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Home My WebLink About2017-02-21 Agenda Packet FRED A. WILSON City Manager MICHAEL E. GATES City Attorney ROBIN ESTANISLAU City Clerk ALISA CUTCHEN City Treasurer AGENDA Tuesday, February 21, 2017 CITY COUNCIL/PUBLIC FINANCING AUTHORITY CITY OF HUNTINGTON BEACH 4:00 PM - Study Session 6:00 PM - Regular Meeting Council Chambers - 2000 Main Street Huntington Beach, CA 92648 http://www.huntingtonbeachca.gov MAYOR AND CITY COUNCIL BARBARA DELGLEIZE Mayor MIKE POSEY PATRICK BRENDEN Mayor Pro Tem Councilmember JILL HARDY WILLIAM O’CONNELL Councilmember Councilmember ERIK PETERSON LYN SEMETA Councilmember Councilmember MEETING ASSISTANCE NOTICE - AMERICANS WITH DISABILITIES ACT In accordance with the Americans with Disabilities Act the following services are available to members of our community who require special assistance to participate in City Council meetings. If you require special assistance, 48-hour prior notification will enable the city to make reasonable arrangements. To make arrangements for an assisted listening device (ALD) for the hearing impaired, American Sign Language interpreters, a reader during the meeting and/or large print agendas, please contact the City Clerk’s Office at (714) 536-5227, or request assistance from the Sergeant-at-Arms at the meeting. CITY COUNCIL/PUBLIC FINANCING AUTHORITY The City Council/Public Financing Authority of the City of Huntington Beach will regularly convene in joint session on the first and third Monday of each month for the purpose of considering agenda items. The Huntington Beach Successor Agency, Housing Authority, Parking Authority and Civic Improvement Corporation are also agencies on which the Council serves as members. On each agenda these agencies may have items scheduled. CITY COUNCIL AGENDA The City Council agenda and supporting documentation is made available for public review during normal business hours in the Office of the City Clerk, 2000 Main Street immediately following distribution of the agenda packet to a majority of the City Council. Packet delivery typically takes plan on W ednesday afternoons prior to the regularly scheduled meeting on Monday. The agenda packet is posted on the city’s website at http://www.huntingtonbeachca.gov/Government/agendas/. Questions on agenda items may be directed to the City Clerk’s Office at (714) 536-5227. AUDIO/VIDEO ACCESS TO CITY COUNCIL MEETINGS City Council meetings are televised live on cable TV Channel 3, and can be viewed via live or archived web cast at http://www.huntingtonbeachca.gov/Government/agendas/. SUPPLEMENTAL COMMUNICATION Staff and members of the public have the opportunity to submit information related to an agenda item following distribution of the agenda packet to the City Council. This information is identified as “Supplemental Communication” and is assembled into a packet by the City Clerk on the day of the City Council meeting. The Brown (Open Meetings) Act requires that copies of Supplemental Communication be made available to the public immediately upon distribution of material to a majority of the City Council. Communication received by any individual at the meeting will be made available to the public in the City Clerk’s Office the following morning. AWARDS AND PRESENTATIONS Awards, presentations, and proclamations made by the Mayor on behalf of the City. The Public Information Office coordinates the arrangements with the Mayor and submits a list of presentations through the City Manager’s Office. WEB ACCESS: **REMINDER** Live Broadcast and audio and video archives can be accessed at http://huntingtonbeach.granicus.com As a courtesy to those in attendance, please silence your cell phones and pagers HB -1- PUBLIC COMMENTS This is the time of the meeting for the City Council to receive comments from the public regarding items of interest or agenda items not scheduled for Public Hearing. Pursuant to the Brown (Open Meetings) Act, the City Council may not enter into discussion regarding items not on the City Council agenda. Members of the public who wish to speak to a member of the Council on an item not on the agenda may consider setting up an individual appointment by contacting the Council's Administrative Assistant at 714-536-5553. The following statement applies to any public exchange of comments during City Council meetings: “The City Council strives to treat members of the public with respect. Comments or concerns provided by the public shall be done in a civil and respectful manner. Any public comments that are discriminatory, defamatory or otherwise not protected speech, whether as to race, religion, disability, sexual orientation, or any other protected classification, will not be considered by the City Council and may be a basis for the Mayor to interrupt the public comment. In addition, any such public comments will not be consented to, agreed to, ascribed to, or otherwise adopted by the City Council in its considerations, deliberations, discussions, and findings regarding any matter before it tonight. The City Council provides this public opportunity for free speech, but the City Council categorically rejects comments from anyone, including the public, that are of a discriminatory nature, and such comments will not inform the City Council’s decision.” To participate in Public Comments, pink Request to Speak forms are available at the Chambers entrance and are collected by the Sergeant at Arms. Each speaker is allowed 3 minutes, and time may not be donated to another speaker. COUNCIL COMMITTEE / APPOINTMENTS / LIAISON REPORTS AND ALL AB 1234 DISCLOSURE REPORTING This agenda item allows Councilmembers to make announcements regarding Council committees, appointments or liaison reports, and all individuals as appropriate to disclose any conferences, training, seminars, etc. attended at the Agency’s expense, per Government Code §53232.3(d). Lists of the conferences, training, seminars, and other activities generally attended by the City Council, City Manager, City Attorney, City Clerk, and City Treasurer are included as appendices to the City Budget. The budget is available on the city’s website at http://www.huntingtonbeachca.gov/Government/budget_information/. Exceptions to these lists have been submitted as a report to the City Clerk for inclusion in the record of this meeting.. PUBLIC HEARING Public Hearings allow citizens to speak in favor or against specific items brought to Council by staff. Staff may provide a presentation. The Mayor will open the Public Hearing to receive comments on that specific item. Upon hearing all public comments, the Mayor will close or continue the Public Hearing. Council may then decide to engage in discussion and/or take action on the item. To participate in a Public Hearing, green Request to Speak forms are available at the Chambers entrance and are collected by the Sergeant at Arms. ADMINISTRATIVE HEARING Administrative Hearings required by Huntington Beach Municipal Code Section 1.18 entitle only affected property owners to speak on a respective item. To participate in the Administrative Hearing, blue Request to Speak forms are available at the Chambers entrance and are collected by the Sergeant at Arms (the Police Officer located near the speakers’ podium). CONSENT CALENDAR Consent Calendar items are considered routine items that do not normally require separate consideration. The City Council/Public Financing Authority usually makes one motion for approval of all the items listed under this section. However, Council may remove an item from the motion for discussion purposes. ADMINISTRATIVE ITEMS Administrative Items are considered separately and require separate motions. These actions are normally of a non-routine nature, and frequently require a staff presentation. ORDINANCES Ordinances require two readings before the City Council. They are first introduced, and then adopted at a subsequent meeting. Ordinances typically become law thirty (30) days after adoption. However, an emergency ordinance may be adopted upon introduction, and is effective immediately. COUNCILMEMBER ITEMS This portion of the agenda is provided for Items of business presented by individual members of the City Council. HB -2- -1- City Council/PFA Agenda – Tuesday, February 21, 2017 FRED A. WILSON City Manager MICHAEL E. GATES City Attorney ROBIN ESTANISLAU City Clerk ALISA CUTCHEN City Treasurer AGENDA Tuesday, February 21, 2017 CITY COUNCIL/PUBLIC FINANCING AUTHORITY CITY OF HUNTINGTON BEACH 4:00 PM - Study Session 6:00 PM - Regular Meeting Council Chambers - 2000 Main Street Huntington Beach, CA 92648 http://www.huntingtonbeachca.gov MAYOR AND CITY COUNCIL BARBARA DELGLEIZE Mayor MIKE POSEY PATRICK BRENDEN Mayor Pro Tem Councilmember JILL HARDY WILLIAM O’CONNELL Councilmember Councilmember ERIK PETERSON LYN SEMETA Councilmember Councilmember 4:00 PM - COUNCIL CHAMBERS CALL TO ORDER Councilmember Brenden has requested permission to be absent pursuant to Resolution No. 2001-54 ROLL CALL O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, Peterson ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) PUBLIC COMMENTS PERTAINING TO STUDY SESSION / CLOSED SESSION ITEMS (3 Minute Time Limit) STUDY SESSION 1. Discussion of the possible addition of Sunday hours at the HB Central Library - City staff will present information about the possible expansion of library service hours to include Sundays at the Central Library. 2. Presentation by the Huntington Beach Police Department and Office of Business Development regarding the City’s Homeless Outreach Efforts. RECESS TO CLOSED SESSION Mayor Delgleize to Announce: Pursuant to Government Code § 54957.6, the City Council takes this opportunity to publicly introduce and identify designated labor negotiator, City Manager Fred Wilson, who will be participating in today's Closed Session discussions regarding labor negotiations with: Surf City Lifeguard Employees’ Association (SCLEA). HB -3- -2- City Council/PFA Agenda – Tuesday, February 21, 2017 CLOSED SESSION 3. Pursuant to Government Code §54956.9(d)(2) the City Council shall recess into Closed Session to confer with the City Attorney regarding potential litigation. Number of cases, one (1). 4. Pursuant to Government Code § 54956.9(d)(1), the City Council shall recess into Closed Session to confer with the City Attorney regarding the following lawsuit: Huntington Shorecliff, LP v. City of Huntington Beach, et al. (JS Stadium), Orange County Superior Court Case No. 30-2011- 00463995. 5. Pursuant to Government Code § 54957.6, the City Council shall recess into Closed Session to meet with its designated labor negotiators and Fred Wilson, City Manager regarding the following: Surf City Lifeguard Employees’ Association (SCLEA). 6. Pursuant to Government Code § 54957, the City Council shall recess to Closed Session to discuss the following personnel matter: City Manager’s Evaluation. 6:00 PM – COUNCIL CHAMBERS RECONVENE CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING Councilmember Brenden has requested permission to be absent pursuant to Resolution No. 2001-54 ROLL CALL O'Connell, Semeta, Posey, Delgleize, Hardy, Brenden, Peterson PLEDGE OF ALLEGIANCE INVOCATION - To be led by Father Christian Mondor of Sts. Simon and Jude Catholic Church and member of the Greater Huntington Beach Interfaith Council. In permitting a nonsectarian invocation, the City does not intend to proselytize or advance any faith or belief. Neither the City nor the City Council endorses any particular religious belief or form of invocation. CLOSED SESSION REPORT BY CITY ATTORNEY AWARDS AND PRESENTATIONS Mayor Delgleize to announce National Day of Remembrance on the 75th anniversary of Executive Order 9066. HB -4- -3- City Council/PFA Agenda – Tuesday, February 21, 2017 Mayor Delgleize to call on Victoria Alberty and Gisela Campagne to present the Adoptable Pet of the Month. Mayor Delgleize to call on Public Works Director Travis Hopkins to present the Mayor’s Award to Water Systems Technician III, Greg Wells. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) PUBLIC COMMENTS (3 Minute Time Limit) COUNCIL COMMITTEE - APPOINTMENTS - LIAISON REPORTS, AB 1234 REPORTING, AND OPENNESS IN NEGOTIATIONS DISCLOSURES CITY MANAGER'S REPORT 1. Staff to present a general overview of business improvements districts, and provide an update on downtown main promenade parking structure improvements and maintenance efforts CITY ATTORNEY'S REPORT 2. Introduction of Deputy Community Prosecutor CONSENT CALENDAR 3. Approve and adopt minutes Recommended Action: Review and adopt the City Council special meeting minutes dated January 26, 2017 and the City Council/Public Financing Authority regular meeting minutes dated February 6, 2017, as written and on file in the office of the City Clerk. 4. Accept resignation and approve appointment to the Human Relations Task Force (HRTF), as recommended by City Council liaisons Hardy and Semeta Recommended Action: Accept the resignation of Michael Waldinger and approve the appointment of Natalie Moser for a term to expire December 31, 2019, as recommended by City Council liaisons Hardy and Semeta. 5. Adopt Resolution No. 2017-09 declaring a portion of Edinger Avenue and Countess Drive lying within the city limits of Huntington Beach to be a County Highway during the period of construction of the Edinger Avenue Bridge Project Recommended Action: Adopt Resolution No. 2017-09, “A Resolution of the City Council of the City of Huntington Beach Declaring a Portion of Edinger Avenue and Countess Drive Lying Within the City Limits of Huntington Beach to be a County Highway During the Period of Construction of the Edinger Avenue Bridge Project.” HB -5- -4- City Council/PFA Agenda – Tuesday, February 21, 2017 6. Award and authorize execution of a Construction Contract in the amount of $399,928 to All American Asphalt for the Edinger Avenue Widening, CC- 1528; approve the appropriation of $104,000 from the Traffic Impact Fee undesignated fund balance; and, authorize up to fifteen percent (15%) in construction change orders Recommended Action: A) Accept the lowest responsive and responsible bid submitted by All American Asphalt, in the amount of $399,928.00; and, B) Authorize the appropriation of $104,000 from the Traffic Impact Fee undesignated fund balance to the Edinger Widening Account No. 20690013.82700; and, C) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney; and, D) Authorize the Director of Public Works to approve up to fifteen percent (15%) in construction change orders. 7. Approve and authorize execution of a Reinstatement and First Amendment to Site Access Agreement (Amendment) between the City and Chevron Environmental Management Company (EMC) to conduct environmental work at 18477 Beach Boulevard Recommended Action: Approve and authorize the Mayor and City Clerk to execute the "Reinstatement and First Amendment to Site Access Agreement” between the City of Huntington Beach and Chevron Environmental Management Company (EMC) extending the term to February 19, 2019. 8. Approve and authorize execution of a Landscape Maintenance Agreement with the State of California Department of Transportation and a License Agreement with Blue Sky HB, LLC for the Beach Medical Office Project at 17752-17762 Beach Boulevard Recommended Action: A) Approve and authorize the Mayor and City Clerk to execute the “Landscape Maintenance Agreement Within State Highway Right of Way on Route 39 Within the City of Huntington Beach” with the State of California Department of Transportation for the Beach Medical Office Building project; and, B) Approve and authorize the Mayor and City Clerk to execute and record the “License Agreement Between the City of Huntington Beach and Blue Sky HB, LLC, to Provide Installation and Maintenance of Landscaping Improvements in the Public Right-of-Way” for the Beach Medical Office Building project. HB -6- -5- City Council/PFA Agenda – Tuesday, February 21, 2017 9. Continued from February 6, 2017 City Council meeting - Approve and authorize execution of Orange County Transportation Authority's Utility Agreements No. UK041241 and UK041106 for the relocation of two (2) City of Huntington Beach Water Pipelines for the 405 Widening Project Recommended Action: Authorize the Mayor and City Clerk to execute Orange County Transportation (OCTA) Utility Agreements UK041241 and UK041106, and return all signed original agreements to OCTA for their final approval. 10. Adopt Ordinance No. 4128 amending Chapter 10.60 of the Huntington Beach Municipal Code relating to Meter Zones to fully include currently metered streets and include future parking meter locations currently being proposed within the downtown area Approved for introduction February 6, 2017 - Vote: 7-0 Recommended Action: Adopt Ordinance No. 4128, "An Ordinance of the City of Huntington Beach Amending Chapter 10.60 of the Huntington Beach Municipal Code Relating to Meter Zones." ADMINISTRATIVE ITEMS 11. Approval of Huntington Beach 2017 Strategic Plan Objectives Recommended Action: Approve the January 26, 2017, Strategic Objectives as contained within Attachment 1. COUNCILMEMBER ITEMS 12. Submitted by Councilmember Erik Peterson - Review of the Downtown Business Improvement District's (BID) Financial Statements Recommended Action: Direct the Finance Commission to review the past three (3) years of finances of the Downtown BID and further if they deem necessary. Return to the City Council and the BID any findings and recommendations. The Downtown BID shall turn over all financials, statements, and reports that the Commission may require to perform their review. The Finance Commission may create sub- committees and/or schedule additional meetings to complete this request in a timely manner. COUNCILMEMBER COMMENTS (Not Agendized) ADJOURNMENT HB -7- -6- City Council/PFA Agenda – Tuesday, February 21, 2017 The next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority is Monday, March 06, 2017, at 4:00 PM in the Civic Center Council Chambers, 2000 Main Street, Huntington Beach, California. INTERNET ACCESS TO CITY COUNCIL/PUBLIC FINANCING AUTHORITY AGENDA AND STAFF REPORT MATERIAL IS AVAILABLE PRIOR TO CITY COUNCIL MEETINGS AT http://www.huntingtonbeachca.gov HB -8- Minutes Huntington Beach City Council Special Meeting – Strategic Planning Workshop Thursday, January 26, 2017 8:00 AM – Talbert Room Huntington Central Library 7111 Talbert Street Huntington Beach, California 92648 CALL TO ORDER – Meeting called to order by Mayor Delgleize at 8:35 AM ROLL CALL Pursuant to City Council Resolution Number 2001-54, Councilmember Peterson requested, and was granted permission to be absent. Present: O’Connell, Semeta, Posey, Delgeize, Hardy, Brenden Absent: Peterson PLEDGE OF ALLEGIANCE – Led by Mayor Delgleize ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown “Open Meetings” Act, City Clerk Robin Estanislau announced a supplemental communication received by the City Clerk’s Office following distribution of the Council agenda packet: A PowerPoint submitted by Finance Director Lori Ann Farrell Harrison dated January 26, 2017 and entitled Strategic Planning Retreat Budget Update. PUBLIC COMMENTS PERTAINING TO SPECIAL MEETING (3-Minute Time Limit) Dave Humphreys, Huntington Beach Police Officers’ Association, voiced concerns about the poor internal conditions of the Police Department, and described repairs necessary to improve a variety of needs. Yasha Nikitin, Huntington Beach Police Officers’ Association, echoed concerns voiced by Mr. Humphreys, and discussed progress being made on upgrading the Police Department front lobby. He also encouraged Council to support consideration of implementing a gun range facility for training purposes. Shari Engel requested that Council consider restoration of the Shipley Nature Center as part of their Strategic Plan goals, specifically, a permanent parking lot. Juanna Mueller, Huntington Beach Tree Society, acknowledged inclusion of $800K in the City’s 2017/18 budget for specialized care in Central Park, and discussed the need for tree replacement and an upgraded irrigation system. Jean Nagy acknowledged inclusion of $800K in the City’s 2017/18 budget for specialized care in Central Park, and echoed concerns previously expressed about tree planting and poor irrigation. She also encouraged Council to consider development of an “urban forest” on four existing encyclopedia lots on Central Park property. HB -9-Item 3. - 1 Council Special Meeting Minutes January 26, 2017 Page 2 of 11 Steve Engel acknowledged Council’s inclusion of $800K in the 2017/18 budget for specialized care in Central Park, and discussed the “boots on the ground” efforts by volunteers who currently work to care for declining elements due to lack of resources devoted from the City departments of Public Works, Police Department, Community Services. Kathryn Levassior expressed support for a Zoning Text Amendment that would allow short term rentals in Huntington Beach. ADMINISTRATIVE ITEM 1. Strategic Planning Session facilitated by Marilyn Snider of Snider and Associates A. Ms. Snider welcomed the public and participants, stated the purpose of the retreat, and introduced Meeting Recorder Gail Tsuboi, Tsuboi Design. B. Ms. Snider went over the roles of the Facilitator, Recorder, group and public, as well as an overview of the strategic planning elements. C. Ms. Snider asked for introductions by participating Council, City Manager and Department Heads. D. Ms. Snider provided a review of the City of Huntington Beach’s: Mission/Purpose Statement • The City of Huntington Beach provides sustainable quality services to maintain and enhance our safe and vibrant community. Core Values/Guiding Principles (not in priority order) • Responsiveness • Accountability • Quality customer service • Honesty and integrity • Teamwork • Fiscal sustainability • Community involvement • Openness Existing Three-Year Goals (2015-2018 – not in priority order) • Improve quality of life • Enhance and maintain infrastructure • Strengthen economic and financial sustainability • Enhance and maintain public safety • Enhance and maintain City service delivery E. S.W.O.T. (Strengths, Weaknesses, Opportunities, Threats) Exercise 1. Brainstormed a listing of strengths and accomplishments of the City since the previous Strategic Planning Session (1/28/2016): • Launched the new eBook service called “The Cloud Library” • Expanded Library Storytime to six days/week • Received the CPRS award for digital marketing • Added a City Prosecutor Position HB -10-Item 3. - 2 Council Special Meeting Minutes January 26, 2017 Page 3 of 11 • Administered 254 FPPC conflict of interest filers and 20 active campaign committee filers • Completed a Park and Recreation Master Plan • Added a Subaru dealership • Launched replacement of the Land Management System • Hosted the inaugural Air Show • Fire Dept. responded to 20,300 calls for emergency services, an 18% increase over two years • Designated a Recycling Marketing Development Zone • Established a Central Park Task Force • Completed major improvements at the Main Promenade Parking Structure • Community Development Department assisted with building improvements for a new business, bringing 75 new jobs to the city • Funded the clean-up of Jack Green and McCraken Meadow areas of Central Park • Negotiated successfully with 7 of 8 labor associations • Finalized acquisition of our street lights from Southern California Edison • Harbor Beach sand replenishment • Facilitated the entitlement processing for the new AES power plant, • Processed 6,369 passports with photos, resulting in approximately $220,000 in General Fund dollars • Joined the Concerned Coastal Cities Coalition • Reviewed and approved over 10,000 building permits with a construction valuation of over $270,000,000 • Responded to over 4,000 Code Enforcement complaints • Successfully abated 12 medical marijuana dispensaries • Continued to work on the General Plan Update • Continued processing the Sunset Beach Specific Plan through the California Coastal Commission • Addressed 32 nuisance properties through the Public Nuisance Task Force (Police, Fire, Building, Planning, Public Works and Code Enforcement) • Received a grant from Orange County Transit Authority for $918,000 over seven years for transit services (bus circulation in the City) • Implemented over-the-counter plan checks for business development • Certified the November 2016 election results • Implemented a Body Camera Program in the Police Dept. • Connected all libraries to the CalREN Network • Fully implemented a Homeless Task Force • Processed more than 15,000 applications for employment • Finalized a plan for citywide wayfinding • Improved service to the business community • Partnered with CSU Long Beach on development of a conceptual plan for Irby Park • Developed a City Infrastructure Development Plan • Logged 54,000 volunteer hours for senior services • Logged over 57,000 volunteer hours at the Library • Received a clean audit opinion on the City’s financial statements • Developed an incentive-based business attraction and retention program • Youth Board hosted the first Youth Employment Workshop • Obtained a favorable outcome from the Federal Office of the Inspector General audit for CDBG Program • Successfully lobbied the Air Quality Management Dist. (AQMD) to keep 60% of AQMD AES funds in Orange County HB -11-Item 3. - 3 Council Special Meeting Minutes January 26, 2017 Page 4 of 11 • Adopted a balanced FY 2016-2017 budget • Maintained our AAA credit rating • Opened the new Senior Center in Central Park • Upgraded the utility billing system • Lowered crime by 9% • Repaved 10.5 miles of arterial and residential streets • Saved the fuel dock in Huntington Beach Harbor • Conducted a Leadership Development Program for 15 City employees • Implemented an expedited plan review process for 700 residential solar projects • Received a finding of completion from the Dept. of Finance for redevelopment (LRPMP) • Successfully negotiated a settlement in the Senior Center litigation • Successfully negotiated a settlement in the Bolsa Chica Land Trust litigation; at zero dollars spent by the City • Began Bartlett Park development • Started a volunteer program for Bartlett Park • Completed renovation of the interior of the Main Street Library • Created a Broadband Strategic Plan • A massive group of volunteers is working in Central Park • We have a new plan to rehabilitate Central Park • Partnered with the UC Irvine for a National Renewable Energy Laboratory; Huntington Beach will receive $1.9 million in funding for various energy projects • Completed the 9-11 Memorial at City Hall • Conducted over 11,400 fire inspections and over 2,400 fire and life safety plan checks • Received the “Excellence in Financial Reporting Award” for the City’s Comprehensive Annual Financial Report for the Fiscal Year Ending September 30, 2015 • Received the “Distinguished Budget Presentation Award” for the City’s Adopted Budget for Fiscal Year 2015/16 • Obtained the “Award for Outstanding Achievement in Popular Annual Financial Reporting” for Fiscal Year Ending September 30, 2015 • Received the first ever CLEEN loan in the state from the California Infrastructure Bank for the citywide streetlight retrofit project • Marine Safety Division provided 3,736 rescues, 1,649 medical aids, 202,732 preventive actions • Conducted Junior Lifeguard Program with 925 participants • Maintained a 99% customer satisfaction rating for emergency medical services • Purchased 4 additional encyclopedia lots • Launched a new economic development web page with additional resources • Received award/recognition from OCBC “Turning Red Tape into Red Carpet” for the first web based FilmApp • Finalized new Economic Development Implementation Plan • Provided Business Advocacy Services for 24 businesses • Increased film permits and general fund revenue by117% (FY 14/15 to FY 15/16) 2. Brainstorming of City’s current Internal weaknesses/challenges: • Low staffing levels citywide • Huge infrastructure backlog • Inefficient internal processes • Limited staff resources to meet demand • Insufficient funding for essential City services, facilities, equipment and parks • Loss of institutional knowledge HB -12-Item 3. - 4 Council Special Meeting Minutes January 26, 2017 Page 5 of 11 • We’re a place for people to gather, (e.g., for protest) • Lack of staff resources • Inadequate security at all City facilities • Lack of resources and expertise to effectively address homelessness • Outdated General Plan and Zoning Code • Excessive manual work-arounds due to outdated technology • Residents have trouble finding things on the City website • Businesses find it difficult to work with the City • Challenge of connecting with residents • Lack of retention of skilled workers • Challenge for businesses to deal with the homeless • Low staff morale • Lack of an up-to-date land management permit system • Lack of funding for technology projects • Loss of experience due to retirements • Public safety weaknesses • Lack of succession planning • Lack of funding for technology staff and upgrades • Poor business development and attraction • Unrealistic expectations of labor/employees • Competing priorities 3. Brainstorming of external factors/trends (positive/opportunities and negative/threats) that will/might have an impact on the City in the coming year: Positive Impact • Ending drought conditions • Possible federal infrastructure funding • More collaboration with other cities and organizations regarding homeless • Low unemployment • Proposed federal and state legislation regarding sober living homes • State funding for City redevelopment loan repayments • Anticipated Supreme Court decision on labor • Vibrant non-profit community • Outstanding volunteer base • Good school system • Improving broadband • Second Air Show • Tourism • Low crime rate • Variety of additional housing opportunities • Addition of new hotel rooms • Record occupancy at our hotels • Improving vehicle sales • Social media • Corporate sponsorships • Strong volunteer community • Strong property tax base • Generous donors to local non-profits • Effective service organization network HB -13-Item 3. - 5 Council Special Meeting Minutes January 26, 2017 Page 6 of 11 • SCE allowed us to buy 11,000 poles to provide better technology • Beaches and parks • Awesome sales tax revenues • Fountain Valley and Westminster sales tax rates are increasing • Strong real estate market • Enhanced multi-agency collaboration, e.g., supporting City events • Increased community participation • Active participation in the CERT program • Positive GDP growth • Potential increased defense spending Negative Impact • Climate • Cyber attacks • Uncertain federal policies • Unfunded state and federal mandates • Homelessness • Attempts to take away local control • Earthquakes • Fire • Flood • Trade war with China • State budget deficit • Decline in sales tax revenue • Changing demographics • State regulatory climate on business • Democratic super-majority in the state legislature • Unfunded liabilities • Rapidly changes in technology • Aging infrastructure • Lack of mental illness treatment • General discontent that leads to protests • Social disruption • Social stress • Terrorism • Legalization of marijuana • Drug abuse • Anticipated Supreme Court decision on labor • Moving of 2,000 jobs by Boeing • Rising unemployment • Increasing interest rates • Changing utility and energy usage • Early release of prisoners • CalPERS policy changes • Prop 13 threat • Demonization of public employees • Divided and dysfunctional federal leaders • Rising construction costs HB -14-Item 3. - 6 Council Special Meeting Minutes January 26, 2017 Page 7 of 11 RECESSED AT 10:30 AM FOR A 10 -MINUTE BREAK – MEETING RECONVENED AT 10:40 AM F. Chief Financial Officer Lori Ann Farrell Harrison provided a brief update regarding the City’s Budget outlook Chief Financial Officer Lori Ann Farrell Harrison presented a PowerPoint dated January 26, 2017 entitled Strategic Planning Retreat Budget Update that included the following titled slides: Overview, Strategic Planning Retreat, FY 2015/16 General Fund Expenditures (Preliminary Unaudited), FY 2015/16 General Fund Revenue (Preliminary Unaudited), FY 2015/16 Year End General Fund Balance Options, General Fund Balance, FY 2016/17 General Fund Budget Overview, FY 2016/17 General Fund Highlights, FY 2016/17 Adopted Budget Summary, FY 2016/17 Adopted Budget General Fund by Department, Police Officer Staffing Recap, Historical Funded FTEs, CalPERS Overview, Funded FTEs vs YOY PERS Costs, CalPERS Rates, CalPERS Discount Rate Change, Why do they have a 7.5% Rate Now?, Why is CalPERS Making the Change?, What Happens if they Don’t Adjust?, Net Pension Liabilities Overview, What are We Doing About It?, Economic Indicators, FY 2017/18 Budget Outlook, Opportunities, State of California, Governor Brown's FY 2017/18 Budget Highlights, Recap, Next Steps, and Questions. G. Reviewed the three-year goals: After brief discussion, it was decided that the five existing three-year goals would remain. The list of the current five stated three-year goals (2015-2018) consists of the following (not in priority order): 1. Improve quality of life 2. Enhance and maintain infrastructure 3. Strengthen economic and financial sustainability 4. Enhance and maintain public safety 5. Enhance and maintain city service delivery H. Identification of six-month strategic objectives for each of the three-year goals above THREE-YEAR GOAL: IMPROVE QUALITY OF LIFE WHEN WHO WHAT 1. May 15, 2017 -- City Council Study Session Community Services Dir., working with the Shipley- to-Shore Stakeholder Working Group Develop a report on a “Shipley to Shore” Trail System from Shipley Nature Center to PCH. 2. April 1, 2017 City Manager Launch the Citizens’ Academy. 