HomeMy WebLinkAbout06-17-2020 Agenda PacketCITY OF SAN BERNARDINO
AGENDA
FOR THE
REGULAR MEETING OF THE MAYOR AND CITY COUNCIL
OF THE CITY OF SAN BERNARDINO, MAYOR AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS
THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY, MAYOR AND CITY COUNCIL OF THE CITY OF SAN
BERNARDINO ACTING AS THE SUCCESSOR HOUSING AGENCY TO THE REDEVELOPMENT AGENCY, AND MAYOR
AND CITY COUNCIL OF THE CITY OF SAN BERNARDINO ACTING AS THE HOUSING AUTHORITY
WEDNESDAY, JUNE 17, 2020
5:30 PM – CLOSED SESSION 7:00 PM – OPEN SESSION
W EB-CONFERENCE • VIA ZOOM • WWW.SBCITY.ORG
IMPORTANT COVID-19 NOTICE
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John Valdivia James
Mulvihill
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 2 Printed 6/12/2020
Theodore Sanchez John Valdivia James Mulvihill
MAYOR PRO-TEM, WARD 1 MAYOR COUNCIL MEMBER, WARD 7
Sandra Ibarra
Teri Ledoux
COUNCIL MEMBER, W ARD 2 CITY MANAGER
Juan Figueroa Sonia Carvalho
COUNCIL MEMBER, W ARD 3
CITY ATTORNEY
Fred Shorett Genoveva Rocha
COUNCIL MEMBER, W ARD 4 ACTING CITY CLERK
Henry Nickel
COUNCIL MEMBER, W ARD 5
Bessine L. Richard
COUNCIL MEMBER, W ARD 6
CITY
ATTORNEY
Welcome to a meeting of the Mayor and City Council of the City of San Bernardino.
o Please contact the City Clerk’s Office (909) 384-5002 two working days prior to the meeting for any
requests for reasonable accommodation to include interpreters.
o All documents for public review are on file with the City Clerk’s Office or may be accessed online by
going to www.sbcity.org.
Call to Order
Attendee Name Present Absent Late Arrived
Mayor Pro-Tem, Ward 1 Theodore Sanchez
Council Member, Ward 2 Sandra Ibarra
Council Member, Ward 3 Juan Figueroa
Council Member, Ward 4 Fred Shorett
Council Member, Ward 5 Henry Nickel
Council Member, Ward 6 Bessine L. Richard
Council Member, Ward 7 James Mulvihill
Mayor John Valdivia
Acting City Clerk Genoveva Rocha
City Attorney Sonia Carvalho
City Manager Teri Ledoux
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 3 Printed 6/12/2020
5:30 P.M.
CLOSED SESSION PUBLIC COMMENT
CLOSED SESSION
(A) CONFERENCE WITH REAL PROPERTY NEGOTIATORS - Pursuant to
Government Code Section 54956.8:
Property Address: Bryce Hanes Park, 534 W. 9th Street (APN 01040-143-54)
Agency Negotiator: Teri Ledoux, City Manager
Negotiating Party: San Bernardino Valley Municipal Water District
Under Negotiation: Price and Terms of Purchase
(B) CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Pursuant
to Government Code Section 54956.9(a) and (d)(1)):
a. Pepe’s Inc. dba Pepe’s Towing v. City of San Bernardino, et al., United
States District Court Case No. 5:18-cv-02277 SVW (SPx)
b. Pepe’s Inc., a California Corporation, dba Pepe’s Towing v. City of San
Bernardino, Virginia Marquez, et al., 9th Circuit Court of Appeal, Case
No. 19-56501
c. Pepe’s Inc. v. City of San Bernardino, et al., California Court of Appeal,
4th Appellate District, Division 2, Case No. E0741745 (Underlying
SBCSC Case No. CIVDS1827968)
7:00 P.M.
INVOCATION AND PLEDGE OF ALLEGIANCE
CLOSED SESSION REPORT
PUBLIC COMMENTS FOR ITEMS LISTED AND NOT LISTED ON THE AGENDA
STAFF REPORTS
1. Update on Cannabis Permits and Litigation; Review of Permit Categories and
Numbers; Review of Application Criteria; and Adoption of Resolution to
Establish Microbusiness Permits
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California:
1. Accept the annual commercial cannabis business permit update and litigation
update; and
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 4 Printed 6/12/2020
2. Discuss and provide direction to staff on whether to increase or modify permit
categories and the number of permits, and direct staff to prepare a possible
ordinance to increase the total number of permits and/or prepare a resolution to
either adjust the distribution of permits by type or to eliminate the restriction
altogether; and
3. Discuss and provide feedback on recommended amendments to the proposed
commercial cannabis business permit application review criteria, procedures and
fees; and
4. Adopt Resolution 2020-148 authorizing the transition of two current open and
operating commercial cannabis businesses to alter their existing permits to
transition to two commercial cannabis microbusiness permits.
2. Award of a Construction Agreement for the Palm Medians Landscape
Improvement Project
Recommendation
Adopt Resolution No. 2020-116 of the Mayor and City Council of the City of San
Bernardino, California:
1. Authorizing expenditures in a total amount of $735,000 for the construction of the
Palm Avenue Median Landscape Project (“Project”) to include a Construction
Agreement in the amount of $668,000 and contingencies in the amount of
$67,000; and
2. Approving the award of a Construction Agreement with KASA Construction, Inc.
of Chino, California, in the amount of $668,000 to perform the median
improvements; and
3. Amending the FY 2019/20 CIP SS20-011 - Citywide Medians Rehabilitation
Project to include Palm Avenue Median as project location; and
4. Authorizing the City Manager or designee to expend the contingency fund, if
necessary, to complete the project.
3. Setting the 2020 Regulatory Fee Rate for the Sale of "Safe and Sane"
Fireworks
Recommendation
Adopt Resolution No. 2020-130 of the Mayor and City Council of the City of San
Bernardino, California, setting the 2020 Regulatory Fee for the sale of "safe and
sane" fireworks in the City of San Bernardino.
4. Lease Extension Agreement Options - Vanir Tower Building, Inc.
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, consider Vanir Tower lease options and provide direction to staff.
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 5 Printed 6/12/2020
CONSENT CALENDAR
5. January, February, March, April, and May 2020 City Board, Commission, and
Citizen Advisory Committee Approved Minutes
Recommendation
That the Mayor and City Council of the City of San Bernardino, California, receive
and file the minutes from the City Board, Commission, and Citizen Advisory
Committee meetings approved in March, April, and May 2020.
6. Notice and Calling of a General Municipal Run-Off Election
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt the following resolutions required in order to conduct a General
Municipal Run-Off Election on Tuesday, November 3, 2020:
1) Adopt Resolution No. 2020-146 of the Mayor and City Council of the City of San
Bernardino, California, calling and giving notice of the holding of a General
Municipal Run-Off Election to be held on Tuesday, November 3, 2020,
requesting the Board of Supervisors of the County of San Bernardino to
consolidate said Election with the November 3, 2020, Statewide General Election
and permit the San Bernardino County Registrar of Voters to render Election
services to the City of San Bernardino for said Election, and authorizing the City
Manager to pay the invoice for the costs of the Election; and
2) Adopt Resolution No. 2020-147 of the Mayor and City Council of the City of San
Bernardino, California, adopting regulations for candidates for elective office
pertaining to Candidate Statements submitted to the voters at an Election to be
held on Tuesday, November 3, 2020.
7. Approval of Commercial and Payroll Disbursements
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino
approve the commercial and payroll disbursements for May 2020.
8. Approve City Investment Policy for FY 2020/21
Recommendation
Adopt Resolution No. 2020-124 of the Mayor and City Council of the City of San
Bernardino, California, approving the City Investment Policy for FY 2020/21.
9. Monthly Investment Portfolio Report for May 2020
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California accept and file the Monthly Investment Portfolio Report for May 2020.
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 6 Printed 6/12/2020
10. Agreement with R.T. Desai & Associates for Accounting Consultant Services
Recommendation
Adopt Resolution No. 2020-125 of the Mayor and City Council of the City of San
Bernardino, California, approving the Professional Services Agreement between the
City of San Bernardino and consultant R.T. Desai & Associates for accounting
services in the amount of $150,000 and authorizing the City Manager, or designee,
to execute the agreement.
11. First Amendment to the Professional Services Agreement Between the City of
San Bernardino and Barboza & Associates for Investigation Services
Recommendation
Adopt Resolution 2020-126 of the Mayor and City Council of the City of San
Bernardino, California, approving the First Amendment to the Professional Services
Agreement between the City of San Bernardino and Barboza & Associates for
workplace investigation services.
12. Risk Management Insurance Program Fiscal Year 2020/21
Recommendation
Adopt Resolution No. 2020-131 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to purchase both a 30 -day
extension to the current excess liability policies for the extended term of coverage
through July 31, 2020 for the premium amount of $47,509 and excess workers’
compensation insurance through Public Risk Innovation, Solutions, and
Management (PRISM) formerly California State Associate of Counties Excess
Insurance Authority (CSAC-EIA) premium quote in the amount of $384,275.
13. Side Letter Agreement Between the City and the San Bernardino Police
Officers Association (SBPOA)
Recommendation
Adopt Resolution No. 2020-132 of the Mayor and City Council of the City of San
Bernardino, California, approving a Side Letter Agreement to the Mem orandum of
Understanding (MOU) between the City of San Bernardino and the San Bernardino
Police Officers Association (SBPOA), amending Article VI-Working Conditions,
Section 1: Work Schedules and Article III-Compensation, Section 3: Overtime,
effective the first full 28-day work period following Mayor and City Council approval.
14. Addendum to Amend the Performance Period Deadline for the Visual and
Performing Art Grant Award Agreements
Recommendation
Adopt Resolution No. 2020-133 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager or designee to execute an
addendum to the Visual and Performing Art Grant Award Agreements amending the
performance period deadline to December 31, 2020.
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 7 Printed 6/12/2020
15. First Amendment to Memorandum of Understanding Between the Public
Safety Academy of San Bernardino Inc. (PSA) and the San Bernardino Police
Department
Recommendation
Adopt Resolution No. 2020-134 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to execute the First
Amendment to the Memorandum of Understanding between the Public Safety
Academy of San Bernardino Inc. (PSA) and the San Bernardino Police Department.
16. Authorization to Accept Department of Justice Coronavirus Emergency Grand
Funding
Recommendation
Adopt Resolution 2020-135 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to accept the BJA Fiscal Year
2020 Coronavirus Emergency Supplemental Funding Program Grant in the amount
of $632,422; and authorizing the Director of Finance to amend the Fiscal Year
2020/21 budget, appropriating $632,422 in both revenue and expenditures.
17. Authorize Replacement Professional Services Agreement with Axon
Enterprise, Inc.
Recommendation
Adopt Resolution No. 2020-129 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to execute a replacement
Professional Services Agreement with Axon Enterprise, Inc., decreasing costs for
the remaining two years of an existing five-year agreement by $139,426.56.
18. Adopt a Resolution to Authorize the Issuance of FY 2020/21 Purchase Orders
for Annual Usage Fees, Software and Hardware Maintenance Service
Agreements
Recommendation
Adopt Resolution 2020-139 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the issuance of Fiscal Year 2020/2021 Purchase
Orders for the annual usage fees, software and or hardware support with Accela
Corporation, CelPlan, Earth Science Research Institute (ESRI), Konica Minolta,
NPA Computers, TPX, Tyler Technologies, and Verizon Cellular as outlined in the
report.
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 8 Printed 6/12/2020
19. Amendment No. 2 to Professional Services Agreement with Annie Clark for
Accounting Services
Recommendation
Adopt Resolution 2020-138 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the execution of Amendment No. 2 to
Professional Services Agreement for accounting consultant services between the
City of San Bernardino and Annie Clark, in a n amount not to exceed $92,200; and
authorize the City Manager or designee to take any further actions as necessary to
effectuate the agreement.
20. Subordination of a Deed of Trust in Connection with 275 East 49Th Street,
San Bernardino, California
Recommendation
Adopt a Resolution No. 2020-141 of the Mayor and City Council of the City of San
Bernardino, California, acting as the Successor Housing Agency to the
Redevelopment Agency of the City of San Bernardino , approving a Subordination of
a Deed of Trust in connection with refinancing the Senior Mortgage relating to real
property located at 275 East 49th Street, San Bernardino, California.
21. Ratify and Accept the San Bernardino County Fire Protection District’s
(“District”) Ordinance No. FPD 20-01
Recommendation
Adopt Resolution No. 2020-140 of the Mayor and City Council of the City of San
Bernardino, California, to ratify and accept the San Bernardino County Fire
Protection District’s (“District”) Ordinance No. FPD 20-01, which amends and
adopts the 2019 Edition of the California Fire Code, known as California Code of
Regulations, Title 24, Part 9, based on the 2018 Edition of the International Fire
Code.
22. Award of a Construction Contract for City Yard Roof Replacement
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-122:
1. Amending the FY 2019/20 Capital Improvement Plan (CIP) to include City Yard
Roof Replacement (“Project’); and
2. Approving a total project budget in the amount of $308,017 for the construction
contract in the amount of $279,517 and project contingencies in the amount of
$28,500; and
3. Approving the award of a Construction Contract with Bligh Roof Co. DBA Bligh
Pacific of Santa Fe Springs, California in the amount of $279,517; and
4. Authorizing the Director of Finance to amend the FY 2019/20 adopted budget to
transfer a total of $308,017 from Public Works Building Maintenance accounts
001-400-0037-5172 (Equipment Maintenance) and 001 -400-0037-5502
(Professional Contractual services) to Capital Improvement Project Fund 001-
160-8774 in support of the Project; and
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 9 Printed 6/12/2020
5. Authorizing the City Manager or designee to expend the contingency fund, if
necessary, to complete the project.
23. Five-Year Capital Improvement Program FY 2020/21 to FY 2024/25 for Measure
I Local Expenditures
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California adopt Resolution No. 2020-143, approving the Measure I Five-Year
Capital Improvement Plan for FY 2020/21 through FY 2024/25 and Measure I
Expenditure Strategy.
24. Resolution Declaring Intent to Annex Territory: Community Facilities District
No. 2019-1 (Maintenance Services): Annexation No. 4, Tax Zone No. 5 (TR
20006) APN 0261-181-16 and 0261-181-17
Recommendation
Adopt Resolution No. 2020-144 of the Mayor and City Council of the City of San
Bernardino, California, declaring its intention to annex territory into Community
Facilities District No. 2019-1 (Maintenance Services) of the City of San Bernardino,
adopting a map of the area to be proposed (Annexation No. 4) and authorizing the
levy of a special taxes therein.
25. Resolution Approving Cooperative Agreement with the City of Highland and
San Bernardino County for Submission of a Grant Application to the Active
Transportation Cycle 5 Grant Program
Recommendation
Adopt Resolution No. 2020-113 of the Mayor and City Council of the City of San
Bernardino, California, approving a Cooperative Agreement with the City of
Highland and San Bernardino County for the submission of a Grant Application to
the Active Transportation Cycle 5 Grant Program for the Highland/San Bernardino
Bi-City Bikeway and Walkway Connector (Project) and authorizing the Director of
Finance to record a budget adjustment in Local Circulation Development Impact
Fee (DIF) Fund No. 263 in the amount of $23,000 in support of the application
preparation.
26. Purchase and Sale Agreement and Joint Escrow Instructions for the Partial
Acquisition for Assessor’s Parcel 0271-051-11 and 0271-051-12 for the
Widening of West 40TH Street from Johnson Street to Electric Avenue
Recommendation
Adopt Resolution No. 2020-117 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to execute a Partial Purchase
and Sale Agreement with Bryan Henley and Sharland L. Henley for the property
located at 337 & 339 West 40th Street.
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 10 Printed 6/12/2020
ITEMS TO BE REFERRED TO COMMITTEE
REPORTS ON CONFERENCES/MEETINGS ATTENDED
ADJOURNMENT
The Mayor and City Council and the Mayor and City Council Acting as the Successor Agency to
the Redevelopment Agency will adjourn to a Special Meeting will be held on Wednesday, June
24, 2020 via web-conference. Closed Session will begin at 5:00 p.m. and Open Session will
begin at 5:30 p.m.
CERTIFICATION OF POSTING AGENDA
I, Genoveva Rocha, CMC, Acting City Clerk for the City of San Bernardino, California, hereby
certify that the agenda for the June 17, 2020 Regular Meeting of the Mayor and City Council
and the Mayor and City Council acting as the Successor Agency to the Redevelopment Agency
was posted on the City’s bulletin board located at 201 North “E” Street, San Bernardino,
California, at the San Bernardino Public Library located at 555 West 6th Street, San Bernardino,
California, and on the City’s website sbcity.org on Friday, June 12, 2020 .
I declare under the penalty of perjury that the foregoing is true and correct.
___________________________________
Genoveva Rocha, CMC, Acting City Clerk
Regular Meeting Agenda June 17, 2020
Mayor and City Council of the City of San Bernardino Page 11 Printed 6/12/2020
NOTICE:
The Mayor and City Council and the Mayor and City Council Acting as the Successor
Agency to the Redevelopment Agency may refer any item raised by the public to staff,
or to any commission, board, bureau, or committee for appropriate action or have the
item placed on the next agenda of the Mayor and City Council and the Mayor and City
Council Acting as the Successor Agency to the Redevelopment Agency. However, no
other action shall be taken nor discussion held by the Mayor and City Council and the
Mayor and City Council Acting as the Successor Agency to the Redevelopment Agency
on any item which does not appear on the agenda unless the action is otherwise
authorized in accordance with the provisions of subdivision (b) of Section 54954.2 of the
Government Code.
Public comments will not be received on any item on the agenda when a public hearing
has been conducted and closed.
Page 1
Staff Report
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Michael Huntley, Community & Economic Development Director
Subject: Required Annual Commercial Cannabis Business Permit
Update
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California:
1. Accept the annual commercial cannabis business permit update and litigation
update; and
2. Discuss and provide direction to staff on whether to increase or modify permit
categories and the number of permits, and direct staff to prepare a possible
ordinance to increase the total number of permits and/or prepare a resolution to
either adjust the distribution of permits by type or to eliminate the restriction
altogether; and
3. Discuss and provide feedback on recommended amendments to the proposed
commercial cannabis business permit application review criteria, procedures and
fees; and
4. Adopt Resolution 2020-148 authorizing the transition of two current open and
operating commercial cannabis businesses to alter their existing permits to
transition to two commercial cannabis microbusiness permits.
Discussion
Annual Commercial Cannabis Business Permit Update
San Bernardino Municipal Code Chapter 5.10 establishes the regulations and standards
for Commercial Cannabis Business (CCB) activities in the City. The Mayor and City
Council initially adopted Chapter 5.10 through Ordinance MC-1464 in March 2018. In
October 2018, the Mayor and City Council amended Chapter 5.10 with Ordinance MC -
1503. The Mayor and City Council then adopted Resolution 2018 -227 to place
Ordinance MC-1503 on the November 2018 ballot for voter approval. In November
2018, the voters approved Ordinance MC-1503 as Measure X.
Chapter 5.10 requires the Mayor and City Council to set forth procedures to govern the
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application process for CCB permits (SBMC, § 5.10.090 (a)). In April 2018, the Mayor
and City Council adopted Resolution 2018-102, establishing the review criteria for CCB
applications and authorizing the City Manager to prepare the necessary forms, establish
the application process, solicit applications, conduct the initial evaluation, and ultimately
provide a recommendation to the Mayor and City Council. The current Procedures and
Guidelines, issued by the City Manager, are attached hereto (Attachment 1).
Regulations and Process
Under Chapter 5.10, to operate a commercial cannabis business in the City, a person
must obtain a valid CCB Permit from the City and a valid license for the cannabis
operation from the State (SBMC, § 5.10.060). The City offers six types of permits:
cultivation, distribution, manufacturing, microbusiness, retail, and testing (SBMC, §
5.10.060). Chapter 5.10 currently initially caps the number of commercial cannabis
business permits that the City may issue to one permit for every 12,500 residents based
on population reports from the State Department of Finance (SBMC, § 5.10.080). The
total cap is presently 17 permits, based on a January 2017 population report. This cap
may be increased by Ordinance of the Mayor and City Council (SBMC, § 5.10.080).
History and Current Status of Permits
The application period for commercial cannabis business permits was open from May
2018 to June 2018. The City processed the applications and awarded sixteen permits in
February 2019.
As of the time this report was written, the status of the awarded permits is as follows:
Currently the City has two open and operati ng commercial cannabis businesses, one
retail business, and one distribution business, with a second retail business close to
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opening. Additionally, there are 9 businesses in various categories in the plan check
process and two preparing to submit by the e nd of July. Staff has communicated with
the last two applicants who have indicated that they are not ready to proceed to the next
step and have not submitted for plan check.
Various Recommendations: Permit Processing, Microbusinesses, and Relocations
Under Chapter 5.10, the application process may be changed from time -to-time. Staff is
recommending amending the application process to address modifications, changes or
additions to existing license types and the expansion of an existing business footprint
and preparations.
This proposed expansion will allow for the two current operators (distribution and retail)
to consider a transition to Microbusiness (Attachment 2). This will also allow for
awarded but not yet operating and future cannabis businesses to m odify their awarded
permits to expand their operations and generate additional revenue. Staff is also
recommending these amendments be processed administratively as part of the overall
application process streamlining.
As referenced in Section 5.10.200, awarded cannabis businesses may apply for
relocation within the City using the established application process set forth in Section
5.10.090. The application process is currently set up in four phases consisting of an
application submittal, review of the ap plication, applicant interviews, and Mayor and City
Council consideration. There are set fees established for each phase. Staff is
recommending streamlining this process by combining Phase 1 and 2, eliminating
Phase 3, and keeping Phase 4. As outlined in the proposed guidelines (see Attachment
4), the proposed process will consist of three steps: (1) application submittal; (2) staff
review; and (3) Mayor and City Council consideration. By streamlining the process, an
applicant wanting to relocate will be able to move forward in a simplified manner to the
Mayor and City Council for consideration.
Pursuant to Section 5.10.320 (Other Operational Requirements), as part of the Mayor
and City Council’s consideration, the City Manager, or his/her designee, has the ability
to develop other commercial cannabis business operational requirements or regulations
as are determined to be necessary to protect the health, safety, and welfare of the
public.
Staff would like direction from the Mayor and City Council on whethe r to require
applicants to provide a Lease Agreement or Purchase Agreement as an additional
operational requirement during the application process. If this is desired, staff will
request a “Notice of Intent to Lease or Purchase the Property” as part of the application.
If, instead, it is preferred that such evidence be provided upon approval, staff will require
the applicant to provide such documentation within 60 days as a condition of approval.
Permit Processing Deadlines
As illustrated in the Current Status table above, staff believes that it is in the best
interest of the City and other perspective applicants to establish and impose deadlines
on applicants who were awarded a permit, but who have been slow to establish their
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business. There may be various reasons why some of the permittees have been slow
to proceed; however, staff contends that a performance provision should have been
included in the original ordinance or guidelines. Staff is therefore recommending a “use
it or lose it” deadline for current applicants that were awarded a CCB in February 2019
of three (3) months from the time any ordinance expanding the number of permits goes
into effect. If the awarded applicant is not able to secure a location and submit tenant
improvement plans to the City for review within the allotted time frame, the applicant will
forfeit their permit. The intent of this proposed provision is to move stalled applicants
along, and if they cannot proceed in a reasonable time frame, open the available
permits up to other prospective applicants who have the ability to secure a location and
establish a commercial cannabis business.
Additionally, staff is also proposing a new 12-month deadline for new applicants
awarded a permit by Mayor and City Council. The 12-month deadline begins from the
date the permit is awarded. This is intended to provide ample time for a permittee to
proceed with securing a location and submitting for their tenant improvements as
outlined in the proposed guidelines (see Attachment 4). Moreover, the timeframe
emphasizes to applicants that they must diligently pursue the establishment of their
commercial cannabis business, or risk losing their permit. The lack of a performance
provision has impacted the projected cannabis tax revenue that the Cit y was expecting
to receive as a result by permitting commercial cannabis businesses in the City.
Award Existing Operators the Opportunity to Operate as Microbusinesses
The City awarded five microbusiness permits in February 2019. To date, not a single
microbusiness is in operation. One microbusiness applicant experienced a delay due to
relocation and is now in plan check. The two operators who are open for business and
generating tax revenue (distribution & retail) have demonstrated the ability to open,
operate, and do business. The City can further its goals by offering each of the two
businesses the opportunity to operate as microbusinesses.
The City has awarded a total of 16 commercial cannabis business permits in various
categories so expanding this one category will require the adoption of a Resolution
pursuant to Chapter 5.10 of the Municipal Code. The Mayor and City Council will also
need to adopt an administrative process to facilitate the changes should the operators
desire to take advantage of the opportunity. The operators would be required to pay a
$4,618 Application Submittal and Review Fee, but will not go through an entirely new
the full formal review process.
Should the Mayor and City Council desire to move forward with the variou s policy
recommendations set forth in this report, it will need to adopt a resolution updating the
Procedures and Guidelines. Some of those policy amendments are set forth in the
attached draft Guidelines (Attachment 4).
The City can further the goal of implementing the voters desire to see cannabis
businesses operating in the City by providing greater flexibility to make changes to the
various categories and for the maximum number of permits. Under Chapter 5.10, some
of these changes must be adopted by resolution and others by ordinance. The voter
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approved Chapter 5.10 provides that the City will start with one cannabis permit for
every 12,500 in population, but it also authorizes the City to increase the number of
permits by ordinance. For various rea sons, it can take many months for operators to
open for business. The City may want to consider increasing the number of permits,
realizing that ultimately there will be fewer operators than the number of awarded
permits. Increasing the number of permits will also be essential to resolving litigation as
discussed in the litigation section below.
Commercial Cannabis Litigation Update and Recommendations
Below is a brief summary with expenses, to date, of each of the cases involving San
Bernardino’s permitting of commercial cannabis businesses:
A. Washington, et al. (CIVDS 1905710, filed 2/25/2019)
Opposing Counsel: Ben Eilenberg (Please note: though the court has
not been so advised, Mr. Eilenberg’s license to practice law has been
suspended)
Plaintiffs: Washington, LLC (microbusiness applicant, denied); MTV
Holdings, LLC (affiliation unknown); Bubba Likes Tortillas, LLC (affiliation
unknown)
Defendants: City; Andrea Miller
Format of Complaint: Complaint and Petition for Writ of Mandate
(Government Waste/Government Corruption)
Allegations: Issuance of permits to groups without approved Zoning
Verification Letters and to groups whose projects conflict with the SB General
Plan was illegal; all permits were issued illegally because Phase III interviews
constitute meetings in violation of the Brown Act; all permits were issued illegally
because of SB’s failure to set forth a scoring rubric and its failure to follow its
procedures; all permits were issued illegally because the process was tainted by
illegal campaign contributions.
Application Problems/Score: Phase 2: 67.07% (15th out of 17 for
microbusiness); Phase 3: 77.92% (17/17); Combined: 73.85% (16/17).
Attorney’s Fees and Costs to Date: $141,704.35 (Please note: all work
applicable to all cases jointly-including creation of the administrative record-has
been billed to this matter)
B. EEL Holdings, LLC (CIVDS 1906467, filed 3/1/2019)
Opposing Counsel: Jeff Augustini
Plaintiff: EEL Holdings, LLC (Elliot Lewis with Connected Cannabis Co.,
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retail applicant, denied)
Defendants: City; Andrea Miller
Format of Complaint: Verified Petition for Writ of Mandamus and
Complaint for Peremptory Writ of Mandate and Injunctive Relief
Allegations: The City violated 5.10.090, 180, 250(c), and Resolution
2018-102 by permitting applicants whose application did not comply with the
General Plan, by altering adopted application procedures of May 2018 without a
Resolution as required by 5.10.090(a) and 5.10.180(a), by failing to apply and
assess objective review criteria as required by 5.10.090(a) and Resolution 2018-
102 and by abusing discretion under 5.10.090(a) to formulate and implement
criteria, and by permitting a late-filed application to proceed and ultimately to
award that applicant a license in violation of 5.10.090(d).
The City also cost Plaintiff at least $100,000 in failing to permit the
Connected Cannabis Co.
