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HomeMy WebLinkAbout2014-10-09 Council Agenda PacketThursday, October 9, 2014 8:30 AM City of Fresno 2600 Fresno Street Fresno, CA 93721 www.fresno.gov Council Chambers City Council Meeting Agenda - Final-revised Regular Session October 9, 2014City Council Meeting Agenda - Final-revised The meeting room is accessible to the physically disabled. If you require special assistance to participate in the meeting, notify the Office of the City Clerk at 559-621-7650 at least three business days prior to the meeting. Please keep the doorways, aisles and wheelchair seating areas open and accessible. If you need assistance with seating because of a disability, contact Security. The City Council welcomes you to the Council Chambers, located in City Hall, 2nd Floor, 2600 Fresno Street, Fresno CA 93721. The agenda and related staff reports are available on (www.fresno.gov) as well as in the Office of the City Clerk. The Council meeting can also be heard live at the same web site address, and viewed live on Comcast Channel 96 and AT&T Channel 99 from 8:30 a.m. and re-played beginning at 8:00 p.m. PROCESS: For each matter considered by the Council there will first be a staff presentation followed by a presentation from the involved individuals, if present. Testimony from those in attendance will then be taken. All testimony will be limited to three minutes per person. If you would like to speak fill out a Speaker Request Form available from the City Clerk’s Office and in the Council Chambers. The three lights on the podium next to the microphone will indicate the amount of time remaining for the speaker. No documents shall be accepted for Council review unless they are submitted to the City Clerk at least 24 hours prior to the Council Agenda item being heard. Following is a general schedule of items for Council consideration and action. The City Council may consider and act on an agenda item in any order it deems appropriate. Actual timed items may be heard later but not before the time set on agenda. Persons interested in an item listed on the agenda are advised to be present throughout the meeting to ensure their presence when the item is called. AGENDA ITEMS MARKED WITH AN ASTERISK (*) ARE SUBJECT TO MAYORAL VETO OR RECONSIDERATION Page 2 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised 8:40 A.M. ROLL CALL Invocation by Pastor Powell Lemons of Bethel Christian Center Pledge of Allegiance to the Flag CEREMONIAL PRESENTATIONS Presentation of certificates to The Münster Youth ChoirID#14-452 Sponsors:Council President Brandau Proclamation of “NATIONAL DAY ON WRITING”ID#14-465 Sponsors:Baines III Approve City Council Minutes Approval of City Council minutes from October 2, 2014ID#14-453 Councilmember Reports and Comments Approve Agenda 1. CONSENT CALENDAR All Consent Calendar items are considered to be routine and will be treated as one agenda item. The Consent Calendar will be enacted by one motion. Public comment on the Consent Calendar is limited to three (3) minutes per speaker. There will be no separate discussion of these items unless requested by a Councilmember, in which event the item will be removed from the Consent Calendar and will be considered as time allows. Adopt amendments to The City Of Fresno Deferred Compensation Plan document to allow for Roth Contributions and Roth In-Plan Rollover Conversions, update limits on deferrals, and Section concerning qualified military service ID#14-3641-A Sponsors:Retirement Department Authorize Amendment No. 2 to the agreement between the City of Fresno and Diversified Transportation, LLC (DBA ID#14-3661-B Page 3 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised Keolis Transit America) Sponsors:Department of Transportation Approval for a two-year contract between Fresno City College and the City of Fresno for contract instruction, assessment services and training credit ID#14-3761-C Sponsors:Police Department Approve lease agreement between the City of Fresno and The Fresno Arts Council for use of the Historic Water Tower located at Fresno and “O” Street (Council District 3) ID#14-3871-D Sponsors:Office of Mayor & City Manager Actions pertaining to the establishment of a non-exclusive towing operation franchise for certain towing operators to participate in the Police Department’s tow car rotation list 1.RESOLUTION - Of intention to establish non-exclusive towing operation franchise and setting a public hearing on the matter and a final vote on October 23, 2014 at 10:00 a.m. 2.ORDINANCE (For Introduction) - Granting to towing operators a non-exclusive franchise to participate in the Fresno Police Department’s tow car rotation list in preparation for a public hearing on October 23, 2014 for a final vote to approve the non-exclusive towing operation franchise 3.ORDINANCE (For Introduction) - amending Article 17, Chapter 9 of the Fresno Municipal Code relating to tow trucks ID#14-4091-E Sponsors:Police Department Authorize the City Manager or designee to execute a grant deed for the sale of excess property in the amount of $75,348 to DFP Limited LP located on “G” Street near Tulare Street APN 467-071-03T and 467-071-04T (Council District 3) ID#14-4231-F Sponsors:Public Works Department Page 4 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised RESOLUTION - Of Intention by the Council of the City of Fresno, California, to grant a Non-Exclusive Franchise for roll-off collection services within the City of Fresno and setting the public hearing for October 23, 2014 ID#14-4381-G Sponsors:Department of Public Utilities Approve a consultant agreement in the amount of $160,100 with Blair, Church & Flynn Consulting Engineers for the professional engineering services for sewer rehabilitation and replacement in Chinatown and authorize Director of Public Utilities or his designee to sign on behalf of the City (Council District 3) ID#14-4391-H Sponsors:Department of Public Utilities CONTESTED CONSENT CALENDAR 2. GENERAL ADMINISTRATION Approve the selection of, and award a contract to, Republic Parking Inc. to provide Parking Facilities Management Services in downtown Fresno ID#14-3612-A Sponsors:Planning and Development Department Actions pertaining to On-Airport Non-Exclusive Rental Car Concession Agreements at Fresno Yosemite International Airport (Council District 4) - Airports Department 1.Adopt a finding of Categorical Exemption pursuant to Article 19, Section 15301(a) and (d)/Class 1 (Existing Facilities) of the California Environmental Quality Act (CEQA) Guidelines to authorize Concession Agreements with Avis/Budget Car Rental, LLC, Enterprise Rent A Car of Sacramento, LLC, and The Hertz Corporation at Fresno Yosemite International Airport (FAT) 2.Approve On-Airport Non-Exclusive Rental Car Concession Agreements between the City and Avis/Budget Car Rental, LLC (Avis), Enterprise Rent A Car of Sacramento, LLC, (Enterprise), and The Hertz Corporation (Hertz) ID#14-4402-B Page 5 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised Sponsors:Airports Department 3. CITY COUNCIL 4. CLOSED SESSION Page 6 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised 5. SCHEDULED COUNCIL HEARINGS AND MATTERS 10:00 A.M.#1 HEARING to consider a Resolution of Public Use and Necessity for Acquisition of Permanent Utility Easements and Temporary Construction Easements from APNs 580-040-02S owned by Frances M. Ricchiuti & Patrick V. Ricchiuti, Co-Trustees of the Frances M. Ricchiuti Family Trust and Patrick V. Ricchiuti, Trustee, The Ricchiuti GST Nonexempt QTIP Trust; 580-020-20S and 580-020-22S owned by Leonard and Nicholas Verni; 580-050-01S owned by Patrick Vincent Ricchiuti, Trustee of the Patrick Vincent Ricchiuti Family Trust; and 580-020-21 and 580-020-23 owned by George C. Goshgarian, Kathleen A. Goshgarian, Michael Morales, Leonard Verni, Nicholas Verni, Steven G. Fogg Family Partnership, and Christopher T. Lum as Sole Trustee of the Steven C.Y. Lum and Catherine J. Lum Trust. 1. * RESOLUTION - That the Public Interest and Necessity Require and Authorize Eminent Domain for Acquisition of Permanent Utility Easements and Temporary Construction Easements from Real Property: APNs 580-040-02S, 580-020-20S, 580-020-22S, 580-050-01S, 580-020-21, 580-020-23, located in the County of Fresno. (Requires 5 Affirmative Votes) (Continue to October 23, 2014 @ 11:00 a.m.) ID#14-462 Sponsors:Department of Public Utilities 10:00 A.M.#2 CONTINUED HEARING to Consider Rezone Application No. R-13-014 and related Environmental Assessment No. R-13-014/TPM 2013-03 filed by Mike Hamzy on behalf of Niko Real Estate Fund, LLC for property located on the west side N. Winery Avenue between E. Washington and E. McKenzie Avenues (Council District 7) (Continued from June 26, 2014 Council meeting) 1.Consider the Finding of Conformity for Environmental Assessment No. R-13- 014/TPM 2013-03 ID#14-416 Page 7 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised 2. BILL- (For introduction and adoption) - Amending the Official Zone Map to reclassify the subject property from the R-A (Single Family Residential Agricultural) zone district to the R-1 (Single Family Residential) zone district Sponsors:Planning and Development Department 10:30 A.M. Consider an appeal filed by Councilmember Caprioglio, appealing the Planning Commission’s action to approve Conditional Use Permit No. C-13-092 and related Vesting Tentative Tract Map No. 6033/UGM, and environmental findings, by Jeffrey T. Roberts of Granville Homes, Inc, for property located on the northeast corner of North Fowler and East Clinton Avenues (Council District 4) 1.RESOLUTION - Denying the appeal and approving Conditional Use Permit No. C-13-092 2.RESOLUTION - Denying the appeal and approving Vesting Tentative Tract Map No. 6033/UGM (Continued from September 25, 2014) ID#14-446 Sponsors:Planning and Development Department 10:45 A.M. JOINT MEETING OF THE CITY OF FRESNO, THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF FRESNO, AND THE FRESNO REVITALIZATION CORPORATION City Council, Successor Agency Board, FRC Board consider approving: Actions pertaining to public improvements within the Central City Commercial Redevelopment Project 1.Findings of Categorical Exemption pursuant to Sections 15301 (Existing Facilities), item (c) of the CEQA Guidelines, related to the construction of publically owned improvements in the area generally described as Hedges Avenue between Abby and Effie, Effie Avenue between Hedges and Hammond, and Hammond Avenue between Effie and Abby. ID#14-451 Page 8 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised 2.RESOLUTION - Of the City of Fresno, the Successor Agency and the Fresno Revitalization Corporation making the necessary findings under section 33445 of the community redevelopment law, authorizing the installation of public improvements within the Central City Commercial redevelopment project area for street improvements including curb, gutter, paving and sidewalks. 3.Award of construction contract to Central Valley Asphalt as the lowest responsive and responsible bidder in the amount of $252,831.88 (Bid File No.3291) for the construction of publically owned improvements in the area generally described as Hedges Avenue between Abby and Effie, Effie Avenue between Hedges and Hammond, and Hammond Avenue between Effie and Abby. ADJOURN JOINT MEETING PLEASE NOTE: UNSCHEDULED COMMUNICATIONS IS NOT SCHEDULED FOR A SPECIFIC TIME AND MAY BE HEARD ANY TIME DURING THE MEETING UNSCHEDULED COMMUNICATION ADJOURNMENT UPCOMING SCHEDULED COUNCIL HEARINGS AND MATTERS UPCOMING SCHEDULED COUNCIL HEARINGS AND MATTERS UPCOMING SCHEDULED COUNCIL HEARINGS AND MATTERS OCTOBER 23 10:00 A.M.#1 HEARING ordering the vacation of a portion of the northwest side of Stanislaus Street northeast of Fulton Street (Council District 3) OCTOBER 23 10:00 A.M.#2 HEARING re: Non-Exclusive Towing Franchise Agreements OCTOBER 23 10:00 A.M. #3 HEARING re: granting a non-exclusive franchise for roll-off collection services within the City of Fresno Page 9 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised OCTOBER 23 10:15 A.M. HEARING re: Rezone Application No. R-14-004 filed by Poeschel Land Development Services on behalf of property owner Bill Milam OCTOBER 23 10:30 A.M. Rezone Application No. R-14-006 (and the finding Mitigated Negative Declaration prepared for EA No. R-14-006) filed by Dirk Poeschel Land Development Services, on behalf of Wells Fargo Bank, NA and successor in interest Property Multipliers LLC. OCTOBER 23 11:00 A.M. CONTINUED HEARING to consider a Resolution of Public Use and Necessity for acquisition of permanent utility easements and temporary construction easements from APNs 580-040-02S owned by Frances M. Ricchiuti & Patrick V. Ricchiuti OCTOBER 23 1:30 P.M. Review of Police Staffing - Council President Brandau OCTOBER 23 3:00 P.M. WORKSHOP re the General Plan presented by Building Healthy Communities NOVEMBER 20 10:00 a.m. HEARING re: Final Tract Map No. 5967 annexed to CFD No. 11 to provide funding for the operation and reserves for maintenance (“Services”) pertaining to the concrete curbs and gutters, entrance median curbs and hardscaping, sidewalks, curb ramps, interior street paving and street lighting associated with this subdivision DECEMBER 11 11:00 A.M. WORKSHOP - Central Unified School District -Superintendent Mike Berg (Council President Brandau) UPCOMING EMPLOYEE CEREMONIES OCTOBER 22 (Wednesday) Page 10 City of Fresno ***Subject to Mayoral Veto October 9, 2014City Council Meeting Agenda - Final-revised 2:00 P.M. Presentation of Employee Service Awards (Reception immediately following - 2nd floor foyer) 2014 CITY COUNCIL MEETING SCHEDULE OCTOBER 16 - NO MEETING OCTOBER 23 - 8:30 A.M. OCTOBER 30 - 8:30 A.M. NOVEMBER 6 - 8:30 A.M. DECEMBER 4 - 8:30 A.M. NOVEMBER 13 - NO MEETING DECEMBER 11 - 8:30 A.M NOVEMBER 20 - 8:30 A.M. DECEMBER 18 - 1:30 P.M. NOVEMBER 27 - NO MEETING DECEMBER 25 - NO MEETING Page 11 City of Fresno ***Subject to Mayoral Veto City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-452 Agenda Date:10/9/2014 Agenda #: CEREMONIAL PRESENTATION Presentation of certificates to The Münster Youth Choir City of Fresno Printed on 12/16/2022Page 1 of 1 powered by Legistar™ City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-465 Agenda Date:10/9/2014 Agenda #: CEREMONIAL PRESENTATION Proclamation of “NATIONAL DAY ON WRITING” City of Fresno Printed on 12/16/2022Page 1 of 1 powered by Legistar™ City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-453 Agenda Date:10/9/2014 Agenda #: CITY COUNCIL MINUTES FOR APPROVAL Approval of City Council minutes from October 2, 2014 City of Fresno Printed on 12/16/2022Page 1 of 1 powered by Legistar™ Rf CEIVED ¡û1T rûr ? Pn I 31 Agenda ltem: lD#14-453 Council Date: LOlg l2OL4 crTY cLrRK, FREfiRESNO CITY COU NCI L Ëii=atls\r/zfflE-=-Ez¿¡È- Supplemental lnformation Packet Agenda Related ltems - Meeting of October 9, 2Ot4 Supplemental Packet Date: October 7,2OL4 Item(sI File lD# L4-453 - Approval of City Council minutes from October 2,2014 Supplemental lnformation : Any agenda related public documents received and distributed to a majority of the City Council after the Agenda Packet is printed are included in Supplemental Packets. Supplemental Packets are produced as needed. The Supplemental Packet is available for public inspection in the City Clerk's Office, 2600 Fresno Street, during normal business hours (main location pursuant to the Brown Act, G.C. 54957.5(21. ln addition, Supplemental Packets are available for public review at the City Council meeting in the City Council Chambers, 2600 Fresno Street. Supplemental Packets are also available on-line on the City Clerk's website. Americans with Disabilities Act (ADA): The meeting room is accessible to the physically disabled, and the services of a translator can be made available. Requests for additional accommodations for the disabled, sign language interpreters, assistive listening devices, or translators should be made one week prior to the meeting. Please call City Clerk's Office at 621-7650. Please keep the doorways, aisles and wheelchair seating areas open and accessible. lf you need assistance with seating because of a disability,se see Security. 2600 Fresno Street Fresno, CA 93721 www.fresno.gov City of Fresno Meeting Minutes - Draft City Council Council President - Steve Brandau Acting President - Oliver Baines, III Councilmembers: Lee Brand, Paul Caprioglio, Clinton J. Olivier, Sal Quintero, Blong Xiong City Manager - Bruce Rudd City Attorney - Douglas T. Sloan City Clerk - Yvonne Spence, CMC 8:30 AM Council ChambersThursday, October 2, 2014 Regular Session The City Council met in regular session at the hour of 8:30 A.M. in the Council Chamber, City Hall, on the day above written. 8:37 A.M. ROLL CALL Council President Steve Brandau Acting Council President Oliver Baines Councilmember Lee Brand Councilmember Paul Caprioglio Councilmember Clinton Olivier Councilmember Sal Quintero Councilmember Blong Xiong Present:7 - Invocation by District 4 The invocation was performed by Public Works Director Mozier Pledge of Allegiance to the Flag CEREMONIAL PRESENTATIONS ID#14-425 Presentation of SPCA Pet of the Month Sponsors:City Councilmember Brandau PRESENTED City of Fresno *Subject to mayoral veto Page 1 October 2, 2014City Council Meeting Minutes - Draft ID#14-378 Presentation of the annual Disability Awareness Month Proclamation and Disability Advisory Commission annual awards Sponsors:Mayor's Office PRESENTED ID#14-426 Presentation of P.R.I.D.E. Team Certificates for the Fall Quarter PRESENTED RECESSED 9:16 A.M. to 9:40 A.M. APPROVE CITY COUNCIL MINUTES ID#14-442 Approval of City Council minutes from September 25, 2014 APPROVED On motion of Councilmember Quintero, seconded by Councilmember Brand, the above Minutes were approved. The motion carried by the following vote: Aye:Brandau, Baines, Brand, Olivier, Quintero and Xiong6 - Absent:Caprioglio1 - COUNCILMEMBER REPORTS AND COMMENTS Councilmember Quintero asked City Manager Rudd to relay his appreciation to city staff for the great work done for the Carnival event at the Mosqueda Center and at the opening of the Big Fresno Fair. Councilmember Quintero congratulated the City Manager on the improvement of the City’s rating by Moody’s Investor Services. City Manager Rudd noted that Council and many others played a role in the rating improvement by Moody’s Investor Services. Rudd commented that the path laid out over the last four years was a difficult one but one that was required over the long run. The ratings change affirmed it was the correct path. Rudd noted the ratings improvements would help if the City decided to borrow money sometime in the future and would help economic development by drawing new business to Fresno and encouraging existing businesses to expand. Acting President Baines reported that he missed the Council meeting last week because he was attending the Congressional Black Caucus in City of Fresno *Subject to mayoral veto Page 2 October 2, 2014City Council Meeting Minutes - Draft Washington D.C.. The conference was excellent and he brought back a lot of ideas and made many contacts on behalf of the City. Acting President Baines also thanked City Manager Rudd and City Clerk Spence for getting public information onto the City website so constituents would have easy access to those things that occur in City. Councilmember Brand reported he had attended a great event by The Art of Life Cancer Foundation at California State University Fresno the previous Sunday. The foundation gets artists involved with people undergoing cancer treatment. Councilmember Brand informed Council he would bring an item before council to allow the Foundation to hold a similar event at Woodward Park. Councilmember Xiong asked City Manager Rudd to pass along his appreciation to staff for performing well at his districts General Plan update meeting. President Brandau noted his appreciation for the City's water meetings that allowed interested citizens to interact with the City and better understand the water plans. APPROVE AGENDA On motion of Councilmember Olivier, seconded by Councilmember Brand, the agenda was approved. The motion carried by the following vote: Aye:Brandau, Baines, Brand, Caprioglio, Olivier, Quintero and Xiong 7 - 1. CONSENT CALENDAR APPROVAL OF THE CONSENT CALENDAR Councilmember Brand moved Consent Calendar Item 1-F (File ID#14-443) regarding a consultant services agreement with Barrett Sports Group LLC, to the Contested Consent Calendar for further discussion. On motion of Councilmember Xiong, seconded by Councilmember Olivier, the CONSENT CALENDAR was hereby adopted by the following vote: Aye:Brandau, Baines, Brand, Caprioglio, Olivier, Quintero and Xiong 7 - City of Fresno *Subject to mayoral veto Page 3 October 2, 2014City Council Meeting Minutes - Draft ID#14-3791-A Revision of Video Policing Auditing Sponsors:Police Department APPROVED The above item was approved on the Consent Calendar. ID#14-3971-B Approve a (3) three year requirements contract with the possibility of (2) two one-year extensions for Cost Allocation Plan (CAP) and Indirect Cost Rate Proposal (ICRP) services in the amount of $23,000 per year with MGT of America, Inc. Sponsors:Finance Department APPROVED The above item was approved on the Consent Calendar. ID#14-4001-C RESOLUTION - Of Intention to vacate portions of the northwest side of Stanislaus Street northeast of Fulton Street and the northeast side of Fulton Street northwest of Stanislaus Street, and a portion of the Fulton-Van Ness Alley northwest of Stanislaus Street (Council District 3) Sponsors:Public Works Department ADOPTED The above item was adopted on the Consent Calendar. ID#14-4021-D Approve Agreement for Transfer of Drainage Facilities from City of Fresno to Fresno Metropolitan Flood Control District along Kings Canyon Road (former State Route 180) (Council District 5) Sponsors:Public Works Department APPROVED The above item was approved on the Consent Calendar. City of Fresno *Subject to mayoral veto Page 4 October 2, 2014City Council Meeting Minutes - Draft ID#14-4271-E Actions pertaining to the City Hall Annex Reroof Project (Council District 3) 1.Adopt finding of a Categorical Exemption per staff determination, pursuant to Section 15301(d) of the California Environmental Quality Act (CEQA) Guidelines 2.Award a construction contract to Roof Systems, Inc. dba Nations Roof West of Fresno, California in the amount of $282,182 for the City Hall Annex Roof Project (Bid File 3282) Sponsors:Public Works Department APPROVED The above item was approved on the Consent Calendar. ID#14-4431-F Approve a consultant services agreement with Barrett Sports Group, LLC Sponsors:City Manager's Office The above item was moved to the Contested Consent Calendar for further discussion by Councilmember Brand. CONTESTED CONSENT CALENDAR ID#14-4431-F Approve a consultant services agreement with Barrett Sports Group, LLC Sponsors:City Manager's Office Councilmember Brand introduced the above item to Council and Mayor Swearengin's Chief of Staff White answered questions. City Attorney Sloan read a proposed change to the Barrett Sports Group consultant agreement into the record as follows: "instead of reading '...a finders fee in an amount equal to 3.5%' the proposed change is that text should read, '...a finders fee not to exceed 3.5%' because there is a chance it could be negotiated to be less." APPROVED On motion of Councilmember Brand, seconded by Councilmember Olivier, the above item was approved. The motion carried by the following vote: Aye:Brandau, Baines, Brand, Caprioglio, Olivier, Quintero and Xiong 7 - City of Fresno *Subject to mayoral veto Page 5 October 2, 2014City Council Meeting Minutes - Draft 2. GENERAL ADMINISTRATION ID#14-3862-A Approve a Requirements Contract with Elite Maintenance and Tree Service, Inc. in the amount of $585,162 to provide monthly landscape maintenance service in selected Community Facility Districts and Landscape and Lighting Maintenance Districts Sponsors:Public Works Department Public Works Manager Aguirre introduced the above item to Council. APPROVED On motion of Councilmember Quintero, seconded by Councilmember Brand, the above item was approved. The motion carried by the following vote: Aye:Brandau, Baines, Brand, Caprioglio, Olivier, Quintero and Xiong 7 - ID#14-3922-B Approve a State of California Lead Poisoning Prevention Program Agreement in the amount of $436,470 with the County of Fresno for three years for lead hazard assistance and outreach Sponsors:Development and Resource Management Department Development and Resources Management Director Clark introduced the above item to Council. Acting President Baines noted that staff reports are as much as for the public as they are for Council so staff should include responses provided to Councilmembers concerns in the staff reports. Councilmember Quintero recommended utilizing mailers to focus on neighborhoods most likely to qualify for help from this grant and asked staff to work with his office to identify neighborhoods in District 5. APPROVED On motion of Acting President Baines, seconded by Councilmember Xiong, the above item was approved. The motion carried by the following vote: Aye:Brandau, Baines, Brand, Caprioglio, Olivier, Quintero and Xiong 7 - City of Fresno *Subject to mayoral veto Page 6 October 2, 2014City Council Meeting Minutes - Draft ID#14-4372-C Action pertaining to an Annual Appropriation Resolution for the High Speed Rail Station Area Master Plan 1.*RESOLUTION- 3rd amendment to the Annual Appropriation Resolution (AAR) No. 2014-95 appropriating $1,020,000 for High Speed Rail Station Master Plan consulting services and miscellaneous City expenses (Requires 5 affirmative votes) Deputy City Manager Quan-Schecter introduced the above item to Council. The following member(s) of the public spoke on this item: Anna Lovelace of I Will Ride, Shoshana Mudick of I Will Ride and Lee Ann Eager of Fresno County Economic Development Corporation. Councilmember Brand stated, for the record, that he had serious concerns with the financing and the overall High Speed Rail position in California but the current item was a local application and the consequence of not accepting the grant would be a burden upon the general fund. Councilmember Brand confirmed the general fund burden consequence with City Manager Rudd. Councilmember Caprioglio stated, for the record, that most citizens of District 4 do not support High Speed Rail and his research showed that High Speed Rail was an imposition by the State and Federal Government and the way to get by the situation was through the courts. Councilmember Caprioglio continued by explaining he would support the above item in order to bring tax money back to the local area and to protect the general fund. RESOLUTION 2014-161 ADOPTED On motion of Acting President Baines, seconded by Councilmember Quintero, the above item was adopted. The motion carried by the following vote: Aye:Baines, Brand, Caprioglio, Quintero and Xiong5 - No:Brandau and Olivier2 - 5. SCHEDULED COUNCIL HEARINGS AND MATTERS 10:00 A.M. ID#14-363 HEARING to adopt resolutions and ordinance to annex territory and levy a special tax regarding City of Fresno Community District No . 11, Annexation No. 56 (Final Tract Map No. 6063) (near south corner of North Friant Road and East Copper Avenue) (Council District 6) City of Fresno *Subject to mayoral veto Page 7 October 2, 2014City Council Meeting Minutes - Draft 1.RESOLUTION - Annexing Territory to Community Facilities District No. 11 and Authorizing the Levy of a Special Tax 2.RESOLUTION - Calling Special Mailed-Ballot Election 3.RESOLUTION - Declaring Election Results 4.* BILL - (For introduction and adoption) - Levying a Special Tax for the Property Tax Year 2014-2015 and Future Tax Years Within and Relating to Community Facilities District No. 11, Annexation No. 56, Final Tract Map No. 6063 Sponsors:Public Works Department Assistant Public Works Director Benelli introduced the above item to Council. The following member(s) of the public spoke on this item: owner/applicant Christine Lingenfelter RESOLUTION 2014-162 ADOPTED RESOLUTION 2014-163 ADOPTED RESOLUTION 2014-164 ADOPTED BILL B-42 / ORDINANCE 2014-43 ADOPTED On motion of Councilmember Brand, seconded by Councilmember Olivier the above item was adopted. The motion carried by the following vote: Aye:Brandau, Baines, Brand, Caprioglio, Olivier, Quintero and Xiong 7 - 10:10 A.M. ID#14-420 Sign Ordinance Workshop Development and Resources Management Director Clark introduced the above item to Council. Councilmember Xiong clarified that public input would include the many chambers throughout the City and requested that the discussion would include the financial resources required to enforce sign policies. Councilmember Quintero asked that consideration be given to current signs and what could be done to get them fixed up or help the property owners get into compliance. Councilmember Quintero also asked that there be weekend code enforcement for those that only display illegal signs on the City of Fresno *Subject to mayoral veto Page 8 October 2, 2014City Council Meeting Minutes - Draft weekends when code enforcement historically had not been present. President Brandau recommended hitting enforcement hard once the final decisions had been made and asked that consideration be given to adding overlay areas for locations that might need different sign rules than the city wide sign policy. Councilmember Caprioglio asked for enforcement of illegal political signs to be addressed in the final policy. Councilmember Brand asked for consideration of changing the enforcement policy from a solely complaint driven process to something more equitable and that would treat everyone the same. Councilmember Brand also asked that consideration be given to the future of electronic signs in the city. City Attorney Sloan noted there were First Amendment, Equal Protection, and state and federal law issues that come into play when dealing with signs. City Attorney Sloan asked if his office could prepare a memo for Council that would describe those things the City could properly regulate. Acting President Brandau welcomed the suggestion of a memo from the City Attorney's Office. Director Clark noted the draft code would be released for public consideration later in October. Currently, the public can provide input through Director Clark's office or Councilmember offices. 3. CITY COUNCIL ID#14-4293-A Council Boards and Commissions Communications, Reports, Assignments and/or Appointments, Reappointments, Removals to /from City and non-City Boards and Commissions: 1. Council of Governments - Swearengin-Ex-Officio (Olivier-Alternate) 2. Financial Audit Committee - Brand, Olivier, Xiong 3. Fresno Area Workforce Investment Corporation - Baines 4. Fresno County Transportation Authority (FCTA) - Swearengin, Brandau 5. Fresno Regional Workforce Investment Board - Baines, Renena Smith 6. Fresno County Zoo Authority - Swearengin (Baines-Alternate) 7. Fresno Madera Area Agency on Aging Board - Olivier 8. Joint Powers Financing Authority - Baines, Xiong, Swearengin 9. Association for the Beautification of Highway 99 - Baines City of Fresno *Subject to mayoral veto Page 9 October 2, 2014City Council Meeting Minutes - Draft 10. Upper Kings Basin Integrated Regional Water Management JPA - Xiong 11. Pension Reform Task Force - Brand, Xiong, (3rd Member vacant) 12. Economic Development Corporation Serving Fresno County - Brandau-Ex-Officio 13. Fresno/Clovis Convention & Visitors Bureau (CVB) - Amy Fuentes 14. League of California Cities (Annual Meeting) - Swearengin (Olivier-Alternate) 15. San Joaquin Valley Air Pollution Control District - Baines 16. Infill Development Ad Hoc Subcommittee - Brand, Baines, Olivier 17. Litigation Exposure Reduction Ad Hoc Committee - Brandau, Caprioglio 18.Convention Center Oversight Advisory Board - Baines, (Brand-Alternate), City Manager, SMG General Manager and one representative from each of SMG’s organizations Sponsors:City Clerk's Office Acting President Baines reported the Fresno County Zoo Authority was well underway with the Measure Z campaign and the African exhibit would be completed next summer. Acting President Baines reported zoo attendance had doubled from five years ago with almost 700,000 people currently attending each year. Acting President Baines stated the Sea Lion Cove exhibit was an award winning exhibit and with the upcoming African exhibit our zoo would be one of the best in the region. Acting President Baines reported the San Joaquin Valley Air Pollution Control District had updated the wood burning rules to allow increased wood burning for clean burning devices and there was an incentive grant program to help people upgrade their wood burning devices to clean burning systems. Councilmember Brand reported he and Acting President Baines would be introducing a concept of Council sub-committees working with School Districts in a formalized process to improve relations with the local school districts on cross jurisdictional issues. President Brandau replied to Councilmember Brand that the City was reaching out to the School Districts and would bring in the Superintendents before the end of the year. President Brandau reported that the Economic Development Corporation serving Fresno County recently sponsored a group of Chinese investors that City of Fresno *Subject to mayoral veto Page 10 October 2, 2014City Council Meeting Minutes - Draft were very interested in investing in the central valley and Fresno in particular. REPORTS AND COMMENTS MADE 4. CLOSED SESSION No Closed Session items were scheduled. UNSCHEDULED COMMUNICATION The following member(s) of the public spoke to Council about items not on the agenda: Dave Herb of the Democratic Central Committee noted his committee has received complaints about timed items being heard well after the stated times listed on the agendas. Mr. Herb asked Council to make a concerted effort to hear timed items as close to the stated time as possible (but not earlier) in order to facilitate citizens that arrange their schedules to attend those items. ADJOURNMENT Adjourned at 11:49 A.M. City of Fresno *Subject to mayoral veto Page 11 City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-364 Agenda Date:10/9/2014 Agenda #:1-A REPORT TO THE CITY COUNCIL October 9, 2014 FROM:DEFERRED COMPENSATION BOARD BY:STANLEY L. MCDIVITT, Retirement Administrator SUBJECT Adopt amendments to The City Of Fresno Deferred Compensation Plan document to allow for Roth Contributions and Roth In-Plan Rollover Conversions, update limits on deferrals, and Section concerning qualified military service RECOMMENDATION The City of Fresno Deferred Compensation Board recommends that the City Council approve the attached City of Fresno Deferred Compensation Plan Document adding the Roth provisions allowed by the American Taxpayer Relief Act (ATRA)of 2012,qualified military service provisions of Pension Protection Act (PPA) of 2006 and updating deferral limits. EXECUTIVE SUMMARY The City of Fresno Deferred Compensation Plan document has been modified to incorporate the necessary language to 1)add Roth Contributions as a deferral type,including provisions for the Roth In-Plan Conversion enabling Fidelity,the plan’s current record keeper custodian,to implement these provisions approximately 12-weeks following receipt of the amended Plan document;2)update deferral limits, and 3) add a section on Qualified Military Service. BACKGROUND ATRA contains an important provision that offers a new opportunity to convert assets in defined contribution plans (such as Section 401(k)plans,Section 403(b)plans,and governmental 457(b) plans)into Roth amounts within the plan,regardless of whether the amounts are currently distributable,as long as the plan permits regular non-rollover Roth contributions.The amount converted is currently taxable but subsequent qualified distributions from the plan Roth account are, of course,completely nontaxable.Plans are permitted to offer this new conversion election but are,of course, not required to do so. City of Fresno Printed on 12/16/2022Page 1 of 2 powered by Legistar™ File #:ID#14-364 Agenda Date:10/9/2014 Agenda #:1-A This opens up a potential source of assets for conversion to Roth.The new provision would allow all vested assets in a plan to be eligible for conversion.This provision is effective for transfers to Roth accounts after adoption by Council; and it is important to note that plan conversions are irrevocable. At its meeting on July 25,2014,the Deferred Compensation Board reviewed,discussed and ultimately concluded that it was in favor of adopting modifications to the City of Fresno Deferred Compensation Plan document to allow Roth Contributions and Roth In-Plan Conversion features recently allowed in 457 Government sponsored deferred compensation plans. Once the City Council approves the Plan document modifications,Retirement Office staff will work with Personnel/Payroll and ISD to program,test,and implement 457 Roth deferral contributions to the City’s PeopleSoft payroll system.Fidelity has provided the Fidelity Roth Deferral Feedback File/Tape Specifications which have been reviewed by the City’s Personnel/Payroll and ISD departments. The City Attorney’s Office has thoroughly reviewed the attached proposed revisions to the Plan Document. ENVIRONMENTAL FINDINGS N/A LOCAL PREFERENCE N/A FISCAL IMPACT The costs of implementing new provisions to the 457 Plan are borne by the City.It is estimated that up to approximately ninety (90)hours of staff work may be required to program,test and implement 457 Roth deferral type (after-tax)contributions to the City’s PeopleSoft payroll system.There are no other costs for the City associated with the implementation of the Roth In-Plan Rollover conversion provisions. Attachments: City of Fresno Deferred Compensation Plan Document Redlined and Final City of Fresno Printed on 12/16/2022Page 2 of 2 powered by Legistar™ CITY OF FRESNO DEFERRED COMPENSATION PLAN DOCUMENT CITY OF FRESNO July 23, 2009October 9, 2014 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT TABLE OF CONTENTS Article I PLAN ESTABLISHED 01-01 Plan Established. ........................................................................... 1 Article II PURPOSE 02-01 Primary Purpose ........................................................................... 1 02-02 Agreement ................................................................................... 1 02-03 Tax Status not Guaranteed ............................................................ 1 Article III DEFINITIONS 03-01 Account ........................................................................................ 2 03-02 Accumulated Deferrals .................................................................. 2 03-03 Automatic Distribution Date ........................................................... 2 03-04 Beneficiary ................................................................................... 2 03-05 Compensation ............................................................................... 2 03-06 Deferred Compensation ................................................................. 2 03-07 Deferred Compensation Board ....................................................... 2 03-08 Eligible Employee .......................................................................... 3 03-09 Eligible Retirement Plan ................................................................. 3 03-10 Eligible Rollover Distribution .......................................................... 3 03-11 Eligible Tax Favored Vehicle........................................................... 3 03-12 Employer ...................................................................................... 3 03-13 Includible Compensation ............................................................... 3 03-14 IRC .............................................................................................. 3 03-15 Normal Retirement Age ............................................................... 34 03-16 Participant .................................................................................... 4 03-17 Participation Agreement ................................................................ 4 03-18 Participation Account ................................................................... . 4 03-19 Plan Year. ................................................................................. 45 03-1920 Qualified Domestic Relations Order or "QDRO ............................... 45 03-2021 Required Beginning Date ............................................................. 45 03-2122 Rollover Amount ......................................................................... 45 03-2223 Roth Contributions........................................................................5 03-24 Roth Contributions Subaccount......................................................5 03-25 Roth In-Plan Rollover Contributions................................................5 03-26 Roth In-Plan Rollover Subaccount.................................................. 5 03-27 Severance Event ......................................................................... 45 03-2324 State Law ................................................................................. 56 03-2425 Trust ......................................................................................... 56 03-2526 Trust Agreement ......................................................................... 56 03-2627 Trustee ...................................................................................... 56 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT TABLE OF CONTENTS Article IV ADMINISTRATION 04-01 Administered by Deferred Compensation Board ............................ 65 04-02 Deferred Compensation Board Duties and Responsibilities ............. 65 (a) Deferred Compensation Board to Adopt Rules and Regs ...... 65 (b) Deferred Compensation Board Action Fair and Reasonable .. 75 04-03 Deferred Compensation Board Powers. ......................................... 76 (a) Plan Prevails ..................................................................... 76 (b) Decision Binding ............................................................... 76 (c) Deferred Compensation Board to Interpret ......................... 76 (d) Deferred Compensation Board May Require Court Order...... 76 (e) Delegation of Authority ...................................................... 76 Article V PARTICIPATION IN THE PLAN 05-01 Enrollment in the Plan ................................................................... 7 05-02 Investment Options ..................................................................... 87 05-03 Deferral ...................................................................................... 87 05-04 Investment Vehicle Election and Direction of Investments ............ 87 (a) Investment Options ........................................................... 87 (b) Experience of Loss ............................................................ 87 (c) Actions of Deferred Compensation Board ............................ 98 05-05 Designation of Beneficiary ........................................................... 98 05-06 Modification of Deferral or Investment Option(s) ........................... 98 Article VI LIMITATION ON DEFERRALS 06-01 Deferral Limitation ...................................................................... 98 06-02 Catch-up Provisions .................................................................... 109 (a) Normal Catch-up Provision ................................................ 109 (b) Age 50 Plus Catch-up Provision ......................................... 109 Article VII TRANSFERS AND ELIGIBLE ROLLOVERS 07-01 Rollover Contributions ................................................................ 110 (a) Eligible Deferred Compensation Plans ................................ 110 (b) Other Eligible Retirement Plans ........................................ 110 07-02 Transfers to Certain Plans for the Purchase of Service Credit ........ 121 (a) Direct Trustee to Trustee Transfer .................................... 121 (b) Application of Transfer ..................................................... 121 (c) Administrative Rules ......................................................... 121 07-03 Roth In-Plan Rollover Contributions .............................................. 12 CITY OF FRESNO=S DEFERRED COMPENSATION PLAN DOCUMENT TABLE OF CONTENTS Article VIII DISTRIBUTION OF BENEFITS 08-01 Inactive De Minimis Accounts ..................................................... 131 (a) Voluntary Withdrawals...................................................... 131 08-02 Distribution Upon the Death of Participant or Beneficiary .............. 132 08-03 Elections Regarding Distribution .................................................. 132 08-04 Distribution of Deferrals ............................................................. 142 (a) General Rule .................................................................... 142 (b) Distribution of Participant ................................................. 142 (c) Distribution to Beneficiary ................................................. 142 08-05 Eligible Rollover Distributions ...................................................... 143 (a) Election Procedure ........................................................... 143 (b) Effect of Delivery of Rollover Amounts ............................... 153 08-06 Unforeseeable Emergency General .............................................. 153 08-07 Qualified Domestic Relations Orders - General ............................. 154 (a) Segregation of Account/Payment .................................... 1416 (b) Status, rights, and Privileges of Alternate Payee ................. 164 (c) Exceptions to General Rule ............................................... 164 (d) Qualified Domestic Relations Order Expenses .................... 165 Article IX LOANS TO PARTICIPANTS 09-01 Loans to Participants ................................................................ 1516 (a) Limitation on Amount .................................................... 1516 (b) Equality of Borrowing Opportunity ..................................... 157 (c) Pledge of Security .......................................................... 1517 (d) Loan Forms ................................................................... 1617 (e) Interest Rate ................................................................. 1617 (f) Loan Terms ................................................................... 1617 (g) Amortization .................................................................. 1618 (h) Prepayments ................................................................. 1618 (i) Defaults and Remedies ................................................... 1618 (j) Loan Procedures ............................................................ 1618 (k) Outstanding Loans ......................................................... 1618 (l) Payment of Fees ............................................................ 1618 (m) Suspension of Repayment .............................................. 1718 (n) Other Terms and Conditions ........................................... 1719 CITY OF FRESNO=S DEFERRED COMPENSATION PLAN DOCUMENT TABLE OF CONTENTS Article X MISCELLANEOUS PROVISIONS 10-01 Leave of Absence ....................................................................... 179 10-02 Termination of Plan .................................................................... 179 10-03 Amendment of Plan .................................................................... 197 10-04 Non alienation of Benefits - Attachment ..................................... 1819 10-05 Plan Assets .............................................................................. 1819 10-06 Participation by Deferred Compensation Board Members ............ 1820 10-07 Employer Contributions ............................................................ 1820 10-08 Controlling Law ........................................................................ 1820 10-09 Suspension of Contributions ..................................................... 1920 10-10 No Contract of Employment ...................................................... 1920 10-11 Severability of Provisions .......................................................... 1921 10-12 Heirs, Assigns and Personal Representatives .............................. 1921 10-13 Payments to Minors, Etc. ............................................................ 210 10-14 Reliance on Data and Consents ................................................... 201 10-15 Equal Access to Benefits, Rights and Feature ............................... 201 10-16 Claim Procedures ..................................................................... 2021 10-17 Gender and Number ................................................................ 2022 10-18 Qualified Military Service…………………………………………………………..22 10-19 Entire Agreement ....................................................................... 212 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT CITY OF FRESNO DEFERRED COMPENSATION PLAN DOCUMENT ARTICLE I PLAN ESTABLISHED 01-01 Plan Established. The Employer hereby amends and restates the City of Fresno Deferred Compensation Plan Document ("Plan"). The Plan consists of the provisions set forth in this document. This which is amendedment and restatemented of the Plan is pursuant to the Economic Growth and Tax Relief Reconciliation Act of 2001, Pension Protection Act of 2006 (“PPA”), and American Taxpayer Relief Act of 2012 (“ATRA”). It is intended that the Plan shall qualify as an Eligible Deferred Compensation Plan within the meaning of Code Section 457(b) of the Internal Revenue Code of 1986 as amended (“IRC”) sponsored by an Eligible Governmental Employer. ARTICLE II PURPOSE 02-01 Primary Purpose. The primary purpose of the Plan is to provide retirement income and other deferred benefits to the Employees of the Employer and the Employees' Beneficiaries in accordance with the provisions of Section 457 of the IRCnternal Revenue Code of 1986 as amended, and Government Code Sections 53212 et seq. 02-02 Agreement. The Plan shall be an agreement solely between the Employer and participating Employees. The Employer has established a Trust in the Trust Agreement, to hold all assets of the Plan for the exclusive benefit of Participants and Beneficiaries. The Trust shall comply with IRC Section 457(g) and constitute a valid trust under applicable state law. The powers and duties of the Trustee are set forth in the Trust Agreement. 02-03 Tax Status not Guaranteed. The Employer, and the Deferred Compensation Board which administers the Plan, do not, and cannot, represent or guarantee that any particular federal and state income, payroll, or other tax consequences will occur by reason of an Employee's participation in this Plan. The Participant shall consult with his own attorney or other representative regarding all tax or other consequences of participation in this Plan. 1 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT ARTICLE III DEFINITIONS The following terms when used herein, shall have the following meaning: 03-01 Account means the bookkeeping account maintained for each Participant reflecting the cumulative amount of the Participant's Deferred Compensation, including any income, gains, losses, or increases or decreases in market value attributable to the investment of the Participant's Deferred Compensation, any transfers for the Participant's benefit, any distributions to the Participant or the Participant's Beneficiary, and any fees or expenses charged against such Participant's Deferred Compensation. 03-02 Accumulated Deferrals means compensation deferred under the Plan, adjusted until date of payment by income received, increases or decreases in investment value, fees and any prior distributions made. 03-03 Automatic Distribution Date, on or after January 1, 2002, means April 1 of the calendar year after the Plan year the Participant attains the age of 70 1/2 , or if later, a Severance Event. 03-04 Beneficiary means any person, trust, corporation or firm, or the estate of the Participant, or any combination of the foregoing designated by the Participant to receive benefits under the Plan. Designation shall be made initially on the City of Fresno Participation Agreement executed by the Participant, unless otherwise provided. Beneficiary may mean singular or plural, primary or contingent. 03-05 Compensation means all payments made to the Employee by the Employer as remuneration for services rendered. 03-06 Deferred Compensation means the amount of Participant's compensation which the Participant and the Employer mutually agree to defer in accordance with the provisions of this Plan, or any other amount which the Employer agrees to credit to a Participant's Account under this Plan. When used in the context of deferrals of Compensation, “defer(s)”, “deferral” or “deferred” means, individually or collectively, Pre-Tax Deferrals and Roth Contributions, as applicable. “Deferred Compensation” means the aggregate Pre-Tax Deferrals and Roth Contributions made from a Participant’s Compensation, which said Participant has elected to defer in accordance with the provisions of this Plan. 03-07 Deferred Compensation Board means the Deferred Compensation Board which shall administer the City of Fresno Deferred Compensation Plan. The Deferred 2 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT Compensation Board shall consist of five members selected as follows: (a) One member from the Finance Department appointed by the City Manager with the approval of the City Council; and (b) One member from any City department appointed by the City Manager with the approval of the City Council; and (c) Two members elected by and from the plan Participants who have a non- zero balance in their Deferred Compensation Account (active or any other status); and (d) A fifth member chosen by the previously designated four members from the qualified electors of Fresno County not connected with the City of Fresno or the Plan. The members elected by and from the Plan Participants shall serve a term of four years, whose terms shall be staggered. The remaining members shall serve at the pleasure of the appointing or electing authority. 03-08 Eligible Employee means any full time Employee or City Councilmember of the City or any other Employee eligible for the City's pension system. Permanent part time City employees are also eligible to participate in this Deferred Compensation Plan. 03-09 Eligible Retirement Plan means any account, annuity, plan or trust as defined in IRC Section 402(c)(8)(B). 03-10 Eligible Rollover Distribution means any distribution as defined in IRC Section 402(c)(4)(E). 03-11 Eligible Tax Favored Vehicle shall means a plan within the meaning of IRC Sections 401(a), 401(k), 457(b), 403 (b) as defined in Section 402(c)(8)(B), of the Internal Revenue Code, or Individual Retirement Arrangement, or qualified defined benefit plan as defined by IRC Section 415(n)(3)(A). 03-12 Employer means the City of Fresno. 03-13 Includible Compensation means compensation for services performed for the Employer, as defined in IRC Section 457(e)(5). 03-14 IRC means the Internal Revenue Code of 1986, as amended from time to time. 3 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 03-15 Normal Retirement Age means age 70 1/2, unless the Participant has elected an alternate Normal Retirement Age by written instrument delivered to the Deferred Compensation Board prior to a Severance Event. A Participant’s Normal Retirement Age determines the period during which a Participant may utilize the 457 Catch-Up Dollar Limitation set forth in Article VI. Once a Participant has to any extent utilized the catch-up limitation in Article VI, his Normal Retirement Age cannot be changed. A Participant’s alternate Normal Retirement Age may not be earlier than the earliest date that the Participant will become eligible to retire and receive unreduced retirement benefits under his or her respective City of Fresno Retirement System (Fire and Police Retirement System or Employees’ Retirement System), and may not be later than the date the Participant will attain age 70 1/2. If a Participant continues employment after attaining age 70 1/2, not having previously elected alternate Normal Retirement Age, the Participant’s alternate Normal Retirement Age shall not be later than the mandatory retirement age, if any, established by the Employer, or the age at which the Participant actually has a Severance Event if the Employer has no mandatory retirement age. If the Participant will not become eligible to receive benefits under his or her respective City Retirement System, the Participant’s alternate Normal Retirement Age may not be earlier than attainment of age 50 for Participants who are members of the Fire and Police Retirement System, and age 55 for Participants who are members of the City Employees’ Retirement System or are Permanent Part time Employees. 03-16 Participant means any member of the Plan who has elected, pursuant to the Plan, to defer a portion of his compensation, and who fulfills the requirements of participation in the Plan. 03-17 Participation Agreement means the agreement, including any amendments and modifications thereof, executed and filed by an Eligible Employee with the Employer pursuant to Article V, in which the Eligible Employee elects to become a Participant in the Plan. 03-18 Participation Account means the account and subaccounts established and maintained for a Participant under the Plan to which there is recorded, as applicable, the Participant’s Pre-Tax Deferrals, Roth Contributions, Deferred Compensation Eligible Deferred Compensation Plan Transfers, Rollover Contributions and Roth In-Plan Contributions, if any, and any interest, dividends, gains, losses, earnings or expenses or the like thereon. A Participant’s Participation Account shall be divided into the following subaccounts, as applicable: the Pre-Tax Deferral Subaccount, the Roth Contribution Subaccount, the Eligible Deferred Compensation Plan Transfer Subaccount, the Rollover Subaccount and the Roth In-Plan Rollover Subaccount. 4 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 03-1819 Plan Year means the calendar year. 03-1920 Qualified Domestic Relations Order or "QDRO" means any judgment, decree or order as defined in IRC Section 414(p). 03-20 21 Required Beginning Date means April 1 of the calendar year following the later of: (a) the calendar year in which the Participant attains age 70 1/2; or (b) the calendar year in which the Participant retires or leaves City service. 03-2122 Rollover Amount means that portion of an Eligible Rollover Distribution from this Plan that, by election of the prospective distributee, is transferred directly or indirectly to an Eligible Retirement Plan. 03-23 Roth Contribution(s) means contributions made pursuant to the Participant’s Participation Agreement that (i) the Participant irrevocably designates at the time of the contribution election as post-tax Roth contributions that are being made from Compensation on an after-tax basis; and (ii) the Employer treats as includible in the Participant’s gross income in the year deferred. 03-24 Roth Contribution Subaccount means the subaccount established within a Participation Account to which a Participant’s Roth Contributions are recorded, as applicable, and any interest, dividends, gains, losses, earnings or expenses or the like thereon. 03-25 Roth In-Plan Rollover Contribution means the portion of an Eligible Rollover Distribution from the Plan that a Participant elects to have allocated to the Roth In-Plan Rollover SubAccount within the Participant’s Participation Account. 03-26 Roth In-Plan Rollover SubAccount means the subaccount established within a Participant’s Participation Account to which a Participant’s Roth In-Plan Rollover Contributions are recorded, as applicable, and any interest, dividends, gains, losses, earnings or expenses or the like thereon. 03-2227 Severance Event prior to January 1, 2002, means severance of the Participant’s employment with the Employer that constitutes a separation of service within the meaning of IRC Sections 414(u), 402(e)(4)(A)(iii), and . After December 31, 2001, a Severance Event means a severance of the Participant’s employment with the Employer within the meaning of IRC Section 457(d)(1)(A)(ii) or on account of the Participant’s death or retirement. In general, a Participant will be deemed to have severed his or her employment as of the date of his or her last payroll. 5 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 03-2328 State Law means any statutes, court decisions, executive orders, administrative rulings, regulations or other proclamations having the force of law in the State of California. 03-2429 Trust means the funding vehicle established pursuant to IRC Section 457(g) which shall consist of all assets of the Plan held by the Trustee pursuant to the terms of the Trust Agreement. 03-2530 Trust Agreement means the agreement by and between the City of Fresno, as the Sponsor, and the Trustee which governs the operation of the Trust 03-2631 Trustee means such individual(s) or entity designated by the Sponsor with the duties and responsibilities set forth in the Trust Agreement. ARTICLE IV ADMINISTRATION 04-01 Administered by Deferred Compensation Board. This Plan shall be administered by the City of Fresno Deferred Compensation Deferred Compensation Board which shall represent the Employer and all participants in all matters concerning the administration of this Plan. 04-02 Deferred Compensation Board Duties and Responsibilities. (a) Deferred Compensation Board to Adopt Rules and Regulations. The Deferred Compensation Board shall have full power and authority to adopt rules and regulations for the administration of the Plan, and to interpret, alter, amend, or revoke any rules and regulations so adopted. (b) Deferred Compensation Board Action Fair and Reasonable. Every action taken by the Deferred Compensation Board shall be presumed to be a fair and reasonable exercise of the authority vested in or the duties imposed upon it. The Deferred Compensation Board and its individual members shall be deemed to have exercised their fiduciary duties with reasonable care, diligence, and prudence and to have acted impartially as to all persons interested, unless the contrary may be proven by affirmative evidence. 04-03 Deferred Compensation Board Powers. (a) Plan Prevails. In the event any form or other document used in administering this Plan, including but not limited to Participation Agreement 6 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT and marketing materials, conflicts with the terms of the Plan, the terms of the Plan shall prevail. (b) Decision Binding. The Deferred Compensation Board is authorized to determine any matters concerning the rights of any Participant under this Plan, and such determination shall be binding on the Participant and any Beneficiary thereof. (c) Deferred Compensation Board to Interpret. The Deferred Compensation Board is authorized to construe this Plan and resolve any ambiguity in the Plan. The Plan and any form or other document used in administering the Plan shall be interpreted, and this Plan shall be administered, so as to comply with IRC Section 457, as amended, and the regulations of the Treasury Department promulgated thereunder. (d) Deferred Compensation Board May Require Court Order. The Deferred Compensation Board or the Employer, if in doubt concerning the correctness of their action in making a payment of accumulated deferrals, may suspend payment until satisfied as to the correctness of the payment or the person to receive the payment or to allow the filing in any state court of competent jurisdiction of a civil action seeking a determination of the amounts to be paid and the persons to receive them. The Deferred Compensation Board and the Employer shall comply with the final orders of the court in any such suit, and the Participant, or the Participant and the Participant's Beneficiary, consent to be bound thereby. Whenever payment of accumulated deferrals is suspended pursuant to this section, the time for a Participant or Beneficiary making any election under Article VIII of this Plan, shall not begin until amount(s) and person(s) entitled are determined either by written agreement of all parties concerned or by a court judgment that has become final. (e) Delegation of Authority. The Deferred Compensation Board may delegate its functions to be performed under this Plan to any designee with legal authority to perform such functions. ARTICLE V PARTICIPATION IN THE PLAN 05-01 Enrollment in the Plan. An Employee may elect to become a Participant in the Plan by executing a Participation Agreement approved by the Deferred 7 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT Compensation Board or its designee, and delivered to the Employer. 05-02 Investment Options. As part of the Participation Agreement, the Participant shall be responsible for contacting the Trustee directly to select his/her investment option(s) from among those selected by the Deferred Compensation Board in its sole discretion from time to time, and to designate the amount of compensation to be deferred and whether such deferral is a Pre-Tax Deferral or a Roth Contribution or consists of both Pre-Tax Deferrals and Roth contributions. The amount(s) requested must equal at least ten ($10.00) dollars per pay period and shall continue until changed or revoked pursuant to Section 05-06 of this Plan. 05-03 Deferral. By executing the Participation Agreement, the Participant consents to the Employer taking the necessary actions to defer that portion of his or her Compensation which the Participant has specified is to be deferred from the Participant’s gross compensation for each pay period. The Participant shall and indicates whether such deferral is a Pre-Tax Deferral, or a Roth Contribution, or consists of both Pre-Tax Deferrals and Roth Contributions, in which case the Participant shall designate specific amounts for each, as applicable., the amount specified by the Participant from the Participant's gross compensation for each pay period. Deferral of compensation shall occur as soon as administratively possible after completing the Participation Agreement, or on such other date as may be permitted under the IRC. 05-04 Investment Vehicle Election and Direction of Investments. (a) Investment Options. The Deferred Compensation Board shall establish such Investment Options as it deems necessary to provide Participants with a diversified range of alternatives. Each Investment Option shall be based upon its investment performance as well as its ability to provide a range of investment diversification under the Plan. The Deferred Compensation Board shall specify the investment objectives and characteristics of each Investment Option and the corresponding investment portfolio or portfolios and shall provide eligible Employees with a written description of each available Investment Option. The Deferred Compensation Board, in its sole discretion, may add, eliminate, or consolidate Investment Options and corresponding investment portfolios from time to time. In the event that an Investment Option is eliminated, the Deferred Compensation Board shall provide prior notice of such elimination, and if the Participants whose accounts were wholly or partially allocated to that Investment Option do not make a re-allocation, the Deferred Compensation Board shall reallocate such amounts to the available Investment Option or Investment Options that the Deferred Compensation Board in its sole discretion deems most comparable to the eliminated Investment Option. 8 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT (b) Experience of Loss. In the event that the selected investment vehicle experiences a loss, the Participant’s accumulated deferrals payable hereunder shall likewise reflect a loss, rather than income, for the period. (c) Actions of Deferred Compensation Board. Any such action by the Deferred Compensation Board in investment funds, or approving of any such investment funds, shall not be considered to be either an endorsement or guarantee of any investment, nor shall it be considered to attest to financial soundness or the suitability of any investment for the purpose of meeting future obligations. 05-05 Designation of Beneficiary. A Participant may designate by the Participation Agreement, delivered to the Employer, a Beneficiary to receive any benefits which may be payable under the Plan upon the death of such Participant. A Participant may at any time, amend his or her Participation Agreement to change the designated Beneficiary(ies) or update beneficiaries using online access provided by the Plan. Any change in the beneficiary designation filed in proper form, shall become effective as of the date of delivery to the Deferred Compensation Board. 