3. June 1, 2017 Community Services Dir., in partnership with California State University Long Beach Develop a conceptual plan for Irby Park and present it to the Community Services Commission and the City Council for consideration. THREE-YEAR GOAL: ENHANCE AND MAINTAIN INFRASTRUCTURE WHEN WHO WHAT HB -15-Item 3. - 7 Council Special Meeting Minutes January 26, 2017 Page 8 of 11 1. April 1, 2017 Asst. City Mgr. and the Chief Information Officer Conduct a study session to review progress on the Broadband Initiative and on the use of streetlights for wireless communication. 2. April 1, 2017 Community Services Dir., working with the Central Park Committee Identify and recommend projects within the provided budget for the infrastructure improvements to Central Park and present to the City Council for action. 3. June 1, 2017 Police Chief and Public Works Dir. Develop a Facilities Needs Assessment for the Police Dept. 4. June 1, 2017 Public Works Dir. Present to the City Council for consideration a Financial Plan to address the infrastructure needs as identified in the Water Master Plan. THREE-YEAR GOAL: STRENGTHEN ECONOMIC AND FINANCIAL SUSTAINABILITY WHEN WHO WHAT 1. March 15, 2017 Asst. City Manager and the Dep. Dir. Economic Development Present to the City Council for consideration an Economic Development Implementation Plan for Business Retention, Attraction and Expansion. 2. July 1, 2017 Dep. Dir. Economic Development, working with the Chief Financial Officer Identify and attract at least three new businesses to increase sales tax revenue. 3. July 1, 2017 -- As part of the FY 2017-2018 budget process Human Resources Dir. and Finance Dir. Develop funding plans to enhance the funded status of the city’s Workers’ Comp, Retiree Medical, and Retiree Supplemental Plans. 4. July 15, 2017 Asst. City Manager – lead, Dep. Dir. Economic Development, and Councilmembers Billy O’Connell, Patrick Brenden and Lyn Semeta, in coordination with regional business partners Create a Business Incubator Implementation Plan that results in five new businesses by January 1, 2018. HB -16-Item 3. - 8 Council Special Meeting Minutes January 26, 2017 Page 9 of 11 5. July 15, 2017 Community Development Dir. Complete the draft comprehensive General Plan Update and draft Environmental Impact Report for distribution and public comment. THREE-YEAR GOAL: ENHANCE AND MAINTAIN PUBLIC SAFETY WHEN WHO WHAT 1. May 1, 2017 Police Chief Complete a Gun Range Feasibility Study and present the findings and a recommendation to the City Council for action. 2. May 15, 2017 Fire Chief, working with a consultant Complete and submit to the City Manager and City Council for review a Fire Standards of Cover and Staffing Report. 3. June 1, 2017 Police Chief and Public Works Dir. Complete a Police Facility Needs Assessment and present the findings to the City Manager. 4. July 15, 2017 Fire Chief Complete and present the findings of a Peak Load Staffing for Emergency Transport Services Feasibility Study and make a recommendation to the City Manager for consideration. THREE-YEAR GOAL: ENHANCE AND MAINTAIN CITY SERVICE DELIVERY WHEN WHO WHAT 1. April 1, 2017 City Clerk and Chief Information Officer, with input from the City Attorney Recommend to the City Manager for action a Public Records Act (PRA) Management Process and identification of staff to appropriately respond to PRA requests in a structured format 2. June 1, 2017 Chief Information Officer Recommend to the City Manager at least two options to implement a smart tool or mobile app that enhances online accessibility for current and new services. HB -17-Item 3. - 9 Council Special Meeting Minutes January 26, 2017 Page 10 of 11 3. June 1, 2017 Chief Information Officer Present to the City Manager for action a recommendation to automate processing of citywide forms currently processed manually. 4. June 1, 2017 City Clerk – lead, Public Information Officer and Chief Information Officer Recommend to the City Manager for action at least two options for providing visitor assistance at the Huntington Beach Civic Center in either a virtual format and/or in person. Councilmember O’Connell was honored to introduce Dana Bowman, HALO for Freedom Warrior Foundation, who presented a gift to Mayor Delgleize. Accompanying Mr. Bowman was Medal of Honor Recipient Leroy Putry. RECESSED AT 12:15 PM FOR A 30 -MINUTE LUNCH BREAK – RECONVENED AT 12:45 PM I. Next steps/follow up process: WHEN WHO WHAT Thurs., January 26 City Clerk Distribute the retreat record to invitees. Within 48 hours All recipients Read the retreat record. By Feb. 10, 2017 Department Heads Share and discuss the Strategic Plan with staff. By Feb. 14, 2017 Public Information Officer Place the City’s Strengths and Accomplishments on the City website. February 14, 2017 Executive Team (City Manager– lead) Review the “Weaknesses/Challenges” and “External Threats” lists for possible action items. At the Feb. 21, 2017 City Council meeting City Council (Mayor – lead) Present the updated Strategic Plan to the public. Monthly Executive Team City Council City Manager (Mayor – lead) Monitor progress on the goals and objectives and revise objectives (add, amend and/or delete), as needed. HB -18-Item 3. - 10 Council Special Meeting Minutes January 26, 2017 Page 11 of 11 Monthly City Clerk Prepare and distribute the updated Strategic Plan Monitoring Matrix to City Council and employees, and post on the City’s website. July 27, 2017 (Thursday) 8:00/8:30 am – 3:00 pm City Council City Manager Executive Team Strategic Planning Retreat to thoroughly assess progress on the Goals and Strategic Objectives; develop proposed 6-month objectives to present to the City Council. J. Summary/closing remarks: Mayor Delgleize thanked Marilyn Snider, Facilitator with Snider and Associates, Gail Tsuboi, Recorder, members of the City Council, City staff and the public for participating in this strategic planning workshop. 2. COUNCILMEMBER COMMENTS (Not Agendized) – None. ADJOURNMENT – 2:30 PM The meeting was adjourned to the next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority of Monday, February 6, 2017, at 4:00 PM in Room B-8, Civic Center, 2000 Main Street, Huntington Beach, California. _________________________________ City Clerk and ex-officio Clerk of the City Council of the City of Huntington Beach ATTEST: City Clerk _______________________________ Mayor HB -19-Item 3. - 11 Minutes City Council/Public Financing Authority City of Huntington Beach Monday, February 6, 2017 4:00 PM - Council Chambers 6:00 PM - Council Chambers Civic Center, 2000 Main Street Huntington Beach, California 92648 A video recording of the 4:00 PM and 6:00 PM portion of this meeting is on file in the Office of the City Clerk, and archived at www.surfcity-hb.org/government/agendas/ 4:00 PM - COUNCIL CHAMBERS CALL TO ORDER — 4:00 PM ROLL CALL Present: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson Absent: None ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental communications that were received by her office following distribution of the Council Agenda packet: Study Session Items: No. 1, a PowerPoint communication entitled Investment Advisory Board — HB City Council Joint Study Session, City of Huntington Beach Portfolio Update, February 6, 2017. No. 2, a PowerPoint communication entitled Interstate 405 Improvement Project. PUBLIC COMMENTS PERTAINING TO STUDY SESSION / CLOSED SESSION ITEMS (3 Minute Time Limit) — None STUDY SESSION 1. Joint Study Session between the City Council of Huntington Beach and the Investment Advisory Board (IAB). The Investment Advisory Board and City Treasurer made a presentation of the FY15/16 annual report, as it relates to the City of Huntington Beach’s investment management. In addition, Jason Klinghoffer, CFA, Director of Debt Capital Markets for Mischler Financial, and approved broker for the City of Huntington Beach, provided a brief financial market update. ROLL CALL — Investment Advisory Board Present: Jennifer Handy, Alan Ray, Scott Dowds, John Piekarski, Lydia Dupont, and Rob Sternberg Absent: None Newly appointed member A. J. DiLiberto introduced himself. HB -20-Item 3. - 12 Council/PFA Regular Minutes February 6, 2017 Page 2 of 12 City Treasurer Alisa Cutchen introduced members of the Investment Advisory Board. Chairperson Alan Ray gave a PowerPoint presentation entitled Investment Advisory Board with slides entitled: Institutional Fiduciary Benchmark, Evaluating Performance, In Summary, Questions, and Disclaimer. Councilmember Peterson and City Treasurer discussed that the new 115 Trust was not reviewed in this report, but it will be added to future Quarterly reports. City Treasurer Cutchen introduced Jason Klinghoffer, approved broker for the City of Huntington Beach, who gave a PowerPoint presentation entitled Institutional Fiduciary Benchmark which included pages titled The Process and In Summary. Mayor Pro Tem Posey commended the IAB and City Treasurer for the outstanding performance report. Mayor Delgleize thanked the IAB and City Treasurer for their dedication and work. 2. I-405 Improvement Project Status Update – Orange County Transportation Authority (OCTA) staff provided an overview of the status of the I-405 project including current efforts, upcoming efforts and anticipated schedule of activities. The project is a major 7– year improvement project for the I-405 freeway between Costa Mesa and State Route 22, including the addition of travel lanes, carpool/toll lanes and reconstruction of many interchanges and overcrossings of the freeway City Manager Fred Wilson introduced Mr. Jeff Mills, OCTA Program Manager for the 405 Improvement Project who gave a PowerPoint Presentation entitled Interstate 405 Improvement Project with slides entitled: Project Location, Project Mission New Lanes, Significant Project Features, Bridge Replacements, What are Express Lanes, Access Points, Project Update, Huntington Beach Coordination, Ongoing Community Outreach, Project Next Steps, and For More Information. Councilmember Hardy and Program Manager Mills discussed the various types of lanes and toll enforcement. Mayor Pro Tem Posey and Program Manager Mills discussed exits from carpool lanes, signage and continuous access to Beach Boulevard. Councilmember Peterson and Program Manager Mills discussed the project's timeline accuracy and the fact of no compensation for losing the carpool free lane. Councilmember Semeta and Program Manager Mills discussed that a majority of the property agreements are temporary for construction easements, and a few areas are permanent easements on commercial lots. A motion was made by O’Connell, second Posey to recess to Closed Session for Item Nos. 3 – 4 The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None RECESS TO CLOSED SESSION FOR ITEM NOS. 3 – 4 — 4:55 PM Mayor Delgleize announced: Pursuant to Government Code § 54957.6, the City Council takes this opportunity to publicly introduce and identify designated labor negotiator, City Manager Fred Wilson, who will be participating in today’s Closed Session discussions regarding labor negotiations with: Surf City Lifeguard Employees’ Association (SCLEA). HB -21-Item 3. - 13 Council/PFA Regular Minutes February 6, 2017 Page 3 of 12 CLOSED SESSION 3. Pursuant to Government Code § 54957.6, the City Council recessed into Closed Session to meet with its designated labor negotiators and Fred Wilson, City Manager, regarding the following: Surf City Lifeguard Employees’ Association (SCLEA). 4. Pursuant to Government Code § 54956.9(d)(1), the City Council recessed into Closed Session to confer with the City Attorney regarding the following lawsuit: John Thomas Christiana v. United States and Its Agencies, Corporations, Officers, Employees, and Agents, United States District Court Case No SACV17-00089 JVS(JCGx). 6:00 PM – COUNCIL CHAMBERS RECONVENED CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING — 6:06 PM ROLL CALL Present: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson Absent: None PLEDGE OF ALLEGIANCE — Led by Mayor Pro Tem Posey INVOCATION — Led by Maneck Bhujwala of the Zoroastrian Community and member of the Greater Huntington Beach Interfaith Council In permitting a nonsectarian invocation, the City does not intend to proselytize or advance any faith or belief. Neither the City nor the City Council endorses any particular religious belief or form of invocation. CLOSED SESSION REPORT BY CITY ATTORNEY — None AWARDS AND PRESENTATIONS Mayor Delgleize announced February as National African American History Month. Mayor Delgleize called on Janeen Laudenback who recognized PSS Coordinator Brigette Beisner and members of the Project Self Sufficiency Foundation for their successful efforts in obtaining a $379,000, three-year grant from the ECMC Foundation. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental communications that were received by her office following distribution of the Council Agenda packet: Consent Calendar Item No. 14, regarding Ordinance No. 4122, an email communication from Tony Sellas. Administrative Items: No. 15, a PowerPoint communication entitled Ordinance 4128 — Amending HBMC Related to Meter Zones, dated February 6, 2017. HB -22-Item 3. - 14 Council/PFA Regular Minutes February 6, 2017 Page 4 of 12 No. 16, a PowerPoint communication entitled Purchase of Replacement Fire Engine, dated February 6, 2017. PUBLIC COMMENTS (3 Minute Time Limit) — 8 Speakers The number [hh:mm:ss] following the speakers’ comments indicates their approximate starting time in the archived video located at http://www.surfcity-hb.org/government/agendas. Jessica Budica, Environmental Board Chair, was called to speak and announced details of the current anti-litter art campaign for school-aged children. (01:07:52) Maureen was called to speak and congratulated the two new Council members. She also stated that her requests for sidewalk repairs and removal of dead trees in various areas of the City have been ignored. (01:09:44) Dr. Mikel Hogan was called to speak and shared some of the changes proposed by Poseidon Resources to the desalination project, and asked if these changes will incur additional costs to the City. Dr. Hogan requested that public be allowed to provide input prior to any changes being made by Poseidon Resources or the Orange County Water District. (01:11:27) Ralph Bauer was called to speak and addressed the homeless issue by requesting a meeting of the Homeless Task Force with City Council to determine what the City is planning to do regarding transitional permanent housing, mental illness and substance abuse, counseling and mentoring, etc. Mayor Delgleize reported that staff is scheduled to meet on this topic and will be reaching out to the Homeless Task Force. (01:13:11) Kathryn Levassiur was called to speak and requested that the City work with homeowners to make short- term rentals a win-win situation. (01:17:08) Jennifer Vaughn, Southern California Gas Company, was called to speak and expressed support for Consent Calendar Item No. 5 regarding funds from Southern California Edison (SCE) and Southern California Gas Company (SCG), and No. 7 regarding Resolution No. 2017-05 declaring support for an Energy Partnership. (01:19:49) Phil Burtis was called to speak and provided a brief history of the Huntington Beach Community Emergency Response Team (CERT), and encouraged community member participation in the training classes which start in March 2017. (01:21:47) Arthur Hausen was called to speak and voiced concerns about unsafe sidewalk/curb conditions in his neighborhood that create a hazardous situation for his handicapped son. He provided pictures and asked for assistance to correct. (01:24:34) COUNCIL COMMITTEE - APPOINTMENTS - LIAISON REPORTS, AB 1234 REPORTING, AND OPENNESS IN NEGOTIATIONS DISCLOSURES Mayor Pro Tem Posey announced his appointment of Shelly Grace to the Citizens Participation Advisory Board (CPAB). Councilmember O'Connell reported meeting with members of the Huntington Beach Firefighters' Association (HBFA), Municipal Employee Organization (MEO), and Huntington Beach Police Officers' Association (HBPOA), and he reported on a survey conducted by the Commission to End Homelessness. HB -23-Item 3. - 15 Council/PFA Regular Minutes February 6, 2017 Page 5 of 12 Councilmember Peterson reported a meeting with Downtown Business Improvement District (BID) members and requested an update from staff on conditions of the downtown parking structure. Councilmember Semeta reported attending the League of California Cities New Mayors and Council Members Conference in Sacramento, CA. Councilmember Brenden announced his appointment of Bud Berge to the Finance Commission. Mayor Delgleize reported attending the U. S. Conference of Mayors in Washington, DC. CITY MANAGER’S REPORT City Manager Fred Wilson acknowledged the success of the Surf City Marathon on Sunday, February 5, and deferred to Police Chief Handy who provided a brief summary of actions related to public safety. CITY TREASURER’S REPORT 1. Received and filed the City Treasurer’s December 2016 Quarterly Investment Summary Report City Treasurer Alisa Cutchen gave a PowerPoint presentation entitled City of Huntington Beach City Treasurer's Report, Quarter ending December 2016 with slides entitled: Office of the City Treasurer, City Treasurer's Mission: Preservation and Return of Investments, Goal - Own Legal and Suitable Investments to meet objectives, Allowable Investments, Investment Policy Limits, Market Overview, 10 Year Treasury, Portfolio Overview, Portfolio Composition, Portfolio Holdings, Portfolio Compliance, Portfolio Earnings, Conclusion and Questions. A motion was made by Semeta, second Hardy to receive and file the City Treasurer's Quarterly Investment Report for December 2016, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None CONSENT CALENDAR 2. Approved and adopted minutes A motion was made by Hardy, second Posey to review and adopt the City Council/Public Financing Authority regular and the special meeting of the Successor Agency to the Former Redevelopment Agency of the City of Huntington Beach minutes dated January 17, 2017, as written and on file in the office of the City Clerk. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 3. Presented Annual Review of the City Code of Ethics HB -24-Item 3. - 16 Council/PFA Regular Minutes February 6, 2017 Page 6 of 12 A motion was made by Hardy, second Posey to direct the City Clerk to record in the official minutes that the Code of Ethics was presented to the City Council, the City Manager, Chairpersons, and City Department Directors for their review and distribution as required by Resolution No. 2016-73. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 4. Awarded and authorized execution of a construction contract in the amount of $678,900 to Vido Samarzich, Inc. for the FY 16/17 Curb Access Ramp Installation Project, CC-1541; and, authorized an appropriation in the amount of $150,000 A motion was made by Hardy, second Posey to accept lowest responsive and responsible bid submitted by Vido Samarzich, Inc. in the amount of $678,900; and, authorize the appropriation of $150,000 from undesignated Gas Tax Funds to account 20790054.82300; and, authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 5. Accepted and appropriated of funds in the amount of $10,000 from Southern California Edison (SCE) and Southern California Gas Company (SCG) for the City of Huntington Beach Sustainable Business Program A motion was made by Hardy, second Posey to accept and appropriate $10,000 from investor owned utilities Southern California Edison (SCE) and Southern California Gas (SCG) into Fund 1234. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 6. Approved additional appropriation in the amount of $395,000 for as-needed General Environmental Engineering and Plan Check /Fire Inspection Services Councilmember Peterson pulled this item to confirm with Fire Chief Segura that the vendors went through the RFP process and are on retainer. A motion was made by Peterson, second Posey to approve an appropriation of $395,000 to the Fire Prevention business unit (10065201.69365) for professional environmental engineering and plan check/fire inspection services. Funding will be allocated on an incremental basis as needed, based on development project demands. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None HB -25-Item 3. - 17 Council/PFA Regular Minutes February 6, 2017 Page 7 of 12 7. Adopted Resolution No. 2017-05 declaring support for an Energy Partnership Between Southern California Edison (SCE) Company and Southern California Gas (SCG) Company to be known as “Energy Partnership” A motion was made by Hardy, second Posey to adopt Resolution No. 2017-05, "A Resolution of the City Council of the City of Huntington Beach Declaring Support for An Energy Partnership between Southern California Edison Company and Southern California Gas Company To Be Known as "Energy Partnership." The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 8. Approved and authorized the execution of an Agreement and Escrow Instructions with Peter Chamie, Trustee, for the purchase of an easement for Street and Highway purposes over real property located at 7900 Edinger Avenue (APN: 142-081-02, 03) Mayor Pro Tem Posey pulled the item and discussed with Director of Public Works Travis Hopkins several aspects of the project including how the values were determined and how traffic will be improved. Director Hopkins presented a PowerPoint slide titled Edinger Avenue Widening Project that included the following titles slide: Project Overview and Current Acquisition. A motion was made by Posey, second Semeta to approve and authorize the Mayor and City Clerk to execute "Agreement for Acquisition and Escrow Instructions" between the City of Huntington Beach and Peter Chamie, as Successor Trustee of the Denise Chamie Trust, dated August 14, 1970, as to an undivided ¼ interest; Peter Chamie, as Successor Trustee of the Peter Chamie Trust, dated August 14, 1970, as to an undivided ¼ interest; and Peter Chamie, Successor Trustee of the Alfred P. Chamie and Elizabeth Chamie Revocable Trust, dated August 14, 1970, as to an undivided ½ interest; and, authorize the Mayor and City Clerk to execute the Agreement for Acquisition and Escrow Instructions and other related documents; and, authorize the City Manager to execute any other related title documents. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 9. Approved and authorized execution of six (6) Professional Services Contracts for As- Needed Environmental Engineering Services with: 1) Geosyntec Consultants, Inc. in an amount not to exceed $450,000 over a three year period, 2) Tetra Tech, Inc. in an amount not to exceed $550,000 over a three year period, 3) Group Delta Consultants, Inc. in an amount not to exceed $150,000 over a three year period, 4) Environmental Engineering & Contracting, Inc. (EEC Environmental Inc.) in an amount not to exceed $375,000 over a three year period, 5) Huitt-Zollars, Inc. in an amount not to exceed $325,000 over a three year period and 6) Pacific Advanced Civil Engineering, Inc. (PACE) in an amount not to exceed $325,000 over a three year period Councilmember Semeta pulled the item and discussed with Public Works Director Hopkins the processes for determining need and oversight of payments. Councilmember Peterson and Director Hopkins discussed that a three-year period is used because it can take nearly one year for the vendor selection process. HB -26-Item 3. - 18 Council/PFA Regular Minutes February 6, 2017 Page 8 of 12 A motion was made by Peterson, second O’Connell to approve and authorize the Mayor and City Clerk to execute a three-year (with optional one-year extension), not-to-exceed $450,000 Professional Services Contract between the City of Huntington Beach and Geosyntec Consultants, Inc. for As-Needed Environmental Engineering Services; and, approve and authorize the Mayor and City Clerk to execute a three-year (with optional one-year extension), not-to-exceed $550,000 Professional Services Contract between the City of Huntington Beach and Tetra Tech, Inc. for As-Needed Environmental Engineering Services; and, approve and authorize the Mayor and City Clerk to execute a three-year (with optional one-year extension), not-to-exceed $ 150,000 Professional Services Contract between the City of Huntington Beach and Group Delta Consultants, Inc. for As-Needed Environmental Engineering Services; and, approve and authorize the Mayor and City Clerk to execute a three-year (with optional one-year extension), not-to-exceed $375,000 Professional Services Contract between the City of Huntington Beach and EEC Environmental, Inc. for As-Needed Environmental Engineering Services; and, approve and authorize the Mayor and City Clerk to execute a three-year (with optional one-year extension), not-to-exceed $325,000 Professional Services Contract between the City of Huntington Beach and Huitt-Zollars, Inc. for As-Needed Environmental Engineering Services; and, approve and authorize the Mayor and City Clerk to execute a three-year (with optional one-year extension), not-to- exceed $325,000 Professional Services Contract between the City of Huntington Beach and PACE, Inc. for As-Needed Environmental Engineering Services. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 10. Approved and authorized execution of a Reimbursement Agreement with DCO Pacific City, LLC for Fire and Safety Inspection Services at The Residences at Pacific City Project and authorized appropriation of funds in the amount of $70,000 Councilmember Semeta pulled the item and discussed with Fire Chief Segura how the project developer requested the services of a part-time inspector to be available on an as-needed basis. Chief Segura further explained that the agreement is cost neutral for the City, it benefits the developer by reducing project delay times, and eliminates the need to pull full-time staff from other City projects. A motion was made by Semeta, second Hardy to approve and authorize the Mayor and the City Clerk to execute the "Reimbursement Agreement Between the City of Huntington Beach and DCO Pacific City, LLC for Costs Incurred for Fire and Safety Inspection Services;" and, approve an appropriation of $70,000 to the Fire Prevention business unit (10065201.69365) for these services. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 11. CONTINUED TO FEBRUARY 21 — Seek City Attorney Review for Request to Approve and authorize execution of Orange County Transportation Authority’s Utility Agreements No. UK041241 and UK041106 for the relocation of two (2) City of Huntington Beach Water Pipelines for the 405 Widening Project Councilmember Peterson pulled this item to ask that City Attorney Gates review the contract and return with a report at the February 21, 2017, City Council meeting. A specific concern is whether the City has to automatically accept any OCTA revisions after the initial contract is signed. HB -27-Item 3. - 19 Council/PFA Regular Minutes February 6, 2017 Page 9 of 12 A motion was made by Peterson, second Posey to Continue to February 21, 2017, to seek City Attorney review for request to authorize the Mayor and City Clerk to execute Orange County Transportation (OCTA) Utility Agreements UK041241 and UK041106, and return all signed original agreements to OCTA for their final approval. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 12. Approved and authorized execution of Cooperative Agreement with Orange County Transportation Authority (OCTA) for Project V Community-based Transit Circulator Grant Project; amend the 2016/17 Capital Improvement Program to add the Community-based Local Transit Circulator project; and authorize appropriation of funds for the Community- based Local Transit Circulator Grant Project; and, adopt Resolution No. 2017-07 adopting a revised CIP for the years 2016/17 through 2022/23 Councilmember Peterson pulled the item for discussion with Public Works Director Hopkins the City’s obligations to continue in the program if the Grant projections are not met. A motion was made by Peterson, second Brenden to authorize the Mayor and City Clerk to execute Cooperative Agreement No. C-6-1481 between OCTA and the City for Project V Community-based Transit Circulator Grant Project; and, amend the 2016/17 Capital Improvement Program to add the Community-based Local Transit Circulator project; and, appropriate $25,000 from the undesignated AQMD (201) fund balance to account 20185201.82800; and, appropriate $159,812 in grant and contribution funds to a grant account established under Finance Department guidelines; and, adopt Resolution No. 2017-07 “A Resolution of the City Council of the City of Huntington Beach Adopting a Revised Capital Improvement Program for the Years 2016/17 Through 2022/23.” The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 13. Approved a License Agreement between the City of Huntington Beach and PCH Beach Resort, LLC., for Operation of the former Beach Hut Beach Concession A motion was made by Posey, second O’Connell to approve License Agreement between the City of Huntington Beach and PCH Beach Resort, LLC., for operation of a beach concession located at 21529 Pacific Coast Highway; and, authorize the Mayor, City Manager, and City Clerk to execute the License Agreement and other related documents. The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 14. Adopted Ordinance No. 4122 approving Zoning Map Amendment No. 16-001 (Sunset Beach Beachfront Floodplain Construction Requirements -FP3 Zoning) Approved for introduction January 17, 2017 — Vote: 6-0-1 (Delgleize-Absent) HB -28-Item 3. - 20 Council/PFA Regular Minutes February 6, 2017 Page 10 of 12 A motion was made by Hardy, second Posey to adopt Ordinance No. 4122, “An Ordinance of the City of Huntington Beach Amending District Maps 21 and 35 of the Huntington Beach Zoning and Subdivision Ordinance by Deleting the Current -FP3 (Floodplain Overlay) Designation on All Beachfront Properties and the Beach in Sunset Beach.” The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None ADMINISTRATIVE ITEMS 15. Approved for introduction Ordinance No. 4128 amending Chapter 10.60 of the Huntington Beach Municipal Code relating to Meter Zones to fully include currently metered streets and include future parking meter locations currently being proposed within the downtown area City Manager Wilson introduced Assistant City Manager Ken Domer who gave a PowerPoint Presentation entitled: Ordinance 4128 - Amending HBMC Related to Meter Zones, Item 15 with slides entitled: Municipal Code Chapter 10.60, Existing/Proposed Parking Lots, Ordinance No. 4128, and Questions. Councilmember Posey and Assistant City Manager Domer discussed that there is no projected meter income figure at this point, that currently no increase in meter enforcement staff is expected, various areas will be improved and landscaped, and some of the lots are being paid for by developer "in lieu" fees. Councilmember Peterson and Assistant City Manager Domer discussed that area lighting and any other public concerns will be considered at the appropriate time in the development process. Councilmember O'Connell and Assistant City Manager Domer discussed that approximate costs at this point are very basic, and one of the next steps is to involve an on-call vendor to begin determining these kinds of details. A motion was made by Posey, second Brenden, after the City Clerk reads by title, to approve for introduction Ordinance No. 4128, "An Ordinance of the City of Huntington Beach Amending Chapter 10.60 of the Huntington Beach Municipal Code Relating to Meter Zones." The motion carried by the following vote: AYES: O’Connell, Semeta, Posey, Delgleize, Hardy, Brenden, and Peterson NOES: None 16. Continued from January 17, 2017 Meeting — Approved the purchase of a replacement fire engine and ambulance and authorized the City Manager to enter into all documents necessary to lease finance the purchase City Manager Wilson introduced Fire Chief David Segura who made a PowerPoint presentation entitled Purchase of Replacement Fire Engine including slides entitled: Fire Engine Replacement — Apparatus Replacement, Apparatus Age, Apparatus Mileage, Apparatus Hours, Apparatus Maintenance, and Apparatus Efficiency. HB -29-Item 3. - 21 Council/PFA Regular Minutes February 6, 2017 Page 11 of 12 Mayor Pro Tem Posey and Fire Chief Segura discussed the impact of long distance vs. short distance trips on diesel engines, and the fact that most fire truck miles are more damaging on short distance trips. Councilmember Peterson and Fire Chief Segura discussed that the plan is to keep the fire trucks functioning for 18 years, and that the new engines do have newer technology when matching existing truck size. Mayor Pro Tem Posey and Fire Chief Segura discussed potential fuel, repair and maintenance efficiencies with new equipment. Councilmember O'Connell and Fire Chief Segura discussed that these engines are the workhorses of the department and respond to at least 99 percent of incidents. The engine in question needs to be replaced because of life and safety issues for the public, as well as safety for the firefighters. Fire Chief Segura indicated that a component malfunction could endanger lives. Councilmember Peterson and Fire Chief Segura discussed the unit to be placed into reserve status is 15 years old. Councilmember Semeta and Fire Chief Segura discussed some of the details that were considered in selecting this specific engine for replacement. A motion was made by O’Connell, second Hardy to approve the purchase of a replacement fire engine and ambulance and authorize the City Manager to enter into all documents necessary to lease finance the purchase. The motion carried by the following vote: AYES: O’Connell, Posey, Delgleize, Hardy, and Brenden NOES: Semeta, and Peterson COUNCILMEMBER ITEMS Prior to leaving the dais, Councilmember O'Connell recused himself from participating in discussion on Item No. 17 due to his financial interest in Legends Bar which is within 500 feet of the Downtown Business Improvement District. 17. ITEM WITHDRAWN FROM CONSIDERATION — Submitted by Councilmembers Posey and Peterson - Recommended changes to the Downtown Business Improvement District (BID) to include the three Councilmember Liaisons as Voting Members of the designated Advisory Board Mayor Pro Tem Posey announced that after further discussions with Councilmember Peterson, a decision has been made to pull the item from tonight’s agenda with the possibility that it may return at a later date. COUNCILMEMBER COMMENTS (Not Agendized) Councilmember Brenden congratulated the Project Self Sufficiency team for the incredible grant which will allow them to do more amazing work in the community. He reported attending the Stacey Middle School Groundbreaking Ceremony for their new gymnasium and installation of air conditioning. HB -30-Item 3. - 22 Council/PFA Regular Minutes February 6, 2017 Page 12 of 12 Councilmember Hardy reported attending the start of the Surf City USA Marathon/Half Marathon and she was very pleased to see that six Council Members were at the event. She also reported attending the Annual Boys and Girls Club Youth of the Month and Youth of the Year Celebration, and congratulated Ryan Long, Youth of the Year for the Huntington Valley Club. Mayor Pro Tem Posey reported participating in the Dolphin Tank Project at Marina High School, which is the high school version of Shark Tank. He also participated in the Homeless Point-in-Time Count and Survey at 3:30 a.m. at Central Park, the Association of California Cities - Orange County (ACC-OC) City Leader Reception at Angel Stadium, the Local Edition Interview on Charter Communications at Time Warner discussing Huntington Beach Tourism: “The Changing Landscape Along the Ocean Front,” and the start of the Surf City USA Marathon/Half Marathon. Councilmember Semeta reported attending the Friends of the Children's Library Awards Ceremony - Writing and Illustrating Contest at Children's Library, and the start of the Surf City USA Marathon/Half Marathon. Councilmember O'Connell reported also participating in the Homeless Point-in-Time and Count Survey at 3:30 a.m. at Central Park, the Association of California Cities - Orange County (ACC-OC) City Leader Reception at Angel Stadium, and he ran in the Surf City USA Half-Marathon. Mayor Delgleize reported attending the start of the Surf City USA Marathon/Half Marathon, San Onofre Nuclear Station tour, Friends of the Children's Library Awards Ceremony - Writing and Illustrating Contest at Children's Library. Mayor Delgleize also thanked Councilmember O'Connell for heading up the county-wide Point-In-Time Count and Survey for Huntington Beach. ADJOURNMENT — At 7:48 PM to the next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority on Tuesday, February 21, 2017, at 4:00 PM in the Civic Center Council Chambers, 2000 Main Street, Huntington Beach, California. ______________________________________ City Clerk and ex-officio Clerk of the City Council of the City of Huntington Beach and Secretary of the Public Financing Authority of the City of Huntington Beach, California ATTEST: ______________________________________ City Clerk-Secretary ______________________________________ Mayor-Chair HB -31-Item 3. - 23 Dept. ID CS 17-001 Page 1 of 1 Meeting Date: 2/21/2017 Statement of Issue: There is a need to fill one vacancy on the City’s Human Relations Task Force due to an unscheduled resignation. Financial Impact: Not applicable Recommended Action: Accept the resignation of Michael Waldinger and approve the appointment of Natalie Moser for a term to expire December 31, 2019, as recommended by City Council liaisons Hardy and Semeta. Alternative Action(s): Do not approve the recommended appointment to the Human Relations Task Force and direct staff accordingly. Analysis: The Human Relations Task Force (HRTF) was formed in April 1997, with a mission to “promote and celebrate diversity in our community through education and understanding.” Currently the HRTF has one vacancy due to an unscheduled resignation. The vacancy was noticed on the City’s website and the posting boards at City Hall and the Central Library. As a result of this process, and interviews held by the City Council liaisons, the following individual is being recommended for appointment: Natalie Moser – Ms. Moser has been a resident of Huntington Beach for 38 years. She graduated from Marina High School, has a Bachelor of Arts in History from California State Long Beach, and a Masters in Business Administration from Chapman University. While owning her own photography company and teaching Yoga, she has also served as a founding board member of the McKenna Claire Foundation for Pediatric Cancer, a PTO member at Circle View School, as well as a public/inspirational speaker of breast cancer for the California Life Science Association. When asked why she wishes to serve on the HRTF, she responded that she cares deeply about equality for all and feels compelled to get involved as a life-long resident of our city. Environmental Status: Not applicable Strategic Plan Goal: Improve quality of life Attachment(s): Human Relations Task Force Membership Roster CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/21/2017 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Janeen Laudenback, Director of Community Services SUBJECT: Accept resignation and approve appointment to the Human Relations Task Force (HRTF) as recommended by City Council liaisons Hardy and Semeta HB -32-Item 4. - 1 HUMAN RELATIONS TASK FORCE Updated Membership Roster Effective February 21, 2017 MEMBERS WITH TERMS EXPIRING 12-31-2017 NAME Date of Appointment Partial Term Expiration 1st Term Expiration 2nd Term Expiration 1 Shideh Balali Farjoodi 9-6-16 12-31-17 2 Don Garrick 12-21-09 N/A 12-31-13 12-31-17 3 Janice Tyler 1-22-13 12-31-13 12-31-17 4 Sunny Lee-Goodman 1-22-13 12-31-13 12-31-17 MEMBERS WITH TERMS EXPIRING 12-31-2019 NAME Date of Appointment Partial Term Expiration 1st Term Expiration 2nd Term Expiration 5 Natalie Moser* 2-21-17 N/A 12-31-19 6 Youngsun Park 9-6-16 N/A 12-31-19 7 Linda MacDonell 1-17-12 N/A 12-31-15 12-31-2019 8 Angie Dahman 9-16-13 12-31-15 12-31-15 12-31-2019 9 Michelle Gale-Nelson 4-18-16 N/A 12-31-19 *Pending approval by City Council on 2-21-17 HB -33-Item 4. - 2 Dept. ID PW 17-009 Page 1 of 2 Meeting Date: 2/21/2017 Statement of Issue: It is necessary to adopt the subject Resolution in order for the County of Orange to reconstruct their Edinger Avenue Bridge. Financial Impact: No City funds are necessary for this item. Recommended Action: Adopt Resolution No. 2017-09, “A Resolution of the City Council of the City of Huntington Beach Declaring a Portion of Edinger Avenue and Countess Drive Lying Within the City Limits of Huntington Beach to be a County Highway During the Period of Construction of the Edinger Avenue Bridge Project.” Alternative Action(s): Do not adopt the resolution and direct Staff on how to proceed. Analysis: The County of Orange is proposing to reconstruct their Edinger Avenue Bridge, located in the Huntington Harbour area, at the westerly end of Edinger Avenue, leading to the Sunset Aquatic Marina. The elevation of the bridge will be raised, which will necessitate improvements to portions of Edinger Avenue and Countess Drive, within the City limits. The City entered into Agreement No. 13-027 with the County of Orange, dated August 15, 2015. Section 2.4 of the Agreement stipulates that according to the Streets & Highway Code, Section 1700-1704, the City must adopt a resolution temporarily declaring the portions of the City’s streets being improved, as County right-of-way. The right-of-way will revert back to the City upon completion of the project. The County project is expected to start in April, 2016 with a 20-month construction schedule. The County has met with the residents most affected by the project and will continue to be the lead on resident communication. Traffic in the immediate construction area will be maintained at all times and those most affected will be vehicles going across bridge with one-way traffic controlled by a temporary signal. Environmental Status: Not applicable for this action CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/21/2017 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 SUBJECT: Adopt Resolution No. 2017-09 declaring a portion of Edinger Avenue and Countess Drive lying within the city limits of Huntington Beach to be a County Highway during the period of construction of the Edinger Avenue Bridge Project HB -34-Item 5. - 1 Dept. ID PW 17-009 Page 2 of 2 Meeting Date: 2/21/2017 Strategic Plan Goal: Enhance and maintain infrastructure Attachment(s): 1. Resolution No. 2017-09, “A Resolution of the City Council of the City of Huntington Beach declaring a portion of Edinger Avenue and Countess Drive lying within the City limits of Huntington Beach to be a County Highway during the period of construction of the Edinger Avenue Bridge Project” 2. Location Map HB -35-Item 5. - 2 HB -36-Item 5. - 3 HB -37-Item 5. - 4 HB -38-Item 5. - 5 Dept. ID PW 17-012 Page 1 of 2 Meeting Date: 2/21/2017 Statement of Issue: On February 2, 2017, bids were opened for the Edinger Avenue Widening, CC-1528. Staff requests that the City Council award the contract to All American Asphalt, the lowest responsive and responsible bidder. Financial Impact: Funds in the amount of $423,484 are currently available in the Edinger Widening Account No. 20690013.82700. A budget appropriation of $104,000 from the Traffic Impact Fee undesignated fund balance is necessary to cover the 15% contingency and construction management costs. Recommended Action: A) Accept the lowest responsive and responsible bid submitted by All American Asphalt, in the amount of $399,928.00; and, B) Authorize the appropriation of $104,000 from the Traffic Impact Fee undesignated fund balance to the Edinger Widening Account No. 20690013.82700; and, C) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney; and, D) Authorize the Director of Public Works to approve up to fifteen percent (15%) in construction change orders. Alternative Action(s): Reject all bids, and provide staff with alternative direction. Analysis: The Edinger Avenue Widening Project will widen the south side of Edinger Avenue, between Parkside Lane and Beach Boulevard, in order to extend the existing eastbound right-turn lane. The scope of work includes: removal of concrete curb, gutter, sidewalk, driveway aprons, and landscaping; construction of asphalt pavement, concrete curb, gutter, sidewalk, driveway aprons; installation of new street lighting; relocation of existing utilities and Wells Fargo monument sign; CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/21/2017 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 SUBJECT: Award and authorize execution of a Construction Contract in the amount of $399,928 to All American Asphalt for the Edinger Avenue Widening, CC-1528; approve the appropriation of $104,000 from the Traffic Impact Fee undesignated fund balance; and, authorize up to fifteen percent (15%) in construction change orders HB -39-Item 6. - 1 Dept. ID PW 17-012 Page 2 of 2 Meeting Date: 2/21/2017 reconstruction of private, on-site planter areas and replacement of landscaping; signing and striping. The project required acquisition of 1,050 sq. ft. and 168 sq. ft. of additional public right-of- way from the adjacent Wells Fargo bank and Arby’s restaurant, respectively, which are now complete based on prior City Council action. To the extent possible, the project is being coordinated with the Marriott hotel currently under construction at the southeast corner of Edinger Avenue and Parkside Lane. Bids were opened publicly on February 2, 2017. The verified bid amounts are listed below: Bidding Contractor Verified Bid Amount All American Asphalt $399,928.00 HYM Engineering, Inc. $407,755.00 MK Construction $414,218.10 United Engineering & Const. $430,015.00 Aramexx $440,411.00 Excel Paving $486,447.00 Nobest Inc $528,699.20 EBS General Engineering $533,260.00 Wright Construction Engineering Corp. $533,887.00 ODC Engineering & Technology $552,650.00 Staff reviewed the bid package received from All American Asphalt and mathematically verified the total bid amount. As this contractor has done acceptable work on past City projects, staff recommends award of the construction contract to All American Asphalt, in the amount of $399,928. The total estimated project cost, including the construction contract, 15% contingencies, supplementals, and project management is approximately $510,000. A fifteen percent (15%) construction contingency is requested to cover potential costs associated with restoring the private property improvements on both the Wells Fargo bank site and the Arby’s restaurant site. The project was called for in several project traffic impact mitigation measures, hence the use of Traffic Impact Fees. The completion of the project will greatly assist in right-turn movements from Edinger Avenue to Beach Boulevard by enhancing the movement of vehicles which are currently restricted due to traffic queues at Beach Boulevard from vehicles proceeding to the I-405 on-ramp east of Beach Boulevard. Public Works Commission Action: The Public Works Commission reviewed and approved CC-1528 on February 17, 2016, with a vote of 6-0-1 (Stanford absent). Environmental Status: This project is in compliance with CEQA through the mitigation measures included with the Environmental Impact Report approved for Caltrans/OCTA’s I-405 Freeway Project. Strategic Plan Goal: Enhance and maintain infrastructure Attachment(s): 1. Location Map HB -40-Item 6. - 2 SORINGDALE BEACH BLVD VICINITY MAP N.T.S. LOCATION MAP N.T.S. EDINGE AVENU f=1 1=1 WID 7 NING, CC 1528 HB -41-Item 6. - 3 Dept. ID ED 17-03 Page 1 of 2 Meeting Date: 2/21/2017 Statement of Issue: The City Council is asked to approve a Reinstatement and First Amendment to Site Access Agreement (Amendment) between the City of Huntington Beach and Chevron Environmental Management Company (EMC) for temporary access rights onto City-owned property to conduct environmental work under the oversight and direction of the Orange County Health Care Agency (OCHCA). Financial Impact: Not Applicable Recommended Action: Approve and authorize the Mayor and City Clerk to execute the ‘Reinstatement and First Amendment to Site Access Agreement” between the City of Huntington Beach and Chevron Environmental Management Company (EMC) extending the term to February 19, 2019. Alternative Action(s): Do not approve the Agreement and direct staff accordingly. Analysis: In February 2013, the City approved a three-year Site Access Agreement (Agreement) to allow Chevron Environmental Management Company (EMC) access onto City-owned property located at 18477 Beach Boulevard, adjacent to Denny’s Restaurant. The purpose of the Agreement was to allow EMC to perform environmental work under the oversight of OCHCA. EMC has been conducting environmental remediation work at the Chevron gas station facility located at 18501 Beach Boulevard, directly south of the City owned property. Under the direction of the OCHCA, EMC had requested permission to conduct environmental work, including the installation, maintenance, inspection, replacement, periodic sampling, abandonment of boring wells, and the use of those boring wells for the introduction of compounds to facilitate bioremediation, on the City- owned property. The Agreement ensured the City was properly indemnified and held harmless against any claims or liabilities resulting from any environmental work performed by EMC and its subcontractors on the CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/21/2017 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Kenneth A. Domer, Assistant City Manager Kellee Fritzal, Deputy Director, Office of Business Development SUBJECT: Approve and authorize execution of a Reinstatement and First Amendment to Site Access Agreement (Amendment) Between the City and Chevron Environmental Management Company (EMC) to conduct environmental work at 18477 Beach Boulevard HB -42-Item 7. - 1 Dept. ID ED 17-03 Page 2 of 2 Meeting Date: 2/21/2017 City-owned property. In addition to indemnification, EMC agreed to repair portions of the property if they were to be damaged as a result of remediation work. The original Agreement expired on February 19, 2016. OCHCA is requiring EMC to do further environmental work. Therefore, EMC has requested a reinstatement of the Agreement via the Amendment, to complete further monitoring and environmental work. The City Attorney has reviewed and approved the Amendment and staff recommends approval of the Amendment, as this work is necessary to help protect the environment. When completed, the property will be returned to its original condition by EMC. Environmental Status: Not applicable. Strategic Plan Goal: Improve quality of life Attachment(s): 1. Reinstatement and First Amendment to Site Access Agreement 2. Aerial Map of Location HB -43-Item 7. - 2 Station No. 9-8474 REINSTATEMENT AND FIRST AMENDMENT TO SITE ACCESS AGREEMENT This REINSTATEMENT AND FIRST AMENDMENT TO SITE ACCESS AGREEMENT ("First Amendment") is entered into by and between CHEVRON ENVIRONMENTAL MANAGEMENT COMPANY, a California corporation ("EMC"), and CITY OF HUNTINGTON BEACH ("Owner"). RECITALS A. Owner and EMC entered into a Site Access Agreement dated February 19, 2013, ("Agreement") whereby Owner permitted EMC access to the premises located at 18477 Beach Boulevard in the City of Huntington Beach, County of Orange, State of California, APN 159-031- 16 (the "Property") to conduct certain environmental investigation and/or remediation work described in the Agreement. A copy of the Agreement is attached hereto as Attachment I. 13. The Agreement has expired and the parties desire to reinstate and amend the Agreement to extend the term of the Agreement. TERMS AND CONDITIONS NOW, THEREFORE, in consideration of the mutual covenants and promises herein, the parties hereby agree as follows: 1. The foregoing recitals are true and correct and are incorporated herein by reference. 2. Paragraph 3 (Term) of the Agreement is hereby deleted and a new paragraph is inserted as follows: The license granted herein shall expire as of midnight on February 19, 2019 or upon completion of the Work, whichever is earlier. In the event that access to the Property by EMC is necessary beyond the date specified in this paragraph, the parties shall meet and confer upon the terms for the extension of this Agreement, which extension shall not reasonably be denied by Owner. 3. Except as provided in this First Amendment, all of the other terms and conditions set forth and contained in the Agreement shall remain unchanged and in full force and effect. 4. This First Amendment may be executed in one or more counterparts, each of which shall be deemed to be an original instrument. -I - (9-8474 Reinstatement & Amendment to SAA) E&S LAW rev. 02.12.15 (Revised 1216/16) HB -44-Item 7. - 3 ity Attorney Station No. 9-8474 IN WITNESS WHEREOF, the parties have caused this First Amendment to be executed and effective as of the last date set forth below. EMC: Dated: 1 7— CHEVRON ENVIRONMENTAL MANAGEMENT COMPANY, a California corporation By: Name: piLs.y) f\l oq,L, ENViRONMCNTAL. COMM-IA*1ft OF'FiGEk- OWNER: CITY OF HUNTINGTON BEACH Dated: Mayor Dated: Dated: , c-. i Dated: City Clerk INITIATED AND APPROVED DirectoOf Economic Development FORM - 2 - (9-8474 Reinstatement & Amendment to SA4) E&S LAW rev. 02.12.15 (Revised. 12/6e 16) HB -45-Item 7. - 4 Station No. 9-8474 ATTACHMENT 1 SITE ACCESS AGREEMENT - 3 - (9-8474 Reinstatement & Amendment to SAA) E&S LAW rev. 02.1115 (Rev.sed.1216/ HB -46-Item 7. - 5 Attachment I Station No.: 9-8474 SITE ACCESS AGREEMENT THIS SITE ACCESS AGREEMENT ("Agreement") is entered into by and between CHEVRON ENVIRONMENTAL MANAGEMENT COMPANY, a California corporation ("EMC"), and CITY OF HUNTINGTON BEACH ("Owner"). RECITALS A. Owner holds record title to certain real property located at 18477 Beach Boulevard, in the City of Huntington Beach, County of Orange. State of California, APN 159-031-16, as depicted on Exhibit "A" attached hereto and incorporated herein (the "Properly"); B. EMC's affiliate, Chevron U.S.A. Inc. or its dealer, operates a retail service station at 18501 Beach Boulevard, commonly referred to as Service Station No. 9-8474; C. EMC seeks Owner's authorization to access the Property to conduct the Work, as defined in Paragraph 1 (Rights Granted) below; and D. Owner is willing to grant EMC access to the Property for the above-described purposes. TERMS AND CONDITIONS NOW, THEREFORE, in consideration of the mutual covenants and promises herein, the parties hereby agree as follows: 1. RIGHTS GRANTED Owner hereby grants to EMC, its employees, agents, representatives, consultants and contractors, a license over, under and across the Property for the purpose of performing environmental work under government agency oversight or direction (the "Work"). Said Work shall be limited to the installation, maintenance, inspection, replacement, periodic sampling, and abandonment of borings and wells, and the use of those borings and wells for the introduction of compounds to facilitate bioremediation. Prior to the installation of any new equipment on the Property, EMC and Owner shall work together to determine the appropriate location for the new equipment Owner agrees to cooperate with EMC, including the execution of additional documents, if necessary, in order to obtain permits or other documents from a government agency required to install, abandon or remove EMC's equipment. 2. PERFORMANCE OF THE WORK EMC agrees, at its sole cost and expense, to conduct and perform the Work in a prompt, safe, efficient and workmanlike manner and in compliance with all applicable federal, state or local laws, regulations or ordinances. - 1 - (82107) EPG rev. 02/0912010 12-3374182107 HB -47-Item 7. - 6 Attachment I Station No.: 9-8474 3. TERM This Agreement shall terminate upon the earlier of three (3) years from the Effective Date (defined below) or upon completion of the Work. The Agreement can be renewed at EMC's option for additional three (3) year periods by providing written notice to Owner. 4. RESTORATION If entry onto the Property by EMC, or exercise by EMC of any of its rights or obligations under this Agreement, result in any physical damage to the Property, EMC shall promptly repair and restore the portions of the Property damaged to substantially the same condition as existed prior to the damage or exercise of such right or obligation. 5. INDEMNITY EMC hereby agrees to protect, defend, indemnify and hold harmless Owner, 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 consequential damage or liability of any kind or nature, including those resulting from death or injury to EMC's employees and damage to EMC's property, arising directly or indirectly out of the obligations or operations herein undertaken by EMC, caused in whole or in part by any negligent act or omission of EMC, any EMC 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 sole willful misconduct of the Owner. EMC will conduct all defense at its sole cost and expense and Owner shall approve selection of EMCs counsel, which approval shall not be unreasonably withheld. Owner shall be reimbursed for all costs and attorney's fees incurred by Owner in enforcing this obligation. 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 EMC. 6. INSURANCE EMC and its consultants shall meet the insurance requirements set forth in Exhibit "B" attached hereto and incorporated herein. In lieu of insurance coverage, EMC maintains a self-administered claims program with respect to its duties hereunder. Owner acknowledges that EMC has met the insurance requirements of Exhibit "B" by providing Owner with the statement of self-insurance attached hereto as Exhibit "C". 