,We,Principal and (Name,address,and telephone of Surety) ("Surety"), a duly admitted surety insurer under California's laws,agree as follows: By this Bond,We jointly and severally obligate and bind ourselves,and our respective heirs,executors,administrators, successors,and assigns to pay City the penal sum of Dollars($ )("the Bonded Sum"), this amount comprising not less than the total Contract Sum,in lawful money of the United States of America. The California Licensed Resident Agent for Surety is: (Name,address,and telephone) Registered Agent's California Department of Insurance License No. THE CONDITION OF THIS BOND'S OBLIGATION IS THAT,if Principal promptly and faithfully performs the undertakings, terms, covenants, conditions, and agreements in the Contract and Contract Documents (including all their amendments and supplements),all within the time and in the manner that those documents specify,then this obligation becomes null and void. Otherwise,this Bond remains in full force and effect,and the following terms and conditions apply to this Bond: 1. This Bond specifically guarantees Principal's performance of each obligation and all obligations under the Contract and Contract Documents, as they may be amended and supplemented—including,but not limited to, Principal's liability for liquidated damages,Warranties,Guarantees,Correction,and Maintenance obligations as specified in the Contract and Contract Documents—except that Surety's total obligation,as described here,will not exceed the Bonded Sum. 2. For those obligations of Principal that survive Final Completion of the Work described in the Contract and Contract Documents,the guarantees in this Bond also survive Final Completion of the Work. 3. When City declares that Principal is in default under the Contract, or Contract Documents, or both, Surety shall promptly: (a)remedy the default; (b)complete the Project according to the Contract Documents'terms and conditions then in effect;or(c)using a procurement methodology approved by City,select a contractor or contractors—acceptable to City—to complete all of the Work,and arrange for a contract between the contractor(s)and City. Surety shall make available,as the Work progresses, sufficient funds to pay the cost of completion less the balance of the Contract Sum, EXHIBIT 1-PERFORMANCE BOND-1 of 3 and to pay and perform all obligations of Principal under the Contract and Contract Documents—including other costs and damages for which Surety is liable under this Bond—except that Surety's total obligation, as described here,will not exceed the Bonded Sum. 4_ An alteration, modification, change, addition, deletion, omission, agreement, or supplement to the Contract, Contract Documents, or the nature of the Work performed under the Contract or Contract Documents— including, without limitation, an extension of time for performance— does not, in any way, affect Surety's obligations under this Bond. Surety waives any notice of alteration, modification, change, addition, deletion, omission, agreement, supplement, or extension of time. 5. Surety's obligations under this Bond are separate, independent from, and not contingent upon any other surety's guaranteeing Principal's faithful performance of the Work. 6. No right of action accrues on this Bond to any entity other than City or its successors and assigns. 7. If an action at law or in equity is necessary to enforce or interpret this Bond's terms,Surety must pay—in addition to the Bonded Sum—City's reasonable attorneys'fees and litigation costs,in an amount the court fixes. 8. Surety shall mail City written notice at least 30 days before: (a) the effective date on which the Surety will cancel, terminate,or withdraw from this Bond;or(b)this Bond becomes void or unenforceable for any reason. On the date set forth below, Principal and Surety duly executed this Bond, with the name of each party appearing below and signed by its representative(s)under the authority of its governing body. Date: PRINCIPAL: SURETY: (Company Name) (Company Name) (Signature) (Signature) By: By: (Name) (Name) Its: Its: (Title) (Title) Address for Serving Notices or Other Documents: Address for Serving Notices or Other Documents: CORPORATE SEAL CORPORATE SEAL ■ THIS BOND MUST BE EXECUTED IN TRIPLICATE. ■ EVIDENCE MUST BEATFACHED OF THEAUTHORITY OFANY PERSON SIGNING AS ATTORNEY-IN-FACT. ■ THEATTORNEY-IN-FACT'S SIGNATURE MUST BE NOTARIZED. ■ A CORPORATE SEAL MUST BE IMPRESSED ON THIS FORM WHEN THE PRINCIPAL, OR THE SURETY, OR BOTH,AREA CORPORATION. APPROVED AS TO SURETY AND APPROVED AS TO FORM: AMOUNT OF BONDED SUM: By By Director of Community Service&Water City Attorney EXHIBIT 1-PERFORMANCE BOND-2 of 3 BOND ACKNOWLEDGMENT FOR SURETY'S ATTORNEY-IN-FACT STATE OF CALIFORNIA ) ss. COUNTY OF ) On this day of 20 , before me, (name), a Notary Public for said County, personally appeared (name), who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to this instrument as the attorney in fact of and acknowledged to me that he/she subscribed the name of thereto as principal, and his/he own name as attorney in fact. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Notary Public SEAL EXHIBIT 1-PERFORMANCE BOND-3 of 3 EXHIBIT 2 Bond No.: Premium Amount:$ Bond's Effective Date: PAYMENT BOND (LABOR AND MATERIALS) RECITALS: 1. The City of Vernon,California("City"),has awarded to (Name,address,and telephone of Design-Builder) ("Principal"), a Contract(the"Contract")for the Work described as follows: Specification No. in Vernon,CA. 2. Principal is required under California Civil Code Sections 3247-3248 and the terms of the Contract— and all contract documents referenced in it("Contract Documents")—to furnish a bond guaranteeing Principal's paying claims, demands, liens, or suits for any work, labor, services, materials, or equipment furnished or used in the Work. 3. The Contract and Contract Documents, including all their amendments and supplements, are incorporated into this Bond and made a part of it by this reference. OBLIGATION: THEREFORE,for value received,We,Principal and (Name,address,and telephone of Surety) ("Surety"), a duly admitted surety insurer under California's laws,agree as follows: By this Bond,We jointly and severally obligate and bind ourselves,and our respective heirs,executors,administrators, successors,and assigns to pay City the penal sum of Dollars($ )("the Bonded Sum"), this amount comprising not less than the total Contract Sum,in lawful money of the United States of America. The California Licensed Resident Agent for Surety is: (Name,address,and telephone) Registered Agent's California Department of Insurance License No. THE CONDITION OF THIS BOND'S OBLIGATION IS THAT, if Principal or a subcontractor fails to pay(a) any person named in California Civil Code Section 3181, or any successor legislation; (b) any amount due under California's Unemployment Insurance QQk, or any successor legislation, for work or labor performed under the Contract or Contract Documents; or (c) any amount under Unemployment Insurance Section 13020, or any successor legislation, that Principal or a subcontractor must deduct, withhold, and pay over to the Employment Development Department from the wages of its employees,for work or labor performed under the Contract or Contract Documents, then Surety shall pay for the same in an amount not-to-exceed the Bonded Sum. Otherwise,this obligation becomes null and void. While this Bond remains in full force and effect,the following terms and conditions apply to this Bond: 1. This Bond inures to the benefit of any of the persons named in California Civil Code Section 3181, or any successor legislation,giving those persons or their assigns a right of action in any suit brought upon this Bond,unless California Civil Code Section 3267,or any successor legislation,applies. EXHIBIT 2-PAYMENT BOND-1 of 3 2. An alteration, modification, change, addition, deletion, omission, agreement, or supplement to the Contract, Contract Documents, or the nature of the Work performed under the Contract or Contract Documents—including, without limitation, an extension of time for performance—does not, in any way, affect Surety's obligations under this Bond. Surety waives any notice of alteration, modification, change, addition, deletion, omission, agreement, supplement,or extension of time. 3. Surety's obligations under this Bond are separate, independent from, and not contingent upon any other surety's paying claims,demands,liens,or suits for any work, labor, services, materials,or equipment furnished or used in the Work. 4. If an action at law or in equity is necessary to enforce or interpret this Bond's terms, Surety must pay—in addition to the Bonded Sum—City's reasonable attorneys'fees and litigation costs,in an amount the court fixes. 5. Surety shall mail City written notice at least 30 days before: (a)the effective date on which the Surety will cancel, terminate,or withdraw from this Bond;or(b)this Bond becomes void or unenforceable for any reason. On the date set forth below, Principal and Surety duly executed this Bond, with the name of each party appearing below and signed by its representative(s)under the authority of its governing body. Date: PRINCIPAL: SURETY: (Company Name) (Company Name) (Signature) (Signature) By: By: (Name) (Name) Its: Its: (Title) (Title) Address for Serving Notices or Other Documents: Address for Serving Notices or Other Documents: CORPORATE SEAL CORPORATE SEAL ■ THIS BOND MUST BE EXECUTED IN TRIPLICATE. ■ EVIDENCE MUST BE ATTACHED OF THE AUTHORITY OFANY PERSON SIGNING ASATTORNEYIN-FACT. ■ THE ATTORNEY-IN-FACPS SIGNATURE MUST BE NOTARIZED. ■ A CORPORATE SEAL MUST BE IMPRESSED ON THIS FORM WHEN THE PRINCIPAL, OR THE SURETY, OR BOTH,AREA CORPORATION. APPROVED AS TO SURETY AND APPROVED AS TO FORM: AMOUNT OF BONDED SUM: By By Director of Community Service&Water City Attorney EXHIBIT 2-PAYMENT BOND-2 of 3 BOND ACKNOWLEDGMENT FOR SURETY'S ATTORNEY-IN-FACT STATE OF CALIFORNIA ) ss. COUNTY OF ) On this day of 20 before me, (name), a Notary Public for said County, personally appeared (name),who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to this instrument as the attorney in fact of and acknowledged to me that he/she subscribed the name of thereto as principal, and his/he own name as attorney in fact. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Notary Public SEAL EXHIBIT 2-PAYMENT BOND-3 of 3 EXHIBIT 3 Bond No.: Premium Amount:$ Bond's Effective Date: MAINTENANCE BOND RECITALS: 1. The City of Vernon,California("City'),has awarded to (Name,address,and telephone of Contractor) ("Principal"), a Contract(the"Contract")for the Work described as follows: Specification No. in Vernon,CA. 2. Principal is required under the terms of the Contract— and all contract documents referenced in it ("Contract Documents")—after completion of the Work and before the filing and recordation of a Notice of Completion for the Work, to furnish a bond to secure claims for Maintenance equal to ten percent(10%) of the total amount of the Contract Which shall hold good for a period of one (1) year from the date the City's Notice of Completion and Acceptance of the Work is filed with the County Recorder,to protect the City against the result of faulty material or workmanship during that time. 3. The Contract and Contract Documents, including all their amendments and supplements, are incorporated into this Bond and made a part of it by this reference. OBLIGATION: THEREFORE,for value received,We,Principal and (Name,address,and telephone of Surety) ("Surety"), a duly admitted surety insurer under California's laws,agree as follows: By this Bond,We jointly and severally obligate and bind ourselves,and our respective heirs,executors,administrators, successors,and assigns to pay City the penal sum of Dollars($ )("the Bonded Sum"), this amount comprising not less than the total Contract Sum,in lawful money of the United States of America. The California Licensed Resident Agent for Surety is: (Name,address,and telephone) Registered Agent's California Department of Insurance License No. THE CONDITION OF THIS BOND'S OBLIGATION IS THAT if the said Principal or any of his or her or its subcontractors, or the heirs,executors,administrators,successors,or assigns or assigns of any,all,or either of them,shall fail to execute within a reasonable amount of time,or fail to respond within seven(7)days with a written schedule acceptable to the City for same,repair or replacement of any and all Work,together with any other adjacent Work which may be displaced by so doing, that proves to be defective in its workmanship or material for the period of one (1) year(except when otherwise required in the Contract to be for a longer period) from the date the City's Notice of Completion and Acceptance, or equivalent,is filed with the County Recorder,ordinary wear and tear and unusual abuse or neglect excepted with respect to such Work and labor, the Surety herein shall pay for the same, in an amount not exceeding the sum specified in this Bond. 1. When City declares that Principal is in default under the Contract, or Contract Documents, or both, Surety shall promptly remedy the default using a procurement methodology approved by City, select a contractor or contractors— acceptable to City to complete all of the Work, and arrange for a contract between the contractor(s)and City. Surety shall make available sufficient funds to pay the cost of repair or replacement of any and all Work and to pay and perform all obligations of Principal under the Contract and Contract Documents—including other costs and damages for which EXHIBIT 3—MAINTENACE BOND-1 of 3 Surety is liable under this Bond except that Surety's total obligation, as described here, will not exceed the Bonded Sum. 2. Should the condition of this bond be fully performed,then this obligation shall become null and void,otherwise it shall be and remain in full force and effect. 3. Surety,for value received, hereby stipulates and agrees that no change, extension of time, alteration, or addition to the terms of said Contract or to the Work to be performed thereunder or the specifications accompanying the same shall in any manner affect its obligations on this bond,and it does hereby waive notice of any such change,extension,alteration, or addition. 4. Surety's obligations under this Bond are separate, independent from, and not contingent upon any other surety's guaranteeing Principal's faithful performance of the Work. 5. No right of action accrues on this Bond to any entity other than City or its successors and assigns. 6. If an action at law or in equity is necessary to enforce or interpret this Bond's terms,Surety must pay, in addition to the Bonded Sum,City's reasonable attorneys'fees and litigation costs,in an amount the court fixes. 7. Surety shall mail City written notice at least 30 days before: (a) the effective date on which the Surety will cancel, terminate,or withdraw from this Bond;or(b)this Bond becomes void or unenforceable for any reason. 8. Death of the Principal shall not relieve Surety of its obligations hereunder. On the date set forth below, Principal and Surety duly executed this Bond, with the name of each party appearing below and signed by its representative(s)under the authority of its governing body. Date: PRINCIPAL: SURETY: (Company Name) (Company Name) (Signature) (Signature) By: By: (Name) (Name) Its: Its: (Title) (Title) Address for Serving Notices or Other Documents: Address for Serving Notices or Other Documents: CORPORATE SEAL CORPORATE SEAL ■ THIS BOND MUST BE EXECUTED IN TRIPLICATE. ■ EVIDENCE MUST BE ATTACHED OF THEAUTHORITYOFANYPERSON SIGNING AS ATTORNEY-IN-FACT. ■ THEATTORNEY-IN-FACTS SIGNATURE MUST BE NOTARIZED. ■ A CORPORATE SEAL MUST BE IMPRESSED ON THIS FORM WHEN THE PRINCIPAL,OR THE SURETY, OR BOTH,ARE A CORPORATION. APPROVED AS TO SURETY&AMOUNT OF BONDED SUM: APPROVED AS TO FORM: By By Director of Community Service&Water City Attorney EXHIBIT 3—MAINTENACE BOND-2 of 3 BOND ACKNOWLEDGMENT FOR SURETY'S ATTORNEY-IN-FACT STATE OF CALIFORNIA ) ss. COUNTY OF ) On this day of , 20 before me, (name), a Notary Public for said County, personally appeared (name),who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to this instrument as the attorney in fact of and acknowledged to me that he/she subscribed the name of thereto as principal, and his/he own name as attorney in fact. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Notary Public SEAL EXHIBIT 3—MAINTENACE BOND-3 of 3 EXHIBIT 4 INSURANCE REQUIREMENTS 1.0 REQUIRED INSURANCE POLICIES At its own expense,Contractor shall obtain, pay for,and maintain—and shall require each of its Subcontractors to obtain and maintain—for the duration of the Agreement, policies of insurance meeting the following requirements: A. Workers'Compensation/Employer's Liability Insurance shall provide workers'compensation statutory benefits as required by law. 1. Employer's Liability insurance shall be in an amount not less than: (a) ONE MILLION DOLLARS($1,000,000)per accident for bodily injury or disease; (b) ONE MILLION DOLLARS($1,000,000)per employee for bodily injury or disease; and (c) ONE MILLION DOLLARS($1,000,000)policy limit. B. Commercial General Liability("CGL")(primary).City and its employees and agents shall be added as additional insureds,not limiting coverage for the additional insured to"ongoing operations"or in any way excluding coverage for completed operations. Coverage shall apply on a primary, non-contributing basis in relation to any other insurance or self-insurance, primary or excess,available to City or any employee, representative or agent of City. Coverage shall not be limited to the vicarious liability or supervisory role of any additional insured. Coverage shall contain no contractors'limitation or other endorsement limiting the scope of coverage for liability arising from explosion, collapse,or underground property damage. 1. CGL insurance must not be written for less than the limits of liability specified as follows: (a) ONE MILLION DOLLARS($1,000,000)per occurrence for bodily injury(including accidental death)to any one person; (b) ONE MILLION DOLLARS($1,000,000)per occurrence for personal and advertising injury to any one person; (c) ONE MILLION DOLLARS($1,000,000)per occurrence for property damage; and (d) TWO MILLION DOLLARS($2,000,000)general aggregate limit. 2. CGL insurance must include all major divisions of coverage and must cover: (a) Premises Operations(including Explosion,Collapse,and Underground ["X,C,U"] coverages as applicable); (b) Independent Contractor's Protective; (c) Independent Contractors; EXHIBIT 4-INSURANCE REQUIREMENTS-1 of 6 (d) Products and Completed Operations(maintain same limits as above until five(5) years after recordation of Notice of Completion) (e) Personal and Advertising Injury(with Employer's Liability Exclusion deleted); (f) Contractual Liability(including specified provision for Contractor's obligation under Article 11 of the General Conditions);and (g) Broad Form Property Damage. 3. Umbrella or Excess Liability Insurance(over primary), if provided,shall be at least as broad as any underlying coverage. Coverage shall be provided on a"pay on behalf'basis,with defense costs payable in addition to policy limits. There shall be no cross liability exclusion and no contractor's limitation endorsement. The policy shall have starting and ending dates concurrent with the underlying coverages. The Named Insured may determine the layering of primary and excess liability insurance provided that if such layering differs from that described here,the actual coverage program meets the minimum total required limits and complies with all other requirements listed here. C. Business Automobile Liability Insurance 1. Business Automobile Liability Insurance must cover all vehicles,whether rented,leased, hired,scheduled,owned or non-owned. If Contractor does not own any vehicles,this requirement may be satisfied by a non-owned vehicle endorsement to the general and umbrella liability policies. Business Automobile Liability Insurance coverage amounts shall not be less than the following: (a) ONE MILLION DOLLARS($1,000,000)per occurrence for bodily injury(including accidental death)to any one person;and (b) ONE MILLION DOLLARS($1,000,000)per occurrence for property damage;or (c) ONE MILLION DOLLARS($1,000,000)combined single limit. D. Contractors Pollution Liability Insurance(CPL) 1. Contractor or Subcontractor shall obtain, pay for,and maintain for the duration of the Contract Contractors Pollution Liability insurance that provides coverage for liability caused by pollution conditions arising out of the operations of the Contractor. Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using Subcontractors,the policy must include work performed "by or on behalf'of the insured. 2. The policy limit shall provide coverage of no less than one million dollars($1,000,000)per claim and in the aggregate. Coverage shall apply to bodily injury; property damage, including loss of use of damaged property or of property that has not been physically inured; cleanup costs;and costs of defense, including costs and expenses incurred in the investigation,defense,or settlement of claims. EXHIBIT 4—INSURANCE REQUIREMENTS-2 of 6 3. All activities contemplated in the Contract shall be specifically scheduled on the CPL policy as"covered operations." In addition,the policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites. 4. The policy shall specifically provide for a duty to defend on the part of the insurer. City,its officers,employees and agents shall be added to the policy as additional insureds by endorsement. 2.0 GENERAL REQUIREMENTS—ALL POLICIES A. Qualifications of Insurer. At all times during the term of this Contract, Contractor's insurance company must meet all of the following requirements: 1. "Admitted"insurer by the State of California Department of Insurance or be listed on the California Department of Insurance's"List of Surplus Line Insurers" ("LESLI"); 2. Domiciled within, and organized under the laws of,a State of the United States;and 3. Carry an A.M. Best&Company minimum rating of"A:VII". B. Continuation Coverage. For insurance coverages that are required to remain in force after the Final Payment, and if reasonably available, Contractor shall submit to City,with the final Application for Payment, all certificates and additional insured endorsements evidencing the continuation of such coverage. C. Deductibles or Self-Insured Retentions. All deductibles or self-insured retentions are subject to City's review and approval, in its sole discretion. D. Commercial General Liability and Business Automobile insurance policies must be written on an "occurrence"basis and must add the City of Vernon and its officers,agents,employees and representatives as additional insureds. E. Contractor's Insurance Primary. Other insurance(whether primary,excess,contingent or self- insurance,or any other basis)available to City,or its representatives, or both, is excess over Contractor's insurance. City's insurance,or self-insurance,or both,will not contribute with Contractor's insurance policy. F. Waiver of Subrogation. Contractor and Contractor's insurance company waive—and shall not exercise—any right of recovery or subrogation that Contractor or the insurer may have against City, or its representatives,or both. G. Separation of Insureds. Contractor's insurance policy applies separately to each insured or additional insured who is seeking coverage,or against whom a claim is made or suit is brought,except that the naming of multiple insureds will not increase an insurance company's limits of liability. H. Claims by Other Insureds. Contractor's insurance policy applies to a claim or suit brought by an additional insured against a Named Insured or other insured, arising out of bodily injury, personal injury,advertising injury, or property damage. I. Premiums. City is not liable for a premium payment or another expense under Contractor's policy J. At any time during the duration of this Contract, City may do any one or more of the following: 1. Review this Agreement's insurance coverage requirements; EXHIBIT 4—INSURANCE REQUIREMENTS-3 of 6 2. Require that Contractor obtain, pay for, and maintain more insurance depending on City's assessment of any one or more of the following factors: (a) City's risk of liability or exposure arising out of,or in any way connected with, the services of Contractor under this Agreement; (b) The nature or number of accidents, claims,or lawsuits arising out of,or in any way connected with,the services of Contractor under this Agreement;or (c) The availability, or affordability, or both,of increased liability insurance coverage. 3. Obtain, pay for,or maintain a bond (as a replacement for an insurance coverage)from a California corporate surety,guaranteeing payment to City for liability,or costs,or both, that City incurs during City's investigation,administration,or defense of a claim or a suit arising out of this Agreement;or K. Contractor shall maintain the insurance policy without interruption,from the Project's commencement date to the Final Payment date, or until a date that City specifies for any coverage that Contractor must maintain after the Final Payment. L. Contractor shall not allow any insurance to expire,cancel,terminate, lapse,or non-renew. Contractor's insurance company shall mail City written notice at least thirty(30)days in advance of the policy's cancellation,termination, non-renewal,or reduction in coverage and ten(10)days before its insurance policy's expiration,cancellation,termination, or non-renewal,Contractor shall deliver to City evidence of the required coverage as proof that Contractor's insurance policy has been renewed or replaced with another insurance policy which,during the duration of this Agreement, meets all of this Agreement's insurance requirements. M. At any time, upon City's request, Contractor shall furnish satisfactory proof of each type of insurance coverage required—including a certified copy of the insurance policy or policies;certificates,endorsements, renewals, or replacements;and documents comprising Contractor's self-insurance program—all in a form and content acceptable to the City Attorney or City's Risk Manager. N. If Contractor hires,employs,or uses one or more Subcontractor(s)to perform work,services, operations,or activities on Contractor's behalf, Contractor shall ensure that the Subcontractor complies with the following. 1. Meets,and fully complies with,this Agreement's insurance requirements; and 2. Furnishes City at any time upon its request,with a complete copy of the Subcontractor's insurance policy or policies for City's review,or approval,or both. Failure of City to request copies of such documents shall not impose any liability on City,or its employees. 0. Contractor's failure to comply with an insurance provision in this Agreement constitutes a material breach upon which City may immediately terminate or suspend Contractor's performance of this Agreement, or invoke another remedy that this Agreement or the law allows. At its discretion and without waiving any other rights it may have pursuant to law, City has the right but not a duty to obtain or renew the insurance and pay all or part of the premiums. Upon demand, Contractor shall repay City for all sums or monies that City paid to obtain, renew,or reinstate the insurance,or City may offset the cost of the premium against any sums or monies that City may owe Contractor. 3.0 CONTRACTOR'S SUBMITTAL OF CERTIFICATES AND ENDORSEMENTS EXHIBIT 4-INSURANCE REQUIREMENTS-4 of 6 A. Contractor shall have its insurance carrier(s)or self-insurance administrator(s)complete and execute the following insurance documents and shall deliver said documents at the same time Contractor delivers this Agreement to City. City will neither sign this Agreement nor issue a"Notice to Proceed"until the City Attorney or City's Risk Manager has reviewed and approved all insurance documents. City's decision as to the acceptability of all insurance documents is final. Sample insurance documents in the City's approved format are set forth in this 4. B. Required Submittals for Commercial General Liability and Business Automobile Insurance and Contractor's Pollution Liability Insurance.The following submittals must be on forms satisfactory to the City Attorney or City's Risk Manager,and signed by the insurance carrier or its authorized representative—which fully meet the requirements of,and contain provisions entirely consistent with,all of the insurance requirements set forth herein. 1. "Certificate of Insurance" 2. "Additional Insured Endorsement" 3. Subrogation Endorsement:"Waiver of Transfer to Rights of Recover Against Others" Both Certificates of Insurance and Additional Insured Endorsements must read as follows:"The City of Vernon, and its officers,agents,employees and representatives are included as additional insureds under the policy(s). This insurance is primary to all other insurance of the City. The City's insurance and self-insurance will apply in excess of, and will not contribute with this insurance. This insurance applies separately to each insured or additional insured who is seeking coverage,or against whom a claim is made or a suit is brought. The issuing company shall mail thirty(30) days advance notice to the City for any policy cancellation,termination,non-renewal,or reduction in coverage." C. Required Submittals for Workers' Compensation Insurance. Contractor shall provide City with a certificate of insurance and a subrogation endorsement on forms satisfactory to the City Attorney or City's Risk Manager, and signed by the insurance carrier or its authorized representative—which fully meet the requirements of, and contain provisions entirely consistent with,this Contract's workers compensation insurance requirements. If Contractor is self-insured for workers'compensation,a copy of the"Certificate of Consent to Self-insure"from the State of California is required;or if Contractor is lawfully exempt from workers'compensation laws,an"Affirmation of Exemption from Labor Code§3700"form is required. D. Required Evidence of Builder's Risk Coverage. City will provide a certificate of insurance and a declarations page on a form satisfactory to the City Attorney or City's Risk Manager,and signed by the insurance carrier or its authorized representative. The policy terms must fully meet the requirements of,and contain provisions entirely consistent with,all of the insurance requirements set forth herein. The City shall be named as a loss payee on the insurance policy for the full replacement value of all buildings,structures,fixtures and materials to be constructed, maintained, repaired or supplied pursuant to this Contract. E. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that all required coverage is provided. Contractor agrees to obtain certificates evidencing such coverage. F. Contractor agrees to provide immediate notice to City of any claim or loss against Contractor that includes City or any other indemnitee as a defendant. City assumes no obligation or liability by such notice, but has the right(but not the duty)to monitor the handling of any such claim or claims if they are likely to involve City. G. No liability policy shall contain any provision or definition that would serve to eliminate so-called"third party action over"claims, including any exclusion for bodily injury to an employee of the insured or of any contractor or subcontractor. H. Any"self-insured retention"must be declared and approved by City. City reserves the right to require the self-insured retention to be eliminated or replaced by a deductible. Self-funding, policy fronting or other mechanisms EXHIBIT 4—INSURANCE REQUIREMENTS-5 of 6 to avoid risk transfer are not acceptable. If Contractor has such a program,Contractor must fully disclose such program to City. EXHIBIT 4—INSURANCE REQUIREMENTS-6 of 6 EXHIBIT B SPECIAL PROVISIONS SPECIFIC FOR THIS PROJECT SPECIAL PROVISIONS - SPECIFIC FOR THIS PROJECT 11-1.01 Scope of Work — The proposed project will consist of remodeling and refurbishing of approximately 1300 square feet of residential space in the City-owned single family dwelling located at 4323 Furlong Pl. Vernon, CA 90058. II-1.02 Length of Contract — All work in this project shall be completed within 60 (sixty) calendar days as specified in the Bidder's Proposal. II-1.03 Specifications —The work shall be done in accordance with Contract No. CS-0602 Plans and Specifications; The 2013 California Residential Code, California Building Code, California Plumbing Code, California Mechanical Code, California Electrical Code, California Energy Code, California Green Building Standards Code, The AMERICAN INSTITUTE OF ARCHITECT SPECIFICATIONS, Part 1 — General Provisions of the "Greenbook" Standard Specifications for Public Works Construction (2015 Edition) and the construction project manual contained in ATTACHMENT No. 1. II-1.04 Delays and Extensions of Time—The provisions of Section 6-6 entitled "Delays and Extensions of Time" of the Standard Specifications for Public Works Construction (2015) shall apply except as modified and supplemented below. The second paragraph of subsection 6-6.1 is hereby deleted and the following paragraph shall be inserted in its place: No extension of time will be granted for a delay caused by the inability of the Contractor to obtain materials, equipment and labor, except as authorized by the City Engineer. The length of contract time stipulated includes any time which may be required to obtain materials, equipment and labor, and the Contractor in submitting a bid shall be deemed to have ascertained the availability of materials, equipment and labor and considered same in his proposed construction schedule. 11-1.05 (Quality of Work—The provisions of Section 4-1.1 entitled "Materials and Workmanship" of the Standard Specifications for Public Works Construction (2015) shall apply. In addition, any work deemed unacceptable by the City Engineer, whether a cause is determined or not shall be repaired or replaced by the Contractor at his expense. 11-1.06 Liquidated Damages — In accordance with Section 6-9 of the Standard Specifications (2015), for each consecutive calendar day required to complete the work in excess of the time specified herein for its completion, as adjusted in accordance with Section 6-6 of the Standard Specifications for Public Works Construction (2015), the Contractor shall pay to the City, or have withheld from monies due it, the sum of$1,500.00. 11-2.01 Scheduling of Work — The Contractor shall submit his work schedule to the City Engineer at the pre-construction meeting. The construction schedule shall show the sequence of work, critical path and estimated time for completion of each segment of work. This schedule must be reviewed and accepted by the City Engineer before the Contractor will be permitted to begin work. In addition, the Contractor shall submit a detailed schedule forecasting two weeks of work describing each day's work. This schedule shall be updated and submitted CS-0602 SP-1 SPECIAL PROVISIONS to the City every other Monday during the construction period. The Contractor shall give 48 hours notice to the City Engineer prior to the start of the work. II-2.02 Construction Hours—The type of work below will have time restrictions as followed: All work shall occur Monday thru Friday between the hours of 7 a.m. - 4 p.m. Weekend work will be allowed upon approval of the City Engineer I1-3.01 General Scope of Work The exterior of building shall be finished with vinyl siding,trims, soffits and fascia, vinyl, dual pane low E windows, entry doors, general repair, replacement and repainting of existing materials to remain, removal of existing roofing and replacement with11/2 inch plywood, synthetic underlayment and asphalt shingles, construction of an ADA accessibility ramp and other work as shown on the drawings and specifications. The interior work includes patching, repair,texture and painting of walls and ceilings, removal and replacement of wood and door casings and baseboards, replacement of all interior doors, new window treatments, removal and replacement of carpeting, new kitchen and bathroom cabinets and countertops, installation of new garbage disposal, new appliances (purchased separately by Owner, but installed by contractor), new fixtures and accessories. Cost for the installation of appliances shall be included in the various bid items and no compensation will be paid to the contractor for this work. Electrical work includes new exterior and interior light fixtures, outlets, conduits and wiring to meet current code requirements, smoke and carbon monoxide detectors, new doorbell system, computer, telephone and television cabling from designated rooms and locations to weatherproof exterior junction box. Mechanical work includes removal of existing water heater and replacement with a gas powered 6.4 GPM Rheem tankless water heater, installation of gas line and water supply lines as required. (HVAC system has already been replaced). Plumbing work includes replacement of complete sanitary drainage system to the property line with ABS piping except vent lines, re-piping all water lines from meter to fixtures with copper piping, and re-piping of gas lines from meter to fixtures. Sitework includes design and installation of an automatic irrigation system for proper lawn watering, removal and replacement of lawn with Marathon sod and other plantings as indicated or directed by Owner. Install ADA compliant concrete ramp as indicated on Drawings CS-0602 SP-2 SPECIAL PROVISIONS I1-4.01 Extra Work— In the event the City and the Contractor are unable to negotiate an agreed price for extra work, which is acceptable to both parties, payment shall be made based on time and materials as follows: a. Work by the Contractor: The following percentages shall be added to the Contractor's cost and shall constitute the markup for all overhead and profits: 1. Labor 20% 2. Materials 15% 3. Equipment Rental 15% 4. Other Items and Expenditures 15% b. Work by the Subcontractor - When all or any part of the extra work is performed by a subcontractor, the above markups shall apply to the aggregate sum of the extra work, regardless of the number of tiers of subcontractors used. In addition, a markup of 5- percent on the subcontracted portion of each extra work may be added by the Contractor. 11-4.02 Compliance with Laws. Regulations. and Safe Practices — The Contractor shall perform all work in a safe, competent manner and in accordance with all federal, state, and local statues, regulations, ordinances, rules, and governmental orders. The Contractor will be solely and completely responsible for the conditions of the job site, including safety of all persons and property during performance of the work. This requirement will apply continuously and not be limited to normal working hours. Inspection of the Contractor's performance by the City, its agents, or employees is not intended to include review of the adequacy of the Contractor's safety measures in or near the job site. 11-5.01 Noise Restrictions—The noise level from the Contractor's operations shall not exceed 85 dBA when measured within a one hundred (100)foot radius at any time. 11-6.01 Construction Order of Work — Work shall be scheduled so as to lessen the impact upon neighboring properties. Requirements—General: 1. All construction shall conform to Sections 6-1 and 6-2 of the latest edition of the Standard Specifications for Public Works Construction (2015) and shall proceed in a smooth, efficient, timely and continuous manner. As such, once construction is started in a work area, the Contractor will be required to work continuously in that work area until construction has been completed 2. Once construction is started in a work area, the Contractor shall not withdraw manpower or equipment from that work area in order to start construction in another work area if doing so, in the opinion of the City Engineer, delays the completion of the work presently under construction. 