Application Problems/Score: Phase 2: 82.73% (Tied 8th out of 18 for
retail); Phase 3: 82.32% (13/18); Combined: 82.48% (12/18).
Attorney’s Fees and Costs to Date: $92,186.17
C. Ashe Society SB LLC (CIVDS 1911952, filed 4/19/2019)
Opposing Counsel: Tin Westen of Westen Law
Plaintiff: Ashe Society SB LLC (two permit applications: 590 S. E St
(retail) and 785 S. Lugo Ave (retail), both denied)
Defendants: City; Andrea Miller
Format of Complaint: Verified Petition for Peremptory Writ of Mandate
and Complaint for Declaratory Relief
Allegations: The City violated 5.10.180, among other sections, in failing
to adhere to requirements to select applicants who would move forward with the
permitting process at a public hearing. The City published the May 21, 2018
guidelines without adoption by Resolution as required. Scoring was inconsistent,
with three businesses at the same location receiving different “location” scores.
Approving permits on February 21, 2019 represents a misinterpretation and
failure to comply with the mandates of 5.10.
Application Problems/Score: S. E Street: Phase 2: 81.07% (11th out of
18 for retail); Phase 3: 83.52% (16/18); Combined: 82.60% (11/18)
Attorney’s Fees and Costs to Date: $6,077.04
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D. SB Pharma Holdings, Inc. (CIVDS 1914576, filed 5/14/2019)
Opposing Counsel: Nancy Minkler of Ad Astra Law Group
Plaintiff: SB Pharma Holdings, Inc. dba The Row House (retail applicant,
denied)
Defendant: City
Format of Complaint: Petition for Writ of Mandate (CCP §§ 1085,
1094.5) and Complaint for Injunctive Relief
Allegations: The City violated 5.10 and the Application Procedure
Guidelines by allowing applicants who did not comply with the cannabis
Ordinance, comply with the General Plan, pay the required fees, submit required
materials, or obtain the required Zoning Verification Letter to proceed through the
process. Selection was inconsistent with scoring, with the highest scoring
applicants not selected for permits.
Application Problems/Score: Phase 2: 82.73% (Tied 8th out of 18 for
retail); Phase 3: 83.56% (7/18); Combined: 83.25% (9/18).
Attorney’s Fees and Costs to Date: $32,445.86
E. Kahros, et al. (CIVDS 1830325, filed 11/20/2018)
Opposing Counsel: John Jay Lebron
Plaintiffs: Kostadinos Kahros, Athina Kahros, Leonard Paul Alba
Defendants: City; Jarrod Burguan (Chief of Police); Jeffrey Bloom (Interim
Director of the Community Development Department)
Format of Complaint: Complaint for Declaratory Relief, Inverse
Condemnation, Petition for Writ of Mandate and Injunctive Relief
Allegations: Between the court’s ruling that Measure O was invalidated
(1/18/18) and signing the judgment repealing Measure O (2/28/18), Defendants
obtained and served search warrants against all 50 operating marijuana
businesses in San Bernardino. During these “raids,” officials with the
Department of Building and Safety accompanied police and entered the premises
of cannabis businesses and inspected for compliance with building and saf ety
codes. Notices of Violation were issued during the “raids” for such violations and
“red tags” were issued. Due process rights were violated by the execution of
illegal “raids.” The order that buildings be closed and “locked out” without
hearing is a taking.
What the Plaintiff Wants: Money damages and an order enjoining SB
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from using criminal search warrants and “red tags” and orders to disconnect
electrical service to close down marijuana businesses.
Attorney’s Fees and Costs to Date: $2,132.87
F. KP Investment Group, LLC (CIVDS 1909577, filed 3/29/2019)
Opposing Counsel: Robert Freeman
Plaintiffs: KP Investment Group, LLC (microbusiness applicant, denied)
Defendants: City; Andrea Miller
Format of Complaint: Complaint and Petition for Writ of Mandate
Allegations: Businesses which did not receive approved Zoning
Verification Letters improperly received permits (Luke, LLC [Organtix Orchards];
AM-PM MGMT, Inc. [Cold Creek Organics]; Ashe Society SB, LLC; Red Brick
Industries, LLC). SB failed to provide a full scoring rubric, and certain scores
seem nonsensical; for example, AM-PM was denied a Zoning Verification Letter
and had eight sensitive uses within 600 feet, but received a 165/200
Neighborhood Compatibility score and a 160/200 Location score. Appli cants
who were noncompliant with the General Plan received scores higher than those
who were compliant; e.g., Orange Show Cultivators was deemed noncompliant
but received a Neighborhood Compatibility score of 178.75/200 and a Location
score of 167.5/200. Further, SB violated its own procedures and the Municipal
Code.
Application Problems/Score: Phase 2: 73.67% (11th out of 17 for
microbusiness); Phase 3: 82.48% (8/17); Combined: 79.18% (11/17).
Attorney’s Fees and Costs to Date: $1,659.95
G. Washington II (CIVDS 1922151, filed 7/26/2019)
Opposing Counsel: Ben Eilenberg (Please note: though the court has
not been so advised, Mr. Eilenberg’s license to practice law has been
suspended)
Plaintiffs: Washington, LLC (microbusiness applicant, denied)
Defendants: City
Format of Complaint: Complaint and Petition for Writ of Mandate
(Government Waste/Government Corruption)
Allegations: The City Council of the City of San Bernardino lacked the
authority to reduce the setback requirement in Section 5.10.250 of the San
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Bernardino Municipal Code.
Application Problems/Score: Phase 2: 67.07% (15th out of 17 for
microbusiness); Phase 3: 77.92% (17/17); Combined: 73.85% (16/17).
Attorney’s Fees and Costs to Date: $16,770.78
H. Interveners in Open Litigation
These are businesses which either received a commercial cannabis
business permit or participated in the process, but were not awarded, and are
concerned that the outcome of the lawsuits may adversely impact them.
Name Type Phase 3
Score
Status Counsel
4th Street
Dispensary††
Microbusiness 2018/2500
(80.72%)
Not awarded Unknown
Blunt Brothers,
Inc.
Distribution 2080/2500
(83.20%)
Awarded; Open Dana
Cisneros
Central Avenue
Nursery, LLC
Microbusiness 2067/2500
(82.68%)
Awarded; In plan
check
James
Penman
ECS Labs, Inc. Microbusiness 2051/2500
(82.04%)
Not awarded Matt Harrison
Nibble This,
LLC
Microbusiness
(S. E St.)
2119/2500
(84.76%)
Awarded; Permits
pulled, under
construction
Jacqueline
Vinaccia
Microbusiness
(S. H St.)
2121/2500
(84.84%)
Awarded; In plan
check
Orange Show
Cultivators, Inc.
Microbusiness 2223/2500
(88.92%)
Awarded; Not
submitted for plan
check
Jason
Thompson
I. Captain Jacks - Yi v. City of San Bernardino (Measure O Related
Litigation)
Opposing Counsel: Roger Diamond
The City recently prevailed on an appeal. The Court found the issue of
the validity of Measure O to be moot and ordered the case dismissed. The issue
of the validity of the Measure O permits has not been decided and the attorney
has indicated a willingness to continue to litigate.
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J. Recommendation
Should these lawsuits proceed to trial (seven trials total as cases have been
consolidated for discovery purposes only), Plaintiffs have expressed great desire to
aggressively pursue discovery, including but not limited to depositions of council
members. We can also anticipate dispositive motions on just about every case, though
as always, summary judgment is a very difficult bar to clear.
Without any settlement, we would estimate each trial to cost approximately
$75,000, for a total of somewhere in the neighborhood of $500,000. Given the
preliminary nature of the cases, however, it is important to remember that this figure is
subject to revision upon learning new information.
Given that all but one applicant (Washington) exceeded the 80% score threshold,
we would recommend engaging in settlement discussions with each viable
applicant/plaintiff to move in the direction of issuing permits where possible.
Regulation of Cannabis Deliveries
Chapter 5.10 that regulates cannabis businesses was ad opted by the voters as
Measure X. If the Mayor and City Council desire to formally amend Chapter 5.10 , it will
have to propose a new measure to the voters. The City Council does not have the
authority to amend the Ordinance without voter approval.
By way of example only, some cities have enacted cannabis delivery ordinances
containing the following provisions related to cannabis deliveries:
A City Business License is required (and an associated $293 fee);
A Cannabis Delivery Service Permit is required;
Delivery is permitted to residential addresses only;
Delivery is permitted only during the hours of 9:00 a.m. and 9:00 p.m.
Cannabis or cannabis goods delivered to residential properties located
within 600 feet of a public or private K -12 school cannot occur during
school hours (8:00 a.m. to 3:00 p.m. weekdays);
"Dash Cams" are required in delivery vehicles;
Delivery service business must include public education materials (i.e.,
negative health impacts to youth and DUI prevention)
Background checks are required by the City.
If the Mayor and City Council wants to enact similar regulations on cannabis delivery
businesses, staff can prepare a report guiding the Mayor and City Council on the steps
to do so.
In the meantime, staff plans to ensure that the Guidelines make clear that deliveries are
subject to the permitting scheme (all CCBs are) and no delivery service to locations
within the City is permitted absent a permit. Of course, deliveries that simply go through
the City may continue so long as they are not picked up or dropped off within City limits.
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Financial Impact
Commercial cannabis business permit applicants were required to pay an application
fee to recover the City’s costs in processing the permits. Staff reported in 2019 t hat
once commercial cannabis business permits are issued and businesses are operating, it
is anticipated the City will receive revenues related to the business activities, however,
maximum revenues have not been achieved , and the City has incurred and will continue
to incur litigation related costs. If the City were to continue with the litigation, costs may
be as high as half a million dollars or more. The City may be able to resolve certain
cases without any monetary payments.
2020-2025 Key Strategic Targets and Goals
The annual commercial cannabis update and proposed changes to the existing
guidelines is consistent with Key Target No 1: Financial Stability. Specifically, improving
the commercial cannabis business procedures and the code provisions tha t regulate
commercial cannabis, should improve the process thereby allowing the City to capture
cannabis revenue.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California:
1. Receive and file the annual commercial cannabis business permit update and
litigation update; and
2. Discuss and provide direction to staff on whether to increase or modify permit
categories and the number of permits, and direct staff to prepare a possible
ordinance to increase the total number of permits and/or prepare a resolution to
either adjust the distribution of permits by type or to eliminate the restriction
altogether; and
3. Discuss and provide feedback on recommended amendments to the proposed
commercial cannabis business permit application review criteria, procedures and
fees; and
4. Adopt Resolution 2020-148 authorizing the transition of two current open and
operating commercial cannabis businesses to alter their existing permits to
transition to two commercial cannabis microbusiness permits.
Attachments
Attachment 1 Guidelines (Issued by City Manager per Resolution 2018-102)
Attachment 2 Resolution 2020-148
Attachment 3 Draft Resolution to Amend Established Commercial Cannabis
Permit Application Review Criteria, Procedures and Fees
Attachment 4 Draft New Procedures & Guidelines, Application Review Criteria
and Proposed Fees
Ward: All
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Synopsis of Previous Council Actions:
March 7, 2018 Mayor and City Council Ordinance-1464 Adopting Chapter 5.10 of
the San Bernardino Municipal Code related to the Regulation of
Commercial Cannabis Activities.
April 4, 2018 Mayor and City Council Adopted Resolution 2018-101 Establishing
the Maximum Number of Commercial Cannabis Business Types.
April 4, 2018 Mayor and City Council Adopted Resolution 2018-102 Establishing
Commercial Cannabis Permit Application Review Criteria and
Procedures.
April 4, 2018 Mayor and City Council Adopted Resolution 2018-103 Establishing
Commercial Cannabis Application Review and Appeal Fees.
September 5, 2018 Mayor and City Council Adopted Ordinance-1503 Amending
Chapter 5.10 of the San Bernardino Municipal Code related to the
Regulation of Commercial Cannabis Activities.
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Commercial Cannabis Business – Guidelines Revised 01/31/19
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C o m m u n i t y D e v e l o p m e n t D e p a r t m e n t -P l a n n i n g D i v i s i o n O f f i c e : 2 0 1 N o r t h E S t r e e t , 3
r d F l o o r M a i l : 2 9 0 N o r t h D S t r e e t S a n B e r n a r d i n o , C A 9 2 4 0 1 P : ( 9 0 9 ) 3 8 4 - 7 2 7 2 F : ( 9 0 9 ) 3 8 4 -5 1 5 5 w w w . s b c i t y . o r g APPLICATION PROCEDURE GUIDELINES FOR A COMMERCIAL CANNABIS BUSINESS (CCB) Information regarding the commercial cannabis business application process can be found on the City’s website at www.sbcity.org and may include the following:
· A Commercial Cannabis Business (CCB) Permit Application Form
· Local regulations governing the CCBs: City of San Bernardino Municipal Code (SBMC) Chapter 5.10
· Live Scan form
· Additional application information: Ordinance No. MC-1464.
· Local Development Code – Title 19 The application process to operate a Commercial Cannabis Business (CCB) in the City of San Bernardino will open on April 23, 2018 and will close at 4:00PM on June 25, 2018. However, if all seventeen (17) licenses allowed under Chapter 5.10 (Commercial Cannabis Activity) are not issued during the first round of review, the City will open a second round of applications at a date to be determined. Applications are available at the Community Development Department located at 201 North E Street, San Bernardino, CA, 92401. For additional questions or information please contact the City Community Development Department at (909) 384 - 7272. CITY’S RESERVATION OF RIGHTS The City reserves the right to reject any and/or all applications, with or without cause or reason. The City may also modify, postpone, or cancel the request for permit applications without liability, obligation, or commitment to any party, firm, or organization. In addition, the City reserves the right to request and obtain additional information from any candidate submitting an application. Late or incomplete applications MAY BE REJECTED. Furthermore, an application RISKS BEING REJECTED for the following reasons: 1. It is considered not fully responsive to this reques t for a permit application. 2. It contains excess or extraneous material not called for in the request for CCB permit application. AMENDMENTS TO THE APPLICATION Applicants may not be allowed to make amendments to their application or to supplement their application, except as otherwise specifically permitted in these procedures or authorized in writing by the City. During Phase 1, applicants will be notified if any of the Owners are ineligible and/or if their application is incomplete and may not move forward in the application process. However, in some cases the City may move forward in the application process to other phases should it anticipate that the Live Scan will take a significant amount of time to be returned to the City. In this case, Applicants wishing to move forward in the process acknowledge by signing the application that they agree to these terms and should they be disqualified as a result of a background or a Live Scan, they will not be eligible for a refund of any fees collected resulting from the modification of this procedure. PLEASE READ CAREFULLY BEFORE COMPLETING THE APPLICATION. FAILURE TO SUBMIT A COMPLETE APPLICATION COULD RESULT IN DISQUALIFICATION.
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The following procedures outline the application evaluation and selection process, required materials, and other information necessary to apply for a business permit to participate in the selection process to operate a CCB in San Bernardino: Prior to submitting a CCB application:
· Zoning Verification Letter (ZVL) application
o The Business Owner must obtain an approved Zoning Verification Letter (ZVL) from the Community Development Department, located at 201 North E Street, prior to submitting a CCB application, to ensure that the proposed CCB location meets the City’s locational requirements. The City’s review process for the ZVL takes approximately ten (10) working days. The ZVL requires a written request to the Community Development Department and will not be completed over the counter since it may require additional research and review.
o The issuance of a ZVL does not imply written evidence of permission given by City or any of its officials to operate a CCB, nor does it not mean “PERMIT” within the meaning of the Permit Streamlining Act, nor does it constitute an entitlement under the Zoning or Building Code. A regulatory permit for the purpose of regulating a CCB does not constitute a permit that runs with the land on which the CCB is established. All fees below shall become effective on June 4, 2018 Phase 1: Application Submittal and Determination of Eligibility (Fee: $2,647 + $300 Background Check per Business Owner + $132 LiveScan per Business Owner)
· An approved Zoning Verification Letter from the Community Development Department stating that the property where the CCB is proposed to operate complies with the locational requirements of SBMC Chapter 5.10.
· Indemnification Agreement
o Applicant executes an agreement indemnifying the City from liability.
· Live Scan/Criminal History Check (The Live Scan/Background fee must be submitted along with the Phase 1 application fees)
o Each Business Owner as described in SBMC Section 5.10.050 (an) must undergo a Live Scan and criminal history check demonstrating compliance with the eligibility requirements of SBMC Section 5.10.310 (m) for background checks. The Live Scan process involves submitting fingerprints to the DOJ/FBI to review for criminal offender record info rmation (CORI). CORI reports will be provided to City for the sole purpose of determining eligibility for operating a CCB. Owners/Principals who do not meet criminal history eligibility requirements will be disqualified.
o Please note the Live Scan process may be delayed due to the pending of the approval of the DOJ/FBI authorization. Once the City has received authorization they will post the Live Scan submittal due date on the City website. Furthermore, the Live Scan must be conducted by the San Bernardino Police Department (SBPD). Applicants will be required to make an appointment in advance to ensure the proper SBPD staff is available. Due to limited staff resources, you are encouraged to schedule your appointment as early as possible once the due date has been posted on the City website. The City cannot guarantee that it will be able to accommodate applicants who do not submit for LiveScan and Background after the application period opens on April 23, 2018. Failure to pass the LiveScan or Background Check in a timely manner may result in the application being disqualified.
· Applications and Background Check Form(s) (Applications must be complete to be considered. Applications will be considered complete only if they include all information required above):
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o A complete application will consist of the following: 1. Complete, signed copy of the Commercial Cannabis Business Permit Application Form; 2. Proof of Live Scan fee payment for each of the Owners/Principals; 3. Zoning Verification Letter 4. All supplemental information to be evaluated in Phases 1, 2 and 3, as described in APPENDIX A.
o Applicants must submit two (2) original copies of the complete application, each in a three-ring binder; one (1) copy of the complete application in PDF format on an electronic device (i.e. flash drive or cd) with the associated Phase 1 fee. Payment must be made by credit card or certified check, cashier’s check, or money order made payable to “City of San Bernardino”. The City will not accept cash and application fees are non-refundable .
o Only the following information may be submitted after the initial application is received:
· Proof of property ownership or lease agreement.
· Should the Business Owner change locations after the application binder is submitted, a new ZVL is required and must be submitted with the application binder prior to Phase 3 of the selection process. Business Owners may only submit a different location if the initial proposed site was eligible.
o International background check info: ITIN or US issued Social Security Number and Driver’s License.
o Fill out background waiver form. Phase 2: Application Evaluation and Initial Ranking (1,500 Points) (Fee: $2,034)
· Applications will be evaluated and ranked by HdL Companies based on the below criteria.
· Please see APPENDIX A for a description of the eval uation criteria.
o Location (200 Points)
o Business Plan (400 Points)
o Neighborhood Compatibility Plan (300 Points)
o Safety Plan (300 Points)
o Security Plan (300 Points) Those applicants which successfully complete Phase 2 with a passing score of at least 80% will move on to Phase 3 of the application process. Phase 3: Interviews and Second Ranking (2,500 Points) (Fee: $1,708) Those applicants which meet the requirements to move on to Phase 3 will be interviewed and evaluated by the City’s Selection Committee. Prior to the scheduling of interviews:
· Each of the Applicants may be required to have their proposed site inspected by the assigned City designee, if there is an existing building structure, to ascertain current conditions of the facility.
· At the City’s sole discretion, one Owner/Principal from each application may be required to pass a Cannabis Expertise Examination that demonstrates a working knowledge of state and local compliance standards as well as the Attorney General’s Guidelines on Medicinal Cannabis.
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· Please see APPENDIX A for a description of the eval uation criteria.
o Applicant will be interviewed and evaluated based on the below criteria
· Qualifications of Principals (300 Points)
· Location (proof of ownership or a signed and notarized statement of intent from the Property Owner) (200 Points)
· Neighborhood Compatibility Plan (200 Points)
· Environmental Impact Mitigation (300 Points)
· Local Enterprise (400 Points)
· Business Plan (300 Points)
· Enhanced Product Safety (200 Points)
· Safety Plan (150 Points)
· Security Plan (150 Points)
· Community Benefits (300 Points) All applicants interviewed as part of Phase 3 shall be ranked based on the above criteria and all applications will move on to Phase 4. Phase 4: Public Meeting and City Council Final Selection (Fee: $1,237)
· Selection Committee Recommendation to City Council
o A notice of public meeting must be provided pursuant to 5.10.180 (c). Notices shall be sent to all property owners located within six hundred (600) feet of the proposed business locations of each of the applicants in Phase 4. The cost of providing this notification will be paid by the applicants as part of the Phase 4 fee.
o Following the objective ranking of the application materials and interview process, which together constitute Phase 3, the City Manager shall prepare a report bringing forward to the Mayor and City Council the Selection Committee’s recommendations for the final ranking of the applications.
· Mayor and City Council Final Selection
o Mayor and City Council will meet to review every application and the Selection Committee’s recommendations.
o The City Council will select up to 17 applicants for permits, depending on the number of permits provided for in each category or as those permit number may be changed by Resolution. Being awarded a CCB permit does not constitute a land use entitlement and does not waive or remove the requirements of applying for and receiving permits for any and all construction including electrical, plumbing, fire, planning permits or reviews, and any other permits, licenses, or reviews as may be necessary by the relevant departments or governmental entities in charge of said permits. Nor does it guarantee that the plans submitted via the CCB application process meet the standards or requirements of those permitting departments. All permit awardees will still be required to complete all the permitting processes for the proposed construction or occupation of the facility.
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APPENDIX A DESCRIPTION OF EVALUATION CRITERIA Qualifications of Owners/Principals: Describe any special business or professional qualifications or licenses of the Owners/Principals that would add to the number or quality of services, such as scientific or health care fields. Location: The application should include the following:
· Physical address and detailed description of the proposed/final location.
· Proof of ownership, or a notarized letter of the owner’s willingness to lease.
· Description of all known nearby sensitive use areas. Neighborhood Compatibility Plan: The application should include the following: Describe how the business, including its exterior areas and surrounding public areas, will be managed so as to avoid becoming a nuisance or having impacts on its neighbors and the surrounding community.
· Additional factors for consideration are religious institutions or libraries located within a six-hundred (600) foot radius of the proposed CCB. Environmental Impact Mitigation: Describe any proposed “green” business practices relating to energy and climate, water conservation, and materials and waste management. Local Enterprise: Describe to what extent the CCB will adhere to heightened pay and benefits standards and practices. Specific practices that are subject to consideration include the following:
· Providing compensation to and opportunities for continuing education and training of employees/staff;
· The application should state the extent to which the CCB will be a locally managed enterprise whose Owners/Principals reside within the City and/or within San Bernardino County. Business Plan: The Business Plan shall be as detailed as necessary to fully describe the operations, including:
· Description of day-to-day operations. SBMC Section 5.10.310.
· How the CCB will conform to local and state laws per SBMC Section 5.10.280 and SBMC Section 5.10.420 and the Attorney General’s Guidelines for the Security and Non-Diversion of Marijuana Grown for Medicinal Use.
· How cannabis inventory will be tracked and monitored to prevent diversion.
· A schedule for beginning operation, including a narrative outlining any proposed construction and improvements and a timeline for completion.
· A budget for construction, operation, maintenance, compensation of employees, equipment costs, utility costs, and other operation costs. The budget must demonstrate sufficient capital in place to pay startup costs and at least three months of operating costs, as well as a description of the sources and uses of funds.
· Proof of capitalization, in the form of documentation of cash or other liquid assets on hand, Letters of Credit or other equivalent assets.
· A pro forma for at least three years of operation. Enhanced Product Safety: Describe how the CCB will ensure enhanced consumer safety as required by State or local law.
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Safety Plan: The application should include the following: · A detailed safety plan. This plan should describe the fire prevention, suppression, HVAC and alarm systems the facility will have in place. It should include an assessment of the facility’s fire safety by a qualified fire prevention and suppression consultant. An appropriate plan will have considered all possible fire, hazardous material, and inhalation issues/threats and will have both written and physical mechanisms in place to deal with each specific situation. Security Plan: The application should include the following:
· A detailed security plan. This plan should include a description and detailed schematic of the overall facility security. It should have details on operational security, including but not limited to general security policies for the facility, employee specific policies, training, sample written policies, transactional security, vi sitor security, 3rd party contractor security, and delivery security. In particular, applications should address ingress and egress access, perimeter security, product security (at all hours), internal security measures for access (area specific), types of security systems (al arms and cameras), and security personnel to be employed. The security plan shall also include an assessment of site security by a qualified security consultant. Security plans will not be made public.
· A floor plan showing existing building conditions. If changes are proposed as part of the project, then a proposed floor plan should also be submitted. The floor plan(s) should be accurate, dimensioned and to-scale (minimum scale of 1/4”). The scale maybe smaller if it exceeds more than a 1/2 acre parcel but must be printed on not larger than an 11 X 17 sheet of paper. Community Benefits: Describe the benefits that the CCB would provide to the local community, such as employment for local residents of the City, community contributions, or economic incentives to the City. Specific items that are subject to consideration include the following:
· How does the type of license requested benefit the community and assure an appropriate mix of license types Citywide?
· Does the applicant provide an effective community outreach plan for nearby owners and operators?
· Does the applicant describe credible benefits to the overall community, local economy, and any community or non-profit contributions or affiliations?
· Does the applicant propose to include one or more of the following business types:
o Coffee Shop
o Art Studio
o Museum
1.a
Packet Pg. 29 Attachment: CED.Cannabis Update.Current Application Procedure Guidelines.Attachment 1 (6776 : Required Annual Commercial Cannabis
RESOLUTION NO. 2020-148
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING TWO CURRENT OPEN AND OPERATING
COMMERCIAL CANNABIS BUSINESSES TO ALTER
THEIR EXISTING PERMITS TO TRANSITION TO TWO
COMMERCIAL CANNABIS MICROBUSINESS PERMITS
WHEREAS, Chapter 5.10 (Commercial Cannabis Activities) of the San Bernardino
Municipal Code provides that the various categories of cannabis business types may be set by
Resolution; and
WHEREAS, the Mayor and City Council previously authorized five (5) cannabis
Microbusiness business license types; and
WHEREAS, the Mayor and City Council awarded sixteen (16) commercial cannabis
business (CCB) permits on February 21, 2019 and to date only two (2) of the sixteen (16) are
open and operating; and
WHEREAS, the Mayor and City Council desires to increase revenue from cannabis
operations, as the City had anticipated more cannabis businesses that had been awarded permits
would be operating and generating revenue; and
WHEREAS, the two (2) businesses that are open and operating have demonstrated that
they can professionally manage and operate their businesses and it may be beneficial to the City
to authorize these two (2) operators to alter their existing permits to transition to
Microbusinesses; and
WHEREAS, by allowing the two (2) businesses that are open and operating to alter their
existing permits to provide for Microbusiness, would not allow for the replacement of their
currently held license types; and
WHEREAS, the City Council desires for staff to take all additional actions necessary,
such as amending the cannabis Application Review Criteria and Procedure Guidelines to provide
for a permit fee and processing to accommodate a transition to a Microbusiness should the two
(2) current cannabis business operators desire to apply.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized to permit two (2) additional
cannabis Microbusiness categories and to prepare all necessary amendments to the cannabis
Application Review Criteria and Procedure Guidelines to be adopted by Resolution.
1.b
Packet Pg. 30 Attachment: CED. Cannabus Update.Resolution Increasing Cannabis Business Categories.Attachement 2 (6776 : Required Annual Commercial
Resolution No. 2020-148
SECTION 3. That the City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the gener al rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
1.b
Packet Pg. 31 Attachment: CED. Cannabus Update.Resolution Increasing Cannabis Business Categories.Attachement 2 (6776 : Required Annual Commercial
Resolution No. 2020-148
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
1.b
Packet Pg. 32 Attachment: CED. Cannabus Update.Resolution Increasing Cannabis Business Categories.Attachement 2 (6776 : Required Annual Commercial
Resolution No. ___
RESOLUTION NO.______
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AMENDING ESTABLISHED COMMERCIAL CANNABIS
PERMIT APPLICATION REVIEW CRITERIA,
PROCEDURES, AND FEES PURSUANT TO SAN
BERNARDINO MUNICIPAL CODE SECTIONS 5.10.090
5.10.180, AND 5.10.300.
