HomeMy WebLinkAboutHuntington Beach Downtown Business Improvement District - 2013-09-16Dept ID PW 13-062 Page 1 of 2
Meeting Date 9/16/2013
CITY OF HUNTINGTON BEACH
REQUEST FOR CITY COUNCIL ACTION
MEETING DATE- 9/16/2013
SUBMITTED TO- Honorable Mayor and City Council Members
SUBMITTED BY- Fred A Wilson, City Manager
PREPARED BY: Travis K Hopkins, PE, Director of Public Works
Kellee Fritzal, Deputy Director of Economic Development
SUBJECT: Approve and authorize execution of a Memorandum of Understanding (MOU)
with the Huntington Beach Downtown Business Improvement District (HBDBID)
delegating authority to the HBDBID for cleaning and maintenance within the
HBDBID boundaries downtown
Statement of Issue The City of Huntington Beach and the Huntington Beach Downtown Business
Improvement District (HBDBID) propose to enter into a Memorandum of Understanding delegating
authority to the HBDBID for cleaning and maintenance within the HBDBID boundaries downtown
Financial Impact Funds in the amount of $154,000 are budgeted in Landscape Maintenance
account number 10085602 64620 for fiscal year 2013/14
Recommended Action Approve and authorize the Mayor and City Clerk to execute the
"Memorandum of Understanding between the City of Huntington Beach and the Huntington Beach
Downtown Business Improvement District "
Alternative Action(s) Do not approve the Memorandum of Understanding and direct staff to
proceed differently
Analysis In June of 2009, City Council approved a Memorandum of Understanding between the
City and the HBDBID delegating authority for certain cleaning and maintenance services within the
HBDBID boundaries downtown The program includes
• Day porter services
• Cleaning of sidewalks and gutters
• Scrubbing of sidewalks with scrubber or high pressure/low volume washer with recapture
unit process known as zero discharge (regulated state and federal guidelines - Title 22)
• Remove gum from surfaces
• Clean trash can lids as needed
• Address minor graffiti issues in conjunction with the city
The 2009 MOU provided a one-year pilot program and three years of service following the
successful pilot The HBDBID has provided maintenance management that is efficient and
responsive during the initial four years of the program Based on this success, staff is proposing a
Item 11. - 1 HB -220-
Dept ID PW 13-062 Page 2 of 2
Meeting Date 9/16/2013
new MOU effective October 1, 2013, for an additional three-year term with annual renewal
(cancellable with 30-days notice at any time)
The new MOU proposes to expand the service area to include
5th Street between Olive Avenue and Orange Avenue (west side only)
5th Street between Walnut Avenue and Olive Avenue (east and west side)
The highlighted areas on the map included as Exhibit A of the MOU are the areas where services
are provided The areas on 5th Street marked in red indicate the new service areas added with this
MOU
Environmental Status Not applicable
Public Works Commission Action Not required
Strategic Plan Goal Improve the City's infrastructure
Attachment(s)
1 Memorandum of Understanding Between The City Of Huntington Beach And The Downtown
Business Improvement District
HB -221- Item 11. - 2
MEMORANDUM OF UNDERSTANDING
BETWEEN THE CITY OF HUNTINGTON BEACH AND THE
DOWNTOWN BUSINESS IMPROVEMENT DISTRICT
This Memorandum of Understanding (the "MOU") is entered into by and between the
City of Huntington Beach (hereinafter "the City"), a California municipal corporation, and the
Huntington Beach Downtown Business Improvement District (hereinafter "HBDBID"), a
California non-profit corporation, for the cleaning of the sidewalks, plazas and paseos on
Main Street within the HBDBID boundaries
RECITALS
WHEREAS, the City and HBDBID have a common interest of providing and
enhancing tourist experiences in the downtown along with increased maintenance, cleanliness
and preservation of Main Street, and
The City has expended sigmficant resources toward the improvement of the sidewalks
and general appearance of the City's downtown areas, including the Main Street area, through
the installation of sidewalks, street lighting, aesthetic improvements and displays, and
The City and the HBDBID have a common interest in protecting, promoting and
maintaining the downtown as a healthy and growing area for commerce and an attractive and
safe place for public enjoyment, and
The HBDBID has expertise and opportunity to provide maintenance management that
is necessary to keep the City's Main Street area of the BID attractive, clean and safe, and the
HBDBID is willing to enter into an agreement with the City to carry out those objectives, and
The City has identified processes necessary to satisfy its contracting requirements
when employing maintenance management contractors, including, pursuant to Charter section
612, it will not require the payment of prevailing wages for street and sidewalk cleaning
services, and
The City and the HBDBID have met to discuss maintenance standards within the
downtown area of Huntington Beach, specifically portions of Main Street described herein
and identified ways to accomplish their mutual objectives of providing enhanced cleaning and
information in the downtown area As a result, the parties have committed to work toward the
achievement of those mutual objectives