3. No stockpiling of material and construction equipment in or on areas outside of the construction site will be permitted on this project unless approved by the City Engineer. CS-0602 SP-3 SPECIAL PROVISIONS Upon the review and approval of the City, the Contractor may elect to obtain a storage yard for his materials and construction equipment for the duration of this contract in order that work on this project will proceed in an efficient manner. Said storage yard shall conform to all City regulations, ordinances, and zoning requirements and shall be maintained in a neat and orderly manner. II-7.01 Character of Workers — If any subcontractor or person employed by the Contractor shall appear to the City Engineer to be incompetent, intemperate, troublesome, or acts in a disorderly or otherwise objectionable manner, he shall be immediately discharge from the project on the requisition of the City Engineer, and such person shall not be reemployed on the work. If said individual has an ownership interest in the contracting entity, the City Engineer will serve written notice upon the Contractor and the Surety providing the faithful performance bond, in accordance with Section 6-4, "Termination of the Contract for Default," of the Standard Specifications for Public Works Construction (2015), demanding complete and satisfactory compliance with the Contract. 1I-8.01 Examination of the Site — The Contractor is required to examine the site and judge for themselves the location, physical conditions, substructures, and surroundings of the proposed work. 1I-9.01 Mobilization — The cost of all preparatory work and operations for the multiple movements of personnel, equipment, supplies, and incidentals to the project site must be included in the various bid items, and no extra compensation will be paid to the Contractor. 11-10.01 Dust Control — Throughout all phases of construction, including suspension of work, and until final acceptance of the project, the Contractor shall abate dust nuisance by cleaning or other means as necessary when requested by the City. Failure of the Contractor to comply with the City Engineer's cleanup orders may result in an order to suspend work until the condition is corrected. No additional compensation nor extension of contract completion time will be allowed as a result of such suspension. The cost of furnishing and operating dust control during the construction project must be included in the various bid items, and no extra compensation will be paid to the Contractor. 11-11.01 Cleaning of Site During Construction — During construction, all existing improvements adjacent to the proposed single family dwelling renovation site shall be cleaned of all dirt or debris on a daily basis. 1I-12.01 Final Cleaning; of Site and Restoration — The Contractor shall be responsible for cleaning and restoration of all damaged existing improvements at no cost to the City. All existing improvements adjacent to the proposed single family dwelling renovation site shall be cleaned of all dirt or debris. The cost of such cleaning after the construction of the project must be included in the various bid items, and no extra compensation will be paid to the Contractor. CS-0602 SP-4 SPECIAL PROVISIONS I1-13.01 Sanitary Facilities — The Contractor shall furnish and maintain sanitary facilities by the worksites for the entire construction period. The costs for this shall be incorporated in the most closely related bid item and no extra compensation will be paid to the contractor. 11-14.01 Protection of the Public — The Contractor shall take such steps and precautions as his/her operations warrant to protect the public from danger, loss of life, loss of property or interruption of public services. Unforeseen conditions may arise which will require that immediate provisions be made to protect the public from danger or loss, or damage to life and property, due directly or indirectly to prosecution of work under this contract. Whenever, in the opinion of the City Engineer, a condition exists in which the Contractor has not taken sufficient precaution of public safety, protection of utilities, and/or protection of adjacent structures or property, the City Engineer will order the Contractor to provide a remedy for the condition. If the Contractor fails to act on the situation within a reasonable time period as determined by the City Engineer, or in the event of an emergency situation, the City Engineer may provide suitable protection by causing such work to be done and material to be furnished as, in the opinion of the City Engineer, may seem reasonable and necessary. The cost and expense of all repairs (including labor and materials) as are deemed necessary, shall be borne by the Contractor. All expenses incurred by the City for emergency repairs will be deducted from the final payment due to the Contractor. II-15.01 Submittals — Prior to commencement of the work, the contractor shall provide the City with samples or cut sheets of the proposed materials including but not limited to the following list: Paint color MDF baseboard Exterior crawl space and side vents Doors molding Doors Insulated vinyl over the exterior of the house Window casing Vinyl wood blinds Exterior light fixtures Interior light fixtures Carpet flooring and padding Water heater Bathroom tile Kitchen cabinets Kitchen tile Laundry room tile No gas lines, electrical lines or water lines shall be abandoned in place. The replacement of the water, electrical and gas lines shall include the removal and disposal of existing lines. The cost for the removal and disposal shall be included in the various bid items and no additional compensation will be paid to the contractor CS-0602 SP-5 SPECIAL PROVISIONS All demolition debris shall be hauled away in accordance with State regulations at no additional cost to the City. II-16.01 Lead and Asbestos Abatement I The City conducted lead testing and asbestos testing in the entire dwelling. Since lead and asbestos was found, the contractor must remove and dispose of the lead and asbestos materials in accordance to State regulations. Cost for the lead and asbestos abatement shall be included in the most closely related bid item. The lead and asbestos testing report can be found in Attachment No. 2 and Attachment No. 3 The contractor must provide a written abatement work plan to city of Vernon Health and Environmental Control Dept. The work plan should include the following: • Provide abatement procedures for the removal/replacement of lead containing building components. Abatement procedures and containment must comply with Chapter 12 , Abatement, "Guidelines for the Evaluation and control of Lead-based Paint Hazards in Housing"—US. Dept. Of Housing and Urban Development • Compliance with Ca. Code of Regulations Title 17, Work Practices for Lead Based Paint and Lead Hazards including all the required pre job notifications • Compliance with CalOSHA Lead in Construction Standards and Respiratory Protection Standards (as needed) —Pre job notifications if applicable • Provide copies of DHS Lead Certifications for all workers and supervisors • Provide management and disposal plan for hazardous waste items • Provide baseline soils samples prior to the start of the abatement work • Dust clearance samples will be taken (and must pass) and prior to job completion confirmation • The work plan must be approved by this office prior to the start of abatement • Sub-contractor or general contractor performing the abatement work shall have a DOSH license to remove hazardous materials. The cost of the abatement work plan should be included in the abatement bid item and no additional compensation shall be paid to the contractor for this work. CS-0602 SP-6 SPECIAL PROVISIONS ATTACHMENT NO. 1 TABLE OF CONTENTS Section Title Page Project Description 3 003300 Existing Conditions 3 006510 Project Warranty 3 008100 Special Project Requirements 4 011100 Summary of Work 4 011110 Owner Selected Products 4 011120 Pre-Ordered Products 4 011400 Work Restrictions 5 012100 Allowances 5 012500 Contract Modification Procedures 5 013100 Coordination 6 013110 Project Meetings 6 013300 Submittal Procedures 6 014100 Regulatory Requirements 7 014400 Quality Assurance 7 015100 Temporary Utilities 8 015200 Construction Facilities 8 015700 Temporary Erosion and Sedimentation Control 8 016000 Materials and Equipment 9 016300 Product Substitution Procedures 9 017000 Project Closeout 9 017100 Cleaning 10 017210 Field Engineering 10 021000 Site Clearing 10 025150 Portland Cement Concrete Paving 11 033100 Cast in Place Concrete 11 042000 Unit Masonry 13 055000 Metal Fabrications 15 061000 Rough Carpentry 16 062000 Finish Carpentry 17 072000 Building Insulation 17 073110 Asphalt Composition Shingles 18 074630 Plastic Siding 18 City of Vernon Housing Page 1 of 30 Vernon, California 9/30/2015 076000 Flashing and Sheet Metal 19 079000 Joint Sealants 20 082100 Wood Doors 20 083600 Sectional Overhead Garage Doors 20 085200 Vinyl Windows 21 087100 Finish Hardware 22 092000 Cement Plaster(Stucco) 22 092500 Gypsum Board 23 093100 Ceramic Tile 23 096800 Carpet 24 099000 Painting 25 108000 Toilet and Bath Accessories 26 114500 Residential Equipment 26 122113 Horizontal Louver Blinds 27 123050 Pre-Manufactured Casework 27 Division 22 Plumbing 28 Division 26 Electrical Work 29 City of Vernon Housing Page 2 of 30 Vernon, California 9/30/2015 CONTRACT DOCUMENTS SPECIFICATIONS PROJECT DESCRIPTION 1.01 The project consists of remodeling and refurbishing of approximately 1300 square feet of residential space in the City-owned single family dwelling located at 4323 Furlong PI. Vernon, CA 90058 and shall be completely finished as shown on the drawings and these specifications. A. The exterior of building shall be finished with vinyl siding, trims, soffits and fascia, vinyl, dual pane low E windows, entry doors, general repair, replacement and repainting of existing materials to remain, removal of existing roof on single family dwelling and replacement of inch plywood, synthetic underlayment and asphalt shingles, and other work as shown on the drawings and specifications. B. The interior work includes patching, repair, texture and painting of walls and ceilings, removal and replacement of wood and door casings and baseboards, replacement of all interior doors, new window treatments, removal and replacement of carpeting, new kitchen and bathroom cabinets and countertops, installation of new garbage disposal, new appliances (purchased separately by Owner, but installed by contractor), new fixtures and accessories. C. Electrical work includes new exterior and interior light fixtures, outlets, conduits and new wiring throughout the single family dwelling to meet current code requirements, smoke and carbon monoxide detectors, new doorbell system, computer, telephone and television cabling from designated rooms and locations to weatherproof exterior junction box. D. Mechanical work includes removal of existing water heater and replacement with a gas powered 6AGPM Rheem tankless water heater, installation of gas line and water supply lines as required. (HVAC system has already been replaced). E. Plumbing work includes replacement of complete sanitary drainage system to the property line with ABS piping except vent lines, repiping all water lines from meter to fixtures with copper piping, and repiping of gas lines from meter to fixtures. F. Sitework includes design and installation of an automatic irrigation system for proper lawn watering, removal and replacement of lawn with Marathon sod and other plantings as indicated or directed by Owner. Install ADA compliant concrete ramp as indicated on Drawings. DOCUMENT 003300 - EXISTING CONDITIONS 1.01 Drawings and specifications are based on existing conditions as superficially observed by the Architect and Owner. Actual conditions discovered during execution of Work may differ from observed conditions. DOCUMENT 006510 -PROJECT WARRANTY Provide a one-year warranty on all materials, fabrication, and installation, a two-year warranty on the water heater and ten-year warranty on structural items. Warranty is null and void if the Owner makes any changes in design features of the home including, but not limited to, the mechanical systems, electrical systems, new additions, building envelope, and roofing systems that do not comply with the California Title 24 Energy Codes for residences. City of Vernon Housing Page 3 of 30 Vernon, California 9/30/2015 DOCUMENT 000810 -SPECIAL PROJECT REQUIREMENTS 1.01 Visitors and subcontractors are required to wear hard hats on the job as directed by the superintendent or foreman on the job. 1.02 Non-complying parties will be required to leave the job site. 1.03 Comply with applicable OSHA, State of California, and related safety regulations. 1.04 Comply with ADA requirements to make 2 of 4 units ADA accessible with the other two made ADA adaptable. SECTION 011000 -SUMMARY OF WORK 1.01 Provide labor, equipment and materials necessary to complete the Work. Provide supervision of construction activities. 1.02 The words "Furnish", "Provide", "Include", "Supply", "Erect", "Deliver", "Install", "Apply", "Lay"or "Place": These words are intended to be synonymous and to indicate that the material or work specifically mentioned is to be furnished and installed completely and incorporated into the Work. 1.03 Documents on Site: Maintain copies of drawings, specifications, and related construction documents on site. 1.04 Exclusions: The following work items are not included in the project: A. Furnishings SECTION 011110—OWNER SELECTED PRODUCTS 1.01 Refer to Drawings and Schedules for those items selected by Owner and installed by Contractor. 1.02 Owner's Responsibilities: A. Arrange and pay for new product delivery to Site placement. B. Deliver Owner furnished items in compliance with Construction Schedule. C. On delivery, inspect products jointly with Contractor. D. Submit claims for transportation damage and replace damaged, defective, or deficient items. E. Arrange for manufacturer's warranties, inspections, and service. 1.03 Contractor's Responsibilities: A. Review shop drawings, product data, and samples. B. Pick-up and deliver items relocated under this contract. C. Receive and unload products at Site; inspect for completeness or damage. D. Handle and store products to prevent damage. E. Repair or replace items damaged after receipt. F. Provide Mock-ups as required. SECTION 011120 -PRE-ORDERED PRODUCTS 1.01 Owner has negotiated purchase orders with suppliers of material and equipment to be incorporated into Work. These purchase orders will be assigned to Contractor and costs for receiving, handling, storing, and installing shall be included in the Contract Sum. City of Vernon Housing Page 4 of 30 Vernon, California 9/30/2015 1.02 Contractor shall renegotiate purchase, if necessary, and execute final purchase order agreements. SECTION 011400 -WORK RESTRICTIONS 1.01 Access to Site: Site access shall be accomplished by way of existing access as shown on the drawings. 1.02 Use of Site: Confine operations at site to areas permitted. Do not unreasonably encumber site with materials or equipment. Coordinate use of site for access to construction area and for storage of materials. 1.03 Materials Stored On-Site: Assume responsibility for protection and safekeeping of products stored on construction site. Store materials in such a manner that will protect public from possible injury. If possible, store materials so public does not have access to materials. 1.06 Smoking On Site: No smoking will be allowed on construction site by any person having anything to do with Project. Subcontractors shall enforce this requirement. SECTION 012100—ALLOWANCES 1.01 Include in the Contract Sum cash allowances as follows: A. Ceramic Tile: $3.50 per sq foot material only. B. Carpet: $25.00 per sq yard material only. C. Light Fixtures: $75.00 minimum per fixture, material only. D. Plumbing Fixtures: $175.00 minimum each per fixture, material only. 1.02 Upon selection of above materials, arrange for purchase and delivery to project site. Install and finish products in compliance with specified requirements. 1.03 Should the actual cost be more or less than the specified amount of an allowance, the Contract Sum will be adjusted accordingly by change order. 1.04 Electrical and Plumbing Fixtures: Order fixtures when selected. Provide a copy of supply house receipt showing cost of fixtures. Include fixture markups in base bid, maximum 10%. SECTION 012500 -CONTRACT MODIFICATION PROCEDURES 1.01 Owner or Architect may initiate changes by submitting a Proposal Request(RFP) to Contractor. Request will include: A. Detailed description of the change, products, and location of the change in the Project. B. Supplementary or revised Drawings and Specifications. C. Such request is for information only, and is not an instruction to execute the changes, or to stop Work in progress. 1.02 Contractor may initiate changes by submitting a written notice to Owner containing: A. Description of proposed changes. B. Statement of the reason for making changes. C. Statement of the affect on the Contract Sum and Contract time. D. Statement of the affect on the work of separate contractors. E. Documentation supporting any change in Contract Sum or Contract time. City of Vernon Housing Page 5 of 30 Vernon, California 9/30/2015 1.03 Sub-contractor shall support each quotation for a lump sum proposal, and for each unit price not previously established, with sufficient substantiating data to allow Owner to evaluate the quotation. A. On request, provide additional data to support time and cost computations: Labor required; equipment required; products required; taxes, insurance, and bonds; credit for work deleted from contract, similarly documented; overhead and profit; and justification for any change in contract time. B. Support each claim for additional costs, and for work done on a time-and-material/force account basis, with documentation of name of the Owner's authorized agent who ordered the work and date of the order; dates and times work was performed and by whom; time record, summary of hours worked, and hourly rates paid; and receipts and invoices. SECTION 013100 -COORDINATION 1.01 Coordinate subcontract work with the Work of the entire project. 1.02 Resolve differences or disputes concerning coordination, interference, or extent of Work of the various Sections. 1.03 Provide basic layouts of grid lines and station points on subfloors, as necessary, to facilitate coordination and layout of partitions and Work at and above the ceilings. Confirm extent of layout with Owner. SECTION 013110 - PROJECT MEETINGS 1.01 Prior to commencement of Work, a pre-construction conference will be held to discuss procedures to be followed during the progress of the Work. Attending shall be Owner, Contractor, Subcontractors, and others as appropriate. 1.02 Eleven months following date of substantial completion of the project by the Owner, attend a meeting for the purpose of review of guaranties/warranties, and service and maintenance contracts for materials and equipment. Take action as appropriate to implement repair or replacement of defective items, and to extend service and maintenance contracts, as desired. SECTION 013300 -SUBMITTAL PROCEDURES 1.01 Make submittals a minimum of 14 working days prior to ordering to allow the time required for reviews and approvals. Comply with Submittal Schedule. 1.02 Identify each submittal and resubmittal with Project name and address, Subcontractor's or supplier's name and address; Name and telephone number of contact individual. Whether it is an original or a resubmittal and date of submission. 1.03 Prior to submittal for Owner's review, fully coordinate material. Determine and verify field dimensions and conditions, materials, catalog numbers and similar data. Submittals shall be complete; Owner will reject partial submittals for not complying with the Contract Documents. 1.04 Submit Product Data, Shop Drawings and Samples as required by the various Specification Sections. Submit in accordance with the approved submittal schedule. 1.05 Samples: Submit in the size specified in the individual Specification Sections. 1.06 Schedule of Submittals for Owner Approval: Appliances (Whirlpool or equivalent) Plumbing fixtures (Kohler or equivalent) City of Vernon Housing Page 6 of 30 Vernon, California 9/30/2015 Paint colors (Dunn Edwards or equivalent) Ceramic tile (Based on a tile cost of$3.50 per square foot) Carpet(Based on a carpet cost of$25.00 per square yard including carpet padding) Lighting Fixtures. (Based on a light fixture cost of$75.00 each) Kitchen and bathroom fixtures shall be a minimum value of$175.00 Windows (Milgard or equivalent) Window Treatments. Pre-manufactured Casework. Countertops to be granite or equivalent. Vinyl siding (Alside or equivalent). Toilet and Bath Accessories (Kohler or equivalent). SECTION 014100 -REGULATORY REQUIREMENTS 1.01 Unless otherwise indicated or specified, perform the Work in conformance with the latest edition of applicable codes, standards and regulatory requirements. 1.02 In case of conflict between referenced regulatory requirements comply with the one establishing the more stringent requirements; between referenced regulatory requirements and Contract Documents comply with the one establishing the more stringent requirements. SECTION 014400 -QUALITY ASSURANCE 1.01 Develop and maintain Quality Control Program to perform inspections and testing of items of Work, including those of subcontractors to ensure conformance to Contract Documents. 1.02 Provide appropriate facilities, instruments, and testing devices required for performance of quality control. 1.03 Maintain quality control over suppliers, manufacturers, products, services, site conditions, fabrication, and installation, to produce Work of specified quality. 1.04 Ensure quality control procedures apply to manufactured and shop fabricated items. A. Ensure materials, products, and equipment conform to requirements of Contract Documents and submittals have been reviewed by Owner as required by Contract Documents. B. Examine areas and conditions under which Work is to be performed and identify conditions detrimental to proper or timely completion. Do not proceed until unsatisfactory conditions have been corrected. C. Perform inspections on routine basis to ensure continuing compliance with Contract requirements. 1.05 Assemble and erect field samples and mock-ups at Project Site for review as required by Contract Documents. Coordinate scope, location, duration with Owner. Acceptable field samples and mock-ups represent a quality level for Work. Remove or disassemble field samples and mock-ups as directed by Owner unless allowed to remain as part of the completed Work. Clear area and dispose of materials unless otherwise indicated. City of Vernon Housing Page 7 of 30 Vernon, California 9/30/2015 SECTION 015100 -TEMPORARY UTILITIES 1.01 Electrical Subcontractor shall arrange with electric utility service company to provide service required for power and lighting. Distribute electric power and lighting as required for the performance of the Work. 1.02 Plumbing Subcontractor shall arrange with utility service company to provide water for construction purposes. Make potable water available for human consumption. 1.03 Provide temporary sanitary facilities. 1.04 Provide fire extinguishers, fire hoses, and other equipment as necessary for proper fire protection during the progress of the Work. Such equipment shall be designated for use for fire protection only. 1.05 Provide construction heating, cooling, and ventilating necessary to maintain specified or required environment for construction operations and to protect materials and finishes from damage due to temperatures or humidity. 1.06 Provide ventilation of enclosed areas to cure materials, disperse humidity, and to prevent accumulations of dust, fumes, vapors, or gases. SECTION 015200 -CONSTRUCTION FACILITIES 1.01 Provide temporary facilities and controls as required to perform the Work. 1.02 Provide, operate and maintain necessary facilities and tools for fabricating, handling, conveying, installing and erecting materials and equipment required under the Contract. 1.03 Provide and maintain suitable temporary barriers as required to prevent public entry; protect the Work and existing facilities, persons, and trees and plants from damage or injury from construction operations. 1.04 Secure, maintain and protect the Work, stored materials, equipment and temporary facilities until time of acceptance or such earlier time as Owner may choose to assume such responsibility. 1.05 Conduct construction operations to prevent windblown dust and dirt from interfering with the progress of the Work. 1.06 Remove temporary facilities and controls, including associated materials and equipment, when their use is no longer required. SECTION 015700 -TEMPORARY EROSION AND SEDIMENT CONTROL 1.01 Obtain permits required by regulatory authorities for provision of erosion control. 2.01 Silt Fence: Pre-manufactured or assembled on-site of geotextile filter fabric. Provide posts of 5- foot minimum length with 4-foot spacing of 2-inch square wood or 1.0 pound per lineal foot standard steel. 3.01 Install erosion protection prior to initiation of demolition, earthwork, or other soil disturbing activities. Install additional erosion protection as work progresses in accordance with means, methods, and schedule of construction. 3.03 Stockpile Protection: Install silt fence at bottom perimeter of stockpiles to remain longer than 2 weeks. City of Vernon Housing Page 8 of 30 Vernon, California 9/30/2015 SECTION 016000 -MATERIALS AND EQUIPMENT 1.01 Material and equipment incorporated in the Work shall be new, unless otherwise specified. Suitable for the use intended. No material or equipment shall be used for any purpose other that for which it is designed or specified. 1.02 Manufactured products shall be delivered in the manufacturer's original, unbroken containers or packaging, with identifying labels intact and legible. Store manufactured products in accordance with the manufacturer's instruction, with seals and labels intact and legible. SECTION 016300 -PRODUCT SUBSTITUTION PROCEDURES 1.01 Substitutions for products identified in the Contract Documents may be proposed only if the items indicated or specified or approved as substitutions during the Bid period have subsequently become unavailable. Whenever a product is identified in the Contract Documents by reference to manufacturer's name, trade name, catalog number, or the like, it is so identified for the purpose of establishing a standard, and products of other manufacturers may be equally acceptable, provided the proposed products are, in the opinion of the Owner, of equal quality, reputation, utility and appearance. 1.02 In requesting approval for a substitution, the Contractor represents that he has investigated the proposed product and determined that it is equal to or superior to that indicated or specified; will furnish the same guaranties/warranties or bonds for the substitution as for the product indicated or specified; will coordinate the installation of an accepted substitution into the Work, and make such other changes as required to make the Work complete and in compliance with the Contract Documents and applicable regulatory requirements. 1.03 Waive claims for additional costs that may subsequently become apparent associated with the substitution. 1.04 Submit requests for substitution approval in written form 7 calendar days prior to bid. Provide sufficient information to enable proper evaluation to be made. Submit complete technical data, including drawings, performance specifications, cost data, samples and test reports of the product proposed for substitution. Submit additional information, if required by the Owner. 1.05 Owner will be the sole judge of the acceptability of proposed substitution and his determination will be final. Approval of a substitution shall not relieve the subcontractor from responsibility for the proper execution of the Work and any other requirements of the Contract Documents. 1.06 For products indicated or specified by naming only one product and manufacturer, followed by the words"no substitution allowed"there is no option. SECTION 017000 -PROJECT CLOSEOUT 1.01 Contract closeout includes final cleaning, project record documents, operating and maintenance data, instruction of the Owner, guaranties, warranties and bonds, service and maintenance contracts, preparation for final inspection, damage and restoration, remedial Work and extra materials. 1.02 Use cleaning materials that will not create hazards to health or property or cause damage to products or Work. Use cleaning materials and methods recommended by the manufacturers of the products to be cleaned. 1.03 Where maintenance manuals, record data, and operating instructions are required in the individual Specifications Sections, prepare such in three-ring, durable, plastic binders sized for 8- 1/2 x 11 inch sheets and including at least the following: A. Where possible, furnish, instruction, including special start-ups and running time, prior to occupancy of the building at no additional expense to the Owner. City of Vernon Housing Page 9 of 30 Vernon, California 9/30/2015 B. Manufacturers'warranties notwithstanding warrant the entire Work against defects in materials, fabrication and installation for 12 months from the date of acceptance. Guaranty/warrant or bond Work as required in the individual Specification Sections. 1.04 Restore or replace, as specified or directed by Owner, materials and finishes damaged from movement of equipment or other operations at no additional expense to the Owner. Restoration shall be equal to the original Work, and finishes shall match the appearance of existing adjacent Work. 1.05 Remedial Work necessary owing to faulty workmanship or materials shall be at no additional expense to the Owner. Work shall be coordinated with the Owner and performed at such time and in such manner to cause minimal interruption and inconvenience to the Owner. 1.06 Where required in the individual Specifications Sections, furnish extra materials in the quantities and manners specified. SECTION 017100 -CLEANING 1.01 Remove waste materials, debris, tools, equipment, and excess construction materials from site and dispose of lawfully. 1.02 Meet regulations of authorities having jurisdiction and safety standards for cleaning. 1.03 Do not burn waste materials without burning permit. 1.04 Do not bury debris or excess materials on Owner's property. 1.05 Do not discharge volatile, harmful, or dangerous materials into sanitary or storm drainage systems, lakes, streams, or the like. SECTION 017210 -FIELD ENGINEERING 1.01 Provide field-engineering services required for the Project, including the following: A. Identify existing control points and property line corner stakes indicated on the Drawings. B. Establish benchmarks on the site, referenced to data established by survey control points. C. Establish lines and levels for building locations and layout. 1.02 Maintain benchmarks, monuments and other reference points; if disturbed or destroyed, replace as directed. 1.03 Site Improvements: Establish stakes for grading, fill, and topsoil placement within building site area. Establish utility slopes and invert elevations. Establish controlling lines and levels required for mechanical and electrical trades. Establish controlling lines and levels for exterior paved surfaces. SECTION 021000 -SITE CLEARING 1.01 Comply with requirements of Section 011400 for control of site work operations. Protect existing improvements and vegetation indicated to remain. 1.02 Coordinate sitework with installation of sanitary sewer, water, gas, and electrical service for site and building. Determine and mark location of installed underground utilities. 1.03 Protect installed underground utilities and if damage to utilities should occur, restore damaged utilities at no expense to Owner. City of Vernon Housing Page 10 of 30 Vernon, California 9/30/2015 1.04 Maintain benchmarks, monuments and other reference points; if disturbed or destroyed, replace as directed. 1.05 Protect tops, trunks, and roots of existing trees on project site indicated to remain. Box, fence, or otherwise protect existing trees subject to construction damage before any work is started. Remove boxing as directed. Do not permit heavy equipment or stockpiles within branch spread. Remove interfering branches without injury to trunks and cover scars with tree paint. 3.01 Verify site conditions and determine that site preparation can be performed in the manner indicated. 3.02 Cut trees, remove dead trees, and brush from the area within perimeter of the building, and indicated areas. Remove trees outside indicated areas only as noted on the drawings and approved by Owner. Remove without injury to trunks, interfering branches and roots of trees to remain in working area; perform cutting and trimming as directed. (Remove to appropriate disposal areas off the site brush, stumps, wood, and other refuse from trees. 3.03 Perform clearing and grubbing as required. Perform earthwork in a manner which will avoid possible damage to installed utilities. Hand excavate when required. 3.05 Maintain site in a clean and orderly condition. Stockpile excess soil material on site as directed. Periodically remove unsuitable materials, waste and debris and legally disposed of offsite. 3.06 Repair or replace damaged landscape materials and plantings. SECTION 025150 -PORTLAND CEMENT CONCRETE PAVEMENT 1.01 Comply with applicable requirements of Section 033100 for materials and additional procedures. 2.01 Concrete for walks and driveway shall obtain a minimum compressive strength of 4000 psi at 28 days. 2.02 Concrete pavement finish as noted on drawings. 2.03 Reinforcement: Provide reinforcement for concrete slabs and pavement as specified in Section 033100. 3.01 Provide expansion joints as indicated or at 20 feet on center maximum, using premolded fillers placed straight and true to line. 3.02 Strike off, screed, and float concrete to minimum tolerance of 1/4 inch in 10 feet sloped to drain and as indicated. 3.03 Saw cut control joints as indicated. Provide at 5'-0" O.C. if not shown otherwise. 3.04 Cure and protect concrete paving as specified in Section 033100. SECTION 033100 -CAST-IN-PLACE CONCRETE 1.01 Provide concrete from a NRMCA certified batch plant in compliance with ASTM C94 or job mixed as approved by Owner. 1.02 Testing: Provide 1 concrete cylinder test for each truck with results of 7 day and 28 day tests. Remove and replace concrete not passing strength requirements specified at no cost to Owner. 1.03 Minimum Compressive Strengths at 28 days: A. Exterior Walks and Steps: 4000 psi. B. Patio Slabs-on-Grade: 4000 psi. C. Footings: 3000 psi. City of Vernon Housing Page 11 of 30 Vernon, California 9/30/2015 1.04 Standards for Design and Construction: ACI 301, 304, 305, 306, and 318, latest editions, except where more stringent requirements are specified. 2.01 Construct forms of S1S2E boards or plywood. 2.02 Form Ties: Standard metal form-clamp assemblies that act as spreaders and leave no metal within one inch of concrete face 2.03 Reinforcement: Minimum concrete cover 1-1/2 inches, 3 inches for concrete on soil. A. Deformed Bars: ASTM A615, Grade 60 B. Welded wire fabric: ASTM A185 C. Anchor bolts: ASTM A36 threaded rods or A307 machine bolts; sizes as indicated. 2.04 Concrete materials: A. Cement: ASTM C150, Type I or II. B. Aggregate: ASTM C33. C. Water: Potable and clean from domestic source. 2.05 Concrete: Regular weight, 145 pcf. Minimum 28 day compressive strength as indicated on Drawings. Maximum aggregate size of 3/4 inch and slump of 3 to 4 inches. A. Add fiber reinforcement to slabs per manufacturer's recommendations. B. Air Entraining Portland Cement: C175. 2.06 Curing compound: ASTM C309, Type 1-D, Class B. 2.07 Retarder: CTS Set Control or approved equal. 2.08 Vapor Barrier under Concrete Slabs on Grade: 4 mil thick, Tu-Tuf4 by Sto-cote Products Inc. or equal. Refer to Section 07190 for additional requirements. 2.09 Expansion Joint Filler: Asphalt impregnated fiberboard, extend full depth of slab or joint. Thickness and lengths indicated on the drawings. 3.01 Provide design and construction of formwork. Construct forms with strength and rigidity to produce finished concrete of size and shape indicated. Minimize construction and pour joints to the greatest extent possible. Forms may be removed 24 hours after concrete is poured. 3.02 Deposit concrete in a continuous operation until placement is complete. Thoroughly puddle and compact concrete during placing, especially at corners. Rapidly handle concrete from truck or mixer to forms and deposit in final position to avoid segregation due to rehandling or flowing. Remove partially hardened or contaminated concrete. Retempered concrete not allowed. Place concrete on clean, well-thawed, damp surfaces, free from water. Never place concrete on soft mud or dry porous earth. 3.03 Place concrete slabs-on-grade over compacted granular subgrade and vapor barrier. 3.04 Remove fins, projections and loose material. Patch honeycomb, aggregate pockets, voids and holes. 3.05 Cure concrete continuously for minimum 48 hours or as dictated by ambient temperatures. Cover concrete as necessary for proper curing. Apply retarder to aggregate exposed by washing and brushing. Seal exposed aggregate when dry. 3.06 Reinforcement: Provide chairs or supports and maintain position of reinforcing. 3.07 Embedded Items: Install embedded items in compliance with reviewed shop drawings. 3.08 Joints: Mark positions of joints in floor slab so that joints in curbs, bases and pads will be placed directly over floor slab joints. Tool joints in exposed slabs, saw cut joints concealed slabs. City of Vernon Housing Page 12 of 30 Vernon, California 9/30/2015 SECTION 042000 -UNIT MASONRY 1.01 Unit Masonry Standards: A. CRSI Manual of Standard Practice B. ACI 304, 305, 306, 310, 311, 318, 347. C. ASTM C94. D. ACI 530.1/ASCE 6"Specifications for Masonry Structures". 1.02 Refer to Section 033100 for reinforcing steel. 2.01 Mortar Materials: A. Portland Cement:ASTM C150, Type 1 or 2. Provide natural color cement as required to produce required mortar color. B. Hydrated Lime: ASTM C207, Type S. C. Sand: ASTM C144. D. Water: Clean, potable, and free of deleterious amounts of acids, alkalies, and organic materials. 2.02 Normal Weight Hollow Concrete Block: ASTM C90 Grade N, Type 1. A. Aggregate: Sand-gravel aggregate conforming to ASTM C33. B. Compressive strength: Minimum 1900 psi. 2.03 Grout: ASTM C476, except masonry cement not permitted, for vertically reinforced unit masonry. Compressive strength: 3500 pounds per square inch in 28 days unless otherwise indicated. Not less than 9 inches slump at mixing and not more than 10 inches slump at placement. 2.04 Mortar for Concrete Unit Masonry: Comply with ASTM C270 for mortar types indicated below. Minimum compressive strength: 2500 PSI. A. Below grade walls: Type M. B. Elsewhere, unless noted otherwise: Type N. 2.05 Anchor bolts: ASTM A307, '/2 inch diameter by 8 inches, unless noted otherwise. 