WHEREAS, on March 7, 2018, the Mayor and City Council adopted Ordinance MC-
1503, thereby adopting Chapter 5.10 (Commercial Cannabis Activities) to the Municipal
Code; and
WHEREAS, on April 4, 2018, the Mayor and City Council adopted Resolution No.
2018-102 and Resolution 2018-103 establishing Application Review Criteria, Procedures,
and Fees for the implementation of Chapter 5.10 (Commercial Cannabis Activities) of the
Municipal Code;
WHEREAS, on February 21, 2018, the Mayor and City Council made a final
selection and awarded sixteen (16) Commercial Cannabis Business (CCB) Permits, pursuant
to section 5.10.180 (Commercial Cannabis Business Permittee Selection Process) of the
Municipal Code; and
WHEREAS, on June 4, 2020, the Mayor and City Council further reviewed the
Application Review Criteria, Procedures, and Fees and directed City staff to modify the
Application Review Criteria, Procedures, and Fees in order to streamline the application
evaluation, review, selection and determination procedure s; and
WHEREAS, pursuant to Section 5.10.090 (Initial Application Procedure) 5.10.180
(Commercial Cannabis Business Permittee Selection Process ), and 5.10.300 (Fees and
Charges) the Mayor and City Council may amend by Resolution the Application Review
Criteria, Procedures, and Fees;
WHEREAS, the Mayor and City Council desire to establish modified Application
Review Criteria and Procedures from a policy perspective, and fees reflective the modified
Application Review Criteria and Procedures based upon the best information available such
that the City fully recovers the cost of service.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The Mayor and City Council authorize the City Manager to amend the
necessary forms, application process and fees, solicit applications, conduct initial review of
FOR REVIEW ONLY 1.c
Packet Pg. 33 Attachment: CED.Cannabis Update.A.Revised Application Review Criteria Resolution.Attachment 3 (6776 : Required Annual Commercial
Resolution No. ___
applications for completeness, and to ultimately provide a complete, signed application to the
Mayor and City Council for final consideration, as set forth in the attached Exhibit A.
SECTION 3. The Commercial Cannabis Business Application Review Criteria to be
amended as follows:
A. Qualifications of Owners/Principals: Describe any special business or professional
qualifications or licenses of the Owners/Principals that would add to the number or
quality of services, such as scientific or health care fields.
B. Location: The application should include the following:
Physical address and detailed description of the proposed/final location.
Proof of ownership, or a notarized letter of the owner’s willingness to lease.
Description of all known nearby sensitive use areas.
C. Neighborhood Compatibility Plan: The application should include the following:
Describe how the business, including its exterior areas and surrounding public
areas, will be managed so as to avoid becoming a nuisance or having impacts on
its neighbors and the surrounding community.
Additional factors for consideration are religious institutions or libraries located
within a six-hundred (600) foot radius of the proposed CCB.
D. Environmental Impact Mitigation: Describe any proposed “green” business practices
relating to energy and climate, water conservation, and materials and waste management.
E. Local Enterprise: Describe to what extent the CCB will adhere to heightened pay and
benefits standards and practices. Specific practices that are subject to consideration
include the following:
Providing compensation to and opportunities for continuing education and
training of employees/staff;
The application should state the extent to which the CCB will be a locally
managed enterprise whose Owners/Principals reside within the City and/or within
San Bernardino County.
F. Business Plan: The Business Plan shall be as detailed as necessary to fully describe the
operations, including:
Description of day-to-day operations. SBMC Section 5.10.310.
How the CCB will conform to local and state laws per SBMC Section 5.10.280
and SBMC Section 5.10.420 and the Attorney General’s Guidelines for the
Security and Non-Diversion of Marijuana Grown for Medicinal Use.
FOR REVIEW ONLY 1.c
Packet Pg. 34 Attachment: CED.Cannabis Update.A.Revised Application Review Criteria Resolution.Attachment 3 (6776 : Required Annual Commercial
Resolution No. ___
How cannabis inventory will be tracked and monitored to prevent diversion.
A schedule for beginning operation, including a narrative outlining any proposed
construction and improvements and a timeline for completion.
A budget for construction, operation, maintenance, compensation of employees,
equipment costs, utility costs, and other operation costs. The budget must
demonstrate sufficient capital in place to pay startup costs and at least three
months of operating costs, as well as a description of the sources and uses of
funds.
Proof of capitalization, in the form of documentation of cash or other liquid assets
on hand, Letters of Credit or other equivalent assets.
A pro forma for at least three years of operation.
Business Purpose Statement
G. Enhanced Product Safety: Describe how the CCB will ensure enhanced consumer
safety as required by State or local law.
H. Safety Plan: The application should include the following:
A detailed safety plan. This plan should describe the fire prevention,
suppression, HVAC and alarm systems the facility will have in place. It
should include an assessment of the facility’s fire safety by a qualified fire
prevention and suppression consultant. An appropriate plan will have
considered all possible fire, hazardous material, and inhalation issues/threats
and will have both written and physical mechanisms in place to deal with each
specific situation.
I. Security Plan: The application should include the following:
A detailed security plan. This plan should include a description and detailed
schematic of the overall facility security. It should have details on operational
security, including but not limited to general security policies for the facility,
employee specific policies, tr aining, sample written policies, transactional
security, visitor security, 3rd party contractor security, and delivery security.
In particular, applications should address ingress and egress access, perimeter
security, product security (at all hours), internal security measures for access
(area specific), types of security systems (alarms and cameras), and security
personnel to be employed. The security plan shall also include an assessment
of site security by a qualified security consultant. Security plans will not be
made public. A floor plan showing existing building conditions. If changes are
proposed as part of the project, then a proposed floor plan should also be
submitted. The floor plan(s) should be accurate, dimensioned and to-scale
FOR REVIEW ONLY 1.c
Packet Pg. 35 Attachment: CED.Cannabis Update.A.Revised Application Review Criteria Resolution.Attachment 3 (6776 : Required Annual Commercial
Resolution No. ___
(minimum scale of 1/4”). The scale maybe smaller if it exceeds more than a 1/2
acre parcel but must be printed on not larger than an 11 X 17 sheet of paper.
J. Community Benefits: Describe the benefits that the CCB would provide to the local
community, such as employment for local residents of the City, community contributions, or
economic incentives to the City. Specific items that are subject to consideration include the
following:
How does the type of license requested benefit the community and assure an
appropriate mix of license types Citywide?
Does the applicant provide an effective community outreach plan for nearby
owners and operators?
Does the applicant describe credible benefits to the overall community, local
economy, and any community or non-profit contributions or affiliations?
Does the applicant propose to include one or more of the following business
types:
i. Coffee Shop
ii. Art Studio
iii. Museum
SECTION 3. The amended fees providing services related to the review, evaluation and
final disposition of the Commercial Cannabis Applications, as set forth in the attached Exhibit B.
SECTION 4. The establishment of Application Review Criteria, Procedures, and Fees
related to the provision of City services under the Commercial Cannabis Ordinance MC- 1503 is
exempt under the California Environmental Quality Act (CEQA) and the CEQA Guidelines Section
15061 (b)(3) , 15378, and 15273(a)(1) (Rates, Tolls, Fares and Charges. CEQA onl y applies to an
activity that there is no possibility for causing a significant effect on the environment. It can be seen
that there is no possibility that this activity will have a significant effect on the environment and it is
therefore exempt from CEQA.
SECTION 6. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 7. Effective Date.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
FOR REVIEW ONLY 1.c
Packet Pg. 36 Attachment: CED.Cannabis Update.A.Revised Application Review Criteria Resolution.Attachment 3 (6776 : Required Annual Commercial
Resolution No. ___
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
FOR REVIEW ONLY 1.c
Packet Pg. 37 Attachment: CED.Cannabis Update.A.Revised Application Review Criteria Resolution.Attachment 3 (6776 : Required Annual Commercial
Resolution No. ___
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
FOR REVIEW ONLY 1.c
Packet Pg. 38 Attachment: CED.Cannabis Update.A.Revised Application Review Criteria Resolution.Attachment 3 (6776 : Required Annual Commercial
Exhibit A
Draft Application Procedure Guidelines
Draft Application with Appendix A
1.d
Packet Pg. 39 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business Permit Application 1 06/2020
Community & Economic Development Department • Planning Division
Office: 201 North E Street, 3rd Floor
Mail: 290 North D Street
San Bernardino, CA 92401
P: (909) 384-5357 F: (909) 384-5155
www.sbcity.org
COMMERCIAL CANNABIS BUSINESS PERMIT APPLICATION
Applications may be filed Monday through Thursday between the hours of 7:30 a.m. and 5:00 p.m. and Friday between the hours of 7:30 a.m. and 4:00 p.m.
Project Address / Location:
Assessor’s Parcel Number [APN]:
Zoning District: General Plan Designation:
APPLICANT NAME:
Address: Phone:
City: State: Zip Code: Email:
PROPERTY OWNER NAME:
Address: Phone:
City: State: Zip Code: Email:
(Note: If the applicant or property owner is a trust, partnership, corporation, or LLC, on a separate sheet, provide a list of
all persons that make up the trust, partnership, corporation, or LLC)
APPLICATION TYPE:
New Business Amended Application Business Renewal
Change of Location Change of Ownership
COMMERCIAL CANNABIS BUSINESS PERMIT TYPE (Please select from one of the following categories):
Cultivation Distribution Manufacturer
Retailer Retailer – Non-Storefront Testing
Microbusiness (Please identify all business activities):
DESCRIPTION OF PROJECT:
FOR REVIEW ONLY
1.d
Packet Pg. 40 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business Permit Application 2 06/2020
PROJECT INFORMATION FORM
Property Information:
Square footage of subject property:
Square footage of building/tenant space:
Hours of operation (proposed):
Total number of employees (proposed):
Business Information:
Business Name:
Business Address:
Website Address (if applicable):
Business E-mail Address (if applicable):
Community Relations Contact:
Name: Phone:
Title: Email:
Environmental Information (Attach additional sheets as necessary):
Business’s Environmental Impact Mitigation Plan (Describe and proposed “green” business practices relating to
energy and climate, water conservation, and materials and waste management):
Will the project use, store, or dispose of potentially hazardous chemicals, materials, toxic substances, flammables or
explosives:
OFFICE USE ONLY
Date Filed: Previous Case: Case Number:
Receipt Number: Fees Paid: Submitted To:
FOR REVIEW ONLY
1.d
Packet Pg. 41 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business Permit Application 3 06/2020
PROJECT INFORMATION FORM (Continued)
Other Required Information (Attach additional sheets as necessary):
List any person(s) who will be engaging in the proposed commercial cannabis business that have been convicted of
a felony or have engaged in misconduct that is substantially related to the qualifications, functions or duties of a
commercial cannabis business activity. Please keep in mind that a conviction within this section means a plea or
verdict of guilty, or a conviction following a plea of no contest:
List whether, the applicant(s) has other licenses and/or permits issued to and/or revoked from the applicant, in the
three years prior to the year of the permit application, such other licenses and or permits relating to similar
business activities as in the permit application. If yes, please list the type, current status, issuing/denying for each
license/permit:
Provide the name and address of the closest school(s) to proposed business location:
Provide the name and address of the closest existing alcohol related establishment(s) to proposed business
location:
Description of neighborhood around the proposed location (surrounding uses, nearby sensitive uses (such as
schools, youth centers churches, parks, daycare centers, or libraries), transit access to site, etc.):
FOR REVIEW ONLY
1.d
Packet Pg. 42 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business Permit Application 4 06/2020
APPLICATION SUBMITTAL REQUIREMENTS
The following items shall be submitted with all applications (1 physical copy and 1 electronic copy):
Copy of the completed Verification of Proposed Cannabis Site (VPC) Form issued by the City
Completed Application Form
Filing Fee
Notice of Intent to Lease / Purchase Property
Site Plan (see below for requirements)
Floor Plan (see below for requirements)
Elevations (photographs may be provided)
Photographs of existing site
Area Map (see below for requirements)
Live Scan Payment
Business Owner(s) Background Information Forms
Supplemental Evaluation Criteria (see below for requirements and Appendix A)
Mailing list identifying all owners of property located within 600 feet of the proposed business location
Mailing labels identifying all owners of property located within 600 feet of the proposed business location
Community Relations submittal requirement: Mailing Labels identifying all businesses and owners of
property located within 100 feet of the proposed business location
(Note: Incomplete applications will not be accepted)
Supplemental Evaluation Criteria (See Appendix A):
(All information shall be provided as required in Application Procedure Guidelines for Commercial Cannabis
Businesses)
Business Plan
Location
Neighborhood Compatibility Plan
Safety Plan
Security Plan
Cultivation and operations plan that meets or exceeds minimum legal standards for water usage,
conservation and use; drainage, runoff, and erosion control; watershed and habitat protection; and proper
storage of fertilizers, pesticides, and other regulated products to be used on the parcel, and a description of
the cultivation activities (indoor, mixed-light) and schedule of activities during each month of growing and
harvesting, or explanation of growth cycles and anticipated harvesting schedules for all-season harvesting
(indoor, mixed-light)
Description of a legal water source, irrigation plan, and projected water use
Identification of the source of electrical power and plan for compliance with applicable Building Codes and
other related codes
Plan for addressing odor and other public nuisances that may derive from the cultivation site
FOR REVIEW ONLY 1.d
Packet Pg. 43 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business Permit Application 5 06/2020
APPLICATION SUBMITTAL REQUIREMENTS (Continued)
Site Plan [1/4” = 1’ minimum] (shall contain a minimum of the following information):
North arrow, drawing scale, date of preparation and name of plan preparer
Dimensions of subject property – including square footage
Dimensions and names of all adjacent streets and public rights-of way
Location and dimensions of all buildings and structures – including square-footage
Location and dimensions of landscaped areas
Location of all parking areas and driveways and means of ingress and egress
Location and dimensions of all handicap parking spaces, ramps, curb ramps and signs
Location and dimensions of handicap-accessible Path of Travel to building entrance, sidewalks and interior
walks
Uses for all buildings and structures indicated on the site plan
Floor Plan [1/4” = 1’ minimum] (shall contain a minimum of the following information):
North arrow, drawing scale, date of preparation and name of plan preparer
Location and dimensions for means of ingress and egress
Square footage of all interior spaces
Proposed uses of all interior spaces
Area Map (shall contain a minimum of the following information):
Location of subject property
Location of all highways, streets and alleys within a distance of 600 feet from the exterior boundaries of the
subject property
Location of all lots and parcels of land within a distance of 600 feet from the exterior boundaries of the
subject property
The Area Map shall identify the existing uses of all lots and parcels of land within a distance of 600 feet from
the exterior boundaries of the subject property on the map
All sets of plans must be collated and no larger than 11” x 17”
FOR REVIEW ONLY
1.d
Packet Pg. 44 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business Permit Application 6 06/2020
AUTHORIZATION FORM
APPLICANT CERTIFICATION
I hereby certify, under penalty of perjury, on behalf of myself and all persons identified in this application that the
statements and information furnished in this application and in the attached exhibits present the data and
information required for this initial evaluation to the best of my ability, and that the facts, statements, and
information presented are true and correct to the best of my knowledge and belief. I understand that a
misrepresentation of fact is cause for rejection of this application, denial of the permit, or revocation of a permit
issued.
In addition, I understand that the filing of this application grants the City of San Bernardino permission to reproduce
submitted materials, including but not limited to, plans, exhibits, and photographs, for distribution to staff,
Commission, Board, and City Council Members, and other Agencies in order to process the application. Nothing in
this consent, however, shall entitle any person to make use of the intellectual property in plans, exhibits and
photographs for any purpose unrelated to the City's consideration of this application.
Furthermore, by submitting this application I understand that agree that any business resulting from an approval
shall be maintained and operated in accordance with requirements of the City of San Bernardino Municipal Code
and state law.
Name Signature
Title Date
FOR REVIEW ONLY
1.d
Packet Pg. 45 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business Permit Application 7 06/2020
AUTHORIZATION FORM (Continued)
PROPERTY OWNER CONSENT
If applicant is other than the property owner(s), the owner(s) must provide a signed and notarized statement
consenting to filing pursuant to Section 5.10.240 of the City of San Bernardino Municipal Code. Additional sheets
may be attached if necessary. Original signatures only.
I/We, as the owner(s) of the subject property, consent to the filing of this application and use of the property for the
purposes described herein. We further consent and hereby authorize City representative(s) to enter upon my
property for the purpose of examining and inspecting the property in preparation of any reports and/or required
environmental review for the processing of the application(s) being filed.
Name Signature
Title Date
A notary public or other officer completing this certificate verifies only the identity of the induvial who signed the
document, to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
Subscribed and Sworn to Before Me This ______ Day of ____________, 20____, proved to me on the basis of satisfactory
evidence to be the person(s) who appeared before me.
Notary Public
1.d
Packet Pg. 46 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business – Guidelines Revised 01/31/19
- 1 –
APPENDIX A
DESCRIPTION OF EVALUATION CRITERIA
Location: The application should include the following:
Physical address and detailed description of the proposed/final location.
Proof of ownership, or a notarized letter of the owner’s willingness to lease.
Description of all known nearby sensitive use areas.
Neighborhood Compatibility Plan: The application should include the following:
Describe how the business, including its exterior areas and surrounding public areas, will be managed so as to
avoid becoming a nuisance or having impacts on its neighbors and the surrounding community.
Additional factors for consideration are religious institutions or libraries located within a six-hundred (600) foot
radius of the proposed CCB.
Business Plan: The Business Plan shall be as detailed as necessary to fully describe the operations, including:
Description of day-to-day operations. SBMC Section 5.10.310.
How the CCB will conform to local and state laws per SBMC Section 5.10.280 and SBMC Section 5.10.420 and the
Attorney General’s Guidelines for the Security and Non-Diversion of Marijuana Grown for Medicinal Use.
How cannabis inventory will be tracked and monitored to prevent diversion.
A schedule for beginning operation, including a narrative outlining any proposed construction and improvements
and a timeline for completion.
A budget for construction, operation, maintenance, compensation of employees, equipment costs, utility costs,
and other operation costs. The budget must demonstrate sufficient capital in place to pay startup costs and at
least three months of operating costs, as well as a description of the sources and uses of funds.
Proof of capitalization, in the form of documentation of cash or other liquid assets on hand, Letters of Credit or
other equivalent assets.
A pro forma for at least three years of operation.
Business Purpose Statement
Safety Plan: The application should include the following:
A detailed safety plan. This plan should describe the fire prevention, suppression, HVAC and alarm systems
the facility will have in place. It should include an assessment of the facility’s fire safety by a qualified fire
prevention and suppression consultant. An appropriate plan will have considered all possible fire,
hazardous material, and inhalation issues/threats and will have both written and physical mechanisms in place to
deal with each specific situation.
FOR REVIEW ONLY 1.d
Packet Pg. 47 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business – Guidelines Revised 01/31/19
- 2 –
Security Plan: The application should include the following:
A detailed security plan. This plan should include a description and detailed schematic of the overall facility
security. It should have details on operational security, including but not limited to general security policies for
the facility, employee specific policies, training, sample written policies, transactional security, visitor security,
3rd party contractor security, and delivery security. In particular, applications should address ingress and
egress access, perimeter security, product security (at all hours), internal security measures for access (area
specific), types of security systems (alarms and cameras), and security personnel to be employed. The security
plan shall also include an assessment of site security by a qualified security consultant. Security plans will not
be made public.
A floor plan showing existing building conditions. If changes are proposed as part of the project, then a proposed
floor plan should also be submitted. The floor plan(s) should be accurate, dimensioned and to-scale (minimum
scale of 1/4”). The scale maybe smaller if it exceeds more than a 1/2 acre parcel but must be printed on not
larger than an 11 X 17 sheet of paper.
FOR REVIEW ONLY
1.d
Packet Pg. 48 Attachment: CED.Cannabis Update.Attachment 4 (6776 : Required Annual Commercial Cannabis Business Permit Update)
Commercial Cannabis Business – Guidelines Revised 06/2020
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Community Development Department - Planning Division
Office: 201 North E Street, 3rd Floor
Mail: 290 North D Street
San Bernardino, CA 92401
P: (909) 384-7272 F: (909) 384-5155
www.sbcity.org
APPLICATION PROCEDURE
COMMERCIAL CANNABIS BUSINESS (CCB)
CITY’S RESERVATION OF RIGHTS
The City reserves the right to reject any and/or all applications, with or without cause or reason. The City may also
modify, postpone, or cancel the request for permit applications without liability, obligation, or commitment to any
party, firm, or organization. In addition, the City reserves the right to request and obtain additional information from
any candidate submitting an application. Late or incomplete applications MAY BE REJECTED. Furthermore, an
application RISKS BEING REJECTED for the following reasons:
1. It is considered not fully responsive to this request for a permit application.
2. It contains excess or extraneous material not called for in the request for CCB permit application.
3. Being awarded a CCB permit does not constitute a land use entitlement and does not waive or remove the
requirements of applying for and receiving permits for any and all construction including electrical, plumbing,
fire, planning permits or reviews, and any other permits, licenses, or reviews as may be necessary by the
relevant departments or governmental entities in charge of said permits. Nor does it guarantee that the plans
submitted via the CCB application process meet the standards or requirements of those permitting departments. All
permit awardees will still be required to complete all the permitting processes for the proposed construction or
occupation of the facility.
Prior to submitting a CCB application:
Verification of Proposed Commercial Cannabis Site (VPC), or MCC Prefer: Cannabis Zoning Verification Letter (ZVL)
o The Business Owner must obtain an approved Verification of Proposed Commercial Cannabis Site (VPC)
from the Community & Economic Development Department, located at 201 North E Street, prior to
submitting a CCB application, to ensure that the proposed CCB location meets the City’s locational
requirements pursuant to Section 5.10.025 of the Municipal Code. The City’s review process for the VPC
takes approximately ten (10) working days and will not be completed over the counter since it may
require additional research and review.
Application Submittal and Evaluation (Fee: $5,915 + $600 Background Check per Business Owner + $132
LiveScan per Business Owner) ($2,647 + $2,034 + $1,237 = Application Fee including evaluation and Mayor and City
Council (MCC) selection and determination.)
An Application shall be required for a new business, business renewal, and new location (i.e. relocation to
a new property/site/address)
o The Application has an outline of all the submittal requirements, review the application to include
Appendix A and submit a complete, signed application.
o Application will be evaluate based on completeness of Application and the identified items in
Appendix A.
o Those applicants that submit a complete, signed application and meet all the submittal
requirements as identified in the Application and Appendix A, will move to the Mayor and City
Council for Consideration.
MCC Selection and Consideration
o Mayor and City Council will consider every application and determine which applicants will be awarded
CCB permit.
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o Prior to MCC meeting or immediately after MCC determination (if awarded), the applicant shall submit
the following (What does MCC Prefer?):
Proof of property ownership or lease agreement.
o Pursuant to Section 5.10.080 of the Municipal Code and as established by Resolution, MCC may select
applicants for permits, depending on the number of permits provided for in each category.
o If awarded a CCB Permit by MCC, the applicant shall complete and submit the Indemnification
Agreement as provided.
Deadline to Complete
Commercial Cannabis Businesses awarded February 21, 2019
Any Commercial Cannabis Business that has been granted approval pursuant to (Section 5.10.180), but is not in operation prior to
the effective date of adopted Resolution 20-XXX, shall be granted a period not to exceed three months from the effective date of
the Resolution to secure a final business location and submit plans to the City for improvements. These Improvements may
include electrical, plumbing, fire, planning permits or reviews, and any other permits or licenses, or reviews as may be necessary
by the relevant departments or government entities in charge of said permits.
New Commercial Cannabis Business Applicants
For all business granted approval after the effective date of Resolution 20-XXX, a final business location shall be secured and
submittal of improvement plans shall occur within a period not to exceed twelve months from the date of approval. These
Improvements may include electrical, plumbing, fire, planning permits or reviews, and any other permits or licenses, or reviews as
may be necessary by the relevant departments or government entities in charge of said permits.
Amendments to Applications (Fees: 4,681) ($2,647 + $2,034 = Amendment Fee)
Amendments to applications must be submitted using the application submittal process and will be reviewed administratively
by city staff. Amendments to applications may include but are not limited to a Modification, Change or Addition to a License
Type or Expansion of Existing Business Footprint & Operations.
FOR REVIEW ONLY
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Exhibit B
Application Fees
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EXHIBIT B
COMMERCIAL CANNABIS APPLICATION REVIEW AND APPEAL FEES
PURSUANT TO SBMC CHAPTER 5.10
Service Provided: Required Fee:
1. Zoning Verification Letter $183.00
2. Live Scan $132.00/Owner (SBMC 5.10.050)
3. Background Review $600.00/Owner (SBMC 5.10.050)
4. Commercial Cannabis Application
a. Application Submittal Fee $2,647.00
b. Application Review Fee $2,034.00
c. Mayor and City Council Consideration $1,237.00
5. Appeal Fee $3,217.00
All fees are non-refundable and are due and payable at the time the application or similar request is
submitted to the City
FOR REVIEW ONLY
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Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Kris Jensen, Director of Public Works
Subject: Resolution Awarding a Construction Agreement for Palm
Median Landscape Improvements
Recommendation
Adopt Resolution No. 2020-116 of the Mayor and City Council of the City of San
Bernardino, California:
1. Authorizing expenditures in a total amount of $735,000 for the construction of the
Palm Avenue Median Landscape Project (“Project”) to include a Construction
Agreement in the amount of $668,000 and contingencies in the amount of
$67,000; and
2. Approving the award of a Construction Agreement with KASA Construction, Inc.
of Chino, California, in the amount of $668,000 to perform the median
improvements; and
3. Amending the FY 2019/20 CIP SS20-011 - Citywide Medians Rehabilitation
Project to include Palm Avenue Median as project location; and
4. Authorizing the City Manager or designee to expend the contingency fund, if
necessary, to complete the project.
Background
The San Bernardino Municipal Water Department (SBMWD), East Valley Water District
(EVWD), and the San Bernardino Valley Municipal Water District (SBVMWD) entered
into a Settlement Agreement to resolve all disputes related to East Valley Water District
Sterling Natural Resources Center and the SBMWD Clean Water Factory. Through
settlement negotiations, the parties recognized that both recycled water project s benefit
the region and are critical for water supply sustainability in the Bunker Hill Groundwater
Basin.
Pursuant to the Settlement Agreement, SBMWD, SBVMWD and EVWD each agreed to
contribute $500,000, for a total of $1,500,000 , for the installation of water efficient
landscape improvements in areas of the City, at locations determined by the City of San
Bernardino and SBMWD. A conservation plan was developed to identify areas within
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the City were in need of water efficient landscape and that would provide the most
benefit from conservation and aesthetic perspectives.
On June 19, 2019, the Mayor and City Council approved Resolution No. 2019 -168
adopting the City’s Annual Operating Budget for Fiscal Year 2019/20. The budget
included Capital Improvement Program (CIP) project titled Citywide Median
Rehabilitation to install landscape median improvements in the City. Project locations
identified for use of the funding included the Feldheym Library, Broadmoor Boulevard
medians, Muscupiabe Drive medians and Mountain View Avenue medians. As of the
date of this report, projects have been completed at both the Feldheym Library and
Broadmoor medians.
Discussion
Following the completion of the Feldheym Library and Broadmoor medians, settlement
funding in the amount of approximately $996,362 remained available for improvements
at the remaining project locations. It was not anticipated that both Muscupiabe and
Mountain View Avenue medians would be able to be improved within the remaining
funding capacity. In project planning discussions between Public Works and SVMWD
staff, the median on Palm Drive between 40th and Parkdale was suggested to be added
as a possible location for installation of drought tolerant landscape. The Palm Drive
location offered an opportunity to install hardscape and drought tolerant planting
improvements in the median while retaining the well-established trees in the project
area.
On November 19, 2019, the City conducted a town hall meeting to collect community
input on the landscape design concepts for both Muscupiabe and Palm Drive medians.
In reference to the Muscupiabe median plans, residents in attendance expressed
concerns about the lack of large grass areas in the plans, as well as , made requests for
additional items to be added to the project including installation of a monument sign . In
contrast, when the Palm Median project design was presented, it was well received by
the residents, and no concerns were expressed or additional changes requested to the
Palm Drive median proposed plans.
