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Home My WebLink About2026-07-07 Agenda PacketAGENDA City Council/Public Financing Authority Tuesday, July 7, 2026 4:00 PM - Closed Session 6:00 PM - Regular Meeting Council Chambers 2000 Main Street Huntington Beach, CA 92648 MAYOR AND CITY COUNCIL CASEY MCKEON, Mayor BUTCH TWINING, Mayor Pro Tem PAT BURNS, Councilman ANDREW GRUEL, Councilman DON KENNEDY, Councilman GRACEY VAN DER MARK, Council Woman CHAD WILLIAMS, Councilman STAFF TRAVIS HOPKINS, City Manager MIKE VIGLIOTTA, City Attorney LISA LANE BARNES, City Clerk JASON SCHMITT, City Treasurer VIEWING OPTIONS (Live or On-Demand): Members of the public may attend City Council meetings in person or view the proceedings remotely. Meetings are broadcast live on HBTV Channel 3 (replayed on Wednesday at 10:00 a.m. and Thursday at 6:00 p.m.). Live and archived meetings are available at : https://huntingtonbeach.legistar.com/calendar , https://bit.ly/SurfCityTV, or the City's YouTube Channel at https://www.youtube.com/cityofhb . Meetings may also be viewed on Roku, Fire TV or Apple device by downloading the Cablecast Screenweave App and searching for the City of Huntington Beach channel. PRESENTATION MATERIAL: If you plan to share printed materials during public speaking, please provide ten (10) paper copies. Materials may be delivered in person at the meeting or to the City Clerk ’s Office by 5:00 p.m. on the day of the meeting. Members of the audience and speakers shall not wear or display signs that obstruct the view of other audience members. Signs shall remain with the holder and shall not be placed in adjacent seats or in common areas. PUBLIC COMMENTS: Individuals wishing to speak during Public Comments on agendized or non-agendized items, including Closed Session and Public Hearings, may do so in person in the City Council Chambers or on Zoom IN PERSON SPEAKERS: To provide in-person comments during Public Comments on agendized and non-agendized items, please obtain a ticket number in the lobby beginning 30 minutes prior to the start of first scheduled meeting session. Only in-person speakers for Public Comments use the ticket system; they will be called in numerical order and asked to queue in the designated area. This ticket system is used solely to organize the meeting flow and determine the order in which speakers are recognized. CLOSED SESSION SPEAKERS: You do not need a ticket. At the designated time on the agenda, the Closed Session comment period will be announced, and speakers will be asked to queue in the designated area. PUBLIC HEARING SPEAKERS: You do not need a ticket. At the designated time on the agenda, the Public Hearing will be announced, and speakers will be asked to queue in the designated area. ZOOM SPEAKERS: To provide comments via Zoom for Closed Session, Public Comments, or Public Hearings, enter using Webinar ID 165 753 7311 or the provided link https://huntingtonbeachca.zoomgov.com/j/1657537311. You may also join by phone audio at (+1 415 449 4000) and entering the Webinar ID 165 753 7311. If you enter Zoom for the purpose of speaking during Closed Session, Public Comments or Public Hearing, you will be prompted by the City Clerk to raise your hand for each comment period. Speakers will be called by the identifier 1 they provided when entering Zoom and will receive a prompt to unmute. SUPPLEMENTAL COMMUNICATION: Members of the public interested in commenting on agenda-related items may submit a written (supplemental) communication to the City Council via email at SupplementalComm@SurfCity-hb.org. Supplemental Communications are considered public record. Communications received by 5:00 PM Monday prior to the City Council meeting will be distributed to the City Council, posted to the City website, and announced at the City Council meeting, though not read. Please note that Supplemental Communications can only be submitted to SupplementalComm@SurfCity-HB.org. Communications received Monday after the 5:00 PM deadline will only be included in the administrative record. MEETING ASSISTANCE NOTICE: In accordance with the Americans with Disabilities Act, services are available to members of our community who require special assistance to participate in public meetings. If you require special assistance, 48-hour prior notification will enable the City to make reasonable 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 (714) 374-5390 for more information. 2 AGENDA July 7, 2026City Council/Public Financing Authority 4:00 PM - COUNCIL CHAMBERS CALL TO ORDER ROLL CALL Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, Williams ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) PUBLIC COMMENTS - CLOSED SESSION ITEMS You do not need a ticket. At the designated time on the agenda, the Closed Session comment period will be announced, and speakers will be asked to queue in the designated. To provide comments via Zoom for Closed Session, enter using Webinar ID 165 753 7311 or the provided link https://huntingtonbeachca.zoomgov.com/j/1657537311. You may also join by phone audio at (+1 415 449 4000) and entering the Webinar ID 165 753 7311. Please note that the Brown Act does not allow discussion or action on topics that are not on the agenda. Members of the public who would like to speak directly with a Councilmember on an item not on the agenda may consider scheduling an appointment by contacting the City Council's Administrative Assistant at (714) 536-5553 or emailing the entire City Council at city.council@surfcity-hb.org. RECESS TO CLOSED SESSION CLOSED SESSION 26-4551.CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Gov. Code section 54956.8.) Property: 17732 Goldenwest St, Huntington Beach, CA 92647 (APN 111-010-69). Agency Negotiators: Travis Hopkins, City Manager; Marissa Sur, Assistant City Manager; Ashley Wysocki, Director of Community and Library Services; Chris Cole, Community and Library Services Manager; William Krill, Real Estate Project Manager. Negotiating parties: Michael and Christina Bartusick dba Park Bench Cafe and Rory Bevins (Not Present). Under negotiation: Price and terms of payment. 26-5772.CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Page 2 of 7 3 AGENDA July 7, 2026City Council/Public Financing Authority Financial Officer. Employee Organization: Huntington Beach Police Officers’ Association (HBPOA). 26-5783.CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Police Management Association (PMA). 26-5794.CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Huntington Beach Firefighters’ Association (HBFA). 26-5805.CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Fire Management Association (FMA). 26-5816.CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. (Paragraph (1) of subdivision (d) of Section 54956.9). People of the State of California/Bonta v. City of Huntington Beach, et al.; Case No. 30-2023-01312235-CU-WM-CJC. 26-5827.CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. (Paragraph (1) of subdivision (d) of Section 54956.9). Southwest Voter Registration Education Project, et al. v. City of Huntington Beach; OCSC Case No. 30-2024-01397379-CU-CR-NJC. 6:00 PM – COUNCIL CHAMBERS RECONVENE CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING ROLL CALL Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, Williams Page 3 of 7 4 AGENDA July 7, 2026City Council/Public Financing Authority INVOCATION 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. 26-5668.Huntington Beach Police and Fire Chaplain Roger Wing PLEDGE OF ALLEGIANCE CLOSED SESSION REPORT BY CITY ATTORNEY CITY COUNCIL MEMBER COMMENTS (2-Minute Time Limit) The Mayor will facilitate a voluntary opportunity for members of the Huntington Beach City Council to individually make brief comments to the public. Please note that the Brown Act does not allow for lengthy comments, discussion, or action on topics that are not on the agenda. MAYOR'S SPOTLIGHT 26-5649.Mayor’s Spotlight Presentation BUSINESS HIGHLIGHT 26-56710.Business Highlight Presentation COMMUNITY EVENTS ANNOUNCEMENTS (2-Minute Time Limit) Limited to one representative, one announcement This brief agenda segment is reserved for time-sensitive, organized events taking place within the City that are open to the public or support recognized community goals (e.g., nonprofit fundraisers, library programs, equestrian center events, City -sponsored activities). It is not a public-comment period and is not intended for individual solicitations, private parties, commercial promotions, or political campaigning. You do not need a ticket. At the designated time on the agenda, Community Events Announcements will be announced, and speakers will be asked to queue in the designated area. Community Events Announcements are only available in-person. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) PUBLIC COMMENTS To provide in person comments during Public Comments on agendized and non agendized items, please obtain a ticket number in the lobby beginning 30 minutes prior to the start of first scheduled meeting session. Only in person speakers for Public Comments use the ticket system; Page 4 of 7 5 AGENDA July 7, 2026City Council/Public Financing Authority they will be called in numerical order and asked to queue in the designated area. This ticket system is used solely to organize the meeting flow and determine the order in which speakers are recognized. To provide comments via Zoom for Public Comments, enter using Webinar ID 165 753 7311 or the provided link https://huntingtonbeachca.zoomgov.com/j/1657537311. You may also join by phone audio at (+1 415 449 4000) and entering the Webinar ID 165 753 7311. Please note that the Brown Act does not allow discussion or action on topics that are not on the agenda. Members of the public who would like to speak directly with a Councilmember on an item not on the agenda may consider scheduling an appointment by contacting the City Council's Administrative Assistant at (714) 536-5553 or emailing the entire City Council at city.council@surfcity-hb.org. While the City Council welcomes public involvement and supports and defends free speech, the City Council rejects comments from anyone that are discriminatory, defamatory or otherwise not protected free speech. Those comments will not inform nor be considered by the City Council and may be cause for the Mayor to interrupt the public speaker. Such public comments will not be consented to or otherwise adopted by the City Council in its discussions and findings for any matter tonight. COUNCIL COMMITTEE APPOINTMENT ANNOUNCEMENTS Councilmembers may make brief announcements on any appointments made to a board, committee, or commission. Councilmembers may not discuss or take any action on these announcements. Announcements are limited to 1 minute. AB 1234 REPORTING Per AB 1234 (Government Code Section 53232.3(d)) Councilmembers who attend a meeting, conference, or similar event at the expense of the City must provide a brief report of the meeting, conference, or similar event during the next regular City Council meeting. Reports are limited to 1 minute. OPENNESS IN NEGOTIATION DISCLOSURES Councilmembers must publicly disclose any meetings or communications with City employee associations, related to the negotiations of labor agreements. Disclosures are limited to 1 minute and must be made by the next regular City Council Meeting. CITY MANAGER'S REPORT 26-58411.Study Session: Proposed Improvements to Huntington Beach Sports Complex CONSENT CALENDAR (Items 12 - 17) City Clerk Page 5 of 7 6 AGENDA July 7, 2026City Council/Public Financing Authority 26-56512.Approve and Adopt Minutes Approve and adopt the City Council/Public Financing Authority regular meeting minutes of June 16, 2026. Recommended Action: City Manager 26-58813.Implementation of Huntington Beach Pier Stairs Advertising Pilot Project Authorize the City Manager to implement a one-year pilot project for pier stairs advertising and amend the contract with Rio Media and Advertising to expand the scope of services to include pier stairs advertising. Recommended Action: Police 26-57214.Approve and authorize execution of Amendment No. 2 to Add Additional Compensation to the Agreement Between LM Investigations, LLC, and the City of Huntington Beach for Background Services for the Huntington Beach Police Department (HBPD) Approve and authorize the Mayor and City Clerk to execute “Amendment No. 2 to Agreement Between the City of Huntington Beach and LM Investigations, LLC for Background Investigative Services” to hire qualified candidates for the HBPD. Recommended Action: Public Works 26-51615.Approve and Authorize Execution of a Professional Services Agreement with Sierra Analytic Laboratories, Inc. for Water Quality Analysis and Sampling Approve and authorize the Mayor and City Clerk to execute “Service Agreement Between the City of Huntington Beach and Sierra Analytic Laboratories, Inc. for Water Quality Analysis and Sampling”, in an amount not to exceed $300,000 for a three -year term. Recommended Action: 26-55716.Accept Lowest Responsive and Responsible Bid and Award Construction Contract to Empire Design & Build in the Amount of $480,000 for the Water Production Office Renovation Project, CC1767 Recommended Action: Page 6 of 7 7 AGENDA July 7, 2026City Council/Public Financing Authority A) Accept the lowest responsive and responsible bid submitted by Empire Design & Build in the amount of $480,000; and , B) Authorize the Director of Public Works to Approve change orders up to 20% contingency in potential construction-related changes; and C) Authorize the Mayor and City Clerk to execute a construction contract with Empire Design & Build in a form approved by the City Attorney. 26-56117.Accept Lowest Responsive and Responsible Bid and Award Construction Contract to Sequel Contractors, Inc. in the Amount of $6,783,480 for the 2025 Arterial Rehabilitation Project (CC1771) A) Accept the lowest responsive and responsible bid submitted by Sequel Contractors, Inc. in the amount of $6,783,480; and, B) Authorize the Director of Public Works to approve change orders up to 10% contingency in potential construction change orders; and, C) Approve the appropriation of $682,737 to account 125490002 .82300; and, D) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney. Recommended Action: ADJOURNMENT The next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority is Tuesday, July 21, 2026, 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 Page 7 of 7 8 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-455 MEETING DATE:7/7/2026 CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Gov. Code section 54956.8.) Property: 17732 Goldenwest St, Huntington Beach, CA 92647 (APN 111-010-69). Agency Negotiators: Travis Hopkins, City Manager; Marissa Sur, Assistant City Manager; Ashley Wysocki, Director of Community and Library Services; Chris Cole, Community and Library Services Manager; William Krill, Real Estate Project Manager. Negotiating parties: Michael and Christina Bartusick dba Park Bench Cafe and Rory Bevins (Not Present). Under negotiation: Price and terms of payment. City of Huntington Beach Printed on 7/1/2026Page 1 of 1 9 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-577 MEETING DATE:7/7/2026 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Huntington Beach Police Officers’ Association (HBPOA). City of Huntington Beach Printed on 7/1/2026Page 1 of 1 10 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-578 MEETING DATE:7/7/2026 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Police Management Association (PMA). City of Huntington Beach Printed on 7/1/2026Page 1 of 1 11 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-579 MEETING DATE:7/7/2026 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Huntington Beach Firefighters’ Association (HBFA). City of Huntington Beach Printed on 7/1/2026Page 1 of 1 12 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-580 MEETING DATE:7/7/2026 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Fire Management Association (FMA). City of Huntington Beach Printed on 7/1/2026Page 1 of 1 13 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-581 MEETING DATE:7/7/2026 CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. (Paragraph (1) of subdivision (d) of Section 54956.9). People of the State of California/Bonta v. City of Huntington Beach, et al.; Case No. 30-2023-01312235-CU-WM-CJC. City of Huntington Beach Printed on 7/1/2026Page 1 of 1 14 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-582 MEETING DATE:7/7/2026 CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. (Paragraph (1) of subdivision (d) of Section 54956.9). Southwest Voter Registration Education Project, et al. v. City of Huntington Beach; OCSC Case No. 30-2024-01397379-CU-CR-NJC. City of Huntington Beach Printed on 7/1/2026Page 1 of 1 15 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-566 MEETING DATE:7/7/2026 Huntington Beach Police and Fire Chaplain Roger Wing City of Huntington Beach Printed on 7/1/2026Page 1 of 1 16 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-564 MEETING DATE:7/7/2026 Subject: Mayor’s Spotlight Presentation City of Huntington Beach Printed on 7/1/2026Page 1 of 1 17 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-567 MEETING DATE:7/7/2026 Subject: Business Highlight Presentation City of Huntington Beach Printed on 7/1/2026Page 1 of 1 18 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-584 MEETING DATE:7/7/2026 Subject: Study Session: Proposed Improvements to Huntington Beach Sports Complex Attachments: 1. PowerPoint Presentation City of Huntington Beach Printed on 7/1/2026Page 1 of 1 19 HUNTINGTON BEACH SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. | JULY 2026 1 20 WHERE WE STARTED SPORTS COMPLEX CHALLENGES 01 HISTORIC FACILITY USAGE 02 HISTORIC NET REVENUE 03 MULTIPLE PARK MANAGEMENT PROVIDERS 04 AGING INFRASTRUCTURE/DEFERRED MAINTENANCE Prior to 2021, the City of Huntington Beach operated the HB Sports Complex under the Community & Library Services Department. In 2021, the City issued an RFP seeking an operating team, to assist in expanding participation, improving the customer experience, increasing field utilization, and positioning the complex as a premier destination for youth and amateur sports. City of HB historically budgeted/staffed the Sports Complex operation to support 30-35% facility usage. In 2018/19, the Sports Complex generated a net revenue of $17,237. Landscape, concessions, field maintenance, building maintenance, events/community programming, etc. were all managed by seperate departments or third-party service providers. Capital infrastructure investment had largely been deferred for 15 years. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. 221 WHERE WE ARE TODAY A LONG-TERM PARTNERSHIP HBSC PARTNERS & CITY OF HUNTINGTON BEACH HIGHLIGHTS 01 PARKING REVENUE 02 FACILITY USAGE 03 CAPITAL IMPROVEMENTS 04 COMMUNITY OUTREACH 05 EXPANDED PROGRAMMING HBSC has transformed the Huntington Beach Sports Complex into a more active, accessible, and financially sustainable community asset—serving more users, creating more opportunities, and generating greater resources for future investment. City parking revenue has increased from $110,411 in FY 21/22 to $726,126 in FY 24/25. The Complex has increased from 35% usage ($17,237 in City net revenue) to 95% usage, producing $218,887 in City revenue share in 2025. HBSC Partners has invested $650K in park infrastructure, including enclosed dugouts on all fields, flexible fencing to facilitate larger events, and installing a new sports turf field. Launched a community outreach program, in November 2025, which has provided over 850 of our local youth with camps, clinics, and $16,000 in scholarships. The Sports Complex has broadened program offerings to include more camps, sports training, flag football, lacrosse, volleyball, and soccer programming. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. COUNCIL ACTION On 9/7/21, City Council unanamously approved an Operational/Management Agreement between the City of Huntington Beach and HBSC Partners, LLC, for Facility Management and Operation Services at the Huntington Central Park Sports Complex 322 WHERE WE ARE TODAY ONGOING CHALLENGES As the complex serves nearly three times the number of users and participation continues to increase, strategic improvements are necessary to meet both current needs and future demand. 2x - 3x LANDSCAPE MAINTENANCE INCREASE The current landscape maintenance contract will expire in FY 27/28 and is projected to increase 2-3 times in subsequent years $1.1M LED LIGHTING UPGRADES ~17M GALLONS OF WATER CONSUMED ANNUALLY DEFERRED INFRASTRUCTURE REPAIRS Public Works recently replaced a failed water pump at the site and the 20+ year old irrigation system components continue to experience failures. A complete irrigation system replacement is estimated at $5.2M. BATTING CAGE CLOSURE The original batting cages have been closed due to safety concerns since July 2024. The replacement of the existing cages is estimated to cost $330,000. However, training modalities have evolved and this presents an opportunity to build a modernized, state-of-the-art training facility. LIMITATIONS ON FIELD USE Flag Football, Soccer, Lacrosse, amongst other sports require a grass/turf surface. The baseball/softball infield surfaces limit the flexibility and field use for other purposes. 23 acres of natural grass fields consume an estimated 17M gallons of water annually. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. The City Capital Improvement Plan contemplates a five phase LED lighting retrofit project. Two of five phases have yet to be funded/completed. 423 THE NEXT EVOLUTION BUILDING THE FUTURE OF COMPETITION AND COMMUNITY HIGHLIGHTS 01 RISE TRAINING CENTER 02 MULTIPURPOSE SPORTS COMPLEX 03 BRAND PRESENCE Our vision is to create a community hub that benefits everyone —leveraging capital investment to deliver new infrastructure, expanding recreational opportunities for our residents, and generating recurring revenue that supports the future of the Huntington Beach Sports Complex. A training facility that supports modern training modalities for local athletes and provides broader community wellness training. Maximize the flexibility, usability, and availability of fields for various sports and events. Continued expansion with partners that are looking to enhance community experiences, support youth development, and invest in the future of one of Southern California's most active sports destinations. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. 524 RISE TRAINING CENTER Rise Training Center is more than a athletic performance center—it is a community wellness campus dedicated to developing healthy, confident, and resilient athletes and families through movement, education, and connection. 1 YEAR-ROUND INDOOR TRAINING CENTER Elite-level training facility for youth, high school, and collegiate athletes. Customized programs built around each athlete’s goals, needs, and sport. 2 REPLACE OUTDATED BATTING CAGES Four premium cages available to the public, including 2 professional-sized and 2 youth-sized. Bookable in 30-minute slots for individuals or teams with adjustable pitching machines for maximum flexibility. 3 COMMUNITY WELLNESS PROGRAMS Early morning adult bootcamps, senior mobility sessions, nutrition workshops, “open gym” memberships, this training center will serve as a wellness hub for our community. 4 PROVIDE SPONSORSHIP & RETAIL ATTACHMENT In addition to on-site signage and experiential activations, the facility will support sales of apparel, training/recovery equipment, sport- specific accessories, nutrition and hydration, and/or other related merchandise. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. THE NEXT EVOLUTION 625 TRAINING CENTER FLOORPLAN HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. 7 726 TRAINING CENTER RENDERINGS HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. 8 827 SPORTS TURF CONVERSION This transformation is about more than replacing grass, it is about creating a modern sports destination that delivers greate r access, enhanced experiences, and long-term value for our community while ensuring that the Huntington Beach Sports Complex remains a premier recreational destination. 1 FEWER CLOSURES & CANCELLATIONS Minimal downtime for maintenance and reduced closure due to rain/field conditions, provides greater playability and more usable field hours. 2 MAXIMUM FLEXIBILITY Provides a playable surface for all sports, allowing a flexible combination of uses on a daily basis. This will increase facility capacity without increasing its footprint. 3 PREMIUM EVENT VENUE Sports turf creates a stronger venue profile. More flexible scheduling and reliable field conditions elevate the facility to a premium level. Premium tournaments bring more visitors which in turn drives community value and local business revenue. 4 REDUCTION IN CITY DIRECT COSTS Saves 17M gallons of water annually, eliminates $5.2M in deferred irrigation repairs, and saves the City a projected $385K annually in landscape maintenance costs over the life of the turf. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. THE NEXT EVOLUTION 928 WHEN ONE FIELD BECAME SPORTS TURF HBSC's conversion of a single field to artificial turf served as a proof of concept, demonstrating increased utilization, improved field reliability, expanded programming opportunities, and stronger revenue potential. 4.35× REVENUE MULTIPLE Field F: $27,420 → $119,340 annually ~1.8M GALLONS SAVED Tens of millions of gallons across the full complex MULTIPURPOSE FIELD Multiple field configurations provide soccer, baseball, and football overlays, maximizing the flexibility and utilization of the field. As the most requested and heavily used field within the complex, it demonstrates the exceptional value of a multi-purpose playing surface that can accommodate a wide range of sports and community activities. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. LOW MAINTENANCE By eliminating fertilizer, pesticides, weekly landscaping maintenance, and semi-annual reseeding, this field has transitioned to a low-maintenance system requiring only routine brushing and leveling to maintain optimal performance. 10 1029 LED LIGHTING RETROFIT In addition to superior sustainability and performance, converting the sports complex to LED lighting delivers a mix of operational, financial, and user-experience benefits. Through it’s Capital Improvement Planning process the City has completed two (of five) phases of LED lighting retrofits. With Phase III, being approved in the 26/27 budget, two phases remain to be completed. 1 REDUCED ENERGY COST 70% reduction in electricity consumption from traditional sports field lighting. Instant on/off capability further increases scheduling flexibility and energy control. 2 BETTER FIELD VISIBILITY AND SAFETY Brighter more uniform light distribution reduces shadows/glare, improves ball tracking, and increases safety for athletes and officials. 3 LOWER MAINTENANCE COST LED lights last 50,000+ hours in compared to 6,000 lamp hours for traditional metal halide bulbs. This results in fewer lift rentals, bulb replacements, and operational downtime. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. THE NEXT EVOLUTION STATUS 1130 WHAT ARE THE FINANCIAL TERMS & CONDITIONS The following terms and conditions are critical to supporting the proposed capital improvements, generating an appropriate return on investment (ROI), and delivering long-term value to both HBSC and the City of Huntington Beach. OPERATIONS AND MAINTENANCE EXPENSES HBSC will include all O&M expenses for the training center and sports turf (including repair/replacement) under it’s manageme nt agreement responsibilities. MANAGEMENT AGREEMENT TERM (20 YEARS) A longer operating term provides the financial certainty needed to recover project costs and ensure sustained benefits for bo th HBSC and the City of Huntington Beach EVENT RENTAL RATES INCREASE ($595 PER FIELD/DAY) Rental rates for tournaments/events will increase to reflect the premium venue profile. CITY REVENUE SHARE (15%) City revenue share will be fixed to ensure ROI and cashflow for both HBSC and the City of Huntington Beach. ANNUAL PARKING REVENUE CONTRIBUTION: Years 1-5 ($900K), Years 6-10 ($800K), Years 11-15 ($700K), Years 16-20 ($500K) City to contribute Sports Complex parking revenue toward the capital improvement debt service. The contribution will decrease over the term of the agreement and expire once debt service is paid. HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. 1231 WHAT IS THE BOTTOM LINE RISE TRAINING CENTER $3.3M TOTAL CAPITAL INVESTMENT $1.8M in initial capital investment $75K/Yr. capital replacement $13.8M TOTAL CAPITAL INVESTMENT $8M initial capital investment $50K capital replacement $4.8M full replacement (Year 10) HUNTINGTON CENTRAL PARK SPORTS COMPLEX COMMUNITY DRIVEN. FUTURE FOCUSED. LED LIGHTING RETROFIT $1.1M TOTAL CAPITAL INVESTMENT $1.1M one-time capital investment *Includes 25 year warranty SPORTS TURF CONVERSION 24/25 Financials (City Income): Revenue Share ($1,291,464 x 16%) Parking Revenue Annual Operating Income Annual Approximate City Costs: Water Field Maintenance Electricity Methane Monitoring Projected Capital Improvement Costs (annualized over 20 years): LED Lighting Conversion ($1,100,000) Batting Cage Replacement ($330,000) Deferred Maintenance: Irrigation ($5,200,000) ANNUALIZED NET INCOME $206,634 $726,126 $932,760 $88,000 $130,000 $100,000 $231,000 $55,000 $16,500 $260,000 $52,260 Revenue Share ($2,440,000 x 15%) Parking Revenue (Annualized @$1M Gross/yr) Water Savings Landscape Maintenance Savings Annual Operating Income Annual City Costs Electricity Methane Monitoring Projected Capital Improvement Costs: ANNUALIZED NET INCOME *Estimated based on average of 20 year projections $366,000 $275,000 $80,000 $385,000 $1,076,000 $100,000 $231,000 $0 $745,000 Proposed Project Proforma* (City Income): 1332 ONE VISION. COMMUNITY DRIVEN. FUTURE FOCUSED. 1 BUILD A PREMIER SPORTS DESTINATION With a training center, multipurpose utility fields, and upgraded lighting, the HB Sports Complex will become a preferred destination for youth sports, athletic development, and community recreation in Southern California. 2 FINANCIAL SUSTAINABILITY Create a financially sustainable community asset that can support ongoing operations, facility improvements, and expanded recreational opportunities without placing an undue burden on taxpayers. 3 OPERATIONAL EFFICIENCY Maximize the use of resources while minimizing operational costs, allowing the Sports Complex and the City of Huntington Beach to deliver exceptional community value. 4 ADDRESS DEFERRED MAINTENANCE NEEDS Reduce accumulated infrastructure backlog, restore facility to a state of good repair, and implement a proactive maintenance approach that preserves asset value and improves safety. NEXT STEP: Provide City Council with an amended management agreement, between the City of HB and HBSC Partners, LLC to include 1) the construction of a new training center, 2) conversion of existing fields to sports turf, and 3) completion of the LED lighting retrofit project under price and terms mutually agreeable to the parties. HUNTINGTON CENTRAL PARK SPORTS COMPLEX - 20-YEAR LEASE EXTENSION SUMMARY | 14 1433 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-565 MEETING DATE:7/7/2026 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Lisa Lane Barnes, City Clerk PREPARED BY:Lisa Lane Barnes, City Clerk Subject: Approve and Adopt Minutes Statement of Issue: The City Council/Public Financing Authority regular meeting minutes of June 16, 2026 require review and approval. Financial Impact: None Recommended Action: Approve and adopt the City Council/Public Financing Authority regular meeting minutes of June 16, 2026. Alternative Action(s): Do not approve and/or request revision(s). Analysis: None Environmental Status: Non-Applicable Strategic Plan Goal: Non Applicable - Administrative Item Attachment(s): June 16, 2026, CC/PFA regular meeting minutes City of Huntington Beach Printed on 7/1/2026Page 1 of 1 34 Regular Meeting Minutes City Council/Public Financing Authority City of Huntington Beach Tuesday, June 16, 2026 3:30 PM — Council Chambers 6:00 PM — Council Chambers Civic Center, 2000 Main Street Huntington Beach, California 92648 A video recording of the 3:30 PM and 6:00 PM portions of this meeting is on file in the Office of the City Clerk, and archived at https://huntingtonbeach.legistar.com/Calendar.aspx 3:30 PM — COUNCIL CHAMBERS CALL TO ORDER — 3:30 PM ROLL CALL Present: Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams Absent: Gruel (absent for Roll Call; arrived at 3:33 pm) ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS PERTAINING TO CLOSED SESSION (Received After Agenda Distribution) — None PUBLIC COMMENTS PERTAINING TO CLOSED SESSION ITEMS — None Mayor McKeon read the titles for Closed Session Items #2 (26-541), #3 (26-540), #4 (26-539) and #5 (26-538) Conference with Labor Negotiators regarding Employee Organizations: Huntington Beach Fire Management Association (HBFMA); Firefighters' Association (HBFA); Police Management Association (PMA), and Police Officers' Association (POA). A motion was made by Burns, with a second by Van Der Mark, to recess to Closed Session. RECESSED TO CLOSED SESSION — 3:31 PM CLOSED SESSION 1. 26-542 CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. (Paragraph (1) of subdivision (d) of Section 54956.9). People of the State of California/Bonta v. City of Huntington Beach, et al.; Case No. 30-2023-01312235-CU-WM-CJC. 2. 26-541 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Fire Management Association (FMA). 35 Council/PFA Regular Meeting Minutes June 16, 2026 Page 2 of 16 3. 26-540 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Huntington Beach Firefighters’ Association (HBFA). 4. 26-539 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Police Management Association (PMA). 5. 26-538 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Huntington Beach Police Officers’ Association (HBPOA). 6:00 PM — COUNCIL CHAMBERS RECONVENED CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING — 6:00 PM ROLL CALL Present: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams Absent: None INVOCATION 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. 6. 26-521 Huntington Beach Police Chaplain Bob Ewing PLEDGE OF ALLEGIANCE 7. 26-522 Frank Passarelli, American Legion Post 133 CLOSED SESSION REPORT BY CITY ATTORNEY — None CITY COUNCIL MEMBER COMMENTS (2-Minute Time Limit) Councilmember Kennedy stated for the record it is important that public officials use accurate words when describing situations, especially when situations may, or may not, have actually happened; Councilmember Burns stated for the record that he personally makes decisions based on the information he has that will benefit the community now and in the future; Councilmember Gruel commended Public Works and noted some of their recent projects throughout the City; Councilmember Williams read for the record a couple of items from the Incident Report used at the last meeting; and Mayor McKeon commended those working very hard for the upcoming July 4th and America 250th festivities and encouraged residents to show their patriotism and pride in being an American. 36 Council/PFA Regular Meeting Minutes June 16, 2026 Page 3 of 16 ADOPTABLE PET OF THE MONTH PRESENTED BY ORANGE COUNTY ANIMAL CARE Jonathan Volzke and Volunteer Alex, OC Animal Care, presented two adoptable pets: Rhea, a 2-year-old Pit Bull Boxer mix and Modena, a 16-month Boxer Lab mix. Details can be found at www.OCPetInfo.com. BUSINESS HIGHLIGHT 8. 26-523 Business Highlight Presentation Mayor McKeon acknowledged newly opened businesses in Huntington Beach; reported representing Huntington Beach at a Food and Beverage industry meeting at the Hyatt Regency in Huntington Beach sponsored by the International Council of Shopping Centers; and congratulated the Surf City Small Business Digital Grant Program participants. Minute with the Mayor videos were played to recognize Boys & Girls Clubs of Huntington Valley at Delaware and Yorktown, and Matter of Craft at Beach and Atlanta. Support local businesses and keep Surf City thriving. COMMUNITY EVENTS ANNOUNCEMENTS (2-Minute Time Limit) Limited to one representative, one announcement — 2 Speakers Deborah Morse, Community Outreach Coordinator, Alzheimer's Association Orange County, commented on the many services and programs offered by the Alzheimer's Association. Jason Schmitt, City Treasurer, announced that MyMeter is now available for residents to manage their utility account and the next AI Scam class on June 17, 6 PM at the Talbert Room in Central Library. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown "Open Meetings" Act, City Clerk Lisa Lane Barnes announced supplemental communications received by her office following distribution of the Council Agenda packet which were all uploaded to the City's website and Councilmember iPads: City Manager's Report #1 (26-514) (1 email communication); Consent Calendar Items #16 (26-465) (1 email communication); #23 (26-488) (1 email communication); and Councilmember Items #27 (26-550) (3 email communications). PUBLIC COMMENTS — (3-Minute Time Limit) — 18 Speakers The number [hh:mm:ss] following the speakers' comments indicates their approximate starting time in the archived video located at https://huntingtonbeach.legistar.com/Calendar.aspx. Janet Jacobs, a Terry Park community member, commented on the Redondo Circle and Reliable Lumber project. (00:41:58) Ken Inouye commented on various City Council policies and the financial effects. (00:45:04) Unnamed speaker, a Terry Park community member, commented on the Redondo Circle and Reliable Lumber project. (00:48:10) 37 Council/PFA Regular Meeting Minutes June 16, 2026 Page 4 of 16 Daniel Tassa, a Terry Park community member, commented on the Redondo Circle and Reliable Lumber project. (00:50:51) Tim Geddes commented on the new public comment format starting next month and on Council Member Items #27 (26-550) regarding Pier stairs advertising. (00:52:55) Amory Hanson commented on Consent Calendar Item #18 (26-184) regarding the Lease Agreement for Dwight's Beach Concession at 201 Pacific Coast Highway. (00:56:00) Russ Neal commented on the ideals that make America great. (00:56:25) Jenny Braithwaite commented on Agenda Item #10 (26-453) regarding General Plan Amendment No. 21- 003 (Housing Element update). (00:59:04) Irene Contreras Garcia commented on the Redondo Circle and Reliable Lumber project. (01:01:56) Andrew Einhorn commented on recent Councilmember policies. (01:03:41) Elaine Seeley, Friends of the Library, commented on the Memorandum of Understanding regarding a proposed donation. (01:06:25) Unnamed Speaker commented on staff member attendance at City Council meetings, the Comprehensive Financial Annual Report and budget costs. (01:08:45) Chris Waring commented on space rental increases for seniors at Surf City Cottages. Councilmember Gruel asked Mr. Waring to complete a blue card for follow-up. (01:11:58) Paula Schaefer commented on City Council decisions related to the Public Library. (01:13:44) Kathryn Goddard commented on Consent Calendar Item #16 (26-465) regarding six (6) on-call video production and media services professional services contracts. (01:16:53) Brian Thienes, Huntington Beach Planning Commissioner, commented on many recent City Council decisions. (01:20:01) Ann Palmer commented on Consent Calendar Item #20 (26-489) regarding the agreement for Supplemental Law Enforcement Services between the City of Newport Beach and City of Huntington Beach; Agenda Item #10 (26-543) regarding a General Plan amendment No. 21-003 (Housing Element update); Public Hearing Item #9 (26-537) regarding adopting a budget for the City Fiscal Year 2026/27, and the Redondo Circle and Reliable Lumber project. (01:23:10) Robert Maniaci, a resident of Somerset Lane, commented on the damage to his home about 5 years ago from a neighboring home tear-down construction project about 200 feet away, and asked for assistance in addressing the planned home tear-down construction project on a lot adjacent to his. (01:25:49) COUNCIL COMMITTEE APPOINTMENT ANNOUNCEMENTS Mayor Pro Tem Twining announced his appointment of Debbie Iorio to the City Celebration Committee. AB 1234 REPORTING — None 38 Council/PFA Regular Meeting Minutes June 16, 2026 Page 5 of 16 OPENNESS IN NEGOTIATION DISCLOSURES Councilmen Gruel and Williams and Council Woman Van Der Mark reported speaking with members of the Huntington Beach Police Officers' Association (HBPOA). PUBLIC HEARING 9. 26-537 Adopted Resolution No. 2026-24 to Adopt a Budget for the City for Fiscal Year 2026/27 Authorize the Corresponding Appropriation and Transfer; Authorized the Professional Services included in the Fiscal Year 2026/27 budget to be representative of the services projected to be utilized by departments; Approved revisions to the City’s Financial Policies to eliminate the automatic allocation of unassigned fund balance; Resolution No. 2026-20 Establishing the Gann Appropriation Limit for Fiscal Year 2026/27; Resolution No. 2026-22 Levying a Retirement Property Tax for Fiscal Year 2026/27 to Pay for Pre-1978 Employee Retirement Benefits; Resolution No. 2026-23 Adopting an Updated Master Fee and Charges Schedule; Resolution No. 2026-30 Adopting Amended Classification Plan by adding the classification Human Performance and Wellness Coordinator; Resolution No. 2026-31 Repealing the City’s Unfunded Accrued Liability Pension Funding Policy SUPPLEMENTAL COMMUNICATIONS REGARDING PUBLIC HEARING Item #9 (26-537) Pursuant to the Brown "Open Meetings" Act, City Clerk Lisa Lane Barnes announced supplemental communications received by her office following distribution of the Council Agenda packet which were all uploaded to the City's website and Councilmember iPads: Public Hearing Item #9 (26-537) (1 email communication and staff communication). Travis Hopkins, City Manager, introduced Acting Chief Financial Officer Zack Zithisakthanakul and Finance Manager Robert Szilagyi who presented a PowerPoint communication titled City of Huntington Beach FY 2026/27 Budget Adoption, with slides entitled: Items Included, Fiscal Year 2026/27 Proposed Budget All Funds, Fiscal Year 2026/27 Proposed Budge General Fund, Fiscal Year 2026/27 Proposed Budget Crosswalk, Professional Services Listing, Master Fee and Charges Schedule, Revised Financial Policy & Repeal Funding Pension Policy, GANN Appropriation Limit & Employee Tax Override, Classification of Wellness Coordinator, and Questions? Mayor McKeon called for Councilmember discussion which included CalPERS; historical data for Public Works expenditures; City Council direction to maintain the best budget outcome; batting cage allocation; relationship with the Navigation Center and Newport Beach; the budget considerations for each of the past five years; and confirmation the budget includes repair of Yacht Club docks. Mayor McKeon opened the public hearing for Item #9 (26-537). PUBLIC HEARING PUBLIC SPEAKERS (3-Minute Time Limit) — 1 Speaker Pat Goodman commented on the 2026/27 proposed budget; recommended returning to the town hall format to encourage public engagement; stated the plan to transfer funds from the General Fund is not a structural fix; and noted that approval of the Housing Element will increase revenue. (01:52:52) 39 Council/PFA Regular Meeting Minutes June 16, 2026 Page 6 of 16 There being no more speakers, Mayor McKeon closed the public hearing for Item #9 (26-537), and opened the floor for additional Councilmember discussion. Councilmember discussion included the increasing difficulties related to balancing the budget while maintaining public services; 70-75% of the budget is related to personnel costs; CalPERS considerations; Councilmembers use their private-sector experience to help generate revenue; the continual effort is to find efficiencies, optimize assets and increase revenue; and encouraged the public to share their ideas to help balance the budget. A motion was made by McKeon, second Twining to adopt Resolution No. 2026-24, "A Resolution of the City Council of the City of Huntington Beach Adopting a Budget for the City for Fiscal Year 2026/27" (Attachment 2); and, authorize the Professional Services included in the FY 2026/27 budget to be representative of the services projected to be utilized by the departments in FY 2026/27 (Attachment 3); and, approve revisions to the City's Financial Policies to eliminate the automatic allocation of unassigned fund balance to reserve categories and establish guidelines for its use to support the City's long-term fiscal stability (Attachment 4); and, adopt Resolution No. 2026-20 "A Resolution of the City Council of the City of Huntington Beach Establishing the Gann Appropriation Limit for Fiscal Year 2026/2027" (Attachment 5); and, adopt Resolution No. 2026-22, "A Resolution of the City Council of the City of Huntington Beach Levying a Retirement Property Tax for Fiscal Year 2026/2027 to Pay for Pre-1978 Employee Retirement Benefits" (Attachment 6); and, adopt Resolution No. 2026-23, "A Resolution of the City Council of the City of Huntington Beach Adopting an Updated Master Fee and Charges Schedule" (Attachment 7); and, adopt Resolution No. 2026-30, "A Resolution of the City Council of the City of Huntington Beach Amending the City's Classification Plan by Adding the Classification of Human Performance and Wellness Coordinator" (Attachment 8); and, adopt Resolution No. 2026-31, "A Resolution of the City Council of the City of Huntington Beach Repealing the City's Unfunded Accrued Liability Pension Funding Policy by Repealing City Council Resolution No. 2021-19" (Attachment 9). The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, and Williams NOES: None ABSTAIN: Van Der Mark Mayor McKeon announced the soon-to-be-scheduled Central Library unveiling of the repaired fountains. 