NOW THEREFORE, based on the foregoing Recitals, the City and the HBDBID
agree as follows
13-3880/100803 1
RESPONSIBILITIES OF THE HBDBID
The HBDBID shall, in general, provide, either directly or indirectly (i e via an
agreement with a duly -qualified contractor or contractors) for the enhanced maintenance of
certain downtown areas as well as "day porter" services
Specific maintenance services to be provided include, but are not limited to
GEOGRAPHIC AREA
• Main Street from Pacific Coast Highway (PCH) to Pecan Avenue
(Excluding the third block on the west side of Main Street)
• Walnut Avenue between 3rd Street and 5th Street
• Olive Avenue between 3rd Street and 5th Street
(Excluding the third block on the west side of Main Street)
• Orange Avenue between 3rd and 5th Street
(Excluding the third block on the west side of Main Street)
• Main Street from North of Orange Avenue and Pecan Street
• 5`h Street between Olive Avenue and Orange Avenue (west side only)
• 5`h Street between Walnut Avenue and Olive Avenue (east and west side)
See map (attached hereto as Exhibit A and incorporated hereby by reference)
Maintain as needed:
• The Public Right of Ways on PCH between the El Don Liquor building and
Oceanview Promenade
• The Public Right of Way between Oceanview Promenade and Perq's
• The Z-Park Area
• The alley between the second block west of Main Street and 5`h Street
• The alley between the third block east of Main Street and 3rd Street
DAY PORTERS FOR MAIN STREET (PCH TO ORANGE AVENUE)
• Commumcation either by radio or cell phone with BID designee
• Must be able to respond to immediate cleaning issues
• Day porter must be easily identified by the public with bright shirt color and surf
emblem name tag
• Day porter should be aware of all ground floor retail/store/service locations
• Coordinate hours with the Huntington Beach Downtown Business Improvement
District (HBDBID) May require change of shift hours or, in some cases, extended
hours
• Ensure that areas identified herein are cleaned by close of any events.
DAILY
• Clearing of debris and clutter from sidewalks and gutters
• Clean all debris by tree wells, planters
13-3880/100803 2
• Monitor exterior of City -owned cigarette ash receptacles
• Clean the top lids of trash receptacles
AS REQUIRED
• Cleaning of sidewalks and gutters
• Clean out exterior of trash can receptacles
• Scrubbing of sidewalks with scrubber or high pressure/low volume washer with
recapture unit process known as zero discharge (regulated state and federal
guidelines - Title 22)
• Remove gum from surfaces
• Clean trash can lids as needed
• Address minor graffiti issues (stickers on trash, signs, etc , and report major
graffiti issues to the City, in conjunction with City staff)
• Conduct inspections of maintenance work
Schedules and other details regarding the above mentioned tasks shall be determined by the
HBDBID and contractor and set forth in a writing that must be approved by the Director of
Public Works or his/her designee
2 RESPONSIBILITIES OF THE CITY
Under this MOU, the City
A Will provide an employee from the Public Works Department to assist the
HBDBID with questions that may arise from time to time
B Will conduct informal inspections on a weekly basis to determine whether the
tasks contemplated in this MOU are being accomplished
C Will conduct a formal inspection with a HBDBID representative on a monthly
basis
D Will review maintenance invoices from the HBDBID and the selected vendor
on a monthly basis
3 DISBURSEMENT OF FUNDING
At the sole discretion of the City, One Hundred Fifty-four Thousand Dollars
($154,000) in Fiscal Year 2013/2014 may be appropriated to fund this program A portion of
the funding (if any) shall be available to the HBDBID on a monthly basis The HBDBID may
request reimbursement as follows
A The City may provide payment upon execution of this MOU, which includes
cost of maintenance and administrative fees. After the first month, the
HBDBID may submit a reimbursement request for costs incurred by the
HBDBID for performing services hereunder Such reimbursement requests
13-3880/100803 3
shall be in a form acceptable to the City, and include substantiation for
amounts requested, including copies of invoices and other documentation as
may be required by the City
B The fee for administration of this MOU shall not exceed 15% (fifteen percent)
of the total contract amount in any given year In the event the contract
amount (One Hundred Fifty -Four Thousand Dollars ($154,000) increases
beyond the two percent in any given year, the City may at its sole discretion
either limit the administrative fee to a two -percent increase above the original
contract amount of One Hundred Fifty -Four Thousand Dollars ($154,000)
(compounded from any additional increase) or provide ten percent of One
Hundred Fifty -Four Thousand Dollars ($154,000) for that year
C Upon receipt of such a reimbursement request, the City shall review the
request, and upon approval, which may be withheld at the sole discretion of the
City, issue reimbursement to the HBDBID within thirty (30) days after receipt
of the request
D The HBDBID must have a bank account to deposit funds contemplated herein
that is separate from other funds The account number shall also be provided
to the City in order to deposit monies electronically