Following the town hall meeting, staff requested engineering estimates for the
Muscupiabe and Palm Drive median projects. The estimates received indicated that the
Muscupiabe median project, revised to include community requests, would likely exceed
the remaining project funding. The estimates also indicated that construction of the
Palm Drive median would likely fall within the available funding amounts.
Based on the engineering estimate information, staff proceeded to administer a
competitive bid process. The project was advertised as Palm Drive Median as a base
bid with Muscupiabe Drive median as an alternate bid item.
Project 13389, to provide landscape medians along Palm Drive and Muscupiabe Drive ,
was advertised for public bidding on April 8, 2020, and April 15, 2020 in the San
Bernardino County Sun Newspaper, F. W. Dodge, Construction Bid Board, High Desert
Plan Room, San Diego Daily Transcript, Sub -Hub Online Plan Room, Reed
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Construction Data, Bid America Online, Construction Bid Source, Bid Ocean, the City’s
websites, and the San Bernardino Area Chamber of Commerce.
Sealed bids were received and opened on May 7, 2020. The City received six (6) bids
as follows:
Bidder City Base Bid -
Palm Drive
Alternate
Bid-
Muscupiabe
Total Bid
KASA Construction, Inc. Chino $ 668,000 $834,000 $1,502,000
Marina Landscape, Inc. Orange $ 771,200 $741,200 $1,512,400
Conserve Landcare Thousand
Palms
$ 853,700 $764,700 $1,618,400
Brightview Landscape
Development, Inc.
San Diego $ 896,828 $922,306 $1,819,134
Environmental
Construction, Inc.
Woodland
Hills
$ 924,099 $838,365 $1,762,464
ARAMEXX Group, Inc. Riverside $1,014,200 $659,200 $1,673,400
Determination of the lowest responsible bidder was based on the total base bid (Palm
Drive median) only. The alternate bid item was not considered in determining the lowest
responsible bidder. Staff has reviewed all bid packages and confirmed that KASA
Construction, Inc. of Chino, California, is the lowest responsible and responsive bidder,
with a base bid amount of $668,000. The alternate bid item is not being recommended
at this time due to lack of project funding.
In addition to construction costs, staff anticipates the need for a construction
contingency to provide for any unforeseen work that is related to the project. At this
time, the estimated full project cost is at $735,000, which includes the lowest responsive
construction bid and project contingencies. The breakdown of the total project costs are
as follows:
Cost Items Amount
Bid $ 668,000
Construction Contingency $ 67,000
Estimated Total Project Cost $ 735,000
If awarded by the Mayor and City Council, construction work to provide landscape
medians is anticipated to begin in July 2020 and is anticipated to be completed by
October 2020.
2020-2025 Key Strategic Targets and Goals
This project is consistent with Key Target No. 1e: Create an asset management plan
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and as improving the medians to include hardscape and water tolerant plans will
improve this City median and reduce mainten ance and utility costs required to manage
the asset.
Fiscal Impact
There is no General Fund impact. Funding for this project is held and administered by
the SBMWD. $996,362 is available for implementation of this project. Progress
Payments will be reviewed by Public Works Engineering Division and forwarded to
SBWMD for payment processing.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-116:
1. Authorizing expenditures in a total amount of $735,000 for the construction of the
Palm Avenue Median Landscape Project (“Project”) to include a Construction
Agreement in the amount of $668,000 and contingencies in the amount of
$67,000; and
2. Approving the award of a Construction Agreement with KASA Construction, Inc.
of Chino, California, in the amount of $668,000 to perform the median
improvements; and
3. Amending the FY 2019/20 CIP SS20-011 - Citywide Medians Rehabilitation
Project to include Palm Avenue Median as project location; and
4. Authorizing the City Manager or designee to expend the contingency fund, if
necessary, to complete the project.
Attachments
Attachment 1 Resolution No. 2020-116; Exhibit “A” - Agreement
Attachment 2 Bid Tabulation for Citywide Median Rehabilitation
Attachment 3 Low Bid Form for Citywide Median Rehabilitation
Attachment 4 Location Map
Wards: 4, 7
Synopsis of Previous Council Actions:
June 19, 2019 Resolution No. 2019-168 was adopted approving Capital
Improvement Program FY 2019/2020
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RESOLUTION NO. 2020-116
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING EXPENDITURES IN A TOTAL AMOUNT
OF $735,000 FOR THE CONSTRUCTION OF THE PALM
AVENUE MEDIAN LANDSCAPE PROJECT (“PROJECT”)
TO INCLUDE A CONSTRUCTION AGREEMENT IN THE
AMOUNT OF $668,000 AND CONTINGENCIES IN THE
AMOUNT OF $67,000; APPROVING THE AWARD OF A
CONSTRUCTION AGREEMENT WITH KASA
CONSTRUCTION, INC. OF CHINO, CALIFORNIA IN THE
AMOUNT OF $668,000 TO PERFORM THE MEDIAN
IMPROVEMENTS; AMENDING THE 2019/2020 CIP
CITYWIDE MEDIANS REHABILITATION PROJECT TO
INCLUDE PALM AVENUE MEDIAN AS A PROJECT
LOCATION AND AUTHORIZING THE CITY MANAGER
OR DESIGNEE TO EXPEND THE CONTINGENCY FUND,
IF NECESSARY, TO COMPLETE THE PROJECT
WHEREAS, the City of San Bernardino owns, operates, and is responsible for the
maintenance of landscaped medians, including along Palm Drive, throughout the City; and
WHEREAS, the provision of irrigation to turf at the median along Palm Drive between
Parkdale Drive and 40th Street was previously eliminated to meet conservation requirements of
the State of California Water Conservation Order; and
WHEREAS, the Mayor and City Council approved Resolution No. 2019-168 adopting
the City’s Annual Operating Budget for Fiscal Year 2019/20, which included Capital
Improvement Plan (CIP) SS 20-001 project for the Citywide Median Rehabilitation (“Project”);
and
WHEREAS, funding for drought tolerant landscaping is available as the result of a
Settlement Agreement between the San Bernardino Municipal Water District (SBMWD), San
Bernardino Valley Water District (SBVWD) and East Valley Water District (EVWD) for
drought tolerant landscape improvements; and
WHEREAS, the Palm Drive median was not previously identified as a location for
landscape rehabilitation in the Project description, however it is an eligible alternative to the
locations previously identified for use of settlement funds; and
WHEREAS, the City has administered a competitive bid process to secure a construction
contract to perform landscape improvements at the Palm Drive Median location; and
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Resolution No. 2020-116
WHEREAS, the City received six (6) bids on May 07, 2020, and KASA Construction,
Inc., of Chino, California, has been determined to be the lowest responsive, responsible base bid
bidder; and
WHEREAS, the City now wishes to enter into a construction agreement with KASA
Construction, Inc., to install drought tolerant landscape at the Palm Drive median location.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is authorized and directed to execute a Construction
Agreement following the City’s standard terms approved by the City Attorney with KASA
Construction, Inc., attached herein and incorporated as Exhibit A, in the amount of $668,000
with a contingency in the amount of $67,000 for the Palm Drive Median Landscape
Improvement.
SECTION 3. The Director of Finance is hereby authorized to amend the FY2019/20 CIP
to add Palm Avenue Median Improvements as an identified project location under the Citywide
Medians Rehabilitation Project.
SECTION 4. The City Manager or designee is hereby authorized to execute all
documents in support of Palm Drive Median Landscape Improvement Project 13389 on behalf of
the City.
SECTION 5. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 6. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 7. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________, 2020.
John Valdivia, Mayor
City of San Bernardino
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Resolution No. 2020-116
Attest:
__________________________________
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
__________________________________
Sonia Carvalho, City Attorney
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Resolution No. 2020-116
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true copy of
Resolution No. _____, adopted at a regular meeting held at the ___ day of _______, 2020 by the
following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
______________________________
Genoveva Rocha, CMC, Acting City Clerk
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A G R E EM E N T
CITY OF SAN BERNARDINO
THIS AGREEMENT is made and concluded this _____ day of _______________, 20___, between
the City of San Bernardino (owner and hereinafter "CITY"), and KASA Construction, Inc. (hereinafter
"CONTRACTOR").
1. For and in consideration of the payments and agreements hereinafter mentioned, to be
made and performed by the CITY, and under the conditions expressed in the bond as deposited with the
CITY, receipt of which is hereby acknowledged, the CONTRACTOR agrees with the CITY, at the
CONTRACTOR's own proper cost and expense in the Special Provisions to be furnished by the CITY, to
furnish all materials, tools and equipment and perform all the work necessary to complete in good
workmanlike and substantial manner the
PALM AND MUSCUPIABE DRIVE MEDIANS LANDSCAPE IMPROVEMENT
Project No. 13389
in strict conformity with Plans and Special Provisions No. 13389 , and also in accordance with Standard
Specifications for Public Works/Construction, latest edition in effect on the first day of the advertised
“Notice Inviting Sealed Bids” for this project, on file in the Office of the City Engineer, Public Works
Department, City of San Bernardino, which said Plans and Special Provisions and Standard Specifications
are hereby especially referred to and by such reference made a part hereof.
1. The CONTRACTOR agrees to receive and accept the prices as set forth in the Bid Schedule as
full compensation for furnishing all materials and doing all the work contemplated and embraced in this
agreement; also for all loss or damage arising out of the nature of the work aforesaid or from any
unforeseen difficulties or obstructions which may arise or be encountered in the prosecution of the work
and for all risks of every description connected with the work; also for all expenses incurred by or in
consequence of the suspension or discontinuance of work, and for well and faithfully completing the
work and the whole thereof, in the manner and according to the Plans and Special Provisions, and
requirements of the Engineer under them.
2. The CONTRACTOR herein covenants by and for himself or herself, his or her heirs, executors,
administrators, and assigns, and all persons claiming under or through them, that there shall be no
discrimination against or segregation of, any person or group of persons on the basis of race,
color, national origin, religion, sex, marital status, or ancestry in the performance of this contract, nor
shall the CONTRACTOR or any person claiming under or through him or her, establish or permit any
such practice or practices of discrimination or segregation with reference to the selection of
subcontractors, vendees, or employees in the performance of this
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AGREEMENT: PALM AND MUSCUPIABE DRIVE MEDIANS LANDSCAPE
IMPROVEMENT- Project No. 13389
contract. Failure by the CONTRACTOR to carry out these requirements is a material breach of This
contract, which may result in the termination of this contract or such other remedy, as recipient deems
appropriate.
4. CITY hereby promises and agrees with the said CONTRACTOR to employ, and does hereby
employ the said CONTRACTOR to provide the materials and to do the work according to the terms and
conditions herein contained and referred to, for the prices aforesaid, and hereby contracts to pay the same at
the time, in the manner, and upon the conditions above set forth; and the same parties for themselves, their
heirs, executors, administrators, and assigns, do hereby agree to the full performance of the covenants
herein contained.
5. It is further expressly agreed by and between the parties hereto that should there be any conflict
between the terms of this instrument and the bid of said CONTRACTOR, then this instrument shall control
and nothing herein shall be considered as an acceptance of said terms of said bid conflicting herewith.
IN WITNESS WHEREOF, the parties of these presents have executed this contract in four (4)
counterparts, each of which shall be deemed an original in the year and day first above mentioned.
CONTRACTOR CITY OF SAN BERNARDINO
NAME OF FIRM:
KASA Construction, Inc BY: _______________
Teri Ledoux,
City Manager
BY: _______________________________
TITLE: ATTEST:
MAILING ADDRESS:
15148 Sierra Bonita Lane _______________________________
Genoveva Rocha, CMC,
Acting City Clerk
Chino, California, 91710____________
PHONE NO.: (909) 457-8260_________ APPROVED AS TO FORM:
ATTEST: _______________________________
Sonia Carvalho, City Attorney
____________________________________
Secretary
NOTE: Secretary of the Owner should attest. If Contractor is a corporation, Secretary should attest.
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Page 1
Staff Report
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
Subject: Setting the 2020 Regulatory Fee Rate for the Sale of Fireworks
Recommendation
Adopt Resolution No. 2020-130 of the Mayor and City Council of the City of San
Bernardino, California, setting the 2020 Regulatory Fee for the sale of "safe and sane"
fireworks in the City of San Bernardino.
Background
The City of San Bernardino is one (1) of nine (9) municipalities in the County of San
Bernardino that allow for the sale, possession, and discharge of fireworks designated as
“safe and sane.” Under the current provisions of the Municipal Code “safe and sane”
fireworks are permitted in all areas south of the 210 Freeway in the City of San
Bernardino (Exhibit A) during the prescribed time frames of July 1 st through July 4th.
On September 11, 2019, the Legislative Review Committee (LRC) convened to
consider the regulation, sale, possession, and discharge of fireworks in the City.
Following public comment and discussion, a majority of the members of the LRC voted
to direct staff to place an item on the agenda for a future meeting of the Mayor and City
Council to consider amending the Municipal Code to:
Adopt an enhanced penalty structure for fireworks; and
Establish a fund consisting of fines collected from fireworks violations to be used
to pay a reward in the amount of $250 to any individual providing information
leading to the identification and successful criminal or civil prosecution of any
person violating the City of San Bernardino Municipal Code related to the
unlawful possession, sale, or discharge of fireworks.
The recommendations of the LRC were presented to the Mayor and City Council on
November 4, 2019. Following review and discussion , the Mayor and City Council gave
direction to move forward the LRC’s recommendations with no changes to the sale and
use of “safe and sane” fireworks. Ordinance No. MC -1535, amending Chapters 8.60
and 8.61 and Chapter 9.93 of the San Bernardino Municipal Code, pertaining to the use
of fireworks within city limits was presented for first reading on April 15, 2020, and
adopted on May 6, 2020. The ordinance became effective 30 days thereafter.
The City currently allows up to 35 licenses to nonprofit agencies for the sale of “safe
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and sane” fireworks each year. In 2019, thirty (30) temporary use permits were issued
for fireworks stands. A regulatory fee for the sale of “safe and san e” fireworks is
established annually by the Mayor and City Council based on the gross sales of all
fireworks sold in the City. The purpose of the regulatory fee is to raise funds to cover the
reasonable regulatory costs of issuing the permits and enforcing the provisions of the
Municipal Code, including extra personnel time for inspection and enforcement duties.
Discussion
The proposed amount of the regulatory fee is based on the licensee’s fireworks sales
financial statements from the prior year. Each licensee is required to submit fireworks
sales financial statements to the City Clerk’s Office no later than August 31 of every
year. One half of the regulatory fee is to be paid by the licensee and the remaining half
is to be paid by the fireworks supplier. In accordance with Section 8.60.095(B) of the
Municipal Code, the regulatory fee rate shall not exceed more than ten (10) percent of
the total gross sales of fireworks sold in the City during the prescribed timeframes (July
1st through July 4th).
Each year, prior to imposing a fee, staff prepares a study (Exhibit B) of the anticipated
costs associated with the reasonable regulatory costs of issuing the permits and
enforcing the provisions of the Municipal Code, including extra personnel time for
inspection and enforcement duties. Exhibit B provides an assessment, itemized by
department, of the costs associated with fireworks sales; including the staff time
incurred by the Police Department, Finance Department for Business Registration and
other related costs. This regulatory fee rate must be adopted by the Mayor and City
Council no later than 7:00 p.m. on July 1, as provided for in Section 8.60.095(B) of the
Municipal Code.
2020-2025 Key Strategic Targets and Goals
Revenue received from the 2020 Regulatory Fee Rate of 10% for the sale of fireworks
aligns with Key Target No. 1: Financial Stability, by implementing, maintaining, and
updating a fiscal accountability plan.
Fiscal Impact
The total estimated cost associated with the regulation and enforceme nt of the sale of
"safe and sane" fireworks in the City this year is $68 ,916.83. The regulatory fee based
upon 10% of the gross sales of all fireworks sold in the City in 2019 in accordance with
Section 8.60.095(B) of the Municipal Code is $68,700.83.
Conclusion
It is recommended that Resolution No. 2020-130 of the Mayor and City Council of the
City of San Bernardino, California, setting the 2020 Regulatory Fee for the sale of "safe
and sane" fireworks in the City of San Bernardino be adopted.
Attachments
Attachment 1 Resolution; Exhibit “A” - Location Map; Exhibit “B” - Estimate of
Expenditures for 2020
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Ward: All
Synopsis of Previous Council Actions:
June 5, 2019 Mayor and City Council adopted Resolution No. 2019 -86 setting the
regulatory fee at 10%.
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RESOLUTION NO. 2020-130
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
SETTING THE 2020 REGULATORY FEE FOR THE SALE
OF SAFE AND SANE FIREWORKS IN THE CITY OF SAN
BERNARDINO
WHEREAS, on June 15, 2009, the Mayor and Common Council adopted an urgency
ordinance amending Section 8.60.095 of the San Bernardino Municipal Code, requiring half of
the fireworks regulatory fee to be paid by the licensee (the non-profit) and half to be paid by the
fireworks company that supplies the product; and
WHEREAS, On July 1, 2013, the Mayor and City Council adopted an urgency
ordinance amending Section 8.60.095 of the San Bernardino Municipal Code, requiring the
regulatory fee be set no later than 7:00 p.m. on July 1 of each year; and
WHEREAS, prior to imposing the fee, the City is required to prepare a study of the
anticipated costs associated with fireworks education, awareness, and enforcement.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. That the Mayor and City Council of the City of San Bernardino,
California, have determined that the total anticipated costs for the City to cover the reasonable
regulatory costs of issuing the permits and enforcing the provisions of the Municipal Code,
including extra personnel time for inspection and enforcement duties, for the 2020 season has
been calculated at $68,916.27.
SECTION 2. Section 8.60.095 (B) of the City’s Municipal Code provides that the
regulatory fee rate not exceed more than 10% of the gross sales of fireworks sold in the City
during the prior year.
SECTION 3. In the 2019 fireworks season, 10% of the total gross sales of fireworks as
reported by the licensees amounted to $68,700.83.
SECTION 4. The Mayor and City Council hereby set a regulatory fee rate of 10%.
SECTION 5. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
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Packet Pg. 103 Attachment: CM.Fireworks Setting 2020 Regulatory Fee.Resolution [Revision 1] (6771 : Setting the 2020 Regulatory Fee Rate for the Sale of
Resolution No. 2020-130
SECTION 6. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 7. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the City Clerk this 17th day of June 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
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Packet Pg. 104 Attachment: CM.Fireworks Setting 2020 Regulatory Fee.Resolution [Revision 1] (6771 : Setting the 2020 Regulatory Fee Rate for the Sale of
Resolution No. 2020-130
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-130, adopted at a regular meeting held on the 17th day of June
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this 17th day of June 2020.
Genoveva Rocha, CMC, Acting City Clerk
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Fireworks 2020
Expenditure Estimates
Number of
personnel Labor Cost Total
Police Department
June 30 personnel 6 2,954.88$
July 1 personnel 6 2,954.88
July 2 personnel 6 2,954.88
July 3 personnel 34 15,696.36
July 4 personnel 34 15,696.36
July 5 personnel 9 4,446.00
Total 44,703.36$ $44,703.36
Finance Department
Business Registration Representative 1 3,403.21$
Business Registration Manager 1 2,309.70
Total 5,712.91$ $5,712.91
$18,500.00
$68,916.27Total Expenditure Estimates
Public Education & Awareness Related to Regulatory Enforcement
Public education and awareness through advertising, social media and
community contact in relation to the regulation. Funding includes postage,
printing, materials and supplies for public education on permitting and
enforcement of the regulatory scheme.
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3.cPacket Pg. 107Attachment: CM.Fireworks 2020 MAP [Revision 1] (6771 : Setting the 2020 Regulatory Fee Rate for the
Page 1
Staff Report
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Kris Jensen, Director of Public Works
Subject: Lease Extension Agreement Options - Vanir Tower Building,
Inc.
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, consider Vanir Tower lease options and provide direction to staff.
Background
On November 21, 2016, the Mayor and City Council approved Resolution 2016-240
directing the City Manager to execute a Lease Agreement for office space at Vanir
Tower, Inc. (290 North D Street, San Bernardino, California - APN 0134-311-42-0000)
to house City staff. The agreement was amended on March 6, 2017 by Resolution
2017-039, resetting the lease period to commence on April 15, 2017 for a two year
period with the option of two six-month extension periods. On April 3, 2019 , the Mayor
and City Council authorized the City Manager to e xercise both of the six-month
extension options, extending the Lease Agreement term through April 15, 2020. The
original Lease Agreement and Amendment No. 1 to the Lease Agreement are included
as attachments to this report.
The City’s current lease agreement, including all term extensions, expired on April 15,
2020. On May 20, 2020, staff proposed that the Mayor and City Council consider a
lease amendment to extend the term of the Lease Agreement through June 30, 2021.
Following Mayor and City Council discussion of the item, staff was directed to explore
options for reducing the rentable office space square footage, reducing lease term
periods, and to continue to negotiate per square foot pricing.
Staff has since met with Vanir Tower Building, Inc. Multiple options for moving forward
with a lease extension are provided below for Mayor and City Council review and
discussion.
Discussion
The office space leased by the City at the Vanir Tower on the 3 rd and 8th Floors are
currently occupied by the Offices of the Mayor, City Council, City Attorney, City
Manager, City Treasurer, Finance and Human Resource Departments. The ground level
space leased by the City is occupied by the City’s Public Information Counter and the
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SB Direct Call Center staff. The current square footage occupied of 24,538 breaks down
as follows:
1st Floor 2,668 Sq. Ft.
3rd Floor 14,004 Sq. Ft.
8th Floor 7,865 Sq. Ft.
On May 20, 2020, staff originally proposed a lease agreement extension that would
extend the term of the lease throu gh June 30, 2021, incorporate minor adjustments to
true-up the square footage (“rentable space”) and include a downward adjustment of the
price per square foot price from the current $1.91/Sq. Ft. to $1.88/Sq. Ft. All other
terms of the original agreement were to remain in effect per the proposed lease
extension agreement.
Following discussion of the proposed lease extension, the Mayor and City Council gave
direction to staff to return to negotiations with the Vanir Tower representative to discuss
alternate terms and office area reductions. Based on that direction staff has negotiated
the following options with Vanir Tower Building, Inc:
1. One-year Lease retaining all current office areas (previously proposed)
2. One-year Lease removing all office space from the 8th floor
3. Six-month lease removing all office space from the 8th floor
4. Six-month lease removing Suite 803 (Council Offices)
5. Six-month lease removing Suite 808 (Mayor's Office)
A cost analysis for each of these options is included as Attachment 1 to this report. Staff
will also provide a presentation on these options.
Options above that reduce overall square footage usage result in an increase in price
per square foot, however this pricing remains at the lower end of lease rates discuss ed
with Vanir Tower Building, Inc. It is important to note, that in the event a six-month term
is chosen, budgets will still be required for leasing office space in this or another facility
through the end of FY 2020/21.
Pending direction on this item, the City will have the opportunity to continue occupying
the existing office space until through the term of the lease extension. In the event
direction is given to reduce all or partial office space on the 8 th floor, staff will require a
minimum of 30 days to relocate employees and vacate the space and may incur
additional costs associated with relocating City personnel to other areas.
As the City continues to work towards reestablishing a permanent City Hall location,
staff will continue to evaluate the City's office space needs and present the Mayor and
City Council with a longer term option prior to the expiration of any extended lease term.
Staff is scheduling a review of the City Hall Building Facility Assessment to be brought
before the Mayor and City Council in July 2020.
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2020-2025 Key Strategic Targets and Goals
The provision of multiple lease options for consideration supports Key Target No. 1.c:
Create a framework for spending decisions by allowing the Mayor and City Council to
evaluate the fiscal and operational impacts of each option prior to providing extending
the lease through June 30, 2021, provides cost stability related to the lease for
budgeting purposes through FY 2020/21.
Fiscal Impact
No additional fiscal impact to the City in FY 2019/20 as the City is currently in a month
to month hold over lease at the current rate of $1.91 per sq. ft. per month. Budget
impacts for FY2020/21 will be determined and planned for pending staff direction from
Mayor and City Council on this item.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino
consider Vanir Tower lease options and provide direction to staff.
Attachments
Attachment 1 Vanir Tower Lease Option Cost Analysis
Ward: 1
Synopsis of Previous Council Actions:
November 21, 2016 Resolution 2016-240 of the Mayor and Common Council of the City
of San Bernardino was adopted, authorizing the City Manager to
execute a Lease Agreement between the City of San Bernardino
and Vanir Tower Building Incorporated for the Lease of Office
Space (#4737).
March 6, 2017 Resolution No. 2017-039 of the Mayor and City Council of the City
of San Bernardino was adopted, directing the City Manager to
execute the Amendment Number One to the Lease with Vanir
Tower Inc.
April 3, 2019 The Mayor and City Council authorized the City Manager to
execute two, six month lease extensions to the lease agreement
between Vanir Tower Building, Inc., and the City of San Bernardino
extending the Lease agreement through April 15, 2020.
May 20, 2020 The Mayor and City Council directed staff to explore additional
lease options for extending the Vanir Tower lease.
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Attachment 1
Term
(in Months)
Price per
square
foot
1st Floor
Sq Ft
3rd Floor
Sq Ft
8th Floor
Ste 803
8th Floor
Ste 808
Monthly
Lease
Payment
Full Term
Lease Cost
8th Floor
Redution -
Monthly Savings
*
1 One Year Lease - All Areas
(Previously Proposed)12 1.88$ 2,668 14,004 5,428 2,437 46,129.56$ 553,554.72$ N/A
2 One Year Lease -
Remove 8th Floor 12 1.95$ 2,668 14,004 0 0 32,510.40$ 390,124.80$ 15,336.75$
3 Six-month Lease -
Remove 8th Floor 6 1.95$ 2,668 14,004 0 0 32,510.40$ 195,062.40$ 15,336.75$
4 Six-month Lease -
Remove 8th Floor Ste 803 6 1.95$ 2,668 14,004 0 2,437 37,262.55$ 223,575.30$ 10,584.60$
5 Six-month Lease -
Remove 8th Floor Ste 808 6 1.95$ 2,668 14,004 5,428 0 43,095.00$ 258,570.00$ 4,752.15$
Options
Vanir Tower Lease Options - Cost Analysis
City of San Bernardino
* Savings will be not be realized for the month of July 2020 as staff will need to use this time to relocate personnel and vacate the respective
8th floor areas .
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Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Cheryl Weeks, Council Administrative Supervisor
Subject: 2020 City Board, Commission & Citizen Advisory Commission
Approved Minutes
Recommendation
That the Mayor and City Council of the City of San Bernardino, California, receive and
file the minutes from the City Board, Commission, and Citizen Advisory Committee
meetings approved in March, April, and May 2020.
Background
On February 7, 2018, the Mayor and City Council adopted general provisions for the
City’s boards, commissions and citizen advisory committees under Municipal Code
Chapter 2.17 requiring meeting minutes to be provided to the Mayor and City Council.
Discussion
In keeping with the reporting requirements established in Municipal Code Chapter
2.17.080 the minutes for the board, commission and citizen advisory committee
meetings approved in the months of March, April, and May 2020 are presented for
review by the Mayor and City Council including the:
1. Personnel Commission - January 28, 2020; February 24, 2020; February 25,
2020
2. Planning Commission - January 14, 2020; March 10, 2020
3. Water Board - April 14, 2020; April 28, 2020; May 12, 2020
2020-2025 Strategic Targets and Goals
Providing the agendas and minutes from each of the City’s Boards, Commissions and
Citizen Advisory Committees to the Mayor and City Council is in alignment with Key
Target No. 2: Focused, Aligned Leadership and Unified Community by building a culture
that attracts, retains, and motivates the highest quality talent.
Fiscal Impact
No fiscal impact to the City
Conclusion
That the Mayor and City Council of the City of San Bernardino, California, receive and
file the minutes from the City Board, Commission, and Citizen Advisory Committee
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meetings approved in March, April, and May 2020.