7. LIENS EMC shall discharge at once or bond or otherwise secure against all liens and attachments that are filed in connection with the Work, and shall indemnify and save Owner and the Property harmless from and against any and all loss, damage, injury, liability and claims thereof resulting directly from such liens and attachments. - 2 - (82/07) EPG icy. 02109/2010 12-33741821117 HB -48-Item 7. - 7 Attachment 1 Station No.: 9-8474 8. NOTICES Any notices required to be made under this Agreement shall be made in writing to the address of the appropriate party as set forth below. All such notices shall be deemed to have been duly given and received upon mailing, delivery by courier or personal delivery service, or by email, provided that email delivery shall be effective when the sender has received an electronic confirmation of delivery. Parties may alter or modify their notice address by delivery of written notice pursuant to the terms of this Agreement. To EMC: To Owner: Chevron Environmental Management Company Marketing Business Unit 145 S. State College Blvd. Brea, CA 92821 Attn.: Sharon Vasquez, Property Specialist, SS # 9-8474 Phone: (714) 371-3262 Email: SharonVasquez@Chevron.com City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Attn.: Mr. Mike Green Phone: (714) 536-5224 Email: Michael.Green@surfcity-hb.org 9. REPORTS Each party shall promptly provide the other with copies of all final reports, laboratory test results, and other communications submitted to a government agency regarding the Work performed on the Property. 10. APPLICABLE LAW This Agreement shall be interpreted, and any dispute arising hereunder shall be resolved, in accordance with the substantive laws of the State of California, without reference to choice of law rules. 11. ALTERNATIVE DISPUTE RESOLUTION (ADR) If a dispute arises between the parties relating to this Agreement, the parties agree to use the following procedure prior to pursuing other legal remedies: (a) A meeting among the parties shall promptly be held in California, attended by individuals with decision-making authority regarding the dispute, who will attempt in good faith to negotiate a resolution of the dispute. (b) If within fifteen (15) days after the meeting, the parties have not succeeded in negotiating a resolution of the dispute, they agree to submit the dispute to mediation - 3 - (82107) EPG rev. 02/0912010 12-3374/82107 HB -49-Item 7. - 8 Attachment I Station No.: 9-8474 using a mediator who is mutually acceptable, and to bear equally the costs of the mediation. (c) The parties agree to participate in good faith in the mediation process related to their dispute for a period of thirty (30) days from the commencement of mediation. If the parties are not successful in resolving the dispute through mediation, then: (1) if both parties agree, they may submit the matter to a binding arbitration or a private adjudicator; or (2) either party may initiate litigation upon ten (10) days advance written notice to the other party. 12. COUNTERPARTS This Agreement may be executed in counterparts, all of which together shall constitute one and the same agreement. 13. INTEGRATION This document represents the entire agreement between the parties. The parties acknowledge that this Agreement supersedes and replaces any and all prior agreements between the parties regarding the subject matter herein. No modification of the temis hereof shall be effective unless in writing and duly executed by the authorized representatives of the respective parties. 14. NO ADMISSION OF LIABILITY The parties acknowledge and agree that neither this Agreement, the act of entering into it, nor any act or omission pursuant hereto shall be construed as an admission of any nature. 15. COMPLIANCE WITH LAWS Throughout the term of this Agreement, EMC and Owner shall at all times comply fully with all applicable laws, ordinances, rules, and regulations of any governmental agency having jurisdiction over the Property. - 4 - (82107) EPG rev. 02/09/2010 12-3374/82107 HB -50-Item 7. - 9 Attachment 1 Station No.: 9-8474 16. BINDING EFFECT This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective heirs, successors and assigns. Owner shall promptly notify EMC of any transfer of its interest in the Property and shall provide a copy of this Agreement to any and all transferees. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed and effective as of the last date set forth below. EMC: Dated: Oece---6cr ) 3 , 2012 OWNER: CHEVRON ENVIRONMENTAL MANAGEMENT COMPANY, a California corporation By: AWAY' , Name: cot re,..) rode I I ts: Ass ,^4 S ce+o ry , CIEY OF BENTING.TON BEACH Dated: FTe-bru-a-0 ,2013 - 5 - (82)07) EPG rev. 02109/2010 12-3314182107 HB -51-Item 7. - 10 Attachment 1 Station No.: 9-8474 EXHIBIT "A" TAX ASSESSOR'S MAP DEPICTING LOCATION OF THE PROPERTY - 6 - (82/07) EPG rev. 0210912010 [2-3374/82107 HB -52-Item 7. - 11 Attachment 1 EXHIBIT "A” Fyn. SE 1/11. NE 114. SEC. 35. 7 - 5 S. R 11 if t59-03 Ara mr as mown rere noma Mum Affra, art. IMP MI OA V. attrAire NE Ain .14r 148:1 IV ttfl ra le127,22W-P. savorwro 1MPSE &Voir SUESS* no, fl L7-35 MARCH 1973 TRACT la 799 TRACT M. 8183 PARCE1 MIP J1.4 14-78 M. 329-48. 4 • P.M. 16-4. 155-38 NOTE - ASSESSOR'S BLOCK d PARCEL NUMERS swim IN CIRCLES ASSESSOR'S NAP . OMR 159 1.:40E 03 COUNTY OF ARANBE HB -53-Item 7. - 12 Attachment 1 Station No.: 9-8474 EXHIBIT "B" OWNER'S INSURANCE REOUIREMENTS - 7 - (82107) EPG rev. 02/09/2010 12-3374/2101 HB -54-Item 7. - 13 Attachment I Elam=Er • CITY OF HUNTINGTON BEACH Phone: 714-374-5378 Fax: 714-536-5212 Insurance Requirements vary for different applicants. Please see the below listed applicant types followed by the insurance requirements. • City of Huntington Beach Resolution 2008-53 requires that contractors, pennittees, licensees/lessees and vendors have an approved Certificate of Insurance on file with the City of Huntington Beach for the issuance of any permit or city contract. The insurance certificate must be approved by the City Attorney's Office as to meeting all of the city's insurance requirements. An original certificate is required or aPDE version attached to an email may be forwarded. If the insurance certificate is faxed, it must come directly from the insurance provider to the City of Huntington Beach. All insurance must be torn a California admitted carrier with a current A.M. Best's Rating of no less than AtVII 1. CONTRACTORS — Any persons or entities or Contract with the City and/or provide service to the City which are readily available and efficiently procured by competitive bidding. Requirements.' General Liability, Workers Compensation. Auto Liability, Additional insured Endorsements 2. DESIGN PROFESSIONALS- Professional Service contractors who contract with the City and/or provide architectural and/or engineering services to the City. RequirementS: Errors and Emissions (Professional Liabilio) $L000,000 coverage 3. LICENSEES/LESSEES any person or entities who make contract with the city for the use of public property. Requirements: General Liability, Workers' Compensation, Property insurance (full replacement costs with no coinsurance penalty provision), Additional insured Endorsement 4. PERM:IMES — any persons or entities who make application to the City for any use of encroachment upon any street, waterway, pier, or City property. Requirements: General Liability, Wonrcers ' Compensation, Auto Liability, Additional Insured Endorsements 5. PROFESSIONAL SERVICES — means those services, which involve the exercise of professional discretion and independent judgment on an advanced or specialized knowledge, expertise or training gained by formal studies or experience or services which are not readily or efficiently procured by competitive bidding pursuant to Huntington Beach Municipal Code Section 3.02. Such Services 9hti1l include but not be limited to those services provided by appraisers, architects, attorneys, engineers, instructors, insurance advisors, pbysicians and other specialized consultants. Requirements: Errors and Emissions (Professional Liability) $1,000,000 coverage Private Property Work Permit Requirements — If the planned work does not involve public property or its right-of-way (e.g. sidewalk/street), the Workers' Compensation Certificate is the only insurance requirement However, if the work site is adjacent or attached to public property, the City Attorney's Office must be informed for consideration of liability and decides whether or not to approve the certificate with a. specific "Private Property Only" approval stamp. HB -55-Item 7. - 14 Attachment 1 EXHIBIT "8" > General Liability (G/L) — The general liability requirement is for $1,000,000 with "per occurrence" type claims coverage and a separate "Additional Insured Endorsement" page 'listing both the policy number and naming the "City of Huntington Beach, its officers, elected or appointed officials, employees, agents and volunteers" as additional insured on the endorsement. (see below for Additional Insured requirements) A Additional Insured Endorsement Requirements—The City, its officers, elected or appointed officiaLs, employees, agents and volunteers are to be specifically named and covered as additional insureds by separate attached endorsement(s) as respects liability arising out of action performed „by.or on behalf of the contractor, products and completed operations of the contractor, premises owned, occupied or used by the contractor, or automobiles owned, teased or borrowed by the contractor. The coverage shall contain no special limitations on the scope of protection afforded in the City, its agents, officers and employees. The endorsement should include the policy number it correlates to. • Primary Insurance — General Liability Insurance coverage shall be primary insurance as respects the City, its agents, officers, and employees. Any insurance or self-insurance maintained by the City, its agents, officers, and employees shall be excess of the submitted insurance and shall not contribute with it. > Description of work The staff contact and purpose of the evidence of coverage must be identified on the certificate of insurance, A Automotive Insurance—Automobile insurance requirement is for $1,000,000 end a separate "Additional Insured Endorsement" page listing both the policy number and naming the "City of Huntington Beach, its officers, elected or appointed officials, employees, agents and volunteers" as additional insured on the endorsement Pennittees who do not use vehicles or equipment in connection with the permit can request to waive the Auto insurance requirement A Worker's Compensation Insurance (W/C) — The Walker's Compensation insurance requirement is the State statutory limits of $250,000 bodily injury by disease, policy limit, and $100,000 bodily infury each employee for accident or disease per eceurrence. Certificate holder listed on the certificate is: City of Huntington Beach, 2000 Main St., Huntington Beach, CA 92648. If your organization/company has no compensated employees working on the project, you may complete and return a "Non-Employer Straus" form to be used in lieu of a W/C insurance certificate. A Cancellation Clause Notice The cancellation clause must contain a thirty (30) day melee. A ten (10) day notice for non-payment of premium is acceptable in combination with 30 day notice. A Professional Liability — Coverage must be provided at a minimum of $1,000,000 per occurrence and in the aggregate. > Deductibles— The following deductibles are acceptable and all others must be removed from the insurance policy or a waiver can be requested (No allowances for SIR): o General Liability - $5,000 o Auto Liability -$1,000 o Professional Liability/Errors & Emissions- $l0,000 > Waiver Procedure — If unable to comply with a requirement, the "INSURED" may request a waiver of a specific requirement. The Insurance Waiver form is an internal form that the City of Huntington Beach will complete. (see following page for waiver form) The exeepaon to the waiver IS the GIL & Auto "Arklitional insured Endorsement" page. HB -56-Item 7. - 15 Attachment I EXHIBIT "B" Waiver Procedure To request a waiver, indicate hereD and provide a brief description ( 1 —2 sentences) of the proposed work/project, its dollar value (if not a specific dollar amount, use an average, annual estimate or non-profit) and projected fimeframe (per job or as-needed basis). For substantial dollar deductible/SIR mounts, a financial statement is required (Balance Sheet, Budget Reports, Dun & Bradstreet Report, etc.). Waiver Requested: Encroachment PermitD Private Property Work PermitO Consultant ServicesD Other: Proposed Work: Dollar Value: Projected :rimeframe: HB -57-Item 7. - 16 Attachment 1 Station No.: 9-8474 EXHIBIT "C" EMC'S SELF-INSURANCE LETTER - 8 - (2107) En rev. 02/0912010 12-3374/82107 HB -58-Item 7. - 17 Attachment 1 EXHIBIT "C" 3ames D. Lyneas Assistant Treasurer Insurance Division Treasury Department Cheyrurs Corporation oQ Sollingei-Canyon San Ramon, CA 04563 Tel 925 642 Etna Fax 925 842 6007 trl_yness@chevron.corn June 6,2012 City of Huntington Beach 2000 Main Street l-Inntington Beac.h, CA 92648 Site Amen Agreement between aleVrDe Environmental .Management Company and Oty of Huntington Beath for Premises Located at 13477 Beach Blvd, Huntington Beach, CA Chevron Stagern No 9-3474 Dear Sir/Madrun: Chevron Corporation:and its subsidiaries _are coyereci tor property and liability exposures through major worklWide insurance progintris With largedeductibleS. Losses thnt .fall witin theSe deductible including those for vi .rhicbaChevron company is contraoinaily liable, are paid Through the financial resources of the Company and are administered by Chevron Corporation under its Self-Administered Claims Program, hereinafter referral to as the Program. This is to advise-you that the property/liability insurance requirements of the subject agreement fail within the deductible levels of Chevron's. insurance programs. Therefore, losses for which Chevron is responsible undeethe agreernentwill be handled under the above-deSoribed .Program. The ,sccip6 of this Program is equal to the insarance .requirements of the subject agreement. fintheradVise you -tinit Workers' CerriPensation insurance requirementS for Chevron companies are satisfied through insured/selfred,programS depending Upon the location of the employees workplace. U. S. Longshore and Harbor Workers' Act coverage is self-insured. Unless canceled earlier, fhb letter will remain in effect until the expiration or earlier terminal:16n of the subject agreement (or any renewal thereof). If this program is canceled or materially changed, we will provide you with 30 days' written notice. Sincerely, cc: April Rutter RAVir/bjb MIREASURYISHARaiNSURANCEMEM MANAGiMENRWCIRMSACLSICITY'OF 1411KUNG174 BEACH sz-lanoc HB -59-Item 7. - 18 Attachment 2 Map of Access Agreement Area Denny’s Restaurant City Parcel APN: 159‐031‐16 HB -60-Item 7. - 19 Dept. ID PW 17-010 Page 1 of 2 Meeting Date: 2/21/2017 Statement of Issue: A Landscape Maintenance Agreement between the City and the State of California and a License Agreement between the City and Blue Sky HB, LLC (owner/developer) are presented for City Council approval and execution for the Beach Medical Office Building redevelopment project at 17752-17762 Beach Boulevard (at the intersection with Newman Avenue). Financial Impact: No funding is required for this action. Recommended Action: A) Approve and authorize the Mayor and City Clerk to execute the “Landscape Maintenance Agreement Within State Highway Right of Way on Route 39 Within the City of Huntington Beach” with the State of California Department of Transportation for the Beach Medical Office Building project (Attachment 1); and, B) Approve and authorize the Mayor and City Clerk to execute and record the “License Agreement Between the City of Huntington Beach and Blue Sky HB, LLC, to Provide Installation and Maintenance of Landscaping Improvements in the Public Right-of-Way” for the Beach Medical Office Building project (Attachment 2). Alternative Action(s): A) Do not authorize execution of the Landscape Maintenance Agreement within State Highway Right of Way on Route 39 within the City of Huntington Beach and direct staff accordingly. This alternative action will prevent the developer from satisfying the Conditions of Approval for this project; B) Do not authorize execution of the License Agreement between the City of Huntington Beach and Blue Sky HB, LLC, to Provide Installation and Maintenance of Landscaping Improvements in the Public Right-of-Way, and direct staff accordingly. Absent this License Agreement, the City would be responsible for the installation and maintenance of the landscaping and hardscape. This alternative action would result in increased future maintenance costs for the City and will prevent the developer from satisfying the Conditions of Approval for this project. CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/21/2017 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 SUBJECT: Approve and authorize execution of a Landscape Maintenance Agreement with the State of California Department of Transportation and a License Agreement with Blue Sky HB, LLC for the Beach Medical Office Project at 17752-17762 Beach Boulevard HB -61-Item 8. - 1 Dept. ID PW 17-010 Page 2 of 2 Meeting Date: 2/21/2017 Analysis: The Beach Medical Office Building redevelopment project is located at 17752-17762 Beach Boulevard; at the southeast corner of Beach Boulevard and Newman Avenue. The project’s development requirements include the construction and responsibilities for future maintenance of landscaping and hardscape improvements within the public right-of-way along its street frontages. To document this responsibility, the developer/owner is required to execute the appropriate landscape maintenance agreement for all landscaping, irrigation, street furniture and enhanced hardscape that encroaches into the State (Caltrans) right-of-way along Beach Boulevard and into the City right-of-way along Newman Avenue. In addition to landscaping and irrigation, the agreement also addresses sidewalk cleaning, trash cans, disposal of trash, signs, tree replacement and all other aspects of maintenance for areas in State and City right-of-way. It is Caltrans’ policy to only enter into such agreements with other governmental agencies, not with private developers/owners. Consequently, there are two agreements necessary to adequately address this landscape maintenance responsibility: one agreement between the State of California and the City of Huntington Beach (Attachment 1), and a second companion agreement between the City and the private developer/owner (Attachment 2), which effectively transfers the maintenance responsibility from the City to the developer/owner. These agreements are similar to other developments along Beach Boulevard and Edinger Avenue that the City has entered into over the last several years based on newer developments along the two corridors. Public Works Commission Action: Not applicable for this request. Environmental Status: The subject request is exempt pursuant to the California Environmental Quality Act. Strategic Plan Goal: Enhance and maintain infrastructure Attachment(s): 1. “Landscape Maintenance Agreement Within State Highway Right of Way on Route 39 Within the City of Huntington Beach” 2. “License Agreement Between the City of Huntington Beach and Blue Sky HB, LLC, to Provide Installation and Maintenance of Landscaping Improvements in the Public Right-of-Way” HB -62-Item 8. - 2 LANDSCAPE MAINTENANCE AGREEMENT WITHIN STATE HIGHWAY RIGHT OF WAY ON ROUTE 39 WITHIN THE CITY OF HUNTINGTON BEACH THIS AGREEMENT is made effective this day of , 2016, by and between the State of California, acting by and through the Department of Transportation, hereinafter referred to as "STATE" and the CITY of Huntington Beach; hereinafter referred to as "CITY" and collectively referred to as "PARTIES". SECTION I RECITALS 1. PARTIES desire to work together to allocate their respective obligations relative to newly constructed or revised improvements within STATE'S right of way by Permit Number 1215-6MC-0705 2. This Agreement addresses CITY responsibilities which can include, but are not limited to landscaping, planting, irrigation systems, mulches, control, litter and weed removal (collectively the "LANDSCAPING") as well as CITY responsibilities which can include but are not limited to pavers, sidewalks, driveway, Biofiltration Swales, street lights and parking restriction signs (collectively the "IMPROVEMENTS") placed within State Highway right of way on State Route 39, as shown on Exhibit A, attached to and made a part of this Agreement. NOW THEREFORE, IT IS AGREED AS FOLLOWS: SECTION II AGREEMENT 3. In consideration of the mutual covenants and promises herein contained, CITY and STATE agree as follows: 3.1. PARTIES have agreed to an allocation of maintenance responsibilities that include, but are not limited to, inspection, providing emergency repair, replacement, and maintenance, (collectively hereinafter "MAINTAIN/MAINTENANCE") of LANDSCAPING and IMPROVEMENTS as shown on said Exhibit "A." 3,2. When a planned future improvement is constructed and/or a minor revision has been effected with STATE's consent or initiation within the limits of the STATE's right of way herein described which affects PARTIES' division of maintenance responsibility as described herein, PARTIES will agree upon and execute a new dated and revised Exhibit "A" which will be made a part hereof and will thereafter supersede the attached original Exhibit "A" to thereafter become a part of this Agreement. The new exhibit can be executed only upon written consent of the PARTIES hereto acting by and through their authorized representatives. No formal amendment to this Agreement will be required. HB -63-Item 8. - 3 4. CITY agrees, at CITY expense, to do the following: 4.1. CITY may install, or contract, authorizing a licensed contractor with appropriate class of license in the State of California, to install and thereafter will MAINTAIN LANDSCAPING conforming to those plans and specifications (PS&E) pre-approved by STATE. 4.2. The degree or extent of maintenance work to be performed, and the standards therefore, shall be in accordance with the provisions of Section 27 of the Streets and Highways Code and the then current edition of the State Maintenance Manual. 4.3. CITY will submit the final form of the PS&E, prepared, stamped and signed by a licensed landscape architect, for LANDSCAPING to STATE's District Permit Engineer for review and approval and wilt obtain and have in place a valid necessary encroachment permit prior to the start of any work within STATE'S right of way. All proposed LANDSCAPING must meet STATE's applicable standards. 4.4. CITY shall ensure that LANDSCAPED areas designated on Exhibit "A" are provided with adequate scheduled routine MAINTENANCE necessary to MAINTAIN a neat and attractive appearance. 4.5. An Encroachment Permit rider may be required for any changes to the scope of work allowed by this Agreement prior to the start of any work within STATE's right of way. 4.6. CITY contractors will be required to obtain an Encroachment Permit prior to the start of any work within STATE's right of way. 4.7. To furnish electricity for irrigation system controls, water, and fertilizer necessary to sustain healthy plant growth during the entire life of this Agreement. 4.8. To replace unhealthy or dead plantings when observed or within 30 days when notified in writing by STATE that plant replacement is required. 4.9. To prune shrubs, tree plantings, and trees to control extraneous growth and ensure STATE standard lines of sight to signs and corner sight distances are always maintained for the safety of the public. 4.10. To MAINTAIN, repair and operate the irrigation systems in a manner that prevents water from flooding or spraying onto STATE highway, spraying parked and moving automobiles, spraying pedestrians on public sidewalks/bike paths, or leaving surface water that becomes a hazard to vehicular or pedestrian/bicyclist travel. 4.11. To control weeds at a level acceptable to the STATE. Any weed control performed by chemical weed sprays (herbicides) shall comply with all laws, rules, and regulations established by the California Department of Food and Agriculture. 2 HB -64-Item 8. - 4 CITY shall report all chemical spray operations quarterly (using Form LA17) to the STATE at the address below: Department of Transportation District 12, Maintenance Maintenance Manager 1750 East Fourth Street, Suite 100 Santa Ana, CA 92705 4.12. To remove LANDSCAPING, IMPROVEMENTS and appurtenances and restore STATE owned areas to a safe and attractive IMPROVEMENTS condition acceptable to STATE in the event this Agreement is terminated as set forth herein. 4.13. To furnish electricity and MAINTAIN lighting system and controls for all street lighting systems installed by and for CITY. 4.14. To inspect LANDSCAPING and IMPROVEMENTS on a regular monthly or weekly basis to ensure the safe operation and condition of the LANDSCAPING. 4.15. To expeditiously MAINTAIN, replace, repair or remove from service any LANDSCAPING and IMPROVEMENTS system component that has become unsafe or unsightly. 4.16. To MAINTAIN all sidewalks/bike paths within the Agreement limits of the STATE highway right of way, as shown on Exhibit A, at CITY expense. MAINTENANCE includes, but is not limited to, concrete repair, replacement and to grind or patch vertical variations in elevation of sidewalks/bike paths for an acceptable walking and riding surface, and the removal of dirt, debris, graffiti, weeds, and any deleterious item or material on or about sidewalks/bike paths or the LANDSCAPING and IMPROVEMENTS in an expeditious manner. 4.17. To MAINTAIN - all parking or use restrictions signs encompassed within the area of the LANDSCAPING. 4.18. To allow random inspection of LANDSCAPING, IMPROVEMENTS, street lighting systems, sidewalks/bike paths and signs by a STATE representative. 4.19. To keep the entire landscaped area policed and free of litter and deleterious material. 4.20. All work by or on behalf of CITY will be done at no cost to STATE. 5. STATE agrees to do the following: 5.1. May provide CITY with timely written notice of unsatisfactory conditions that require correction by the CITY. However, the non-receipt of notice does not excuse CITY from maintenance responsibilities assumed under this Agreement. 3 HB -65-Item 8. - 5 5.2. Issue encroachment permits to CITY and CITY contractors at no cost to them. 6. LEGAL RELATIONS AND RESPONSIBILITIES: 6.1. Nothing within the provisions of this Agreement is intended to create duties or obligations to or rights in third parties not party to this Agreement, or affect the legal liability of either PARTY to this Agreement by imposing any standard of care respecting the design, construction and maintenance of these STATE highway improvements or CITY facilities different from the standard of care imposed by law. 6.2. If during the term of this Agreement, CITY should cease to MAINTAIN the LANDSCAPING and IMPROVEMENTS to the satisfaction of STATE as provided by this Agreement, STATE may either undertake to perform that MAINTENANCE on behalf of CITY at CITY's expense or direct CITY to remove or itself remove LANDSCAPING and IMPROVEMENTS at CITY's sole expense and restore STATE's right of way to its prior or a safe operable condition. CITY hereby agrees to pay said STATE expenses, within thirty (30) days of receipt of billing by STATE. However, prior to STATE performing any MAINTENANCE or removing LANDSCAPING and IMPROVEMENTS STATE will provide written notice to CITY to cure the default and CITY will have thirty (30) days within which to affect that cure. 6.3. Neither CITY nor any officer or employee thereof is responsible for any injury, damage or liability occurring by reason of anything done or omitted to be done by STATE under or in connection with any work, authority or jurisdiction arising under this Agreement. It is understood and agreed that STATE shall fully defend, indemnify and save harmless CITY and all of its officers and employees from all claims, suits or actions of every name, kind and description brought forth under, including, but not limited to, tortious, contractual, inverse condemnation and other theories or assertions of liability occurring by reason of anything done or omitted to be done by STATE under this Agreement with the exception of those actions of STATE necessary to cure a noticed default on the part of CITY. 6.4. Neither STATE nor any officer or employee thereof is responsible for any injury, damage or liability occurring by reason of anything done or omitted to be done by CITY under or in connection with any work, authority or jurisdiction arising under this Agreement. It is understood and agreed that CITY shall fully defend, indemnify and save harmless STATE and all of its officers and employees from all claims, suits or actions of every name, kind and description brought forth under, including, but not limited to, tortious, contractual, inverse condemnation or other theories or assertions of liability occurring by reason of anything done or omitted to be done by CITY under this Agreement. 7. PREVAILING WAGES: 71 Labor Code Compliance- If the work performed on this Proje.ct is done under contract and falls within the Labor Code section 1720(a)(1) definition of a "public 4 HB -66-Item 8. - 6 work" in that it is construction, alteration, demolition, installation, or repair; or maintenance work under Labor Code section 1771. CITY must conform to the provisions of Labor Code sections 1720 through 1815, and all applicable provisions of California Code of Regulations found in Title 8, Chapter 8, Subchapter 3, Articles 1-7. CITY agrees to include prevailing wage requirements in its contracts for public work. Work performed by CITY'S own forces is exempt from the Labor Code's Prevailing Wage requirements. 