E If the City, at its sole discretion, decides that the reimbursement request is
without ment (in whole or in part), then, within fifteen (15) days after receipt
of the reimbursement request, the City will notify the HBDBID in writing the
reason for the denial together with any partial payment if applicable
F In no case shall the total amount reimbursed to the HBDBID for the services
performed hereunder during any fiscal year exceed the amount appropriated
for these purposes by the City Council
G In the event the City denies a reimbursement request in whole or in part, the
HBDBID shall be responsible for any and all cost incurred by third -party
contractor(s) or subcontractor(s) in performing services contemplated herein
In future fiscal years, City may consider funding for the services contemplated under
this MOU However, appropriation of such funding, in whole or in part, is at the sole
discretion of the City In the event City decides not to fund the program, this MOU will
terminate with no further obligations including payment by the City (as provided in Section
8) To assure that the City is not obligated to contractors or subcontractors of the HBDBID,
any agreements entered into between the HBDBID and contractors shall include a clause that
requires termination of the agreement between HBDBID and any contractor or subcontractor
(if any) if the City ends this MOU (in addition to the indemnification, hold harmless and
insurance requirements)
13-3880/100803 4
4 INDEMNIFICATION, DEFENSE, HOLD HARMLESS
HBDBID hereby agrees to protect, defend, indemnify and hold harmless City, its
officers, elected or appointed officials, employees, agents, and volunteers from and against
any and all, claims, damages, losses, expenses, judgments, demands defense costs, and
incidental or consequential damage or liability of any kind or nature, however caused,
including third -parry contract liability or those resulting from death or injury to HBDBID's
employees and damage to HBDBID's property, arising directly or indirectly out of the
obligations or operations herein undertaken by HBDBID, caused in whole or in part by any
negligent act or omission of the HBDBID, any subcontractors, anyone directly or indirectly
employed by any of them or anyone for whose acts any of them may be liable, including but
not limited to concurrent active or passive negligence, except where caused by the active
negligence, sole negligence, or willful misconduct of the City HBDBID will conduct all
defense at its sole cost and expense and City shall approve selection of HBDBID's counsel
This indemnity shall apply to all claims and liability regardless of whether any insurance
policies are applicable The policy limits do not act as a limitation upon the amount of
indemnification to be provided by HBDBID
5 WORKERS' COMPENSATION AND EMPLOYER'S LIABILITY
INSURANCE
Pursuant to California Labor Code Section 1861, HBDBID acknowledges awareness
of Section 3700 et seq of this Code, which requires every employer to be insured against
liability for workers' compensation, HBDBID covenants that it will comply with such
provisions prior to commencing performance of the work hereunder
HBDBID shall require all subcontractors to provide such workers' compensation and
employer's liability insurance for all of the subcontractors' employees. HBDBID shall furnish
to City a certificate of waiver of subrogation under the terms of the workers' compensation
and employer's liability insurance and HBDBID shall similarly require all subcontractors to
waive subrogation
6. INSURANCE
In addition to the workers' compensation and employer's liability insurance and
HBDBID's covenant to defend, hold harmless and indemnify City, HBDBID shall obtain and
furnish to City, a policy of general public liability insurance, including motor vehicle
coverage covering the Project/Service This policy shall indemnify HBDBID, its officers,
employees and agents while acting within the scope of their duties, against any and all claims
ansing out or in connection with the Project/Service, and shall provide coverage in not less
than the following amount combined single limit bodily injury and property damage,
including products/completed operations liability and blanket contractual liability, of One
Million Dollars ($1,000,000) per occurrence If coverage is provided under a form which
includes a designated general aggregate limit, the aggregate limit must be no less than One
Million Dollars ($1,000,000) for this Project/Service This policy shall name City, its
officers, elected or appointed officials, employees, agents, and volunteers as Additional
13-3880/100803 5
Insureds, and shall specifically provide that any other insurance coverage which may be
applicable to the Project/Service shall be deemed excess coverage and that HBDBID's
insurance shall be primary -
Under no circumstances shall said above -mentioned insurance contain a self -insured
retention without the express written consent of CITY, however an insurance policy
"deductible" of $5,000 00 is permitted
7 CERTIFICATES OF INSURANCE, ADDITIONAL INSURED
ENDORSEMENTS
Prior to commencing performance of the work hereunder, HBDBID shall furnish to
City certificates of insurance subject to approval of the City Attorney evidencing the
foregoing insurance coverages as required by this MOU, the certificates shall