Attachments
Attachment 1 City Board, Commission and Citizen Advisory Committee Meeting
minutes approved in March, April, and May 2020; Exhibit “A”
Personnel Commission-January 28, 2020; February 24, 2020;
February 25, 2020; Exhibit “B” Planning Commission - January 14,
2020; March 10, 2020; Exhibit “C” Water Board - April 14, 2020;
April 28, 2020; May 12, 2020
Ward: All
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Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Genoveva Rocha, CMC, Acting City Clerk
Subject: Notice and Calling of a General Municipal Run-Off Election
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt the following resolutions required in order to conduct a General
Municipal Run-Off Election on Tuesday, November 3, 2020:
1) Adopt Resolution No. 2020-146 of the Mayor and City Council of the City of San
Bernardino, California, calling and giving notice of the holding of a General
Municipal Run-Off Election to be held on Tuesday, November 3, 2020,
requesting the Board of Supervisors of the County of San Bernardino to
consolidate said Election with the November 3, 2020, Statewide General Election
and permit the San Bernardino County Registrar of Voters to render Election
services to the City of San Bernardino for said Election, and authorizing the City
Manager to pay the invoice for the costs of the Election; and
2) Adopt Resolution No. 2020-147 of the Mayor and City Council of the City of San
Bernardino, California, adopting regulations for candidates fo r elective office
pertaining to Candidate Statements submitted to the voters at an Election to be
held on Tuesday, November 3, 2020.
Background
Pursuant to Article 8, Section 800, of the City Charter, the primary and general Election
shall be held in said City in consolidation with the State Primary Election and the State
General Election and every two (2) years thereafter. City elections shall follow the
provisions and procedures of the State Elections Code as applicable to general law
cities.
On March 3, 2020, the City of San Bernardino held a Primary Municipal election. The
results were certified by the San Bernardino County Registrar of Voters on April 1,
2020. Based on the certified results, the Ward 5 and Ward 7 council races resulted in
run-off elections, which will be consolidated with the Statewide General Election in
November.
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Discussion
The Election will be conducted on Tuesday, November 3, 2020, to elect members of the
City Council, Ward 5 and Ward 7.
As a matter of process, the San Bernardino County Board of Supervisors requires that
each City requesting election services submit an executed resolution requesting such
services. This year, the Registrar of Voters has placed a Friday, June 26, 2020 deadline
for these resolutions.
The City Council must adopt Resolutions calling and consolidating the Election and
setting candidate statement regulations.
2020-2025 Key Strategic Targets and Goals
Noticing and Calling the Election aligns with Key Target No. 2: Focused, Aligned
Leadership and Unified Community.
Fiscal Impact
The cost of the Election is dependent on the number of races and measures on the
ballot. In 2018, the cost for the general municipal election was approximately $104,000.
Due to the impacts of COVID-19, the State has changed how elections will be
conducted statewide. At present, the San Bernardino County Registrar of Voters
anticipates an increase in the cost of the elections throughout the County but has not
provided an estimate to the City. City staff estimated the cost to be approximately
$122,000 in the 2020/21 Fiscal Year proposed budget; however, this estimate is
uncertain. The placement of measures on the ballot by Council or through the petition
process may result in additional costs.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt the following resolutions required in order to conduct a General
Municipal Run-Off Election on Tuesday, November 3, 2020:
1) Adopt Resolution No. 2020-146 of the Mayor and City Council of the City of San
Bernardino, California, calling and giving notice of the holding of a General
Municipal Run-Off Election to be held on Tuesday, November 3, 2020,
requesting the Board of Supervisors of the County of San Bernardino to
consolidate said Election with the November 3, 2020, Statewide General Election
and permit the San Bernardino County Registrar of Voters to render Election
services to the City of San Bernardino for said Election, and authorizing the City
Manager to pay the invoice for the costs of the Election; and
2) Adopt Resolution No. 2020-147 of the Mayor and City Council of the City of San
Bernardino, California, Adopting Regulations for Candidates for Elective Office
Pertaining to Candidate Statements Submitted to the Voters a t an Election to be
Held on Tuesday, November 3, 2020.
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Attachments
Attachment 1 Resolution No. 2020-146
Attachment 2 Resolution No. 2020-147
Wards: 5, 7
Synopsis of Previous Council Actions:
September 18, 2019 Mayor and City Council adopted Resolution No. 2019-299,
approving the Notice and Calling of the March 3, 2020,
Primary Municipal Election.
April 15, 2020 Mayor and City Council adopted Resolution No. 2020-62,
declaring the results of the Primary Municipal Election held
on March 3, 2020.
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RESOLUTION NO.2020-146
A RESOLUTION OF THE MAYOR AND CITY COUNCIL
OF THE CITY OF SAN BERNARDINO, CALIFORNIA,
CALLING AND GIVING NOTICE OF THE HOLDING OF
A GENERAL MUNICIPAL RUN-OFF ELECTION TO BE
HELD ON TUESDAY, NOVEMBER 3, 2020, REQUESTING
THE BOARD OF SUPERVISORS OF THE COUNTY OF
SAN BERNARDINO TO CONSOLIDATE SAID ELECTION
WITH THE NOVEMBER 3, 2020, STATEWIDE GENERAL
ELECTION AND PERMIT THE SAN BERNARDINO
COUNTY REGISTRAR OF VOTERS TO RENDER
ELECTION SERVICES TO THE CITY OF SAN
BERNARDINO FOR SAID ELECTION, AND
AUTHORIZING THE CITY MANAGER TO PAY THE
INVOICE FOR THE COSTS OF THE ELECTION
WHEREAS, under the provisions of the laws relating to Charter Cities in the State of
California, a General Municipal Election shall be held on November 3, 2020, for the election of
Municipal Officers; and
WHEREAS, in the course of conduct of the election it is necessary for the City to
request services of the County; and
WHEREAS, it is desirable that the General municipal election be consolidated with the
Statewide General election to be held on the same date and within the city precincts, pollin g places
and election officers of the two elections be the same, and that the county election department of the
County of San Bernardino canvass the returns of the General Municipal Election and that the
election be held in all respects as if there only one election; and
WHEREAS, the City Clerk is authorized, instructed, and directed to give further or
additional notice of the election, in time, form and manner as required by law; and
WHEREAS, all necessary expenses in performing these services shall be paid by the
City of San Bernardino.
NOW, THEREFORE, THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO, CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE AND
ORDER AS FOLLOWS:
SECTION 1. Call of Election. A General Municipal Run-Off Election for Council
Wards 5 and 7 is called and will be held in the City of San Bernardino on Tuesday, November 3,
2020.
SECTION 2. Request for County Services. As authorized by Section 10002 of the
Elections Code of the State of California, the Mayor and City Council request that the Board of
Supervisors of the County of San Bernardino permit the San Bernardino County Registrar of
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Voters to render services to the City of San Bernardino for the General Municipal Election to
be held on November 3, 2020.
SECTION 3. Conduct of Election. The Board of Supervisors of the County of San
Bernardino is hereby requested to issue instructions to the San Bernardino County Registrar
of Voters to take all steps necessary for t he holding of the General Municipal Election. The
polls for said election shall be open at 7:00 a.m. of the day of said election and shall remain
open continuously from that time until 8:00 p.m. of the same day when said polls shall be
closed, except as provided in Section 14401 of the California Elections Code.
SECTION 4. Notice of Election. The City Clerk is hereby directed to publish a Notice of
the General Municipal Election., which shall contain the following:
A. The date of the election.
B. The offices to be filled, specifying full or short term.
C. The hours the polls will be open.
SECTION 5. Cost of Election. The City of San Bernardino recognizes that
additional costs will be incurred by the County by reasons of this election and agrees to
reimburse the County for such costs.
SECTION 6. Payment of Invoice to County of San Bernardino. The City Manager is
hereby authorized to pay the invoice received from the County of San Bernardino for the
services necessary for conducting the General Municipal Election.
SECTION 7. Filing of Resolution. The Acting City Clerk of the City of San Bernardino
is directed to file a certified copy of this Resolution with the Board of Supervisors of the County
of San Bernardino and to file a copy of this Resolution with the Registrar of Voters.
APPROVED and ADOPTED by The City Council and signed by the Mayor and
attested by the Acting City Clerk this 17th day of June, 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
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Packet Pg. 161 Attachment: RES. 2020-146 Notice and Calling Election (6779 : Notice and Calling of a General Municipal Run-Off Election)
CERTIFICATION
STATE OF CALIFORNIA)
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO)
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-146, adopted at a regular meeting held on the 17th day of June 2020
by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this 18th day of
June, 2020.
Genoveva Rocha, CMC, Acting City Clerk
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Resolution No. 2020-147
June 17, 2020
Page 1 of 5
RESOLUTION NO.2020-147
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY
OF SAN BERNARDINO, CALIFORNIA, ADOPTING REGULATIONS
FOR CANDIDATES FOR ELECTIVE OFFICE PERTAINING TO
CANDIDATES STATEMENTS SUBMITTED TO THE VOTERS AT AN
ELECTION TO BE HELD ON TUESDAY, NOVEMBER 3, 2020
WHEREAS, §13307 of the Elections Code of the State of California provides that the
governing body of any local agency adopt regulations pertaining to mat erials prepared by any
candidate for a municipal election, including costs of the optional candidate statement; and
WHEREAS, Section 13307(b) of the California Elections Code states that the Statement
of each candidate shall be printed in type of uniform size and darkness, and with uniform
spacing; and
WHEREAS, the City Clerk is responsible for enforcing formatting requirements that
exceed those acceptable by the County and wishes to streamline the review process by imposing
limits relating to the format of candidate statements to block format, and prohibit Bolding,
Capitalized Words, Italics, and Underlining. The City Clerk has final sign-off and approval of all
candidate statements for elected city offices in accordance with state and local law.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN BERNARDINO,
CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE, AND ORDER AS FOLLOWS:
SECTION 1. General Provisions. That pursuant to §13307 of the Elections Code of the
State of California, each candidate for elective office to be voted for at an Election to be held in
the City of San Bernardino on Tuesday, November 3, 2020, may prepare a candidate’s statement
on an appropriate form provided by the City Clerk. The statement may include the name, age
and occupation of the candidate and a brief description of no more than 200 words of the
candidate’s education and qualifications expressed by the candidate himself or herself. The
statement shall not include party affiliation of the candidate, nor membership or activity in
partisan political organizations. The statement shall be filed in typewritten form in the office of
the City Clerk at the time the candidate’s nomination papers are filed. The statement may be
withdrawn, but not changed, during the period for filing nomination papers and until 5:00 p.m. of
the next working day after the close of the nomination period.
The City Clerk shall require each candidate filing a statement to pay a deposit in advance, as a
condition of having his or her statement included in the voters' pamphlet.
SECTION 2. Foreign Language Policy.
A. Pursuant to the Federal Voting Rights Act, candidate statements will be translated
into all languages required by the County of San Bernardino. The County is
required to translate candidate’s statements into the following languages: Spanish.
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Resolution No. 2020-147
June 17, 2020
Page 2 of 5
B. The County will print and mail sample ballots and candidate statements to all
voters in English and Spanish. The County will make the sample ballots and
candidates statements in the required languages available at all polling places, on
the County’s website, and in the City Clerk’s Department for the City of San
Bernardino.
SECTION 3 Endorsements
It is the policy of the San Bernardino County Registrar of Voters that any named
individual or specific organization listed as an endorsement in a candidate statement must be
verified as endorsing the candidate prior to printing in the Voter Information Guide and Sample
Ballot. Verification of the endorsement must be in the form of a copy of a letter of endorsement,
or in a direct communication from the endorser to the Registrar of Voters in the form of email or
facsimile correspondence. All endorsements or verification of endorsements from an individual
or organization of a candidate must be submitted no later than five days after the end of the filing
period.
SECTION 4. Payment.
A. Translations:
1. The candidate shall be required to pay for the cost of translating the candidate’s
statement into any required foreign language as specified in (A) and/or (B) of Section 2
above pursuant to Federal and\or State law.
2. The candidate shall be required to pay for the cost of translating the candidate’s
statement into any foreign language that is not required as specified in (A) and/or (B) of
Section 2 above, pursuant to Federal and\or State law, but is requested as an option by the
candidate.
B. Printing:
1. The candidate shall be required to pay for the cost of printing the candidate’s
statement in English in the main voter pamphlet.
2. The candidate shall be required to pay for the cost of printing the candidate’s
statement in a foreign language required in (A) of Section 2 above, in the main voter
pamphlet.
3. The candidate shall be required to pay for the cost of printing the candidate’s
statement in a foreign language requested by the candidate per (B) of Section 2 above, in
the main voter pamphlet.
4. The candidate shall be required to pay for the cost of printing the candidate’s
statement in a foreign language required by (A) of Section 2 above, in the facsimile voter
pamphlet.
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Resolution No. 2020-147
June 17, 2020
Page 3 of 5
The City Clerk shall estimate the total cost of printing, handling, translating, and mailing
the candidate’s statements filed pursuant to this section, including costs incurred as a
result of complying with the Voting Rights Act of 1965 (as amended), and require each
candidate filing a statement to pay in advance to the local agency his or her estimated pro
rata share as a condition of having his or her statement included in the voter’s pamphlet.
An estimated payment is required and the estimate is just an approximation of the actual
cost that varies from one election to another election and may be significantly more or less
than the estimate, depending on the actual number of candidates filing statements.
Accordingly, the City Clerk is not bound by the estimate and may, on a pro rata basis, bill
the candidate for additional actual expense or refund any excess paid depending on the
final actual cost. In the event of underpayment, the City Clerk may require the candidate
to pay the balance of the cost incurred. In the event of overpayment, the City Clerk shall
prorate the excess amount among the candidates and refund the excess amount paid within
30 days of the election.
SECTION 5. Miscellaneous.
A) All translations shall be provided by professionally-certified translators.
B) The City Clerk shall comply with all recommendations and standards set forth by the
California Secretary of State regarding occupational designations and other matters relating to
elections.
SECTION 6 . Additional Materials. No candidate will be permitted to include additional
materials in the sample ballot package.
SECTION 7. That the City Clerk shall provide each candidate or the candidate’s
representative a copy of this Resolution at the time nominating petitions are issued.
SECTION 8. That all previous resolutions establishing council policy on pa yment for
candidate statements are repealed.
SECTION 9. That this Resolution shall apply only to the election to be held on
November 3, 2020.
SECTION 10. That the City Clerk shall certify to the passage and adoption of this
Resolution and enter it into the book of original Resolutions.
APPROVED and ADOPTED by The City Council and signed by the Mayor and attested by
the Acting City Clerk this 17th day of June, 2020.
John Valdivia, Mayor
City of San Bernardino
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Resolution No. 2020-147
June 17, 2020
Page 4 of 5
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
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Resolution No. 2020-147
June 17, 2020
Page 5 of 5
CERTIFICATION
STATE OF CALIFORNIA)
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO)
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-147, adopted at a regular meeting held on the 17th day of June 2020
by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this 18th day of
June, 2020.
Genoveva Rocha, CMC, Acting City Clerk
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Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Paul Espinoza, Finance Director
Subject: Approval of Commercial and Payroll Disbursements
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino
approve the commercial and payroll disbursements for May 2020.
Background
Completed commercial and payroll disbursement registers are s ubmitted to the Mayor
and City Council for approval. This happens on a regular basis, typically every meeting
for the most recently completed disbursement registers.
The detailed warrant registers are available on the City Website, and are updated weekly
by the Finance Department. The registers may be accessed by copying the following link
into an internet browser: <http://sbcity.org/cityhall/finance/warrant_register.asp>
Discussion
Gross Payroll
Bi-Weekly for May 28, 2020 $2,059,238.07
Total Payroll Demands: $2,059,238.07
The following check registers are being presented for approval:
May 14, 2020 2019/20 (Register #48)$598,173.52
May 21, 2020 2019/20 (Register #49)927,949.93
Total commercial check demands:$1,526,123.45
The following Electronic Funds Transfer (EFT) registers presented for approval:
April 17, 2020 2019/20 (Register #906)$480,514.81
April 21, 2020 2019/20 (Register #907- #909)618,410.68
April 24, 2020 2019/20 (Register #910)804.18
April 27, 2020 2019/20 (Register #911)45,288.54
April 30, 2020 2019/20 (Register #912- #913)585,818.32
May 5, 2020 2019/20 (Register #914)487,846.96
Total commercial EFT demands:$2,218,683.49
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2020-2025 Strategic Targets and Goals
Approval of the noted check and EFT registers for commercial and payroll
disbursements align with Key Target No. 1: Financial Stability by creating a framework
for spending decisions.
Fiscal Impact
Amounts noted in the disbursement registers have no further fiscal impact. Amounts
were paid consistent with existing budget authorization and no further budgetary impact
is required.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino
approve the commercial and payroll disbursements for May 2020.
Attachments
Attachment 1 Payroll checks for May 2020
Attachment 2 Commercial checks for Register #48
Attachment 3 Commercial checks for Register #49
Attachment 4 Commercial EFT Registers #906
Attachment 5 Commercial EFT Registers #907-909
Attachment 6 Commercial EFT Registers #910
Attachment 7 Commercial EFT Registers #911
Attachment 8 Commercial EFT Registers #912-913
Attachment 9 Commercial EFT Registers #914
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Packet Pg. 171 Attachment: FN. Commercial Checks & Payroll. Register #48 ATTACHMENT#2 (6752 : Approval of
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Packet Pg. 188 Attachment: FN. Commercial Checks & Payroll. Register #49 ATTACHMENT#3 (6752 : Approval of
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Packet Pg. 209 Attachment: FN. Commercial Checks & Payroll. Register #49 ATTACHMENT#3 (6752 : Approval of
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Packet Pg. 210 Attachment: FN. EFT Register #906. ATTACHMENT#4 (6752 : Approval of Commercial and Payroll
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Packet Pg. 211 Attachment: FN. EFT Register #906. ATTACHMENT#4 (6752 : Approval of Commercial and Payroll
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Packet Pg. 212 Attachment: FN. EFT Register #907-#909. ATTACHMENT#5 (6752 : Approval of Commercial and Payroll
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Packet Pg. 213 Attachment: FN. EFT Register #907-#909. ATTACHMENT#5 (6752 : Approval of Commercial and Payroll
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Packet Pg. 214 Attachment: FN. EFT Register #910. ATTACHMENT#6 (6752 : Approval of Commercial and Payroll
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Packet Pg. 216 Attachment: FN. EFT Register #911. ATTACHMENT#7 (6752 : Approval of Commercial and Payroll
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Packet Pg. 217 Attachment: FN. EFT Register #911. ATTACHMENT#7 (6752 : Approval of Commercial and Payroll
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Packet Pg. 218 Attachment: FN. EFT Register #912-#913. ATTACHMENT#8 (6752 : Approval of Commercial and Payroll
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Packet Pg. 219 Attachment: FN. EFT Register #912-#913. ATTACHMENT#8 (6752 : Approval of Commercial and Payroll
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Packet Pg. 220 Attachment: FN. EFT Register #914. ATTACHMENT#9 (6752 : Approval of Commercial and Payroll
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Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Paul Espinoza, Finance Director
Subject: Approve City Investment Policy for FY 2020/21
Recommendation
Adopt Resolution No. 2020-124 of the Mayor and City Council of the City of San
Bernardino, California, approving the City Investment Policy for FY 2020/21.
Background
State law requires that all municipalities have an investment policy approved by its
governing board and that it reapprove that policy on an annual basis. On November 6,
2019, the Mayor and City Council adopted Resolution No. 2019-317 approving the
current investment policy for FY 2019/20.
Discussion
The Finance Department is responsible for submitting the annual Investment Policy for
adoption by the Mayor and City Council. The City’s Investment Policy for FY 2019/20
was recently awarded with a California Municipal Treasurer’s Association Investment
Policy Certification designation. This certification recognizes that the City of San
Bernardino’s investment policy adheres to the State of California government code and
meets the program requirements within 18 different topic areas deemed to be best
practices for investment policies.
The policy for FY 2020/21 continues to focus on the items of paramount importance for
the safety of principal, sufficient liquidity of the investment pool to ensure that cash is
readily available as needed to meet the Cit y’s anticipated obligations, and a competitive
market rate of return is obtained after the requirements of safety and liquidity have been
met.
The purpose of the Investment Policy is to establish cash management and investment
guidelines for the investment of the City’s idle cash balances. This policy applies to
each investment transaction and the entire portfolio, which must comply with Sections
53600 through 53683 of the Government Code and all other applicable laws and
regulations.
The changes to the Investment Policy proposed for Fiscal Year 2020/21 involve clean -
up language for clarification purposes only. There is no new legislation that would
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6751
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require substantive changes to our policy. The City’s investment policy provides
continued compliance with state law.
2020-2025 Strategic Targets and Goals
Approval of the City’s Investment Policy for Fiscal Year 2020/2021 aligns with Key
Strategic Target No. 1: Financial Stability by Implementing, maintaining and updating a
fiscal accountability plan. The annual approval is a requirement of state law as it
pertains to managing the investment of City funds and provides guidance to the Finance
Director to execute this Charter-designated responsibility.
Fiscal Impact
The proposed action has no specific fiscal impact. It authorizes continued investment of
the City’s $120 million investment portfolio which generates approximately $1.8 million
in annual investment income given the current interest rate environment. Interest
earnings have been anticipated in the adopted FY 2020/21 Operating Budget.
Conclusion
Adopt Resolution No. 2020-124 of the Mayor and City Council of the City of San
Bernardino, California, approving the City Investment Policy for FY 2020/21.
Attachments
Attachment 1 Resolution 2020-124; Exhibit “A” - Investment Policy
Ward: N/A
Synopsis of Previous Council Actions:
November 6, 2019 Resolution 2019-317 was adopted approving the 2019/20
Investment Policy.
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RESOLUTION NO. 2020-124
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA
APPROVING AN INVESTMENT POLICY FOR FY 2020/21
WHEREAS, the City of San Bernardino has an existing investment policy consistent
with state law and sound financial management practices; and
WHEREAS, state law requires that the managing board of any municipality within the
state review and reapprove the investment policy on an annual basis; and
WHEREAS the Director of Finance has reviewed the 2019/20 investment policy adopted
November 6, 2019, and is recommending minor changes to the proposed policy attached hereto
as Exhibit “A”; and
WHEREAS, such policy is presented to the Mayor and City Council for its review and
approval for Fiscal Year 2020/21 and is consistent with state law.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The Mayor and City Council hereby adopts the "Investment Policy for
Fiscal Year 2020/21," attached hereto as Exhibit "A" and incorporated herein by this reference.
SECTION 3. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this 17th day of June 2020.
John Valdivia, Mayor
City of San Bernardino
8.a
Packet Pg. 224 Attachment: FN.City Investment Policy Approval 2020-21. RESOLUTION (6751 : Approve City Investment Policy for FY 2020/21)
Resolution No. 2020-124
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
8.a
Packet Pg. 225 Attachment: FN.City Investment Policy Approval 2020-21. RESOLUTION (6751 : Approve City Investment Policy for FY 2020/21)
Resolution No. 2020-124
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
8.a
Packet Pg. 226 Attachment: FN.City Investment Policy Approval 2020-21. RESOLUTION (6751 : Approve City Investment Policy for FY 2020/21)
CITY OF
SAN BERNARDINO
Investment Policy
Fiscal Year 2020-2021
Adopted June 17, 2020
Paul Espinoza
Director of Finance
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Packet Pg. 227 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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I. PURPOSE
To establish guidelines for the prudent investment of public funds in a manner that will
protect City funds, meet daily cash flow expenditures, and comply with all federal, state,
and local laws and ordinances governing the investment of public funds.
II. POLICY & ADOPTION
It shall be the policy of the City of San Bernardino to annually review and adopt an
Investment Policy by resolution of the City Council. This Policy applies to all financial
assets and funds held by the City of San Bernardino and the Successor Agency to the San
Bernardino Redevelopment Agency. The funds covered by this policy include:
*General Fund
*Special Revenue Funds
*Capital Project Funds
*Proprietary Funds
*Other funds that may be created
Any modifications to the Policy must be approved by the City Council.
III. PROCEDURES
The Director of Finance shall annually review the City’s Investment Policy, and
incorporate any changes in state law, recommendations from the City’s Investment
Advisor, recommendations from the various national and state organizations of
municipal finance officers, or other changes recommended by City staff. The revised
Investment Policy shall be presented to the City Council for review and approval.
(A) Responsibilities
No person may engage in investment activities except as provided under the terms of
this Policy and the procedures established by the Director of Finance.
1. Responsibilities of the City Council
The City Council shall annually consider and adopt a written Investment
Policy. As provided in this Policy, the Council shall receive quarterly
Investment Reports.
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Packet Pg. 228 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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2. Responsibilities of the Director of Finance
The Director of Finance is appointed by and serves at the pleasure of the City
Manager and is subject to his/her direction and supervision. The Director of
Finance is charged with responsibility for the conduct of all Finance
Department operations. The City Charter places the “City Treasurer”
responsibilities amongst the duties of the Director of Finance. That individual
is charged with responsibility for carrying out all investment actions. He/she
may delegate the day-to-day investment activities to their designee(s) but
not the responsibility for the overall investment program. If authorized by
the City Council, the Director of Finance may also utilize the services of an
external investment advisor to assist with the investment program.
The Director of Finance, through supporting staff members, is responsible to
manage all public funds and securities belonging to or under the control of
the City and the Successor Agency, including the deposit and investment of
those funds in accordance with principles of sound treasury management
and applicable laws and ordinances. Appropriate internal controls designed
to ensure that assets of the City are protected from loss, theft, or misuse,
including but not limited to separation of duties and multiple approvers for
transactions, shall be maintained at all times in order to safeguard the City’s
assets.
3. Responsibilities of the City’s Investment Advisor (if applicable)
The City may engage in the services of outside professionals for evaluation
and advice regarding the City’s investment program. An authorized
Investment Advisor may provide investment management services, which
may also include facilitating trade executions under the direction of the
Director of Finance or designee. Any Investment Advisor shall be registered
by the Securities and Exchange Commission and licensed to do business in
the State of California. An authorized Investment Advisor shall invest the
City’s funds in investments that are in compliance with this policy and
provide accurate and timely reports of its investment activities to City staff.
The Investment Advisor shall never take possession of the City’s funds or
assets.
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Packet Pg. 229 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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4. Internal Controls
The Director of Finance is responsible for establishing and maintaining an
internal control structure designed to ensure that the assets of the City are
protected from loss, theft, fraud or misuse.
The City’s external independent auditing firm shall perform an annual
analysis and review of internal controls, account activity and compliance with
policies and procedures.
(B) Prudent Investor Rule
The standard of prudence to be used by the Director of Finance shall be the
“prudent investor” standard. This shall be applied in the context of managing an
overall portfolio.
The “Prudent Investor Rule” provides, pursuant to California Government Code
Section 53600.3, that investments shall be made with judgment and care—under
circumstances then prevailing—which persons of prudence, discretion and
intelligence exercise in the management of their own affairs, not for speculation,
but for investment, considering the probable safety of their capital as well as the
probable income to be derived. The Director of Finance and any designee of the
Director of Finance, as investment officers acting in accordance with written
procedures and the investment policy and exercising due diligence, shall be
relieved of personal responsibility for an individual security’s credit risk or
market price changes, provided deviations from expectations are reported to the
City Council in a timely fashion and appropriate action is taken to control adverse
developments.
(C) Ethics and Conflicts of Interest
In addition to state and local statutes relating to conflicts of interest, all persons
involved in the investment process shall refrain from personal business activity
that conflicts with proper execution of the investment program or impairs their
ability to make impartial investment decisions. Employees and investment
officers are required to annually file applicable financial disclosures as required
for “public officials who manage public investments” by the Fair Political
Practices Commission (FPPC) and are subject to California law relative to conflicts
of interest.
8.b
Packet Pg. 230 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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(D) Level of Investment
The City strives to maintain the level of investment of all investable cash as near
to 100 percent as possible through current and projected cash flow
management. The Director of Finance shall maintain a system to monitor and
forecast revenues and expenditures so that City funds can be invested to the
fullest extent possible while providing sufficient liquidity to meet the City’s
reasonably anticipated cash flow requirements. Maturities of investments will be
selected to provide necessary liquidity, manage interest rate risk, and optimize
earnings. Because of inherent difficulties in accurately forecasting cash flow
requirements, a portion of the portfolio should be continuously invested in
readily available funds.