10. 26-543 Adopted Resolution No. 2026-25 to Approve General Plan Amendment No. 21-003 (2021-2029 Housing Element Update) — continued from June 2, 2026 City Council meeting Mayor McKeon called for Councilmember ex parte communication and there was none. SUPPLEMENTAL COMMUNICATIONS PERTAINING TO PUBLIC HEARING ITEM #10 (26-543) Pursuant to the Brown "Open Meetings" Act, City Clerk Lisa Lane Barnes announced supplemental communications received by her office following distribution of the Council Agenda packet which were all uploaded to the City's website and Councilmember iPads: Public Hearing Item #10 (26-543) (2 email communications). 40 Council/PFA Regular Meeting Minutes June 16, 2026 Page 7 of 16 Jennifer Villasenor, Community Development Director, reported there was no additional presentation. Director Villasenor provided a verbal update on staff additions to the Housing Element Update made after the June 2, 2026, public hearing, to address the Kennedy Commission and the State Department of Housing and Community Development (HCD) letters: an additional map, a couple of map revisions, a new program and some clarifying language in Appendix B and Section 3. Director Villasenor introduced Nicole Obey, Contract Planner and Anthony Taylor, the City's legal counsel, who were available to answer Councilmember questions. Mayor McKeon called for Councilmember questions and there were none Mayor McKeon opened the Public Hearing for Item #10 (26-543). PUBLIC SPEAKERS FOR PUBLIC HEARING ITEM #10 (3–Minute Time Limit) — 2 Speakers Daniel Sasse, Legal Counsel for the Kennedy Commission, an organization that advocates for the production of affordable homes in Orange County, commented on a statement made by Councilmembers at the June 2, 2026, public hearing, noting affordability and accountability are what is best for the people of Huntington Beach and added this is a bi-partisan issue. Mr. Sasse noted that this Housing Element is still not substantially compliant with State law. He also noted the attorney costs related to this item through the years and legal challenges filed by the City. (02:05:41) Brian Thienes, Huntington Beach Planning Commissioner, commented on the great job that this City Council has done in holding off on the State mandates, referenced the Orange County Grand Jury's recent report claiming the Regional Housing Needs Assessments (RHNA) are not based on accurate Census data from the State Auditor, and reviewed Long Beach costs and builder benefits for an affordable housing project including all of the tax breaks that are available for project participants which in the end reduces tax revenue for the city. (02:09:11) There being no more speakers, Mayor McKeon closed this public hearing. Councilmember discussion included: Council's focus on maintaining local control; if this item is approved, it would be submitted to the judge for the court order; the State has mandated the highest number of units per acre for Huntington Beach — higher than any other city in California; generally, to make a project financially feasible, only 20% of a project is usually affordable housing because the remaining 80% market-rate units are needed to subsidize the 20%; to meet State mandates, Huntington Beach would have to increase housing stock by 50% in a city that is already 95% built out; each city has different environmental elements, topography, and finite resources which are not taken into consideration with the State mandates; if this door closes there are other pathways to consider for maintaining local control; older apartment and business/industrial corridors will have to be re-zoned to create space for these mandates; building cannot take place on the City's considerable environmentally protected areas like Bolsa Chica and the wetlands; studies show that when affordable housing is created there is a ripple effect that actually increases rates for the remaining 80% of people in the rental market; premium land on the coast makes it nearly impossible to build affordable housing at scale and one consequence will be increased housing costs for everyone else; and review of City Charter Section 807, specifically Measure U, which was approved by Huntington Beach voters in November 2024, to ensure Council is not overstepping its authority. After the following substitute and amended motions were made, Council discussion continued by inviting Anthony Taylor, Outside Legal Counsel, to comment on the Measure U issues just presented and he concluded by recommending that Council approve this item as presented by staff; the most prudent step 41 Council/PFA Regular Meeting Minutes June 16, 2026 Page 8 of 16 is to approve this Housing Element at the present time while realizing this is not necessarily the final step Council will take on this issue; appreciation for Councilmember Williams comments; trust in Counsel Taylor's conclusion which is supported by City Attorney Mike Vigliotta; choosing to take the path of noncompliance will lead to much financial pain; Measure U has been presented to the court and one extension was granted; urgency rather than further delays in this situation is imperative because of the State's July 1, 2026, hearing to increase the financial penalties; ultimately it is up to the court to find the City has come to substantial compliance with the housing law; there will likely be further court proceedings over whether or not the Housing Element is in substantial compliance with the State housing law, which is a different procedural step; judges do not typically provide "advisory opinions" to a party in litigation; and the City Council will put the City in the best position possible to avoid further fines in the future by adopting the Housing Element presented. Anthony Taylor, Outside Legal Counsel, was asked to clarify Sections 11 and 16 of Resolution No. 2026- 25, and he confirmed this language was taken from a recent court of appeal decision involving the City of La Habra in the last six months, and allows forward movement without having to keep returning to City Council for public hearings with public notices and is critical to this situation up against a court deadline; Section 11 addresses the constraints analyses and Measure U which can only be changed by a vote of the people; and Section 15 is a reservation of the City's legal rights regarding a case-by-case analysis determination for Measure U. Counsel Taylor stated support for staff's recommendation without any changes. The discission continued with examples of clerical, technical and substantial changes and the process that is used to inform City Council. A substitute motion was made by Williams, second Gruel to 1) direct City Attorney, in consultation with outside counsel of this Council's choosing, to file an emergency petition with the San Diego Superior Court within seven days seeking first judicial clarification on whether Charter Section 807 applies to t he adoption of the 2021 – 2029 Housing Element Update given the subsequent Environmental Impact Report finding the five significant and unavoidable impacts; 2) if the court finds that Section 807 applies, an order specifying how the City may simultaneously comply with the court's December 19, 2025 mandate and Charter Section 807; 3) an interim stay of penalties accrual pending the court ruling on Section 807, Measure U. That consideration of Resolution 2026–25 be continued until the court issues guidance on Section 807, or until 60 days from tonight, whichever comes first. The motion failed by the following roll call vote: AYES: Gruel, and Williams NOES: Kennedy, Twining, McKeon, Burns, and Van Der Mark An amended motion was made by Williams, second Gruel to find that the California Environmental Quality Act (CEQA) requirement for GPA No. 21-003 is satisfied based on court orders in the People of California ex rel. Rob Bonta v. City of Huntington Beach, San Diego Superior Court Case No. 30-2023- 01312235-CU-WM-CJC that include, as provided by Government Code section 65759, that CEQA does not apply to the City's actions that are necessary to comply with the orders of the court. Approve General Plan Amendment No. 21-003 (Housing Element Update) and adopt City Council Resolution No. 2026-25, "A Resolution of the City Council of the City of Huntington Beach approving General Plan Amendment No. 21-003 (2021-2029 Housing Element Update)." (Attachment No. 1), as amended to strike SECTION 16. The City Council hereby authorizes the City Manager (or his designee) and hereby delegates its authority to the City Manager (or his designee) to make all necessary technical changes or clerical revisions to the Housing Element Update as may be necessary for the City to obtain a finding of substantial compliance from HCD and without further action being required by the City Council to approve the same, SECTION 11. The City Council finds that the 42 Council/PFA Regular Meeting Minutes June 16, 2026 Page 9 of 16 constraints analysis prepared for the housing element including, without limitation, for Measure U substantially complies with all applicable housing laws, and takes into account the constraints under the California Constitution and applicable law as set forth the constraints analysis given that Measure U can only be changed by a vote of the people as a matter of law., as amended with language preserving Measure U on a project-by-project basis. The motion failed by the following roll call vote: AYES: Gruel, and Williams NOES: Kennedy, Twining, McKeon, Burns, and Van Der Mark A motion was made by McKeon, second Burns to find that the California Environmental Quality Act (CEQA) requirement for GPA No. 21-003 is satisfied based on court orders in the People of California ex rel. Rob Bonta v. City of Huntington Beach, San Diego Superior Court Case No. 30-2023-01312235-CU- WM-CJC that include, as provided by Government Code section 65759, that CEQA does not apply to the City's actions that are necessary to comply with the orders of the court. Approve General Plan Amendment No. 21-003 (Housing Element Update) and adopt City Council Resolution No. 2026-25, "A Resolution of the City Council of the City of Huntington Beach approving General Plan Amendment No. 21-003 (2021-2029 Housing Element Update)." (Attachment No. 1) The motion carried by the following roll call vote: AYES: Kennedy, Twining, McKeon, Burns, and Van Der Mark NOES: Gruel, and Williams CITY MANAGER’S REPORT Travis Hopkins, City Manager, introduced Community and Library Services Manager Molly Uemura who presented a PowerPoint communication titled 2026 Independence Day Events with slides entitled: Friday, July 3; Saturday, July 4; Sunday, July 5; Summer Special Events; and Questions? Mayor McKeon thanked the City's Celebration Committee and staff members for their efforts over nearly a year to provide these special celebration events. 11. 26-514 Study Session: Zoning Code - Discretionary Responsibilities Travis Hopkins, City Manager, introduced Jennifer Villasenor Deputy Director of Community Development, explained that staff is seeking Councilmember feedback on this item that addresses Councilmember questions regarding Zone Administrator responsibilities. Staff will return with a Zoning Text Amendment, through the Planning Commission, and back to City Council. Director Villasenor introduced Jill Bos, Deputy Director, who presented a PowerPoint communication titled Zoning Code – Discretionary Responsibilities with slides entitled: Background, HBZSO Chapters 210-218, HB Chamber of Commerce, ZA Application History, Changes for consideration, Needing further input, 2025-2026, Fee Schedule & Timeline, Timeline, and Questions? Mayor McKeon stated he would like to review the list of Conditional Use Permits (CUPs) that the Zoning Administrator currently has authority over to help Councilmembers understand whether a specific CUP should be determined by the Planning Commission or Zoning Administrator. There was a review of the conditions that currently require a CUP, based on the type of construction rather than the type of 43 - Council/PFA Regular Meeting Minutes June 16, 2026 Page 10 of 16 business at the site. Developing open space, additions to an existing structure or a project within 300 feet of a residential zone would require a CUP that goes to the Planning Commission; if a project is not within 300 feet of a residential zone, but meets the other criteria and code, a staff site-plan review is adequate. Any plan that exceeds code should be directed to the Planning Commission; consideration of applicant costs if a project is directed to the Planning Commission; carrying over existing fees regardless of whether a project is considered by the Zoning Administrator or the Planning Commission; time consuming project staff reports and public notices are generally only required for projects directed to the Planning Commission which create the need for additional fees; review of current business CUP requirements to determine if any should be downgraded from CUP to Zoning Administrator permitted-use ruling; consider code changes for pitch height, third-story at 30 or 35 foot height and balcony setback for residential projects to eliminate the current CUP requirement; currently, unless code specifically says that a deviation can be processed through a CUP for fences or third story, everything else requires a variance; Administrative Waiver of Development Standards; all variance, grade differential, joint-use or reduced parking issues, alcohol uses with on-site consumption and maintenance and operation issues will all go to the Planning Commission; review of parking requirements; neighbor notification is required for all public hearings; all of these recommendations will return for further discussion through the Planning Commission, public hearing, and City Council process. CONSENT CALENDAR (Items 12 - 26) Councilmember Gruel pulled Consent Calendar Item #16 for further discussion and Mayor McKeon pulled Item #17 for staff discussion. City Clerk 12. 26-526 Approved and Adopted Minutes A motion was made by McKeon, second Van Der Mark to approve and adopt the City Council/Public Financing Authority regular meeting minutes of June 2, 2026. The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 13. 26-476 Received and Filed the City Clerk’s quarterly listing of professional services contracts filed in the City Clerk’s Office between January 1, 2026 and March 31, 2026 A motion was made by McKeon, second Van Der Mark to receive and file the "List of Professional Services Contracts Approved by Department Heads and Submitted to the Office of the City Clerk during the period of January 1, 2026 and March 31, 2026" The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 14. 26-544 Adopted Resolution Nos. 2026-29 and 2026-28 call for and consolidate with the County of Orange to conduct the General Municipal Election for City Officers (four 44 Council/PFA Regular Meeting Minutes June 16, 2026 Page 11 of 16 members of the City Council and a City Attorney) to be held on Tuesday, November 3, 2026 A motion was made by McKeon, second Van Der Mark to adopt Resolution No. 2026-29, "A Resolution of the City Council of the City of Huntington Beach, California, calling for the holding of a General Municipal Election to be held on Tuesday, November 3, 2026, for the election of certain officers as required by the provisions of the Laws of the State of California Relating to Charter Cities;" and, adopt Resolution No. 2026-28, "A Resolution of the City Council of the City of Huntington Beach, California, requesting the Board of Supervisors of the County of Orange, California, to consolidate a General Municipal Election to be held on Tuesday, November 3, 2026, with the Statewide General Election to be held on the date pursuant to § 10403 of the Elections Code." The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None City Manager 15. 26-525 Adopted Ordinance No. 4349, Regarding Public Participation and Disruptive Behavior — Approved for Introduction June 2, 2026, by a vote of 6 – 0 – 1 (Van Der Mark — Absent) A motion was made by McKeon, second Van Der Mark to adopt Ordinance No. 4349, "An Ordinance of the City Council of the City of Huntington Beach Amending the Huntington Beach Municipal Code by Adding New Chapter 2.102 Thereto Entitled 'Public Participation and Disruptive Behavior.'" The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 16. 26-465 Approved and Authorized the Execution of Six (6) On-Call Video Production & Media Services Professional Services Contracts with Dorado Creative, Inc., Dynamic Video Communications, LLC, Marketworks, Pegasus Studios, Tripepi Smith and Associates, Inc., and Vidiflo, LLC Councilmember Gruel pulled this item to clarify with City Manager Travis Hopkins that these contracts are the result of Request for Proposals (RFPs), to continue on-call service contracts which are expiring, to supplement and support the City's Media and Public Information Office (PIO) staff. The types of services provided include support for production broadcast and programming for City Council and Planning Commission meetings; technical engineering support for visual and audio needs such as recently stipulated by SB707; support at community events with additional equipment and staff; and video productions used for the City's HBTV3 and You Tube channel. Staff does three-year contracts for continuity and to eliminate the need for annual review. It was also noted that the money is budgeted from the General Fund, but not necessarily actually spent for these on-call contracts. A motion was made by Van Der Mark, second Gruel to approve and authorize the City Manager to execute a $50,000 "Professional Services Contract Between the City of Huntington Beach and Dorado Creative, Inc. for On-Call Video Production and Media Services for Huntington Beach Channel 3 - 45 Council/PFA Regular Meeting Minutes June 16, 2026 Page 12 of 16 HBTV"; and, approve and authorize the City Manager to execute a $50,000 "Professional Services Contract Between the City of Huntington Beach and Dynamic Video Communications, LLC for On-Call Video Production and Media Services for Huntington Beach Channel 3 - HBTV"; and, approve and authorize the Mayor, City Clerk, and City Manager to execute a $150,000 "Professional Services Contract Between the City of Huntington Beach and Marketworks for On-Call Video Production and Media Services for Huntington Beach Channel 3 - HBTV"; and, approve and authorize the City Manager to execute a $50,000 "Professional Services Contract Between the City of Huntington Beach and Pegasus Studios for On-Call Video Production and Media Services for Huntington Beach Channel 3 - HBTV"; and, approve and authorize the Mayor, City Clerk, and City Manager to execute a $200,000 "Professional Services Contract Between the City of Huntington Beach and Tripepi Smith and Associates, Inc for On-Call Video Production and Media Services for Huntington Beach Channel 3 - HBTV"; and, approve and authorize the City Manager to execute a $50,000 "Professional Services Contract Between the City of Huntington Beach and Vidiflo, LLC for On-Call Video Production and Media Services for Huntington Beach Channel 3 — HBTV". The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 17. 26-464 Approved and Authorized execution of a Memorandum of Understanding (MOU) between the City of Huntington Beach and the City of Newport Beach Regarding the Huntington Beach Navigation Center Mayor McKeon invited Homeless Services Manager Jessica Kelley, to present a PowerPoint communication titled MOU Between the City of Huntington Beach and City of Newport Beach Regarding the Huntington Beach Navigation Center with slides entitled: Partnership Overview, Outreach and Operational Structure, Financial and Terms Agreement, and Questions? Discussion followed the presentation confirmed that individuals brought in from Newport Beach will be returned to Newport Beach following the existing procedures and processes. A motion was made by McKeon, second Burns to approve and authorize the Mayor and City Clerk to execute the "Memorandum of Understanding between the City of Huntington Beach and the City of Newport Beach regarding the Huntington Beach Navigation Center." The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None Community and Library Services 18. 26-184 Approved and authorized execution of Amendment No. 2 of the Lease Agreement between the City of Huntington Beach, Richard Alan Clapp, and Dwight’s and Jack’s Inc. for Dwight’s Beach Concession at 201 Pacific Coast Highway A motion was made by McKeon, second Van Der Mark to approve and authorize the Mayor and City Clerk to execute "Amendment No. 2 of the Lease Agreement between the City of Huntington Beach, 46 Council/PFA Regular Meeting Minutes June 16, 2026 Page 13 of 16 Richard Alan Clapp, and Dwight's and Jack's, Inc. for Dwight's Beach Concession at 201 Pacific Coast Highway". The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None Fire 19. 26-533 Authorized designated City staff to execute the agreement between Rivian, LLC, and the City of Huntington Beach for a loaned vehicle for Fire Department usage A motion was made by McKeon, second Van Der Mark to authorize the designation of the City Manager and/or Fire Chief to execute the agreement between Rivian, LLC, for a loaned vehicle for Fire Department usage. The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None Police 20. 26-489 Approved and authorized the Agreement for Supplemental Law Enforcement Services between the City of Newport Beach and the City of Huntington Beach A motion was made by McKeon, second Van Der Mark to approve and authorize the City Manager to execute the "Agreement for Supplemental Law Enforcement Services between the City of Newport Beach and the City of Huntington Beach". The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 21. 26-553 Approved and Accepted Donation Agreement by and Between the City of Huntington Beach and Sunshine Makers Inc, dba Simple Green A motion was made by McKeon, second Van Der Mark to approve and authorize the Mayor and City Clerk to execute "Donation Agreement by and between the City of Huntington Beach and Sunshine Makers Inc., dba Simple Green." The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None Public Works 47 Council/PFA Regular Meeting Minutes June 16, 2026 Page 14 of 16 22. 26-456 Accepted Lowest Responsive and Responsible Bid and Awarded Construction Contract to Asplundh Construction, LLC, in the Amount of $1,389,738.46, for the Construction of Street Lighting Modifications on Orange Avenue, 11th Street, Walnut Avenue and 13th Street (CC-1715), and Authorized the Execution of Change Orders A motion was made by McKeon, second Van Der Mark to accept the lowest responsive and responsible bid submitted by Asplundh Construction, LLC, in the amount of $1,389,738.46; and, authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney; and, authorize the Director of Public Works to execute change orders not to exceed a total of 10 percent of the contract construction costs. The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 23. 26-488 Approved the Fiscal Year 2024/25 Infrastructure Fund Annual Report A motion was made by McKeon, second Van Der Mark to approve the Infrastructure Fund Annual Report for Fiscal Year 2024/25. The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 24. 26-444 Accepted Lowest Responsive and Responsible Bid and Awarded Construction Contract to Matcon General Engineering, Inc. in the Amount of $329,095.07 for the C6 SC1 Channel Improvements Phase 1 Project (CC-1674) A motion was made by McKeon, second Van Der Mark to accept the lowest responsive and responsible bid and authorize execution of a construction contract to Matcon General Engineering Inc. in the amount of $329,095.07; and, authorize the Director of Public Works to execute change orders within a 15% contingency amount of $49,364.26; 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 roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 25. 26-498 Accepted Lowest Responsive and Responsible Bid and Awarded Construction Contract to GA Technical Services, Inc. in the amount of $606,459.70 for the Central Library Electrical Switchgear Replacement Project, CC-1769 A motion was made by McKeon, second Van Der Mark to accept the lowest responsive and responsible bid submitted by GA Technical Services, Inc. in the amount of $606,459.70; and, authorize the Director of Public Works to approve construction change orders within the approved contingency amount of twenty 48 Council/PFA Regular Meeting Minutes June 16, 2026 Page 15 of 16 percent (20%) of the contract amount; 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 roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None 26. 26-513 Accepted Lowest Responsive and Responsible Bid and Awarded Construction Contract to Beador Construction Company, Inc. in the Amount of $4,999,700 for the Humboldt Drive Bridge Rehabilitation Project (CC1451); Authorized a $729,300 Construction Contingency; and Approved the Appropriation of $3,385,000 A motion was made by McKeon, second Van Der Mark to accept the lowest responsive and responsible bid and award a construction contract to Beador Construction Company, Inc. in the amount of $4,999,700; and, authorize the Director of Public Works to approve construction change orders within a $729,300 contingency; and, approve the appropriation of $3,385,000 to account 96185002.82300; and, authorize the Mayor and City Clerk to execute the construction contract in a form approved by the City Attorney. The motion carried by the following roll call vote: AYES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams NOES: None COUNCIL MEMBER ITEMS 27. 26-550 Approved Item submitted by Mayor Pro Tem Twining and Councilman Kennedy — Pier Stairs Advertising Mayor Pro Tem Twining introduced this item by reading the issue statement, noted the intent is to give priority to City sponsored and local events, and noted only the vertical portion of the steps would be wrapped which means the best view will be from a distance, not while walking on the stairs. The installation vendor will be responsible to ensure the stairs remain in undamaged condition. Rio Media and Sticky Fingers, the advertising agency and installer of the wraps, are local Huntington Beach companies. Following the formula used for the lifeguard tower wraps, Rio Media will receive 25% of the revenue generated and the City receives 75%. Councilmember Kennedy stated his support for providing another opportunity for event sponsors to advertise and increase revenue for Huntington Beach using existing surfaces. Councilmember Williams raised his concerns about the City's liability for potential trip and falls. City Attorney Michael Vigliotta confirmed the City's Risk Manager will review the contract from the standpoint of determining what kind of insurance is required and it is expected there will be no indemnification for the City. This would be similar to the contracts with City construction projects. A motion was made by Twining, second Kennedy to Direct the City Manager to research and implement advertising on the stairs of the Huntington Beach Pier. The motion carried by the following roll call vote: 49 Council/PFA Regular Meeting Minutes June 16, 2026 Page 16 of 16 AYES: Gruel, Kennedy, Twining, McKeon, Burns, and Van Der Mark NOES: Williams ADJOURNMENT — At 10:23 PM a motion was made by Burns, with a second by Van Der Mark, to adjourn to the next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority on Tuesday, July 7, 2026, 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 _______________________________________ 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 50 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-588 MEETING DATE:7/7/2026 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Travis Hopkins, City Manager PREPARED BY:Shannon Levin, Council Policy Analyst Subject: Implementation of Huntington Beach Pier Stairs Advertising Pilot Project Statement of Issue: On June 16, 2026, the City Council directed the City Manager to research and implement advertising on the stairs of the Huntington Beach Pier. Staff requests authorization to implement a pier stairs advertising pilot project for up to one year. Financial Impact: Revenues derived from pilot program will be included in the report due early 2027. Recommended Action: Authorize the City Manager to implement a one-year pilot project for pier stairs advertising and amend the contract with Rio Media and Advertising to expand the scope of services to include pier stairs advertising. Alternative Action(s): Do not approve and direct staff otherwise. Analysis: On June 16, 2026, the City Council authorized the City Manager to research advertising on the Huntington Beach pier stairs. Over the last several weeks, beach event sponsors have expressed interest in advertising upcoming events. Pilot program will allow the City to evaluate advertising allowed via the Rio Media contract and City- permitted Specific Events. Over the pilot period, staff will evaluate interest from Specific Event partners. The program will target specific events and local businesses. Staff recommends the City Council authorize the City Manager to amend the contract with Rio Media and Advertising by expanding the scope of services, and direct the City Manager, or designee/ City of Huntington Beach Printed on 7/1/2026Page 1 of 2 51 File #:26-588 MEETING DATE:7/7/2026 ,to develop a one-year pilot program and manage the implementation of the pilot project in collaboration with Rio Media. Staff will provide a report to City Council within nine months. Environmental Status: Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project. Strategic Plan Goal: Goal 2 - Fiscal Stability, Strategy A - Consider new revenue sources and opportunities to support the City's priority initiatives and projects. Attachment(s): 1. Council Member Item Report - Pier Stairs Advertising - June 16, 2026 City of Huntington Beach Printed on 7/1/2026Page 2 of 2 52 City Council Meeting – Council Member Items Report To: City Council From: Mayor Pro Tem Butch Twining Councilman Don Kennedy Date: June 16, 2026 Subject: PIER STAIRS ADVERTISING 2000 Main Street, Huntington Beach, CA 92648 | www.huntingtonbeachca.gov ISSUE STATEMENT The Huntington Beach Pier stairs provide a high-visibility advertising opportunity in one of the City’s most visited destinations. Custom stair wraps can capture the attention of residents and visitors as they access the beach and pier, creating a memorable and engaging experience. Activating a site, such as the steps, could allow the City to advertise upcoming, City-sponsored events. Additionally, the City could license the site to bring in revenues, with preference given to local vendors. Also, advertisers could align their messaging within a Specific Events Permit such as the U.S. Open of Surfing. RECOMMENDED ACTION Direct the City Manager to research and implement advertising on the stairs of the Huntington Beach Pier. ENVIRONMENTAL STATUS Not Applicable STRATEGIC PLAN GOAL Goal 2 - Fiscal Stability, Strategy A - Consider new revenue sources and opportunities to support the City's priority initiatives and projects. 53 CITY OF . HUNTINGTON BEACH City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-572 MEETING DATE:7/7/2026 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Travis Hopkins, City Manager VIA:Eric Parra, Chief of Police PREPARED BY:Ingrid C. Ono, Senior Executive Assistant Subject: Approve and authorize execution of Amendment No. 2 to Add Additional Compensation to the Agreement Between LM Investigations, LLC, and the City of Huntington Beach for Background Services for the Huntington Beach Police Department (HBPD) Statement of Issue: City Council approval is requested to pay LM Investigations, LLC, an additional sum, not to exceed $70,000 to perform background services/investigations for hiring personnel for the HBPD. Financial Impact: This Amendment No. 2 in the amount of $70,000 shall be added to the original contract sum of $80,000, for a new contract amount not to exceed $150,000.00. There is sufficient funding to cover this expense within the current police department budget. Recommended Action: Approve and authorize the Mayor and City Clerk to execute “Amendment No. 2 to Agreement Between the City of Huntington Beach and LM Investigations, LLC for Background Investigative Services” to hire qualified candidates for the HBPD. Alternative Action(s): Do not approve and direct staff accordingly. Analysis: On July 1, 2024,the City entered into a three-year agreement not to exceed $80,000 with Gallatin Investigations, LLC, for consulting services including background/investigative services. Amendment No. 1 provided for a name change from Gallatin Investigations, LLC, to LM Investigations, LLC. Amendment No. 2 requests additional funding in the amount of $70,000, to be added to the original contract sum of $80,000, for a new contract amount not to exceed $150,000.00. City of Huntington Beach Printed on 7/1/2026Page 1 of 2 54 File #:26-572 MEETING DATE:7/7/2026 Environmental Status: Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project. Strategic Plan Goal: Goal 8 - Public Safety, Strategy A - Community-wide comprehensive risk reduction program to optimize public safety's emergency response and reduce the number of calls. Attachment(s): 1. Gallatin Investigations, LLC, Professional Services Contract 2. Gallatin Investigations, LLC, Amendment No. 1 3. LM Investigations, LLC, Amendment No. 2 4. LM Investigations, LLC, Certificate of Insurance City of Huntington Beach Printed on 7/1/2026Page 2 of 2 55 56 PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND GALLATIN INVESTIGATIONS, LLC FOR BACKGROUND INVESTIGATIVE SERVICES THIS AGREEMENT ("Agreement") is made and entered into by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as "CITY," and GALLATIN INVESTIGATIONS, LLC, hereinafter referred to as "CONSULTANT. II WHEREAS, CITY desires to engage the services of a consultant to provide background investigative services; and Pursuant to documentation on file in the office of the City Clerk, the provisions of the Huntington Beach Municipal Code, Chapter 3.03, relating to procurement of professional service contracts have been complied with; and CONSULT ANT has been selected to perform these services, NOW, THEREFORE, it is agreed by CITY and CONSULTANT as follows: I. SCOPE OF SERVICES CONSULT ANT shall provide all services as described in Exhibit "A," which is attached hereto and incorporated into this Agreement by this reference. These services shall sometimes hereinafter be referred to as the "PROJECT." CONSULT ANT hereby designates Lisa Matteroli who shall represent it and be its sole contact and agent in all consultations with CITY during the performance of this Agreement. 2. CITY STAFF ASSISTANCE CITY shall assign a staff coordinator to work directly with CONSUL TANT in the performance of this Agreement. 24-14856/345787 1 of 12 57 3. TERM; TIME OF PERFORMANCE Time is of the essence of this Agreement. The services of CONSULT ANT are to commence on July l, 2024 (the "Commencement Date"). This Agreement shall automatically terminate three (3) years from the Commencement Date, unless extended or sooner terminated as provided herein. All tasks specified in Exhibit "A" shall be completed no later than three (3) years from the Commencement Date. The time for performance of the tasks identified in Exhibit "A" are generally to be shown in Exhibit "A." This schedule may be amended to benefit the PROJECT if mutually agreed to in writing by CITY and CONSULT ANT. In the event the Commencement Date precedes the Effective Date, CONSULT ANT shall be bound by all terms and conditions as provided herein. 4. COMPENSATION In consideration of the performance of the services described herein, CITY agrees to pay CONSULT ANT on a time and materials basis at the rates specified in Exhibit "B," which is attached hereto and incorporated by reference into this Agreement, a fee, including all costs and expenses, not to exceed Eighty Thousand Dollars ($80,000). 5. EXTRA WORK In the event CITY requires additional services not included in Exhibit "A" or changes in the scope of services described in Exhibit "A," CONSULT ANT will undertake such work only after receiving written authorization from CITY. Additional compensation for such extra work shall be allowed only if the prior written approval of CITY is obtained. 6. METHOD OF PAYMENT CONSUL TANT shall be paid pursuant to the terms of Exhibit "B." 24-14856/345787 2 of 12 58 7. DISPOSITION OF PLANS, ESTIMATES AND OTHER DOCUMENTS CONSULT ANT agrees that title to all materials prepared hereunder, including, without limitation, all original drawings, designs, reports, both field and office notices, calculations, computer code, language, data or programs, maps, memoranda, letters and other documents, shall belong to CITY, and CONSULT ANT shall turn these materials over to CITY upon expiration or termination of this Agreement or upon PROJECT completion, whichever shall occur first. These materials may be used by CITY as it sees fit. 8. HOLD HARMLESS A. CONSULT ANT hereby agrees to protect, defend, indemnify and hold harmless CITY, its officers, elected or appointed officials, employees, agents and volunteers from and against any and all claims, damages, losses, expenses, judgments, demands and defense costs (including, without limitation, costs and fees of litigation of every nature or liability of any kind or nature) arising out of or in connection with CONSULT ANT's ( or CONSULT ANT's subcontractors, if any) negligent (or alleged negligent) performance of this Agreement or its failure to comply with any of its obligations contained in this Agreement by CONSULTANT, its officers, agents or employees except such loss or damage which was caused by the sole negligence or willful misconduct of CITY. CONSULT ANT will conduct all defense at its sole cost and expense and CITY shall approve selection of CONSUL TANT's counsel. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as limitation upon the amount of indemnification to be provided by CONSULT ANT. B. To the extent that CONSULTANT performs "Design Professional Services" within the meaning of Civil Code Section 2782.8, then the following Hold Harmless provision applies in place of subsection A above: 24-14856/345787 3 of 12 59 "CONSULT ANT hereby agrees to protect, defend, indemnify and hold harmless CITY and its officers, elected or appointed officials, employees, agents and volunteers, from and against any and all claims, damages, losses, expenses, demands and defense costs (including, without limitation, costs and fees of litigation of every nature or liability of any kind or nature) to the extent that the claims against CONSULT ANT arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of CONSULTANT. In no event shall the cost to defend charged to CONSULT ANT exceed CONSULT ANT' s proportionate percentage of fault. However, notwithstanding the previous sentence, in the event one or more other defendants to the claims and/or litigation is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, CONSULT ANT shall meet and confer with CITY and other defendants regarding unpaid defense costs. The duty to indemnify, including the duty and the cost to defend, is limited as provided in California Civil Code Section 2782.8. C. Regardless of whether subparagraph A or B applies, CITY shall be reimbursed by CONSULTANT for all costs and attorney's fees incurred by CITY 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 CONSUL TANT. 9. PROFESSIONAL LIABILITY INSURANCE CONSULT ANT shall obtain and furnish to CITY a professional liability insurance policy covering the work performed by it hereunder. This policy shall provide coverage for CONSULTANT's professional liability in an amount not less than One Million Dollars ($1,000,000.00) per occurrence and in the aggregate. The above-mentioned insurance shall not contain a self-insured retention without the express written consent of CITY; however an insurance 24-14856/345787 4 of 12 60 policy "deductible" of Ten Thousand Dollars ($10,000.00) or less is permitted. A claims-made policy shall be acceptable if the policy fmiher provides that: A. The policy retroactive date coincides with or precedes the initiation of the scope of work (including subsequent policies purchased as renewals or replacements). B. CONSULT ANT shall notify CITY of circumstances or incidents that might give rise to future claims. CONSULT ANT will make every effmi to maintain similar insurance during the required extended period of coverage following PROJECT completion. If insurance is terminated for any reason, CONSULT ANT agrees to purchase an extended reporting provision of at least two (2) years to report claims arising from work performed in connection with this Agreement. If CONSUL TANT fails or refuses to produce or maintain the insurance required by this section or fails or refuses to furnish the CITY with required proof that insurance has been procured and is in force and paid for, the CITY shall have the right, at the CITY's election, to forthwith terminate this Agreement. Such termination shall not affect Consultant's right to be paid for its time and materials expended prior to notification of termination. CONSULT ANT waives the right to receive compensation and agrees to indemnify the CITY for any work performed prior to approval of insurance by the CITY. 10. CERTIFICATE OF INSURANCE Prior to commencing performance of the work hereunder, CONSULTANT shall furnish to CITY a certificate of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverage as required by this Agreement; the ce1iificate shall: A. provide the name and policy number of each carrier and policy; 24-14856/345787 5 of 12 61 B. state that the policy is cmTently in force; and C. shall promise that such policy shall not be suspended, voided or canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice; however, ten (10) days' prior written notice in the event of cancellation for nonpayment of premium. CONSULTANT shall maintain the foregoing insurance coverage in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverage shall not derogate from CONSULT ANT's defense, hold harmless and indemnification obligations as set forth in this Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of the policy of insurance. CONSULT ANT shall pay, in a prompt and timely manner, the premiums on the insurance hereinabove required. 11. INDEPENDENT CONTRACTOR CONSULT ANT is, and shall be, acting at all times in the performance of this Agreement as an independent contractor herein and not as an employee of CITY. CONSULT ANT shall secure at its own cost and expense, and be responsible for any and all payment of all taxes, social security, state disability insurance compensation, unemployment compensation and other payroll deductions for CONSULT ANT and its officers, agents and employees and all business licenses, if any, in connection with the PROJECT and/or the services to be performed hereunder. 12. TERMINATION OF AGREEMENT All work required hereunder shall be performed in a good and workmanlike manner. CITY may terminate CONSULTANT's services hereunder at any time with or without cause, and whether or not the PROJECT is fully complete. Any termination of this Agreement by 24-14856/345787 6 of 12 62 CITY shall be made in writing, notice of which shall be delivered to CONSULTANT as provided herein. In the event of termination, all finished and unfinished documents, exhibits, report, and evidence shall, at the option of CITY, become its property and shall be promptly delivered to it by CONSULTANT. 13. ASSIGNMENT AND DELEGATION This Agreement is a personal service contract and the work hereunder shall not be assigned, delegated or subcontracted by CONSULT ANT to any other person or entity without the prior express written consent of CITY. If an assignment, delegation or subcontract is approved, all approved assignees, delegates and subconsultants must satisfy the insurance requirements as set forth in Sections 9 and 10 hereinabove. 14. COPYRIGHTS/PATENTS CITY shall own all rights to any patent or copyright on any work, item or material produced as a result of this Agreement. 15. CITY EMPLOYEES AND OFFICIALS CONSULT ANT shall employ no CITY official nor any regular CITY employee in the work performed pursuant to this Agreement. No officer or employee of CITY shall have any financial interest in this Agreement in violation of the applicable provisions of the California Government Code. 16. NOTICES Any notices, certificates, or other communications hereunder shall be given either by personal delivery to CONSULTANT's agent (as designated in Section 1 hereinabove) or to CITY as the situation shall warrant, or by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, to the addresses specified below. 