2.06 Through Wall Flashing: Rubberized Asphalt Sheet Flashing consisting of 32 mil adhesive rubberized asphalt compound bonded to 8 mil high density, cross-laminated polyethylene film, 40 mils thick. W.R.Grace & Co.: Perm-A-Barrier Wall Flashing. A. Primer: For bonding flashing sheets to substrates. 2.07 Wire Joint Reinforcement: A. Single Wythe Interior Walls Above Grade: Regular hot-dipped galvanized truss type joint reinforcement with No. 9 side and cross rods. Uniform Building Code Standard UBC 24- 15 and ASCE/ACI 530 Building Code Requirements For Masonry Structures. 3.01 Install concrete unit masonry to comply with NCMA recommendations, as modified herein. A. Install units plumb, true to line, and with level courses. B. Install block with full mortar joints at end, bed, and head joints with 3/8-inch thick mortar joints, unless otherwise indicated. C. Make masonry courses uniform in height. D. Make vertical and horizontal joints of equal thickness. City of Vernon Housing Page 13 of 30 Vernon, California 9/30/2015 E. Do not install cracked, broken, or chipped bricks. 3.02 Bond Pattern for Concrete Block: Lay in '/z lap (centered - running bond), unless otherwise indicated. A. Lay block with full mortar coverage on horizontal and vertical face shells. B. Bed webs in mortar in starting course on footings and in all courses of piers, columns and pilasters, and where adjacent to cells or cavities to be filled with grout. C. For starting course on footings where cells are not grouted, spread out full mortar bed including areas under cells. D. Maintain uniform 3/8 inch thick mortar joints. E. Fully bond external and internal corners and intersections. 3.03 Lay out walls in advance for accurate spacing of surface bond patterns with uniform joint widths and for accurate locating of openings, movement type joints, returns, and offsets. Avoid use of less than half sized units at corners,jambs and where possible elsewhere. A. Provide cuts on exposed masonry units that are straight and true. B. Use special shapes and fractional units to keep cuts to a minimum. C. Cut masonry units to fit neatly around conduit or piping, outlet boxes and similar items. D. Do not shift or tap masonry after mortar has taken initial set. Where adjustment must be made, remove mortar and install fresh mortar. E. Rock closures into place with head joints thrown against 2 adjacent bricks in place. Do not pound corners or jambs to fit stretcher units after setting in place. Where adjustment to corners or jambs must be made after mortar has started to set, remove mortar and install fresh mortar. 3.04 Interface with Other Work: Build chases and recesses as indicated or required by trades. A. Install loose lintels, anchors, bolts, dowels, grounds, angles, plates, grilles, and similar items required for anchorage of other work. B. Where built-in items are to be embedded in cores of hollow masonry units, place layer of metal lath in the joint below and rod mortar or grout into place. C. Fill cores in hollow concrete masonry units with grout 3 courses (24 inches) under bearing plates, beams, lintels, posts and similar items, unless otherwise indicated. D. Install louvers, grilles and other equipment furnished by others to be built into masonry. E. Do not enclose mechanical, electrical, or Work specified under other Sections until such Work has been inspected and approved by proper code authorities having jurisdiction and by Design-Builder. F. Stopping and Resuming Work: Stop horizontal runs by racking back in each course; toothing is not permitted. When joining fresh masonry to set or partially set masonry, remove loose units and remove mortar interfering with fresh mortar bed. 3.05 Finishing of Mortar Joint: Tool joints when mortar is thumb-print hard, using jointing tool of proper shape and size. A. Tool exterior face of joints located below grade to a smooth, dense, concave surface. B. Tool exposed joints to a smooth, dense, concave surface. C. Tool exposed joints to a smooth, dense surface to match shape of existing mortar joints. D. Flush cut joints not indicated to be tooled. City of Vernon Housing Page 14 of 30 Vernon, California 9/30/2015 3.06 Horizontal Reinforcement: Space horizontal wall reinforcing starting with first joint above lowest footing, poured concrete foundations, walls, or concrete slabs; and spaced not less than every 2 courses (16 inches on center vertically). 3.07 Low-Lift Grouting: Place vertical reinforcing prior to laying of concrete block; extend above elevation of maximum pour height as required to allow for splicing; support in position at vertical intervals not exceeding 160 bar diameters. Lay units to maximum pour height; do not exceed 4'- 0" height or if bond beam occurs below 4 foot height, stop pour at course below bond beam. Stop grout in vertical cells 1-1/2 inches below bond beam course; Place horizontal reinforcing in bond beam; Lap at corners and intersections; Place grout in bond beam course before filling vertical cores above bond beam. 3.08 Grout cores solid at areas to receive bolted hardware or hangers. 3.09 Anchor sill plates to foundation wall with anchor bolts at 72 inches on center, minimum two anchor bolts per piece of sill. SECTION 055000 -METAL FABRICATIONS 1.01 Comply with AWS Standards for welding operations and welder certification. 1.02 Design-build steel handrails and guardrails as indicated on drawings. Provide sealed shop drawings. 1.03 Obtain services of a California Registered Structural Engineer to review the design conditions and to design guardrail member thicknesses and connections. 1.04 Mock-Ups: Install at project site. Obtain Owner's acceptance of finish color, pattern, fabrication, and installation. Refer to Section 014400. 2.01 Fabricate metals from materials specified. Fabricate joints with tight fit and secured by welding. Shop fabricate in largest sections possible for delivery to site. Grind exposed welds flush and smooth, ease exposed edges to small uniform radius. Make exposed joints butt tight, flush and hairline. 2.02 Materials: A. Steel shapes, bars, and plates: ASTM A36. B. Structural steel tubing: ASTM A500 or A501. C. Non-shrink grout: Non-metallic cement based type. D. Threaded fasteners and anchor bolts:ASTM A307, Grade A with cut washers. E. Welding electrodes: E70xx, low hydrogen. F. Shop primer: Tnemec"#99 Metal Primer", Rust-Oleum "#769 Damp-proof Red Primer", or approved equal. 2.03 Hot dip galvanize, after fabrication, fabrications exposed to moisture per ASTM A525. 2.04 Finish metal fabrications with shop primer specified, or hot dipped galvanized after fabrication, as indicated on drawings. Make fabrications ready for field painting. 3.01 Install metal fabrications and securely anchor supports with expansion anchors or in sleeves with "Por-Rok". 3.02 Repair abraded areas of the shop-applied coating, and areas of weld where the shop-applied coating has been damaged, with a primer or galvanizing repair compound, as applicable, compatible with the shop coating. City of Vernon Housing Page 15 of 30 Vernon, California 9/30/2015 SECTION 061000 -ROUGH CARPENTRY 1.01 Comply with requirements of WCLIB and WWPA for grading softwood lumber; AWPA for pressure treated lumber. Comply with PS 20 for lumber sizing; PS 1 and APA for plywood grades. Lumber and plywood shall be grademarked. Plywood and OSB: comply with appropriate APA standards for specific use. 1.02 Pressure Treated Lumber: AWPA Standards with AWPB certified grademarks. 2.01 Lumber: Douglas Fir/Larch: A. #1 or better, free of heart center, for heavy timbers, select for appearance where exposed. B. #2 or better for horizontal framing, unless noted otherwise. C. SPF grade for studs and posts. D. Construction grade for blocking and sheathing boards. E. Headers shall be#1 or better, unless noted otherwise. F. Rim joists: 1-1/4-inch Rim Board. 2.02 Sheathing: A. Plywood: Hem-Fir, thickness and grade shown on Drawings; exterior type glue. B. Wall sheathing: '/2 inch 5 ply plywood, STRUCT-1 rated. C. Roof sheathing: 1/2 inch plywood. D. Floor sheathing: 3/4-inch T&G APA RATED STURD-I-FLOOR. 2.03 Particleboard: ANSI A208.1. A. Grade 1-M-1 for floor underlayment. 2.04 Sheathing Paper: UBC Standard 14-1, Grade D (water-vapor-permeable, kraft building paper), except that water resistance shall be not less than 1 hour and water-vapor transmission shall be not less than 75 g/sq. m x 24 h. 2.05 Machine bolts: ASTM A307 with cut washers. 2.06 Pressure treated Sill Plates and Lumber in Contact with Concrete or Earth: A. 0.40 for concrete 2.07 Fasteners: UBC Chapter 25. Powder driven anchors: ICBO Approved, Hilti; Ramset or approved equal. Hot dipped galvanize fasteners exposed to moisture. 2.08 Framing Anchors, Straps and Clips: ICBO approved, hot dip galvanized, size and type indicated on Drawings; Simpson Strong-Tie or approved equal. 2.09 Sill Gaskets: A. EPDM Compressible Foam, Shelter Supply Company, (800) 762-8399. B. Foam Sealant: Expanding, 2-component foam, VERSI-FOAM or equal. 2.10 Thru Wall Flashing: As specified in Section 042000. 2.12 Fabricate custom metal framing connections from ASTM A36 steel, hot dipped galvanized where exposed to moisture. Weld fabrication in compliance with AWS Structural Welding Code. 3.01 Securely install framing members true, plumb and level. Construct framing members of longest possible lengths, do not splice individual members. Install blocking and backing as necessary for attachment of finish carpentry items, hardware, toilet accessories, casework and related items. City of Vernon Housing Page 16 of 30 Vernon, California 9/30/2015 i 3.02 Make connections between members tight, accurate and secure. Install fastenings without splitting wood; predrill as necessary. Drill bolt holes same diameter as bolts. Provide washers under every bolt head and nut bearing on wood. Retighten bolts immediately prior to enclosing with finish. SECTION 062000 - FINISH CARPENTRY(MILLWORK) 1.01 Comply with Woodwork Institute of California (WIC) Standards. 1.02 Deliver and store products in protective wrappings, do not remove wrappings until time of installation. Store indoors in an environmentally controlled space. 2.01 Interior millwork and trim for painted finish: A. MDF in sizes and profiles indicated. At bathrooms, painted pine or water resistant MDF. 2.02 Seal exterior wood including, but not limited to, window and door trim, corner trim, and fascia with one coat, front and back primed prior to installation. Seal end cuts during installation. Necessary materials required for end cut sealing provided under Section 099000. 2.03 Fabricate millwork and trim in accordance with the AWI Standards. Shop fabricate products in whole or partial units to suit handling. Assemble partial units in place for a unified appearance. Mill and route trim shapes to profiles indicated or required. Make cuts for hardware neat and true. 2.04 Provide hardware, fasteners, and related items as required for complete units and in compliance with AWI Standards. 2.06 Interior Base and Case Trim of MDF: Submit 6 inch samples for approval. A. Baseboard: 5-1/4" high with one profiled top edge. B. Casing: 1x4 with eased edges. 2.08 Closet Rods and Shelving: A. Plastic laminate shelving with steel brackets. B. Wood rods. 2.09 Door Frames: Solid lumber type, milled to profiles indicated. No loose stops. Match door material unless noted otherwise. 3.01 Install finish carpentry items as indicated. Securely fasten materials to substrate, set square, plumb and level, accurately aligned to position intended. Coordinate placement of backing and blocking. Water level shelves. Rest adjustable shelves on supports without rocking. 3.02 On exposed finish Work, set nails and screws for putty. Nail trim with finish nails of proper size to securely hold without splitting. 3.03 Install builder's hardware, specialty items, and related items as specified or indicated. Wall mounted items shall be secured to solid blocking or backing.Adjust hardware for smooth, non- binding operation. SECTION 072100 -BUILDING INSULATION 1.01 Comply with applicable requirements and certifications for energy conservation. 2.01 Batt insulation: Fiberglass, thickness to provide"R Value" indicated on Drawings: A. Unfaced: ASTM C665, Type I. B. Kraft faced: ASTM C665, Type II, Class C with a perm rating of 1.0. D. Sound Batts: ASTM A553, unfaced, mineral fiber, 3.0 pcf density. City of Vernon Housing Page 17 of 30 Vernon, California 9/30/2015 2.02 Fasteners: Electroplated or galvanized staples, size as required. 2.03 Seal Tape: Bright aluminum for foil face and polyester self-adhering type for kraft face. 2.04 Polyethylene Sheet Vapor Barrier: 6 mil, clear polyethylene sheeting. 3.01 Install insulation batts to fit tightly between framing members, stuff gaps with insulation. Trim insulation to neatly fit around penetrations and between framing. 3.02 Install loose fill insulation using application method recommended by manufacturer. Verify correct size and location of insulation baffles before installation of insulation. Do not block vent space of insulation baffle. 3.03 Apply vapor barrier of 6-mil polyethylene film over stud framing prior to application of the interior gypsum board. Secure polyethylene film with adhesive, tape, or mechanical fasteners to hold film in place until sheathing is applied. Repair punctures and tears with polyethylene tape. Lap joints in film one stud space and continuously tape joint with polyethylene tape. SECTION 073110 -ASPHALT COMPOSITION SHINGLES 1.01 Exercise caution in loading and storing bundles on roof. Do not over-stress roof structure. 1.02 UL rated Class A, install in accordance with UBC Chapter 32 and 43 and NRCA Roofing and Waterproofing Manual. 2.01 Composition Shingles: GAF Timberline 30 yr, Color to be as selected by Owner. 2.02 Underlayments: A. Underlayment: Synthetic non-asphaltic sheet, intended by manufacturer for mechanically fastened roofing underlayment without sealed seams. Provide Pro-Tex Underlayment by System Components Corp., Inc., or equivalent. 2.03 Fasteners: Length as required to penetrate sheathing minimum 3/4 inch A. 3/8 inch head, 12-gage hot dipped galvanized or aluminum nails B. Staples: 16 gage minimum, zinc coated, nominal one-inch crown. 2.04 Sheet metal trim: Comply with Section 076000. 2.05 Prefinished metal drip edge: Style D. 2.06 Hip/ridge vents: RidgeMaster Plus Vent, HipMaster Vent by Mid America Building Products 2.07 Roof to wall transitions: Flash Filtervent 3.01 Install in accordance with NRCA details and manufacturer's instructions. 3.02 Install metal "W"flashing at all roof valleys. SECTION 074630—PLASTIC SIDING 1.01 Section includes vinyl siding, facia, trim, and soffits. 1.02 Submit product data, indicate materials, fastening and anchoring devices, finishes, dimensions, and installation methods and recommendations. 1.03 Installer Qualifications: Not less than 5 years experience with specified materials. 2.01 Vinyl Siding: Premium vinyl siding by Alside or equivalent. 2.02 Pattern and Color: As indicated or selected by Owner. 2.03 Accessories: Provide coordinating accessories made of same material as required for complete and proper installation whether or not specifically shown on the drawings. City of Vernon Housing Page 18 of 30 Vernon, California 9/30/2015 2.04 Fasteners: Aluminum nails, alloy 5056 or 6110, with minimum tensile strength of 63,000 pounds per square inch; length as required to penetrate framing at least 3/4 inch. 2.05 Exterior Soffit Vents: One piece, perforated, ASTM B221 (ASTM B221 M), 6063 alloy, T5 temper, aluminum, with edge suitable for direct application to gypsum board and manufactured especially for soffit application. Provide continuous vent. 2.06 Weather Barrier: ASTM E 1677, Type I air barrier; with flame-spread and smoke-developed indexes of less than 25 and 450, respectively, when tested according to ASTM E 84; UV stabilized; and acceptable to authorities having jurisdiction. Provide Dupont Tyvek or equal. 3.01 Examine substrate conditions before beginning installation; verify dimensions and acceptability of substrate. 3.02 Install weather barrier in accordance with manufacturer's instructions. Tape and seal all seams, edges, fasteners and penetrations. 3.02 Install siding, soffit, and trim in accordance with manufacturer's printed installation instructions. 3.03 Attach securely to framing, not sheathing, with horizontal components true to level and vertical components true to plumb, providing a weather resistant installation. 3.04 Exterior Soffit Vents: Install according to manufacturer's written instructions and in locations shown on the drawings. Provide vent area specified. SECTION 076000 -FLASHING AND SHEET METAL 1.01 Submit Shop Drawings, indicate materials, fastening and anchoring devices, finishes, and dimensions. 2.01 Sheet metal: A. Steel: ASTM A525 and A526, except ASTM A527 for lock forming, 24 gage, G90 galvanized steel sheet. B. Aluminum: ASTM B209, alloy 3003, temper H14, clear anodized finish. 2.01 Prefinished Sheet Metal: 24 gage, Galvalume with Kynar 500 finish. Metal Sales or Copper Sales. A. Color to match prefinished corrugated siding. 2.03 Fabricate sheet metal Work to sizes and profiles indicated, in conformance with SMACNA Standards; complete with associated trim, clips,joint covers, compatible corrosion resistant fasteners, and similar items for a weather and watertight job. 2.04 Solder: ASTM B32, Sn50 alloy, general-purpose type with flux meeting FS O-F-506. 2.05 Provide continuous hook strips of 20 gauge galvanized steel sheet metal regardless of type of sheet metal used. Where hook strip and surrounding sheet metal are of dissimilar materials, paint hook strip with asphalt emulsion. 3.01 Install flashing and sheet metal only over clean prepared substrates. Surfaces shall be smooth, even and free from defects. Cap ends of existing gutters watertight where they abut the new structure. 3.02 Provide for expansion joints as required to permit normal expansion and contraction without straining of metal, joints or fasteners. Provide at material junctions and at minimum of 30 feet in straight runs. Unless indicated, select joint best-suited and least obtrusive for conditions of installation. 3.03 Clean exposed surfaces of flashing and sheet metal of excess solder, flux and dirt; remove grease and oil with appropriate solvents; wipe surfaces with clean rags. City of Vernon Housing Page 19 of 30 Vernon, California 9/30/2015 SECTION 079000 -JOINT SEALANTS 1.01 Provide sealant materials suited for indicated use for a weather and water tight installation. Ensure sealant compatibility with adjacent materials. 2.01 Sealant for General Exterior Building Use: FS-TT-S-001543, Class A, single-component, low- modulus, high-performance, silicone sealant; General Electric"Silpruf,"or approved equal. 2.02 Sealant for General Interior Use: Single-component, gun-grade, paintable, acrylic-latex, water- base sealant; Woodmont Products, Inc., "Chem-Calk 600,"Tremco"Acrylic Latex,"or approved equal. 2.03 Sanitary Sealant: FS-TT-S-001543, Class A, single-component, primerless, flexible, mildew- resistant, silicone rubber sealant; Dow Corning "Silicone Rubber Bathtub Caulk" No. 8640, Tremco"Proglaze,"or approved equal. 2.04 Accessories: A. Backer Rod: Closed-cell foam, non-staining, resilient material such as neoprene, butyl, or polyurethane, compatible with sealant to be used. Sized and shaped to control depth of sealant and to provide 20 percent to 50 percent compression upon insertion. B. Primer: As recommended by sealant manufacturer. C. Bond Breaker: Pressure-sensitive adhesive polyethylene tape. 2.05 Colors: Sealant color shall be selected by Owner from manufacturer's standard colors. 2.06 Foam Sealant: Expanding, 2-component foam, VERSI-FOAM or equal. 3.01 Prepare joints by cleaning and priming substrate. 3.02 Comply with recommendations of sealant manufacturer for each specific type of installation. 3.02 Sealant depth: 1/2 to one times the joint width, but not less than 1/4 inch or more than 1/2 inch. 3.03 Apply solid and continuous bead or bed of sealant to fill joint without voids. Confine sealant to joint or areas to be sealed and finish to neat straight lines. 3.04 Install expanding foam sealant around window and doorframes. SECTION 082100 -WOOD DOORS 1.01 Door construction shall meet the requirements of ANSIM/DMA IS-1A PC-5. Cores shall not telegraph through door face. A. Style: 6 panel by Masonite or equivalent. 1.02 Submit manufacturer's product data for doors specified. Deliver door in protective wrapping. 2.01 Exterior doors shall be solid core construction, 6 panel, 1-3/4 inch thick. 2.02 Doors shall be factory prepared for hardware. 3.01 Install doors in accordance with manufacturer's installation instructions. Fit to frames and prepare for hardware not pre-fitted at factory. Doors shall be plumb in every position, flat in the frame and shall operate smoothly and quietly. SECTION 083600 -SECTIONAL OVERHEAD GARAGE DOOR 2.01 Steel sectional overhead type, size as indicated on Drawings. 2.02 Hardware: City of Vernon Housing Page 20 of 30 Vernon, California 9/30/2015 A. Hinges and brackets shall be made from galvanized steel. B. Track rollers shall be hardened steel ball bearing. 2.03 Weatherstripping: Provide neoprene weatherstrip on bottom of door, an adjustable seal strip at top section, and continuous weatherstripping at jambs. 2.04 Fabricate outside panels of 22 gage sheet metal laminated to 1 3/8-inch thick frame. Provide weathertight rabbeted joint between sections. Factory prefinish exposed sheet metal faces. 2.06 Tracks: 2-inch deep, salt spray steel, standard lift, torsion spring type, having a slight incline to force door into a tight seal when fully closed (wedge-type). Reinforce horizontal track full length with a minimum of 1 1/2-inch by 1 1/2-inch by 1/8-inch angle iron. Provide necessary cross bracing and diagonal angles required for a rigid installation. 2.07 Counterbalancing: Tempered torsion springs mounted on a steel shaft. Springs adjustable for proper tension connect to lower corners of door with flexible galvanized steel aircraft cable with a minimum factor of safety of 5 to 1. 2.08 Operator: Minimum 1/2 HP electric motor, drawbar type. Total enclosure, instant reversing, overload protection, adjustable friction clutch, high efficiency brake system actuated by solenoid, limit switches, and relay type starter. Verify motor size prior to installation. 2.09 Furnish 2 radio remotes, exterior keypad, and interior button switch for each door assembly. 3.01 Install door, hardware and controls in accordance with manufacturer's installation instructions and details. SECTION 085200—VINYL WINDOWS 1.01 Vinyl windows complete with hardware, glazing, weatherstripping, and standard or specified anchorages, trim, attachments, and accessories. 1.02 Submit shop drawings indicating material characteristics, details of construction, connections, and relationship with adjacent construction. 1.03 Warranty Period: 5 years. 1.04 Performance: Comply with AAMA 101 for grade of window required. A. Air leakage: Maximum 0.10 cfm per linear foot of crack when tested at 1.57 psf according to ASTM E283. B. No water penetration when tested at 6.24 psf according to ASTM E547. 2.01 Basis of Design: Milgard. 2.02 Anchors, Clips, and Window Accessories: Aluminum, nonmagnetic stainless steel, or galvanized steel. 2.03 Window and Door Grade: Residential grade, AAMA 101. 2.04 Glazing: Insulating glass, tempered where required. 2.05 Glazing Color: Clear with Low-E. 2.06 Finish: Color as selected by Owner. 2.07 Auxiliary Materials: A. Ventilator opening limit device. B. Operating hardware. City of Vernon Housing Page 21 of 30 Vernon, California 9/30/2015 C. Insect Screens: Aluminum, extruded or roll-formed frame with mitered and reinforced corners; apply screen mesh taut to frame; secure to window with hardware to allow easy removal. 3.01 Install materials and systems in accordance with manufacturer's instructions and approved submittals. Install materials and systems in proper relation with adjacent construction and with uniform appearance. Coordinate with work of other sections. SECTION 087100 -FINISH HARDWARE 1.01 Furnish hardware templates necessary for preparatory Work and hardware manufacturer's installation instructions. 1.02 Submit samples of finish hardware items to Owner for approval prior to ordering. 1.03 Deliver each hardware item or set separately packaged and identified for use in the Work. 2.01 Hardware: A. Hinges: Plated steel, Stanley, Hager, or McKinney. Exterior to be non-ferrous. B. Weatherstrip: Pemko, National, or Zero. C. Locksets: Schlage, or approved equal. D. Provide doorstops for every door. Quality, Ives, Baldwin, or BBW. 2.02 Finish: Brushed stainless steel. 3.01 Install hardware in accordance with manufacturer's installation instructions and applicable security and energy conservation regulations. SECTION 092100 -CEMENT PLASTER 1.01 Keep cement materials dry, stored off ground and under cover. Protect metal lath and metal accessories from moisture and damage. Remove wet or damaged products from the site. 1.02 Coordinate cement plaster base with work of Section 04470 and Section 09310. 2.01 Portland Cement:ASTM C150, Type I or II. 2.02 Lime: Special finish hydrated type, ASTM C206, Type S, certified to be minimum 99 percent hydrated. 2.03 Aggregates: ASTM C897. 2.04 Elastomeric Finish Coat: Premixed colored elastomeric finish coat as manufactured by Sto, Thoro or approved equal. Multiple colors as selected by Owner. 2.05 Metal Lath: Galvanized 3.4 lb self furring. 2.06 Weather-Resistant Barrier: Kraft waterproof building paper, UBC Standard No. 14-1 or ASTM D 226 for Type 1 felt. Provide 2 layers of paper over plywood substrate, except at infiltration barrier provide 1 layer. 2.07 Accessories: Minimum 26 gage hot dipped galvanized steel casing beads and reinforcement. 2.08 Mix proprietary materials in accordance with manufacturer's instructions. Use moist sand. Withhold ten percent of mixing water until mixing is almost complete, then add to obtain required consistency. 3.01 Install metal lath, accessory items, paper flashing at openings and corner reinforcement. Lap side joints upper courses over lower course. Stagger end laps from courses to course. Verify joint locations. City of Vernon Housing Page 22 of 30 Vernon, California 9/30/2015 3.02 Plaster Thickness: 3 coat system plus elastomeric finish coat over metal lath. 7/8"to 1"total thickness. 3.03 Cure cement plaster by wet methods. Cure each coat minimum 48 hours. SECTION 092500 -GYPSUM BOARD 1.01 Comply with general standards of ASTM C840 and GA-216 for application and finishing of suspended gypsum wallboard. 1.02 Coordinate installation and wall layout with electrical and mechanical work. 2.01 Gypsum Wallboard: 1/2-inch regular type for screw application to wood framing in compliance with UBC 4711, completely taped and textured. 5/8-inch regular type at ceilings. 5/8-inch Type X gypsum board at rated firewalls. 3.01 Install, tape, and texture gypsum wallboard in compliance with reference standards. 3.02 Apply with long dimension at right angles to framing. Locate wallboard butt joint over center of framing. Attach wallboard with 1-1/4-inch self-drilling drywall screws 8 inches on center located not less than 3/8 inch from edges. SECTION 093100 -CERAMIC TILE 1.01 Extra Materials: Provide additional quantities, equal to 2 percent of the total square footage for each tile type installed. Round off quantities to the next higher full case. Provide special trim pieces equal to 5% of each type used. 2.01 Tile Materials:As scheduled on drawings or selected by Owner. 2.02 Mortar Materials: A. Portland cement: ASTM C150 Type 1. B. Sand:ASTM C144. C. Water: Potable. 2.03 Flexible Latex-Portland Cement Bond Coat: Flexible latex additive added at Project site to prepackaged dry mortar mix recommended by latex manufacturer. Laticrete International Inc.; Laticrete Porcelain-Bond Admix with Porcelain-Bond Powder. 2.04 Latex-Portland Cement Grout: ANSI A118.6. Water emulsion latex additive: Add at Project site to prepackaged dry grout mix, with type of latex and dry grout mix recommended by latex manufacturer. 2.05 Sealant in Conjunction with Tile: Provide mildew resistant silicone sealant under this Section in compliance with requirements specified under Section 07900. Color: Match color of adjacent tile grout. 2.06 ASTM Cement-Based Backer Board: Non-gypsum-based, cementitious board complying with ASTM C1288, '/ inch thick. James Hardie Building Products Hardi-Backer or equivalent. 2.07 Bond coat: As specified under setting method specification. 3.01 Lay out tile so sizes less than 1/2 size do not occur. Staggered joints are not permitted unless otherwise indicated. 3.02 Comply with TCA Standard Installation Specifications A108.1 through A108.10 and the TCA "Handbook for Ceramic Tile Installation". 3.05 TCA F113 Floor Setting Method: Thin-set using latex portland cement mortar. Where tile occurs on floors where no depressions occur, unless indicated otherwise. City of Vernon Housing Page 23 of 30 Vernon, California 9/30/2015 3.08 Allow the to set 24 hours before grouting. Comply with TCA instructions and material manufacturer's recommendations for grouting. Grout ceramic floor tile with an acid resistant grout mix and apply grout strictly complying with manufacturer's instructions. Add latex bonding additives in compliance with manufacturer's recommendations. Wet or dampen tile and/or joints in compliance with tile manufacturer's recommendations. Tool joints to hard dense surface, free of pinholes, cracks and voids. Damp or wet cure grout installed on floors for not less than 72 hours. 3.09 Clean setting materials and grout from face of tile while materials are workable. Leave tile face clean of foreign matter. 3.10 Do not permit traffic or performance of other work in areas where tile is being installed. Do not walk on or perform work on newly installed tile floors without using kneeling boards or equivalent protection. Prohibit traffic on installed tile for not less than 72 hours after installation or until tile is firmly set. SECTION 096800 -CARPET 1.01 Allowance: See Section 012100. 1.02 Provide samples for approval. 1.03 Extra Materials: Provide additional quantities, equal to 2 percent of the total square footage for each carpet type installed. Round off quantities to the next higher yard. Provide special trim pieces. 2.01 Seaming Cement: Hot-melt type recommended by carpet manufacturer complying with flammability requirements of installed product. 2.02 Pad: 5/8 inch rebound foam. 3.01 Surface Preparation: Remove all existing carpet and pad. Clean floors of dust, dirt, solvents, oil, grease, paint, plaster, and other substances detrimental to proper performance of adhesive and carpet. Let floors dry thoroughly. A. Ensure floors are level, with surface variation not more than 1/4 inch in 10 feet, non- cumulative. B. Use approved cementitious or latex base filler to patch cracks and small holes over 1/8 inch and for leveling. C. Vacuum, clean substrate. 3.02 Check matching of carpet before cutting and ensure there is no unacceptable visible variation between dye lots. Cut carpet, where required, using methods to allow proper seam and pattern match. 3.03 Seaming: Join seams in recommended manner so as not to detract from appearance of carpet installation and decrease its life expectancy. Ensure seams are straight, not overlapped or peaked, and free of gaps. Where possible and practical, locate seams in areas of least amount of traffic. At doorways, center seams under door in closed position; do not place seams perpendicular to doorframe, in direction of traffic through doorway. 3.04 Direction of Pile: Install carpet on floors with run of pile in same direction of anticipated traffic. 3.05 Extend carpeting under open and raised-bottom obstructions and into closets and alcoves of rooms indicated to be carpeted, unless another floor finish is indicated for such spaces. 3.06 Install pad using maximum sized pieces. Lay out pad so carpet seams will not fall directly over seams in pad. Butt edges firmly together and tight to edge of carpet gripper. Tape joints with 4- inch wide tape, cement pad edges together before applying tape. City of Vernon Housing Page 24 of 30 Vernon, California 9/30/2015 i i 3.07 Tape seams or tape and hot melt seams, using permanent type construction which is of sufficient strength for stretching and wear without failure during life of carpet. Apply seaming cement to edges without it being evident on face of carpet. Maintain straight seams, running true with lines of building. SECTION 099000 -PAINTING 1.01 Paint new and existing exposed surfaces except those specified not to be painted or finished by others. Surface treatment, priming and coats of paint specified in this Section is in addition to shop priming and surface treatment specified under other Sections. Numbers of coats specified are minimum; uniform coverage is required, free from defects and blemishes. 1.02 Comply with state and local VOC regulations. 2.01 Obtain materials from one manufacturer as much as practicable: A. Benjamin Moore B. Pratt & Lambert C. Devoe D. Vista. E. Sherwin Williams. F. Dunn Edwards. 2.02 Perform job mixing and tinting only as acceptable to the Owner. Mix paints only in well-ventilated areas and in accordance with manufacturer's instructions. Use tinting colors recommended by the manufacturer for the specific type of finish. 3.01 Verify that conditions are satisfactory for the application of paint and stains. If unsatisfactory conditions exist, do not commence application until such conditions have been corrected. Application of finish constitutes acceptance of surface conditions and responsibility for ultimate finish. 3.02 Apply coatings in accordance with manufacturer's instructions. Apply coatings with suitable brushes, rollers or airless spray equipment; use sheepskin daubers to reach surfaces inaccessible to brushes. 3.03 Employ coats and undercoats for finishes in accordance with recommendations of paint manufacturer. Sand and dust between each coat to remove obvious visible defects. 3.04 Finish coats shall be smooth, even and free from brush marks, laps or pile up of paints, and skipped or missed areas. 3.05 Prime materials except those to receive stains. Fill nail holes after priming but prior to finish coat application. 3.06 Exposed items without factory finish such as conduits, pipes and items of similar nature shall be finished to match adjacent wall and ceiling surfaces, unless otherwise directed. Paint visible surfaces behind vents, registers and grilles nonspecular flat black. A. Paint exposed HVAC grilles to match adjacent surfaces, unless noted otherwise. 3.07 Paint Schedule: A. Shop-Primed Metal: 1. 1st Coat: Metal Primer a. Touch-up damaged priming. b. Paint unprimed surfaces. City of Vernon Housing Page 25 of 30 Vernon, California 9/30/2015 2. 2nd and 3rd Coats: Acrylic emulsion semi-gloss. B. Galvanized Metal: 1. 1st Coat: Acid etch primer followed by manufacturer's recommended primer. 2. 2nd and 3rd Coats: Alkyd emulsion enamel, semi-gloss. C. Gypsum Wallboard - Eggshell.- 1. 1 st Coat: PVA Sealer. 2. 2nd and 3rd Coats: 100%Acrylic enamel, eggshell. D. Wood Doors and Trim—Opaque Finish: Satin. 1. 1st Coat: Acrylic primer sealer. 2. 2nd and 3rd Coats: 100%Acrylic enamel, satin. E. Interior Ferrous Metal: Alkyd enamel, 3 coat. 1. 1st Coat: Alkyd emulsion metal primer. 2 2nd and 3rd Coats: Acrylic emulsion, semi-gloss. F. Exterior Ferrous Metal: 1. 1st Coat: Rust inhibitive primer. 2 2"d & 3rd Coats: Polyurethane semi-gloss. 3.08 Plumbing, Mechanical and Electrical Items: Exposed items without factory finish such as conduits, pipes, access panels, and items of similar nature shall be finished to match adjacent wall and ceiling surfaces, unless otherwise directed. SECTION 108000-TOILET AND BATH ACCESSORIES 2.01 Mirrors: Float glass with sealed silver reflective surface. 2.02 Provide backing plates, brackets, and hardware required for a complete installation; conceal fasteners. 3.01 Install accessories in locations and at the heights indicated. Securely mechanically fasten accessories in accordance with manufacturer's instructions. 3.02 Install accessories into solid blocking, including grab bars, mirrors, medicine cabinets, and vanities. SECTION 114500 -RESIDENTIAL EQUIPMENT 1.01 Residential equipment to be purchased by Owner and installed by Contractor. 1.02 Coordinate make-up air requirements with Mechanical. 2.01 Equipment: All appliances to be Whirlpool or equivalent. All appliances shall be Energy Star compliant where applicable. A. Range/Oven: Self cleaning, front controls, ADA compliant. B. Refrigerator with ice maker: ADA compliant with 50% of freezer space below 54". C. Microwave Oven/range hood, outside vented D. Dishwasher: Undercounter, ADA compliant. E Clothes Washer. City of Vernon Housing Page 26 of 30 Vernon, California 9/30/2015 F. Clothes Dryer. G. Combo Washer/Dryer: ADA compliant, front loading. 3.01 Install residential equipment; provide backdraft dampers at exhaust systems; comply with requirements of Divisions 23 and 26. 3.02 Built-in Equipment: Securely anchor units to supporting cabinetry or countertops with concealed fasteners. Verify that clearances are adequate for proper functioning and rough openings are completely concealed. 3.03 Freestanding Equipment: Place units in final locations after finishes have been completed in each area. Verify that clearances are adequate for proper operation of equipment. SECTION 122113—HORIZONTAL LOUVER BLINDS 1.01 Section includes horizontal slat louver blinds. 1.02 Submittals: A. Product Data: Provide data indicating physical and dimensional characteristics. B. Shop Drawings: Indicate opening sizes, tolerances required, method of attachment, clearances, and operation. 1.03 Samples: Submit two samples, 12 inch long illustrating slat materials and finish, cord type and color. 2.01 Manufacturer: Provide blinds by Hunter Douglas, Levelor or equivalent. 2.02 Description: Horizontal slat louvers hung from full-width headrail with full-width bottom rail. 2.03 Manual Operation: Control of raising and lowering by cord with full range locking; blade angle adjustable by control wand. 2.04 Plastic Slats: Vinyl, radiused slat corners, 1 inch wide, simulated wood grain. Color as selected by Owner. 2.05 Head Rail: Pre-finished, formed aluminum box, with end caps; internally fitted with hardware, pulleys, and bearings for operation; same depth as width of slats. 2.06 Bottom Rail: Pre-finished, formed aluminum with top side shaped to match slat curvature; with end caps. 3.01 Install blinds in accordance with manufacturer's instructions. 3.02 Adjust blinds for smooth operation. SECTION 123530-PRE-MANUFACTURED CASEWORK 1.01 Refer to Drawings for cabinetry layout. 1.02 Coordinate plumbing and electrical work in cabinetry. 1.03 Kitchen and vanity cabinets will be purchased and installed by Contractor. 2.01 Cabinets: Walnut veneer exteriors with melamine interiors. No face frame, reveal overlay with European type hinges and full extension drawer slides. Shaker door and drawer front style. A. Sink Bases: All sink bases must be removable, including doors, toeboards and shelving, with no special tools or knowledge. 2.02 Manufacturer: Armstrong, Kraftmaid or Wellborn, or equivalent. 2.03 Hardware: As selected by Owner. City of Vernon Housing Page 27 of 30 Vernon, California 9/30/2015 2.04 Countertops: Provide granite countertops or equivalent at kitchens and tile countertops at bathrooms as indicated. 3.01 Install cabinets in accordance with the manufacturers' instructions and the approved Shop Drawings. Securely attach to backing as required. 