05-06 Modification of deferral or investment option(s). A Participant may on a prospective basis change his/her deferral amount, change the deferrals designated as Pre-Tax Deferrals or Roth Contributions, change investment options, suspend or revoke participation in the Plan, or reinstate participation at any time. The Participant shall be responsible for contacting and notifying the Trustee of any modifications. Changes in the amount of the deferral must equal at least five ($5.00) dollars per pay period. Investment changes may be made at any time subject to the terms of the Trustee/mutual fund provider(s). The requested change shall become effective at the earliest possible payroll period which allows sufficient time for the order to be processed through the City payroll section. ARTICLE VI LIMITATION ON DEFERRALS 06-01 Deferral Limitation. Except as provided in Section 06-02, relating to catch-up provisions, the maximum amount of the compensation of any Participant which may be deferred under the Plan for each calendar year, shall not exceed the lesser of (1) 100% of the Participant's includible compensation or (2) $15,00017,500 in the year 20062014, and thereafter adjusted for the calendar year to reflect increases in the cost-of-living, in accordance with IRC Section 457(e)(15) and 415(d). The Participant acknowledges the right of the Deferred Compensation Board to disallow 9 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT deferral of compensation under the Plan in excess of the limitations set forth in this Section. However, the Deferred Compensation Board shall have no duty or assume or incur any liability for failure to assure that amounts deferred are in compliance with such limitations. 06-02 Catch-up Provisions. (a) Normal Catch-up Provision. Notwithstanding any provision in this Article to the contrary, with respect to any one or more of the three (3) taxable years ending before the date of the Participant's Normal Retirement Age, such Participant may elect to have Deferred Compensation contributed to the Plan in an amount not to exceed the lesser of (1) twice the dollar amount of the Deferral Limitation established in Section 6.01, or (2) the Underutilized Limitation. For purposes of this subsection, the Underutilized Limitation with respect to a Participant shall be equal to the sum of: the Deferral Limitation for the taxable year, and the excess of (i) over (ii) where: (i) equals the sum of the limitations set forth in IRC Section457(b)(2) for all taxable years on or after December 31, 1978 in which the Participant was eligible to participate in this Plan or any other eligible deferred compensation plan sponsored by an entity within the State of California, and (ii) equals the sum of all Deferred Compensation made on behalf of such Participant for such taxable years plus his/her deferred compensation under any other eligible deferred compensation plan sponsor by an entity within the State of California. (b) Age 50 Plus Catch-up Provision. Pursuant to IRC Section 414(v), Participants turning age 50 by the end of the Plan year (or such other date as the Treasury Department may require by regulations) may contribute additional annual contributions each year, which shall be the lesser of: (i) Compensation reduced by elective deferrals made to other plans; or (ii) A specified dollar limit as provided in IRC Section 414(v). Those dollar limits are, an additional $5,0005,500 in the year 20062014, thereafter adjusted for the calendar year to reflect increases in the cost of living in accordance with IRC Sections 457(e)(15) and 415 (d). The age fifty catch-up contributions can be made beginning in the year in which the Participant reaches age fifty and for as many years as the Participant desires; however, the age fifty catch-up contribution may not be used in the same year as the Normal Catch-up Provision for which the additional contributions permitted under IRC Section 10 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 457(b)(3) applies to such Participant, to the extent required by applicable statute or regulations. ARTICLE VII TRANSFERS AND ELIGIBLE ROLLOVERS 07-01 Rollover Contributions. (a) Eligible Deferred Compensation Plans: The direct transfer and/or rollover contribution of an Eligible Rollover Distribution from another eligible deferred compensation plan (as defined in IRC Section 457(b)) shall be accepted and allocated to a Participant’s Account under this Plan provided that such amounts are in cash or other property acceptable to the Deferred Compensation Board. The Deferred Compensation Board may request proof that the prior plan is an eligible deferred compensation plan under IRC Section 457(b). Direct transfer and/or rollover contribution amounts shall not be subject to the limitations of Article VI; provided, however, that the actual amount deferred during the calendar year under both the prior plan and the Plan shall be taken into account in calculating the deferral limitations for that year. For purposes of determining the limitations set forth in Article VI, years of eligibility to participate in the prior plan and deferrals under the prior plan shall be taken into account to the extent required by IRC Section 457. (b) Other Eligible Retirement Plans: The direct transfer and/or rollover contribution of an Eligible Rollover Distribution from another Eligible Retirement Plan (other than an eligible deferred compensation plan) shall be accepted and allocated to a Participant’s Account under this Plan provided that such amounts are in cash or other property acceptable to the Deferred Compensation Board. The Deferred Compensation Board may request verification that the prior plan is an Eligible Retirement Plan. Direct transfer and rollover contribution amounts shall not be subject to the limitations of Article VI. In addition, in order for Eligible Rollover Distributions to be accepted by this Plan, the Deferred Compensation Board may request verification that (1) the amounts to be transferred are not subject to a QDRO, and (2) spousal consent, if required to transfer such amounts from the prior plan, has been obtained. Amounts shall be identified as to source and nature (such as non-deductible employee contributions, elective deferral amounts and deemed elective deferral amounts subject 11 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT to the provisions of IRC Section 401(k), employer contributions, etc.) Any amounts accepted for contribution under this Section 07-01(b) shall be allocated to one or more sub-accounts within the Participant’s Account. The sub-account(s) will share in the investment gains and losses experienced by the Account as a whole; however, it will be separately accounted for taxation and distribution purposes as required under IRC Section 457. 07-02 Transfers to Certain Plans for the Purchase of Service Credit. (a) Direct Trustee to Trustee Transfer: Any Participant who is also a Participant in a defined benefit governmental plan (as defined in IRC Section 414(d)) may have a direct trustee to trustee transfer made from this Plan to the defined benefit governmental plan if the transferred assets are used for: (i) the purchase of service credits (as defined in IRC 415(n)(3)(A)) in the defined benefit governmental plan; or (ii) a repayment of a cash out from the defined benefit governmental plan which meets the requirements of IRC Section 415(k)(3). (b) Application for Transfer: If the conditions in subsections (i) and (ii) of this Section are met and the Participant wishes to transfer his/her account, he/she shall complete any application form and/or other documents as may be required by the Deferred Compensation Board. (c) Administrative Rules: The Deferred Compensation Board shall prescribe such rules consistent with the provisions of Subsections (i) and (ii) of this Section concerning plan-to-plan transfers as in its sole judgment it deems desirable for the orderly administration of the Plan. 07-03 Roth In-Plan Rollover Contributions. The Plan, to the extent permitted by the IRC and otherwise pursuant to procedures established by the Plan, will accept Roth In-Plan Rollover Contributions with such amounts to be credited to the Participant’s Roth In-Plan Rollover Subaccount. The Participant shall, in the time and manner prescribed by the Plan, specify the amount to be rolled over as a Roth In-Plan Rollover Contribution. 12 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT ARTICLE VIII DISTRIBUTION OF BENEFITS 08-01 Inactive De Minimis Accounts. (a) Voluntary Withdrawals: A Participant shall be entitled to request a withdrawal of his/her account, other than that portion attributable to a rollover of contributions, provided that: (i) the total amount credited to the Participant's account does not exceed $5,000 (or as may be revised by the Internal Revenue Service and/or Department of Labor); (ii) the Participant has not authorized Deferred Compensation under the Plan during the two (2) year period immediately preceding such request; and (iii) the Participant has not previously applied for a withdrawal under this Section. The amount of the Participant's account attributable to rollover contributions shall not be considered in determining whether the Participant's account is less than $5,000. 08-02 Distribution Upon the Death of Participant or Beneficiary. Should the Participant die at any time, accumulated deferrals shall be paid to the Beneficiary designated by the Participation Agreement. If no Beneficiary is designated as provided in the Participation Agreement, or if the designated Beneficiary does not survive a period of thirty days, then a lump sum shall be paid, to the surviving spouse, or if none, a lump sum shall be paid to the estate of the Participant. 08-03 Elections Regarding Distribution. Each participant (or in the event of death, each Beneficiary other than an organization, estate, or trust) shall direct the Trustee regarding the details of paying out his/her account. A Participant electing to commence distribution shall have the opportunity to designate the extent to which the distribution should be taken in whole or in part from subaccounts within the Participant’s Participation Account in which Roth Contributions, Roth In-Plan Rollover Contributions or Eligible Deferred Compensation Plan Transfers or Rollover Contributions from Qualified Roth Contribution Programs are held, as applicable. In the 13 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT absence of such designation, the distribution shall be taken pro rata from the subaccounts within the Participant’s Participation Account. The Participant/Beneficiary may change this direction from time to time within the distribution rules that apply to all qualified plans and within the constraints of the Trustee. Any amount payable to an organization, estate, or trust shall be paid in a lump sum as prescribed in Sections 08-02 and 08-04(c). 08-04 Distribution of Deferrals. (a) General Rule. Upon retirement or severance from employment with the City of Fresno, and assuming a request is made to the Trustee, payment will be made in at least annual, quarterly, or monthly payments as requested by the Participant. (b) Distribution to Participant. Payment must be sufficiently rapid to satisfy the minimum required distribution rules under the Internal Revenue Code regulations. (c) Distribution to Beneficiary. (i) When distribution begins prior to the Participant's death, the payout must be made at least as rapidly as it were as being made to the Participant. When the Beneficiary is an organization, estate or trust, then payment will be payable in a lump sum. (ii) When distribution does not begin prior to the Participant's death, and is to be made: (1) To an organization, estate or trust, then payment will be payable in one lump sum. (2) To the Participant's surviving spouse, whether as designated Beneficiary, or by default, then payment will be made by the Trustee as directed by the spouse within the minimum distribution rules under the IRC regulations. (3) Notwithstanding anything in this Plan to the contrary, distributions from the Plan will be made in compliance with the minimum distribution rules and applicable sections of the IRC. 08-05 Eligible Rollover Distributions. (a) Election Procedure. If all or any portion of a prospective distribution is 14 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT an Eligible Rollover Distribution, the prospective distributee shall have the right to elect to have all or any portion of the Eligible Rollover Distribution treated as a Rollover Amount. Subject to satisfaction of the requirements of IRC Section 457(e)(16) and this Section, Rollover Amounts shall be delivered directly by this Plan to an Eligible Retirement Plan as designated by the distributee. The Plan permits non-spouse rollovers described in IRC Section 402 (c)(11). Any such transfers shall also comply with all applicable rules and regulations issued by the Internal Revenue Service. (b) Effect of Delivery of Rollover Amounts. Each prospective distributee, by electing to have any portion of his/her Eligible Rollover Distribution treated as a Rollover Amount, agrees that, upon transmittal as instructed of the funds to which such election applies, the Deferred Compensation Board shall be released from all duties, obligations responsibilities, and liabilities in connection with the amount so transmitted. The Deferred Compensation Board shall not be responsible to see to the crediting or application of the funds so transferred. 08-06 Unforeseeable Emergency. General: In the event an unforeseeable emergency occurs, a Participant may apply to the Deferred Compensation Board to request a withdrawal of a portion of his/her account as necessary to satisfy the emergency need. If the application is approved by the Deferred Compensation Board, the Participant shall be paid only such amount as the Deferred Compensation Board deems necessary to meet the emergency need. Payment shall not be made to the extent that the financial hardship may be relieved (1) through reimbursement or compensation by insurance or otherwise, (2) by liquidation of the Participant's assets (to the extent the liquidation of such assets would not itself cause severe financial hardship), or (3) by cessation of Deferred Compensation under the Plan. An unforeseeable emergency shall be deemed to involve only circumstances of severe financial hardship to the Participant resulting from a sudden unexpected illness, accident, or disability of the Participant or of a dependent (as defined in IRC Section 152) of the Participant, loss of the Participant's property due to casualty, or other similar extraordinary and unforeseeable circumstances arising as a result of an event beyond the control of the Participant. The circumstances that will constitute an unforeseeable emergency will depend upon the facts of each case. Examples of what shall not be considered to be unforeseeable emergencies include the wish to finance a child’s college education or the desire to purchase a home. 08-07 Qualified Domestic Relations Orders - General. Parties to a divorce or termination of registered domestic partnership will be required to file a joinder with the 15 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT Plan, notifying the City that a divorce or termination of registered domestic partnership is pending. Upon receipt of the final judgment, decree or order which is made pursuant to a state domestic relations and/or community property law ("Court Order"), the Trustee, within a reasonable period after receipt of such Court Order will make the appropriate changes on the Plan data base in accordance with such Order as a Qualified Domestic Relations Order ("QDRO"). (a) Segregation of Account/Payment - The Trustee, upon receipt of instructions from the Deferred Compensation Board, will segregate in a separate account in the Plan, the amounts which are payable to the Alternate Payee pursuant to the QDRO. (b) Status, Rights and Privileges of Alternate Payee - Except as otherwise provided herein, an Alternate Payee shall have the status and rights of a Beneficiary under this Plan to the exclusion of all other rights associated with Participants under this Plan. (c) Exceptions to General Rule - Notwithstanding the provisions of Section 08-07(b), the Alternate Payee shall have the following rights and privileges under this Plan: (i) The right to receive payment under the terms of the QDRO domestic relations order at the time and manner specified in the QDRO; provided, however, that such payment may not be made in a form which is not available to Participants under the Plan; and (ii) The right to direct the manner in which Plan amounts allocated to such Alternate Payee are invested. (d) Qualified Domestic Relations Order Expenses - Any expense related to the administration of a QDRO shall be assessed against the Participant's account and the Alternate Payee's account in percentages equal to the percentage split of assets in the QDRO. ARTICLE IX LOANS TO PARTICIPANTS 9-01 Loans to Participants. A Participant may take a loan from his/her Account subject to the terms and conditions of this Section 9-01 and the IRC. 16 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT (a) Limitation on Amount. No Participant shall, under any circumstance, be entitled to loans aggregating in excess of the lesser of: (1) $50,000, reduced by the excess (if any) of: (A) the highest outstanding balance of loans to such Participant from the Plan during the 1-year period ending on the day before the date on which such loan was made, over (B) the outstanding balance of loans from the Plan on the date on which such loan was made, or (2) one-half (1/2) of the value of the Participant’s adjusted vested interest in his/her Account as of the Valuation Date coincident with or immediately preceding the date on which the loan is made. (3) The minimum Loan amount is $1,000. (b) Equality of Borrowing Opportunity. Loans shall be made available on a reasonably equivalent basis to all Participants who are active City employees who have a minimum balance of $2,000 in their Deferred Compensation Account. A loan may not be made to a Participant after his/her separation from City service. If a Participant’s date of separation from City service occurs after he/she has requested a loan but before the loan is actually made to the Participant, the Participant’s request for a loan shall automatically be cancelled. No loans may be made to a beneficiary or an Alternate Payee. (c) Pledge of Security. Each loan to a Participant shall be secured by the pledge of the amounts allocated to his/her Account equal to initial outstanding balance of such loan. (d) Loan Forms. The Participant shall complete all forms required by the Deferred Compensation Board in order to process the loan including, but not limited to: pledge of security, spousal consent, and acknowledgement of loan terms. Participants shall submit paperwork for automatic electronic payments (ACH) from a personal bank account directly to the Plan administrator. (e) Interest Rate. Interest shall be charged at prime plus 1%, designed to provide the Plan with a return commensurate with interest rates charged by persons in the business of lending money under similar circumstances. (f) Loan Term. Loans shall be for terms not to exceed five (5) years from the date of the loan, except that loans taken for the purpose of acquiring any 17 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT dwelling unit which is to be used as a principal residence of the Participant may be for periods not to exceed fifteen (15) years. Loan payments may continue after the employee leaves City service until such time as the loan is paid in full or until such time as a payment is in default, at which time the loan becomes payable in full. Loans shall be non-renewable and non- extendable. (g) Amortization. Loans shall provide for substantially level amortization of principal and interest by monthly automatic deduction (ACH) from the Participant’s personal bank account. (h) Prepayment. The Participant shall be permitted to repay the loan in whole or in part at any time prior to maturity, without penalty. (i) Defaults and Remedies. During the term of the loan, if no portion of a loan payment is made within 60 days of the date such payment is due, or if any balance remains outstanding 60 days after the end of the term of the loan, the loan shall be considered in default. In the event of default by a participant, the outstanding balance of the loan shall be reported to the Internal Revenue Service as a deemed distribution. Interest accrued from the date of the last loan repayment to the deemed distribution date is also reported to the Internal Revenue Service. (j) Loan Procedures. All Plan loans shall be made and administered by the Deferred Compensation Board in accordance with the rules and procedures that the Deferred Compensation Board may establish from time to time, which are hereby incorporated into the Plan by reference. (k) Outstanding Loans. A participant may have no more than one loan outstanding at any time. (l) Payment of Fees. The participant shall be responsible for the payment of fees to cover the cost of administering his/her loan. Payment shall be made by deduction from the Participant’s Deferred compensation account. (m) Suspension of Repayment (i) Military Service. Loan repayment shall be suspended without penalty for any period during which a Participant is serving on active duty in the uniformed services of the United States. (ii) Other Leaves of Absence. In the event of an employer approved unpaid leave of absence for any other reason, the participant 18 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT may suspend principal installments and interest payments otherwise due for the duration of the leave or one year, whichever is shorter. (iii) Upon termination of a repayment suspension, the Participant may either: (1) make a one-time payment equal to the total amount that accumulated during the suspension, or (2) reamortize the loan. (n) Other terms and conditions. The Deferred Compensation Board shall fix such other terms and conditions of the loan as it deems necessary to comply with the applicable laws, including maintaining the qualification of the Plan under IRC Section 457, and any applicable regulations. ARTICLE X MISCELLANEOUS PROVISIONS 10-01 Leave of Absence. If a Participant is on an approved leave of absence from the Employer, participation in this Plan shall continue. 10-02 Termination of Plan. The City of Fresno may, by appropriate action of the City Council, terminate this Plan. No such termination shall deprive a Participant or Beneficiary of any benefits to which the Participant or Beneficiary is entitled under this Plan immediately prior to the effective date of such termination. 10-03 Amendment of Plan. The City of Fresno may, by action of the City Council, amend this Plan. No amendment shall deprive any Participant or Beneficiary of any right or benefit to which the Participant or Beneficiary is entitled under this Plan immediately prior to the effective date of such amendment. To the extent there are legislative changes affecting IRC Section 457, this Plan shall be interpreted to allow implementation of mandatory changes. 10-04 Non alienation of Benefits - Attachment. Except as set forth in Section 08-06 with regard to Qualified Domestic Relations Orders, no Participant or Beneficiary shall have the right to alienate, anticipate, commute, pledge, encumber or assign any of the benefits or payments under this Plan, except the right to designate a Beneficiary as hereinabove provided. The rights of the Participant under this Plan shall not be subject to creditors of the Participant and shall be exempt from execution, attachment, prior assignment, or any other judicial relief or order for the benefit of any creditors or other third persons having claims against the Participant. 10-05 Plan Assets. All amounts of compensation deferred under the Plan, all 19 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT property and rights to property (including right as a beneficiary of a contract providing life insurance protection) purchased with such amounts, property or rights to property shall remain (until paid or made available to the Participant or the Participant's Beneficiary under the Plan) solely the property and rights of the Employer (without being restricted to the benefits under the Plan), and shall be held in trust for the Participants and NOT be subject to the claims of general creditors of the Employer. 10-06 Participation by Deferred Compensation Board Members. Members of the Deferred Compensation Board, who are otherwise eligible, may participate in the Plan under the same terms and conditions as apply to other Participants, but an individual member shall not participate in any Deferred Compensation Board action taken with respect to that member's participation. 10-07 Employer Contributions. The Employer may, pursuant to a changed or new Participation Agreement filed by a Participant as specified in Sections 05-01 through 05-06, add additional deferred compensation for services to be rendered by the Employee to the Employer during any calendar month, provided: (a) The Employee has elected to have such additional compensation deferred, invested, and distributed, pursuant to this Plan, prior to the calendar month in which the compensation is earned; and (b) Such additional deferred compensation, when added to all other deferred compensation under the Plan, does not exceed the maximum deferral permitted under Article VI. 10-08 Controlling Law. This Plan shall be construed and enforced according to state law, applicable local law and the IRC, and shall be interpreted in a manner consistent with the maintenance of its status as an "eligible deferred compensation plan" as defined in IRC Section 457(b). Reference to any section of the IRC, state law, or local law shall be deemed to incorporate any required amendments of such section as necessary to maintain the status of this Plan as an eligible deferred compensation plan. The Employer reserves the right to take such action and do such things as are required to make the Plan, as administered, consistent with IRC Section 457. 10-09 Suspension of Contributions. The Trustee may temporarily suspend the acceptance of Deferred Compensation as necessary to facilitate appropriate administration of this Plan or to comply with any federal, state or local law. Written notice of such suspension shall be provided to all Participants and may accompany the distribution of payroll check. No such suspension shall deprive a Participant or Beneficiary of any right or benefit to which the Participant or Beneficiary is entitled under this Plan immediately prior to the effective date of such suspension. 20 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 10-10 No Contract of Employment. Neither the establishment of the Plan, nor the participation in the Plan, shall be construed as giving any Participant the right to be retained in the service of the City of Fresno. 10-11 Severability of Provisions. If any provision of this Plan shall be held invalid or unenforceable, such invalidity or unenforceability shall not affect any other provisions hereof, and this Plan shall be construed and enforced as if such provisions had not been included. 10-12 Heirs, Assigns and Personal Representatives. This Plan shall be binding upon the heirs, executors, administrators, successors and assigns of the parties; including each Participant and Beneficiary, present and future. 10-13 Payments to Minors, Etc. Any benefit payable to or for the benefit of a minor, an incompetent person or other person incapable of receipting therefore shall be deemed paid when paid to such person's guardian or to the party providing or reasonably appearing to provide for the care of such person, and such payment shall fully discharge the City of Fresno and the Deferred Compensation Board with respect thereto. 10-14 Reliance on Data and Consents. The Deferred Compensation Board, and all other persons or entities associated with the operation of the Plan, the administration, management of its assets, and the provision of benefits there may reasonably rely on the truth, accuracy and completeness of all data provided by a Participant, and/or Beneficiary, including, without limitation, data with respect to age, health and marital status. Furthermore, the Deferred Compensation Board, and all persons identified above may reasonably rely on all consents, elections and designations filed with the Plan or those associated with the operation of the Plan by any Participant or Beneficiary, or the representatives of such persons without duty to inquire into the genuineness of any such consent, election or designation. None of the aforementioned persons or entities associated with the administration operation of the Plan, its assets and the benefits provided under the Plan shall have any duty to inquire into any such data, and all may rely on such data being current to the date of reference. It shall be the duty of the Participant or Beneficiary to advise the appropriate parties of any change in such data. The Deferred Compensation Board shall not be liable for the consequences of such change in data. 10-15 Equal Access to Benefits, Rights and Features. Any determination made by the Deferred Compensation Board with respect to the availability of benefits, rights and features under this Plan shall apply on a non-discriminatory basis allowing equal access for all Participants; provided, however, that such access may be limited by 21 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT the terms of a collective bargaining agreement or individual employment contract. 10-16 Claim Procedures. Any dispute over payment from Accounts under the Plan shall be resolved by the Deferred Compensation Board pursuant to its written claims procedures. Such claims procedures shall comply with applicable state laws including, but not limited to, civil service rules and applicable collective bargaining agreements. 10-17 Gender and Number. The masculine pronoun, whenever used herein, shall include the feminine pronoun, and the singular shall include the plural, except where the context requires otherwise. 10-18 Qualified Military Service. This Plan will be administered in accordance with IRCode Section 414(u) for Eligible Employees who return to work after absences from employment due to qualified military service. This includes make-up contributions that were not made during the Eligible Employee’s period of qualified military service. Contributions made up will be subject to the annual contribution limitations for the year in which they relate, rather than the year they are made. 10-19 Entire Agreement. This Plan and the Participation Agreement, and any subsequently adopted amendment thereof, shall constitute the total agreement or contract between the Employer and the Participant regarding the Plan. No other communication or statement of any sort shall modify this Plan in any way or be relied upon by the parties to this Agreement. END OF DOCUMENT City Council Approved on 7/23/2009 Revised draft AugustNovember 6October 22, 2013 22 CITY OF FRESNO DEFERRED COMPENSATION PLAN DOCUMENT CITY OF FRESNO October 9, 2014 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT TABLE OF CONTENTS Article I PLAN ESTABLISHED 01-01 Plan Established. .......................................................................... 1 Article II PURPOSE 02-01 Primary Purpose ........................................................................... 1 02-02 Agreement .................................................................................. 1 02-03 Tax Status not Guaranteed ........................................................... 1 Article III DEFINITIONS 03-01 Account ....................................................................................... 2 03-02 Accumulated Deferrals .................................................................. 2 03-03 Automatic Distribution Date .......................................................... 2 03-04 Beneficiary .................................................................................. 2 03-05 Compensation .............................................................................. 2 03-06 Deferred Compensation ................................................................ 2 03-07 Deferred Compensation Board ....................................................... 2 03-08 Eligible Employee ......................................................................... 3 03-09 Eligible Retirement Plan ................................................................ 3 03-10 Eligible Rollover Distribution .......................................................... 3 03-11 Eligible Tax Favored Vehicle .......................................................... 3 03-12 Employer ..................................................................................... 3 03-13 Includible Compensation ............................................................... 3 03-14 IRC ............................................................................................. 3 03-15 Normal Retirement Age ................................................................ 4 03-16 Participant ................................................................................... 4 03-17 Participation Agreement ................................................................ 4 03-18 Participation Account .................................................................. . 4 03-19 Plan Year. ................................................................................. 5 03-20 Qualified Domestic Relations Order or "QDRO ................................ 5 03-21 Required Beginning Date .............................................................. 5 03-22 Rollover Amount .......................................................................... 5 03-23 Roth Contributions........................................................................5 03-24 Roth Contributions Subaccount......................................................5 03-25 Roth In-Plan Rollover Contributions................................................5 03-26 Roth In-Plan Rollover Subaccount.................................................. 5 03-27 Severance Event .......................................................................... 5 03-24 State Law .................................................................................. 6 03-25 Trust .......................................................................................... 6 03-26 Trust Agreement .......................................................................... 6 03-27 Trustee ....................................................................................... 6 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT TABLE OF CONTENTS Article IV ADMINISTRATION 04-01 Administered by Deferred Compensation Board .............................. 6 04-02 Deferred Compensation Board Duties and Responsibilities ............... 6 (a) Deferred Compensation Board to Adopt Rules and Regs ........ 6 (b) Deferred Compensation Board Action Fair and Reasonable .... 7 04-03 Deferred Compensation Board Powers. .......................................... 7 (a) Plan Prevails ...................................................................... 7 (b) Decision Binding ................................................................. 7 (c) Deferred Compensation Board to Interpret ........................... 7 (d) Deferred Compensation Board May Require Court Order ........ 7 (e) Delegation of Authority ....................................................... 7 Article V PARTICIPATION IN THE PLAN 05-01 Enrollment in the Plan .................................................................. 7 05-02 Investment Options ...................................................................... 8 05-03 Deferral ....................................................................................... 8 05-04 Investment Vehicle Election and Direction of Investments .............. 8 (a) Investment Options ............................................................ 8 (b) Experience of Loss ............................................................. 8 (c) Actions of Deferred Compensation Board ............................. 9 05-05 Designation of Beneficiary............................................................. 9 05-06 Modification of Deferral or Investment Option(s) ............................ 9 Article VI LIMITATION ON DEFERRALS 06-01 Deferral Limitation ....................................................................... 9 06-02 Catch-up Provisions .................................................................... 10 (a) Normal Catch-up Provision ................................................ 10 (b) Age 50 Plus Catch-up Provision ......................................... 10 Article VII TRANSFERS AND ELIGIBLE ROLLOVERS 07-01 Rollover Contributions ................................................................ 11 (a) Eligible Deferred Compensation Plans ................................ 11 (b) Other Eligible Retirement Plans ........................................ 11 07-02 Transfers to Certain Plans for the Purchase of Service Credit ......... 12 (a) Direct Trustee to Trustee Transfer ............................................... 12 (b) Application of Transfer ...................................................... 12 (c) Administrative Rules ......................................................... 12 07-03 Roth In-Plan Rollover Contributions ............................................. 12 CITY OF FRESNO=S DEFERRED COMPENSATION PLAN DOCUMENT TABLE OF CONTENTS Article VIII DISTRIBUTION OF BENEFITS 08-01 Inactive De Minimis Accounts ...................................................... 13 (a) Voluntary Withdrawals ...................................................... 13 08-02 Distribution Upon the Death of Participant or Beneficiary ............... 13 08-03 Elections Regarding Distribution .................................................. 13 08-04 Distribution of Deferrals .............................................................. 14 (a) General Rule .................................................................... 14 (b) Distribution of Participant .................................................. 14 (c) Distribution to Beneficiary ................................................. 14 08-05 Eligible Rollover Distributions ...................................................... 14 (a) Election Procedure ............................................................ 14 (b) Effect of Delivery of Rollover Amounts ............................... 15 08-06 Unforeseeable Emergency General .............................................. 15 08-07 Qualified Domestic Relations Orders - General .............................. 15 (a) Segregation of Account/Payment ....................................... 16 (b) Status, rights, and Privileges of Alternate Payee.................. 16 (c) Exceptions to General Rule ................................................ 16 (d) Qualified Domestic Relations Order Expenses ..................... 16 Article IX LOANS TO PARTICIPANTS 09-01 Loans to Participants .................................................................. 16 (a) Limitation on Amount ...................................................... 16 (b) Equality of Borrowing Opportunity ..................................... 17 (c) Pledge of Security ............................................................ 17 (d) Loan Forms...................................................................... 17 (e) Interest Rate ................................................................... 17 (f) Loan Terms ..................................................................... 17 (g) Amortization .................................................................... 18 (h) Prepayments .................................................................... 18 (i) Defaults and Remedies ..................................................... 18 (j) Loan Procedures .............................................................. 18 (k) Outstanding Loans ........................................................... 18 (l) Payment of Fees .............................................................. 18 (m) Suspension of Repayment ................................................. 18 (n) Other Terms and Conditions .............................................. 19 CITY OF FRESNO=S DEFERRED COMPENSATION PLAN DOCUMENT TABLE OF CONTENTS Article X MISCELLANEOUS PROVISIONS 10-01 Leave of Absence ....................................................................... 19 10-02 Termination of Plan .................................................................... 19 10-03 Amendment of Plan .................................................................... 19 10-04 Non alienation of Benefits - Attachment ....................................... 19 10-05 Plan Assets ................................................................................ 19 10-06 Participation by Deferred Compensation Board Members ............... 20 10-07 Employer Contributions............................................................... 20 10-08 Controlling Law .......................................................................... 20 10-09 Suspension of Contributions ........................................................ 20 10-10 No Contract of Employment ........................................................ 20 10-11 Severability of Provisions ............................................................ 21 10-12 Heirs, Assigns and Personal Representatives ................................ 21 10-13 Payments to Minors, Etc. ............................................................ 21 10-14 Reliance on Data and Consents ................................................... 21 10-15 Equal Access to Benefits, Rights and Feature ................................ 21 10-16 Claim Procedures ....................................................................... 21 10-17 Gender and Number .................................................................. 22 10-18 Qualified Military Service…………………………………………………………..22 10-19 Entire Agreement ....................................................................... 22 CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 1 CITY OF FRESNO DEFERRED COMPENSATION PLAN DOCUMENT ARTICLE I PLAN ESTABLISHED 01-01 Plan Established. The Employer hereby amends and restates the City of Fresno Deferred Compensation Plan Document ("Plan"). The Plan consists of the provisions set forth in this document which is amended and restated pursuant to the Economic Growth and Tax Relief Reconciliation Act of 2001, Pension Protection Act of 2006 (“PPA”), and American Taxpayer Relief Act of 2012 (“ATRA”). It is intended that the Plan shall qualify as an Eligible Deferred Compensation Plan within the meaning of Section 457(b) of the Internal Revenue Code of 1986 as amended (“IRC”) sponsored by an Eligible Governmental Employer. ARTICLE II PURPOSE 02-01 Primary Purpose. The primary purpose of the Plan is to provide retirement income and other deferred benefits to the Employees of the Employer and the Employees' Beneficiaries in accordance with the provisions of Section 457 of the IRC, and Government Code Sections 53212 et seq. 02-02 Agreement. The Plan shall be an agreement solely between the Employer and participating Employees. The Employer has established a Trust in the Trust Agreement, to hold all assets of the Plan for the exclusive benefit of Participants and Beneficiaries. The Trust shall comply with IRC Section 457(g) and constitute a valid trust under applicable state law. The powers and duties of the Trustee are set forth in the Trust Agreement. 02-03 Tax Status not Guaranteed. The Employer, and the Deferred Compensation Board which administers the Plan, do not, and cannot, represent or guarantee that any particular federal and state income, payroll, or other tax consequences will occur by reason of an Employee's participation in this Plan. The Participant shall consult with his own attorney or other representative regarding all tax or other consequences of participation in this Plan. CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 2 ARTICLE III DEFINITIONS The following terms when used herein, shall have the following meaning: 03-01 Account means the bookkeeping account maintained for each Participant reflecting the cumulative amount of the Participant's Deferred Compensation, including any income, gains, losses, or increases or decreases in market value attributable to the investment of the Participant's Deferred Compensation, any transfers for the Participant's benefit, any distributions to the Participant or the Participant's Beneficiary, and any fees or expenses charged against such Participant's Deferred Compensation. 03-02 Accumulated Deferrals means compensation deferred under the Plan, adjusted until date of payment by income received, increases or decreases in investment value, fees and any prior distributions made. 03-03 Automatic Distribution Date, on or after January 1, 2002, means April 1 of the calendar year after the Plan year the Participant attains the age of 70 1/2 , or if later, a Severance Event. 03-04 Beneficiary means any person, trust, corporation or firm, or the estate of the Participant, or any combination of the foregoing designated by the Participant to receive benefits under the Plan. Designation shall be made initially on the City of Fresno Participation Agreement executed by the Participant, unless otherwise provided. Beneficiary may mean singular or plural, primary or contingent. 03-05 Compensation means all payments made to the Employee by the Employer as remuneration for services rendered. 03-06 Deferred Compensation means the amount of Participant's compensation which the Participant and the Employer mutually agree to defer in accordance with the provisions of this Plan, or any other amount which the Employer agrees to credit to a Participant's Account under this Plan. When used in the context of deferrals of Compensation, “defer(s)”, “deferral” or “deferred” means, individually or collectively, Pre-Tax Deferrals and Roth Contributions, as applicable. “Deferred Compensation” means the aggregate Pre-Tax Deferrals and Roth Contributions made from a Participant’s Compensation, which said Participant has elected to defer in accordance with the provisions of this Plan. 03-07 Deferred Compensation Board means the Deferred Compensation Board which shall administer the City of Fresno Deferred Compensation Plan. The Deferred Compensation Board shall consist of five members selected as follows: CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 3 (a) One member from the Finance Department appointed by the City Manager with the approval of the City Council; and (b) One member from any City department appointed by the City Manager with the approval of the City Council; and (c) Two members elected by and from the plan Participants who have a non- zero balance in their Deferred Compensation Account (active or any other status); and (d) A fifth member chosen by the previously designated four members from the qualified electors of Fresno County not connected with the City of Fresno or the Plan. The members elected by and from the Plan Participants shall serve a term of four years, whose terms shall be staggered. The remaining members shall serve at the pleasure of the appointing or electing authority. 03-08 Eligible Employee means any full time Employee or City Councilmember of the City or any other Employee eligible for the City's pension system. Permanent part time City employees are also eligible to participate in this Deferred Compensation Plan. 03-09 Eligible Retirement Plan means any account, annuity, plan or trust as defined in IRC Section 402(c)(8)(B). 03-10 Eligible Rollover Distribution means any distribution as defined in IRC Section 402(c)(4)(E). 03-11 Eligible Tax Favored Vehicle shall means a plan within the meaning of IRC Sections 401(a), 401(k), 457(b), 403 (b) as defined in Section 402(c)(8)(B), of the Internal Revenue Code, or Individual Retirement Arrangement, or qualified defined benefit plan as defined by IRC Section 415(n)(3)(A). 03-12 Employer means the City of Fresno. 03-13 Includible Compensation means compensation for services performed for the Employer, as defined in IRC Section 457(e)(5). 03-14 IRC means the Internal Revenue Code of 1986, as amended from time to time. 03-15 Normal Retirement Age means age 70 1/2, unless the Participant has CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 4 elected an alternate Normal Retirement Age by written instrument delivered to the Deferred Compensation Board prior to a Severance Event. A Participant’s Normal Retirement Age determines the period during which a Participant may utilize the 457 Catch-Up Dollar Limitation set forth in Article VI. Once a Participant has to any extent utilized the catch-up limitation in Article VI, his Normal Retirement Age cannot be changed. A Participant’s alternate Normal Retirement Age may not be earlier than the earliest date that the Participant will become eligible to retire and receive unreduced retirement benefits under his or her respective City of Fresno Retirement System (Fire and Police Retirement System or Employees’ Retirement System), and may not be later than the date the Participant will attain age 70 1/2. If a Participant continues employment after attaining age 70 1/2, not having previously elected alternate Normal Retirement Age, the Participant’s alternate Normal Retirement Age shall not be later than the mandatory retirement age, if any, established by the Employer, or the age at which the Participant actually has a Severance Event if the Employer has no mandatory retirement age. If the Participant will not become eligible to receive benefits under his or her respective City Retirement System, the Participant’s alternate Normal Retirement Age may not be earlier than attainment of age 50 for Participants who are members of the Fire and Police Retirement System, and age 55 for Participants who are members of the City Employees’ Retirement System or are Permanent Part time Employees. 03-16 Participant means any member of the Plan who has elected, pursuant to the Plan, to defer a portion of his compensation, and who fulfills the requirements of participation in the Plan. 03-17 Participation Agreement means the agreement, including any amendments and modifications thereof, executed and filed by an Eligible Employee with the Employer pursuant to Article V, in which the Eligible Employee elects to become a Participant in the Plan. 03-18 Participation Account means the account and subaccounts established and maintained for a Participant under the Plan to which there is recorded, as applicable, the Participant’s Pre-Tax Deferrals, Roth Contributions, Deferred Compensation Eligible Deferred Compensation Plan Transfers, Rollover Contributions and Roth In-Plan Contributions, if any, and any interest, dividends, gains, losses, earnings or expenses or the like thereon. A Participant’s Participation Account shall be divided into the following subaccounts, as applicable: the Pre-Tax Deferral Subaccount, the Roth Contribution Subaccount, the Eligible Deferred Compensation Plan Transfer Subaccount, the Rollover Subaccount and the Roth In-Plan Rollover Subaccount. 03-19 Plan Year means the calendar year. CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 5 03-20 Qualified Domestic Relations Order or "QDRO" means any judgment, decree or order as defined in IRC Section 414(p). 03-21 Required Beginning Date means April 1 of the calendar year following the later of: (a) the calendar year in which the Participant attains age 70 1/2; or (b) the calendar year in which the Participant retires or leaves City service. 03-22 Rollover Amount means that portion of an Eligible Rollover Distribution from this Plan that, by election of the prospective distributee, is transferred directly or indirectly to an Eligible Retirement Plan. 03-23 Roth Contribution(s) means contributions made pursuant to the Participant’s Participation Agreement that (i) the Participant irrevocably designates at the time of the contribution election as post-tax Roth contributions that are being made from Compensation on an after-tax basis; and (ii) the Employer treats as includible in the Participant’s gross income in the year deferred. 03-24 Roth Contribution Subaccount means the subaccount established within a Participation Account to which a Participant’s Roth Contributions are recorded, as applicable, and any interest, dividends, gains, losses, earnings or expenses or the like thereon. 03-25 Roth In-Plan Rollover Contribution means the portion of an Eligible Rollover Distribution from the Plan that a Participant elects to have allocated to the Roth In-Plan Rollover SubAccount within the Participant’s Participation Account. 03-26 Roth In-Plan Rollover SubAccount means the subaccount established within a Participant’s Participation Account to which a Participant’s Roth In-Plan Rollover Contributions are recorded, as applicable, and any interest, dividends, gains, losses, earnings or expenses or the like thereon. 03-27 Severance Event means severance of the Participant’s employment with the Employer that constitutes a separation of service within the meaning of IRC Sections 414(u), 402(e)(4)(A)(iii), and 457(d)(1)(A)(ii) or on account of the Participant’s death or retirement. In general, a Participant will be deemed to have severed his or her employment as of the date of his or her last payroll. 03-28 State Law means any statutes, court decisions, executive orders, administrative rulings, regulations or other proclamations having the force of law in the State of California. CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 6 03-29 Trust means the funding vehicle established pursuant to IRC Section 457(g) which shall consist of all assets of the Plan held by the Trustee pursuant to the terms of the Trust Agreement. 03-30 Trust Agreement means the agreement by and between the City of Fresno, as the Sponsor, and the Trustee which governs the operation of the Trust 03-31 Trustee means such individual(s) or entity designated by the Sponsor with the duties and responsibilities set forth in the Trust Agreement. ARTICLE IV ADMINISTRATION 04-01 Administered by Deferred Compensation Board. This Plan shall be administered by the City of Fresno Deferred Compensation Deferred Compensation Board which shall represent the Employer and all participants in all matters concerning the administration of this Plan. 04-02 Deferred Compensation Board Duties and Responsibilities. (a) Deferred Compensation Board to Adopt Rules and Regulations. The Deferred Compensation Board shall have full power and authority to adopt rules and regulations for the administration of the Plan, and to interpret, alter, amend, or revoke any rules and regulations so adopted. (b) Deferred Compensation Board Action Fair and Reasonable. Every action taken by the Deferred Compensation Board shall be presumed to be a fair and reasonable exercise of the authority vested in or the duties imposed upon it. The Deferred Compensation Board and its individual members shall be deemed to have exercised their fiduciary duties with reasonable care, diligence, and prudence and to have acted impartially as to all persons interested, unless the contrary may be proven by affirmative evidence. 04-03 Deferred Compensation Board Powers. (a) Plan Prevails. In the event any form or other document used in administering this Plan, including but not limited to Participation Agreement and marketing materials, conflicts with the terms of the Plan, the terms of the Plan shall prevail. (b) Decision Binding. The Deferred Compensation Board is authorized to CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 7 determine any matters concerning the rights of any Participant under this Plan, and such determination shall be binding on the Participant and any Beneficiary thereof. (c) Deferred Compensation Board to Interpret. The Deferred Compensation Board is authorized to construe this Plan and resolve any ambiguity in the Plan. The Plan and any form or other document used in administering the Plan shall be interpreted, and this Plan shall be administered, so as to comply with IRC Section 457, as amended, and the regulations of the Treasury Department promulgated thereunder. (d) Deferred Compensation Board May Require Court Order. The Deferred Compensation Board or the Employer, if in doubt concerning the correctness of their action in making a payment of accumulated deferrals, may suspend payment until satisfied as to the correctness of the payment or the person to receive the payment or to allow the filing in any state court of competent jurisdiction of a civil action seeking a determination of the amounts to be paid and the persons to receive them. The Deferred Compensation Board and the Employer shall comply with the final orders of the court in any such suit, and the Participant, or the Participant and the Participant's Beneficiary, consent to be bound thereby. Whenever payment of accumulated deferrals is suspended pursuant to this section, the time for a Participant or Beneficiary making any election under Article VIII of this Plan, shall not begin until amount(s) and person(s) entitled are determined either by written agreement of all parties concerned or by a court judgment that has become final. (e) Delegation of Authority. The Deferred Compensation Board may delegate its functions to be performed under this Plan to any designee with legal authority to perform such functions. ARTICLE V PARTICIPATION IN THE PLAN 05-01 Enrollment in the Plan. An Employee may elect to become a Participant in the Plan by executing a Participation Agreement approved by the Deferred Compensation Board or its designee, and delivered to the Employer. 05-02 Investment Options. As part of the Participation Agreement, the CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 8 Participant shall be responsible for contacting the Trustee directly to select his/her investment option(s) from among those selected by the Deferred Compensation Board in its sole discretion from time to time, and to designate the amount of compensation to be deferred and whether such deferral is a Pre-Tax Deferral or a Roth Contribution or consists of both Pre-Tax Deferrals and Roth contributions. The amount(s) requested must equal at least ten ($10.00) dollars per pay period and shall continue until changed or revoked pursuant to Section 05-06 of this Plan. 05-03 Deferral. By executing the Participation Agreement, the Participant consents to the Employer taking the necessary actions to defer that portion of his or her Compensation which the Participant has specified is to be deferred from the Participant’s gross compensation for each pay period. The Participant shall indicate whether such deferral is a Pre-Tax Deferral, a Roth Contribution, or consists of both Pre-Tax Deferrals and Roth Contributions, in which case the Participant shall designate specific amounts for each, as applicable. Deferral of compensation shall occur as soon as administratively possible after completing the Participation Agreement, or on such other date as may be permitted under the IRC. 05-04 Investment Vehicle Election and Direction of Investments. (a) Investment Options. The Deferred Compensation Board shall establish such Investment Options as it deems necessary to provide Participants with a diversified range of alternatives. Each Investment Option shall be based upon its investment performance as well as its ability to provide a range of investment diversification under the Plan. The Deferred Compensation Board shall specify the investment objectives and characteristics of each Investment Option and the corresponding investment portfolio or portfolios and shall provide eligible Employees with a written description of each available Investment Option. The Deferred Compensation Board, in its sole discretion, may add, eliminate, or consolidate Investment Options and corresponding investment portfolios from time to time. In the event that an Investment Option is eliminated, the Deferred Compensation Board shall provide prior notice of such elimination, and if the Participants whose accounts were wholly or partially allocated to that Investment Option do not make a re- allocation, the Deferred Compensation Board shall reallocate such amounts to the available Investment Option or Investment Options that the Deferred Compensation Board in its sole discretion deems most comparable to the eliminated Investment Option. (b) Experience of Loss. In the event that the selected investment vehicle experiences a loss, the Participant’s accumulated deferrals payable hereunder shall likewise reflect a loss, rather than income, for the period. CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 9 (c) Actions of Deferred Compensation Board. Any such action by the Deferred Compensation Board in investment funds, or approving of any such investment funds, shall not be considered to be either an endorsement or guarantee of any investment, nor shall it be considered to attest to financial soundness or the suitability of any investment for the purpose of meeting future obligations. 05-05 Designation of Beneficiary. A Participant may designate by the Participation Agreement, delivered to the Employer, a Beneficiary to receive any benefits which may be payable under the Plan upon the death of such Participant. A Participant may at any time, amend his or her Participation Agreement to change the designated Beneficiary(ies) or update beneficiaries using online access provided by the Plan. Any change in the beneficiary designation filed in proper form, shall become effective as of the date of delivery to the Deferred Compensation Board. 05-06 Modification of deferral or investment option(s). A Participant may on a prospective basis change his/her deferral amount, change the deferrals designated as Pre-Tax Deferrals or Roth Contributions, change investment options, suspend or revoke participation in the Plan, or reinstate participation at any time. The Participant shall be responsible for contacting and notifying the Trustee of any modifications. Changes in the amount of the deferral must equal at least five ($5.00) dollars per pay period. Investment changes may be made at any time subject to the terms of the Trustee/mutual fund provider(s). The requested change shall become effective at the earliest possible payroll period which allows sufficient time for the order to be processed through the City payroll section. ARTICLE VI LIMITATION ON DEFERRALS 06-01 Deferral Limitation. Except as provided in Section 06-02, relating to catch-up provisions, the maximum amount of the compensation of any Participant which may be deferred under the Plan for each calendar year, shall not exceed the lesser of (1) 100% of the Participant's includible compensation or (2) $17,500 in the year 2014, and thereafter adjusted for the calendar year to reflect increases in the cost-of-living, in accordance with IRC Section 457(e)(15) and 415(d). The Participant acknowledges the right of the Deferred Compensation Board to disallow deferral of compensation under the Plan in excess of the limitations set forth in this Section. However, the Deferred Compensation Board shall have no duty or assume or incur any liability for failure to assure that amounts deferred are in compliance with such limitations. CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 10 06-02 Catch-up Provisions. (a) Normal Catch-up Provision. Notwithstanding any provision in this Article to the contrary, with respect to any one or more of the three (3) taxable years ending before the date of the Participant's Normal Retirement Age, such Participant may elect to have Deferred Compensation contributed to the Plan in an amount not to exceed the lesser of (1) twice the dollar amount of the Deferral Limitation established in Section 6.01, or (2) the Underutilized Limitation. For purposes of this subsection, the Underutilized Limitation with respect to a Participant shall be equal to the sum of: the Deferral Limitation for the taxable year, and the excess of (i) over (ii) where: (i) equals the sum of the limitations set forth in IRC Section457(b)(2) for all taxable years on or after December 31, 1978 in which the Participant was eligible to participate in this Plan or any other eligible deferred compensation plan sponsored by an entity within the State of California, and (ii) equals the sum of all Deferred Compensation made on behalf of such Participant for such taxable years plus his/her deferred compensation under any other eligible deferred compensation plan sponsor by an entity within the State of California. (b) Age 50 Plus Catch-up Provision. Pursuant to IRC Section 414(v), Participants turning age 50 by the end of the Plan year (or such other date as the Treasury Department may require by regulations) may contribute additional annual contributions each year, which shall be the lesser of: (i) Compensation reduced by elective deferrals made to other plans; or (ii) A specified dollar limit as provided in IRC Section 414(v). Those dollar limits are, an additional $5,500 in the year 2014, thereafter adjusted for the calendar year to reflect increases in the cost of living in accordance with IRC Sections 457(e)(15) and 415 (d). The age fifty catch-up contributions can be made beginning in the year in which the Participant reaches age fifty and for as many years as the Participant desires; however, the age fifty catch-up contribution may not be used in the same year as the Normal Catch-up Provision for which the additional contributions permitted under IRC Section 457(b)(3) applies to such Participant, to the extent required by applicable statute or regulations. CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 11 ARTICLE VII TRANSFERS AND ELIGIBLE ROLLOVERS 07-01 Rollover Contributions. (a) Eligible Deferred Compensation Plans: The direct transfer and/or rollover contribution of an Eligible Rollover Distribution from another eligible deferred compensation plan (as defined in IRC Section 457(b)) shall be accepted and allocated to a Participant’s Account under this Plan provided that such amounts are in cash or other property acceptable to the Deferred Compensation Board. The Deferred Compensation Board may request proof that the prior plan is an eligible deferred compensation plan under IRC Section 457(b). Direct transfer and/or rollover contribution amounts shall not be subject to the limitations of Article VI; provided, however, that the actual amount deferred during the calendar year under both the prior plan and the Plan shall be taken into account in calculating the deferral limitations for that year. For purposes of determining the limitations set forth in Article VI, years of eligibility to participate in the prior plan and deferrals under the prior plan shall be taken into account to the extent required by IRC Section 457. (b) Other Eligible Retirement Plans: The direct transfer and/or rollover contribution of an Eligible Rollover Distribution from another Eligible Retirement Plan (other than an eligible deferred compensation plan) shall be accepted and allocated to a Participant’s Account under this Plan provided that such amounts are in cash or other property acceptable to the Deferred Compensation Board. The Deferred Compensation Board may request verification that the prior plan is an Eligible Retirement Plan. Direct transfer and rollover contribution amounts shall not be subject to the limitations of Article VI. In addition, in order for Eligible Rollover Distributions to be accepted by this Plan, the Deferred Compensation Board may request verification that (1) the amounts to be transferred are not subject to a QDRO, and (2) spousal consent, if required to transfer such amounts from the prior plan, has been obtained. Amounts shall be identified as to source and nature (such as non-deductible employee contributions, elective deferral amounts and deemed elective deferral amounts subject to the provisions of IRC Section 401(k), employer contributions, etc.) Any amounts accepted for contribution under this Section 07-01(b) shall be allocated to one or more sub-accounts within the Participant’s Account. The sub-account(s) will share in the investment gains and losses experienced by the Account as a whole; however, it will be separately accounted for taxation and distribution purposes as required under IRC CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 12 Section 457. 07-02 Transfers to Certain Plans for the Purchase of Service Credit. (a) Direct Trustee to Trustee Transfer: Any Participant who is also a Participant in a defined benefit governmental plan (as defined in IRC Section 414(d)) may have a direct trustee to trustee transfer made from this Plan to the defined benefit governmental plan if the transferred assets are used for: (i) the purchase of service credits (as defined in IRC 415(n)(3)(A)) in the defined benefit governmental plan; or (ii) a repayment of a cash out from the defined benefit governmental plan which meets the requirements of IRC Section 415(k)(3). (b) Application for Transfer: If the conditions in subsections (i) and (ii) of this Section are met and the Participant wishes to transfer his/her account, he/she shall complete any application form and/or other documents as may be required by the Deferred Compensation Board. (c) Administrative Rules: The Deferred Compensation Board shall prescribe such rules consistent with the provisions of Subsections (i) and (ii) of this Section concerning plan-to-plan transfers as in its sole judgment it deems desirable for the orderly administration of the Plan. 07-03 Roth In-Plan Rollover Contributions. The Plan, to the extent permitted by the IRC and otherwise pursuant to procedures established by the Plan, will accept Roth In-Plan Rollover Contributions with such amounts to be credited to the Participant’s Roth In-Plan Rollover Subaccount. The Participant shall, in the time and manner prescribed by the Plan, specify the amount to be rolled over as a Roth In-Plan Rollover Contribution. ARTICLE VIII CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 13 DISTRIBUTION OF BENEFITS 08-01 Inactive De Minimis Accounts. (a) Voluntary Withdrawals: A Participant shall be entitled to request a withdrawal of his/her account, other than that portion attributable to a rollover of contributions, provided that: (i) the total amount credited to the Participant's account does not exceed $5,000 (or as may be revised by the Internal Revenue Service and/or Department of Labor); (ii) the Participant has not authorized Deferred Compensation under the Plan during the two (2) year period immediately preceding such request; and (iii) the Participant has not previously applied for a withdrawal under this Section. The amount of the Participant's account attributable to rollover contributions shall not be considered in determining whether the Participant's account is less than $5,000. 