24-14856/345787 7 of 12 63 CITY and CONSULT ANT may designate different addresses to which subsequent notices, certificates or other communications will be sent by notifying the other party via personal delivery, a reputable overnight carrier or U. S. ce1iified mail-return receipt requested: TO CITY: City of Huntington Beach ATTN: Capt. Ryan Reilly 2000 Main Street Huntington Beach, CA 9264 7 17. CONSENT TO CONSULTANT: Gallatin Investigations, LLC ATTN: Lisa Matteroli 9671 Woodlawn Drive Huntington Beach, CA 92646 When CITY's consent/approval is required under this Agreement, its consent/approval for one transaction or event shall not be deemed to be a consent/approval to any subsequent occurrence of the same or any other transaction or event. 18. MODIFICATION No waiver or modification of any language in this Agreement shall be valid unless in writing and duly executed by both parties. 19. SECTION HEADINGS The titles, captions, section, paragraph and subject headings, and descriptive phrases at the beginning of the various sections in this Agreement are merely descriptive and are included solely for convenience of reference only and are not representative of matters included or excluded from such provisions, and do not interpret, define, limit or describe, or construe the intent of the parties or affect the construction or interpretation of any provision of this Agreement. 20. INTERPRETATION OF THIS AGREEMENT The language of all paiis of this Agreement shall in all cases be construed as a whole, according to its fair meaning, and not strictly for or against any of the paiiies. If any provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be 24-14856/345787 8 of 12 64 unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent upon any other unless so expressly provided here. As used in this Agreement, the masculine or neuter gender and singular or plural number shall be deemed to include the other whenever the context so indicates or requires. Nothing contained herein shall be construed so as to require the commission of any act contrary to law, and wherever there is any conflict between any provision contained herein and any present or future statute, law, ordinance or regulation contrary to which the pmiies have no right to contract, then the latter shall prevail, and the provision of this Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to bring it within the requirements of the law. 21. DUPLICATE ORIGINAL The original of this Agreement and one or more copies hereto have been prepared and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the date of its execution and delivery, be deemed an original. Each duplicate original shall be deemed an original instrument as against any party who has signed it. 22. IMMIGRATION CONSULT ANT shall be responsible for full compliance with the immigration and naturalization laws of the United States and shall, in pmiicular, comply with the provisions of the United States Code regarding employment verification. 23. LEGAL SERVICES SUBCONTRACTING PROHIBITED CONSULT ANT and CITY agree that CITY is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. CONSULT ANT understands that pursuant to 24-14856/345787 9 of 12 65 Huntington Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for CITY; and CITY shall not be liable for payment of any legal services expenses incurred by CONSUL TANT. 24. ATTORNEY'S FEES In the event suit is brought by either party to construe, interpret and/or enforce the terms and/or provisions of this Agreement or to secure the performance hereof, each party shall bear its own attorney's fees, such that the prevailing paiiy shall not be entitled to recover its attorney's fees from the nonprevailing party. 25. SUR VIV AL Terms and conditions of this Agreement, which by their sense and context survive the expiration or termination of this Agreement, shall so survive. 26. GOVERNING LAW This Agreement shall be governed and construed in accordance with the laws of the State of California. 27. SIGNATORIES Each undersigned represents and warrants that its signature hereinbelow has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify CITY fully for any injuries or damages to CITY in the event that such authority or power is not, in fact, held by the signatory or is withdrawn. 28. ENTIRETY The parties acknowledge and agree that they are entering into this Agreement freely and voluntarily following extensive arm's length negotiation, and that each has had the opp01iunity to consult with legal counsel prior to executing this Agreement. The parties also acknowledge and 24-14856/345787 10 of 12 66 agree that no representations, inducements, promises, agreements or warranties, oral or otherwise, have been made by that party or anyone acting on that party's behalf, which are not embodied in this Agreement, and that that party has not executed this Agreement in reliance on any representation, inducement, promise, agreement, warranty, fact or circumstance not expressly set forth in this Agreement. This Agreement, and the attached exhibits, contain the entire agreement between the parties respecting the subject matter of this Agreement, and supersede all prior understandings and agreements whether oral or in writing between the paiiies respecting the subject matter hereof. 29. EFFECTIVE DATE This Agreement shall be effective on the date of its approval by the City Attorney. This Agreement shall expire when terminated as provided herein. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers. 24-14856/345787 11 of 12 67 CONSULT ANT, GALLATIN INVESTIGATIONS, LLC By: :lfffeAf-- £ /5A M krr~ c? t; print name ITS: (circle 011e) Chairman/President/Vice President AND By: _____________ _ print name ITS: (circle 011e) Secretary/Chief Financial Officer/ Asst. Secretary -Treasurer COUNTERPART 2•1-14 856/345787 12 of 12 CITY or HUNTINGTON BEACH, a municipal corporation of the State of California City Manager APPROVED AS TO FORM: City Attorney Date -------------- RECEIVE AND FILE: City Clerk Date -------------- 68 CONSULTANT, GALLATIN INVESTIGATIONS, LLC By: ___________ _ print name ITS: (circle one) Chairman/PresidentNice President AND By: ___________ _ print name ITS: (circle one) Secretary/Chief Financial Officer/ Asst . Secretary -Treasurer COUNTERPART 24-14856/345787 12 of 12 CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California ~ City Manager Chief of Police Attorney Date I I 11 {z;f RECEIVE AND FILE: City Clerk: Date ___ 9---'--/_q _,_/2L/_...L..,__ __ ---=,~ ...... ·--- 69 EXHIBIT "A" A. STATEMENT OF WORK: (Narrative of work to be performed) In an effort for the Huntington Beach Police Department to hire quality personnel that will serve the public, it is essential to properly screen candidates during the hiring process. The Police Department requires a careful and complete screening of all candidates for employment, which includes an exhaustive background investigation. The Contractor will complete assigned fieldwork, as described below, for the background investigations of Police Department applicants. Contractor will work closely and report directly to the Personnel Officer. B. CONSULTANT'S DUTIES AND RESPONSIBILITIES: 1) Contact applicant's previous employer(s) to review personnel file and interview prior supervisors and co-workers 2) Conduct neighborhood check(s) at applicant's current and previous residences(s) to interview neighbors 3) Contact/visit other police agencies to which the applicant has applied to review background file and interview background investigator 4) Contact family, personal references and secondary references 5) Prepare written reports for each contact made 6) Ability to utilize background investigation software eSOPH for completion of investigations 7) Prepare written summary based on California POST guidelines at the end of the background investigation. These guidelines can be found online in the POST Administrative Manual Section C 1953 (g)(1) C. CITY'S DUTIES AND RESPONSIBILITIES: 1) The Personnel Officer will provide oversight of the background investigation, including assigning field work to individual contractor. 2) The Personnel Officer will provide training as to proper format for interviews and reports. 3) The Personnel Officer will determine the appropriate due date for information and reports. 4) The Personnel Officer will review all invoices received from the contractor, determine approval and submit for payment. D. WORK PROGRAM/PROJECT SCHEDULE: These services will be conducted within the contract period. It is understandable that some services will continue beyond the contract period if the services are ongoing. These ongoing services will not have any costs that will be assessed beyond the contract period. 70 EXHIBIT "B" Payment Schedule (Hourly Payment) A. Hourly Rate CONSULT ANT'S fees for such services shall be based upon the following hourly rate and cost schedule: Year 1: Flat rate per complete investigations: $1850 per case Year 2: Flat rate per complete investigations: $1900 per case Year 3: Flat rate per complete investigations: $1950 per case Hourly rate per incomplete investigation: $75 Out of state cases: $3,500 per case plus applicable travel and lodging fees, which will be negotiated on a case-by-case basis B. Travel Charges for time during travel are not reimbursable. C. Billing 1. All billing shall be done monthly in fifteen (15) minute increments and matched to an appropriate breakdown of the time that was taken to perform that work and who performed it. 2. Each month's bill should include a total to date. That total should provide, at a glance, the total fees and costs incurred to date for the project. 3. A copy of memoranda, letters, reports, calculations and other documentation prepared by CONSULT ANT may be required to be submitted to CITY to demonstrate progress toward completion of tasks. In the event CITY rejects or has comments on any such product, CITY shall identify specific requirements for satisfactory completion. 4. CONSULT ANT shall submit to CITY an invoice for each monthly payment due. Such invoice shall: A) Reference this Agreement; B) Describe the services performed; C) Show the total amount of the payment due; D) Include a certification by a principal member of CONSULTANT's firm that the work has been performed in accordance with the provisions of this Agreement; and E) For all payments include an estimate of the percentage of work completed. 71 Upon submission of any such invoice, if CITY is satisfied that CONSULT ANT is making satisfactory progress toward completion of tasks in accordance with this Agreement, CITY shall approve the invoice, in which event payment shall be made within thiliy (30) days ofreceipt of the invoice by CITY. Such approval shall not be unreasonably withheld. If CITY does not approve an invoice, CITY shall notify CONSULTANT in writing of the reasons for non-approval and the schedule of performance set forth in Exhibit "A" may at the option of CITY be suspended until the parties agree that past performance by CONSULT ANT is in, or has been brought into compliance, or until this Agreement has expired or is terminated as provided herein. 5. Any billings for extra work or additional services authorized in advance and in writing by CITY shall be invoiced separately to CITY. Such invoice shall contain all of the information required above, and in addition shall list the hours expended and hourly rate charged for such time. Such invoices shall be approved by CITY if the work performed is in accordance with the extra work or additional services requested, and if CITY is satisfied that the statement of hours worked and costs incurred is accurate. Such approval shall not be unreasonably withheld. Any dispute between the paiiies concerning payment of such an invoice shall be treated as separate and apart from the ongoing performance of the remainder of this Agreement. 72 GALLA -1 OP ID· MN ACORD· CERTIFICATE OF LIABILITY INSURANCE I DATE (MM/DD/YYYY) ~ 07/05/2024 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND , EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT : If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed . If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy , certain policies may require an endorsement. A statement on th i s certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER 760-471-7116 2~~i~cT Michelle A. Nowell Alliance Mgt. & Insurance Serv PHONE 760-4 71-7116 I FAX 760-471-9378 355 Via Vera Cruz #7 (AIC, No, Ext): (AIC , No): CA A~enUBroker Lie# 0737966 ~t1l~~ss• mnowe11@am1scorp.com San areas, CA 92078 Michelle A. Nowell INSURER/SI AFFORDING COVERAGE NAI C # INsURER A: StarStone Specialtv Ins Comp 44776 ~NS~RE;D INSURER B : al atm Investigations LLC Lisa Matteroli INSURERC : 9671 Woodlawn Drive Huntington Beach, CA 92646 INSURERD : INSURER E: INSURER F : COVERAGES CERTIFICATE NUMBER· REVISION NUMBER· THI S IS TO CERTIF Y THAT THE POLICIES OF INSURAN C E LI STED BELOW HAVE BEEN IS SUED T O THE IN SURED NAMED AB OVE FOR THE POLICY PERIOD INDI CATED . NOTWITH STANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN , THE INSURANCE AFFORDED BY THE POLI C IE S DESCRIBED HEREIN IS SUBJECT TO AL L THE TERM S, EXC LU SIONS AND CONDITION S OF SUCH POLICIE S. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIM S. 1rJ: TYPE OF INSURANCE ~?J>~ ~~~ POLICY NUMBER POLI CY EFF ,,r.R~l~Y EXP LIMITS X X COMMERCIAL GENERAL LIABILITY EAC H OCCURRENCE $ 1,000,000 -□ CLA IM S-MADE [K] OCC UR DAMAGE TO RENTED 100,000 A WSGP000714 04/01/2024 04/01/2025 PREM ISES /Ea occurrence) $ X Errors & Omission MED EXP /Anv one oerso nl $ 5 ,000 - PERSONAL & ADV IN JURY $ 1,000,000 - GEN'L AGG REG ATE LI MIT APPLIE S PER: GEN ERAL AGGR EGATE $ 5,000,000 ~ PO LI CY □ ~~T □ LOC PRODUCTS -COMP/OP AGG $ 1,000 ,000 OTHER: s A ~TOMOBILE LIABILITY fi:~~~~~~1~1NGLE LIMIT s 1,000,000 ANY AUTO WSGP000714 04/01/2024 04/01/2025 BODILY INJU RY /Per oersonl s --OWN ED SC HEDULED -AUTOS ONLY -AUTOS BODILY INJURY /Per accident\ S X HI RE D X NO N-OWN ED 1P~?~fc~Jeht~AMAGE s -AUTOS ON LY -AUTOS ONLY s UMBRELLA LIAB HOCCUR EAC H OCCURRE NCE s - EXCESS LIAB CLA IM S-MADE AGG REGATE $ OED I I RETENTI ON s s WORKERS COMPENSATION I ~~f TUTE I I OTH - AND EMPLOYERS ' LIABILITY ER YIN ANY PRO PRIETOR/PARTNER/EXECUTI VE □ N/A E.L. EACH ACC IDENT $ OFFI CER/M EMBER EXCLUDED? (Mandatory In NH) E.L. DI SEASE -EA EMPLOYEF S II yes, describe under DESCR IPTI ON OF OP ERATI ONS below E.L. DISEASE -PO LI CY LIMIT s \ DESCRIPTION OF OPERATIONS/ LOCATIONS /VEHICLES (ACORD 101, Additi onal Remarks Schedule, may be attac hed if more spa ce Is rAlilAAOVED AS TO FORM -~ City of Huntington Beach, its directors , officers, employees, and agentsd are named as an additional insured with respects to the work performe by By: the named insured. MICHAEL E . GATES Investigation , CA --CITY ATTORN E Y CITY OF HUNTINGTON BEACH CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Huntington Beach ACCORDANCE WITH THE POLICY PROVISIONS. 2000 Main Street Huntington Beach, CA 92647 AUTHORIZED REPRESENTATIVE ~ (). ~ I ACORD 25 (2016/03) © 1988-2015 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD 73 POLICY NUMBER: WSGP000714 COMMERCIAL GENERAL LIABILITY CIGL 79 03 18 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED -OWNERS, LESSEES OR CONTRACTORS -SCHEDULED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organization(s) Location(s) Of Covered Operations Blanket as required by valid written contract. Blanket as required by valid written contract. Additional Information: Information required to complete this Schedule, if not shown above, will be shown in the Declarations. A. Section II -Who Is An Insured is amended to include as an additional insured the person or organization shown in the Schedule, but only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" arising out of: 1. Your acts or omissions; or 2. The acts or omissions of those acting on your behalf; in the performance of your operations for the additional insured at the location shown in the Schedule. However: a. The insurance afforded to such additional insured only applies to the extent permitted by law; b. If coverage provided to the additional insured is required by a contract or agreement, the insurance CIGL 79 03 18 Includes copyrighted material of Insurance Services Office, Inc. Page 1 of 2 74 afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured; and c. Regardless of the date of occurrence or when the injury or damage first occurs or is first discovered, a person's or organization's status as an additional insured under this endorsement ends upon the earliest of: (1) The completion or termination of the contract or agreement between you and the additional insured for the location shown in the Schedule; (2) The date you cease actively performing operations for the additional insured at the location shown in the Schedule; or (3) The expiration or termination date of the policy or this endorsement. B. With respect to the insurance afforded to these additional insureds, the following additional exclusions apply: This insurance does not apply to liability or damages for "bodily injury", "property damage", or "personal and advertising injury": 1. Caused by, arising from, or included in the "products-completed operations hazard"; 2. Arising out of the additional insured's sole negligence; 3. Arising out of work or operations performed by you that were completed prior to the effective date of this endorsement; or 4. Which continues or progressively deteriorates after you cease actively performing operations for the additional insured at the location shown in the Schedule, even if the injury or damage first occurred, or is alleged to have first occurred, during the course of your operations for the additional injured. C. Solely for purposes of this endorsement, the following definition is deleted in its entirety and replaced by the following: 1. ""Products-completed operations hazard": a. Includes all "bodily injury" and "property damage" occurring away from premises you own or rent and arising out of "your product" or "your work" except: (1) Products that are still in your physical possession; or (2) Work that has not yet been completed or abandoned. However, "your work" will be deemed completed at the earliest of the following times: (a) When all of the work called for in your contract has been completed; (b) When all of the work to be done at the location shown in the Schedule has been completed if your contract calls for work at more than one location; or (c) When that part of the work done at the location shown in the Schedule has been put to its intended use by any person or organization other than another contractor or subcontractor working on the same project. Work that may need service, maintenance, correction, repair or replacement, but which is otherwise complete, will be treated as completed. D. With respect to the insurance afforded to these additional insureds, the following is added to Section Ill - Limits Of Insurance: If coverage provided to the additional insured is required by a contract or agreement, the most we will pay on behalf of the additional insured is the amount of insurance: 1. Required by the contract or agreement; or 2. Available under the applicable Limits of Insurance shown in the Declarations; whichever is less. This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations. CIGL 79 03 18 Includes copyrighted material of Insurance Services Office, Inc. Page 2 of 2 75 REQUEST FOR PROPOSAL FOR BACKGROUND INVESTIGATION SERVICES Police Department CITY OF HUNTINGTON BEACH Addendum #1 Released on March 7, 2024 76 BACKGROUND INVESTIGATION SERVICES REQUEST FOR PROPOSAL (RFP) 1. BACKGROUND The City of Huntington Beach, on behalf of its Police Department, is soliciting proposals from qualified firms, organizations, and individuals to provide Background Investigations Services for the Huntington Beach Police Department as detailed in Section 3, Scope of Work, in the RFP. Multiple vendors may be awarded as the number of background investigators fluctuates depending on the requirement activities. 2. SCHEDULE OF EVENTS This request for proposal will be governed by the following schedule: Release ofRFP Deadline for Written Questions Responses to Questions Posted on Web Proposals are Due Proposal Evaluation Completed Approval of Contract 3. SCOPE OF WORK March 7, 2024 March 20, 2024 by 4 p.m. March 28, 2024 April "f1 2024 by 4 p.m. Tentative May, 2024 Tentative June, 2024 The selected contractor(s) will complete the assigned fieldwork, as described below, for the background investigations of police department applicants. Contractor(s) will work closely and report directly to the Personnel Officer. CONTRACTOR'S DUTIES AND RESPONSIBILITIES: 1) Contact applicant's previous employer(s) to review personnel file and interview prior supervisors and co-workers. 2) Conduct neighborhood check(s) at applicant's current and previous residences(s) to interview neighbors. 3) Contact/visit other police agencies to which the applicant has applied to review background file and interview background investigator. 4) Contact family, personal references and secondary references. 5) Prepare written reports for each contact made. 6) Ability to utilize background investigation software eSOPH for completion of investigations. 7) Prepare written summary based on California POST guidelines at the end of the background investigation. These guidelines can be found online in the POST Administrative Manual Section C 1953 (g)(l ). 77 CITY'S DUTIES AND RESPONSIBILITIES: 1) The Personnel Officer will provide oversight of the background investigation, including assigning fieldwork to individual contractors. 2) The Personnel Officer will provide training as to proper format for interviews and reports. 3) The Personnel Officer will determine the appropriate due date for information and reports. 4) The Personnel Officer will review all invoices received from the contractor, determine approval and submit for payment. 4. PROPOSAL FORMAT GUIDELINES Interested contractors are to provide the City of Huntington Beach with a thorough proposal using the following guidelines: Proposal should be typed and should contain no more than 20 typed pages using a 12-point font size, including transmittal letter and resumes of key people, but excluding Index/Table of Contents, tables, charts, and graphic exhibits. Each proposal will adhere to the following order and content of sections. Proposal should be straightforward, concise and provide "layman" explanations of technical terms that are used. Emphasis should be concentrated on conforming to the RFP instructions, responding to the RFP requirements, and on providing a complete and clear description of the offer. Proposals, which appear unrealistic in the terms of technical commitments, lack of technical competence or are indicative of failure to comprehend the complexity and risk of this contract, may be rejected. The following proposal sections are to be included in the bidder's response: A. Vendor Application Form and Cover Letter Complete Appendix A, "Request for Proposal-Vendor Application Form" and attach this form to the cover letter. A cover letter, not to exceed three pages in length, should summarize key elements of the proposal. An individual authorized to bind the consultant must sign the letter. The letter must stipulate that the proposal price will be valid for a period of at least 180 days. Indicate the address and telephone number of the contractor's office located nearest to Huntington Beach, California and the office from which the project will be managed. B. Background and Project Summary Section The Background and Project Summary Section should describe your understanding of the City, the work to be done, and the objectives to be accomplished. Refer to Scope of Work of this RFP. C. Methodology Section Provide a detailed description of the approach and methodology to be used to accomplish the Scope of Work of this RFP. The Methodology Section should include: 1) An implementation plan that describes in detail (i) the methods, including controls by which your firm manages projects of the type sought by this RFP; (ii) 78 methodology for soliciting and documenting views of internal and external stakeholders; (iii) and any other project management or implementation strategies or techniques that the respondent intends to employ in carrying out the work. 2) Detailed description of efforts your firm will undertake to achieve client satisfaction and to satisfy the requirements of the "Scope of Work" section. 3) Detailed project schedule, identifying all tasks and deliverables to be performed, durations for each task, and overall time of completion. 4) Detailed description of specific tasks you will require from City staff. Explain what the respective roles of City staff and your staff would be to complete the tasks specified in the Scope of Work. D. Staffing Provide a list of individual(s) who will be working on this project and indicate the functions that each will perform. Include a resume for each designated individual. Upon award and during the contract period, if the contractor chooses to assign different personnel to the project, the Contractor must submit their names and qualifications including information listed above to the City for approval before they begin work. E. Qualifications The information requested in this section should describe the qualifications of the firm, key staff and sub-contractors performing projects within the past five years that are similar in size and scope to demonstrate competence to perform these services. Information shall include: 1) Names of key staff that participated on named projects and their specific responsibilities with respect to this scope of work. 2) A summary of the your firm's demonstrated capability, including length of time that your firm has provided the services being requested in this Request for Proposal. 3) Provide at least five local references(Appendix A) that received similar services from your firm. The City of Huntington Beach reserves the right to contact any of the organizations or individuals listed. Information provided shall include: ♦ ClientName ♦ Project Description ♦ Project start and end dates ♦ Client project manager name, telephone number, and e-mail address F. Fee Proposal Proposed fees should reflect hourly rate for three years. The following conditions apply: 1) Charges for time during travel are normally not reimbursable and will only be paid if such time is actually used in performing services. Charges will be matched to an appropriate breakdown to time previouysly taken by in-house staff to perform the tasks 79 2) Subject to agreement otherwise, consultant will be held to charging no fees on travel time to or from Huntingotn Beach 3) Automobile expenses are limited to the IRS standard business mileage rate. All other travel expenses must be approved at least fourteen days in advance to allow for reduced transportation fares 4) Meals are not billable without prior written consent 5) All billing shall be done on a monthly basis in on-tenth-hour (0.10) increments 6) Telephone, cellular phone and postage charges are billable at actual cost. The fee for sending or receiving of facsimiles shall not exceed twenty-five cents ($0.25) per page and photocopier costs shall be no more than the actual cost of duplication, or ten cents ($0.10) per page, whichever is less. 7) Secretarial time and word processing charges are not billable. 5. PROCESS FOR SUBMITTING PROPOSALS All proposals must be submitted in PDF file format. ♦ Content of Proposal The proposal must be submitted using the format as indicated in the proposal format guidelines. ♦ Preparation of Proposal Each proposal shall be prepared simply and economically, avoiding the use of elaborate promotional material beyond those sufficient to provide a complete, accurate and reliable presentation. ♦ Number of Proposals Submit one (1) PDF file format copy of your proposal in sufficient detail to allow for thorough evaluation and comparative analysis. ♦ Submission of Proposals Complete written proposals must be submitted electronically in PDF file format via the Planetbids.com website no later than 4:00 p.m. (P.S.T) on April 15, 2024. Proposals will not be accepted after this deadline. Faxed or e-mailed proposals will not be accepted. ♦ Inquiries Questions about this RFP must be directed in writing through the PlanetBids Q&A tab no later than 4:00 p.m. (PST) March 20, 2024 for response. Cody Hernandez, Buyer Cody.hernandez@surfcity-hb.org 80 From the date that this RFP is issued until a firm is selected and the selection is announced, firms are not allowed to communicate for any reason with any City employee other than the contracting officer listed above regarding this RFP, except during the pre-proposal conference. Refer to the Schedule of Events of this RFP or the City webpage to determine if a pre-proposal conference has been scheduled. The City reserves the right to reject any proposal for violation of this provision. No questions other than written will be accepted, and no response other than written will be binding upon the City. ♦ Conditions for Proposal Acceptance This RFP does not commit the City to award a contract or to pay any costs incurred for any services. The City, at its sole discretion, reserves the right to accept or reject any or all proposals received as a result of this RFP, to negotiate with any qualified source, or to cancel this RFP in part or in its entirety. All proposals will become the property of the City of Huntington Beach, USA. If any proprietary information is contained in the proposal, it should be clearly identified. 6. EVALUATION CRITERIA The City's consultant evaluation and selection process is based upon Qualifications Based Selection (QBS) for professional services. The City of Huntington Beach may use some or all of the following criteria in its evaluation and comparison of proposals submitted. The criteria listed are not necessarily an all-inclusive list. The order in which they appear is not intended to indicate their relative importance: A. Compliance with RFP requirements B. Understanding of the project C. Recent experience in conducting similar scope, complexity, and magnitude for other public agencies D. Educational background, work experience, and directly related consulting experiences E. Price F. References The City may also contact and evaluate the bidder's and subcontractor's references; contact any bidder to clarify any response; contact any current users of a bidder's services; solicit information from any available source concerning any aspect of a proposal; and seek and review any other information deemed pertinent to the evaluation process. The evaluation committee shall not be obligated to accept the lowest priced proposal, but shall make an award in the best interests of the City. After written proposals have been reviewed, discussions with prospective firms may or may not be required. If scheduled, the oral interview will be a question/answer format for the purpose of clarifying the intent of any portions of the proposal. The individual from your firm that will be directly responsible for carrying out the contract, if awarded, should be present at the oral interview. A Notification of Intent to Award may be sent to the vendor selected. Award is contingent upon the successful negotiation of final contract terms. Negotiations shall be confidential and not subject to disclosure to competing vendors unless an agreement is reached. If contract negotiations 81 cannot be concluded successfully, the City may negotiate a contract with the next highest scoring vendor or withdraw the RFP. 7. STANDARD TERMS AND CONDITIONS ♦ Amendments The City reserves the right to amend this RFP prior to the proposal due date . All amendments and additional information will be posted to the Huntington Beach Procurement Registry, Huntington Beach -Official City Web Site -Business -Bids & RFP 's; bidders should check this web page daily for new information. ♦ Cost for Preparing Proposal The cost for developing the proposal is the sole responsibility of the bidder. All proposals submitted become the property of the City. ♦ Contract Discussions Prior to award, the apparent successful firm may be required to enter into discussions with the City to resolve any contractual differences. These discussions are to be finalized and all exceptions resolved within one (1) week from notification. If no resolution is reached, the proposal may be rejected and discussions will be initiated with the second highest scoring firm . See Appendix B for a sample agreement. ♦ Confidentiality Requirements The staff members assigned to this project may be required to sign a departmental non disclosure statement. Proposals are subject to the Freedom of Information Act. The City cannot protect proprietary data submitted in proposals. ♦ Financial Information The City is concerned about bidders' financial capability to perform, therefore, may ask you to provide sufficient data to allow for an evaluation of your firm's financial capabilities. ♦ Payment by Electronic Funds Transfer -EFT: The City requires that payment be made directly to the vendor's bank account via an Electronic Fund Transfer (EFT) process. Banking information will need to be provided to the City via an Electronic Credit Authorization form. A City Representative will provide the Electronic Credit Authorization form upon intent to award. Vendor will receive an Electronic Remittance Advice with the payment details via email. It is solely the responsibility of the vendor to immediately notify the City of any change to their information related to payments. ♦ Insurance Requirements City Resolution 2008-63 requires that licensees, lessees, and vendors have an approved Certificate of Insurance (not a declaration or policy) on file with the City for the issuance of a permit or contract. Within ten ( 10) consecutive calendar days of award of contract, successful bidder must furnish the City with the Certificates of Insurance 82 proving coverage as specified in Appendix C. Failure to furnish the required certificates within the time allowed will result in forfeiture of the Proposal Security. Please carefully review the Sample Agreement and Insurance Requirements before responding to the Request for Proposal enclosed herein. The terms of the agreement, including insurance requirements have been mandated by City Council and can be modified only if extraordinary circumstances exist. Your response to the Request for Proposal must indicate if you are unwilling or unable to execute the agreement as drafted as well as providing the insurance requirements. The City will consider this in determining responsiveness to the Request for Proposal. 83 APPENDIX A 84 TYPE OF APPLICANT: REQUEST FOR PROPOSAL VENDOR APPLICATION FORM □NEW 0 CURRENT VENDOR Legal Contractual Name of Corporation: Contact Person for Agreement: ____________________ _ Corporate Mailing Address: City, State and Zip Code: E-Mail Address: ---------- Phone: Fax: -------------------- Contact Person for Proposals: ---------------------- Title: E-Mail Address: --------------------- Business Telephone: _________ _ Business Fax: ------ Year Business was Established: ------ Is your business: ( check one) 0 NON PROFIT CORPORATION 0 FOR PROFIT CORPORATION Is your business: (check one) 0 CORPORATION 0 INDIVIDUAL 0 PARTNERSHIP 0 LIMITED LIABILITY PARTNERSHIP 0 SOLE PROPRIETORSHIP 0 UNINCORPORATED ASSOCIATION 1 of2 85 Names & Titles of Corporate Board Members (Also list Names & Titles of persons with written authorization/resolution to sign contracts) Names Title Phone Federal Tax Identification Number: City of Huntington Beach Business License Number: (If none, you must obtain a Huntington Beach Business License upon award of contract.) City of Huntington Beach Business License Expiration Date: 2 of2 86 References of Woi·k Pei-formed Form (List 5 agencies) ComanyName: _______________ _ 1. Name of Reference: ------------------------ Address: Contact Name: -----------Phone Number: __________ _ Email: Dates of Business: ------------ 2. Name of Reference: ------------------------- Address: Contact Name: -----------Phone Number: __________ _ Email: Dates of Business: ------------ 3. Name of Reference: Address: Contact Name: -----------Phone Number: ----------- Email: Dates of Business: ------------ 4. Name of Reference: ________________________ _ Address: Contact Name: Phone Number: ---------------------- Email: Dates of Business: ------------ 5. Name of Reference: ------------------------- Address: Contact Name: Phone Number: ---------------------- Email: Dates of Business: ------------ 87 APPENDIXB 88 SERVICE AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND ------- FOR THIS AGREEMENT ("Agreement") is made and entered into by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter called "City," and _________ , a California Limited Liability Company, hereinafter referred to as "Contractor." Recitals A. The City desires to retain a Contractor having special skill and knowledge in the field of janitorial and porter services. B. Contractor represents that Contractor is able and willing to provide such services to the City. C. In undertaking the performance of this Agreement, Contractor represents that it is knowledgeable in its field and that any services performed by Contractor under this Agreement will be performed in compliance with such standards as may reasonably be expected from a comparable company or firm in the field. Contractor has been selected to perform these services pursuant to Huntington Beach Municipal Code Chapter 3.02. NOW, THEREFORE, it is agreed by City and Contractor as follows: 1. Scope of Services Contractor shall provide all services as described in Exhibit "A," which is attached hereto and incorporated into this Agreement by this reference. These services shall sometimes hereinafter be referred to as the "Project." Contractor hereby designates _______ , who shall represent it and be its sole contact and agent in all consultations with City during the performance of this Agreement. 2. City Staff Assistance City shall assign a staff coordinator to work directly with Contractor in the performance of this Agreement. 17-6145/170197/11/28/17/DO 1 89 3. Compensation a. City agrees to pay, and Contractor agrees to accept as total payment for its services, the rates and charges identified in Exhibit "B." The total sum to be expended under this Agreement, shall not exceed _____ ($ ) per year for any one year during the term of this Agreement, with a __ year aggregate total not to exceed amount of _____ ($ ___ _, b. Payment by City shall be made within thirty (30) days following receipt of proper invoice evidencing work performed, subject to City accounting procedures. Payment need not be made for work which fails to meet the standards of performance set forth in the Recitals which may reasonably be expected by City. c. Contractor shall be paid pursuant to the terms of Exhibit "B." 4. Term Time is of the essence of this Agreement. The services of Contractor are to commence ____ , or as soon as practicable after the execution of this Agreement by City (the "Commencement Date") and terminate ____ , unless terminated earlier in accordance with the provisions of this Agreement. Contract may be extended for 2 additional one-year periods if mutually agreed to in writing by both parties. The time for performance of the tasks identified in Exhibit "A" are generally to be shown in Exhibit "A." This schedule and Term may be amended to benefit the Project if mutually agreed to in writing by City and Contractor. In the event the Commencement Date precedes the Effective Date, Contractor shall be bound by all terms and conditions as provided herein. 5. Extra Work In the event City requires additional services not included in Exhibit "A" or changes in the scope of services described in Exhibit "A," Contractor will undertake such work only after receiving written authorization from City. Additional compensation for such extra work shall be allowed only if the prior written approval of City is obtained. 6. Disposition of Plans, Estimates and Other Documents Contractor agrees that title to all materials prepared hereunder, including, without limitation, all original drawings, designs, reports, both field and office notices, calculations, computer code, language, date or programs, maps, memoranda, letters and other documents, shall belong to City, and Contractor shall tum these materials over to City upon expiration or termination of this Agreement or upon Project completion, whichever shall occur first. These materials may be used by City as it sees fit. 17-6145/170197 /11/28/17 /DO 2 90 7. Hold Harmless Contractor hereby agrees to protect, defend, indemnify and hold harmless City, its officers, elected or appointed officials, employees, agents, and volunteers from and against any and all claims, damages, losses, expenses, judgments, demands and defense costs, and consequential damage or liability of any kind or nature, however caused, including those resulting from death or injury to Contractor's employees and damage to Contractor's property, arising directly or indirectly out of the obligations or operations herein undertaken by Contractor, caused in whole or in part by any negligent act or omission of the Contractor, any subcontractors, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, including but not limited to concurrent active or passive negligence, except where caused by the active negligence, sole negligence, or willful misconduct of the City. Contractor will conduct all defense at its sole cost and expense and City shall approve selection of Contractor's counsel. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Contractor. 8. Workers Compensation Insurance Pursuant to California Labor Code Section 1861, Contractor acknowledges awareness of Section 3700 et seq. of this Code, which requires every employer to be insured against liability for workers' compensation; Contractor covenants that it will comply with such provisions prior to commencing performance of the work hereunder. Contractor shall obtain and furnish to City workers' compensation and employer's liability insurance in an amount of not less than the State statutory limits. Contractor shall require all subcontractors to provide such workers' compensation and employer's liability insurance for all of the subcontractors' employees. Contractor shall furnish to City a certificate of waiver of subrogation under the terms of the workers' compensation and employer's liability insurance and Contractor shall similarly require all subcontractors to waive subrogation. 9. General Liability Insurance In addition to the workers' compensation and employer's liability insurance and Contractor's covenant to defend, hold harmless and indemnify City, Contractor shall obtain and furnish to City, a policy of general public liability insurance, including motor vehicle coverage covering the Project/Service. This policy shall indemnify Contractor, its officers, employees and agents while acting within the scope of their duties, against any and all claims arising out of or in connection with the Project/Service, and shall provide coverage in not less than the following amount: combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of One Million Dollars ($1,000,000) per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, 17-6145/170197/l l/28/l 7/DO 3 91 the aggregate limit must be no less than One Million Dollars ($1,000,000) per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than One Million Dollars ($1,000,000) for this Project/Service. This policy shall name City, its officers, elected or appointed officials, employees, agents, and volunteers as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the Project/Service shall be deemed excess coverage and that Contractor's insurance shall be primary. Under no circumstances shall said above-mentioned insurance contain a self insured retention, or a "deductible" or any other similar form of limitation on the required coverage. 10. Automobile Liability Insurance Contractor shall obtain and furnish to City an automotive liability insurance policy covering the work performed by it hereunder. This policy shall provide coverage for Contractor's automotive liability in an amount not less than One Million Dollars ($1,000,000.00) per occurrence 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. The above-mentioned insurance shall not contain a self-insured retention, "deductible" or any similar form of limitation on the required coverage except with the express written consent of City. 11. Certificate of Insurance Prior to commencing performance of the work hereunder, Contractor shall furnish to City a certificate of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverage as required by this Agreement; the certificate shall: a. provide the name and policy number of each carrier and policy; b. state that the policy is currently in force; and c. promise that such policy shall not be suspended, voided or canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice; however, ten (10) days' prior written notice in the event of cancellation for nonpayment of premium. Contractor shall maintain the foregoing insurance coverage in force until the work under this Agreement is fully completed and accepted by City. This requirement for carrying the foregoing insurance coverage shall not derogate from Contractor's defense, hold harmless and indemnification obligations as set forth in this Agreement. City or its representative shall at all times have the right to demand the original or a copy of the policy of insurance. Contractor shall pay, in a prompt and timely manner, the premiums on the insurance hereinabove required. 