3.02 Adjust cabinets plumb and level, with components operating properly. Clean in accordance with manufacturers' recommendations and protect from damage until final acceptance of the Work. DIVISION 22 -PLUMBING 1.01 Comply with applicable requirements UPC for plumbing. 1.02 Comply with the California Title 24 Energy Code. 1.03 Provide plumbing fixtures, finish, faucets, and trim as selected by Owner. 1.04 Provide required testing. Furnish test results, in writing, to Owner. 1.05 Owner will supply make and model numbers for purchase and installation of equipment. 1.06 Coordinate installation of new fiberglass bathtub. 1.07 Coordinate location and installation of underground PVC sleeves within building for water piping with earthwork and concrete work. 2.01 Piping: A. Above Grade Water: Type M copper with wrought copper fittings assemble with silver solder; provide dielectric fittings at copper-galvanized connections. Insulate domestic hot water lines with minimum 1-inch fiberglass insulation. B. Underground Water: Type K soft copper pipe tubing. C. Gas piping: Black iron in concealed spaces or TracPipe throughout. D. Soil pipe: Schedule 40 ABS or service weight cast iron with two way cleanouts. E. Provide reinforced plastic tubing hoses from angle stops to fixtures. F. Waste and vent pipe: Schedule 40 ABS with solvent welded fittings. G. Sleeves: Schedule 80 PVC 2.03 Materials and Accessories: A. Water Heater: Rheem tankless. B. Washer Connection Box: Oatey or approved equal. C. Wall Faucets: Woodford 25CP3 or equal. 3.01 Install plumbing and make connections as indicated on drawings or as directed by Owner. 3.02 Install stops at fixtures. 3.03 Install water line to refrigerator. 3.04 Install gas piping for furnace and water heater. 3.05 Provide fixtures as scheduled, colors as selected by Owner. City of Vernon Housing Page 28 of 30 Vernon, California 9/30/2015 i DIVISION 26 - ELECTRICAL WORK 1.01 Design electrical systems in compliance with applicable requirements of NEC and NECA "Standard of Installation"for electrical Work. A. Obtain and pay required permit, plan check, service, and installation fees. B. Comply with applicable code requirements, utility company requirements and manufacturer's recommendations. 1.02 Electrical drawings are schematic and may not reflect specific code compliance. Provide energy calculations and compliance forms as required by Building Official. 1.03 Insulate and tape seal airtight electrical components and materials penetrating exterior walls. Tape seal airtight electrical components and materials penetrating interior walls. 1.04 Color of switches, receptacles, and cover plates selected by Owner from available standard colors. 1.05 Coordinate installation of service line with Power Company. Coordinate cable television system installation. Coordinate telephone installation. Coordinate network-wiring system. Coordinate installation of electrical supply and control wiring. Coordinate exhaust fan ductwork locations with mechanical contractor. 1.06 Provide electrical power for telephone system. 2.01 Materials and Components: A. Conduits: Rigid steel, IMT, EMT, flexible metal or rigid non-metallic as required or preferred. B. Junction, switch, and outlet boxes: Metallic or nonmetallic. Boxes located outside vapor barrier to be airtight boxes with a rigid flange, "R+S Nutek". C. Conductors: Copper, sized as required for current capacity. D. Non-metallic sheathed cable: Type NM. E. Wall switches: "Lutron", quiet rocker type, 120 volt, 20A. F. Receptacles: 20A, 125 volt, parallel prong, U-ground; provide ground fault interrupter receptacles at bathrooms, garage, laundry and exterior locations. G. Cover plates: Smooth plastic; "Lutron". H. Telephone and Computer Network Wiring: CAT 5. 2.02 Exhaust Fans: Nutone, Braun, Panasonic, or equal, with 1 sone rating. Furnish with one-hour timer switches. Provide automatic timer switches for each fan. 2.03 Light Fixtures: Provide 4 inch recessed light fixtures throughout units. 2.04 Provide electrical disconnects for mechanical and residential equipment. 2.05 Provide control wiring for HVAC equipment. 2.06 Provide rough-in portion of recessed can fixtures, excluding interior trim. Provide airtight units at recessed can fixtures in insulated ceiling areas. 3.01 Provide circuits and wiring for lighting, receptacles, appliances, sump pumps and equipment as indicated on drawings. Conceal wiring where possible. Mechanically protect exposed wiring where required, install parallel or perpendicular to surface. 3.02 Provide additional junction boxes with covers and conduit stubbed to ceiling plenum space for future electronic type systems as indicated on Drawings. City of Vernon Housing Page 29 of 30 Vernon, California 9/30/2015 3.03 Design capacity of service entrance, branch panel boards, circuit breakers and branch panels as required with additional expansion capacity. Provide ground to cold water piping. Provide separate circuits for major appliances, equipment, lighting and outlets as required by code. 3.04 Install exhaust fans at toilets and as indicated on Drawings. Provide airtight boxes for exhaust fans. 3.06 Outlet Locations: Unless otherwise noted, electrical, telephone, and signal outlets shall be mounted vertically at 12 inches A.F.F. unless noted otherwise. Gang multiple outlets. Mount side-by-side outlets in line, approximately 2 inches apart. Do not install outlets or J-boxes back- to-back on opposite sides of walls. Separate by a stud and insulate. Outlet, switch, television, telephone and ceiling boxes located outside the vapor barrier to be airtight boxes with a rigid flange. 3.07 Protect wiring occurring in return air ducts as required by code. Seal wiring penetrations made through ductwork. Coordinate installation of wiring with mechanical work. 3.08 Make final electrical connections to equipment and appliances. 1. Aesthetic review and approval by Owner of switch locations and ganging, low-voltage controls, and thermostats. 2. Lighting in rooms shall be switched individually. Switching shall be 3-Way located at rooms with double entries, unless noted otherwise on drawings. 3. Verify final telephone and electrical outlets locations prior to installation. 4. Provide power behind cabinets for under cabinet lights. Task lights shall run continuous full length of millwork or recess. Paint exposed conduit. 5. Down lights and wall washers shall be on dimmer system unless noted otherwise and switched separately from other lighting. 6. Seal wall/floor outlets and electrical rough in boxes unless noted otherwise. 7. Install device boxes flush with conduit runs concealed in finished areas except as shown or otherwise noted on drawings. Coordinate furring on walls if required. Coordinate prior to installation. City of Vernon Housing Page 30 of 30 Vernon, California 9/30/2015 ATTACHMENT NO. 2 V LIMITED LEAD BASE PAINT to -4 SURVEY REPORT Located at: v Residential Property r— 4323 Furlong Place Vernon, California 90058 1rF - r • Prepared for: City of Vernon Engineering Division Attn: Mr. Felix Velasco W4305 South Santa Fe Avenue Vernon, California 90058 V :r Prepared by: Velasco Environmental Services LLC C1� 2129 E. Cesar Chavez Ave, Suite No #3 Los Angeles, California 90033 Project No# HM16-2099 Telephone: (323) 825-3096/ Facsimile: (323) 825-3096 www.velascoenvironmental.com February 22, 2016 TABLE OF CONTENTS EXECUTIVE SUMMARY.............................................................................. SECTION 1 SCOPEOF WORK ...................................................................................... SECTION 2 LEAD BASED PAINT REGULATIONS ........................................................ SECTION 3 PROCEDURES AND ACCESS.................................................................... SECTION 4 BUILDING DESCRIPTION........................................................................... SECTION 5 FINDINGS.................................................................................................... SECTION 6 CONCLUSIONS/RECOMMENDATIONS....................................................... SECTION 7 LIMITATIONS................................................................................................. SECTION 8 Attchment: A.............................................................................................XRF Data Table Attchment: B.....................................................................Drawing and Sample Locaction Attchment: C .................................................................................................Photographs Attchment: D ..............................................Consultant Certifications & CDPH Form 8552 1. EXECUTIVE SUMMARY Velasco Environmental Services LLC, (VES) was retained by the City of Vernon (Client) to perform a comprehensive pre-demolition lead-based paint survey of the residential property located at 4323 Furlong Place, Vernon, California 90058. The survey was conducted on February 18, 2016 by, Mr. Edwin Velasco State of California Department of Public Health Lead Inspector Assessor(CDPH-IA), Certificate No. #21830. The purpose of the survey was to identify lead-based paint and to document the location, paint type (color), substrate, total lead content, condition and estimated total damaged quantity for each lead-based paint location identified. Excluded from the survey was subsurface investigation of suspect lead-based paints. A variation of the random sampling protocol described in the HUD guidance document (U.S. Department of Housing and Urban Development, June 1995) was utilized in developing the sampling procedures for this LBP survey. Random sampling of a facility that has similar characteristics such as construction materials, painting histories, and date of construction is considered an appropriate methodology. The survey was conducted in accordance with the County of Los Angeles lead-based paint standard. Paint containing greater than or equal to 0.7 mg/cm2 of lead was considered lead- based paint. VES utilized a Niton XLp X-Ray Fluorescence Spectrum Analyzer (XRF) to detect the presence of lead in suspect lead-based paints. The XRF is a direct reading spectrum analyzer device VES collected readings of representative painted and coated surfaces for evaluation of lead base paints. VES used a Niton XRF Spectrum Analyzer, Model XLp-300A. This device is a solid-state detector optimized for lead L-shell and K-shell X-ray detection and uses a 40 mCi 109Cd (1,480 Mbq) isotope for an excitation source. This survey was a limited screening of paint for the purpose of characterizing the lead content in paint and coatings likely to be disturbed during renovation or demolition activities. For this purpose, XRF analysis was used to screen for lead levels and provides results that are generally representative of typical conditions, but are not inclusive of all painted/coated surfaces present at the Project Site. This survey was not a surface by surface inspection as outlined in the U.S Department of Housing and Urban Development (HUD) Guidelines for the Evaluation and Control of Lead-Base Paint Hazards in Housing pursuant to Title X of the Housing and Community Development Act of 1992. This analytical data can be helpful in evaluation of lead- related environmental risks in general, but cannot be used to calculate worker exposures and is not a substitute for employee exposure monitoring or waste stream sampling. VES obtained a total of 68 representative test readings (including calibration readings) from the subject property. VES's XRF results revealed the presence of lead in quantities greater than or equal to 0.7 mg/cm2 in 12 XRF shots of the tests. City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page - 1 20 SCOPE OF WORK Velasco Environmental Services LLC, (VES) was retained by City of Vernon (Client), to perform a comprehensive pre-demolition lead-based paint survey of the residential property located at 4323 Furlong Place, Vernon, California 90058. The following specified scope of work was performed: A. Survey the interior, attic, crawl space, exterior and roof accessible areas of the building in accordance with the procedures, standards, and qualifications, pursuant to federal, state, and local regulations for the presence of lead-based paints. 1. Demolition survey and sampling techniques (intrusive/destructive) are excluded from the scope of work. Additional survey and sampling may be required if the buildings will be demolished. B. Utilizing a Niton XL X-Ray Fluorescence Spectrum Analyzer, test the suspect lead-based paints and lead-containing materials located throughout the subject property. C. Prepare a written report detailing the results of the lead survey including the paint type, substrate, total lead content, condition, and estimated total damaged quantity for each lead-based paint location identified. For the purpose of this report"Side A"will be the north side of the subject property, structure, or room. The suspect lead-based paint/lead containing paint will be tested using an X-ray Fluorescence Device (XRF). The XRF provides real-time results for each material tested. For the purposes of this survey, and in accordance with the Federal, State and Local lead regulations, a paint or material will be considered to be lead if the XRF indicates 0.7 mg/cm2 or greater. City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page - 2 3. LEAD BASED PAINT REGULATIONS Lead-Based Paint (LBP) is defined by CDPH as any paint containing lead levels exceeding 0.5 weight (wt) % (or 5000 parts per million) via paint chip sampling or 1.0 milligrams per centimeter squared (mg/cm2) or greater via X-Ray Fluorescence (XRF) direct read instrument sampling. The County of Los Angeles defines "Dangerous levels of lead-bearing substances" as any paint, varnish, lacquer, putty, plaster, or similar coating or structural material which contains lead or its compounds in excess of 0.7 mg/cm2 Cal-OSHA rules apply to "any detectable concentration of lead"without a specified detection level. At present there is no state or federal regulation requiring mandatory lead removal or abatement prior to disturbance of building materials with identified lead paint or coatings. However, there are applicable Cal-OSHA worker protection and training requirements, Cal-EPA waste disposal requirements, CDPH requirements for public and residential buildings, Federal EPA requirements for residential buildings and child occupied facilities, and SIB 460 lead hazard regulations that apply to lead-related construction activities, abatement activities and their associated wastes. The following is a brief discussion and summary of applicable requirements. Cal-OSHA: Title 8, California Code of Regulation (CCR), Section 1532.1 (8 CCR 152.1) governs occupational exposure to lead. This regulation requires that prior to initiation of certain activities, referred to as "trigger tasks" workers must be trained, medically evaluated, and properly fitted with respiratory protection, and protective clothing until statistically reliable personal eight-hour time weighted average (TWA) results indicate lead exposure levels below the Personal Exposure Limit (PEL) for each unique task which disturbs lead-based and lead-containing coatings. This process is known as a Negative Exposure Assessment or NEA. If the result of the exposure assessment is above the Action Level (AL) additional monitoring is required and it the result is above the PEL additional exposure monitoring, worker protection (including respirator protection and PPE) training and medical requirements apply. However even where NEA criteria is met, certain hazard communication training and work practice controls still apply where lead is disturbed. "trigger tasks" are tasks that are assumed to exceed the PEL pending an exposure assessment and they encompass the majority of construction activities that disturb surface coatings. Examples of"trigger tasks" range from manual paint scraping as a lower expected exposure up to hot work and abrasive blasting as the highest expected exposures, and include any non-listed task that the employer determines may potentially expose employees to lead levels above the AL OSHA does not consider any method that relies solely on the analysis of bulk material or surface content of lead (or other toxic material) to be acceptable for safely predicting employee exposure to airborne contaminates. Without air monitoring results or without the benefit of historical or objective data (including air sampling which clearly demonstrates that the employee cannot be exposed above the action level during any process, operation, or activity) the analysis of bulk or surface samples cannot be used to determine employee exposure.. "OSHA Standard Interpretation May 8, 2000". City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page- 3 OSHA states that these rules apply to "any detectable concentration of lead" without a specified detection level. Due to the Consumer Product Safety Commission currently allowing paint to contain 90 parts per million (ppm) or 0.009 wt % of lead, the variation of lead content due to aging and weathering, and the variation of detection limits associated with analysis of bulk material, such as paint chips and surface content analysis via XRF, it is recommended that all painted or coated surfaces be treated as potentially containing lead. Positive analytical results by either method can be used to indicate that detectable lead is present but negative results cannot be interpreted as conclusively demonstrating the absence of lead. Analytical data from analysis of bulk materials or surface content of lead can be helpful in evaluation of lead-related environmental risks in general but cannot be used to calculate worker exposures and are not a substitute for employee exposure monitoring. As a result of the above, any employee that works around potential lead-based or lead- containing coatings must have HAZCOM training and personal exposure air monitoring is additionally required for employees that disturb such coatings. Significant additional certification, notification, and work practices are required for materials found to be lead-based. Any welding, cutting or heating of metal surfaces containing surface coatings should be conducted in accordance with 29 CFR 1926.354 and 8 CCR 1537. These regulations require surface covered with toxic preservatives, and in enclosed areas, be stripped of all toxic coatings for a distance of at least 4 inches, in all directions from the area of heat application prior to the initiation of such heat application. Federal EPA Renovation, Repair, and Painting Rule 40 CFR 745: Effective April 22, 2010 this rule covers all non-abatement renovation, repair or painting work in pre-1978 child occupied facilities and housing. Work which disturbs more than 6 square feet per room, or 20 square feet per exterior, of paint or other surface coatings that contain lead in concentrations equal to or excess of 1.0 mg/cmz or 0.5% by weight are covered by this rule. Paint or surface coatings in pre-1978 child occupied facilities and housing, that have not been tested, or were tested using non-approved methods are also covered under this rule. Renovation, remodeling, painting, window replacement, plumbing, electrical work, heating and air conditioning, demolition, plus work performed by trades like carpenters, electricians and handymen are all covered under this rule. The rule applies to persons working for rental property owners, schools, day care providers, non-profit and governmental agencies. These regulations require notification to owners and tenants, special training, certifications (for both companies and individuals)work practices and clearance verification for such activities. Cal-EPA: Through the Division of Toxic Substance Control (DTSC) regulates disposal of lead hazardous waste (22 CCR Division 4.5 Minimum Standards for Management of Hazardous and Extremely Hazardous wastes.) DTSC has issued guidance indicating that architectural debris with intact lead paint is normally expected to be handled as general construction waste. However, waste stream segregation and analysis is still required for all lead painted or coated debris regardless if the paint or coatings is intact on a building component or not. The resulting wastes may be hazardous under California and Federal RCRA standards for lead and therefore require proper handling, packaging, labeling, and transportation under a proper manifest to a permitted hazardous waste storage, treatment or disposal facility. City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page-4 CDPH: The Department of Public Health (CDPH) has specific requirements (Title 17 Sections 35001 thru 36100) for hazard assessment and work in public or residential structures in regards to lead-based paint. These regulations require special certifications, work practices, and notifications for such activities. Senate Bill 460 (SB 460): An act to amend Section 1941.1 of the Civil Code, and to amend Sections 17961, 17980, and 124130 of and to add Sections 17920.10, 105251, 105252, 105253, 105254, 105255, 105256 and 105257 to the Health and Safety Code relating to lead abatement. This bill allows for fines and criminal penalties to be levied on any person who is found to have performed lead abatement without containment or created a measurable "lead hazard" based upon current CDPH standards. A "lead hazard" means deteriorated lead-based paint, lead contaminated dust, lead contaminated soil, disturbing lead-based paint or presumed lead-based paint without containment, or any other nuisance which may result in persistent and quantifiable lead exposure. County of Los Angeles, Title 11 Healthy and Safety, Division 1 Health Code, Chapter 11.28 Lead Hazards has specific requirements for limiting dangerous levels of lead bearing substances on "any toy, furniture, food utensil, household product, or the exterior or interior surfaces, fixtures or appurtenances of any dwelling, dwelling unit, child care facility, institution, hotel guest room, or on any premises inhabited or frequented by children" VIES recommends that all parties who come into contact with paint or soil that have detectable lead concentrations follow all applicable federal, state, and local regulations relating to employee health and safety and proper disposal or generated wastes. For the purpose of this survey, and in accordance with Title 8 CCR, Section 1532.1 and Title 17 of the California Code of Regulations (17 CCR) Section 35001 and The County of Los Angeles the sampling results were interpreted as follows. A. Lead-based paints/lead-bearing paints were determined to be present when bulk samples revealed a lead concentration of 5000 mg/kg (ppm) or when XRF results revealed a concentration of>0.7 milligrams per square centimeter (mg/cm2). B. Positive results (lead detected) were determined when bulk samples revealed a lead concentration of<5000 mg/kg down to the analytical detection limit of the testing or when XRF measurements were <0.7 milligrams per square centimeter (mg/cm2) down to the detection limit of the measurements. C. "No Lead Detected" (LOD) was determined when bulk sample results or XRF measurements did not reveal a lead concentration above the analytical detection limit of t the analytical or measurement technologies. City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page - 5 4. PROCEDURES AND ACCESS ACCESS The survey of the subject property was conducted on February 18, 2016. Mr. Felix Velasco with the City of Vernon provided access to the subject property.. All accessible functional spaces were inspected. Suspect lead-based paint identification was performed by entering each functional space and assessing accessible structural, architectural, and mechanical components for the presence of suspect lead-based paints. The survey conducted was non-intrusive and did not included access and sampling of areas that required demolition. Previous sampling data and original construction plans and specifications were not available at the time of the survey. All findings, conclusions, and analytical data presented in this report are based on the information (field inspection and sampling data) obtained by our inspection team during the survey. For reporting purposes, space designations were assigned to each functional space within the facility. The functional space designations are used to identify the location of confirmed lead- based paint and are referred to in the report and on the associated drawings. PROCEDURES Surface Testing Using X-Ray Fluorescence (XRF) Spectrum Analyzer The XRF detector used for this survey was the Niton XLp 300A X-Ray Fluorescence Spectrum Analyzer (XRF). All operators were trained on the proper operating techniques and have been issued certificates. The XRF detector used for this survey was the Niton XLp 300A Spectrum Analyzer. All operators were trained on the proper operating techniques and have been issued certificates. NITON XLp 300A— Information The Niton XRF Spectrum Analyzer, Model XLp-300A. This device is a solid-state detector optimized for lead L-shell and K-shell X-ray detection and uses a 40 mCi 109Cd (1,480 Mbq) isotope for an excitation source.. The XLp uses a 10-millicurie Cadmium109 source, which has a half-life of 15 months. The XLp measures both the L X-ray and K X-ray lines of lead. The triple L X-rays are independent of the substrate; are shown on the screen separately; have no read- through; are fast, highly accurate, and precise at low levels; and can penetrate 0.5 millimeter (mm) of paint. The L X-rays are used to determine the levels of lead in the paint and the K X- rays are used to resolve ambiguities and provide measurements for painted surfaces with numerous layers of paint. The XLp is a multi-channel analyzer of XRF, controlled by a microprocessor, with a liquid crystal display (LCD) to show the resultant spectra and readings. It reads from 1,480 Mbq channels and displays 100 channels. City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page - 6 The LCD displays: Lead levels of both L and K X-ray readings The precision of the instrument (i.e., +/- 0.1) A depth for each sample (from 1 to 10) Time in source seconds (Ss) and watch (live) seconds Battery life and temperature The detection range of the L X-rays is from 0.1 to 5.0 mg/cm2' The K X-ray detection range is from 0.1 to 100 mg/cm2. The LCD screen shows a continuous readout of each item indicated while the sample is being taken, allowing the operator the opportunity to continue the measurement until the desired accuracy and precision have been achieved. Therefore, sampling time can vary from 5 seconds to a few minutes. The measuring window of the Niton XLp is 1 centimeter (cm) x 2 cm and is located on the bottom of the device near the front edge, thus allowing sampling of small surfaces (i.e., top side of a chair rail). Calibration The Niton XLp 300A The Niton XLp 300A automatically calibrates each time the device is turned on. The calibration is accomplished by sampling the tungsten shield and adjusting its sampling results to match the known response of the tungsten. This calibration was conducted every day. Niton XRF Measurement Collection Following the identification of the select, representative building component to be measured, the location was identified and a "representative" measurement was collected. Once a location was identified, all necessary data were entered into the XRF. Data includes Room, Component Type (Structure and Feature), Component Substrate, Condition and Side Following the entry of the above information, a measurement was taken. After 3 seconds, the data always showed a graphic display, an auto scaled spectrum from 0 to 25 kilo-electron volts (keV). If lead was present, three independent peaks were shown from the alpha, beta, and gamma ranges of the L X-rays. The middle peak (beta) at 12.6 keV was a definite signal of the presence of lead. At any time after 3 seconds, the XRF displayed a numerical reading in the standard mode if there was a 95 percent confidence level of the result. QUALITY ASSURANCE/QUALITY CONTROL PROCEDURES As required by the XRF PCS, quality control (QC) was accomplished through three measurements of a known lead standard. These measurements were taken of a yellow colored sample with a known lead concentration (1.0 mg/cm2 + 0.1). During these measurements, the expected average lead concentration was approximately 1.0 mg/cm2. These QC procedures were conducted at the beginning and ending of each day, and/or whenever the XRF was turned on after a period of non-use. The QC readings were recorded in the sampling data. City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page - 7 5. BUILDING DESCRIPTION 4323 Furlong Place, Vernon, California 90058 The subject property is a one-story 1,300 square foot residential property sited along Furlong Place and Vernon Avenue. The date of construction is unknown. The original construction specification and plans were unavailable at the time of the survey. The subject property is constructed on a grade slab foundation. The subject property has exterior stucco walls. The interior construction includes plaster ceilings and walls, and a wood deck flooring with vinyl sheet floor tile. The roof consists of a wood deck covered with three tab roof shingles. 6. FINDINGS VES obtained a total of 68 representative test readings (including calibration readings) from the subject property. VES's XRF results revealed the presence of lead in quantities greater than or equal to 0.7 mg/cm2 in 12 XRF shots of the tests. The following lists the location, paint type (color), substrate, total lead content, condition and estimated total damaged quantity for each lead-based paint/material identified in each building. For the purpose of this report"Side A"will be the north side of the building, structure, or room. 4323 Furlong Place, Vernon, California 90058 LOCATION COMPONENT COLOR SUBSTRATE XRF QUANTITY READING (mg/cm2) Kitchen Kitchen Sink White Ceramic 9.8 2 Sinks Kitchen Kitchen Top Yellow Ceramic 9.9 Counter To Bathroom Sink White Ceramic 9.7 1 Sink Bathroom Sink Counter Pink Ceramic 7.8 Counter Top To Bathroom Bath Tub White Ceramic 9.6 1 Bath Tub Bathroom Base Cove Blue Ceramic 6.9 28 LF Bathroom Sink Top Blue Ceramic 7.9 12 LF Bathroom Floor Pink Ceramic 4.7 81 SF Exterior Overhang White Wood 5.8 30 LF Support Beam/Column Exterior Window White Metal 0.7 1 Window Casing The lead-containing surface coatings (LCSCs), lead-base paints (LBPs), and lead-bearing substances (LBSs) adhered to the above listed components is in intact condition. Specific XRF results for each of the tests performed and drawings of the building showing the floor plan of the building and the "Side" where the XRF tests were collected are provided in the Attachment A and B. City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page - 8 7. RECOMMENDATIONS/CONCLUSIONS All identified lead-based paint was found to be in intact condition with some damage at all locations. Damaged lead-based paint should be repaired (stabilized) or removed in order to eliminate the possibility of lead contamination. All lead based paint stabilization or removal work should be performed by a licensed lead abatement contractor. It is our understanding that Building M may be demolished. Prior to renovation or demolition activities, a review of building components known to contain lead based paint should be assessed to confirm if they remain intact. The extent of paint film stabilization required should be evaluated prior to renovation or demolition activities and included in any specifications. All lead based paint stabilization or removal work should be performed by a licensed lead abatement contractor. Current regulations do not require the removal of lead based paints prior to demolition or renovation activities as long as the paint is maintained in good and tightly adhered condition. However, if the demolition or renovation activities require sanding, grinding, or torch cutting of these paints, then the lead-based paint is required to be removed prior to these activities. All contractors should be informed of all locations of lead-based paint, whether in good or poor condition, prior to the start of any work within the interior or exterior of the building. All activities involving identified lead-based paints (LBP) must be performed in accordance with Title 17, CCR Division 1, Chapter 8, Sections 35001 through 36100, which proscribe the use of California Department of Public Health (CDPH) certified workers, work practices, and other requirements. All activities involving potential and identified lead-containing surfaces should be performed in accordance with California Health & Safety Code Sections 17920.10, 10525 and 10525.7 and Title 8 California Code of Regulations (CCR) Section 1532.1 Written notification to Cal-OSHA must be accomplished should LBP activities involve equal to or more than 100 square feet or 100 linear feet of removal in accordance with the requirements of Title 8 CCR 1532.1 Proper waste characterization and disposal of lead and other heavy metal contaminated debris should be performed in accordance with 22 CCR Division 4.5, and the California Health and Safety Code Section 25157.8. The resulting waste may be hazardous under California and Federal RCRA standards for lead and therefore require proper handling, packaging, labeling, and transportation under a proper manifest to a permitted hazardous waste storage, treatment or disposal facility. City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page - 9 8. LIMITATIONS Velasco Environmental Services LLC (VES). warrants that our services are performed within, the limits prescribed by our clients, with the usual thoroughness and competence of the engineering profession. Opinions and recommendations presented herein apply to site conditions at the time of our investigation and those reasonably foreseeable, they cannot necessarily apply to site changes of which this office is not aware and has not had the opportunity to evaluate. The survey performed was limited to accessible, hazardous materials and the testing of representative areas. Subsurface investigations were not included as part of this investigation, nor were areas outside of the specific areas identified in this scope of work. All materials quantities reported herein are rough order of magnitude estimates and should not be used for bidding purposes. All contractors are responsible for accurately determining quantities and locations of materials identified in this report. Should materials similar to those identified in this report, or other forms of suspect hazardous materials be encountered, maintenance personnel/contractors should be instructed to immediately cease work activities which may initiate and exposure episode, and notify the appropriate management personnel If you have any questions concerning the information within this report, please contact VES LLC at 323.547.7653.. On behalf of Velasco Environmental Services LLC we wish to thank you for choosing VES and the opportunity to be of service Sincerely, VELASCO ENVIRONMENTAL SERVICES Edwin Velasco Program Director CDPH IA/PM #21830 City of Vernon-4323 Furlong PL, Vernon, CA 90058 February 22, 2016 Lead-Based Paint Survey Page - 10 ATTACHMENT A XRF LEAD DATA TABLE 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N d e a M H H r-i ri r-I rl ri ri ri rl -4 ri r-I rl H H H -1 r1 ri -4 H H H H H rH H H H N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N a a 3 a a a > > > > > > > > > > > > > > > > > > > > > > > > > + +� '+ ++ '+ + '+ '+� '+J + '� '++ > > +- l6 l6 (o (6 c6 f6 (o (o (6 l6 (6 (6 f6 + ++ (o (6 c6 co to (6 (o (6 fo N 7n M W 0.0 bA bA b bA 40 b O O O a a a a a a a a a a O a s O O O a a a a a a a a a a a Z Z Z Z Z Z Z Z Z Z Z Z Z Z a m Z Z Z Z Z Z Z Z Z Z cM M 1.0 N o0 H Ln N m m m m -zt m 00 LO H 00 01 C}' 00 m m m l0 m -tt m m E N rV rl O O r! rl ri O O O O ri ri O ri rl a; O ri N O 0 0 rl 0 0 v O O o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 O O O 8] E M a) J 3 3 3 a a a a a a a a a a a a w 3 a a a a a a v v v a O * O O O ++ t +t +J +_+ +_ 3 OD a ++ t t t t f+ p +J +J +_ E E E E +, U 3E — — — L> L> _= L> L> t> O • L> L> _>C _>C L> t> L — L> L> L L �> t> 0 Lo r C CD N U U U U U U U U U U U U U U U U U U U U U U U U U U m jO � � 4` 4@ o ° +co- � ° ° � 41 ° ate+ + ° ° 4-1 � 4m � 4N +° `+ Q U * Ulu U c c c c c c c c c c c c c c c c c c c c c CU - - - - - - - - - - - - - - - - - - - - - - - - - - A L a a �+ 0 r u U L L L L L L L L L L L L L L (� = i a a a a a a a a a -a -a -a E E a a a a a a a a a (6 (6 unco O O O l6 ato aNto a(6 O O O L6 L6 O O (o (6 (6 (6 O O (o NUI Ln OOONy 000 N0 NOON N O O O � � �Ulu v a a a a co v U a a a a a s d - U) r- a a /tA E �c c �C �C LL a bA LL bA u a a bA O 0 N U co to to -� O O O to to to � ° ° °O O O Y 7 to CO CO — O O co to LL n � uu � � � o° o° � � � � 000 �n °c� uu � � � � o° o° � � � X LL E E E E E E E E E E E E E c c c c c c c c c c c M 0 bA bA bA b0 b0 b0 aA a a a a a a a w d a a a a a a a a E E N D: 9E 3E 3E 3E c c c c c c c -5 L t L L L L L L L L > > > > > > L L U U U U U U U U U U U M dF * * > > > > > > > +J : +� +� r_ +_+ L' O O O O O O a a x * * J J J J J J Y Y �4 X Y Y Y Y Y Y Y cn cn can c% cn V) m m a Vf * co co u u u a CO U o U m a a co u o o m Cal U U U a a I m I u o U U a m L O jr,4M L L L L L L L L L L L L L L L L L L L L L L L 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 L L L L L L L L L L LL AL I- m � Lnl0I W 61 O ri N m Ct I!1 l0 00 Ol O ri N m Ln N N m m m Im m m d' d' zt ch et � � d' d' Ln Ln Ln Ln Ln LI) 0LnLn Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Ln Z w w to w to w w w w w �D w w w w w w w w lD 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 (V N N N N N N N N N N N N fV N N N N N N N N N N N N N (V N OJ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ +' 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 m c-I c-I c-I i-I c-I `-i rl c-I rl ci c-I rl c-I c-i a--I r-1 rl l-I ii c-1 i--I t--I c-I c1 c-1 c-I rl ri rl 0 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ N N N N N N N N N N N N N N N N N N N N N N N N N N N N N 7 > > > > > > > > > > > > > > > O > > > > > > > a > > > > > > _+ + + + ++ + + + �+ (6 (6 (O (6 l6 (6 fB (6 f6 f6 dO UO 0O UO ww 00 wdO w 00 hO 00 IA 0 0 0 N 0 q0 GlO 0O 0A 0A 0A 0A dO 0A CO N N 41 41 O) UJ N N N N N N 4J O O O O O O 41 4! 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I t ... ..I._s.......:..................:.....:::...:...:...:...:...:::::::-:...i... . . : . . . t ........:.... i. ::.......... ..�...........,_.,................................_........_........._:..............:...:.-s...._...! ! 4 : -..`:,...L........3....I. ..._...J..::j......_E.....1... � : : : : : I , : : . , . : f . . . . . ................................1.............................. ( . : : . . i..1. ..7.. :.. ...:.. I t ..........:..........................................................._;...:.....................:...:...... JJr : : f ii . . I .........................................:...:...:.......:...:.....:...:......:...:..:..�...:...:.....:.......... �.. ................:...... I....... r . . . - - rf : � I : : I ...f . . : : . . . . ' I I I.. l..,._:............. ......,............. ...... 1[-.:.......: . . . - ! .. . .. i, I ;L . ; ; : 4 -":to"iii** . i-.. Page of nrto eafto) . .--- ATTACHMENT C PHOTOGRAPHS 1 � f y 1. View of Bathroom Lead Pink Ceramic Floor. 2. View of Bathroom Lead Sink & Counter Top. A � -" 3. View of Lead Blue Ceramic Base Cove. 4. View of Lead Bath Tub & Pink Ceramic Wall. 5. Exterior Lead Sinks & Yellow Ceramic (Kitchen). 6. Lead Base Paint on Overhang Support Column. i K it 1. View of Lead Base Paint on Support Column. 