a provide the name and policy number of each carrier and policy,
b state that the policy is currently in force, and
c promise to provide that such policies will not be canceled or modified without
thirty (30) days' prior written notice of City
HBDBID shall maintain the foregoing insurance coverages in force until the work
under this MOU is fully completed and accepted by City
The requirement for carrying the foregoing insurance coverages shall not derogate
from the HBDBID's defense, hold harmless and indemnification obligations as set forth under
this MOU City or its representative shall at all times have the right to demand the original or
a copy of all the policies of insurance HBDBID shall pay, in a prompt and timely manner,
the premiums on all insurance hereinabove required
HBDBID shall provide a separate copy of the additional insured endorsement to each
of HBDBID's insurance policies, naming City, its officers, elected and appointed officials,
employees, agents and volunteers as Additional Insureds, to the City Attorney for approval
prior to any payment hereunder
8 TERMINATION AND RENEWAL
HBDBID, upon the default hereunder by the City, may terminate this MOU by
providing at least thirty -days' (30-days') written notice to the City Services provided
hereunder shall continue until the date of termination Reimbursement for said services may
be requested by the HBDBID up to ninety (90) days after the date of termination Any and all
reimbursement requests not received by that date shall not be reimbursed and neither party
shall have any further obligation hereunder
City may terminate this MOU with or without cause at its sole discretion and at any
time by providing at least thirty (30) days' written notice to the HBDBID
13-3880/100803 6
In the event either party terminates this agreement, the HBDBID shall be responsible
for any and all incurred costs remaining to contractors or subcontractors entered into to
further this MOU In addition, the HBDBID will immediately return any unused funds
disbursed by the City in furtherance of this MOU
In the event of termination, the HBDBID will no longer be responsible for the -
downtown maintenance contemplated in this agreement
The term of this MOU shall be three years, commencing on October 1, 2013, unless
terminated as provided herein Should HBDBID and City fully and faithfully perform all the
terms and conditions of this MOU for the full term the MOU shall automatically renew on an
annual basis for a period not to exceed one year from the effective date of this MOU, unless
earlier terminated as provided herein. Should the HBDBID choose not to renew this MOU
for an additional one year term, written notice shall be provided to the City at least ninety (90)
days prior to the expiration of the term (not withstanding either parties' ability to terminate
the agreement as provided above)
9 DEFAULT AND CURE
Should either party allege default by the other party of its obligations hereunder, then
the alleging party shall provide a written notice ("Notice of Default") to the other party
("Defaulting Party") including a description of the default and recommended actions to cure
said default The Defaulting Party shall, in good faith, attempt to cure the default within 15
days of receipt of the Notice of Default
Failure to cure the default to the reasonable satisfaction of the other party shall be
cause for termination of this MOU under Section E hereof
10 INTENT
The City and the HBDBID are committed to actively pursuing the items specified
within this MOU toward the increased vitality of the Downtown area of Huntington Beach
The parties agree the general terms of services set forth in this MOU form the basis for the
specific maintenance services required and which shall be developed by the City, HBDBID,
and the contractor employed to perform specific maintenance services
13-3880/100803 7
11 EFFECTIVE DATE
The effective date of this MOU shall be the date it is signed on behalf of the City and
Agency or October 1, 2013, whichever is sooner
IN WITNESS WHEREOF, the parties hereto have caused this MOU to be executed by
and through their authorized officers on 2013
HUNTINGTON BEACH DOWNTOWN
BUSINESS IMPROVEMENT DISTRICT
By:
print name
ITS (circle one) Chairman/Presiden ice President
AND
By
print name
ITS (circle o S cret Chief Financial
Officer/Asst Secretary - Treasurer
REVIE APPROVED
//1"yManager
CITY OF HUNTINGTON BEACH, a
municipal corporation of the State of
CalifMia, a _.
Mayor
fNh
INITIATED AND APPROVED
irector of Public orks
APPROVED ASTOFORM
City Attorne
Exhibits
A Map of the Downtown Business Improvement District
13-3880/100803
L
Legend
z park
/® Sidewalk and street
boundaries/Sidewalk
Steaming
Alley
_ 10 fC Public Right of Way
City of Huntington Beach
2000 Main Street ♦ Huntington Beach, CA 92648
(714) 536-5227 ♦ www.huntingtonbeachca.gov
Office of the City Clerk
Joan L. Flynn, City Clerk
September 18, 2013
Huntington Beach Downtown Business Improvement District
315 — Third St
Huntington Beach, CA 92648
To Whom It May Concern
Enclosed for your records is a copy of "Memorandum of Understanding Between the City
of Huntington Beach and the Downtown Business Improvement District "
Sincerely,
Joan L Flynn, CIVIC
City Clerk
JF pe
Enclosure
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