7.2. Requirements in Subcontracts - CITY shall require its contractors to include prevailing wage requirements in all subcontracts funded by this Agreement when the work to be performed by the subcontractor is a "public work" as defined in Labor Code Section 1720(a)(1) and Labor Code Section 1771. Subcontracts shall include all prevailing wage requirements set forth in CITY's contracts 8. INSURANCE 8.1. SELF-INSURED - CITY is self-insured. CITY agrees to deliver evidence of self- insured coverage providing general liability insurance, coverage of bodily injury liability and property damage liability, naming the STATE, its officers, agents and employees as the additional insured in an amount of $1 million per occurrence and $2 million in aggregate and $5 million in excess. Coverage shall be evidenced by a certificate of insurance in a form satisfactory to the STATE that shall be delivered to the STATE with a signed copy of this Agreement in a form satisfactory to STATE, along with a signed copy of the Agreement. 8.2. SELF-INSURED using Contractor - If the work performed on this Project is done under contract CITY shall require its contractors to maintain in force, during the term of this agreement, a policy of general liability insurance, including coverage of bodily injury liability and property damage liability, naming the STATE, its officers, agents and employees as the additional insured in an amount of $1 million per occurrence and $2 million in aggregate and $5 million in excess. Coverage shall be evidenced by a certificate of insurance in a form satisfactory to the STATE that shall be delivered to the STATE with a signed copy of this Agreement. 9. TERMINATION - This Agreement may be terminated by timely mutual written consent by PARTIES, and CITY's failure to comply with the provisions of this Agreement may be grounds for a Notice of Termination by STATE. 10. TERM OF AGREEMENT -This Agreement shall become effective on the date first shown on its face sheet and shall remain in full force and effect until amended or terminated at any time upon mutual consent of the PARTIES or until terminated by STATE for cause. PARTIES are empowered by Streets and Highways Code Section 114 & 130 to enter into this Agreement and have delegated to the undersigned the authority to execute this Agreement on behalf of the respective agencies and covenants to have followed all the necessary legal requirements to validly execute this Agreement. 5 HB -67-Item 8. - 7 IN WITNESS WHEREOF, the PARTIES hereto have set their hands and seals the day and year first above written, THE CITY OF HUNTINGTON BEACH, a STATE OF CALIFORNIA Municipal Corporation of the State of DEPARTMENT OF TRANSPORTATION California MALCOLM DOUGHERTY Director of Transportation By: Mayor/Chairmen Initiated and Approved By: By: C, City Manager ATTEST: James Pinheiro Deputy District Director Operations and Maintenance District 12 By: City Clerk As to Form and Procedure: By: City Attorney 6 HB -68-Item 8. - 8 INITIATED AND APPROVED: Director of Public Works IN WITNESS WHEREOF, the PARTIES hereto have set their hands and seals the day and year first above written. CITY OF HUNTINGTON BEACH, STATE OF CALIFORNIA a California Municipal Corporation DEPARTMENT OF TRANSPORTATION MALCOLM DOUGHERTY Mayor Director of Transportation By: City Clerk REVIEWED AND APPROVED: City Manager James Pinheiro Deputy Director of Transportation Operations and Maintenance District 12 6 HB -69-Item 8. - 9 NEWMAN AVE (HUNTINGTON?BEACI-1) STATE R /CITY R/W 06,- u ro 1' (r) STATE 13,A± ADDRESS: 17752-17762 BEACH BLVD. HUNTINGTON BEACH, CA APN: 167-601-01 C.: POST MILE: 3.85 =El EXHIBIT "A" SCALE: 1"=60' :AU LANDSCAPE AND IMPROVEMENTS AREA WITHIN STATE RIGHT OF WAY TO BE MAINTAINED BY THE CITY MEDICAL OFFICE BLDG. 17752-17762 BEACH BLVD HUNTINGTON BEACH, CA DRC ENGINEERING, INC Date: 01/31/2017 Sheet:1 of 1 LEGEND HB -70-Item 8. - 10 ,e STATE OF CALIFORNIA • DEPARTMENT OF TRANSPORTATION REPORT OF CHEMICAL SPRAY OPERATIONS LA- 17 (REV. 04/2001) ADA Notice For individuals with sensory disabilities, this document is available in alternate formats. For information call (916) 654-6410 or TOO (916) 654-3880 or write Records and Forms Management, 1120 N Street, MS-89, Sacramento, CA 95814. REPORT OF CHEMICAL SPRAY OPERATIONS CONTRACTOR CHEMICAL MIXTURE AND PERCENT ACTIVE MATERIAL WATER RATE APPLICATION PER SQUARE FOOT OR ACRE CHECK PROPER BOX WEEK ENDING DATE PROJECT DESCRIPTION PLANTING SPRAYED PEST KILLED PROEJCT Numsm DESCRIPTION OF AREA (STA., LOOP, ETC.) >— ‹ MON >- 0 2 Z ,cc—J a: CHEMICAL USED >— AIBICID C/) C.) LI: GROUNDCOVER BROADLEAF 0 SCALE, MOTH, ETC. TUE WED THU FRI SAT CONTRACTOR'S REPRESENTATIVE RESIDENT ENGINEER COMMENTS: COPY TO: DISTRICT MAINTENANCE FOR FILE HB -71-Item 8. - 11 RECORDING REQUESTED BY: CITY OF HUNTINGTON BEACH WREN RECORDED MAIL TO: City Clerk City of Huntington Beach P.O. Box 190 / 2000 Main Street Huntington Beach, CA 92648 Fee exempt per Govenament Code § 6103 SPACE ABOVE THIS LINE FOR RECORDER'S USE LICENSE AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND BLUE SKY 1113, LLC, TO PROVIDE INSTALLATION AND MAINTENANCE OF LANDSCAPING AND LANDSCAPING IMPROVEMENTS IN THE PUBLIC RIGHT-OF-WAY This License Agreement (the "Agreement") is made and entered into by and between the CITY OF HUNTINGTON BEACH, a California municipal corporation, hereinafter referred to as "CITY," and BLUE SKY HB, LLC, a Nevada Limited Liability Company, hereinafter referred to as "LICENSEE." WHEREAS, BLUE SKY HB, LLC, is the owner of certain real property located in the City of Huntington Beach, County of Orange, State of California, which is more particularly described in the legal description attached hereto as Exhibit "A" and incorporated by this reference (the "Property"); and CITY is the owner of those certain areas in the immediate vicinity of the Property that are depicted on Exhibit "B" attached hereto and incorporated herein by this reference (the "Improvement Areas"); and In connection with the development of the Property, CITY and LICENSEE desire to assign responsibility for the installation and maintenance of landscaping and hardscaping within the Improvement Areas, as defined below in Section 5, and the costs associated therewith in accordance with plans and specifications submitted by LICENSEE and as reasonably approved by CITY; and By this Agreement, CITY and LICENSEE desire to clarify and specifically delineate their obligations with respect to the installation and maintenance of landscaping within the Improvement Areas, NOW, THEREFORE, in consideration of the promises and agreements hereinafter made and exchanged, CITY and LICENSEE covenant and agree as follows: 16-5255/136535/DO 1 HB -72-Item 8. - 12 I. GRANT OF LICENSE. Subject to terms and conditions hereinafter set forth, CITY hereby grants to LICENSEE a non-exclusive, revocable license ("License") to install and maintain landscaping and hardscaping within the Improvement Areas pursuant to the terms as set forth in this Agreement. 2. TERM. The term of the License (the "Term") granted herein shall be perpetual, provided that CITY may terminate the License and this Agreement upon thirty (30) days written notice to LICENSEE. 3. TERMINATION. In the event of any such termination, the CITY may, at its option, either: (a) at its sole expense, disconnect existing water and electrical supply sources to the Improvement Areas from the Property (leaving the water and electrical systems serving the Property fully functional and in compliance with law), and construct and reconnect CITY water and electrical supply sources to the Improvement Areas, or (b) continue to use water and electricity from the Property for the Improvement Areas, in which case CITY shall agree in writing, upon tenus acceptable to the parties, to reimburse LICENSEE on a monthly basis for the reasonable costs of such water and electricity, and, at its sole expense, to maintain in a good condition and repair the portion of the water and electrical systems located in the Improvement Areas. 4. DESCRIPTION OF IMPROVEMENTS. All improvements installed within the Improvement Areas shall be as depicted on those certain plans and specifications as approved by the CITY relative to the Property and the subject development thereof. The landscaping and other improvements within the Improvement Areas for which LICENSEE, at its sole cost at no expense to the CITY, shall install, repair, maintain, and/or replace in accordance with the terms of this License shall be collectively referred to as the "LICENSEE'S Improvements" and includes the following: Landscaping, Irrigation Systems and Plant Material: Plants and trees in accordance with the Landscaping Plans relative to the Property and the subject development thereof submitted by LICENSEE and approved by the CITY and the irrigation systems serving the same. Hardscaping: Enhanced and concrete paving including sidewalks, driveways, access ramps and stairs in accordance with the precise grading plans relative to the Property and the subject development thereof submitted by LICENSEE and approved by the CITY. 5. MAINTENANCE RESPONSIBILITIES. At LICENSEE'S sole cost and expense and during the Term, LICENSEE agrees to perform all maintenance responsibilities for the Improvement Areas, including, but not limited to: sidewalk cleaning; trash disposal; signs; pedestrian scale lighting (defined as 14-foot high street lamps);watering; repairing and/or adjusting irrigation systems when failures occur; fertilizing; cultivating; edging; performing general planting and trimming or other corrective gardening; spraying grass and plants with both insecticides and herbicides; and, generally keeping the Improvement Areas in a clean, secure and attractive condition, taking into consideration normal growth of the landscape materials and a continuation of the aesthetic quality of the area. During the Term, LICENSEE agrees to maintain and keep the Improvement Areas in good condition and repair, free and clear of litter and debris and free from any nuisances and to comply with all health and police regulations, in all respects at all times. LICENSEE agrees to dispose of litter and debris in 16-5255/136535/DO HB -73-Item 8. - 13 a sanitary and legal manner and location. All of the responsibilities listed in this Paragraph 5 (including subparts) shall collectively be referred to as "Maintenance Responsibilities," and shall apply only during the Tenn. (a) Maintenance of Trees and Plants. LICENSEE's maintenance obligations shall include watering, repairing, maintaining, adjusting and monitoring irrigation systems when failures occur, fertilizing, edging, performing general planting and trimming or other corrective maintenance, spraying with insecticides and herbicides, and generally keeping the Improvement Areas in a clean, secure and attractive condition, taking into consideration normal growth of the landscape materials and a continuation of the aesthetic quality of the Improvement Areas, including but not limited to the following: I. Provide and apply fertilizer as necessary to sustain healthy growth. 2. Maintain the Improvement Areas to allow access by CITY personnel to CITY facilities and in a condition that is substantially free from weeds, debris and harmful insects at all times. 3. Keep plantings trimmed to eye pleasing appearance. 4. Use only those pesticides and fertilizers approved by the State of California and in a manner consistent with label and legal restrictions. 5. Remove and replace unhealthy, dead, invasive or unplanned plantings as they are observed. 6. Keep the entire area policed and free of litter and deleterious material. LICENSEE shall provide trash pick-up, sweeping, and clean-up as required to ensure no offensive odors, gum, wax, litter, liquids or other materials are allowed to remain on or stain paving, planters, containers, decorative features, artwork or other surfaces. 7. Maintain, repair and operate irrigation system in a manner that prevents water from flooding onto the right-of-ways. 8. All tree trimming shall be done by an I.S.A. Certified Arborist or an I.S.A. Certified tree worker under the direct supervision of an I.S.A. Certified Arborist. Said trimming shall be per the International Society of Arborist, A.N.S.I. 300A standards. Any tree work not conforming to these requirements shall be subject to damage assessment by the City of Huntington Beach Tree Supervisor. Damages may potentially lead to penalties which can involve removing and replacing the damaged tree with an approved replacement of the same size that was originally planted, and payment of fines equal to the value of the original (damaged) tree. Any fines shall be payable by LICENSEE to the CITY. 9. If for any reason LICENSEE is unable to maintain the Improvement Areas in a manner satisfactory to the CITY, LICENSEE shall re-landscape the Improvement Areas to a condition acceptable to the CITY at LICENSEE's sole cost and expense. 16-5255/136535/DO 3 HB -74-Item 8. - 14 10. Control and maintain the Improvement Areas such that no landscaping or plant materials growth, or irrigation water spray, obstructs or hinders vehicular or pedestrian traffic, or encroaches across or onto any bicycle path, sidewalk, public access area, the street right-of-way from the edge of the curb/gutter to the center of any street right-of-way. 11. Conform to all applicable Best Management Practices set forth in the CITY'S Local Implementation Plan Section A-9, Existing Development Exhibit A-9.11, BMP Fact Sheet 1C7 Landscape Maintenance and the Arboricultural and Landscape Standards Specification issued by the Department of Public Works. (b) Maintenance of Hardscape Material. LICENSEE's maintenance obligations shall include all concrete and enhanced hardscaping material including all sidewalks, driveways, access ramps and stairs. Maintenance includes, but is not limited to, linear root barriers, concrete repair and replacement, grinding or patching variations in elevation of sidewalks and driveways for an acceptable riding surface, and the removal of dirt, debris, graffiti, weeds, and any other deleterious items or material on or about the sidewalks or driveways in an expeditious manner (c) Utilities Serving the Improvement Areas. LICENSEE shall bear the expense of electricity and any other utility necessary to serve the Improvement Areas. LICENSEE shall be responsible for using such utilities in a secure and hazardless manner, complying in all respects with applicable codes and ordinances. (d) Signage. LICENSEE shall repair and maintain during the Tenn any signage constructed and installed on the Improvement Areas by LICENSEE. 6. PLANS AND SPECIFICATIONS. Throughout the Term, LICENSEE shall perform, at its sole cost and expense, any and all repairs, replacements or refurbishing to the Improvements which LICENSEE constructs in the Improvement Areas as necessary to bring the Improvements into an operating condition, all in accordance with plans and specifications as submitted by LICENSEE to CITY, which plans and specifications shall be subject to the prior written approval of CITY. No changes, modifications, or alterations may be made to the Improvement Areas without the prior written consent of CITY. 7. MATERIAL ALTERATIONS. After the approval of the plans and specifications and the installation of the Improvements in the Improvement Areas in accordance with the plans and specifications, no material changes, modifications or alterations may be made to the Improvement Areas without the prior written consent of CITY. 8. CITY REQUIREMENTS. LICENSEE, or anyone performing work on behalf of LICENSEE, shall be properly licensed by CITY for any work performed on the Improvement Areas. Furthermore, LICENSEE, or anyone performing work on behalf of LICENSEE, shall acquire the proper encroachment permit and comply with all other CITY requirements prior to performing any work on Improvement Areas in the public right-of-way. 9. CITY RIGHT TO INSPECT. CITY shall have the right to inspect the Improvement Areas at any time to ensure that LICENSEE is performing its obligations hereunder. CITY and LICENSEE shall negotiate in good faith to come to a mutual agreement as to the time and date for such inspections. 16-5255/136535/DO 4 HB -75-Item 8. - 15 10. DAMAGE TO IMPROVEMENT AREAS. In the event any damage is caused to any pathways, sidewalks, curbs, gutters, street furniture, street lights, medians, streets or utilities as a result of the installation by Licensee of the landscaped material installed on the Improvement Areas and/or the performance of the maintenance responsibilities of the Improvement Areas by Licensee, LICENSEE agrees to repair same at its own expense. In the event that damage is caused by the acts of any person to any portion of the landscaped area or in the event any equipment is broken or breaks or is destroyed or in the event vegetation rots or dies, said equipment or vegetation shall be replaced or restored within ten (10) calendar days of the date of the breakage or destruction. Stolen items will be considered destroyed for purposes of this Section 10. 11. REPAIR BY CITY. Except as otherwise provided for in this License, in the event any damage is caused to any of the LICENSEE's Improvements within the Improvement Areas as a result of the installation, maintenance and/or repair work performed by the CITY or its contractors, agents or employees within the Improvement Areas, CITY shall promptly repair the same at its own expense. 12. COOPERATION. In the event both LICENSEE and CITY are required to repair damage to the improvements the parties shall cooperate with each other so as to minimize the costs incurred by each of them. 13. MECHANICS' LIENS. LICENSEE agrees not to suffer any mechanics' lien(s) to be filed against the Improvement Areas by reason of any work, labor, services or material performed at or furnished to the Improvement Areas, by or through LICENSEE. LICENSEE shall, at its sole cost and expense, cause any mechanics' lien(s) which may be filed against the Improvement Areas to be released or bonded or affirmatively insured within sixty (60) days after the date of filing of such mechanics' lien(s). Nothing in this Agreement shall be construed as consent on the part of the CITY to subject the CITY's estate in the Improvement Areas to any mechanics' lien(s) or liability under the mechanics' lien laws of the State of California. 14. ASSIGNMENT. The License herein granted is personal to LICENSEE and any attempt to assign the License to any entity shall require the prior approval of CITY and is subject to the provisions set forth in Section 37 below. Notwithstanding the foregoing, assignment of the License to a LICENSEE affiliated entity or to a successor owner of the Property shall not require prior approval of CITY. Other than the License granted hereunder, LICENSEE hereby expressly waives any claim to or interest or estate of any kind or extent whatsoever in the Improvement Areas arising out of the License or out of LICENSEE'S use or occupancy of the Improvement Areas, whether now existing or arising at any future time. This License is appurtenant to the Property and may not be separately assigned apart from the Property or the interests therein. LICENSEE shall give notice in writing to CITY of any such assignment and delegation; such notice shall include the mailing address of the delegee, and will become the delegee's address for service of notices. LICENSEE hereby covenants for itself and its successors and assigns, that conveyance of any fee title interest in the Property (other than a security interest granted in connection with a financing by Licensee) shall constitute an assumption by any successors, assigns or transferees of LICENSEE, of the obligations under this License, and upon such conveyance, the predecessor in interest of such assuming party shall be deemed relieved from any further obligations or responsibilities under this License. 15, WORKERS COMPENSATION INSURANCE. Pursuant to California Labor Code §1861, LICENSEE and its successors or assigns acknowledges awareness of Section 3700 et seq. of said California Labor Code, which requires every employer to be insured against liability for workers' 16-5255/136535/DO 5 HB -76-Item 8. - 16 compensation. LICENSEE covenants that it will comply with such laws and provisions prior to conducting any activity pursuant to this license. LICENSEE shall maintain such Workers' Compensation Insurance in an amount of not less than One Million Dollars ($1,000,000) bodily injury by accident, each occurrence, One Million Dollars ($1,000,000) bodily injury by disease, each employee, and One Million Dollars ($1,000,000) bodily injury by disease, policy limit, at all times incident hereto, in forms and underwritten by insurance companies reasonably satisfactory to CITY. LICENSEE shall require all subcontractors retained by LICENSEE to perform work hereunder to provide such workers' compensation insurance for all of the subcontractors' employees. LICENSEE shall furnish to CITY a certificate of waiver of subrogation under the terms of the workers' compensation insurance and LICENSEE shall similarly require all subcontractors to waive subrogation. 16. OTHER INSURANCE. In addition to the workers' compensation insurance in Section 15 above and LICENSEE's covenant to indemnify CITY in Section 18 below, LICENSEE or its successors or assigns shall obtain and furnish to the CITY and carry at all times incident hereto, on all activities to be performed in the Improvement Areas as contemplated herein, general liability insurance including coverage for bodily injury, property damage and motor vehicle coverage. All insurance shall be underwritten by insurance companies reasonably satisfactory to CITY. Said insurance shall name the CITY as Additional Insureds and shall specifically provide that any other insurance which may be applicable to all activities to be undertaken by LICENSEE concerning the Improvement Areas shall be deemed excess coverage and that LICENSEE's insurance shall be primary. Said policy of insurance shall pay on behalf of LICENSEE, its officers, agents, and employees, while acting within the scope of their duties, against any and all claims of liability arising out of or in connection with all activities to be undertaken by LICENSEE concerning the Improvement Areas affected by the license. LICENSEE shall subscribe for and maintain said insurance policies in full force and effect during the life of this Agreement, in an amount 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, such limit shall be not less than One Million Dollars ($1,000,000). In the event of aggregate coverage, LICENSEE shall immediately notify CITY of any known depletion of limits LICENSEE shall require its insurer to waive its subrogation rights against CITY. 17. CERTIFICATE OF INSURANCE; ADDITIONAL INSURED ENDORSEMENTS. Prior to conducting any activity pursuant to this Agreement, LICENSEE shall furnish to CITY certificates of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverage as required by this Agreement; said certificates shall provide the name and policy number of each carrier and policy; and shall state that the policy is currently in force; and shall promise to provide that such policies will not be canceled or modified without providing notice to CITY in accordance with policy provisions. LICENSEE shall maintain the foregoing insurance coverage in force until the Term of this Agreement has expired or this Agreement is terminated. The requirement for carrying the foregoing insurance coverage shall not derogate the obligations of LICENSEE under this Agreement. CITY or its representative shall at all times have the right to demand a copy of all said policies of insurance. LICENSEE shall pay, in a prompt and timely manner, the premiums on all insurance hereinabove required. A separate copy of the additional insured endorsement to LICENSEE's liability policy as required hereunder, naming the CITY as Additional Insureds, shall be provided to the CITY Attorney for approval prior to the commencement of any work by LICENSEE pursuant to this Agreement. 16-5255/136535/DO 6 HB -77-Item 8. - 17 18. INDEMNIFICATION AND HOLD HARMLESS. LICENSEE hereby agrees to protect, defend, indemnify and hold and save harmless CITY, its officers, and employees, and assigns (hereinafter collectively called "Indemnified Parties") against any and all liability, claims, judgments, penalties, damages, expenses, costs and demands, including without limitation reasonable attorneys' fees, however caused, including those resulting from death or injury to any person (including without limitation any Indemnified Party), and damage to any property, real or personal, of any kind wherever located and by whomever owned (including, without limitation, property owned by an Indemnified Party), which injury, death or physical damages arises directly or indirectly out of the grant of license herein contained or the activities to be undertaken by LICENSEE (or LICENSEE's officers, employees, agents, contractors, LICENSEEs, or invitees) concerning the Improvement Areas, caused in whole or in part by any negligent act or omission of the LICENSEE, any of its contractors, subcontractors, or anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable (collectively, the "LICENSEE Parties"), including but not limited to concurrent active or passive negligence of the LICENSEE Parties, except to the extent caused by the negligence or willful misconduct of CITY or any of its agents, contractors, subcontractors, officers, or employees. City shall provide immediate notice to LICENSEE whereupon LICENSEE shall conduct any defense required hereunder at its sole cost and expense. 19. INDEPENDENT CONTRACTOR. LICENSEE agrees that all work done or undertaken by it on the Improvement Areas shall be for its sole account and not as an agent, servant or contractor for CITY. 20. RULES AND REGULATIONS. LICENSEE agrees to obey and observe (and cause its officers, employees, contractors, invitees and all others doing business with LICENSEE to obey and observe) all rules and regulations of general applicability regarding the Improvement Areas as may be reasonably established by CITY at any time and from time to time during the Teini of this Agreement. 21. DEFAULT. In the event LICENSEE does not perform, or cause to be performed, any of the Maintenance Responsibilities as contemplated by this Agreement, CITY shall first provide written notice to LICENSEE in the manner and at the address for notices provided in Section 23, describing the alleged default by LICENSEE. If LICENSEE fails to cure said default within thirty (30) calendar days following the date of delivery of such notice of default, CITY may thereafter cause such maintenance to be performed, and all actual and reasonable costs incurred shall be assessed to and billed directly to the LICENSEE. Any invoice for such costs incurred shall include copies of paid invoices evidencing the costs incurred. Payment from LICENSEE shall be due within thirty (30) calendar days following the date of receipt of invoice. In addition, one and a half (1-1/2%) interest per month shall be added for each month payment hereunder is due but unpaid. 22. APPLICABLE LAW. LICENSEE shall, at its sole cost and expense, faithfully observe in the use and occupation of the Improvement Areas all municipal ordinances, and all state and federal statutes now in force and which may hereafter be in force, and shall fully comply, at its sole expense, with all regulations, orders, and other requirements issued or made pursuant to any such ordinances and statutes. All building permits, business licenses and other applicable permits and licenses shall be secured and paid for by LICENSEE. 23. NOTICES. Any notice or special instructions required to be given in writing under this Agreement shall be given either by personal delivery to LICENSEE (as designated herein) or to CITY as the situation shall warrant, or by enclosing the same in a sealed envelope and sent (i) postage 16-52551136535/DO 7 HB -78-Item 8. - 18 prepaid, and depositing the same in the United States Postal Service, via certified or registered mail, or (ii) using nationally recognized overnight courier service, or (iii) via facsimile transmission (with a copy to also be placed in the United States Mail), and addressed as follows: TO CITY: City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 ATTN: Director of Public Works Tel: (714) 536-5431 Facsimile: (714) 374-1573 TO LICENSEE: BLUE SKY HB, LLC ATTN: Thomas LeBeau, President 2 Corporate Plaza Drive, Suite 230 Newport Beach, CA 92660 Facsimile: (949) 856-1045 Any mailing address or telefacshnile number may be changed at any time by giving written notice of such change in the manner provided above at least ten (10) days prior to the effective date of the change. All notices under this Agreement shall be deemed given, received, made or communicated on the date personal receipt actually occurs or, if mailed, on the delivery date or attempted delivery date shown on the return receipt. A person may not give official or binding notice by facsimile. The effective time of a notice shall not be affected by the receipt, prior to the receipt of the original, of a facsimile copy of the notice. 24. CAPTIONS AND TERMS. The captions and section numbers appearing in the Agreement are for convenience only and are not a part of the Agreement and do not in any way limit, amplify, define, construe or describe the scope of intent of the terms and provisions of this Agreement, or in any way affect this Agreement. 25. RECORDATION. LICENSEE shall record this Agreement in the Official Records of the County of Orange, State of California. 26. NON-EXCLUSIVITY. This License is non-exclusive, and the Improvement Areas shall at all times be open to use by the general public. 27. NONDISCRIIVIINATION. LICENSEE agrees that in the performance of this Agreement and use of the Improvement Areas it will not engage in, discrimination against any person because of race, religious creed, color, national origin, ancestry, physical handicap, medical condition, marital status or sex. 28. COOPERATION. LICENSEE shall in good faith cooperate in connection with its respective rights and obligations under this Agreement, including, but not limited to, performing any acts and executing any further documents that may be reasonably necessary to effectuate the purposes of or rights conferred under this Agreement. 29. SEVERABILITY. If any provision of this Agreement shall to any extent be deemed to be invalid or unenforceable, the remainder of this Agreement shall not be affected thereby. Each provision of this Agreement, unless specifically conditioned upon such invalid or unenforceable provision, shall be valid and enforceable to the fullest extent permitted by law. 16-5255/136535/00 8 HB -79-Item 8. - 19 30. ENTIRE AGREEMENT. This Agreement, together with any attachments hereto or inclusions by reference, constitutes the entire agreement between the parties hereto relating to the rights herein granted and the obligations herein assumed, and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements, and understandings, if any, between the parties hereto with respect to the rights and obligations contained herein. Any oral representations or modifications concerning this instrument shall be of no force or effect except a subsequent modification in writing, approved by the CITY and signed by the parties to be charged. 