2. View of Non-LBP Overhang. a 3. View of Lead Base Paint of Ext: Window Casing. ATTACHMENT D CONSULTANT CERTIFICATIONS & CDPH FORM 8552 State of California Department of Public Health -R*W.*d construction CortrfkAteInspector/Assessor 11130/2016 Mr. Edwin Velasco Pr4ect Monitor 11130/2016 Velasco Environmental Services, LLC 2129 East Cesar Chavez Avenue, #3 Los Angeles, California 90033-1800 ` is?i : 21830 ` Conditions of Certification This individual meets the requirements of the State of California, Department of Public Health(CDPH),to perform lead-related construction. CDPH may suspend or revoke certification for: 1.any false statement in the application(for certification); 2.violations of relevant local,state or federal statutes or regulations; 3.misrepresentation,failure to disclose relevant facts,fraud,or issuance by mistake;or 4.failure to comply with any relevant regulation or order of the Department. This certificate was issued by the Department of Public Health as authorized by 17 CCR 35001 et seq.,and is non-transferable. To verify authenticity call IIIIIII I"I'IIII�II�I'II�I�II�I�'II���'�II'III'� (800)597-LEAD or 03223071 510-620-5600 i r r cry � * d 00 C • State of California—Health and Human Services Agency California Department of Public Health LEAD HAZARD EVALUATION REPORT Section 1 — Date of Lead Hazard Evaluation 2/18/2016 Section 2—Type of Lead Hazard Evaluation(Check one box only) LJ Lead Inspection LJ Risk assessment 1-1 Clearance Inspection ❑ Other(specify) Section 3— Structure Where Lead Hazard Evaluation Was Conducted Address[number,street,apartment(if applicable)] City County Zip Code 4323 FURLONG PLACE VERNON LA 90058 Construction date(year) Type of structure Children living in structure? of structure ❑ r�Multi-unit building ❑ School or daycare ❑ Yes Lr1 No UNKNOWN 0 Single family dwelling ❑ Other ❑ Don't Know Section 4—Owner of Structure(if businesslagency,list contact person) Name Telephone number CITY OF VERNON (323)583-8811 Address[number,street,apartment(if applicable)] City State Zip Code 4305 SANTA FE AVE VERNON CA 90058 Section 5— Results of Lead Hazard Evaluation(check all that apply) ❑ No lead-based paint detected Intact lead-based paint detected ❑ Deteriorated lead-based paint detected ❑ No lead hazards detected ❑ Lead-contaminated dust found ❑ Lead-contaminated soil found C Other Section 6— Individual Conducting Lead Hazard Evaluation Name Telephone number EDWIN VELASCO (323) 825-3096 Address[number,street,apartment(if applicable)] City State Zip Code 2129 E. CESAR CHAVEZ AVE #3 LOS ANGELES i CA 190033 CDPH certification number _ Signature rDate CDPH IA/PM #21830 1 2/22/2016 Name and CDPH certification number of any other individuals conducting sampling or testing(if applicable) Section 7—Attachments A.A foundation diagram or sketch of the structure indicating the specifc locations of each lead hazard or presence of lead-based paint; B.Each testing method,device,and sampling procedure used; C.All data collected,including quality control data, laboratory results,including laboratory name,address,and phone number. First copy and attachments retained by inspector Third copy only(no attachments)mailed or faxed to: Second copy and attachments retained by owner California Department of Public Health Childhood Lead Poisoning Prevention Branch Reports 850 Marina Bay Parkway,Building P,Third Floor Richmond,CA 94804-6403 Fax:(510)620-5656 COPH 8552(6/07) ATTACHMENT NO. 3 () LIMITED ASBESTOS F--� SURVEY REPORT Located at: V Residential Property • r-- 4323 Furlong Place Vernon, California 90058 - C/) Q.) O • Prepared for: City of Vernon Engineering Division Attn: Mr. Felix Velasco �-1 4305 South Santa Fe Avenue O Vernon, California 90058 V .r Prepared by: Velasco Environmental Services LLC 4� 2129 E. Cesar Chavez Ave, Suite No #3 Los Angeles, California 90033 Project No# HM16-2099 Telephone: (323) 825-3096/Facsimile: (323) 825-3096 h www.velascoenvironmental.com �k k February 22, 2016 TABLE OF CONTENTS EXECUTIVE SUMMARY.............................................................................. SECTION 1 SCOPEOF WORK ...................................................................................... SECTION 2 PROCEDURES/ACCESS AND BUILDING DESCRIPTION ........................ SECTION 3 FINDINGS.................................................................................................... SECTION 4 ASBESTOS BULK SAMPLE LOG INVENTORY LIST................................. SECTION 5 CONCLUSIONS/RECOMMENDATIONS....................................................... SECTION 6 LIMITATIONS................................................................................................. SECTION 7 Attachment: A..............................................................Laboratory Certificates of Analysis Attachment: B...................................................................Drawing and Sample Locations Attachment: C ............................................................................ Consultant Certifications 1. EXECUTIVE SUMMARY Velasco Environmental Services LLC, (VES) was retained by the City of Vernon (Client), to perform a pre-demolition asbestos survey of the residential property located at 4323 Furlong Place, Vernon, California 90058. The survey was conducted on February 18, 2016 by Mr. Edwin Velasco, DOSH-State of California Asbestos Consultant(CAC), Certificate No. 07-4153. The purpose of the survey was to identify friable and non-friable asbestos-containing building materials and to document the location, material type, asbestos content, friability, and the estimated total quantity. In accordance with the United States Environmental Protection Agency (EPA) guidelines, representative bulk samples were obtained from each identified suspect asbestos-containing building material. The bulk samples were submitted under proper chain-of-custody protocol to AmeriSci Laboratory Inc., located at 24416 S. Main Street, Suite No #308, Carson, California. AmeriSci Laboratory Inc., is accredited by the American Industrial Hygiene Association (AIHA), the National Institute for Standards and Technology (NIST), and the National Voluntary Laboratory Accreditation Program NVLAP accredited (#200346-0), California Environmental Laboratory Accreditation Program (Cal-ELAP) accredited (#2322), and is a successful participant in the Proficiency Analytical Testing (PAT) program. The bulk samples obtained were analyzed by Polarized Light Microscopy (PLM) utilizing the "Interim Method for the Determination of Asbestos Fibers in Bulk Samples EPA/600/R-93/116" dated July 1993 as adopted by NVLAP as Test Method Code 18/A01 per Title 15, part 7 of the Code of Federal Register(CFR)with the following exception in reporting procedures. Exception: The EPA and South Coast Air Quality Management District do not consider those materials which contain one percent or less (< 1%) of asbestos to be an "asbestos-containing material" and those materials are recorded by the laboratory as "Trace" or "<1%." However, the State of California [California Labor Code, Section 6501.8(b)] defines an asbestos-containing building material as any manufactured construction material containing more than one tenth of one percent (> 0.1%) asbestos by weight. Thus, bulk sample analysis of suspect materials indicating less than one percent (< 1%) by weight are reported by the laboratory as "trace" and are identified in this report as an asbestos-containing material. A total of 19 representative asbestos bulk samples were obtained for laboratory analysis. Analytical results revealed no presence of asbestos in all 19 of the samples collected. However 2 presumed asbestos-containing transite pipes were discovered on the crawl space and attic of the subject property. CITY OF VERNON-4323 Furlong Place, Vernon, CA 90058 Page- 1 2. SCOPE OF WORK The following specified scope of work was performed: 1. VES provided a project manager to provide project coordination, reviewed field activities, and prepared the final report. 2. VIES provided a DOSH-California Certified Asbestos Consultant (CAC) to perform the asbestos survey of the subject property. The CAC's entered each functional space in the residence and identified the suspect asbestos-containing materials (ACMs), and asbestos-containing construction materials (ACCMs) present. The CAC noted the location and quantity of each of the suspect asbestos-containing materials (ACMs) and asbestos-containing construction materials (ACCMs) identified *if any. A. VIES accessed all areas that are readily accessible without demolition. This included the interior, functional spaces, attic, crawl space, roof and exterior. B. The survey performed was limited to accessible areas, hazardous materials, and the testing of representative areas. Subsurface investigations were not included as part of this survey, nor were areas outside of the specific scope of work identified in this survey. C. Access and sampling in areas that plan for demolition to access suspect ACM such as above hard lid ceilings, in wall cavities, and below well-adhered carpeting, wood or concrete slabs were specifically excluded from the survey. Inaccessible areas where suspected ACMs or ACCMs are present are noted and listed in the report. 3. VIES collected bulk samples of the suspect asbestos-containing materials identified. In accordance with the requirements of Cal-OSHA and South Coast Air Quality Management District (SCAQMD), a minimum of three bulk samples were collected from each homogeneous material. Surfacing materials were sampled using the AHERA 3-5-7 Rule. The samples were submitted to an independent laboratory for analysis by Polarized Light Microscopy(PLM). 4. VIES prepared this asbestos survey report detailing the findings of the inspections. The report includes a listing of the location and quantity of the asbestos-containing materials identified, a listing of the samples collected and their analytical result, and drawings showing the floor plan of the buildings and the location of each of the bulk samples collected. CITY OF VERNON-4323 Furlong Place, Vernon, CA 90058 Page-2 3. PROCEDURES AND ACCESS ACCESS The survey of the subject property was conducted on February 18, 2016. Mr. Felix Velasco with the City of Vernon provided access to the residential property. All accessible functional spaces were inspected. SURVEY PROCEDURES Suspect asbestos-containing material identification was performed by entering each space and assessing all structural, architectural, and mechanical components for the presence of suspect asbestos-containing materials. The following is the Environmental Protection Agency (EPA) sample list of suspect asbestos-containing building materials as published in Appendix G of the EPA "Green Book" dated July 1990, which was looked at during this survey. Sample List of Suspect Asbestos-Containing Materials— EPA 1990 Cement Pipes Elevator Brake Shoes Cement Wallboard HVAC Duct Insulation Cement Siding Boiler Insulation Asphalt Floor Tile Breeching Insulation Vinyl Floor Tile Ductwork Flexible Fabric Connections Vinyl Sheet Flooring Cooling Towers Flooring Backing Pipe Insulation Construction Mastics Heating and Electrical Ducts Acoustical Plaster Electrical Panel Partitions Decorative Plaster Electrical Cloth Textured Paints/Coatings Electric Wiring Insulation Ceiling Tiles and Lay-in Panels Chalkboards Spray-Applied Insulation Roofing Shingles Blown-in Insulation Roofing Felt Fireproofing Materials Base Flashing Taping Compounds (thermal) Thermal Paper Product Packing Materials (wall/floor penetrations) Fire Doors High Temperature Gaskets Caulking and Putties Laboratory Hoods/Table Tops Adhesives Laboratory Gloves Wallboard Fire Blankets Joint Compounds Fire Curtains Vinyl Wall Coverings Elevator Equipment Panels Spackling Compounds Note: This list does not include every product/material that may contain asbestos. It is intended as a general guide to show which types of materials may contain asbestos. CITY OF VERNON-4323 Furlong Place, Vernon, CA 90058 Page-3 i The survey conducted was not intrusive but included access and sampling of interior, exterior, and roof. Mr. Edwin Velasco accessed those areas where reasonable suspicion suggested suspect ACMs or ACCMs might be concealed. Previous sampling data and original construction plans and specifications were not available at the time of the survey. All findings, conclusions, and analytical data presented in this report are based on the information (field inspection and sampling data) obtained by Velasco Environmental Services, LLC during the survey. BULK SAMPLING PROCEDURES Each suspect asbestos-containing material (ACM), asbestos-containing construction material (ACCM) identified was bulk sampled in accordance with sampling guidelines established by the Environmental Protection Agency. The following summarizes the sampling procedures utilized. 1. The location and total quantity of each ACM and ACCM was tabulated. 2. These materials were then categorized into homogeneous materials. A homogeneous material is defined as being uniform in texture, color, and date of application. 3. A sampling scheme was developed based upon the location and quantity of the various homogeneous materials. 4. Bulk samples were collected by trained personnel using an appropriate sampling tool and a leak-tight container. 5. Decontamination of bulk sampling tools was performed to prevent the spread of secondary contamination to subsequent bulk samples. 6. Each bulk sample was individually numbered and recorded on a proper chain-of- custody VES Bulk Sample Log. 7. A Chain of Custody Record was maintained to track possession of the samples. CITY OF VERNON-4323 Furlong Place, Vernon, CA 90058 Page-4 BULK SAMPLING SCHEME: Representative bulk samples were collected in accordance with the following bulk sampling scheme. 1. Surfacing Material: (fireproofing, acoustical, blown-in, trowel-on, plaster, textured paint/coatings) Lessthan 1,000 SF...................................................................................3 samples Between 1,000 SF and 5,000 SF..............................................................5 samples Greater than 5,000 SF ..............................................................................7 samples 2. Pipe Insulation: (block, corrugated, compressed paper) Lessthan 1,000 LF...................................................................................3 samples Greater than 1,000 LF............................................. 1 additional sample per 500 LF Joints associated with fiberglass ..............................................................3 samples 3. Boiler and Tank Insulation CompositeCore........................................................................................3 samples Patches ............................................................................................3 samples each FireBrick...................................................................................................3 samples 4. Miscellaneous Materials: Transite.......................................................................................................1 sample FloorTile...................................................................................................3 samples FloorTile Mastic........................................................................................3 samples Linoleum....................................................................................................3 samples LinoleumMastic........................................................................................3 samples FloorBackings ..........................................................................................3 samples Drywall/Compound/Tape ..........................................................................3 samples CeilingTile ................................................................................................3 samples Adhesive/Mastic........................................................................................3 samples Window Glazing a. Less than 25 panes.......................................................................3 samples b. Greater than 25 panes..................................................................3 samples VaporBarrier(felts)...................................................................................3 samples Asphalt Roofing Products a. Field Felts (composite)..................................................................3 samples b. Base Flashing ...............................................................................3 samples C. Mastic............................................................................................3 samples Others........................................................................................................3 samples CITY OF VERNON-4323 Furlong Place, Vernon, CA 90058 Page-5 BULK SAMPLE ANALYSIS All bulk samples were analyzed by Polarized Light Microscopy (PLM) in accordance with the "Interim Method for the Determination of Asbestos in Bulk Insulation Samples EPA/600/R- 93/116" dated July 1993 and adopted by the National Voluntary Laboratory Accreditation Program (NVLAP) Title 15, Part 7 of the Code of Federal Register (CFR) as affiliated with the National Institute for Standards and Technology (NIST). Each sample was subject to two microscopy examinations. The first examination was performed at 20X magnification using a stereo microscope equipped with an external illuminator. Each sample was examined for layering, homogeneity, and the presence of fibrous and non-fibrous materials. An estimate of the percentage for each sample component, relative to the entire sample volume, was made. When discrete strata were identified as a separate material, fibers were first identified and quantified by layer and then the results were combined to yield an estimate of total percent asbestos present. The second examination was performed at a range from 10OX to 40OX magnification using a Polarized Light Microscope equipped with two polarizing filters to observe specific optical characteristics. The use of polarized light allows the determination of refractive indices along specific crystallographic axes. Morphology and color were also observed. A retardation plate was placed at a 45 degree angle between the cross polars to determine the sign of elongation using orthoscopic illumination. Orientation of the two filters such that their vibration planes were perpendicular allowed observation of the birefringence and extinction characteristics of anisotropic particles. All samples were submitted under proper chain-of-custody protocol to AmeriSci Laboratory Inc., located at 24416 S. Main Street, Suite No #308, Carson, California. AmeriSci Laboratory Inc., is accredited by the American Industrial Hygiene Association (AIHA), the National Institute for Standards and Technology (NIST), and the National Voluntary Laboratory Accreditation Program NVLAP accredited (#200346-0), California Environmental Laboratory Accreditation Program (Cal-ELAP) accredited (#2322), and is a successful participant in the Proficiency Analytical Testing (PAT) program. DESCRIPTION 4323 Furlong Place, Vernon, CA 90068 The subject property is a one-story 1,300 square foot residential property sited along Furlong Place and Vernon Avenue. The date of construction is unknown. The original construction specification and plans were unavailable at the time of the survey. The subject property is constructed on a grade slab foundation. The subject property has exterior stucco walls. The interior construction includes plaster ceilings and walls, and a wood deck flooring with vinyl sheet floor tile. The roof consists of a wood deck covered with three tab roof shingles. CITY OF VERNON-4323 Furlong Place, Vernon, CA 90058 Page-6 4. FINDINGS A total of 19 representative bulk samples were obtained for laboratory analysis. Analytical results revealed no presence of asbestos in all 19 of the samples collected. However 2 presumed asbestos-containing transite pipes were discovered on the crawl space and attic of the subject property. The following chart lists the material type, percent asbestos, friability, and estimated quantity for each ACM and ACCM identified. 4323 Furlong Place, Vernon, CA 90058 LOCATION MATERIAL TYPE PERCENT ASBESTOS FRIABLE I QUANTITY Crawl Space, and Transite Pipe Presumed Asbestos- No 2(6" Pipes) Attic Above Kitchen Containing Material and Bedroom#1 Materials for which laboratory analytical result is reported as "Trace" or"<1 W must be managed, abated, and disposed of following the SCAQMD, NESHAPS, and OSHA regulations applicable to materials containing >1.0% asbestos. Additional analysis by point count or TEM methodology is required to determine if the material is above or below the 1.0% threshold. Materials found to be below <1.0% asbestos are not regulated by SCAQMD or NESHAPS reducing notification, work practice, and disposal requirements, but are still regulated by Cal-OSHA per the requirements of 8 CCR 1529. CITY OF VERNON-4323 Furlong Place, Vernon, CA 90058 Page-7 I L (1) Q .F O LL LL LL LL LL LL i � O " U) (n Cl) CD U) U) a) I O Q"^U ~ e0 Nr It (O O O N N O O co M (O - Q a U) j O L Z Cl) O 't a LD ) _ (V O C C (04 != d 4 a) ca N "a C •fA .O L - � m fn C W U) CU 'aa Ov Z Z Z Z Z Z 2 a) ca cv n3 c Cl) '� LL i JCT3 `.- U) m O }F— za) a) E � a)E a)O cm zC O QN = a � W o a) m -0 -0 -0 -a -0 -0 -070 -0 -0 -0 -0 -0 -0 -3 -0 -a -a -0 oZ � U -0 Cu Z a) a) a) N 0 N 0 0 w N N N N O N a) a) a) N Q W 0 0 O D U U U U U U U U U U U U U U U o — Ma) v mmmmmma) ma) a) mma) mma) m oa) a r N -° Un Q a) a) a) a) m a) a) a) a) a) a) a) a) a) a) a) a� a) a) 0) Z a) -0o0000000000 ® 00000 00 .� -0Q � � O a� a) a� a) a) mma) ma) a) mma) ma) a) a) a) � cv U) a)E w cH oc 0c 0e 0c 0c 0c0� 0c 0c 0c 0c 0c 0c 0c 0c 0c c0 0c 0U) U) O c � E = W z z z z z z z z z z z z z z z z z z z L 0 m O p O O Q) a) ¢ - M -0 L 0 W M a) U maoLL 0 O Z � °' M D a) � Z a) mmmm -aa) � u) u) 0cu o °c O aLLJ Un -2Unm ° ° cu -0a) a) 4) tea) Q `� � o H o � � U) (1) U) �, U) �, w � � Wcn -0 -2 m L 2 ° ¢ m � � W � � a� � ° � � � Qcnm wQ c Fu r l m ° cow � c o I U ° ° on o E z I U) z zz ) U) zm = 1 p 0 1 1 a I I I I U aEa o CLL ` L j Z I oI O .00 o o a QL O Q co co c Q ¢ a� Y ca o o '- ° - ° X X x x LLI a� Y ,� Y W J 0 D I- N p N >° m a) W w W Z +. (� _a = N Q +. m CO Q cn U) a = U) C a) O 0) mCu N G U) OCL O M U L p 42 U)LIJ N C O ° N a) a) N .Cu LO O J > c � � > o m Una a) 00 N mmm U +' O E 7 to O 0 0 0 0 0 (6 @ -a O O O O O L L L L a p O W O D U U U U O O O D U m O Q O d U U N U N a U U U U U CL ° C C L O (0 (0 (6 (0 (6 C C C O 7 m m m to U) 0 O O o c N o X aa) Q � aaaaa L L L in in in ininZZZ 22 coo E N M aL L J O O O E ,C Y Y Y Y U co 0) v- N ; O > « .O ca O V Q -E -E -E -E 0 0 o O c c c c c N N N ° ° U � c U � � LLLLtiU • � o 0 L L L L L U W •� � QF U c O w e _crt aa') aa) J) C_: _o _o o_ _0 0 = = = , ) -o m >,� O C r ° Z ~ 0 0 0 0 0 O L L L L L U U (0 m w a U ¢ o o o o o m m m > °? o 0 o d N o — � E � W EEEEE . Oa0wwwww000mm -0 o) Q � Q o '� ca > cnUnUncncn o 0 0 � � � o Ld L 0 L S -Q -Q p cu W) 4- Co)- (U O a) a) V m m m HRH Q) 7 M O Q a) M O Q MMM CO 0 N O +. LU J a) = M A j cu = I— T a. 0 � � 0 Z O O 0) O A L p o^, O Z �- N M I' LO CD r- M O O �- N M � LO (0 I-- CO M is ' O W J W I I I 1 I I 1 I r r �- r r r r r r i� W pa) M UnO � J NNNNNNNNNNNNNNNNN NN - U F1 M M M M M M M M M a) IL O O (6 E ^m LL M co M M M M M M M M 0 m O r N Un U 1— a) o � 0y d � c°a U 6. CONCLUSIONS AND RECOMMENDATIONS CONCLUSIONS Two assumed transite pipes were identified in the subject property. Transite pipes are located in the attic and are behind the kitchen and bedroom no #1. These materials are non-friable and in good condition and may be managed in place under a site-specific Operations and Maintenance Program. If the identified asbestos-containing materials are to be removed in the future, this work is required to be performed by a State of California licensed asbestos abatement contractor. Areas that required demolition were not accessed. If hidden suspect ACM are identified that were not previously sampled, these materials are required to be sampled prior to disturbance. RECOMMENDATIONS The following federal, state, and local regulations require that if the identified ACM will be removed from the subject property located at 4323 Furlong Place, Vernon, California prior to demolition or renovation and that written notification be provided to contractors and other effected parties. 1. Prior to activities which will disturb identified or assumed ACM, or ACCM a Cal/OSHA registered and California asbestos contractor must be utilized for abatement of ACM, or ACCM that will be impacted. 2. Materials encountered in the subject property that are not part of this survey report must be properly sampled for the content of asbestos or assumed to be asbestos containing prior to any disturbance. 3. Removal of >100 square feet of identified or suspect asbestos-containing materials or materials that could be impacted requires a written notification to South Coast Air Quality Management District (SCAQMD) 14 working days prior to the demolition of any structure and that all friable and non-friable ACM be removed prior to demolition by a State of California licensed asbestos abatement contractor. Cal/OSHA requires notification in writing at least 24 hours prior to the initiation of such activities, and obtaining the appropriate Los Angeles Fire Department (LAFD) permit. 4. The California Health and Safety Code Chapter 10.4 requires that for any demolition the owner of a commercial or industrial building provide written notice to their employees, tenants, and contractors about the presence of asbestos in the building within 15 days of receipt of such knowledge. Any contractor that receives such notice is required to provide a copy to each of its employees. Notification to employees and contractors working within the buildings should be made in accordance with the California Health and Safety Code, Section 25915 et seq. and Proposition 65. Notification to employees and contractors working within the subject property should be notified in accordance with the California Health and Safety Code, Section 25915 et. seq. and Proposition 65. NOTE: Other asbestos related and non-asbestos related regulations apply to site demolitions. 7. LIMITATIONS Velasco Environmental Services LLC (VES). warrants that our services are performed within, the limits prescribed by our clients, with the usual thoroughness and competence of the engineering profession. Opinions and recommendations presented herein apply to site conditions at the time of our investigation and those reasonably foreseeable, they cannot necessarily apply to site changes of which this office is not aware and has not had the opportunity to evaluate. The survey performed was limited to accessible, hazardous materials and the testing of representative areas. Subsurface investigations were not included as part of this investigation, nor were areas outside of the specific areas identified in this scope of work. All materials quantities reported herein are rough order of magnitude estimates. All contractors are responsible for accurately determining quantities and locations of materials identified in this report. Findings, conclusions, recommendations and analytical data offered in this report have been derived from reviewing existing information provided by the client, visual survey of the accessible building materials and systems, and the outcome of sampling and analysis of suspected asbestos-containing materials. If materials having characteristics in common with those identified in this report or if other forms of suspect asbestos-containing materials are discovered during work activities, maintenance personnel and/or contractors should be instructed to immediately cease work activities which may initiate an exposure episode, and notify the appropriate management personnel. The asbestos survey performed was not intrusive and did not include access and sampling of areas which required reasonable demolition to access as required by SCAQMD Rule 1403. Not all wall voids, plenums, and crawl spaces were accessed during this survey. Quantities and locations are based upon areas that were accessed. Materials similar to those in this report may be present in areas which were not accessed. Subsurface areas were not part of this survey. If you have any questions concerning the information within this report, please contact VES LLC at 323. 547.7653. On behalf of Velasco Environmental Services LLC we wish to thank you for choosing VES and the opportunity to be of service. Sincerely, VELASCO ENVIRONMENTAL SERVICES Edwin Velasco Program Director Certified Asbestos Consultant#07-4153 y � 1. Main Entrance to Subject Propety. 2. View of Non-ACM Plaster& Brown Sheet Flooring. 4 { , 14, 3. View of Crawl Space Underneath Residence. 4. View of Assumed Transite Pipe Above Kitchen. s'-1. - f A7 5. View of Assumed Transite Pipe Above Bedroom 1. 6. View of Non-ACM Roof Mastic& Roof Shingles. ATTACHMENT A LABORATORY CERTIFICATES OF ANALYSIS Please Reply To: AmeriSci Los Angeles 24416 S.Main Street,Ste 308 So Carson, California 90745 AMERI S TEL:(310)834-4868•FAX:(310)834-4772 FACSIMILE TELECOPY TRANSMISSION To: Edwin Velasco From: Paola Ducoing Velasco Environmental Services,LLC AmeriSci Job#: 916021611 Fax#: Subject: PLM 48 hour Results Client Project: HM16-2099; City Of Vernon; Residential,4323 Furlong Dr. Email: edwin@velascoenv.com Vernon CA 90058 Date: Saturday,February 20,2016 Number of Pages: Time: 13:05:25 (including cover sheet) Comments: CONFIDENTIALITY NOTICE: Unless otherwise indicated,the information contained in this communication is confidential information intended for use of the individual named above. If the reader of this communication is not the intended recipient,you are hereby notified that any dissemination, distribution or copying of this communication is prohibited. If you have received this communication in error,please immediately notify the sender by telephone and return the original message to the above address via the US Postal Service at our expense. Preliminary data reported here will be verified before final report is issued. Samples are disposed of in 60 days or unless otherwise instructed by the protocol or special instructions in writing. Thank you. Certified Analysis Service 24 Hours A Day• 7 Days A Week Competitive Prices visit our web site-www.amerisci.com Boston•Los Angeles•New York•Richmond AmeriSci Los Angeles 24416 S. Main Street, Ste 308 AMERI SCI Carson,California 90746 TEL:(310)834-4868•FAX:(310)834-4772 PLM Bulk Asbestos Report Velasco Environmental Services, LLC Date Received 02/18/16 AmeriSci Job # 916021611 Attn: Edwin Velasco Date Examined 02/20/16 P.O. # 2129 E. Cesar Chavez Page 1 of 5 #3 RE: HM16-2099; City Of Vernon; Residential, 4323 Furlong Dr. Los Angeles , CA 90033 Vernon CA 90058 Client No. / HGA Lab No. Asbestos Present Total % Asbestos 4323-1 916021611-01 No NAD A Location: Stove&Kitchen-South/Smooth White Plaster/Through-Out (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Beige, Heterogeneous, Non-Fibrous,Cementitious,Plaster Asbestos Types: Other Material: Non-fibrous 100% 4323-2 916021611-02 No NAD A Location: Kitchen-North/Smooth White Plaster/Through-Out (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Beige, Homogeneous, Non-Fibrous, Plaster Asbestos Types: Other Material: Non-fibrous 100% 4323-3 916021611-03 No NAD A Location: Bath-S East/Smooth White Plaster/Through-Out (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Beige, Homogeneous, Non-Fibrous, Plaster Asbestos Types: Other Material: Non-fibrous 100% 4323-4 916021611-04 No NAD A Location: Bedroom# 1 East/Smooth White Plaster/Through-Out (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Beige, Heterogeneous, Non-Fibrous,Cementitious, Plaster Asbestos Types: Other Material: Non-fibrous 100% 4323-5 916021611-05 No NAD A Location: Bedroom#2 West/Smooth White Plaster/Through-Out (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Beige, Heterogeneous, Non-Fibrous, Cementitious, Plaster Asbestos Types: Other Material: Non-fibrous 100% See Reporting notes on last page AmeriSci Job#: 916021611 Page 2 of 5 Client Name: Velasco Environmental Services, LLC PLM Bulk Asbestos Report HM16-2099; City Of Vernon; Residential, 4323 Furlong Dr. Vernon CA 90058 Client No. / HGA Lab No. Asbestos Present Total % Asbestos 4323-6 916021611-06L1 No NAD B Location: Kitchen-South/Brown Sheet Flooring/Glue/Kitchen&Stove Area (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Brown/Grey, Homogeneous, Non-Fibrous,Sheet Flooring Asbestos Types: Other Material: Non-fibrous 100% 4323-6 916021611-06L2 No NAD B Location: Kitchen-South/Brown Sheet Flooring/Glue/Kitchen&Stove Area (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Clear, Homogeneous, Non-Fibrous,Glue Asbestos Types: Other Material: Non-fibrous 100% 4323-7 916021611-07L1 No NAD B Location: Stove-Area West/Brown Sheet Flooring/Glue/Kitchen&Stove Area (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Brown/Grey, Homogeneous, Non-Fibrous,Sheet Flooring Asbestos Types: Other Material: Non-fibrous 100% 4323-7 916021611-07L2 No NAD B Location: Stove-Area West/Brown Sheet Flooring/Glue/Kitchen&Stove Area (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Clear, Homogeneous, Non-Fibrous,Glue Asbestos Types: Other Material: Non-fibrous 100% 4323-8 916021611-08L1 No NAD B Location: Kitchen-North/Brown Sheet Flooring/Glue/Kitchen&Stove Area (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Brown/Grey, Homogeneous, Non-Fibrous, Sheet Flooring Asbestos Types: Other Material: Non-fibrous 100% 4323-8 916021611-08L2 No NAD B Location: Kitchen-North/Brown Sheet Flooring/Glue/Kitchen&Stove Area (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Clear, Homogeneous, Non-Fibrous, Glue Asbestos Types: Other Material: Non-fibrous 100% See Reporting notes on last page AmeriSci Job#: 916021611 Page 3 of 5 Client Name: Velasco Environmental Services, LLC PLM Bulk Asbestos Report HM16-2099; City Of Vernon; Residential, 4323 Furlong Dr. Vernon CA 90058 Client No. / HGA Lab No. Asbestos Present Total % Asbestos 4323-9 916021611-09 No NAD C Location: Stove Area West/Leveling Compound/Under Kitchen&Stove Wood Deck (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Brown, Homogeneous, Fibrous, Floor Material Asbestos Types: Other Material: Cellulose 10%, Non-fibrous 90 % 4323-10 916021611-10 No NAD D Location: Exterior North-East/Exterior Pink Stucco/Exterior (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Pink, Heterogeneous, Non-Fibrous, Cementitious,Stucco Asbestos Types: Other Material: Non-fibrous 100% 4323-11 916021611-11 No NAD D Location: Exterior North-West/Exterior Pink Stucco/Exterior (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Pink/Grey, Heterogeneous, Non-Fibrous,Cementitious,Stucco Asbestos Types: Other Material: Non-fibrous 100% 4323-12 916021611-12 No NAD D Location: Exterior South West/Exterior Pink Stucco/Exterior (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Pink/Grey, Heterogeneous, Non-Fibrous,Cementitious,Stucco Asbestos Types: Other Material: Non-fibrous 100% 4323-13 916021611-13 No NAD D Location: Exterior South East/Exterior Pink Stucco/Exterior (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Pink/Grey, Heterogeneous, Non-Fibrous,Cementitious,Stucco Asbestos Types: Other Material: Non-fibrous 100% 4323-14 916021611-14 No NAD D Location: Exterior East Side/Exterior Pink Stucco/Exterior (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Pink/Grey, Heterogeneous, Non-Fibrous, Cementitious,Stucco Asbestos Types: Other Material: Non-fibrous 100% See Reporting notes on last page AmeriSci Job#: 916021611 Page 4 of 5 Client Name: Velasco Environmental Services, LLC PLM Bulk Asbestos Report HM16-2099; City Of Vernon; Residential, 4323 Furlong Dr. Vernon CA 90058 Client No. / HGA Lab No. Asbestos Present Total % Asbestos 4323-15 916021611-15 No NAD E Location: Roof West Side/3 Tab Roof Shingles/(Vapor Barrier)Roof (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Black, Heterogeneous, Fibrous, Roofing Asbestos Types: Other Material: Cellulose 10%, Fibrous glass 15%, Non-fibrous 75 % 4323-16 916021611-16 No NAD E Location: Roof East Side/3 Tab Roof Shingles/(Vapor Barrier)Roof (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Black, Heterogeneous, Fibrous, Roofing Asbestos Types: Other Material: Cellulose 10%, Fibrous glass 15 %, Non-fibrous 75% 4323-17 916021611-17 No NAD E Location: Roof Center Area/3 Tab Roof Shingles/(Vapor Barrier)Roof (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Black, Heterogeneous, Fibrous, Roofing Asbestos Types: Other Material: Cellulose 10%, Fibrous glass 15%, Non-fibrous 75% 4323-18 916021611-18 No NAD F Location: Roof North-East/Black Roof Mastic/Roof (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Black, Homogeneous, Fibrous,Roofing Mastic Asbestos Types: Other Material: Cellulose 5%, Non-fibrous 95% 4323-19 916021611-19 No NAD F Location: Roof Center Area/Black Roof Mastic/Roof (by CVES) by Paola Ducoing on 02/20/16 Analyst Description: Black, Homogeneous, Fibrous, Roofing Mastic Asbestos Types: Other Material: Cellulose 5%, Non-fibrous 95% See Reporting notes on last page AmeriSci Job#: 916021611 Page 5 of 5 Client Name: Velasco Environmental Services, LLC PLM Bulk Asbestos Report HM16-2099; City Of Vernon; Residential, 4323 Furlong Dr. Vernon CA 90058 Reporting Notes: Analyzed By:Paola Ducoing �<I%; ;Date Analyzed:2/20/2016 *NAD=no asbestos detecte Detecg Limits:CVES=1%,400 Pt Ct=0.25%, 1000 Pt Ct=0.1%;NA=not analyzed; NAPS =not analyzed/positive stop;NVA=No Visible Asbestos;PLM(polarized light microscopy)Bulk Asbestos Analysis by EPA 600/R-93/116,including requirements for EPA 600/M4-82-020 per 40 CFR 763(NVLAP Lab#200346-0,CA ELAP lab#2322); Note:PLM is not consistently reliable in detecting asbestos in floor coverings and similar NOB materials. TEM is currently the only method that can be used to determine if this material can be considered or treated as non-asbestos-containing in New York State(also see EPA Advisory for floor tile,FIR 59, 146,38970,8/1/94). NIST Accreditation requirements mandate that this report must not be reproduced except in full with the approval of the laboratory. This PLM report relates ONLY to the items tested. Reviewed By: Asbestos Bulk Sample Log �'D2 2I29 E.Cesar Cbavez Ave Suite No#3,Los Ange es CA 90033-i800 Tee ne:(323)82-5-3o96/r-ax:(313)825-3o99 Client: CITY OF VERNON Date Sampled: / 18 /2016 Address: 4323 FURLONG DR, VERNON CA 90058 Site Name: : v ►� Building Name: RESIDENTIAL Project Number: HM16-2099 Collected By: EDWIN VELASCO Cert: CSST/CAC#: 07-4193 Sample Sample Material Type& Material Location Damage HID: Estimated Photo No# Location Description (YIN) SF: No# - Sam Aus�✓ 40(o - 6m ► 4 33 8 z* 2� /� I<.�t - `TN � 4-V-1 3kl� - S- �asT_ 43"1 D►��U. 1 --4 ST g0H —T WEs-r 47 1 -4 2,3 N H S �>✓1k;v,,F- AVio- cm w 0 -�� E y Rq � 4 STo E �✓'Ec� NI3 4 i T�,I�Ev►-U1Njr ` 1) G Cow In A * 5 a p 2 EX-ref i cv aC l l- A I —Io 0OV' - S� � /N u S te1l10r IV 2.01 4323 —x`Tc�r I u� -t I a✓�1 —ST �d - �z Analytical Ah - � #i Time: Same Dav 24 hr: 3 Day Other Comma ngay.gorn} / Sign ture Title Inclusive Dates 2. Signature �.. Title Indids-W6 Dates 3. Signature Title Inclusive Dates - Vef asCO EnvironMentaf Services LLC PAGE OF Asbestos Bulk Lo Sample � � VU T I � 11 p 9 2I29 E.Cesar avez Ave Suite No#3,Los Anye es CA 90033-1800 Tee ne:(3-3)825-3o96/Eax:(3z3)825-3o99 Client: CITY OF VERNON Date Sampled: / 18 /2016 Address: 4323 FURLONG DR, VERNON CA 90058 Site Name: : AA Building Name: RESIDENTIAL Project Number: HM16-2099 Collected By: EDWIN VELASCO Cert: CSST/CAC#: 07-4193 Sample Sample Material Type& Material Location Damage HID: Estimated Photo No# Location Description (YIN) SF: No# 4323 �c �,� � �f�o✓ < IQ q Eas\' st le ( a irr1lcY aas:s\De 1z. 3 745� C mT� r r "T3'I— bus c0 �isT� o�� 10 C� l3 VhRq�� lrx Analytic : PLM -Stop At 1st Posits Turnaround Time: Same Day: 24 hr: 3 Day Other Comm Email ,e twin velascoenv.com S, e Title Incl sive Dates 2. 