08-02 Distribution Upon the Death of Participant or Beneficiary. Should the Participant die at any time, accumulated deferrals shall be paid to the Beneficiary designated by the Participation Agreement. If no Beneficiary is designated as provided in the Participation Agreement, or if the designated Beneficiary does not survive a period of thirty days, then a lump sum shall be paid, to the surviving spouse, or if none, a lump sum shall be paid to the estate of the Participant. 08-03 Elections Regarding Distribution. Each participant (or in the event of death, each Beneficiary other than an organization, estate, or trust) shall direct the Trustee regarding the details of paying out his/her account. A Participant electing to commence distribution shall have the opportunity to designate the extent to which the distribution should be taken in whole or in part from subaccounts within the Participant’s Participation Account in which Roth Contributions, Roth In-Plan Rollover Contributions or Eligible Deferred Compensation Plan Transfers or Rollover Contributions from Qualified Roth Contribution Programs are held, as applicable. In the absence of such designation, the distribution shall be taken pro rata from the subaccounts within the Participant’s Participation Account. The Participant/Beneficiary may change this direction from time to time within the distribution rules that apply to all qualified plans and within the constraints of the Trustee. Any amount payable to an organization, estate, or trust shall be paid in a lump sum as prescribed in Sections CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 14 08-02 and 08-04(c). 08-04 Distribution of Deferrals. (a) General Rule. Upon retirement or severance from employment with the City of Fresno, and assuming a request is made to the Trustee, payment will be made in at least annual, quarterly, or monthly payments as requested by the Participant. (b) Distribution to Participant. Payment must be sufficiently rapid to satisfy the minimum required distribution rules under the Internal Revenue Code regulations. (c) Distribution to Beneficiary. (i) When distribution begins prior to the Participant's death, the payout must be made at least as rapidly as it were as being made to the Participant. When the Beneficiary is an organization, estate or trust, then payment will be payable in a lump sum. (ii) When distribution does not begin prior to the Participant's death, and is to be made: (1) To an organization, estate or trust, then payment will be payable in one lump sum. (2) To the Participant's surviving spouse, whether as designated Beneficiary, or by default, then payment will be made by the Trustee as directed by the spouse within the minimum distribution rules under the IRC regulations. (3) Notwithstanding anything in this Plan to the contrary, distributions from the Plan will be made in compliance with the minimum distribution rules and applicable sections of the IRC. 08-05 Eligible Rollover Distributions. (a) Election Procedure. If all or any portion of a prospective distribution is an Eligible Rollover Distribution, the prospective distributee shall have the right to elect to have all or any portion of the Eligible Rollover Distribution treated as a Rollover Amount. Subject to satisfaction of the requirements of IRC Section 457(e)(16) and this Section, Rollover Amounts shall be delivered directly by this Plan to an Eligible Retirement Plan as designated by the CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 15 distributee. The Plan permits non-spouse rollovers described in IRC Section 402 (c)(11). Any such transfers shall also comply with all applicable rules and regulations issued by the Internal Revenue Service. (b) Effect of Delivery of Rollover Amounts. Each prospective distributee, by electing to have any portion of his/her Eligible Rollover Distribution treated as a Rollover Amount, agrees that, upon transmittal as instructed of the funds to which such election applies, the Deferred Compensation Board shall be released from all duties, obligations responsibilities, and liabilities in connection with the amount so transmitted. The Deferred Compensation Board shall not be responsible to see to the crediting or application of the funds so transferred. 08-06 Unforeseeable Emergency. General: In the event an unforeseeable emergency occurs, a Participant may apply to the Deferred Compensation Board to request a withdrawal of a portion of his/her account as necessary to satisfy the emergency need. If the application is approved by the Deferred Compensation Board, the Participant shall be paid only such amount as the Deferred Compensation Board deems necessary to meet the emergency need. Payment shall not be made to the extent that the financial hardship may be relieved (1) through reimbursement or compensation by insurance or otherwise, (2) by liquidation of the Participant's assets (to the extent the liquidation of such assets would not itself cause severe financial hardship), or (3) by cessation of Deferred Compensation under the Plan. An unforeseeable emergency shall be deemed to involve only circumstances of severe financial hardship to the Participant resulting from a sudden unexpected illness, accident, or disability of the Participant or of a dependent (as defined in IRC Section 152) of the Participant, loss of the Participant's property due to casualty, or other similar extraordinary and unforeseeable circumstances arising as a result of an event beyond the control of the Participant. The circumstances that will constitute an unforeseeable emergency will depend upon the facts of each case. Examples of what shall not be considered to be unforeseeable emergencies include the wish to finance a child’s college education or the desire to purchase a home. 08-07 Qualified Domestic Relations Orders - General. Parties to a divorce or termination of registered domestic partnership will be required to file a joinder with the Plan, notifying the City that a divorce or termination of registered domestic partnership is pending. Upon receipt of the final judgment, decree or order which is made pursuant to a state domestic relations and/or community property law ("Court Order"), the Trustee, within a reasonable period after receipt of such Court Order will make the appropriate changes on the Plan data base in accordance with such Order as a CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 16 Qualified Domestic Relations Order ("QDRO"). (a) Segregation of Account/Payment - The Trustee, upon receipt of instructions from the Deferred Compensation Board, will segregate in a separate account in the Plan, the amounts which are payable to the Alternate Payee pursuant to the QDRO. (b) Status, Rights and Privileges of Alternate Payee - Except as otherwise provided herein, an Alternate Payee shall have the status and rights of a Beneficiary under this Plan to the exclusion of all other rights associated with Participants under this Plan. (c) Exceptions to General Rule - Notwithstanding the provisions of Section 08-07(b), the Alternate Payee shall have the following rights and privileges under this Plan: (i) The right to receive payment under the terms of the QDRO domestic relations order at the time and manner specified in the QDRO; provided, however, that such payment may not be made in a form which is not available to Participants under the Plan; and (ii) The right to direct the manner in which Plan amounts allocated to such Alternate Payee are invested. (d) Qualified Domestic Relations Order Expenses - Any expense related to the administration of a QDRO shall be assessed against the Participant's account and the Alternate Payee's account in percentages equal to the percentage split of assets in the QDRO. ARTICLE IX LOANS TO PARTICIPANTS 9-01 Loans to Participants. A Participant may take a loan from his/her Account subject to the terms and conditions of this Section 9-01 and the IRC. (a) Limitation on Amount. No Participant shall, under any circumstance, be entitled to loans aggregating in excess of the lesser of: (1) $50,000, reduced by the excess (if any) of: CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 17 (A) the highest outstanding balance of loans to such Participant from the Plan during the 1-year period ending on the day before the date on which such loan was made, over (B) the outstanding balance of loans from the Plan on the date on which such loan was made, or (2) one-half (1/2) of the value of the Participant’s adjusted vested interest in his/her Account as of the Valuation Date coincident with or immediately preceding the date on which the loan is made. (3) The minimum Loan amount is $1,000. (b) Equality of Borrowing Opportunity. Loans shall be made available on a reasonably equivalent basis to all Participants who are active City employees who have a minimum balance of $2,000 in their Deferred Compensation Account. A loan may not be made to a Participant after his/her separation from City service. If a Participant’s date of separation from City service occurs after he/she has requested a loan but before the loan is actually made to the Participant, the Participant’s request for a loan shall automatically be cancelled. No loans may be made to a beneficiary or an Alternate Payee. (c) Pledge of Security. Each loan to a Participant shall be secured by the pledge of the amounts allocated to his/her Account equal to initial outstanding balance of such loan. (d) Loan Forms. The Participant shall complete all forms required by the Deferred Compensation Board in order to process the loan including, but not limited to: pledge of security, spousal consent, and acknowledgement of loan terms. Participants shall submit paperwork for automatic electronic payments (ACH) from a personal bank account directly to the Plan administrator. (e) Interest Rate. Interest shall be charged at prime plus 1%, designed to provide the Plan with a return commensurate with interest rates charged by persons in the business of lending money under similar circumstances. (f) Loan Term. Loans shall be for terms not to exceed five (5) years from the date of the loan, except that loans taken for the purpose of acquiring any dwelling unit which is to be used as a principal residence of the Participant may be for periods not to exceed fifteen (15) years. Loan payments may continue after the employee leaves City service until such time as the loan is paid in full or until such time as a payment is in default, at which time the loan becomes payable in full. Loans shall be non-renewable and non- CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 18 extendable. (g) Amortization. Loans shall provide for substantially level amortization of principal and interest by monthly automatic deduction (ACH) from the Participant’s personal bank account. (h) Prepayment. The Participant shall be permitted to repay the loan in whole or in part at any time prior to maturity, without penalty. (i) Defaults and Remedies. During the term of the loan, if no portion of a loan payment is made within 60 days of the date such payment is due, or if any balance remains outstanding 60 days after the end of the term of the loan, the loan shall be considered in default. In the event of default by a participant, the outstanding balance of the loan shall be reported to the Internal Revenue Service as a deemed distribution. Interest accrued from the date of the last loan repayment to the deemed distribution date is also reported to the Internal Revenue Service. (j) Loan Procedures. All Plan loans shall be made and administered by the Deferred Compensation Board in accordance with the rules and procedures that the Deferred Compensation Board may establish from time to time, which are hereby incorporated into the Plan by reference. (k) Outstanding Loans. A participant may have no more than one loan outstanding at any time. (l) Payment of Fees. The participant shall be responsible for the payment of fees to cover the cost of administering his/her loan. Payment shall be made by deduction from the Participant’s Deferred compensation account. (m) Suspension of Repayment (i) Military Service. Loan repayment shall be suspended without penalty for any period during which a Participant is serving on active duty in the uniformed services of the United States. (ii) Other Leaves of Absence. In the event of an employer approved unpaid leave of absence for any other reason, the participant may suspend principal installments and interest payments otherwise due for the duration of the leave or one year, whichever is shorter. (iii) Upon termination of a repayment suspension, the Participant CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 19 may either: (1) make a one-time payment equal to the total amount that accumulated during the suspension, or (2) reamortize the loan. (n) Other terms and conditions. The Deferred Compensation Board shall fix such other terms and conditions of the loan as it deems necessary to comply with the applicable laws, including maintaining the qualification of the Plan under IRC Section 457, and any applicable regulations. ARTICLE X MISCELLANEOUS PROVISIONS 10-01 Leave of Absence. If a Participant is on an approved leave of absence from the Employer, participation in this Plan shall continue. 10-02 Termination of Plan. The City of Fresno may, by appropriate action of the City Council, terminate this Plan. No such termination shall deprive a Participant or Beneficiary of any benefits to which the Participant or Beneficiary is entitled under this Plan immediately prior to the effective date of such termination. 10-03 Amendment of Plan. The City of Fresno may, by action of the City Council, amend this Plan. No amendment shall deprive any Participant or Beneficiary of any right or benefit to which the Participant or Beneficiary is entitled under this Plan immediately prior to the effective date of such amendment. To the extent there are legislative changes affecting IRC Section 457, this Plan shall be interpreted to allow implementation of mandatory changes. 10-04 Non alienation of Benefits - Attachment. Except as set forth in Section 08-06 with regard to Qualified Domestic Relations Orders, no Participant or Beneficiary shall have the right to alienate, anticipate, commute, pledge, encumber or assign any of the benefits or payments under this Plan, except the right to designate a Beneficiary as hereinabove provided. The rights of the Participant under this Plan shall not be subject to creditors of the Participant and shall be exempt from execution, attachment, prior assignment, or any other judicial relief or order for the benefit of any creditors or other third persons having claims against the Participant. 10-05 Plan Assets. All amounts of compensation deferred under the Plan, all property and rights to property (including right as a beneficiary of a contract providing life insurance protection) purchased with such amounts, property or rights to property shall remain (until paid or made available to the Participant or the Participant's Beneficiary under the Plan) solely the property and rights of the Employer (without CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 20 being restricted to the benefits under the Plan), and shall be held in trust for the Participants and NOT be subject to the claims of general creditors of the Employer. 10-06 Participation by Deferred Compensation Board Members. Members of the Deferred Compensation Board, who are otherwise eligible, may participate in the Plan under the same terms and conditions as apply to other Participants, but an individual member shall not participate in any Deferred Compensation Board action taken with respect to that member's participation. 10-07 Employer Contributions. The Employer may, pursuant to a changed or new Participation Agreement filed by a Participant as specified in Sections 05-01 through 05-06, add additional deferred compensation for services to be rendered by the Employee to the Employer during any calendar month, provided: (a) The Employee has elected to have such additional compensation deferred, invested, and distributed, pursuant to this Plan, prior to the calendar month in which the compensation is earned; and (b) Such additional deferred compensation, when added to all other deferred compensation under the Plan, does not exceed the maximum deferral permitted under Article VI. 10-08 Controlling Law. This Plan shall be construed and enforced according to state law, applicable local law and the IRC, and shall be interpreted in a manner consistent with the maintenance of its status as an "eligible deferred compensation plan" as defined in IRC Section 457(b). Reference to any section of the IRC, state law, or local law shall be deemed to incorporate any required amendments of such section as necessary to maintain the status of this Plan as an eligible deferred compensation plan. The Employer reserves the right to take such action and do such things as are required to make the Plan, as administered, consistent with IRC Section 457. 10-09 Suspension of Contributions. The Trustee may temporarily suspend the acceptance of Deferred Compensation as necessary to facilitate appropriate administration of this Plan or to comply with any federal, state or local law. Written notice of such suspension shall be provided to all Participants and may accompany the distribution of payroll check. No such suspension shall deprive a Participant or Beneficiary of any right or benefit to which the Participant or Beneficiary is entitled under this Plan immediately prior to the effective date of such suspension. 10-10 No Contract of Employment. Neither the establishment of the Plan, nor the participation in the Plan, shall be construed as giving any Participant the right to be retained in the service of the City of Fresno. CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 21 10-11 Severability of Provisions. If any provision of this Plan shall be held invalid or unenforceable, such invalidity or unenforceability shall not affect any other provisions hereof, and this Plan shall be construed and enforced as if such provisions had not been included. 10-12 Heirs, Assigns and Personal Representatives. This Plan shall be binding upon the heirs, executors, administrators, successors and assigns of the parties; including each Participant and Beneficiary, present and future. 10-13 Payments to Minors, Etc. Any benefit payable to or for the benefit of a minor, an incompetent person or other person incapable of receipting therefore shall be deemed paid when paid to such person's guardian or to the party providing or reasonably appearing to provide for the care of such person, and such payment shall fully discharge the City of Fresno and the Deferred Compensation Board with respect thereto. 10-14 Reliance on Data and Consents. The Deferred Compensation Board, and all other persons or entities associated with the operation of the Plan, the administration, management of its assets, and the provision of benefits there may reasonably rely on the truth, accuracy and completeness of all data provided by a Participant, and/or Beneficiary, including, without limitation, data with respect to age, health and marital status. Furthermore, the Deferred Compensation Board, and all persons identified above may reasonably rely on all consents, elections and designations filed with the Plan or those associated with the operation of the Plan by any Participant or Beneficiary, or the representatives of such persons without duty to inquire into the genuineness of any such consent, election or designation. None of the aforementioned persons or entities associated with the administration operation of the Plan, its assets and the benefits provided under the Plan shall have any duty to inquire into any such data, and all may rely on such data being current to the date of reference. It shall be the duty of the Participant or Beneficiary to advise the appropriate parties of any change in such data. The Deferred Compensation Board shall not be liable for the consequences of such change in data. 10-15 Equal Access to Benefits, Rights and Features. Any determination made by the Deferred Compensation Board with respect to the availability of benefits, rights and features under this Plan shall apply on a non-discriminatory basis allowing equal access for all Participants; provided, however, that such access may be limited by the terms of a collective bargaining agreement or individual employment contract. 10-16 Claim Procedures. Any dispute over payment from Accounts under the Plan shall be resolved by the Deferred Compensation Board pursuant to its written CITY OF FRESNO’S DEFERRED COMPENSATION PLAN DOCUMENT 22 claims procedures. Such claims procedures shall comply with applicable state laws including, but not limited to, civil service rules and applicable collective bargaining agreements. 10-17 Gender and Number. The masculine pronoun, whenever used herein, shall include the feminine pronoun, and the singular shall include the plural, except where the context requires otherwise. 10-18 Qualified Military Service. This Plan will be administered in accordance with IRC Section 414(u) for Eligible Employees who return to work after absences from employment due to qualified military service. This includes make-up contributions that were not made during the Eligible Employee’s period of qualified military service. Contributions made up will be subject to the annual contribution limitations for the year in which they relate, rather than the year they are made. 10-19 Entire Agreement. This Plan and the Participation Agreement, and any subsequently adopted amendment thereof, shall constitute the total agreement or contract between the Employer and the Participant regarding the Plan. No other communication or statement of any sort shall modify this Plan in any way or be relied upon by the parties to this Agreement. END OF DOCUMENT City Council Approved on 7/23/2009 Revised draft November 6, 2013 City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-366 Agenda Date:10/9/2014 Agenda #:1-B REPORT TO THE CITY COUNCIL October 9, 2014 FROM:BRIAN R. MARSHALL, Director Department of Transportation BY:JIM SCHAAD, Assistant Director Department of Transportation SUBJECT Authorize Amendment No. 2 to the agreement between the City of Fresno and Diversified Transportation, LLC (DBA Keolis Transit America) RECOMMENDATION Staff recommends Council authorize the Director of Transportation to execute Amendment No.2 to the agreement between the City of Fresno and Diversified Transportation,LLC (DBA Keolis Transit America),revising some of the standards and definitions to ensure compliance with Federal Transit Administration (FTA) and Americans with Disabilities Act (ADA) regulations. EXECUTIVE SUMMARY On January 24,2013,Council approved a new agreement with Diversified Transportation,LLC (DBA Keolis Transit America),to provide ADA paratransit services.In an effort to address several FTA and ADA compliance issues,provide reasonable and achievable service level standards,and correct some general contract deficiencies,the City of Fresno and Keolis have agreed to changes to several definitions and standards. BACKGROUND The City of Fresno Handy Ride service provides demand-response transportation services,offering curb-to-curb transportation for citizens with disabilities in accordance with the ADA of 1990 (49 CFR, Parts 27,37,and 38).Primarily used by people who are unable to use fixed-route buses,Handy Ride operates seven days per week,with service levels comparable to the fixed-route system.The demand response transportation services are being provided through a contractual agreement between the City of Fresno and Diversified Transportation, LLC (DBA Keolis Transit America). In December 2007,The FTA Office of Civil Rights conducted an audit of the Department of City of Fresno Printed on 12/16/2022Page 1 of 4 powered by Legistar™ File #:ID#14-366 Agenda Date:10/9/2014 Agenda #:1-B In December 2007,The FTA Office of Civil Rights conducted an audit of the Department of Transportation complimentary paratransit service (Handy Ride)for compliance with the above- referenced ADA requirements.Federal auditors did not publish their final report until several years later,on June 7,2012.Shortly thereafter,on August 17,2012,the City solicited proposals for the provision of demand-response transportation services (Handy Ride)to replace a contract expiring in December 2012.In an attempt to address the audit report findings,several changes to the Request for Proposals (RFP)language were made,including significant changes/additions to performance measures.Since many of the performance measures and associated incentives and disincentives were new,the RFP contained specific verbiage allowing post-award re-evaluation of standards to determine any changes needed to ensure their levels are reasonably achievable while continuing to encourage improvement to services. In late August 2012,shortly after the release of the RFP,the FTA Office of Civil Rights requested a copy of the document for review,which was immediately provided.The City received additional comments from FTA on September 18,2012,after bids had been received.In order to continue operations,the City awarded a contract to the most qualified proposer,Keolis Transit America,with the intent to amend the contract as required once the FTA input was carefully reviewed. The Department of Transportation has since been working with Keolis Transit America to make required amendments to the contract that address FTA concerns,as well as apply reasonable incentives and disincentives for performance. The major changes are summarized below: ·Clarification of the definition for “trip denials”to address auditor concerns that poor definition allows exclusion of denied trips that must be counted when measuring performance. ·Addition of the definition of “Early Pickup”and clarification that early pickups are not considered as on-time,to address auditor concerns that riders might be unduly pressured to accept an early pickup.This added definition essentially reduces on-time window from previous 35 minutes to 30 minutes. ·Revision of definitions for “Late Trip,”“Missed Trip,”and On-time Pick-Up,”to correspond with the above definition for “Early Pickup”and the reduced 30 minute pickup window. ·Addition of separate “On-time Performance”and “Late Trip”tables that adjust for tightened performance windows (above),provide more realistic and achievable performance standards,and progressively increase severity of incentives/disincentives based on the degree the contractor deviates from the performance standard. ·Removal of “Average Telephone Hold Times”measure to address FTA concerns about weaknesses in use of averages to measure performance (“Single Customer On-Hold” measure adequately addresses performance). ·Adjustment of ride-time policy and addition of an associated performance measure that ties ride times to comparable fixed-route lengths.This to address auditor findings that ride length needs to be monitored to ensure performance relative to fixed route services and that trip lengths are not excessive. ·Addition of a drop-off time performance standard to ensure passengers with an appointment not later than the specified appointment time.This is to address auditor findings that there is an implicit obligation to get riders to appointments on time or early, rather than late. ·Removal of Service Delivery Failure Measure based on FTA comments (“Late trip”and City of Fresno Printed on 12/16/2022Page 2 of 4 powered by Legistar™ File #:ID#14-366 Agenda Date:10/9/2014 Agenda #:1-B ·Removal of Service Delivery Failure Measure based on FTA comments (“Late trip”and “Missed Trip” measures adequately address performance). ·Addition to City roles and responsibilities to “ensure compliance with all requirements of the ADA.” This is added to explicitly state ADA compliance in required. ·Addition of statements explicitly prohibiting restriction or prioritization of ADA trips based on trip purpose to address auditor concerns that preference might be given based on passenger preference (this is strictly prohibited by DOT/ADA regulations). ·Removal of references to the “Guide to Ride”and instead reference “City of Fresno Handy Ride policies and procedures”since the “Guide to Ride”is a document directed to riders and does not necessarily encompass all Handy Ride contractor requirements. In addition to revisions made to address audit findings,Department of Transportation staff and the subcontractor have identified other necessary revisions to the contract: ·Correction of system productivity standard (Passengers per Vehicle Service Hour)in the performance standards table to coincide with estimated productivity levels specified under section 2.1 of the contract. ·Addition of a table that defines productivity levels on actual passenger trips (contractor has minimal control over number of passenger trips and therefore productivity goals should be adjusted based on actual ridership) ·Revision of maintenance manager qualifications to: o Recognize comparable management experience in non-paratransit bus facilities and not limit experience to the narrow paratransit maintenance industry.This provides for a much larger pool of qualified candidates and is comparable to City hiring practices for similar positions.Note:The City maintains the ability to determine if qualifications are comparable. o Allow an associate degree/2-year certificate in automotive/truck repair from an accredited college may be substituted for work experience on a year-per -year basis. This is consistent with City hiring processes. These changes will allow the City to address many of the concerns addressed in the FTA Office of Civil Rights audit;revise key performance measures,incentives,and disincentives to make more realistic; and in general clean up some additional deficiencies/errors within the contract document. ENVIRONMENTAL FINDING By the definition in the California Environmental Quality Act (CEQA)Guidelines Section 15378 the amendment of a service contract does not qualify as a “project” as defined by CEQA. LOCAL PREFERENCE Local preference not implemented because the amendment of an agreement is not subject to a competitive bid process. FISCAL IMPACT Incentives are added to the contractor’s monthly invoice and disincentives,deducted.While exceeding standards or failing to meet specific performance,criteria would trigger these incentives City of Fresno Printed on 12/16/2022Page 3 of 4 powered by Legistar™ File #:ID#14-366 Agenda Date:10/9/2014 Agenda #:1-B exceeding standards or failing to meet specific performance,criteria would trigger these incentives and disincentives,and potentially increase or decrease the annual cost of the contract.The intent of the incentive and disincentive provisions is to ensure compliance and customer satisfaction,not overly reward or unjustly penalize the contractor.The department may see a reduction in the amounts withheld from the contractor’s monthly invoice if performance measures are better achieved; however,appropriations for FY14 and FY15 were budgeted using the full award amount with no incentives/disincentives. Attachment: Amendment No. 2 to Agreement between City of Fresno and Diversified Transportation LLC City of Fresno Printed on 12/16/2022Page 4 of 4 powered by Legistar™ 1 AMENDMENT NO. 2 TO AGREEMENT BETWEEN THE CITY OF FRESNO AND DIVERSIFIED TRANSPORTATION, LLC, DBA KEOLIS TRANSIT AMERICA FOR PARATRANSIT SERVICES (HANDY RIDE) THIS AMENDMENT NO. 2 TO CONTRACT (“Amendment”), is made and entered into effective ________, 2014, by and between the CITY OF FRESNO, a California municipal corporation (“CITY”), and DIVERSIFIED TRANSPORTATION SERVICES, LLC, A California Limited Liability Company, dba KEOLIS TRANSIT AMERICA (“CONTRACTOR”). RECITALS WHEREAS, CITY and CONTRACTOR entered into an agreement, dated February 14, 2013, for Paratransit Services, and an amendment dated February 13, 2014 (“Agreement”); and WHEREAS, the parties desire to revise such portions of the contract relating to the SCOPE OF WORK and HANDY RIDE SERVICE STANDARDS. AGREEMENT NOW THEREFORE, in consideration of the above recitals, which recitals are contractual in nature, the mutual promises herein contained, and for the other good and valuable considerations hereby acknowledged, the parties agree as follows: 1. Add a definition for “EARLY PICK-UP”: “Early Pick-up” shall mean the driver arrived at the pickup location and the passenger elected to board and leave before the negotiated pick -up time. Early pick-ups must be tracked separately and shall not be included in On- Time Performance tracking.” 2. Change the definition of “LATE TRIP” from: “Late Trip” shall mean an occurrence when the vehicle arrives more than 30 minutes but less than 60 minutes after the scheduled pick-up time and the passenger chooses to board the vehicle and take the trip. To read: “Late Trip” shall mean an occurrence when the vehicle arrives more than 30 minutes after the scheduled pick-up time and the passenger chooses to board the vehicle and take the trip. 3. Change the definition of “MISSED TRIP” from: “Missed Trip” shall mean an occurrence when the vehicle arrives outside of the 35 minute pickup window and the rider is not there or decides not to take the trip. This applies to arriving more than 5 minutes before the pickup time and leaving before the pickup time without the customer as well as arriving more than 30 minutes after the scheduled time. 2 To read: “Missed Trip” shall mean an occurrence when the vehicle arrives outside of the 30 minute pick-up window and the rider is not there or decides not to take the trip. This applies to arriving before the pick-up time and leaving before 5 minutes after the pick-up time without the customer as well as arriving more than 30 minutes after the scheduled time. 4. Change the definition of “ON-TIME PICK-UP” from: “On-Time Pick-up” For paratransit services, a vehicle shall be on-time if it arrives at the designated pickup location no more than 5 minutes prior to the scheduled pickup time or no more than 30 minutes after that time. To read: “On-Time Pick-up” For paratransit services, a vehicle shall be on-time if it arrives at the designated pick-up location and leaves at any time within the designated pick-up window or arrives no more than 30 minutes after the scheduled pick-up time. 5. Change the definition of “TRIP DENIAL” from: “Trip Denial” Under guidelines established by the ADA, a paratransit service provider is allowed to negotiate trip times with a customer up to 1 hour before and 1 hour after the originally requested trip time, except for “time certain” drop- off and pick-up times when the customer must arrive at or within 1 hour before but no later than the specified time or cannot be picked -up until after a specified time (e.g. medical appointments, work start and end times). If an available trip cannot be located with the 2-hour time window (or 1 hour before the requested time for time certain deliveries or 1 hour after a time -certain pick-up), whether the customer accepts the offered trip or not, this represents a trip denial. To read: “Trip Denial” Under regulations established by the ADA, a paratransit service provider is allowed to negotiate trip times with a customer up to 1 hour before and 1 hour after the originally requested trip time, except for “time certain” drop - off and pick-up times when the customer must arrive at or within 1 hour before but no later than the specified time or cannot be picked -up until after a specified time (e.g. medical appointments, work start and end times). If an available trip cannot be located with the 2-hour time window (or 1 hour before the requested time for time certain deliveries or 1 hour after a time -certain pick-up), whether the customer accepts the offered trip or not, this represents a trip denial. 6. Add p. to “1. General Roles and Responsibilities”: “1.3 The City’s designated staff will manage services proposed pursuant to this solicitation. The City’s roles and responsibilities shall include: p. Ensure compliance with all requirements of the ADA. 3 7. Change section 6.1 under “Reservations, Scheduling and Dispatching” from: 6.1 Compliance with ADA and Handy Ride Policies Contractor shall implement and administer reservations, scheduling and dispatch procedures that shall be in compliance with Americans with Disabilities Act complementary paratransit requirements, as may be amended and modified by the Federal Transit Administration, and City of Fresno Handy Ride policies as presented in the Handy Ride Guide to Ride. To read: 6.1 Compliance with ADA and Handy Ride Policies Contractor shall implement and administer reservations, scheduling and dispatch procedures that shall be in compliance with Americans with Disabilities Act complementary par transit requirements, as may be amended and modified by the Federal Transit Administration, and City of Fresno Handy Ride policies and procedures. DOT ADA regulations prohibit restricting or prioritizing ADA trips based on trip purpose. All customers and trips will be treated equally. 8. Change section 6.2 under “Reservations, Scheduling and Dispatching” from: 6.2 Reservations Eligible riders will be asked to contact Handy Ride at least one (1) day and up to two (2) days in advance to make a trip reservation. When placing a trip request, riders will be requested to give point of origin, point of destination and number of persons in the party. Upon making a trip reservation, riders will be advised of the promised pickup time for their trip and advised that the Handy Ride vehicle may arrive from 5 minutes before to 30 minutes after that promised time. In accordance with the ADA, call takers shall negotiate the pickup time for a requested trip up to one hour before to one hour after the requested travel time unless the rider indicates a delivery time or pickup time constraint which prohibits their being delivered or picked up either before or after a specific time. In the event of a delivery or pick up time constraint, the following policies shall apply: i. No-later-than Delivery: If an appointment time has been specified, the reservationist will offer one or more pickup windows that will ensure that the customer arrives within 30 minutes of and not later than the specified appointment time. Depending upon travel distance and other customer trips already scheduled for that service day, the pickup window may begin as much as 90 minutes prior to the specified appointment time in order to ensure that the customer will not be traveling on the Handy Ride vehicle for more than 1 hour prior to his/her arrival time. The appointment time must be entered into Trapeze and must be printed on the driver manifests. ii. No-earlier-than Delivery: If the customer is unable to arrive at a location prior to a specified time, the reservationist will offer one or more pickup windows that will ensure that the customer will arrive not 4 before and no more than 30 minutes after the specified early arrival time. Depending upon travel distance and other customer trips already scheduled for that service day, the pickup window may begin as much as 60 minutes prior to the specified opening time in order to ensure that the customer will not be traveling on the Handy Ride vehicle for more than 1 hour prior to arrival time. iii. No-later-than Pick-up: If a customer must leave a location no later than a specified time, i.e. a facility closes at 6 p.m., the reservationist will offer one or more pickup windows that will ensure that the customer is picked up not later than and up to 60 minutes prior to the specified closing time. iv. No-earlier-than Pick-up: If the Customer has requested not to leave his/her pick up location before a specified time, the reservationist may offer one or more pick up window choices, for which the start of the window is after the specified time. To read: 6.2 Reservations Eligible riders will be asked to contact Handy Ride at least one (1) day and up to two (2) days in advance to make a trip reservation. When placing a trip request, riders will be requested to give point of origin, point of destination and number of persons in the party. Upon making a trip reservation, riders will be advised of the promised pickup time for their trip and advised that the Handy Ride vehicle may arrive from the appointment time to 30 minutes after that promised time. Contractor will not be permitted to restrict or prioritize ADA trip requests based on trip purpose. In accordance with the ADA, call takers shall negotiate the pickup time for a requested trip up to one hour before to one hour after the requested travel time unless the rider indicates a delivery time or pickup time constraint which prohibits their being delivered or picked up either before or after a specific time. In the event of a delivery or pick up time constraint, the following policies shall apply: i. No-later-than Delivery: If an appointment time has been specified, the reservationist will offer one or more pickup windows that will ensure that the customer arrives within 30 minutes of and not later than the specified appointment time. Depending upon travel distance and other customer trips already scheduled for that service day, the pickup window may begin as much as 90 minutes prior to the specified appointment time in order to ensure that the customer will not be traveling on the Handy Ride vehicle for more than 1 hour prior to his/her arrival time. The appointment time must be entered into Trapeze and must be printed on the driver manifests. ii. No-earlier-than Delivery: If the customer is unable to arrive at a location prior to a specified time, the reservationist will offer one or more pickup windows that will ensure that the customer will arrive not 5 before and no more than 30 minutes after the specified early arrival time. Depending upon travel distance and other customer trips already scheduled for that service day, the pickup window may begin as much as 60 minutes prior to the specified opening time in order to ensure that the customer will not be traveling on the Ha ndy Ride vehicle for more than 1 hour prior to arrival time. iii. No-later-than Pick-up: If a customer must leave a location no later than a specified time, i.e. a facility closes at 6 p.m., the reservationist will offer one or more pickup windows that will ensure that the customer is picked up not later than and up to 60 minutes prior to the specified closing time. iv. No-earlier-than Pick-up: If the Customer has requested not to leave his/her pick up location before a specified time, the reservationist may offer one or more pick up window choices, for which the start of the window is after the specified time. v. If a reservationist or dispatcher is unable to schedule the pick up within the requirements stated above, the trip must be coded as a denial whether the customer accepted the trip or not. If only one leg of a round trip can be reserved and the rider declines the trip, it must be tracked as 2 denials. 9. Change section 6.2 under “Reservations, Scheduling and Dispatching” from: 6.3 Scheduling Within the requirements established by the ADA, Contractor’s scheduling staff will organize trip requests for Handy Ride service so as to meet or exceed the service standards defined herein. Handy Ride shall be operated as a shared-ride service. City will provide Contractor with Trapeze software and operating licenses for use in the reservations, scheduling and dispatch of Handy Ride paratransit services. Contractor will be required to provide the technical expertise and support staff necessary to:  train Handy Ride staff as needed in the use of Trapeze;  provide customized performance reports and operating data;  ensure that Handy Ride scheduling staff are knowledgeable of and apply the tools and techniques in Trapeze designed to optimize vehicle schedules; and  monitor the use of Trapeze and the performance on Handy Ride services on at least a semi-annual basis and identify potential improvements and opportunities for retraining and specialized training. 6 To read: 6.3 Scheduling Within the requirements established by the ADA, Contractor’s scheduling staff will organize trip requests for Handy Ride service so as to meet or exceed the service standards defined herein. Handy Ride shall be operated as a shared-ride service. Schedulers may NOT alter the scheduled pick-up time without contacting the customer. Any changes made to the scheduled time that is outside the requirements as listed above will be considered and tracked as a trip denial. City will provide Contractor with Trapeze software and operating licenses for use in the reservations, scheduling and dispatch of Handy Ride par transit services. Contractor will be required to provide the technical expertise and support staff necessary to:  train Handy Ride staff as needed in the use of Trapeze;  provide customized performance reports and operating data;  ensure that Handy Ride scheduling staff are knowledgeable of and apply the tools and techniques in Trapeze designed to optimize vehicle schedules; and  monitor the use of Trapeze and the performance on Handy Ride services on at least a semi-annual basis and identify potential improvements and opportunities for retraining and specialized training. 10. Add section 6.6 as follows: 6.6 Ride Time Policy: For Handy Ride trips, acceptable on-board travel times as compared to similar Fixed Route trips shall be computed as shown below. As a goal, 100% of Handy Ride trips will have a ride time of 90 minutes or less. Fixed Route Travel Time Acceptable Handy Ride Trip Times 0-30 minutes Fixed Route time + 50% 31 – 60 minutes 45 minutes or Fixed Route time + 25%, whichever is greater > 60 minutes 75 minutes or Fixed Route time + 10%, whichever is greater 11. Change 7.3 Incentives and Disincentives from: Performance Measure Definition Standard Incentive Disincentive Passengers per Vehicle Service Hour The average number of unlinked passenger trips completed per vehicle service hour operated. City may increase standard by 0.1 upon third consecutive month of achieving incentive. 2.3 or greater $2,500 per month at 2.4 or higher productivity $2,500 per month at less than 2.2 productivity 7 On-Time Performance Percentage of pick-ups made within 5 minutes before to 30 minutes after the scheduled time. City may increase standard by 1.0% upon third month of achieving incentive. Ninety-One percent (91%) $500 for each month at 95% or above $500 monthly for each percent at or below 90% on-time Average Telephone Hold Time Average time telephone calls to the Handy Ride call center are kept on hold Less than 90 seconds $500 for each month at less than 60 second average hold time $500 for each month above 90 second average hold time Single Customer On Hold Length of time an individual customer is on hold 95% of calls answered in 3 minutes, 99% of calls in five minutes None Calculated Monthly at $10 per call each hold length for over 5 minutes outside of the 1% allowed, with daily penalties capped per Table A. Will-Call Wait Time The maximum time between a will- call passenger’s call to be picked-up and the vehicle’s arrival. Ninety percent 90% within 90 minutes None None Ride Time The average ride time between pick- up and drop-off. 75% within 60 minutes 100% within 90 minutes None None Trip Denials Failure to negotiate an acceptable trip within ADA guidelines. See “Trip Denial” definition above. Zero denials None None Late Trips Vehicle arrival more than 30 minutes but less than 60 minutes after the scheduled pick-up time and passenger chooses to take the ride. No more than 5% of all scheduled trips per month None $50 for each late trip exceeding standard Missed Trip Vehicle arrival more than 30 minutes but less than 60 minutes after the scheduled pick-up time and passenger does not appear or chooses not to ride. No more than 2% of all scheduled trips per month None $50 for each missed trip exceeding standard 8 Service Delivery Failures Failure to arrive within 61 minutes after the scheduled pick-up time, whether or not the passenger is transported. Zero service delivery failures None $500 for each service delivery failure >20 in a month Road Calls Average number of vehicle service miles between road calls. (to be determined) None None To read: Table A. Performance Measure Definition Standard Incentive Disincentive Passengers per Vehicle Service Hour The average number of unlinked passenger trips completed per vehicle service hour operated. City may increase standard by 0.1 upon third consecutive month of achieving incentive. Per Table B $250 per month for each one hundredth (0.01) above range established in Table B. $250 per month for each one hundredth (0.01) above range established in Table B. On-Time Performance Percentage of pick-ups made from the negotiated pick-up time to 30 minutes after the negotiated time. City may increase standard by 1.0% upon third consecutive month of achieving incentive. Ninety-One percent (91%) Incentives per Table C Disincentive s per Table C On-Time Drop- off Performance For time certain delivery or drop- offs, the percentage of drop-offs arriving within 30 minutes of and not later than the specified appointment time. No less than 95% of trips with a defined delivery time will be performed on time. None None Single Customer On Hold Length of time an individual customer is on hold 95% of calls answered in 3 minutes, 99% of calls in 5 minutes, 100% in 7 minutes None Calculated Monthly at $10 per call each hold length for over 5 minutes outside of the 1% allowed, with daily penalties capped per Table A. 9 Will-Call Wait Time The maximum time between a will- call passenger’s call to be picked-up and the vehicle’s arrival. 90% within 90 minutes, 100% within 120 minutes None None Ride Time The time rider is on the vehicle between pick-up and drop-off. See Ride Time Policy pg. 56. Of trips sampled 100% must be within the defined acceptable travel time, 100% less than 90 minutes. None None Trip Denials Failure to negotiate an acceptable trip within ADA regulations. See “Trip Denial” definition above. Zero denials None None Late Trips Vehicle arrival more than 30 minutes after the scheduled pick-up time and passenger chooses to take the ride No more than 5% of all scheduled trips per month Incentives per Table D. Disincentive s per Table D. Missed Trip Vehicle arrival more than 30 minutes after the scheduled pick-up time and passenger does not appear or chooses not to ride No more than 2% of all scheduled trips per month None $50 for each missed trip exceeding standard Road Calls Average number of vehicle service miles between road calls. (to be determined) None None 12. Change 10.5(e)(i) “Reservations, Scheduling and Dispatch Staff” From: i. Handy Ride policies and procedures as summarized in the Handy Ride Guide to Ride, most current version; To read: i. Handy Ride policies and procedures; ii. 13. Add Table B to Section 7.3 below to reflect an expected “AVERAGE PASSENGER PRODUCTIVITY” scale based on overall Handy Ride system ridership. Incentives/disincentives shall be applied for performance outside stated ranges. 10 Table B. Total Passenger trips Average Passenger Productivity 200,000 to < 210,000 2 to 2.1 210,000 to < 220,000 2.1 to 2.2 220,000 to < 230,000 2.2 to 2.3 230,000 to < 240,000 2.3 to 2.4 240,000 to < 250,000 2.4 to 2.5 250,000 or greater 2.5 14. Add Table C to Section 7.3 below to apply “ON-TIME PERFORMANCE” incentive/disincentives. Incentives/disincentives shall be applied for performance outside stated ranges. Table C. On-Time Performance (%) % over/ under 90% Monthly (Dis)incentive PER PERCENTAGE POINT (%) over/under 99 or greater (9) - (10) $(5 00) Incentive 97 to <99 % (7) - (8) $(4 00) 95 to <97 % (5) - (6) $(3 00) 93 to <95 % (3) - (4) $(2 00) 91 to <93 % (1) - (2) $(1 00) 90 to <90 % 0 0 88 to <89 % 1 - 2 $50 Disincentive 85 to <88% 3 - 5 $10 0 82 to <85 % 6 - 8 $15 0 78 to <82% 9 - 12 $20 0 74 to <78 % 13 16 $25 0 70 to <74% 17 - 20 $30 0 Less than 70% 21 - up $50 0 *Numbers in Parenthesis indicate incentives 11 15. Add Table D to Section 7.3 below to apply “LATE TRIPS” incentive/disincentives. Incentives/disincentives shall be applied for performance outside stated ranges. Table D. % Late Incentive/ Disincentive 0 to <2 $ 10,000.00 Incentive 2 to <3 $ 6,000.00 3 to <4 $ 3,000.00 4 to <5 $ 1,000.00 5 to <6 $ - 6 to <7 $ 1,000.00 Disincentive 7 to <8 $ 3,000.00 8 to <9 $ 6,000.00 9 to <10 $ 10,000.00 10 to <11 $ 15,000.00 11 to <12 $ 21,000.00 12 to <13 $ 28,000.00 13 to <14 $ 36,000.00 14 to <15 $ 45,000.00 16. Change “Qualifications of Maintenance Manager” from: 16.3 Maintenance Management a. The CONTRACTOR shall designate and provide the services of a qualified Maintenance Manager/Foreman, subject to the approval of CITY. This individual may be the lead mechanic and shall be assigned to Handy Ride maintenance operations on a full-time basis. The Maintenance Manager/Foreman shall provide proactive resource management including but not limited to preventive maintenance scheduling and supervision, repair supervision, technical training, and such other activities as may be necessary to ensure the performance of CONTRACTOR maintenance duties and responsibilities. b. The Maintenance Manager/Foreman shall have a minimum of three years of experience managing the maintenance functions of a paratransit bus shop similar in size and complexity to the services herein described. c. The Maintenance Manager/Foreman shall have a minimum of five years journeyman level experience with gasoline engines, CNG engines and systems, air conditioning systems, and wheelchair lifts. ……” To read: 16.3 Maintenance Management a. The CONTRACTOR shall designate and provide the services of a qualified Maintenance Manager/Foreman, subject to the approval of CITY. This individual 12 may be the lead mechanic and shall be assigned to Handy Ride maintenance operations on a full-time basis. The Maintenance Manager/Foreman shall provide proactive resource management including but not limited to preventive maintenance scheduling and supervision, repair supervision, technical training, and such other activities as may be necessary to ensure the performance of CONTRACTOR maintenance duties and responsibilities. b. The Maintenance Manager/Foreman shall have a minimum of three years of experience managing the maintenance functions of a paratransit bus shop similar in size and complexity to the services herein described. Comparable experience in non-paratransit bus facilities may be substituted subject to the approval of the CITY. c. The Maintenance Manager/Foreman shall have a minimum of five years journeyman level experience with gasoline engines, CNG engines and systems, air conditioning systems, and wheelchair lifts. An associate degree/2-year certificate in automotive/truck repair from an accredited college may be substituted on a year per year basis. 17. Add 7.3(d) as follows: Performance incentives/disincentives for “ON-TIME PERFORMANCE” and “LATE TRIPS” will be measured for both 35 and 30 minute pickup/delivery windows during the first 120 day period after this amendment becomes effective. During this 120 day period, incentives/disincentives for these measures will be applied using a 35 minute pickup/delivery window to allow the contractor to adjust operational schedules and policies as necessary. At the completion of this 120 day adjustment period, ON-TIME PERFORMANCE” and “LATE TRIPS” incentives will be applied using the revised 30 pickup/delivery window. 18. Except as otherwise provided herein, the Agreement entered into by CITY and CONTRACTOR, dated February 14, 2013, and amended dated February 13, 2014, remains in full force and effect. / / / 13 IN WITNESS WHEREOF, the Parties have executed this Contract Amendment No. 2 in Fresno, California, on the day and year first above written. CITY OF FRESNO, a California municipal corporation By Name: Title: ATTEST: YVONNE SPENCE, CMC City Clerk By: Deputy APPROVED AS TO FORM: City Attorney’s Office By: Brandon M. Collet Date Deputy City Attorney DIVERSIFIED TRANSPORTATION SERVICES, LLC., (dba KEOLIS TRANSIT AMERICA) a California Limited Liability company By: Name: Title: (if corporation or LLC, Board Chair, Pres. or Vice Pres.) By: Name: Title: (if corporation or LLC, CFO, Treasurer, Secretary or Assistant Secretary) City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-376 Agenda Date:10/9/2014 Agenda #:1-C REPORT TO THE CITY COUNCIL October 9, 2014 FROM:JERRY P. DYER, Chief of Police Police Department BY:ROBERT A. NEVAREZ, Deputy Chief Police Department SUBJECT: Approval for a two-year contract between Fresno City College and the City of Fresno for contract instruction, assessment services and training credit RECOMMENDATION Staff recommends that the City Council approve a two-year contract between Fresno City College and the Fresno Police Department for contract instruction,training credit and assessment services. This two-year contract will authorize a $3.50 fee per instructional hour per student received from Fresno City College. EXECUTIVE SUMMARY The Fresno City College Police Academy has served as the Police Department’s contracted instructor since 1997,providing training credit for employees.Pursuant to Section 3,subpart “a”of the Master Agreement,the parties wish to continue the agreement for two additional years and maintain the $3.50 fee per instructional hour per student received from Fresno City College.Training remains a high priority for the Department despite budget constraints.This Master Agreement allows the current funding stream for employee training to continue uninterrupted from July 1,2014, through June 30,2016.In this “win-win”scenario,Fresno City College receives funding for student enrollment and the Police Department receives a portion of that funding for providing students who are mandated to receive the training. BACKGROUND The Fresno City College Police Academy has served as a training provider for the Police Department since 1997,providing training,course credit,and payment for instructional hours.Fresno City College additionally processes all related documentation such as course registration,payment City of Fresno Printed on 12/16/2022Page 1 of 2 powered by Legistar™ File #:ID#14-376 Agenda Date:10/9/2014 Agenda #:1-C College additionally processes all related documentation such as course registration,payment processing,and the updating of student records.This long-standing partnership benefits the Police Department as it allows for a small percentage of instructional costs to be returned to the Department,extending the Department training budget,and furthering the Department’s ability to provide training opportunities for employees and outside agencies.Fresno City College benefits from increased student usage,and attendance ratings.The City Attorney’s Office has reviewed and approved as to form the proposed Agreement. ENVIRONMENTAL FINDINGS N/A LOCAL PREFERENCE N/A. This is not a competitive bid award. FISCAL IMPACT It is anticipated this agreement will generate approximately $80,000 annually to off-set debt service at the Fresno Police Department Regional Training Center. JPD:RAN:TL:rb 09/09/14 Attachment: Master Agreement Contract City of Fresno Printed on 12/16/2022Page 2 of 2 powered by Legistar™ 1 MASTER AGREEMENT BETWEEN FRESNO CITY COLLEGE AND CITY OF FRESNO INSTRUCTIONAL SERVICE AGREEMENT This Agreement is made and entered into this_____day of _________, 2014 by and between Fresno City College (FCC), a college of the State Center Community College District (SCCCD) and the City of Fresno, a municipal corporation (CITY). WITNESSETH: WHEREAS, FCC is authorized by the California Education Code (Education Code) and Title 5 of the California Code of Regulations (Title 5), to conduct Contract Instruction, Assessment and Counseling Services to serve community needs; and WHEREAS, CITY desires to contract with FCC for services as identified herein; and WHEREAS, the parties intend that this Agreement provide for the mutual cooperation of FCC and CITY in the provision of quality instruction and training to meet community needs. AGREEMENT NOW, THEREFORE, in consideration of the foregoing and of the covenants, conditions, and promises hereinafter contained to be kept and performed by the respective parties, FCC and CITY mutually agree as follows: Section 1. RESPONSIBILITIES OF FCC a.FCC shall offer approved educational courses through its various programs to meet the needs of the CITY’s Police Department (FPD). b.FCC shall provide a coordinator to work with FPD. Said coordinator shall act as the FPD co-director for all FCC affiliated educational courses. Under no circumstances, however, shall the coordinator have authority over the remaining operations of FPD, including but not limited to, personnel issues concerning FPD employees, operational budget, or the use, maintenance, or scheduling of FPD facilities. c.FCC and FPD will mutually ensure that ancillary and support services are provided for the students. (e.g. Counseling, Guidance, & Placement Assistance) 2 d.FCC shall assist the FPD in registration and other support services to students in order to adequately manage and control its course offerings. e.FCC shall approve of the selection of instructors and facilitators and evaluate the quality of instruction to ensure that it meets the needs of the students and the accreditation requirements of FCC. FCC shall have the primary right to control and direct the instructional activities of all instructors. f.FCC shall ensure that course offerings meet all appropriate requirements of the Education Code and Title 5. g.FCC shall consult the FPD on any revisions to existing FCC courses designed for the FPD program, initiation of new courses, or any other changes, in order to ensure the quality of educational services and to meet the needs of the FPD. h. FCC shall provide the use of its facilities and equipment free of charge for use by the FPD, on an as-needed, space available basis for affiliated programs. FCC shall attempt to provide use of said facilities and equipment during normal business hours. i.FCC shall demonstrate control and direction through such actions as: providing the instructor of record an orientation, instructor’s manual, Title 5 course outlines, curriculum materials, testing and grading procedures and any other materials and services it would provide its hourly instructors on campus. j. FCC shall waive the health fee for all FPD students. k.By signing this Agreement, FCC certifies that it does not receive full compensation for direct education costs of the course from any public or private agency, individual or group. Section 2. RESPONSIBILITIES OF FPD a.FPD shall provide classroom space for use as off-campus sites by FCC, free of charge for affiliated programs. FPD shall attempt to provide use of said facilities during normal business hours. b.FPD shall provide instructors, facilitators, equipment, materials, day-to-day management support, and all other related overhead necessary to conduct FCC’s affiliated educational programs. 3 c. FPD shall cooperate with FCC to ensure that all personnel, equipment, and materials used in carrying out its responsibilities under this Agreement conform to Education Code and Title 5 mandated standards governing instructional programs, including minimum qualifications for instructors. d.CITY shall use the money received as compensation for services under this Agreement for educational and training related purposes as they relate to law enforcement training programs. e.FPD shall assist FCC in collecting all instructional fees associated with the class offerings under this Agreement. f. Records of student attendance and achievement shall be maintained by FPD. Records will be open for review at all times by officials of the college and submitted on a schedule developed by FCC. g.By signing this Agreement, CITY certifies the training facility is open to the public and that the instructional activity to be conducted will not be fully funded by other sources. Section 3. PAYMENT FOR SERVICES a.In consideration for the services provided herein, FCC shall pay CITY $3.50 per student instructional hour that is eligible for state general apportionment. b.For fiscal year 2014/2015, (for purposes of this Agreement, “fiscal year” begins July 1 and ends June 30) said hours shall not exceed 52,500 Student Instructional Hours or 100 Full Time Equivalent Students (FTES), unless mutually agreed prior to May 1, 2015. The same limits shall apply in each subsequent fiscal year, unless otherwise agreed in writing by the parties. c.Any subsequent year’s student instructional hour cap shall be determined at lease sixty (60) days prior to the start of the next fiscal year. d.CITY shall present FCC with a valid invoice of all mutually agreed upon instructional hours presented under this Agreement and FCC shall pay CITY the agreed contract price within 45 days. The registration fees for courses under this contract will be deducted from the total amount of said invoice. FCC shall consider this payment for the registration fees and CITY shall consider the contracted price, minus the registration fees, as payment in full. e.Instructional hours are defined as those hours that are reported on SCCCD’s CCFS-320, California Community Colleges Apportionment 4 Attendance Reports, and are subject to audit by SCCCD’s independent auditor and the California Community Colleges Chancellor’s Office. Section 4. INDEMNIFICATION a.CITY shall indemnify, hold harmless and defend FCC, and each of its officers, officials, agents, and volunteers from and all loss, liability, fines, penalties, forfeitures, costs and damages (whether in contract, tort or strict liability, including but not limited to personal injury, death at any time and property damage) incurred by CITY, FCC or any other person, and from and from any and all claims, demands and actions in law or equity (including attorney’s fees and litigation expenses), arising or alleged to have arisen directly or indirectly from the negligent or intentional acts or omissions of CITY or any of its officers, officials, employees, agents or volunteers in the performance of this Agreement; provided nothing herein shall constitute a waiver by CITY of governmental immunities including California Government Code Section 810 et seq. b.FCC shall indemnify, hold harmless and defend CITY and each of its officers, officials, employees, agents and volunteers from any and all loss, liability, fines, penalties, forfeitures, costs and damages (whether in contract, tort or strict liability, including but not limited to personal injury, death at any time and property damage) incurred by the CITY, FCC or any other person, and from any and all claims, demands and actions in law or equity (including attorney’s fees and litigation expenses), arising or alleged to have arisen directly or indirectly from the negligent or intentional acts or omissions of FCC or any of its officers, officials, employees, agents or volunteers in the performance of this Agreement; provided nothing herein shall constitute a waiver by FCC of governmental immunities including California Government Code Section 810 et seq. c.In the event of concurrent negligence on the part of FCC or any of its officers, officials, employees, agents or volunteers, and CITY or any of its officers, officials, employees, agents or volunteers, the liability for any and all such claims, demands and actions in law or equity for such losses, fines, penalties, forfeitures, costs and damages shall be apportioned under the State of California’s theory of comparative negligence as presently established or as may be modified hereafter. d.This section shall survive expiration or termination of this Agreement. Section 5.INSURANCE a.Each party shall insure its activities in connection with this Agreement and maintain at all times insurance in coverage and limit amounts reasonably 5 necessary to protect itself against injuries and damages arising from the acts or omissions caused by each party, their respective Boards, officers, employees and agents in the performance of this Agreement. This insurance requirement may be satisfied through a program of self- insurance, or insurance coverage afforded to public entities through a Joint Powers Authority (JPA) risk pool. Section 6. MISCELLANEOUS a.If any of the provisions of this Agreement are found to be, or become contrary to State law or regulations, or court decisions, FCC and CITY agree that the Agreement shall be renegotiated as it relates to said provision, but the remainder of the Agreement shall remain in full force and effect. b.The term of this Agreement shall be retroactive to July 1, 2014, and shall terminate on June 30, 2016. Notwithstanding the foregoing, this Agreement may be terminated at any time, with or without cause, upon written notice given to the other party at least thirty (30) days prior to the end of the term in which classes are currently in session. In the event of such termination, each party shall fully pay and discharge all obligations accruing to the other party up to and including the date of termination. Neither party shall incur any additional liability to the other by reason of such termination. c.Either party hereto maintains the right to cancel services prior to the beginning of each course at no cost to either party to this Agreement. d.CITY and FCC will not discriminate in the selection of any student to receive instruction pursuant to this Agreement because of race, creed, color, national origin, sex, disability (physical or mental), religion, age or any other characteristic prohibited by law. e.The parties agree that no action, at law or equity, including an action for declaratory relief, shall be brought unless the underlying claim and/or cause of action has been submitted to non-binding arbitration before a mutually acceptable arbitrator appointed by the Judicial Arbitration and Mediation Service. f.FCC has the primary right to control and direct the activities of the person or persons furnished by the CITY during the term of the Agreement. g.This Agreement supersedes any and all other agreements, oral or written, between the parties hereto with respect to the use of the aforesaid facilities or services and contains all covenants and agreements between the parties with respect hereto. Each party to this Agreement 6 acknowledges that no representations, inducements, promises or agreements, oral or otherwise, have been made by any party, or by anyone acting on behalf of any parties, which are not embodied herein, and that no other agreement, statement, or promise not contained herein shall be valid or binding. Any modification to this Agreement shall be effective only if it is in writing and signed by the CITY and FCC in the form of an amendment to this Agreement. h.Notice or correspondence required by this Agreement shall be delivered personally or by United States mail as follows: To FCC Richard Lindstrom To FPD Lt. Tom Laband State Center Regional Fresno Police Dept. Training Facility 2326 Fresno Street 1101 E. University Ave.Fresno, Ca. 93721 Fresno, Ca. 93741 i.The specific courses covered under this Agreement are described in Attachments 1 through 29, which are incorporated herein by this reference. j.In addition to the specific courses noted above, the parties may offer additional courses pursuant to this Agreement, on the same terms and conditions as this Agreement. For each additional course of instruction, written agreement to offer the course is required by CITY’s Chief of Police or designee, and the FCC President or designee. The course particulars must be set forth in writing as with the courses listed above, and will become attachments to this Agreement. 