17-6145/170197/l 1/28/17/DO 4 92 12. Independent Contractor Contractor is, and shall be, acting at all times in the performance of this Agreement as an independent contractor herein and not as an employee of City. Contractor shall secure at its own cost and expense, and be responsible for any and all payment of all taxes, social security, state disability insurance compensation, unemployment compensation and other payroll deductions for Contractor and its officers, agents and employees and all business licenses, if any, in connection with the Project and/or the services to be performed hereunder. 13. Conflict of Interest Contractor covenants that it presently has no interests and shall not have interests, direct or indirect, which would conflict in any manner with performance of services specified under this Agreement. 14. Termination This Agreement may be terminated by the City upon thirty (30) days written notice of termination. In such event, Contractor shall be entitled to receive and the City shall pay Contractor compensation for all services performed by Contractor prior to receipt of such notice of termination, subject to the following conditions: a. As a condition of such payment, the Director may require Contractor to deliver to the City all work product completed as of such date, and in such case such work product shall be the property of the City unless prohibited by law, and Contractor consents the City's use thereof for such purposes as the City deems appropriate. b. Payment need not be made for work which fails to meet the standard of performance specified in the Recitals of this Agreement. 15. Exclusivity and Amendment This Agreement represents the complete and exclusive statement between the City and Contractor, and supersedes any and all other agreements, oral or written, between the parties. In the event of a conflict between the terms of this Agreement and any attachments hereto, the terms of this Agreement shall prevail. This Agreement may not be modified except by written instrument signed by the City and by an authorized representative of Contractor. The parties agree that any terms or conditions of any purchase order or other instrument that are inconsistent with, or in addition to, the terms and conditions hereof, shall not bind or obligate Contractor or the City. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein. 17-6145/170197/l 1/28/17/DO 5 93 16. Assignment Inasmuch as to this Agreement is intended to secure the specialized services of Contractor, Contractor may not assign, transfer, delegate, or subcontract any interest herein without the prior written consent of the City and any such assignment, transfer, delegation or subcontract without the City's prior written consent shall be considered null and void. Nothing in this Agreement shall be construed to limit the City's ability to have any of the services which are the subject to this Agreement performed by City personnel or by other Contractors retained by City. 17. City Employees and Officials Contractor shall employ no City official nor any regular City employee in the work performed pursuant to this Agreement. No officer or employee of City shall have any financial interest in this Agreement in violation of the applicable provisions of the California Government Code. 18. Notices Any notices, certificates, or other communications hereunder shall be given either by personal delivery to Contractor's agent ( as designated in Section 1 hereinabove) or to City as the situation shall warrant, or by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, to the addresses below. City and Contractor may designate different addresses to which subsequent notices, certificates or other communications will be sent by notifying the other party via personal delivery, a reputable overnight carrier or U.S. certified U.S. certified mail-return receipt requested: To City: City of Huntington Beach Attn: ------ 2000 Main Street Huntington Beach, CA 92648 19. Consent Contractor: Attn: -------- When City's consent/approval is required under this Agreement, its consent/approval for one transaction or event shall not be deemed to be a consent/approval to any subsequent occurrence of the same or any other transactions or event. 20. Modification No waiver or modification of any language in this Agreement shall be valid unless in writing and duly executed by both parties. 17-6145/l 70197/11/28/17/DO 6 94 21. Section Headings The titles, captions, section, paragraph and subject headings, and descriptive phrases at the beginning of the various sections in this Agreement are merely descriptive and are included solely for convenience of reference only and are not representative of matters included or excluded from such provisions, and do not interpret, define, limit or describe, or construe the intent of the parties or affect the construction or interpretation of any provision of this Agreement. 22. Interpretation of this Agreement The language of all parts of this Agreement shall in all cases be construed as a whole, according to its fair meaning, and not strictly for or against any of the parties. If any provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent upon any other unless so expressly provided here. As used in this Agreement, the masculine or neuter gender and singular or plural number shall be deemed to include the other whenever the context so indicates or requires. Nothing contained herein shall be construed so as to require the commission of any act contrary to law, and wherever there is any conflict between any provision contained herein and any present or future statute, law, ordinance or regulation contrary to which the parties have no right to contract, then the latter shall prevail, and the provision of this Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to bring it within the requirements of the law. 23. Duplicate Original The original of this Agreement and one or more copies hereto have been prepared and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the date of its execution and delivery, be deemed an original. Each duplicate original shall be deemed an original instrument as against any party who has signed it. 24. Immigration Contractor shall be responsible for full compliance with the immigration and naturalization laws of the United States and shall, in particular, comply with the provisions of the United States Code regarding employment verification. 25. Legal Services Subcontracting Prohibited Contractor and City agree that City is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. Contractor understands that pursuant to Huntington Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for City; 17-6145/170197/11/28/17/DO 7 95 and City shall not be liable for payment of any legal services expenses incurred by Contractor. 26. Confidentiality Contractor recognizes that in the performance of its duties under this Agreement, it must conduct its activities in a manner designed to protect information of a sensitive nature from improper use or disclosure. Contractor warrants that it will use reasonable efforts consistent with practices customary in the facilities management industry in recruiting, training and supervising employees and in otherwise performing its duties hereunder in order to achieve this result. In the furtherance of this, Contractor agrees, at the request of the City, to require its employees to execute written undertakings to comply with the foregoing confidentiality provision. 27. Discrimination Contractor shall not discriminate because ofrace, color, creed, religion, sex, marital status, sexual orientation, age, national origin, ancestry, or disability, as defined and prohibited by applicable law, in the recruitment, selection, training, utilization, promotion, termination or other employment related activities. Contractor affirms that it is an equal opportunity employer and shall comply with all applicable federal, state and local laws and regulations. 28. Jurisdiction -Venue This Agreement and all questions relating to its validity, interpretation, performance, and enforcement shall be government and construed in accordance with the laws of the State of California. This Agreement has been executed and delivered in the State of California and the validity, interpretation, performance, and enforcement of any of the clauses of this Agreement shall be determined and governed by the laws of the State of California. Both parties further agree that Orange County, California, shall be the venue for any action or proceeding that may be brought or arise out of, in connection with or by reason of this Agreement. 29. Professional Licenses Contractor shall, through the term of this Agreement, maintain all necessary licenses, permits, approvals, waivers, and exemptions necessary for the provision of the services hereunder and required by the laws and regulations of the United States, the State of California, the City of Huntington Beach and all other governmental agencies. Contractor shall notify the City immediately and in writing of her inability to obtain or maintain such permits, licenses, approvals, waivers, and exemptions. Said inability shall be cause for termination of this Agreement. 17-6145/170197/11/28/17/DO 8 96 30. Attorney's Fees In the event suit is brought by either party to construe, interpret and/or enforce the terms and/or provisions of this Agreement or to secure the performance hereof, each party shall bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its attorney's fees from the non-prevailing party. 31. Survival Terms and conditions of this Agreement, which by their sense and context survive the expiration or termination of this Agreement, shall so survive. 32. Governing Law This Agreement shall be governed and construed in accordance with the laws of the State of California. 33. Signatories Each undersigned represents and warrants that its signature hereinbelow has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify City fully for any injuries or damages to City in the event that such authority or power is not, in fact, held by the signatory or is withdrawn. 34. Entirety (a) The parties acknowledge and agree that they are entering into this Agreement freely and voluntarily following extensive arm's length negotiation, and that each has had the opportunity to consult with legal counsel prior to executing this Agreement. The parties also acknowledge and agree that no representations, inducements, promises, agreements or warranties, oral or otherwise, have been made by that party or anyone acting on that party's behalf, which are not embodied in this Agreement, and that that party has not executed this Agreement in reliance on any representation, inducement, promise, agreement warranty, fact or circumstance not expressly set forth in this Agreement. (b) All Exhibits referenced herein and attached hereto shall be incorporated as if fully set forth in the body of this Agreement. 17-6145/170197/11/28/17/DO 9 97 35. Effective Date IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers. This Agreement shall be effective on the date of its approval by the Mayor. This Agreement shall expire when terminated as provided herein. CONTRACTOR ---------' a California limited liability corporation By: ____________ _ Print name ITS: ( circle one) Chairman/President/ Vice President AND By: ____________ _ Print name ITS: (circle one) Secretary/Chief Financial Officer/ Asst. Secretary-Treasurer 17-6145/170197/11/28/17 /DO 10 CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California Mayor City Clerk INITIATED AND APPROVED: Director of ------ APPROVED AS TO FORM: City Attorney REVIEWED AND APPROVED: City Manager 98 APPENDIXC 99 CITY OF HUNTINGTON BEACH INSURANCE REQUIREMENTS - I ,,. -7 L ,. -Minimum Insurance Requirements l Vendor Type Additional ~ Automobile Professional Property Insured rn Liability General Liability Liability Insurance Workers' Comp Endorsements Huntington Beach City Council Resolution No. 2008-63 requires submittal of certificates of insurance evidencing the following minimum limits with a California admitted carrier with a cu"ent A.M. Best's Rating of no less than A : VIL See Exhibits Al -4 for sample forms. Email: Justin.Wessels@surfcity-hb.org or Heather.Campbell@surfcity-hb.org Phone: 714-374-5378 or 714-536-5210. Fax: 714-536-5212. Any deductible other than those allowed in this matrix, self-insured retentions or similar forms of coverage limitations or modifications must be approved by the Risk Manager and City Attorney of the City of Huntington Beach. NOTE: Waivers and I or modifications are discouraged and will be considered only under extraordinary circumstances. Contractors: Any persons or entities who Minimum of Combined single limit As required by Include the contract with the City and/or provide services to $1,000,000 per bodily injury and the State of policy number the City which are readily available and occurrence for property damage. California, with and Additional efficiently procured by competitive bidding. bodily injury, Minimum of Statutory Limits Insured personal injury $1,000,000 per and Employer's Endorsement Permittees: Any persons or entities who make and property occurrence. Allows Liability Requirement damages. Allows up to $5 ,000 Insurance with statement application to the City for any use of or up to $1,000 deductible . a limit ofno below. (See Note encroachment upon any public street, waterway, deductible.(See (Additional Insured less than 3 below.) pier, or City property. Note I below.) Endorsement is always $1,000 ,000 per Vendors: Any persons or entities who transfers required with General accident for property or goods to the City which may or may Liability Ins.) bodily injury or not involve delivery and/or installation. disease . (See N ote 2 below.) Note 1 -Automobile Liability: The City of Huntington Beach, its officers, elected or appointed officials, employees, agents and volunteers must be named as certificate holder and as additional insured by separate attached endorsement. Perm ittees who do not use vehicles or equipment in connect ion with the perm it shall not be required to provide auto insurance. To be exempt from this requirement, permittees must execute a declaration such as Exhibit 1 attached. Note 2 -Workers' Compensation Exemption: If entity has no employees, a signed Declaration of Non-Employee Status form is required . Note 3 -Additional Insured Endorsement Requirements: The City, its officers, e lected or appointed officials, employees, agents, and volunteers are to be covered as add itional 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 , leased or borrowed by the contractor. The coverage shall contain no special limitations on the scope of protection afforded to the City. HB Insurance Matrix_revised 4-7-16 (2).xlsx 1 of4 100 CITY OF HUNTINGTON BEACH INSURANCE REQUIREMENTS Minimum Insurance Requirements Additional Vendor Type Automobile Liability Professional Liability Property Insured General Liability Insurance Workers' Comp Endorsements Huntington Beach City Council Resolution No. 2008-63 requires submittal of certificates of insurance evidencing.the following minimum limits with a California admitted carrier with a cu"ent A.M. Best's Rating of no less than A: VIL See Exhibits Al -4 for sample forms. Email: Justin.Wessels@furfcity-hb.org or Heather.Campbell@surfcity-hb.org Phone: 714-374-5378 or 714-536-5210. Fax: 714-536-5212. Any deductible other than those allowed in this matrix, self-insured retentions or similar forms of coverage limitations or modifications must be approved by the Risk Manager and City Attorney of the City of Huntington Beach. NOTE: Waivers and I or modifications are discouraged and will be considered only under extraordinary circumstances. Design Professionals: Professional service contractors who contract with the City and/or provide architectural and/or engineering services to the City. Professional Services: Services that involve the exercise of professional discretion and independent judgment based 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 HB Muni Code 3.02. Services includes but are not limited to those services provided by appraisers, architects, attorneys, engineers, instructors, insurance advisors, physicians and other specialized consultants . Claims made policies are acceptable if the policy further provides that: Minimum of $1,000,000 per occurrence and in the aggregate. Allows up to $10,000 deductible . l) The policy retroactive date coincides with or precedes the professional services contractor's start of work (including subsequent policies purchased as renewals or replacements). 2) The professional services contractor will make every effort to maintain similar insurance during the required extended period of coverage following project completion, including the requirement of adding all additional insureds. 3) If insurance is terminated for any reason, professional services contractor agrees to purchase an extended reporting provision of at least two (2) years to report claims arising from work performed in connection with this agreement or permit. 4) The reporting of circumstances or incidents that might give rise to future claims. HB Insurance Matrix _revised 4-7-16 (2).xlsx 2 of4 101 CITY OF HUNTINGTON BEACH INSURANCE REQUIREMENTS -11 ~ 'l! " L. --Minimum Insurance Requirements .. Vendor Type Additional Automobile Professional Property Insured Liability General Liability Liability Insurance Workers' Comp Endorsements Huntington Beach City Council Resolution No. 2008-63 requires submittal of certificates of insurance evidencing the following minimum limits with a California admitted carrier with a cu"ent A.M. Best's Rating of no less than A: VII. See Exhibits Al -4 for sample forms. Email: Justin. Wessels@surfcity-hb.org or Heather.Campbell@surfcity-hb.org Phone: 714-374-5378 or 714-536-5210. Fax: 714-536-5212. Any deductible other than those allowed in this matrix, self-insured retentions or similar forms of coverage limitations or modifications must be approved by the Risk Manager and City Attorney of the City of Huntington Beach. NOTE: Waivers and I or modifications are discouraged and will be considered only under extraordinary circumstances. Licensees/Lessees: Any persons or entities Combined single limit Full As required by Include the who contract with the City for the use of public bodily injury and replacement the State of policy number property. property damage. cost with no California, with and Additional Minimum of coinsurance Statutory Limits Insured $1,000,000 per penalty and Employer's Endorsement occurrence. Allows provision. Liability Requirement up to $5,000 Insurance with statement deductible . a limit ofno below .(See Note (Additional Insurance less than 2.) Endorsement is always $1,000 ,000 per required with General accident for Liability Ins.) bodily injury or disease. (See Note 1 below.) Note 1 -Workers' Compensation Exemption : If entity has no employees, a signed Declaration ofNon-Employee Status form is required. Note 2 -Additional Insured Endorsement Requirements : The City, its officers, elected or appointed officials, employees, agents , and volunteers are to be covered as add itional 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, prem ises owned, occupied or used by the contractor, or automobiles owned, leased or borrowed by the contractor. The coverage shall contain no special limitations on the scope of protection afforded to the City. HB Insurance Matrix_revised 4-7-16 (2).xlsx 3 of4 102 CITY OF HUNTINGTON BEACH INSURANCE REQUIREMENTS Hunti11gto11 Beach City Council Resolution No. 2008-63 requires submittal of certificates of insurance evidencing the l,followi11g minitmmi limits with a California admitted carrier with a current A.M. Best's Rating of 110 less than A: VII. Any deductible other than those allowed i11 this matrix, self-insured retentions or similar forms of coverage limitations or modifications must be approved by the Risk Manager and City Attomey of the City of Huntington Beach. NOTE: Waivers and I or modifications are discouraged and will be considered only under extraordinary circumstances. Vendor Type Design Professionals: Professional service contractors who contract with the City and/or provide architectural and/or engineering services to the City. Professional Services: Services that involve the exercise of professional discretion and independent judgment based 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 HB Muni Code 3.02. Services includes but is not limited to those services provided by appraisers, architects, attorneys, engineers, instructors, insurance advisors, physicians and other specialized consultants. Minimum Insurance Requirements Professional Liability Minimum of$1,000,000 per occurrence and in the aggregate. Allows up to $10,000 deductible. Claims made policies are acceptable if the policy further provides that: I) The policy retroactive date coincides with or precedes the professional services contractor's start of work (including subsequent policies purchased as renewals or replacements). 2) The professional services contractor will make every effort to maintain similar insurance during the required extended period of coverage following project completion, including the requirement of adding all additional insureds. 3) If insurance is terminated for any reason, professional services contractor agrees to purchase an extended reporting provision of at least two (2) years to report claims arising from work performed in connection with this agreement or permit. 4) The reporting of circumstances or incidents that might give rise to future claims. HB Insurance Matrix _revised 4-7-16 (2).xl sx 4 of4 103 AMENDMENT NO. 1 TO THE PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND GALLATIN INVESTIGATIONS, LLC FOR BACKGROUND INVESTIGATION SERVICES THIS AMENDMENT is made and entered into by and between the CITY OF HUNTINGTON BEACH, a California municipal corporation, hereinafter referred to as "CITY," and GALLATIN INVESTIGATIONS, LLC, hereinafter referred to as "CONSUL TANT." WHEREAS, CITY and CONSUL TANT are paiiies to that certain agreement, dated July 1, 2024, entitled "Professional Services Contract Between the City of Huntington Beach and Gallatin Investigation, LLC for Background Investigative Services" which agreement shall hereinafter be referred to as the "Original Agreement"; and CITY and CONSULT ANT wish to amend the Original Agreement to change the company owner name to LM Investigations, LLC. NOW, THEREFORE, it is agreed by CITY and CONSULTANT as follows: 1. NAME CHANGE Owner name of Gallatin Investigations, LLC is changed to: LM Investigations, LLC ATTN: Lisa Matteroli 9671 Woodlawn Drive Huntington Beach, CA 92646 (714) 330-2798 2. REAFFIRMATION Except as specifically modified herein, all other terms and conditions for the Original Agreement shall remain in full force and effect. 24-15443/358012 104 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers on (J(;,,"'7/J %'=' , dt{flu , 2024. V CONSULT ANT, GALLATIN INVESTIGATIONS, LLC By: _____________ _ print name ITS : (c ircle one) Chairman /PresidentNice Pre sident AND By: ____________ _ print name ITS: (circle one) Secret ary/Chief Financial Officer/ Asst. Secretary -Treasurer COUNTERPART 24 -15443 /358012 CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California v ~Gk Director/Chief ___________ ___.: (Pursuant To HBMC §3 . 03 . l 00) APPROVED AS TO FORM: RECEIVE AND FILE: City Clerk Date 2 105 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers 011 Omh?te.J .J l/1l --, 2024. CONSULTANT, GALLATIN INVESTIGATIONS, LLC By:~ j_ /3",t-#A1-r&" ,e.oL--1 print name ITS: (circle one) Chairman/President/Vice President AND By: __________ _ CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California Director/Chief ------------( P II rs u ant To HBMC §3.03.100) APPROVED AS TO FORM: City Attorney print name ITS: (circle one) Secretary/Chief Financial Officer/Asst. Date Secretary-Treasurer -------------- RECEIVE AND FILE: COUNTERPART City Clerk Date -------------- 24-15443/358012 2 106 ~ GALLA-1 nP ,n-MN ACORD" CERTIFICATE OF LIABILITY INSURANCE I DATE (MM/DD/YYYY) ~ 10/16/2024 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder i s an ADDITIONAL INSURED, the pollcy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s), PRODUCER 760-471-7116 ~Rfil~cT Michelle A . Nowell Alliance Mgt. & Insurance Serv wg_NJo Extl: 760-471-7116 I rffc Nol,760-471-9378 355 Via Vera Cruz #7 CA A~ent/Broker Lie# 0737966 ~;,M..,AJ~~~-mnowell@amiscorp.com San arcos, CA 92078 Michelle A. Nowell INSURER(Sl AFFORDING COVERAGE NAIC# INSURER A : StarStone Soecialtv Ins Como 44776 l~~RED INS URER B : L nvestigations LLC Lisa Matteroli INSURER C : 9671 Woodlawn Drive Huntington Beach, CA 92646 INSURER D : INSURER E: INSURER F: COVERAGES CERTIFICATE NUMBER· REVISION NUMBER· THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIE S DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES . LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. l~ff TYPE OF INSURANCE ~.,%~Jlf POLICY NUMBER POLl(,Y EFF POLICY EXP LIMITS X X COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE s 1,000,000 ~ □ CLAIMS-MADE [Kl OCCUR DAMAGE TO RENTED 100,000 A WSGP000714 04/01/2024 04/01/2025 _EREMJSES..(E.a.ru;_clJ r!enCJ1) s X Errors & Omission MED EXP I Anv one nerson) s 5,000 ~ 1,000,000 PERSONAL & ADV INJURY s ,_ GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE s 5,000,000 =i POLICY □ m?r DLoc PRODUCTS • COMP/OP AGG s 1,000,000 OTHER: s A ~TOMOB ILE LIABILITY f (E~~~~~~~1~1NGLE LIMIT s 1,000,000 ANY AUTO IWSGP000714 04/01/2024 04/01/2025 BOOIL Y INJU RY IPe r nersonl $ -OWNED -SC HEDULED AUTOS ONLY AUTOS BODILY INJURY (Per accident) s -~ X HIRED X NON-OWNED Ft.9~2:di;;-:;l~AMAGE s AU TO S ONLY ~ AUTOS ONLY s UMBRELLA LIAB HOCCUR EACH OCCURRENCE s - EXCESS LIAS j CLAIMS-MADE AGGREGATE s OED l I RETENTION$ s WORKERS COMPENSATION - J PER J_I OTH - AND EMPLOYERS' LIABILITY _SMTUJ:E. _EB Y/N ANY PROPRIETOR/PARTNER/EXECUTIVE □ N/A E.L. EACH ACCIDENT s i/X FICER/Mf\M~~ EXCLUDED? andatory n ) E.L. DI SEASE -EA EMPLOYEE $ If yes, describe und er DESCRIPTION OF OPERATIONS below E.L. DISEASE -POLICY LIMIT S DESCRIPTION OF OPERATIONS/ LOCATIONS /VEHICLES (ACOR D 101, AddlUonal Remarks Sch ed ule, may be attached If more space Is required) City of Huntington Beach, its directors , officers, employees, and agentsd APPROVED AS TO FORM(JJA, are named as an additional insured with respects to the work performe by the named insured. Bt: Investigation, CA --MICHAELE. GATES CITY ATTORNEY CITY OF HUNTINGTON BEACH CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Huntington Beach ACCORDANCE WITH THE POLICY PROVISIONS . 2000 Main Street Huntington Beach, CA 92647 AUTHORIZED REPRESENTATIVE ~ 0-~ I ACORD 25 (2016/03) © 1988-2015 ACORD CORPORATION . All rights reserved . The ACORD name and logo are registered marks of ACORD 107 AMENDMENT NO. 2 TO AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND LM INVESTIGATIONS, LLC FOR BACKGROUND INVESTIGATIVE SERVICES THIS AMENDMENT is made and entered into by and between the CITY OF HUNTINGTON BEACH, a California municipal corporation, hereinafter referred to as "City," and LM INVESTIGATIONS, LLC, hereinafter referred to as "Consultant." WHEREAS, City and Consultant are parties to that certain agreement, dated July I, 2024, entitled "Professional Services Contract Between the City of Huntington Beach and Gallatin Investigations, LLC" which agreement shall hereinafter be referred to as the "Original Agreement"; and City and Consultant are parties to Amendment No. I entitled "Amendment No. I to Professional Services Contract Between the City of Huntington Beach and Gallatin Investigations, LLC dated October 24, 2024 wherein the name was amended to LM Investigations, LLC. City and Consultant wish to amend the Original Agreement to increase the amount of compensation to be paid to Consultant, NOW, THEREFORE, it is agreed by City and Consultant as follows: I. ADDITIONAL COMPENSATION In consideration of the services to be performed under the Original Agreement, City agrees to pay Consultant at the rates specified in Exhibit B which is attached hereto and incorporated by reference into this Agreement. City further agrees to pay Consultant an additional stun not to exceed Seventy Thousand Dollars ($70,000.00). The additional sum shall be added to the original sum of Eighty Thousand Dollars 26-17847/408853 108 ($80,000.00), for a new contrnct nmount not lo exceed One 1-Iundrcd Filly Thousand Dollars ($150,000.00). 2. REAFFIRMATION Except as spccilically modified herein, all other terms nnd conditions for the Original Agreement shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have cuused this Agreement to be executed by and through their authorized officers on , 2026. -------- LM INVESTIGATIONS, LLC print name ITS: (circle one) Chainnan/Prcsident/Vice President AND CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California Mayor City Clerk By: ____________ _ prinl name ITS: (circle one) Secrcta1y/Chicf Financial Officer/Asst. Secretary• Treasurer ~7~: Police Chief REVIEWED AND APPROVED: City Manager APPROVED AS TO FORM: ~ City Attorney 26-17847/408853 2 109 ______, LMINV-1 op . ACORD. CERTIFICATE OF LIABILITY INSURANCE I DATE (MM/DD/YYYY) '----" 03/23/2026 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER 760 -471-7116 ~s.>~i~cT Michelle A. Nowell Alliance Mg!. & Insurance Serv PHONE 760 -471-7116 I jFAX 760-471-9378 355 Via Vera Cruz #7 !AJC, No, Extl: AJC, Nol: CA A~enl/Broker Lie# 0737966 l~n'llb ..... mnowe11@am1scorp.com San arcos, CA 92078 Michelle A. Nowell INSURER/SI AFFORDING COVERAGE NAJC# INSURER A: StarStone Specialtv Ins Comp 44776 lij~RED INSURER B : L nvesligalions LLC Lisa Matteroli INSURER C: 9671 Woodlawn Drive Huntington Beach, CA 92646 INSURER D: INSURER E: INSURER F: COVERAGES CERTIFICATE NUMBER· REVISION NUMBER· THIS IS TO CERTIFY THAT THE POLICIES OF INS URANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE PO LICY PERIOD INDICATED. NOTWITH STANDING ANY R EQUIREM ENT, T ERM OR CONDITI ON OF ANY CONTRACT OR OTHER DOC UMENT WITH RESPECT TO WHICH THIS CERTI FICAT E MAY BE ISSUED OR MAY PERTAIN, THE IN SURANCE AFFORDED BY TH E POLICIES DESC RIBED HER EIN IS SUBJ ECT TO ALL TH E TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS . TYPE OF INSURANCE X X COMMERCIAL GENERAL LIABILITY -□ CLAJMS •l,IADE CR] OCCUR X Errors & Omission -------------------------- GEN\. AGGREGATE LIMIT APPLIES PER: Fl POLIC Y □ ~IB □ LOC OTHER: A AUTOMOBILE LIABILITY ANY AUTO -OWNED _ AUTOSONLY ~ ~L\'H's ONLY -UMBRELLA LIAB H OCCUR EXCESS LIAB CLAJMS-1,IADE OED I I RETENTION s WORKERS COMPENSATION AND EMPLOYERS' LIABILITY A Y/N ANY PR0PRIETOR/PARTNERIEXECUTNE □ 0FFICER/1.\EMBER EXCLUDED? N I A (Mandatory In NH) POLICY NUMBER /NSGP000714 WSGP000714 .. ~!)LICY EFF POLICY EXP LIMITS EACH OCCURRENCE s 04/01/2026 04/01/2027 Q~-1AG_~r9.,~E_/-!!.E.IJ.. __ , s I.IED EXP I Arw one nersonl s PERSONAL & ADV INJURY s GENERAL AGGREGATE s PRODUCTS • COMP/OP AGG s s f.,~~1~~~1f 1NGLE LIM IT s 04/01/2026 04/01/2027 BODILY INJURY /Per oetson\ s BODILY INJURY !Per accidenll S s EACH OCCURRENCE s AGGREG ATE s E.L. EACH ACCIDENT s E.L. DISEASE -EA EMPLOYEE S E.L. DI SEASE· POLICY LI MIT S DESCRIPTION OF OPERATIONS / LOCATIONS/ VEHICLES (ACORD 101, Additional Remarks Schedu le, may be attached ii more space Is required) I~ City of Huntington Beach, its directors, officers, employees, and agents, r:o AS TO FOR are named as an additional insured with respects to the work performea by APPROV.: the named insured. Investigation, CA --By : -OT T/. M ICH M ::!-J , V I G LI ' ~ C ITY .6.TT O R!~l::Y . , .. ,..,, "l' 1-11a{YING "fON Bl::AC H CERTIFICATE HOLDER CANCELLATION 1 ,000,000 100,000 5,000 1,000,000 5,000,000 1,000,000 1,000,000 City of Huntington Beach 2000 Main Street SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. Huntington Beach, CA 92647 AUTHORIZED REPRESENTATIVE ~o. ACORD 25 (2016/03) © 1988-2015 ACORD CORPORATION. All rights reserved . The ACORD name and logo are registered marks of ACORD City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-516 MEETING DATE:7/7/2026 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Travis Hopkins, City Manager VIA:Chau Vu, Director of Public Works PREPARED BY:Chris Davis, Senior Management Analyst Subject: Approve and Authorize Execution of a Professional Services Agreement with Sierra Analytic Laboratories, Inc. for Water Quality Analysis and Sampling Statement of Issue: Staff is requesting approval of a Professional Services Agreement with Sierra Analytic Laboratories, Inc., for water quality analysis and sampling services. Financial Impact: Funds in the amount of $100,000 are included in the Fiscal Year 2026/27 approved budget in Business Unit 50685802.69365. Funding for the remaining two (2) years of the agreement will be included in future budget requests. Recommended Action: Approve and authorize the Mayor and City Clerk to execute “Service Agreement Between the City of Huntington Beach and Sierra Analytic Laboratories, Inc. for Water Quality Analysis and Sampling”, in an amount not to exceed $300,000 for a three-year term. Alternative Action(s): Do not approve the agreement and provide staff with direction. If the agreement is not approved, the City would need to issue a new Request for Proposals to secure water quality testing and analysis services. Analysis: On March 19, 2026, the City issued a Request for Proposals on Planetbids.com for on -call Water Quality Analysis and Sampling services. Four (4) proposals were received. Two (2) respondents were disqualified because their laboratories were located outside the required geographic area. Proximity is necessary because sample integrity can degrade over time, even with refrigeration, and because some test results are needed on an expedited basis. A panel of three (3) reviewers City of Huntington Beach Printed on 7/1/2026Page 1 of 2 110 File #:26-516 MEETING DATE:7/7/2026 ‑ DDW), the City must ensure that all potable water meets or exceeds applicable state and federal standards. A State-certified laboratory performs bacteriological analysis of water samples collected throughout the City’s production and distribution system. The laboratory also conducts specialized sampling and analysis to support permit requirements, including those associated with pipeline construction and other field activities. These services are essential to maintaining regulatory compliance and protecting public health. Environmental Status: Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project. Strategic Plan Goal: Non Applicable - Administrative Item For details, visit www.huntingtonbeachca.gov/strategicplan. Attachment(s): 1. RCA Contract Agreement Summary 2. Professional Services Agreement 3. PowerPoint Presentation City of Huntington Beach Printed on 7/1/2026Page 2 of 2 111 RCA Contract Agreement Summary CITY OF HUNTINGTON BEACH VENDOR NAME + TYPE OF SERVICE CONTRACT INFORMATION GENERAL INFORMATION TYPE OF AGREEMENT (Professional Services, Service Agreement) PROCUREMENT SCOPE OF WORK TOTAL COMPENSATION TERM OF CONTRACT/AGREEMENT OTHER: Bonds, Special Contract Terms, Emergency DATE PRESENTED REQUESTING DEPARTMENT STAFF CONTACT(S)INSURANCE STATUS July 7, 2026 Approved and Attached Public Works Kristen Schroeder, John Poehler $300,000 3 years Sierra Analytic Laboratories Water Quality Analysis and Sampling Professional Services Agreement Request for Proposals via planetbids.com On-call water quality analysis and sampling 112 LO CITY OF rD HUNTINGTON BEACH 113 SERVICE AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND SIERRA ANALYTIC LABORATORIES, INC. FOR WATER QUALITY ANALYSIS AND SAMPLING THIS AGREEMENT ("Agreement") is made and entered into by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter called "City," and Sierra Analytic Laboratories, Inc., hereinafter referred to as "Contractor." Recitals A. The City desires to retain a Contractor having special skill and knowledge in the field of water quality analysis and sampling. B. Contractor represents that Contractor is able and willing to provide such services to the City. C. In undertaking the performance of this Agreement, Contractor represents that it is knowledgeable in its field and that any services performed by Contractor under this Agreement will be performed in compliance with such standards as may reasonably be expected from a comparable company or firm in the field. Contractor has been selected to perform these services pursuant to Huntington Beach Municipal Code Chapter 3.02. NOW, THEREFORE, it is agreed by City and Contractor as follows: 1. Scope of Services Contractor shall provide all services as described in Exhibit "A," which is attached hereto and incorporated into this Agreement by this reference. These services shall sometimes hereinafter be referred to as the "Project." Contractor hereby designates Chris Forsyth, who shall represent it and be its sole contact and agent in all consultations with City during the performance of this Agreement. 2. City Staff Assistance City shall assign a staff coordinator to work directly with Contractor in the performance of this Agreement. 26-18102/413548 1 114 3. Compensation a. City agrees to pay, and Contractor agrees to accept as total payment for its services, the rates and charges identified in Exhibit "B." The total sum to be expended under this Agreement, shall not exceed Three Hundred Thousand Dollars ($300,000.00) during the term of this Agreement. b. Payment by City shall be made within thi1iy (30) days following receipt of proper invoice evidencing work performed, subject to City accounting procedures. Payment need not be made for work which fails to meet the standards of performance set forth in the Recitals which may reasonably be expected by City. c. Contractor shall be paid pursuant to the terms of Exhibit "B." 4. Term Time is of the essence of this Agreement. The services of Contractor are to commence ____ , or as soon as practicable after the execution of this Agreement by City (the "Commencement Date") and terminate three (3) years from Commencement Date, unless terminated earlier in accordance with the provisions of this Agreement. Contract may be extended for 2 additional one-year periods if mutually agreed to in writing by both patiies. The time for performance of the tasks identified in Exhibit "A" are generally to be shown in Exhibit "A" This schedule and Term may be amended to benefit the Project if mutually agreed to in writing by City and Contractor. In the event the Commencement Date precedes the Effective Date, Contractor shall be bound by all terms and conditions as provided herein. 5. Extra Work In the event City requires additional services not included in Exhibit "A" or changes in the scope of services described in Exhibit "A," Contractor will unde1iake such work only after receiving written authorization from City. Additional compensation for such extra work shall be allowed only if the prior written approval of City is obtained. 6. Disposition of Plans, Estimates and Other Documents Contractor agrees that title to all materials prepared hereunder, including, without limitation, all original drawings, designs, reports, both field and office notices, calculations, computer code, language, date or programs, maps, memoranda, letters and other documents, shall belong to City, and Contractor shall turn these materials over to City upon expiration or termination of this Agreement or upon Project completion, whichever shall occur first. These materials may be used by City as it sees fit. 26-18102/413548 2 115 7. Hold Harmless Contractor hereby agrees to protect, defend, indemnify and hold harmless City, its officers, elected or appointed officials, employees, agents, and volunteers from and against any and all claims, damages, losses, expenses, judgments, demands and defense costs, and consequential damage or liability of any kind or nature, however caused, including those resulting from death or injury to Contractor's employees and damage to Contractor's property, arising directly or indirectly out of the obligations or operations herein undertaken by Contractor, caused in whole or in part by any negligent act or omission of the Contractor, any subcontractors, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, including but not limited to concurrent active or passive negligence, except where caused by the active negligence, sole negligence, or willful misconduct of the City. Contractor will conduct all defense at its sole cost and expense and City shall approve selection of Contractor's counsel. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Contractor. 8. Workers Compensation Insurance Pursuant to California Labor Code Section 1861, Contractor acknowledges awareness of Section 3700 et seq. of this Code, which requires every employer to be insured against liability for workers' compensation; Contractor covenants that it will comply with such provisions prior to commencing performance of the work hereunder. Contractor shall obtain and furnish to City workers' compensation and employer's liability insurance in an amount of not less than the State statutory limits. Contractor shall require all subcontractors to provide such workers' compensation and employer's liability insurance for all of the subcontractors' employees. Contractor shall fumish to City a certificate of waiver of subrogation under the terms of the workers' compensation and employer's liability insurance and Contractor shall similarly require all subcontractors to waive subrogation. 9. General Liability Insurance In addition to the workers' compensation and employer's liability insurance and Contractor's covenant to defend, hold harmless and indemnify City, Contractor shall obtain and furnish to City, a policy of general public liability insurance, including motor vehicle coverage covering the Project/Service. This policy shall indemnify Contractor, its officers, employees and agents while acting within the scope of their duties, against any and all claims arising out of or in connection with the Project/Service, and shall provide coverage in not less than the following amount: combined single limit bodily injury and prope1iy 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, 26-18102/413548 3 116 the aggregate limit must be no less than One Million Dollars ($1,000,000) per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than One Million Dollars ($1,000,000) for this Project/Service. This policy shall name City, its officers, elected or appointed officials, employees, agents, and volunteers as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the Project/Service shall be deemed excess coverage and that Contractor's insurance shall be pnmary. Under no circumstances shall said above-mentioned insurance contain a self insured retention, or a "deductible" or any other similar form of limitation on the required coverage. 10. Automobile Liability Insurance Contractor shall obtain and furnish to City an automotive liability insurance policy covering the work performed by it hereunder. This policy shall provide coverage for Contractor's automotive liability in an amount not less than One Million Dollars ($1,000,000.00) per occurrence 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. The above-mentioned insurance shall not contain a self-insured retention, "deductible" or any similar form of limitation on the required coverage except with the express written consent of City. 11. Certificate of Insurance Prior to commencing performance of the work hereunder, Contractor shall furnish to City a certificate of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverage as required by this Agreement; the ce1iificate shall: a. provide the name and policy number of each carrier and policy; b. state that the policy is currently in force; and c. promise that such policy shall not be suspended, voided or canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice; however, ten (10) days' prior written notice in the event of cancellation for nonpayment of premium. Contractor shall maintain the foregoing insurance coverage in force until the work under this Agreement is fully completed and accepted by City. This requirement for carrying the foregoing insurance coverage shall not derogate from Contractor's defense, hold harmless and indemnification obligations as set forth in this Agreement. City or its representative shall at all times have the right to demand the original or a copy of the policy of insurance. Contractor shall pay, in a prompt and timely manner, the premiums on the insurance hereinabove required. 