1tur _ 7— 1�b Q SigrnatuPo- Title Incl sive 1ites 3. 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F ...I.......! : - - . r I . ......:.. ...:. . ...:.......;....................... .......4...... .............-.1.................. .......... .;...:...:....L. ........... ... ...L. ,:::!:::i:::!...: ... �.......................................... . , , ' ! � . : : : - i_;,.�_;...:...: . �...i.......i...�...�--.i.......:........... :...:... :...:._f...........:........................_:...................... : : : : . : : ..........!...I...�.......!...:.... ............... }p. :, J............................................. ..f.......... 1I :....._:...L.;..... ...�...: :.......:................... ' :::......,..-..1... ...:...�.......... .. :::I...:...:...:...:...I..........�...�...i... i---;... . ........ ,., ,..�..�........,...P........:... : . : - . :: ..:...:...:...:...�..:..:...:...:...:.......t...;...;...!..:..:...i.......:...:...:..�...: j - : i .... - .. _ -:., "G'Sr9= '@"Y.cixk•...::... ...' .mow.-'}.q� 1.--- - .- Page Of (Not to Scale) ATTACHMENT C CONSULTANT CERTIFICATIONS STATE OF CALIFORNIA Edmund G.Brown,Jr.Governor DEPARTMENT OF INDUS CRIAL RELATIONS Division of Occupational Safety and Health Asbestos Unit 2424 Arden Way,Suite 495 Sacramento,CA 95823-2417 (916)574-2993 Office (916)483-0572 Fax hltp:':'wtiti'w dir.ca.eov/d rdatahases.htfnl actu ,dir.ca.s 703214193C 302 Velasco Environmental Services April 29,, 2015 Edwin Velasco 2129 E Cesar Chavez Ave., #3 Los Angeles ' CA 90033-1800 Dear Certified Asbestos Consultant or Technician: Enclosed is your certification card. To maintain your certification, you must abide by the rules printed on the back of the certification card. Your certification is valid for a period of one year. If you wish to renew your certification, you must apply for renewal at least 60 days before the expiration date shown on your card. [8 CCR 341.15(h)(1)]. Please hold and do not send copies of your required AHERA refresher renewal certificates to our office until you apply for renewal of your certification. Certificates must be kept current if you are actively working as a CAC or CSST. The grace period is only for those who are not actively working as an asbestos consultant or site surveillance technician. Please contact our office at the above address, fax number or email; of any changes in your contact/mailing information within 15 days of the change. Si erely, Jeff 1 Ferrell Senior Safety Engineer Statc of California Division of Occupational Safety and Health Certified Asbestos Consuftant Attachment. Certification Card Edwin Vel"Co cc. File -RameI— — Cep lit.Q393 Expit ol-I__?617►141 This e'MkAw- led .th,01vislon of occuaano�a h as authorized by Sections�7'ap- _a.`;Jx+$usWo"and Professions Code Renewal- Card Attached(Revised 10/24/2012) 21 EXHIBIT C LIVING WAGE PROVISIONS Minimum Living Wages: A requirement that Employers pay qualifying employees a wage of no less than$10.30 per hour with health benefits, or$11.55 per hour without health benefits. Paid and Unpaid Days 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 action 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. EXHIBIT D EQUAL EMPLOYMENT OPPORTUNITY PRACTICES PROVISIONS A. Contractor 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. Contractor further certifies that it will not maintain any segregated facilities. B. 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. C. 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. D. 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. E. Nothing contained in this Agreement shall be construed in any manner as to require or permit any act which is prohibited by law. City of Vernon Instructions for Bidders Project: CITY HOUSING IMPROVEMENTS CONTRACT NO. CS-0602 For the Department of Public Works, Water and Development Services City personnel with whom prospective bidders will deal with are: Felix Velasco, Public Works Project Coordinator, Department of Public Works, Water and Development Services , 4305 Santa Fe Avenue, Vernon, CA 90058 (323) 583-8811 Ext. 318. Bid opening date and time: April 13,2016 at 2:00 p.m. ("Bid Deadline") Bids will be received and opened at the Office of the City Clerk, 4305 Santa Fe Avenue, Vernon, CA 90058 The bid must be received by the City Clerk prior to the time set for bid opening. A bid received by the City Clerk after the time set for the bid opening is a non-responsive bid and shall not be considered. GENERAL BID REQUIREMENTS To be considered, a bidder must strictly follow the format for bids in the specifications. Bids must be binding and firm. Any bids may be withdrawn before bid opening, but bids shall remain open and valid for ninety(90) calendar days after the Bid Deadline. 1. CONTRACTORS LICENSE The Bidder must possess a valid State of California Contractors License in the classification(s) specified in the Notice Inviting Bids at the time of the Bid Deadline and at all times during the performance of the Work, except as otherwise provided in California Business and Professions Code Section 7028.15. 2. INTERPRETATION OF BIDDING DOCUMENTS, SPECIFICATIONS AND ADDENDA A. If any Bidder contemplating submitting a Bid is in doubt as to the true meaning of any part of the Bidding Documents, or who finds discrepancies, errors or omissions therein or who finds variances in any of the Bidding Documents with applicable law, such Bidder shall at once submit a written request for an interpretation or correction thereof to the City's representative identified in the Notice Inviting Bids, or other designated individual. All Bidders shall submit such written requests to City not less than ten (10) calendar days prior to the Bid i INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 Deadline. The person or entity submitting the request shall be responsible for its prompt delivery to City's Contact Person identified in the Notice Inviting Bids. Any interpretation or correction will be made only by Addendum issued by the City and a copy of such Addendum will be delivered to all Interested Bidders of record. Any Addenda so issued must be acknowledged in the Bid and the cost of performing Work described in the Addenda shall be included in the Bid. Bidder's failure to acknowledge receipt of all Addenda may result in rejection of the Bid as nonresponsive. No person is authorized to render an oral interpretation or correction of any Bidding Documents and no Bidder may rely on any such oral interpretation or correction issued by the City. The City shall not be responsible for any other explanation or interpretation of the Drawings or Specifications, or for any oral instructions. City reserves the right to extend the Bid Deadline by issuing an Addendum to Interested Bidders no later than 72 hours prior to the Bid Deadline. Bidders shall use complete sets of Bidding Documents in preparing Bids; City shall not assume responsibility for errors or misinterpretations resulting from the use of incomplete sets of Bidding Documents. B. Copies of Addenda will be made available for inspection wherever Bidding Documents are on file for that purpose. Each Bidder shall ascertain prior to submitting a Bid that the Bidder has received all Addenda issued and the Bidder shall acknowledge their receipt in the Bid. 3. OBTAINING DRAWINGS AND DOCUMENTS Bidder may secure Bidding Documents only from the location specified in the Notice Inviting Bids. City will maintain a list of persons who obtained a copy of these Specifications ("Interested Bidders"). Only Interested Bidders will receive Addenda, if so issued. 4. BID FORMS —SUBMITTAL A. The Bids shall be made on the forms provided herein with all blank spaces properly filled in. B. The phraseology shall not be changed, and no additions shall be made to the items mentioned herein. Unauthorized conditions, exemptions, limitations, or provisions attached to a Bid will render it informal and may cause its rejection. All forms requiring specific information shall be completed with all applicable information for a Bid to be considered responsive. C. Include all Bid Forms, properly executed, and intact on forms provided. Enclose the Bid Forms in a sealed envelope; type or print on the envelope "BIDS for" followed by the title and Specification Number and the date and time of the Bid Deadline, and the Bidder's name and address. The envelope may be mailed, hand delivered, or delivered by courier or package delivery service. D. One Original Bid and two copies shall be hand delivered, delivered by courier or 2 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 package delivery service to the City Clerk, City of Vernon, 4305 Santa Fe Avenue, Vernon, CA 90058. E. Bids received after the Bid Deadline or at any place other than the Office of the City Clerk will not be considered. 5. BID FORMS—AUTHORIZED SIGNATURES A. The full name, business address, zip code, and business telephone number, with area code of the individual, partnership, joint venture, or corporation submitting the Bid shall be typewritten or legibly printed on the Bid Forms. The Bidder shall sign the form with his/her usual wet ink signature. B. Sole Proprietorship: An individual shall sign. C. Partnership (General or Limited): A partner shall sign for a partnership; the partner shall give the names and addresses of all partners. D. Corporation: An officer shall sign for a corporation. The corporate name must be attested by the corporate seal. The names and titles of the president and all officers of the corporation who are authorized to sign the Bid Forms must be listed in an authenticated Incumbency Certificate signed by the corporate secretary. A signature other than a corporate officer's will be accepted only if an authenticated Incumbency Certificate is attached. E. Joint Venture: Bidders shall use the appropriate section(s) listed above in B-D, based on their applicable situation. 6. BID FORMS—SCHEDULE OF BID PRICES A. The Bidder shall include in his/her Bid price(s) any and all expense or costs that may be necessary to complete the project in accordance with the requirements of the Contract. The cost of all mobilization, preparatory work and operations for the multiple movements of personnel, equipment, supplies, and incidentals to the various project sites must be included in the various bid items, and no extra compensation will be paid to Contractor. B. The Bidder shall state for each item on the Schedule of Bid Prices form, in clearly legible figures, the Base Bid, the alternates, and the unit price and item total or lump sum, as the case may be, for which he/she proposes to supply labor, materials, and equipment and to perform the Work. Bids must not contain any erasures, interlineations, strike-throughs or other corrections unless the same are suitably authenticated by affixing in the margin immediately opposite such erasure or correction the initials of the person(s) signing the Bid. If any Bid, or portion thereof, is determined by the City to be illegible, ambiguous or inconsistent, City may reject such a Bid as being non-responsive. C. In the case of a unit price item, the amount set forth, as the item total shall be the 3 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 product of the estimated quantity times the unit price Bid. In the event of a discrepancy between the unit price Bid and the item total, the unit price shall prevail; however, if the unit price is ambiguous, unintelligible, or uncertain for any cause, or is omitted, or is the same amount as the entry for the item total, then the item total shall prevail and shall be divided by the estimated quantity for the item and the price thus obtained shall be the unit price. Where so indicated by the makeup of the Bid Form, sums shall be expressed in both words and figures, and in case of discrepancy between the two,the amount written in words shall govern. D. All requested Alternates, if any, shall be Bid. See the Schedule of Bid Prices for more information and the list of Bid Alternates, if any. If no change in the Base Bid is required, enter"No Change." 7. BID SECURITY A. Each Bid shall be accompanied by cash or a cashier's check or a certified check, drawn on a responsible bank doing business in the United States payable to the City, or a satisfactory Bid Bond in favor of the City executed by the Bidder as a principal and a California admitted surety company (as defined by California Code of Civil Procedure §§995.120 and 995.311) as surety("Bid Security"). B. All bonds must be issued by a California admitted surety insurer with the minimum AM Best Company Financial strength rating of "AMI" or better. Bonds issued by a California admitted surety not listed on Treasury Circular 570 will be deemed accepted unless specifically rejected by the City. Bonds issued from admitted surety insurers not listed in Treasury Circular 570 must be accompanied by all documents enumerated in California Code of Civil Procedure Section 995.660. All such bonds must be accompanied by a power of attorney from the surety company authorizing the person executing the bond to sign on behalf of the company. If the bonds are executed outside the State of California, all copies of the bonds must be countersigned by a California representative of the surety. The signature of the person executing the bond on behalf of Surety must be acknowledged by a Notary Public as the signature of the person designated in the power of attorney. C. Bid Security shall be in an amount not less than 10% of the Base Bid. Any Bid submitted without Bid Security will be rejected as non-responsive. The Bid Security shall be given as a guarantee that the successful Bidder will execute the Contract and will provide the insurance, bonds and other required forms within fourteen (14) calendar days after award of the Contract. Bidders will be entitled to return of Bid Security except when a successful Bidder forfeits its Bid Security. A forfeit may occur, for example, if the successful Bidder withdraws its Bid prior to the expiration of ninety(90) calendar days after award of the Contract; attempts to withdraw its Bid when the requirements of Public Contract Code § 5101 et seq. are not met; or refuses or fails to execute the Contract and provide the required bonds, insurance or certificates within fourteen (14) calendar days after award of the Contract. In any one or more of these events, if City awards the Contract for 4 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 the Work to the next lowest responsible Bidder, the amount of the original lowest Bidder's security shall be applied to the Contract Price differential between the lowest Bid and the second lowest Bid. Any surplus will be returned to the original lowest Bidder. If the City rejects all other Bids presented and re-advertises, the lowest Bidder's Bid Security may be used to offset the City's cost of re- advertising and receiving new Bids. In that case, the surplus if any, will be returned to the original lowest Bidder. D. The Bid Security shall be held for ninety (90) calendar days after the award of the Contract or until posting by the successful Bidder of the payment and performance bonds, proof of insurance, return of executed copies of the Contract and necessary certification(s), whichever first occurs, after which time the Bid Security will be returned to all Bidders. E. If a Bid Bond is to be submitted, Bidder shall use the form entitled "Bid Bond" contained in the Bidding Documents, which Bid Bond shall be properly executed and acknowledged by the Bidder and by a corporate surety authorized to transact such business in the State of California. F. Any alteration of said form of Bid Bond, or imperfection in the execution thereof, as herein required, will render it informal and may, at the option of the City, result in the rejection of the Bid under which the Bid Bond is submitted. 8. BIDDER'S AND SPECIALTY CONTRACTORS' STATEMENTS OF QUALIFICATIONS A. A responsible Bidder is a Bidder who has demonstrated the attribute of trustworthiness, as well as quality, fitness, capacity and experience to satisfactorily perform fully the requirements of the contract documents. In selecting the lowest responsible Bidder, consideration will be given not only to the Bidder's financial standing but also to the general competency of the Bidder for the performance of the work covered by the Bid including, but not limited to, the experience of the Bidder in construction of public buildings for public agencies. By submitting a Bid, each Bidder agrees that the City, in determining the successful Bidder and its eligibility for the award, may consider the Bidder's experience with similar types of construction projects and facilities, conduct and performance under other contracts, financial condition, reputation in the industry, and other factors which could affect the Bidder's performance of the work. 9. DESIGNATION OF SUBCONTRACTORS A. Subcontractor Listing. On the Designation of Subcontractors form, the Bidder shall list each Subcontractor whom the Bidder must disclose under the Subletting and Subcontracting Fair Practice Act, Public Contract Code Section 4104. The Bidder shall provide: each Subcontractor's name, the trade and type of work that the Subcontractor will perform, the location (address) of the Subcontractor's place of business, each Subcontractor's license number, and the dollar value of each 5 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 Subcontractor's labor or services. If additive Alternate Bid Items are included in the Bidding Documents, the Bidder shall identify each Subcontractor performing additive Alternate Bid Items, when such Work — or the combination of base Contract Work and Alternate Work—exceeds one-half of one percent of the total Bid Amount. B. Subcontractors' Licenses. At the time of the Bid Deadline and at all times during performance of the Work, each listed Subcontractor shall possess a current and active California Contractor's license appropriate for the portion of the Work listed for such Subcontractor, and hold all specialty certifications required for such Work. C. Disqualification of a Subcontractor. The City has the right to review the suitability and qualifications of any Subcontractor proposed by the Bidder. As part of this review, the City may request a Bidder to submit additional information about one or more of the listed Subcontractorsincluding, but not limited to—a statement detailing the Subcontractor's experience with pertinent information as to similar projects and other evidence of the Subcontractor's qualifications. If requested, the Bidder shall provide the information to the City within the time specified in the City's written request. After due investigation, if the City has a reasonable objection to any proposed Subcontractor, the City may, before giving the notice of award, require the apparent successful Bidder to submit an acceptable substitute. The City's disqualification of a Subcontractor does not disqualify a Bidder. However, prior to and as a condition to award of the Contract, the successful Bidder shall substitute a properly licensed and qualified Subcontractor without an adjustment of the Bid Price. D. Work of Subcontractors. The organization or arrangement of the Specifications and Drawings do not limit the extent of the Work for the Contract Documents. Accordingly, all Bidders are encouraged to disseminate all of the Specifications, Drawings and other Contract Documents to all persons or entities submitting sub- bids to the Bidder. The omission of any portion or item of Work from the Bid or from sub-bids, which is reasonably inferable from the Contract Documents, will not be a basis for adjustment of the Contract Price or the Contract Time. E. Ineligible Subcontractors. The successful Bidder is prohibited from performing Work on the Project with any Subcontractor who is ineligible to perform work on a public works project pursuant to California Labor Code Sections 1777.1 or 1777.7. In submitting its Bid, the Bidder certifies that it has investigated the eligibility of each and every listed Subcontractor and has determined that none is ineligible to perform work pursuant to the above code provisions. 10. CONTRACTOR'S NONCOLLUSION AFFIDAVIT A Non-collusion Affidavit in the form provided by the City shall be signed under penalty of perjury, certifying that the Bid is not the result of and has not been influenced by collusion. Bidder shall submit this form with its Bid. Any Bid made without such 6 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 affidavit, or believed to be made in violation of the requirements set forth in the affidavit form, may be rejected. 11. INSURANCE REQUIREMENTS The Bidder shall submit to its insurance company or insurance agent the Insurance Requirements in this Specification and the Contract Documents. The insurance company's underwriter or agent must complete the Insurance Requirements documentation which states that the insurer's underwriter or agent will furnish the City with the required insurance documents within fourteen (14) days after the Bidder's having been notified of the Contract's award. The Bidder shall submit this form with its Bid. Any Bid made without this statement, or made with an incomplete statement, may be rejected. 12. EXAMINATION OF DRAWINGS, SPECIFICATIONS,AND SITE OF WORK A. The Bidder shall examine carefully the site of the Work contemplated and the Drawings and Specifications. The submission of a Bid will be conclusive evidence that the Bidder has investigated and is satisfied as to the conditions to be encountered, as to the character, quality, and quantities of Work to be performed and materials to be furnished, the difficulties to be encountered, and to the requirements of the Drawings, Specifications, and other Contract Documents. The Bidder shall ascertain the locations of the existing utility services, and other underground facilities, and provide for carrying out its operations so as to cause the minimum possible inconvenience to the occupants of properties along any streets affected. All Work and costs involved in the safeguarding of the properties of others shall be at the expense of the Bidder to whom the Contract may be awarded. B. The Bidder hereby certifies that it has examined the local conditions, has read each and every clause of the Contract Documents, and that it has included all costs necessary to complete the specified Work in its Bid prices, and the Bidder agrees that if it is awarded the Contract, it will make no claim against the City based upon ignorance of local conditions or misunderstanding of any of the provisions of the Contract. Should the conditions turn out otherwise than the Bidder anticipated,the Bidder agrees to assume all risks incident thereto. 13. PRICES AND PAYMENTS Approximate quantities listed in the Schedule of Bid Prices are estimates given for comparing Bids, and no claim shall be made against the City for excess or deficiency therein, actual or relative. Payment at the prices agreed upon will be in full for the completed Work and will cover materials, supplies, labor, tools, equipment, and all other expenditures incident to a satisfactory compliance with the Contract, unless otherwise specifically provided. 7 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 14. PERMIT FEES City of Vernon shall obtain all Governmental Approvals and Utility Fees as required for the construction of the project. The Bidder shall not include the direct cost associated with obtaining any permits and its fees, except as otherwise noted in the project specifications. 15. SUBSTITUTIONS Bidders wishing to obtain City's authorization for substitution of any material, device, product, equipment, fixture, form, or type of construction shall submit all requests for substitution, including all data necessary to demonstrate acceptability, a minimum of ten (10) calendar days prior to the Bid Deadline. Approval of any such substitution shall be made in writing by the City. Bidders shall refer to the appropriate provisions in the General Conditions for additional requirements for substitutions. In the absence of a written Addendum prior to the Bid Deadline or a Change Order approving the request after Contract award, a request for substitution shall be deemed denied. 16. RETURN OF IMPROPER BIDS Bids submitted after the Bid Deadline are non-responsive and shall be returned to the Bidder unopened. Oral, telephonic, telegraphic, facsimile or electronically transmitted Bids shall not be considered unless the Notice Inviting Bids expressly permits such means of transmittal. 17. WITHDRAWAL OF BIDS Bidder may withdraw its Bid either personally or by written request any time prior to the scheduled Bid Deadline by notice to the City's Contact Person designated in the Notice Inviting Bids. If such notice is written, it shall be signed by the Bidder and shall be date- stamped and time-stamped by the City upon receipt. Withdrawn Bids may be resubmitted before the Bid Deadline provided that they are in full conformance with these Instructions to Bidders. Once submitted, all Bids are irrevocable, except as otherwise provided by law. Requests for withdrawal of Bids after the Bid Deadline shall be made only in accordance with California Public Contract Code § 5100, et seq. Bidder agrees by submitting a Bid that such Bid shall remain open, is irrevocable, and may not be modified, withdrawn, or cancelled for a period of ninety (90) days after award of the Contract. 18. OPENING AND EVALUATION OF BIDS A. Bid Opening and Tabulation. The Bids shall be opened and read in public after the Bid Deadline has expired at the time and location listed in the Notice Inviting Bids. A tabulation of all Bids received will be available for public inspection at the Office of the Director of Community Service & Water, 4305 Santa Fe Avenue, Vernon, CA during regular business hours for a period of not less than thirty (30) calendar days following the Bid Deadline. The City reserves the right to accept or reject any or all Bids and be the sole judge regarding the suitability of 8 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 the products, services or supplies offered; and/or to waive any irregularities or informalities in any Bids or in the bidding process. The City further reserves the right to purchase all or fewer than all items or quantities of each item listed in the Bidding Documents. The award of the Contract, if made by the City, shall be to the lowest responsive and responsible Bidder. If Bid Alternate Items are called for, the lowest Bid shall be determined according to Paragraph 20 below. B. Evaluation of Bids. 1. Mandatory Qualifications. A Bid shall be rejected as non-responsive if the Bidder fails to document in the Bid that Bidder meets the essential requirements for qualification described in the Notice Inviting Bids. As part of the Bidder's Statement of Qualifications each Bidder must establish that it, as the current entity: (1) has successfully completed at least three (3) similar projects involving similar work within the last three (3) years with a cost equal to or in excess of the Bidder's Bid; and (2) has successfully completed at least three (3) public works projects. 2. Responsive Bid. A responsive Bid is a Bid which conforms, in all material respects, to the Bidding Requirements and Contract Documents. 3. Responsible Bidder. A responsible Bidder is a Bidder who has demonstrated the attribute of trustworthiness, as well as quality, fitness, capacity and experience to satisfactorily perform fully the requirements of the Contract Documents. 4. Competency of Bidders. In selecting the lowest responsible Bidder, consideration will be given not only to the financial standing but also to the general competency of the Bidder for the performance of the Work covered by the Bid including, but not limited to, the experience of the Bidder in construction of public works for public agencies. By submitting a Bid, each Bidder agrees that the City, in determining the successful Bidder and its eligibility for the award, may consider the Bidder's experience with similar types of construction projects and facilities, conduct and performance under other contracts, financial condition, reputation in the industry, safety record and protocols and other factors which could affect the Bidder's performance of the Work. 19. AWARD OF CONTRACT The City reserves the right to reject any or all Bids and to waive any or all information or technical defects, as the interest of the City may require. Award of Contract or rejection of Bids will be made by the City within ninety (90) calendar days following the Bid Opening. 20. BASIS OF AWARD A. A Contract will be awarded to the lowest responsive and responsible Bidder 9 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 meeting all requirements set forth in these Bidding Documents. The City will award the Contract based on the lowest total of the bid prices on the base bid and those additive or deductive items that when taken in order from a specifically identified list of those items in the Bid Form and added to, or subtracted from, the base contract, are less than, or equal to, a funding amount publicly disclosed by the City before the first bid is opened. B. City reserves the right in its sole discretion to select any, all, or none of the Bid Alternates at the time of award of the Contract, regardless of whether such Bid Alternates were used in the analysis to determine the lowest Bid. 21. EXECUTION OF CONTRACT Within fourteen (14) calendar days after being notified by City that it has been awarded the Contract, Contractor shall deliver to the City the following documents: A. Three (3) copies of the Contract in the form included herein, properly executed by Contractor and, if Contractor is a corporation, evidence of its corporate existence and that the persons signing the Contract are authorized to do so. All signatures must be notarized. B. Properly executed copies of the (a) Performance Bond (b) Labor and Material (Payment) Bond and (c) Maintenance Bond in accordance with the requirements set forth in Article 13 of the General Conditions and in the form shown on Exhibits 1, 2 and 3 attached thereto. All signatures must be notarized. C. Properly executed policies of all of the following: (a) the Commercial General Liability Insurance, (b) the Automotive Liability Insurance, and (c) Professional Liability, if required, and (e) the corresponding endorsements for each policy in accordance with the requirements set forth in Article 12 of the General Conditions. In the event that the fourteenth calendar day falls on Saturday, Sunday, a legal holiday for the State of California, or on days when City Hall is closed, the aforesaid documents shall be delivered by the following Working Day. After receipt of said documents within said time period or any extension thereof granted by the City, the City shall execute the Contract and return one (1) of said three (3) copies to Contractor for its files. 22. PUBLIC RECORDS City seeks to conduct its business openly. Except as set forth in paragraph 8.A., upon opening, all Bids shall become a matter of public record and shall be regarded as public, with the exception of those elements of each Bid that are identified by the Bidder and plainly marked as "trade secret," "confidential," or "proprietary," including any Statement of Qualifications and financial statements to be submitted by Bidders. Each to INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 element of a Bid which a Bidder desires not to be considered a public record must be clearly marked as set forth above, and any blanket statement (i.e. regarding entire pages, documents, or other, non-specific designations) shall not be sufficient and shall not bind the City in any way whatsoever. If City receives a request from a third party to make a Bid available for inspection and copying, the City will notify the Bidder of the request. If a Bidder instructs the City that the information is not to be released, City will withhold the information, provided, the Bidder expeditiously seeks a protective order from a court of competent jurisdiction to prevent such release. If disclosure is required under the California Public Records Act or otherwise by law (despite the Bidder's request for confidentiality),the City shall not in any way be liable or responsible for the disclosure of any such records or part thereof. Bidder shall indemnify, defend (including Bidder's providing and paying for legal counsel for City), and hold harmless City, its officers, agents, employees, and representatives from and against all liability, claims, suits, demands, damages, fines, penalties, costs, or expenses arising out of or alleging City's refusal to publicly disclose one or more records that Bidder identifies as protectable,or asserts is protectable. 23. PREVAILING WAGE RATES AND EMPLOYMENT OF APPRENTICES A. Prevailing Wage Rates. The Bidder and all Subcontractors shall utilize the relevant prevailing wage rate determinations in effect on the first advertisement date of the Notice Calling for Bids in preparing the Bid Proposal and all component price quotations, provided, however, that when Davis Bacon wage rates apply, such rates are subject to increase by written notice, issued by Addendum not less than 10 calendar days before the Bid Deadline. Pursuant to California Labor Code Section 1770 et seq., the Director of the Department of Industrial Relations of the State of California and the United States Secretary of Labor have determined the general prevailing wage rates in the locality in which the Work is to be performed. Said rate schedules are available on the Internet at www.dir.ca.gov/DLSR/PWD/. The wage rate for any classification not listed, but which may be required to execute the Work, shall be commensurate and in accord with specified rates for similar or comparable classifications for those performing similar or comparable duties. To comply with California Labor Code Section 1773.2, Contractor shall post, at appropriate and conspicuous locations on the job site, a schedule showing all applicable prevailing wage rates and shall also comply with the requirements of California Labor Code Sections 1773 et seq. B. Apprenticeship Committee Contract Award Information. Pursuant to California Labor Code § 1777.5 and Title 8 of the California Code of Regulations § 230, Contractor and Subcontractors of any tier who are not already approved to train by an apprenticeship program sponsor shall, within ten (10) calendar days of signing the Contract or subcontract, as applicable, but in any event prior to the first day in which Contractor or Subcontractor has workers employed on the Project, submit the Public Works Contract Award Information form (DAS Form 140)to the appropriate local apprenticeship committees whose geographic area of operation include the area of the Project and who can supply apprentices to the it INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 i Project. City reserves the right to require Contractors and Subcontractors to submit a copy of said forms to the City. C. Statement of Employer Fringe Benefit Payments. Within five (5) calendar days of signing the Contract or subcontract, as applicable, the Statement of Employer Payments (DLSE Form PW 26) shall be completed for each Contractor and Subcontractor of any tier who pays benefits to a third party trust, plan or fund for health and welfare benefits, vacation funds or makes pension contributions. The form must contain, for each worker classification, the fund, plan or trust name, address, administrator, the amount per hour contributed and the frequency of contributions. Training fund contributions shall also be reported in this form. City reserves the right to require Contractors and Subcontractors to submit a copy of said forms to the City. D. Notice to Subcontractors. Bidders shall notify all potential Subcontractors submitting price quotations for portions of the Work of the requirements concerning payment of prevailing wage rates, payroll records, hours of Work, and employment of apprentices. 24. SPECIAL CITY REQUIREMENTS Special City forms and their instructions are an integral part of these specifications and failure to submit same may be grounds, in the sole discretion of the City, for rejection of any Bidder. A. Living Wage Ordinance and Prevailing Wage Where Applicable. Contractor, and Subcontractors, if any, shall comply with the terms and conditions of Ordinance No. 1187, the City's Living Wage Ordinance. Upon request, certified payroll documents shall be provided to the City. If there is a difference between the Vernon Living Wage rates and the California Prevailing wage rates for the same classification of labor, Contractor and subcontractor shall not pay less than the highest wage rate for that classification. B. Equal Employment Opportunity in Contracting. The City of Vernon is committed to a policy of equal opportunity in contracting. Qualified firms including small businesses and businesses owned by women, minorities, and disabled persons are encouraged to submit bids or proposals. Contractors expressly agree to comply with the City's ordinances and regulations regarding Equal Opportunity Employment as well as regulations that may be mandated by the source of the funds supporting the Contract. Contractor certifies 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, religious belief, color, national origin, citizenship, ancestry, disability, sex, age, medical condition, pregnancy, sexual orientation or marital status. Contractor certifies that it will not maintain any segregated facilities. 12 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 Contractor shall comply with all applicable Federal and California laws including, but not limited to, the California Fair Employment and Housing Act (California Government Code Section 12900, et seq.), California Labor Code Section 1735, and The Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.). Contractor shall require like compliance by all Subcontractors employed on the Work. 25. BID PROTEST PROCEDURES A. Any Bidder submitting a Bid directly to the City and eligible for award of the Contract may file a protest if the Bidder complies with all of the following requirements and conditions: 1. The Bid protest is in writing; 2. A protest based upon alleged defects or improprieties in the Contract Documents is filed with the City prior to the Bid Deadline; 3. All other protests are to be filed and received by the City no more than five (5) calendar days following the City's notice of intent to award the Contract; and 4. The written Bid protest sets forth, in detail, all grounds for the Bid protest, including without limitation: all facts, supporting documentation, legal authorities, and argument in support of the grounds for the Bid protest. All factual contentions must be supported by competent, admissible, and credible evidence. B. Any matters not set forth in the written Bid protest will be deemed waived. Any Bid protest not conforming to the foregoing requirements and conditions will be rejected by the City as invalid. C. Bid Dispute Indemnification. In the event of a Bid dispute based upon the Bidder's submission of this Bid and the City acceptance of same, the Bidder shall indemnify, defend (with counsel acceptable to City), and hold harmless the City, its City Council members, employees, and agents from liability, claims, demands, damages, and costs arising therefrom if such dispute or action arises solely upon the award of a Contract in compliance with federal, state, and local laws. [END OF DOCUMENT] 13 INSTRUCTION TO BIDDERS CONTRACT NO.CS-0602 r k BIDDING FORMS r BIDDING FORMS i BIDDER'S PROPOSAL The undersigned submits this Bid in response to the Notice Inviting Bids issued by the City to construct the Work of the following Project in accordance with the Contract Documents: PROJECT: City Housing Remodel,Contract No.CS-0602 I A. Enclosed herewith and by this reference incorporated herein and made a part of this Bidder's Bid are the following completed forms: 1 1. Bidder's Proposal 2. Schedule of Bid Prices 3. Incumbency Certificate f 4. Bid Security in the following form(check one): ❑Cashier's Check ❑Certified Check Bid Bond ❑ Cash 5. Bidder's Statement of Qualifications 6. Experience Form 7. Statement of Violations of Federal, State or Local Law,if applicable 8. Contractor Safety Questionnaire 9. Designation of Subcontractors 10. Contractor's Affidavit of Noncollusion 11. Insurance Requirements Affidavit 12. Statement of Disqualification or Debarment. 