7 IN WITNESS WHEREOF, The parties hereto have executed this Agreement to be effective July 1, 2014. City of Fresno, a Municipal Corporation _______________________________ Jerry Dyer, Chief Fresno Police Department Date:________________ APPROVED AS TO LEGAL FORM: _______________________________ Douglas Sloan, Fresno City Attorney Date:_________________ ATTEST: _______________________________ Yvonne Spence, Fresno City Clerk Date:_________________ Fresno City College, a college of the State Center Community College District ________________________________ Mr. Edwin Eng Vice Chancellor Finance and Administration Date:_________________ REVIEWED AND RECOMMENDED FOR APPROVAL ________________________________ Mr. Tony Cantu, President Fresno City College Date:_________________ APPROVED AS TO LEGAL FORM: ________________________________ Gregory Taylor, District Counsel Date:_________________ City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-387 Agenda Date:10/9/2014 Agenda #:1-D REPORT TO THE CITY COUNCIL October 9, 2014 FROM:BRUCE RUDD, City Manager BY:RENENA SMITH, Assistant City Manager SUBJECT Approve lease agreement between the City of Fresno and The Fresno Arts Council for use of the Historic Water Tower located at Fresno and “O” Street (Council District 3) RECOMMENDATION Staff recommends that the City Council approve the lease agreement with The Fresno Arts Council to operate the Historic Water Tower as an art gallery,gift shop and visitor’s center.City Council approval authorizes the City Manager and City Attorney to execute the contract effective November 1, 2014. EXECUTIVE SUMMARY HandsOn Central California (HandsOn)entered into a Lease Agreement with the City of Fresno on September 1,2011,to provide visitor’s services at no net cost to the City.HandsOn paid no rent,but provided all staffing for the Tower and paid all utilities,janitorial and minor maintenance costs for the Tower.The Lease Agreement has expired and The Fresno Arts Council wishes to continue operating the Historic Water Tower, under the same terms, as an art gallery, gift shop, and information center. The Lease Agreement has a term of three (3)years,with two (2)one year extensions and will be effective November 1,2014.Under the lease terms the City will receive no monetary exchange but will benefit by having the downtown icon in use with operating costs paid by The Fresno Arts Council. BACKGROUND HandsOn Central California,a non-profit agency that provides volunteers to various agencies, entered into a Lease Agreement with the City on September 1,2011,and has been operating a Visitor’s Center at no cost to the City.They have been providing tourism-related information and displaying and selling handmade works of art from local Fresno artists.The lease expired on June City of Fresno Printed on 12/16/2022Page 1 of 2 powered by Legistar™ File #:ID#14-387 Agenda Date:10/9/2014 Agenda #:1-D displaying and selling handmade works of art from local Fresno artists.The lease expired on June 30,2014.A month to month lease has been granted to HandsOn pending final authorization.A Request for Information (RFI)was opened on August 8,2014 to determine business interest in the facility. The RFI closed on August 29, 2014 with The Fresno Arts Council as the only respondent. The City of Fresno and The Fresno Arts Council wishes to enter into a new agreement to continue operating Historic Water Tower under the same provisions as provided to HandsOn.The Fresno Arts Council will manage the gallery and daily operations,and work with the many artists who participate in this program.HandsOn will continue to recruit volunteers to work in the Water Tower and the Fresno Cultural Arts Rotary Club will provide support to help cover the PG&E expense. This collaborative will continue to maintain and develop the Visitor’s Center services currently provided to the City of Fresno. ENVIRONMENTAL FINDINGS Staff has performed a preliminary environmental assessment of this project and has determined that it falls within the Categorical Exemption set forth in CEQA Guidelines 15301/Class 1 which exempts projects where there is no expansion of existing use because Fresno Arts Council will be operating the Water Tower on the same terms as the previous operator.Furthermore,Staff has determined that none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines,section 15300.2 apply to this project. LOCAL PREFERENCE N/A FISCAL IMPACT The City will receive no rent from The Fresno Arts Council,however they will pay all operating expenses,including utilities,janitorial,and minor maintenance.The City will continue to provide regular janitorial services at the nearby restrooms and surrounding landscape areas. Attachments: Historic Water Tower Lease Agreement - The Fresno Arts Council RFI Response - The Fresno Arts Council Letters of Support from: Hands-On Fresno Cultural Arts Rotary Club City of Fresno Printed on 12/16/2022Page 2 of 2 powered by Legistar™ LEASE AGREEMENT CITY OF FRESNO HISTORIC WATER TOWER THIS LEASE AGREEMENT (hereinafter referred to as "Lease"), made and entered into effective November 1, 2014, (the “Effective Date”), by and between the CITY OF FRESNO, CALIFORNIA, a municipal corporation, (hereinafter referred to as "City"), and The FRESNO ARTS COUNCIL, a California nonprofit corporation, hereinafter called "Tenant." WITNESSETH WHEREAS, City owns the property commonly known as Fresno and “O” Streets , Fresno, California, (the “Leased Premises”), commonly described as the Historic Water Tower; and WHEREAS, The Fresno Arts Council is a nonprofit corporation who proposes to lease the Historic Water Tower and operate it as an art gallery, gift shop and visitor’s center; WHEREAS, the City deems it advantageous to the public to rent the Leased Premises to Tenant because of the Water Tower’s historical and architectural significance and the educational opportunities associated therewith. NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS CONTAINED HEREIN, THE PARTIES HERETO AGREE AS FOLLOWS: SECTION 1: DESCRIPTION OF LEASED PREMISES. City leases to Tenant “as is,” in its existing physical condition and without warranty, the area commonly described as the Historic Water Tower located at Fresno and “O” Street, Fresno, California, for the purpose of maintaining and operating the Water Tower as a n art gallery, visitor’s center and gift shop for the benefit of the general public. SECTION 2: TERM OF LEASE. The Initial Term of this Lease shall be from the Effective Date through November 1, 2017, with the two one year extensions optional. The parties understand and agree that, during the term of this Lease, the City will actively market the Historic Water Tower in an effort to secure a market rate tenant. At the end of the Initial Term, Tenant shall have a first right of refusal to match the terms of any lease offer secured through the City’s marketing efforts. City shall provide any such offer to Tenant in writing not less than thirty (30) days prior to the end of the Initial Term, and Tenant shall have ten (10) days from receipt thereof to confirm in writing Tenant’s intent t o match the terms of the offer. In the event that the Water Tower is sold to another party and that party does not desire to assume the Lease, the City may terminate this Lease upon providing Tenant with two months’ written notice prior to the date of term ination. SECTION 3: TERMINATION OF LEASE. Notwithstanding any other termination provisions existing herein, in the event that Tenant fails to maintain and operate said premises for the 2 principal purposes for which the same are hereby demised, or fails to maintain reasonable and adequate supervision and maintenance of said premises, or Tenant fails to perform any provision of this Lease, or to comply with any requirement of law or any requirement imposed on Tenant or the Leased Premises by any duly author ized governmental agency or political subdivision, relating to the Tenant’s use or occupancy of the Leased Premises, and further fails to remedy any such faults or defects within ten (10) days after written notice to do so from City, then City may elect to terminate and cancel this Lease as to some or all of the Leased Premises, in the City’s discretion. SECTION 4: RENT. No rent will be paid by Tenant in recognition of their ongoing financial investment in the maintenance and upkeep of the facility, and valuable benefit the operation of the Historic Water Tower Visitor’s Center brings to the community. SECTION 5: USE OF THE LEASED PREMISES. Tenant shall not use or permit the Leased Premises or any part thereof, to be used other than for a n art gallery, visitor’s center and gift shop, and such additional uses as may be approved in advance by City in writing, provided that such use is consistent with operating and maintaining the Historic Water Tower as Visitor’s Center for the benefit of the general public. Except as expressly provided elsewhere in this Lease, programming and all operating costs shall be solely the responsibility of Tenant. Tenant shall have exclusive responsibility and control of programming, hiring of staff, establishing hours of operation, and providing written material for tourism-related purposes. Tenant shall not be permitted to rent the Water Tower to other entities or individuals as a venue for special events or other functions as a means of raising funds to support the mission of the Tenant. Tenant shall have the right to post such signs as are necessary and usual in the conduct of its activities in and upon the Leased Premises, so long as such signs conform to the regulations of the Fresno Municipal Code. SECTION 6: REVENUE. Tenant may retain revenues generated by the Leased Premises, including but not limited to fund-raising revenues, and donations. SECTION 7: RECORDS. Tenant shall maintain adequate records of all visitors to the Tower and other activities carried on by it on the Leased Premises. All such records shall be available for inspection by authorized employees of the City at any reasonable time, and Tenant shall furnish to City upon request above information concerning any operation or operations conducted by it on the Leased Premises, including but not limited to attendance numbers. SECTION 8: ANNUAL REPORTING. City and Tenant agree to meet at least once annually to discuss the following items, which Tenant agrees to provide on an annual basis within 90 days after the close of each annual period: A. A report of the Leased Premises activities in connection with the operation of the Leased Premises. B. A financial statement which includes a balance sheet detailing all assets and liabilities associated with the Leased Premises, and an income statement detailing all revenue and expenses during the year for the Water Tower operations. 3 C. Tenant shall provide a list of Board members and contact information annually and contact information whenever there is a change to membership immediately. D. A report of membership and ongoing fundraising activities associated with the Leased Premises. E. Provide proof of active corporate status. F. Proof of insurance as required in Section 17 of this Lease. SECTION 9: UTILITIES. Tenant shall pay for its electrical, heating, and air-conditioning requirements at the Leased Premises during the term of this Lease. Tenant shall be responsible for its own telephone and security service. City shall furnish all water for lavatory and other purposes without charge. City shall supply to Tenant its reasonable waste disposal requirements by providing a complete and proper arrangement for the sanitary handling and disposal of all trash, garbage, and refuse without charge. SECTION 10: ALTERATIONS AND IMPROVEMENTS. Tenant agrees not to make any alterations or improvements to the Leased Premises without first receiving City’s written approval thereof. Any contract that Tenant enters into to construct improvements shall contain insurance, indemnity, release and assignment provisions acceptable to the City. Except as may be otherwise authorized in writing, any such permanent structural alterations or improvements shall be and remain the property of the City, subject to Tenant’s use therefor during the term of this Lease. Upon expiration of the term of this Lease, or any renewal thereof, or upon the earlier termination thereof, all furnishings and artifacts placed upon the Leased Premises by Tenant shall, at the option of Tenant, become the property of Tenant except as otherwise provided by this Lease. SECTION 11: REPAIRS AND MAINTENANCE. Tenant agrees that it will, at its own cost and expense, keep the Leased Premises and each and every part thereof, excluding lavatory, in good condition and repair during the term of this Lease, and make all cosmetic repairs to the interior of the Leased Premises as the necessity thereof exists, except as otherwise provided in this Section. City agrees to perform and/or provide the following, subject to the terms of this Section and subject to available funding to furnish adequate irrigation water for the upkeep and maintenance of any trees, shrubs and grass within the leased area; a. Mow and edge all lawns within the leased area; b. Trim and fertilize the trees and shrubs located within the leased area and to replace any trees thereon; c. Make interior and exterior structural repairs which are necessary for the health, welfare and safety of the public as determined by the City, except as otherwise set forth herein; d. Maintain exterior lighting; and e. Make all major repairs to plumbing, heating, furnace and air-conditioner. Tenant shall, at all times, cooperate with City to keep the Leased Premises in a neat, clean and orderly condition, and shall prevent the accumulation of an d shall maintain the Leased Premises free from any refuse or waste materials which might constitute a fire hazard or public or private nuisance. Tenant shall also make all structural and non-structural repairs 4 occasioned by the fault of Tenant or its agen ts. Tenant agrees to provide for all necessary maintenance inside the Water Tower and shall also furnish necessary janitorial care therein. City’s obligation to perform any obligation under this Lease shall be contingent upon the appropriation of funds by the City’s governing body sufficient to provide such services or payment during City’s respective fiscal year (July 1 through June 30). The performance of obligations shall be funded only from current funds, budgeted and appropriated, on deposit in a reserve fund, or otherwise legally available for funding such services or other Leased Premises costs. This Lease shall not create an immediate debt for funding all service obligations throughout the term of the Lease, and is not a pledge of City’s full faith and credit. During its annual budgeting process, City shall consider, and will use best efforts to appropriate funding to meet its estimated costs under this Lease for the fiscal year under consideration. SECTION 12: GIFTS TO CITY. During the duration of this Lease, persons may elect to give certain items to the City or Tenant for display in the Water Tower. If any such item is given to the City, Tenant shall permit and cooperate in the display of such items. City and Tenant shall exercise reasonable and good faith judgment in accepting only those items that are consistent with the theme of the Water Tower, Visitor’s Center and for which there is adequate space. City and Tenant shall consult with one another prior to acceptance of any such gift. SECTION 13: SURRENDER. At the expiration of the life of this Lease or any prior termination thereof, Tenant agrees to quietly and peacefully surrender possession of said Leased Premises to the City in a neat and clean condition. City will not be responsible for any equipment and/or supplies left on the Leased Premises. SECTION 14: DEFAULT. If any default is made in the performance of or compliance with any other term or condition hereof, this Lease, at the option of City or Tenant, shall terminate and be f orfeited. City or Tenant shall give ten (10) days written notice of any default or breach. If, within ten (10) days of receipt of such notice, the default or breach has not been remedied to the City’s or Tenant’s satisfaction or City or Tenant has failed to take action reasonably likely to effect such correction within a reasonable time, then this Lease shall be terminated and forfeited. SECTION 15: ABANDONMENT. If at any time during the term of this Lease, Tenant abandons the Leased Premises or any part thereof, City may, at its option, enter the Leased Premises by any means without being liable for any prosecution therefore and without becoming liable to Tenant for damages or for any payment of any kind whatever, and may, at its discretion, relet the Leased Premises, or any part thereof, for the whole or any part of the then unexpired term, and may receive and collect all rent payable by virtue of such reletting. If City’s right of re-entry is exercised following abandonment of the Leased Premises by Tenant, then City may consider any personal property belonging to Tenant and left on the Leased Premises to also have been abandoned, in which case City 5 may dispose of all such personal property in any manner City shall deem proper and is hereby relieved of all liability for doing so. SECTION 16: DESTRUCTION OF LEASED PREMISES. If, during the term of this Lease, the Water Tower or a substantial portion thereof, shall be destroyed by fire or the elements or any other cause, then this Lease shall terminat e at the option of either party and become null and void from the date of notice of termination. In the event the exercise of this option by either party, Tenant shall immediately surrender the premises to City and this Lease shall thereupon terminate. SECTION 17: INDEMNIFICATION AND INSURANCE Notwithstanding any provision of the Agreement to the contrary, and without limiting Tenant’s indemnification, Tenant shall secure and maintain, at its sole cost and expense, during the term of this Agreement, a comprehensive general liability and property damage policy using an occurrence policy form with combined single limits of not less than one million dollars ($1,000,000.00), with no aggregate limit. The City shall be named as an additional insured on the policies by endorsement that shall be attached to this Agreement as proof of insurance. The insurance provided under Tenant’s policies shall be primary, and any insurance maintained by the City shall apply, in excess of, and not contributory with, the insuranc e required under the terms of this Agreement. Tenant shall indemnify, defend and hold harmless the City, its officers, agents employees and members of its governing board, from and against any and all claims, demands, losses, judgments, liabilities, causes of action and expense, including attorney fees and costs, of any kind or nature the District may sustain or incur or which may be imposed upon it for injury to or death of any person, or damage to property, or for any other act(s) of commission or omission arising out of or in any manner related to or connected with Tenant’s (including it officers, agents and employees) performance of or failure to perform the terms of this Agreement. Tenant’s occupancy, maintenance and use of the Leased Premises shall be at Tenant’s sole risk and expense, Tenant accepts all risk relating to Tenant’s: (i) occupancy, maintenance and/or use of the Leased Premises; and (ii) the performance of, or failure to perform, this Lease. City shall not be liable to Tenant for, and Tenant hereby waives and releases City from, any and all loss, liability, fines, penalties, forfeitures, costs or damages resulting from or attributable to an occurrence on or about the Leased Premises in any way related to the Tenant’s operations and activit ies. Tenant shall immediately notify City of any occurrence on the Lease Premises resulting in injury or death to any person or damage to property of any person. The provisions of this Section shall survive termination or expiration of this Lease. Tenant’s Insurance: Throughout the life of this Lease, Tenant shall pay for and maintain in full force and effect all policies of insurance required hereunder with an insurance company(ies) either (i) admitted by the California Insurance Commissioner to do business in the State of California and rated not less than "A - VII" in Best's Insurance Rating Guide, or (ii) authorized by City's Risk Manager. The following policies of insurance are required: 6 (i) COMMERCIAL GENERAL LIABILITY insurance which shall be at least as broad as the most current version of Insurance Services Offices (ISO) Commercial General Liability Coverage Form CG 00 01 and include insurance for “bodily injury,” “property damage” and “personal and advertising injury” with coverage for premises and operation, products and completed operations, and contractual liability with limits of liability of not less than $1,000,000 per o ccurrence and $2,000,000 aggregate for bodily injury and property damage; $1,000,000 per occurrence for personal and a dvertising injury; and $2,000,000 aggregate for products and completed operations. (ii) LIQUOR LIABILITY insurance which shall be at least as broad as the most current version of Insurance Services Office (ISO) Liquor Liability Coverage Form CG 00 33, and include insurance for “bodily injury,” and “property damage” with limits of liability of not less than $1,000,000 per occurrence and $2,000,000 aggregate for bodily injury and property damage. Only required if alcoholic beverages are to be sold, served or furnished on the Leased Premises. (iii) WORKERS’ COMPENSATION insurance as required under the California Labor Code. (iii) EMPLOYERS’ LIABILITY insurance with minimum limits of $1,000,000 each accident, $1,000,000 disease policy limit and $1,000,00 0 disease each employee. Tenant shall be responsible for payment of any deductibles contained in any insurance policies required hereunder and Tenant shall also be responsible for payment of any self-insured retentions. All policies of insurance required hereunder shall be endorsed to provide that the coverage shall not be cancelled, non-renewed, reduced in coverage or in limits except after 30 calendar day written notice has been given to City. Upon issuance by the insurer, broker, or agent of a notice of cancellation, non-renewal, or reduction in coverage or in limits, Tenant shall furnish City with a new certificate and applicable endorsements for such policy(ies). In the event any policy is due to expire during the work to be performed for City, Tenant shall provide a new certificate, and applicable endorsements, evidencing renewal of such policy not less than 15 calendar days prior to the expiration date of the expiring policy. The General Liability and Liquor Liability insurance policies shall be written on an occurrence form and shall name City, its officers, officials, agents, employees and volunteers as an additional insured. Such policy(ies) of insurance shall be endorsed so Tenant’s insurance shall be primary and no contribution shall be req uired of City. Any Workers’ Compensation insurance policy shall contain a waiver of subrogation as to City, its officers, officials, agents, employees and volunteers. Tenant shall have furnished City with the certificate(s) and applicable endorsements fo r ALL required insurance prior to City’s execution of the Lease. If at any time during the life of the Lease or any extension, Tenant fails to maintain any required insurance in full force and effect, all Tenant’s activities under this Lease shall be 7 discontinued immediately, until notice is received by City that the required insurance has been restored to full force and effect and that the premiums therefore have been paid for a period satisfactory to City. Any failure to maintain the required insurance shall be sufficient cause for City to terminate this Lease. No action taken by City pursuant to this section shall in any way relieve Tenant of its responsibilities under this Lease. The fact that insurance is obtained by Tenant shall not be deemed t o release or diminish the liability of Tenant, including, without limitation, liability under the indemnity provisions of this Lease. The duty to indemnify City and its officers, officials, employees, agents and volunteers 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 Tenant. Approval or purchase of any insurance contracts or policies shall in no way relieve from liability nor limit the liability of Tenant, or any of its board, officers, employees, agents, volunteers, invitees, suppliers, vendors, consultants, contractors or subcontractors. Upon request of City, Tenant shall immediately furnish City with a complete copy of any insurance policy required under this Lease, including all endorsements, with said copy certified by the underwriter to be a true and correct copy of the original policy. This requirement shall survive expiration or termination of this Lease. Tenant and its insurers hereby waives all rights of recovery against City and its officers, officials, employees, agents and volunteers, on account of injury, loss by or damage to the Tenant or any of its board, officers, employees, agents, volunteers, invitees, suppliers, vendors, consultants, contractors or subcontractors, or its property or the property of others under its care, custody and control. Tenant shall give notice to its insurers that this waiver of subrogation is contained in this Lease. This requirement shall survive termination or expiration of this Lease. SECTION 18: OBSERVATION OF GOVERNMENTAL REGULATIONS. Tenant agrees, during the life of this Lease, to comply with and conform to all rules, regulation s and ordinances of the City of Fresno and County of Fresno and all laws of the State of California and the United States, and all orders of any governmental agency which shall be applicable to Tenant’s use of the facilities or to the Tenant’s use of the s aid Leased Premises or the business thereon being conducted by Tenant. Nothing in this Lease shall be construed as a limitation on the City’s police power. Tenant acknowledges that Tenant, not the City, is responsible for determining applicability of and complying with all local, state and federal laws. The City makes no express or implied representation as to the applicability or inapplicability of any such laws to this Lease or the parties’ respective rights or obligations hereunder. SECTION 19: PROPERTY TAXES. Tenant acknowledges that any possessory property interest arising by entering this Lease may be subject to property taxation and that Tenant shall pay and property taxes levied on such interest. NOTIFICATION TO TENANT PURSUANT TO CALIFORNIA REVENUE AND TAXATION CODE SECTION 107.6: A 8 POSSESSORY INTEREST SUBJECT TO PROPERTY TAXATION MAY BE CREATED BY ENTERING INTO THIS LEASE AND TENANT MAY BE SUBJECT TO THE PAYMENT OF PROPERTY TAXES LEVIED ON SUCH INTEREST. SECTION 20: CONDITIONS PRECEDENT. Prior to the City’s execution of this Lease, Tenant shall provide to City current proof of its good corporate standing with the California Secretary of State, and proof of its current IRS section 501(c)(3) status. SECTION 21: INSPECTION BY THE CITY. The City or any of its authorized officers and employees shall, at all reasonable times, have the right to enter upon the Leased Premises, either in person or by nominee, for the purpose of inspecting said Leased Premises to ascertain that the Leased Premises and the covenants of this Lease are being kept, observed and performed. SECTION 22: RIGHT TO ASSIGN AND SUBLET. Tenant shall not make any assignment or sub-lease in whole or in part of this Lease without first receiving the written consent and approval of the City. Consent to one or more assignment or sub-lease shall not constitute a waiver of the City’s rights under this section for further or other assignments or sub-leases. SECTION 23: SUCCESSORS AND ASSIGNS BOUND. This Lease shall extend to and bind the heirs, executors, administrators, and assigns of the respective parties hereto. SECTION 24: MISCELLANEOUS. A. This Lease shall be construed and enforced in accordance with the laws of the State of California and venue shall be in Fresno County. B. The City represents that it has the right to lease the Leased Premises described herein, together with all, rights, licenses, services and privileges herein granted and has power and authority to enter into this Lease by virtue of and under its Charter and all applicable laws. The Tenant represents and warrants that it is a duly authorized and existing California not for profit corporation, in good standing; that it shall remain in good standing, and its authority to enter this Lease and its signatory is authorized to execute. C. No waiver by the City or the Tenant of any breach of any provision of this Lease shall be deemed for any purpose to be a waiver of any breach of any other provision hereof or of a continuing or subsequent breach of the same provision. D. In the event any covenant, condition or provision herein contained is held to be invalid by final judgment of any Court of competent jurisdiction, the invalidity of such covenant, condition or provision shall not in any way affect any of the other covenants, conditions or provisions herein contained. E. If either party is required to commence any proceeding or legal action to enforce or interpret any term, covenant or condition of this Lease, the prevailing party in such proceeding or action shall be entitled to recover from the other party its reasonable attorney's fees and legal expenses. F. Upon execution of this Lease, all other existing leases between City and Tenant for the Leased Premises shall terminate. 9 G. All notices required herein shall be in writing and shall be given by registered or certified mail, postage prepaid, and addressed to the City or Tenant at their respective addresses as provided on the signature page of this Lease. H. It is the intention of the parties hereto to act reasonably in fulfilling their respective obligations and exercising their authority under this Lease. I. In pursuit of this Lease the parties shall act in an independent capacity and not as an officer, agent, servant, employee, joint venturer, partner, or associate of the other party. J. This Lease includes any exhibits and attachments referenced and incorporated in it. This Lease contains the entire agreement between the parties relating to the transaction contemplated by this Lease and supersedes all prior or contemporaneous agreements, understanding, representation and statements, whether oral or written. K. This Lease may be modified only by a written amendment signed by the parties’ respective authorized agent. L. Venue for any dispute arising under or based upon this contract shall be in a competent court with jurisdiction located in the County of Fresno. The rest of this page is intentionally left blank. Signatures appear on the next page. 10 IN WITNESS WHEREOF, the parties hereto have set their hands the day first above written. CITY OF FRESNO, a Municipal Corporation FRESNO ARTS COUNCIL, a California Non-Profit Corporation By: Renena Smith Assistant City Manager By: Lilia Gonzalez Chavez Title: Executive Director ATTEST: Yvonne Spence, C.M.C. City Clerk ADDRESS OF CITY City of Fresno City Manager’s Office By: Deputy 2600 Fresno Street Fresno, CA 93721 APPROVED AS TO FORM: ADDRESS OF TENANT Douglas T. Sloan 245 Van Ness Avenue City Attorney _____________________________ By: Katherine B. Doerr Date Supervising Deputy Fresno CA 93721 City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-409 Agenda Date:10/9/2014 Agenda #: REPORT TO THE CITY COUNCIL October 9, 2014 FROM:JERRY P. DYER, Chief of Police Police Department BY:ANDREW HALL, Captain Police Department SUBJECT Actions pertaining to the establishment of a non-exclusive towing operation franchise for certain towing operators to participate in the Police Department’s tow car rotation list 1.RESOLUTION - Of intention to establish non-exclusive towing operation franchise and setting a public hearing on the matter and a final vote on October 23, 2014 at 10:00 a.m. 2.ORDINANCE (For Introduction) - Granting to towing operators a non-exclusive franchise to participate in the Fresno Police Department’s tow car rotation list in preparation for a public hearing on October 23, 2014 for a final vote to approve the non-exclusive towing operation franchise 3.ORDINANCE (For Introduction) - amending Article 17, Chapter 9 of the Fresno Municipal Code relating to tow trucks RECOMMENDATIONS It is recommended that Council authorize the Chief of Police to execute a three-year Non- Exclusive Franchise Tow Agreement (the “Agreement”) with several local tow operators for the towing and storage of vehicles impounded by the Fresno Police Department. It is also recommended that the Council amend Article 17, Chapter 9 of the Fresno Municipal Code (“FMC”) as it relates to tow trucks. EXECUTIVE SUMMARY This Agreement with the tow operators will replace the existing non-exclusive franchise tow agreement which expires on December 27,2014.This Agreement contains subtle changes, including modification of the provision related to changes in ownership or control of the tow operators.Such change now enables transfer of ownership/control to “immediate family members”as defined in FMC section 3-101(e).The other substantial change to the Agreement City of Fresno Printed on 12/16/2022Page 1 of 3 powered by Legistar™ File #:ID#14-409 Agenda Date:10/9/2014 Agenda #: modifies a tow operator’s appeal rights for major violations of the Agreement. To facilitate such changes to the Agreement,Article 17,Chapter 9 of the FMC must be amended. Additional minor amendments to Article 17,Chapter 9 of the FMC have also been proposed for ease of reading comprehension. The proposed Agreement and changes to Article 17,Chapter 9 of the FMC have been reviewed and approved by the City Attorney’s office.The insurance requirements and indemnification provisions have been reviewed and approved by the City’s Risk Manager. BACKGROUND This Agreement closely mirrors our previous non-exclusive tow franchise agreement that has been in effect for the last three years.This Agreement will continue to allow our local tow companies to release impounded vehicles directly from the tow yard seven days a week.The tow operators will continue to collect the City’s administrative fees from the registered owners,or pay the administrative fees for those vehicles not picked up by their owners. The Agreement also continues to mandate that tow companies utilize Dispatch and Towing Software (“DTS”).DTS allows the Police Department to manage,control,and audit our contracted tow companies.This software provides an internet portal to assist citizens with locating their impounded vehicles and allows them to view an invoice associated with the impounded vehicle before going to the tow yard.DTS has been extremely beneficial in providing oversight of our tow operators and tracking vehicles that have been impounded by the Police Department. In the prior non-exclusive franchise tow agreement,tow operators who were facing a suspension for violations of the agreement were required to appeal through the City of Fresno’s administrative hearing officer,which often led to lengthy delays in having their appeal heard.During these delays, tow operators were not allowed to tow for the City of Fresno,which placed them in undue financial hardship.Under this Agreement,the tow operators waive their appeal rights for minor violations involving potential suspensions of thirty (30)days or less.Such appeals would instead be heard by the Chief of Police or his/her designee.For suspensions in excess of thirty (30)days,or terminations of the agreement,the tow operators retain the right for their appeals to be heard by the City of Fresno’s administrative hearing officer. Many of the tow operators providing towing service for the City of Fresno have been operating their business in excess of 20 years.The vast majority of our tow operators are small business owners and would like the ability to transfer control of their business to an immediate family member upon retirement or death.The current ordinance does not allow for any change of ownership/control.The proposed changes to Article 17,Chapter 9 of the FMC allow these business owners to effectively transfer ownership/control to an immediate family member as defined by the code,subject to prior written approval by the Chief of Police. ENVIRONMENTAL FINDINGS Not applicable since the ordinance and agreement do not constitute a project. LOCAL PREFERENCE City of Fresno Printed on 12/16/2022Page 2 of 3 powered by Legistar™ File #:ID#14-409 Agenda Date:10/9/2014 Agenda #: Not applicable since no goods or services are being procured by the City. FISCAL IMPACT There is no impact to the General Fund. Attachments: Resolution of Intent with Non-exclusive Franchise Tow Agreement Fresno Municipal Code Article 17, Chapter 9 with proposed changes City of Fresno Printed on 12/16/2022Page 3 of 3 powered by Legistar™ 1 of 34 Date Adopted: Date Approved: Effective Date: City Attorney Approval: ______ Resolution No. ____________ RESOLUTION NO. ____________ A RESOLUTION OF INTENTION BY THE COUNCIL OF THE CITY OF FRESNO, CALIFORNIA, TO ESTABLISH NON-EXCLUSIVE TOWING OPERATION FRANCHISES AND SET A DATE FOR PUBLIC HEARING RESOLVED, BY THE City Council of the City of Fresno, California, that: WHEREAS, pursuant to Article XIII of the Charter of the City of Fresno, proceedings for the establishment of non -exclusive towing franchises may be instituted by the legislative body by Resolution of Intention to adopt an Ordinance granting the franchises; and WHEREAS, this Council, as a legislative body of the City of Fresno (“City”), hereby determines that it is in the best interest of the City that this Council insti tute proceedings for the establishment of non-exclusive towing franchises pursuant to the Charter in order to facilitate the placement of towing operators on the City of Fresno Police Department’s Tow Truck Rotation List; and WHEREAS, in the event the non-exclusive towing franchises are established, it is the intention of the City to place each of these non -exclusive franchise towing operators on a Rotation List to facilitate and assist the City in towing vehicles consistent with Article 17, Chapter 9 of the Fresno Municipal Code (“Code”). NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Fresno as follows: 1. The above recitals are true and correct. 2. Numerous non-exclusive towing franchises are proposed to be established under the terms of Article XIII, “Franchises” of the City Charter. 3. The City Council hereby finds and determines that the grant of non - exclusive towing franchise for Police generated tows to those towing operators identified on Exhibit “A,” attached hereto and incorporated herein, is in the public interest. The franchises granted herein are awarded, for a period of 3 years from the date of final passage of the franchise Ordinance, provided that the provisions of this Resolution, Non - Exclusive Franchise Agreement, and the Code have been agreed to in writing by the Grantee and the Grantee has executed the Non -Exclusive Franchise Agreement and the City received and approved the insurance and documents required by such agreement. 4. The grant of these non-exclusive franchises will be expressly subject to the provisions of Article 17, Chapter 9 of the Code and compliance with all terms and conditions of the Non-Exclusive Franchise Agreement and performance standards adopted by the City Police Chief. 5. All Grantees shall during the term of their franchise pay to the City the franchise fee set forth from time-to-time by Council Resolution, as well as all other applicable taxes, fees and charges payable by the Towing Operators. 6. The Police Chief is hereby authorized to adopt rules for towing operators regarding standards for service, hours of operation, etc., to insure that the purposes of the grant of these non-exclusive franchises are archived. 7. The form of the Non-Exclusive Franchise Agreement attached hereto as Exhibit “B” is incorporated by reference and is hereby approved. The Police Chief is authorized to execute the same on behalf of the City. The Police Chief is further authorized to execute amendments to such Non - Exclusive Franchise Agreement consistent with the purpose and intent of the franchise ordinance, subject to review and approval by the City Attorney’s Office. 8. A public hearing on the granting of these non -exclusive franchises shall be held at 10:00 a.m., or as soon thereafter as practical on Thursday, October 23, 2014, at the regular meeting of the City Council, Fresno City Hall, 2600 Fresno Street, Fresno, California 93721. The hearing may be continued from time to time as permitted by the Code. 9. At the time and place set forth in this Resolution for the public hearing, any interested person may appear and be heard, and the testimony of all interested persons for or against the granting of non-exclusive towing franchises will be heard and considered. Any protest may be made either orally or in writing. All written protests shall be filed with the City Cl erk on or before the time fixed for the public hearing, and written protest may be withdrawn in writing at any time prior to the conclusion of the hearing. 10. The City Clerk is hereby directed to publish a Notice (“Notice”) of the hearing as defined in Section 1301 of the Charter of the City of Fresno, in the form required by the Charter, within fifteen (15) days of the passage of this Resolution, in a newspaper of general circulation within the City. Said Notice shall be published at least ten (10) days prior to the date of the hearing. 11. At the conclusion of the hearing, if the Council determines to grant non-exclusive towing franchises, it shall adopt an ordinance granting the franchises on the terms and conditions specified in this Resolution. * * * * * * * * * * * * * * STATE OF CALIFORNIA ) COUNTY OF FRESNO ) ss. CITY OF FRESNO ) I, YVONNE SPENCE, City Clerk of the City of Fresno, certify that the foregoing resolution was adopted by the Council of the City of Fresno, at a regular meeting held on the day of October, 2014. AYES : NOES : ABSENT : ABSTAIN : Mayor Approval: , 2014 Mayor Approval/No Return: , 2014 Mayor Veto: , 2014 Council Override Vote: , 2014 YVONNE SPENCE, CMC City Clerk BY: Deputy APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE BY: Mary Anne B. Tooke [Date] Deputy Attachments: Exhibit A Exhibit B MAT:pn[65575pn/RESO] Rev. 09-03-14 EXHIBIT “A” EXHIBIT “A” FPD NO PREFERENCE ROTATION TOW LIST QUICK REFERENCE (Reminder *Have vehicle owners call office FIRST to find out exact storage location) Name Storage Address Zip Code Phone FAX Owner 76 Towing 1805 N. Lafayette #102 93705 486-7033 486-8230 Richard McCracken A&R Towing 3282 W. Lansing Way 93722 225-9364 226-4924 Alice Frantzich Ace Towing 1420 N. Hughes *PO Box 26645 93728 93729 222-4236 442-0448 Ace Avedisian Action Towing 2822 E. California 93721 498-9999 498-9949 John Decicco Ark Towing 1420 N. Hughes *4770 N Ila 93728 93705 222-7609 224-0709 Craig Frantzich B&K Towing 3208 W. Lansing 93722 226-4233 226-0653 Janice Barnes Bauers Auto 103 N. Thorne 93706 233-9121 233-9046 Ed Mason/ Sharon Bauers-Mason Budget Towing 4066 E. Church 93725 283-2090 268-1015 Donald Bartlett Bulldog Towing 1805 N. Lafayette #101 93705 486-7038 486-8230 Kevin McCracken C&K Towing 3229 W. Lansing Way *PO Box 9637 93722 93793 226-0140 243-9860 Ryan Reeves Custom Towing 1420 N. Hughes *42485 Ranger Circle Way – Coarsegold 93728 93614 287-5133 486-0100 Kenneth Johnson D&B Towing 4619 E. White *5375 N. McCall, Clovis 93702 93619 255-4981 297-7778 Robert Barnes D&K Towing 4568 E. Home 93703 251-8270 255-9278 David Boyko Dennis Towing 1801 Sacramento 93721 226-8219 268-2264 Dennis Avedisian Discount Towing 1326 N. Jackson 93703 229-2700 455-1824 Roy Johnson Econo Towing 1523 N. Maple 93703 456-9310 456-9314 Robert Kodman Ed-Nic Towing 4533 E. Floradora 93702 252-2541 252-4629 Horace (Jay) Bruno Fortney Towing 2501 N. Business Park 93727 292-1114 292-9535 Debra Fortney Frontier Auto 4784 E. Carmen 93703 974-0465 452-1575 Chris Clark Herndon Towing 5030 E. Jensen 93725 431-3334 431-5535 James D. Deatherage Johnson Bros 2622 W. McKinley 93703 226-0629 268-0755 Shaun Johnson Kevin’s Towing 3223 W. Saginaw 93722 227-7930 227-7940 Kevin Barnes Lamona Towing 2740 E. Jensen 93706 237-9159 497-6640 Doug Dunbar Mike’s Towing 4549 E. Pine 93703 251-2361 251-2948 Mike Dockstader Nelly’s Towing 631 N. Maple 93702 273-6619 237-1467 Juan Flores Ray’s Towing 1463 N. Maple 93703 251-5244 252-2228 Ray & Monte Evans RR-M Reyna 1811 E. Hedges 93703 485-8236 485-6233 Raul Reyna Robinsons Towing 1830 E. University 93703 233-9185 266-2541 Larry Andres RR-M Reyna 4625 N. Golden State 93722 275-4823 275-9985 Raul and Sue Romo Rons Towing 3252 W. Lansing Way 93722 277-9364 226-4925 Ron Frantzich Steve’s Towing 2005 W. Hedges 93728 224-1370 264-4625 Miguel A Valdovinos Thrifty Towing 3456 E. Church 93725 259-3663 353-2446 Robert Bartlett Tips Automotive 2914 Phillip, Clovis 93612 227-4840 346-1848 Jeff Banks Tow City 1380 N. Sierra Vista 93703 260-6416 251-6771 Rae Burton Walt’s Towing 1820 E. University 93703 307-2804 233-8843 Tiffany Lawley * mailing address EXHIBIT “A” EXHIBIT “B” CITY OF FRESNO NON-EXCLUSIVE FRANCHISE TOW AGREEMENT FOR FRESNO POLICE DEPARTMENT This Non-exclusive Franchise Tow Agreement (TSA) is entered into effect on the “effective Date” set forth below, at Fresno, California, between the City of Fresno, a municipal corporation (City) and [Tow Operator Name], [Legal Identity] (the Tow Operator). This Agreement, including all attachments, contains rules and regulations that a tow company agrees to comply with in order to participate in the tow operations of the City of Fresno Police Department (FPD). Participation in the FPD Rotation Tow Program (Tow Program) is voluntary. Compliance with all of the terms and conditions of the Agreement is mandatory for tow companies participating in the Tow Program. A Tow Operator, by agreeing to participate in the Tow Program, is not acting as an agent for FPD or City when performing services under this Agreement. 1. Governing Law and Venue This Agreement shall be governed by, and construed enforced in accordance with, the laws of the State of California excluding, however, any conflict of laws rule which would apply the law of another jurisdiction. Venue for purposes of the filing of any action regarding the enforcement or interpretation of this Agreement and any rights and duties hereunder shall be the County of Fresno, California. 2. Entire Agreement This Agreement, its attachments and exhibits, when accepted by the Tow Operator either in writing or commencement of performance hereunder, contains the entire Agreement between the parties with respect to the matters herein, and there are no restrictions, promises, warranties or undertakings other than those set forth herein. No exceptions, alternatives, substitutes or revisions are valid or binding on City unless authorized by City in writing. 3. Amendments No alteration or variation of the terms of this Agreement shall be valid unless made in writing and signed by the parties; no oral understanding or agreement not incorporated herein shall be binding on either of the parties; and no exceptions, alternatives, substitutes or revisions are valid or binding on City unless authorized by City in writing. 4. Assignment or Sub Contracting The terms, covenants, and conditions contained herein shall apply to the parties. Furthermore, neither the performance of this Agreement nor any portion thereof may be assigned or subcontracted by Tow Operator without the express written consent of City. Any attempt by Tow Operator to assign or subcontract the performance or any portion of this Agreement without the express written consent of City shall be invalid and shall constitute a breach of this Agreement. EXHIBIT “B” 2 5. Patent/Copyright Materials/Proprietary Infringement Unless otherwise expressly provided in this Agreement, Tow Operator shall be solely responsible for obtaining a license or other authorization to use any patented or copyrighted materials in the performance of this Agreement. Tow Operator war rants that any Software as modified through services provided hereunder will not infringe upon or violate any patent, proprietary right, or trade secret right of any third party. Tow Operator agrees that, in accordance with the more specific requirement b elow, it shall indemnify, defend and hold City and City Indemnitees harmless from any and all such claims and be responsible for payment of all costs, damages, penalties and expenses related to or arising from such claim(s), including, but not limited to, attorney’s fees, costs and expenses. 6. Non-Discrimination In the performance of this Agreement, Tow Operator agrees that it will comply with the requirements of section 1735 of the California Labor Code and not engage nor permit any Tow Operators to engage in discrimination in employment of persons because of the race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, or sex of such persons. Tow Operator acknowledges that a violation of this provision shall subject Tow Operator to all the penalties imposed for a violation of anti-discrimination law or regulation, including but not limited to, section 1720 et seq. of the California Labor Code. 7. Termination In addition to any other remedies or rights it may have by law, City has the right to terminate this Agreement without penalty immediately with cause and either party may terminate after thirty (30) days written notice without cause, unless otherwise specified. Cause shall be defined as any breach of this Agreement or any misrepresentation or fraud on the part of the Tow Operator. Exercise by City of its right to terminate the Agreement shall relieve City of all further obligation. 8. Consent to Breach Not Waiver No term or provision of this Agreement shall be deemed waived and no breach excused, unless such waiver or consent shall be in writing and signed by the party claimed to have waived or consented. Any consent by any party to, or waiver of, a breach by the other, whether express or implied, shall not constitute consent to, waiver of, or excuse for any other different or subsequent breach. 9. Remedies Not Exclusive The remedies for breach set forth in this Agreement are cumulative as to one another and as to any other provided by law, rather than exclusive; and the expression of certain remedies in this Agreement does not preclude resort by either party to any other remedies provided by law. 10. Independent Tow Operator Tow Operator shall be considered an indep endent Tow Operator and neither Tow Operator, its employees nor anyone working under Tow Operator shall be considered an agent or an employee of City. Neither Tow Operator, its employees nor anyone working under Tow Operator, shall qualify for workers’ compensation or other fringe benefits of any kind through City. EXHIBIT “B” 3 11. Performance Tow Operator shall perform all work under this Agreement, taking necessary steps and precautions to perform the work to City’s satisfaction. Tow Operator shall be responsible for the professional quality, technical assurance, timely completion, and coordination of all documentation and other goods/services furnished by Tow Operator under this Agreement. Tow Operator shall: perform all work diligently, carefully, and in a good and workman-like manner; furnish all labor, supervision, machinery, equipment, materials, and supplies necessary therefore; at its sole expense obtain and maintain all permits and licenses required by public authorities, including those of City required in its governmental capacity, in connection with performance of the work; and, if permitted to subcontract, be fully responsible for all work performed by sub -Tow Operators. 12. Indemnification A) Tow Operator shall indemnify, hold harmless and defend City and each of its officers, officials, employees, agents and authorized volunteers from any and all loss, liability, fines, penalties, forfeitures, costs and damages (whether in contract, tort or strict liability, including but not limited to personal injury, death at any time and property damage) incurred by City, Tow Operator, or any other person, and from any and all claims, demands and actions in law or equity (including attorney’s fees and litigation expenses), arising or alleged to have arisen dire ctly or indirectly out of performance of this Agreement. Tow Operator's obligations under the preceding sentence shall apply regardless of whether City or any of its officers, officials, employees, agents or authorized volunteers are negligent, but shall not apply to any loss, liability, fines, penalties, forfeitures, costs or damages caused solely by the gross negligence, or caused by the willful misconduct, of City or any of its officers, officials, employees, agents or authorized volunteers. B) If Tow Operator should subcontract all or any portion of the work to be performed under this Agreement, Tow Operator shall require each subcontractor to indemnify, hold harmless and defend City and each of its officers, officials, employees, agents and authorized volunteers in accordance with the terms of the preceding paragraph. C) This section shall survive termination or expiration of this Agreement. 13. Insurance A) Throughout the life of this Agreement, Tow Operator shall pay for and maintain in full force and effect all policies of insurance required hereunder with an insurance company(ies) either (i) admitted by the California Insurance Commissioner to do business in the State of California and rated not less than “A-VII” in Best's Insurance Rating Guide, or (ii) authorized by City’s Risk Manager. The following policies of insurance are required: 1) COMMERCIAL GENERAL LIABILITY insurance which shall be on the most current version of Insurance Services Office (ISO) Commercial EXHIBIT “B” 4 General Liability Coverage Form CG 00 01 and include insurance for “bodily injury,” “property damage” and “personal and advertising injury” with coverage for premises and operations, products and completed operations, and contractual liability (including, without limitation, indemnity obligations under the Agreement) with limits of liability of not less than $1,000,000 per occurrence for bodily injury and property damage, $1,000,000 per occurrence for personal and advertising injury and $2,000,000 aggregate for products and comple ted operations and $2,000,000 general aggregate. 2) GARAGEKEEPERS LEGAL LIABILITY insurance which shall include coverage for vehicles in the care, custody, and control of the Tow Operator with limits of liability of not less than $120,000 per occurrence for property damage. 3) COMMERCIAL AUTOMOBILE LIABILITY insurance which shall be on the most current version of Insurance Service Office (ISO) Business Auto Coverage Form CA 00 01, and include coverage for all owned, hired, and non-owned automobiles or other licensed vehicles (Code 1- Any Auto) with limits of not less than $1,000,000 per accident for bodily injury and property damage. 4) ON-HOOK/CARGO insurance which shall include coverage for vehicles in tow with limits of liability based on the size of the tow truck, which are as follows: a) Class A/B tow truck…………………………$120,000 b) Class C tow truck……………………………$200,000 c) Class D tow truck……………………………$300,000 5) WORKERS’ COMPENSATION insurance as required under the California Labor Code and EMPLOYERS’ LIABILITY insurance with minimum limits of $1,000,000 each accident, $1,000,000 disease policy limit and $1,000,000 disease each employee. B) Tow Operator shall be responsible for payment of any deductibles contained in any insurance policies required hereunder a nd Tow Operator shall also be responsible for payment of any self-insured retentions. Any deductibles or self-insured retentions must be declared to on the Certificate of Insurance and approved by the City’s Risk Manager or his/her designee. At the optio n of the City’s Risk Manager, or his/her designee, either: 1) The insurer shall reduce or eliminate such deductibles or self -insured retention as respects City, its officers, officials, employees, agents and volunteers; or 2) Tow Operation shall provide a financial guarantee, satisfactory to City’s Risk Manager, or his/her designee, guaranteeing payment of losses and related investigations, claim administration and defense expenses. EXHIBIT “B” 5 At no time shall City be responsible for the payment of any deductibles or self-insured retentions. C) The above described policies of insurance shall be endorsed to provide an unrestricted thirty (30) calendar days written notice in favor of City of policy cancellation, change or reduction of coverage, except for the Workers’ Compensation policy which shall provide ten (10) calendars day written notice of such cancellation, change or reduction of coverage. In the event any policies are due to expire during the term of this Agreement, Tow Operator shall provide a new certificate and all applicable endorsements evidencing renewal of such policy prior to the expiration date of the expiring policy(ies) to the Chief of Police, or his/her designee, and the City’s Risk Division. Upon issuance by the insurer, broker, or agent of a notice of cancellation, change or reduction in coverage, Tow Operator shall file with the Chief of Police, or his/her designee, and the City’s Risk Division, a new certificate and all applicable endorsements for such policy(ies). D) The General Liability, Automobile Liability and Garagekeepers Legal Liability insurance policies shall be written on an occurrence form and shall name City, its officers, officials, agents, employees and volunteers as an additional insured. Such policy(ies) of insurance shall be endorsed so Tow Operator’s insurance shall be primary with respect to the City, its officers, officials, employees, agents and authorized volunteers with no contribution required of City. Any Workers’ Compensation insurance policy shall contain a waiver of subrogation as to City, its officers, officials, agents, employees and authorized volunteers. Tow Operator shall have furnished City with the certificate(s) and applicable endorsements for ALL required insurance prior to City’s execution of the Agreement. E) The fact that insurance is obtained by Tow Operator shall not be deemed to release or diminish the liability of Tow Operator, including, without limitation, liability under the indemnity provisions of this Agreement . City 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 Tow Operator. Approval or purchase of any insurance contracts or policies shall in no way relieve from liability nor limit the liability of Tow Operator, its principals, officers, agents, employees, persons under the supervision of Tow Operator, vendors, suppliers, invitees, consultants, sub-consultants, subcontractors, or anyone employed directly or indirectly by any of them. F) Upon request of City, Tow Operator shall immediately furnish City with a complete copy of any insurance policy required under this Agreement, including all endorsements, with said copy certified by the underwriter to be a true and correct copy of the original policy. This requirement shall survive expiration or termination of this Agreement. G) If at any time during the life of the Agreement or any extens ion, Tow Operator fails to maintain the required insurance in full force and effect, all EXHIBIT “B” 6 work under this Agreement shall be discontinued immediately until notice is received by City that the required insurance has been restored to full force and effect and that the premiums therefore have been paid for a period satisfactory to City. Any failure to maintain the required insurance shall be sufficient cause for City to terminate this Agreement. H) If Tow Operator should subcontract all or any portion of the work to be performed, Tow Operator shall require each subcontractor to provide insurance protection in favor of the City, its officer, officials, employees, agents and authorized volunteers in accordance with the terms of each of the preceding paragraphs, except that the subcontractors certificates and endorsements shall be on file with the Tow Operator and City prior to the commencement of any work by the subcontractor. 14. Bills and Liens Tow Operator shall pay promptly all indebtedness for labor, materials, and equipment used in performance of the work. Tow Operator shall not permit any lien or charge to attach to the work or the premises, but if any does so attach, Tow Operator shall promptly procure its release and indemnify, defend, and hold Ci ty harmless and be responsible for payment of all costs, damages, penalties and expenses related to or arising from or related thereto. 15. Change of Control Tow Operator agrees that if there is a change or transfer in ownership or control of the Tow Operator’s business prior to completion of this Agreement, unless such change or transfer is to “immediate family” as defined in Fresno Municipal Code (FMC) section 3 - 101(e) and approved in writing by the Chief of Police, or his/her designee, such change or transfer shall terminate this Agreement. This includes but is not limited to changes in: Corporate Board Members, Managers, Directors, Treasurer, Trustees, or ownership interests. All changes or transfers to “immediate family” must be approved by the Chief of Police, or his/her designee, prior to such change or transfer in order for the Tow Operator to remain on the tow services list. Final written approval or disapproval for the change or transfer in ownership or control will be given by the Chief of Police or his/her designee. All “immediate family” members involved in the potential transfer and operation of the Tow Operator shall be required to undergo a background check, review, and “Livescan” fingerprint screening. The “immediate family” members involved in the change or transfer of ownership or control must also possess and keep current all licensing certificates and insurance as required in this Agreement. The “immediate family” members who will operate or otherwise be legally responsible for the Tow Operator will be required to execute a new TSA. A) Tow Operator owners shall be directly involved in the day-to-day operations of their business and shall not be directly involved in the towing-related business of any other tow company on, or applicant for, the Tow Rotation List. Co-mingling of operations, business, offices, board members, and finances is strictly prohibited. B) If terminated or suspended, Tow Operator and/or its owner at the time of the suspension or termination, shall not be eligible for a rotation listing for the EXHIBIT “B” 7 duration of the suspension or termination. This section applies to the Tow Operator working in any capacity within any tow business or operating any tow business and to the tow business even if operated under new ownership. C) Tow Operator shall not share equipment with any other tow company on, or applicant for, the Tow Rotation List, excluding equipmen t which may be unavailable due to repairs or when there is a need for equipment replacement and written approval is obtained from the Chief of Police or his/her designee. 16. Force Majeure Tow Operator shall not be in breach of this Agreement caused by any act of God, war, civil disorder, employment strike or other cause beyond its reasonable control, provided Tow Operator gives written notice of the cause of the delay to City within thirty-six (36) hours of the start of the delay and Tow Operator avails itself of any available remedies. 17. Confidentiality Tow Operator agrees to maintain the confidentiality of all City and City -related records and information pursuant to all statutory laws relating to privacy and confidentiality that currently exist or exist at any time during the term of this Agreement. All such records and information shall be considered confidential and kept confidential by Tow Operator and Tow Operator’s staff, agents and employees. 18. Compliance with Laws Tow Operator represents and warrants that services to be provided under this Agreement shall fully comply, at Tow Operator’s expense, with all standards, laws, statutes, restrictions, ordinances, requirements, and regulations, including, but not limited to those issued by City in its governmental capacity and all other laws applicable to the services at the time services are provided to and accepted by City. Tow Operator acknowledges that City is relying on Tow Operator to ensure such compliance (collectively Laws). Tow Operator agrees that it shall defend, indemnify and hold City and City Indemnitees harmless from all liability, damages, costs, and expenses arising from or related to a violation of Laws. 19. Pricing The Agreement price shall include full compensation for provi ding all required services in accordance with the Scope of Work attached to this Agreement, and no additional compensation will be allowed therefore, unless otherwise provided for in this Agreement. Tow Operator shall pay the City Franchise Fees as listed in Attachment “B”, or “City Administrative / Franchise Fees”, in accordance with Paragraph 25 of Attachment “A”. 20. Terms and Conditions Tow Operator acknowledges that the undersigned has read and agrees to all terms and conditions included in this Agreement. EXHIBIT “B” 8 21. Severability If any term, covenant, condition, or provision of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of the provisions hereof shall remain in full force and effect and shall in no way be affected, impaired or invalidated thereby. 22. Calendar Days Any reference to the word “day” or “days” herein shall mean calendar day or calendar days, respectively, unless otherwise expressly provided. 23. Attorney Fees If either party is required to commence any proceeding or legal action to enforce any term, covenant or condition of this Agreement, the prevailing party in such proceeding or action shall be entitled to recover from the other party its reasonable Attorney’s fees and legal expenses. 