26-18102/413548 4 117 12. Independent Contractor Contractor is, and shall be, acting at all times in the performance of this Agreement as an independent contractor herein and not as an employee of City. Contractor shall secure at its own cost and expense, and be responsible for any and all payment of all taxes, social security, state disability insurance compensation, unemployment compensation and other payroll dednctions for Contractor and its officers, agents and employees and all bnsiness licenses, if any, in connection with the Project and/or the services to be performed hereunder. 13. Conflict of Interest Contractor covenants that it presently has no interests and shall not have interests, direct or indirect, which would conflict in any manner with performance of services specified under this Agreement. 14. Termination This Agreement may be terminated by the City upon thirty (30) days written notice of termination. In such event, Contractor shall be entitled to receive and the City shall pay Contractor compensation for all services performed by Contractor prior to receipt of such notice oftennination, subject to the following conditions: a. As a condition of such payment, the Director may require Contractor to deliver to the City all work product completed as of such date, and in such case such work product shall be the property of the City unless prohibited by law, and Contractor consents the City's use thereof for such purposes as the City deems appropriate. b. Payment need not be made for work which fails to meet the standard of performance specified in the Recitals of this Agreement. 15. Exclusivity and Amendment This Agreement represents the complete and exclusive statement between the City and Contractor, and supersedes any and all other agreements, oral or written, between the parties. In the event of a conflict between the terms of this Agreement and any attachments hereto, the terms of this Agreement shall prevail. This Agreement may not be modified except by written instrument signed by the City and by an authorized representative of Contractor. The paiiies agree that any terms or conditions of any purchase order or other instrument that are inconsistent with, or in addition to, the terms and conditions hereof, shall not bind or obligate Contractor or the City. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein. 26-18102/413548 5 118 16. Assignment Inasmuch as to this Agreement is intended to secure the specialized services of Contractor, Contractor may not assign, transfer, delegate, or subcontract any interest herein without the prior written consent of the City and any such assignment, transfer, delegation or subcontract without the City's prior written consent shall be considered null and void. Nothing in this Agreement shall be construed to limit the City's ability to have any of the services which are the subject to this Agreement performed by City personnel or by other Contractors retained by City. 17. City Employees and Officials Contractor shall employ no City official nor any regular City employee in the work performed pursuant to this Agreement. No officer or employee of City shall have any financial interest in this Agreement in violation of the applicable provisions of the California Government Code. 18. Notices Any notices, certificates, or other communications hereunder shall be given either by personal delivery to Contractor's agent (as designated in Section 1 hereinabove) or to City as the situation shall warrant, or by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, to the addresses below. City and Contractor may designate different addresses to which subsequent notices, certificates or other communications will be sent by notifying the other party via personal delivery, a reputable overnight carrier or U.S. certified U.S. certified mail-return receipt requested: To City: City of Huntington Beach Attn: Director of Public Works 2000 Main Street Huntington Beach, CA 92648 19. Consent Contractor: Sierra Analytic Laboratories, Inc. Attn: Chris Forsyth 26052 Merit Circle, Suite 104 Laguna Hills, CA 92653 When City's consent/approval is required under this Agreement, its consent/approval for one transaction or event shall not be deemed to be a consent/approval to any subsequent occurrence of the same or any other transactions or event. 20. Modification No waiver or modification of any language in this Agreement shall be valid unless in writing and duly executed by both parties. 26-18102/413548 6 119 21. Section Headings The titles, captions, section, paragraph and subject headings, and descriptive phrases at the beginning of the various sections in this Agreement are merely descriptive and are included solely for convenience of reference only and are not representative of matters included or excluded from such provisions, and do not interpret, define, limit or describe, or construe the intent of the parties or affect the construction or interpretation of any provision of this Agreement. 22. Interpretation of this Agreement The language of all parts of this Agreement shall in all cases be construed as a whole, according to its fair meaning, and not strictly for or against any of the parties. If any provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent upon any other unless so expressly provided here. As used in this Agreement, the masculine or neuter gender and singular or plural number shall be deemed to include the other whenever the context so indicates or requires. Nothing contained herein shall be construed so as to require the commission of any act contrary to law, and wherever there is any conflict between any provision contained herein and any present or future statute, law, ordinance or regulation contrary to which the parties have no right to contract, then the latter shall prevail, and the provision of this Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to bring it within the requirements of the law. 23. Duplicate Original The original of this Agreement and one or more copies hereto have been prepared and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the date of its execution and delivery, be deemed an original. Each duplicate original shall be deemed an original instrument as against any party who has signed it. 24. Immigration Contractor shall be responsible for full compliance with the immigration and natnralization laws of the United States and shall, in particular, comply with the provisions of the United States Code regarding employment verification. 25. Legal Services Subcontracting Prohibited Contractor and City agree that City is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. Contractor understands that pursuant to Huntington Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for City; 26-18102/413548 7 120 and City shall not be liable for payment of any legal services expenses incurred by Contractor. 26. Confidentiality Contractor recognizes that in the performance of its duties under this Agreement, it must conduct its activities in a manner designed to protect information of a sensitive nature from improper use or disclosure. Contractor warrants that it will use reasonable efforts consistent with practices customary in the facilities management industry in recruiting, training and supervising employees and in otherwise performing its duties hereunder in order to achieve this result. In the furtherance of this, Contractor agrees, at the request of the City, to require its employees to execute written undertakings to comply with the foregoing confidentiality provision. 27. Discrimination Contractor shall not discriminate because ofrace, color, creed, religion, sex, marital status, sexual orientation, age, national origin, ancestry, or disability, as defined and prohibited by applicable law, in the recruitment, selection, training, utilization, promotion, termination or other employment related activities. Contractor affirms that it is an equal opportunity employer and shall comply with all applicable federal, state and local laws and regulations. 28. Jurisdiction -Venue This Agreement and all questions relating to its validity, interpretation, performance, and enforcement shall be government and construed in accordance with the laws of the State of California. This Agreement has been executed and delivered in the State of California and the validity, interpretation, performance, and enforcement of any of the clauses of this Agreement shall be determined and governed by the laws of the State of California. Both parties fu1ther agree that Orange County, California, shall be the venue for any action or proceeding that may be brought or arise out of, in connection with or by reason of this Agreement. 29. Professional Licenses Contractor shall, through the term of this Agreement, maintain all necessary licenses, permits, approvals, waivers, and exemptions necessary for the provision of the services hereunder and required by the laws and regulations of the United States, the State of California, the City of Huntington Beach and all other governmental agencies. Contractor shall notify the City immediately and in writing of her inability to obtain or maintain such permits, licenses, approvals, waivers, and exemptions. Said inability shall be cause for termination of this Agreement. 26-18102/413548 8 121 30. Attorney's Fees In the event suit is brought by either party to construe, interpret and/or enforce the terms and/or provisions of this Agreement or to secure the performance hereof, each party shall bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its attorney's fees from the non-prevailing party. 31. Survival Terms and conditions of this Agreement, which by their sense and context survive the expiration or termination of this Agreement, shall so survive. 32. Governing Law This Agreement shall be governed and construed in accordance with the laws of the State of California. 33. Signatories Each undersigned represents and warrants that its signature hereinbelow has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify City fully for any injuries or damages to City in the event that such authority or power is not, in fact, held by the signatory or is withdrawn. 34. Entirety (a) The parties acknowledge and agree that they are entering into this Agreement freely and voluntarily following extensive arm's length negotiation, and that each has had the oppo1iunity to consult with legal counsel prior to executing this Agreement. The parties also acknowledge and agree that no representations, inducements, promises, agreements or warranties, oral or otherwise, have been made by that party or anyone acting on that party's behalf, which are not embodied in this Agreement, and that that paiiy has not executed this Agreement in reliance on any representation, inducement, promise, agreement warranty, fact or circumstance not expressly set forth in this Agreement. (b) All Exhibits referenced herein and attached hereto shall be incorporated as if fully set forth in the body of this Agreement. 26-18102/413548 9 122 35. Effective Date IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers. This Agreement shall be effective on the date of its approval by the Mayor. This Agreement shall expire when terminated as provided herein. CONTRACTOR SIERRA ANALYTIC LABORATORIES, INC. Print name ITS: (circle one) Chairman/President/ Vice President AND By: f/y1ht~~~Mrn~~ ~ ITS: (circle one) Secretary/Chief Financial Officer/ Asst. Secretary-Treasurer 26-18102/413548 CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California Mayor City Clerk INITIATED AND APPROVED: L/1/1~. Director of Public Works APPROVED AS TO FORM: City Attorney REVIEWED AND APPROVED: City Manager 123 A. EXHIBIT "A" STATEMENT OF WORK: (Narrative of work to be performed) Water quality analysis and sampling B. CONSULTANT'S DUTIES AND RESPONSIBILITIES: C. D. SEE ATTACHED EXHIBIT A CITY'S DUTIES AND RESPONSIBILITIES: WORK PROGRAM/PROJECT SCHEDULE: 26-18102/413548 11 124 EXHIBIT A WATER QUALITY ANALYSIS & SAMPLING SERVICES CITY OF HUNTINGTON BEACH METHODOLOGY SECTION Sierra Analytical Labs, Inc., as a certified laboratory with the State of California Health Department, will conduct all Analysis and Sampling as currently regulated according to Standard Methods Examination of Water, based on the 23 rd Edition. Sierra understands the urgency, consistency, and accuracy it takes to manage a quality Drinking Water Program. Between the current Project Manager and Lab Director, Sierra has nearly 45 years of experience participating in and providing Drinking Water Sampling and Analysis to multiple Municipalities and Water Districts across Orange County and Southern California. Sie1rn Analytical Labs, Inc. will continue with Chris Forsyth as the Project Manager for the City of Huntington Beach who will be responsible for the ongoing program currently in place. A. Sierra will implement, and provide, a contact list ( emergency included) to the City of Huntington Beach to ensure we are available as needed, 7 days a week. B. Sampling and Analysis scheduling are pre-determined by the city, which allows Sierra to prepare for both. Sierra will adjust accordingly when necessary. Construction Sampling and Analysis scheduling will be between the City of Huntington Beach and Chris Forsyth. C. All bacteriological samples submitted will be analyzed and adhere to the Revised Total Coliform Rule as outlined by the State of California Department of Drinking Water. D. Sample Receiving/Preservation a. All samples will be received with a properly executed Chain of Custody, identified as outlined in our QA program, and introduced into our LIMS system for tracking, analysis, and report generation. b. All samples submitted are to be cooled and maintained at no warmer than 10 degrees Celsius. Holding time is recommended to not exceed 6 hours from collection to analysis prep, and HPC requires analysis to be initiated within 8 hours of collection. All microbiological samples will be visually inspected for bottle integrity, volume, and any sterility seals. Containers are intended to be 120mL Sterile, non-fluorescent, containing Sodium Thiosulfate preservative as outlined in Section 9060 in Standard Methods. E. Methods for Analysis **Copies ofMethod SOP's available upon request** 125 Heterotrophic Plate Count -SM 9215B Each series of samples includes a Buffer Blank and a Media Blank. All samples are prepared in duplicate and if dilutions are necessaryThey are also analyzed in duplicate. Sample plates are poured with Standard Methods Agar, solidify at room temperature for no more than 10 minutes, and placed in Incubator at 35.0 degrees+/- 0.5 for 48 hours. At the end of the incubation period, all plates are read utilizing Colony Counter and recorded. Blanks are to demonstrate "no growth" to validate sample results. Samples are reported in CFU/mL. If no colonies are present, "ND <1" will be repotted. Any samples demonstrating a colony count will be averaged with the duplicate and reported as a numerical value. Example: Plate# 1 = 10 and Plate #2 = 8, result will be repo1ted as 9.0 CFU/mL. Prep time for a 44-sample series to analyze for Heterotrophic Plate Count is roughly 55 minutes. Total Coliform / E. Coli -SM 9223B Samples are analyzed utilizing Colile1t (Chromogenic Substrate Coliform Test) by IDEXX. All samples are prepared by loosening cap, cracking Colilert packet and pouring media immediately into sample container. They are then re-capped and vigorously shook by inversion for 10 seconds. After all samples are inoculated, they are incubated at 35.0 degrees+/-0.5, for 24 Hours. At the end of the 24-hour incubation period, samples are visually inspected for reaction. If the sample remains clear, then the sample is reported "Absent" for Total Coliform. If the sample exhibits a yellow color, it is to be checked in relation to the IDEXX Comparator Sample and if determined "Present", it is immediately to be checked for E. coli by fluorescence. Using our calibrated UV Lamp at 365nm, we compare the sample in the dark to the Comparator sample. Any fluorescence determines that sample positive for E. coli, ifno fluorescence is found, the sample is reported "Present" for Total; Coliform and "Absent" for E. coli, Prep time for a 44-sample series to analyze for Total Coliform by Presence/Absence is approximately 30 minutes and is run in succession with Heterotrophic Plate Count. ***In tfte event ANY sample needs to go to E. coli verification, Sierra will notify tfte City of Huntington Beacft immediately and ftelp coordinate additional sampling as outlined in tfte Revised Total Coliform Rule. *** F. Reporting will be completed after the results are accurately recorded and adhere to the QA/QC Program, Because of the sensitivity of Microbiological Analysis and the necessary communication with the City, Sierra insures to have all results validated immediately following required incubation periods. Formal reporting will then be orchestrated 126 between the Project Manager and Technical Manager for electronic delivery with a Standard Operating TAT for Huntington Beach of3-5 Days. Any RUSH samples received will be treated as such and final report to meet those designated TAT request All data is required to be retained for no less than 5 years and is available at the written request of the city for any retained reports. G. Sierra will adhere to the City of Huntington Beach's schedule as it best fits their staffing. With any permanent adjustments, Sierra would only ask for courtesy notice to better facilitate our in-house analysis preparation. H. Sampling will be coordinated with the City of Huntington Beach and Project Manager, Chris Forsyth. If necessary, either Derek Smith or Andrew Kim can be contacted for sampling or pick-up arrangements. I. Sierra will adhere to the City of Huntington Beach's schedule as it best fits their staffing. With any permanent adjustments, Sierra would only ask for courtesy notice to better facilitate our in-house analysis preparation. J. Sampling will be coordinated with the City of Huntington Beach and Project Manager, Chris Forsyth. If necessary, either Derek Smith or Andrew Kim can be contacted for sampling or pick-up arrangements. 127 EXHIBIT "B" Payment Schedule (Fixed Fee Payment) 1. CONSULTANT shall be entitled to monthly progress payments toward the fixed fee set forth herein in accordance with the following progress and payment schedules. SEE ATTACHED EXHIBIT B 2. Delivery of work product: A copy of every memorandum, letter, report, calculation and other documentation prepared by CONSULTANT shall be submitted to CITY to demonstrate progress toward completion of tasks. In the event CITY rejects or has comments on any such product, CITY shall identify specific requirements for satisfactory completion. 3. CONSULTANT shall submit to CITY an invoice for each monthly progress payment due. Such invoice shall: A) B) C) D) E) completed. Reference this Agreement; Describe the services performed; Show the total amount of the payment due; Include a certification by a principal member of CONSULT ANT's firm that the work has been performed in accordance with the provisions of this Agreement; and For all payments include an estimate of the percentage of work All billing shall be done monthly in fifteen (15) minute increments and matched to an appropriate breakdown of the time that was taken to perform that work and who performed it. Each month's bill shall include a total to date. That total shall provide the total fees and costs incurred to date for the project. A copy of memoranda, letters, reports, calculations, and other documentation prepared by CONSUL TANT may be required to be submitted to the CITY to demonstrate progress towards completion of tasks. In the event the CITY rejects or has comments, on any such product, CITY shall identify specific requirements for satisfactory completion. Upon submission of any such invoice, if CITY is satisfied that CONSULTANT is making satisfactory progress toward completion of tasks in accordance with this Agreement, CITY shall approve the invoice, in which event payment shall be made within thirty (30) days of receipt of the invoice by CITY. If CITY does not approve an invoice, CITY shall notify CONSULTANT in writing of the reasons for non-approval and the schedule of performance set fmth in Exhibit "A" may at the option of CITY be suspended until the parties agree that past performance by CONSULTANT is in, or has been brought into compliance, or until this Agreement has expired or is terminated as provided herein. 26-18102/413548 12 128 4. Any billings for extra work or additional services authorized in advance and in writing by CITY shall be invoiced separately to CITY. All extra work or additional services will be in accordance with the extra work or additional services and if CITY is satisfied that the statement of hours worked and costs incurred is accurate. Any dispute between the parties concerning payment of such an invoice shall be treated as separate and apart from the ongoing performance of the remainder of this Agreement. 26-18102/413548 13 129 EXHIBITB PROPOSED PRICING: POTABLE WATER LABORATORY SERVICES Proposers must complete the following tables in their entirety. The pricing provided shall include all labor, materials, equipment, and transportation associated with collecting (where specified) and analyzing the samples. Table 1: Unit Pricing for Individual Analyses These unit prices will be used for as-needed services and contract adjustments. Sample Testing Description I Unit Price Per Sample Total Coliform/ E. Coli II$ ,o.~ I Chlorine Residual (Field) II$ 3 -~ I !======================i I$ ,s.@ I General Physical (CA DW -Color, Odor, Turbidity) !===================== II $05~ I Trihalomethanes (THM) Haloacetic Acids (HAAS) Lead and Copper Heterotrophic Plate Count (HPC) Well 9 On-Site Sampling & Analysis (Per Site Visit) General Sample Collection Fee (Unit price per site visited) [Continued on next page] 11 $ '7_§Q I 0 -R:,~ C<::>vn:ACZO~ Sh-1?W,0<:,, .m 1'3,e5:>/$i>E @Fo\2,co~ o+= cr-ry ~,sn-vE:.-'.:::>l'M/>ve 1:i::: tJGst:>G'.l> :fl, 1o_uye1'lt 130 PROPOSED PRICING: POTABLE WATER LABORATORY SERVICES Table 2: Attachment A-Estimated Annual Totals Quantities are estimates for evaluation purposes only. The City does not guarantee these volumes. Est. Unit Extended Line Description Annual Unit Price Total Qty Routine Samples: Collected by 1 City and tested by lab for 3200 Each $(7@ $ .'?lo, ClJ.J.S Bacteriological Quality, HPC Routine Monthly Samples: 2 Collected by City and tested by 850 Each $J:3.g;z $ i'Z 7&:Q\£ lab for General Physical ' Quality Routine Monthly Samples: 3 Collected by City and tested by 25 Each $30_ov $ 7'BO. 92. lab for Fluoride Routine Quarterly Samples: 4 Collected by City; tested by lab 32 Each $ '4-DJft $4,400.~ for Haloacetic Acids (HAA5) Routine Quarterly Samples: 5 Collected by City; tested by lab 32 Each $f;B.~ $ '2\ oeo. (f? for Trihalomethanes (TTHM) Non-Routine Samples (As- Needed Construction): 6 Collected by City; tested by lab 60 Each $r7,::v $ / o~.e!J. j for Bacteriological Quality, HPC 131 PROPOSED PRICING: POTABLE WATER LABORATORY SERVICES Line Description Non-Routine Samples (On- Call As-Needed Construction): 7 Collected by Lab and tested for Bacteriological Quality, HPC, chlorine Non-Routine Samples 8 collected by City and tested by lab for Lead and Copper □ ESTIMATED ANNUAL CONTRACT TOTAL Est. Annual Qty 90 50 Unit Each Each Unit Price ~ $?,o_c;o Extended Total $0,i;AO~ $ 3 oco.<12 ' □□CE1 Other Costs: In the space below, please indicate any other costs that may be associated with providing the requested services in this RFP that are not included in the table above, Professional Services Agreement with Sierra Analytic Labs City Council July 7, 2026 132 Sierra Analytic Labs • Water Quality Analyses and Sampling • Three-Year Agreement for $300,000 • Assist staff with collecting and analyzing 40 bacteriological samples per week from the City’s potable water production and distribution system • Bid in accordance with HBMC Chapter 3.02 • If not approved, a new RFP will be required 133 Questions? 134 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-557 MEETING DATE:7/7/2026 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Travis Hopkins, City Manager VIA:Chau Vu, Director of Public Works PREPARED BY:Joseph Pinel, Capital Projects Administrator Subject: Accept Lowest Responsive and Responsible Bid and Award Construction Contract to Empire Design & Build in the Amount of $480,000 for the Water Production Office Renovation Project, CC1767 Statement of Issue: On April 23, 2026, bids were publicly opened for the Water Production Office Renovation Project (CC -1767). City Council is requested to award the construction contract to Empire Design & Build, the lowest responsive and responsible bidder. Financial Impact: Based on the low bid received, the total estimated construction cost of this project is $613,880 as itemized below: Item Amount TOTAL CONSTRUCTION COST: Staff recommends awarding the construction contract to Empire Design & Build, in the amount of $480,000. Project funding is available in the current fiscal year budget within the Water Enterprise Fund, Account No. 50685204.82100. Recommended Action: A) Accept the lowest responsive and responsible bid submitted by Empire Design & Build in the amount of $480,000; and, City of Huntington Beach Printed on 7/1/2026Page 1 of 3 135 I I i - ' -' I L J _J File #:26-557 MEETING DATE:7/7/2026 Alternative Action(s): Reject all bids and provide staff with direction. Analysis: This project will enhance the water production offices and remediate water damage caused by roof failure in 2021. Upgrades to HVAC, plumbing and electrical systems will also be addressed. In addition, renovation will improve ADA accessibility and include a few new offices to accommodate existing staffing. Bids were opened on April 23, 2026, with the following results: Bidder’s NameBid Amount The estimated project cost is $613,880, which includes the construction contract with Empire Design and Build, a 20% construction contingency, and supplemental expenses. Project funding is available in the current fiscal year budget within the Water Production Fund, Account No. 50685204.82100 . Reference checks confirm that Empire Design & Build has successfully completed similar construction projects in the past. City of Huntington Beach Printed on 7/1/2026Page 2 of 3 136 File #:26-557 MEETING DATE:7/7/2026 Environmental Status: Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project. Strategic Plan Goal: Non Applicable - Administrative Item Attachment(s): 1. RCA Contract Summary 2. Construction Contract 3. Vicinity Map City of Huntington Beach Printed on 7/1/2026Page 3 of 3 137 RCA Contract Agreement Summary CITY OF HUNTINGTON BEACH VENDOR NAME + TYPE OF SERVICE CONTRACT INFORMATION GENERAL INFORMATION TYPE OF AGREEMENT (Professional Services, Service Agreement) PROCUREMENT SCOPE OF WORK TOTAL COMPENSATION TERM OF CONTRACT/AGREEMENT OTHER: Bonds, Special Contract Terms, Emergency DATE PRESENTED REQUESTING DEPARTMENT STAFF CONTACT(S)INSURANCE STATUS July 7, 2026 In Review Risk Management PW Engineering Joseph Pinel (ext. 5291) $480,000 Construction Contract (90 Working Days) Empire Design & Build (Tenant Improvement) Water Production Office Remodel (CC1767). Construction Contract Public Bid. Opened April 23, 2026, fourteen submissions received. Notice of intent to award Empire Design & Build, lowest responsive and responsible bidder. Remediation of water intrusion from roof failure in 2021. Updates to electrical, plumbing, HVAC, and data. Office and restroom reconfiguration. Improvements to existing infrastructure and ADA accessibility. Insurance, Performance and Payment Bonds were obtained prior to project award. One-year Maintenance Bond provided at project closeout. 138 LO CITY OF rD HUNTINGTON BEACH 139 CITY FUNDED CONSTRUCTION CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND EMPIRE DESIGN & BUILD FOR WATER PRODUCTION OFFICE RENOVATION, CCl767 THIS AGREEMENT ("Agreement") is made and entered into by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter refen-ed to as "CITY," and ________ _cE::' M=P:..::I::::.RE::1::_DESI_G_N_&_B_U_I_L_D ________ _, a _____ C_'a_l_il\_o_r_n_ia _____ corporation, hereinafter referred to as "CONTRACTOR." WHEREAS, CITY has solicited bids for a public works project, hereinafter referred to as "PROJECT," more fully described as -----'W=at'-'e'.!-r-"P"-'r-"o-"d-=u.::.ct"'io'"n'.!--"O,.,ffi"'' 1"'c""'e-"R"'e""n""o'-'-v=a=ti.:::on,.,__ __ _ _____________________ in the City of Huntington Beach; and CONTRACTOR has been selected to perfonn said services, NOW, THEREFORE, in consideration of the promises and agreements hereinafter made and exchanged the parties covenant and agree as follows: l. STATEMENT OF WORK;_ACCEPTANCE OF RISK CONTRACTOR shall complete and c011strnct the PROJECT pursuant to this Agreement and the Contract Documents (as hereinafter defined) and furnish, at its own cost and expense, all labor, plans, tools, equipment, supplies, transpo1iation, utilities and all other items, services and facilities necessary to complete and constrnct the PROJECT in a good and workmanlike manner. CONTRACTOR agrees to fully assume the risk of all loss or damage arising out of the nature of the PROJECT, dming its progress or prior to acceptance by CITY, from the action of the elements, from any lU1forcseen difficulties which may arise or be encountered in the 16-5195/City Funded Constrnction Contract.docx -revised 04/2016 140 prosecution of work, and for all other risks of any description in connection with the work, including, but not limited to, all expenses incurred by or in consequence of the suspension or discontinuance of work, except such as are herein expressly stipulated to be bome by CITY, and for well and faithfully completing the work within the stipulated time and in the manner shown and described in this Agreement, and in accordance with the requirements of CITY for the compensation set forth in the accepted bid proposal. 2. ACCEPTANCE OF CONDITIONS OF WORK; PLANS AND SPECIFICATIONS CONTRACTOR acknowledges that it is folly familiar with all the terms, conditions and obligations of this Agreement and the Contract Documents (as defined below in this Section), has inspected the location of the job site, and the conditions under which the work is to be performed, and that it enters into this Agreement based upon its thorough investigation of all such matters and is relying in no way upon any opinions or representations of CITY. It is agreed that the Contract Documents are incorporated into this Agreement by 1his reference, with the same force and effect as if the same were set forth at length herein, and that CONTRACTOR and its subcontractors, if any, shall be bound by the Contract Documents insofar as they relate in part or in any way, directly or indirectly, to the work covered by this Agreement. "Contract Documents" as defined herein mean and include: A. This Agreement; B. Bonds covering the work herein agreed upon; C. The CITY's standard Plans and Specifications and special contractual provisions, including those on file in the office of the Department of Public Works of CITY, and any revisions, amendments or addenda thereto; 2 16-5195/City Funded Construction Contract.docx -revised 04/2016 141 D. The edition of Standard Specifications for Public Works Construction, published by Builders' News, Inc., I 080 I National Boulevard, Los Angeles, CA 90064, and all amendments thereto, written and promulgated by the Southern California chapter of the American Public Works Association and the Southern California District Associated General Contractors of the California Joint Cooperative Committee as specified in the particular Plans, Specifications, Special Provisions and Addendum applicable to the Project; E. Bid documents including the Notice Inviting Bids, the Special Instrnctions to Bidders and the CONTRACTOR's proposal, (which is attached hereto as Exhibit "A" and incorporated herein by this reference); F. The particular Plans, Specifications, Special Provisions and Addenda applicable to the PROJECT. Anything mentioned in the Specifications and not indicated in the Plans or indicated in the Plans and not mentioned in the Specifications, shall be of like effect as if indicated and mentioned in both. In case of a discrepancy between any Plans, Specifications, Special provisions, or Addenda, the matter shall be immediately submitted by CONTRACTOR to the Director of Public Works of CITY or his or her written designce (hereinafter refeITed to as "DPW"), and CONTRACTOR shall not attempt to resolve or adjust the discrepancy without the decision ofDPW, save only at its own risk and expense. Should there be any conflict between the terms of this Agreement and the bid or proposal of CONTRACTOR, then this Agreement shall control and nothing herein shall be considered as an acceptance of the terms of the bid or proposal which is in conflict herewith. 3 16-5195/City Funded Constrnction Contracl.docx -revised 04/2016 142 3. COMPENSATION CITY agrees to pay and CONTRACTOR agrees to accept as full compensation for the faithful performance of this Agreement, subject to any additions or deductions made under the provisions of this Agreement or the Contract Documents, a snm not to exceed Four Hundred Eighty Thousand Dollars ($ ___ 4_8_0_:_,_00_0_._00 __ _,), as set forth in the Contract Documents, to be paid as provided in this Agreement. 4. COMMENCEMENT OF PROJECI CONTI~CTOR agrees to commence the PROJECT within ten (10) working days atler the Notice To Proceed is issued and diligently prosecute the PROJECT to completion within -------'N-'i~n~e-"ty,__ ______ ( 90 ) consecutive Working days from the day the Notice to Proceed is issued by DPW, excluding delays provided for in this Agreement. 5. TIME OF THE IISSENCF,_ The patiies hereto recognize and agree that time is of the essence in the performance of this Agreement and each and every provision of the Contract Documents. CONTRACTOR shall prepare and obtain approval as required by the Contrnct Documents for all shop drawings, details and samples, and do all other things necessary and incidental to the prosecution of its work in confo1mance witl1 the progress schedule set forth in the Contract Documents. CONTRACTOR shall coordinate its work with the work of all other contractorn, subcontractors, and CITY forces working on the PROJECT in a manner that will facilitate the efficient completion of the PROJECT and in accordance with the terms and provisions of this Agreement. CITY shall have complete control of the premises on which the work is to be performed and shall have the right to decide the time and order in which the various portions of the work shall be perfmmed and the priority of the work of other contractors, 4 I 6-5195/City Funded Constrnction Contract.docx -revised 04/20 I 6 143 subcontractors and CITY forces and, in general, all matters concerning the timely and orderly conduct of the work of CONTRACTOR on the premises. CONTRACTOR shall adhere strictly to the plans and specifications set forth in the Contract Documents unless a change therefrom is authorized in writing by DPW. CONTRACTOR agrees to make any and all changes, fomish materials and perform all work necessary within the scope of the PROJECT as DPW may require in writing. Under no condition shall CONTRACTOR make any changes without the prior written order or acceptance ofDPW, and CITY shall not pay any extra charges made by CONTRACTOR that have not been agreed upon in writing by DPW. When directed to change the work, CONTRACTOR shall submit immediately to DPW a written cost proposal reflecting the effect of the change. Should DPW not agree to such cost proposal, the work shall be perfonned according to the changes ordered in writing by DPW and the proper cost thereof shall be negotiated by the parties upon cost and pricing data submitted by CONTRACTOR; thereupon, CITY will promptly issue an adjusted change order to CONTRACTOR and the contract price will be adjusted upward or downward accordingly. 7. NOTICE TO PROCEED No work, services, material, or equipment shall be performed or fomished under this Agreement unless and until a Notice to Proceed has been given to CONTRACTOR by CITY. CITY does not warrant that the work will be available on the date the Notice to Proceed is issued. In the event of a delay in commencement of the work due to unavailability of the job site, for any reason, relief to CONTRACTOR shall be limited to a time extension equal to the delay due to such unavailability. 5 l 6-5195/City Funded Constrnction Contrnct.docx -revised 04/2016 144 8. BONDS Only bonds issued by California admitted sureties will be accepted. CONTRACTOR shall, prior to its performance of this Agreement, furnish the following two (2) bonds approved by the City Attorney: One in the amount of one hundred percent (100%) of the contract price to guarantee the CONTRACTOR's faithful perfo1mance of the work, and one in the amount of one hundred percent of the contract price to guarantee payment of all claims for labor and materials furnished, In addition, CONTRACTOR shall submit to CITY a bond in the amount of one hundred percent ( 100%) of the final contract price, including all change orders, to Wa!Tallt such performance for a period of one (I) ycai· after CITY's acceptance thereof within ten (10) days of filing of the Notice of Completion. 9. WARRANTIES CONTRACTOR unconditionally guarantees all work done under this Agreement inclnding, but not limited to, any workmanship, installation, fabrication, material or structural facilities constrncted. CONTRACTOR, within ten (10) days after notice by CITY of any defect in the work, shall have the option to make appropriate repairs or replace the defective item or items. Upon expiration of such ten ( I 0) day period, CITY may then make appropriate repair or replacement at CONTRACTOR's risk and own cost and expense. 10. INDEPENDENT CONTRACTOR It is understood and agreed that CONTRACTOR is, and shall be, acting at all times hereunder as an independent contractor and not an employee of CITY CONTRACTOR shall secure at its own cost and expense, and be responsible for any m1d all payment of all taxes, social security, state disability insurance compensation, unemployment compensation and other payroll 6 16-5195/Cily Funded Construction Conlract.docx -revised 0412016 145 deductions for CONTRACTOR and its officers, agents and employees and all business licenses, if any, in connection with the PROJECT and/or the services performed hereunder. 11. LIQUIDATED DAMAGES/DELAYS It is agreed by the parties hereto that in case the total work called for hereunder is not in all parts and requirements finished or completed within the number of calendar days as set fo1th herein, damage will be sustained by CITY; and that it is, and would be, impractical and extremely difficult to ascertain and delermine the actual damage which CITY would sustain in the event of and by reason of such delay. It is, therefore, agreed that CONTRACTOR will pay to CITY, as liquidated damages and not as a penalty, the sum of -----------'(=Jn=e~-t=h~o~u~sa~n=d=--------~ ($_~1~,0_0~0-~) per each calendar day's delay in completing the work in excess of the number of working/calendar days set forth herein, which represents a reasonable endeavor by the parties hereto to estimate a fair compensation for the foreseeable damages CITY would sustain in the event of and by reason of such delay; and CONTRACTOR agrees to pay tbese damages herein provided, and further agrees that CITY may deduct the amount thereof from any monies due or that may become due to CONTRACTOR hereunder. CONTRACTOR will be granted an extension of time and will not be assessed damages for any portion of the delay in the completion of the work due to unforeseeable causes beyond the control and without the fault or negligence of CONTRACTOR, including, but not limited to, acts of God or of the public enemy, :fire, floods, epidemics, quarantine restrictions, strikes, unsuitable weather, or delays of subcontractors due to such causes. CONTRACTOR shall, within fitleen (15) days from the beginning of any such delay (unless DPW shall grant a further petiod of time), notify DPW in writing of the cause of the 7 16-5195/City Funded Construction Contract.docx -revised 04/2016 146 delay and CITY shall extend the time for completing the work if, in its judgment, the findings of fact thereon justify the delay; and the decision of DPW shall be conclusive on the parties hereto. Should CONTRACTOR be delayed in the prosecution or completion of the work by the act, neglect or default of CITY, or should CONTRACTOR be delayed by waiting for materials required by this Agreement to be furnished by CITY, or by damage caused by fire or other casualty at the job site for which CONTRACTOR is not responsible, or by the combined action of the workers, in no way caused by or resulting from default or collusion on the part of CONTRACTOR, or in the event of a lockout by CITY, then the time herein fixed for the completion of the work shall be extended by the number of days CONTRACTOR has thus been delayed, but no allowance or extension shall be made unless a claim therefor is presented in writing to CITY within fifteen (!5) days of the commencement of such delay. No claims for additional compensation or damages for delays, itTespective of the cause thereof, and including without limitation the furnishing of materials by CITY or delays by other contractors or subcontractors will be allowed and an extension oftime fot· completion shall be the sole remedy of CONTRACTOR. 12. DEMANDS FOR ADDITIONAL TIME OR MONEY. A. Definitions. (1) "Change Order" mea11~ a document signed by the CONTRACTOR and CITY which authorizes an addition, deletion or revision in the work, or an adjustment in the Compensation under Section 3, or the Completion Time specified at Section 4. (2) "Demand" means a wtitten demand for a Change Order by the CONTRACTOR for any of the following: (a) A time extension; 8 16-5195/City Funded Constrnction Contructdocx -revised 04/2016 147 (b) Payment of money or damages arising from work done by, or on behalf of, the CONTRACTOR pw,uant to this Agreement and payment of which is not expressly pennitted pursuant to Section 3 of this Agreement; (c) Payment of an amount the CITY disputes; ( d) Any disputes and other matters relating to the acceptability of the work perfom1ed or the interpretation of the Contract Documents; (e) A request for a time extension or additional payment based upon differiJ1g site conditions, such as subsu1face or latent physical conditions at the job site differing materially from those indicated in this Agreement or the Contract Documents, or unknown physical conditions at the job site, of an unusual nature, differing materially from those ordinarily encountered and generally recognized as inherent to work of the PROJECT; or (f) A request for a time extension or additional payment based upon acts of neglect by CITY or due to fires, floods, labor disputes, epidemics, abnmmal weather conditions or acts of God. B. A Demand for a time extension or payment of money or damages may only be granted by a Change Order. C. No Change Order may be granted except where the Contractor has submitted a Demand to the DPW ( or his or her written designee). All Demands shall be submitted promptly, but in no event later than thirty (30) days after the occurrence of the event giving 1ise to the Demand. The Demand shall be in writing and include all documents necessary to substantiate the Demand. The DPW shall act on the Demand within fifteen (15) days after receipt, including by requesting additional infom1atio11 from the CONTRACTOR to determine whether to approve the Change Order the Demand seeks. The DPW shall act on the Demand within fifteen (15) days 9 16-5195/City Funded Construction Contract.docx -t'evised 04/2016 148 after receipt of the additional information or within a period of time no greater than the time the CONTRACTOR took to produce the additiollal info1111ation requested, whichever is greater. D. Notwithstanding the thiity (30) days to submit a Demand under Subparagraph C, in the case of differing or unknown site conditions, immediately llpon encountering the conditions, CONTRACTOR shall notify the DPW in writing of the conditions, so that the CITY may promptly investigate the conditions. E. If the CONTRACTOR disputes the DPW's written response on the Demand, or the CITY fails to respond within the time prescribed, the CONTRACTOR. may so notify the City Engineer, in writing, either within fifteen ( 15) days of receipt of the City Engineer's response or within fifteen (15) days of the DPW's failure lo respond within the time presctibed, respectively, and request an infonnal conference to meet and confer for settlement of the Demand. Upon the CONTRACTOR's request, the DPW shall schedule a meet and confer conference within thirty (30) days to seek to resolve. F. CITY and CONTRACTOR shall execute appropriate Change Orders covering changes to the time or price by executing the Change Order by mutual agreement. ff the CITY and CONTRACTOR are unable to reach a mutual agreement, then the City Engineer shall issue a written decision on the claim within a reasonable time. G. Following the meet and confer conference, if the Demand remains in dispute, the CONTRACTOR may file a claim with the City as provided in Chapter 1 (commencing with Section 900) and Chapter 2 (commencing with Section 910) of Part 3 of Division 3.6 of Title 1 of the Government Code, For purposes of those provisions, the numing of the period of time within which a claim must be filed shall be tolled from the time the CONTRACTOR submits his 10 I 6-5195/City Funded Construction Contract.docx -revised 04/2016 149 or her Demand until the Demand is denied as a result of the meet and confer process, including any period of time utilized by the meet and confer process. 