13. Pre-Bid Site Inspection Certification. B. Acknowledgment of Addenda. The Bidder shall acknowledge the receipt of all Addenda by attaching a signed copy of all Addenda,and by listing all Addenda received and attached in the space below. Addendum# 1 Dated 04/07/2016 If an Addendum or Addenda have been issued by the City and not attached and noted above as being received by the Bidder,the Bid may be rejected. C. Inspection of the Work and Contract Documents. Bidder certifies that it has carefully examined and is fully familiar with all of the provisions of the Bidding Documents and said Bidding Documents contain sufficient detail regarding the Work to be performed;that it has notified City of any errors or omissions in the Bidding Documents and/or any unusual site conditions; and that it has carefully checked all words, prices,and statements in this Bidding Document. Bidder hereby certifies that he/she and his/her Subcontractors have inspected the site and related Drawings and Specifications of Work and fully acquainted themselves with all conditions and matters which may in any way affect the Work,time of completion or the costs thereof. BF 1 of 38 i BIDDING FORMS Bidder also certifies he/she has observed the designated Contractor Work areas and access routes, if disclosed or shown,as part of the Work in this Contract. SITE INSPECTION—CERTIFICATION: Person(s)who inspected site of the proposed Work for your firm: Name: Ehab Mina Date of Inspection 04/12/2016 Title: Project Manager Name: Date of Inspection I Title: 1 D. Bidder agrees that all costs of Work shown in the Bidding Documents, including work reasonably inferable therefrom and necessary thereto, are included in his/her Bid. All Work shown in the Contract Documents for which a specific line item is not provided in the Bidding Form is included in the Bidder's Total Base Bid Price. E. Forfeiture of Bid Security. Bidder further agrees that, in case of his/her default in executing the required Contract and the required bonds, or furnishing the required insurance, the money payable under the Bid Security accompanying this Bid shall be applied by the City towards payment of the damage to the City on account of such default,as provided in the Bidding Documents. F. Period of Irrevocability. Bidder agrees that this Bid shall remain open and shall not be withdrawn for a period of not less than ninety (90) calendar days from the date of award of Contract, or until rejected by the City, whichever period is shorter. G. Bid Dispute Indemnification. In the event of a Bid dispute based upon the Bidder's submission of this Bid and the City acceptance of same, the Bidder shall indemnify, defend (with counsel acceptable to City), and hold harmless the City, its City Council members, employees, and agents from liability, claims,demands,damages, and costs arising therefrom if such dispute or action arises solely upon the award of a Contract in compliance with federal,state,and local laws. The Bidder declares that neither he/she nor any member of his/her firm or corporation is an officer or employee of the City of Vernon. I hereby certify under penalty of perjury under the laws of the State of California that the representations made herein are true and correct. Executed this 13 day of April at Vernon California City State Bidder's Proposal Respectfully Submitted, BF2of38 BIDDING FORMS NAME OF BIDDER COMPANY NAME: St. George Groupe, Inc. r ADDRESS: 3200 E. Guasti Rd. Suite155 i Ontario, CA 91761 CONTACT PERSON: Abdalla Abdelmalak TELEPHONE NUMBER: (909)878-7562 FAX NUMBER: (909)878-7563 E-MAIL: st.george_groupe@hotmail.com CALIFORNIA STATE CONTRACTOR'S LICENSE NUMBER: 993684 EXPIRATION DATE: 01/31/2017 TAX IDENTIFICATION NO.: 46-4746464 SURETY COMPANY: Western Surety Company All Bid forms must be signed where so indicated by the person or persons duly authorized to sign on behalf of the Bidder. By signing the Bid, the person signing is deemed to represent that he or she has authority to bind the Bidder. Failure to sign the Bidder's Proposal may invalidate the Bid. BIDDER'S PROPOSAL—SIGNATURE(S): Form of Entity of Bidder: Please check the appropriate signature block below and fill in all related information. fSole Proprietorship: By: Title: Printed name of person signing Signature List all d/b/a's: Partnership: ❑ General Partner ❑ Limited Partner By: Title:_ Printed name of person signing Signature BF3of38 BIDDING FORMS Corporation: By: Abdall}- ' .',4malak Corporate Officer Title: President Print name of p on signing Corporate Seal Signature Joint Venture: ❑ Corporation ❑ Partnership St George Groupe Inc. 3200 E.Guasti Rd. Ste 155 ❑ Individual ❑ Other Ontario,CA91761 By: Title: Printed name of person signing Signature Name of all Joint Venturers: [If the Bidder is a corporation or a limited liability company, enter state or county of incorporation in addition to the business address and include an incumbency certificate executed by a Secretary thereof in the form set forth herein listing each officer with signing authority and his/her corresponding office. If the Bidder is a partnership or joint venturer stating that the respective partner or joint venturer agrees to be held jointly and severally liable for any and all of the duties and obligations of the Bidder under the Bid and under any contract arising therefrom. Attach evidence to the Bid Proposal Form that the individual signing has authority to do so.] i BF 4 of 38 BIDDING FORMS SCHEDULE OF BID PRICES PROJECT: City Housing Remodel,Contract No.CS-0602 BIDDER'S NAME: St. George Groupe, Inc. BASE BID Pursuant to and in compliance with your Notice Inviting Bids and Contract Documents relating to the Project including all Addenda (attach signed copies), Bidder, having become thoroughly familiar with the terms and conditions of the Contract Documents and with local conditions affecting the performance and the costs of the Work at the place where the Work is to be done, hereby proposes and agrees to fully perform the Work within the time stated in strict accordance with the Contract Documents (including the furnishing of any and all labor, materials, tools, expendable equipment, and utility and transportation services necessary to fully perform the Work and complete it in a workmanlike manner)for the total Base Bid sum of: Sixty-Eight Thousand, One Hundred and Twenty-Five Dollars ($68,125.00 ) Item Description Units Quantity Unit Cost($) Total Amount($) No. 1• • Install new carpet flooring with 1 LS $5,750.00 $5,750.00 padding and ceramic tile as noted on plans 2• • Replace the water heating 1 LS $3,375.00 $3,375.00 system (water heater, gas connection line and water connection lines) 3. • Patch, paint and texture walls 1 LS $8,500.00 $8,500.00 and ceilinq 4. . Remodel bathroom as noted on 1 LS $9,500.00 $9,500.00 plans to meet ADA requirements 5. • Remodel kitchen as noted on 1 LS $17,300.00 $17,300.00 plans to meet ADA requirements 6. . Reconfiqure laundry room as 1 LS $4,700.00 $4,700.00 noted on plans to meet ADA requirements 7. • Lead abatement(see attached 1 LS $3,500.00 $3,500.00 lead base paint report for reference 8. • Asbestos abatement(see 1 LS $3,500.00 $3,500.00 attached asbestos report for reference 9• • ADA Buildinq Accessibility Ramp 1 LS $12,000.00 $12,500.00 as specified on plans BASE BID $68,125.00 TOTAL BF 5 of 38 BIDDING FORMS I I I All other work items,labor,materials,tools and incidentals which are not specifically listed in the above bid items, but are necessary to complete the project per specifications, and all other applicable standards and codes are considered to be included in the above bid items. If there is a discrepancy between(1)the"Grand Total" shown immediately above,(2)any of the"total costs" shown in the far right column above,or(3)the individual Unit Price,then the Unit price shall control over the total cost, and the total cost shall control over the total. If, however, the unit price is ambiguous, unintelligible, or uncertain for any cause, or is omitted, or is the same amount as the entry for the item total, then the item total shall prevail and shall be divided by the estimated quantity for the item and the price thus obtained shall be the unit price. Bidder acknowledges that determination of the lowest Bid will be based on the combined total of the amounts entered below for the Base Bid plus all of the listed Bid ADDITIVE items, and that once the low bid is determined on this basis,the City will be free to select Bid ADDITIVES for inclusion in the Work in any order or combination, or to reject any or all Bid ADDITIVES. ADDITIVE BID ITEM(S): (BIDDER:PLEASE PRICE ALL BID ADDITIVE ITEMS AS LUMP SUMSI ADDITIVE NO. 1: Item Description Units Quantity Unit Cost($) Total Amount($) No. 1• • Replace sewer drainage s stem 1 LS $1,200.00 $1,200.00 to property line 2. * Replace water lines from meter 1 LS $3,200.00 $3,200.00 to fixtures with copper material 3• • Replace all qas supply lines from 1 LS $2,400.00 $2,400.00 meter to fixture 4. • Install computer,telephone and 1 LS $720.00 $720.00 television cabling from designated rooms to exterior box 5. • Replace all interior receptacles, 1 LS $840.00 $840.00 switches and plate covers 6. • Replace exterior crawl space 1 LS $240.00 $240.00 screens and side vents ^ 7. • Replace all interior and exterior 1 LS $2,800.00 $2,800.00 doors and frames and moldin 8 • Install insulated vinyl siding over 1 LS $7,600.00 $7,600.00 the exterior of the house 9. . Install a doorbell 1 LS $160.00 $160.00 10. . Desiqn and install an automatic 1 LS $1,850.00 $1,850.00 irrigation system 11. . Remove and replace lawn 1 LS $6,000.00 $6,000.00 BF6of38 BIDDING FORMS 12. Install a V concrete mow strip 1 LS $960.00 $960.00 around the perimeter of the house 3 13. . Construct new brick planter 1 LS $1,800.00 $1,800.00 14. . Replace windows with retrofit 1 LS $4,900.00 $4,900.00 dual pane low emissivity windows. 15. • Replace roof system 1 LS $8,100.00 $8,100.00 16. . Remove and replace window 1 LS i $2,275.00 $2,275.00 casing 17. • Replace window treatments with 1 LS $2,275.00 $2,275.00 _1 vi I wood blinds 18. . Install interior and exterior light 1 LS $2,900.00 $2,900.00 fixtures/recessed lighting as noted on the plans 19. . Replace baseboards with DMF 1 LS $990.00 $990.00 boards 20. • Additional electrical 1 LS $540.00 $540.00 improvements as needed ADDITIVE NO. 1 $51,750.00 TOTAL i TOTAL BID AMOUNT(Base Bid Sum+Additive No.1) ne Hundred & Ninteen Thousand, Eight Hundred &Seventy-FiveDollars ($119,875.00 ) (written dollar amount) (dollar amount) BF7of38 BIDDING FORMS Respectf submitted: 3200 E. Guasti Rd.#155 Ontario, CA 91761 Signature Address President 04/13/2016 Title Date 993684 01/31/2017 License Number Date of Expiration St George Groupe inc. (SEAL-if Bid is by a corporation) 3200 E.Guasti Rd.Ste 155 Ontario,CA 91761 Attest Amount of Certif Dr Caoier's Check or Bid Bond Western Surety Company Name of Bonding Company BF 8 of 38 BIDDING FORMS INCUMBENCY CERTIFICATE Print legibly the names and title of the president and all officers of the Company who are authorized to sign the Bid Forms: PRESIDENT'S&OFFICERS' NAME: TITLE: Abdalla Abdelmalak President Fadia Phlopos Secretary The undersigned hereby certifies to the City of Vernon that he/she is the duly elected and acting Secretary of St. George Groupe Inc. (the"Company"),and that,as such,he/she is authorized to execute this Incumbency Certificate on behalf of the Company, and further certifies that the persons named above are the duly elected,qualified and acting officers of the Company,holding on the date hereof,the titles and positions set forth opposite their names and are authorized to sign the Bid Forms. IN WITNESS WHEREOF, the undersigned has executed this Incumbency Certificate this 13 day of April 12016 Fadia Phl000s Secretary's gName-Printed CA SecretaryAnature BF 9 of 38 I I ' BIDDING FORMS Bond No.: 71773860 Premium Amount:$N/A Bond's Effective Date: April 13,2016 BID BOND RECITALS; i. The City of Vernon,California('City'),has issued a Notice Inviting Bids for the Mork described as follows: Specification No. in Vernon,CA.("Project'). Z In response to the Notice Inviting Bids, St. George Groupe dba St. George Construction (Name,address,and telephone of Contractor) 3200 E.Guasti Rd., Ste. 100-55,Ontario,CA 91761 ("Principal`}, has submitted the accompanying Bid for the Project. 3. Principal is required under the terms of the Specification---and all Bidding Documents referenced in it—to furnish a bond with the Bid. k The Specification, including all its amendments and supplements, and Principal's Bid are incorporated into this ' Bond and made a part of it by this reference. OBLIGATION: THEREFORE,for value received,We,Principal and WESTERN SURETY COMPANY (Name,address;and telephone of Surety) 333 S. Wabash Ave.,41st Floor,Chicago,IL 60604,605-336-0850 CSurety°) a duly admitted surety insurer under California's laws,agree as follows: By this Bond,We jointly and severally obligate and bind ourselves,and our respective heirs,executors,administrators, I successors,and assigns to pay City the penal sum of Five Percent ot Am �i Dollars($ io o Amount lBra ) (°the Bonded Sum'), this amount comprising not less than FIVE PERCENT (5"!.) of Principal's Base Bid, in lawful money of the United States of America. The California Licensed Resident Agent for Surety is: MILIK&ASSOCIATES INSURANCE SERVICES,INC.,917 S. VILLAGE OAKS DR., SUITE 101 COVINA CA 91724 909-468-2233 (Name,address,and telephone) Registered Agent's California Department of Insurance License No. THE CONDITION OF THIS BOND'S OBLIGATION IS THAT, if: (1) Principal does not (a) withdraw its Bid for the period specified in the Bidding Documents, or-4 no period is specified—for ninety (90) calendar days after City awards the Contract for the Project, or (b) attempt to withdraw its Bid when the requirements of California Public Contract Code§5101 of seq., or any successor legislation, are not met, or(2)City awards Principal the Contract in response to Principal's Bid,and within the time and manner specified by the Specification or Contract Documents or— if no period is specified—within fourteen(14)calendar days after the Contract's award, Principal (a)signs and delivers to City the Contract,in accordance with the Bid as accepted, (h)furnishes the required bonds for not only Principal's faithful performance and proper fulfillment of the Contract,but also Principal's payment for labor and materials used in the Project, and(c)furnishes the required insurance, then this obligation becomes null and void. Otherwise,this Bond remains in full force and effect,and the following terms and conditions apply to this Bond: 1. Surety's obligations under this Bond are separate, independent from, and not contingent upon any other surety's guaranteeing that upon City's awarding the Contract to Principal,the Principal will enter into the Contract with City. 2. No right of action accrues on this Bond to any entity other than City or its successors and assigns. 3. if an action at law or in equity is necessary to enforce or interpret this Bond's terms,Surety must pay—in addition to the Bonded Sum—City's reasonable aitomeys'fees and litigation costs,in an amount the court fixes. BF 10 of 38 BIDDING FORMS i 4. Surety shall mail City written notice at least 30 days before. (a) the effective date on which the Surety will cancel, I terminate,or withdraw from this Bond;or(b)this Bond becomes void or unenforceable for any reason. On the date set forth below, Principal and Surety duly executed this Bond, with the name of each party appearing below and signed by its representative(s)under the authority of its governing body. Date_ April 13,2016 PRINCIPAL: SURETY: St_ George Construction WESTERN SURETY COMPANY t ( any Name) (Company Name) (Signature) ` t, giiature) BY= �_— � 1 11K By: JENNIF'ER DIANE ADANIEK (Name) (Name) tk&: �� � ,� �t5: ATTORNEY IN FACT (Title) (Tittle) Address for Serving Notices or Other Documents: Address for Serving Notices or Other Documents: 3200 E. Guasti Rd. Ste. 100-55 Ontario CA 91761 333 S.Wabash Ave.,41st FIoor, Chicago,IL 60604 CORPORATE SEAL CORM R j i F.SEAL 417- f SEAL � t ■ EWDENCE MUST BE ATTACHED OF THE AUTHORITY OF ANYPERSON SIGNING AS ATTORNEY-IN FACT. ■ THEATTORNEM-FACTS SIGNATURE MUST SENOTARIZED. ■ A CORPORATE SEAL MUST BE IMPRESSED ON THIS FORM WHEN THE PRINCIPAL, OR THE SURETY. OR BOTH,AREA CORPORATION. BF 11 of 38 i - I _ Western Surety Company POWER OF ATTORNEY-CERTIFIED COPY Bond No. 71773860 Know All 14ten By These Presents,that WESTERN SURETY COMPANY,a corporation duly organized and existing under the laws of the State of South Dakota,and having its principal office in Sioux Falls, South Dakota(the"Company'),does by these presents make, constitute and appoint JENNIFER DIANE ADAMEK its true and lawful attorney(s)-in-fact,with full power and authority hereby conferred,to execute,acknowledge and deliver for and on its behalf as Surety,bonds for: Principal: St. George Groupe dba St. George Construction I a j Obligee: City of Vernon r Amount: $500,000.00 and to bind the Company thereby as fully and to the same extent as if such bonds were signed by the Senior Vice President,sealed with the corporate seal of the Company and duly attested by its Secretary,hereby ratifying and confirming all that the said attorney(s)-in-fact may do within the above stated limitations. Said appointment is made under and by authority of the following bylaw of Western Surety Company which remains in full force and effect. I "Section 7. All bonds,policies, undertakings,Powers of Attorney or other obligations of the corporation shall be executed in the corporate name of the Company by the President, Secretary,any Assistant Secretary,Treasurer,or any Vice President or by such other officers as the Board of Directors may authorize. The President,any Vice President,Secretary,any Assistant Secretary,or the Treasurer may appoint Attorneys in Fact or agents who shall have authority to issue bonds,policies,or undertakings in the name of the Company. The corporate seal is not necessary for the validity of any bonds,policies,undertakings,Powers of Attorney or other obligations of the corporation. The signature of any such officer and the corporate seal may be printed by facsimile." i All authority hereby conferred shall expire and terminate,without notice,unless used before midnight of July 13 + 2016 but until such time shall be irrevocable and in fiill force and effect. Western Surety Company has caused these presents to be signed by its Vice President,Paul T.Bruflat,and its car - be.a this 13 th day of April 2 016 �elfd' WESTER ' . SURE ' 1` COMPANY SOZTTH, 'A Paul'f= at,Vice president co On this 3 th day of April in the year 2 016 before me,a notary public,personally appeared Paul T. Bruflat, who being to me duly sworn, acknowledged that he signed the above Power of Attorney as the aforesaid officer of WESTERN SURETY COMPANY and acknowledged said instrument to be the voluntary act and deed of said corporation. �b9'+rhg�oWk4�i4b644tib4�sb4besaa} s J. MOHRIf �a ► NOTARY PUBLIC -ff � Notary Public-South Dakota SE l' .SOUTH DAKOTA SEAL $ t�e�4yy'+wyyti�okh5�ohaayaro4w t My Commission Expires June 23, 2021 I the undersigned officer of Western Surety Company, a stock corporation of the State of South Dakota,do hereby certify that the attached Power of Attorney is in full force and effect and is irrevocable,and furthermore,that Section 7 of the bylaws of the Company as set forth in the Power of Attorney is now in force. In testimony whereof,I have hereunto set my hand and seal of Western Surety Company this 13 th day of April 2016 WES R / SURE COMPANY Paul T."at,Vice President To validate bond authenticity,go to www.cnasurety.com >Owner/Obligee Services>Validate Bond Coverage. Form F6306-1-2016 ALL-PURPOSE ACKNOWLEDGMENT State of California ' Los Angeles SS. ' County of " On (3�\l9 , before me, _ Nowel S. Milik , DATE personally appeared_' p y pp �Y�\' !< C}: 'y' ,who proved to me on the ' basis of satisfactory evidence to be the person(s)whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the M ! person(s), or the entity upon behalf of which the person(s)acted,executed the instrument. NOWEL S.MILIK Commission# 1984913 I certify under PENALTY OF PERJURY under the Notary Public-California i laws of the State of California that the foregoing Los Angeles County paragraph is true and correct. i Comm.E fires Sul 13 2016 WITIY d officia al, " f46TAIRY T11RE " r 4 w ti PLACE NOTARY SEAL IN ABOVE SPACE i� OPTIONAL INFORMATION The information below is optional. However,it may prove valuable and could prevent fraudulent attachment A,• ". of this form to an unauthorized document. CAPACITY CLAIMED BY SIGNER(PRINCIPAL) DESCRIPTION OFATTACHED DOCUMENT INDIVIDUAL, CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT PARTNER(S) TITLE(S) [] ATTORNEY-IN-FACT NUMBER OF PAGES *F TRUSTEE(S) [] GUARDIAN/CONSERVATOR OTHER: DATE F DOCUM�E1 " 3 r 11 OTHER . " SIGNER(PRINCIPAL)IS REPRESENTING: 2 ' M� NAME OF PERSON(S)OR ENTITY(IFS) r RIGHT ti THUMBPRINT g i� _ OF s i SIGNER a M CL L � 'ter � � . -�� .� a a _ r � � � a a • � � .i.#ate.�.#-�.#-#._.-t-• s a _�a APA01/2008 NOTARY BONDS,SUPPLIES AND FORMS AT HTTP://WWW.VALLEY-SIERRA.COM c02005-2008VALLEY-SIERRA INSURANCE BIDDING FORMS BIDDER'S STATEMENT OF QUALIFICATIONS 1. ORGANIZATION 1.1 How many years has your organization been in business as a Contractor? 3 years 1.2 How many years has your organization been in business under its present name? 3 years 1.2.1 Under what other names has your organization operated? 1.3 If your organization is a corporation,answer the following: 1.3.1 Date of incorporationlorganization: 01/2013 1.3.2 State of incorporation/organization: California 1.3.3 Corporate ID number: C 3639359 1.3.4 Name of President: Abdalla Abdelmalak 1.3.5 Agent for Service of Process: 1.4 If your organization is a partnership,answer the following: 1.4.1 Date of organization/formation: 1.4.2 Type of partnership(if applicable): 1.4.3 Name(s)of general partner(s): 1.4.4 List all states in which you are registered and state ID numbers for each: 1.5 If your organization is individually owned,answer the following: 1.5.1 Date of organization: 1.5.2 Name of owner: 1.6 If the form of your organization is other than those listed above,describe it and name the principals: BF13of38 BIDDING FORMS 2. LICENSING 2.1 List jurisdictions in which your organization is legally qualified to do business, indicate registration or license numbers, and category of license,if applicable. License#993684 B-General Building Contractor 2.2 List jurisdictions in which your organization's partnership or trade name is filed. San Bernardino County 2.3 List any licensing suspensions and/or violations assessed against your organization within the past ' five years. N/A i 3. EXPERIENCE I 3.1 List the categories of Work that your organization normally performs with its own personnel. Concrete work. Framing Metal,Insulation, Roofing,Electrical, Plumbing, Flooring_ Finish Carpentry,Teclure&Painting. 3.2 On the Experience Form, list the project information that establishes that Bidder meets the essential requirements for qualification set forth in the Mandatory Qualifications paragraph of the Notice Inviting Bids for this Project. 3.3 On a separate sheet, list projects to which your firm or business has been awarded a government contract since your firm or business has been in existence (giving the name and address of the project,the government agency,contact name and phone number,the contract amount,and contract's starting date and ending date). 3.4 On a separate sheet, list the experience and present commitments of the key individuals of your organization. 4. CLAIMS; LAWSUITS; CRIMINAL ACTS For the following questions,the term "owner"does not include owners of stock in your firm if your firm is a publicly-traded corporation. 4.1 In the past five (5) years, have, you, your firm or any of its owners, partners, officers, or employees been a defendant in court, or participated in an arbitration or mediation, on a matter related to: 4.1.1 The performance, non-performance, default,violation, or breach of a contract or agreement? ❑ YES ® NO BF 14 of 38 BIDDING FORMS 4.1.2 A vehicle collision or accident involving your firm's employees? ❑ YES ® NO I i 4.1.3 Damage to real property arising out of your services or operations? ❑ YES ® NO 4.1.4 Employment-related litigation brought by an employee of your firm? ❑ YES ® NO 4.1.5 Payment to a subcontractor or supplier? ❑ YES ® NO 4.1.6 Defective,deficient,or substandard work? ❑ YES 2 NO If the answer to any questions in 4.1.1 to 4.1.6 is YES, identify the name of the person or entity that sued (i.e., "the plaintiff') or was involved in the mediation or arbitration; list the date,court,court address,and case number; describe the facts and circumstances giving rise to the lawsuit, mediation, or arbitration; and set forth the outcome or disposition. Attach additional sheets as necessary. 4.2 Have you or your firm ever filed a claim for damages or a lawsuit,or requested arbitration or mediation,against a government entity or a Client? I ❑ YES ® NO If YES,identify the government entity or client;list the date,court and case number; describe the facts and circumstances about the claim for damages,or the lawsuit,or both; and set forth the outcome or disposition. Attach additional sheets as necessary. 4.3 Are there any pending or outstanding judgments or liens against you,your firm,or any of its owners,partners,officers,or employees? ❑ YES ® NO If YES,identify the name of the person or entity entitled to payment;list the date court and case number; describe the facts and circumstances giving rise to the judgment or lien; and set forth the amount of the judgment or lien. Attach additional sheets if necessary. 4.4 In the past five (5) years, has any government entity ever: (a) investigated, cited, disciplined, or assessed any penalties against you, your firm, or any of its owners, partners,officers,or employees,or(b)determined or concluded that your firm or any of its owners,partners, officers,or employees violated any laws,rules,or regulations? ❑ YES ® NO BF 15 of 38 BIDDING FORMS i If YES,identify the government entity; list the date,and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 4.5 In the past five(5)years, have you,your firm or any of its owners,partners,officers or I employees been convicted of a crime related to the bidding of a government contract,the awarding of a government contract,or the performance of a government contract? ("Convicted"includes a verdict of guilty by a judge or jury,a plea of guilty,a plea of nolo contendere,or a forfeiture of bail.) ❑ YES ® NO If YES, identify the government entity;list the date,court and case number;describe the facts and circumstances about each instance;and set forth the penalty or punishment imposed. Attach additional sheets as necessary. 4.6 In the past five(5)years,have you,your firm,or any of its owners,partners,officers or employees been convicted of a crime involving embezzlement,theft,fraud,forgery, bribery,deceptive or unlawful business practices,perjury,falsifying or destroying records or evidence,or receiving stolen property,or making or submitting a false claim? ❑ YES ® NO If YES,identify the crime or offense;list the date,court and case number;describe the facts and circumstances about each instance;and set forth the penalty or punishment imposed. Attach additional sheets as necessary. 4.7 Have you or,if Bidder is a corporation,any principal of the corporation ever been convicted of a felony? ❑ YES 0 NO If YES,please explain the details of that conviction and, if so,whether you or said officer have served his or her sentence. 4.8 In the past five(5)years,has a government entity determined or concluded that you,your firm,or any of its owners, partners, officers or employees made or submitted a false claim (including a false claim for payment), or made a material misrepresentation? ❑ YES ® NO If YES, identify the government entity,and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 4.9 Have you or your company ever been charged by any governmental agency for failure to follow safety procedures? If YES,please explain. ❑ YES ® NO BF16of38 BIDDING FORMS 4.10 Has any governmental agency ever submitted a complaint against you or your firm to the California State Labor Commission for failure to submit certified payrolls? If your answer is"Yes",please provide the details of such complaint. ❑ YES ® NO a E 5. FIRM'S OPERATIONAL STATUS 5.1. In the past seven (7) years, has your firm, or anyone else acting on behalf of your firm, filed for bankruptcy,insolvency,receivership,or reorganization? ❑ YES ® NO If YES,list the filing date,identify the court and case number;describe the facts and circumstances giving rise to each instance;and set forth the disposition or current status. Attach additional sheets as necessary. 5.2. In the past five (5) years, has your firm had an consolidations, mergers, acquisitions, closings,layoffs or staff reductions? ❑ YES ® NO If YES,list the filing date,and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 5.3. Is your firm in the process of, or in negotiations toward: (a) consolidating, merging, selling,or closing its business,or(b)laying off employees or reducing staff? ❑ YES 0 NO If YES,describe the transaction; list the anticipated date for completing the transaction, laying off employees,or reducing staff;and describe the facts,circumstances,and reason for taking the action. Attach additional sheets as necessary. 6. BIDDING; DEBARMENT; CONTRACT PERFORMANCE 6.1. Has a government entity ever debarred, disqualified, removed, suspended, or otherwise prevented you or your firm from bidding on, contracting, or completing a construction project? ❑ YES ® NO If YES,identify the name of the government entity, list the date,and describe the facts and circumstances about each instance,and state the reason for the government entity's action against your firm. Attach additional sheets as necessary. BF 17 of 38 BIDDING FORMS 6.2. Has a government entity ever rejected your firm's Bid or Proposal on the ground that you or your firm is a"non-responsible"bidder or proposer? I ❑ YES ® NO If YES,identify the name of the government entity, list the date,describe the facts and circumstances about each instance,and state the reason or basis for the government i entity's determining that your firm was a"non-responsible"bidder. Attach additional sheets as necessary. 6.3. Have you or your firm ever failed to fulfill or perform — either partially or completely — a contract or an agreement with a government entity or a client? i ❑ YES ® NO If YES,identify the name of the government entity or client,list the date,and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 6.4. In the past five(5)years,have you or any officer or principal of your firm been an officer of J another firm which failed to perform a contract or agreement? I C ❑ YES FJ NO If YES, list the date, and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 6.5. Has your firm ever advised a government entity or a client, while your firm was under contract with the government entity or client,that your firm could not(or would not)fulfill or perform — either partially or completely — the contract or the agreement based on the prices that your firm had originally submitted in a Bid or a Proposal? ❑ YES ® NO If YES, list the date,identify the name of the government entity or client,and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 6.6. Has your firm ever requested a government entity or a client, while your firm was under contract with the government entity or client, to renegotiate one or more terms of the existing contract or agreement? ❑ YES ® NO If YES, identify the name of the government entity or client, list the date, and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 6.7. Has your firm ever requested a government entity or a client, while your firm was under contract with the government entity or client, to: (a) cancel the contract or agreement, or (b)release or discharge your firm form the contract or agreement? ❑ YES ® NO BF 18 of 38 i BIDDING FORMS If YES, identify the name of the government entity or client, list the date,and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 6.8. Has a government entity or a client ever terminated, suspended,or non-renewed your firm's contract or agreement before its completion? ❑ YES ® NO If YES,identify the name of the government entity,list the date,and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 6.9. Has a government entity or a client ever notified or advised your firm that your firm's performance under a contract or agreement was poor, sub-standard, deficient, or non- compliant? ❑ YES ® NO If YES, identify the name of the government entity or client, list the date,and describe the facts and circumstances about each instance. Attach additional sheets as necessary. 6.10. In the past five (5) years, has your firm paid, or has your firm been assessed, liquidated damages on a contract or agreement? ❑ YES ® NO If YES, identify all such contracts/projects by owner, owner's address, the date of completion of the project, amount of liquidated damages assessed, and all other information necessary to fully explain the assessment or payment of liquidated damages. Attach additional sheets as necessary. 7. INSURANCE AND BONDS 7.1. In the past ten years, has an insurance company or a surety company: 7.1.1. Refused to insure your firm for liability coverage? ❑YES ® NO 7.1.2. Canceled or non-renewed your firm's insurance coverage? i ❑YES ® NO 7.1.3. Refused to issue your firm a bond? ❑ YES ® NO 7.1.4. Canceled or revoked a bond obtained by your firm? ❑ YES ® NO BF 19 of 38 BIDDING FORMS If the answer to any questions in 7.1.1 to 7.1.4 is YES, identify the name of the insurance company or surety company, list the date, and describe the facts and circumstances about each instance. Attach addition sheets as necessary. 7.2 In the past ten (10) years, has an insurance company or surety company made any payments on your firm's behalf as a result of a default,to satisfy any claims against a performance bond, payment bond,or maintenance bond issued on your firm's behalf? ❑ YES ® NO If YES, identify each contract completed or amount of each claim, the name and jtelephone number of the claimant,the date,grounds and current status of the claim, and if resolved, the method, nature, and amount of the resolution. Attach addition sheets as necessary. 8. SURETY 8.1 If a performance and/or payment bond is required by this bid, identify the bonding company if arrangements for the bond have been made; if not, identify the bonding company for the Contractor's most recent project: Western Surety COMDanv 8.2 Name and address of agent: Milik&Associates Insurance Services 917 S. Village Oaks Dr. Suite 101. Covina CA. 91724 All of the above statements as to experience,financial qualifications,and available plant and equipment are submitted in conjunction with the proposal, as a part thereof, and the truthfulness and accuracy of the information is guaranteed by the Bidder. I hereby certify under penalty of perjury under the laws of the state of CaliforTji.:•.that the representation made herein are true and correct. Signature of Bidder Abdalla Ahdplmalak I BF 20 of 38 ' — r f EC)- w 0 Cl) oo O m O v) D p cD w y n0 C. c O D m y m cn cn A > � =0 0Q D D CD n w `D O a� m cn CD iZ o cUi• o 3 =3 m m 2. fD ca m `CD' o m Ca = c N o CD n y U1 C7 C7 Q_ 61 N O W Z p N N :'"" :3 = CCD (0 i WO 0 � O � 0 . D =O Z7 O N 0 D _ c oL = o o j mn a) 3 v, co r CD cn U) 'n c�0 N CD CD O oo co —n a N C 30 W CD N Oo D ZO cn _0O. (D �' O O O O CD (D cD Z M O CD C O 7 O• O Z 0 w n I — 3 m Of � ZJ c I a CD Ch j m m `� cn 3 m 3 c� c o0 CD m cr o Q n n m cc c 0 p C13 c CD CD � a m m � CD a o CD r- D(D 0 & K 0 CD cn w m n�' Cn m c m •c m m `c rt m c X o " CD '0 U C.0 m fm7 O N N O CD O C N S p A � N `G O `� S N o 0 O O0 t71 O -w Z (D _ p� r CL CL n 0) m c c 73, 3 m c� CD = O CD N O 3 m CCD � cn co ��7 D n m ' -D N N C.Ti d (D N Q 3 N (D 0 Q v cn C7 O m O to w "'." y co N N N CL n? O CD cn N O iU W rt CD n A O (D 4 CL o =" go 0 cn (7(D r C7 n n CD < K am'. O(O 6 P 3 30 � mm � p� CD Tm Cl) 3 m p N r m CD :3 ' 0 ni o D 0 w `Y? n o 0 z 0 CD o m' � ' s cn a m �. CD w 2 a •• m N w LU CD 0 to 07 •=•' C v O N 'O y o 0 o O Co Z W O 0 w Z p G� N coIQC D 0 h o cn w C7 CD cWa CD CDCCDD O OD A �7 � O co v .-t Z CD m BIDDING FORMS CONTRACTOR SAFETY QUESTIONNAIRE Company Name: St. George Groupe, Inc. Primary Type of Work:General Contractor Person Completing Form: Ehab Mina Title: Protect Manager Phone Number: (951)640-1598 Date: 04/13/2016 SAFETY PERFORMANCE 1 List your company's Interstate Experience Rating Modifier(ERM)'for the three most recent years. 2015 1.0 2014 1.0 20 2. List your company's number of injuries/illnesses from your OSHA 300 logs for the three most recent years. 2014 2015 2016 j a. Fatalities 0 0 0 b. OSHA recordable incidents 0 0 0 c. Lost work day incidents 0 0 —n d. Total lost work days 0 0 n e. Total hours worked 0 0 0 3. Please provide copies of the following items(a-g);and Items(d-g)for each listed Subcontractor a). OSHA 300 logs for the most recent three years e). Training Plans and current year-to-date b). Verification of ERM from your insurance carrier f). Training Certificates for Employees c). Injury/Illness Report g). Emergency Response Training d). Complete written Safety Program 4. Company Safety Contact: a.Name Ehab Mina b.Phone (951) 640-1598 i ERM=applies to workers'compensation policies.It compares the experience of this contractor to others of similar size,type and ratio.Used against annual premium.It has a direct correlation to how much the contractor pays in workers'comp premium. BF 22 of 39 I BIDDING FORMS CONTRACTOR SAFETY QUESTIONNAIRE (continued) SAFETY PROGRAM 1. SAFETY PROGRAM DOCUMENTATION a. Do you have a written safety program manual? Ye", 1)Last revision date I b. Do you have a written safety field manual? e No c. Are all workers given a booklet that contains work rules, responsibilities,and other appropriate information? 0No 2. POLICY AND MANAGEMENT SUPPORT a. Do you have a safety policy statement from an officer of No the company? b. Do you have a disciplinary process for enforcement No of your safety program? C. Does management set corporate safety goals? No d. Does executive management review: ©Accident reports? No ®Safety statistics? 