31. ATTORNEY'S FEES. If any action or proceeding is brought by either party against the other under this Agreement, whether for interpretation, enforcement or otherwise, each party shall bear its own attorneys' fees. The prevailing party shall not be entitled to recover its attorneys' fees from the nonprevailing party. 32. CITY RIGHT TO ENFORCE. Notwithstanding the provisions of Section 31 above, LICENSEE acknowledges and agrees that CITY has the right and standing, but not the obligation, to enforce any of the terms of this Agreement by any appropriate legal or equitable means and shall be entitled to reimbursement for any costs incurred in enforcing this Agreement. LICENSEE shall provide CITY with, and at all times keep current, contact information for LICENSEE and any property manager acting on its behalf. 33. GOVERNING LAW. This Agreement shall be governed, construed, interpreted, and enforced under and in accordance with and governed by the laws of the State of California. 34. AMENDMENTS. This Agreement may be amended, modified, and/or supplemented only by the written agreement of LICENSEE and CITY, or the successors and assigns of each. 35. COVENANTS. Each of the covenants set forth in this Agreement (i) shall run with the land; (ii) shall be binding upon, and shall inure to the benefit of, any person or entity having or acquiring any interest in any portion of any property benefited or burdened thereby, during the period of such person's or entity's ownership, and all of their respective successive owners and assigns; and (iii) shall be binding upon, and shall inure to the benefit of, the property benefited or burdened thereby and every portion thereof and interest therein. The License granted by this Agreement is subject to all matters of record as of the effective date of this Agreement. 36. DELEGATION OF AUTHORITY. CITY hereby delegates to its City Manager or his or her designee the authority to implement all provisions of this Agreement. 37. EXCLUSIVE BENEFIT OF PARTIES. The provisions of this Agreement are for the exclusive benefit of CITY and LICENSEE and their successors and assigns, subject to the provisions hereof, and neither for the benefit of nor give rise to any claim or cause of action by any other person. 38. SURVIVAL. All representations, warranties, waivers, and indemnities given or made hereunder shall survive termination of this Agreement. 39. AUTHORITY TO SIGN. LICENSEE hereby represents that the individual executing this Agreement on behalf of LICENSEE has full authority to do so and to bind LICENSEE to pedant' pursuant to the terms and conditions of this Agreement. 16-5255/136535/DO 9 HB -80-Item 8. - 20 LICENSEE: BLUE SKY H B, LLC a Nevada p,imited LiAbility Company REVIEWED AND APPROVED: 45 LJit print name ITS: (circle one) Secretary/Chief Financial Officer/ Asst. Secretary-Treasurer IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers on 2016. print name ITS (circle one) Chairman/President/Vice President CITY: CITY OF HUNTINGTON BEACH, a California municipal corporation Mayor City Clerk City Manager 16-5255/136535/DO 10 HB -81-Item 8. - 21 NOTARY 16-5255/136535 HB -82-Item 8. - 22 3 WITNESS my h4nd and official seal. A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA COUNTY OF On VA.A.:7, , before me, a notary public, personally appeared ".--Ircup-m4,5 who proved to me on the basis of satisfactory evidence to be the person(s'rwhose name(s). is/ate-subscribed to the within instrument and acknowledged to me that he/she/thy executed the same in his/her-/their authorized capacity(ies), and that by his/fret/their signature(s)on the instrument the person(s )f,-or the entity upon behalf of which the person(s)-acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. (SEAL) JEANINE MILLER COMMISSION 0 zoteon n Notary Public - Colibrnia _ORANGE_ ....COM_ TY My Comm. Expiret Apt A. 207 TrusteeCertificationRED (Rev 06/14) HB -83-Item 8. - 23 COUNTY OF (SEAL) WITNESS my hand and official seal.. A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA On ct 1/C-6\,4, 7/ &DIA before me, a notary public, personally appeared "`"\-Nrs\f„,,(-4\có a,LA who proved to me on the basis of satisfactory evidence to be the person* whose name) is/are- subscribed to the within instrument and acknowledged to me that he/se/they executed the same in his/hat:/their authorized capacity(ies)-; and that by his/I-her/their signature(s)bn the instrument the person c< or the entity upon behalf of which the person(sracted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. JEANINE MILLER COMMISSION 0 2016043 Cl 1 Notary Public- California i 2 0 , '.. ORANGE COUNTY ' ;4::717, I/ My comm. Wires AK a 2017 3 TrusteeCertificationRED (Rev 06/14) HB -84-Item 8. - 24 EXHIBIT "A" LEGAL DESCRIPTION THAT PORTION OF THE NORTH HALF OF THE SOUTHWEST QUARTER OF THE SOUTHWEST QUARTER OF SECTION 25, TOWNSHIP 5 SOUTH, RANGE 11 WEST, IN THE RANCHO LAS BOLSAS, CITY OF HUNTINGTON BEACH, AS PER MAP RECORDED IN BOOK 51, PAGE 13 OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWEST CORNER OF THE EAST HALF OF THE NORTHEAST QUARTER OF THE SOUTHWEST QUARTER OF THE SOUTHWEST QUARTER OF SAID SECTION 25; THENCE SOUTH 89 0 32' 12" WEST 442.75 FEET ALONG THE SOUTH LINE OF SAID NORTH HALF; THENCE NORTH 00° 27' 48" WEST 266.08 FEET TO THE SOUTHEAST CORNER OF PARCEL 4 AS DESCRIBED IN A DEED TO HUNTINGTON ASSOCIATES RECORDED JUNE 7, 1968 IN BOOK 8624, PAGE 63 OF OFFICIAL RECORDS; THENCE SOUTH 89 ° 32' 12" WEST 297.00 FEET ALONG THE SOUTHERLY LINE OF SAID PARCEL 4 TO THE SOUTHWEST CORNER THEREOF, SAID CORNER BEING THE TRUE POINT OF BEGINNING; THENCE CONTINUING SOUTH 89° 32' 12" WEST 220.96 FEET TO A POINT ON THE EAST RIGHT OF WAY LINE OF BEACH BOULEVARD, 132,00 FEET WIDE; THENCE NORTH 00 ° 44' 01" WEST 345.92 FEET ALONG SAID EAST LINE TO THE MOST WESTERLY CORNER OF PARCEL 2 AS DESCRIBED IN A DEED TO THE CITY OF HUNTINGTON BEACH RECORDED SEPTEMBER 21, 1966 IN BOOK 8054 PAGE 600 OF OFFICIAL RECORDS; THENCE ALONG THE NORTHWEST LINE OF SAID PARCEL 2, NORTH 44 ° 15' 59" EAST 14.08 FEET TO THE SOUTH RIGHT OF WAY LINE OF NEWMAN AVENUE, DESCRIBED AS PARCEL 1 IN SAID DEED TO THE CITY OF HUNTINGTON BEACH; THENCE NORTH 89 ° 26' 44" EAST 212.68 FEET ALONG SAID SOUTH RIGHT OF WAY LINE TO THE NORTHWEST CORNER OF PARCEL 9 AS DESCRIBED IN SAID DEED TO HUNTINGTON ASSOCIATES; THENCE SOUTH 00° 27' 48" EAST 356.25 FEET ALONG THE WEST LINE OF SAID PARCELS 9 AND 4 TO THE TRUE POINT OF BEGINNING. EXCEPT THAT PORTION THEREOF DESCRIBED AS PARCEL 2 IN THE DEED TO THE CITY OF HUNTINGTON BEACH, RECORDED SEPTEMBER 21, 1966, IN BOOK 8054, PAGE 600 OF OFFICIAL RECORDS. J.N. 14-429 DATE: 06/02/2016 EXHIBIT "A" - LEGAL DESCRIPTION CITY OF HUNTINGTON BEACH, CALIFORNIA dEIFIC - Engineering, Inc. Civil Efigilleerhig/laffd Surveying/land Plannifig Page 1 of 1 MO S. Old Slip hoi, 513. Whim U,Coffer* 128E 085-1160 HB -85-Item 8. - 25 EXHIBIT "B" NEIWAN AVE (HUNI1A1GrON BEACH) ITY R/W V AV ARM% A' I 1 LEGEND LANDSCAPE AND IMPROVEMENTS AREA WITHIN srATE RIGHT OF WAY TO BE MAINTAINED BY 17-IF LICENSEE LANDSCAPE AND IMPROVEMENTS AREA WITHIN CITY RIGHT OF WAY TO BE MAINTAINED BY THE LICENSEE BEACH BLVD (CAL TRANS) CU ADDRESS: 17752-17762 BEACH BLVD. HUN1INGTON BEACH, CA SCALE: 1"=60' 11131;111C Engineering, Inc. Civil Engineering/Land Surveying/Land Planning 160 S. Old Springs Road Suite 210 Anaheim Hs, CA 92808 711-685-6860 INIEDInAL 0.,= ICJ BLDG. 17752-17762 BEACH BLVD HUNTINGTON BEACH, CA HB -86-Item 8. - 26 Dept. ID PW 17-003 Page 1 of 3 Meeting Date: 2/21/2017 Continued from February 6, 2017 Statement of Issue: The Orange County Transportation Authority (OCTA), in cooperation with California Department of Transportation (Caltrans), is proposing to improve Interstate 405 between State Route 73 and Interstate 605. As a part of this project, OCTA will need to relocate two (2) existing City of Huntington Beach Water Pipelines. Each pipeline has a separate Utility Agreement (UA). These UAs acknowledge that the City has prior rights for each these pipelines, which obligates OCTA to pay for the relocation. These UAs also provides OCTA with a mechanism to reimburse the City for actual engineering reviews, inspections, staff time, and other expenses incurred during construction. Financial Impact: The UAs allows OCTA to reimburse the City for all actual engineering review, inspection, staff time, and other expenses incurred during the construction of these pipelines. Staff has estimated the total cost toward the relocations to the City of Huntington Beach at $118,060. Funds for these activities are included in Water Fund business unit 50685801. These costs will be reimbursed by OCTA on a time and material basis as invoiced by City Staff at the time the services are provided. The UAs also require the City to provide a credit to OCTA for the depreciation of each pipeline. The depreciation credit for both pipelines combined is $60,479. Each UA subtracts the depreciation credit from the estimate of expenses that will be incurred by the City to obtain a total cost to OCTA. Recommended Action: Authorize the Mayor and City Clerk to execute Orange County Transportation (OCTA) Utility Agreements UK041241 and UK041106, and return all signed original agreements to OCTA for their final approval. Alternative Action(s): Reject Utility Agreements and provide direction to staff. Analysis: The Interstate 405 (I-405) freeway improvement project has been developed by OCTA in cooperation with Caltrans and local agencies to improve capacity and facility operations between State Route 73 and Interstate 605. The project is primarily funded by Renewed Measure M (M-2) and has been approved for a design-build approach. As a part of this project, three (3) existing CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/21/2017 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 SUBJECT: Approve and authorize execution of Orange County Transportation Authority's Utility Agreements No. UK041241 and UK041106 for the relocation of two (2) City of Huntington Beach Water Pipelines for the 405 Widening Project HB -87-Item 9. - 1 Dept. ID PW 17-003 Page 2 of 3 Meeting Date: 2/21/2017 Continued from February 6, 2017 potable water pipelines will require relocations and/or modifications. These potable water pipelines are located at Newland Street and the I-405, Edinger Avenue and the I-405, and at Sugar Avenue (McFadden Avenue) and the I-405. OCTA has prepared UAs for two of the three City-owned pipelines, of which the City has established prior rights, and they are located in Edinger Avenue and Newland Street. A third UA for the pipeline located in Sugar Avenue will be presented to Council at a later date. City’s prior rights were established in documents from the California Division of Highways (Caltrans processor agency), which relocated these pipelines when the I-405 freeway was initially constructed. The prior rights obligate OCTA to provide for the relocation of these City-owned facilities at OCTA’s expense. OCTA has estimated that the relocation of the pipeline in Newland Street will cost $3,200,000, and $1,800,000 for the pipeline in Edinger Avenue. The final engineering design plans will be provided by OCTA’s Design-Build contractor. The following table summarizes the calculation of reimbursements to the City. Description OCTA Utility Agreement No. / City Project CC# Estimated City’s Engineering Inspection, and Water Utility Cost (Reimbursable) “A” Depreciation Credit Calculated per Chapter 13 of the State High Way Manual S&H Code 705 Credit to OCTA (Cost to City) “B” Net Estimated Costs to OCTA = A - B 22-inch Pipe by Newland & I-405 UK041106 /CC1520 $59,430 $44,277 $15,153 12-inch Pipe by Edinger & I-405 UK041241 /CC1521 $58,630 $16,202 $42,428 Total $118,060 $60,479 $57,581 Public Works Commission Action: Not applicable for the project is being funded and constructed through OCTA. Environmental Status: Not applicable Strategic Plan Goal: Enhance and maintain infrastructure Attachment(s): 1. Location Maps 2. Two (2) sets of Orange County Transportation Authority Utility Agreement No. UK 0401106. 3. Two (2) sets of Orange County Transportation Authority Utility Agreement No. UK 0401241. 4. Depreciation Credit for the Edinger Pipeline, UK 041241. 5. Depreciation Credit for the Newland Pipeline UK 041106. 6. City of Huntington Beach Estimate of Cost to Relocate the Newland Pipeline. 7. City of Huntington Beach Estimate of Cost to Relocate the Edinger Pipeline. HB -88-Item 9. - 2 Dept. ID PW 17-003 Page 3 of 3 Meeting Date: 2/21/2017 Continued from February 6, 2017 HB -89-Item 9. - 3 HB -90-Item 9. - 4 HB -91-Item 9. - 5 ORANGE COUNTY TRANSPORTATION AUTHORITY UTILITY AGREEMENT DISTRICT :=2.11JJNI\I""Hir 12 ((*..nge FEDERAL AID NUMBER HPLULN-6071(043) FEDERAL PARTICIPATION ROUTE POST MILE 1-405 9.3-24.2 OWNER'S PLAN NUMBER N/A PROJECT ID 1200000180 EA 12-0H1000 On the project YES El NO On the Utilities L YES NO UTILITY AGREEMENT NO. UK041106 DATE The Orange County Transportation Authority (OCTA) in cooperation with the California Department of Transportation ("Caltrans") is proposing to improve Interstate 405 between State Route 73 and Interstate 605 (Project). OCTA and Caltrans have entered into Cooperative Agreement No. 12-697 relating to the Project under which Caltrans will provide Project oversight and upon completion of the Project, Caltrans will continue to own and maintain the Interstate 405. City of Huntington Beach Hereinafter referred to as "OWNER", owns and maintains the following (the "Utility Facilities") • 20-inch PVC in 30-inch steel in 36-inch steel casing (connects to 24-inch over channel, 22-inch in Newland Street) along Newland Street crossing 1-405 within the limits of the OCTA Project which requires relocation to accommodate the OCTA Project. It is hereby mutually agreed between OCTA and OWNER as follows: I. WORK TO BE PERFORMED In accordance with Notice to Owner No's UK041106 dated 12/6/2016, OCTA shall relocate OWNER' s Utilities Facilities as shown on OCTA' s contract plans for the improvement of Interstate 405, EA 12-0H1000 which by this reference are made a part hereof. OWNER hereby acknowledges review of OCTA's plans for work and agrees to the construction in the manner proposed. Deviations from the plan described above initiated by either OCTA or the OWNER, shall be agreed upon by both parties hereto under a Revised Notice to Owner. Such Revised Notices to Owner, approved by OCTA and agreed to/acknowledged by the OWNER, will constitute an approved revision of the plan described above and are hereby made a part hereof No work under said deviation shall commence prior to written execution by the OWNER of the Revised Notice to Owner. Changes in the scope of the work will require an amendment to this Agreement in addition to the revised Notice to Owner. OWNER shall have the right to inspect the work during construction. Upon completion of the work by OCTA, OWNER agrees to accept ownership and maintenance of the constructed facilities and relinquishes to OCTA ownership of the replaced facilities, except in the case of liability determined pursuant to Water Code 7034 or 7035. 04-25-2016 HB -92-Item 9. - 6 UTILITY AGREEMENT (Cont.) Page 2 of 5 UTILITY AGREEMENT NO. UK041106 II. LIABILITY FOR WORK Existing facilities are located in their present position pursuant to rights superior to those of STATE and will be relocated at OCTA expense. III. PERFORMANCE OF WORK OWNER shall have access to all phases of the relocation work to be perfolined by OCTA, as described in Section 1 above, for the purpose of inspection to ensure that the work is in accordance with the specifications contained in the OCTA Contract; however, all questions regarding the work being performed will be directed to OCTA's Resident Engineer for their evaluation and final disposition. Use of out-of-state personnel (or personnel requiring lodging and meal "per diem" expenses) will not be allowed without prior written authorization by OCTA's representative. Requests for such authorization must be contained in OWNER's estimate of actual and necessary relocation costs. Accounting Form FA-1301 is to be completed and submitted for all non-State personnel travel per diem. OWNER shall include an explanation why local employee or contract labor is not considered adequate for the relocation work proposed. Per diem expenses shall not exceed the per diem expense amounts allowed under the State's California Department of Human Resources (Ca1HR) travel expense guidelines. Work performed directly by OWNER's employees shall comply with Labor Code Section 1771. OWNER shall verify compliance with this requirement in the administration of its contracts referenced above. IV. PAYMENT FOR WORK OCTA shall pay its share of the actual and necessary cost of the herein described work within 45 days after receipt of OWNER's itemized bill, signed by a responsible official of OWNER's organization and prepared on OWNER's letterhead, compiled on the basis of the actual and necessary cost and expense incurred and charged or allocated to said work in accordance with the uniform system of accounts prescribed for OWNER by the California Public Utilities Commission, Federal Energy Regulatory Commission or Federal Communications Commission, whichever is applicable. It is understood and agreed that OCTA will not pay for any betterment or increase in capacity of OWNER's facilities in the new location and that OWNER shall give credit to OCTA for the accrued depreciation of the replaced facilities and for the salvage value of any material or parts salvaged and retained or sold by OWNER. Not more frequently than once a month, but at least quarterly, OWNER will prepare and submit progress bills itemized for costs incurred not to exceed OWNER's recorded costs as 04-25-2016 HB -93-Item 9. - 7 UTILITY AGREEMENT (Cont.) Page 3 o15 UTILITY AGREEMENT NO. UK041106 of the billing dateless estimated credits applicable to completed work. Payment of progress bills not to exceed the amount of this Agreement may be made under the terms of this Agreement. Payment of progress bills which exceed the amount of this Agreement may be made after receipt and approval by OCTA of documentation supporting the cost increase and after an amendment to this Agreement has been executed by the parties to this Agreement. The OWNER shall submit a fmal bill to OCTA within 360 days after the completion of the work described in Section I above. If OCTA has not received a final bill within 360 days after notification of completion of OWNER's work described in Section I of this Agreement, and OCTA has delivered to OWNER fully executed Director's Deeds, Consents to Common Use or Joint Use Agreements for OWNER's facilities (if required), OCTA will provide written notification to OWNER of its intent to close its file within 30 days. OWNER hereby acknowledges, to the extent allowed by law, that all remaining costs will be deemed to have been abandoned. If OCTA processes a final bill for payment more than 360 days after notification of completion of OWNER's work, payment of the late bill may be subject to allocation and/or approval by the OCTA. The final billing shall be in the form of an itemized statement of the total costs charged to the project, less the credits provided for in this Agreement, and less any amounts covered by progress billings However, OCTA shall not pay final bills which exceed the estimated cost of this Agreement without documentation of the reason for the increase of said cost from the OWNER and approval of documentation by OCTA. Except, if the final bill exceeds the OWNER's estimated costs solely as the result of a revised Notice to Owner as provided for in Section I, a copy of said revised Notice to Owner shall suffice as documentation. In either case, payment of the amount over the estimated cost of this Agreement may be subject to allocation and/or approval by OCTA. In any event if the final bill exceeds 125% of the estimated cost of this Agreement, an Amended Agreement shall be executed by the parties to this Agreement prior to the payment of the OWNER's final bill. Any and all increases in costs that are the direct result of deviations from the work described in Section I of this Agreement shall have the prior concurrence of OCTA. Detailed records from which the billing is compiled shall be retained by owner for a period of three years from the date of final payment and will be available for audit by State and/or Federal auditors. In performing work under this Agreement, OWNER agrees to comply with the Uniform System of Accounts for Public Utilities found at 18 CFR Part 101, 201, et al., and, to the extent they are applicable to owner doing work on the project that is the subject of this agreement, the contract cost principles and procedures as set forth in 48 CFR, Chapter 1, Part 31, et seq., 23 CFR, Chapter 1, Part 645, and 2 CFR Part 200 et al. If a subsequent State and/or Federal audit determines payments to be unallowable, OWNER agrees to reimburse OCTA upon receipt of OCTA billing. If OWNER is subject to repayment due to failure by OCTA to comply with applicable laws, regulations, and ordinances then OCTA will ensure that OWNER is compensated for actual cost in performing work under this agreement. 04-25-2016 HB -94-Item 9. - 8 UTILITY AGREEMENT (Cont.) Page 4 of 5 UTILITY AGREEMENT NO. UKO41106 V. GENERAL CONDITIONS All costs accrued by OWNER as a result of OCTA's request of March 10, 2015 to review, study and/or prepare relocation plans and estimates for the project associated with this Agreement may be billed pursuant to the terms and conditions of this Agreement. If OCTA's Project which precipitated this Agreement is canceled or modified so as to eliminate the necessity of work by OWNER, OCTA will notify OWNER in writing and OCTA reserves the right to terminate this Agreement by amendment. The amendment shall provide mutually acceptable terms and conditions for terminating the Agreement. OWNER shall submit a Notice of Completion to OCTA within 30 days of the completion of the work described herein. It is understood that said highway is a Federal aid highway and accordingly, 23 CFR, Chapter 1, Part 645 is hereby incorporated into this Agreement. In addition, the provisions of 23 CFR 635.410, Buy America, are also incorporated into this Agreement. The Buy America requirements are further specified in Moving Ahead for Progress in the 21st Century (MAP-21), section 1518; 23 CFR 635.410 requires that all manufacturing processes have occurred in the United States for steel and iron products (including the application of coatings) installed on a project receiving funding from the FHWA. If, in connection with OWNER's performance of the Work hereunder, OCTA provides to OWNER any materials that are subject to the Buy America Rule, OCTA acknowledges and agrees that OCTA shall be solely responsible for satisfying any and all requirements relative to the Buy America Rule concerning the materials thus provided (including, but not limited to, ensuring and certifying that said materials comply with the requirements of the Buy America Rule). OWNER will provide a no fee encroachment permit to OCTA's Design-Builder prior to commencing construction of Project. Provided all conditions of such permit have been fulfilled, the permits shall authorize Design-Builder to commence work within OWNER right of way, and areas which affect OWNER facilities. OWNER will review and/or the submitted Project plans within a period of four (4) weeks. The teinis of this Agreement shall be binding and inure to the benefits of the Parties hereto. THE ESTIMATED COSTS TO OCTA FOR ITS SHARE OF THE ABOVE DESCRIBED WORK IS $15153. Signatures on Following Page 04-25-2016 HB -95-Item 9. - 9 James M. Donich General Counsel APPROVED AS TO FORM: By: By: PL-- kicii -rAl I UTILITY AGREEMENT (Cont.) Page 5 of 5 UTILITY AGREEMENT NO. UK041106 SIGNATURE PAGE TO UTILITY AGREEMENT NO. UK041106 IN WITNESS WHEREOF, the above parties have executed this Agreement on the dates below. Owner: CITY OF HUNTINGTON BEACH ORANGE COUNTY TRANSPORTATION AUTHORITY, a public entity APPROVED By: By: Mayor Jim Beil Executive Director, Capital Programs Date: Date: Date: Date: By: Robin Estanislau City Clerk Date: 04-25-2016 HB -96-Item 9. - 10 ORANGE COUNTY TRANSPORTATION AUTHORITY UTILITY AGREEMENT DISTRICT 12 COUNTY Orange ROUTE POST MILE 1-405 9.3-24.2 EA 12-0H1000 PROJECT ID 1200000180 FEDERAL AID NUMBER HPLULN-6071(043) FEDERAL PARTICIPATION OWNER'S PLAN NUMBER N/A On the project El YES LI NO On the Utilities LI YES El NO UTILITY AGREEMENT NO. UK041241 DATE The Orange County Transportation Authority (OCTA) in cooperation with the California Department of Transportation ("Caltrans") is proposing to improve Interstate 405 between State Route 73 and Interstate 605 (Project). OCTA and Caltrans have entered into Cooperative Agreement No. 12-697 relating to the Project under which Caltraxis will provide Project oversight and upon completion of the Project, Caltrans will continue to own and maintain the Interstate 405. City of Huntington Beach Hereinafter referred to as "OWNER", owns and maintains the following (the "Utility Facilities") • 12-inch in 24-inch steel casing west of Edinger Avenue and crossing 1-405 within the limits of the OCTA Project which requires relocation to accommodate the OCTA Project. It is hereby mutually agreed between OCTA and OWNER as follows: WORK TO BE PERFORMED In accordance with Notice to Owner No's UK041241 dated 11/21/2016, OCTA shall relocate OWNER's Utilities Facilities as shown on OCTA's contract plans for the improvement of Interstate 405, EA 12-0H1000 which by this reference are made a part hereof. OWNER hereby acknowledges review of OCTA's plans for work and agrees to the construction in the manner proposed. Deviations from the plan described above initiated by either OCTA or the OWNER, shall be agreed upon by both parties hereto under a Revised Notice to Owner. Such Revised Notices to Owner, approved by OCTA and agreed to/acknowledged by the OWNER, will constitute an approved revision of the plan described above and are hereby made a part hereof. No work under said deviation shall commence prior to written execution by the OWNER of the Revised Notice to Owner. Changes in the scope of the work will require an amendment to this Agreement in addition to the revised Notice to Owner. OWNER shall have the right to inspect the work during construction. Upon completion of the work by OCTA, OWNER agrees to accept ownership and maintenance of the constructed facilities and relinquishes to OCTA ownership of the replaced facilities, except in the case of liability determined pursuant to Water Code 7034 or 7035. 04-25-2016 HB -97-Item 9. - 11 UTILITY AGREEMENT (Cont.) Page 2 of UTILITY AGREEMENT NO. UK041241 LIABILITY FOR WORK Existing facilities are located in their present position pursuant to rights superior to those of STATE and will be relocated at OCTA expense. III. PERFORMANCE OF WORK OWNER shall have access to all phases of the relocation work to be performed by OCTA, as described in Section 1 above, for the purpose of inspection to ensure that the work is in accordance with the specifications contained in the OCTA Contract; however, all questions regarding the work being performed will be directed to OCTA's Resident Engineer for their evaluation and final disposition. Use of out-of-state personnel (or personnel requiring lodging and meal "per diem" expenses) will not be allowed without prior written authorization by OCTA' s representative. Requests for such authorization must be contained in OWNER' s estimate of actual and necessary relocation costs. Accounting Form FA-1301 is to be completed and submitted for all non-State personnel travel per diem. OWNER shall include an explanation why local employee or contract labor is not considered adequate for the relocation work proposed. Per diem expenses shall not exceed the per diem expense amounts allowed under the State's California Department of Human Resources (CaIHR) travel expense guidelines. Work performed directly by OWNER's employees shall comply with Labor Code Section 1771. OWNER shall verify compliance with this requirement in the administration of its contracts referenced above. IV. PAYMENT FOR WORK OCTA shall pay its share of the actual and necessary cost of the herein described work within 45 days after receipt of OWNER's itemized bill, signed by a responsible official of OWNER's organization and prepared on OWNER's letterhead, compiled on the basis of the actual and necessary cost and expense incurred and charged or allocated to said work in accordance with the uniform system of accounts prescribed for OWNER by the California Public Utilities Commission, Federal Energy Regulatory Commission or Federal Communications Commission, whichever is applicable. It is understood and agreed that OCTA will not pay for any betterment or increase in capacity of OWNER's facilities in the new location and that OWNER shall give credit to OCTA for the accrued depreciation of the replaced facilities and for the salvage value of any material or parts salvaged and retained or sold by OWNER. Not more frequently than once a month, but at least quarterly, OWNER will prepare and submit progress bills itemized for costs incurred not to exceed OWNER's recorded costs as 04-25-2016 HB -98-Item 9. - 12 UTILITY AGREEMENT (Cont.) Page 3 of 5 UTILITY AGREEMENT NO. UK041241 of the billing dateless estimated credits applicable to completed work. Payment of progress bills not to exceed the amount of this Agreement may be made under the terms of this Agreement. Payment of progress bills which exceed the amount of this Agreement may be made after receipt and approval by OCTA of documentation supporting the cost increase and after an amendment to this Agreement has been executed by the parties to this Agreement. The OWNER shall submit a final bill to OCTA within 360 days after the completion of the work described in Section I above. If OCTA has not received a final bill within 360 days after notification of completion of OWNER' s work described in Section I of this Agreement, and OCTA has delivered to OWNER fully executed Director's Deeds, Consents to Common Use or Joint Use Agreements for OWNER's facilities (if required), OCTA will provide written notification to OWNER of its intent to close its file within 30 days. OWNER hereby acknowledges, to the extent allowed by law, that all remaining costs will be deemed to have been abandoned. If OCTA processes a final bill for payment more than 360 days after notification of completion of OWNER's work, payment of the late bill may be subject to allocation and/or approval by the OCTA. The final billing shall be in the form of an itemized statement of the total costs charged to the project, less the credits provided for in this Agreement, and less any amounts covered by progress billings. However, OCTA shall not pay final bills which exceed the estimated cost of this Agreement without documentation of the reason for the increase of said cost from the OWNER and approval of documentation by OCTA. Except, if the final bill exceeds the OWNER's estimated costs solely as the result of a revised Notice to Owner as provided for in Section I, a copy of said revised Notice to Owner shall suffice as documentation. In either case, payment of the amount over the estimated cost of this Agreement may be subject to allocation and/or approval by OCTA. In any event if the final bill exceeds 125% of the estimated cost of this Agreement, an Amended Agreement shall be executed by the parties to this Agreement prior to the payment of the OWNER's final bill. Any and all increases in costs that are the direct result of deviations from the work described in Section I of this Agreement shall have the prior concurrence of OCTA. Detailed records from which the billing is compiled shall be retained by owner for a period of three years from the date of final payment and will be available for audit by State and/or Federal auditors. In performing work under this Agreement, OWNER agrees to comply with the Uniform System of Accounts for Public Utilities found at 18 CFR Part 101, 201, et al., and, to the extent they are applicable to owner doing work on the project that is the subject of this agreement, the contract cost principles and procedures as set forth in 48 CFR, Chapter 1, Part 31, et seq., 23 CFR, Chapter 1, Part 645, and 2 CFR Part 200 et al. If a subsequent State and/or Federal audit determines payments to be unallowable, OWNER agrees to reimburse OCTA upon receipt of OCTA billing. If OWNER is subject to repayment due to failure by OCTA to comply with applicable laws, regulations, and ordinances then OCTA will ensure that OWNER is compensated for actual cost in performing work under this agreement. 