24. Interpretation This Agreement has been negotiated at arm’s length and between persons sophisticated and knowledgeable in the matters dealt with in this Agreement. In addition, each party has been represented by experienced and kno wledgeable independent legal counsel of their own choosing or has knowingly declined to seek such counsel despite being encouraged and given the opportunity to do so. Each party further acknowledges that they have not been influenced to any extent whatsoev er in executing this Agreement by any other party hereto or by any person representing them, or both. Accordingly, any rule or law (including California Civil Code section 1654) or legal decision that would require interpretation of any ambiguities in this Agreement against the party that has drafted it is not applicable and is waived. The provisions of this Agreement shall be interpreted in a reasonable manner to affect the purpose of the parties and this Agreement. 25. Authority The parties to this Agreement represent and warrant that this Agreement has been duly authorized and executed and constitute the legally binding obligation of their respective organization or entity, enforceable in accordance with its terms. 26. Employee Eligibility Verification Tow Operator warrants that it fully complies with all Federal and State statutes and regulations regarding the employment of aliens and others and that all its employees performing work under this Agreement meet the citizenship or alien status requir ement set forth in Federal statutes and regulations. Tow Operator shall obtain, from all employees performing work hereunder, all verification and other documentation of employment eligibility status required by Federal or State statutes and regulations including, but not limited to, the Immigration Reform and Control Act of 1986, 8 U.S.C. §1324 et seq., as they currently exist and as they may be hereafter amended. Tow Operator shall retain all such documentation for all covered employees for the period prescribed by the law. Tow Operator shall indemnify, defend with counsel approved in writing by City, and hold harmless, City, its agents, officers, and employees from employer sanctions and any other liability which may be assessed against Tow Operator or City or both in connection with any alleged violation of any Federal or EXHIBIT “B” 9 State statutes or regulations pertaining to the eligibility for employment of any persons performing work under this Agreement. 27. Additional Terms and Conditions A) Term of Agreement: This Agreement shall commence on December 28, 2014, and shall be effective for three (3) years from that date, unless otherwise terminated by City. B) Fiscal Appropriations: This Agreement is subject to and contingent upon applicable budgetary appropriations being made by the City for each year during the term of this Agreement. If such appropriations are not forthcoming, the Agreement will be terminated without penalty. Tow Operator acknowledges that funding or portions of funding for this Agreement may also be contingent upon the receipt of funds from, and/or appropriation of funds by City. If such funding and/or appropriations are not forthcoming, or are otherwise limited, City may immediately terminate or modify this Agreement without penalty. C) Conflict of Interest (Tow Operator): Tow Operator shall exercise reasonable care and diligence to prevent any actions or conditions that result in a conflict with the best interest of City. This obligation shall apply to Tow Operator, Tow Operator’s employees, agents, relatives, and third parties associated with accomplishing the work hereunder. Tow Operator’s efforts shall include, but not be limited to, establishing precautions to prevent its employees or agents from making, receiving, providing, or offering gifts, entertainment, payments, loans, or other considerations which could be deemed to appear to influence individuals to act contrary to the best interest of City. D) Tow Operator Work Hours and Safety Standards : Tow Operator shall ensure compliance with all safety and hourly requirements for employees, in accordance with federal, state, and City safety and health regulations and laws. E) Orderly Termination: Upon termination or other expiration of this Agreement, each party shall promptly return to the other party all papers, materials, and other properties of the other held by each for purposes of execution of the Agreement. In addition, each party will assist the other Party in orderly termination of this Agreement and the transfer of all aspects, tangible and intangible, as may be necessary for the orderly, non -disruptive business continuation of each party. F) Reprocurement Costs: In the case of default by Tow Operator, City may procure the service from other sources and, if the cost is higher, Tow Operator will be held responsible to pay City the difference between the Agreement cost and the price paid. City may make reasonable efforts to obtain the prevailing market price at the time such services are rendered. This is in addition to any other remedies available under law. EXHIBIT “B” 10 G) Authorization Warranty: Tow Operator represents and warrants that the person executing this Agreement on behalf of and for Tow Operator is an authorized agent who has actual authority to bind Tow Operator to each and every term, condition, and obligation of this Agreement and that all requirements of Tow Operator have been fulfilled to provide such actual authority. H) Notices: Any and all notices permitted or required to be given hereunder shall be deemed duly given (1) upon actual delivery, if delivery is by hand; or (2) upon delivery by the United States mail if delivery is by postage paid registered or certified return receipt requested mail; or (3) through electronic means such as, email or the Dispatch & Tracking Solutions Software System (DTS). I) Data – Title to: All materials, documents, data or information obtained from City data files or any City medium furnished to Tow Operator in the performance of this Agreement will at all times remain the property of City. Such data or information may not be used or copied for direct or indirect use by Tow Operator after completion or termination of this Agreement without the express written consent of City. All materials, documents, data or information, including copies, must be returned to City at the end of this Agreement. J) Usage: No guarantee is given by City to Tow Operator regarding usage of this Agreement. Usage figures, if provided, are approximate, based upon the last usage. Tow Operator agrees to supply services and/or commodities requested, as needed by City, at prices listed in the Agreement, regardless of quantity requested. K) Tow Operator’s Records: Tow Operator shall keep true and accurate accounts, records, books and data which shall correctly reflect the business transacted by Tow Operator in accordance with generally accepted accounting principles. These records shall be stored at the Tow Operators principal place of business for a period of three (3) years after final payment is received by City. L) Audits/Inspections: Tow Operator agrees to permit City’s authorized representative (including auditors from a private auditing firm hired by City) access during normal working hours to all books, accounts, records, reports, files, financial records, supporting documentation, including payroll and accounts payable/receivable records, and other papers or property of Tow Operator for the purpose of auditing or inspecting any aspect of performance under this Agreement. The inspection and/or audit will be confined to those matters connected with the performance of the Agreement including, but not limited to, the costs of administering the Agreement. City reserves the right to audit and verify Tow Operator’s records before or after final payment is made. EXHIBIT “B” 11 Tow Operator agrees to maintain such records for possible audit for a minimum of three (3) years after final payment, unless a longer period of records retention is stipulated under this Agreement or by law. Tow Operator agrees to allow interviews of any employees or others who might reasonably have information related to such records. Further, Tow Operator agrees to include a similar right to City to audit records and interview staff of any sub-Tow Operator related to performance of this Agreement. M) Should Tow Operator cease to exist as a legal entity, Tow Operator’s records pertaining to this Agreement shall be forwarded to the Chief of Police or his/her designee. 28. Disputes-Agreement A) The Parties shall deal in good faith and attempt to resolve potential disputes informally. 1) Tow Operator shall submit to the Chief of Police, or his/her designee, a written demand for a final decision regarding the disposition of any dispute between the parties arising under, related to, or involving this Agreement, unless City, on its own initiative, has already rendered such a final decision. 2) Tow Operator’s written demand shall be fully supported by factual information, and, if such demand involves a cost adjustment to the Agreement, Tow Operator shall include with the demand a written statement signed by a senior official indicating that the demand is made in good faith, that the supporting data are accurate and complete, and that the amount requested accurately reflects the Agreement adjustment for which Tow Operator believes City is liable. B) Pending the final resolution of any dispute arising under, related to, or involving this Agreement, Tow Operator agrees to diligently proceed with the performance of this Agreement. Tow Operator ’s failure to diligently proceed shall be considered a material breach of this Agreement. C) Any final decision of City shall be expressly identified as such, shall be in writing, and shall be signed by the City Hearing Administrative Officer, or Chief of Police, or his/her designee, as applicable. If City fails to render a decision within ninety (90) days after receipt of Tow Operator’s demand, it shall be deemed a final decision adverse to Tow Operator’s contentions. City’s final decision shall be conclusive and binding regarding the dispute unless Tow Operator commences action in a court of competent jurisdiction. 29. Breach of Agreement The failure of the Tow Operator to comply with any of the provisions, covenants or conditions of this Agreement shall be a material breach of this Agreement. In such event the City may, and in addition to any other remedies available at law, in equity, or otherwise specified in this Agreement, undertake any of the individual actions or any combination of the following actions: EXHIBIT “B” 12 1) Afford the Tow Operator written notice of the breach and ten calendar days or such shorter time that may be specified in this Agreement within which to cure the breach; 2) Suspend and/or remove Tow Operator from the rotation; 3) Terminate the Agreement immediately, without any penalty. The Parties hereto have executed this Agreement. TOW OPERATOR: By: Title: Print Name: Date: TOW OPERATOR*: By: Title: Print Name: Date: *If a corporation or limited liability company, the document must be signed by two corporate officers. The first signature must be either the Chairman of the Board, President, or any Vice President. The second signature must be the secretary, an assistant secretary, the Chief Financial Officer, or any assistant treasurers. In the alternative, a single signature is acceptable when accompanied by a corporate document demonstrating the legal authority of the signature to bind the company. CITY OF FRESNO, A municipal corporation By: Date: Jerry Dyer, Chief of Police APPROVED AS TO FORM DOUGLAS T. SLOAN City Attorney By: Date: Deputy ATTEST: YVONNE SPENCE, CMC City Clerk By:: Date: Deputy EXHIBIT “B” 13 ATTACHMENT A SCOPE OF WORK 1. Scope of Work Tow Operator shall perform the towing, and storage of vehicles as directed by the City, and in addition, such other services as provided in this Scope of Work, and shall provide necessary storage facility, tow vehicles, labor, materials, equipment, machinery, and tools. The Tow Operator shall comp ly with all State laws and regulations, applicable to tow units and impound, towing, storage, selling or junking of vehicles. Tow operators must follow all guidelines set forth by equipment manufactures recommendations as to their use and care of all towin g related equipment. All permits and licensing fees as specified under California Vehicle Code (CVC) sections 34620 through 34624 shall be in full force and effect at all times during this Agreement. Any violation of this section will be considered a material breach of the Agreement and may result in immediate termination of this Agreement. 2. Towing Services and Duties It shall be the duty of the Tow Operator, when so directed by the City, to provide prompt tow service for vehicles which are taken into custody by the City. This includes vehicles involved in collisions or disabled by any other cause, abandoned in public places or on private property. Vehicles impounded for evidence, impeding the flow of traffic, or which for any other reason, are within the jurisdiction of the FPD. As required by law, Tow Operators are to remove from the street all debris resulting from said collisions and to clean the immediate area of such street (CVC section 27700(a)(1)). It shall also be the duty to provide for the saf ety and security of those vehicles and the contents thereof. These duties are inherent to the job and are to be included in the price of the basic tow bill. The tow truck operator shall provide a business card to the registered owner or driver for the vehicle being towed. The business card shall contain the name, address and phone number of the tow company as well as the link to the vehicle search system in DTS as follows: www.findmytow.com Tow truck operators and/or drivers will not be permitted to drive an impounded or recovered stolen vehicle or vehicle intended for storage from a FPD rotation call or special operation. Any exceptions must be at the direction of the FPD officer in charge of the scene and should be limited to repositioning the vehicle to allow for towing. The City has designated two (2) tow companies for evidence impound tows and no other rotation tow company shall maintain custody over these vehicles at any time. If an officer impounds a vehicle for evidence and a non -preference rotational tow is dispatched, it is the responsibility of the tow driver to verify with the officer on scene as to whether a vehicle is to be held for evidence. If it is determined that the vehicle is to be held for evidence, the tow driver must immediately no tify the officer on scene that the company is not authorized to handle evidence impounds and an evidence tow company shall be dispatched. Tow Operator shall then contact the Tow Unit on the EXHIBIT “B” 14 same business day, or within the next business day if such tow occ urs after regular business hours. Acceptance of an evidence tow by a non -designated evidence tow company will result in disciplinary action and full financial responsibility for all tow and storage fees for each violation. If terminated or suspended, Tow Operator and/or owner at the time of the suspension or termination, shall not be eligible for a rotation listing for the duration of the suspension or termination. This provision applies to the Tow Operator working in any capacity within any tow business or operating any tow business and to the tow business even if operated under new ownership. Tow Operator shall not share equipment with any other tow company on, or applicant for, the Tow Rotation List, excluding equipment which may be unavailable due to repairs or when there is a need for equipment replacement and written notice has been obtained from FPD. 3. Special Operations FPD conducts special operations coordinated through the Traffic Bureau throughout the year that requires tow companies at the location of the special operation. Tow companies on the Tow Rotation List that are in good standing with FPD may be invited to participate in these operations, provided they are willing to remain with the special operation until its conclusion and forfeit any rotational tow calls (FPD, California Highway Patrol, or other) received during the duration of the operation. “Good standing” shall mean that Tow Operator has not violated, or is not in violation of the terms of this Agreement, the provisions of the FMC, State, or Federal law. All special operations tows will be subject to the provisions of this Agreement. Tow Operator shall respond to a special operation with a flatbed tow truck with the capability of towing (2) vehicles. No ride alongs will be allowed on any special operations unless the ride along is the Tow Owner or a Tow Driver who is in training and has been approved by FPD. 4. Signage and hours of Operation The storage yard or business office shall have a sign that clearly identifies it to the public as a towing service. The sign shall have letters that are clearly visible to the public from the street and must be visible at night. All storage facilities must be accessible to City personnel twenty-four (24) hours per day and seven (7) days per week. The Tow Operator will provide customer service twenty-four (24) hours per day and seven (7) days per week for the release of vehicles. Tow Operator shall provide at least one person at a call station to respond and release vehicles within thirty (30) minutes. Tow Operator shall maintain all signage required pursuant to CVC sections 22850.3 and 22651.07 and include an a fter-hours contact phone number for Tow Operator. 5. Response Time Tow Operator shall respond to calls twenty-four (24) hours a day, seven (7) days a week, within the maximum response time limits as established by the Chief of Police or his/her designee. A reasonable response time is thirty (30) minutes or less, except during peak hours of 7:00 a.m. to 9:00 a.m. and 4:00 p.m. to 6:00 p.m., (Monday EXHIBIT “B” 15 through Friday), when the required response time will be extended to forty-five (45) minutes or less. Tow Operator shall respond with a tow truck of the class required to tow the vehicle specified by the DTS System. 6. Non-Response The Tow Operator shall update the DTS System at the time of dispatch to a tow rotation request. If the Tow Operator is either unab le to respond or unable to meet the maximum response time, the tow operator shall immediately update the DTS System accordingly. If, after accepting the call, the Tow Operator is unable to respond or will be delayed in responding, the Tow Operator shall i mmediately update the DTS system accordingly. To decline or refuse to respond will be considered a non -response. Each non- response will be immediately documented in the DTS System. Each non -response will be logged by the DTS System and reviewed by the City. If the fault for the non- response is attributed to other than the Tow Operator, the Tow Operator will be placed back in the rotational list and called at the next opportunity in line. One such breach, determined to be the fault of the Tow Operator, will be grounds for written reprimand which may be subsequent to a meeting between the Tow Operator and the City. A second breach may be grounds for a (30) thirty -day suspension of this Agreement. A third violation will be considered a material breach of the Agreement and may result in immediate termination of this Agreement. In the case of suspension or termination, all vehicles then in storage at the time of the suspension or termination remain protected under this Agreement as City’s impounds and the Tow Operator is so bound. The City will have the option to remove and/or transfer stored vehicles. When a Tow Operator will be temporarily unavailable to provide services due to preplanned/scheduled activity, such as a vacation, maintenance, medical leave, etc., the Tow Operator will notify City in writing via the DTS system at least forty -eight (48) hours in advance. City reserves the right to deny these requests to maintain adequate service levels for tow operations. Failure to notify the City will be c onsidered a non- response and a material breach of this agreement. 7. Storage Responsibilities It shall be the duty of the Tow Operator to provide impound and other storage service for all vehicles as directed by the City. The Tow Operator shall be resp onsible for all vehicles, accessories and equipment thereon and all personal property therein stored by Tow Operator. It shall be the Tow Operators’ duty to protect such stored vehicles, accessories, equipment, and property against all loss or damage by f ire, theft or other causes. The Tow Operator will have available for review by City personnel, all permits and proof of compliance to all local zoning, special use, conditional use and special requirements, laws and regulation. It is the responsibility of the Tow Operator to ensure vehicles are stored in a secured facility. 8. Size and Location of Storage Facility EXHIBIT “B” 16 The tow yard shall be located within the City of Fresno’s “Metropolitan Area.” Metropolitan area is defined as within the borders of Copper Avenue to the north, American Avenue to the south, DeWolf Avenue to the east, and Chateau Fresno to the west. Tow Operator shall be responsible for the security of vehicles and property at the place of storage. At a minimum, a six (6) foot fence or enclosed secured area is required for outside storage. A minimum of 5,000 square feet, or room for twenty (20) vehicles, shall be provided. All tow yards located with the City of Fresno shall be in compliance with the FMC, current Directors Class #208 and shall follow the current Development and Resource Management Department’s Policy and Procedure C -002. If the tow facility is located outside the City of Fresno, the tow operator is required to provide written proof that the yard is in compliance with the authoriz ing jurisdiction. Tow Operator is responsible for the reasonable care, custody, and control of any property contained in towed or stored vehicles. The storage facility and business office will be located at the primary storage yard and shall be maintained in a functional, clean and orderly fashion. The facility shall have a telephone, on -site fax machine and the necessary computer equipment to properly run DTS software and to send and receive email. In the event of criminal activity at a storage facility, the City may require the Tow Operator to take measures to assist in preventing such crimes. These measures could include, but are not limited to: the yard being illuminated during darkness, with security type lighting, to such a degree that visual observation of the entire yard may be accomplished at all times, improved fencing and/or security patrols. All vehicles stored or impounded as a result of a tow ordered by the City shall be towed directly to a towing service storage lot unless the City, or in t he case of a citizen’s assist, a person legally in charge of the vehicle, requests that it be taken to some other location. All vehicles towed as a result of action taken by the City will be stored at the Tow Operator’s principal place of business unless directed otherwise by the City’s Tow Coordinator. Vehicles stored at an auxiliary storage facility will be considered a breach of this Agreement. The Tow Operator shall not remove personal property from a stored vehicle. If the registered owner removes personal property from a stored vehicle, the Tow Operator will maintain documentation of such and will require a signed receipt from the registered owner for property released. The Tow Operator shall immediately notify the City if any contraband, weapons or hazardous materials are found in the vehicle(s). 9. Enclosed Facility The Tow Operator may maintain, without charge to the City or any other person, separate and enclosed garage facilities no less than 1,000 square feet of clean working space. The facility must be constructed to include a roof and at least four walls of substantial design to withstand the elements and protect the vehicles from the weather. The facility should have a concrete floor and sufficient lighting. This inside facility must be located at the Tow Operator’s primary storage yard. This inside facility is not required to qualify for the City’s rotation, however, when inside storage is EXHIBIT “B” 17 requested for a particular vehicle, the next Tow Operator in line meeting the needs of the City’s request will be used. 10. DTS Requirements Tow Operator shall utilize the most recent, updated and upgraded DTS software program, to dispatch and track, via a web -based Internet connection. Tow Operators will be required to enter the towed vehicle information as instructed by the City. At no time will a vehicle be released, subject to lien, or junked from impound without all required data fields being entered into the DTS system by the Tow Operator. The Tow Operator shall clearly identify and enter into DTS the name of the person to whom the vehicle was actually released. All City tow requests shall be made utilizing this program. Failure at any time to have the DTS program in full operation shall cause the immediate removal of the Tow Operator from the tow rotation and be grounds for immediate termination by City. Tow Operator must enter into a separate agreement, or license for the DTS software program with the owner of that proprietary software. The City shall not provide the DTS software program, any licensing or sub -licensing thereof or any intermediary services for the procurement by Tow Operator of the DTS software program. This Agreement shall not be executed by the City until Tow Operator has demonstrated to the City‘s satisfaction compliance with the requirements set forth herein. Tow Operator shall be liable for all fees, charges, prices, rates and service charges required from DTS. DTS shall be utilized in “real time” and all entries should reflect as such. Invoices shall be used from DTS when releasing vehicles and be pursuant to section 22651.07 of the CVC. The on ly Tow Operator personnel authorized to utilize and access DTS are those that have fully complied with the provisions set forth in Section 12, “Tow Operator Personnel” of this Agreement. If the Tow Operator is not in FULL compliance with the above stated requirement, the Tow Operator will be removed from the City towing rotation. In the event that DTS fails to provide software services, or the City elects to utilize a new software provider, the Tow Operator will be required to use the replacement towing software system. If that occurs, all references to DTS in this Agreement shall instead be interpreted as references to the new software program. 11. Official Notification by City Regarding Tow Official notification by City regarding tow services is considered any form of written, email, verbal instructions or notifications received from an authorized City employee or electronic notice from the DTS program. If the Tow Operator receives verbal instructions or notifications f rom a City employee the Tow Operator must respond to City, by 5:00 p.m. (PST) on the next business day. 12. Tow Operator Personnel A.) Conduct The Tow Operator shall perform the services required of it in an ethical, orderly manner, endeavoring to obtain and keep the confidence of the public. At no time will the Tow Operator or its agent or any employee of the Tow Operator exhibit any of the following behavior: rudeness, or otherwise being uncooperative, argumentative, threatening, incompetent or acting in a dangerous manner with any City employee, or with any member of the public. The City reserves the right to cancel an individual tow assignment, if in the opinion of the City, the Tow EXHIBIT “B” 18 Operator is acting in a rude, uncooperative, argumentative, threate ning, incompetent or dangerous manner. The City also reserves the right to cancel an individual tow assignment if in the opinion of the City the Tow Operator is likely to damage the vehicle for which the tow service was called. Other examples of unacceptable behavior include but are not limited to: profanity, abusive language, disconnecting telephone calls for public inquiries regarding a tow, threatening, aggressive, or assertive language, failure to provide timely information or documents in response to a public or City inquiry, lack of respect to any City personnel or member of the public, destruction or damaging of evidence, failure to comply with the reasonable request of a member of the public, failure to release vehicle in a timely manner, failure to make appointment for release of vehicle during evening or weekend hours, failure to promptly be on site at time of appointment for release of vehicle during evening or weekend hours, impeding an investigation or any other conduct which the City deems unprofessional. If the Tow Operator is found to be in violation of this conduct clause, the City will cancel the Tow Operator and request the next Tow Operator in rotation. Any such behavior as set forth above shall be considered a material breach of this Agreement and may be grounds for immediate suspension or immediate termination by the City, without penalty. B.) Personnel Appearance Tow Operators shall be required to furnish their employees with a distinctive company uniform. Each uniform shall have the firm’s name, as well as the employee’s name, in a conspicuous place. The tow company’s name and driver’s first name shall be clearly visible at all times, meaning that protective or inclement weather outer garments must meet this standard. Each employee shall have sufficient uniforms so as to maintain a neat, clean appearance at all times. Minimum requirements for uniforms include a shirt, long pants, and appropriate safety shoes. All drivers shall be in uniform before any towing or service operation begins. No wording, designs, photos, gestures, or anything that could be considered offensive or obscene to the general public shall be displayed by the Tow Operators or on any part of the uniform. Dress standards are required in order to project a professional and positive image to the public. All employees must be neat, clean and well groomed in appearance. In order to ensure a professional appearance, all tattoos must be concealed by operators while working. Personnel will be required to conceal any tattoo s with gloves, collars, long sleeves, or by other means acceptable to the City. Facial tattoos of any variety are not permitted. No facial piercings shall be worn while on duty. Drivers shall wear safety vests or reflectorized clothing that conforms to Occupational Safety and Health Administration (OSHA) requirements. Alternatively, the OSHA safety requirements may be incorporated into the uniform, jacket, or rain gear, as long as these items are worn as the outermost garment. C.) Unlawful Activity EXHIBIT “B” 19 The Tow Operator or it’s employees shall not be involved, nor shall the Tow Operator or its employees become involved in any agreement or activity whether verbal, written or conveyed in any other manner, any activity or business venture which may be construed as unlawful. If the City deems the involvement to be unlawful, the City may immediately terminate this Agreement. The Tow Operator shall not provide any direct or indirect commission, gift or any compensation to any person or public or private entity, in consideration of arranging or requesting the services of a tow truck as provided in section 12110 of the CVC. No Tow Operator will be involved or solicit any compensation of any kind including but not limited to involvement with any other company or busin ess that might result in income or consideration as a result of any activity initiated by the City. An example of such a prohibited involvement could include but is not limited to: financial reimbursement by auto-body repair business for referrals, or towing directly from the scene of a collision to the auto -body shop without prior unsolicited approval or request by the registered owner, driver or insurance company representative of the damaged vehicle; kickback to or from a security company or homeowner’s association for “finding” or towing a vehicle from a location, whether private property, public, off street parking facility or a public roadway. Violation of this provision shall be grounds for immediate termination by City, without penalty. D.) Personnel Licenses Tow Operators providing services under this Agreement, including tow truck drivers, dispatchers and other office personnel, will have sufficient knowledge, experience and capability to ensure safe and proper discharge of their service responsibilities. It will be the responsibility of the Tow Operator to ensure that all of its personnel will be properly licensed in accordance with sections 12500, 12520, and 12804.9 of the CVC. All tow truck drivers and tow truck operators shall be enrolled in the “Pull Notice” program as defined in CVC section1808.1 et seq.. Drivers must complete a CHP approved Tow Operator Course every five (5) years and copies of completion of the course shall be sent to the City. All Tow Operators and personnel shall have no criminal record which would preclude them from being placed in a position of trust while in the service of a law enforcement agency or any crime listed below under the heading of “Criminal Record.” E.) Fingerprints All owners and employees who have not previously submitted their “LiveScan” fingerprint samples shall submit their “LiveScan” fingerprint samples, at their own expense, through the City prior to being awarded this Agreement, for the purposes of verifying their criminal history with the Departmen t of Justice. Failure to provide information regarding the identity of the owner, employee, or anyone else with a financial interest in the Tow Operator will result in termination EXHIBIT “B” 20 of this Agreement. The Tow Operator will provide the City with information regarding any change in employee status immediately and update DTS to reflect such changes. Failure to comply may result in further disciplinary action, and will be considered a breach of this Agreement. After execution of this Agreement, no person shal l be employed by the Tow Operator or perform any service under this Agreement until the background record check and “LiveScan” is completed and approved by the City and said employee has received their identification badge from the City. Notwithstanding the foregoing, Tow Operators and owners that have towed for the City under the previous Tow Service Agreement and have completed a new background and “LiveScan” check will be allowed to continue to tow for the City until such time as the results of the background and “LiveScan” submissions are reviewed and approved by the City. Any employee of the Tow Operator that has left employment with said Tow Operator and returned and been rehired must complete an additional background check before performing services pursuant to this Agreement F.) Criminal Record A conviction of anyone with a financial interest in the Tow Operator, or any employee of the Tow Operator, including but not limited to any of the following offenses, may be cause for denial of application or termination of this Agreement:  Any crimes listed in California Penal Code section 290  DUI-Within 5 years of the Date of Fingerprinting  Vehicle theft  Fraud  Stolen Property  Crimes of Violence  Any felony crime relating to narcotics or any controlled substance  Any other crimes enumerated in CVC section 2432.3  Actively on parole or on any form of probation  Crime of moral turpitude  Sex, Arson, Narcotics Registrant  Other felony conviction The City is not required to provide any reason, rationale or fact ual information in the event it elects to deny application or remove any of Tow Operator’s personnel from providing services for the City under this Agreement. Tow driver or employee applicants denied under this section may appeal to the Chief of Police or his/her designee. All decisions by the Chief of Police, or his/her designee, are final. In the event the Tow Operator or employee is convicted or is under investigation, the Tow Operator may be given the opportunity to replace that employee without prejudice to the Agreement. Nothing shall prohibit the City from removing, EXHIBIT “B” 21 suspending or terminating the Agreement. It will be the responsibility of the Tow Operator to provide the City with updated information regarding any illegal activity, arrest(s) or conviction of any Tow Operator and/or employee. For the purpose of this section, any conviction or plea of guilty or nolo contendre, even to any lesser-included offense, are considered convictions. Failure to provide information regarding the identity of the employee, or anyone else with a financial interest in the Tow Operator will result in termination of the Agreement. Failure to provide information to the City of any information regarding the conviction of any of the above crimes may also result in termination of the Agreement. G.) Identification Badges Each tow truck driver or employee of the Tow Operator shall wear, in plain view an identification badge, authorized and issued by the City to that employee, while on any call for service where the City is involved. If a tow truck driver responds to a scene without his authorized name badge, the tow truck driver will be dismissed from the scene and the next Tow Operator in rotation will be called. Failure to carry an identification badge will be considered a violation as stated in Section 31, “Disciplinary Action,” of this Agreement. The purpose of these badges will be to identify those employees of the Tow Operator who have been fingerprinted by the City and have passed the record check by the Department o f Justice. All identification badges are the property of the City and will be returned by the Tow Operator to the City within forty-eight (48) hours of an employee’s separation. Tow Operator will provide a current list of all staff including drivers, dispatchers, etc. Anytime there are any changes to this list, the City is to be notified by the next business day and provided with an updated and current list. 13. Tow Operator Licensing and Certification All licensing and certifications required by Federal, State and local authorities shall be maintained current and valid at all times as required in CVC sections: 34507.5, 34600 et seq, 34620, and 12111, and sections 7231 et seq, of the California Revenue a nd Taxation code. Failure to have any required license or certification, including any driver who fails to have an appropriate class of license, may be grounds for immediate termination by City without penalty. 14. Inspection All real property and improvements thereon, and all vehicle facilities, equipment and materials used by the Tow Operator in the performance of the services required herein shall be open to inspection by the City or its authorized representative, and will be subject to no less than one annual inspection. Additional inspections may be conducted without notice during normal business hours. Inspections may include, but are not limited to, all books, accounts, records, reports, files, financial records, supporting documentation, including payroll and accounts payable/receivable records, and other papers or property of Tow Operator for the purpose of auditing or inspecting any aspect of performance directly related to this Agreement. In the event that the City determines that the real property and improvements thereon are insufficient, derelict or fail to meet the requirements as called out in this Agreement, this Agreement may be terminated by City immediately, without penalty. EXHIBIT “B” 22 15. Vehicle and Equipment Requirements Tow vehicles will be maintained in compliance with sections 24605, 25253, 25300, 27700 and 27907 of the CVC. Tow vehicles will be of at least 14,000 lbs. GVWR with dual rear wheels, with the ability to tow two (2) vehicles, or a vehicle and/or a trailer. Tow vehicles must have two-way communication capabilities and the ability to communicate and connect with the DTS System at all times. The Tow Operator shall have equipment capable of towing from off -road areas, towing from underground facilities, and recovery services with an ad justable boom with at least five tons of lifting capacity. In addition to the conventional wheel lift towing capabilities, the Tow Operator shall maintain at least one or more flatbed or rollback trucks with a minimum of fifty (50) feet of cable, and the required safety equipment. Unless otherwise specified by the City, all Tow Operators shall respond to a tow service request with a flatbed or rollback truck as specified above. At the discretion of the tow operator, a wrecker may be used to respond to a tow service request. If for any reason the Tow Operator is unable to complete the tow service request with the wrecker, the Tow Operator will not be placed back on the top of the rotation list and a new Tow Operator will receive the tow service request. A 3-axle or 25-ton truck is not required equipment. However, Tow Operators that possess this equipment will be placed on a heavy-duty tow rotation list. All trucks must have the required emergency lighting, portable stop and tail lamps, a broom, shovel, fire extinguisher (rating 4-B, C), a utility light, reflective triangles, a large pry-bar, covered trash cans with approved absorbent, rags, unlocking equipment, dollies (boom trucks), chains, and/or tie downs. Wheel lift trucks will maintain at least 100 feet of cable and all safety equipment as required by the manufacturer. Tow vehicles must have a cable winch of sufficient size and capacity to retrieve vehicles that have gone off traveled portions of roadways into inundated areas or other inaccessible locations. Winches must have visible ID tags designating the model, make, serial number, and rated capacity. All tow trucks used in City tows will be subject to a yearly inspection. This does not preclude the City from conducting random inspections throughout the year. 16. Vehicle Identification Tow vehicles shall display identification signs in compliance with section 27907 of the CVC. The Tow Operator shall not display any sign or advertising material that indicates that his tow vehicles are an official police service of the City. 17. Charges and Fees to be collected from Registered Owners All rates and charges shall be conspicuously posted in the office and in all tow vehicles. These rates shall quote complete charges and fees with no additional fees to be added at a later date. These rates will be available for review by City personnel and/or the person for whom tow service is provided. All fees collected shall be itemized and invoiced in DTS in accordance to section 22651.07 of the CVC. It will be EXHIBIT “B” 23 the Tow Operator’s responsibility to collect his bill for service, and the City will not be responsible in any way for these charges. Storage fees will be calculated on the calendar day except the first 24-hours which is counted as a single day in accordance with California Civil Code (CCC) 3068.1 (see Attachment B). All fees listed on the DTS invoice will be received in the form of major credit card, debit card, or cash. All fees collected, both City and Tow Operator fees, must be invoiced through the DTS system prior to release and at the time of payment. No credit card fees will be charged pursuant to CVC section 22651.1 and CCC section 1748.1 for any portion of the fees. The City reserves the right to change all payment methods during the term of this agreement. 18. Lien Fees At no time shall the City be charged a lien fee on a towed or impounded vehicle. No lien shall be attached to any vehicle that has been impounded by the City until after seventy-two (72) hours from the time of storage as listed in the DTS system have passed pursuant to section 22851.12 of the CVC. All lien transact ions must be entered into the DTS system by Tow Operator. Vehicles sold at lien sale shall abide by all laws relating to lien sales. A vehicle held in impound by the City for thirty (30) days, shall not be sold at lien until such time as is considered reasonable to allow the registered owner time to pay for and pick up the vehicle before it is sold at lien, but under no circumstances before the thirty-fifth (35th) day after storage. The Tow Operator shall abide by all applicable statutes and ordinances concerning disposal of unclaimed vehicles, including but not necessarily limited to CVC sections 22670; 22851; 22851.1; 22851.2; 22851.3; 22851.4; 22851.6; 22851.8; 22851.10, 22851.12 and 22852.5. As described in CVC section 22856, liability for despolia tion of evidence shall not arise against the Tow Operator that sells any vehicle at, or disposes of any vehicle after, a lien sale, as long as the Tow Operator can show written proof that he was notified in writing by the City that the vehicle would not be needed as evidence in a legal action. This proof may exist in the form of an official release in the DTS System or any other written conveyance signed by a member of the City prior to the official, written release of the vehicle. 19. Reasonableness and Validity of Fees Fees charged to the registered owner or any other person for response to calls originating from the City shall be reasonable and not in excess of those rates charged for similar services provided in response to requests initiated by any ot her public agency or private person. During the term of this agreement, the City shall conduct an annual review each December of towing and storage fees of comparable cities and adjust rates set forth in Attachment B by the first week of January of the following year. 20. Towing Operation All tows performed under this Agreement will be included in the flat rate charge as described in Attachment B. No additional charges shall be charged without prior approval from the City and written notice is provided in the DTS System. Any unapproved charges received outside the DTS System will result in immediate termination of this Agreement and removal from the rotation list. EXHIBIT “B” 24 The Tow Operator shall base towing charges upon the class of vehicle being towed regardless of the class of the truck used, except when vehicle recovery operations require a larger class truck. The Tow Operator may refer to the tow truck classes and weight ratings as defined by the Towing & Recovery Association of America (TRAA) vehicle identification guide. 21. Service Call Rotation and Fees The City shall establish a separate rotation list for Tow Operators willing to respond to service requests (out of gas, lockouts, tire changes, etc.) Rates for a service requests shall not exceed one-half the flat rate charge for a light duty truck response. 22. Gate Fees No gate fees may be charged between 8:00 a.m. through 5:00 p.m. Monday through Friday, excluding State recognized holidays as listed below: New Year’s Day Martin Luther King Day Presidents’ Day Cesar Chavez Day Memorial Day Independence Day Labor Day Veterans’ Day Thanksgiving Day Day after Thanksgiving Christmas Day An after hours gate fee may be charged at all other times. The gate fee is not to exceed fifty percent (50%) of the flat rate charge for a light duty tow and may be charged to the vehicle’s owner for releases or personal property recovery that occurs outside normal business hours (excluding lien fees, storage fees, taxes, or other additional fees.) The Tow Operator is responsible for assuring that proper gate fees are charged in accordance with this section. Over charging gate fees will be considered a major violation as outlined in Section 30. All towing and storage fees charged by the Tow Operator are the responsibility of the vehicle’s owner and are not the responsibility of the City. The exception would be evidentiary impounds made at the direction of City personnel. 23. Cancelled Tow The City shall not be liable to pay the Tow Operator or anyone else any charge or other fee for a call that does not result in a chargeable service being rendered by Tow Operator (“Dry Run”). The cancelled Tow Operator shall be p laced back on the top of the rotation list and will receive the next tow in rotation. EXHIBIT “B” 25 24. Towed in Error In the event the City determines that an error has occurred in impounding a vehicle, it shall be immediately released to the registered owner without charge and the Tow Operator will be placed back on the top of the rotation list and will receive the next tow in rotation. In addition, the Tow Operator will be given one extra tows on the rotation list. Additional extra tows may be given at the discretio n of the Tow Unit. 25. Release Fees California law authorizes the recovery of funds required to enforce certain provisions of the CVC and promote traffic safety on public roadways. This authorization falls under CVC section 22850.5 and further authorized by City resolutions. These resolutions are open to public view at the City and/or City offices and are on file with the City’s Traffic Bureau. The Tow Operator will collect fees on the behalf of the City from the registered owner, legal owner or agent of an impounded car. A City administrative / franchise fee will be charged for the release of a vehicle that has been impounded by the City. Fees will be established by an independent consulting firm to determine the City’s costs associated with impounding vehicles in accordance with CVC sections 22850.5 and 12110(b). All vehicles impounded will be charged an administrative / franchise fee for the release of the vehicle. This fee will be established and attached to each vehicle in the DTS System. The City’s administrative fees will be collected at the time of the release by the Tow Operator. The Tow Operator will pay the City’s franchise fees equivalent to the City’s administrative fees for every vehicle that is not picked up by the owner or agent. The Tow Operator will pay the City’s administrative / franchise fees for every City vehicle that was towed during the preceding month and will pay the City no later than 12:00 p.m. on the 15th of the following month, regardless of the disposition of the vehicle. In the event that the 15th of the month falls on one of the State recognized holidays listed in Section 22 above, or a weekend, the City’s administrative/franchise fee must be paid by 12:00 p.m. on the following business day. Tow Operators who fail to subm it the City’s administrative / franchise fees to the City by the 15 th day of each month will be immediately suspended from rotation until all fees are received, and will be subject to appropriate disciplinary action and civil recourse. The City will keep a strict accounting of these fees through the DTS System and frequent audits will take place to ensure accurate and timely payment of collected City administrative / franchise fees. The fee will be listed as an item on the owner’s / agent’s DTS contractor invoice. 26. Unauthorized Release Unauthorized release of an impounded vehicle, accidental or otherwise, having evidentiary value, not officially released by the City, and determined to be the fault of the Tow Operator, will result in the issuance of a major violation as set forth in this Agreement. The determination of such fault will be the responsibility of the City. 27. Release of Multi-Day Impounds A vehicle impounded with a multiple day hold may only be released prior to the impound period with written authorization by the City in the DTS System. The DTS System will automatically schedule the release of an impounded vehicle. EXHIBIT “B” 26 28. Release of Vehicles Vehicles may only be released through the DTS System. Once the DTS System authorizes the release of a stored or impounded vehicle, it is the Tow Operator’s responsibility for the vehicle’s release. The Tow Operator is hereby granted authority to release to the registered owner, legal owner, or authorized representative, pursuant to section 22850.3 of the CVC. At the time of release, the Tow Operator shall have the registered owner, legal owner, or authorized representative taking possession of the vehicle sign a release indicating that they are properly licensed and insured to drive a motor vehicle. 29. Disciplinary Action The Chief of Police, or his/her designee, shall take disciplinary action against Tow Operators for violations investigated and sustained. Unless otherwise noted, the Chief of Police, or his/her designee, will determine the period of suspension and shall retain discretion regarding the length of any suspension imposed pursuant to the terms and conditions of this Agreement. The City shall retain record of violations for at least the term of this Agreement. 30. Major violations Major violations include any chargeable offense under Federal, State, Local Law and significant violations of this Agreement. Such violations shall result in suspension or immediate termination of this Agreement. The Chief of Police, or his/her designee, reserves the right to impose longer periods of suspensions or immediate termination, if deemed appropriate in his/her sole discretion. The Chief of Police, or his/her designee, reserves the right to remove a Tow Operator from the tow rotation during the investigation of a major violation. A reinstatement from suspension for a major violation will result in a five hundred dollar ($500.00) fee. Suspension will not be lifted until the reinstatement fee is received by the Chief of Police or his/her designee. In addition, a major violation may also result in the Tow Operator’s employee being removed from participation in this Agreement. Examples of major violations include, but are not limited to:  Physical assault, against public and/or law enforcement  Verbal abuse against public and/or law enforcement  Resisting arrest  Tow Truck Driver under the influence of alcohol or illegal drugs  Charging rates that exceed those listed in Attachment B  Vehicle released without authorization  Unauthorized access to storage yard  Theft  Mishandling of vehicles stored as evidence  Unauthorized driver responding to call  Failure to provide information or change of status on any Tow Operator employee or staff  Substantiated private party impound complaints  Any Felony/Misdemeanor arrest  Refusal to take a rotational tow  Failure to utilize the DTS System for all City towing related matters EXHIBIT “B” 27  Repeated late or nonpayment of City franchise fees  Failure to properly secure storage yard  Failure to obey a lawful order by law enforcement 31. Minor violations Minor violations will be given to the Tow Operator in the form of a documented warning for the first violation. The second violation will be in the form of a documented reprimanded and a one hundred dollar ($100.00) fine. Repeated minor violations during the term of the Agreement may be treated as a major violation, and the Tow Operator will be suspended or terminated from this Agreement. A reinstatement from suspension will result in a five hundred dollar ($500.00) fee. Suspension will not be lifted until the reinstatement fee is received by the Chief of Police or his/her designee. Examples of minor violations include, but are not limited to:  Late payment of City franchise fees  Tow truck drivers not wearing City issued I.D. cards/ proper uniform  Unauthorized arrival time in excess of thirty (30) minutes, or forty-five (45) minutes during peak hours  Repeated rejection of dispatched calls  Other violations of this Agreement not considered a major violation by the Chief of Police or his/her designee  Unauthorized ride-a-long  Failure to respond to customers’ needs  Failure to maintain proper equipment  Failure to clean up at a collision scene  Vehicle code infractions 32. Hearing/Appeal Tow Operator must have a legal existing interest in the tow operation or entitlement subject to the City order, citation, decision or determination to have standing to appeal a decision by the Chief of Police or his/her designee. An appeal that fails to identify the appellant’s standing may be rejected as defective. In the event FPD serves Tow Operator with disciplinary action amounting to anything less than a suspension resulting from a minor violation, the Tow Operator may request a hearing within fifteen (15) calendar days by submitting an appeal in writing to the Chief of Police, or his/her designee, through the Tow Unit. In the event FPD serves Tow Operator with disciplinary action amounting to a suspension for thirty (30) days or less resulting from a minor or major violation, the Tow Operator may request a hearing within fifteen (15) calendar days by submitting an appeal in writing to the Chief of Police, or his/her designee, through the Tow Unit. Upon receipt of a written request for an appeal, and at the discretion of the Chief of Police, or his/her designee, the Tow Operator may be allowed to continue rotational tows until the final disposition of the appellate hearing. In the event FPD serves Tow Operator with disciplinary action amounting to a suspension in excess of thirty (30) days, or termination of the T SA, the Tow Operator EXHIBIT “B” 28 may request a hearing within fifteen (15) calendar days by submitting an appeal in writing to the Administrative Hearing Officer by way of the City Manager’s Office. The written appeal shall be in compliance with FMC sections 1-407 and 9-1712. Notwithstanding any provision within Chapter 1, Article 4 of the FMC, any person who appeals a suspension in excess of thirty (30) days, or a termination of the TSA shall not be entitled to placement on the Tow Rotation List or to participate in tows until such time as any appeal hearing has been concluded and the Administrative Hearing Officer finds that no grounds for a suspension in excess of thirty (30) days, or a termination of the TSA has been established. Tow Operator’s remedy shall be lim ited to reinstatement on the tow rotation list in such case and no other compensation or consideration will be allowed. EXHIBIT “B” 29 ATTACHMENT B TOW FEES Flat price per vehicle per call: Light Duty Tow/Flatbed $ 184.00/Each Medium Duty Tow $ Average CHP Rates Apply Heavy Duty Tow $ Average CHP Rates Apply Water Recovery: $ Average CHP Rates Apply Technology Fee: DTS Software Fee per Vehicle Towed $ Charge listed in DTS Contract and DTS System Storage Rates: Passenger cars $ 45.00/per day Motorcycles $ 45.00/per day Trucks or Trailers $ Average CHP Rates Apply Inside Storage Rates: Passenger cars $ 55.00/per day Motorcycles $ 55.00/per day Trucks or Trailers $ Average CHP Rates Apply Gate Fee: No gate fees may be charged between 8:00 a.m. through 5:00 p.m. Monday through Friday, excluding State recognized holidays as listed in the Agreement. An after hours gate fee may be charged at all other times. The gate fee shall not exceed fifty percent (50%) of the flat rate charge for a light d uty tow and may be charged to the vehicle’s owner for releases or personal property recovery that occur outside normal business hours (excluding lien fees, storage fees, taxes, or other additional fees). Non-tow service calls (out of gas, lockouts, and flat tires) shall not exceed one -half the flat rate charge for a light duty truck response. City of Fresno Administrative / Franchise Fees: Vehicle Collision Blocking a Roadway $ 60.00 Illegally Parked / Abandoned Vehicle $116.00 Unlicensed Driver / Expired Registration $189.00 Arrested / Suspended Driver $266.00 DUI Driver $450.00 All fees listed on the DTS invoice will be received in the form of major credit card, debit card or cash. No credit card fee will be charged pursuant to CVC section 22651.1 and CCC section 1748.1. Date Adopted: Page 1 of 13 Date Approved Effective Date: City Attorney Approval: Ordinance No. BILL NO. _________ ORDINANCE NO. _____________ AN ORDINANCE OF THE CITY OF FRESNO, CALIFORNIA AMENDING ARTICLE 17 OF CHAPTER 9 OF THE FRESNO MUNICIPAL CODE RELATING TO TOW TRUCKS. THE COUNCIL OF THE CITY OF FRESNO DOES ORDAIN AS FOLLOWS: SECTION 1. Article 17 of Chapter 9 of the Fresno Municipal Code is amended to read: ARTICLE 17 – TOW CARS [TOW TRUCKS] Section 9-1701. Title. 9-1702. Definitions. 9-1703. Intent. 9-1704. Dispatching of tow cars [Tow Trucks]. 9-1705. Exceptions. 9-1706. Application for Placement on Rotation List. 9-1707. Investigation. 9-1708. Non transferability [and Change of Control]. 9-1709. Regulations. 9-1710. Suspension. 9-1711. Removal from Rotation List. 9-1712. Appeal. 