13. VARIATIONS IN ESTIMATED QUANTITIES The quantities listed in the bid schedule will not govern final payment. Payment to CONTRACTOR will he made only for the actual quantities of contract items used in construction of the PROJECT, in accordance with the plans and specifications. Upon completion of the PROJECT, if the actual quantities used are either more than or less than the quantities listed in the bid schedule, the bid price shall prevail subject to the provisions of this Section. DPW may, at its sole discretion, when warranted by the facts and circumstances, order an equitable adjustment, upwards or downwards, in payment to CONTRACTOR where the actual quantities used in constmction of the PROJECT are in variation to the quantities listed in the bid schedule. No claim by CONTRACTOR for an equitable adjustment in price or time for completion shall be allowed if asserted after final payment under this Agreement. If the quantity variation is such as to cause an increase in the time necessary for completion, DPW shall ascettain the facts and circumstances and make such adjustment for extending the completion date as in its sole judgment the findings wmrant. 14. PROGRESS PAYMENTS Each month DPW will make an estimate in writing of the work performed by CONTRACTOR and the value thereof, From each progress estimate, five percent (5%) will be deducted and retained by CITY and the remainder of the progress estimate, less the amount of all prnvious payments since commencement of the work, will be paid to CONTRACTOR. When CONTRACTOR has, in the judgment of DPW, faithfully executed fifty percent (50%) or more of the value of the work as dete1mined from the bid schedule, and ifDPW finds that satisfactory progress has been and is being made, CON1RACTOR may be paid such ll 16-5195/City Funded Construction Contraet.docx ·-revised 04/2016 150 sum as will b1ing the payments of each month up to one hundred percent (100%) of the value of the work completed since the commencement of the PROJECT, as detennined in its sole discretion by DPW, less all previous payments and less all previons retained amounts. CITY's final payment to CONTRACTOR, if unencumbered, or any pmt thereof unencumbered, shall be made thirty-five (35) days after the acceptance of the work and the filing of a Notice of Completion by CITY. Provided, however, that in the event of a dispute between CITY and CONTRACTOR, CITY may withhold from the final payment an amount not to exceed 150 percent of the value of any disputed amount of work. Payments shall be made on demands drawn in the mam1er requi.red by law, each payment to be accompanied by a certificate signed by DPW, affirming that the work for which payment is demanded has been performed in accordance with the terms of the Agreement and that the amount stated in the certificate is due under the terms of the Agreement. Partial payments on the contract price shall not be considered as an acceptance of any pa1t of the work. 15. WITHHELD CONTRACT FUNDS, SUBSTITUTION OF SECURITIES At the request and at the sole cost and expense of CONTRACTOR, who shall retain beneficial ownership and receive interest, if any thereon, CITY shall pennit the substitution and deposit therewith of securities equivalent to the amount of any monies withheld by CITY to ensure perfonnance under the terms of this Agreement. 16. AFFlDA VTTS OF SATISFACTION OF CLAIMS. After the completion of the work contemplated by this Agreement, CONTRACTOR shall file with DPW its affidavit stating that all workers and persons employed, all firms supplying materials and all subcontractors working upon the PROJECT have been paid in full and that fuere are no claims outstanding against the PROJECT for either labor or material, except certain items, if any, to be set forth in CONTRACTOR's affidavit covering disputed claims, 12 16-5 [95/City Funded Constmction Contract.docx -revised 04/2016 151 or items in connection with Notices to Withhold, which have been filed under the provisions of the statutes of the State of California. 17. WAIVER. OF CLAJM~ The acceptance by CONTRACTOR of the payment of the final certificate shall constitute a waiver of all claims against CITY under or arising out of this Agreement. A, The CITY has ascertained from the Director of Industrial Relations of the State of California the general prevailing rate of per diem wages and the general prevailing rate for legal holiday and overtime work in the locality in which the work is to be performed for each craft or type of work needed to execute lhis Agreement, and the same has been set forth by resolution on file in the office of the City Clerk of CITY. CONTRACTOR and any subcontractor under it shall pay not less than said prevailing wage rates to all workers employed on this public works Agreement, as required by California Labor Code Sections 1771 and 1774. In accordance with the provisions of Secti011 3700 of the California Labor Code, CONTRACTOR agrees to secure payment of compensation to every employee. B. Pursuant to this Agreement and in accordance with Section 1774 and 1775 of the California Labor Code, CONTRACTOR shall, as penalty to ClTY, fmfeit twenty-five dollars ($25) for each calendar day or portion thereof for each worker paid (either by CONTRACTOR or any of its subcontractors) less than the prevailing wage rate established for that particular craft or type of work. 18. CALJFORNIA PREVAILING WAGE LAW A. The CITY has ascertained from the Director oflndustrial Relations of tl1e State of California the general prevailing rate of per diem wages and the general prevailing rate for legal holiday and overtime work in the locality in which the work is to be performed for each craft or type of work needed to execute this Agreement, and the same has been set forth by 13 16-5195/City Funded Constmclion Cm1tract.docx -revised 04/20 l 6 152 resolution on file in the office of the City Clerk of CITY. CONTRACTOR and any subcontractor under it shall pay not less than said prevailing wage rates to all workers employed on this public works Agreement, as required by California Labor Code Sections 1771 and I 774. In accordance with the provisions of Section 3700 of the California Labor Code, CONTRACTOR agrees to secure payment ofcompensation to every employee. B. Pursuant to this Agreement and in accordance with Section 1774 and 1775 of the California Labor Code, CONTRACTOR shall, as penalty to CITY, forfeit twenty-five dollars ($25) for each calendar day or portion thereof for each worker paid (either by CONTRACTOR or any of its subcontractors) less than the prevailing wage rate established for that pmiicular craft or type ofworlc. 19. CALIFORNIAEIGHT-HO]JRLAW A. California Labor Code, Sections 1810 et seq, shal.l apply to the performance of this Agreement; thereunder, not more than eight (8) hours shall constitute one day's work and CONTRACTOR and each subcontractor employed by its hereunder, shall not require more than eight (8) hours oflabor per day or fo1iy ( 40) hours per week from any one person employed by it hereunder, except as stipulated in California Labor Code Section 1815. CONTRACTOR and each subcontractor employed by it hereunder shall, in accordance with California Labor Code Section 1812, keep an accurate record, open to inspection at all reasonable hours, showing the name and actual hours worked each calendar day and each calendar week by each worker employed in connection with the PROJECT. B. Pursuant to this Agreement and in accordance with California Labor Code Section 1813, CONTRACTOR shall, as a penalty to CITY, forfeit twenty-five dollars ($25) for each worker employed hereunder by CONTRACTOR or any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one 14 16-5195/City Funded Constrnction Contrnct,docx-revised 04/2016 153 (I) calendar day or fmty ( 40) hours in any one (1) calendar week in violation of California Labor Code Section l 815. 20. PAYMENT OF TRAVEL AND SUBSISTENCE ALLOWANCE Section 1773.8 of the Califomia Labor Code, regarding the payment of travel and subsistence allowance is applicable to this PROJECT. 21. EMPLOYMENT OF APPRENTICES Section 1777.5 of the California Labor Code, regarding the employment of apprentices is applicable to this PROJECT. 22. PAYROLL RECORDS CONTRACTOR agrees to keep accurate payroll record showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice or worker employed by it in connection with the PROJECT and agrees to require each of its subcontractors to do the same. CONTRACTOR further agrees that its payroll records and those ofits subcontractors, if any, shall be available at all reasonable times to the CITY, and the employee or his representative, and the Division of Labor Standards Enforcement and the Division of Apprenticeship Standards, and to comply with all of the provisions of California Labor Code Section 1776, in general. 23. INDEMNIFICATION, DEFENS_):3, HOLD HARMLESS CONTRACTOR hereby agrees to protect, defend, indemnify and hold harmless CITY, its officers, elected or appointed officials, employees, agents, and volunteers from and against any and all claims, damages, losses, expenses, judgments, demands, defense costs, and consequential damage or liability of any kind or natnre, however caused, including those resulting from death or injury to CONTRACTOR's employees and damage to CONTRACTOR's prope1ty, 15 16-5195/City Funded Construction Contract.docx -revised 0412016 154 arising directly or indirectly out of the obligations or operations herein undertaken by CONTRACTOR, caused in whole or in part by any negligent act or omission of the CONTRACTOR, any subcontractors, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, including but not limited to concurrent active or passive negligence, except where caused by the active negligence, sole negligence, or willfol misconduct of the CITY, its officers, elected or appointed officials, employees, agents, and volunteers. CONTRACTOR will conduct all defense at its sole cost and expense and CITY shall approve selection of CONTRACTOR's counsel. This indemnity shall apply to all claims and liability regaTdless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided hy CONTRACTOR. 24. WORKERS' COMPENSATION AND EMPLOYER'S LIABILITY JNSURANCE Pursuant to California Labor Code Section 1861, CONTRACTOR acknowledges awareness of Section 3700 et seq. of this Code, which requires every employer to be insured against liability for workers' compensation; CONTRACTOR covenants that it will comply with such provisions ptior to commencing performance of the work hereunder. CONTRACTOR shall obtain and famish to City workers' compensation and employer's liability insurance in an amount of not less than the State statutory limits. CONTRACTOR shall require all subcontractors to provide such workers' compensation and employer's liability insurance for all of the subcontractors' employees. CONTRACTOR shall furnish to CITY a certificate of waiver of subrogation under the terms of the workers' compensation and employer's liability insurance and CONTRACTOR shall similarly require all subcontractors to waive subrogation. 16 16-5195/City Funded Construction Contrnct.docx -revised 04/2016 155 25. INSURANCE In addition to the workers' compensation and employer's liability insurance and CONTRACTOR's covenant to defend, hold ha1mless and indemnify CITY, CONTRACTOR shall obtain and fw·nish to CITY, a policy of general public liability insurance, including motor vehicle coverage covering the PROJECT. This policy shall indemnify CONTRACTOR, its officers, employees and agents while acting within the scope of their duties, against any and all claims arising out or in connection with the PROJECT, and shall provide coverage in not less than the following amount: combined si11gle limit bodily injury and prope1iy damage, including products/completed operations liability and blanket contractual liability, of One Million Dollars ($1,000,000) per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than One Million Dollars ($1,000,000) for this PROJECT. This policy shall name CITY, its officers, elected or appointed officials, employees, agents, and volunteers (the "Additionally Insured Parties") as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the PROJECT shall be deemed excess coverage and that CONTRACTOR's insurance shall be primary and non-contributory with any other valid and collectible insurance or self-insurance available to the Additionally Insured Parties. Any available insurance proceeds in excess of the minimum coverage amount specified herein shall be available to the Additionally Insured Pa11ies. All coverage available to CONTRACTOR shall also be available to the Additi011ally Insured Parties. Under no circumstances shall said above-mentioned insurance contain a self-insured retention without the express written consent of CITY; however an insurance policy "deductible" of Five Thousand Dollars ($5,000.00) is permitted. CONTRACTOR shall be responsible for causing all Subcontractors to maintain the same types and limits of insurance coverage as that required of CONTRACTOR by this Agreement. 17 16-5 l 95/City Funded Construction Contract.docx -revised 04/20 I 6 156 26. CERTIFICATES OF INSURANCE; ADDITIONAL [NSURED ENDORSEMENTS Prior to commencing perfmmauce of the work hereunder, CONTRACTOR shall furnish to CITY certificates of insurance subject to approval of the City Attorney evidencing the foregoing ins11rance coverages as required by this Agreement; the ce1iificates shall: 1. Provide the name and policy number of each carrier and policy; 2. State that the policy is currently in force; and 3. Promise to provide that such policies will not be cat1celed or modified without thirty (30) days' prior written notice of CITY. CONTRACTOR shall maintain the foregoing insurance coverages in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverages shall not derogate from the CONTRACTOR's defense, hold ha1mless and indemnification obligations as set fotih under this Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of all the policies of insmance. CONTRACTOR shall pay, in a prompt and timely manner, the premiums on all insurance hereinabove required. CONTRACTOR shall provide a separate copy of the additional insured endorsement to each of CONTRACTOR'S insurance policies, naming CITY, its officers, elected and appointed officials, employees, agents and volunteers as Additional Insureds, to the City Attomey for approval prior to any payment hereunder. 27. NOTICE OF THIRD PARTY CLAIM Pursuant to Public Contracts Code §9202, CITY shall provide notice to CONTRACTOR of receipt of any claim filed with CITY or a court of competent jurisdiction which arises out ofperfonnanee of this agreement within ten (10) days of receipt of such claim or claims. 18 [6-5195/City Funded Construction Contract.doc,-revised 04/2016 157 28. DEFAULT AND TERMINATION If CONTRACTOR fails or refitses to prosecute the work hereunder with diligence, or fails to complete the work within the time specified, or is adjudged bankrupt or makes an assignment for the benefit of creditors or becomes insolvent, or violates any provision of this Agreement or the Contract Documents, CITY may give CONTRACTOR notice in writing of its intention to terminate this Agreement. Unless the violation is cured within ten (l 0) days after such Notice of Intention has been se1ved on CONTRACTOR, CITY may, without prejudice to any other remedy it may have, terminate this Agreement upon the expiration of that time. Upon such default by CONTRACTOR, CITY may elect not to te1minate this Agreement; in such event CITY may make good the deficiency in which the default consists and deduct the resulting costs from the progress payments then or to become due to CONTRACTOR. If it is subsequently determined by a court of competent jurisdiction that CITY's termination of this Agreement under this Section was wrongful, such termination shall be converted to a termination for convenience under Section 29 and any damages shall be assessed as set forth in Section 29. 29. TERMINAT{ON FQ.R CONVENIENCE CI1Y may te1minate this Agreement for convenience at any time with or without cause, and whether or not .PROJECT is fully complete upon seven (7) calendar days written notice to CONTRACTOR. In the event of termination, under this Section CITY shall pay CONTRACTOR for value of work in place on the PROJECT through the te1111i11ation period less all such payments already made. In case of such termination for convenience, the CONTRACTOR shall be entitled to receive payment for work executed, and costs incurred by reason of such tennination. In no event shall CONTRACTOR be entitled to recover overhead, profit or CONTRACTOR's fee on worknotperfonned. Such payment by CITY shall be CONTRACTOR's 19 16-5195/City Funded Constrnction Contract.docx-revised 04/2016 158 sole and exclusive remedy for te1mination by CITY for its convenience and CITY shall have no further obligation to CONTRACTOR. 30. DISPOSITION OF PLANS. ESTIMATES AND QTHERDOCUMENTS CONTRACTOR agrees that upon completion of the work to be perfmmed hereunder. or upon expiration or earlier termination of this Agreement, all original plans, specifications, drawings, reports, calculations, maps and other documents pertaining to this Agreement shall be delivered to CITY and become its sole property at no further cost. 31. NONASSIGNABILITY CONTRACTOR shall not sell, assign, transfer, convey or encumber this Agreement, or any part hereof, or any right or duty created herein, without the prior written consent of CITY and the surety. 32. CITY EMPLOYEES AND OFFICIALS CONTRACTOR shall employ no CITY official nor any regular CITY employee in the work perfmmed pursuant to this Agreement. No officer or employee of CITY shall have any financial interest in this Agreement in violation of the California Government Code. 33. STOP NOTICES· RECOVERY OF ADMINISTRA T!VE COSTS CITY shall be entitled to all reasonable administrative costs and necessary disbursements arising out of the processing of Stop Notices, Notices to Withhold, or any similar legal document. This obligation shall be provided for in the labor and materials payment bond required of CONTRACTOR. CITY may charge an administrative fee of One Hundred Dollars ($100) for every Stop Notice filed in excess of two (2), regardless of whether or not CITY is named in an action to enforce such stop notices. CITY may set off any umeimbursed cost or expense so incun-ed against any sum or sums owed by CITY to CONTRACTOR under this Agreement. 20 l 6"5195/City Funded Construction Contract.docx -revised 04/2016 159 34, NOTICES Any notices, certificates, or other communications hereunder shall be given either by personal delivery to CONTRACTOR's agent (as designated in Section l hereinabove) or to CITY as the situation shall wanant, or by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, to the addresses specified below; provided that CITY and CONTRACTOR may designate different addresses to which subsequent notices, certificates or other communications will be sent by notifying the other party via personal delivery, reputable overnight carrier or U. S. certified mail-return receipt reqtiested: TO CITY: City of Huntington Beach ATTN:Joseph Pine! 2000 Main Street , Public Works Huntington Beach, CA 92648 35. SECTION HEADINGS TO CONTRACTOR: EMPIRE DESIGN & BUILD ATTN: l•arshad Fara~• h=a1~1i~-------- 1700 N. Community Dr. Suite 206 Anaheim CA 92806 The titles, captions, section, paragraph and subject headings, and descriptive phrases at the beginning of the various sections in this Agreement are merely descriptive and are included solely for convenience ofreference only and are not representative ofrnaters included or excluded from such provisions, and do not interpret, define, limit or describe, or construe the intent of the parties or affect the construction or interpretation of any provision of this Agreement, 21 l 6-5195/City Funded Construction Contract.docx -· revised 04/2016 160 36. IMMIGRATION CONTRACTOR shall be responsible for full compliance with the immigration and naturalization laws of the United States and shall, in particular, comply with the provisions of United States Code Section 1324a regarding employment verification. 37. LEGAL SERVICES SUBCONTRACTING PROHIBITED CONTRACTOR and CITY agree that CITY is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. CONTRACTOR understands that pursuant to Huntington Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for CITY; and CITY shall not be liable for payment of any legal services expenses incmred by CONTRACTOR. 38. ATTORNEY'S FEES In the event suit is brought by either party to constrne, interpret and/or enforce the terms and/or provisions of this Agreement or to secure the perfonnance hereof, each party shall bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its attorney's fees from the non-prevailing party. 39. INTERPRETATION OF THIS AGREEMENT The language of all pa1is of this Agreement shall in all cases be construed as a whole, according: to its fair meaning, and not strictly for or against any of the parties. If any provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent upon any other unless so expressly provided here. As used in this Agreement, the masculine or neuter gender and singular or plural number shall be deemed to include the other whenever the 22 I 6-5195/City Funded Construction Contract.docx •• revised 04/2016 161 context so indicates or requires. Nothing contained herein shall be constrned so as to require the commission of any act contrary to law, and wherever there is any conflict between any provision contained herein and any present or foture statute, law, ordinance or regulation contrary to which the parties have no right to contract, then the latter shall prevail, and the provision of this Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to bring it within the requirements oflhe law. 40. GOVERNJNG LAW This Agreement shall be governed and construed in accordance with the laws of the State of California. 41. DUPLICATE ORIGINAL The original of this Agreement and one or more copies hereto have been prepared and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the date of its execution and delivery, be deemed an original. Each duplicate original shall be deemed an m~ginal instrument as against any party who has signed it. 42. CONSENT Where ClTY's consent/approval is required under this Agreement, its consent/approval for one transaction or event shall not be deemed to be consent/approval to any subsequent occurrence of the same or any other transaction or event. 43. SURVIVAL Terms and conditions of this Agreement, which by their sense and context survive the expiration or te1mination of this Agreement shall so survive. 44. MODIFICATION_ No waiver or modification of any language in this Agreement shall be valid unless in writing and duly executed by both parties. 23 16-5195/City Funded Construction Conn·act.docx-revised 04/2016 162 45. SIGNATORlES Each undersigned represents and warrants tbat its signature hereinbelow has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify CITY fully for any injuries or damages to CITY in the event that such authority or power is not, in fact, held by the signatory or is withdrawn. 46. ENTIRETY The pa1ties acknowledge and agree that they are entering into this Agreement freely and voluntarily following extensive at111's length negotiation, and that each has had the opportunity to consult with legal counsel prior to executing this Agreement. The paities also acknowledge and agree that no representations, inducements, promises, agreements or wmrnnties, oral or otheiwise, have been made by that party or anyone acting on that party's behalf, which are not embodied in this Agreement, and that that party has not executed this Agreement in reliance on any representation, inducement, promise, agreement, wananty, fact or circumstance not expressly set fotth in this Agreement. This Agreement, and the attached Exhibit "A", contain the entire agreement between the parties respecting the subject matter of this Agreement, and supersede all prior understandings and agreements whether oral or in writing between the parties respecting the subject matter hereof. 24 [6-5195/City Funded Const111ction Contract.docx -revised 04/20 [6 163 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers on ________ , 20 __ CONTRACTOR: By:------------- (pr int name) ITS: Chairman/ Pre s ident / Vice-President (circle one) AN D By: ____________ _ CITY OF HUNTINGTON BEACH, a mun icip al corporation of the State of California Mayor City C lerk INITIATED ~ ~ Director of Public Works (print name) REVIEWED AND APPROVED: IT S: Secretary / Chief Financial Officer / Asst. Secretary / Treasurer (circle one) City Manager APPROVED AS TO FORM: f'k~ (,,,-City Attorney 25 L 6-5195/City Funded Co nstruction Conlract.docx -revised 04/2016 164 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers on CONTRACTOR: CITY OF HUNTINGTON BEACH, a municipal . ~~on of the State of California By: ~Mp1'r6 IJe;,,fttjdOIC~ AJtl(/}/}1 /laJof/C, • (~,,., ~M.t,.f) Mayor (print nah1e) ITS: Chainnan /President/ Vice-President {circle one) AND By: Gr~ h.a.j, ~ra Mttl. City Clerk Director of Public Works Hl>LJ ~ (~ Mu-~) (print name) REVIEWED AND APPROVED: ITS: Secretary l Chief Financial Officer / Asst. Secretary / Treasurer (circle one) City Manager APPROVED AS TO FORM: f..,v~ See attached California Acknowledgment I Jurat Statement. 25 16-5.195/City Funded Constn1clion Contract.docx -revised 04/2016 fl.-City Attorney 165 ACKNOWLEDGMENT 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 validitv of that document. State of California(~ \I?, U ) County of _j_ D 1/111 ~ l1 On UR !oil wu before me, ~am~w\~~:d,,~~~~r~Jo~li( (insert name and title of the o icer) personally appeared .4 h\tVJvVl rLa ;x)U ri I Nv':hat f ava.,hiw, f who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. (Seal) 166 =i::i J_J / / _J _j -,l _J Ocean Point Dr /j _J .J_J J.J ...J _J Utilities Operations & Warehouse -' (/) J_ I § -gi '.C I ~ ...I --,.----rj -.....-'1- Garfield Ave. I-_,i----1 i I -_ ___._ I 0 __.r.l J ...J J I ---J _ _J __J _J .,.....J..,....J Ctearharbo J 1-1 _, ..J _j__r Water Production Office Renovation CC-1767 City Council Meeting July 7, 2026 167 Project Location Map 168 / _J _j __J Ocean Point Dr Utilities Operations & Warehouse J ~ ,:: :ii a.. Project Locat ion : Water P roduct io n Offices C: .9 J Ol C: i j Garfield Ave. Clearharbo Water Production Offices •Last upgrades to space occurred in 2010 •Utilities Ops Yard Upgrade Project •Year: 2021 •Experienced roof failure causing water-leaks throughout production office facility •Current Condition •Holes in ceiling from water intrusion •Outdated infrastructure 169 Scope of Work •Remediate areas that experienced water intrusion •Reconfigure and add office space and plumbing •Upgrade HVAC, plumbing, and elect rical •Update facility to current ADA accessibility standards 170 Funding •Empire Design & Build: $ 480,000 •20% Contingency:$ 96,000 •Supplemental Costs:$ 37,880 $ 613,880 Current Funding •Water Funds (Business Unit 50685204) 171 Questions? 172 City of Huntington Beach 2000 Main Street, Huntington Beach, CA 92648 File #:26-561 MEETING DATE:7/7/2026 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Travis Hopkins, City Manager VIA:Chau Vu, Director of Public Works PREPARED BY:Eric Tello, Assistant Civil Engineer Subject: Accept Lowest Responsive and Responsible Bid and Award Construction Contract to Sequel Contractors, Inc. in the Amount of $6,783,480 for the 2025 Arterial Rehabilitation Project (CC1771) Statement of Issue: On May 28,2026, bids were publicly opened for the 2025 Arterial Rehabilitation Project. City Council action is requested to award the construction contract to Sequel Contractors, Inc., the lowest responsive and responsible bidder. Financial Impact: The total estimated cost for the project is $7,761,828, as itemized below: 00,000 Total Construction Cost $ 7,761,828 Funding for this project is available within the current fiscal year budget as outlined below: 0 . Total Funds Available $ 7,761,828 City of Huntington Beach Printed on 7/1/2026Page 1 of 3 173 I . -. - -I ' 1 ' l 1 _J File #:26-561 MEETING DATE:7/7/2026 Recommended Action: A) Accept the lowest responsive and responsible bid submitted by Sequel Contractors, Inc. in the amount of $6,783,480; and, B) Authorize the Director of Public Works to approve change orders up to 10% contingency in potential construction change orders; and, C) Approve the appropriation of $682,737 to account 125490002.82300; and, D) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney. Alternative Action(s): Do not award the contract, reject all bids, and provide an alternative direction to staff. Analysis: The scope of work for this project includes three project locations as follows: the arterial rehabilitation of Bolsa Avenue; the construction of a new storm drain segment on Frankfort Avenue; and the rehabilitation of five downtown alley segments. The project was advertised as a single project to solicit a contractor to provide best value for similar scope of work. The arterial rehabilitation of Bolsa Avenue will be approximately two (2) miles,from Bolsa Chica Street to Goldenwest Street. The street improvements will include installation of asphalt concrete pavement, traffic loops, updated signing and striping, limited replacement of concrete curbs, gutters, sidewalks and access ramps, and landscape replacement. This street segment has been chosen per the Pavement Management Plan which lists Bolsa Avenue with an average existing Pavement Condition Index (PCI) rating of 47 on a scale of 0 to 100, with 100 rating being the best condition. A PCI rating of 47 reflects that the pavement is in very poor condition, warranting the rehabilitation of this segment. The Bolsa Avenue portion of this project uses sustainable paving material called Rubberized Asphalt Concrete (RAC). RAC contains crumb rubber derived from 100% California waste tire rubber, reduces tire noise, and provides a skid-resistant surface. A 2-inch layer of RAC includes over 2,000 waste tires per lane mile. This project will divert approximately 20,000 waste tires that would otherwise end up in a landfill. The proposed storm drain improvement along Frankfort Avenue includes the installation of approximately 100 linear feet of new storm drain pipe, which will connect to an existing catch basin. The construction of this new segment will alleviate flooding of upstream alleys during large storm events. The five (5) downtown alley segments that will be rehabilitated are located between 8th Street, 11th Street, Walnut Avenue, and Pecan Avenue. The alley improvements include a 2-inch grind and overlay, minor utility adjustments, and the construction of a new driveway alley approach. The alleys City of Huntington Beach Printed on 7/1/2026Page 2 of 3 174 File #:26-561 MEETING DATE:7/7/2026 .There are 200 working days in the project schedule, representing approximately ten (10) calendar months. Staff has reviewed Sequel Contractors, Inc.’s bid and determined it to be responsive to the bid requirements. Staff has also evaluated the bidder’s qualifications and determined the firm to be responsible based on its experience performing similar rehabilitation projects. Award of the construction contract to Sequel Contractors, Inc. is recommended at the July 7,2026, City Council meeting. Environmental Status: This project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15031c under Class 1 of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential to have a significant effect on the environment. Strategic Plan Goal: Non Applicable - Administrative Item Attachment(s): 1. RCA Contract Summary 2. Sequel Contractors Construction Contract 3. Vicinity Map 4. PowerPoint Presentation City of Huntington Beach Printed on 7/1/2026Page 3 of 3 175 RCA Contract Agreement Summary CITY OF HUNTINGTON BEACH VENDOR NAME + TYPE OF SERVICE CONTRACT INFORMATION GENERAL INFORMATION TYPE OF AGREEMENT (Professional Services, Service Agreement) PROCUREMENT SCOPE OF WORK TOTAL COMPENSATION TERM OF CONTRACT/AGREEMENT OTHER: Bonds, Special Contract Terms, Emergency DATE PRESENTED REQUESTING DEPARTMENT STAFF CONTACT(S)INSURANCE STATUS 07/07/2026 In Review (Risk Management) Public Works - Engineering Eric Tello, Assistant Civil Engineer $6,783,480 200 Working Days Sequel Contractors, Inc. - CC1771 2025 Arterial Rehabilitation Construction Contract On May 28, 2026, bids were publicly opened for 2025 Arterial Rehabilitation via PlanetBids. Sequel Contractors, Inc. was determined to be the lowest responsive and responsible bidder. Rehabilitation of Bolsa Avenue (Bolsa Chica Street to Goldenwest Street), storm drain improvement near Frankfort Avenue and Delaware Street, and rehabilitation of 5 downtown alley segments between 8th Street, 11th Street, Walnut Avenue, and Pecan Avenue. Performance Bond, Payment Bond, Certificate of Insurance will be submitted after Award of Project to City Council. 176 LO CITY OF rD HUNTINGTON BEACH 177 CITY FUNDED CONSTRUCTION CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND SEQUEL CONTRACTORS, INC. FOR 2025 ARTERIAL REHABILITATION CC1771 THIS AGREEMENT ("Agreement") is made and entered into by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as "CITY," and SEQUEL CONTRACTORS, INC. , a ----------=-------------'----------- ______________ corporation, hereinafter referred to as "CONTRACTOR." WHEREAS, CITY has solicited bids for a public works project, hereinafter referred to as "PROJECT," more fully described as __ 2_0_25_A_R_T_E_RI_A_L_R_E_H_A_B_I_L_IT-'-'-A'-'--T-'-'-IO~N"-'--'-, C---"-----"'C-'-'-1-'--77'--1 _ _____________________ in the City of Huntington Beach; and CONTRACTOR has been selected to perform said services, NOW, THEREFORE, in consideration of the promises and agreements hereinafter made and exchanged the parties covenant and agree as follows: 1. STATEMENT OF WORK; ACCEPTANCE OF RISK CONTRACTOR shall complete and construct the PROJECT pursuant to this Agreement and the Contract Documents ( as hereinafter defined) and furnish, at its own cost and expense, all labor, plans, tools, equipment, supplies, transportation, utilities and all other items, services and facilities necessary to complete and construct the PROJECT in a good and workmanlike manner. CONTRACTOR agrees to fully assume the risk of all loss or damage arising out of the nature of the PROJECT, during its progress or prior to acceptance by CITY, from the action of the elements, from any unforeseen difficulties which may arise or be encountered in the 1 16-5195/City Funded Construction Contract.docx -revised 04/2016 178 prosecution of work, and for all other risks of any description in connection with the work, including, but not limited to, all expenses incurred by or in consequence of the suspension or discontinuance of work, except such as are herein expressly stipulated to be borne by CITY, and for well and faithfully completing the work within the stipulated time and in the manner shown and described in this Agreement, and in accordance with the requirements of CITY for the compensation set forth in the accepted bid proposal. 2. ACCEPTANCE OF CONDITIONS OF WORK; PLANS AND SPECIFICATIONS CONTRACTOR acknowledges that it is fully familiar with all the terms, conditions and obligations of this Agreement and the Contract Documents (as defined below in this Section), has inspected the location of the job site, and the conditions under which the work is to be performed, and that it enters into this Agreement based upon its thorough investigation of all such matters and is relying in no way upon any opinions or representations of CITY. It is agreed that the Contract Documents are incorporated into this Agreement by this reference, with the same force and effect as if the same were set forth at length herein, and that CONTRACTOR and its subcontractors, if any, shall be bound by the Contract Documents insofar as they relate in part or in any way, directly or indirectly, to the work covered by this Agreement. "Contract Documents" as defined herein mean and include: A. This Agreement; B. Bonds covering the work herein agreed upon; C. The CITY's standard Plans and Specifications and special contractual provisions, including those on file in the office of the Department of Public Works of CITY, and any revisions, amendments or addenda thereto; 2 16-5195/City Funded Construction Contract.docx -revised 04/2016 179 D. The edition of Standard Specifications for Public Works Construction, published by Builders' News, Inc., 10801 National Boulevard, Los Angeles, CA 90064, and all amendments thereto, written and promulgated by the Southern California chapter of the American Public Works Association and the Southern California District Associated General Contractors of the California Joint Cooperative Committee as specified in the particular Plans, Specifications, Special Provisions and Addendum applicable to the Project; E. Bid documents including the Notice Inviting Bids, the Special Instructions to Bidders and the CONTRACTOR's proposal, (which is attached hereto as Exhibit "A" and incorporated herein by this reference); F. The particular Plans, Specifications, Special Provisions and Addenda applicable to the PROJECT. Anything mentioned in the Specifications and not indicated in the Plans or indicated in the Plans and not mentioned in the Specifications, shall be of like effect as if indicated and mentioned in both. In case of a discrepancy between any Plans, Specifications, Special provisions, or Addenda, the matter shall be immediately submitted by CONTRACTOR to the Director of Public Works of CITY or his or her written designee (hereinafter referred to as "DPW"), and CONTRACTOR shall not attempt to resolve or adjust the discrepancy without the decision ofDPW, save only at its own risk and expense. Should there be any conflict between the terms of this Agreement and the bid or proposal of CONTRACTOR, then this Agreement shall control and nothing herein shall be considered as an acceptance of the terms of the bid or proposal which is in conflict herewith. 3 16-5195/City Funded Construction Contract.docx -revised 04/2016 180 3. COMPENSATION CITY agrees to pay and CONTRACTOR agrees to accept as full compensation for the faithful performance of this Agreement, subject to any additions or deductions made under the provisions of this Agreement or the Contract Documents, a sum not to exceed SIX MILLION, SEVEN HUNDRED EIGTHY-THREE THOUSAND, FOUR HUN Dollars ($ ___ 6_, 7_8_3_,4_8_0_.0_0_~), as set forth in the Contract Documents, to be paid as provided in this Agreement. 4. COMMENCEMENT OF PROJECT CONTRACTOR agrees to commence the PROJECT within ten (10) working days after the Notice To Proceed is issued and diligently prosecute the PROJECT to completion within TWO HUNDRED ( 200 ) consecutive Working days from the --------------- day the Notice to Proceed is issued by DPW, excluding delays provided for in this Agreement. 5. TIME OF THE ESSENCE The parties hereto recognize and agree that time is of the essence in the performance of this Agreement and each and every provision of the Contract Documents. CONTRACTOR shall prepare and obtain approval as required by the Contract Documents for all shop drawings, details and samples, and do all other things necessary and incidental to the prosecution of its work in conformance with the progress schedule set forth in the Contract Documents. CONTRACTOR shall coordinate its work with the work of all other contractors, subcontractors, and CITY forces working on the PROJECT in a manner that will facilitate the efficient completion of the PROJECT and in accordance with the terms and provisions of this Agreement. CITY shall have complete control of the premises on which the work is to be performed and shall have the right to decide the time and order in which the various portions of the work shall be performed and the priority of the work of other contractors, 4 16-5195/City Funded Construction Contract.docx -revised 04/2016 181 subcontractors and CITY forces and, in general, all matters concerning the timely and orderly conduct of the work of CONTRACTOR on the premises. 6. CHANGES CONTRACTOR shall adhere strictly to the plans and specifications set forth in the Contract Documents unless a change therefrom is authorized in writing by DPW. CONTRACTOR agrees to make any and all changes, furnish materials and perform all work necessary within the scope of the PROJECT as DPW may require in writing. Under no condition shall CONTRACTOR make any changes without the prior written order or acceptance of DPW, and CITY shall not pay any extra charges made by CONTRACTOR that have not been agreed upon in writing by DPW. When directed to change the work, CONTRACTOR shall submit immediately to DPW a written cost proposal reflecting the effect of the change. Should DPW not agree to such cost proposal, the work shall be performed according to the changes ordered in writing by DPW and the proper cost thereof shall be negotiated by the parties upon cost and pricing data submitted by CONTRACTOR; thereupon, CITY will promptly issue an adjusted change order to CONTRACTOR and the contract price will be adjusted upward or downward accordingly. 7. NOTICE TO PROCEED No work, services, material, or equipment shall be performed or furnished under this Agreement unless and until a Notice to Proceed has been given to CONTRACTOR by CITY. CITY does not warrant that the work will be available on the date the Notice to Proceed is issued. In the event of a delay in commencement of the work due to unavailability of the job site, for any reason, relief to CONTRACTOR shall be limited to a time extension equal to the delay due to such unavailability. 5 16-5195/City Funded Construction Contract.docx-revised 04/2016 182 8. BONDS Only bonds issued by California admitted sureties will be accepted. CONTRACTOR shall, prior to its performance of this Agreement, furnish the following two (2) bonds approved by the City Attorney: One in the amount of one hundred percent (100%) of the contract price to guarantee the CONTRACTOR's faithful performance of the work, and one in the amount of one hundred percent of the contract price to guarantee payment of all claims for labor and materials furnished. In addition, CONTRACTOR shall submit to CITY a bond in the amount of one hundred percent (100%) of the final contract price, including all change orders, to warrant such performance for a period of one (1) year after CITY's acceptance thereof within ten (10) days of filing of the Notice of Completion. 9. WARRANTIES CONTRACTOR unconditionally guarantees all work done under this Agreement including, but not limited to, any workmanship, installation, fabrication, material or structural facilities constructed. CONTRACTOR, within ten (10) days after notice by CITY of any defect in the work, shall have the option to make appropriate repairs or replace the defective item or items. Upon expiration of such ten (10) day period, CITY may then make appropriate repair or replacement at CONTRACTOR's risk and own cost and expense. 10. INDEPENDENT CONTRACTOR It is understood and agreed that CONTRACTOR is, and shall be, acting at all times hereunder as an independent contractor and not an employee of CITY. CONTRACTOR shall secure at its own cost and expense, and be responsible for any and all payment of all taxes, social security, state disability insurance compensation, unemployment compensation and other payroll 6 16-5195/City Funded Construction Contract.docx -revised 04/2016 183 deductions for CONTRACTOR and its officers, agents and employees and all business licenses, if any, in connection with the PROJECT and/or the services performed hereunder. 