04-25-2016 HB -99-Item 9. - 13 UTILITY AGREEMENT (Cont.) Page 4 of 5 UTILITY AGREEMENT NO. UK041241 V. GENERAL CONDITIONS All costs accrued by OWNER as a result of OCTA's request of March 10, 2015 to review, study and/or prepare relocation plans and estimates for the project associated with this Agreement may be billed pursuant to the terms and conditions of this Agreement. If OCTA's Project which precipitated this Agreement is canceled or modified so as to eliminate the necessity of work by OWNER, OCTA will notify OWNER in writing and OCTA reserves the right to terminate this Agreement by amendment. The amendment shall provide mutually acceptable terms and conditions for terminating the Agreement. OWNER shall submit a Notice of Completion to OCTA within 30 days of the completion of the work described herein. It is understood that said highway is a Federal aid highway and accordingly, 23 CFR, Chapter 1, Part 645 is hereby incorporated into this Agreement. In addition, the provisions of 23 CFR 635.410, Buy America, are also incorporated into this Agreement. The Buy America requirements are further specified in Moving Ahead for Progress in the 21st Century (MAP-21), section 1518; 23 CFR 635.410 requires that all manufacturing processes have occurred in the United States for steel and iron products (including the application of coatings) installed on a project receiving funding from the FHWA. If, in connection with OWNER's performance of the Work hereunder, OCTA provides to OWNER any materials that are subject to the Buy America Rule, OCTA acknowledges and agrees that OCTA shall be solely responsible for satisfying any and all requirements relative to the Buy America Rule concerning the materials thus provided (including, but not limited to, ensuring and certifying that said materials comply with the requirements of the Buy America Rule). OWNER will provide a no fee encroachment permit to OCTA' s Design-Builder prior to commencing construction of Project. Provided all conditions of such permit have been fulfilled, the permits shall authorize Design-Builder to commence work within OWNER right of way, or areas which affect OWNER facilities. OWNER will review and/or the submitted Project plans within a period of four (4) weeks. The terms of this Agreement shall be binding and inure to the benefits of the Parties hereto. THE ESTIMATED COSTS TO OCTA FOR ITS SHARE OF THE ABOVE DESCRIBED WORK IS $42,428. Signatures on Following Page 04-25-2016 HB -100-Item 9. - 14 James M. Donich General Counsel APPROVED AS TO FORM: By: APPROVED AS TO FORM: By: el Gates CjIY Attorney UTILITY AGREEMENT (Cont.) Page 5 of 5 UTILITY AGREEMENT NO. UK041241 SIGNATURE PAGE TO UTILITY AGREEMENT NO. UK04 124 1 IN WITNESS WHEREOF, the above parties have executed this Agreement on the dates below. Owner: CITY OF HUNTINGTON BEACH ORANGE COUNTY TRANSPORTATION AUTHORITY, a public entity APPROVED By: By: Mayor Jim Bell Executive Director, Capital Programs Date: Date: Date: Date: By: Robin Estanislau City Clerk Date: 04-25-2016 HB -101-Item 9. - 15 City of Huntington Beach Estimate of Pipeline Depreciation Cost for OCTA Project Depreciation Calculated in accordance with Caltrans R/W Manual Table 13.04‐5 CN1241, 12‐inch Edinger Pipeline OCTA 100% liable for relocation costs Pipeline Relocation Cost $29,600 Department of Highways Utility Agreement No. 7Ut‐3023, November 18, 1965 Estimate of Facility Life 95 years Age of Facility 52 years As built date January 20, 1964 Percentage of pipe life used 55% Depreciation credit to OCTA $16,202 2011 AWWA "Buried No Longer: Confronting American's Water Infrastructure Challenge, Figure 5, Estimated Service Lives by Pipe Material HB -102-Item 9. - 16 13.04 - 14 (REV 9/2014) Table 13.04-5 (Continued) S&H CODE SECTION 705 - ALLOWABLE CREDITS (Section 13.04.05.06) Type Explanation Salvage Credit When relocation is required, the State shall be given credit for the value of any materials from the old facility that the Owner removes and/or retains from the construction project. Generally, such material is either reconditioned and returned to stock or sold as scrap. Under PUC accounting regulations, Utility Owners shall provide a credit based on the original cost. The State is entitled to a credit for each item of material returned to stock at its current inventory price less depreciation and less cost of reconditioning. The State is also entitled to a credit in the amount of the sales price or, if not sold at the time of billing, the estimated value for materials sold or to be sold as scrap or junk. The amount of credit the State is entitled to is directly related to the percentage of liability the State pays on the Utility Agreement. (i.e., If the liability percentage is 100% State, State will receive full salvage credit. If the liability percentage is 50% State, State will receive 50% of the salvage credit.) The Owner must be made aware that the State will not participate in the cost of removing a facility where the cost is greater than its salvage value unless it has to be removed for safety or aesthetic reasons. See Section 13.04.07.09 for additional discussions of removal of hazardous material. Accrued Depreciation Credit The State shall receive credit for accrued depreciation on the old facilities whenever the relocation of a facility is required. Where there are no replacement facilities, such as for abandoned facilities, credit for depreciation shall not be taken. Accrued depreciation credit is an allowance for the value of expired service life. Expired service life is that portion of a facility’s useful life for which the Owner has received a return on their investment or benefit of service. The credit given shall be based on straight line depreciation computed on original installed cost, age of facility and normal expected life as reflected in the Owner’s books or calculated by industry standards. For example: Credit = Age of Facility (Original Cost)Normal Expected Life The amount of credit the State is entitled to is directly related to the percentage of liability the State pays on the Utility Agreement. (i.e., If the liability percentage is 100% State, State will receive full accrued depreciation credit. If the liability percentage is 50% State, State will receive 50% of the accrued depreciation credit.) Following are special conditions for handling accrued depreciation credits for publicly owned sewers and private oil company facilities: 1. Publicly owned sewers - The State is not entitled to receive a credit for accrued depreciation on relocations of publicly owned sewers. 2. Private oil companies - The State is to receive a credit for depreciation on noncommon carrier (nonpublic utility) longitudinal facilities owned by oil companies. The State has historically calculated accrued depreciation credit on the following basis: x Straight-line depreciation, as with other Utility Owners, except the normal expected life will always be 40 years, as previously agreed to by the State and the oil companies. In other words, only for the purpose of calculating accrued depreciation credits, the subject oil facility will always have a normal expected life of 40 years. x Credit is not to exceed 70 percent of the original installation cost. x When no accrued depreciation credit is provided, or the credit supplied is zero, the Owner must supply proof of the remaining service life of the facility and a written certificate from the Owner’s comptroller or chief accountant stating that no part of the replacement facility will be capitalized or depreciated. (See Section 13.07.06.02.) HB -103-Item 9. - 17 , ; •- •• • • ' r a 1- • / • Site. WomA.Atmm&rumAr Om 405 17.4 1 031649 WM. AM. Din. L--; 07 INTERSTATE Relocate water pipeline and appurtenances in the construction area of the San Diego Freeway, jRoad 07-Ora-405 14.2/17.4 on Edinger Street between U. mairwiwrar-trunnurl , 1 n 1: ull A . of Beach Boulevard.Date 0/(-•e-T ). /4765 AIM I. ;#, • 4 • 4••••n••n••••'1. ' A •,• ;_ r • z •4 e, _ S. 4. •• . STATE OF CALIFORNIA DEPARTMENT f! PUBLIC WORKS DIIISION OF HIGHWAYS 0, 0 T-405-2(11)93Notice Eo. 7-4154 mnanus AGREEMENT NO 7ut ..3o23 . FIRST PARTY: State of California, acting by and through its Department of Public Works, Division of Hightvays, hereinafter called STATE. CITY OF HUNTINTON BEACH WATER DEPARTMENT SECOND :'ARTY: s- • hereinafter called OWNER. Relocation is required of certain utility facilities of OWNER, cos: of which is to be borne by STATE because: Section 703 of the Streets and Highways Code. Publicly owned utility used solely to supply water that is lawfully maintained in a city street and instaled prior to its becoming a state highway. 1. De,cilptl,on_pr Relocatiut A. Instill 1. 1846 feet 12" I.D. CM/CE W.S. water pipeline on the north side of Edinger Street within the Freeway construction area. 2.695 feet of 20" I.D. x 1/4" steel pipe ea3ing. 3.2-12" ML. gate valves. 4.1-1" A-V/A-R valve. 5.1-6" Blow-off. B.Relocate One existing A-V/A-R valve assembly. C.Abandon 1800 feet + of 12" I.C. cement mortar lined and coated, welded steel pipe and appurtenances. .01 • -••••• 4 •7, • • 2. HB -104-Item 9. - 18 3-• fte • •• ,•, . 4. , a .1 4.14114010100011101mmr.s....4.4sort '•-. • . • - 1.1440--, : - •• ! • • „ tS. 10. I . ' • •• ' 1aye 4 • •••4•4 ".• LIA.Elaina.ALAAAllmakat Al]. work shall be performed substantially in accordance with OvnJr's drawing num lnred Sheet 1 -11 1 and estimate dated Febraary 21, 1963, on file in the District 07 Office of the Division of Highways, 120 South Spring Street, Los Amgeles, California. Pr9.9041-0 j. • F. .14 SI A.All relocation work shall be done by contractor on a • •competitive bid basis. B.State shall reimburse Owner upon receipt of six (6) copies of itemized bills of cost of the work in accordance with Owner's regularly established accounting practice, with the State receiving credit for accrued depreciation. IV.It is understood thaz said highway .s a Federal-Aid Hie.mcay and accordingly Bureau of Public Roads Policy and Procedure Kemorandum 30-4 as amended is hereby incorporated into this Agreement with the understanding that provisions governing reimbursement procedures are applicable to the relationship between the State and the United State;. V.In order to comply with Title VI of the United States Civil Rights Act of 1964, Appendix A is attached to and made a part of this Agreement, excepting therefrom any and all work performed by Owner's own forces. ••• • -2 - HB -105-Item 9. - 19 Estimated Cost to STATE $ 29 1 .600.*00 . OWNER agrees to pctform and STATE agrees to pay for the above describe.] work in accord:oce with... Seattort III -hereof . IN WITNESS WHEREOF. the rirties have executed this agreement the day and }car first ab.-ive written. gitit()§b C.learsnee i;ent STATE OF CALIFORNIA DEPARTMENT OF PUBLIC WORKS flwi I' OF HIGIVX IMO Guilt at ti .G• n • ti tathrttleta• t ROO Anil:oat Ckirf Rigit vi r,Aims Deputy District Engineer 400.4064f, HB -106-Item 9. - 20 ••nr• PIP I• •_. • :4; • • •f.S A ANA - • AO / , • ••• " 14' ('. '. fm •*. . •. ,r,„40tssilp •- • • •MO I I•e •• APPENDIX A During the performance of this contract, the contractor, for itself, its 1, massignees and successors in interest (hereinafter referred to as the "contrac- (1) Compliance with Regulations: The contractor will comply with the ; ' Regulations of the Department of Commeree relative to noneiserimina- tion in feeh .rally-assisted pro g rams of the Department of ..:ommerce , (Title 15. Code of FederaI Re g ulations, Part h, hereinafter referred to as the Regulations), which are herein incorporated by reference and i . • •.made a part of this contraet.• (2) Nondiscrimination: The eontriu tor with regard to the work performed "k h. by it after award and p rior to enmp:etion of tho contract work, will 1 .,fr • not discriminate on the ground of race, color, c,r natinnal origin in the selection anti retention of sub,.ontractors, neluding procurements of V materials and leases of equipment. The contractor will not participate either directly or indirectly in the discrimination prohibited by Section -;4! 8.4 of the Regulations. ineluding employment prtictices when the con- tract covers a program se: forth 'o Appendix A-II of the Regulations. • (3) Solicitations for Subcontracts, Including Procuremenu of Materials and ••41 r itor"), agrees as follows: I Equipment: In all solieitations either by competitive . bidding or negoti ation made by the eontraetor for work to be performed under a sub- contract. ineluding proeurements of materials or equipment, each potential subcontractor or supplier shall he notifieti by the contractor of the contraetor's obligations under this contract and the Regulations relative to nondiserimination no the ground of race, color or national origin. (4) Information and Reports: The contractor will provide all information and reports required by the Re g ulations, or orders and instructions issued pursuant thereto, and will permit ncee.o. to its hooks. records, accounts, other sources of informatinn, and its facilities as may be determined by the State Hi g hway Department or the Bureau of Public Roads to be pertinent to ascertain compliance with such Regulations, orders and instructions. Where any information required of a contractor Is In the exclusive possession of another who fails or refuses to furnish this information, the contractor shall so certify to the State Highway Department. or the Bureau of Public. Roads ts appropriate, and shall set forth what eflt olls it has made to obtain the information. (5) Sanctions for Noncompliance: In the event of the contractor's noncom- pliance with the nondiscrimination provisions of this contrect, the State Highway Deportment shall impose such contract sanctions as it or the Bur e au of Public Roads may determine to be appropriate, including, but not limited to, (a)withholding of payments to the contractor tinder the contract until the contractor complies, anti or (b)cancellation, t2rmintition or suspension of the contract, in whole or in part. (6) Inco.rporatioa of Provisions: The contractor will include the provisions of paearraph ) through (6) in ever; subcontract, including procure. ments of materials and leases of equipment, unless exempt by the Regu. lotions, order, or instructions issued pursuant thereto. The contractor will take such action with respect to any subcontract or procurement as the State Highway Department or the Bureau of Public Roads may direct as a means of enforcing such provisions including sanctions for noncompliance: Provided, however. that, in the event a contractor be- comes involved in, or is areatened with, litigation with a subcontractor or supplier as a result of such direction, the contractor may request the State to enter into such litigation to protect the interests of the State, and, in addition, the contractor may request the Uaited States to enter into such litigation to protect the interests or the United States. , •L • •Ni'a • 1." HB -107-Item 9. - 21 CITY OF HUNTINGTON BEACH ENGINEERING DEPARTMENT Huntington 13each, Cblifornia Honorable Mayor and City Council City of Huntington Beach Attention: Mr. Doyle Miller City Administrator Subject: Relocatiou of Water Line on Eding.er Ave. at San Diegig_Freeway, In response to a billing of the Division of Highways for the cost of engineering and construction of the reloca- tion of a waterline in Edinger Avenue for the San Diego Freeway, we have Leen requested to execute Utilities Agreement No. 7UT-025. It is requested that the Director of Public Works be authorized to execute the agreement. H. E. Rartge Deputy Director of Public Works HB -108-Item 9. - 22 4 • , OP, •„:1":‘, ' e • • 4 ••.• r _ ' • . . •' t STATE OF CALIFORNIA—HIGHWAY TRANSPORTATION AGENCY 0EPARTMEN7 OF PUBLIC WORKS DIVISION OF HIGHWAYS DISTRICT VII P. 0. BOX 2304, LOS ANGELES 34 EDMUND G. BRO N! /, Governor :..!IIMPOWilissielliissilss•AjossaliO. - • „ fe• e) 141t • Asirwi • ; Nsei December 15, 1965 07-Ora-405 14.2/17.4 Agt. No. 7M-3023 07413 - 031649 City of Huntington Beach, Water Department P. O. Box 190 Huntington Beach, California Gentlemen: Attached is fully executed copy of Utilities Agree- ment No. 7Ut-3023 coverinF relocation of water facilities on the San Diego Freeway, Road 07-0ra-405 14.2/17.4, between 0.2 mile west of Brcokhurst Avenue to 0.2 mile northwest of Beach Bou%evard. Very truly yours, fi C. M. BROWN Asst. R/W Clearance Agent CKB:dtk Attach. HB -109-Item 9. - 23 8 Buried No LoNger: CoNfroNtiNg AmeriCA’s WAter iNfrAstruCture ChALL eNge projections of demographic trends allowed the development of infrastructure need profiles for growth through 2050 in each of the regions and utility size categories (for the latter purpose, city size was used as a proxy for utility size). The study generally assumes that utilities continue efforts to manage the number of main breaks that occur per mile of pipe rather than absorb increases in pipe failures. That is, the study assumes utilities will strive to maintain current levels of service rather than allow increasing water service outages. We assume that each utility’s objective is to make these investments at the optimal time for maintaining current service levels and to avoid replacing pipes while the repairs are still cost-effective. Ideally, pipe replacement occurs at the end of a pipe’s “useful life”; that is, the point in time when replacement or rehabilitation becomes less expensive in going forward than the costs of numerous unscheduled breaks and associated emergency repairs. With this data in hand and using the assumptions above, we projected the “typical” useful service life of the pipes in our inventory using the “Nessie Model”TM. The model embodies pipe failure probability distributions based on many utilities’ current operating experiences, coupled with insights from extensive research and professional experiences with typical pipe conditions at different ages and sizes, according to pipe material. The analysis used seven different types of pipe in three diameters and addressed pipe inventories dating back to 1870. Estimated typical service lives of pipes are Derived Current Service Lives (Years) CI CICL (LSL) CICL (SSL)) DI (LSL) DI (SSL) AC (LSL) AC (SSL) PVC Steel Conc & PCCP Northeast Large 130 120 100 110 50 80 80 100 100 100 Midwest Large 125 120 85 110 50 100 85 55 80 105 South Large 110 100 100 105 55 100 80 55 70 105 West Large 115 100 75 110 60 105 75 70 95 75 Northeast Medium & Small 115 120 100 110 55 100 85 100 100 100 Midwest Medium & Small 125 120 85 110 50 70 70 55 80 105 South Medium & Small 105 100 100 105 55 100 80 55 70 105 West Medium & Small 105 100 75 110 60 105 75 70 95 75 Northeast Very Small 115 120 100 120 60 100 85 100 100 100 Midwest Very Small 135 120 85 110 60 80 75 55 80 105 South Very Small 130 110 100 105 55 100 80 55 70 105 West Very Small 130 100 75 110 60 105 65 70 95 75 LSL indicates a relatively long service life for the material resulting from some combination of benign ground conditions and evolved laying practices etc. SSL indicates a relatively short service life for the material resulting from some combination of harsh ground conditions and early laying practices, etc. Figure 5: Average Estimated Service Lives by Pipe Materials (average years of service) HB -110-Item 9. - 24 City of Huntington Beach Estimate of Pipeline Depreciation Cost for OCTA Project Depreciation Calculated in accordance with Caltrans R/W Manual Table 13.04‐5 CN1106 22‐inch OC‐9 Pipeline OCTA 100% liable for relocation costs Pipeline Relocation Cost $79,365 Department of Highways Utility Agreement No. 7Ut‐3021, October 11, 1967 Estimate of Facility Life 95 years Age of Facility 53 years As built date September 23, 1963 Percentage of pipe life used 56% Depreciation credit to OCTA $44,277 2011 AWWA "Buried No Longer: Confronting American's Water Infrastructure Challenge, Figure 5, Estimated Service Lives by Pipe Material HB -111-Item 9. - 25 13.04 - 14 (REV 9/2014) Table 13.04-5 (Continued) S&H CODE SECTION 705 - ALLOWABLE CREDITS (Section 13.04.05.06) Type Explanation Salvage Credit When relocation is required, the State shall be given credit for the value of any materials from the old facility that the Owner removes and/or retains from the construction project. Generally, such material is either reconditioned and returned to stock or sold as scrap. Under PUC accounting regulations, Utility Owners shall provide a credit based on the original cost. The State is entitled to a credit for each item of material returned to stock at its current inventory price less depreciation and less cost of reconditioning. The State is also entitled to a credit in the amount of the sales price or, if not sold at the time of billing, the estimated value for materials sold or to be sold as scrap or junk. The amount of credit the State is entitled to is directly related to the percentage of liability the State pays on the Utility Agreement. (i.e., If the liability percentage is 100% State, State will receive full salvage credit. If the liability percentage is 50% State, State will receive 50% of the salvage credit.) The Owner must be made aware that the State will not participate in the cost of removing a facility where the cost is greater than its salvage value unless it has to be removed for safety or aesthetic reasons. See Section 13.04.07.09 for additional discussions of removal of hazardous material. Accrued Depreciation Credit The State shall receive credit for accrued depreciation on the old facilities whenever the relocation of a facility is required. Where there are no replacement facilities, such as for abandoned facilities, credit for depreciation shall not be taken. Accrued depreciation credit is an allowance for the value of expired service life. Expired service life is that portion of a facility’s useful life for which the Owner has received a return on their investment or benefit of service. The credit given shall be based on straight line depreciation computed on original installed cost, age of facility and normal expected life as reflected in the Owner’s books or calculated by industry standards. For example: Credit = Age of Facility (Original Cost)Normal Expected Life The amount of credit the State is entitled to is directly related to the percentage of liability the State pays on the Utility Agreement. (i.e., If the liability percentage is 100% State, State will receive full accrued depreciation credit. If the liability percentage is 50% State, State will receive 50% of the accrued depreciation credit.) Following are special conditions for handling accrued depreciation credits for publicly owned sewers and private oil company facilities: 1. Publicly owned sewers - The State is not entitled to receive a credit for accrued depreciation on relocations of publicly owned sewers. 2. Private oil companies - The State is to receive a credit for depreciation on noncommon carrier (nonpublic utility) longitudinal facilities owned by oil companies. The State has historically calculated accrued depreciation credit on the following basis: x Straight-line depreciation, as with other Utility Owners, except the normal expected life will always be 40 years, as previously agreed to by the State and the oil companies. In other words, only for the purpose of calculating accrued depreciation credits, the subject oil facility will always have a normal expected life of 40 years. x Credit is not to exceed 70 percent of the original installation cost. x When no accrued depreciation credit is provided, or the credit supplied is zero, the Owner must supply proof of the remaining service life of the facility and a written certificate from the Owner’s comptroller or chief accountant stating that no part of the replacement facility will be capitalized or depreciated. (See Section 13.07.06.02.) HB -112-Item 9. - 26 07-Ora-405 14.4/17.4 Agt. No. 7Ut-3021 November 15, 1967 ;-/ 11 RONALD REAGAN STATE OF CALIFORNIA—HIGHWAY TRANSPORTATION AGENCY ERh3PNRAXVIrric GQ"mor DEPARTMENT OF PUBLIC WORKS DIVISION OF HIGHWAYS DISTRICT 7 P. O. BOX 2304, LOS ANGELES 90054 City of Huntington Beach City Hall Post Office Box 190 Huntington Beach, California 92464 Attention: Mr. E. R. Stang Water Superintendent Gentlemen: Attached for your file is a fully executed copy of Utilities Agreement No. 7Ut-3021 coveeng relocation and encasement of a 22-inch water line crossing the San Diego Freeway, Road 07-Ora-405 14.4/17.4, in Newland Street. Very truly yours, R. R. FISHER Assistant Utilities Relocation Engineer RRF:jb Attachment HB -113-Item 9. - 27 R°NPAIRunae ,!tolmor xxiammomx STATE OF CALIFORNIA-TRANSPORTATION AGENCY DEPARTMENT OF PUBLIC WORKS DIVISION OF HIGHWAYS DISTRICT 7, P.O. BOX 2301, LOS ANGELES 90051 November 15, 1967 07-Ora-405 14.4/17.4 Agt. No. 7Ut-3021 City of Huntington Beach City Hall Post Office Box 190 Huntington Beach, California 92464 Attention: Mr. E. R. Stang Water Superintendent Gentlemen: Attached for your file is a fully executed copy of Utilities Agreement No. 7Ut-3021 covedlg relocation and encasement of a 22-inch water line crossing the San Diego Freeway, Road 07-Ora-405 14.4/17.4, in Newland Street. Very truly yours, Ortgiczi Coed by R. R. FISHER Assistant Utilities Relocation Engineer RRF:jb Attachment HB -114-Item 9. - 28 ("1 INTERSTATE p woo r1w-31, STATE OF CALIFORNIA DEPARTMENT OF PUBLIC WORKS Divisiori OF HIGHWAYS DirN Co.Rilf.Sic. 1 Woltz Arniona.nom .,:.07_Ora ....40-5 I 14.4/1 I 17 /1, 031644 I 01164(1 , Notice No. 7-4152 (Rev.)