(E) Investment Objectives
The City seeks safety and liquidity in all of its investments followed by yield.
Safety, liquidity, and yield are defined as follows:
1. Safety. Safety of principal is the foremost objective of the investment
program. Investments shall be undertaken in a manner that seeks to
ensure the preservation of capital in the overall portfolio.
2. Liquidity. The investment portfolio shall remain sufficiently liquid to meet
operating requirements that may be reasonably anticipated. This is
accomplished by structuring the portfolio so that securities mature
concurrent with cash needs to meet anticipated demands.
3. Yield. The investment portfolio shall be designed with the objective of
attaining a market rate of return, taking into account the investment risk
constraints and liquidity needs. Return on investment is of secondary
importance compared to the safety and liquidity objectives described
above.
(F) Allowable Investments
The investments listed in this Policy are authorized investments pursuant to
Sections 53601 and 53635 of the California Government Code and are
authorized investments for the City subject, however, to the restrictions set
forth in Section “K” of this Investment Policy. In the event that an apparent
discrepancy is found between this Policy and the Government Code, the more
restrictive parameters will take precedence.
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Packet Pg. 231 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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(G) Collateralization
If collateral is required for a particular investment type, it will be provided in
compliance with California Government Code requirements.
(H) Investment Pools/Mutual Funds
Prior to investing in any pooled investment program (e.g., LAIF, money market
funds), the Director of Finance will review the program’s documentation (e.g.,
investment policy, policies for participation, fees) to determine the
appropriateness of the pool for City funds. Whenever the City has funds
invested in a pooled investment program, the Director of Finance should
periodically review the pool’s investment holdings. The review shall, at a
minimum, obtain the following information:
• A description of eligible investment securities, and a written
statement of investment policy and objectives.
• A description of interest calculations and how it is distributed, and
how gains and losses are treated.
• A description of how the securities are safeguarded (including the
settlement processes), and how often the securities are priced and
the program audited.
• A description of who may invest in the program, how often, and
what size of deposits and withdrawals are allowed.
• A schedule for receiving statements and portfolio listings.
• A description of how the pool/fund utilizes reserves, retained
earnings, etc.
• A fee schedule, including when and how fees are assessed.
• The eligibility of the pool/fund to invest in bond proceeds and
special district funds, and a description of its practices
(I) Diversification
The City shall diversify the investments within the portfolio to avoid incurring
unreasonable risks inherent in over-investing in specific instruments, individual
financial institutions, or maturities. To promote diversification, no more than 5%
of the portfolio may be invested in the securities of any one issuer, regardless of
security type; excluding U.S. Treasuries, federal agencies, supranationals, and
pooled investments such as LAIF, money market funds, or local government
investment pools.
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Packet Pg. 232 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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(J) Maximum Maturities
For those investment types for which this Policy does not specify a maturity
limit, no individual investment shall exceed a maturity of five years from the date
of purchase unless the City Council has granted express authority to make that
investment either specifically or as a part of an investment program approved by
the City Council no less than three months prior to the investment. The
weighted average duration of the investment portfolio shall not exceed 3.0
years.
(K) Authorized Investments of the City
The following types of investments are authorized by this Policy:
1. U.S. Treasury Instruments. United States Treasury notes, bonds, bills, or
certificates of indebtedness, or those for which the faith and credit of the
United States are pledged for the payment of principal and interest.
There is no limitation as to the percentage of the City’s portfolio that may
be invested in this category. The maximum maturity for this investment is
five years from the time of purchase.
2. State of California’s Local Agency Investment Fund (LAIF). A State of
California-managed investment pool. The maximum amount invested in
this category may not exceed the limit set by LAIF for operating accounts.
For 2020 that deposit limit is $75 million.
3. Local Government Investment Pools (“LGIP”). Shares of beneficial
interest issued by joint powers authority organized pursuant to Section
6509.7 that invests in the securities and obligations authorized in
Government Code (e.g. Cal Trust). The City will limit investments to LGIPs
that seek to maintain a stable net asset value. There is no limitation as to
the percentage of the City’s portfolio that may be invested in this
category.
4. Municipal Bonds. Registered state warrants or treasury notes or bonds
of this state, including bonds payable solely out of the revenues from a
revenue-producing property owned, controlled, or operated by the state
or by a department, board, agency, or authority of the state.
Registered treasury notes or bonds of any of the other 49 states in
addition to California, including bonds payable solely out of the revenues
from a revenue-producing property owned, controlled, or operated by a
state or by a department, board, agency, or authority of any of the other
49 states, in addition to California.
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Packet Pg. 233 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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Bonds, notes, warrants, or other evidences of indebtedness of a local
agency within this state, including bonds payable solely out of the
revenues from a revenue-producing property owned, controlled, or
operated by the local agency, or by a department, board, agency, or
authority of the local agency.
Purchases are limited to securities rated in a rating category of “A” (long-
term) or “A-1” (short-term) or their equivalents or better by a Nationally
Recognized Statistical Rating Organization (NRSRO). A maximum of 30%
the City’s portfolio may be invested in this category. The maximum
maturity for this investment is five years from the time of purchase.
5. Federal Agency Securities. Federal agency or United States government-
sponsored enterprise obligations, participations, or other instruments,
including those issued by or fully guaranteed as to principal and interest
by federal agencies or United States government-sponsored enterprises.
There is no limitation as to the percentage of the City’s portfolio that may
be invested in this category. The maximum maturity for this investment
is five years from the time of purchase.
6. Negotiable Certificates of Deposit. Negotiable certificates of deposit
issued by a nationally or state-chartered bank, a savings association or a
federal association, a state or federal credit union, or by a federally
licensed or state-licensed branch of a foreign bank. Securities in this
category shall be limited to the maximum amount covered by federal
deposit insurance currently set at $250,000 for 2019. A maximum of 30%
the City’s portfolio may be invested in this category. The maximum
maturity for this investment is five years from the time of purchase.
7. Commercial Paper. Commercial paper of “prime” quality of the highest
ranking or of the highest letter and number rating as provided for by a
NRSRO. The entity that issues the commercial paper shall meet all of the
following conditions in either paragraph (1) or (2):
(1) The entity meets the following criteria: (A) Is organized and
operating in the United States as a general corporation; (B) Has
total assets in excess of five hundred million dollars
($500,000,000), and (C) Has debt other than commercial paper, if
any, that is rated in a rating category of “A” or its equivalent or
better by an NRSRO.
(2) The entity meets the following criteria: (A) Is organized within the
United States as a special purpose corporation, trust, or limited
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Packet Pg. 234 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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liability company, (B) Has program-wide credit enhancements
including, but not limited to, overcollateralization, letters of
credit, or a surety bond, and (C) Has commercial paper that is
rated “A-1” or better, or the equivalent, by an NRSRO.
Purchases are limited to securities that have a maximum maturity of 270
days. A maximum of 25% the City’s portfolio may be invested in this
category with a maximum of 5% per issuer.
8. Corporate or Medium-Term Notes. Corporate or medium-term notes,
defined as all corporate and depository institution debt securities with a
maximum remaining maturity of five years or less, issued by corporations
organized and operating within the United States or by depository
institutions licensed by the United States or any state and operating
within the United States. Purchases are limited to securities rated in a
rating category of “A” or its equivalent or better by an NRSRO. A
maximum of 30% the City’s portfolio may be invested in this category
with a maximum of 5% per issuer.
9. Money Market Funds (“MMF”). Purchases are restricted to Government
Money Market Funds. Furthermore, these Money Market Funds must
have met either of the following criteria: (A) Attained the highest ranking
or the highest letter and numerical rating provided by not less than two
NRSROs, or (B) Retained an investment advisor with not less than five
years’ experience and registered or exempt from registration with the
SEC, with assets under management in excess of five hundred million
dollars ($500,000,000). A maximum of 20% of the City’s portfolio may be
invested in this category.
10. Supranational Obligations. United States dollar denominated senior
unsecured unsubordinated obligations issued or unconditionally
guaranteed by the International Bank for Reconstruction and
Development, International Finance Corporation, or Inter-American
Development Bank, with a maximum remaining maturity of five years or
less, and eligible for purchase and sale within the United States.
Investments under this subdivision shall be rated in a rating category of
“AA” or its equivalent or better by a NRSRO. A maximum of 10% the
City’s portfolio may be invested in this category with a maximum of 5%
per issuer. State law limits the percentage to 30% of the portfolio.
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Packet Pg. 235 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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11. Bankers Acceptances. Bankers’ acceptances are short-term debt
instruments issued by a company that is guaranteed by a commercial
bank. Bankers Acceptances are limited to institutions with short-term
debt obligations of A-1 or higher and have long term debt obligations
rated “A” or higher, or the equivalent by a NRSRO. The maturity shall not
exceed 180 days and no more than 30 percent of the total portfolio may
be invested in banker’s acceptances and no more than 5% per issuer.
City of San Bernardino Authorized Investment Policy Table
Investment Type Maximum Term Maximum % of
Portfolio
Maximum per
Issuer Minimum Rating
US Treasury
Obligations 5 Years NONE NONE NONE
Local Agency
Investment Fund
(LAIF) N/A
The City may invest up
to the maximum
amount permitted by
California state law.
N/A NONE
Joint Powers/Local
Government
Investment Pool
N/A NONE N/A NONE
Municipal Debt 5 Years 30% A1, A
Federal Agency
Obligations 5 Years NONE NONE NONE
Certificate of
Deposits
5 Years 30% NONE
Securities in this
category shall be
limited to the
maximum amount
covered by federal
deposit insurance.
Commercial Paper 270 Days 25% 5% A1/P1 , A
Medium
Term/Corporate
Notes
5 Years 30% 5% A
Money Market
Mutual Funds N/A 20% NONE AAA
Supranational
Obligations (IBRD,
IFC, IDB)
5 Years 10% 5% AA
Banker’s
Acceptances 180 Days 30% 5% A1, A
(L) Prohibited Investments
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Packet Pg. 236 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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Furthermore, the City will not invest in inverse floaters, range notes, mortgage-
derived, interest-only strips, or any security that could result in zero interest
accrual if held to maturity. In order to anticipate market changes and provide a
level of security for all funds, the collateralization level will 100% of market value
for Certificate of Deposits and 102% for reverse purchase agreements or
principal and accrued interest. Collateral will always be held by an independent
third party with whom the entity has a current custodial relationship
(M) Performance Standards
The investment portfolio shall be managed with the objective of obtaining a
market-average rate of return during budgetary and economic cycles,
considering the City’s investment risk constraints and the cash flow needs.
Investment return is a consideration only after the core investment portfolio
tenets of safety and liquidity have been met. The Director of Finance will adopt
a benchmark which best approximates the composition and weighted average
maturity of the City’s portfolio. The City will monitor the City’s portfolio yield
against the US Treasury Constant Maturity and the performance yield presented
by LAIF. However, the benchmark will be used only as a reference tool and does
not infer that the portfolio will be managed in an attempt to attain or exceed the
stated benchmark. Benchmarks may change over time based on changes in
market conditions or cash flow requirements. The selected performance
benchmarks shall be representative of the City’s overall investment objectives
and liquidity requirements.
(N) Investment Reporting
The Director of Finance shall submit to the City Council, on a monthly basis, a
report summarizing the individual transactions executed within the month. The
Director of Finance shall submit to the City Council on a quarterly basis a report
summarizing the status of the current investment portfolio and the individual
transactions executed over the last quarter. The report shall be prepared in a
manner which shall allow the City Council to ascertain whether investment
activities during the reporting period have conformed to the Investment Policy.
The report will include the following elements:
• Type of investment
• Institution/Issuer
• Purchase Date
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Packet Pg. 237 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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• Date of maturity
• Amount of deposit or cost of the investment
• Face value of the investment
• Current market value of securities and source of valuation
• Rate of interest
• Interest earnings
• Statement relating the report to its compliance with the Statement of
Investment Policy or the manner in which the portfolio is not in
compliance
• Statement on availability of funds to meet the next six month’s
obligations
• Percentage of Portfolio by Investment Type
• Days to Maturity for all Investments
• Comparative report on Monthly Investment Balances & Interest Yields
• Monthly transactions
(O) Portfolio Review
The Director of Finance shall continually monitor portfolio performance to
ensure that the securities in the portfolio are in compliance with this Policy. The
Director of Finance shall report any issues of material non-compliance in the
next quarterly Investment Report. Percentage holding limits and diversification
requirements listed in this Policy apply at the time a security is purchased. If a
percentage holding limit or diversification requirement is exceeded due to a
subsequent change in the portfolio, it is not a compliance violation, but no
additional securities may be purchased in that category or for that issuer until
the holdings are back under the Policy limits. Credit ratings, where shown,
specify the minimum credit rating category required at purchase. In the event a
security held by the City is subject to a credit rating change that brings it below
the minimum credit ratings specified in this Policy, the Director of Finance will
notify the City Council of the change in the next quarterly Investment Report.
The course of action to be followed will then be decided on a case-by-case basis,
considering such factors as the reason for the change, prognosis for recovery or
further rating downgrades, and the market price of the security. If a security is
determined to be out of compliance with this Policy due to a subsequent change
in this Policy or the Government Code, it may be held to maturity unless there is
a requirement that the security be sold.
(P) Debt Proceeds
Debt proceeds and bond reserve funds are to be invested in accordance with
their respective bond indenture. If the indenture is silent as to the permitted
8.b
Packet Pg. 238 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
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investments, the bond proceeds will be invested in the securities permitted by
this Policy. Notwithstanding the other provisions of this Policy, the percentage
limitations listed elsewhere in this Policy do not apply to bond proceeds and
bond proceeds may be invested beyond five years if the maturities of such
investments do not exceed the expected use of the funds, the investments are
deemed prudent in the opinion of the Director of Finance, and the investments
are not prohibited by the applicable bond documents. Tax and Revenue
Anticipation Notes or other temporary financing proceeds shall not be invested
for a term that exceeds the term of the debt.
(Q) Safekeeping
To protect against potential losses by collapse of individual securities dealers, all
deliverable securities owned by the City, including collateral on repurchase
agreements, shall be held in safekeeping by a third party bank trust department
acting as agent for the City under the terms of a custody agreement executed by
the bank and by the City. All deliverable securities will be received and delivered
using standard delivery-versus-payment procedures.
(R) Qualified Financial Institutions and Broker/Dealers
The Director of Finance shall maintain a list of approved financial institutions
authorized to provide investment related services to the City. In addition, the
City shall maintain a list of approved security broker/dealers selected by
conducting a process of due diligence. These may include ‘primary’ dealers or
regional dealers that qualify under Securities and Exchange Commission (“SEC”)
Rule 15C3-1 (uniform net capital rule). A copy of this Investment Policy shall be
sent annually to all firms with which the City executes investments.
Additionally, all financial institutions and broker/dealers who desire to become
qualified bidders of investment transactions must provide the Director of
Finance with the following:
• Audited Financial Statements
• Proof of State Registration
• Copy of most recently filed Financial Industry Regulated Authority
(FINRA) documentation
• Certification of having read the Investment Policy and depository
contracts of the City of San Bernardino
The Director of Finance will review the existing list of either qualified
broker/dealers or qualified bidders for investment transactions on an annual
basis. At the discretion of the Director of Finance, and with the due diligence
noted above, add or delete either broker/dealers or qualified bidders.
8.b
Packet Pg. 239 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
- 14 -
(S) Continuing Education and Training
To ensure the highest level of professional standards for the execution of the
investment program, investment staff responsible for the day-to-day
management of the portfolio are encouraged to engage in continuing education
in the areas of cash and investment management.
8.b
Packet Pg. 240 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
- 15 -
GLOSSARY
AGENCIES: Federal agency securities.
BANKERS’ ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company.
The accepting institution guarantees payment of the bill, as well as the issuer. The drafts are
drawn on a bank by an exporter or importer to obtain funds to pay for specific merchandise.
An acceptance is a high grade negotiable instrument.
BENCHMARK: A comparative base for measuring the performance or risk tolerance of the
investment portfolio. A benchmark should represent a close correlation to the level of risk and
the average duration of the portfolio’s investments.
BROKER: A broker brings buyers and sellers together for a commission. He/she does not take a
position.
CERTIFICATE OF DEPOSIT (CD): A time deposit with a specific maturity evidenced by a
certificate. Large-denomination CD’s are typically negotiable.
COLLATERAL: Securities, evidence of deposit or other property, which a borrower pledges to
secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of
public monies.
COMMERCIAL PAPER: Short term unsecured promissory note issued by a corporation (including
limited liability companies) to raise working capital. These negotiable instruments are
purchased at a discount to par value or at par value with interest bearing. Commercial paper is
issued by corporations such as General Motors Acceptance Corporation, IBM, Bank of America,
etc.
COUPON: a) The annual rate of interest that a bond’s issuer promises to pay the bondholder on
the bond’s face value. b) A certificate attached to a bond evidencing interest due on a payment
date.
DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions; buying and
selling for his/her own account.
8.b
Packet Pg. 241 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
- 16 -
DELIVERY VERSUS PAYMENT: There are two methods of delivery of securities: delivery versus
payment and delivery versus receipt. Delivery versus payment is delivery of securities with an
exchange of money for the securities. Delivery versus receipt is delivery of securities with an
exchange of a signed receipt for the securities.
DIVERSIFICATION: Dividing investment funds among a variety of securities offering
independent returns.
FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to
various classes of institutions (e.g. S&L’s, Small business firms, students, farmers, farm
cooperatives, and exporters).
FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A Federal agency
that insures bank deposits, currently up to $250,000 per deposit.
LIQUIDITY: A liquid asset is one that can be converted easily and rapidly into cash without a
substantial loss of value. In the money market, a security is said to be liquid if the spread
between bid and asked prices is narrow and a reasonable size can be done at those quotes.
LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political
subdivisions that are placed in the custody of the State Treasurer for investment and
reinvestment.
MARKET VALUE: The price at which a security is trading and could presumably be purchased or
sold.
MATURITY: The date upon which the principal or stated value of an investment becomes due
and payable.
MONEY MARKET: The market in which short-term debt instruments (bills, commercial paper,
bankers’ acceptances, etc.) are issued and traded.
NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION
(“NRSRO”): Firms that review and assess the creditworthiness of an obligor as an entity or with
respect to specific securities or money market instruments and express their opinion in the
form of a letter rating. A credit rating agency may apply to the SEC for registration as a
nationally recognized statistical rating organization (“NRSRO”). The primary rating agencies are
Standard & Poor’s Corporation, Moody’s Investor Services, Inc. and Fitch, Inc.
8.b
Packet Pg. 242 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
- 17 -
Negotiable Certificates of Deposit: Generally, short-term debt instrument that usually pays
interest and is issued by a bank, savings or federal association, state or federal credit union, or
state-licensed branch of a foreign bank. Negotiable CDs are traded in a secondary market and
are payable upon order to the bearer or initial depositor (investor). Negotiable CDs are insured
by FDIC up to $250,000, but they are not collateralized beyond that amount.
Non-Negotiable Certificates of Deposit: CDs that carry a penalty if redeemed prior to maturity.
Non-negotiable CDs issued by banks and savings and loans are insured by the Federal Deposit
Insurance Corporation up to the amount of $250,000, including principal and interest. Amounts
deposited above this amount may be secured with other forms of collateral through an
agreement between the investor and the issuer. Collateral may include other securities
including Treasuries or agency securities such as those issued by the Federal National Mortgage
Association.
PORTFOLIO: Collection of securities held by an investor.
PRIMARY DEALER: A group of government securities dealers who submit daily reports of
market activity and positions and monthly financial statements to the Federal Reserve Bank of
New York and are subject to its informal oversight. Primary dealers include Securities and
Exchange Commission (SEC)-registered securities broker/dealers, banks and a few unregulated
firms.
PRUDENT PERSON RULE: An investment standard. In some states, the law requires that a
fiduciary, such as a trustee, may invest money only in a list of securities selected by the custody
state—the so-called “legal list”. In other states, the trustee may invest in a security if it is one
that would be bought by a prudent person of discretion and intelligence who is seeking a
reasonable income and preservation of capital.
RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current
market price. This may be the amortized yield to maturity; on a bond, the current income
return.
SAFEKEEPING: The service provided by banks and trust companies for clients when the bank or
trust company stores the securities, takes in coupon payments, and redeems issues at maturity.
8.b
Packet Pg. 243 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Exhibit A
- 18 -
SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors in
securities transactions by administering securities legislation.
SEC RULE 15C3-1: See “Uniform Net Capital Rule”.
SUPRANATIONAL SECURITIES: United States dollar denominated senior unsecured
unsubordinated obligations issued or unconditionally guaranteed by the International Bank for
Reconstruction and Development (IBRD), International Finance Corporation (IFC), or Inter-
American Development Bank (IDB), with a maximum remaining maturity of five years or less,
and eligible for purchase and sale within the United States. Investments under this subdivision
shall be rated “AA” or better by an NRSRO and shall not exceed 10 percent of the agency’s
moneys that may be invested pursuant to this section.
TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance
the national debt. Most bills are issued to mature in three months, six months, or one year.
TREASURY BOND: Long-term U.S. Treasury securities having initial maturities of more than 10
years.
TREASURY NOTES: Intermediate-term coupon bearing U.S. Treasury having initial maturities of
from one year to ten years.
UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member
firms as well as nonmember broker/dealers in securities maintain a maximum ratio of
indebtedness to liquid capital of 15 to 1; also called net capital rule and net capital ratio.
Indebtedness covers all money owed to a firm, including margin loans and commitments to
purchase securities, one reason new public issues are spread among members of underwriting
syndicates. Liquid capital includes cash and assets easily converted into cash.
YIELD: The rate of annual income return on an investment, expressed as a percentage.
(a) Income Yield is obtained by dividing the current dollar income by the current market
price for the security. (b) Net Yield or Yield to Maturity is the current income yield minus any
premium above par or plus any discount from par in purchase price, with the adjustment
spread over the period from the date of purchase to the date of maturity of the bond.
8.b
Packet Pg. 244 Attachment: FN- City Investment Policy FY20-21. EXHIBIT A (6751 : Approve City Investment Policy for FY 2020/21)
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Paul Espinoza, Finance Director
Subject: Monthly Investment Portfolio Report for May 2020
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California accept and file the Monthly Investment Portfolio Report for May 2020.
Background
The City’s Statement of Investment Policy requires that a monthly Investment Portfolio
Report be prepared and submitted to the Mayor and City Council. The Director of
Finance will prepare, review, and present the City’s Investment Portfolio Report and
confirm that the portfolio is in compliance with the City’s Investment Policy.
Discussion
The Investment Portfolio Report provides a synopsis of investment activity for the City’s
investment portfolio for the month ended May 31, 2020.
As of November 6, 2019, the City’s Investment Portfolio is in full compliance with the
California Government Code Section 53601, and there is sufficient cash flow from a
combination of liquid and maturing securities, bank deposits, and income to meet the
City’s expenditure requirements.
2020-2025 Key Strategic Targets and Goals
The acceptance and filing of the attached Investment Portfolio Report aligns with Key
Target No. 1: Financial Stability by Implementing and maintaining and updating a fiscal
accountability plan.
Fiscal Impact
None
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California accept and file the Monthly Investment Portfolio Report for May 2020.
Attachments
Attachment 1 Investment Portfolio Management Summary Report
9
Packet Pg. 245
6778
Page 2
Ward: All
Synopsis of Previous Council Actions: None
9
Packet Pg. 246
CITY OF SAN BERNARDINO
Portfolio Management
May 31, 2020
CITY OF SAN BERNARDINO
FINANCE DEPARTMENT
290 N D. ST
SAN BERNARDINO, CA 92401
(909)384-5242Portfolio Summary
% of
Portfolio
Book
ValueInvestmentsMarket
Value
Par
Value
Days to
MaturityTerm
YTM
360 Equiv.
YTM
365 Equiv.
State Local Agency Investment Fund 68,780,949.29 149.53 1.344168,780,949.2968,780,949.29 1.363
Managed Pool Accounts 1,774.21 10.00 1.02611,774.211,774.21 1.040
Corporate Notes 11,106,516.06 1,3398.00 1.8951,17411,289,804.5911,062,890.00 1.921
Federal Agency Issues - Coupon 39,427,750.04 1,43928.39 1.73664039,956,897.0039,425,000.00 1.760
Supranationals 2,004,853.36 1,4451.44 1.8201,3372,016,470.002,000,000.00 1.845
Treasury Securities - Coupon 4,994,139.44 1,2753.60 2.1723245,088,680.005,000,000.00 2.202
Certificates of Deposit 5,940,000.00 1,5724.28 2.4667616,233,442.195,940,000.00 2.500
Money Market Funds 6,605,108.94 14.76 0.05916,605,108.946,605,108.94 0.060
138,861,091.34 100.00%Investments 139,973,126.22138,815,722.44 650 340 1.523 1.544
Cash and Accrued Interest
138,882,976.06Total Cash and Investments
21,884.72Subtotal
21,884.72
139,995,010.94138,815,722.44
21,884.72
21,884.72
650 340 1.523 1.544
Accrued Interest at Purchase
Current Year
May 31
176,930.90
Fiscal Year To Date
1,834,241.94
Average Daily Balance
Effective Rate of Return
121,989,860.63 107,516,785.34
1.85%1.71%
Total Earnings Month Ending
"I certify that this report accurately reflects all pooled investments and is in conformity with the Investment Policy Statement approved by the Mayor and City Council on November 6, 2019.