11. LIQUID A TED DAMAGES/DELAYS It is agreed by the parties hereto that in case the total work called for hereunder is not in all parts and requirements finished or completed within the number of calendar days as set forth herein, damage will be sustained by CITY; and that it is, and would be, impractical and extremely difficult to ascertain and determine the actual damage which CITY would sustain in the event of and by reason of such delay. It is, therefore, agreed that CONTRACTOR will pay to CITY, as liquidated damages and not as a penalty, the sum of __ ___:;_O_N_E_T_H_O_;_U_SAND_---'-, F_I_V_E_H_UN_D_RE_D_D_O_L_L_A_R_S __ ($ 1,500.00 ) per each calendar day's delay in completing the work in excess of the number of working/calendar days set forth herein, which represents a reasonable endeavor by the parties hereto to estimate a fair compensation for the foreseeable damages CITY would sustain in the event of and by reason of such· delay; and CONTRACTOR agrees to pay these damages herein provided, and further agrees that CITY may deduct the amount thereof from any monies due or that may become due to CONTRACTOR hereunder. CONTRACTOR will be granted an extension of time and will not be assessed damages for any portion of the delay in the completion of the work due to unforeseeable causes beyond the control and without the fault or negligence of CONTRACTOR, including, but not limited to, acts of God or of the public enemy, fire, floods, epidemics, quarantine restrictions, strikes, unsuitable weather, or delays of subcontractors due to such causes. CONTRACTOR shall, within fifteen (15) days from the beginning of any such delay (unless DPW shall grant a further period of time), notify DPW in writing of the cause of the 7 16-5195/City Funded Construction Contract.docx -revised 04/2016 184 delay and CITY shall extend the time for completing the work if, in its judgment, the findings of fact thereon justify the delay; and the decision of DPW shall be conclusive on the parties hereto. Should CONTRACTOR be delayed in the prosecution or completion of the work by the act, neglect or default of CITY, or should CONTRACTOR be delayed by waiting for materials required by this Agreement to be furnished by CITY, or by damage caused by fire or other casualty at the job site for which CONTRACTOR is not responsible, or by the combined action of the workers, in no way caused by or resulting from default or collusion on the part of CONTRACTOR, or in the event of a lockout by CITY, then the time herein fixed for the completion of the work shall be extended by the number of days CONTRACTOR has thus been delayed, but no allowance or extension shall be made unless a claim therefor is presented in writing to CITY within fifteen (15) days of the commencement of such delay. No claims for additional compensation or damages for delays, irrespective of the cause thereof, and including without limitation the furnishing of materials by CITY or delays by other contractors or subcontractors will be allowed and an extension of time for completion shall be the sole remedy of CONTRACTOR. 12. DEMANDS FOR ADDITIONAL TIME OR MONEY. A. Definitions. (1) "Change Order" means a document signed by the CONTRACTOR and CITY which authorizes an addition, deletion or revision in the work, or an adjustment in the Compensation under Section 3, or the Completion Time specified at Section 4. (2) "Demand" means a written demand for a Change Order by the CONTRACTOR for any of the following: (a) A time extension; 8 16-5195/City Funded Construction Contract.docx -revised 04/2016 185 (b) Payment of money or damages arising from work done by, or on behalf of, the CONTRACTOR pursuant to this Agreement and payment of which is not expressly permitted pursuant to Section 3 of this Agreement; (c) Payment of an amount the CITY disputes; (d) Any disputes and other matters relating to the acceptability of the work performed or the interpretation of the Contract Documents; (e) A request for a time extension or additional payment based upon differing site conditions, such as subsurface or latent physical conditions at the job site differing materially from those indicated in this Agreement or the Contract Documents, or unknown physical conditions at the job site, of an unusual nature, differing materially from those ordinarily encountered and generally recognized as inherent to work of the PROJECT; or (f) A request for a time extension or additional payment based upon acts of neglect by CITY or due to fires, floods, labor disputes, epidemics, abnormal weather conditions or acts of God. B. A Demand for a time extension or payment of money or damages may only be granted by a Change Order. C. No Change Order may be granted except where the Contractor has submitted a Demand to the DPW ( or his or her written designee ). All Demands shall be submitted promptly, but in no event later than thirty (30) days after the occurrence of the event giving rise to the Demand. The Demand shall be in writing and include all documents necessary to substantiate the Demand. The DPW shall act on the Demand within fifteen (15) days after receipt, including by requesting additional information from the CONTRACTOR to determine whether to approve the Change Order the Demand seeks. The DPW shall act on the Demand within fifteen (15) days 9 16-5195/City Funded Construction Contract.docx -revised 04/2016 186 after receipt of the additional information or within a period of time no greater than the time the CONTRACTOR took to produce the additional information requested, whichever is greater. D. Notwithstanding the thirty (30) days to submit a Demand under Subparagraph C, m the case of differing or unknown site conditions, immediately upon encountering the conditions, CONTRACTOR shall notify the DPW in writing of the conditions, so that the CITY may promptly investigate the conditions. E. If the CONTRACTOR disputes the DPW's written response on the Demand, or the CITY fails to respond within the time prescribed, the CONTRACTOR may so notify the City Engineer, in writing, either within fifteen (15) days ofreceipt of the City Engineer's response or within fifteen (15) days of the DPW' s failure to respond within the time prescribed, respectively, and request an informal conference to meet and confer for settlement of the Demand. Upon the CONTRACTOR's request, the DPW shall schedule a meet and confer conference within thirty (30) days to seek to resolve. F. CITY and CONTRACTOR shall execute appropriate Change Orders covering changes to the time or price by executing the Change Order by mutual agreement. If the CITY and CONTRACTOR are unable to reach a mutual agreement, then the City Engineer shall issue a written decision on the claim within a reasonable time. G. Following the meet and confer conference, if the Demand remains m dispute, the CONTRACTOR may file a claim with the City as provided in Chapter 1 ( commencing with Section 900) and Chapter 2 (commencing with Section 910) of Part 3 of Division 3.6 of Title 1 of the Government Code. For purposes of those provisions, the running of the period of time within which a claim must be filed shall be tolled from the time the CONTRACTOR submits his 10 16-5195/City Funded Construction Contract.docx -revised 04/2016 187 or her Demand until the Demand is denied as a result of the meet and confer process, including any period of time utilized by the meet and confer process. 13. VARIATIONS IN ESTIMATED QUANTITIES The quantities listed in the bid schedule will not govern final payment. Payment to CONTRACTOR will be made only for the actual quantities of contract items used in construction of the PROJECT, in accordance with the plans and specifications. Upon completion of the PROJECT, if the actual quantities used are either more than or less than the quantities listed in the bid schedule, the bid price shall prevail subject to the provisions of this Section. DPW may, at its sole discretion, when warranted by the facts and circumstances, order an equitable adjustment, upwards or downwards, in payment to CONTRACTOR where the actual quantities used in construction of the PROJECT are in variation to the quantities listed in the bid schedule. No claim by CONTRACTOR for an equitable adjustment in price or time for completion shall be allowed if asserted after final payment under this Agreement. If the quantity variation is such as to cause an increase in the time necessary for completion, DPW shall ascertain the facts and circumstances and make such adjustment for extending the completion date as in its sole judgment the findings warrant. 14. PROGRESS PAYMENTS Each month DPW will make an estimate in writing of the work performed by CONTRACTOR and the value thereof. From each progress estimate, five percent (5%) will be deducted and retained by CITY and the remainder of the progress estimate, less the amount of all previous payments since commencement of the work, will be paid to CONTRACTOR. When CONTRACTOR has, in the judgment of DPW, faithfully executed fifty percent (50%) or more of the value of the work as determined from the bid schedule, and if DPW finds that satisfactory progress has been and is being made, CONTRACTOR may be paid such 11 16-5195/City Funded Construction Contract.docx -revised 04/2016 188 sum as will bring the payments of each month up to one hundred percent (100%) of the value of the work completed since the commencement of the PROJECT, as determined in its sole discretion by DPW, less all previous payments and less all previous retained amounts. CITY's final payment to CONTRACTOR, if unencumbered, or any part thereof unencumbered, shall be made thirty-five (35) days after the acceptance of the work and the filing of a Notice of Completion by CITY. Provided, however, that in the event of a dispute between CITY and CONTRACTOR, CITY may withhold from the final payment an amount not to exceed 150 percent of the value of any disputed amount of work. Payments shall be made on demands drawn in the manner required by law, each payment to be accompanied by a certificate signed by DPW, affirming that the work for which payment is demanded has been performed in accordance with the terms of the Agreement and that the amount stated in the certificate is due under the terms of the Agreement. Partial payments on the contract price shall not be considered as an acceptance of any part of the work. 15. WITHHELD CONTRACT FUNDS, SUBSTITUTION OF SECURITIES At the request and at the sole cost and expense of CONTRACTOR, who shall retain beneficial ownership and receive interest, if any thereon, CITY shall permit the substitution and deposit therewith of securities equivalent to the amount of any monies withheld by CITY to ensure performance under the terms of this Agreement. 16. AFFIDAVITS OF SATISFACTION OF CLAIMS After the completion of the work contemplated by this Agreement, CONTRACTOR shall file with DPW its affidavit stating that all workers and persons employed, all firms supplying materials and all subcontractors working upon the PROJECT have been paid in full and that there are no claims outstanding against the PROJECT for either labor or material, except certain items, if any, to be set forth in CONTRACTOR's affidavit covering disputed claims, 12 16-5195/City Funded Construction Contract.docx -revised 04/2016 189 or items in connection with Notices to Withhold, which have been filed under the provisions of the statutes of the State of California. 17. W AIYER OF CLAIMS The acceptance by CONTRACTOR of the payment of the final certificate shall constitute a waiver of all claims against CITY under or arising out of this Agreement. A. The CITY has ascertained from the Director of Industrial Relations of the State of California the general prevailing rate of per diem wages and the general prevailing rate for legal holiday and overtime work in the locality in which the work is to be performed for each craft or type of work needed to execute this Agreement, and the same has been set forth by resolution on file in the office of the City Clerk of CITY. CONTRACTOR and any subcontractor under it shall pay not less than said prevailing wage rates to all workers employed on this public works Agreement, as required by California Labor Code Sections 1771 and 1774. In accordance with the provisions of Section 3700 of the California Labor Code, CONTRACTOR agrees to secure payment of compensation to every employee. B. Pursuant to this Agreement and in accordance with Section 1774 and 1775 of the California Labor Code, CONTRACTOR shall, as penalty to CITY, forfeit twenty-five dollars ($25) for each calendar day or portion thereof for each worker paid ( either by CONTRACTOR or any of its subcontractors) less than the prevailing wage rate established for that particular craft or type of work. 18. CALIFORNIA PREVAILING WAGE LAW A. The CITY has ascertained from the Director of Industrial Relations of the State of California the general prevailing rate of per diem wages and the general prevailing rate for legal holiday and overtime work in the locality in which the work is to be performed for each craft or type of work needed to execute this Agreement, and the same has been set forth by 13 16-519 5/City Funded Construction Contract.docx -revised 04/2016 190 resolution on file in the office of the City Clerk of CITY. CONTRACTOR and any subcontractor under it shall pay not less than said prevailing wage rates to all workers employed on this public works Agreement, as required by California Labor Code Sections 1771 and 1774. In accordance with the provisions of Section 3700 of the California Labor Code, CONTRACTOR agrees to secure payment of compensation to every employee. B. Pursuant to this Agreement and in accordance with Section 1774 and 1775 of the California Labor Code, CONTRACTOR shall, as penalty to CITY, forfeit twenty-five dollars ($25) for each calendar day or portion thereof for each worker paid (either by CONTRACTOR or any of its subcontractors) less than the prevailing wage rate established for that particular craft or type of work. 19. CALIFORNIA EIGHT-HOUR LAW A. California Labor Code, Sections 1810 et seq, shall apply to the performance of this Agreement; thereunder, not more than eight (8) hours shall constitute one day's work and CONTRACTOR and each subcontractor employed by its hereunder, shall not require more than eight (8) hours of labor per day or forty ( 40) hours per week from any one person employed by it hereunder, except as stipulated in California Labor Code Section 1815. CONTRACTOR and each subcontractor employed by it hereunder shall, in accordance with California Labor Code Section 1812, keep an accurate record, open to inspection at all reasonable hours, showing the name and actual hours worked each calendar day and each calendar week by each worker employed in connection with the PROJECT. B. Pursuant to this Agreement and in accordance with California Labor Code Section 1813, CONTRACTOR shall, as a penalty to CITY, forfeit twenty-five dollars ($25) for each worker employed hereunder by CONTRACTOR or any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one 14 16-5195/City Funded Construction Contract.docx -revised 04/2016 191 (1) calendar day or forty ( 40) hours in any one (1) calendar week in violation of California Labor Code Section 1815. 20. PAYMENT OF TRAVEL AND SUBSISTENCE ALLOWANCE Section 1773.8 of the California Labor Code, regarding the payment of travel and subsistence allowance is applicable to this PROJECT. 21. EMPLOYMENT OF APPRENTICES Section 1777 .5 of the California Labor Code, regarding the employment of apprentices is applicable to this PROJECT. 22. PAYROLL RECORDS CONTRACTOR agrees to keep accurate payroll record showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice or worker employed by it in connection with the PROJECT and agrees to require each of its subcontractors to do the same. CONTRACTOR further agrees that its payroll records and those of its subcontractors, if any, shall be available at all reasonable times to the CITY, and the employee or his representative, and the Division of Labor Standards Enforcement and the Division of Apprenticeship Standards, and to comply with all of the provisions of California Labor Code Section 1776, in general. 23. INDEMNIFICATION. DEFENSE. HOLD HARMLESS CONTRACTOR hereby agrees to protect, defend, indemnify and hold harmless CITY, its officers, elected or appointed officials, employees, agents, and volunteers from and against any and all claims, damages, losses, expenses, judgments, demands, defense costs, and consequential damage or liability of any kind or nature, however caused, including those resulting from death or injury to CONTRACTOR's employees and damage to CONTRACTOR's property, 15 16-5195/City Funded Construction Contract.do ex -revised 04/2016 192 ansmg directly or indirectly out of the obligations or operations herein undertaken by CONTRACTOR, caused in whole or in part by any negligent act or omission of the CONTRACTOR, any subcontractors, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, including but not limited to concurrent active or passive negligence, except where caused by the active negligence, sole negligence, or willful misconduct of the CITY, its officers, elected or appointed officials, employees, agents, and volunteers. CONTRACTOR will conduct all defense at its sole cost and expense and CITY shall approve selection of CONTRACTOR's counsel. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by CONTRACTOR. 24. WORKERS' COMPENSATION AND EMPLOYER'S LIABILITY INSURANCE Pursuant to California Labor Code Section 1861, CONTRACTOR acknowledges awareness of Section 3700 et seq. of this Code, which requires every employer to be insured against liability for workers' compensation; CONTRACTOR covenants that it will comply with such provisions prior to commencing performance of the work hereunder. CONTRACTOR shall obtain and furnish to City workers' compensation and employer's liability insurance in an amount of not less than the State statutory limits. CONTRACTOR shall require all subcontractors to provide such workers' compensation and employer's liability insurance for all of the subcontractors' employees. CONTRACTOR shall furnish to CITY a certificate of waiver of subrogation under the terms of the workers' compensation and employer's liability insurance and CONTRACTOR shall similarly require all subcontractors to waive subrogation. 16 16-5195/City Funded Construction Contract.docx -revised 04/2016 193 25. INSURANCE In addition to the workers' compensation and employer's liability insurance and CONTRACTOR's covenant to defend, hold harmless and indemnify CITY, CONTRACTOR shall obtain and furnish to CITY, a policy of general public liability insurance, including motor vehicle coverage covering the PROJECT. This policy shall indemnify CONTRACTOR, its officers, employees and agents while acting within the scope of their duties, against any and all claims arising out or in connection with the PROJECT, and shall provide coverage in not less than the following amount: combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of One Million Dollars ($1,000,000) per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than One Million Dollars ($1,000,000) for this PROJECT. This policy shall name CITY, its officers, elected or appointed officials, employees, agents, and volunteers (the "Additionally Insured Parties") as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the PROJECT shall be deemed excess coverage and that CONTRACTOR's insurance shall be primary and non-contributory with any other valid and collectible insurance or self-insurance available to the Additionally Insured Parties. Any available insurance proceeds in excess of the minimum coverage amount specified herein shall be available to the Additionally Insured Parties. All coverage available to CONTRACTOR shall also be available to the Additionally Insured Parties. Under no circumstances shall said above-mentioned insurance contain a self-insured retention without the express written consent of CITY; however an insurance policy "deductible" of Five Thousand Dollars ($5,000.00) is permitted. CONTRACTOR shall be responsible for causing all Subcontractors to maintain the same types and limits of insurance coverage as that required of CONTRACTOR by this Agreement. 17 16-5195/City Funded Construction Contract.docx -revised 04/2016 194 26. CERTIFICATES OF INSURANCE; ADDITIONAL INSURED ENDORSEMENTS Prior to commencing performance of the work hereunder, CONTRACTOR shall furnish to CITY certificates of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverages as required by this Agreement; the certificates shall: 1. Provide the name and policy number of each carrier and policy; 2. State that the policy is currently in force; and 3. Promise to provide that such policies will not be canceled or modified without thirty (30) days' prior written notice of CITY. CONTRACTOR shall maintain the foregoing insurance coverages in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverages shall not derogate from the CONTRACTOR's defense, hold harmless and indemnification obligations as set forth under this Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of all the policies of insurance. CONTRACTOR shall pay, in a prompt and timely manner, the premiums on all insurance hereinabove required. CONTRACTOR shall provide a separate copy of the additional insured endorsement to each of CONTRACTOR's insurance policies, naming CITY, its officers, elected and appointed officials, employees, agents and volunteers as Additional Insureds, to the City Attorney for approval prior to any payment hereunder. 27. NOTICE OF THIRD PARTY CLAIM Pursuant to Public Contracts Code §9202, CITY shall provide notice to CONTRACTOR of receipt of any claim filed with CITY or a court of competent jurisdiction which arises out of performance of this agreement within ten ( 10) days of receipt of such claim or claims. 18 16-5195/City Funded Construction Contract.docx -revised 04/2016 195 28. DEFAULT AND TERMINATION If CONTRACTOR fails or refuses to prosecute the work hereunder with diligence, or fails to complete the work within the time specified, or is adjudged bankrupt or makes an assignment for the benefit of creditors or becomes insolvent, or violates any provision of this Agreement or the Contract Documents, CITY may give CONTRACTOR notice in writing of its intention to terminate this Agreement. Unless the violation is cured within ten (10) days after such Notice of Intention has been served on CONTRACTOR, CITY may, without prejudice to any other remedy it may have, terminate this Agreement upon the expiration of that time. Upon such default by CONTRACTOR, CITY may elect not to terminate this Agreement; in such event CITY may make good the deficiency in which the default consists and deduct the resulting costs from the progress payments then or to become due to CONTRACTOR. If it is subsequently determined by a court of competent jurisdiction that CITY's termination of this Agreement under this Section was wrongful, such termination shall be converted to a termination for convenience under Section 29 and any damages shall be assessed as set forth in Section 29. 29. TERMINATION FOR CONVENIENCE CITY may terminate this Agreement for convenience at any time with or without cause, and whether or not PROJECT is fully complete upon seven (7) calendar days written notice to CONTRACTOR. In the event of termination, under this Section CITY shall pay CONTRACTOR for value of work in place on the PROJECT through the termination period less all such payments already made. In case of such termination for convenience, the CONTRACTOR shall be entitled to receive payment for work executed, and costs incurred by reason of such termination. In no event shall CONTRACTOR be entitled to recover overhead, profit or CONTRACTOR' s fee on work not performed. Such payment by CITY shall be CONTRACTOR's 19 16-5195/City Funded Construction Contract.docx -revised 04/2016 196 sole and exclusive remedy for termination by CITY for its convenience and CITY shall have no further obligation to CONTRACTOR. 30. DISPOSITION OF PLANS, ESTIMATES AND OTHER DOCUMENTS CONTRACTOR agrees that upon completion of the work to be performed hereunder, or upon expiration or earlier termination of this Agreement, all original plans, specifications, drawings, reports, calculations, maps and other documents pertaining to this Agreement shall be delivered to CITY and become its sole property at no further cost. 31. NONASSIGNABILITY CONTRACTOR shall not sell, assign, transfer, convey or encumber this Agreement, or any part hereof, or any right or duty created herein, without the prior written consent of CITY and the surety. 32. CITY EMPLOYEES AND OFFICIALS CONTRACTOR shall employ no CITY official nor any regular CITY employee in the work performed pursuant to this Agreement. No officer or employee of CITY shall have any financial interest in this Agreement in violation of the California Government Code. 33. STOP NOTICES; RECOVERY OF ADMINISTRATIVE COSTS CITY shall be entitled to all reasonable administrative costs and necessary disbursements arising out of the processing of Stop Notices, Notices to Withhold, or any similar legal document. This obligation shall be provided for in the labor and materials payment bond required .of CONTRACTOR. CITY may charge an administrative fee of One Hundred Dollars ($100) for every Stop Notice filed in excess of two (2), regardless of whether or not CITY is named in an action to enforce such stop notices. CITY may set off any unreimbursed cost or expense so incurred against any sum or sums owed by CITY to CONTRACTOR under this Agreement. 20 16-5195/City Funded Construction Contract.docx -revised 04/2016 197 34. NOTICES Any notices, certificates, or other communications hereunder shall be given either by personal delivery to CONTRACTOR's agent (as designated in Section 1 hereinabove) or to CITY as the situation shall warrant, or by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, to the addresses specified below; provided that CITY and CONTRACTOR may designate different addresses to which subsequent notices, certificates or other communications will be sent by notifying the other party via personal delivery, reputable overnight carrier or U.S. certified mail-return receipt requested: TO CITY: TO CONTRACTOR: City of Huntington Beach ATTN:ERIC TELLO , Public Works SEQUEL CONTRACTORS, INC. ATTN: THOMASS.PACK 2000 Main Street 13546 IMPERIAL HIGHWAY Huntington Beach, CA 92648 SANTA FE SPRINGS, CA 90670 35. SECTION HEADINGS The titles, captions, section, paragraph and subject headings, and descriptive phrases at the beginning of the various sections in this Agreement are merely descriptive and are included solely for convenience ofreference only and are not representative of maters included or excluded from such provisions, and do not interpret, define, limit or describe, or construe the intent of the parties or affect the construction or interpretation of any provision of this Agreement. 21 16-5195/City Funded Construction Contract.docx -revised 04/2016 198 36. IMMIGRATION CONTRACTOR shall be responsible for full compliance with the immigration and naturalization laws of the United States and shall, in particular, comply with the provisions of United States Code Section 1324a regarding employment verification. 37. LEGAL SERVICES SUBCONTRACTING PROHIBITED CONTRACTOR and CITY agree that CITY is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. CONTRACTOR understands that pursuant to Huntington Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for CITY; and CITY shall not be liable for payment of any legal services expenses incurred by CONTRACTOR. 38. ATTORNEY'S FEES In the event suit is brought by either party to construe, interpret and/or enforce the terms and/or provisions of this Agreement or to secure the performance hereof, each party shall bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its attorney's fees from the non-prevailing party. 39. INTERPRETATION OF THIS AGREEMENT The language of all parts of this Agreement shall in all cases be construed as a whole, according to its fair meaning, and not strictly for or against any of the parties. If any provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent upon any other unless so expressly provided here. As used in this Agreement, the masculine or neuter gender and singular or plural number shall be deemed to include the other whenever the 22 16-5195/City Funded Construction Contract.docx -revised 04/2016 199 context so indicates or requires. Nothing contained herein shall be construed so as to require the commission of any act contrary to law, and wherever there is any conflict between any provision contained herein and any present or future statute, law, ordinance or regulation contrary to which the parties have no right to contract, then the latter shall prevail, and the provision of this Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to bring it within the requirements of the law. 40. GOVERNING LAW This Agreement shall be governed and construed in accordance with the laws of the State of California. 41. DUPLICATE ORIGINAL The original of this Agreement and one or more copies hereto have been prepared and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the date of its execution and delivery, be deemed an original. Each duplicate original shall be deemed an original instrument as against any party who has signed it. 42. CONSENT Where CITY's consent/approval is required under this Agreement, its consent/approval for one transaction or event shall not be deemed to be consent/approval to any subsequent occurrence of the same or any other transaction or event. 43. SURVIVAL Terms and conditions of this Agreement, which by their sense and context survive the expiration or termination of this Agreement shall so survive. 44. MODIFICATION No waiver or modification of any language in this Agreement shall be valid unless in writing and duly executed by both parties. 23 16-5195/City Funded Construction Contract.docx -revised 04/2016 200 45. SIGNATORIES Each undersigned represents and warrants that its signature hereinbelow has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify CITY fully for any injuries or damages to CITY in the event that such authority or power is not, in fact, held by the signatory or is withdrawn. 46. ENTIRETY The parties acknowledge and agree that they are entering into this Agreement freely and voluntarily following extensive arm's length negotiation, and that each has had the opportunity to consult with legal counsel prior to executing this Agreement. The parties also acknowledge and agree that no representations, inducements, promises, agreements or warranties, oral or otherwise, have been made by that party or anyone acting on that party's behalf, which are not embodied in this Agreement, and that that party has not executed this Agreement in reliance on any representation, inducement, promise, agreement, warranty, fact or circumstance not expressly set forth in this Agreement. This Agreement, and the attached Exhibit "A", contain the entire agreement between the parties respecting the subject matter of this Agreement, and supersede all prior understandings and agreements whether oral or in writing between the parties respecting the subject matter hereof. 24 16-5195/City Funded Construction Contract.docx -revised 04/2016 201 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers on JIHIL. )0 . ,20~ CON~ By: -"~'-'--------/-----F--"----FF----=~--------- Thomas S. Pack, President (print name) ITS: Chairman~/ Vice-President (cir r;/e one) B~ Michael A. Mahler, Secretary CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California Mayor City Clerk INITIATEV~ Director of Public Works rint name) REVIEWED AND APPROVED: ITS: / Chief Financial Officer / Asst. City Manager APPROVED AS TO FORM: ?~ 25 16-5195 /City Funded Construction Contract.docx -revised 04/2016 f,-City Attorney 202 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers on ________ , 20 CONTRACTOR: By: ____________ _ (print name) ITS: Chairman / President / Vice-President (circle one) AND By: _____________ _ CITY OF HUNTINGTON BEACH, a municipal corporation of the State of California Mayor City Clerk mITIATE7~ Director of Public Works (print name) REVIEWED AND APPROVED : ITS: Secretary / Chief Financial Officer / Asst. Secretary / Treasurer (circle one) City Manager APPROVED AS TO FORM: p~ 25 16-5195 /City Funded Construction Contract.do ex -revised 04/2016 ~ City Attorney 203 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE§ 1189 A notary public or other officer completing th is certificate verifies only the identity of the indi vidual who signed the document to wh ich th is certificate is attached , and not the truthfulness , accuracy, or validity of that document. State of California County of l-cS A~6 on -"-1'/~1 o'-+J"""u, _____ before me , __ D_5_m_·ef_B_,t.1_-s_ta_m_an_-t_e_. N_o_ta_ry_Pu_-bll_-_c _____ _ Date 1 Here Insert Name and Title of the Officer personally appeared -½~.L.\"'-"'l"kS~---s-'-._£--¥"'-~k~~wi~J __,_/1=rtJ~l="'~) ~A~---.M,-...,.=,,.b=}=~~------- Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that f'te/s'he/they ex ecuted the same in l"ris.(f"l'el:;/their authorized capacity(ies), and that by l'ti'SLh'Sr/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, ex ecuted the instrument. DANIEL BUST.4MANTE Notary Public • California Los Angeies County Commission# 2513546 My Comm. Expires Mar L 2029 Place Notary Seal Above I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and co rrect. WITN ESS my hand and official seal. Signature ~~ 2J~ Signature of Notary Public ----------------OPTIONAL---------------- Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: ____________________________ _ Document Date : ___________________ Number of Pages: _____ _ Signer(s) Other Than Named . Abo v e: ______________________ _ Capacity(ies) Claimed by Signer(s) Signer's Name: ____________ _ Signer's Name: ____________ _ □ Corporate Officer -Title(s): ______ _ □ Corporate Officer -Title(s): ______ _ □ Partner -□ Limited □ General □ Partner -□ Limited □ General □ Individual □ Attorney in Fact □ Individual □ Attorney in Fact □ Trustee □ Guardian or Conservato r □ Trustee □ Guardian or Conservator □Other: _____________ _ □ Other : ______________ _ Signer Is Representing: _________ _ Signer Is Representing : _________ _ '""~~"'Q(;~~~-"g;,'Q<;,'§ii:.~~'g;_~-g;,~"'§;;t,'9"~'§?3,~~~'Q<;;~~"'<,'§K;'Q(,~~~~v ~sgcg:c~~ ©2016 National Notary Association • www.NationalNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 204 SEQUEL CONTRACTORS, INC. Fax (562) 802-7499 ST. LIC #610600A 13546 IMPERIAL HWY SANTA FE SPRINGS, CA 90670 (562) 802-7227 Office ACTION BY UNANIMOUS WRITTEN CONSENT OF THE BOARD OF DIRECTORS OF SEQUEL CONTRACTORS, INC. The undersigned being all of the Directors of SEQUEL CONTRA TORS, INC. a California Corporation, do hereby take the following action by this written consent at a meeting of the Board of Directors held on April 4, 2024 in accordance with the Bylaws of the Corporation and the California Corporation Code. WHEREAS, the Board of Directors deems it advisable to authorize the officers of the Corporation, Abel Magallanes, Thomas S. Pack and Michael A. Mahler, respectively, to execute bid bonds on behalf of the Corporation with any agency, person, company or municipality; RESOLVED FURTHER, that Abel Magallanes, Thomas S. Pack and Michael A. Mahler are authorized to execute labor, material, and faithful performance bonds in connection with contracts to be entered into with any agency, person, company or municipality; RESOLVED FURTHER, that Abel Magallanes, Thomas S. Pack and Michael A. Mahler are authorized and directed to execute and deliver street improvement contracts and related agreements with any agency, person, company or municipality on such terms conditions as they deem advisable in their sole discretion; RESOLVED FURTHER, that Abel Magallanes, Thomas S. Pack and Michael A. Mahler be, and they hereby are authorized by their sole signatures on any document to bind this corporation to contract, bids, bonds, etc.; RESOLVED FURTHER, that Abel Magallanes, Thomas S. Pack and Michael A. Mahler be, and they hereby are authorized and directed to take any and all such other actions and execute such other documents as may be necessary or appropriate to carry out the purposes of the foregoing authorizations. In witness thereof, the undersigned Directors have executed this unanimous written consent to indicate this adoption of the consent of the foregoing resolution and the action set forth therein. /~ Dated: Aptjl 1>4, ~2024 / ~~ ,· -~ ~/,.# ~ ,___ Ii'/ ) f Director & President Abel Magallanes Vice President & Assistant Secretary Director & Secretary 205 CONTRACTOR'S SWORN STATEMENT AND WARRANTY REGARDING CONTINUING INSURANCE OBLIGATIONS FROM: Sequel Contractors, Inc. (Contractor Name) 13546 Imperial Hwy (Street Address) Santa Fe Springs, CA 90670 (City, State, Zip Code) PROJECT: 2025 Arterial Rehabilitation CC1771 TO: CITY OF HUNTINGTON BEACH DECLARATION Attached hereto is a true and correct copy of the current Certificate of Insurance and Additional Insured Endorsement CG 2010 1185, which Certificate complies with the insurance requirements of the Contract by and between the City of Huntington Beach ("City") and the above-named Contractor ("Contractor") for the above-described project ("Project"). I declare under penalty of perjury under the laws of the State of California that the above statement is true and correct. Signed on ____ J_un_e_1 0 ___ "--. (Date) (City, State) ichael Mahler -Secretary ndividual Who is Making Declaration) WARRANTY Contractor hereby warrants and agrees to maintain Products and Complete Operations Insurance in compliance with the insurance requirements of the Contract for the Project. Said insurance shall be maintained through and until the expiration of all Warranties provided by the Contractor. Said insurance shall contain Additional Insured Endorsement CG 2010 1185 , naming the City as an additional insured. Contractor shall supply to the City, on at least an annual basis, a Certificate of Insurance and the aforementioned Endorsement evidencing continued coverage which meets the Contract requirements . Signed on ____ J_un_e_1 O ____ ., 20 _3_§_, at __ S_a_n_t_a_F_e_S_p_ri_n_gs_,_C_A_90_6_7_0 __ (Date) (City, State) CONTRACTOR: Title : Secretary 206 PERFORMANCE BOND Bond No. 101855058 KNOW ALL PERSONS BY THESE PRESENTS: WHEREAS, City of Huntington Beach (hereafter referred to as "City") has, by written agreement dated _________ , 20~, entered into a contract with ___________ _ Sequel Contractors, Inc. 13546 Imperial Highway, Santa Fe Springs, CA 90670 (Contractor's Name and Address) (hereafter referred to as "Principal") for performance of the work described as follows: 2025 Arterial Rehabilitation cc1771 (Project Title) WHEREAS, said contract, and all documents referenced therein (hereinafter collectively "Contract"), are incorporated herein by this reference made a part hereof as though set forth herein in full; and Said Principal is required under the terms of the Contract to furnish a bond guaranteeing the prompt, full and faithful performance of said Contract, by a duly admitted surety insurer under the laws of the State of California (hereinafter referred to as "Surety"); and Surety is certified and listed in the U.S. Department of the Treasury Circular 570, and has provided proof of sufficient bonding limitations as shown in said circular to provide bonds in the amount required by said Contract; and Surety has provided financial strength ratings from reputable companies, such as from AM. Best, Moody's, or Standard & Poor's, to validate that Surety has positive ratings of being secure or stable; and Surety is registered and listed with the California Department of Insurance, NOW, THEREFORE, we, the undersigned, as Principal, and Merchants Bonding Company (Mutual) 6700 Westown Parkway, West Des Moines, IA, 50266-7754 (Surety's Name and Address) as Surety, are held and firmly bound unto City in the penal sum of Six million seven hundred eighty three thousand four hundred eighty and 00/100 Dollars($ 6,783,480.00 ). this amount being not less than one hundred percent of the price set forth in the Contract, in lawful money of the United States, for the payment of which sum, well and truly to be made, we bind ourselves, our heirs, executors, administrators and successors, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH THAT if the Principal shall promptly, fully and faithfully perform each and all of the covenants, obligations and things to be done and performed by the Principal in strict accordance with the terms of the Contract as said contract may be altered, amended or modified from time to time; and if the Principal shall indemnify and save harmless City and all of City's officers, agents and employees (hereinafter collectively referred to as "Obligees") from any and all losses, liability and damages, claims, judgments, stop notices, fees and costs of every description, whether imposed by law or in equity, whfch may be incurred by the Obligees by reason of the failure or default on the part of the Principal in the performance of any or all of the terms or the obligations of the Contract, including all alterations, amendments and modifications thereto, and any warranties or guarantees required thereunder, then this obligation shall be void; otherwise, it shall be and shall remain In full force and effect. Surety stipulates and agrees, for value received, that no adjustment of the time or price in the Contract or any alteration, change, deletion, addition or other modification to the Contract, or the work to be performed thereunder, shall in any way affect, limit, restrict, impair or release the obligations of the Surety under this Bond. Surety waives notice of any adjustment of contract or contract price, and any other alteration, change, deletion, addition or other modification to the Contract, or the work to be performed thereunder, and agrees to automatically adjust the penal sum of this Bond to reflect such adjustments, alterations, changes, deletions, additions or other modifications. Surety agrees to provide written confirmation of such adjustments in the penal sum to City on not less than a quarterly basis. Surety also waives the provisions of Civil Code §§ 2845 and 2849. 15-4584/117174 Page 1 of2 207 Bond No. 101855058 The obligations of this Bond shall survive the completion of the work described in the Contract as to all obligations and liabilities of the Principal which survive completion of the work. IN WITNESS WHEREOF, each party represents and warrants that this instrument has been duly executed by Principal and Surety, on the date. set forth below, that the name of each corporate party being affixed hereto is such party's proper legal name and that the individuals signing this instrument have been duly authorized pursuant to the authority of its governing body, Surety, by execution of this bond, waives any defense which Surety has or may have by reason ofany failure of the Principal to execute or properly execute this bond. Dated : __ J_u_ne_10_,_2_02_6 __ ATTEST [Corporate SeaJJ ATTEST [Corporate seal] (Attach Attorney-in-Fact Certificate) Sequel Contractors, Inc. <)di~. Name: ~el A. Mahler ----- Title: Corporate Secretary Merchants Bonding Company (Mutual) (Surety Name) • By: ~Q.~ Name: ~ouglas A. Rapp • ' --·--(Signature. of Attorney-in-Fact for S urety) 800-678-8171 {Area Code & Telephone Number for Surety) APPROV!:D ,l\S TO FORM;: .t. (_J: , {··. -:~ By: ' .:, r ,.... '., ......... :::·:,, .. ,. Micr{aeLJ'.Vigliotta, City Attorney NOTES: This bond must be executed in duplicate and dated, all signatures must be notarized, and evidence of .the s3uthority of any person signing as attorney-in-fact must be attached. 15•4584/117174 Page 2 of2 PERFORMANCE BOND 208 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies only the ident ity 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 l,c A~,$' on &,llel'Vb before me, ___ n_a_n_ie_i _Bu_s_ta_m_a_m_a_,_N_o_ta_ry_Pu_b_H_c ____ _ Date Here Insert Name and Title of the Officer personally appeared /'{id~ ..J A . M .. lJ...r Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person~ whose name~ is/..re subscribed to the within instrument and acknowledged to me that he/~/t.l:.e'f executed the same in his/~ authorized capacity(~, and that by his/~t~signaturek81 on the instrument the person~, or the entity upon behalf of which the person~ acted, executed the instrument. DANI EL BLSTAMANTE Notary Public • California z Los Ange!es Co untv ~ Commission :t 2513546 1- y Com m. Expires M.ar 1, 2029 • -,.,.-~ Place Notary Seal Above I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature ~ gJ~ Signature of Notary Public ----------------OPTIONAL---------------- Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: ___________________________ _ Document Date: ___________________ Number of Pages: _____ _ Signer(s) Other Than Named Above: _______________________ _ Capacity{ies) Claimed by Signer(s) Signer's Name: ____________ _ Signer's Name: ____________ _ 0 Corporate Officer -Title(s): ______ _ 0 Corporate Officer -Title(s): ______ _ 0 Partner -0 Limited O General 0 Partner -0 Limited O General 0 Individual O Attorney in Fact 0 Individual O Attorney in Fact 0 Trustee O Guardian or Conservator 0 Trustee O Guardian or Conservator 0 Other:--------~-----0 Other: _____________ _ Signer Is Representing: _________ _ Signer Is Representing: ________ _ ~"¼-,;;;,,~'Q(,'.~~~~~~""g;,.~9;a(~V,;{,'g;_~~'g:;~'\X'R~V:~V~'lee'{.~"Q(i~~~-QCGZ_~-.gco ©2016 National Notary Association • www.NationalNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 209 ACKNOWLEDGMENT 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 Orange ) On ___ J_u_n_e_1_0_, 2_0_2_6 ____ before me, Debra Swanson, Notary Public (insert name and title of the officer) personally appeared Douglas A. Rapp who proved to me on the basis of satisfactory evidence to be the person(~) whose name(15) is~ subscribed to the within instrument and acknowledged to me that hefol 1e1!tl .e~; executed the same in hi.:,;'l10:,1ll,cil authorized capacity~), and that by hi.,;'lw1i'l11ci1 signature'8) on the instrument the person(,e,), or the entity upon behalf of which the person(-9) acted, executed the instrument. I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature 1:) '-OJ.