•• Construction: I-405-2(96)107 Right of Way: I-405-2(11)93 UTILITIES. AGREEMENT. NO..7.ut=302.1 Relocation and encasement, of a 22-inch water lino crossing the San Diego Date. : FIRST PARTY: State of California, acting by and through its Department of Public Works, Division of Highways,,.hereinafter called STATE: SECOND PARTY • CITY OF HUNTINGTON BEACH, WATER DEPARTMENT hereinafter called OWNER Relocation is required of certain utility facilities of OWNER, cost of which is to be borne by STATE because: Section 703 of the Streets and Highways Code: Publicly owned water facilities installed in freeway prior to its becoming a •State Highway. I. Description of Work In accordance with Notice to Relocate No. 7-4152 (Revised), dated August 10, 1967: A.State Highway Contractor shall install 2,000 feet of 22-inch water lime with 270 feet of 36-inch encasement crossing the San Diego Freeway at Newland Street. B.Owner shall furnish all necessary engineering plans and specifications related to the relocation of the 22-inch water line, as set out in Item I-A above, together with such supplemental inspection as required to assist State's inspection. II. Plans and Estimates Said work shall be performed substantially in accordance with State Highway plans as indicated below: Plan Title Date No. of Sheets Ora-158-Wtm,B San Diego Freeway Newland Street Overcrossing 7-30-62 2 • and Highway Engineer's estimate dated November 22, 1963, and Ouner's estimates dated February 14, 1963 and March 27, 1967. Copies of plans and estimates are on file in the District 07 Office of the Division of Highways, 120 South HB -115-Item 9. - 29 . Spring Street, Los Angeles, 90012. Minor deviations from the above-described work may be made and incidental work -,.. relative thereto performed by the Ouner, when mutually acceptable to both parties and upon approval by the State. III. Relocation ‘and Reimbursement Procedure A.State Highway Contractor will perform all work set outin Item I-A above. Owner agrees to perform the work set out in Item I-B above with its own forces and by Ouner t s consulting engineer. B.The State shall pay its share of the actual cost of work performed by Ouner and set out in Item I-B above, after receipt of six (6) copies of itemized bill, signed by a responsible official of Omer's organization, compiled on the basis of the actual cost and expense incurred and charged or allocated to said work, in accordance with Ouner i s regularly established accounting system; provided the cost and expense properly attributable to work covered by this agreement can be identified. C.It is understood and agreed that the State will not pay for any betterment or increase in capacity of Ouneris facilities in the new location and that Ouner shall give credit-to the State for all accrued depreciation on the replaced facilities and the salvage value of materials or parts salvaged and retained or sold by Omer. IV. Performance of Work It is hereby understood and agreed between the parties that all relocation work set forth in Section I-A above and Indicated on plans designated in Section II above shall be performed by the State under Highway Contract. V. e by Oun e r Ouner agrees to accept the operation, use, and maintenance of the water lines as constructed. VI. It is understood that said highway is a Federal-aid highway and accordingly, Bureau of Public Roads Policy and Procedure Memorandum 30-4 ia hereby incorporated into this Agreement with the understanding that provisions governing reimburse- ment procedures are applicable to the relationship between the State and the United States. VII. In order to comply with Title VI of the United States Civil Rights Act of 1964, Appendix A is attached to and made a part of this Agreement, excepting therefrom any and all work performed by °t uner's own forces. HB -116-Item 9. - 30 APPENDIX A During the performance of this contract, the contractor, for itself, its assignees and successors in interest (hereinafter referred to as the "contrac- tor"), agrees as follows: Compliance with Regulations: 'The contractor will comply with the Regulations of the Department of Commerce relative to nondiscrimina- tion in federally-assisted programs of the Department of Commerce (Title 15. Code of Federal Regulations, Part 8, hereinafter referred to as the Regulations), which are herein incorporated by reference and made a part of this contract. (2) Nondiscrimination: The contractor, with regard to the work performed by it after award and prior to completion of the contract work, mil/ not discriminate on the ground of race, color, or national origin in the selection and retention of subcontractors, including procurements of materials and leases of equipment. The contractor will not'participate either directly or indirectly in the discrimination prohibited by Section 8.4 of the Regulations, including employment practices when the con- tract covers a program set forth in Appendix A41 of the Regulations. Solicitations for Subcontracts, Including Procurements of Materials and Equipment: In all solicitations either by competitive bidding or negoti- ation made by the contractor for work to be performed under a sub- contract, including procurements of materials or equipment, each potential subcontractor or supplier shall be notified by the contractor of the contractor's obligations under this contract and the Regulations relative to nondiscrimination on the ground of race, color or national (4) Information anti Reports: 'The contractor will provide all information and reports required by the Regulations, or orders and instructions issued pursuant thereto, and will permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the State Highway Department or the Bureau of Public Roads to be pertinent to ascertain compliance with such Regulations, orders and instructions. Where any information required-of a contractor Is in the exclusive possession of another who fails or refuses to furnish this information, the contractor shall so. certify to the State Highway Department, or the Bureau of Public Roads as appropriate, and shall set forth what efforts it has made to obtain the information. Sanctions for Noncompliance: In the event of the contractor's noncom- pliance with the nondiscrimination provisions of this contract, the State Highway Department shall impose such contract sanctions as it or the Bureau of Public Roads may determine to be appropriate, including, but not limited to, (a)withholding of payments to the contractor under the contract until the contractor complies, and/or (b)cancellation, termination or suspension of the contract, in whole or in part. Incorporation of Provisions: The contractor will include the provisions of paragraph (1) through (6) in every subcontract, including procure- ments of materials and leases of equipment, unless exempt by the Regu- lations, order, or instructions issued pursuant thereto. The contractor will take such action with respect to any subcontract or procurement as the State Highway Department or the Bureau of Public Roads may direct as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, that, in the event a contractor be- comes involved in, or is threatened with, litigation with a subcontractor or supplier as a result of such direction, the contractor may request the State to enter into such litigation to protect the interests of the State, and, in addition, the contractor may request the United States to enter into such litigation to protect the interests of the United States. (1) (3) (5) (6) HB -117-Item 9. - 31 Right of Way Cleanstne Ages,Ofrover.... CITY OF HUNTINGTON BEACH _DEPARTMENT toes A * Wheeler .......... _________ . Director of Public Works .......... ..... 'tog Right of Way Ag APPROVED: C. S. MAC DONALD *MACAU AAAAAA AV, Pi BY••..."••••••••••••••••••••••'''''" WMON 1111. MS MYR Aslinent Chief Ritbs f Way olittst NOV 9 1367 STATEOFCAUFORNIA DEPARTMENT OF PUBLIC W KS 10 0111-1IG ibewilAIWOMMI*. PISMAAMASASHIMAnMWMASMSAMArelMSMAARAAS s.eARAMEMENIMMRNSME/Me 4 4111/41414.144PetvoilWk44. 444.44 OparigiftailmpweinIMMOgArupoirdp iewmpi * ' .s4's 1/4141)•i Cost to State of work to be done by State's Highway Contractor 67,715.00 Cost to State of work to be done by Owner 11,650.00 Estimated Cost to STATE $.4.9.2.365..04- work described in Item I —E OWNER agrees to perform and STATE agrees to pay for thAlkomisiggikstimis in accordance with_ OWNER agrees to accept and maintain the work described in Item I—A IN WITNESS WHEREOF, the parties have executed this agreement the day and year first above written. Deputy District Engineer HB -118-Item 9. - 32 8 Buried No LoNger: CoNfroNtiNg AmeriCA’s WAter iNfrAstruCture ChALL eNge projections of demographic trends allowed the development of infrastructure need profiles for growth through 2050 in each of the regions and utility size categories (for the latter purpose, city size was used as a proxy for utility size). The study generally assumes that utilities continue efforts to manage the number of main breaks that occur per mile of pipe rather than absorb increases in pipe failures. That is, the study assumes utilities will strive to maintain current levels of service rather than allow increasing water service outages. We assume that each utility’s objective is to make these investments at the optimal time for maintaining current service levels and to avoid replacing pipes while the repairs are still cost-effective. Ideally, pipe replacement occurs at the end of a pipe’s “useful life”; that is, the point in time when replacement or rehabilitation becomes less expensive in going forward than the costs of numerous unscheduled breaks and associated emergency repairs. With this data in hand and using the assumptions above, we projected the “typical” useful service life of the pipes in our inventory using the “Nessie Model”TM. The model embodies pipe failure probability distributions based on many utilities’ current operating experiences, coupled with insights from extensive research and professional experiences with typical pipe conditions at different ages and sizes, according to pipe material. The analysis used seven different types of pipe in three diameters and addressed pipe inventories dating back to 1870. Estimated typical service lives of pipes are Derived Current Service Lives (Years) CI CICL (LSL) CICL (SSL)) DI (LSL) DI (SSL) AC (LSL) AC (SSL) PVC Steel Conc & PCCP Northeast Large 130 120 100 110 50 80 80 100 100 100 Midwest Large 125 120 85 110 50 100 85 55 80 105 South Large 110 100 100 105 55 100 80 55 70 105 West Large 115 100 75 110 60 105 75 70 95 75 Northeast Medium & Small 115 120 100 110 55 100 85 100 100 100 Midwest Medium & Small 125 120 85 110 50 70 70 55 80 105 South Medium & Small 105 100 100 105 55 100 80 55 70 105 West Medium & Small 105 100 75 110 60 105 75 70 95 75 Northeast Very Small 115 120 100 120 60 100 85 100 100 100 Midwest Very Small 135 120 85 110 60 80 75 55 80 105 South Very Small 130 110 100 105 55 100 80 55 70 105 West Very Small 130 100 75 110 60 105 65 70 95 75 LSL indicates a relatively long service life for the material resulting from some combination of benign ground conditions and evolved laying practices etc. SSL indicates a relatively short service life for the material resulting from some combination of harsh ground conditions and early laying practices, etc. Figure 5: Average Estimated Service Lives by Pipe Materials (average years of service) HB -119-Item 9. - 33 CC 1520, 22‐INCH CITY OF HUNTINGTON BEACH RELOCATION, OCTA CN1106.Estimate of costs for plan check of OCTA Design Build Contractor. Assume 3‐each Submittals.Assume 6‐each Monthly Coordination MeetingsAssume 6‐each Design Coordination MeetingsEstimate of costs for Operations and Maintenance Labor for OCTA Relocation of pipeline. Cost include pipeline isolation, pipeline flushing, and Pipeline Testing.Estimate of cost for Construction Inspection of 22‐inch pipeline Estimate of cost for water for pipeline flushing.Task TASK DESCRIPTIONUTILITY MANAGERPRINCIPAL ENGINEERSENIOR ENGINEERASSISTANT ENGINEERENGINEERING INTERNWATER PRODUCTION SUPERVISORWATER DISTRIBUTION SUPERVISORWATER INSPECTORWATER CREW LEADERWATER QUALITY SUPERVISORWATER DIST LEADWORKERMAINT SERVICE SERVICE WORKERMET WATER ACRE FOOTTOTAL COST1 Submittals 9 24 24 6 6 12 12 12 62 Monthly Coordination Meetings 9 9 9 93 Construction Design Meeting 9 9 9 94 Construction Inspection80 65 O&M Labor12 100 1006 Project Approval 2 2 4 4 4Total Hours 11 44 46 6 6 34 34 80 24 12 100 1007 Water VOLUME 1.03Cost 1,757.36$ 6,856.52$ 6,049.46$ 633.54$ 70.92$ 3,948.42$ 3,948.42$ 8,362.40$ 2,281.92$ 1,393.56$ 8,607.00$ 6,740.00$ $1,028.10 51,677.62$ Contingency 15%7,751.64$ Total Cost59,429.27$ Hourly Rates/Unit Cost159.76$ 155.83$ 131.51$ 105.59$ 11.82$ 116.13$ 116.13$ 104.53$ 95.08$ 116.13$ 86.07$ 67.40$ 1,000.00$ WATER ESTIMATELENGTH OF PIPE ISOLATED1700 LF PRV @ EDINGER TO HEILPIPE DIAMETER 22‐INCHCROSS SECTION AREA 2.64 SQ FTVOLUME PIPE 4487.7 CU FTTURN WATER X‐TIMES 10 PIPE VOULMESFLUSH VOLUME 44876.7FLUSH VOLUME 1.03 AC FTHB -120-Item 9. - 34 CC 1521, 12‐INCH CITY OF HUNTINGTON BEACH RELOCATION, OCTA CN1241Estimate of costs for plan check of OCTA Design Build Contractor. Assume 3‐each Submittals.Assume 6‐each Monthly Coordination MeetingsAssume 6‐each Design Coordination MeetingsEstimate of costs for Operations and Maintenance Labor for OCTA Relocation of pipeline. Cost include pipeline isolation, pipeline flushing, and Pipeline Testing.Estimate of cost for Construction Inspection of 12‐inch pipeline Estimate of cost for water for pipeline flushing.Task TASK DESCRIPTIONUTILITY MANAGERPRINCIPAL ENGINEERSENIOR ENGINEERASSISTANT ENGINEERENGINEERING INTERNWATER PRODUCTION SUPERVISORWATER DISTRIBUTION SUPERVISORWATER INSPECTORWATER CREW LEADERWATER QUALITY SUPERVISORWATER DIST LEADWORKERMAINT SERVICE SERVICE WORKERMET WATER ACRE FOOTTOTAL COST1 Submittals 9 24 24 6 6 12 12 12 62 Monthly Coordination Meetings 9 9 9 93 Construction Design Meeting 9 9 9 94 Construction Inspection80 65 O&M Labor12 100 1006 Project Approval 2 2 4 4 4Total Hours 11 44 46 6 6 34 34 80 24 12 100 1007 Water VOLUME 0.33Cost 1,757.36$ 6,856.52$ 6,049.46$ 633.54$ 70.92$ 3,948.42$ 3,948.42$ 8,362.40$ 2,281.92$ 1,393.56$ 8,607.00$ 6,740.00$ $332.87 50,982.39$ Contingency 15%7,647.36$ Total Cost58,629.75$ Hourly Rates/Unit Cost159.76$ 155.83$ 131.51$ 105.59$ 11.82$ 116.13$ 116.13$ 104.53$ 95.08$ 116.13$ 86.07$ 67.40$ 1,000.00$ WATER ESTIMATELENGTH OF PIPE ISOLATED 1850 LFPIPE DIAMETER (INCH) 12 inCROSS SECTION AREA0.79 SQ FTVOLUME PIPE 1453.0 CU FTTURN WATER X‐TIMES 10 PIPE VOULMESFLUSH VOLUME 14529.9FLUSH VOLUME 0.33 AC FTHB -121-Item 9. - 35 Dept. ID ED 17-05 Page 1 of 2 Meeting Date: 2/21/2017 Approved for introduction February 6, 2017, Vote: 7-0 Statement of Issue: The City Council is asked to adopt Ordinance No. 4128 to update the Huntington Beach Municipal Code Section 10.60.010 to fully include currently metered streets and include future parking meter locations that are currently being proposed within the downtown area. Financial Impact: Not applicable. The amended ordinance provides for recently developed and future parking areas to be included in the City’s parking meter zones. Recommended Action: Approve for introduction Ordinance No. 4128, “An Ordinance of the City of Huntington Beach Amending Chapter 10.60 of the Huntington Beach Municipal Code Relating to Meter Zones.” Alternative Action(s): Do not approve the Ordinance and direct staff accordingly. Analysis: As part of the Capital Improvement Program (CIP) a new metered parking lot at First and Atlanta is planned. Additionally, a small lot at City-owned property at 1st and Walnut was opened up to meter parking and there is a potential to develop on-street, metered parking on Delaware Street south of Atlanta Avenue. With the new and proposed lots, the Parking Meter Code needs to be updated to reflect the City’s actual parking lot and meter locations. With the update, the ordinance was reviewed by the Police Department, Public Works, and Community Services to ensure that the update incorporated other metered locations that were not currently included. The Ordinance includes different parking zones as follows: • Business Zones o Walnut Avenue right-of-way between 5th and 6th streets. o Southside 100 block of 1st and Walnut (1st/Walnut Parking Lot). • Residential Zones o Southside Orange Avenue right-of-way from 5th to Main Street. CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/21/2017 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Ken Domer, Assistant City Manager Kellee Fritzal, Deputy Director of Business Development SUBJECT: Approve for introduction Ordinance No. 4128 amending Chapter 10.60 of the Huntington Beach Municipal Code relating to Meter Zones to fully include currently metered streets and include future parking meter locations currently being proposed within the downtown area HB -122-Item 10. - 1 Dept. ID ED 17-05 Page 2 of 2 Meeting Date: 2/21/2017 Approved for introduction February 6, 2017, Vote: 7-0 o Orange Avenue right-of-way from 1st to 2nd Street. • Recreational Zones o Created Zone I: Westside of Delaware Street right-of-way south of Atlanta Avenue. o Created Zone K: Within parking lot on southwest corner of 1st and Atlanta Avenue. Environmental Status: Not applicable. Strategic Plan Goal: Improve quality of life Attachment(s): 1) Ordinance No. 4128 2) Legislative Draft; Huntington Beach Municipal Code Chapter 10.60.010 HB -123-Item 10. - 2 ORDINANCE NO. 4128 AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH AMENDING CHAPTER 10.60 OF THE HUNTINGTON BEACH MUNICIPAL CODE RELATING TO METER ZONES The City Council of the City of Huntington Beach does hereby ordain as follows: SECTION 1. Section 10.60.010 of the Huntington Beach Municipal Code is hereby amended to read as follows: 10.60.010 Establishment Pursuant to Section 22508 of the California Vehicle Code, parking meter zones may be established and determined by ordinance of the City Council and parking of vehicles within any such zone shall be as follows: A. Business Zones. The boundaries of the business zones shall be as follows: 1 Within Main Street right-of-way from Pacific Coast Highway to Palm Avenue, excluding the west side of Main Street from Acacia to Palm Avenues. 2. Within Walnut Avenue right-of-way from Third to Fifth Streets. 3. Within Olive Avenue right-of-way from Third to Fifth Streets. 4. On the inland side (north side) of Pacific Coast Highway right-of-way from Third to Sixth Streets. 5. Walnut Avenue right-of-way between 5th and 6' Streets. 6. Southside 100 Block of l' and Walnut (1st/Walnut Parking Lot). B. Residential Zones. The boundaries of the residential zones shall be as follows: 1. Within First Street right-of-way from Pacific Coast Highway to Atlanta Avenue. 2. Within Second Street right-of-way from Pacific Coast Highway to Orange Avenue. 1 Within Third Street right-of-way from Walnut to Orange Avenues. 4. Within Walnut Avenue right-of-way from First to Third Streets. 5. Within Olive Avenue right-of-way from First to Third Streets. 6. Within Fifth Street right-of-way from Pacific Coast Highway to Orange Avenue. 7. Within 22nd Street right-of-way from Pacific Coast Highway to Walnut Avenue. 8. Within Walnut Avenue right-of-way from 22nd to Goldenwest Streets. 9. Southside Orange Avenue right-of-way from 5th to Main Street. 10. Orange Avenue right-of-way from 1st to 2"d Street. 16-5530/147247/DO 1 HB -124-Item 10. - 3 APPROVED AS T ORDINANCE NO. 4128 C. Recreational Zones. The boundaries of the recreational zones shall be as follows: 1. ZONE A: On the ocean side of Pacific Coast Highway right-of-way from Beach Boulevard to Goldenwest Street. 2. ZONE B: On the inland (north) side of Pacific Coast Highway right-of-way from Beach Boulevard to Third Street and from Sixth to Goldenwest Streets, 3. ZONE C: On the ocean side of Pacific Coast Highway, the parking lots from Goldenwest Street to a point which is 6,100 feet north-westerly of said Goldenwest Street. 4. ZONE D: Within the boundaries of Huntington Central Park between Gothard and Goldenwest Streets at Huntington Central Library. 5. ZONE E: Within the parking lots of the public launching ramps on Warner Avenue. 6. ZONE F: Within Beach Boulevard right-of-way from Pacific Coast Highway to Sunrise Street, including the Huntington Breakers complex frontage road. 7. ZONE G: Within the parking lots on the ocean side of Pacific Coast Highway between First and Seventh Streets, commonly known as the Pier Plaza Parking Lots. 8. ZONE H: Within the boundaries of the Huntington Central Park Sports Complex including the parking lot. 9. ZONE I: Westside of Delaware Street right-of-way south of Atlanta Avenue. 10. ZONE K: Within parking lot on southwest corner of 1" and Atlanta Avenue. SECTION 2. This ordinance shall become effective 30 days after its adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the day of , 20 . Mayor REVIEWED AND APPROVED: City Manager Aty Attorney kit) t VtAkS3 Ntoti INITIATED AND APPROVED: Deputy Diregor Of Business Development ATTEST: City Clerk 16-5530/147247/DO 2 HB -125-Item 10. - 4 LEGISLATIVE DRAFT 10.60.010 Establishment Pursuant to Section 22508 of the California Vehicle Code, parking meter zones may be established and determined by ordinance of the City Council and parking of vehicles within any such zone shall be as follows: A. Business Zones. The boundaries of the business zones shall be as follows: 1. Within Main Street right-of-way from Pacific Coast Highway to Palm Avenue, excluding the west side of Main Street from Acacia to Palm Avenues. 2. Within Walnut Avenue right-of-way from Third to Fifth Streets. 3. Within Olive Avenue right-of-way from Third to Fifth Streets. 4. On the inland side (north side) of Pacific Coast Highway right-of-way from Third to Sixth Streets. 6th 5, Walnut Ave.nue righto.f7way..betweert.5`h and o Streets, 6... . ..SoutItside. 300 Block of ie artd_Walrtut.LUVW.alnut..Parkiriviot), B. Residential Zones. The boundaries of the residential zones shall be as follows: I. Within First Street right-of-way from Pacific Coast Highway to Atlanta Avenue. 2. Within Second Street right-of-way from Pacific Coast Highway to Orange Avenue. 3. Within Third Street right-of-way from Walnut to Orange Avenues. 4. Within Walnut Avenue right-of-way from First to Third Streets. 5. Within Olive Avenue right-of-way from First to Third Streets. 6. Within Fifth Street right-of-way from Pacific Coast Highway to Orange Avenue. 7. Within 22nd Street right-of-way from Pacific Coast Highway to Walnut Avenue. 8. Within Walnut Avenue right-of-way from 22nd to Goldenwest Streets. 9_... .Soutbside.Orange. Avenue tight-of-way_from 5th to Main Street. 10. Oran_gg Avenue. right -of-wa_y_from Pt to 2 Street. C. Recreational Zones. The boundaries of the recreational zones shaft be as follows: I. ZONE A: On the ocean side of Pacific Coast Highway right-of-way from Beach Boulevard to Goldenwest Street. 2. ZONE B: On the inland (north) side of Pacific Coast Highway right-of-way from Beach Boulevard to Third Street and from Sixth to Goldenwest Streets. 3. ZONE C: On the ocean side of Pacific Coast Highway, the parking lots from GoIdenwest Street to a point which is 6,100 feet north-westerly of said GoIdenwest Street. 4. ZONE D: Within the boundaries of Huntington Central Park between Gothard and Goldenwest Streets at Huntington Central Library. 16-5530/147248/DO 1 HB -126-Item 10. - 5 5. ZONE E: Within the parking lots of the public launching ramps on Warner Avenue. 6. ZONE F: Within Beach Boulevard right-of-way from Pacific Coast Highway to Sunrise Street, including the Huntington Breakers complex frontage road. 7. ZONE G: Within the parking lots on the ocean side of Pacific Coast Highway between First and Seventh Streets, commonly known as the Pier Plaza Parking Lots. 8. ZONE H: Within the boundaries of the Huntington Central Park Sports Complex including the parking lot. (1491-4/69, 1490-5/69, 2255-1178, 3374-11/97, 3393-5/98, 3660-9/04,4071-11/15) 9........ZONEL.._Westsido apelaw= .Street right:-ofrysqy_s_outh_ofAtlauta AWnup. ZONE_K ...Within.parking lot_on_southwest.orner of rand Atlanta Avenue, 16-5530/147248/DO 2 HB -127-Item 10. - 6 City of Huntington Beach February 6, 2017 HB -128-Item 10. - 7 Municipal Code Chapter 10.60 CA Vehicle Code § 22508 (a) A local authority shall not establish parking meter zones or fix the rate of fees for those zones except by ordinance. One (1) current lot – 1st & Walnut (7 spaces/1 ADA) Two (2) proposed lots – 1st & Atlanta and Delaware Street on-street parking (south of Atlanta) HB -129-Item 10. - 8 Existing/Proposed Parking Lots 1st & Walnut Lot (7 Spaces) Proposed 1st & Atlanta Lot: (≈44 spaces) Delaware Street (≈ 64 spaces) HB -130-Item 10. - 9 Ordinance No. 4128 “Zone Concept” – determines length of metered parking. Department review of current on-street metered locations revealed two “residential” portions not codified. “Residential Zone” allows adjacent residents to buy annual pass. HB -131-Item 10. - 10 Ordinance No. 4128 Two on-street locations not currently listed in HBMC. These are not new metered parking locations. Both are “Residential Zone” HB -132-Item 10. - 11 Questions? HB -133-Item 10. - 12 Dept. ID AD 16-031 Page 1 of 2 Meeting Date: 2/21/2017 Statement of Issue: The City Council held a Strategic Planning Retreat on January 26, 2017 in which the City Council, City Manager, and Department Heads developed 22 Strategic Objectives based on five (5) Strategic Plan Goals. The Strategic Objectives were reviewed in a public meeting and, through consensus by the City Council members present, compiled into a draft Strategic Plan grid. These Strategic Objectives are brought forward at this time for consideration by the City Council. Financial Impact: Not applicable. Individual Strategic Objectives which have a budgetary impact and require City Council approval will be considered individually at a future date. Recommended Action: Approve the January 26, 2017, Strategic Objectives as contained within Attachment 1. Alternative Action(s): Amend or reject the Strategic Objectives and direct staff accordingly. Analysis: In 2009, the City Council began an annual strategic planning process to develop consensus on a Mission Statement, Three-Year Goals, and corresponding Priority Strategic Objectives. This process is on-going and is a critical component of maintaining the City in a fiscally sustainable manner. In fulfilling this process, the City Council met on January 26, 2017, to review and update the Three-Year Goals and their Priority Strategic Objectives. The Strategic Planning Retreat is a noticed, public meeting and members of the public were in attendance. The Strategic Objectives Grid is an attachment to this item. The City Council’s mission statement is as follows: “The City of Huntington Beach provides sustainable quality services to maintain and enhance our safe and vibrant community.” The Three-Year Goals were not changed and are organized into five categories: • Improve quality of life • Enhance and maintain infrastructure • Strengthen economic and financial sustainability • Enhance and maintain public safety • Enhance and maintain City Service Delivery CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/21/2017 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Ken Domer, Assistant City Manager SUBJECT: Approval of Huntington Beach 2017 Strategic Plan Objectives HB -134-Item 11. - 1 Dept. ID AD 16-031 Page 2 of 2 Meeting Date: 2/21/2017 Each of the Goals includes a list of six-month strategic objectives. At the Strategic Planning Retreat, the City Council was asked by the facilitator to reach consensus on each of the developed Strategic Objectives. Having reached consensus, the Strategic Objectives are now being brought forward for City Council consideration at a regular City Council meeting. Once approved, Staff will provide the attached matrix with updated information on the status of the Six-Month Strategic Objectives at subsequent City Council meetings. Environmental Status: N/A Strategic Plan Goal: • Improve quality of life • Enhance and maintain infrastructure • Strengthen economic and financial sustainability • Enhance and maintain public safety • Enhance and maintain City Service Delivery Attachment(s): 1. City of Huntington Beach Six-Month Strategic Objectives Grid (26 January 2017 through 27 July 2017) HB -135-Item 11. - 2 A C I T Y O F H U N T I N G T O N B E A C H S I X - M O N T H S T R A T E G I C O B J E C T I V E S January 26, 2017 – July 27, 2017 THREE-YEAR GOAL: IMPROVE QUALITY OF LIFE WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. May 15, 2017 -- City Council Study Session Community Services Dir., working with the Shipley-to-Shore Stakeholder Working Group Develop a report on a “Shipley to Shore” Trail System from Shipley Nature Center to PCH. 2. April 1, 2017 City Manager Launch the Citizens’ Academy. 3. June 1, 2017 Community Services Dir., in partnership with California State University Long Beach Develop a conceptual plan for Irby Park and present it to the Community Services Commission and the City Council for consideration. HB -136-Item 11. - 3 B THREE-YEAR GOAL: ENHANCE AND MAINTAIN INFRASTRUCTURE WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. April 1, 2017 Asst. City Mgr. and the Chief Information Officer Conduct a study session to review progress on the Broadband Initiative and on the use of streetlights for wireless communication. 2. April 1, 2017 Community Services Dir., working with the Central Park Committee Identify and recommend projects within the provided budget for the infrastructure improvements to Central Park and present to the City Council for action. 3. June 1, 2017 Police Chief and Public Works Dir. Develop a Facilities Needs Assessment for the Police Dept. 4. June 1, 2017 Public Works Dir. Present to the City Council for consideration a Financial Plan to address the infrastructure needs as identified in the Water Master Plan. HB -137-Item 11. - 4 C THREE-YEAR GOAL: STRENGTHEN ECONOMIC AND FINANCIAL SUSTAINABILITY WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. March 15, 2017 Asst. City Manager and the Dep. Dir. Economic Development Present to the City Council for consideration an Economic Development Implementation Plan for Business Retention, Attraction and Expansion. 2. July 1, 2017 Dep. Dir. Economic Development, working with the Chief Financial Officer Identify and attract at least three new businesses to increase sales tax revenue 3. July 1, 2017 -- As part of the FY 2017-2018 budget process Human Resources Dir. and Finance Dir. Develop funding plans to enhance the funded status of the city’s Workers’ Comp, Retiree Medical, and Retiree Supplemental Plans. 4. July 15, 2017 Asst. City Manager – lead, Dep. Dir. Economic Development, and Councilmembers Billy O’Connell, Patrick Brenden and Lyn Semeta, in coordination with regional business partners Create a Business Incubator Implementation Plan that results in five new businesses by January 1, 2018. 5. July 15, 2017 Community Development Dir. Complete the draft comprehensive General Plan Update and draft Environmental Impact Report for distribution and public comment. HB -138-Item 11. - 5 D THREE-YEAR GOAL: ENHANCE AND MAINTAIN PUBLIC SAFETY WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. May 1, 2017 Police Chief Complete a Gun Range Feasibility Study and present the findings and a recommendation to the City Council for action. 2. May 15, 2017 Fire Chief, working with a consultant Complete and submit to the City Manager and City Council for review a Fire Standards of Cover and Staffing Report. 3. June 1, 2017 Police Chief and Public Works Dir. Complete a Police Facility Needs Assessment and present the findings to the City Manager. 4. July 15, 2017 Fire Chief Complete and present the findings of a Peak Load Staffing for Emergency Transport Services Feasibility Study and make a recommendation to the City Manager for consideration. HB -139-Item 11. - 6 E THREE-YEAR GOAL: ENHANCE AND MAINTAIN CITY SERVICE DELIVERY WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. April 1, 2017 City Clerk and Chief Information Officer, with input from the City Attorney Recommend to the City Manager for action a Public Records Act (PRA) Management Process and identification of staff to appropriately respond to PRA requests in a structured format. 2. June 1, 2017 Chief Information Officer Recommend to the City Manager at least two options to implement a smart tool or mobile app that enhances online accessibility for current and new services. 3. June 1, 2017 Chief Information Officer Present to the City Manager for action a recommendation to automate processing of citywide forms currently processed manually. 4. June 1, 2017 City Clerk – lead, Public Information Officer and Chief Information Officer Recommend to the City Manager for action at least two options for providing visitor assistance at the Huntington Beach Civic Center in either a virtual format and/or in person. HB -140-Item 11. - 7 HB -141-Item 12. - 1