9-1713. Authority of Police Chief. SECTION 9-1701. TITLE. This article shall be known as the Tow Car [Tow Truck] Ordinance of the City of Fresno. SECTION 9-1702. DEFINITIONS. Unless the particular provision or the context otherwise requires, the definitions and provisions contained in this section shall govern the construction, meaning, and application of words and phrases used in this article, and, except to the extent that a particular word or phrase is otherwise specifically defined in this section, the definitions and provisions contained in Article 2 of Chapter 1 of this Code shall also govern the Page 2 of 13 construction, meaning, and application of words and phrases used in this article unless the particular provisions or the context otherwise requires. Whenever any words or phrases used herein are not defined, but are defined in the Vehicle Code of the State of California, and amendments thereto, such definitions shall apply. The definition of each word or phrase shall constitute, to the extent applicable, the definition of each word or phrase which is derivative from it, or from which it is a derivative, as the case may be. (a) "Non-Exclusive Franchise" means non-exclusive franchise granted by the Council in accordance with Article XIII of the Charter of the City of Fresno for purposes of participating with the Police Department's Rotation List. (b) "Police Impound" means a written direction from the police officer on the scene to store the vehicle to be towed in a secured area until released by Police Department Personnel. It is the discretion of the police officer to store the vehicle in either an inside or outside storage facility. (c) "Rotation list" means a list of persons engaged in the business of providing tow car [Tow Truck] service, which list shall be maintained by the Police Chief or his or her designee for the purpose of rotating police dispatch of tow cars [Tow Truck] in accordance with the provisions of this article, a Tow Agreement and other applicable law. (d) "Tow Agreement" means a non-exclusive franchise agreement entered into between the City and an owner of tow cars [Tow Truck] that defines the obligations, procedures and terms of the tow car Page 3 of 13 [Tow Truck Company] being placed on the Rotation List, and is approved by the City Attorney's Office. (e) "Tow car" [“Tow Truck”] means a motor vehicle which has been altered or designed and equipped for and exclusively [primarily] used in the business of towing vehicles by means of a crane, hoist, tow bar, tow line or dolly, or is otherwise exclusively [primarily] used to render assistance to other vehicles. [A “roll-back carrier” designed to carry up to two vehicles, and a trailer for hire that is being used to transport a vehicle shall also be considered a Tow Truck under this Article. An automobile dismantlers’ tow vehicle or a repossessor’s tow vehicle shall not be considered a Tow Truck for purposes of this Article.] SECTION 9-1703. INTENT. It is the intent of this article to regulate the operation of tow car [Tow Truck] services dispatched by the Police Department of the city pursuant to the authority conferred by the Vehicle Code. SECTION 9-1704. DISPATCHING OF TOW CARS [TOW TRUCKS]. Except as otherwise provided in Section 9-1705, the Police Chief or his or her designee shall dispatch tow cars [Tow Trucks] to perform tow car [Tow Truck] services only on a rotation basis from a rotation list established and maintained in accordance with the provisions of this article, the Non-Exclusive Franchise, and the Fresno Police Department Tow Agreement [and the Non-Exclusive Franchise Tow Agreement for the Fresno Police Department]. SECTION 9-1705. EXCEPTIONS. This article shall not apply to the following: Page 4 of 13 (a) Tow car [Tow Truck] services performed by automobile clubs, automobile associations or garages specified by the owner or driver of the towed vehicle; (b) Tow car [Tow Truck] services performed for the abatement and removal of abandoned, wrecked, dismantled or inoperable vehicles or parts thereof pursuant to Section 22660, et seq., of the Vehicle Code; or (c) Tow car [Tow Truck] services performed on an emergency basis to eliminate a dangerous or hazardous condition as determined by the police dispatcher [department], when the dispatcher determines that another tow car [Tow Truck] can provide the most expeditious response. SECTION 9-1706. APPLICATION FOR PLACEMENT ON ROTATION LIST. Any person engaged in the business of providing tow car [Tow Truck] service and desiring to be placed on the rotation list shall submit a signed Tow Agreement and an application for a Non-Exclusive Franchise to the Police Chief or his or her designee. The application shall be in a form approved by the Police Chief or his or her designee and shall include the following: (a) The applicant's name, home address, business address, and telephone numbers, including the names of persons doing business under fictitious names, members of partnerships, and officers of corporations or associations; (b) A list of vehicles which will be used as tow cars [Tow Trucks] including a full description of each vehicle and its license number; Page 5 of 13 (c) The location of the applicant's place of business and storage facility; and (d) Such other and further information as the Police Chief or his or her designee may require. [(e) No Tow Truck company shall accrue any vested rights as a result of being a party to a Non-Exclusive Franchise Tow Agreement, nor will any Tow Truck company be guaranteed placement on subsequent Non-Exclusive Franchise Tow Agreements for the Fresno Police Department. All applicants for any subsequent Non-Exclusive Franchise Tow Agreement will be reviewed and considered for inclusion at the time of the issuance of the subsequent Non-Exclusive Franchise Tow Agreement. Tow Truck company owners may be subject to an interview process and an inspection prior to approval. Tow truck companies currently on the Police Department rotation list who are in good standing, will receive priority reinstatement status on subsequent Non-Exclusive Franchise Tow Agreements for the Fresno Police Department.] The application shall be made under penalty of perjury and shall not be accepted unless it is clearly filled out in full with all required information and submitted with a Tow Agreement. SECTION 9-1707. INVESTIGATION. The Police Chief or his or her designee shall cause an investigation to be made of the facts stated in the application, and shall within thirty days after completion of the investigation place the applicant on the rotation list unless any one of the following exists: Page 6 of 13 (a) The applicant has [previously] been removed from the rotation list within the last twenty-four (24) months [for violations of the Non-Exclusive Franchise Tow Agreement for the Fresno Police Department]; (b) A material statement made in the application is untrue; (c) A fact exists of which the Police Chief or his or her designee has knowledge which would be cause for removal or suspension of the applicant from the rotation list; (d) The applicant's business or storage facility is not located within twenty (20) miles of the city's limits [the geographical boundaries as set forth in the Non-Exclusive Franchise Tow Agreement for the Fresno Police Department]. (e) The applicant has a felony conviction; or (f) The rotation list already consists of 30 or more tow companies; or (g) The applicant fails to sign a Tow Agreement. SECTION 9-1708. NONTRANSFERABILITY [AND CHANGE OF CONTROL]. No person shall assign or subcontract their Tow Agreement [Non- Exclusive Franchise Tow Agreement for the Fresno Police Department] under this article to another person. [Tow Operator agrees that if there is a change or transfer in ownership or control, other than transfers to “immediate family” as defined in Fresno Municipal Code Section 3-101(e), of the Tow Operator’s business prior to completion of this Page 7 of 13 Agreement, such change or transfer will terminate the Non-Exclusive Franchise Agreement. This includes but is not limited to: changes in Corporate Board Members, Managers, Directors, Treasurer, Trustees, or ownership interests. All transfers of ownership or control to “immediate family” shall be approved prior to the execution of any transfer. “Immediate family” transfers will be subject to the final approval of the Chief of Police or his/her designee. “Immediate family” members will be required to pass background reviews, livescan fingerprint screening and will be required to possess the proper licensing certificates and insurance to perform tow operations for the City of Fresno Police Department . The “immediate family” transferee will also be required to execute a new Non - Exclusive Franchise Agreement with the Police Department.] SECTION 9-1709. REGULATIONS. All persons on the rotation list shall: (a) Comply with all laws of the state pertaining to tow cars [Tow Trucks] and tow car [Tow Truck] service, including but not limited to satisfying minimum equipment standards, reporting to the California Highway Patrol all vehicles stored over thirty (30) days and keeping records of vehicles stored for longer than twelve (12) hours [and all provisions of the Non-Exclusive Franchise Tow Agreement for the Fresno Police Department, and all City of Fresno zoning requirements]; (b) Provide twenty-four (24) hour service, seven (7) days per week, including holidays, for towing, storage and release of vehicles; Page 8 of 13 (c) Remain open during normal business hours and release vehicles after normal business hours. "Normal business hours" are Monday through Friday, from 8:00 a.m. to 5:00 p.m., except state or city holidays; (d) Have storage space a minimum of 5,000 square feet in area or the capability to store a minimum of twenty (20) vehicles; (e) Provide adequate security for vehicles and property. Security shall include a minimum six-foot high fence or wall enclosing any outside storage area which screens and/or blocks the stored vehicles and other property from public view; (f) Furnish the Police Department with a copy of any report made to the Department of Justice in Sacramento pursuant to Vehicle Code Section 10652, regarding vehicles stored for thirty (30) days, the copy may be forwarded by regular mail; (g) Store vehicles subject to a police impound within a secured storage facility. It is the discretion of the police officer to store the vehicle in either an inside or outside storage facility. (h) Retain and safeguard any vehicle subject to a police impound until authorized by the Police Department to release same and the contents therein; (i) Post a schedule of towing fees in a conspicuous place on the business premises; Page 9 of 13 (j) [(b)] Charge reasonable towing fees not in excess of those charges that would have been charged for that towing or storage under the Tow Agreement or if the private property is not located within the city, then the law enforcement agency that exercises primary jurisdiction in the county in which the private property is located; (k) Maintain motor vehicle liability insurance and general liability insurance by a policy or policies having single limit bodily injury and property damage limits of not less than one million dollars ($1,000,000.00) and provide the City with a certificate of insurance evidencing the same; (l) Maintain receipts, with a copy placed in the towed or stored vehicle, whenever any item is removed from such vehicle; (m) Maintain records of tow services and other services furnished, including a description of the vehicle, the nature of services rendered, and the time and location of calls. These records may be inspected by authorized employees of the City during normal business hours; (n) [(c)] Comply with such other rules and regulations promulgated by the Police Chief or his or her designee. SECTION 9-1710. SUSPENSION. Any tow car service [Tow Truck company] placed on the rotation list may be suspended by the Police Chief or his or her designee from such list if the tow car service [Tow Truck company] fails to comply with any of the conditions, regulations or requirements of this article. Upon learning of grounds for suspension, the Police Chief or his or her designee Page 10 of 13 shall immediately, by written notice, inform the owner of the tow car service [Tow Truck company] of his action of suspension. The Police Chief or his or her designee may reinstate the tow car service [Tow Truck company] to the rotation list upon satisfactory proof that the tow car service [Tow Truck company] is in compliance with the conditions, regulations, and requirements of this article [and has completed its suspension]. SECTION 9-1711. REMOVAL FROM ROTATION LIST. Any tow car service placed [Tow Truck company] on the rotation list may be removed from such list [in accordance with the provisions of the Non-Exclusive Franchise Tow Agreement for the Fresno Police Department .] for one or more of the following grounds: (a) The tow car service has been suspended from the rotation list at least once and repeatedly or intentionally fails to comply with any of the conditions, regulations or requirements of this article. (b) The owner of the tow car service knew or should have known that his driver or drivers have repeatedly violated the provisions of the Vehicle Code and has failed to take corrective action within a reasonable time. (c) The tow car service repeatedly fails to answer calls, fails to respond to calls within a reasonable time, fails to maintain clean and orderly storage facilities, or at any time fails to clean the roadway of glass and debris at an accident scene. Page 11 of 13 (d) The owner of the tow car service sells fifty-one (51) percent or more of the business, provided the person, or persons purchasing the business may apply for placement on the rotation list in accordance with Section 9-1706 of this article. (e) The owner of a tow car service applies for placement on the rotation list under another name. (f) When a fact exists which would constitute a ground for denial of an application pursuant to Section 9-1707. Upon learning of grounds for removal, the Police Chief or his or her designee shall immediately, by written notice, inform the owner of the tow car service [Tow Truck company] of his [or her] action of removal. SECTION 9-1712. APPEAL. Any applicant denied placement on the rotation list, or any person [Tow Truck company] suspended [in excess of 30 days] or removed from the rotation list, shall have the right to appeal such order under Chapter 1, Article 4. If no appeal is filed within the time prescribed, the action of the Police Chief shall be final. Notwithstanding any other provision of this Code including Chapter 1, Article 4, in the event that any appeal is filed, the appellant shall not be allowed to participate in any tows or be placed on the Rotation List until such time as the Chief Administrative Officer finds that the appellant is entitled to be reinstated on the Rotation List. [Applicants for a position on the rotation list have no vested interest in the City of Fresno Non- Exclusive Franchise Tow Agreement for the Fresno Police Department and therefore have no right of appeal.] Page 12 of 13 SECTION 9-1713. AUTHORITY OF POLICE CHIEF. The Police Chief for the City of Fresno is authorized to promulgate administrative rules and procedures [in the form of the City of Fresno Non-Exclusive Franchise Tow Agreement for the Fresno Police Department, Administrative Order, or any other document] necessary for the successful and effective implementation of this Article including establishing, amending, updating, restating and entering into towing agreements subject to approval of the City Attorney. Said administrative rules and procedures shall be in writing. SECTION 2. Severability. If any section or portion of this ordinance shall be determined invalid or unconstitutional, that section or portion shall be deemed severable and all remaining sections or portions shall remain in full force and effect. SECTION 3. This ordinance shall become effective and in full force and effect at 12:01 a.m. on the thirty-first day after its passage. / / / / / / / / / * * * * * * * * * * * * * * Page 13 of 13 * * * * * * * * * * * * * * STATE OF CALIFORNIA ) COUNTY OF FRESNO ) ss. CITY OF FRESNO ) I, YVONNE SPENCE, CMC, City Clerk of the City of Fresno, certify that the foregoing ordinance was adopted by the Council of the City of Fresno, at a regular meeting held on the _________day of , 2014. AYES: NOES: ABSENT: ABSTAIN: Mayor Approval: , 2014 Mayor Approval/No Return: , 2014 Mayor Veto: , 2014 Council Override Vote: , 2014 YVONNE SPENCE, CMC City Clerk By:_________________________ Deputy APPROVED AS TO FORM: DOUGLAS T. SLOAN City Attorney By:______________________________ Mary Anne B. Tooke, Deputy MAT:MDF:nts:pn [60686ns/ORD] -09/03/14 BILL NO. ORDINANCE NO. AN ORDINANCE OF THE CITY OF FRESNO, CALIFORNIA, WHICH GRANTS TO THE TOWING OPERATORS LISTED ON ATTACHMENT A NON- EXCLUSIVE FRANCHISE TO PARTICIPATE IN THE FRESNO POLICE DEPARTMENT'S TOW CAR ROTATION LIST. THEcoUNclLoFTHEclTYoFFREsNo(THE,,clTY,)DoESoRDAlNAS FOLLOWS: SECTION 1. This Ordinance effectuates the terms and conditions set forth in the form of the Franchise Agreements executed by the City and the Towing operator(s) listed on Attachment A. SECTION 2. Whenever in this ordinance the words or phrases hereinafter in this section defined are used, they shall have the respective meanings assigned to them in the following definitions; and words or phrases not hereinafter in this section defined, but which are defined in any Franchise Document, as herein defined, shall have the same meanings herein, as so defined in such Franchise Documents (unless, in the giveninstance,thecontextwhereintheyareusedsha|lclearlyimportadifferent meaning): (a) " Towing operator " shall mean one or more of the companies listed on Attachment A, attached hereto and incorporated herein by reference. (b) "Franchise Documents" shall mean and shall include all of the following: Date Adopted: Date Approved Effective Date: City Attorney Approval: Page 1 ol 4 Ordinance No. (l) Article Xlll of the Charter of the City of Fresno. (2') Chapter 6, Article 2, of the Fresno MunicipalCode. (3) The Non-Exclusive Franchise Agreements for Towing Services. (4) The written acceptance of the granting of a Non-Ëxclusive Franchise to Towing operators. (5) Resolution No. , Resolution of lntention to grant Franchises to the Towing operators. (6) This,Ordinance. (7) Any and all documents which are referred to, defined, or described in any of the foregoing as "Franchise Documents." (c) "Franchise Fee" shall mean any and all compensation or other consideration paid directly or indirectly to the City for the non-exclusive right to perform City generated tows pursuant to, and in the amount defined in the Non- Exclusive Franchise Agreement, and other rates established by the Non- Exclusive Franchise Ag reement. SECTION 3, Non-Exclusive Franchise Authorizing and permitting the Towing operator to do all things described by the Franchise Documents is hereby granted to the Towing operators identifíed in Exhibit "4," who have provided written acceptance to the terms and conditions set out in the Franchise Documents. SECTION 4. The term of the Non-Exclusive Franchise Agreements shall be expressly stated in Attachment B, which is attached hereto and incorporated by reference. Page 2 of 4 SECTION 5. Towing operators shall pay to the City all franchise/administrative fees pursuant to, and in accordance with the Non-Exclusive Franchise Two Agreement. SECTION 6. Staff shall provide Council with an annual status report on the tow franchise during the time of the annual review of the towing and storage fees under the Non-Exclusive Franchise Tow Agreement. SËCT¡ON 7. This ordinance shall become effective and In full force and effect at 12:01 a.m. on the thirty-first day after its final passage. ,t************* Page 3 of 4 STATE OF CALIFORN]A COUNTY OF FRESNO CITY OF FRESNO l, YVONNE SPENCE, City Clerk of the City of Fresno, certify that the foregoing ordinance was adopted by the Council of the City of Fresno, at a regular meeting held on the day of SS. ,2014. AYES :NOES : ABSENT : ABSTAIN : Mayor Approval: Mayor ApprovaliNo Return : Mayor Veto: Council Override Vote: APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE BY: Brandon M, Collet Date Deputy Attachments: Attachment A - List of Grantees Attachment B - Franchise Agreement 2014 2014 2014 2014 YVONNE SPENCE, CMC City Cterk BY: Deputy Page 4 of 4 City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-423 Agenda Date:10/9/2014 Agenda #:1-F REPORT TO THE CITY COUNCIL October 9, 2014 FROM:SCOTT L. MOZIER, PE, Director Public Works Department THROUGH:ANDREW J. BENELLI, PE, City Engineer/Assistant Director Public Works Department, Traffic and Engineering Services Division BY:CRAIG L. HANSEN, Supervising Real Estate Agent Public Works Department, Real Estate Services Section SUBJECT Authorize the City Manager or designee to execute a grant deed for the sale of excess property in the amount of $75,348 to DFP Limited LP located on “G” Street near Tulare Street APN 467-071-03T and 467-071-04T (Council District 3) RECOMMENDATION To approve the sale of 13,125 square feet of excess property located at 941 “G”Street to DFP Limited LP also known as Central Fish Company. EXECUTIVE SUMMARY Central Fish Company occasionally uses a vacant property across the street from its business for overflow parking at Kern and “G”Streets.That property is in the direct path of the proposed high speed rail.In search of a replacement property for the overflow parking,DFP Limited approached the City of Fresno about selling its parking lot located just north of the store and restaurant.The City of Fresno has agreed in principle to sell its property to DPF Limited pending concurrence by the City Council. BACKGROUND The City of Fresno constructed a parking lot on the subject property more than 20 years ago,next to Central Fish Company on “G”Street between Tulare and Kern Street.Central Fish had been using a vacant parcel across the street from its business as overflow parking,but is now compelled to sell that property to the California High Speed Rail.Central Fish approached the City of Fresno about its City of Fresno Printed on 12/16/2022Page 1 of 2 powered by Legistar™ File #:ID#14-423 Agenda Date:10/9/2014 Agenda #:1-F that property to the California High Speed Rail.Central Fish approached the City of Fresno about its vacant parking lot.The Parking Division agreed to sell the parking lot since it was no longer being considered for any future use.An independent MAI appraisal was performed and a price negotiated which was somewhat higher than the appraisal.The subject property is free of any liens or bonds and the proceeds are expected to be deposited into the Parking Service Fund 10101-401001.The City Attorney has reviewed and approved the purchase and sale agreement along with the grant deed as to form. ENVIRONMENTAL FINDINGS The project falls within the Class 1 Categorical Exemption set forth in CEQA Guidelines,Section 15301(c)as the subject property had been used as a parking lot by the City of Fresno for many years and the new owner intends to use the parcel for the same purpose.Furthermore,none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines,Section 15300.2 apply to this project. LOCAL PREFERENCE N/A FISCAL IMPACT The City of Fresno will net $75,348 from the sale of the property. Attachment: Aerial photo of subject property City of Fresno Printed on 12/16/2022Page 2 of 2 powered by Legistar™ City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-438 Agenda Date:10/9/2014 Agenda #:1-G REPORT TO THE CITY COUNCIL October 9, 2014 FROM:THOMAS C. ESQUEDA, Director Department of Public Utilities BY:JERRY L. SCHUBER SR., Assistant Director Department of Public Utilities, Solid Waste Management Division SUBJECT RESOLUTION - Of Intention by the Council of the City of Fresno, California, to grant a Non-Exclusive Franchise for roll-off collection services within the City of Fresno and setting the public hearing for October 23, 2014 RECOMMENDATION It is recommended that City Council approve a resolution declaring its intention to award a non-exclusive roll-off collection franchise to the company listed on the attachment in preparation for a public hearing on the matter and final vote to approve the non-exclusive roll-off franchise on October 30, 2014. EXECUTIVE SUMMARY The City Council approved an ordinance establishing a non-exclusive roll-off collection franchise system for private haulers under City Charter Article XIII,Section 1300 on July 21,2011.Sixteen (16)companies were approved as franchisees at that time.Since then,four (4)additional companies have applied and been approved to become franchisees. The most recent application requires City Council approval to be added to the list of franchisees. BACKGROUND On July 21,2011,City Council an ordinance establishing a non-excusive roll-off collection franchise system to regulate roll-off hauler collection activities. The volume of roll-off materials collected is approximately 20-25%of the solid waste stream and highly recyclable, therefore the City has implemented the system to: ·Comply with current and anticipated State regulations related to the diversion of such materials from landfill diversion; ·Implement the goals of the City’s AB 939 Plan including the Source Reduction and City of Fresno Printed on 12/16/2022Page 1 of 3 powered by Legistar™ File #:ID#14-438 Agenda Date:10/9/2014 Agenda #:1-G Recycling Element as adopted by the City Council; ·Support the goals of the City to achieve 75%diversion by 2012 and Zero Waste by 2025, which were adopted by City Council by establishing minimum diversion standards for roll -off materials (50% of C&D materials and 70% of recyclables); and ·Increase the fees received from these companies from the previous material diversion fee of $17.70 per service location to a 10%franchise fee.In FY 2014,the City received $636,320. Roll-Off Hauler Application Process Haulers may apply to the City to obtain a non-exclusive roll-off franchise. The applicant must describe and/or provide: ·Information about the company ·Qualifications of the company, which must include: ―Names and addresses (1)officers,directors,and associates;(2)persons and entities having five percent or more of ownership;and (3)Any parent or subsidiary or business entity owning or controlling in whole or in part applicant ―Description of applicant’s experience ―Municipal references ―Customer references ―Proof of insurance ―Litigation and regulatory history ―Criminal history ·Operations Information ―Diversion plan ―Description of equipment (trucks and containers) ―Collection schedule ―Description of the types of materials to be collected ―Processing facilities collector intends to use ―Hazardous waste procedures ―Customer service plans ―Billing services ·Other information that may be requested by the Director of Department of Public Utilities. All franchise applications have been thoroughly reviewed and vetted by internal city staff, who are experts in this area. Next Steps Per the City Charter,if the non-exclusive roll-off collection franchises are to be awarded,the City Council must perform an introduction and first reading of an ordinance awarding the franchise.A public hearing for this issue will then be held on October 30, 2014. At the conclusion of the public hearing, the City Council will decide whether to award the franchise. If approved by City Council,the Director of the Public Utilities Department will execute the agreements with the franchisees listed on Attachment A. ENVIRONMENTAL FINDINGS By the definition provided in the California Environmental Quality Act Guidelines Section 15378 this item does not qualify as a “project” and is therefore exempt from the California Environmental Quality Act requirements. LOCAL PREFERENCE Local preference was not implemented because a resolution declaring an intention to award a non-exclusive roll-off franchise is not an award of a services or construction contract. City of Fresno Printed on 12/16/2022Page 2 of 3 powered by Legistar™ File #:ID#14-438 Agenda Date:10/9/2014 Agenda #:1-G FISCAL IMPACT In FY 2014, the City received $636,320 in total annual franchise fees from roll-off haulers. Attachments: ·Resolution of Intention ·List of Grantees-Attachment A ·Non-Exclusive Franchise Agreement-Attachment B City of Fresno Printed on 12/16/2022Page 3 of 3 powered by Legistar™ Attachment A List of Grantees Business Name Full Legal Name 1 Katch Environmental Katch Environmental Inc. 2 Mini Dumpsters of Fresno Mini Dumpsters of Fresno City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-439 Agenda Date:10/9/2014 Agenda #:1-H REPORT TO THE CITY COUNCIL October 9, 2014 FROM:THOMAS C. ESQUEDA, Director Department of Public Utilities THROUGH:STEPHEN A. HOGG, Assistant Director Department of Public Utilities - Wastewater Management Division BY:KEVIN L. NORGAARD, Supervising Professional Engineer Department of Public Utilities - Wastewater Management Division SUBJECT Approve a consultant agreement in the amount of $160,100 with Blair, Church & Flynn Consulting Engineers for the professional engineering services for sewer rehabilitation and replacement in Chinatown and authorize Director of Public Utilities or his designee to sign on behalf of the City (Council District 3) RECOMMENDATIONS Staff recommends that the City Council approve a consultant agreement with Blair,Church &Flynn Consulting Engineers,in the amount of $145,100 and a contingency of $15,000 for professional engineering services to rehabilitate and replace sewer pipes in Chinatown and authorize the Director, or his designee, to sign the agreement on behalf of the City. EXECUTIVE SUMMARY The Department of Public Utilities Wastewater Management Division is seeking to award a consultant services agreement to Blair,Church &Flynn Consulting Engineers for the design of replacement and rehabilitation of sewers in Chinatown.The area currently has old sewer lines,some dating back to 1890.Sewer rehabilitation/replacement is proposed where necessary to remedy structural deficiencies.Staff is seeking to award a contract in the amount of $145,100 with a contingency of $15,000 to Blair, Church & Flynn Consulting Engineers. BACKGROUND City of Fresno Printed on 12/16/2022Page 1 of 2 powered by Legistar™ File #:ID#14-439 Agenda Date:10/9/2014 Agenda #:1-H In conjunction with the Downtown Revitalization Planning,the Collection System Maintenance work group performed an inspection of the Downtown sewer systems.The goals of these inspections were to evaluate the structural and capacity handling condition of all the downtown sewer pipes.The investigation was done using Closed Circuit Television (CCTV).Through this investigation some pipes were found to have structural deficiencies such as cracks and voids and some were found to be past the design useful life and undersized per the City Standard design requirements.These identified areas will need to be rehabilitated or removed and replaced. A Request For Proposal (RFP)was circulated and posted on July 10,2014.The department received three responses.Blair,Church &Flynn Consulting Engineers was selected as the most qualified and best value to the City,and was asked to submit a level of effort and scope.Staff negotiated a professional services fee of $145,100 with a contingency of $15,000 for Professional Engineering Services.As per Administrative Order 4-4,the City Attorney’s as to form standard contract CAISD #DPU-S 9.1 03-24-14, was used in this contract. ENVIRONMENTAL FINDINGS By the definition provided in the California Environmental Quality Act Guidelines Section 15378 the award of the contract does not qualify as a “project”and is therefore exempt from the California Environmental Quality Act requirements. LOCAL PREFERENCE The local preference according to the Fresno Municipal Code Section 4-109 did not affect the award of this contract because all the proposers are local businesses (Fresno Municipal Code Section 4- 109 (b)(1)) and the lowest proposer (local) was selected. FISCAL IMPACT This project has no impact to the General Fund and is located in Council District 3.This project is identified in the five-year capital improvement plan.Funds in the amount of $2,100,000 are budgeted in the 2015 Sewer Enterprise Fund No. 40501. The fiscal impact of this contract will be $160,100. Attachments: Consultant Contract Vicinity Map City of Fresno Printed on 12/16/2022Page 2 of 2 powered by Legistar™ AGREEMENT CITY OF FRESNO, CALIFORNIA CONSULTANT SERVICES THIS AGREEMENT is made and entered into effective the day of September, 2014, by and between the CITY OF FRESNO, a California municipal corporation (hereinafter referred to as "CITY"), and Blair, Church & Flynn Consulting Engineers (hereinafter referred to as "CONSULTANT"). RECITALS WHEREAS, CITY desires to obtain professional consulting engineering services for the design of plans and general construction contract documents for Sewer Rehabilitation and Replacement in Chinatown, hereinafter referred to as the "Project;" and WHEREAS, CONSULTANT is engaged in the business of furnishing services as a professional engineer and hereby represents that it desires to and is professionally and legally capable of performing the services called for by this Agreement; and WHEREAS, CONSULTANT acknowledges that this Agreement is subject to the requirements of Fresno Municipal Code Section 4-1 07 and Administrative Order No. 6-19; and WHEREAS, this Agreement will be administered for CITY by its Director of Public Utilities (hereinafter referred to as "Director") or his/her designee. AGREEMENT NOW, THEREFORE, in consideration of the foregoing and of the covenants, conditions, and promises hereinafter contained to be kept and performed by the respective parties, it is mutually agreed as follows: 1. Scope of Services and Completion Schedule. CONSULTANT shall perform the services described herein and in Exhibit A to complete the Project more fully described in Exhibit A, and this shall include all work incidental to, or necessary to perform, such services even though not specifically described in Exhibit A. The services of CONSULT ANT shall consist of five Parts as described below. A separate Notice to Proceed will be issued for each of the aforementioned Parts. By entry into this Agreement and upon CITY'S issuance of a written "Notice to Proceed," CITY contracts for the services in Part One. CONSULTANT shall not perform any other Part of the Agreement, and this Agreement shall not be a contract for any other Part, until further performance is authorized by CITY'S issuance of a written "Notice to Proceed." It shall, however, remain CONSULTANT'S offer to perform all remaining parts described herein. In the event CONSULTANT performs services without CITY'S prior written authorization, CONSULTANT will not be entitled to compensation for such services. (a) Part One. Schematic Design Phase. (1) CONSULTANT shall review the description of the Project set forth in Exhibit A and consult with designated representatives of CITY to ascertain the requirements of the Project. (2) CONSULTANT shall complete a topographic survey in accordance with the detailed minimum survey requirements set forth in Exhibit A. The topographic survey shall include sufficient detail for the design of the Project, to establish pertinent right-of-way and property lines, and as necessary to obtain the acceptance of DPU-S 9 .1 /03-24-14 -1- CITY. CONSULTANT shall provide CITY with an electronic file of the topographic survey in the following format: AutoCAD and Pdf. (3) CONSULT ANT shall conduct studies and investigations as necessary to confirm requirements of design including, but not limited to, (i) consulting with the various utility agencies, and (ii) obtaining all information and data from the respective responsible CITY department/division that is available in CITY'S records and is required by CONSULTANT in connection with the consulting services including, but not limited to, maps, reports, information, restrictions and easements. (4) CONSULTANT shall provide a preliminary evaluation of the Project taking into consideration CITY'S estimate of the cost of construction ("Construction Budget") of two million dollars ($2,000,000.00), including alternative approaches to design and construction of the Project. (5) Based upon the mutually agreed upon Project requirements and any adjustments authorized by CITY in the Construction Budget, CONSULTANT shall design and prepare schematic design drawings and other documents for review, modification, if required, and acceptance by CITY staff sufficient to show the concept and scope of the proposed Project and the scale and relationship of Project components. (6) CONSULTANT shall submit a preliminary estimate of construction cost for review and acceptance by CITY. As used herein, "construction cost" means the cost of construction under the general construction contract and does not include CONSULT ANT'S compensation as herein provided. Such estimate shall include, and shall separately state, the cost of any add or deduct alternatives, the cost of any work which may be let on a segregated bid basis and any equipment or fixtures which may be incorporated in or excluded from the general construction contract as may be necessary to stay within the Construction Budget. (7) CONSULT ANT shall make as many submittals as may be necessary or desirable to obtain the acceptance by CITY and shall assist CITY in applying for and obtaining from applicable public agencies any approval permit, or waiver required by law, which assistance shall include, but not be limited to, making Project information available to CITY. (8) CONSULTANT may not rely upon any as-builts provided by CITY, but shall investigate the existing conditions and ascertain the adequacy of such as-builts for CONSULTANT'S design. CONSULTANT shall bring to CITY'S attention any discrepancies in the as-builts that are discovered by CONSULTANT. CITY makes no representations regarding any as-builts. (9) Services shall be undertaken and completed in a sequence assuring expeditious completion. All services shall be rendered and deliverables submitted within sixty (60) calendar days from the issuance of a Notice to Proceed for this Part unless an extension of time is approved in writing by the Director. Re- submittals, as necessary to obtain the acceptance by CITY, shall be submitted to CITY within fifteen (15) calendar days from receipt of CITY'S comments unless an extension of time is approved in writing by the Director. OPU-S 9 .1 /03-24-14 -2- (b) Part Two. Design Development Phase. After review and acceptance of the schematic design phase and issuance of a written Notice to Proceed with this Part Two: (1) Based upon the accepted schematic design documents and the Construction Budget, including authorized revisions thereto, CONSULTANT shall prepare for review and acceptance by CITY the design development documents consisting of drawings and other documents to fix and describe the size and character of the Project as necessary to show treatment of significant details . In addition, CONSULTANT shall provide outline specifications of the work as to kinds of materials, systems, and other such design elements as may be required. Such design development documents and specifications shall be subject to review and acceptance by CITY. (2) CONSULTANT shall submit a revised estimate of construction cost for review and acceptance by CITY. The revised estimate shall include, but shall separately state, the cost of any add or deduct alternates, any work which may be let on a segregated bid basis, and any furnishings, equipment or fixtures which may be incorporated in or excluded from the general construction contract as may be necessary to stay within the Construction Budget, including authorized revisions thereto. (3) In the event that the revised estimate of construction cost exceeds the preliminary estimate of construction cost previously accepted, excluding therefrom any add alternate, any work which may be let on a segregated bid basis and any furnishing, equipment or fixtures which was identified in Part 1 as that which may be excluded from the general construction contract, CITY shall have the option of accepting or rejecting the revised estimate and CONSULTANT shall, at no additional cost to CITY, make such design changes as may be necessary to reduce the revised estimate so that it shall not exceed the preliminary estimate of construction cost previously accepted by CITY. CITY shall not increase the scope of the Project except by modification of this Agreement which shall include an agreed upon increase in CONSULTANT'S compensation. (4) CONSULTANT shall make as many submittals as may be necessary or desirable to obtain the acceptance by CITY and shall assist CITY in applying for and obtaining from applicable public agencies any approval, permit, or waiver required by law, which assistance shall include, but not be limited to, making Project information available to CITY . (5) Services shall be undertaken and completed in a sequence assuring expeditious completion . All services shall be rendered and deliverables submitted within forty (40) calendar days from the issuance of a Notice to Proceed for this Part unless an extension of time is approved in writing by the Director. Re- submittals, as necessary to obtain the acceptance by CITY, shall be submitted to CITY within fifteen (15) calendar days from receipt of CITY'S comments unless an extension of time is approved in writing by the Director. (c) Part Three. Construction Document Phase. After review and acceptance of the design development phase and issuance of a written Notice to Proceed with this Part Three: DPU-S 9 .1 /03-24-14 -3- (1) CONSULTANT shall prepare from the accepted design development documents, detailed plans and specifications setting forth the complete work to be done, and the materials, workmanship, finishes and equipment, fixtures, and site work required. CONSULTANT shall also prepare necessary bidding information, general and special conditions of the general construction contract, technical specifications of the general construction contract, and the bid proposal and general construction contract forms. Such documents shall be subject to the review and acceptance by CITY. CONSULTANT shall cooperate with, assist and be responsive to CITY'S Purchasing Manager in preparation of all documents including, without limitation, slip-sheeting final documents for printing when requested. CITY'S Standard Specifications must be used by CONSULTANT where possible. Final drawings shall be drawn, printed or reproduced by a process providing a permanent record in black on vellum, tracing cloth, polyester base film, or high quality bond copy. Bid, general conditions, contract and bond document forms or formats regularly used by CITY shall be used by CONSULTANT unless the Director determines they would be impractical for this Project. CONSULTANT shall be responsible for assuring that the special conditions, technical specifications and any other documents prepared by CONSULTANT are consistent with any documents regularly used by CITY that are used for this Project. (2) Upon request of CITY, CONSULTANT shall provide the calculations used to determine the general construction contract quantities; and structural calculations for the purpose of obtaining any building permits. (3) CONSULTANT shall make as many submittals as may be necessary or desirable to obtain the acceptance by CITY and shall assist CITY in applying for and obtaining from applicable public agencies any approval, permit, report, statement, or waiver required by law, which assistance shall include, but not be limited to, making Project information available to CITY. (4) CONSULTANT shall provide CITY with five (5) sets of completed plans and five (5) sets of completed specifications for review and final acceptance by CITY. Should the plans and specifications as submitted by CONSULTANT not be accepted by CITY, CONSULTANT shall revise the plans and specifications as needed to obtain final acceptance at no additional cost to CITY. (5) After acceptance of final corrections, if any, CONSULTANT shall provide CITY with one set of accepted reproducible tracings and bid documents for the Project. In addition, CONSULTANT shall provide CITY with one complete set of GAD/System disk files of drawings and complete disk files of specifications in the following format: AutoCAD and Pdf. (6) CONSULTANT shall submit a final estimate of construction cost for review and acceptance by CITY. Such estimate shall be calculated as of the date all general construction contract documents are delivered to CITY in final form ready for reproduction and advertising. Such estimate shall include, but shall separately state, the cost of any add or deduct alternates , any work which may be let on a segregated basis, and any equipment, or fixtures which may be incorporated in or excluded from the general construction contract. OPU -S 9 .1 /03-24-14 -4- (7) In the event that the final estimate of construction cost exceeds the revised estimate of construction cost previously accepted, excluding therefrom any add alternate, any work which may be let on a segregated bid basis and any furnishings, equipment or fixtures which was identified in the final revised estimate in Part 2 as that which may be excluded from the general construction contract, CITY shall have the option of accepting or rejecting the final estimate. If CITY elects to reject the final estimate, CONSULTANT shall at no additional cost to CITY, make such design changes as may be necessary to reduce the final estimate so that it shall not exceed the revised estimate of construction cost previously accepted by CITY. (8) Services shall be undertaken and completed in a sequence assuring expeditious completion. All services shall be rendered and deliverables submitted within fifty (50) calendar days from the issuance of a Notice to Proceed for this Part unless an extension of time is approved in writing by the Director. Re-submittals, as necessary to obtain the acceptance by CITY, shall be submitted to CITY within ten (1 0) calendar days from receipt of CITY'S comments unless an extension of time is approved in writing by the Director. (d) Part Four. Bidding Phase. After review and acceptance of the construction document phase and if CITY elects to proceed to bid, which shall constitute a written Notice to Proceed with this Part Four: (1) CONSULTANT shall assist CITY in obtaining bids. CONSULTANT shall not communicate with potential bidders regarding this Project without the express prior written authorization of CITY'S Purchasing Manager. (2) Upon request of CITY, CONSULTANT shall expeditiously draft addendum as determined by CITY to be reasonable or necessary for the bidding process. (3) If the lowest responsible bid received for the general construction contract exceeds by 1 0% or more the final estimate of construction cost previously accepted by CITY, excluding therefrom any add alternate, any work which may be let on a segregated bid basis and any furnishings, equipment or fixtures which are excluded from the general construction contract, CONSULTANT shall, within 14 days of any request by CITY, revise the plans and specifications as may be necessary to stay within 10% of such final estimate of construction cost, at no additional cost to CITY provided such bid is received within 180 calendar days after completion of services in Section 1 (c) of this Agreement. CONSULTANT shall also submit such revised plans and specifications, together with a new final estimate of construction cost, to CITY for review and acceptance. This procedure, using the latest accepted final estimate of construction cost, shall, upon written notice to CONSULTANT from the Director, be repeated until an acceptable bid is received that does not exceed the accepted final estimate of construction cost by more that 1 0%. (e) Part Five. Construction Phase and General Construction Contract Administration. The construction phase will begin with the award of the general construction contract, which shall constitute a written Notice to Proceed with this Part Five, and will terminate when a Notice of Completion is filed. Upon award of a general construction contract for the Project and under the direction of the Director through CITY'S designated Construction Manager for the Project: OPU-S 9.1 /03 -24-14 -5- (1) CONSULTANT shall attend the pre-construction conference and, if called upon by CITY, act on CITY'S behalf in discussing the various aspects of the construction phase. (2) CONSULTANT shall review and recommend in writing to CITY acceptance or non-acceptance of shop drawings, equipment and material submittals of the general construction contractor as required by the general construction contract and applicable laws and regulations in a timely manner. The period for CONSULTANT review shall be as specified in the general construction contract, except if such period is not so specified, the period shall be as determined in the pre-construction conference as mutually agreed upon by CITY, CONSULTANT and the general construction contractor. (3) CONSULTANT shall , at intervals appropriate to the state of construction, familiarize itself with the progress and quality of the work and determine in general if the work is proceeding in accordance with the general construction contract documents, and keep CITY informed of the progress of the work. In the event that CONSULTANT'S visit to the site results in the d iscovery of any defect or deficiencies in the work of the general construction contractor, CONSULTANT shall immediately advise CITY and document, in writing, the work CONSULTANT deems substandard, and make recommendations whe re appropriate to reject any work not conforming to the intended design or specifications. Based on CONSULTANT'S best knowledge , information and belief, CONSULTANT shall provide CITY a general written assurance that the work covered by a payment application meets the standards in the general construction contract. As to technical aspects , CONSULTANT shall provide a written judgment of the acceptability of the work for payment applications and final acceptance, subject to CITY'S right to overrule CONSULTANT. (4) Upon written request by CITY, CONSULTANT shall render interpretations of the general construction contract documents necessary for the proper execution or progress of the work. (5) Upon written request by CITY, CONSULTANT shall render written recommendations on change orders , claims, disputes or other questions arising out of the general construction contract, in a timely manner. Recommendations by CONSULTANT in favor of a change order that is consequently accepted by CITY shall constitute approval by CONSULTANT who shall then approve the change order i n writing. CONSULTANT shall not unreasonably withhold written approval in the event CITY accepts a change order that CONSULTANT recommended to be rejected. In the event of any technical disputes, CONSULTANT shall provide CITY with CONSULT ANT'S written interpretation of the contract documents. The period for CONSULT ANT review shall be as specified in the general construction contract, except if such period is not so specified , the period shall be as determined in the pre- construction conference as mutually agreed upon by CITY, CONSULTANT and the general construction contractor. If CITY, CONSULT ANT and the respective general construction contractor are unable to mutually agree on such period for CONSULTANT review, then CITY will make the determination and that determination will be final. (6) Upon written request by CITY, CONSULTANT shall provide such design and specification services as may be requested by CITY to implement change DPU -S 9 .1 /03 ·24-14 -6- orders necessary for clarification or interpretation of the general construction contract documents or which may have resulted from errors or omissions by CONSULTANT. (7) Where change orders arise as a result of an increase in the scope of work or are due to unforeseeable conditions, the parties may modify this Agreement, which modification shall include an agreed upon increase in CONSULTANT'S compensation. (8) Upon written request of CITY, CONSULTANT shall assist CITY in the preparation of Progress Payment Estimates and other related construction reports. (9) CONSULTANT shall provide CITY with two sets of original as-grade plans wet-stamped and signed by the CONSULTANT'S Engineer of Record for the Project submitted for final approval by the CITY's Building and Safety Services Division of the Development and Resource Management Department (1 0) CONSULTANT shall prepare Record Drawings by updating the accepted general construction documents in Part 3 to reflect all changes or deviations that occurred during construction as reflected on or from each of the following: (i) the general construction contractor provided red-lined plans, (ii) those furnished by the CITY, (iii) CONSULTANT provided Request for Information responses, and (iv) any CONSULTANT bulletins, amendments or clarifications. CONSULTANT shall provide CITY with one set of vellum Record Drawings for the Project within fifteen (15) calendar days from receipt of red-lined field markups unless an extension of time is approved in writing by the Director. Re-submittals, as necessary to obtain the acceptance by CITY, shall be submitted to CITY within ten (1 0) calendar days from receipt of CITY comments unless an extension of time is approved in writing by the Director. In addition, CONSULTANT shall provide CITY with one complete set of CAD/System disk files of Record Drawings in the following format: AutoCAD and Pdf. 2. CITY'S responsibilities. CITY will: (a) Provide, upon request and cooperation of CONSULTANT, access to, and make all provisions necessary to, enter upon public or private lands as required for CONSULT ANT to perform such services and inspections as are required in development of the Project; provided, however, if CITY is unable to obtain access to enter upon public or private lands, CONSULTANT shall not be relieved from performing its services as to those public and private lands that are accessible. (b) Manage and be responsible for all negotiations with owners in connection with land or easement acquisition and provide all required title reports and appraisals. (c) With the exception of preparing correspondence required for design, hold all required special meetings, serve all public and private notices, receive and act upon all protests, and perform all services customarily performed by owners as are necessary for the orderly progress of the work and the successful completion of the Project, and pay all costs incidental thereto. (d) Select the testing laboratory and pay the cost of borings, samplings, and other work involved in soils testing during construction. DPU-S 9 .1 /03-24-14 -7- (e) Conduct onsite inspection during construction to check quality and quantity of work as conditions warrant and be responsible for assuring that the general construction contractor carries out all construction work in accordance with the plans and specifications. However, this does not release CONSULTANT from its responsibility to make periodic site visits under Section 1 (e) for the purpose of observing the work to determine its general conformity with the plans and specifications and reporting its findings to CITY. (f) CONSULTANT. Prepare all change orders during construction in cooperation with (g) Prepare all Progress Payment Estimates in cooperation with CONSULTANT following its general assurance that the work covered by a payment application meets the standards in the general construction contract documents based upon CONSULTANT'S best knowledge, information and belief. (h) Pay, or cause to be paid, plan check fees, conditional use permit fees and site plan review fees. (i) Arrange for and pay, or cause to be paid, any fees associated with Environmental Impact Reports or Statements. (j) Give reasonably prompt consideration to all matters submitted by CONSULTANT for acceptance to the end that there will be no substantial delays in CONSULTANT'S program of work. For an acceptance, approval, authorization, a request or any direction to CONSULTANT to be binding upon CITY under the terms of this Agreement, such acceptance, approval, authorization, request or direction must be in writing, duly authorized by CITY and signed on behalf of CITY by the Director. 3. Compensation. (a) CONSULTANT'S sole compensation for satisfactory performance of all services required or rendered pursuant to this Agreement shall be a total fee of one hundred forty five thousand one hundred dollars ($145, 1 00.00), and a contingency amount not to exceed fifteen thousand dollars ($15,000.00) for any additional work rendered pursuant to Subsection (d) below and authorized in writing by the Director. Such fees include all expenses incurred by CONSULTANT in performance of such services. (b) Detailed statements shall be rendered monthly and will be payable in the normal course of CITY business. Such statements shall be for an amount no greater than that attributable to the Part upon which CONSULTANT is then engaged as provided in Section 3(c) below. (c) For purposes of determining the division of the total compensation to CONSULTANT as provided in Section 3(a) above, or should performance of any succeeding Part not be authorized by CITY as provided in Section 1 of this Agreement, it is agreed that the total compensation shall be allocated to the five Parts of CONSULTANT'S performance as follows: Part 1 -39%, Part 2 -24 .1 %, Part 3 -23.4%, Part 4 -3.2% and Part 5 - 1 0.3%. Prior to the award of a general construction contract for the Project, or should such contract not be awarded, the approved Parts as provided above shall be utilized for purposes of determining the fee due to CONSULTANT. OPU-S 9 .1 /03-24-14 -8- (d) The parties may modify this Agreement to increase or decrease the scope of services or provide for the rendition of services not required by this Agreement, which modification shall include an adjustment to CONSULTANT'S compensation. Any change in the scope of services must be made by written amendment to the Agreement signed by an authorized representative for each party. CONSULTANT shall not be entitled to any additional compensation if services are performed prior to a signed written amendment. Subsequent to the date of completion of Part Three, changes due to Code revisions or enactments adopted after such date shall constitute additional work subject to this Section 3( d). 4. Termination, Remedies, Force Majeure, and Consolidation of Disputes. (a) This Agreement shall terminate without any liability of CITY to CONSULTANT upon the earlier of: (i) CONSULTANT'S filing for protection under the federal bankruptcy laws, or any bankruptcy petition or petition for receiver commenced by a third party against CONSULTANT; (ii) 7 calendar days prior written notice with or without cause by CITY to CONSULTANT; (iii) CITY'S non-appropriation of funds sufficient to meet its obligations hereunder during any CITY fiscal year of this Agreement, or insufficient funding for the Project; or (iv) expiration of this Agreement. (b) Immediately upon any termination or expiration of this Agreement, CONSULTANT shall (i) immediately stop all work hereunder; (ii) immediately cause any and all of its subcontractors to cease work; and (iii) return to CITY any and all unearned payments and all properties and materials in the possession of CONSULTANT that are owned by CITY. Subject to the terms of this Agreement, CONSULTANT shall be paid compensation for services satisfactorily performed prior to the effective date of termination. CONSULTANT shall not be paid for any work or services performed or costs incurred which reasonably could have been avoided. (c) In the event of termination due to failure of CONSULTANT to satisfactorily perform in accordance with the terms of this Agreement, CITY may withhold an amount that would otherwise be payable as an offset to, but not in excess of, CITY'S damages caused by such failure. In no event shall any payment by CITY pursuant to this Agreement constitute a waiver by CITY of any breach of this Agreement which may then exist on the part of CONSULTANT, nor shall such payment impair or prejudice any remedy available to CITY with respect to the breach. (d) Upon any breach of this Agreement by CONSULTANT, CITY may (i) exercise any right, remedy (in contract, law or equity), or privilege which may be available to it under applicable laws of the State of California or any other applicable law; (ii) proceed by appropriate court action to enforce the terms of the Agreement; and/or (iii) recover all direct, indirect, consequential, economic and incidental damages for the breach of the Agreement. If it is determined that CITY improperly terminated this Agreement for default, such termination shall be deemed a termination for convenience. (e) CONSULTANT shall provide CITY with adequate written assurances of future performance, upon the request of the Director or his/her designee, in the event CONSULTANT fails to comply with any terms or conditions of this Agreement. (f) CONSULTANT shall be liable for default unless nonperformance is caused by an occurrence beyond the reasonable control of CONSULTANT and without its fault or negligence such as, acts of God or the public enemy, acts of CITY in its contractual capacity, OPU-S 9.1 /03-24-14 -9 - fires, floods, epidemics, quarantine restrictions, strikes, unusually severe weather, and delays of common carriers. CONSULTANT shall notify the Director or his/her designee in writing as soon as it is reasonably possible after the commencement of any excusable delay, setting forth the full particulars in connection therewith, and shall remedy such occurrence with all reasonable dispatch, and shall promptly give written notice to the Director or his/her designee of the cessation of such occurrence. (g) CONSULTANT agrees that, notwithstanding any contrary provision in this Agreement, any dispute arising from or relating to this Agreement (including, without limitation, disputes based on contract, tort, equity or statute) may, at CITY'S option, be joined and consolidated with any other dispute or disputes arising from or relating to the Project so that all disputes arising from or relating to the Project may be resolved in a single proceeding. CONSULTANT hereby specifically waives any objection it may otherwise have to such joinder and consolidation and specifically consents to mediation, arbitration or any other dispute resolution mechanism, forum or proceeding necessary to effectuate the joinder and consolidation contemplated by this provision. 5. Confidential Information, Ownership of Documents and Copyright License. (a) Any reports, information, or other data prepared or assembled by CONSULTANT pursuant to this Agreement shall not be made available to any individual or organization by CONSULTANT without the prior written approval of CITY. During the term of this Agreement, and thereafter, CONSULT ANT shall not, without the prior written consent of CITY, disclose to anyone any Confidential Information. The term Confidential Information for the purposes of this Agreement shall include all proprietary and confidential information of CITY, including but not limited to business plans, marketing plans, financial information, designs, drawings, specifications, materials, compilations, documents, instruments, models, source or object codes and other information disclosed or submitted, orally, in writing, or by any other medium or media. All Confidential Information shall be and remain confidential and proprietary in CITY. (b) Any and all original sketches, pencil tracings of working drawings, plans, computations, specifications, computer disk files, writings and other documents prepared or provided by CONSULTANT pursuant to this Agreement are the property of CITY at the time of preparation and shall be turned over to CITY upon expiration or termination of the Agreement or default by CONSULTANT. CONSULTANT grants CITY a copyright license to use such drawings and writings. CONSULTANT shall not permit the reproduction or use thereof by any other person except as otherwise expressly provided herein. CITY may modify the design including any drawings or writings. Any use by CITY of the aforesaid sketches, tracings, plans, computations, specifications, computer disk files, writings and other documents in completed form as to other projects or extensions of this Project, or in uncompleted form, without specific written verification by CONSULTANT will be at CITY'S sole risk and without liability or legal exposure to CONSULTANT. CONSULTANT may keep a copy of all drawings and specifications for its sole and exclusive use. (c) If CONSULTANT should subcontract all or any portion of the services to be performed under this Agreement, CONSULTANT shall cause each subcontractor to also comply with the requirements of this Section 5. (d) This Section 5 shall survive expiration or termination of this Agreement. OPU -S 9 .1 /03-24-14 -10- 6. Professional Skill. It is further mutually understood and agreed by and between the parties hereto that inasmuch as CONSULTANT represents to CITY that CONSULTANT and its subcontractors, if any, are skilled in the profession and shall perform in accordance with the standards of said profession necessary to perform the services agreed to be done by it under this Agreement, CITY relies upon the skill of CONSULTANT and any subcontractors to do and perform such services in a skillful manner and CONSULTANT agrees to thus perform the services and require the same of any subcontractors. Therefore, any acceptance of such services by CITY shall not operate as a release of CONSULT ANT or any subcontractors from said professional standards. 7. Indemnification. To the furthest extent allowed by law, CONSULTANT shall indemnify, hold harmless and defend CITY and each of its officers, officials, employees, agents and volunteers from any and all loss, liability, fines, penalties, forfeitures, costs and damages (whether in contract, tort or strict liability, including but not limited to personal injury, death at any time and property damage), and from any and all claims, demands and actions in law or equity (including reasonable attorney's fees and litigation expenses) that arise out of, pertain to, or relate to the negligence, recklessness or willful misconduct of CONSULTANT, its principals, officers, employees, agents or volunteers in the performance of this Agreement. If CONSULTANT should subcontract all or any portion of the services to be performed under this Agreement, CONSULTANT shall require each subcontractor to indemnify, hold harmless and defend CITY and each of its officers, officials, employees, agents and volunteers in accordance with the terms of the preceding paragraph. This section shall survive termination or expiration of this Agreement. 8. Insurance. (a) Throughout the life of this Agreement, CONSULTANT shall pay for and maintain in full force and effect all insurance as required in Exhibit B, which is incorporated into and part of this Agreement, with an insurance company(ies) either (i) admitted by the California Insurance Commissioner to do business in the State of California and rated no less than "A-VII" in the Best's Insurance Rating Guide, or (ii) as may be authorized in writing by CITY'S Risk Manager or his/her designee at any time and in his/her sole discretion. The required policies of insurance as stated in Exhibit 8 shall maintain limits of liability of not less than those amounts stated therein. However, the insurance limits available to CITY, its officers, officials, employees, agents and volunteers as additional insureds, shall be the greater of the minimum limits specified therein or the full limit of any insurance proceeds to the named insured. (b) If at any time during the life of the Agreement or any extension, CONSULTANT or any of its subcontractors/sub-consultants fail to maintain any required insurance in full force and effect, all services and work under this Agreement shall be discontinued immediately, and all payments due or that become due to CONSULTANT shall be withheld until notice is received by CITY that the required insurance has been restored to full force and effect and that the premiums therefore have been paid for a period satisfactory to CITY. Any failure to maintain the required insurance shall be sufficient cause for CITY to terminate this Agreement. No action taken by CITY pursuant to this section shall in any way relieve CONSULTANT of its responsibilities under this Agreement. The phrase "fail to maintain any required insurance" shall include, without limitation, notification received by CITY that an insurer has commenced proceedings, or has had proceedings commenced against it, indicating that the insurer is insolvent. DPU·S 9.1 /03-24-14 -11- (c) The fact that insurance is obtained by CONSULTANT shall not be deemed to release or diminish the liability of CONSULTANT, including, without limitation, liability under the indemnity provisions of this Agreement. The duty to indemnify CITY 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 CONSULTANT. Approval or purchase of any insurance contracts or policies shall in no way relieve from liability nor limit the liability of CONSULTANT, its principals, officers, agents, employees, persons under the supervision of CONSULTANT, vendors, suppliers, invitees, consultants, sub-consultants, subcontractors, or anyone employed directly or indirectly by any of them. (d) If CONSULTANT should subcontract all or any portion of the services to be performed under this Agreement, CONSULTANT shall require each subcontractor/sub- consultant to provide insurance protection, as an additional insured, to the CITY and each of its officers, officials, employees, agents and volunteers in accordance with the terms of this section, except that any required certificates and applicable endorsements shall be on file with CONSULTANT and CITY prior to the commencement of any services by the subcontractor. CONSULTANT and any subcontractor/sub-consultant shall establish additional insured status for CITY, its officers, officials, employees, agents and volunteers by using Insurance Service Office (ISO) Form CG 20 10 11 85 or both CG 20 10 10 01 and CG 20 37 10 01 or by an executed manuscript company endorsement providing additional insured status as broad as that contained in ISO Form CG 20 1 0 11 85. 9. Conflict of Interest and Non-Solicitation. (a) Prior to CITY'S execution of this Agreement, CONSULTANT shall complete a City of Fresno conflict of interest disclosure statement in the form as set forth in Exhibit C. During the term of this Agreement, CONSULTANT shall have the obligation and duty to immediately notify CITY in writing of any change to the information provided by CONSULTANT in such statement. (b) CONSULTANT shall comply, and require its subcontractors to comply, with all applicable (i) professional canons and requirements governing avoidance of impermissible client conflicts; and (ii) federal, state and local conflict of interest laws and regulations including, without limitation, California Government Code Section 1090 et. seq., the California Political Reform Act (California Government Code Section 87100 et. seq.), the regulations of the Fair Political Practices Commission concerning disclosure and disqualification (2 California Code of Regulations Section 18700 et. seq.) and Section 4-112 of the Fresno Municipal Code (Ineligibility to Compete). At any time, upon written request of CITY , CONSULTANT shall provide a written opinion of its legal counsel and that of any subcontractor that, after a due diligent inquiry, CONSULTANT and the respective subcontractor(s) are in full compliance with all laws and regulations. CONSULTANT shall take, and require its subcontractors to take, reasonable steps to avoid any appearance of a conflict of interest. Upon discovery of any facts giving rise to the appearance of a conflict of interest, CONSULTANT shall immediately notify CITY of these facts in writing. (c) In performing the work or services to be provided hereunder, CONSULTANT shall not employ or retain the services of any person while such person either is employed by CITY or is a member of any CITY council, commission, board, committee, or similar CITY body. This requirement may be waived in writing by the City Manager, if no actual or potential conflict is involved. OPU-S 9.1 /03-24-14 -12- (d) CONSULTANT represents and warrants that it has not paid or agreed to pay any compensation, contingent or otherwise, direct or indirect, to solicit or procure this Agreement or any rights/benefits hereunder. (e) Neither CONSULTANT, nor any of CONSULTANT'S subcontractors performing any services on this Project, shall bid for, assist anyone in the preparation of a bid for, or perform any services pursuant to, any other contract in connection with this Project. CONSULTANT and any of its subcontractors shall have no interest, direct or indirect, in any other contract with a third party in connection with this Project unless such interest is in accordance with all applicable law and fully disclosed to and approved by the City Manager, in advance and in writing. (f) If CONSULTANT should subcontract all or any portion of the work to be performed or services to be provided under this Agreement, CONSULTANT shall include the provisions of this Section 9 in each subcontract and require its subcontractors to comply therewith. (g) This Section 9 shall survive expiration or termination of this Agreement. 10. Recycling Program. In the event CONSULTANT maintains an office or operates a facility(ies), or is required herein to maintain or operate same, within the incorporated limits of the City of Fresno, CONSULTANT at its sole cost and expense shall: (i) Immediately establish and maintain a viable and ongoing recycling program, approved by CITY'S Solid Waste Management Division, for each office and facility. Literature describing CITY recycling programs is available from CITY'S Solid Waste Management Division and by calling City of Fresno Recycling Hotline at (559) 621-1111. (ii) Immediately contact CITY'S Solid Waste Management Division at (559) 621-1452 and schedule a free waste audit, and cooperate with such Division in their conduct of the audit for each office and facility. (iii) Cooperate with and demonstrate to the satisfaction of CITY'S Solid Waste Management Division the establishment of the recycling program in paragraph (i) above and the ongoing maintenance thereof. 11 . General Terms. (a) Except as otherwise provided by law, all notices expressly required of CITY within the body of this Agreement, and not otherwise specifically provided for, shall be effective only if signed by the Director or his/her designee. (b) Records of CONSULTANT'S expenses pertaining to the Project shall be kept on a generally recognized accounting basis and shall be available to CITY or its authorized representatives upon request during regular business hours throughout the life of this Agreement and for a period of three years after final payment or, if longer, for any period required by law. In addition, all books, documents, papers, and records of CONSULTANT pertaining to the Project shall be available for the purpose of making audits, examinations, excerpts, and transcriptions for the same period of time. If any litigation, claim, negotiations, audit or other action is commenced before the expiration of said time period, all records shall be DPU·S 9.1 /03·24-14 -13- retained and made available to CITY until such action is resolved, or until the end of said time period whichever shall later occur. If CONSULTANT should subcontract all or any portion of the services to be performed under this Agreement , CONSULTANT shall cause each subcontractor to also comply with the requirements of this paragraph. This Section 11 (b) shall survive expiration or termination of this Agreement. (c) Prior to execution of this Agreement by CITY , CONSULTANT shall have provided evidence to CITY that CONSULTANT is licensed to perform the services called for by this Agreement (or that no license is required). If CONSULTANT should subcontract all or any portion of the work or services to be performed under this Agreement , CONSULTANT shall require each subcontractor to provide evidence to CITY that subcontractor is licensed to perform the services called for by this Agreement (or that no license is required) before beginning work. (d) CONSULTANT'S services pursuant to this Agreement shall be provided under the supervision of Karl E. Kienow , and he/she shall not assign another to supervise CONSULTANT'S performance of this Agreement without the prior written approval of the Director. 12. Nondiscrimination. To the extent required by controlling federal, state and local law, CONSULTANT shall not employ discriminatory practices in the provision of services , employment of personnel, or in any other respect on the basis of race, religious creed, color, national origin, ancestry, physical disability , mental disability, medical condition, marital status, sex , age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era. Subject to the foregoing and during the performance of this Agreement , CONSULTANT agrees as follows: (a) CONSULTANT will comply with all applicable laws and regulations providing that no person shall, on the grounds of race , religious creed, color, national origin , ancestry, physical disability , mental disability , medical condition, marital status , sex , age, sexual orientation , ethnicity, status as a disabled veteran or veteran of the Vietnam era be excluded from participation in , be denied the benefits of , or be subject to discrimination under any program or activity made possible by or resulting from this Agreement. (b) CONSULTANT will not discriminate against any employee or applicant for employment because of race , religious creed, color , national origin , ancestry , physical disability, mental disability, medical condition , marital status , sex , age, sexual orientation , ethnicity, status as a disabled veteran or veteran of the Vietnam era. CONSULT ANT shall ensure that applicants are employed, and the employees are treated dur ing employment, without regard to their race , religious creed, color, national origin , ancestry , physical disability , mental disability , medical condition , marital status, sex, age , sexual orientation , ethnicity , status as a disabled veteran or veteran of the Vietnam era . Such requirement shall apply to CONSULTANT'S employment practices including, but not be limited to, the following: employment, upgrading, demotion or transfer ; recruitment or recruitment advert ising ; layoff or termination; rates of pay or other forms of compensation; and selection for training , including apprenticeship. CONSULTANT agrees to post in conspicuous places , available to employees and applicants for employment , not ices setting forth the provis ion of this nondiscriminat ion clause. (c) CONSULTANT will , in all solicitations or advertisements for employees placed by or on behalf of CONSULTANT in pursuit hereof , state that all qualified appl icants will receive consideration for employment without regard to race , rel igious creed , color , nationa l DPU·S 9 .1 /03-24-14 -14- origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era. (d) CONSULT ANT will send to each labor union or representative of workers with which it has a collective bargaining agreement or other contract or understanding, a notice advising such labor union or workers' representatives of CONSULTANT'S commitment under this section and shall post copies of the notice in conspicuous places available to employees and applicants for employment. (e) If CONSULTANT should subcontract all or any portion of the services to be performed under this Agreement, CONSULTANT shall cause each subcontractor to also comply with the requirements of this Section 12. 