--'\,.o,. /;J 1 •~('..._(Seal) •• <>DEBRASWANSON--=-( COMM . # 25 02022 :::0 NOTARY PUBLIC -CALIFORNIA ~ ORANGE COUNTY "-> ... co~~!?VJ O,_l0~ l 210 MERCHAN~ BONDING COMPANY™ POWER OF ATTORNEY Know All Persons By These Presents, that MERCHANTS BONDING COMPANY (MUTUAL) and MERCHANTS NATIONAL BONDING, INC., both being corporations of the State of Iowa, and MERCHANTS NATIONAL INDEMNITY COMPANY, an assumed name of Merchants National Bonding, Inc., (herein collectively called the "Companies") do hereby make, constitute and appoint, individually, Douglas A Rapp; Timothy D Rapp their true and lawful Attorney(s)-in-Fact, to sign its name as surety(ies) and to execute, seal and acknowledge any and all bonds, undertakings, contracts and other written instruments in the nature thereof, on behalf of the Companies in their business of guaranteeing the fidelity of persons, guaranteeing the performance of contracts and executing or guaranteeing bonds and undertakings required or permitted in any actions or proceedings allowed by law. This Power-of-Attorney is granted and is signed and sealed by facsimile under and by authority of the By-Laws adopted by the Board of Directors of the Companies. "The President, Secretary, Treasurer, or any Assistant Treasurer or any Assistant Secretary or any Vice President shall have power and authority to appoint Attorneys-in-Fact, and to authorize them to execute on behalf of the Company, and attach the seal of the Company thereto, bonds and undertakings, recognizances, contracts of indemnity and other writings obligatory in the nature thereof." "The signature of any authorized officer and the seal of the Company may be affixed by facsimile or electronic transmission to any Power of Attorney or Certification thereof authorizing the execution and delivery of any bond, undertaking, recognizance, or other suretyship o obligations of the Company, and such signature and seal when so used shall have the same force and effect as though manually fixed." In connection with obligations in favor of the Florida Department of Transportation only, it is agreed that the power and authority hereby given to the Attorney-in-Fact includes any and all consents for the release of retained percentages and/or final estimates on engineering and construction contracts required by the State of Florida Department of Transportation. It is fully understood that consenting to the State of Florida Department of Transportation making payment of the final estimate to the Contractor and/or its assignee, shall not relieve this surety company of any of its obligations under its bond. In connection with obligations in favor of the Kentucky Department of Highways only, it is agreed that the power and authority hereby given to the Attorney-in-Fact cannot be modified or revoked unless prior written personal notice of such intent has been given to the Commissioner - Department of Highways of the Commonwealth of Kentucky at least thirty (30) days prior to the modification or revocation. In Witness Whereof, the Companies have caused this instrument to be signed and sealed this 2nd day of June 2025 .... ... ............ ,,, ........ . •••~\MG CQ •• •••• :t\ON,4(•••,. •• i'pJ.l,i •• MERCHANTS BONDING COMPANY (MUTUAL) •••a~ ........... _',;0••• ,. .. ••~~ ............. i11_•••• ••~\.~,.-····•:t~•• MERCHANTS NATIONAL BONDING, INC. ■-•~j·cJ>'-POt,,f.f;.~-1;,t.\ /~/cJ>'-'POJtJf)j;/!f.\ .,•~~•~'t'-.JfOR'li/4•.'t\ MERCHANTS NATIONAL INDEMNITY COMPANY .~:_!' -o-c::,:..-• :ie:~ -o-o:O: •I-I ' 1"" ~ :1~ 3 ff: i~i JiPii •• ·• 18: ~-~~ • o •. 19 3 : ':'.'I -... ~ 2003 : 0 • • ,s;, ·. :~ ~ • ~•. ··r:::: ~~-·-.. ~ : • t.):'\ [~. •.~~:•... , .• {~." •••~•-.. • ••• ~,_.-••~••. ..-'~♦-By ·~ •••••••• '-. • ............... •.,:,,:"~.. ♦. • ., ............... ~~.♦--.... * . . . ...... * ,.,..... . . i-· . ~·· • • • • • • • ., ••• 111111" •· • ·• :. • • •· President STATE OF IOWA COUNTY OF DALLAS ss. On this 2nd day of June 2025 , before me appeared Larry Taylor, to me personally known, who being by me duly sworn did say that he is President of MERCHANTS BONDING COMPANY (MUTUAL), MERCHANTS NATIONAL BONDING, INC., and MERCHANTS NATIONAL INDEMNITY COMPANY; and that the seals affixed to the foregoing instrument are the Corporate Seals of the Companies; and that the said instrument was signed and sealed in behalf of the Companies by authority of their respective. oards of Directors. Penni Miller Commission Number 787952 My Commission Expires January 20, 2027 (Expiration of notary's commission does not Invalidate this Instrument) Notary Public I, Elisabeth Sandersfeld, Secretary of MERCHANTS BONDING COMPANY (MUTUAL), MERCHANTS NATIONAL BONDING, INC., and MERCHANTS NATIONAL INDEMNITY COMPANY do hereby certify that the above and foregoing is a true and correct copy of the POWER-OF ATTORNEY executed by said Companies, which is still in full force and effect and has not been amended or revoked. , 2026 . Secretary POA 0018 (5/25) 211 PAYMENT BOND (LABOR AND MATERIAL) KNOW ALL PERSONS BY THESE PRESENTS: Bond No. 101855058 WHEREAS, City of Huntington Beach (hereafter referred to as "City") has awarded to Sequel Contractors, Inc. 13546 Imperial Highway, Santa Fe Springs, CA 90670 (Contractor's Name and Address) (hereafter referred to as "Principal"), a contract ("Contract") for the work described as follows: 2025 Arterial Rehabilitation, CC1771 (Project Title) WHEREAS, Principal is required under the terms of the Contract and the California Civil Code to furnish a bond to secure the payment of claims of laborers, mechanics, materialmen, and other persons as provided by law, by a duly admitted surety Insurer under the laws of the State of California (hereinafter referred to as "Surety"); and Surety is certified and listed in the U.S. Department of the Treasury Circular 570, and has provided proof of sufficient bonding llmitatlon, as shown in said circular to provide bonds in the amount required by said Contract; and Surety has provided financial strength ratings from reputable companies, such as from AM. Best, Moody's or Standard & Poor's, to validate that Surety has positive ratings of being secure or stable; and Surety has provided financial strength ratings from reputable companies, such as from AM. Best, Moody's, or Standard & Poor's, to validate that Surety has positive ratings of being secure or stable; and Surety is registered and listed with the California Department of Insurance, NOW, THEREFORE, we, the undersigned, as Principal, and--.,-----------Merchants Bonding Company (Mutual) 6700 Westown Parkway, West Des Moines, IA, 50266-7754 (Surety's Name and Address) as Surety, are held and firmly bound unto City in the penal sum of Six million seven hundred eighty three thousand four hundred eighty and 00/100 Dollars ($ 61 783,480.00 ), this amount being not less than one hundred percent (100%} of the total price set forth in the Contract, in lawful money of the United States of America, for the payment of which sum, well and truly to be made, we bind ourselves, and each of our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH THAT, if the Principal, his, her, or its heirs, executors, administrators, successors or assigns, or subcontractors shall fail to pay any of the persons named in Section 3181 of the California Civil Code ("Claimants") for all labor, materials or services used or reasonably required for use in performance of the work described in the Contract, or any amounts due under the Unemployment Insurance Code with respect to work or labor performed by any such Claimant, or prevailing wages due and penalties incurred pursuant to Sections 1774, 1775, 1813 or 1815 of the Labor Code, or any amounts required to be deducted, withheld and paid over to the Employment Development Department from the wages of employees of the Principal and Subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to the work or labor performed under the Contract, Surety will pay for the same, in an amount not exceeding the penal sum specified in this bond; otherwise, this obligation shall be null and void. This bond shall inure to the benefit of any of the persons named in Section 3181 of the California Civil Code so as to give a right of action to such persons or their assigns. In case any action is brought upon this bond, Surety further agrees to pay all court costs and a reasonable attorney's fee in an amount fixed by the court. 15-4584/117357 Page 1 of2 212 Bond No. 101855058 Surety stipulates and agrees, for value received , that no change, extension of time, alteration, addition or modification to the terms of the Contract, or any contract document or any work to be performedthereunder, whether made after notice or not, shall In any way affect, impair or release the obligations of Surety under this bond . Surety hereby walves notice of any such change, extension of time, alteration, addition, or moclification to the terms of the Contract, the contract documents or the work thereunder. Surety also wa ives the provisions of California Civil Code§§ 2845 and 2849. IN WITNESS WHEREOF, each party represents and warrants that this instrument has been duly executed by Princi pal and S1..1rety; on the date set forth below, that the name of each . corporate party being affixed hereto is such party's proper legal name and that the individuals signing this instrument have been duly authorized pursuant to the authority of its governing body. Surety, by execution of this bond , waives any defense which Surety has or may have by reason of any failure of the Principal to execute or properly execute this bond . Dated : __ J_un_e_10_,_2_02_6 __ ATTEST [Corporate Seal] ATTEST [Corporate seal] (Attach Attorney-in-Fact Certificate) Sequel Contractors, Inc. ~~~ Name: = =-Mahler Title: Corporate Secreta ry Merchant~ E3qnding Company (Mutual) (Surety Name) By: ~ Q. /b,f¥!. Name: ~ouglas A'.Rapp (Signature of Attorney0 ln-Fact for Surety) 800-678-8171 (Area Code & Telephone Number for Surety) Michael J. Vigliotta, City Attorney Nole: This .bond must be ex.e.cuted in duplicate arid dated, all srgnatutes must. be notc1rized, and evidence of the authority of any person sig ning as attorney-in-fact must be attached . 15·4584/117357 Page 2 of2 PAYMENT BOND 213 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 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 L:. 4'.~J<~ On b,/lr>}U, Date before me, __ Da_n_lef_· _·Bu_. ·S_tema_·_· _n_te·~•_No_· _ta~Pf~Pub_· __ Hc~---- Here Insert Name and Title of the Officer personally appeared /~1.cl.J A M~ Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person~ whose name~ is/~ subscribed to the within instrument and acknowledged to me that he/~/tl:.ey" executed the same in his/~ authorized capacity(i_sa,, and that by his /.l:lerlt~signature~ on the instrument the person~, or the entity upon behalf of which the person(.l.t acted, executed the instrument. ,{.~,,,.~..,,, o, DMIIEL 6L57t,µANTE Notary Public • California z Los Ange ies County s Commission# 2513546 - y Comm. Expires Mar 1, 2029 Place Notary Sea l Above I certify under PENAL TY OF PERJURY under the la ws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature -9Jtd' <jJJ., Signature of Notary Public ----------------OPTIONAL---------------- Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: ___________________________ _ Document Date : ___________________ Number of Pages : _____ _ Signer(s) Other Than Named Above: _______________________ _ Capacity{ies) Claimed by Signer(s) Signer 's Name: ____________ _ Signer 's Name: ____________ _ 0 Corporate Officer -Title(s): ______ _ 0 Corporate Officer -Title(s): ______ _ 0 Partner -0 Limited O General 0 Partner -0 Limited O General 0 Individual O Attorney in Fact □ Individual O Attorney in Fact 0 Trustee O Guardian or Conservator 0 Trustee O Guardian or Conservator 0 Other:---------~-----C Other: _____________ _ Signer Is Representing: _________ _ Signer Is Representing: _________ _ ~,g;~~·•Q(.,'§;:C'QC§'C:§:•G"'G~~..(,~"Q(;."§<;%...,,,._~~~~~~~-g:,~~.,0'£'<,.~~~'QC-Q:.'l;R,"'Q.;''9{;.~ ©2016 National Notary Association • www.NationalNotary.org. • 1-800-US NOTARY (1-800-876-6827) Item #5907 214 ACKNOWLEDGMENT 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 Orange On ___ J_u_n_e_1_0,_2_0_2_s ____ before me, Debra Swanson, Notary Public (insert name and title of the officer) personally appeared Douglas A. Rapp who proved to me on the basis of satisfactory evidence to be the person(,e,) whose name(~) is~ subscribed to the within instrument and acknowledged to me that he/el 18.lth!!~i executed the same in h[.,/l101,1l11ci: .. rnthorized capacity~), and that by hb/l1C1i'tli0il signature~) on the instrument the person(,e,), or the entity upon behalf of which the person('8) acted, executed the instrument. I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature J;:ul)~ ,J.s, +sJ?LM,QCM. ✓ (Seal) DEBRA SWANSON C>1 COMM. # 2502022 :;o NOTARY PUBLIC-CALIFORNIA ~ ORAN GE COUNTY av .,C~M,:, E~. ~VJ o,3 02! l 215 MERCHAN~ BONDING COMPANY~ POWER OF ATTORNEY Know All Persons By These Presents, that MERCHANTS BONDING COMPANY (MUTUAL) and MERCHANTS NATIONAL BONDING, INC., both being corporations of the State of Iowa, and MERCHANTS NATIONAL INDEMNITY COMPANY, an assumed name of Merchants National Bonding, Inc., (herein collectively called the "Companies") do hereby make, constitute and appoint, individually, Douglas A Rapp; Timothy D Rapp their true and lawful Attorney(s)-ln-Fact, to sign its name as surety(ies) and to execute, seal and acknowledge any and all bonds, undertakings, contracts and other written instruments in the nature thereof, on behalf of the Companies in their business of guaranteeing the fidelity of persons, guaranteeing the performance of contracts and executing or guaranteeing bonds and undertakings required or permitted in any actions or proceedings allowed by law. This Power-of-Attorney is granted and is signed and sealed by facsimile under and by authority of the By-Laws adopted by the Board of Directors of the Companies. "The President, Secretary, Treasurer, or any Assistant Treasurer or any Assistant Secretary or any Vice President shall have power and authority to appoint Attorneys-in-Fact, and to authorize them to execute on behalf of the Company, and attach the seal of the Company thereto, bonds and undertakings, recognizances, contracts of indemnity and other writings obligatory in the nature thereof." "The signature of any authorized officer and the seal of the Company may be affixed by facsimile or electronic transmission to any Power of Attorney or Certification thereof authorizing the execution and delivery of any bond, undertaking, recognizance, or other suretyship o obligations of the Company, and such signature and seal when so used shall have the same force and effect as though manually fixed." In connection with obligations in favor of the Florida Department of Transportation only, it is agreed that the power and authority hereby given to the Attorney-in-Fact includes any and all consents for the release of retained percentages and/or final estimates on engineering and construction contracts required by the Stale of Florida Department of Transportation. It is fully understood that consenting to the State of Florida Department of Transportation making payment of the final estimate to the Contractor and/or its assignee, shall not relieve this surety company of any of its obligations under its bond. In connection with obligations in favor of the Kentucky Department of Highways only, it is agreed that the power and authority hereby given lo the Attorney-in-Fact cannot be modified or revoked unless prior written personal notice of such intent has been given to the Commissioner - Department of Highways of the Commonwealth of Kentucky at least thirty (30) days prior to the modification or revocation. In Witness Whereof, the Companies have caused this instrument to be signed and sealed this 2nd day of June 2025 .. .. . . ........... . ........ .. ••"s,\KG co••• ••••:1\0N,4 ••••• •••~M.ln ••• MERCHANTS BONDING COMPANY (MUTUAL) / DY; ............ ,.o •• ••••+~•·•·• ...... ~ ,$'••• .,•~\~;••0~~--~~•• MERCHANTS NATIONAL BONDING, INC. • r.~···ot.PO/f,f;:/:""ll •• ! <if> /o"'O",f~•. o..·-. .♦'.;;1;,·~.,.vfOR'Jii)_ --~~--· ~--MERCHANTS NATIONAL INDEMNITY COMPANY •,;;:.-Ci ~•• .t • • Jo.:: Ci <t>•· r-• ii k /ti 1!' • .,.. :/lie:~ -o-c:,-:..-• i-t::t -o-o:e>: •i-1•: ·,· • \ -. ,<· •a:• •c· •-• •z . •• ,.n ■ ~ .:s:,! :-.• : ... : :a: a:c_l • • :o·• ~~ •fJ·•. 1933 !i;" --~ .. ~ 2003 !11,: •,,:;\ ·. :~~ • • ~•. -·~: ~~-·-.... : •: i)i\ /'~-. •. ~~.... .•·~ • • •. ...,.....,:•.. /.:..'l •• ,ii•,. • .... "'... By •"V •••••••••••• ' •• ._..,,,,, .......... •·:,;,,.-.• •:"Jv·'·•······· .,..ff.... . . . . . * . . . •;~~ * ...... . . i-· . ~·-•· • • • • • • ••••1111••• •·• • • • ••· President STATE OF IOWA COUNTY OF DALLAS ss. On this 2nd day of June 2025 , before me appeared Larry Taylor, to me personally known, who being by me duly sworn did say that he Is President of MERCHANTS BONDING COMPANY (MUTUAL), MERCHANTS NATIONAL BONDING, INC., and MERCHANTS NATIONAL INDEMNITY COMPANY; and that the seals affixed to the foregoing instrument are the Corporate Seals of the Companies; and that the said instrument was sianed and sealed in behalf of the Companies by authority of their respective. oards of Directors. Penni Miller Commission Number 787952 My Commission Expires January 20, 2027 (Expiration of notary's commission does not invalidate this Instrument) Notary Public I, Elisabeth Sandersfeld, Secretary of MERCHANTS BONDING COMPANY (MUTUAL), MERCHANTS NATIONAL BONDING, INC., and MERCHANTS NATIONAL INDEMNITY COMPANY do hereby certify that the above and foregoing is a true and correct copy of the POWER-OF ATTORNEY executed by said Companies, which is still in full force and effect and has not been amended or revoked. day of JUNE , 2026 . Secretary POA 0018 (5/25) 216 ACORD® CERTIFICATE OF LIABILITY INSURANCE I DATE (MM/DDNYYY) ~ 6/10/2026 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER ~~:tcT Susan Koelle Alliant Insurance Services, Inc. rA~~N.t Cv"• 619-541-4851 I FAX 701 B Street 6th Floor CA/C Nol: San Diego CA 92101 16°'D~~ss: Susan.Koelle@alliant.com INSURER{SI AFFORDING COVERAGE NAIC# License#: OC36861 INSURER A: Arch Insurance Comoanv 11150 INSURED SEQUCON-01 INSURERB: Sequel Contractors, Inc. INSURERC: 13546 Imperial Highway Santa Fe Springs CA 90670 INSURERD: INSURERE: INSURERF: COVERAGES CERTIFICATE NUMBER: 1804161039 REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR ADDL SUBR ,~g}t%~, l~g)-J%~ LIMITS LTR TYPE OF INSURANCE , .. ~ft lun,ft POLICY NUMBER A X COMMERCIAL GENERAL LIABILITY y 71PKG2091001 12/1/2025 12/1/2026 EACH OCCURRENCE $2,000,000 -:::J CLAIMS-MADE 0 OCCUR DAMAGE TO RENTED PREMISES {Ea occurrence) $100,000 MED EXP (Any one person) $5,000 - PERSONAL & ADV INJURY $2,000,000 - GEN'LAGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $4,000,000 ~ 0 PRO-0Loc PRODUCTS -COMP/OP AGG $4,000,000 POLICY JECT OTHER: $ A AUTOMOBILE LIABILITY y 71 PKG2091001 12/1/2025 12/1/2026 COMBINED SINGLE LIMIT $1,000,000 /Ea accident\ - X ANY AUTO BODILY INJURY (Per person) $ --OWNED SCHEDULED BODILY INJURY (Per accident) $ -AUTOS ONLY -AUTOS X HIRED NON-OWNED PROPERTY DAMAGE $ AUTOS ONLY AUTOS ONLY /Per accident\ - $ UMBRELLA LIAB HOCCUR EACH OCCURRENCE $ - EXCESS LIAB CLAIMS-MADE AGGREGATE $ OED I I RETENTION$ $ A WORKERS COMPENSATION y 74WCl2091001 12/1/2025 12/1/2026 X I ~ffTUTE I I OTH-ER AND EMPLOYERS' LIABILITY Y/N ANYPROPRIETOR/PARTNER/EXECUTIVE □ N/A E.l. EACH ACCIDENT $1,000,000 OFFICER/MEMBER EXCLUDED? (Mandatory in NH) E.l. DISEASE -EA EMPLOYEE $1,000,000 If yes, describe under DESCRIPTION OF OPERATIONS below E.l. DISEASE -POLICY LIMIT $1,000,000 DESCRIPTION OF OPERATIONS/ LOCATIONS/ VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) Endorsement(s) Attached: General Liability: Additional insured -Owners, Lessees Or Contractors -Automatic Status When Required In a Written Construction Agreement With You (Form #CG 20 33 12 19) General Liability: Primary And Noncontributory -Other Insurance Condition (Form #CG 20 01 12 19) General Liability: Per Project Aggregate (Form #CG 25 03 05 09) Automobile Liability: Additional Insured -Blanket (Form #00 CA0115 00 10 13) Automobile Liability: Commercial Auto Broadening Endorsement (Form #00 CA0150 00 09 14) Workers Compensation: Waiver Of Our Right To Recover From Others Endorsement (Form #WC 00 03 13) See Attached ... CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Huntington Beach ACCORDANCE WITH THE POLICY PROVISIONS. P. 0. Box 190 2000 Main Street, 1st Floor AUTHORIZED REPRESENTATIVE Huntington Beach CA 92648-2702 e-, '2 . p .c::::,. -I © 1988-2015 ACORD CORPORATION. All rights reserved. ACORD 25 (2016/03) The ACORD name and logo are registered marks of ACORD 217 AGENCY CUSTOMER ID: _S_E_Q_U_CO_N-_0_1 _____________ _ LOC#: -------- ADDITIONAL REMARKS SCHEDULE Page of AGENCY NAMED INSURED Alliant Insurance Services, Inc. Sequel Contractors, Inc. 13546 Imperial Highway POLICY NUMBER Santa Fe Springs CA 90670 CARRIER I NAICCODE EFFECTIVE DATE: ADDITIONAL REMARKS THIS ADDITIONAL REMARKS FORM IS A SCHEDULE TO ACORD FORM, FORM NUMBER: 25 FORM TITLE: CERTIFICATE OF LIABILITY INSURANCE Re: Project #CC1771, Contract #15-5195, 2025 Arterial Rehabilitation, City Funded Construction. City of Huntington Beach, its officers, elected or appointed officials, employees, agents, and volunteers are included as Additional Insureds on primary and non-contributory basis, per project aggregate applies, waiver of subrogation applies. ACORD 101 (2008/01) © 2008 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD 218 12/3/24, 4:56 PM ReferenceConnect Document: ISO-Forms I CG 20 33-Additional Insured-Owners , Lessees or Contractors-Automatic Status When ... J Document editions : 12/01/19 I 04/01 /13 I 07/01/04 110/01/01 I 07/01/98 103/01/97 ISO I Commercial General Liability Forms I 12/01/19 POLICY NUMBER : 71 PKG2091001 COMMERCIAL GENERAL LIABILITY CG 20 33 12 19 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED -OWNERS, LESSEES OR CONTRACTORS -AUTOMATIC STATUS WHEN REQUIRED IN A WRITTEN CONSTRUCTION AGREEMENT WITH YOU This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART A. Section II -Who Is An Insured is amended to include as an additional insured any person or organization for whom you are performing operations when you and such person or organization have agreed in writing in a contract or agreement that such person or organization be added as an additional insured on your policy. Such person or organization is an additional insured only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" caused, in whole or in part, by: 1. Your acts or omissions; or 2. The acts or omissions of those acting on your behalf; in the performance of your ongoing operations for the additional insured . However, the insurance afforded to such additional insured : 1. Only applies to the extent permitted by law; and 2. Will not be broader than that which you are required by the contract or agreement to provide for such additional insured . A person's or organization's status as an additional insured under this endorsement ends when your operations for that additional insured are completed. B. With respect to the insurance afforded to these additional insureds, the following additional exclusions apply : This insurance does not apply to: 1. "Bodily injury", "property damage" or "personal and advertising injury" arising out of the rendering of, or the failure to render, any professional architectural, engineering or surveying services, including : a. The preparing, approving , or failing to prepare or approve, maps , shop drawings, opinions , reports , surveys, field orders, change orders or drawings and specifications; or b. Supervisory, inspection, architectural or engineering activities . This exclusion applies even if the claims against any insured allege negligence or other wrongdoing in the supervision, hiring, employment, training or monitoring of others by that insured, if the "occurrence" which caused the "bodily injury" or "property damage", or the offense which caused the "personal and advertising injury", involved the rendering of or the failure to render any professional architectural , engineering or surveying services . 2 . "Bodily injury" or "property damage" occurring after : a. All work, including materials, parts or equipment furnished in connection with such work , on the project (other than service, maintenance or repairs) to be performed by or on behalf of the additional insured(s) at the location of the covered operations has been completed; or b. That portion of "your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a part of the same project. C. With respect to the insurance afforded to these additional insureds, the following is added to Section Ill -Limits Of Insurance : The most we will pay on behalf of the additional insured is the amount of insurance : https://www.referenceconnect.com /SPOnline/SPSage.asp x?cmd=doc&id=2208796&etfs=hmKp8hbhQiM4tjyif8SDtw 1/2 219 12/3/24, 4:56 PM ReferenceConnect Document: ISO-Forms I CG 20 33-Additional Insured-Owners, Lessees or Contractors-Automatic Status When ... 1. Required by the contract or agreement you have entered into with the additional insured; or 2. Available under the applicable limits of insurance; whichever is less. This endorsement shall not increase the applicable limits of insurance. © Insurance Services Office, Inc. ©Insurance Services Office, Inc. https://www.referenceconnect.com/SP0nline/SPSage.aspx?cmd=doc&id=2208796&etfs=hmKp8hbhQiM4tjyif8SDtw 2/2 220 12/3/24, 4:41 PM ReferenceConnect Document: ISO-Forms I Category 20-Additional Insured Endorsements I CG 20 01-Primary & Noncontributory-... I Document editions : 12/01/19 I 04/01 /13 ISO I Commercial General Liability Forms I 12/01/19 POLICY NUMBER : 71PKG2091001 COMMERCIAL GENERAL LIABILITY CG20011219 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. PRIMARY AND NONCONTRIBUTORY - OTHER INSURANCE CONDITION This endorsement modifies insurance provided under the following : COMMERCIAL GENERAL LIABILITY COVERAGE PART LIQUOR LIABILITY COVERAGE PART PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART The following is added to the Other Insurance Condition and supersedes any provision to the contrary: Primary And Noncontributory Insurance This insurance is primary to and will not seek contribution from any other insurance available to an additional insured under your policy provided that: (1) The additional insured is a Named Insured under such other insurance ; and (2) You have agreed in writing in a contract or agreement that this insurance would be primary and would not seek contribution from any other insurance available to the additional insured . © Insurance Services Office , Inc . ©Insurance Services Office, Inc. https://www.referenceconnect.com /SPOnline/SPSage.asp x?cmd=doc&id=2208796 &etfs=hmKp8hbhQiM4tjyif8SDtw 1/1 221 POLICY NUMBER: 71PKG2091001 COMMERCIAL GENERAL LIABILITY CG 25 03 05 09 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. DESIGNATED CONSTRUCTION PROJECT{S) GENERAL AGGREGATE LIMIT This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Designated Construction Project(s): Information reauired to complete this Schedule, if not shown above, will be shown in the Declarations. A. For all sums which the insured becomes legally obligated to pay as damages caused by "occur rences" under Section I -Coverage A, and for all medical expenses caused by accidents under Section I -Coverage C, which can be attributed only to ongoing operations at a single designated construction project shown in the Schedule above: 1. A separate Designated Construction Project General Aggregate Limit applies to each des ignated construction project, and that limit is equal to the amount of the General Aggregate Limit shown in the Declarations. 2. The Designated Construction Project General Aggregate Limit is the most we will pay for the sum of all damages under Coverage A, ex cept damages because of "bodily injury" or "property damage" included in the "products completed operations hazard", and for medi cal expenses under Coverage C regardless of the number of: a. Insureds; b. Claims made or "suits" brought; or c. Persons or organizations making claims or bringing "suits". 3. Any payments made under Coverage A for damages or under Coverage C for medical expenses shall reduce the Designated Con struction Project General Aggregate Limit for that designated construction project. Such payments shall. not reduce the General Ag gregate Limit shown in the Declarations nor shall they reduce any other Designated Con struction Project General Aggregate Limit for any other designated construction project shown in the Schedule above. 4. The limits shown in the Declarations for Each Occurrence, Damage To Premises Rented To You and Medical Expense continue to apply. However, instead of being subject to the General Aggregate Limit shown in the Decla rations, such limits will be subject to the appli cable Designated Construction Project Gen eral Aggregate Limit. CG 25 03 0509 © Insurance Services Office, Inc., 2008 Page 1 of2 □ 222 B. For all sums which the insured becomes legally obligated to pay as damages caused by "occur rences" under Section I -Coverage A, and for all medical expenses caused by accidents under Section I -Coverage C, which cannot be attrib uted only to ongoing operations at a single des ignated construction project shown in the Sched ule above: 1. Any payments made under Coverage A for damages or under Coverage C for medical expenses shall reduce the amount available under the General Aggregate Limit or the Products-completed Operations Aggregate Limit, whichever is applicable; and 2. Such payments shall not reduce any Desig nated Construction Project General Aggre gate Limit. C. When coverage for liability arising out of the "products-completed operations hazard" is pro vided, any payments for damages because of "bodily injury" or "property damage" included in the "products-completed operations hazard" will reduce the Products-completed Operations Ag gregate Limit, and not reduce the General Ag gregate Limit nor the Designated Construction Project General Aggregate Limit. D. If the applicable designated construction project has been abandoned, delayed, or abandoned and then restarted, or if the authorized contract ing parties deviate from plans, blueprints, de signs, specifications or timetables, the project will still be deemed to be the same construction pro ject. E. The provisions of Section Ill -Limits Of Insur ance not otherwise modified by this endorsement shall continue to apply as stipulated. Page 2 of 2 © Insurance Services Office, Inc., 2008 CG 25 03 05 09 □ 223 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED -BLANKET This endorsement modifies insurance provided under the following: AUTO DEALERS COVERAGE FORM BUSINESS AUTO COVERAGE FORM MOTOR CARRIER COVERAGE FORM Under Covered Autos Liability Coverage, the Who is An Insured provision is amended to include as an "insured" the person or organization who is required under a written contract to be included as an "insured" under this policy, but only with respect to their legal liability for your acts or omissions or the act or omissions of a person for whom Covered Autos Liability Coverage is afforded under this policy. All other terms and conditions of this policy remain unchanged. Endorsement Number: Policy Number: 71PKG2091001 Named Insured: Sequel Contractors, Inc. This endorsement is effective on the inception date of this Policy unless otherwise stated herein: Endorsement Effective Date: 12/1/2025 00 CA0115 00 10 13 Page 1 of 1 224 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. COMMERCIAL AUTO BROADENING ENDORSEMENT This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM MOTOR CARRIER COVERAGE FORM TRUCKERS COVERAGE FORM A. SECTION 11-LIABILITY COVERAGE, Paragraph 2.a. Supplementary Payments of the Business Auto Coverage Form, the Motor Carrier Coverage Form and the Truckers Coverage Form are amended as follows: 1. Subparagraph (2} is amended to increase the amount we will pay from $2,000 to $2,500. 2. Subparagraph (4} is amended to increase the amount we will pay from $250 a day to $500 a day. B. SECTION Ill -PHYSICAL DAMAGE COVERAGE of the Business Auto Coverage Form and SECTION IV -PHYSICAL DAMAGE COVERAGE of the Motor Carrier Coverage Form and Truckers Coverage Form are amended as follows: 1. Paragraph A.2. Towing, is deleted and replaced by the following: We will pay up to $250 for towing and labor costs incurred each time a covered "auto" is disabled. However, the labor must be performed at the place of disablement. 2. Paragraph 4.a. Transportation Expenses is amended to increase the most we will pay from $20 per day to $75 per day and the maximum we will pay from $600 to $2,500. 3. Paragraph 4. Coverage Extensions is amended to add the following: c. Return of Stolen Vehicle Expenses We will pay up to $2,500 for the expenses you incur for the return of each covered "auto" that was reported to the police as stolen. This coverage extension does not apply to Hired Autos. d. Personal Effects We will pay up to $400 for the "loss" of wearing apparel and other personal effects which are: (1} Owned by an "insured"; and (2} In or on your covered "auto". This coverage applies only in the event of a theft of your covered "auto" that has been reported to the police. The limit of insurance applies to each theft of a covered "auto". This insurance is excess over any other collectible insurance and no deductible applies. 4. Paragraph D. Deductible is amended to add the following: a. If another policy, that is not an "auto" policy or "auto" coverage form issued by us, applies to the same "accident" the following conditions apply: 00 CA0150 00 09 14 Page 1 of 2 225 (1) If the deductible under this Coverage Form is the smaller or smallest deductible, it will be waived. (2) If the deductible under this Coverage Form is not the smaller or smallest deductible, it will be reduced by the amount of the smaller or smallest deductible. b. A deductible does not apply to glass damage if the glass is repaired rather than replaced. C. SECTION 111-PHYSICAL DAMAGE COVERAGE Paragraph 8. Exclusions, Subparagraph 3.a. of the Business Auto Coverage Form and SECTION IV -PHYSICAL DAMAGE COVERAGE, Paragraph 8. Exclusions, Subparagraph 4.a. of the Motor Carrier Coverage Form and the Truckers Coverage Form are deleted and replaced with the following: Wear and tear, freezing, mechanical or electrical breakdown. However, mechanical breakdown does not include the accidental discharge of an airbag. D. SECTION IV -BUSINESS AUTO CONDITIONS, Paragraph B. General Conditions, Subparagraph 5. Other Insurance, Item c. of the Business Auto Coverage Form is deleted and replaced with the following: Regardless of the provisions of a. immediately above, this Coverage Form's Auto Liability Coverage is primary for any covered liability assumed under an "insured contract" and other auto liability insurance available to an "insured" shall be considered excess and non-contributory when required by an "insured contract". E. SECTION V -MOTOR CARRIER CONDITIONS, Paragraph 8. General Conditions, Subparagraph 5. Other Insurance -Primary And Excess Insurance Provisions, Item g. of the Motor Carrier Coverage Form is deleted and replaced with the following: Regardless of the provisions of a., b., c., d., and e. immediately above, this Coverage Form's Motor Carrier Liability Coverage is primary for any covered liability assumed under an "insured contract" and other motor carrier liability insurance available to an "insured' shall be considered excess and non-contributory when required by an "insured contract". F. SECTION V-TRUCKERS CONDITIONS, Paragraph 8. General Conditions, Subparagraph 5. Other Insurance -Primary And Excess Insurance Provisions, Item e. of the Truckers Coverage Form is deleted and replaced with the following: Regardless of the provisions of a., b., and c. immediately above, this Coverage Form's Truckers Liability Coverage is primary for any covered liability assumed under an "insured contract" and other liability insurance available to an "insured' shall be considered excess and non-contributory when required by an "insured contract". All other terms and conditions of this Policy remain unchanged. Endorsement Number: Policy Number: 71PKG2091001 Named Insured: Sequel Contractors, Inc. This endorsement is effective on the inception date of this Policy unless otherwise stated herein: Endorsement Effective Date: 12/1/2025 00 CA0150 00 09 14 Page 2 of 2 226 12/3/24 , 4:15 PM ReferenceConnect Document: NCCI-Forms I Countrywide Endorsements I WC 00 03 13-Waiver of Our Right to Recover From 0th ... I Document editions: 04/01/84 (4th Revision) I 04/01/84 (3rd Revision) I 04/01/84 (1/04 Revision) I 04/01/84 (1st Revision) I 04/01/84 NCCI I Workers Comp Forms I 04/01/84 WORKERS COMPENSATION AND EMPLOYERS LIABILITY INSURANCE POLICY WC 00 0313 2nd Reprint Effective April 1, 1984 Advisory POLICY NUMBER: 74WCl2091001 WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. (This agreement applies only to the extent that you perform work under a written contract that requires you to obtain this agreement from us .) This agreement shall not operate directly or indirectly to benefit anyone not named in the Schedule . Note: Schedule 1. Use this endorsement to waive the company's right of subrogation against named third parties who may be responsible for an injury. 2. The sentence in ( ) is optional with the company. It limits the endorsement to apply only to specific jobs of the insured , and only to the extent that the insured is required to obtain this waiver. 3. The following entry must be added to the endorsement when used in Hawaii: "The premium charge for the endorsement is$ ______ " 4 . The endorsement does not apply to policies or exposure in Missouri where the employer is in the construction group of classifications. According to Section 287 .150(6) of the Missouri statutes , a contractual provision purporting to waive subrogation rights is against public policy and void where one party to the contract is an employer in the construction group of code classifications. For policies or exposure in Missouri, the following must be included in the Schedule : Any person or organization for which the employer has agreed by written contract, executed prior to loss, may execute a waiver of subrogation. However, for purposes of work performed by the employer in Missouri, this waiver of subrogation does not apply to any construction group of classifications as designated by the waiver of right to recover from others (subrogation) rule in our manual. 5. In most states, including Florida, any associated premium charge must be filed and approved prior to use. 6. For New York, the company shall as applicable indicate a premium charge of 2% to 10% of the manual premium subject to a minimum charge of $250 per policy for blanket coverage. 7. For New York, the company shall as applicable indicate a premium charge of 5% to 10% of the manual premium for each person or organization named above subject to a minimum charge of $250 per policy for specific coverage . 8. In Oregon, the sentence in ( ) must be excluded from the endorsement where the endorsement is applied in association with a construction agreement as defined by Oregon statute . For Kansas, use of this endorsement is limited by the Kansas Fairness in Private Construction Contract Act (K.S.A. 16- 1801 through 16-1807 and any amendments thereto) and the Kansas Fairness in Public Construction Contract Act (K.S.A. 16-1901 through 16-1908 and any amendments thereto). According to the Acts, a provision in a contract for private or public construction purporting to waive subrogation rights for losses or claims covered or paid by liability or workers compensation insurance shall be against public policy and shall be void and unenforceable except that, subject to the Acts, a contract may require waiver of subrogation for losses or claims paid by a consolidated or wrap-up insurance program. This endorsement changes the policy to which it is attached and is effective on the date issued unless otherwise stated. https ://www.referenceconnect.com /SPOnline/SPSage .aspx?cmd=doc&id=N53815&etfs=ja33IL YMPbmBRebqOI2b Tw 1/2 227 12/3/24, 4:15 PM Referen c eConnect Document: NCCI-Forms I Countrywide Endorsements I WC 00 03 13-Waiver of Our Right to Recover From 0th ... (The information below is required only when this endorsement is issued subsequent to preparation of the policy.) Endorsement Effective : 12/1/2025 Insured: Sequel Contractors , inc . Policy No; 74WCl2091001 Endorsement No. Premium Insurance Company : Arch Insurance Company Countersigned by ______________ _ NOTICE: Although the formatting of this online manual, including any state exceptions, may differ from the hard copy, the content is identical. © Copyright 1983-2017 National Council on Compensation Insurance, Inc. All Rights Reserved. ©NCCI Holdings, Inc. https ://www.referenceconnect.com /SP0nline/SPSage .aspx?cmd=doc&id=N53815&etfs=ja33IL YMPbmBRebqOI2b Tw 2/2 228 2: 2: ...J :5 0 0-2: ,~ 0 i-: ~ (/) ,~ ...J <:( " i-: (/) li-llllliilll.-l __ .. .._ __ 11111 McFADDEN 0 i-: i-: :c (/) (/) (.J EDI ~ v'5 ~ LJ.J ...J ~ ...J 0 c§ en ('.) ~ 2: a:: Q_ (/) GER HEIL i-: (/) I (/) ~ TAL ,___ ___ _ ~ a ERT 6-1-------=E=L=L:.:.;:;IS ..... A"""'V-=E"'"".--. ('.) G) Bolsa Avenue Arterial Rehabilitation {Bolsa Chica Street-Goldenwest Street) ~ Frankfort Avenue Storm Drain Improvements {Near Frankfort Avenue and Delaware Street) Q) Downtown Alley Improvements 9th Street {Walnut Avenue-Olive Avenue) 10th Street {Walnut Avenue-Pecan Avenue) 11th Street {Orange Avenue-Pecan Avenue) i-: (/) AVE. 2025 ARTERIAL REHABILITATION, CC-1771 PROJECT LOCATION MAP CITY OF HUNTINGTON BEACH DEPARTMENT OF PUBLIC WORKS NTS i-: i-: (/) (/) AVE. AVE. AVE. i-: (/) i-: (/) tJa ~ 1 OF 1 2025 Arterial Rehabilitation Project July 7, 2026 229 Project Locations 1. Bolsa Avenue Rehabilitation • Bolsa Chica Street to Goldenwest Street. • Two miles of construction. 2. Frankfort Avenue Storm Drain Improvement • Storm drain on Frankfort Avenue near Delaware Street. 3. Downtown Alley Improvements • Five downtown alley segments located between 8th Street, 11th Street, Walnut Avenue, and Pecan Avenue. 230 ....: (/)l-,i,il,lfi-'-~"'-1--- i--= ....: V) V) EDI GER ✓--... (i) Bolso Avenue Arterial Rehabilitation (Bolso Chico Street-Goldenwest Street) (2) Frankfort Avenue Storm Drain Improvement• (Near fronkfort Avenue and Delaware Street) (J) Downtown Alley Improvements 9th Street (Walnut Avenue-Olive Avenue) 10th Street (Walnut Avenue-Pecan Avenue) 11th Street (Orange Avenue-Pecan Avenue) HEIL ....: V) NTS • This arterial segment has an average Pavement Condition Index (PCI) rating of 47, with one segment as low as 19. This reflects a very poor condition, warranting rehabilitation. • Pavement rehabilitation will include areas of slurry, 2-inch grind and overlay, 5-inch dig outs to repair localized failures, and full depth reclamation for the segments where the subgrade has severely failed. • Replace damaged and uneven concrete to improve the pedestrian path of travel. • Construct ADA ramps with new pedestrian push buttons • Landscape enhancement with tree replacement • Drainage improvements • Striping and signage improvements • Utility adjustments and manhole cover replacements Bolsa Avenue Rehabilitation 231 • The alley that runs parallel to Delaware Street to the east, from Hartford Avenue to Geneva Avenue, has been experiencing severe flooding during larger rain events. After field investigation and research, it was discovered that there was a bottleneck in the downstream storm drain. • To increase the flow of storm water, a 100 linear foot pipe will be constructed connecting to an existing catch basin. • Local depressions will be replaced to improve street flow. Frankfort Avenue Storm Drain 232 5 6 }--_c._s. _;:_#1~ STA . 1?+70.35 EX. LP 1 \ 452MHL004 .l ., I 452MHL007 ' 12AC 452MHL005 12AC 452GRT002 ,? 452GRT003 452GRT004 • 452CBN 452CBN009 • The five (5) alley segments have an average Pavement Condition Index (PCI) rating of 36. This reflects a very poor condition, warranting rehabilitation. • The PCI does not consider the pavements ability to convey stormwater. These alleys often experience severe ponding. Improvements to the pavement will be a 2-inch grind and overlay. • Stormwater drainage will be improved by reducing the high points to promote sheet flow as intended. Downtown Alley Improvements 233 FUNDING RMRA Acct. 124790008.82300 $3,686,441 RMRA Acct. 124790009.82300 $2,321,354 Measure M Acct. 21390044.82300 $504,306 Measure M Acct 21390039.82300 $566,990 OCTA Acct. 125490002.82300 $682,737 Total Funds Available $7,761,828 234 J - I -I I - - I SCHEDULE • Construction to commence in Summer 2026 • Construction to finalize in Spring 2027 235 RECOMMENDATION • Accept the lowest responsive and responsible bid submitted by Sequel Contractors, Inc. in the amount of $6,783,480 • Authorize the Director of Public Works to approve construction change orders within a 10% contingency • Approve the appropriation of $682,737 to account 125490002.82300 • Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney. 236 Questions? 237