9ss No Inspection reports? No e. Do you safety pre-qualify subcontractors? 0 No f. Do you have a written policy on accident reporting Os No and investigation? F g. Do you have a light-duty, return-to-work policy? 1' No h. Is safety part of your supervisor's performance evaluation? No i. Do you have a personal protective equipment(PPE)policy? Y No j. Do you have a written substance abuse program? No If yes,does it include(check all applicable boxes): ® Pre-employment testing ® Return-to-duty testing ® Random testing ❑ Disciplinary process ® Reasonable cause testing ®Alcohol testing ® Post accident testing ❑ National Institute on Drug Abuse ❑ Panel Screen k. Does each level of management have assigned safety No duties and responsibilities? BF 23 of 39 BIDDING FORMS 3. TRAINING AND ORIENTATION a. Do you conduct safety orientation training for each employee? Y No b. Do you conduct site safety orientation for every Y No person new to the job site? c. Does your safety program require safety training meetings? Y No for each supervisor(foreman and above)? How often? Fe]Weekly ❑ Monthly❑ Quarterly ❑Annually ❑ Other d. Do you hold tool box/tailgate safety meetings focused on your specific work operations/exposures? (� No How often? ®Weekly ❑ Daily ❑ Other e. Do you require equipment operation/certification training? Ye-0 4. ADMINISTRATION AND PROCEDURES a. Does your written safety program address administrative procedures? Vs No If yes,check which apply: J Pre project/task planning .�Emergency procedures •/ Record keeping .i Audits/inspections Safety committees •f Accident investigations/reporting _HAZCOM y' Training documentation Substance abuse prevention Hazardous work permits Return-to-work Subcontractor prequalification b. Do you have project safety committees? Y No c. Do you conduct job site safety inspections? 0 No How often? ❑Daily ®Weekly ❑Monthly ❑ Other Do these inspections includes a routine safety inspection of equipment(e.g.,scaffold,ladders,fire extinguishers,etc.)? Y No d. Do you investigate accidents? Y No How are they reported? ❑Total company ❑ By superintendent ❑By project ❑ By project manager ❑By foreman P'l In accordance with OSHA e. Do you discuss safety at all preconstruction and progress meetings? Y No BF 24 of 39 BIDDING FORMS f. Do you perform rigging and lifting checks prior to lifting?0 No ®For personnel ® For equipment Q Heavy lifts(more than 10,000 lbs.) I 5. WORK RULES a. Do you periodically update work rules? Y No When was the last update? 01/31/2016 b. What work practices are addressed by your work rules? ®CPR/first aid ®Access—entrances/stairs ❑Barricades,signs, ❑Respiratory protection and signals ® Blasting ®Material handling/storage ❑ Communications ❑Temporary heat ❑Compressed air and gases ®Vehicle safety ®Concrete work ❑Traffic control Q Confined-space entry ,Q Site visitor escorting ❑Cranes/rigging and hoisting ® Public protection ❑ Electrical grounding ❑ Equipment guards and grounding ® Environmental controls and ❑ Monitoring equipment Occupational health ® Emergency procedures Q Flammable material handling/storage ❑ Fire protection and prevention ❑Site sanitation ® Floor and wall openings ❑Trenching and excavating © Fall protection ❑Lockout/Tagout ❑ Housekeeping ® Energized/pressurized equipment Q Ladders and scaffolds ® Mechanical equipment/ ® Personal protective equipment maintenance/pre-op checks/ ©Tools,power and hand operation ❑ Electrical power lines ®Welding and cutting(hot work) ❑Other 6. OSHA INSPECTIONS a.Have you been inspected by OSHA in the last three years? Yeso b.Were these inspections in response to complaints? Ye4 c. Have you been cited as a result of these inspections? YesoN If yes,describe the citations(add additional sheets if necessary): BF 25 of 39 BIDDING FORMS DESIGNATION OF SUBCONTRACTORS NAME OF BIDDER: St. George Groupe, Inc. Each Bidder must list, on the form provided on the next page, each Subcontractor who will perform work or labor or render service to the Contractor in or about the construction of the Work or improvement, or a Subcontractor licensed in the State of California who, under subcontract to the Contractor, specially fabricates and installs a portion of the Work or improvement according to detailed drawings contained in the Drawings and Specifications, in an amount in excess of one-half of one percent of the Contractor's Base Bid Amount. Each Subcontractor must have an active and current license,and all requisite specialty certifications,when listed. Bidder must provide the following information for EACH Subcontractor. 1. The name of the Subcontractor; 2. The trade and type of work that the Subcontractor will perform; 3. Location(address)of Subcontractor's place of business; 4. Subcontractor's license number;and any specialty licenses;and 5. Dollar value of the Work that the Subcontractor will perform. Subletting or subcontracting of any portion of the Work in excess of one-half of one percent of the Contractor's Base Bid to which no Subcontractor was designated in the original Bid shall only be permitted in cases of public emergency or necessity, and then only after a finding reduced to writing as a public record of the City setting forth the facts constituting the emergency or necessity. If the Contractor violates any of the above provisions the Contractor may be in breach of this Contract and the City may exercise the option, in its own discretion, to (1) cancel this Contract, or(2) assess the Contractor a penalty in an amount not more than ten percent(10%)of the amount of the subcontract involved, and this penalty shall be deposited in the fund out of which the prime Contract is awarded. If the Contractor fails to specify a Subcontractor,or if the Contractor specifies more than one Subcontractor for the same trade or type of Work to be performed under the Contract in excess of one-half of one percent of the Contractor's Base Bid Amount, then the Contractor agrees that he/she is fully qualified to perform that Work himself/herself,and that he/she shall perform that Work himself/herself. If after award of Contract, the Contractor subcontracts any such Work, the Contractor will be subject to the statutory penalties. DESIGNATION OF SUBCONTRACTORS FORM IS ON THE FOLLOWING PAGE BF 26 of 39 BIDDING FORMS DESIGNATION OF SUBCONTRACTORS (continued) Please type or legibly print(attach additional sheets as necessary). Trade and License Dollar($) Name of Subcontractor Type of Work Business Location Number Value to be Performed No Subcontractors ill be used on this 'ob BF 27 of 39 BIDDING FORMS The Contractor shall not: A. Substitute any person as Subcontractor in place of the Subcontractor listed in the original Bid, except that the City may consent to the substitution of another person as Subcontractor in any of the following situations: 1. When the Subcontractor listed in the Bid, after having had a reasonable opportunity to do so,fails or refuses to execute a written contract for the scope of Work specified in the Subcontractor's bid and at the price specified in the Subcontractor's bid, when that written contract, based upon the general terms, conditions, Drawings and Specifications for the Project or the terms of Contractor's written Bid,is presented to the Subcontractor by the Contractor; 2. When the listed Subcontractor becomes insolvent or the subject of an order for relief in bankruptcy; 3. When the listed Subcontractor fails or refuses to perform his/her subcontract; 4. When the listed Subcontractor fails or refuses to meet the bond requirements of the Contractor as set forth in Public Contract Code Section 4108; 5. When the Contractor demonstrates to the City that the name of the Subcontractor was listed as the result of an inadvertent clerical error; 6. When the listed Subcontractor is not licensed pursuant to the Contractors License Law; 7. When the City determines that the Work performed by the listed Subcontractor is substantially unsatisfactory and not in substantial accordance with the Drawings and Specifications, or that the Subcontractor is substantially delaying or disrupting the progress of the Work; 8. When the listed Subcontractor is ineligible to work on a public works project pursuant to Section 1777.1 or 1777.7 of the Labor Code;or 9. When the City determines that the listed Subcontractor is not a responsible contractor. B. Permit any subcontract to be voluntarily assigned or transferred or allow it to be performed by anyone other than the original Subcontractor listed in the original Bid,without the consent of the City. C. Other than in the performance of "change orders" causing changes or deviations from the original Contract, sublet or subcontract any portion of the Work in excess of one-half of one percent of the Contractor's Base Bid Amount as to which his/her original Bid did not designate a Subcontractor. Prior to approval of the Contractor's request for a Subcontractor substitution,the City shall give notice in writing to the listed Subcontractor of the Contractor's request to substitute and of the reason for the request. The notice will be served by certified or registered mail to the last known address of the Subcontractor. The listed Subcontractor who has been so notified shall have five (5) Working Days within which to transmit to the City written objections to the substitution. Failure to file these written objections shall constitute the listed Subcontractor's consent to the substitution. If written objections are filed, the City shall give notice in writing of at least five (5)Working Days to the listed Subcontractor of a hearing by the City on the Contractor's request for substitution. The Contractor, as a condition to asserting a claim of inadvertent clerical error in the listing of a Subcontractor, shall within two (2) Working Days after the time of the Bid Deadline, give written notice to the City and copies of such notice to both the Subcontractor he/she claims to have listed in error and the intended Subcontractor who had bid to the Contractor prior to the Bid Deadline. BF 28 of 39 BIDDING FORMS QUESTIONNAIRE REGARDING SUBCONTRACTORS Bidder shall answer the following questions and submit with his/her Contract proposal. 1. Were bid depository or registry services used in obtaining subcontractors bid figures in order to compute your bid? Yes❑ No 2. If the answer to No. 1 is"Yes", please forward a copy of the rules of each bid depository you used with this questionnaire. 3. Did you have any source of subcontractors'bids other than bid depositories? 4. Has any person or group threatened you with subcontractor boycotts, union boycotts, or other sanctions to attempt to convince you to use the services or abide by the rules of one or more bid depositories? Yes No 5. If the answer to No.4 is"Yes",please explain the following details: (a) Date: (b) Name of person or group: (c) Job involved(if applicable): (d) Nature of the threats: (e) Additional comments: (Use additional paper if necessary) 6. Was a conscious effort made to recruit or provide equal opportunity for bids by minority or project area subcontractors? Yes® No❑ 7. Was a conscious effort made to recruit and hire project area lower-income residents? Yes® No❑ Please submit statement. 8. We declare under penalty of perjury that the foregoing is true and correct. Dated this 13 day of April ,20 16 . All of the above statements as to experience, financial qualifications, and available plant and equipment are submitted in conjunction with the proposal, as a part thereof, and the truthfulness and accuracy of the information is guaranteed by the bidder. Name of Company St. Georg Group rc. By. Abdalla Abdelmalak Title: President BF 29 of 39 BIDDING FORMS CONTRACTOR'S AFFIDAVIT OF NONCOLLUSION STATE OF CALIFORNIA ) COUNTY OF San Bernardino) / - I Abdalla Abdelmalak ._- °= _being first duly sworn,deposes and says: 1. That he/she is the President (Title of office if a corporation, "sole owner,""Partner," or other proper title) of St.George Groupe,Inc. , (hereinafter called "Contractor") who has submitted to the City of Vernon a Bid for the construction of the City Housing Remodel; 2. That said Bid is genuine;that the same is not sham;that all statements of fact therein are true; 3. That said Bid is not made in the interest or behalf of any person, partnership, company, association, organization,or corporation not named or disclosed; 4. That Contractor did not, directly or indirectly induce, solicit, agree, collude, conspire or contrive with anyone else to submit a false or sham bid,to refrain from bidding, or withdraw his/her bid,to raise or fix the Bid price of Contractor or of anyone else, or to raise or fix any overhead profit, or cost element of Contractor's price or the price of anyone else; and did not attempt to induce action prejudicial to the interests of the City of Vernon, or of any other Bidder, or anyone else interested in the proposed Contract; 5. That the Contractor has not in any manner sought by collusion to secure for himself an advantage over any other Bidders or induce action prejudicial to the interests of the City of Vernon or of any other Bidder,or anyone else interested in the proposed Contract; 6. That the Contractor has not accepted any bid from any Subcontractor or material supplier through any bid depository, the bylaws, rules or regulations of which prohibit or prevent the Contractor from considering any bid from any Subcontractor or material supplier, which is not processed through said bid depository, or which prevent any Subcontractor or material supplier from bidding to any Contractor who does not use the facilities of or accept bids from or through such bid depository; 7. That the Contractor did not, directly or indirectly, submit the Contractor's Bid price or any breakdown thereof, or the contents thereof, or divulge information or data relative thereto, to any corporation, partnership,company, association,organization, bid depository,or to any member or agent thereof,or /u /// /u n/ BF 30 of 39 BIDDING FORMS ' Ill to any individual or group of individuals, except to the City of Vernon, or to any person or persons who have partnership or other financial interest with said Contractor in his/her business. I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct, Dated this 13 day of Apr 2016 at Ontario California Month/Year City State Abclalla Contracts (Please Prinl Contractor's Signature President Title CONTRACTOR'S SIGNATURE MUST BE NOTARIZED VIRGINIA GOUIN COMM.#2017871 ` • NOTARY PUBLIC-CALIFORNIA SAN BERNARDINO COUNTY My Comm.Expires April 6,2017 BF 31 of 39 BIDDING FORMS THE BIDDER'S INSURANCE COMPANY(S)OR INSURANCE AGENT MUST COMPLETE THIS FORM AND THE BIDDER MUST SUBMIT THIS CERTIFICATION WITH THE BID FORMS. I, the undersigned (Please check one box) 'l underwriter A agent,certify that I and the Contractor listed below have jointly reviewed the"Insurance Requirements' in these Bidding Documents and the Contract Documents. If the City of Vernon (°City°) awards the Contractor the Contract for this project, I will be able--within fourteen (14) calendar days after the Contractor is notified of the Contract's award—to furnish the City with valid insurance forms(including one or more insurance certificates and additional insured endorsements) that fully meet all of the Insurance Requirements. See attached for requirement revisions _ Colony Insurance Co. 04/13/2016 Name of Insurance Company Date i Milik&Associates Insurance Services Jennifer Reeves iInsurance Agent's Name(Printed) Insurance Agents Name (signature) 917 S.Village Oaks Dr. Suite 101 Covina CA 91724 Address City State Zip Code (877)468-2233 (877) 468-2232 jennifer@milikinsurance.com Telephone Number FAX Number Email Address St. George Groupe, Inc. CS 0602 Contractor's Name City Specification Number Below State the Name of Insurance Company Providing Coverage; DO NOT write'Will Provide,""To Be Determined,'"When Required,"or similar phrases. Colony Insurance Co. NIA Commercial General Liability Automobile Liability State Comp Insurance Fund Workers'Compensation Liability CI!y Will Purchase Policy,If required NIA Builders Risk Pollution Liability [NOTE TO CONTRACTOR; See "Insurance Requirements" EXHIBIT 4 of the Contract for the requirement of obtaining Pollution Liability Insurance.] NOTE TO THE UNDERWRITER/AGENT: If the insurance forms that the Contractor submits to the City do not fully comply with the Insurance Requirements,and/or if the Contractor fails to submit the forms within the 14-day time limit,the City may: (1)declare the Contractor's Bid non-responsive, and(2)award the Contract to the next lowest responsible Bidder. BF 32 of 39 LIVING WAGE COMPLIANCE CERTIFICATION This contract is subject to the City of Vernon's Living Wage Ordinance,Vernon Municipal Code Chapter 2,Article XVIII ("Ordinance"). The Ordinance requires that service contractors providing labor or services to the City by contract in excess of$25,000: ♦ Pay no less than ten dollars and thirty cents ($10.30)per hour with medical benefits,or eleven dollars and fifty-five cents ($11.55)per hour without medical benefits to all employees, as defined in the Ordinance who,at any time,provide labor or delivery services to the City of Vernon. Additionally, on July 1st of each year thereafter the Living Wage rate shall be adjusted by the change in the Federal Bureau of Labor Statistics Consumer Price Index, for the Los Angeles area,for the most recently available 12 month period. Accordingly, current City contractors will be required to adjust wage rates no later than July 1st,to remain in compliance. ♦ Notify employees who spend any of their time providing labor or delivering services to the City of Vernon who make less than twelve dollars ($12)per hour of their possible right to the federal Earned Income Tax Credit(EITC)under§ 32 of the Internal Revenue Code of 1954, 26 U.S.C. § 32, and making available to such employees forms required to secure advance EITC payments. ♦ If there is a difference between the Vernon Living Wage rates and the California Prevailing wage rates for the same classification of labor, the Contractor and subcontractor shall not pay less than the highest wage rate for that classification. The selected contractor will be required to show compliance with the Living Wage Ordinance by submitting payroll records as requested by the City. Each record shall include the full name of each employee performing labor or providing services under the contract;job classification; rate of pay and benefit rate. Provisions of the Living Wage Ordinance may be waived in a bona fide collective bargaining agreement,but only if the waiver is explicitly set forth in clear and unambiguous terms. If this provision applies,you must provide a copy of the collective bargaining agreement to the City. I do hereby certify and declare under penalty of perjury that if awarded the contract for which this bid/proposal is made. St. George Groupe Inc. will comply with the (Name of Company) requirements of the Vernon Living Wage Ordinance,Vernon Municipal Code Chapter 2 Article XVIII and the rules and regulations promulgated thereunder. I understand that failure to comply with the provisions of the Vernon Living Wage Ordinance may result in termination of the contract as well as other penalties as stated in Vernon Municipal Code Chapter 2 Article XVIII. ' Abdalla Abdelm; <- President (Name) (Title) �, __J -�, 04/13/2016 (Signature) (Date) Please return this form with your bid/proposal. Questions concerning the Living Wage Ordinance should be directed to the Department of Finance—Purchasing Division 323.583.8811. BF 33 of 39 OV Veer CERTIFICATE OF EQUAL OPPORTUNITY PRACTICES Purchasing&Payables Division 4305 Santa Fe AvenueVernon,CA 90058 ' (323)583-8811 Fax(323)826-1433 fi Internet: ww-tv.citvofvernon.org/deepartments/finance L�-ELY lm Article I. Affidavit of Equal Opportunity Employment& Non-segregation(Form AA-1) Article 11. Vendor List Questionnaire(Forms AA-2&3) In order to be placed to the City's vendor list and be eligible to receive City business, you must provide the following information except where indicated as "optional." By submitting this form you are declaring under penalty of perjury under the laws of the State of California and the laws of the United States that the information is true and correct. Furthermore,you are certifying that your firm will adhere to equal opportunity employment practices to assure that applicants and employees are not discriminated against because of their race, religion, color, national origin, ancestry, disability, sex or age. And, your firm does not and will not maintain or provide for its employees any segregated facilities at any of its establishments, and that it does not and will not permit its employees to perform their services at any location,under its control,where segregated facilities are maintained. Name of Company: St. George Groupe, Inc. Business Telephone 909-878-7562 Address: 3200 E. Guasti Rd Suite 155 Fax number: 909-878-7563 (optional) City. Ontario State CA Zip 91761 Contact Person Abdalla Abdelmalak E-mail Address st.george_groupe@hotmail.com (optional) Tax ID Number(or Social Security Number) 46-4746464 Remit Address(if different) Please state clearly and concisely the type(s)of goods and services your company provides: General Contractor The following section is OPTIONAL and is for statistical reporting purposes only. Ownership(please check all that apply): African-American Asian Armenian Hispanic Native American Disabled Female BF 34 of 39 0 o > o o o CD � (D C: 0. + G O F CD cr O A � S' 6� CD (D C) A _. n `C CD w (D 0N n r N p� p CCDD 0 CD (D 11 W 0- =a '� G 0 CD O CD CAD CD ":j A p J O O �. O CD I O cCD d c 0 a o m A = A o- En A n p cn n A w O rt O N O CD LoCD p+ . O_ rn i1 Q O In n CD (D �..h �•t CD O (D O N A CD :-! CY O CD C7 `CD ° fAr 0 rs on (D G CD cn ;L O � '•~S' N ' 3 A N ' °Q N 0 Cn �z p p :=F O v CD ° ° °� CD CD ca o o w w Mo a Co Ln N � a 0 O CD m o � (D d -n co CD o � is c co n 0 / 9 % / ICD \ / \ ( m CD 0 § \ > CD C o 3 / ¥ / \ § � & Q » \ k k 0 ± & @ � \ \ \ \ f\ ® 'Cl. /R � � n \ \ ƒ ƒ ® » 3 ƒ \ \ ( = i ° CDB \ ® / / @ E > 2 CD- � 1-1 w El / § § \ \ cr ° (D f ƒ ƒ a ) \ & / $ \ ITI a / \ \ ? ° ® ƒ \ m = BIDDING FORMS i STANDARD FORM OF CONSTRUCTION CONTRACT BETWEEN CITY AND CONTRACTOR This Agreement is made and entered into at Vernon, California this 13 day of April ,20 116 , by and between the CITY OF VERNON, a chartered municipal corporation (hereinafter "City") and , a [insert State of Incorporations corporation (hereinafter "Contractor"),for construction of City Housing Remodel,Contract No.CS-0602. THE PARTIES HERETO AGREE AS FOLLOWS: 1. CONTRACT DOCUMENTS The"Contract Documents"except for modifications issued after execution of this Agreement,shall consist of the following documents which are either attached hereto as exhibits or are incorporated into this Agreement by this reference,with the same force and effect as if set forth at length herein: A. Governmental Approvals including,but not limited to,permits required for the Work; B. This Agreement; C. Exhibit 1—Performance Bond; D. Exhibit 2—Payment Bond; E. Exhibit 3—Maintenance Bond F. Exhibit 4—Insurance Requirements; G. Notice Inviting Bids; H. Instructions to Bidders; I. Bid Forms; J. Designation of Subcontractors;and K. Bidding Addenda Nos. 1 2. SECTION INTENTIONALLY OMMITTED 3. SCOPE OF WORK Within the Contract Time and for the stated Contract Sum, subject to adjustments thereto, and pursuant to the Contract Documents, the Contractor shall perform and provide all necessary: labor; services; supervision; materials; tools; equipment; apparatus; facilities; supplies; tools; permits, inspections, plan BF 37 of 39 BIDDING FORMS checks, and similar Governmental Approvals; temporary utilities; utility connections; and transportation necessary to complete the Work in strict conformity with the Contract Documents for: i City Housing Remodel Contract No. CS-0602 .I 4. TIME FOR PERFORMANCE '. Contract Time. Contractor shall achieve Substantial Completion of the Work within Fo calendar days from the Date of Commencement established in City's written Notice to Proceed ("Contract Time"), subject to adjustment in accordance with the Contract Documents. Contractor shall achieve Final Completion of the Work, within the time established by the Certificate of Substantial Completion issued by the City. The Contract Time may only be adjusted as permitted by this Construction Contract and the General Conditions. Time is of the essence of this Agreement. Except when the Contract Documents state otherwise, time is of the essence in the performance of the Work. Contractor acknowledges that the time limits and deadlines set forth in the Contract Documents are reasonable for Contractor to perform and complete the Work. Liquidated Damages. If Contractor fails to achieve Substantial Completion of the entire Work within the Contract Time for Substantial Completion, Contractor shall pay City as liquidated damages the amount of ($ ) per day for each calendar day occurring after the expiration of the Contract Time for Substantial Completion until Contractor achieves Substantial Completion of the entire Work, as required by Article 3 of the General Conditions of Contract. Contractor Initial here: 5. CONTRACT SUM In consideration of the Contractor's full,complete,timely,and faithful performance of the Work required by the Contract Documents,City shall pay Contractor the sum of dollars/no cents ($ ),payable as set forth in the General Conditions("Contract Sum"). IN WITNESS WHEREOF,the parties have caused this Contract to be executed the date and year first above written. BF 38 of 39 BIDDING FORMS Executed at ,California. [Contractor's Corporate Seal] [Contractor]: l By: An Authorized Signatory Printed Name: Title: Date: CITY OF VERNON: APPROVED AS TO FORM: By: By: Name: Name: Title: Title: Date: ATTEST: By: Name: Title: CONTRACTOR'S SIGNATURE MUST BE NOTARIZED BF 39 of 39 } 1 II i 4 � �Y PUBLIC WORDS, WATER & DEVELOPMENT SERVICES 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 Fax (323)826-1435 April 7,2014 Via e-mail and UPS NOTICE TO BIDDERS—ADDENDUM NO. 1 CITY HOUSING IMPROVEMENTS CONTRACT NO.CS-0602 IN THE CITY OF VERSION,CALIFORNIA This notice shall be considered as Addendum No. 1 to the Specifications for the above-mentioned project and modifies the original Specifications and Contract Documents,as noted below.Portions of the Contract,not specifically mentioned in the Addendum,remain in force. Bid Fonn and Project Specifications: In the BIDDNG FORMS,page BF 22 of 38,the form titled Contractor Safety Questionnaire is to be amended as follows: 1. Section No. 3 of the abovementioned questionnaire shall be omitted. Bidders shall acknowledge rece.il2t of this addendum on page BF 1 of 38 of the BIDDER'S PROPOSAL, s��tiou B, If you have any questions,please call Felix Velasco of my staff at(323)583-8811 extension 318. Sincerely, Derek Wieske, P.E. Director of Public Works,Water, &Development Services D W/fv c:City Clerk i E.zcfusively Industrial RECEP ?ED RECEIVED MAY 1 12'O'S MAY 11 2016 CITY C ,- OFFICE CITY ADMINISTRATION STAFF REPORT O� s-o �y PUBLIC WORKS, WATER & DEVELOPMENT SERVICES DEPARTMENT DATE: May 17,2016 TO: Honorable Mayor and City Council FROM: Derek Wieske. birretor of Public Works, Water and Development Services Department Originator: Claudia Arellano, Stormwater & Special Projects Analyst 6C RE: Resolution Urging the Los Angeles County Metropolitan Transportation Authority to Modify the Proposed Measure R2 Local Return Funding Allocation for Local Transportation Infrastructure Recommendation A. Find that the approval of the proposed resolution in this staff report is exempt under the California Environmental Quality Act (CEQA) in accordance with Section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and B. Approve the resolution urging the Los Angeles County Metropolitan Transportation Authority(Metro)to modify the proposed Measure R2 Local Return funding allocation for local transportation infrastructure. Background The City of Vernon has 49.1 miles of paved roads to be maintained including several major arterial roadways that serve regional goods movement from the Ports of Los Angeles and Long Beach, public transit and personal transportation needs of surrounding communities. Serving as a vital economic engine in the region,the City of Vernon houses more than 1,800 businesses that employ approximately 50,000 people and the City of Vernon needs steady funding for local transportation infrastructure. However, transportation funding,such as Measure R is currently allocated on a per capita basis. Consequently, the City of Vernon does not receive an adequate share of these funds due to the City's small population. The City of Vernon's most recent Pavement Management Needs Assessment sets our backlogged street pavement repair funding needs at approximately $18.1 million over the next 5 years. Measure R Measure R is funded with 1/2-cent sales tax revenues that Los Angeles County voters approved in November 2008 to meet the transportation needs of Los Angeles County. Collection of the tax began on July 1, 2009. Fifteen percent (15%) of the Measure R tax is designated for the Local Return ("LR") Program to be used by cities and the County of Los Angeles ("Jurisdictions"). Metro allocates and distributes LR funds monthly to Jurisdictions on a per capita basis. This is also the case for other local transportation revenues, such as Proposition A and Proposition C. Consequently, the City of Vernon must fund its street maintenance projects using general fund revenue. The Measure R Ordinance specifies that LR funds are to be used for transportation purposes and revenues distributed to Jurisdictions may only be used for transportation purposes. The 2008 Measure R Ordinance directs Metro to develop LR Guidelines, including administrative requirements. Measure R's LR funding allocation is allocated for major street resurfacing, rehabilitation and reconstruction;pothole repair; left turn signals; bikeways;pedestrian improvements; streetscapes; signal synchronization; and transit on a per capita basis. As such the City of Vernon's Measure R LR funding allocation is minimal (approximately $2,300/year). In the past, the City of Vernon opted out of receiving Measure R funding because the cost of the application process outweighed the funding due to the City of Vernon. Proposed Measure R2 Los Angeles County is expected to grow by 2.4 million people by 2057 to a population of 12.5 million. Metro is updating its Long Range Transportation Plan (LRTP) to enhance mobility and quality of life for Los Angeles County to position the region for future growth and meet transportation needs. Metro is considering a ballot measure for November 2016 that would augment the Measure R with a new half-cent sales tax, and extend the current Measure R tax rate to 2057. This ballot measure is commonly known as Measure R2, or the potential ballot measure (PBM). The State Legislature passed SB 767 (de Leon) on September 15, 2015,which authorized Metro to place a transportation measure on the ballot for voters' consideration and the Governor announced his approval on October 7, 2015. Measure R2 is estimated to generate $19.1 billion during the term(FYI 8 - FY57)of the proposed new sales tax and it is important to note that the recommended funding allocation of 16% for LR results in a more than doubling of existing Measure R LR funds between FYI 8 and FY39 and extends the tax for another 18 years. Specifically, beginning in FYI 8, the proposed new funding allocation of 16% for LR will be added to the 15% Local Return currently generated by Measure R. The amount of local funds will exponentially grow beyond that during the later years of the new Measure R2 (2039-2057). Measure R2 LR allocation is estimated to generate over $136 million in FY18. With a countywide population of over 10 million the average per capita is$13.43. According to Metro's LRTP draft expenditure plan Measure R2 LR funding will be allocated on a per capita basis. The Jurisdictions are responsible for building, improving, operating and maintaining much of the transportation infrastructure throughout Los Angeles County; as mentioned above a 15% local return allocation of the existing %Z cent Measure R sales tax provides a key revenue source for critical needs, such as, potholes, curb cuts, sidewalks, and active transportation projects. However, as noted above the LR for Measure R2 is allocated by population, which staff does not believe is equitable to the cities in Los Angeles County. Cities with small populations such as the City of Vernon have significant transportation infrastructure improvement needs and adequate funding should be provided to enable the small population cities to effectively maintain their transportation infrastructure. The following table is an example of the disparity of local funding allocations based on per capita vs. miles of roads to be maintained. 2017 Annual Measure R Local Return Revenue (:ity Population Public Road Mileage Allocation Bell 3 ,135 37.43 $419,067 Bell Gardens 42,875 43.56 $497,232 Hermosa Beach 19.772 47.30 $229,301 Commerce 13.060 67.26 $151,460 Signal Hill 11,585 37.48 $1 34,.354 Vernon 200 47.20 $2,300 (opted out) As a vital economic engine to the region the City of Vernon businesses generate an average of $507 million in sales tax annually to the State. As such, it is imperative that the City of Vernon urge Metro to modify the proposed Measure R2 LR funding allocation for local transportation infrastructure, which is equitable to the Jurisdictions including small population cities such as the City of Vernon. Fiscal Impact There is no fiscal impact with the approval of the proposed resolution urging Metro to modify Measure R2 local return funding allocation for local transportation infrastructure. Attachment 1) Proposed resolution RESOLUTION NO . A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON URGING THE LOS ANGELES COUNTY METROPOLITAN TRANSPORTATION AUTHORITY TO MODIFY THE PROPOSED MEASURE R2 LOCAL RETURN FUNDING ALLOCATION FOR LOCAL TRANSPORTATION INFRASTRUCTURE WHEREAS, the City of Vernon (the "City") is a municipal corporation and a chartered city of the State of California organized and existing under its Charter and the Constitution of the State of California; and WHEREAS, the City has 49 . 1 miles of paved roads to be maintained including several major arterial roadways that serve regional goods movement from the Ports of Los Angeles and Long Beach, public transit and personal transportation needs of surrounding communities; and WHEREAS, serving as a vital economic engine in the region the City needs steady funding for local transportation infrastructure; and WHEREAS, transportation funding, such as Measure R, is allocated on a per capita basis, and consequently, the City does not receive an adequate share of these funds due to the City' s small population; and WHEREAS, Measure R is funded with ',� cent sales tax revenues that Los Angeles County voters approved in November 2008 to meet the transportation needs of Los Angeles County; and WHEREAS, fifteen percent (150) of the Measure R tax is designated for the Local Return Program to be used by the 88 incorporated cities in the County of Los Angeles (the "County") and the County itself (together, the "Jurisdictions") ; and WHEREAS, the Los Angeles County Metropolitan Transportation Authority ("Metro") allocates and distributes Local Return funds monthly to Jurisdictions on a per capita basis; and WHEREAS, Measure R' s Local Return funding allocation is allocated for major street resurfacing, rehabilitation and reconstruction; pothole repair; left turn signals; bikeways; pedestrian improvements; streetscapes; signal synchronization; and transit on a per capita basis; and WHEREAS, due to the per capita allocation formula, the City of Vernon' s Measure R Local Return funding allocation is minimal (approximately $2, 300/year) ; and WHEREAS, Metro is considering a ballot measure for November 2016, commonly known as Measure R2, that would augment Measure R with a new half-cent sales tax and extend the current Measure R tax rate to 2057; and WHEREAS, the State Legislature passed SB 767 (de Leon) on September 15, 2015, which authorized Metro to place a transportation measure on the ballot for voters' consideration; and WHEREAS, the Governor announced his approval on October 7, 2015, making it effective January 1, 2016; and WHEREAS, the Jurisdictions are responsible for building, improving, operating and maintaining much of the transportation infrastructure throughout the County; as mentioned above, a 150 local return allocation of the existing 1,� cent Measure R sales tax provides a key revenue source for critical needs, such as potholes, curb cuts, sidewalks, and active transportation projects; and WHEREAS, Measure R2 is estimated to generate $19. 1 billion during the term of the proposed new sales tax; and WHEREAS, it is important to note that the recommended funding - 2 - allocation of 16% for Local Return results in a more than doubling of existing Measure R Local Return funds between FY18 and FY39 and extends the tax for another 18 years; and WHEREAS beginning in FY18, the proposed new funding allocation of 16% for Local Return will be added to the 15% Local Return currently generated by Measure R and the amount of local funds will exponentially grow beyond that during the later years of the new Measure R2; and WHEREAS, the City of Vernon urges Metro to modify the proposed Measure R2 Local Return funding allocation for local transportation infrastructure, which is equitable to the Jurisdictions, including small population cities such as the City of Vernon; and WHEREAS, by memorandum dated May 17, 2016, the City' s Director of Public Works, Water and Development Services has recommended that the City urge Metro to modify Measure R2' s Local Return funding allocation for local transportation infrastructure, which is equitable to the Jurisdictions including small population cities such as the City of Vernon. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS : SECTION 1 : The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct . SECTION 2 : The City Council of the City of Vernon finds that this action is exempt under the California Environmental Quality Act (CEQA) , in accordance with Section 15061 (b) (3) , the general rule that CEQA only applies to projects that may have an effect on the environment . 3 - SECTION 3 : The City Council of the City of Vernon hereby urges the Los Angeles County Metropolitan Transportation Authority to modify the proposed Measure R2 Local Return funding allocation for local transportation infrastructure in a manner that is equitable to the Jurisdictions, including small population cities such as the City of Vernon. SECTION 4 : The City Clerk, or Deputy City Clerk, of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, or Deputy City Clerk, of the City of Vernon shall cause this resolution and the City Clerk' s, or Deputy City Clerk' s, certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 17th day of May, 2016. Name : Title : Mayor / Mayor Pro-Tem ATTEST: City Clerk / Deputy City Clerk APPROVED AS TO FORM: /;7� BriaV dyun, Deputy City Attorney - 4 - STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES ) I, City Clerk / Deputy City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. , was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, May 17, 2016, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this day of May, 2016, at Vernon, California. City Clerk / Deputy City Clerk (SEAL) - 5 -