*Book Value is amortized Cost Basis
**Market Values provided by BNY Western Trust.
__________________________________________________ ____________________
PAUL ESPINOZA, DIRECTOR OF FINANCE
Portfolio CITY
AP
Reporting period 05/01/2020-05/31/2020
Run Date: 06/05/2020 - 15:28 PM (PRF_PM1) 7.3.0
Report Ver. 7.3.3b
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Page 1
Par Value Book Value
Maturity
Date
Stated
RateMarket Value
May 31, 2020
Portfolio Details - Investments
Average
BalanceIssuer
Portfolio Management
CITY OF SAN BERNARDINO
Days to
MaturityMoody'sCUSIPInvestment #
Purchase
Date
State Local Agency Investment Fund
1.344LOCAL AGENCY INVESTMENT FUND10001 68,780,949.29 68,780,949.29 1.36368,780,949.29SYS 1
68,780,949.2968,780,949.2968,780,949.2954,159,981.55Subtotal and Average 1.344 1
Managed Pool Accounts
1.026CALTRUST GOVT INVESTMENT FUND20008 1,774.21 1,774.21 1.0401,774.2120008 1
1,774.211,774.211,774.211,769.26Subtotal and Average 1.026 1
Corporate Notes
1.908AMERICAN HONDA FINANCE CORP30559 1,000,000.00 1,000,441.25 05/10/20231.95001/10/2020 1,016,190.00 A02665WDH1 1,073
1.732APPLE INC30554 1,000,000.00 998,750.55 09/11/20221.70012/10/2019 1,031,030.00 Aaa037833DL1 832
1.778APPLE INC30561 998,890.00 998,890.00 09/11/20241.80001/24/2020 1,049,693.55 Aaa037833DM9 1,563
2.152BANK OF AMERICA CORPORATION30549 1,000,000.00 1,000,000.00 10/30/20222.10010/30/2019 1,003,760.00 Aa06048WD72 881
2.201BANK OF AMERICA CORPORATION30568 1,000,000.00 1,000,000.00 02/28/20252.05002/28/2020 988,980.0006048WH94 1,733
1.904BANK OF NEW YORK MELLON CORP30547C 2,000,000.00 2,016,571.74 08/16/20232.20010/16/2019 2,082,940.00 Aaa06406FAD5 1,171
1.180JOHNSON & JOHNSON30570 1,000,000.00 1,003,371.23 03/01/20211.65003/03/2020 1,009,230.00 Aaa478160BS2 273
2.271J.P. MORGAN CHASE & CO30551 1,000,000.00 1,000,000.00 12/23/20242.30012/23/2019 984,160.00 Aaa48128GN97 1,666
1.731CHARLES SCHWAB CORP30563 1,064,000.00 1,088,491.29 01/25/20232.65001/27/2020 1,119,711.04 Aa808513AT2 968
2.096TOYOTA MOTOR CREDIT CORP30548 1,000,000.00 1,000,000.00 10/22/20242.12510/22/2019 1,004,110.00 Aaa89236TGN9 1,604
11,106,516.0611,289,804.5911,062,890.0011,107,237.30Subtotal and Average 1.895 1,174
Federal Agency Issues - Coupon
1.726FEDERAL FARM CREDIT BANK30536 1,000,000.00 1,000,000.00 10/26/20201.75010/26/2017 1,006,400.00 Aaa3133EHJ95 147
1.567FEDERAL FARM CREDIT BANK30555 2,000,000.00 2,015,663.59 12/13/20212.11012/31/2019 2,057,940.00 Aaa3133EH2T9 560
1.618FEDERAL FARM CREDIT BANK30557 1,000,000.00 1,000,000.00 04/09/20211.64001/09/2020 1,001,200.00 Aaa3133ELGK4 312
1.612FEDERAL FARM CREDIT BANK30564 1,000,000.00 999,101.95 02/10/20231.60002/11/2020 1,006,430.003133ELMD3 984
1.647FEDERAL FARM CREDIT BANK30567 1,000,000.00 1,000,000.00 06/03/20241.67003/03/2020 1,000,040.003133ELQU1 1,463
0.819FEDERAL FARM CREDIT BANK30571 1,000,000.00 1,000,000.00 12/16/20210.83003/16/2020 1,000,020.003133ELTM6 563
0.773FEDERAL FARM CREDIT BANK30572 1,000,000.00 999,569.44 09/16/20210.75003/16/2020 1,000,020.003133ELTL8 472
1.164FEDERAL HOME LOAN BANK30516 1,000,000.00 1,000,527.00 09/11/20201.37511/02/2016 1,003,470.00 Aaa313380WG8 102
1.781FEDERAL HOME LOAN BANK30522 1,000,000.00 998,613.90 12/24/20201.55001/09/2017 1,008,060.00 Aaa313381P25 206
1.913FEDERAL HOME LOAN BANK30523 1,000,000.00 999,009.45 11/29/20211.87501/19/2017 1,025,720.00 Aaa3130AABG2 546
1.926FEDERAL HOME LOAN BANK30528 1,000,000.00 998,898.34 11/29/20211.87502/14/2017 1,025,720.00 Aaa3130AABG2 546
1.672FEDERAL HOME LOAN BANK30534 1,000,000.00 1,000,447.97 04/07/20211.75006/14/2017 1,013,840.00 Aaa3130AB5A0 310
1.687FEDERAL HOME LOAN BANK30535 1,000,000.00 1,001,631.21 06/11/20211.87506/22/2017 1,017,120.00 Aaa313379RB7 375
2.541FEDERAL HOME LOAN BANK30539 1,000,000.00 1,000,798.77 09/11/20202.87506/11/2018 1,007,430.00 Aaa313370US5 102
2.836FEDERAL HOME LOAN BANK30540C 1,000,000.00 1,000,000.00 01/29/20242.87501/29/2019 1,014,260.00 Aaa3130AFRQ2 1,337
Portfolio CITY
AP
Run Date: 06/05/2020 - 15:28 PM (PRF_PM2) 7.3.0
Report Ver. 7.3.3b
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Page 2
Par Value Book Value
Maturity
Date
Stated
RateMarket Value
May 31, 2020
Portfolio Details - Investments
Average
BalanceIssuer
Portfolio Management
CITY OF SAN BERNARDINO
Days to
MaturityMoody'sCUSIPInvestment #
Purchase
Date
Federal Agency Issues - Coupon
1.775FEDERAL HOME LOAN BANK30552 1,000,000.00 1,000,000.00 12/19/20221.80012/19/2019 1,000,630.00 Aaa3130AHPB3 931
1.795FEDERAL HOME LOAN BANK30556 1,000,000.00 1,000,000.00 12/23/20221.82012/31/2019 1,000,870.00 Aaa3130AHRV7 935
1.726FEDERAL HOME LOAN BANK30565 2,000,000.00 2,000,000.00 02/12/20251.75002/12/2020 2,001,460.003130AJ5F2 1,717
1.529FEDERAL HOME LOAN BANK30566 1,000,000.00 1,000,000.00 03/25/20241.55003/25/2020 1,005,340.003130AJAX7 1,393
1.341FEDERAL HOME LOAN MORTGAGE CRP30518 1,000,000.00 997,283.32 08/12/20211.12511/07/2016 1,011,070.00 Aaa3137EAEC9 437
1.978FEDERAL HOME LOAN MORTGAGE CRP30525C 425,000.00 424,964.80 01/26/20222.00001/30/2017 436,577.00 Aaa3134GAU44 604
2.096FEDERAL HOME LOAN MORTGAGE CRP30529C 1,000,000.00 1,000,000.00 02/28/20222.12502/28/2017 1,033,380.00 Aaa3134GA5T7 637
1.973FEDERAL HOME LOAN MORTGAGE CRP30530C 1,000,000.00 1,000,000.00 09/16/20212.00003/16/2017 1,023,260.00 Aaa3134GA5C4 472
1.933FEDERAL HOME LOAN MORTGAGE CRP30531 1,000,000.00 999,059.68 07/26/20211.87503/06/2017 1,020,280.00 Aaa3134G9M20 420
2.042FEDERAL HOME LOAN MORTGAGE CRP30537C 1,000,000.00 998,723.60 04/26/20222.00011/06/2017 1,034,230.00 Aaa3134GBP55 694
2.841FEDERAL HOME LOAN MORTGAGE CRP30541C 1,000,000.00 1,000,000.00 03/20/20242.88003/20/2019 1,001,360.00 Aaa3134GS5Q4 1,388
1.627FEDERAL HOME LOAN MORTGAGE CRP30558 1,000,000.00 1,000,000.00 07/13/20221.65001/13/2020 1,001,540.00 Aaa3134GUW55 772
1.272FEDERAL NATIONAL MORTGAGE ASSO30510C 1,000,000.00 999,938.54 09/29/20201.27009/29/2016 1,001,900.00 Aaa3136G37C3 120
1.332FEDERAL NATIONAL MORTGAGE ASSO30512C 1,000,000.00 1,000,000.00 03/29/20211.35009/29/2016 1,008,510.00 Aaa3136G4BD4 301
1.411FEDERAL NATIONAL MORTGAGE ASSO30513 1,000,000.00 999,223.26 10/07/20211.37510/13/2016 1,015,890.00 Aaa3135GOQ89 493
1.401FEDERAL NATIONAL MORTGAGE ASSO30515 1,000,000.00 999,411.66 10/07/20211.37510/31/2016 1,015,890.00 Aaa3135G0Q89 493
1.341FEDERAL NATIONAL MORTGAGE ASSO30517 1,000,000.00 1,000,144.47 10/07/20211.37511/03/2016 1,015,890.00 Aaa3135GOQ89 493
1.716FEDERAL NATIONAL MORTGAGE ASSO30519 1,000,000.00 995,294.17 10/07/20211.37511/18/2016 1,015,890.00 Aaa3135G0Q89 493
1.946FEDERAL NATIONAL MORTGAGE ASSO30524 1,000,000.00 1,000,405.86 01/05/20222.00001/23/2017 1,028,550.00 Aaa3135G0S38 583
1.994FEDERAL NATIONAL MORTGAGE ASSO30526 1,000,000.00 999,676.25 01/05/20222.00002/02/2017 1,028,550.00 Aaa3135G0S38 583
1.775FEDERAL NATIONAL MORTGAGE ASSO30527C 1,000,000.00 1,000,000.00 08/21/20201.80002/21/2017 1,003,590.00 Aaa3136G4LA9 81
2.014FEDERAL NATIONAL MORTGAGE ASSO30532 1,000,000.00 999,362.81 01/05/20222.00003/02/2017 1,028,550.00 Aaa3135G0S38 583
2.140FEDERAL NATIONAL MORTGAGE ASSO30533C 1,000,000.00 1,000,000.00 03/29/20222.17003/29/2017 1,036,020.00 Aaa3136G4MQ3 666
39,427,750.0439,956,897.0039,425,000.0040,105,814.75Subtotal and Average 1.736 640
Supranationals
1.726INTL BK RECON & DEVELOPMENT30562 1,000,000.00 1,000,000.00 01/27/20231.75001/27/2020 1,007,950.00 Aaa45905U5U4 970
1.913INTL BK RECON & DEVELOPMENT30569 1,000,000.00 1,004,853.36 01/28/20252.05003/03/2020 1,008,520.00 Aaa459058HV8 1,702
2,004,853.362,016,470.002,000,000.002,004,896.13Subtotal and Average 1.820 1,337
Treasury Securities - Coupon
1.501U.S. TREASURY40000 1,000,000.00 1,000,079.47 06/30/20201.62511/28/2016 1,001,210.00 Aaa912828XH8 29
1.919U.S. TREASURY40001C 1,000,000.00 1,000,645.91 08/31/20212.00002/21/2017 1,022,540.00 Aaa912828D72 456
2.348U.S. TREASURY40002 1,000,000.00 998,551.98 07/31/20212.25002/12/2018 1,023,870.00 Aaa912828WY2 425
2.510U.S. TREASURY40003 1,000,000.00 996,715.74 07/31/20212.25006/04/2018 1,023,870.00 Aaa912828WY2 425
2.584U.S. TREASURY40004 1,000,000.00 998,146.34 03/15/20212.37506/25/2018 1,017,190.00 Aaa9128284B3 287
Portfolio CITY
AP
Run Date: 06/05/2020 - 15:28 PM (PRF_PM2) 7.3.0
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Page 3
Par Value Book Value
Maturity
Date
Stated
RateMarket Value
May 31, 2020
Portfolio Details - Investments
Average
BalanceIssuer
Portfolio Management
CITY OF SAN BERNARDINO
Days to
MaturityMoody'sCUSIPInvestment #
Purchase
Date
4,994,139.445,088,680.005,000,000.004,993,937.89Subtotal and Average 2.172 324
Certificates of Deposit
1.7261ST TECHNOLOGY FEDERAL CREDIT80034 248,000.00 248,000.00 06/30/20211.75006/30/2016 251,118.3533715LAD2 394
2.022AMERICAN EXPRESS CENTURION BK80038 247,000.00 247,000.00 12/01/20212.05012/01/2016 252,967.5202587DM70 548
2.170BMW BANK80041 247,000.00 247,000.00 02/24/20222.20002/24/2017 254,840.3505580AGK4 633
2.614CAPITAL ONE NATIONAL ASSOC80054 247,000.00 247,000.00 05/30/20242.65005/30/2019 270,275.5814042RLW9 1,459
2.860CITI BANK SALT LAKE CITY UTAH80043 246,000.00 246,000.00 05/24/20212.90005/23/2018 251,617.3917312QM22 357
2.712COMENITY CAPITAL BANK80052 249,000.00 249,000.00 04/15/20242.75004/29/2019 272,847.5520033AU61 1,414
2.416EAGLE BANK80053 249,000.00 249,000.00 05/24/20222.45005/24/2019 259,798.6127002YEP7 722
1.825CAPITAL ONE BANK USA NATL80026 248,000.00 248,000.00 06/03/20201.85006/03/2015 248,058.16140420RT9 2
3.107GOLDMAN SACHS GROUP INC.80046 245,000.00 245,000.00 01/17/20233.15001/16/2019 263,841.1938148P4B0 960
2.910MEDALLION BANK80044 249,000.00 249,000.00 06/04/20212.95006/04/2018 254,821.0758404DCA7 368
2.860MORGAN STANLEY BANK80042 246,000.00 246,000.00 05/10/20212.90005/10/2018 251,399.1161747MX63 343
3.008MORGAN STANLEY PRIVATE BANK80048 246,000.00 246,000.00 01/31/20243.05001/31/2019 271,077.5461760AVF3 1,339
2.564MORGAN STANLEY PRIVATE BANK80055 247,000.00 247,000.00 06/13/20242.60006/13/2019 270,047.0561760AG52 1,473
2.712NORTHWESTERN BANK80049 245,000.00 245,000.00 02/13/20232.75002/13/2019 261,686.90668015AL4 987
2.712OXFORD BANK & TRUST80051 245,000.00 245,000.00 06/28/20222.75002/28/2019 257,868.6369140WAS4 757
2.022STEARNS BANK80039 249,000.00 249,000.00 01/13/20222.05001/13/2017 255,630.99857894SK6 591
1.677SYNCHRONY BANK80036 247,000.00 247,000.00 10/21/20211.70010/21/2016 251,058.5387165FNC4 507
2.959TIAA FSB80050 245,000.00 245,000.00 02/22/20243.00002/22/2019 269,950.7887270LBU6 1,361
2.959UBS FINANCE COMMERCIAL PAPER80045 249,000.00 249,000.00 06/14/20213.00006/13/2018 255,108.6490348JCU2 378
2.022WASHINGTON FIRST BK RESTON80040 247,000.00 247,000.00 02/23/20222.05002/23/2017 254,177.52940727AH3 632
3.156WELLS FARGO BK NA80047 500,000.00 500,000.00 01/18/20243.20001/18/2019 553,401.30949763WU6 1,326
1.301WELLS FARGO BANK20033 250,000.00 250,000.00 06/28/20201.30106/28/2018 250,000.001611507847 27
1.726WELLS FARGO BANK80033 249,000.00 249,000.00 06/17/20211.75006/17/2016 251,849.439497485W3 381
5,940,000.006,233,442.195,940,000.006,076,000.00Subtotal and Average 2.466 761
Money Market Funds
0.059WELLS FARGO GOVT MONEY MARKET20002 6,605,108.94 6,605,108.94 0.0606,605,108.94SYS20002 1
6,605,108.946,605,108.946,605,108.943,540,223.75Subtotal and Average 0.059 1
121,989,860.63 138,815,722.44 1.523 340139,973,126.22 138,861,091.34Total and Average
Portfolio CITY
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Packet Pg. 250 Attachment: FN. Investment Portfolio Summary Report May 2020- ATTACHMENT #1 (6778 : Monthly
YTM
360
Page 4
Par Value Book Value
Stated
RateMarket Value
May 31, 2020
Portfolio Details - Cash
Average
BalanceIssuer
Portfolio Management
CITY OF SAN BERNARDINO
Days to
MaturityMoody'sCUSIPInvestment #
Purchase
Date
0.00
121,989,860.63 138,815,722.44 1.523 340
0
21,884.72
21,884.72
21,884.72
21,884.72
Subtotal
Accrued Interest at PurchaseAverage Balance
139,995,010.94 138,882,976.06Total Cash and Investments
Portfolio CITY
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Page 1
Stated
Rate
Transaction
Date
May 1, 2020 through May 31, 2020
Activity By Type
Balance
Portfolio Management
CITY OF SAN BERNARDINO
CUSIP Investment #Issuer
Purchases
or Deposits
Redemptions
or Withdrawals
State Local Agency Investment Fund (Monthly Summary)
LOCAL AGENCY INVESTMENT FUND10001 21,750,000.001.363 750,000.00SYS
750,000.00 68,780,949.29Subtotal21,750,000.00
Managed Pool Accounts (Monthly Summary)
CALTRUST GOVT INVESTMENT FUND20008 5.111.040 0.0020008
0.00 1,774.21Subtotal5.11
Corporate Notes
11,106,516.06Subtotal
Federal Agency Issues - Coupon
FEDERAL HOME LOAN MORTGAGE CRP30520 0.001.375 05/01/2020 1,000,000.003137EADR7
FEDERAL HOME LOAN MORTGAGE CRP30543C 0.002.500 05/22/2020 1,000,723.013134GTNN9
2,000,723.01 39,427,750.04Subtotal0.00
Supranationals
2,004,853.36Subtotal
Treasury Securities - Coupon
4,994,139.44Subtotal
Certificates of Deposit
J.P. MORGAN CHASE & CO80037 0.001.800 05/18/2020 248,000.0048126XLB9
248,000.00 5,940,000.00Subtotal0.00
Money Market Funds (Monthly Summary)
WELLS FARGO GOVT MONEY MARKET20002 11,675,402.620.060 8,413,072.74SYS20002
8,413,072.74 6,605,108.94Subtotal11,675,402.62
138,861,091.34Total11,411,795.7533,425,407.73
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Page 1
May 2019 through May 2020
Activity Summary
Month
Portfolio Management
End Year
Number of
Securities
Total
Invested
360
Equivalent
365
Equivalent
Managed
Pool
Rate
Average
Term
Average
Days to Maturity
CITY OF SAN BERNARDINO
Number
of Investments
Purchased
Number
of Investments
Redeemed
Yield to Maturity
128,886,141.21May201985 745 3021.353 1.372 2.450 3 5
124,896,967.11June201977 669 3021.301 1.319 2.449 1 9
102,169,953.51July201976 792 3482.076 2.105 2.379 0 2
100,006,961.73August201973 782 3401.984 2.012 2.341 0 3
94,603,560.06September201969 795 3441.971 1.998 2.280 0 4
91,198,209.04October201976 960 4741.957 1.985 2.190 7 0
96,737,190.19November201974 869 4301.945 1.972 2.103 0 2
104,414,539.79December201978 846 4521.942 1.969 2.043 6 2
116,512,135.33January202085 826 4561.903 1.929 1.967 7 0
123,735,583.62February202088 831 4671.870 1.896 1.912 3 0
117,383,961.74March202092 898 5271.760 1.784 1.730 6 2
116,849,030.14April202084 799 4311.720 1.744 1.648 0 8
138,861,091.34May202081 650 3401.523 1.544 1.363 0 3
Average 112,019,640.37 1.793%1.818%2.066 3 3 805 40180
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Page 1
May 2019 through May 2020
Distribution of Investments By Type
Portfolio Management
CITY OF SAN BERNARDINO
AverageJuneMayJuly
2019 2019 by Period
SeptemberAugust October
2019 2019
DecemberNovember January
2019 2020
February April
2020 2020
May
2020Security Type
March
2020201920192019
0.3 0.40.3State Local Agency Investment Fund 23.7 24.60.4 35.8 34.832.5 32.4 40.935.2 49.5 23.9%
57.3 49.552.4Managed Pool Accounts 25.7 13.049.9 6.7 4.210.7 1.5 20.8%
0.20.2Negotiable CD's - Bank
Corporate Notes 4.4 5.8 7.84.2 9.5 9.58.2 8.0 4.4%
32.6 37.937.8Federal Agency Issues - Coupon 38.9 45.837.8 41.0 39.341.1 42.9 35.539.4 28.4 38.3%
Supranationals 0.9 1.7 1.70.8 1.4 0.5%
4.0 4.93.9Treasury Securities - Coupon 5.3 5.55.0 4.8 4.35.2 4.3 4.34.0 3.6 4.5%
5.4 7.05.2Certificates of Deposit 6.5 6.86.7 5.9 5.36.4 5.3 5.35.0 4.3 5.8%
Treasury Discounts -Amortizing
Money Market Funds 3.4 3.9 2.95.8 4.8 1.6%
0.2 0.20.2Certificate Deposit-2 0.3 0.1%
Negotiable CDs -3
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Packet Pg. 254 Attachment: FN. Investment Portfolio Summary Report May 2020- ATTACHMENT #1 (6778 : Monthly
Page 1
May 31, 2020
Interest Earnings Summary
Month EndingMay 31 Fiscal Year To Date
Portfolio Management
CITY OF SAN BERNARDINO
CD/Coupon/Discount Investments:
64,395.86Interest Collected
Plus Accrued Interest at End of Period
Less Accrued Interest at Beginning of Period
289,135.44
( 249,826.90)
1,018,588.49
296,954.62
( 251,377.34)
Less Accrued Interest at Purchase During Period ( 0.00)( 0.00)
Interest Earned during Period
Adjusted by Premiums and Discounts
Adjusted by Capital Gains or Losses
Earnings during Periods
103,704.40
-1,550.78
-723.01
1,064,165.77
-4,326.09
5,688.21
101,430.61 1,065,527.89
Pass Through Securities:
0.00Interest Collected
Plus Accrued Interest at End of Period
Less Accrued Interest at Beginning of Period
0.00
( 0.00)
0.00
0.00
( 0.00)
Less Accrued Interest at Purchase During Period ( 0.00)( 0.00)
Interest Earned during Period
Adjusted by Premiums and Discounts
Adjusted by Capital Gains or Losses
Earnings during Periods
0.00
0.00
0.00
0.00
0.00
0.00
0.00 0.00
Cash/Checking Accounts:
1.60Interest Collected
Plus Accrued Interest at End of Period
Less Accrued Interest at Beginning of Period
581,205.95
( 505,707.26)
768,000.21
581,205.95
( 580,492.11)
Interest Earned during Period 75,500.29 768,714.05
Total Interest Earned during Period
Total Adjustments from Premiums and Discounts
Total Capital Gains or Losses
Total Earnings during Period
179,204.69
-1,550.78
-723.01
1,832,879.82
-4,326.09
5,688.21
176,930.90 1,834,241.94
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Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Paul Espinoza, Finance Director
Subject: Agreement with R.T. Desai & Associates for Accounting
Consultant Services
Recommendation
Adopt Resolution No. 2020-125 of the Mayor and City Council of the City of San
Bernardino, California, approving the Professional Services Agreement between the
City of San Bernardino and consultant R.T. Desai & Associates for accounting services
in the amount of $150,000 and authorizing the City Manager, or designee, to execute
the agreement.
Background
R.T. Desai & Associates has assisted the City of San Bernardino for four years with its
accounting responsibilities due to a number of vacancies within the department.
Employee turnover within the Finance department has caused a backlog of tasks
required to be completed by a professional accountant. Recent staff departures of the
Senior Finance Specialist and the Accountant III in the Finance Department necessitate
the continuation of the agreement with R.T. Desai & Associates. In addition to the
professional accounting assistance that R.T. Desai & Associates will provide to Finance,
the consultant will also provide accounting and analytical services to both Public Works
and Community Development. Finance Department related tasks include preparation of
financial records for audits, financial statement preparation, bank reconciliation and
other general high level accounting duties.
On February 1, 2016 the Mayor and City Council authorized a Professional Services
Agreement between the City of San Bernardino and R.T. Desai & Associates in an
amount not to exceed $80,850 for accounting consulting services. That agreement
expired June 30, 2016. On June 20, 2016 the Mayor and City Council authorized a new
12-month Professional Services Agreement, effective July 1, 2016, between the City of
San Bernardino and R.T. Desai & Associates in an amount not to exceed $90,000 for
accounting consulting services. Also approved previously by the Mayor and City
Council were the following contract amendments: not to exceed $100,000 on May 15,
2017, not to exceed $150,000 on April 18, 2018 and a 15 -month contract not to exceed
$175,000 on April 3, 2019. It is also important to note that the contractor has not raised
rates since the original contract approval in 2016. The agreement under consideration
provides an update of the terms and conditions of the original agreement and the prior 3
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amendments. It should be noted that this agreement will bring the compensation total
for the consultant to $665,000 since February 2016.
Discussion
Since 2014, the Finance Department has seen the turnover of twenty-two employees.
The Accounting Division has seen some of the highest turnover in recent years and has
prevented the City from making improvements in it processes and procedures. The City
recently hired a new Accounting Manager, and along with the Account III and R.T.
Desai & Associates, was able to successfully implement a methodology in reviewing the
collectability of notes receivable and receive an unmodified opinion on the City’s
FY2019 financial statements. This represents a significant step forward in the Cit y’s
financial reporting. With the recent departures of the Senior Finance Specialist and
Account III, the department requires the professional level resources that can be
successfully filled by the consultant R.T. Desai & Associates though their nearly 5 year
relationship with the City.
During its time with the City, R.T. Desai & Associates was able to assist the City in
correcting the four areas where modified audit opinions were previously rendered:
Governmental Activities, Major Federal & State Grants Special Revenue Fund, Major
Low and Moderate Income Housing Special Revenue Fund, and Aggregate Remaining
Fund Information. The reasoning for the modified opinions was the fact that the City
had not adopted a methodology for reviewing the collectability of notes receivable,
primarily related to the former Redevelopment Agency (RDA) and Housing Division.
R.T. Desai & Associates has been performing the duties of an Independent Contractor
for the Finance Department under its existing contract since February 2016. During that
time it has been instrumental in providing the required accounting assistance that has
enabled the City to become current on all of its financial reporting obligations. That
additional assistance remains necessary at this time as key vacancies continue in the
Accounting Division. Over the past several years the City’s auditors have expressed
concern at the City’s ability to retain qualified staff. Being able to retain the services of a
high performing accounting professional is extremely important to the City during the
current economic climate.
The Finance Department has significant needs in the Accounting Division in order to
complete annual audits and ensure compliance with Generally Accepted Accounting
Principles (GAAP) and the Governmental Accounting Standards Board (GASB).
Additionally, there is substantial work to be completed to implement the process
changes required in accordance with the City’s audit findings and to help implement
other best practices that need to occur wit hin the Finance Department. The Finance
Department requests a twelve (12) month agreement effective July 1, 2020 - June 30,
2021. The consultant agreement will provide an update between the city and consultant
on a large number of terms and conditions to reflect the updated liability requirements
for all of the City’s professional service consultants.
2020-2025 Strategic Targets and Goals
Approval of the proposed agreement aligns with Key Target No. 1: Financial Stability by
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continuing to provide the City with qualified accounting services that will maintain
internal controls and ensure compliance with best practices throughout the Finance
Department.
Fiscal Impact
The total cost to the City for the amendment is a not to exceed amount of $150,000.
There are sufficient resources in the FY 2020/21 Proposed Budget to fund these
charges in account No: 001-120-0039*5502. Additionally, if vacancies remain, salary
savings will fund this contract until positions can be filled.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-125, approving the Professional Services
Agreement between the City of San Bernardino and consultant R.T. Desai & Associates
for accounting services in the amount of $150,000; and authorizing the City Manager, or
designee, to execute the agreement.
Attachments
Attachment 1 Resolution 2020-125; Exhibit “A” - Agreement with RT Desai and
Associates
Attachment 2 June 20, 2016 Consulting Services Agreement
Ward: All
Synopsis of Previous Council Actions:
April 3, 2019 Mayor and City Council adopted Resolution No. 2019-53
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RESOLUTION NO. 2020-125
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
APPROVING THE PROFESSIONAL SERVICES
AGREEMENT BETWEEN THE CITY OF SAN
BERNARDINO AND R.T. DESAI AND ASSOCIATES FOR
PROFESSIONAL ACCOUNTING SERVICES; AND
AUTHORIZING THE CITY MANAGER, OR DESIGNEE,
TO EXECUTE AGREEMENT
WHEREAS, on April 3, 2019, the Mayor and City Council authorized a Professional
Services Agreement Amendment No. 3 between the City of San Bernardino and R.T. Desai &
Associates in an amount not to exceed $515,000 for accounting consulting services; and
WHEREAS, the City of San Bernardino has determined that significant needs remain in
the Accounting section of the Finance Department and professional accounting consulting
services from R.T. Desai & Associates are required and in the best interest of the City.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized to execute the professional services
agreement with R.T. Desai & Associates to continue to provide assistance to the Finance
Department, as well as Public Works, and Community Development, in a not to exceed amount
of $150,000 for the period of July 1, 2020 through June 30, 2021.
SECTION 3. The Director of Finance or designee is hereby authorized to increase the
purchase order issued to R.T. Desai & Associates by $150,000.
SECTION 4. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 5. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 6. Effective Date. This Resolution shall become effective immediately.
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Packet Pg. 259 Attachment: Ronak Desai Contract 2020- RESOLUTION. ATTACHMENT #1 [Revision 1] (6765 : Agreement with R.T. Desai & Associates for
Resolution No. 2020-125
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this 17th day of June 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
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Packet Pg. 260 Attachment: Ronak Desai Contract 2020- RESOLUTION. ATTACHMENT #1 [Revision 1] (6765 : Agreement with R.T. Desai & Associates for
Resolution No. 2020-125
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
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1
PROFESSIONAL SERVICES AGREEMENT
BETWEEN THE CITY OF SAN BERNARDINO
AND R.T. DESAI & ASSOCIATES
This Agreement is made and entered into as of June 17, 2020 by and between the City of San
Bernardino, a charter city and municipal corporation organized and operating under the laws of
the State of California with its principal place of business at Vanir Tower, 290 North D Street,
San Bernardino, CA 92401 (“City”), and R.T. DESAI & ASSOCIATES, A SOLE
PROPRIETORSHIP with its principal place of business at 1913 E 17th Street, Unit 116, Santa
Ana, CA 92705 (hereinafter referred to as “Consultant”). City and Consultant are hereinafter
sometimes referred to individually as “Party” and collectively as the “Parties.”