13. Independent Contractor. (a) In the furnishing of the services provided for herein, CONSULTANT is acting solely as an independent contractor. Neither CONSULTANT, nor any of its officers, agents or employees shall be deemed an officer, agent, employee, joint venturer, partner or associate of CITY for any purpose. CITY shall have no right to control or supervise or direct the manner or method by which CONSULTANT shall perform its work and functions. However, CITY shall retain the right to administer this Agreement so as to verify that CONSULTANT is performing its obligations in accordance with the terms and conditions thereof. (b) This Agreement does not evidence a partnership or joint venture between CONSULTANT and CITY. CONSULTANT shall have no authority to bind CITY absent CITY'S express written consent. Except to the extent otherwise provided in this Agreement, CONSULTANT shall bear its own costs and expenses in pursuit thereof. (c) Because of its status as an independent contractor, CONSULTANT and its officers, agents and employees shall have absolutely no right to employment rights and benefits available to CITY employees. CONSULTANT shall be solely liable and responsible for all payroll and tax withholding and for providing to, or on behalf of, its employees all employee benefits including, without limitation, health, welfare and retirement benefits. In addition, together with its other obligations under this Agreement, CONSULTANT shall be solely responsible, indemnify, defend and save CITY harmless from all matters relating to employment and tax withholding for and payment of CONSULTANT'S employees, including, without limitation, (i) compliance with Social Security and unemployment insurance withholding, payment of workers' compensation benefits, and all other laws and regulations governing matters of employee withholding, taxes and payment; and (ii) any claim of right or interest in CITY employment benefits, entitlements, programs and/or funds offered employees of CITY whether arising by reason of any common law, de facto, leased, or co-employee rights or other theory. It is acknowledged that during the term of this Agreement, CONSULTANT may be providing services to others unrelated to CITY or to this Agreement. 14. Notices. Any notice required or intended to be given to either party under the terms of this Agreement shall be in writing and shall be deemed to be duly given if delivered personally, transmitted by facsimile followed by telephone confirmation of receipt, or sent by United States registered or certified mail, with postage prepaid, return receipt requested, addressed to the party to which notice is to be given at the party's address set forth on the signature page of this Agreement or at such other address as the parties may from time to time DPU-S 9 .1 /03·24-14 -15- designate by written notice. Notices served by United States mail in the manner above described shall be deemed sufficiently served or given at the time of the mailing thereof. 15. Binding. Subject to Section 16 below, once this Agreement is signed by all parties, it shall be binding upon, and shall inure to the benefit of, all parties, and each parties' respective heirs, successors, assigns, transferees, agents, servants, employees and representatives. 16. Assignment. (a) This Agreement is personal to CONSULTANT and there shall be no assignment by CONSULTANT of its rights or obligations under this Agreement without the prior written approval of the City Manager or his/her designee. Any attempted assignment by CONSULTANT, its successors or assigns, shall be null and void unless approved in writing by the City Manager or his/her designee. (b) CONSULT ANT hereby agrees not to assign the payment of any monies due CONSULTANT from CITY under the terms of this Agreement to any other individual(s), corporation(s) or entity(ies). CITY retains the right to pay any and all monies due CONSULTANT directly to CONSULTANT. 17. Compliance With Law. In providing the services required under this Agreement, CONSULT ANT shall at all times comply with all applicable laws of the United States, the State of California and CITY, and with all applicable regulations promulgated by federal, state, regional, or local administrative and regulatory agencies, now in force and as they may be enacted, issued, or amended during the term of this Agreement. 18. Waiver. The waiver by either party of a breach by the other of any provision of this Agreement shall not constitute a continuing waiver or a waiver of any subsequent breach of either the same or a different provision of this Agreement. No provisions of this Agreement may be waived unless in writing and signed by all parties to this Agreement. Waiver of any one provision herein shall not be deemed to be a waiver of any other provision herein. 19. Governing Law and Venue. This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of California, excluding, however, any conflict of laws rule which would apply the law of another jurisdiction . Venue for purposes of the filing of any action regarding the enforcement or interpretation of this Agreement and any rights and duties hereunder shall be Fresno County, California. 20. Headings. The section headings in this Agreement are for convenience and reference only and shall not be construed or held in any way to explain, modify or add to the interpretation or meaning of the provisions of this Agreement. 21. Severability. The provisions of this Agreement are severable. The invalidity, or unenforceability of any one provision in this Agreement shall not affect the other provisions. 22. Interpretation. The parties acknowledge that this Agreement in its final form is the result of the combined efforts of the parties and that, should any provision of this Agreement be found to be ambiguous in any way, such ambiguity shall not be resolved by construing this Agreement in favor of or against either party, but rather by construing the terms in accordance with their generally accepted meaning. OPU -S 9.1 /03-24 -14 -16- 23. Attorney's Fees. If either party is required to commence any proceeding or legal action to enforce or interpret any term, covenant or condition of this Agreement, the prevailing party in such proceeding or action shall be entitled to recover from the other party its reasonable attorney's fees and legal expenses. 24. Exhibits. Each exhibit and attachment referenced in this Agreement is, by the reference, incorporated into and made a part of this Agreement. 25. Precedence of Documents. In the event of any conflict between the body of this Agreement and any Exhibit or Attachment hereto, the terms and conditions of the body of this Agreement shall control and take precedence over the terms and conditions expressed within the Exhibit or Attachment. Furthermore, any terms or conditions contained within any Exhibit or Attachment hereto which purport to modify the allocation of risk between the parties, provided for within the body of this Agreement, shall be null and void. 26. Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cumulative with all other remedies at law or in equity. 27. No Third Party Beneficiaries. The rights, interests, duties and obligations defined within this Agreement are intended for the specific parties hereto as identified in the preamble of this Agreement. Notwithstanding anything stated to the contrary in this Agreement, it is not intended that any rights or interests in this Agreement benefit or flow to the interest of any third parties. 28. Extent of Agreement. Each party acknowledges that they have read and fully understand the contents of this Agreement. This Agreement represents the entire and integrated agreement between the parties with respect to the subject matter hereof and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be modified only by written instrument duly authorized and executed by both CITY and CONSULTANT. Ill Ill Ill DPU·S 9.1 /03·24-14 -17- IN WITNESS WHEREOF, the parties have executed this Agreement at Fresno, California, the day and year first above written. CITY OF FRESNO, a California municipal corporation By: --------------------Thomas C. Esqueda, Director Department of Public Utilities ATTEST: YVONNE SPENCE, CMC City Clerk By: -------------------- Deputy No signature of City Attorney required. Standard Document #OPU-S 9.1 has been used without modification, as certified by the undersigned. By: ----'r-="------JL""""------- Patricia Die Supervising Engineering Technician Department of Public Utilities REVIEWED BY: Kevin L. Norgaard, Supe sing Professional Engineer Department of Public Utilities Addresses : CITY: City of Fresno Attention: Kevin L. Norgaard, Supervising Professional Engineer 5607 W. Jensen Ave. Fresno, CA 93706 Phone: (559) 621 -5297 FAX: (559) 498-1700 Attachments: 1. 2. Exhibit A -Scope of Services Exhibit B -Insurance Requirements Blair, Church & Flynn Consulting Engineers, a California Cor oration Name: Karl E. Kienow Title : Vice President [if corporation or LLC, Board Chair, Pres. or Vice Pres.] Name: Adam K. Holt Title: CFO I Secretary [if corporation or LLC, CFO , Treasurer, Secretary or Assistant Secretary.] Any Applicable Professional License: Number: C51,615 Name: Karl E. Kienow Date of Issuance: 4 Feb 1994 CONSULTANT: Blair, Church & Flynn Consulting Engineers Attention : Karl E. Kienow , Principal 451 Clovis Ave., Suite 200 Clovis, CA. 93612 Phone: (559) 326-1400 FAX: (559) 326-1500 3. Exhibit C -Conflict of Interest Disclosure Form OPU -S 9 .1 /03 -24-14 -18- Exhibit A SCOPE OF SERVICES Consultant Service Agreement between City of Fresno ("City") and Blair, Church & Flynn Consulting Engineers ("Consultant") Sewer Rehabilitation and Replacement in Chinatown PROJECT TITLE Project Background This Scope of Engineering Services (Scope) provides for the design of sewer rehabilitation I replacement in the "Chinatown" area of downtown Fresno. The project area is generally bounded by G Street, Stanislaus Street, lnyo Street and State Highway 99. The project includes approximately 9,610 linear feet of existing sewer mains ranging in size from 4 inches to 24 inches in diameter; most of the project sewers range from 6 inches to 12 inches in diameter. Most of the project sewers are vitrified clay pipe (VCP), except for some of the 22-inch and 24-inch sewers, which have a combined length of approximately 720 feet and are standard concrete pipe (SCP). The majority of the project sewers are in alleys within the project area, but some of the project sewers are in the streets. The project sewers are generally very old, with some dating back to 1890. Approximately 8,890 linear feet of the project sewers have been video inspected by City crews, and the City will provide the corresponding video imagery. The remaining 720 linear feet of the project sewers are designated by the City as needing further evaluation. This Scope provides for closed circuit television (CCTV) inspection of the remaining sewers to be done as the basis for further evaluation. Sewer rehabilitation I replacement is proposed where necessary to remedy structural deficiencies such as holes and cracks, to increase the size of certain sewers, restore old sewer mains that are beyond their expected service life, and halt the effects of sulfide-related corrosion processes for the SCP sewers. Project Work Plan The Project shall be accomplished through the implementation of a five-part work plan incorporating the following phases: • Schematic Design Phase • Design Development Phase • Construction Document Phase • Bidding Phase • Construction Phase and General Construction Contract Administration The Schematic Design Phase shall include CCTV inspection for those sewers that have not already been inspected by City crews. All CCTV inspection imagery, including imagery provided by the City, shall be reviewed to evaluate the project sewers in conformance with the National Association of Sewer Service Companies (NASSCO) Pipeline Assessment Certification Program (PACP) evaluation standards. DPU -S 9 .1 /03-24-14 Page 1 of 5 The Schematic Design Phase shall include a geotechnical investigation for the proposed sewer rehabilitation I replacement improvements. The geotechnical investigation shall be based on a series of 1 0 borings in the vicinity of the project sewers, to depths extending to at least five feet below the sewer invert. Laboratory testing shall include gradation, moisture-density, shear, corrosivity, and resistivity analyses. A geotechnical report shall be prepared to document the investigation, and shall include trench configuration and pipe bedding recommendations for pipe materials under consideration. Approved traffic control shall be provided for field operations. The Schematic Design Phase shall culminate in the submittal of a Schematic Design Report, together with a construction cost estimate. The Schematic Design Report shall document the inspection and evaluation of the project sewers, and shall provide recommendations for the sewer rehabilitation or replacement methods recommended for each reach of the project sewers. The report shall further address the various issues expected to influence project design, including utility research findings, structure placement and configuration, temporary bypass pipeline routing, and potential conflicts with existing facilities. The report shall include recommendations for the design features to be implemented in subsequent design development and construction document phases, including rehabilitation and replacement methods and materials, manhole and structure rehabilitation, construction of additional manholes, temporary handling of wastewater flows, and construction method recommendations. The Design Development Phase shall include the preparation and submittal of preliminary plans, specifications, and estimates (approximately 60% design completion), incorporating the recommendations of the Schematic Design Phase as approved by the City. This phase shall also include a California Environmental Quality Act (CEQA) analysis to the extent necessary to verify whether or not the Project qualifies for a Categorical Exemption as expected, and the preparation and filing of a corresponding Notice of Exemption. The Construction Document Phase shall include the preparation and submittal of plans, specifications, and estimates at the draft final (approximately 90% design completion) and final (1 00% complete) stages of completion. At each submittal stage, review comments resulting from the prior submittal shall be thoroughly addressed. For locations where rehabilitation work will require equipment setup in major intersections, construction staging and traffic handling plans shall be prepared to facilitate work in the intersection while providing for safe traffic movement through the work area. The construction contractor will be required to implement the construction staging and traffic handling plans as part of traffic control operations. The preparation of plans, specifications , and estimates shall result in a single set of bid and construction documents, intended to be bid and constructed under a single construction contract, unless other arrangements are specified or approved by the City . Blair, Church & Flynn Consulting Engineers shall provide the engineering services enumerated in the following task outline. PART 1 SCHEMATIC DESIGN PHASE A. PROGRAMMING AND SCHEMATIC DESIGN REPORT 1. Schedule and Conduct Project Kick-off Meeting 2. Conduct Site Investigations 3. Conduct Public Street, Property Line & OPL Research DPU-S 9.1 /03-24-14 Page 2 of 5 4. Conduct Office and Field Utility Investigations 5. Obtain and Incorporate Aerial Photography a. Fresno Stock Coverage 6. Conduct Topographic Surveys 7. Conduct Geotechnical Investigation 8. Obtain and Incorporate City CCTV Inspection Data a. Approximately 8,890 Linear Feet of Project Sewers 9. Conduct Additional CCTV Sewer Inspections a. Approximately 720 Linear Feet of Project Sewers b. Record in Digital Format Compatible with City Systems 10. Review CCTV Inspection Data and Evaluate Sewer Condition a. By PACP-Certified Professionals 11. Formulate Rehabilitation I Replacement Recommendations 12. Prepare Estimates of Quantities and Cost 13. Prepare Schematic Design Letter Report , Incorporating: a. Utility Investigation Findings b. Geotechnical Investigation c. Inspection and Evaluation Results d. Rehabilitation I Replacement Recommendations e. Construction Method Recommendations f. Manhole Construction Recommendations g. Temporary Handling of Wastewater Flow Recommendations 14. Submit Schematic Design Letter Report PART 2 DESIGN DEVELOPMENT PHASE A. PRELIMINARY PLANS, SPECIFICATIONS AND ESTIMATES 1. Prepare Preliminary Cover and Index Sheets 2. Prepare Preliminary Plan and Profile Drawings 3. Prepare Preliminary Construction Detail Drawings 4. Prepare Preliminary Construction Staging and Traffic Handling Plans 5. Prepare Preliminary Technical Specifications 6. Prepare Itemized Estimate of Quantities and Cost 7. Address Schematic Design Review Comments 8. Submit Preliminary (60%) Plans , Specifications and Estimate B. UTILITY AND AGENCY COORDINATION 1. Submit Preliminary Plans to Affected Utilities , Agencies & Districts 2. Obtain Necessary Permits from Affected Utilities, Agencies & Districts a. None Expected to be Required 3. Coordinate Utility Relocation Efforts with Project Design C. CEQA ANALYSIS 1. Evaluate Project for Applicability of Categorical Exemption 2. Prepare and File Notice of Exemption PART 3 CONSTRUCTION DOCUMENT PHASE A. DRAFT FINAL DESIGN 1. Prepare Draft Final Cover and Index Sheets 2. Prepare Draft Final Plan and Profile Drawings OPU -S 9 .1 /03-24 -14 Page 3 of 5 3. Prepare Draft Final Construction Detail Drawings 4. Prepare Draft Final Construction Staging and Traffic Handling Plans 5. Prepare Draft Final Technical Specifications 6. Incorporate City "Boilerplate" Documents 7. Prepare Itemized Estimate of Quantities and Cost 8. Address Preliminary Review Comments 9. Submit Draft Final (90%) Plans, Specifications and Estimate B. FINAL PLANS, SPECIFICATIONS AND ESTIMATES 1 . Prepare Final Plans 2. Prepare Final Specifications 3. Prepare Final Itemized Estimate of Quantities and Cost 4. Address Draft Final Review Comments 5. Submit Final (1 00%) Plans, Specifications and Estimate PART 4 BIDDING PHASE A . BID SERVICES 1 . Attend Pre-Bid Conference 2. Prepare Addenda and Clarifications 3. Attend Bid Opening and Evaluate Bid Proposals PART 5 CONSTRUCTION PHASE AND GENERAL CONSTRUCTION CONTRACT ADMINISTRATION A. CONSTRUCTION SERVICES 1 . Attend Pre-Construction Conference 2. Review Shop Drawings and other Contractor Submittals 3. Respond to Requests for Information (RFis) 4. Provide Periodic Worksite Observation 5. Prepare Record Drawings ASSUMPTIONS A. CCTV inspection will be provided for approximately 720 feet of project sewers that have not already been inspected by City crews. B. Project sewer manholes are accessible, or will be made accessible by the City, to allow entry for CCTV inspection. C. CCTV inspection will include two cleaning passes with a hydraulic jetter immediately prior to CCTV camera passage to ensure that the interior of the sewer is sufficiently clean and visible to allow effective inspection . D. For project sewers in which two cleaning passes with a properly functioning hydraulic jetter cannot clean the sewer sufficiently for effective inspection, the City will provide any necessary additional cleaning. E. If the flow level in a sewer is too high to allow the camera to view and record the surface of the pipe, then the City will be contacted to temporarily plug the sewer, implement a diversion or bypass pumping system, or make other arrangements to control wastewater flow for CCTV inspection. F. CCTV inspections will be recorded in a digital format compatible with the City's computer systems. OPU-S 9 .1 /03-24-14 Page 4 of 5 OPU -S 9 .1 /03-24-14 Page 5 of 5 Exhibit B INSURANCE REQUIREMENTS Consultant Service Agreement between City of Fresno ("CITY") and Blair, Church & Flynn Consulting Engineers ("CONSULTANT") Sewer Rehabilitation and Replacement in Chinatown PROJECT TITLE MINIMUM SCOPE OF INSURANCE Coverage shall be at least as broad as: 1. The most current version of Insurance Services Office (ISO) Commercial General Liability Coverage Form CG 00 01, providing liability coverage arising out of your business operations. The Commercial General Liability policy shall be written on an occurrence form and shall provide coverage for "bodily injury," "property damage" and "personal and advertising injury" with coverage for premises and operations (including the use of owned and non-owned equipment), products and completed operations, and contractual liability (including, without limitation, indemnity obligations under the Agreement) with limits of liability not less than those set forth under "Minimum Limits of Insurance." 2. The most current version of ISO *Commercial Auto Coverage Form CA 00 01, providing liability coverage arising out of the ownership, maintenance or use of automobiles in the course of your business operations. The Automobile Policy shall be written on an occurrence form and shall provide coverage for all owned, hired, and non-owned automobiles or other licensed vehicles (Code 1-Any Auto). If personal automobile coverage is used, the CITY, its officers, officials, employees, agents and volunteers are to be listed as additional insureds. 3. Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. 4. Professional Liability (Errors and Omissions) insurance appropriate to CONSULTANT'S profession. Architect's and engineer's coverage is to be endorsed to include contractual liability. MINIMUM LIMITS OF INSURANCE CONSULTANT, or any party the CONSULTANT subcontracts with, shall maintain limits of liability of not less than those set forth below. However, insurance limits available to CITY, its officers, officials, employees, agents and volunteers as additional insureds, shall be the greater of the minimum limits specified herein or the full limit of any insurance proceeds available to the named insured: 1. COMMERCIAL GENERAL LIABILITY: (i) $1 ,000,000 per occurrence for bodily injury and property damage; (ii) $1 ,000,000 per occurrence for personal and advertising injury; (iii) $2,000,000 aggregate for products and completed operations; and, OPU-S 9 .1/03-24-14 Page 1 of 4 (iv) $2,000,000 general aggregate applying separately to the work performed under the Agreement. 2. COMMERCIAL AUTOMOBILE LIABILITY: $1 ,000,000 per accident for bodily injury and property damage. OR* PERSONAL AUTOMOBILE LIABILITY insurance with limits of liability not less than: (i) $100,000 per person ; (ii) $300 ,000 per accident for bodily injury; and, (iii) $50,000 per accident for property damage. 3. WORKERS' COMPENSATION INSURANCE as required by the State of California with statutory limits. 4. EMPLOYER'S LIABILITY: (i) $1 ,000 ,000 each accident for bodily injury; (ii) $1,000,000 disease each employee; and, (iii) $1 ,000 ,000 disease policy limit. 5 . PROFESSIONAL LIABILITY (Errors and Omissions): (i) $1 ,000,000 per claim/occurrence; and, (ii) $2,000,000 policy aggregate . UMBRELLA OR EXCESS INSURANCE In the event CONSULTANT purchases an Umbrella or Excess insurance pol icy(ies) to meet the "Minimum Limits of Insurance," this insurance policy(ies) shall "follow form " and afford no less coverage than the primary insurance policy(ies). In addition, such Umbrella or Excess insurance policy(ies) shall also apply on a primary and non-contributory basis for the benefit of the CITY , its officers , officials, employees, agents and vo lunteers. DEDUCTIBLES AND SELF-INSURED RETENTIONS CONSULTANT shall be responsible for payment of any deductibles contained in any insurance policy(ies) required herein and CONSULTANT shall also be responsible for payment of any self- insured retentions. Any deductibles or self-insured retentions must be declared on the Certificate of Insurance , and approved by , the CITY 'S Risk Manager or his/her designee . At the option of the CITY 'S Risk Manager or his/her des ignee , either : OPU-S 9.1 /03-24-14 (i) The insurer shall reduce or eliminate such deduct ibles or self-insured retentions as respects CITY , its officers , officials , employees, agents and volunteers ; or (ii ) CONSULTANT shall provide a financial guarantee , satisfactory to CITY 'S Risk Manager or his/her designee , guaranteeing payment of losses and Page 2 of 4 related investigations , claim administration and defense expenses. At no time shall CITY be responsible for the payment of any deductibles or self- insured retentions. OTHER INSURANCE PROVISIONS/ENDORSEMENTS The General Liability and Automobile Liability insurance policies are to contain, or be endorsed to contain, the following provisions: 1. CITY, its officers, officials, employees, agents and volunteers are to be covered as additional insureds. CONSULTANT shall establish additional insured status for the City and for all ongoing and completed operations by use of ISO Form CG 20 10 11 85 or both CG 20 10 10 01 and CG 20 3710 01 or by an executed manuscript insurance company endorsement providing additional insured status as broad as that contained in ISO Form CG 20 10 11 85. 2. The coverage shall contain no special limitations on the scope of protection afforded to CITY, its officers, officials, employees, agents and volunteers. Any available insurance proceeds in excess of the specified minimum limits and coverage shall be available to the Additional Insured. 3. For any claims related to this Agreement, CONSULTANT'S insurance coverage shall be primary insurance with respect to the CITY, its officers, officials, employees, agents and volunteers. Any insurance or self-insurance maintained by the CITY, its officers, officials, employees, agents and volunteers shall be excess of CONSULTANT'S insurance and shall not contribute with it. CONSULTANT shall establish primary and non-contributory status by using ISO Form CG 20 01 04 13 or by an executed manuscript insurance company endorsement that provides primary and non-contributory status as broad as that contained in ISO Form CG 20 01 04 13. The Workers ' Compensation insurance policy is to contain , or be endorsed to contain, the following provision: CONSULTANT and its insurer shall waive any right of subrogation against CITY, its officers, officials , employees, agents and volunteers. If the Professional Liability (Errors and Omissions) insurance policy is written on a claims-made form: 1. The retroactive date must be shown, and must be before the effective date of the Agreement or the commencement of work by CONSULTANT. 2. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the Agreement work or termination of the Agreement, whichever occurs first, or, in the alternative, the policy shall be endorsed to provide not less than a five (5) year discovery period. 3. If coverage is canceled or non-renewed , and not replaced with another claims- made policy form with a retroactive date prior to the effective date of the Agreement or the commencement of work by CONSULTANT , CONSULTANT must purchase "extended reporting " coverage for a minimum of five (5) years OPU -S 9.1 /03-24-14 Page 3 of 4 after completion of the Agreement work or termination of the Agreement, whichever occurs first. 4. A copy of the claims reporting requirements must be submitted to CITY for review. 5. These requirements shall survive expiration or termination of the Agreement. All policies of insurance required herein shall be endorsed to provide that the coverage shall not be cancelled, non-renewed, reduced in coverage or in limits except after thirty (30) calendar days written notice by certified mail, return receipt requested, has been given to CITY. CONSULTANT is also responsible for providing written notice to the CITY under the same terms and conditions. Upon issuance by the insurer, broker, or agent of a notice of cancellation, non-renewal, or reduction in coverage or in limits, CONSULTANT shall furnish CITY with a new certificate and applicable endorsements for such policy(ies). In the event any policy is due to expire during the work to be performed for CITY, CONSULTANT shall provide a new certificate, and applicable endorsements, evidencing renewal of such policy not less than fifteen (15) calendar days prior to the expiration date of the expiring policy. VERIFICATION OF COVERAGE CONSULTANT shall furnish CITY with all certificate(s) and applicable endorsements effecting coverage required hereunder. All certificates and applicable endorsements are to be received and approved by the CITY'S Risk Manager or his/her designee prior to CITY'S execution of the Agreement and before work commences. All non-ISO endorsements amending policy coverage shall be executed by a licensed and authorized agent or broker. Upon request of CITY, CONSULTANT shall immediately furnish City with a complete copy of any insurance policy required under this Agreement, including all endorsements, with said copy certified by the underwriter to be a true and correct copy of the original policy . This requirement shall survive expiration or termination of this Agreement. OPU-S 9.1 /03-24-14 Page 4 of 4 1 2 3 4 5 6 Exhibit C DISCLOSURE OF CONFLICT OF INTEREST Sewer Rehabilitation and Replacement in Chinatown PROJECT TITLE Are you currently in litigation with the City of Fresno or any of its agents? Do you represent any firm, organization or person who is in litigation with the City of Fresno? Do you currently represent or perform work for any clients who do business with the City of Fresno? Are you or any of your principals , managers or professionals, owners or investors in a business which does business with the City of Fresno, or in a business which is in litigation with the City of Fresno? Are you or any of your principals , managers or professionals, related by blood or marriage to any City of Fresno employee who has any significant role in the subject matter of this service? Do you or any of your subcontractors have, or expect to have, any interest, direct or indirect, in any other contract in connection with this Project? * If the answer to any question is yes, please explain in full below. - YES* D D • D D D ~~~~~ Explanation: Si 111aL J 1c • Item 3: Blair, Church & Flynn Consulting Engineers has a number of clients that could potentially do business with the City of Fresno including : the City of Clovis, the County of Fresno, Fresno Irrigation District, Fresno Metropolitan Flood Contro l District, Clovis USD , Fresno USD and Central USD. g September 8, 2014 Date Adam K. Holt (name) Blair, Church & Flynn (company) 451 Clovis Ave , Suite 200 (address) Clovis, CA 93612 (city state zip) NO • • D • • • City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-361 Agenda Date:10/9/2014 Agenda #:2-A REPORT TO THE CITY COUNCIL October 9, 2014 FROM:JENNIFER K. CLARK, Director Development and Resource Management Department BY:DEL ESTABROOKE, Parking Manager Parking Services Division SUBJECT Approve the selection of, and award a contract to, Republic Parking Inc. to provide Parking Facilities Management Services in downtown Fresno RECOMMENDATION Staff recommends that the Council approve the selection of,and award a contract to,Republic Parking,Inc.to provide professional Parking Facilities Management Services at City-owned Downtown parking lots and garages in the amount of $6,595,263 for the first five-year term.In addition to the initial five-year term,the proposed contract includes five (5)one-year optional extensions.Staff also recommends that the City Manager,in conjunction with the City Attorney,or his representative be authorized to sign the original five-year contract and the one-year extensions on behalf of the City of Fresno. EXECUTIVE SUMMARY Since 2005 Downtown parking facilities management services have been provided to the City by Ace Parking.The term of the service agreement with Ace Parking has ended,and a Request for Proposals (RFP)for these services for the next five (5)years was released to the public on February 10, 2014. The City received Seven (7) proposals of which six were deemed responsive to the RFP. The Proposals were reviewed by the Parking Management Services RFP Selection Review Committee (Committee)which conducted three rounds of meetings.The final selection of Republic Parking Services was based on their experience,comprehensive plan for customer service, technology,and cost.The Committee was impressed by Republic’s presentation,professionalism, and commitment to Fresno’s revitalization efforts downtown.The Committee believes Republic Parking Inc.will be a valuable partner and provide excellent service,superior recordkeeping,and reporting while efficiently managing the parking program in downtown Fresno. City of Fresno Printed on 12/16/2022Page 1 of 4 powered by Legistar™ File #:ID#14-361 Agenda Date:10/9/2014 Agenda #:2-A The Parking Division’s payment to Ace Parking ranges from $1.7 million to $2.4 million dollars annually,which includes management fees and applicable pass through expenses.The proposed management agreement with Republic Parking Inc.reduces the Parking Division’s annual commitment to $1.3 million resulting in a potential savings of $400,000 to $900,000 each year. BACKGROUND The long-term contract and multiple extensions with Ace Parking to provide Downtown parking facilities management services expired.An RFP for these services was released to the public on February 10,2014.Eight (8)Building Exchanges received the RFP by facsimile,and as a result thirty-seven (37)prospective proposers received the RFP.The Scope of Work was written to include upgrades and changes to maintenance and customer service levels,strategies to increase revenues potential,improving aesthetics and safety,and technology opportunities to support Downtown revitalization. A Selection Review Committee was convened to review the proposals.The Committee included staff from City of Fresno Purchasing Division,the City Manager’s Office,Internal Audit,FYI,Development and Resource Management,as well as the interim President and a board member from the Downtown Fresno Partnership.Parking Services staff provided technical background to the Committee but did not participate in the scoring of the proposals. The Committee met on three occasions to review proposals,methodically score and select the final proposer.While cost was an important consideration,it was not the sole deciding factor in the Committee’s evaluation.The RFP sought a vendor who possessed extensive experience in special events due to the number of venues located in the Downtown area,a marketing strategy,a forward thinking approach to improving the facilities,and innovative techniques for supporting Downtown revitalization and increasing revenues.The RFP also specifically requested a comprehensive program to include robust accounting procedures, record keeping, and reporting. At the first meeting two responses were eliminated from further consideration.The first proposal eliminated was Pro Park due the submission being non-responsive to RFP requirements.Their bid proposal page was not complete and the Committee determined they could not adequately evaluate their proposal.Ace Parking,the incumbent contract holder,was also eliminated in the first round. The Ace Parking proposal was among the most expensive and the quality of the presentation was lower than the five proposers that moved on to the second round.Prior to the second round the Committee requested additional clarifying information from both LAZ Parking and Parking Concepts. During the second meeting the Committee focused on the specificity in each of the proposals relating to strategy,technology,customer service,and management experience.These attributes were then compared to the relative cost of each proposal.At the conclusion of the second round the Committee eliminated three other candidates and selected two finalists.For the third round Republic Parking and SP Plus Corporation were invited to make a presentation and be interviewed by the Committee. Both companies gave excellent presentations but ultimately the Committee agreed to recommend Republic Parking Inc.based on their interview,presentation,overall experience,submitted proposal, cost, and commitment to our downtown area. During the Committee’s review of the proposals,the five (5)companies eliminated during the first two rounds were not invited to be interviewed for various reasons including the following: City of Fresno Printed on 12/16/2022Page 2 of 4 powered by Legistar™ File #:ID#14-361 Agenda Date:10/9/2014 Agenda #:2-A ·Incomplete proposal as required in the RFP; ·Proposed costs; ·One proposer was rejected because they lacked adequate documentation to support their ability to upfront operational costs of more than $1,000,000 annually (the vendor must pay expenses and then request reimbursement from the City); ·A Proposer was eliminated because the approach relied too heavily on automation and lacked a strong customer service element which would be complimentary to the City’s Downtown revitalization efforts; ·A lack of experience in a downtown environment; and ·Proposal not comparing in strength to the others in areas related to reporting,technology and customer service. For reference, the five-year cost for the seven Proposers were as follows: Bidder Proposal Selected Not Selected LAZ Parking $3,884,614 X Parking Concepts, Inc.$4,645,009 X SP Plus Corp $6,066,056 X Republic Parking $6,595,263 X Ace Parking $8,322,380 X ABM Parking $9,238,970 X Pro Park Not Included X After exhausting due diligence consideration for all the proposals received,the Committee and staff recommend awarding the contract to Republic Parking Inc.to provide Parking Facilities Management Services for the next contract term. ENVIRONMENTAL FINDINGS Pursuant to the provisions of California Environmental Quality Act (CEQA)Guidelines Section 15378, this agreement is not a project for the purposes of CEQA. LOCAL PREFERENCE Local preference did not affect the award of this requirements contract since none of the proposers qualify for the local business preference according to the Fresno Municipal Code Section 4-108(a). FISCAL IMPACT The fees include two components:1)Management Fee of $952,696 for the five year period;and 2) Pass-through expenses of $5,642,567 related to garage operations for five years.Total cost is $6,595,263. City of Fresno Printed on 12/16/2022Page 3 of 4 powered by Legistar™ File #:ID#14-361 Agenda Date:10/9/2014 Agenda #:2-A The Parking Division’s payment to the current management provider Ace Parking ranges from $1.7 million to $2.4 million dollars annually,which includes management fees and applicable pass through expenses.The proposed management agreement with Republic Parking Inc.reduces the Parking Division’s annual commitment to $1.3 million, a potential savings of $400,000 to $900,000 each year. Attachment:9261 RFP Parking Operations City of Fresno Printed on 12/16/2022Page 4 of 4 powered by Legistar™ RECEIVED ¿ûil ccT 6 Pn 3 ?B CITY CLERK, FRESì,IO CA Agenda ltem: lD#14-361 (2-A) Date: t0lglt4 FRESNO CITY COUNCIL City ofEEDEêTTS\I/':ffìE=iEz¿¿ñ-- Supplemental lnformation Packet Agenda Related ltems - lD#14-361 (2-A) Supplemental Packet Date: October 6,2OI4 Item(sl Approve the selection of, and award a contract to, Republic Parking lnc. to provide Parking Facilities Management Seruices in downtown Fresno - Development and Resource Management Department Supplemental lnformation : Any agenda related public documents received and distributed to a majority of the City Council after the Agenda Packet is printed are included in Supplemental Packets. Supplemental Packets are produced as needed. The Supplemental Packet is available for public inspection in the City Clerk's Office, 2600 Fresno Street, during normal business hours (main location pursuant to the Brown Act, G.C. 54957.5(2l.. ln addition, Supplemental Packets are available for public review at the City Council meeting in the City Council Chambers, 2600 Fresno Street. Supplemental Packets are also available on-line on the City Clerk's website. Americans with Disabilities Act (ADA): The meeting room is accessible to the physically disabled, and the services of a translator can be made available. Requests for additional accommodations for the disabled, sign language interpreters, assistive listening devices, or translators should be made one week prior to the meeting. Please call City Clerk's Office at 62I-7650. Please keep the doorways, aisles and wheelchair seating areas open and accessible. lf you need assistance with seating because of a disability, please see Securi tD#/'l-J6l( zA\ RobertM Dowd' RobertW. Gin' Randy L. Edwards Jim D. Lee Jeffrey L. Levinson* Raymond L. Carlson Ty N. Mizote. Michael R. Johnson* Mario U. Zamora Janae D. Lopes Melissa E. Webb *a Profess¡onal Corporation LAS(_()iltr l)( ALLE 'TrTl'ttT'g pn ? IB Lyman D. Griswold (191 4-2000) Michael E. LaSalle (Retired) Steven W. Cobb (1947-1 993) ATTORNEYS A Californ¡a Limited Liability Partnersh¡p ¡ncluding Professional Corporat¡ons 111 E. SEVENTH g+yrelERK' FRESI{o cA HANFORD, CA 93230 Telephone: (559) 584{656 dowd@ griswoldlasalle. com Direct Fax: 800-947 -0468 October 6,2014 VIA HAND DELIVERY Blong Xiong, Councilmember, District 1 Steve Brandau, Councilmember, District 2 Oliver L. Baines, III, Councilmember, District 3 Paul Caprioglio, Councilmember, District 4 Sal Quintero, Councilmember, District 5 Lee Brand, Councilmember, District 6 Clinton J. Olivier, Councilmember, District 7 c/o Yvonne Spence, City Clerk CITY OF FRESNO 2600 Fresno Street, Room 2133 Fresno, CA 93721 Re: Council Agenda October 9,2014, Agenda Item ID# l4-36f Dear Honorable Councilmembers : We come before you on behalf of Ace Parking Management Inc. (Ace). We request that the City Council not award the Parking Facilities Management Contract to Republic Parking Inc. (Republic) as recommended by Staff. Not all proposals were responsive to the City's Request for Proposals (RFP). Therefore, we suggest that the Council eliminate all non-complying proposals and reevaluate the responsive ones. There is time. The City has asked bidders to allow bids to stand through November 5, 2014 (see Attachment 1); and if that is insuffrcient time for the City to thoroughly and objectively review the proposals, I am sure the bidders would extend further. RISWO EIvED ;fÅtoll f /+ Honorable City Council October 6,2014 Page2 Why do we request such action? Because Republic did not comply with the terms of the RFP and such non-compliance will harm the City. The Parking Management Services RFP Selection Review Committee (Committee) found Pro Park non-responsive because it did not complete its bid proposal page (see Attachment 2);the staff report identifies Pro Park's proposed cost f,rgure as "Not Included." Republic's proposal was, however, found to be responsive even though it failed to address the requirements of Addendum 5----a very expensive element of the bid. What was called for by Addendum 5? All bidders were directed to bid two fulltime daily employees for Woodward Park entry points and one more employee during major events; two fulltime daily employees for Roeding Park entry points; and one employee for the Sports Complex entry point during major events. Ace did and Republic did not. We raised these issues to City Manager Rudd and Purchasing Manager'Watahira by writing of September 12 of this year and provided hereto as Attachment 3 is a copy ofthose papers. The failure by Republic to address the staffing requirements of Addendum 5 means that Republic's payroll and payroll tax figures, two of the most signif,rcant line item expenses in Republic's proposed annual operating budget, are inaccurate. If Republic had included the required staffrng for the parks, its proposal would increase by $400,000 per year, making Republic's bid the second most expensive received by the City. The staff report indicates that one reason Ace is not the recommended candidate is because of the cost of its proposed services. Ace's proposal would have included a lower cost component if it omitted required services like Republic's bid. Instead, Ace followed the instructions set forth in the RFP and included øll of the requested information in its proposal. The Committee involved in the selection process noted that Ace is qualified, but also dismissed our proposal in part due to "unresolved complaints" (see Attachment 2). Ace is unfamiliar with such "unresolved complaints" as the City failed to bring them to Ace's attention during the nearly ten year period during which Ace has worked for the City. In light of the City's silence over the years, it came as a surprise that the Committee found that the "unresolved complaints" justified Ace's elimination as a candidate after the first round of review. Why do we do an RFP? Generally speaking, an RFP is used so the City can solicit proposals for goods and services that address the City's needs. Everyone is to bid the same goods and services so the City can compare apples-to-apples and receive the best product for a reasonable price. This has not occurred. Neither the City's nor the public's interests are served by awarding a contract based upon a bid that fails to address significant RFP requirements, which is why Pro Park was eliminated after the Committee's first round of review. Republic's proposal is similarly deficient. Honorable City Council October 6,2014 Page 3 It is fuither noted the RFP places emphasis on the integration of parking facilities operations with Downtown revitalization efforts. The RFP's Scope of Work identifies one component of that effort as: "Continually strive to increase customer satisfaction and City revenue in the parking facilities, within the given rate structure." 'We agree with both. The question is how do you achieve such goal? Republic's proposal relies heavily on payment systems/machines, which illustrates Republic's unfamiliarity with the demographics of Downtown patrons. In order for Downtown tevitalization to be successful, patrons must be accommodated rather than subjected to conditions that would make their Downtown experience unpleasant. Ace is rnost aware of the Downtown patrons because Ace has been a partner with Fresno for many years, focusing on Downtown. 'We encourage the Council to eliminate those proposals fhat are non-responsive or which may be inconsistent with the goals stated in the RFP. Millions of dollars of public funds will be paiá to the company that is awarded the Parking Facilities Management Contract. A fair RFp process, including the consistent and objective review of proposals, should be utilized to identify the contractor that will provide the best services at the best price, which will result in the sound use of the public's funds. We encourage the Council to utilize a third party consultant to review the proposals and to identify those that are non-responsive and to rank the responsive bids as the process that has occurred to date suffers from glaring def,rciencies. The Council should have a full and accurate assessment of the proposals when awarding the Parking Facilities Management Contact. Without a fair RFP process, the citizens of Fresno cannot be ensured to have the best service for the best price, by the most qualified group. We believe that the citizens deserve the best and believe that each of you believe that as well. If the contract is awarded to a group who has failed to comply with the basic requirements of the RFP, the citizens will undoubtedly suffer. Sincerely, GRISWOLD By: RMD/sr Attachments cc: (with attachments) Ashley Swearengin, Mayor Bruce Rudd, City Manager Douglas Sloan, City Attomey Jennifer Clark, Director, Development and Resource Management Department Del Estabrooke, Parking Manager, parking Services Division ALLE, COBB, GIN, LLP ROBERT M. DOWD ATTACHMENT 1 Ci(y ol Fffiffi# s2 . Ë/iX ({i{iıtlî¡¡:1069 . mw¡lrèilil¡ñ finânce Deoârlttenl t€ren Bradley Assislar)t ContmllerI'rostlÖ CA 9372.| October 1,2014 VIAËAC$M"ILh- AÖF PÂIII(I NG MANAGFMEN]' INC, 555 MONTQOMü:RY STREtil' Stjl"tE 1150 $AN t-ttANCtSCO CA 94111 A'lì"ËN]lON: JOt tN BAt"JMGAÍ:ìDNIËfì suB.tËc't' Rb:auEs'f l-olt EXTËNS|()N otr BtD trt.{opo$Al. IjoR: llfjP lîoR pARKING fACIrll I_E$,MANAGEM,IÍNI $HttvlÇt;^$. (Llttj F|LH N().) 9261 1'he Cìty is cunently evaluating the hid ¡rr-opo l.l r, the City will r¡otbe ablo to nralçe an awårcl withirr thet time s ati<lns. i-ne Ciiyrequests that your corlpany e.¡t9¡çl"y"pU"t-þ E, Plea f yotr arc able or unable to conrpl requcst. Rcturn yorrrsign ¡i..; r"rffice tro later flre {i:00 plVi, ï.}1,2û1e, A fax copyis ac number (559)48S-1069. Birl deposits willcontitrLle to be held untÍla contract is awarclecl, o¡ all bids are reje<;tecl,There is rro change in staff deterrninaticln. Purchasing Manager Please check the ap¡:rcpriale box: L;,'t Witf extencl bicl/proposat lWtl 1ot extcnll birl/proposat iì ¡ ! iir: .l .: , !\'' ,..¿ .r .tLI .-.; 1 itle uri' o.f Authorized lnclívid Llal ':;::- '"i- trf Date HP OfrlceJet Pro 8600 N911a Series Fax Log for Ace Parking 16192330741 Oct 01 2014 4:32PM LastTraneaotlon Date ïime Typo Oct I 4:30PM Fax Sent Station lD 15594881069 Duration Pagas Result 1:22 2 N/A ATTACHMEI{T 2 REPORT FROM ËVALUA'TION CO[/IMITTEE pA R r* N c ** äËÊHËRi ãÊåfi ågåüäi{8å- " R Fp r\¡ o e2 6 I CO[,lMlTTEE MEMBERS; u Diana Reynolcis, Buyer ll/Facilítator, Ciìy of Fresno, Finance Department- purchasingu Rene smith. Assistant city Manager, cúy of Fresnó, on¡ce ortne .àyó, "nJc-iiy*nt"nugur,* : oo'"" Department u Airports Finance n fiership BACKGROUND The goaì of this Request for Proposal (RFP) was to solicit proposals to provide professionaf publícpersonnel to properly nlanage maintain and secure the parkÍng iacility "n.i "ornmon ãtLä, on a dailybasis' The operator wifl be responsíb[e for the ernplóying änc,l supervising personnel to performcontracted services Proposels were submitted by the seven vendors.accordíng to the Request for proposal April B, 2014deadline. ßelow is a summary of proposals subnrítted by th"e seven venriors: $ P{oposal Republic Parking Systems 6,595,26s.00 Ace Parlcino 8,322,380.00 4,645,009.00 les4;614-oo ABM ParkinSr 9,238,970.00 SÍr lrlus Coro 6,066,056.00 Pro Park 9,238,970,00 COMffJIITTEË NÓTES Evaluation committee members.were in agreement that all seven proposers, are capable of providingthe Development Department/Parking riith professtonát pu*irfr iacilities runàı.ránt seruices.Therefore, lhe selection was based on the clifferances in the'vendãrs' wrifien piopo.*äit, éresentationsand inierviews. ln the first conrmÌttee rneeting, Propark was determined to be rron-responsive as they clicl not cornpletetheir bid proposal page, The itlcumtrenl was also dismissed ¿ue io curent unresolve<i problems anclcomplainls. The comnríttee narrowed down their selection to four candiclates nåirnfic parking system, sP PIus corporation, LAZ parkíng and parking concepts rnc.requesfs for rnore information to LAZ parking-and ea*inj ðonãäpts. rrom tcame up with the top,two candidates Repuu[c earking "systäm and sp pr them to be interviewed. System wìll experience, pressed by during the ided the lowest cost of the seven propos rned that theas at the expense of customer service.'Th that Republic area, provÍde more vafue based on experience an the downtown RepuLrlic Parkino Syqlem SP. Plus.Corpofation SP;.' iä: io,,'ï iì:il"-:yy,å"J.,'#the "ii. Iifl-" t all requirements or LAZ PARKING LM Parking has just merged with Vinci parking which ma much of ihe experience isLAZ and how much ís..Vincj, Their ptan inctüCeU a grð on automat.ron which thecommittee felt was ai the expense of customers. Thãir checked and found to besatisfactory, FARKTNF CONCEPTS ¡NC. Pq¡k¡S Goncepts fnc. (pCt) was satisfadory but was not as strong as were not strong and the committee address our situation here in Fresnr¡. ABM PARKING SERVTCES ABM Parking Services providert a satisfactory proposal but the committee felt that nothing really stoodout as exceptional. Theír'references were checked'and found to 0" "àtirra.torv ACE PARKING Ace Parking ís the current contract holder of Lhe Parking Facilities Management Services. Thecommíttee felt that their presentation was weak and is not cuirently meeting t¡etitvt neãds related toreportíng' technology or customer serviçe. Their referen"u* rcr" "É"ckec and rouná to be satisfactory. Pro"Park Pro Park was determined to. be non-responsive.. Their bid proposal page was not completed and thecommittee felt that they could not adequately evaluate their óroposài. RECOMIIIENDATION: The cornmittee firrns theír findings th m will beable to provide professional pár"ting rvices aswellas tlre besl lnterview, and stroni owntownarea- Therefore hat nepu'blic paiL¡nı systems be awarded the parking Facillties Serulces contract. ATTACHMENT 3 Süolt /1. J.rrres Cltaírntan R+:iîlt B. Janes Managing Prhtci¡:al J t l, t1 Ej lt u tn Ea ftJ n,) r Vicr': Oltairnt.¡n & CEA Steve Bu¡4ot¡ Presidenl F0!ni¡ia!J illeùtbÈt of ¡lt1 l',la lit¡n¿i Pat ki t t g A.$ô \;iîtlicr) tlLli' ¡{tl5s14}lt ací;dilrt¿!bili[:t, \,',,e vill l(:ùr] tit: l¡ati;!¡ttJ iùclLtslt¡t i¡¡ stttvicc ûnt! ljni'tÍtcir.ì! t-]sttll!: ior at¡l tlicilis. HAND DELIVERED September 12,2ot4 Mr. Bruce Rudd City Manager Office of the City Manager 2600 Fresno Street Fresno, CA9372l-3602 RE: Sf PTEMBER 25, 20L4. (RFP For Parking Facilities Management Services - No.9261) Dear Mr. Rudd, Ace Parking Management lnc. hereby formally and legally notifies the City of Fresno that we respectively protest city staff's "NOTICE OF STAFF DETERMINATION OF CONTRACTAWARD," posted on August L4,2014, recomrnending contract awãrd to Republic Parking, which is tentatively agendized for the City Council Meeting of Septernb er 25,2OL4. Said protest is based on the City's non-compliance with the mandatory requirernerrts as stipulated in the February 5, 7Ot4 "RËP for Parking Facilities Management Services, lnvitatìon #9261and its Addendums 1" through B, inclusive. Accordingly, we are reguest¡ng the City of Fresno remove from the City Council Meetingof September25,2014, the award of contractto Republic Parking until all part¡es can determine the subsequent fair and legal protocol regarding the entlre RFP process and its final disposition. BACK€ROUND With the August 14,201,4, posting of "Notice of Staff Determination of Contract Award" (EXHIBIT 1), Ace Parking Mar''ragement lnc. also received a facsimile fronr Purchasing Manager Gary Watahira, dated August 18,2014, titled: Page 1 of 5 Manasement Services - Bid File No. 9261" (EXHIBIT 2). Mr. Watah¡ra's letter is clear in requesting the following: "The Cíty is currently evaluotíng the bid proposols for the ohove prolect. However, the City will not be able fo make on award with the time frame allowed by the bid specifications. The City requests that your compony 2014." The City of Fresno issues an August '1,4, 2OL4 "Notice of Staff Deterrnination of Contract Award" and, immediately thereafter, issues an August IB,201'4 public document extending the process to October 5,201-4' At this point, the RFP process became convoluted. As a result, Ace Parking Management lnc. faxed to Mr. Watahira on August 21.,20L4, our letTer requesting clarification and a reply to our three questions (EXHIBIT 3), On August 2L,2014, alIT:32 PM, we did receive an immediate email respotrse from Diana Reynolds, Buyer ll, Purchasing Division, which she states: "ln response ta your questions regarding the extensian on the above' Thts only meens that the bids høve expired und that an extension is required ta keep them current. You have fíve davs prior to the award te submit on sppeql if vou choose to do so (emphosis odded)." We immediately responded to Ms. Reynolds'email and stated: "Thonks for the last response to my fax' I still have the question - Does the August 1"4, 20L4 postíng still stond indicating that Repuhlic Parking is tentstively to be aworded the contract qt the September 25, 201.4 Council nteeting?" Seven (7) days passed and we did not receive any further response from the City of Fresno. Therefore, we faxed Ms' Reynolds our August28,2Ot4, letter expressing our serious concerns with the RFP process. We copied you and Mr. Watahira on this letter {EXHIBIT 4}. Subsequently, Mr. Watahira called John Baumgardner, CËO & Vice Chairman, and asked what he was seeking. Mr. Baumgardner requested a response to Ace Parking Management lnc. written requests for information. Furthermore, if flepublic Parking is being reconrmended for award, Mr. Baumgardner requested infon'nation regarding the RFP Evaluation Cgmmittee, the RFP evaluation process/ evaluation documents, and a copy of Republic Parking's submitted RFP. Page 2 of 5 On Septemb er 4,2ÐL4, Mr. Watahíra did forward an incomplete copy of Republic Farking's RFP submittalto Ace Parking Management lnc' We recognize that elements of Republic Parking's RFP are proprietary; however, the fotlowing paBes are mìssing: Itjl"L,60-68,67-70,72-82,84-92, and 102- 125. The missing pages appear to be random in nature. After reviewing Republic Parking's RFP submittal, we found it did not comply with the city of Fresno's stipulated RFP requirements and mandatory Addendums. These omissioLrs produced a lower bid proþosal from Republic Parking. Therefore, Ace Parking Management lnc' protests the RtP Evaluation Comrnittee and staff's determination that Republic Parking is the "lowest responsíble bidder," By the City of Fresno's own admission of fact, as notice to all bidders, an addendum is ".,. rnade part of the above entitled specifications for the City of Fresno..." Addendum No. 5 was issued for "ParkÌng Facilities Management Services Bid File Number: 926L' (EXHIBIT 5), Addendum No' 5 ctearly mandates that all bid proposals shall now include three (3) parks, which shall include staffing for the specifíed hours of operations and number of entry Points' Furthermore, Addendurn No. 5, "Requirements: 3" through 9" stipulates additional requirements and costs. Requirement #9 is specific in stating: "9' A separate Management through the addendurn is established for this work." A review of Republic Parking s RFP proposal indicates the proposal does not include the additional requirements and incurred costs of Addendum No' 5' There is no "... separate Managenrent through the addendum established for this work,,, The following peges from Republic Parking's proposat underscore these points {EXHIBIT 6): Republic Parkins RFP Proposal Observations page 23 of I25 No line item for parks cashiers or staffing. pages 30 to 32 ôf 125 Staffing Plan & Managernent/OÍfice Schedule does not include required Parl< Supervisor' page 34 of 125 No cashier staffing for three (3) Parks. Page 3 of 5 Page 35 -36 of 125 No Special Events staffing for three (3) Parks, Repgblic Parking's RFP proposal has no "separate Management through addendum" and, therefore, there Bid Proposal does not include these costs. These aforementioned facts are clear, undeniable, and consclusive based on the informaïion provided to us by the City of tresno. Acr {FÕrA) Ace Parking Management lnc., under all applicable laws governing the Freedom of lnformation AcT (FOIA), is requesting the followíng information from the City of Fresno: The Bid Ranklng of all RFP proposals. The composition of RFP Selection Comrnittee, both Voting and Non- Voting mernbers. Atl rnaterials used by the RFP Selection Committee for evaluation purposes (Btanks). 4. lnstructions given to the RFP Selection committee for evaluating. 5. All emails from RFP Selection Committee members sent to prospect¡ve Bidders, including responses. The role of Non-Voting members, The written criteria for selecting RFP Selection Comnrittee mernbers ìn addition to those listed ín the RFP proposal' The RFP Bid proposal documents for the top three ranked proposals' lf an oral interview was convened, the criteria for the oral board composition and qualifications. Furthermore, what criterion was used to invite bidders to the oral interviews, if such interviews were convened. 10. Atl Fresno Municipal Codes and Ordinances that provide support to Fresno businesses, CLOSING OBSERVATITNS We know the City of Fresno strives for the highest level of transpârency. Mayor/CEO Ashley Swearingen has made this one of the cornerstones of her administration. Theretbrel we would appreciate timely written correspondence from the City of Fresno that the September 25, 2014 City Council agenda item, which is scheduled to award the Parking Facilities Management Services contract to Republic Parking, is removed from the agenda. Until all inforrnation is made available and this matter is addressed by the city of Fresno, it would place an undue onus to bring this item forward to the City Council. 3. 1,. 2. B v 6. 7. Page 4 of 5 ln accordance with the May 7,2004 Ordinance No. 2004-41, which is also known as the "Regulated Communications in City Procurement Process Ordinance," we are cornmun¡cating only directly with you and the Purchasing Manager by copying hirn on this letter. The gravity of this convoluted RFP process, the untimely and fragrnented respanses from the City's Purchasing Dìvision, and the docunrented facts we have provided is significarit justification to bring this to your d¡rect attention as the Cíty's Ch ief Ad m inístratíve Officer. We truly appreciate your efforts and staff efforts to address our protest and substantiated facts. We look forward to the City of Fresno responding to our requests under the Freedom of lnformation Act (FOIA) so we may further analyze the RFP process. : Mr, Gary Watahira, Purchasing Manager (HAND DELIVEREÐ) City of Fresno Purchasing Divislon John Baurngardner, Vice Chairman & C.E.O., Ace Parking Management, lnc, Attachments: Exhibíts 1 - 6 Ace Parking Management lnc. Page 5 of5 EXHIBIT L NOTTCE OF STAFF DETERMINATION OF COI¡TRACÍ AWARD, PQSTED: August t4'20L4 City ofEEDEEI¡¡5\l/¿fflEÐiE=z¿È= Purchosing Divisioñ Koren Brodley, As¡istont Conlroller 2600 Fresno Sireel, Room 2ì5ó - Fresno - Coliforn¡o 93721-3622 (559) ó2r-r332 FAX (sse) 488-roó9 NOTICE OF STAFF DETERMINATION OF CONTRACT AWARD Posted: August 14,20Í4 Staff has determined the following to be the lowest responsible bidde(s) for the project(s) listed below. Any bidder having a specific interest in the award of a contract may file an appeal of the staff determination of contract award in accordance with Resolution 2003-129. Note: Resolution 2003-129 does not apply to Request for Proposals, (RFP's), Request for Qualifications (RFQ's), or Request for lnformation (RFl), unless specifically included in the specifications. Bid File Proiect To Be Awarded Council Meeting September 25,2014 9261 Request for Proposals for Parking Facilities Management Republic Parking Services ($6, 595,263.00) EXFIIBIT 2 "REQUEST FOR EXTENSION OF BID PROPOSAL", MR. GARY WATAI.IIRA, PURCI-IASING MAI\AGER, August !8,2AL4 LETTER TO AtL RFp BTDDERS Ôtty al PUrchaslng D¡vlsíon - {559) 621133!t - fAX (559) 2600 Ffesno St, Rm 2156 Asslstent Controller DATE Augusl 18,2A14 ylA EAcsrMrLE ACE PARKING MANAGEMENT INC. 555 MONTGOMERY STREET SI.'ITE 1I50 SAN FRANCISCO CA 94111 ATTENTION: JOHN BAUMGARDNER SUBJECT REQUEST FOR EXTENSION OF BID PROPOSAL FOR: (BtD FÍLE NO.) 9261/"/ Please check the appropriate box: [ ] Will extend bidiproposal I I W¡ll not extend bid/proposal Signature of Authorized lndividual Narne (Print) d @lüf sÆçjÍsc!¡gls' The citY mpany extend vpur bid proposal throuch October 5. 20,l4. Please indicate below if you are able or unable to comply with the extension request. Return your signed response to this ofüce no later the 5:00 PM, Mondav Ar+qust 25 | 2014. A fax copy is acceptable using fax number (559) 488-1069. lf you are unable to comply with the extension request, your company will no longer be eligible for award of a contract for this project and your Þ!d deposit will be refunded. Bid deposits will continue to be held untila contract is awarded, or all bids are rejected. Bid bonds will not be returned unless requested in wrÍting by the Bidder. Sincerely, -. 't-.t,.r, t;-¿'li/r.-J ¿: Gary Watahira Purchasing Manager Title Date EXHIBIT 3 TETTER TO GARY WATAhIIRA, PURCHASING MAIUAGER, FROM JO'{N BAUMGARDIIER, CEO & CHAlRfvlAN, ACE PARK¡NG MANAGEMENT ln¡C., DATED August 2L,Ztt4. Scoft Á. Jor¡e.s CÌmirnan Keith Ð. Jones fulariaghryl Princî¡nl Jolttt Bawngartlnet Vice Chah'n¡¿ut & CEA Slêyê Êt)rlan Presidelf [:oundirry] hieí¡tbet ûf hÈ t'l al kvt r t I IJ a rki n 1 I t\ s\ a í;i tl ¡ô | ) Ua.tr t'rvgfi[t]It att<sunltilLilill,, wr: '.'¡il! !*aú if* parkirtç| ìrt;.)Ltstry it.t st:tvit:o and {itta¡¡t:inl rc:;t)!t:i for öu{ c}tutt¡s VIA FACSIMILE August 21.,2ßt4 Mr. Gary Watahira Purchasing Manager City of Fresno Purchasing Division 2600 Fresno Street Room 21-56 Fresno, California 93721 Dear Mr. Watahira, Attached is Ace Parkirtg Management, lnc.'s response to your August 18,20L4, letter regarding "Request for Extension of Bid Proposal for: 8IP fqr Parkine Facilitjes Manase,Fent Services {BlD FIL[ NO. 9261i"' Ace parking Management, lnc. is enthusiast¡c and will rernaln cornpet¡t¡v€ during the entire bid proposal evaluation. Therefore, our firm will extend our bid proposal through October 5. 2014. ]n the interest of fairness and clarìty, we would also appreciate a response lo our following questionsì 1. Does your August L8,2}L4letter null-and-void and thUs supersede the City of Fresno's website August 1'4,2074 posting of: NOTICE OF STAFF DETERMNINATION OF CONTRACT AWARD" to Republic Parking with a council meeting of Septembe r 25,7014 (Attachment)? lt would have too, correct? 2, Since the city of Fresno's August 14,201,4 posting does identify Republic Parking as the initial recommended bidder, which requires city council approvalr does this denote Republic Parking is no longer aÛ applicant? 3. Since the Bid Proposal is cxtendecJ to October 5,2Ð!4, does thìs indicate that the city of Fresno will convene a separate oral board evaluation panel considering the magnitude and impact of this Bid Proposal? Thank you for the opportuftity for Ace Parking Managentent, lnc. to compete through October 5,20L4. We lool< forward t0 your timely wr¡tten response t0 ouf questions. Please contact us al 619-233-6624 if we can be of asSistance' C.E.O. & Vice Chairman Attâchments aco parkirtg tlanagernent, in¡:, (i4r.¡ Ås^/r Slrec¡ San Diego, CAû2101 tel 6ìl!).2!13.6824 fax 619.2:j3.O74J tuwt't-acøparking,carn Fgffi R.þtsl2-EFHT ËH?¿srs IJrrrctnshg t)tv;¡irri¡ - lstg) 02t'lããt:ÊÃ'¡dliiìúi-i0ıı -,,,v,,¿fe"îñ¡r¡r 2600 Fresno St, Rm 2i56. CÍly ol Fresnd CA 03721 DATE Augusì.19, 2014 Sincerely, Gary Watahíra Purchasing Manager Fl¡ìArtce UcDarlmcnt l(¿ßn Bradloy A:d5tÞnl Conlroller YlA]:Aç.SIMILE ACË PARK¡NG MANAGEMENT INC. 555 MONTGOMERY STREET SUITE 1150 $AN FRANCISCO CA 94I11 ATTF-NT ION: JOI-IN BAUMGARDN F R SUBJECT REQUESI"FOR EXTENSION OF B¡D PROPOSAL FoR:EEBf_û,Bf ABKTN_G*ruQIL|IES_MANAGEMENI'sEBVtqES- (BtD F|LE N0.) e26r The City ìs currently €vâluäting the bid propo the eity will notbe able to make an award w¡thin the ilme ions. ine Cityrequests that your company Please lnclicate belour if you are able or unable to c est. Rcturn yoursigt'lod rerig)úrlsg to thts offïce ¡la later the !i:00 ?4. A fax coþy isacceptable using fax numtrer (559) 4BB-1069. lf you ate unabls to comply wifh the extençion request, your cornpany will no longer be eligilrle forawad of a contract for this project and your bid d rpr:sit will be rofundéd. Bid deposits wlll continuo to be held u¡rtil a contract is awarded, or all hids are rojected. Bicl bondswill not be returned unless requested in wdting by tho Bidder. Flease checl< the appruprlate box: l;t llÂlill exlend b id/proposal { Na \çl y' PurcDoing Dfvi!¡on 2ó00 Fresno Slreet, Room 2 t 5ó - tresno - Cotüomi{ î37 21.3622 l5stl ó2t-t332 F X (55e1 r88-t0ó? NOTICE OF STAFF DETËRMINA'TION OF CONTRACT AWARD Posted: August 14,2014 Staff has debrrnined the following to be the lowest responsible bidder(s) for the project(s) t6ted below. Any bidder having a specífic interest in the award of a contract may file an appeal of the staff determination of contract award in accordance wilh Resolution 2003-129. Note: Resolution Zû0$12g do-es not apply to Request for Proposals, (RFPþ. Request for Quatifications (RFe's), or Request for lnformation (RFl), unless specífìcatly inctuded in th ,specilications. Bid FÍle 9261 Proiect Council Meeting September 25,2A14 Request lor Proposals for Parking FacilÍties Managemenl Services ($6,595,263.00) To Be Awarded Republic Parking Facsimile Date: August 21,2Õ14 To: GaryWatahira From: John Baumgardner Ace pad<ing Management, lnc. Phone: phone¡ (619) 2g3-6624 Fax. (559) 4SS-1069 Fax: {619) 2Sg_0741 Numþerof Pages tncluding Goven 4 Comments: ace parkîng managemena ínc. t 645 Ash sf¡eef ¡ san Dre gc cA 92101 tel 619.233.6624 fax 619.233.0741 HP OfrlceJet Prs €ô00 N911a Ssriee Faxlog for ¡\ce Parking 16192330741 Aus2l 2û1411',544M LastTran¡actlon Date Time Type Aug21 11:524M FaxSent Duraiion Fages Result EXHIBIT 4 LETTER TO MlS. DIANA RE'YNOLDS, BUYER il, PURCHASTNG DtVtStON, FROM JOFTN BAUMGARDT\iER, €EO & CHAIRMAN, ACE PÀRKÍNG MAI\AGEMENT lNC., DATED August 28,2A!4, ScolfÁ, Jo¡es Cl¡¿tir¡¡¡atl Kejth B. Jat¡os lv'lanagit rg P ri nci¡sa! Jolzn Bawttgatrlt"uzt \¡ice Cltakr¡an & CF-Õ Steve Bmlan f'¡esidenî [:ar:nditg ùle;ubtr rtl 11rc i,t¿\ilLl D¿1 I Patk i n,:J /\s$r"ü¿tiot rrt¿f Ir'!¡ssi{.\'l ac{öun!ítl}iilty, rt.^'J/ilt ltêtd tha ¡;arkittgl indttsft\,it servic¡.: irtd fiw¡tcial rr¿sults fol oïn'ciitllls, SENT VIA FACSIMILE August 28,20L4 Ms. Diana ReYnolds Buyer lt City of Fresno Purchasing Division 2600 Fresno Street Room 2156 Fresno, California 93721 Dear Ms. Reynolds, on August 2L,20L4, we faxed Mr. Gary watahira Our ìett€r legarding the "RFP for Parking Facilities Management Services - Bid File No. 9261" wÍth attachments (Exhibit S). You were kind enough to immediately respond on his behaif, Although your reply did not specif¡cally address our questions to Mr, Watahira, we did have an addirionalfollow-up question (Exhibit B). To date, we have not received a response. Ace Parking Management, Inc. truly apprec¡ates your prÔfessional consciousness throughout the RFP process. YoUr effOtts are to be commençled' However, today we checked the City of Fresno's website and ¡t revealed that the August 14,7014, 'NoTlCE OF STAFF DETERMINATION OF CONTRACT AWARD" to Republic Parking is extracted. This removal, without nOtice or explanation, raises serioUs concerns. Therefore, since this RFP process is now convoluted, we Will address al[ further inquiries directly to City Manager Bruce Rudd with a copy to the City of Fresno's City Council. Communication with the City Council will be in accordance with the May 7,2004 ordinance No. 20C4-41, "An orelìnance of The city of FrÊsno, california, Adding Article 6 To chapter 3 of The Fresno Municipal code Relating to Regulated commr_¡nications with Mayor and councilmembers During competitive Procufement Process." Thank you for Your assistance. Attachments: fxhibits A & B CitV Manager Bruce Rudd Gary Watahira, Purchasing Manager ace ¡tarl<í¡g manageryÊnl, inc. 6tl5 ¡ìsh Sí¡e¡,¡l Sitrt Diego, CA92'íü tel 6'19.233.6Û2,í fi¡x {i19.233.Ð741 ulwwnceparkirtg-cant ffi ÞT< F<< ffi ,*ä b S.;oll ll, .Jo,tês Cltairn¿n ltuíilt f.t. Jont}s í1artagh6 Frincipal Jalnt B;uu'rt¡Ttrdnct \/,rÉ {)rrililan ¿i CÉo .çt$se Blrr¿orl Pr¿sidet¡t ltomd¡n!) ¡\lonrlt{t 0l lltî lh li 0n ¿l F,ul d tllt /\s saÍ:iírlb n rij.llï itilss¡ât1 ,rL"rru,trít¡l¡i:t l','c "vil l,t:tcl tlle Pa¡útg i:tiiistt 1r ht st:¡\'t ti it¡tí lit¡¿ttci¿tì testtlls fo¿ c¡t l¿' c/ie¡11:'- VIA FACSIMILE August 2L,2Ð14 Mr, Gary Watah¡m Purchasing Managel' City of Fresno Purchasirrg Division 2600 Fresno Street Room 21-56 [:r'esno, California 9372L Dear Mr. Watahira, Attached ìs Ace Parking Managelnent, lnc.'s lesponse tÕ your August t8'2014' letterregarding,.BeqtlestforExtensionofBidProposalfor.RFPforParking Facilr'tdManaeement Services (BlD F|LE '" i,ïffi îif, yliiååiïli;lÏl,iåiÏllLlli:,T,Xîl'f ill"iîf; iiÏT¡i:Jiå' throughggtober5,20l-4'lnlheinterestoffairrressandclarity,wewouldalso appreciate a respolìse to oul following questions: 1-, Does yottr August 18, 2014 letter null-ar¡d-Jpid atdlltgllupÊr¡g'dg the city of Fresno's website August 1'4,2OL4 ¡:osting of: NOTICE oF STAFF DETEßMNtNATtoN ıF CONiRACT AWARD,' ro Republic pärking with a council rneetingofseptêmber25,2014(Rttachmerrt)?ltwouldhavetoo'correct? 2.sincethecityofFresno'sAugust'L4,2}s.4postingdoesidentifyRepublit: Parl<ing as the initial recornmendecl biclcler' which requires City Councìl upprou-rl, cloes this clenote Repuhlic Parklng is no longer an applicant? 3. 5ince the Birt Proposal i¡ extencled to October 5'2Ot4' cloes this indicate that theCityo{Fresnowillconveneaseparateoralboarc]evaluationpanel consiclering the magnitude and impact of this Bid Ploposal? Thanltyoufortheopportunityfor.AceParl<ingManagenrent,ìnc.tocompete throughoctobers,2al4.Welool<forwarrltoyourtirnelywrìtterìresponsetoÖur quest,|ons.Pleasecontactusat6lg-233.6624ifwecanlreofassistance. - l'i ,sln':. ./ lól dner c.E.O. & Vice Chairman Attachmerlts City ofËttEtË¡AI--*'.øfffE-=l?Zr¡lrs PurdlìoJ¡ng ÞMlon 2ó00 fÌEsnû Srreel, Rognr 2lSô - Fr6¡ño ^ Çsúlo{r{o 9372ì -3ó22 15591 ó2t-r332 FAXl5sel 1o&'roó9 Koron Brodloy, NOTICE OF STAFF DETERI\IINATION OF GONTRACTAWARD Posted: August 14,2t14 Staff has determined the following to be the lowest responsible bidder(s) fo r the project(s) lîsted below. Any bidder havlng a speeÌfic interest ln the award of a contract may file an appeal of the staff determination of contract awård in accordânce with Resolulicn 2003-129- Noùe: Resolulion 2003-129 does not apply to Rcquest for Proposals, (RFP's), Request for Qualifications (RFQ's), or Request for InformatÌon (RFl), unless specllically htÊluded ¡n fhe specf/lcaflons- lJtd F.rle 9261 Pre¡p..ct Gouncll Meelïng Septemfrer 26, 20f4 Request for Proposats for Parking FacilÍtÎes Management Servicas ($6,595,263.00) Tg BçÂwarded Reputrlic Parking rlirr ol Pn'c't'd"iñD"lsrñl¡selTtiîttr- F^/, {'d¡Ð¡¡&1 000: rn.lyl70añi;d( 2600 Ff€sno St, Rm 2156 Fresno CA93?21 DAI'Ë August 18,2û14 FllaIGû ljcrrîriilÊnl l(aren Brsdlôy ^sslslâ¡t Conlrôllof vtaFAcç!.\4tLE Pleaso check lhe a¡rÞtoprìate box: t ;rl,¡ruif f oxtond bidlproposal ,ACE PARKING MANAGËI\4ËNT' ]NC. 555 MÖNTGOMERY STREET SUITE 1150 SAN ËRANCISCO CA S4111 AI'TENTiON: JÕl'lN BAUMGARDNER fiUIsJËC]' REOUEST FOR EXTENSION OF IIIT} PROPOSAL Fo lì : EF I'_EQB PAßKil!.ç F_^g!UlËÊ_elW (BrD F|LE NO.)e261 ïTe {3ity ls currenlly evalusting ths bicl propoeâls for ihe âbova proloot. l-Jowgver, lhe tig wlll not t¡e able to mal<e ari award wîthin the tlme frarvre allowecl by the bid sfJeclncations. Tho Cìty requests that your company Pleaso lnelleaie bolow if you aie able or unaltle to comply t¡¡ith the extonnion requosi, Relurn your sigriod rèspûnse lo thÊs office no later the 5:0û FM, ]ìro¡ldav Aggt{s_8_e5, ?.01,4. A fax copy is acceptable usíng fax number (559)480-1069. lf you aro ur¡able to compfy wílh the oxtensiçn requesl, your compãny wlll n0 longêr b6 eliglble for awatd of rå conlract fût this project and your birì cleposlt will bo rofundccl, Bicl deposits wlll conlinLrs lo be hsld until a contract is awarded, o[ âll b¡ds âtê rejeoted, Bld boncls wíll not be returned unless tequested in wriling by the Blddot'. t1 -.-:i I'J.. ï:.,¡.-'+::':.i¡¡ 'f''\*t', ; Name (l¡dnt) . ,) . --*t.,) --- :iu,i¡ r \ îirte * -*îãro - tacsimile Date: August21,2014 To: GaryWatahíra From: John Baumgardner Ace Parking Management, lnc. Phone: Phone: (619)29gS624 Fax: {559i48S-1069 Fax¡ (619) zg3-0241 Numherof Pagrcs Inoludfng Goven 4 Gomrnente: acøpa///;ingmanâgètnenLínc.aô4ıAshsfeetrSenDragô,oA 92101 ke|619.233.0624 Íaxø19.233,074í ffi "[,TFffir+Xm From: Sent: To: Subject: Follow Up Flag: Flag Status: Categories: John-Bau mga rdner(ùacepa rki ng.com Thursday,August 21,2014 2:16 PM Diana Reynolds RC: 9261 RFP FOR PARKING FACIUNES MANAGËMENT SERVICËS Fol[ow up f laEged Red Category Diana, Tllanks for the fast responsc tu my fax. I still have ihe question - Ðoes the August 14,20l4posting stand ìndicatirrg that lìepublic Paiking is tentüively to be awarded thc contuact at the Septenrbel25, 2074 Covncil meeting? { look fnrwarcl to your reply. .lohn Joltrr ßaunrgðt'dner- CEO, Vlce Chslrman uce ¡r;;¡lai¡g rnêllageï:ÉtJL, l.iL" 645 Ash Street San Dìego, CA 92101 tel 619,233.6624 tax 619,233.ô741 ;ro{ìi: D¡ana Reynolds <pjâ1ìa.Révnol(ls@ftesno.oov> i'o,'1ç¡LÈeu¡rt{d!Ê@ga¡úæ@æcp-cd!ls re.il1>,Dale: 0812112D1412:X2PM Sr-rbject: 9261 RFP FOR PARKING FAC|L|TIES MANAGET\4ENT SERVICES Johu" In respolrse to youl questions regarding the extonsion on the above. This only rnçans that thc bicls have expired ¿rncl that an extension is requit'ecl to keep them crurent. Yon have lÌve days prior to the awald to submit FIP OtrceJet Pro 8600 N911a Serles Aus 28 2014 1 :10P[4 LqctTranoajtlon Date Time Type Duration Pages Result Aug?S 1:07PM FaxSent 2:39 10 OK N/A HP Officoþt Pro BÊ00 Ngl îa $ertee Aua282t141:06PM LaetJt.qtga.ptlo"n Date Time Type Aug28 1:03PM Fax5ent Duration Pages Result HP0liceJetPro 8000 Nglf a Sarles Type Duration Pages Result 3:12 10 öK t\UA ?>n,,,"r* fL,,ø'-l EXHTBIT 5 CITY OF FRESNO, ADDENÐUM No' 5 FOR PARK¡NG FA€tLlTlES MANAGEMENTSERVICES BtD FILE lrlUME€R:9261 Ciiv cí "!,icì)asi!Ìo:10r .c'si rr-âsio. a¿:ifon¡3 997tr.J67¿ nirs:,ri:lú riãì*ii,i.lüìiiıì";," --: -- . *_._lrcnÈc llLrnrlr I lc, tl lc; rr r r Ll¡..l,-iıì sìi;;¡;ñ"" ADDENDUM NO. 5 pARKr Nc FACt Lrl Es^üiL--rENï ssRvrcESBtD FiLE NUn¿een: gei1 ¡!-QfLa s; ;ilf i33,'"JiliiJî,îl;:;f;"r?ii#îff 3^',¡ü åf il.å"l[?ËiT*o specificatíons for the ciry of Fresno All changes and or clarifications will appear ln ffiJniiil shall sígn below ind cating he/she has ihoroughry read .no ,no"otu;-;;of this Signed: Cornpany: Thís addendum is being distributed on onljnra signed .opy órìn:*'aooendurn vyith the¡; bcnly and will not be sent by u.s. fi4ait. The biddershailsubrnir Áddenda to dðte: ¡ The fulanagement Fee Ís íts¡eim bursable expenses. Answer to question 41 Houi-s of Operat¡orL Tournarnents Eniry Points; 1 1. Requires one supervisol-.2' Emproyees comprete parks and Recreation orientation/training3' A.east two (2) emptoyees staffing fhe entry ¡ootrrsJuring alr operating hours1 Collect the specifieO i¡ty npprou"i entry fee i Provide entry tickets and re'ceipts to all vehiclest H:[î,ï:t$tJ,Liîanc temnårarv parkins areas ror overcapacityiimproper parkins and 7 ' Provide generar parks reratecJ ínforrnation to the pubricB' coordinate with Parks anc Recreation on speciarevents atthe different parks.9- A separate Management through the addendurn ¡, "utrttirr,ed for this work. own rine item but is incruded in the invoice arong with ail the other as Soccerand Baseball Hours of Ope fntry Foíntä: 7PM r evenTs 72 Winter 6a-¡1¿-7p-fú Dtvts¡oN¡c g)ô2f-1332 QU€SrJGru ..-e¡'_ ::J o1*r.¡s:_ ¿{tã_gSg- BeHh % : ¡1 : .a,*_r:*et'¡E@1:i_;:+_: i-JsE trvLY) RÊVIEWEI} 8Y: ûne qaresâion psr pãó6 _ñ;ìrldfrC;nìiô _:, RFP Ô7.O8 08/10 1 lJR t/ PAGE 7 l,Ëì3â S"pl. f;¡¿sadsouoa pu ¡ >¡.red ¡,luze ¡ T 1 þTD¿ ÊÐ JBI.Í EXI_IIBIT 6 EXCÊRPTS FROM REPUBLIC PARKIN€ SUBMITTËD RFP f,ROPOSAT A5 FORWARDED TO ACE PARKINGMANAGfMENT tNc. oN September 4,vÐ74,8y GARYWF|ATAH|RA, puRcHAstNG MANAGER, Menågement G€nsiål tanager ås8¡dant ttar¡aget ¡TlRâv€nuF Co¡tsol Manager fr¡¡ghüEv€ nt Süpew¡sor Accot¡nüng Manågê, Eookkeoper/á,udltor Ofñcê Ctârt Malntsnance Day Mal¡bnance t{lght lUtaintenance Lead ilalntenance Ceshlers Garage #B Gonvanûon Cenbr Arfibasçadors Äll C¡ty LocÉüon8 Conv€nfoD CantÊr Eve¡rts Ë\.ent Gash¡érs TraÍflc DlrEçfs¡g Totel F Garage #gF Gârage ¡raF Garäge#Br- Convent¡on Center FÀI F çonvent¡on centerFÄr Garages # 4, Z B, St¡dlum Lot &F çonvention center _ Garages#4,7,9,9, Lots#¿P BoxcarLot&ConventfonCenter ¡ 1 1 1 1 1 1 1 3 1 I 1 f 7 F F F P F F P F/a F/o F/o F o o o F F F Ail Ail Ail AD Downtown Offïce Downtown Offlce Downtown Office Ail Ail All F F F F P P P F F P 2 I I 3 3/* 9.r posseulatlon, providing fasilities ma In a cifynt venues, and facitity "ï tiI'ð¡tv Yes _X-- No lf "Yés', desc¡-ibe tf¡e lscation: Page 23 of 125 '- fiä:'J:ååîi"t#,ï-îl'J-fffårû';e reQuiremenr ro provide parking Facir*res Republic parking Systemparking operatioñ. T'hese , \pproach for the City of Fresno operafing income, ope -,"1: fot the improvement of your in this section is inform rt the parking facilities. lnclúdeU e Staffing plan r Operational & Equipment Reconfþurationr Use of parking Technologies. Special Event procedures r LocalOffice o Human Resources o Accounting/Auditing r Maintenance prograrn r euality Assr-¡rance plan STAFFING PLAN The management and staffìr l"tf,ing System can be su rr,,the City of Fresno Municipal Parkins wiir bring Ín soor Mo niy, ig^""ff'il_î""J"årj,¡: nagers and line.employees we attract better people andneficial to a parking bpåratir n. sense of ownership in allof ou General Manager - Scot lVlooney . primary Cljent Contact o Support City of Fresno Leadership ' l"i;å?s & Mainrain Rerationship w*h the Fresno Merchanrs & Business r Develop & lrnplement parking policies & procedures Page 30 of 125 . Supervise Entíre Operation . eualíty Assurance of the Operatíon ' prepare speciar críent Repolt (utirizatíon Reports, capitarBudgeting, Marketing plan, etc.) r -'. "-r o Review & Approve AllClíent Reportingo Monitor & lmplement Employee Trainíng programs c coordinale corporate support with Regionar vice presídent o Monilor All Sub_Contractor Services & Relatíonships Assistant Manager - TBD ¡ Assist GeneralManagerwith hís Duties r Superuise Ambassadors . Recruiting & Hiring of Líno Staff ¡ Supervise Maintenance & Cleaning prograrns . Coordinate Security Services with Sub_Contracto¡ r perform operationar Audits of At Areas of the operationr Coordinate Repairs of Revenue Control Equipmento Assist General Managerwith his Duties lT/ Revenue Control Manager- TBD Expense Plans, o Provide system wide technical support.o Serve as project ManaEer for all lT related inltiativesr Responsible for managing all technology assets " Responsible for pcr DSS compriancy standards and practices ' Frovides a seôure, wert documented and audited network perimeter andinterior. ' Provides detailed..reporting,. analysis and actíonable recomrnendationsbased on the reporting/anatylis. ' Pr^ovides insight and actionabre recommendations regarding operationarefficiencies. ¡ Recornmendations .regarding technology initíatives and upgrades to keeporganization up-to-date and iecure. ' Provide creative and ínnovative sorutions to the unique chafienges of thernunicipality which can be solved with teclrnòrãöical innovaiion andapplication. Page 31 of 125 \egs tive Team wiltsupport the Ma their duties.ny of the diüng dutiesaccounti prosram n any parkins "o.ijrilÍl'tiiTv.vs'sÐ,,,r.=.,ç,^*ffiili",riilrrilî:iiflr:i?fi,.,ii; Accounting Manager - TBD Manage PARIS (parking Accounts Receivable Software) Prepare Monthly Client Financial Reports I nterface with Corporate Accounting Departm ent Supervise Banking, Credit Card processing Prepare Payroll& payrolt Reports Perform Daify Audits of Revenue Reports & Bank Deposits Manage Accounts payable process Perform Ambassador & Event Cashier Audits Assist Wíth parking Tícket Collectjons o ¡ a a a Bookkeeper/Auditor - TBD a a a a Mana ge ment/Office Schedu le Mond¡y Tuc$ay llìledneday Thursay lWa-5$0p Z:ffia-5l00p t;0tla.SI{tp t00a.5;00p i$h-5:@p 1ft00a-8tr¡ t0tra-B:ffip t0:ffi¡.8;00p t0ú0a.eq 10ú0a-Súû! 5:00a-4S0p 6l00a-{:Np 6fla.4tþ 6fl0a.4,f0p 5úh-4100¡ [:Oa-5r00p Srú0a^S:00p SrCI{h.Stþ 8;&-IS0p 8Sh.5fÐp 7f)0a - 4ilOpm 700a - 4:flprn 700a . 4ú0pm 7tra.4û0pn 7:00a. 41ffi¡m 9tra - 3t0pm gr00a . t:Mpm gffa.t;00pm g:0ûa -3l00pm 9f0a . 3:ffipm Pase 32 of 125 \l.IS :H:äå1iiljJ"ï::ff:î:îïlîil:?j"":lr":j the parkins facirities shourd ír be necessary forsomeone to travelfrom one faoility to anot"her. Cashiers fhere a¡e two garages in which weConvention centér Gãrage, ñ; þ t'h; and the at Garage #8, we would ıtiil star rùL-oã of users to 6:00pm, our ûffice crerk wour¿ ¡L scrreoured to work the 3:00pm get the traffic out of the ga nion. nlring our vísit, we noticed *ffi"i:build up fairly quickly at the open which helped move the and your current.cont¡actor had both bootl¡sgarage fairly quickly. At the convention center Garage, we have one of the three ambassadors scheduted to workprimarily at this facitÍty t available to help at tÉe ïhe Ambassador and Cashier schedules are as foflows: Maintenance Staff our five full-time maintenance staff members will primarily be responsibte for the cleaníng ofthe parking facilities, however, flr"v wii särye many othei functions. ïhey will be trained tomake repairs to the revenu€ note' you will notice that two of the shifts are_ scheduled for four days instead of the normalfive day work week' we have ¡e"om" io realize in other parking operations that we are able Ambassador & Cashiãr Schedufe Monday Tuesday Wednesday Thursday Fridav Saturday Sunday*t 6;30â -3ßop #2 ilgoa-6$0p il30a-6r00p 1tl30a-6:00¡ 1tJ0a-&00p t1:30a_6.fl)p#3(€onv"€rr,l B,.ioa-ggnp Br0r.sr3t¡ B:30a.5i0p 8s0a.s30p ssoa-s¡30p 6;00a -130¡ 6.fXìa -t30p 6:00a.?.30p 6t0a _2t0p 6fr0a-zÏhp 2á5p-6ll5p ZiSp-frlisq e15p-6:i5p Zf5p-6r¡p elsp-6jt5p 3fl0p . 6ú0p B;fl(jp - 500p 3:00¡- 6j00p 3;00p _5il0p 3Ì00! " 6:00p 2;30p - 5:30p 230p. 630p 23ftp - 6É0p zgoD - 6s0Í 2B0p . 6¡0p Page 34 of 125 Event Gashiers/Flaggefs Maintenance Schedule Honday Tue$ay Wednesday Thur$ay Friday 6,{H}p- 3ú0a 6:00p. 3{th 7:00a _ 4f@ 400p.3110a 6tÐp . 3r00a 5úþ- 3úh 6{Ðp" 3rWa 6:00p-3:fÐa 6.00p- 3,Jl0a 7:0fla -4:fl0p 7.ffia .4ú0p 7$0a. 4r00p tfEa . 4100¡ 4rfÐp.3ú0a 4il0p-3:flfta 4lt10¡.3:0h 6r00p-3:ftla 6t0p.3:00a 6r{t0p-3:00a Pðge 35 of 125 these locations âs traff¡c is building up to ensure patrons are paying the parking charge, lf apatron chooses not to pay, a violation notice will be issued through our V¡olatiın and Ticketing System (VAT.S.) that we have proposed. lf a particular tocalîon is seeing a high amount of traffic, we will have the ability to pre-colleci with our VATS event handheldã. Alihough a few of these facilities listed below will also heve automated pay stations, we believe these locations require cashiers for pre-collecling to help with ne íow of traffic. ln dealing with event traffic in other cities, the only problems that typicany occur can be attributed from traffic lacking up, patrons getting upset about the wait äilO tt¡án proceeding to park at a competitors facílity. By having cashiers pre-cotlect, we believe we can increase the nurnber of vehicles enterìng the garage in a much shorter perÍod of time. in addition, by speeding up the flow of traffic and reducing the amount of iraffic on the street, we can bring additional patrons into the complex who currentfy park in other surounding Jots due to hear{traffic on the street. lt is Republic Parking System's policy not to have surrounding competing facilities with our Municipal contracts, Therefore, all of the work and effort we do will be for the City of Fresno and not private owners. To also help wlth the flow of traffic into tl"re facilities, we have íncluded traffic directors in our budget. Although the number needed is determined by the size of the event, we only have three in the budget but realize there will be times when we may need four or five on the schedule. Each traffìc director will be scheduled to work five (5) hôurs per night and wilf help with both the incoming and outgoing traftic. lt will be the traffic dîrector's iesponsibility to keep the traffìc moving in an orderly fashion to prevent back-ups frorn occurring. Al oitne traffic directors will be canying two-way radios so everyone is always aware of any problems that are_ occurring throughout the structure. Once the facilities clotest to the venue are full, the traffic directors will then be sent to other locations further out to help draw in customers. During the shows, it would be the traffic directo/s duties to walk the entire complex and help with hash pick-up, ln working with different event venues around the country, it is our opinion that people make their decision on where to park based on the amount of time it takes to enter and exit the facility. fn many tases, our survey results have shown that people feel the most important aspect in determining if they had a good parking experience was how fast they were able to exit the facility at the end of an event. S¡reèial Er¡ent Staffing Scfredr¡te Traffic Cast¡iens D;rectors Ga!'age tP7 Z 2 stâd¡¡,¡r¡-¡ l-Õt Z O Page 36 of 125 I 2 J 4 5 6 8 9 10 11 1,2 13 1,4 15 i6 t7 IB 19 20 2I 22 23 24 25 26 27 28 PROOF OF SERVICE I, the undersigned, cleclale: I ani employed in the City and Count¡'of Fresno, California; I am over the age of eighteen years. My business addrcss is 2125 Kern Street, Suite I 01, Fresno, Califbrnia 93721. On the date indicated below, I served, in the manner indicated below, the within: LETTER DATED SEPTEMRER 12, 2014 -RE: FORMAL pROTEST To *NoTICE oF STAF'F DE,TERMINATION OF CONTRACT AW,A.RD" TO RE,PIIRI,IC PARKING SCHEDULE FOR AWARD ON SBPTEMBEB 25. 2014., (RFP For Parking Facilities Management Ser.vices - No. 9261) EXHIBITS 1- 6 on the interested parties in said actìon by, placing true copies thereof enclosed in a sealed envelopc as required, a¡rd addressed as follows: Bruce Rudd City Manager Oftlce of City Manager: 2600 Fiesno Street Gary V/atahira Purchasing Manager City of Frcsno 2600I.-resno Street Fresno, CA93721-3602Fresno. CA9372l-3602 (B), Regul.ar - Express Mail) I causcd such envelopes with postage thereon fully prepaid to be placed in the U.S. mail at San Francisco. California. I @y Personal Delivery) I cause such envelope(s) to be delivered by hanct to the office(s) of the addressee(s). By Ana R. Luna (lly Facsimile) I caused a tnre copy thereof via facsimile to the addresses noted on the attached service at the þ-AX number noteel after each party's address and such copies to be sent vi,ith same day service I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Bxecuted on septembet 12,2014,at Fresno, calif-'o¡nia. Proot'of Sen,icc City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-440 Agenda Date:10/9/2014 Agenda #:2-B REPORT TO THE CITY COUNCIL October 9, 2014 FROM:KEVIN R. MEIKLE, Director of Aviation Airports Department SUBJECT Actions pertaining to On-Airport Non-Exclusive Rental Car Concession Agreements at Fresno Yosemite International Airport (Council District 4) - Airports Department 1.Adopt a finding of Categorical Exemption pursuant to Article 19, Section 15301(a) and (d)/Class 1 (Existing Facilities) of the California Environmental Quality Act (CEQA) Guidelines to authorize Concession Agreements with Avis/Budget Car Rental, LLC, Enterprise Rent A Car of Sacramento, LLC, and The Hertz Corporation at Fresno Yosemite International Airport (FAT) 2.Approve On-Airport Non-Exclusive Rental Car Concession Agreements between the City and Avis/Budget Car Rental, LLC (Avis), Enterprise Rent A Car of Sacramento, LLC, (Enterprise), and The Hertz Corporation (Hertz) RECOMMENDATION Adopt a finding of Categorical Exemption to authorize Concession Agreements with Avis, Enterprise and Hertz (RACs)at FAT and approve Concession Agreements between the City and RACs. EXECUTIVE SUMMARY The new RAC concession agreements were negotiated with the three parent companies that are currently operating seven brands at FAT.The new agreements will enable additional brands to be brought in to the airport without the need to expand facilities,which will provide customers more choices and is expected to enhance revenues to FAT.The new agreements will be for a term of five (5)years and include a mutual option for a second five-year term.Leased space at FAT will be rented at City of Fresno adopted Master Fee Schedule (MFS)rates,and the concession privilege fee will be 10%of gross revenues subject to a Minimum Annual Guarantee (MAG)of $542,965.95 for Avis,$731,886.46 for Enterprise,and $859,488.47 for Hertz.The previous concession agreements with Avis,Enterprise and Hertz expired on August 31,2014,and are in a holdover status. City of Fresno Printed on 12/16/2022Page 1 of 3 powered by Legistar™ File #:ID#14-440 Agenda Date:10/9/2014 Agenda #:2-B BACKGROUND The existing RAC concession agreements are with the three incumbent parent companies (Avis, Enterprise,and Hertz)that collectively operate seven brands at FAT.These brands are Avis,Budget, Dollar,Enterprise,Hertz,Alamo,and National.They initially operated at FAT under individual agreements that were executed in 2009.Industry consolidation has since reduced to three,the number of parent companies operating these and several other RAC brands.These three parent companies (RACs),along with their various family brands,represent 95%of the airport rental car industry nationwide. A Request for Proposals (RFP)conducted by Purchasing was canceled when it was verified that only these RACs expressed an interest in proposing.A direct negotiation process was then conducted with the RACs as a group.The outcome of the negotiation was a changed agreement model,from single brand agreements to multiple brand agreements,wherein the RACs will be able to operate more brands out of the same physical space to better serve the market.This concept enables an expansion of customer choices and price points without the need for physical expansion of space.In addition,revenues to Airports will be protected at current levels through MAGs and 100%rental of space.The percent of gross revenue paid to Airports,which is guaranteed at the low end by the MAG,has increased above the current level.The space rental rates remain unchanged as approved in the MFS.The benefits of these changes will be to provide greater choices for visitors to Fresno and other customers, while increasing revenue potential for Airports. The decision to cancel the RFP and negotiate directly was made in consultation with Purchasing,the City Attorney’s Office and an industry consultant.Consideration was given to,(i)reducing the number of airport rental car operators to just three parent companies,all of whom are incumbents;(ii) increasing the potential for improved customer services by providing for the opportunity to add additional brands;and (iii)enhancing Airports Department revenues.In addition,prior to canceling the RFP,a solicitation for letters of interest from any rental car company desiring to operate at FAT was advertised nationwide to verify that there were indeed no other potential proposers or interest. No responses were received and the verification was made.This process validated that FAT already has essentially the entire rental car industry represented at the airport,and a desire by the RACs to stay and provide additional choices for the traveling public. The concession agreements have been reviewed and approved as to form by the City Attorney. ENVIRONMENTAL FINDING This lease falls within the Class 1 Categorical Exemptions set forth in California Environmental Quality Act (CEQA)Guidelines,Sections 15301(a)and (d)(Existing Facilities),as it involves minor or no alteration of existing leasehold structures with no expansion of use,and will not result in any significant negative effects relating to traffic,noise,air quality or water quality.None of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines,Section 15300.2 apply to this project. LOCAL PREFERENCE The City’s Local Preference Ordinance (FMC 4-108)does not apply because this item did not go through the competitive bidding process. City of Fresno Printed on 12/16/2022Page 2 of 3 powered by Legistar™ File #:ID#14-440 Agenda Date:10/9/2014 Agenda #:2-B FISCAL IMPACT The first year revenue from these concession agreements is anticipated to be;(i)$62,350 for counter rental space (which is subject to future MFS adjustments);(ii)$304,460.50 for the rental car ready/return area (which is subject to annual adjustments based on the Consumer Price Index (CPI)), and;(iii)at least a concession MAG of $2,134,340.88 (which is subject to annual adjustments),for a total estimated first year revenue of at least $2,501,151.38.Total projected revenue for the full five (5) year term is $12,505,756.90,not including CPI and MAG adjustments.All revenue will be deposited into the Airports Enterprise Fund and will contribute to the operation and maintenance of FAT.In addition,this business activity will continue to provide an economic benefit to the City and FAT through increased brand selection for airport patrons.There is no impact to the General Fund from this item. Attachments: - Rental Car Concession Agreements City of Fresno Printed on 12/16/2022Page 3 of 3 powered by Legistar™ City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-462 Agenda Date:10/9/2014 Agenda #: REPORT TO THE CITY COUNCIL October 9, 2014 FROM:Department of Public Utilities SUBJECT HEARING to consider a Resolution of Public Use and Necessity for Acquisition of Permanent Utility Easements and Temporary Construction Easements from APNs 580-040-02S owned by Frances M. Ricchiuti &Patrick V.Ricchiuti,Co-Trustees of the Frances M.Ricchiuti Family Trust and Patrick V. Ricchiuti,Trustee,The Ricchiuti GST Nonexempt QTIP Trust;580-020-20S and 580-020-22S owned by Leonard and Nicholas Verni;580-050-01S owned by Patrick Vincent Ricchiuti,Trustee of the Patrick Vincent Ricchiuti Family Trust;and 580-020-21 and 580-020-23 owned by George C. Goshgarian,Kathleen A.Goshgarian,Michael Morales,Leonard Verni,Nicholas Verni,Steven G. Fogg Family Partnership,and Christopher T.Lum as Sole Trustee of the Steven C.Y.Lum and Catherine J. Lum Trust. 1.*RESOLUTION -That the Public Interest and Necessity Require and Authorize Eminent Domain for Acquisition of Permanent Utility Easements and Temporary Construction Easements from Real Property:APNs 580-040-02S,580-020-20S,580-020-22S,580-050-01S,580-020-21,580-020-23, located in the County of Fresno. (Requires 5 Affirmative Votes) (Continue to October 23, 2014 @ 11:00 a.m.) City of Fresno Printed on 12/16/2022Page 1 of 1 powered by Legistar™ City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-416 Agenda Date:10/9/2014 Agenda #: REPORT TO THE CITY COUNCIL October 9, 2014 FROM:JENNIFER K. CLARK, ACIP, Director Development and Resource Management THROUGH:MIKE SANCHEZ, Assistant Director Development Services Division BY: BRUCE BARNES, Project Manager Development Services Division SUBJECT CONTINUED HEARING to Consider Rezone Application No. R-13-014 and related Environmental Assessment No. R-13-014/TPM 2013-03 filed by Mike Hamzy on behalf of Niko Real Estate Fund, LLC for property located on the west side N. Winery Avenue between E. Washington and E. McKenzie Avenues (Council District 7) (Continued from June 26, 2014 Council meeting) 1.Consider the Finding of Conformity for Environmental Assessment No. R-13- 014/TPM 2013-03 2. BILL- (For introduction and adoption) - Amending the Official Zone Map to reclassify the subject property from the R-A (Single Family Residential Agricultural) zone district to the R-1 (Single Family Residential) zone district RECOMMENDATIONS Staff recommends that the City Council take the following actions: 1.ADOPT the Finding of Conformity prepared for Environmental Assessment No.R-13-014/TPM 2013-03; 2.ADOPT BILL approving Rezone Application No.R-13-014 to amend the Official Zone Map to reclassify the subject property from the R-A (Single Family Residential Agricultural)zone district to the R-1 (Single Family Residential)zone district.If approved,Rezone Application will facilitate approval of a proposed residential subdivision of an approximately 0.41 acre portion of the 0.61 acre subject property into three parcels in accordance with Tentative Parcel Map No. 2013-03. EXECUTIVE SUMMARY This matter was first considered by the City Council on June 26,2014,and pertains to a 0.61 acre lot City of Fresno Printed on 12/16/2022Page 1 of 4 powered by Legistar™ File #:ID#14-416 Agenda Date:10/9/2014 Agenda #: This matter was first considered by the City Council on June 26,2014,and pertains to a 0.61 acre lot (26,520 square feet).Rezone Application No.R-13-14 proposes to rezone said property from the R- A district (Residential-Agricultural zone district,minimum lot size of 36,000 square feet)to R-1 (Single-Family Residential zone district,minimum lot size of 5,000 square feet).Upon discussion of the matter the council decided to refer the matter back to staff. Approval of the rezone will allow the owner to complete the processing of a Tentative Parcel Map creating a 3-lot subdivision and a remainder lot with an existing house which equates to density of 6.5 units per acre.During the meeting of June 26,2014,Council discussed options but took no action.The proposed R-1 zoning is consistent with the current 2025 General Plan land use designation of medium density residential,and the proposed Tentative Parcel Map would be deemed consistent under this scenario.The only Tentative Parcel Map staff could approve would be for a 3-lot subdivision with a remainder lot with an existing house.Allowing a 1-lot or a 2-lot subdivision would make the project inconsistent with the required minimum density of 4.99 units per acre which the City’s ordinance does not allow. BACKGROUND (See original staff report date June 26, 2014 for more project information-Exhibit 4) The 2025 General Plan designates property as medium density residential planned land use designation which has a density range of 4.99-10.37 units/acre.The proposed R-1 zone district is consistent with this designation.Comparatively,a 2-lot subdivision would only create 4.92 units per acre which is prohibited under section 12-607 of the Fresno Municipal Code.Therefore,a project proposing fewer than 4 total lots would necessitate a general plan amendment to facilitate this option. Land Use Plans and Policies Objective C-15 of the 2025 Fresno General Plan states as follows:“Provide infill opportunities that will revitalize the built-up urban core communities and neighborhoods of Fresno,provide residential development for diverse population,and improve the overall quality of the urban environment.”The proposed project fulfills this objective.Currently there is a single family home on a 0.60 acre parcel. By rezoning the property consistent with the General Plan’s land use designation of Medium Density Residential to R-1 (Single Family Residential zone district),the applicant will be able to create three additional home sites.Therefore,it is staff’s opinion that the proposed project is consistent with the general plan objectives and policies. Economic Feasibility The developer prepared a cost estimate based on the City’s requirements for the Tentative Parcel Map which included both the construction costs and the fees charged by the City and other agencies (see Attachment 1).The cost of construction remains the same whether a 1-lot subdivision,2-lot subdivision or 3-lot subdivision is built.The developer’s representative estimated the cost to create a 1-lot subdivision would be $189,033.Clearly,the estimated cost can easily be distributed with more lots being created.Therefore,from the applicant’s perspective it would be much more economically City of Fresno Printed on 12/16/2022Page 2 of 4 powered by Legistar™ File #:ID#14-416 Agenda Date:10/9/2014 Agenda #: lots being created.Therefore,from the applicant’s perspective it would be much more economically feasible to create a 3-lot subdivision than it would be to create a 1-lot or 2-lot subdivision. Planning Commission The Fresno City Planning Commission considered Rezone Application No R-13-014 and the related environmental documents at its regular meeting held on May 21,2014.The Planning Commission reviewed the staff report in accordance with the policies of the 2025 General Plan and the Roosevelt Community Plan and called for speakers in support and in opposition to the proposed project.There were several speakers in opposition to the rezone who based concerns about the number of lots being created and the size of the lots.The applicant’s engineer spoke in favor of the project and stated that three lots were needed in order to spread the cost of the improvements (curbs,gutters, sidewalks,street lights,etc.)and the required fees (school fees,flood control fees,etc.)over three lots rather than one or two lots.While sympathetic to the concerns of those in opposition,the Planning Commission noted the project is an infill project and it is consistent with the 2025 General Plan.The Planning Commission then voted unanimously to recommend approval of the Rezone to the City Council. ENVIROMENTAL FINDING The Development and Resource Management Department staff have prepared an initial study and environmental checklist and evaluated the proposed development in accordance with the land use and environmental policies and provisions of the 2025 Fresno General Plan,the related Master Environmental Impact Report (MEIR)No.10130 (SCH #2001071097),and Mitigated Negative Declaration (MND)No.A-09-02 (SCH #2009051016).The subject property has been proposed to be developed at an intensity and scale that is permitted by the Medium Density Residential planned land use designated for the subject site.Thus,the proposed project will not facilitate an additional intensification of uses beyond that which already exists or would be allowed by the above-noted planned land use designation.Moreover,it is not expected that the future development will adversely impact existing City service systems or the traffic circulation system that serves the subject property. These infrastructure findings have been verified by the Public Works and Public Utilities Departments.It has been further determined that all applicable mitigation measures of MEIR No. 10130 and MND No.A-09-02 have been applied to the project necessary to assure that the project will not cause significant adverse cumulative impacts,growth inducing impacts,and irreversible significant effects beyond those identified by MEIR No.10130 and MND No.A-09-02 as provided by CEQA Section 15177(b)(3). Therefore,the project proposal has been determined to be within the scope of the MEIR and MND as defined by Section 15177 of the CEQA Guidelines and staff has properly published a Finding of Conformity to MEIR No.10130 dated January 13,2012.In addition,after conducting a review of the adequacy of the MEIR pursuant to Public Resources Code Section 21157.6(b)(1),the Development and Resource Management Department,as lead agency,finds that no substantial changes have occurred with respect to the circumstances under which the MEIR was certified and the MND adopted;and,that no new information,which was not known and could not have been known at the City of Fresno Printed on 12/16/2022Page 3 of 4 powered by Legistar™ File #:ID#14-416 Agenda Date:10/9/2014 Agenda #: adopted;and,that no new information,which was not known and could not have been known at the time that the MEIR was certified as complete or the MND was adopted, has become available. A public notice of the attached Finding of Conformity for Environmental Assessment Application No. R-13-014/TPM 2013-03 was published on April 4,2014,with no comments or appeals received to date. LOCAL PREFERNCE This project is not subject to a bidding process. FISCAL IMPACT Affirmative action by the City Council will result in timely deliverance of the review and processing of the application as is reasonably expected by the applicant/customer.Prudent financial management is demonstrated by the expeditious completion of this land use application inasmuch as the applicant/customer has paid to the City a fee for the processing of this application and that fee is,in turn, funding the respective operations of the Development and Resource Management Department. Attachments 1)Per-Lot Cost Comparisons 2)Letters in Opposition to Project 3)Ordinance Bill 4)Staff Report 6-26-14 City of Fresno Printed on 12/16/2022Page 4 of 4 powered by Legistar™ City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-446 Agenda Date:10/9/2014 Agenda #: REPORT TO THE CITY COUNCIL October 9, 2014 FROM:JENNIFER K. CLARK, AICP, Director Development and Resource Management Department THROUGH:MIKE SANCHEZ, Assistant Director Development and Resource Management Department BY:SOPHIA PAGOULATOS, Supervising Planner WILL TACKETT, Supervising Planner Development Services Division SUBJECT Consider an appeal filed by Councilmember Caprioglio, appealing the Planning Commission’s action to approve Conditional Use Permit No. C-13-092 and related Vesting Tentative Tract Map No. 6033/UGM, and environmental findings, by Jeffrey T. Roberts of Granville Homes, Inc, for property located on the northeast corner of North Fowler and East Clinton Avenues (Council District 4) 1.RESOLUTION - Denying the appeal and approving Conditional Use Permit No. C-13-092 2.RESOLUTION - Denying the appeal and approving Vesting Tentative Tract Map No. 6033/UGM (Continued from September 25, 2014) RECOMMENDATIONS Staff recommends the City Council take the following action: 1.ADOPT the Mitigated Negative Declaration for the Conditional Use Permit No. C-13-092 and Vesting Tentative Tract Map No. T-6033 prepared for Environmental Assessment No. A-11-003, R- 11-003, C-13-092, T6033 dated March 21, 2014. 2.ADOPT RESOLUTION denying appeal and approving Conditional Use Permit Application No.C- 13-092 and related Vesting Tentative Tract Map No.6033/UGM pertaining to approximately 31.87acres of property located on the northeast corner of North Fowler and East Clinton Avenues. EXECUTIVE SUMMARY Jeffrey T.Roberts,on behalf of Granville Homes,Inc.,filed Conditional Use Permit Application No.C-13-092 and Vesting Tentative Tract Map No.6033/UGM pertaining to approximately 31.87acres of property located on the northeast corner of City of Fresno Printed on 12/16/2022Page 1 of 6 powered by Legistar™ File #:ID#14-446 Agenda Date:10/9/2014 Agenda #: Tentative Tract Map No.6033/UGM pertaining to approximately 31.87acres of property located on the northeast corner of North Fowler and East Clinton Avenues.Vesting Tentative Tract Map No.6033/UGM proposes to subdivide the property into a 169-unit single family residential subdivision at a density of 5.3 dwelling units per acre.Conditional Use Permit No. C-13-092 proposes a development with public streets and modified property development standards for all of the proposed lots. This project was considered by the Fresno City Planning Commission at its regular meeting on April 16,2014.The conditions of approval at that time allowed for modified property development standards for lot size,lot coverage and yard (setback)requirements.Thirty-five lots were proposed with 7-foot garage setbacks,however the conditions of approval required 18-foot garage setbacks.The Fresno Municipal Code (FMC)requires a minimum garage setback of 20 feet which can be reduced to 18 feet dependent upon the style of garage door.The Planning Commission approved staff’s recommendation,which required an 18-foot garage setback on all public streets for this project.The option was also provided to make the streets private,thus allowing garage setbacks of less than 18 feet,however this option was not chosen by the applicant. On June 19,2014,an appeal of the Commission’s decision regarding the subject applications was filed by Councilmember Caprioglio.In response to the appeal,the Planning Commission’s action is set aside and a City Council public hearing was scheduled and noticed in accordance with Sections 12-401-B and 12-401-C-2 of the FMC.Staff recommends denial of the appeal and approval of the project as approved by the Planning Commission.Staff also supports approval of garage setbacks less than 18 feet on private streets. BACKGROUND Fresno City Planning Commission Action This project was considered by the Fresno City Planning Commission at its regular meeting on April 16,2014.The conditions of approval at that time allowed for modified property development standards including 15-foot front and 15- foot and 10-foot rear yards (standard rear yard is 20 feet),3-foot interior side yards (standard is 5 feet),and 8-foot street side yards (standard is 10 feet).Thirty-five lots were proposed with 7-foot garage setbacks,however the conditions of approval required 18-foot garage setbacks. The FMC requires a minimum garage setback of 20 feet which can be reduced to 18 feet dependent upon the style of garage door.Staff recommends an 18-foot setback on all public streets for this project but is supportive of garage setbacks of less than 18 feet on private streets governed by a homeowners association.The homeowners association would be responsible for liability and enforcement on private streets. After a complete hearing on April 16,2014,the Commission recommended approval of the subject applications and the conditions of approval proposed by staff,including the requirement for a minimum 18-foot setback from garage to back of sidewalk on public streets. Analysis The reasons for requiring the 18-foot garage setbacks on public streets are the following: 1.Pedestrian Safety:the 18-foot garage setback (driveway)provides enough room for a vehicle to park in the driveway without blocking the sidewalk in violation of the California Building Code and Americans with Disabilities Act (ADA);vehicles parked on the sidewalk would force pedestrians to walk in the street.Moreover,driveways less than 18 feet in length do not provide adequate visibility to the driver backing out of the garage,thereby jeopardizing pedestrian safety. 2.Other Design Options Available:while it is acknowledged that the 35 lots in question are smaller lots with more design challenges,there are many other options available (as discussed at the City Council Workshop held on August 21,2014)to achieve the same densities and maintain an attractive,safe and pedestrian-friendly streetscape. For example: a.Recessed garages (18 feet) with reduced front setbacks for remainder of façade; City of Fresno Printed on 12/16/2022Page 2 of 6 powered by Legistar™ File #:ID#14-446 Agenda Date:10/9/2014 Agenda #: b.Alley loaded option with garages located in rear; c.Shared driveways/auto court concept, similar to cul-de-sac but with private drives; d.Cluster housing; e.Tandem-parked garages (designed to park two cars end-to-end rather than adjacent to one another). 3.Streetscape Design:the 7-8 foot garage setbacks proposed in T-6033/C-13-092 result in a streetscape that is dominated by garages.The garage is the widest element of the facade,and in half of the plans protrudes about 10 feet closer to the sidewalk than the living area of the dwelling. 4.Municipal Resources:the City does not have the resources to enforce the parking issues that would result from such a design, nor does it have the resources to assume the liability related to reduced pedestrian safety. The applicant has provided a conditional use permit exhibit (Exhibit D)which depicts eight typical lots showing lot dimensions,minimum yard setbacks and potential house placement.Of the eight typical lots,four show garages with an 18-foot setback to sidewalk,while the remaining show garages with a 7’-8’setback to sidewalk.The four typical lots with a proposed 7’-8’setback from garage to sidewalk are shown in Exhibit D,page 3.The rear yard setbacks of the potential house placement are currently at 25’,24’,20’and 14’.Should the applicant be required to provide an 18-foot setback from garage to sidewalk,it will necessitate moving the houses 10 feet to the rear,which will result in rear yard setbacks of 15’,14’,10’and 4’,respectively.Only the plan with that would result in the 4-foot rear yard setback would be non- compliant with the setbacks allowed through the conditional use permit;all of the other plans would comply.Alternatively, the homes could be re-designed to fit the lots. The proposed lot sizes are smaller than traditional lots,requiring a different perspective to traditional lot design.Neither the City Code nor the General Plan require small lots in this location. Streets and Access Points The Public Works Department,Traffic Engineering Division has reviewed the proposed project and potential traffic related impacts for the proposed applications and has determined that the streets adjacent to and near the subject site will be able to accommodate the quantity and kind of traffic which may be potentially generated subject to the requirements stipulated within the memoranda from the Traffic Engineering Division dated April 10,2014.These requirements generally include:(1)The provision of a minimum two points of vehicular access to major streets for any phase of the development;(2)Street improvements,(including,but not limited to,construction of concrete curbs,gutters,pavement, underground street lighting systems;and,(3)Payment of applicable impact fees,including,but not limited to,the Traffic Signal Mitigation Impact (TSMI) Fee, and the Fresno Major Street Impact (FMSI) Fee. Notice of City Council Meeting The Development and Resource Management Department mailed notices of this City Council hearing to surrounding property owners within 500 feet of the subject property. Land Use Plan and Policies The subject site is designated for medium density residential planned land uses by the 2025 Fresno General Plan and the McLane Community Plan. The objectives and policies of the 2025 Fresno General Plan encourage the development of master planned communities in an attempt to maximize the efficient use of the land. Policy C-8-g states: Support the planning and development of master planned/mixed use communities such as the Dominion Project. Additionally, Objective C-10 states: Promote the development of more compact pedestrian friendly, single-family residential projects to aid in the conservation of resources such as land, energy, and materials. Conditional Use Permit Application Findings (Planned Development) Conditional Use Permit Application No.C-13-092 proposes the development of a 169-lot single family residential planned development.The planned development will provide modified property development standards.Based upon analysis of the conditional use permit application and subject to the applicant’s compliance with the Conditions of Approval dated City of Fresno Printed on 12/16/2022Page 3 of 6 powered by Legistar™ File #:ID#14-446 Agenda Date:10/9/2014 Agenda #: the conditional use permit application and subject to the applicant’s compliance with the Conditions of Approval dated April 16, 2014, staff concludes that the following required findings of Section 12-405-A-2 of the FMC can be made. 1.All applicable provisions of this Code are complied with and the site of the proposed use is adequate in size and shape to accommodate said use,and accommodate all yards,spaces,walls and fences,parking,loading, recycling areas, landscaping, and other required features; and, Conditional Use Permit Application No.C-13-092 will comply with all applicable codes,including,landscaping, walls, etc., given that the special conditions of project approval will ensure that all conditions are met. 2.The site for the proposed use relates to streets and highways adequate in width and pavement type to carry the quantity and kind of traffic generated by the proposed use; and, The Public Works,Traffic Engineering Division reviewed the proposed project and assessed the adjacent streets to ensure that the proposal would not have significant impacts on traffic and the surrounding community. 3.The proposed use will not be detrimental to the public welfare or injurious to property or improvements in the area in which the property is located.The third finding shall not apply to uses which are subject to the provision of Section 12-306-N-30 of the FMC. The site is vacant and with the adoption of the 2025 Fresno General Plan,the city analyzed the impacts of converting vacant land into urban uses and determined that it is necessary to convert land within the sphere of influence in an attempt to provide housing,growth,employment opportunities,etc.The Development and Resource Management Department has determined that the proposed use will not be detrimental to the public welfare or be injurious to property or improvements in the area in which the property is located if developed in accordance with the various conditions/requirements established through the related vesting tentative tract map application review and conditional use permit application review processes. Vesting Tentative Tract Map Findings The Subdivision Map Act (California Government Code §§66400,et seq.)requires that a proposed subdivision not be approved unless the map,together with its design and improvements,is found to be consistent with the General Plan and any applicable specific plan (Finding No. 1 below). State law further provides that the proposed subdivision map be denied if any one of the Finding Nos. 2 -5 below is made in the negative.In addition,State law requires that a subdivision be found to provide for future passive and natural heating or cooling opportunities in the subdivision development (Finding No. 6 below). 1.The proposed subdivision map,together with its design and improvements,is consistent with the City's 2025 General Plan and the McLane Community Plan,because the plans designate the site for medium density residential planned land uses and the project design meets the density and zoning ordinance criteria for development. 2.This site is physically suitable for the proposed type and density of development,because conditions of approval will ensure adequate access and drainage on and off the site;and,that development shall occur in accordance with adopted standards,goals,objectives,and policies for development in the City of Fresno. 3.The proposed subdivision design and improvement is not likely to cause substantial and considerable damage to the natural environment,including fish,wildlife or their habitat, because the area is not known to contain any unique or endangered species and the City of Fresno Printed on 12/16/2022Page 4 of 6 powered by Legistar™ File #:ID#14-446 Agenda Date:10/9/2014 Agenda #: urbanized nature of the area in which the site is located. 4.The proposed subdivision design and improvements are not likely to cause serious public health and safety problems,because the conditions of approval have shown and will insure that the subdivision conforms with City health and safety standards. 5.The proposed subdivision design will not conflict with public easements within or through the site,because conditions of approval will assure noninterference with any existing or proposed public easements. 6.The design of the subdivision provides,to the extent feasible,for future passive and natural heating or cooling opportunities in the subdivision,because of the appropriate use and placement of landscaping plant materials and because of the orientation of the proposed lots. The subdivision map,based on the required findings for approval and subject to the recommended conditions of approval,and the standards and policies of the 2025 Fresno General Plan and McLane Community Plan,complies with applicable zoning and subdivision requirements.Based upon the plans and information submitted by the applicant and the recommended conditions of project approval, staff has determined that these findings can be made. ENVIRONMENTAL FINDINGS An environmental assessment initial study was prepared for this project in accordance with the requirements of the California Environmental Quality Act (CEQA)Guidelines (see Exhibit G).This process included the distribution of requests for comment from other responsible or affected agencies and interested organizations. Preparation of the environmental assessment necessitated a thorough review of the proposed project and relevant environmental issues and considered previously prepared environmental and technical studies pertinent to the McLane Community Plan area,including the Master Environmental Impact Report (MEIR)No.10130 for the 2025 Fresno General Plan (SCH#2001071097)and Mitigated Negative Declaration (MND)No.A-09-02 (SCH#2009051016).These environmental and technical studies have examined projected sewage generation rates of planned urban uses,the capacity of existing sanitary sewer collection and treatment facilities,and optimum alternatives for increasing capacities;groundwater aquifer resource conditions;water supply production and distribution system capacities;traffic carrying capacity of the planned major street system;and student generation projections and school facility site location identification. The proposed amendment of the adopted 2025 Fresno General Plan has been determined to not be fully within the scope of MEIR No.10130 as provided by the CEQA,as codified in the Public Resources Code (PRC)Section 21157.1(d)and the CEQA Guidelines Section 15177(c).It has been further determined that all applicable mitigation measures of MEIR No.10130 and MND No.A-09-02 have been applied to the project,together with project specific mitigation measures necessary to assure that the project will not cause significant adverse cumulative impacts,growth inducing impacts and irreversible significant effects beyond those identified by MEIR No.10130 or MND No.A-09-02 as provided by CEQA Section 15178(a).In addition,pursuant to Public Resources Code,Section 21157.6(b)(1),staff has determined that no substantial changes have occurred with respect to the circumstances under which the MEIR was certified and that no new information,which was not known and could not have been known at the time that the MEIR was certified as complete,hasCity of Fresno Printed on 12/16/2022Page 5 of 6 powered by Legistar™ File #:ID#14-446 Agenda Date:10/9/2014 Agenda #: known and could not have been known at the time that the MEIR was certified as complete,has become available.Therefore,it has been determined based upon the evidence in the record that the project will not have a significant impact on the environment and that the filing of a mitigated negative declaration is appropriate in accordance with the provisions of CEQA Section 21157.5(a)(2)and CEQA Guidelines Section 15178(b)(1) and (2). Based upon the attached environmental assessment and the list of identified mitigation measures, staff has determined that there is no evidence in the record that the project may have a significant effect on the environment and has prepared a draft mitigated negative declaration for this project.A public notice of the attached mitigated negative declaration finding for Environmental Assessment Application No. A-11-003/R-11-003/C-13-092/T-6033/UGM was published on March 21, 2014. LOCAL PREFERENCE N/A. FISCAL IMPACT Affirmative action by the Council will result in timely deliverance of the review and processing of the application as is reasonably expected by the applicant/customer.Prudent financial management is demonstrated by the expeditious completion of this land use application inasmuch as the applicant/customer has paid to the city a fee for the processing of this application and that fee is,in turn, funding the respective operations of the Development and Resource Management Department. Attachments:Exhibit A:Vicinity Map Exhibit B:Aerial Photograph Exhibit C:Vesting Tentative Tract Map No. T-6033/UGM Exhibit D:Exhibits for C-13-092 Exhibit E:Conditions of Approval for C-13-092 Exhibit F:Conditions of Approval for T-6033 Exhibit G Environmental Assessment Exhibit H:Planning Commission Resolutions Exhibit I:City Council Resolutions City of Fresno Printed on 12/16/2022Page 6 of 6 powered by Legistar™ City of Fresno Staff Report 2600 Fresno Street Fresno, CA 93721 www.fresno.gov File #:ID#14-451 Agenda Date:10/9/2014 Agenda #: REPORT TO THE CITY OF FRESNO, THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF FRESNO AND THE FRESNO REVITALIZATION CORPORATION October 9, 2014 FROM:MARLENE MURPHEY, Executive Director SUBJECT City Council, Successor Agency Board, FRC Board consider approving: Actions pertaining to public improvements within the Central City Commercial Redevelopment Project 1.Findings of Categorical Exemption pursuant to Sections 15301 (Existing Facilities), item (c) of the CEQA Guidelines, related to the construction of publically owned improvements in the area generally described as Hedges Avenue between Abby and Effie, Effie Avenue between Hedges and Hammond, and Hammond Avenue between Effie and Abby. 2.RESOLUTION - Of the City of Fresno, the Successor Agency and the Fresno Revitalization Corporation making the necessary findings under section 33445 of the community redevelopment law, authorizing the installation of public improvements within the Central City Commercial redevelopment project area for street improvements including curb, gutter, paving and sidewalks. 3.Award of construction contract to Central Valley Asphalt as the lowest responsive and responsible bidder in the amount of $252,831.88 (Bid File No.3291) for the construction of publically owned improvements in the area generally described as Hedges Avenue between Abby and Effie, Effie Avenue between Hedges and Hammond, and Hammond Avenue between Effie and Abby. EXECUTIVE SUMMARY This project will install concrete improvements and paving on Hedges Avenue between Abby and Effie,on Effie Avenue between Hedges and Hammond,and on Hammond Avenue between Effie and Abby.Improvements will include concrete curb and gutter,construction of sidewalk and drive approaches and re-construction of roadway.The project will cost $252,831.88 as bid by Central Valley Asphalt the lowest responsive and responsible bidder. These improvements will enhance both traffic and pedestrian safety on North Abby,East Hedges, North Effie and East Hammond Avenues.Construction of the first phase of public improvements in this area have already been completed at the intersection of Abby and Hedges Avenues. BACKGROUND In 2011,the Redevelopment Agency Board approved an MOU with Apple Valley Farms and adopted City of Fresno Printed on 12/16/2022Page 1 of 2 powered by Legistar™ File #:ID#14-451 Agenda Date:10/9/2014 Agenda #: In 2011,the Redevelopment Agency Board approved an MOU with Apple Valley Farms and adopted a resolution authorizing the Agency to budget funds totaling $385,000 to install all appropriate public improvements to increase safety and enhanced commercial traffic circulation in the Abby/Hedges commercial area including curbs, gutters, drive approaches, paving, and storm drains. Pursuant to Redevelopment Law Section 33445 and the Council adopted Ordinance No.99-46 and Resolution 1657 that addressed the development of public improvements pursuant to the Redevelopment Plan for the Central City Commercial Redevelopment Area,the Agency has made findings that constructing the Project will improve both public and traffic safety through the construction of concrete curb,gutter,drive approaches and sidewalks.It will enhance the safety of both pedestrian and vehicular travel throughout this area. Staff recommends that the City Council,the Successor Agency Board and the Fresno Revitalization Corporation approve the attached Joint Resolution and award a construction contract to Central Valley Asphalt in the amount of $252,831.88 for the construction of publically owned improvements. Funding for this project has been approved in ROPS 14-15a. CEQA FINDING Staff has performed a preliminary environmental assessment of this project and has determined that it falls within the Class 1 Categorical Exemption set forth in CEQA Guidelines,section 15301(c)as this contract is for the repair/replacement of existing public infrastructure on North Abby,East Hedges, North Effie and East Hammond Avenues. Attachments:Joint Resolution Bid Evaluation City of Fresno Printed on 12/16/2022Page 2 of 2 powered by Legistar™ City Council Resolution No. _________ Successor Agency Resolution No. _________ Fresno Revitalization Corp Resolution No. __________ Abby & Hedges Street Improvements, Phase II Central City Commercial Redevelopment Area Page 1 CITY COUNCIL RESOLUTION NO. _________ SUCCESSOR AGENCY RESOLUTION NO. _________ FRESNO REVITALIZATION CORP RESOLUTION NO. _________ A JOINT RESOLUTION OF THE CITY OF FRESNO, THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY, AND THE FRESNO REVITALIZATION CORPORATION MAKING CERTAIN FINDINGS PURSUANT TO SECTION 33445 OF THE COMMUNITY REDEVELOPMENT LAW, AUTHORIZING THE SUCCESSOR AGENCY’S INSTALLATION OF PUBLIC IMPROVEMENTS WITHIN THE CENTRAL CITY COMMERCIAL REDEVELOPMENT PROJECT AREA FOR STREET IMPROVEMENTS AND OTHER ASSOCIATED ROADWAY CONSTRUCTION WORK ON HEDGES AVENUE BETWEEN ABBY AND EFFIE, ON EFFIE AVENUE BETWEEN HEDGES AND HAMMOND, AND ON HAMMOND AVENUE BETWEEN EFFIE AND ABBY. WHEREAS, on July 19, 1999, the Council of the City of Fresno (the “Council”) by Ordinance No. 99-46, adopted the redevelopment plan (the “Plan”) for the Central City Commercial Revitalization Redevelopment Project (the “Project Area”), pursuant to the Community Redevelopment Law of California (Health & Safety Code Sections 33000 et. seq.) (the "Law"); and WHEREAS, on March 3, 2011, the Agency adopted Resolution 1776, approving the Five- Year Implementation Plan for the Project Area (the “Implementation Plan”); and WHEREAS, on January 26, 2012, the Council adopted Resolution 2012- 12, electing to have the City of Fresno serve as the Successor Agency to the Redevelopment Agency of the City of Fresno (“RDA”) upon the dissolution of the RDA; and City Council Resolution No. _________ Successor Agency Resolution No. _________ Fresno Revitalization Corp Resolution No. __________ Abby & Hedges Street Improvements, Phase II Central City Commercial Redevelopment Area Page 2 WHEREAS, the Successor Agency is engaged in activities necessary to carry out the Plan, and the Plan authorizes the RDA, and by extension the Successor Agency, to: (i) install, construct or reconstruct public improvements or facilities to eliminate blight, (ii) cause or provide for installing or constructing utilities and other public improvements necessary to carry out the Plan, and (iii) specifically includes street improvements associated with plan implementation; and WHEREAS, June 29, 1999, by Council Resolution No. 99-45 and Agency Resolution No. 1657, relating to the Plan, Council adopted a Program Environmental Impact Report that addressed, among other things, the development of new public improvements pursuant to the Plan, and demolition of existing improvements; and WHEREAS, the existing condition of Abby and Hedges Avenues hinder traffic circulation and the proposed project will include concrete curb and gutter, sidewalk and drive approaches and reconstruction of roadway; and WHEREAS, the Project improvements will alleviate traffic hindrances that have plagued this area, improve the traffic flow and increase public safety on Abby and Hedges (the “Project”); and WHEREAS, the Successor Agency has performed a preliminary environmental assessment of the project and determined that it falls within the Class 1 of the CEQA Guidelines, section 15301, as this project involves the repair and replacement of existing infrastructure, and none of the exceptions set forth in CEQA Guidelines, section 15300.2 apply to this Project; and WHEREAS, the inability of the City to undertake this Project without the involvement of the Successor Agency relates to the limited funding ability of the City’s General Fund; and City Council Resolution No. _________ Successor Agency Resolution No. _________ Fresno Revitalization Corp Resolution No. __________ Abby & Hedges Street Improvements, Phase II Central City Commercial Redevelopment Area Page 3 WHEREAS, pursuant to Section 33445 of the Redevelopment Law the Successor Agency, with the consent of the Council and upon certain Council determinations, may pay for the cost to install and construct publicly owned improvements within and outside the Project Area; and WHEREAS, the City of Fresno, the Successor Agency, and the Fresno Revitalization Corporation, after due consideration, believe that the Successor Agency’s costs, estimated at $252,831.88, to construct the Project, is in the best interests of the City and health, safety, and welfare of employees, businesses, property, and visitors to the Project Area, and is consistent with the public purposes and provisions of applicable state and local laws; and will improve the quality of life for residents, visitors to, and businesses and properties within the Project Area, consistent with the Plan. NOW, THEREFORE, BE IT RESOLVED by the City of Fresno, the Successor Agency, and the Fresno Revitalization Corporation as follows: 1. Based upon substantial evidence provided in the record before it, the City of Fresno, the Successor Agency, and the Fresno Revitalization Corporation find and determine the following: Finding No. 1.1: Constructing the Project within the Project Area will help improve the traffic circulation, streetscapes and image of the Project Area, is necessary to achieve the purposes of, and is consistent with, the Plan, and will benefit the Project Area. Finding No. 1.2: Installing the Project will help eliminate blight within the Project Area in the immediate vicinity of the Project, and within the overall Project Area, by increasing City Council Resolution No. _________ Successor Agency Resolution No. _________ Fresno Revitalization Corp Resolution No. __________ Abby & Hedges Street Improvements, Phase II Central City Commercial Redevelopment Area Page 4 efficient traffic flow, and improving traffic safety and enhancing the area for private investment and upgrading and improving the image of the area. Finding No. 1.3: The Project is consistent with the Implementation Plan. Finding No. 1.4: Using tax increment for the Project is essential and necessary, as no other reasonable means of financing the Project are available to the City of Fresno. 2. The Council consents to the Successor Agency expending tax increment to install and construct the Project, and consents to the Successor Agency award of a contract for the Project. ******** City Council Resolution No. _________ Successor Agency Resolution No. _________ Fresno Revitalization Corp Resolution No. __________ Abby & Hedges Street Improvements, Phase II Central City Commercial Redevelopment Area Page 5 CLERK'S CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF FRESNO ) CITY OF FRESNO ) I, YVONNE SPENCE, City Clerk, hereby certify that the City of Fresno, the Successor Agency, and the Fresno Revitalization Corporation, adopted the foregoing resolution at a joint public meeting held on the ______ day of October, 2014, and that the same was passed by the following vote: AYES: NOES: ABSENT: ABSTAIN: YVONNE SPENCE City Clerk and Ex-Officio Clerk of the Successor Agency By Deputy APPROVED AS TO FORM: Douglas Sloan City Attorney and Ex-Officio Attorney to the Successor Agency By ____________________ Sr. Deputy