RECITALS
A. City is a public agency of the State of California and is in need of professional
services for the following project:
As needed professional accounting services (hereinafter referred to as “the Project”).
B. Consultant is duly licensed and has the necessary qualifications to provide such
services.
C. The Parties desire by this Agreement to establish the terms for City to retain
Consultant to provide the services described herein.
AGREEMENT
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:
1. Incorporation of Recitals. The recitals above are true and correct and are hereby
incorporated herein by this reference.
2. Services. Consultant shall provide the City with the services described in the
Scope of Services attached hereto as Exhibit “A.”
3. Professional Practices. All professional services to be provided by Consultant
pursuant to this Agreement shall be provided by personnel identified in their proposal.
Consultant warrants that Consultant is familiar with all laws that may affect its performance of
this Agreement and shall advise City of any changes in any laws that may affect Consultant’s
performance of this Agreement. Consultant further represents that no City employee will
provide any services under this Agreement.
4. Compensation.
a. Subject to paragraph 4(b) below, the City shall pay for such services in
accordance with the Schedule of Charges set forth in Exhibit “A.”
b. In no event shall the total amount paid for services rendered by Consultant
under this Agreement exceed the sum of $150,000. This amount is to cover all related costs, and
the City will not pay any additional fees for printing expenses. Consultant may submit invoices
10.b
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to City for approval. Said invoice shall be based on the total of all Consultant’s services which
have been completed to City’s sole satisfaction. City shall pay Consultant’s invoice within forty-
five (45) days from the date City receives said invoice. The invoice shall describe in detail the
services performed and the associated time for completion. Any additional services approved
and performed pursuant to this Agreement shall be designated as “Additional Services” and shall
identify the number of the authorized change order, where applicable, on all invoices.
5. Additional Work. If changes in the work seem merited by Consultant or the City,
and informal consultations with the other party indicate that a change is warranted, it shall be
processed in the following manner: a letter outlining the changes shall be forwarded to the City
by Consultant with a statement of estimated changes in fee or time schedule. An amendment to
this Agreement shall be prepared by the City and executed by both Parties before performance of
such services, or the City will not be required to pay for the changes in the scope of work. Such
amendment shall not render ineffective or invalidate unaffected portions of this Agreement.
6. Term. This Agreement shall commence on the Effective Date and continue
through the completion of services as set forth in Exhibit “A,” unless the Agreement is
previously terminated as provided for herein (“Term”).
7. Maintenance of Records; Audits.
a. Records of Consultant’s services relating to this Agreement shall be
maintained in accordance with generally recognized accounting principles and shall be made
available to City for inspection and/or audit at mutually convenient times for a period of four (4)
years from the Effective Date.
b. Books, documents, papers, accounting records, and other evidence
pertaining to costs incurred shall be maintained by Consultant and made available at all
reasonable times during the contract period and for four (4) years from the date of final payment
under the contract for inspection by City.
8. Time of Performance. Consultant shall perform its services in a prompt and
timely manner and shall commence performance upon receipt of written notice from the City to
proceed. Consultant shall complete the services required hereunder within Term.
9. Delays in Performance.
a. Neither City nor Consultant shall be considered in default of this
Agreement for delays in performance caused by circumstances beyond the reasonable control of
the non-performing Party. For purposes of this Agreement, such circumstances include but are
not limited to, abnormal weather conditions; floods; earthquakes; fire; epidemics; war; riots and
other civil disturbances; strikes, lockouts, work slowdowns, and other labor disturbances;
sabotage or judicial restraint.
b. Should such circumstances occur, the non-performing Party shall, within a
reasonable time of being prevented from performing, give written notice to the other Party
describing the circumstances preventing continued performance and the efforts being made to
resume performance of this Agreement.
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10. Compliance with Law.
a. Consultant shall comply with all applicable laws, ordinances, codes and
regulations of the federal, state and local government, including Cal/OSHA requirements.
b. If required, Consultant shall assist the City, as requested, in obtaining and
maintaining all permits required of Consultant by federal, state and local regulatory agencies.
c. If applicable, Consultant is responsible for all costs of clean up and/ or
removal of hazardous and toxic substances spilled as a result of his or her services or operations
performed under this Agreement.
11. Standard of Care. Consultant’s services will be performed in accordance with
generally accepted professional practices and principles and in a manner consistent with the level
of care and skill ordinarily exercised by members of the profession currently practicing under
similar conditions.
12. Conflicts of Interest. During the term of this Agreement, Consultant shall at all
times maintain a duty of loyalty and a fiduciary duty to the City and shall not accept payment
from or employment with any person or entity which will constitute a conflict of interest with the
City.
13. City Business Certificate. Consultant shall, prior to execution of this Agreement,
obtain and maintain during the term of this Agreement a valid business registration certificate
from the City pursuant to Title 5 of the City’s Municipal Code and any and all other licenses,
permits, qualifications, insurance, and approvals of whatever nature that are legally required of
Consultant to practice his/her profession, skill, or business.
14. Assignment and Subconsultant. Consultant shall not assign, sublet, or transfer
this Agreement or any rights under or interest in this Agreement without the written consent of
the City, which may be withheld for any reason. Any attempt to so assign or so transfer without
such consent shall be void and without legal effect and shall constitute grounds for termination.
Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in
this Agreement. Nothing contained herein shall prevent Consultant from employing independent
associates and subconsultants as Consultant may deem appropriate to assist in the performance
of services hereunder.
15. Independent Consultant. Consultant is retained as an independent contractor and
is not an employee of City. No employee or agent of Consultant shall become an employee of
City. The work to be performed shall be in accordance with the work described in this
Agreement, subject to such directions and amendments from City as herein provided.
16. Insurance. Consultant shall not commence work for the City until it has provided
evidence satisfactory to the City it has secured all insurance required under this section. In
addition, Consultant shall not allow any subcontractor to commence work on any subcontract
until it has secured all insurance required under this section.
a. Additional Insured
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The City of San Bernardino, its officials, officers, employees, agents, and
volunteers shall be named as additional insureds on Consultant’s and its subconsultants’ policies
of commercial general liability and automobile liability insurance using the endorsements and
forms specified herein or exact equivalents.
b. Commercial General Liability
(i) The Consultant shall take out and maintain, during the
performance of all work under this Agreement, in amounts not less than specified herein,
Commercial General Liability Insurance, in a form and with insurance companies acceptable to
the City.
(ii) Coverage for Commercial General Liability insurance shall be at
least as broad as the following:
Insurance Services Office Commercial General Liability coverage
(Occurrence Form CG 00 01) or exact equivalent.
(iii) Commercial General Liability Insurance must include coverage
for the following:
(1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX) exclusion
deleted
(7) Contractual Liability with respect to this Contract
(8) Broad Form Property Damage
(9) Independent Consultants Coverage
(iv) The policy shall contain no endorsements or provisions limiting
coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one
insured against another; (3) products/completed operations liability; or (4) contain any other
exclusion contrary to the Agreement.
(v) The policy shall give City, its elected and appointed officials,
officers, employees, agents, and City-designated volunteers additional insured status using ISO
endorsement forms CG 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same
coverage.
(vi) The general liability program may utilize either deductibles or
provide coverage excess of a self-insured retention, subject to written approval by the City, and
provided that such deductibles shall not apply to the City as an additional insured.
c. Automobile Liability
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(i) At all times during the performance of the work under this
Agreement, the Consultant shall maintain Automobile Liability Insurance for bodily injury and
property damage including coverage for owned, non-owned and hired vehicles, in a form and
with insurance companies acceptable to the City.
(ii) Coverage for automobile liability insurance shall be at least as
broad as Insurance Services Office Form Number CA 00 01 covering automobile liability
(Coverage Symbol 1, any auto).
(iii) The policy shall give City, its elected and appointed officials,
officers, employees, agents and City designated volunteers additional insured status.
(iv) Subject to written approval by the City, the automobile liability
program may utilize deductibles, provided that such deductibles shall not apply to the City as an
additional insured, but not a self-insured retention.
d. Workers’ Compensation/Employer’s Liability
(i) Consultant certifies that he/she is aware of the provisions of
Section 3700 of the California Labor Code which requires every employer to be insured against
liability for workers’ compensation or to undertake self-insurance in accordance with the
provisions of that code, and he/she will comply with such provisions before commencing work
under this Agreement.
(ii) To the extent Consultant has employees at any time during the
term of this Agreement, at all times during the performance of the work under this Agreement,
the Consultant shall maintain full compensation insurance for all persons employed directly by
him/her to carry out the work contemplated under this Agreement, all in accordance with the
“Workers’ Compensation and Insurance Act,” Division IV of the Labor Code of the State of
California and any acts amendatory thereof, and Employer’s Liability Coverage in amounts
indicated herein. Consultant shall require all subconsultants to obtain and maintain, for the
period required by this Agreement, workers’ compensation coverage of the same type and limits
as specified in this section.
e. Professional Liability (Errors and Omissions)
At all times during the performance of the work under this Agreement the Consultant
shall maintain professional liability or Errors and Omissions insurance appropriate to its
profession, in a form and with insurance companies acceptable to the City and in an amount
indicated herein. This insurance shall be endorsed to include contractual liability applicable to
this Agreement and shall be written on a policy form coverage specifically designed to protect
against acts, errors or omissions of the Consultant. “Covered Professional Services” as
designated in the policy must specifically include work performed under this Agreement. The
policy must “pay on behalf of” the insured and must include a provision establishing the insurer's
duty to defend.
f. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:
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Combined Single Limit
Commercial General Liability $1,000,000 per occurrence/ $2,000,000 aggregate
for bodily injury, personal injury, and property
damage
Automobile Liability $1,000,000 per occurrence for bodily injury and
property damage
Employer’s Liability $1,000,000 per occurrence
Professional Liability $1,000,000 per claim and aggregate (errors and
omissions)
(ii) Defense costs shall be payable in addition to the limits.
(iii) Requirements of specific coverage or limits contained in this
section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of
any coverage normally provided by any insurance. Any available coverage shall be provided to
the parties required to be named as Additional Insured pursuant to this Agreement.
g. Evidence Required
Prior to execution of the Agreement, the Consultant shall file with the City
evidence of insurance from an insurer or insurers certifying to the coverage of all insurance
required herein. Such evidence shall include original copies of the ISO CG 00 01 (or insurer’s
equivalent) signed by the insurer’s representative and Certificate of Insurance (Acord Form 25-
S or equivalent), together with required endorsements. All evidence of insurance shall be
signed by a properly authorized officer, agent, or qualified representative of the insurer and
shall certify the names of the insured, any additional insureds, where appropriate, the type and
amount of the insurance, the location and operations to which the insurance applies, and the
expiration date of such insurance.
h. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior
written notice of cancellation of any policy required by this Agreement, except that the
Consultant shall provide at least ten (10) days prior written notice of cancellation of any such
policy due to non-payment of the premium. If any of the required coverage is cancelled or
expires during the term of this Agreement, the Consultant shall deliver renewal certificate(s)
including the General Liability Additional Insured Endorsement to the City at least ten (10)
days prior to the effective date of cancellation or expiration.
(ii) The Commercial General Liability Policy and Automobile Policy
shall each contain a provision stating that Consultant’s policy is primary insurance and that any
insurance, self-insurance or other coverage maintained by the City or any named insureds shall
not be called upon to contribute to any loss.
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(iii) The retroactive date (if any) of each policy is to be no later than the
effective date of this Agreement. Consultant shall maintain such coverage continuously for a
period of at least three years after the completion of the work under this Agreement. Consultant
shall purchase a one (1) year extended reporting period A) if the retroactive date is advanced
past the effective date of this Agreement; B) if the policy is cancelled or not renewed; or C) if
the policy is replaced by another claims-made policy with a retroactive date subsequent to the
effective date of this Agreement.
(iv) All required insurance coverages, except for the professional
liability coverage, shall contain or be endorsed to provide waiver of subrogation in favor of the
City, its officials, officers, employees, agents, and volunteers or shall specifically allow
Consultant or others providing insurance evidence in compliance with these specifications to
waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery
against City, and shall require similar written express waivers and insurance clauses from each
of its subconsultants.
(v) The limits set forth herein shall apply separately to each insured
against whom claims are made or suits are brought, except with respect to the limits of liability.
Further the limits set forth herein shall not be construed to relieve the Consultant from liability
in excess of such coverage, nor shall it limit the Consultant’s indemnification obligations to the
City and shall not preclude the City from taking such other actions available to the City under
other provisions of the Agreement or law.
i. Qualifying Insurers
(i) All policies required shall be issued by acceptable insurance
companies, as determined by the City, which satisfy the following minimum requirements:
(1) Each such policy shall be from a company or companies
with a current A.M. Best's rating of no less than A:VII and admitted to transact in the
business of insurance in the State of California, or otherwise allowed to place insurance
through surplus line brokers under applicable provisions of the California Insurance Code
or any federal law.
j. Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance
coverage to be maintained by Consultant, and any approval of said insurance by the City, is not
intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise
assumed by the Consultant pursuant to this Agreement, including, but not limited to, the
provisions concerning indemnification.
(ii) If at any time during the life of the Agreement, any policy of
insurance required under this Agreement does not comply with these specifications or is
canceled and not replaced, City has the right but not the duty to obtain the insurance it deems
necessary and any premium paid by City will be promptly reimbursed by Consultant or City
will withhold amounts sufficient to pay premium from Consultant payments. In the alternative,
City may cancel this Agreement.
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(iii) The City may require the Consultant to provide complete copies of
all insurance policies in effect for the duration of the Project.
(iv) Neither the City nor the City Council, nor any member of the City
Council, nor any of the officials, officers, employees, agents or volunteers shall be personally
responsible for any liability arising under or by virtue of this Agreement.
k. Subconsultant Insurance Requirements. Consultant shall not allow any
subcontractors or subconsultants to commence work on any subcontract until they have
provided evidence satisfactory to the City that they have secured all insurance required under
this section. Policies of commercial general liability insurance provided by such subcontractors
or subconsultants shall be endorsed to name the City as an additional insured using ISO form
CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by
Consultant, City may approve different scopes or minimum limits of insurance for particular
subcontractors or subconsultants.
17. Indemnification.
a. To the fullest extent permitted by law, Consultant shall defend (with
counsel reasonably approved by the City), indemnify and hold the City, its elected and appointed
officials, officers, employees, agents, and authorized volunteers free and harmless from any and
all claims, demands, causes of action, suits, actions, proceedings, costs, expenses, liability,
judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, to
property or persons, including wrongful death, (collectively, “Claims”) in any manner arising out
of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of
Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection
with the performance of the Consultant’s services, the Project, or this Agreement, including
without limitation the payment of all consequential damages, expert witness fees and attorneys’
fees and other related costs and expenses. Notwithstanding the foregoing, to the extent
Consultant’s services are subject to Civil Code Section 2782.8, the above indemnity shall be
limited, to the extent required by Civil Code Section 2782.8, to Claims that arise out of, pertain
to, or relate to the negligence, recklessness, or willful misconduct of the Consultant.
Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any,
received by the City, the City Council, members of the City Council, its employees, or
authorized volunteers.
b. Additional Indemnity Obligations. Consultant shall defend, with counsel
of City’s choosing and at Consultant’s own cost, expense and risk, any and all Claims covered by
this section that may be brought or instituted against the City, its elected and appointed officials,
employees, agents, or authorized volunteers. Consultant shall pay and satisfy any judgment,
award or decree that may be rendered against the City, its elected and appointed officials,
employees, agents, or authorized volunteers as part of any such claim, suit, action or other
proceeding. Consultant shall also reimburse City for the cost of any settlement paid by the City,
its elected and appointed officials, employees, agents, or authorized volunteers as part of any
such claim, suit, action or other proceeding. Such reimbursement shall include payment for the
City’s attorney's fees and costs, including expert witness fees. Consultant shall reimburse the
City, its elected and appointed officials, employees, agents, or authorized volunteers, for any and
all legal expenses and costs incurred by each of them in connection therewith or in enforcing the
indemnity herein provided. Consultant’s obligation to indemnify shall not be restricted to
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insurance proceeds, if any, received by the City, its elected and appointed officials, employees,
agents, or authorized volunteers.
18. California Labor Code Requirements. Consultant is aware of the requirements of
California Labor Code Sections 1720 et seq. and 1770 et seq., as well as California Code of
Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the
payment of prevailing wage rates and the performance of other requirements on certain “public
works” and “maintenance” projects. If the Services are being performed as part of an applicable
“public works” or “maintenance” project, as defined by the Prevailing Wage Laws, Consultant
agrees to fully comply with such Prevailing Wage Laws, if applicable. Consultant shall defend,
indemnify and hold the City, its elected officials, officers, employees and agents free and
harmless from any claims, liabilities, costs, penalties or interest arising out of any failure or
alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory upon the
Consultant and all subconsultants to comply with all California Labor Code provisions, which
include but are not limited to prevailing wages, employment of apprentices, hours of labor and
debarment of contractors and subcontractors.
If the Services are being performed as part of an applicable “public works” or
“maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant
and all subconsultants performing such Services must be registered with the Department of
Industrial Relations. Consultant shall maintain registration for the duration of the Project and
require the same of any subconsultants, as applicable. This Project may also be subject to
compliance monitoring and enforcement by the Department of Industrial Relations. It shall be
Consultant’s sole responsibility to comply with all applicable registration and labor compliance
requirements.
19. Verification of Employment Eligibility. By executing this Agreement, Consultant
verifies that it fully complies with all requirements and restrictions of state and federal law
respecting the employment of undocumented aliens, including, but not limited to, the
Immigration Reform and Control Act of 1986, as may be amended from time to time, and shall
require all subconsultants and sub-subconsultants to comply with the same.
20. Laws and Venue. This Agreement shall be interpreted in accordance with the
laws of the State of California. If any action is brought to interpret or enforce any term of this
Agreement, the action shall be brought in a state or federal court situated in the County of San
Bernardino, State of California.
21. Termination or Abandonment
a. City has the right to terminate or abandon any portion or all of the work
under this Agreement by giving ten (10) calendar days’ written notice to Consultant. In such
event, City shall be immediately given title and possession to all original field notes, drawings
and specifications, written reports and other documents produced or developed for that portion of
the work completed and/or being abandoned. City shall pay Consultant the reasonable value of
services rendered for any portion of the work completed prior to termination. If said termination
occurs prior to completion of any task for the Project for which a payment request has not been
received, the charge for services performed during such task shall be the reasonable value of
such services, based on an amount mutually agreed to by City and Consultant of the portion of
such task completed but not paid prior to said termination. City shall not be liable for any costs
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other than the charges or portions thereof which are specified herein. Consultant shall not be
entitled to payment for unperformed services, and shall not be entitled to damages or
compensation for termination of work.
b. Consultant may terminate its obligation to provide further services under
this Agreement upon thirty (30) calendar days’ written notice to City only in the event of
substantial failure by City to perform in accordance with the terms of this Agreement through no
fault of Consultant.
22. Attorneys’ Fees. In the event that litigation is brought by any Party in connection
with this Agreement, the prevailing Party shall be entitled to recover from the opposing Party all
costs and expenses, including reasonable attorneys’ fees, incurred by the prevailing Party in the
exercise of any of its rights or remedies hereunder or the enforcement of any of the terms,
conditions, or provisions hereof. The costs, salary, and expenses of the City Attorney’s Office in
enforcing this Agreement on behalf of the City shall be considered as “attorneys’ fees” for the
purposes of this Agreement.
23. Responsibility for Errors. Consultant shall be responsible for its work and results
under this Agreement. Consultant, when requested, shall furnish clarification and/or explanation
as may be required by the City’s representative, regarding any services rendered under this
Agreement at no additional cost to City. In the event that an error or omission attributable to
Consultant’s professional services occurs, Consultant shall, at no cost to City, provide all other
services necessary to rectify and correct the matter to the sole satisfaction of the City and to
participate in any meeting required with regard to the correction.
24. Prohibited Employment. Consultant shall not employ any current employee of
City to perform the work under this Agreement while this Agreement is in effect.
25. Costs. Each Party shall bear its own costs and fees incurred in the preparation and
negotiation of this Agreement and in the performance of its obligations hereunder except as
expressly provided herein.
26. Documents. Except as otherwise provided in “Termination or Abandonment,”
above, all original field notes, written reports, Drawings and Specifications and other documents,
produced or developed for the Project shall, upon payment in full for the services described in
this Agreement, be furnished to and become the property of the City.
27. Organization. Consultant shall assign Ronak Desai as Project Manager. The
Project Manager shall not be removed from the Project or reassigned without the prior written
consent of the City.
28. Limitation of Agreement. This Agreement is limited to and includes only the
work included in the Project described above.
29. Notice. Any notice or instrument required to be given or delivered by this
Agreement may be given or delivered by depositing the same in any United States Post Office,
certified mail, return receipt requested, postage prepaid, addressed to the following addresses and
shall be effective upon receipt thereof:
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CITY:
City of San Bernardino
Vanir Tower, 290 North D Street
San Bernardino, CA 92401
Attn: Paul Espinoza, Finance Director
With Copy To:
City of San Bernardino
Vanir Tower, 290 North D Street
San Bernardino, CA 92401
Attn: City Attorney
CONSULTANT:
R.T. Desai and Associates
1913 E 17th Street, Unit 116
Santa Ana, CA 92705
Attn: Ronak Desai
30. Third Party Rights. Nothing in this Agreement shall be construed to give any
rights or benefits to anyone other than the City and the Consultant.
31. Equal Opportunity Employment. Consultant represents that it is an equal
opportunity employer and that it shall not discriminate against any employee or applicant for
employment because of race, religion, color, national origin, ancestry, sex, age or other interests
protected by the State or Federal Constitutions. Such non-discrimination shall include, but not
be limited to, all activities related to initial employment, upgrading, demotion, transfer,
recruitment or recruitment advertising, layoff or termination.
32. Entire Agreement. This Agreement, including Exhibit “A,” represents the entire
understanding of City and Consultant as to those matters contained herein, and supersedes and
cancels any prior or contemporaneous oral or written understanding, promises or representations
with respect to those matters covered hereunder. Each Party acknowledges that no
representations, inducements, promises, or agreements have been made by any person which are
not incorporated herein, and that any other agreements shall be void. This is an integrated
Agreement.
33. Severability. If any provision of this Agreement is determined by a court of
competent jurisdiction to be invalid, illegal, or unenforceable for any reason, such determination
shall not affect the validity or enforceability of the remaining terms and provisions hereof or of
the offending provision in any other circumstance, and the remaining provisions of this
Agreement shall remain in full force and effect.
34. Successors and Assigns. This Agreement shall be binding upon and shall inure to
the benefit of the successors in interest, executors, administrators and assigns of each Party to
this Agreement. However, Consultant shall not assign or transfer by operation of law or
otherwise any or all of its rights, burdens, duties or obligations without the prior written consent
of City. Any attempted assignment without such consent shall be invalid and void.
35. Non-Waiver. The delay or failure of either Party at any time to require
performance or compliance by the other Party of any of its obligations or agreements shall in no
way be deemed a waiver of those rights to require such performance or compliance. No waiver
of any provision of this Agreement shall be effective unless in writing and signed by a duly
authorized representative of the Party against whom enforcement of a waiver is sought. The
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waiver of any right or remedy with respect to any occurrence or event shall not be deemed a
waiver of any right or remedy with respect to any other occurrence or event, nor shall any waiver
constitute a continuing waiver.
36. Time of Essence. Time is of the essence for each and every provision of this
Agreement.
37. Headings. Paragraphs and subparagraph headings contained in this Agreement
are included solely for convenience and are not intended to modify, explain, or to be a full or
accurate description of the content thereof and shall not in any way affect the meaning or
interpretation of this Agreement.
38. Amendments. Only a writing executed by all of the Parties hereto or their
respective successors and assigns may amend this Agreement.
39. City’s Right to Employ Other Consultants. City reserves its right to employ other
consultants, including engineers, in connection with this Project or other projects.
40. Prohibited Interests. Consultant maintains and warrants that it has neither
employed nor retained any company or person, other than a bona fide employee working solely
for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not
paid nor has it agreed to pay any company or person, other than a bona fide employee working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration
contingent upon or resulting from the award or making of this Agreement. For breach or
violation of this warranty, City shall have the right to rescind this Agreement without liability.
For the term of this Agreement, no official, officer or employee of City, during the term of his or
her service with City, shall have any direct interest in this Agreement, or obtain any present or
anticipated material benefit arising therefrom.
41. Counterparts. This Agreement may be executed in one or more counterparts, each
of which shall be deemed an original. All counterparts shall be construed together and shall
constitute one single Agreement.
42. Authority. The persons executing this Agreement on behalf of the Parties hereto
warrant that they are duly authorized to execute this Agreement on behalf of said Parties and that
by doing so, the Parties hereto are formally bound to the provisions of this Agreement.
[SIGNATURES ON FOLLOWING PAGE]
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SIGNATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT
BETWEEN THE CITY OF SAN BERNARDINO
AND R.T. DESAI & ASSOCIATES
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first
written above.
CITY OF SAN BERNARDINO
Approved By:
Teri Ledoux
City Manager
Approved as to Form:
Sonia Carvalho
City Attorney
Attested By:
Genevieve Rocha, CMC, Acting City Clerk
CONSULTANT
Signature
Name
Title
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EXHIBIT A
SCHEDULE OF CHARGES:
Consultant shall be compensated at a rate of $120 per hour, with a not to exceed amount of
$150,000 under this 12 month term agreement.
SCOPE OF WORK:
The tasks assigned include preparation of financial records for audits, financial statement
preparation and general high level accounting duties as needed.
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Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Rebekah Kramer, Assistant City Manager
Subject: First Amendment to the Professional Services Agreement with
Barboza & Associates
Recommendation
Adopt Resolution 2020-126 of the Mayor and City Council of the City of San Bernardino,
California, approving the First Amendment to the Professional Services Agreement
between the City of San Bernardino and Barboza & Associates for workplace
investigation services.
Background
On February 20, 2020, the City entered into a Professional Services Agreement with
Barboza & Associates (B&A) in the amount of $50,000 pursuant to Section 3.04.085(A)
of the Municipal Code. B&A is investigating allegations made by former employees
against Mayor John Valdivia for harassment and other misconduct. Since the
investigation began, additional complainants have come forward, requiring the City to
expand the original scope of work.
Discussion
Allegations of harassment and other misconduct against Mayor John Valdivia and the
City of San Bernardino were brought forward in January 2020. When allegations are
made, conducting a thorough investigation is critical. The California Fair Employment
and Housing Act (“FEHA”) imposes an affirmative legal obligation on employers to take
all reasonable steps necessary to prevent discrimination and harassment from occurring
in the workplace. Satisfying this obligation requires employers to investigate complaints
of discrimination or harassment. Additionally, the Equal Employment Opportunity
Commission (“EEOC”) imposes a duty to investigate complaints of harassment. Finally,
the City’s Policy on Non-Discrimination, Retaliation, Workplace Harassment, and Sexual
Harassment also requires an investigation to be conducted.
Given that the allegations that have been made involve an elected official, this case was
assigned to Liebert, Cassidy and Whitmore (LCW), one of the City’s outside providers of
specialized legal services pertaining to employment relations and personnel matters.
The determination was made to retain an outside independent investigator and five
potential investigators with experience handling thes e types of investigations were
contacted. Upon review of qualifications and availability of the responsive investigators,
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Carla Barboza of B&A was selected to conduct the investigation. She is based in
Southern California and brings with her thirty (30) years of experience handling
employment matters.
When B&A was retained, only two former employees had come forward with
allegations. It was estimated at the time, $50,000 would be sufficient to complete a
thorough and impartial investigation. During a press conference held on February 27,
2020, three additional individuals came forward with allegations against the Mayor. The
proposed amendment is required to ensure all complaints are investigated thoroughly
as required by the law and City policy.
Fiscal Impact
Approval of the first amendment to the agreement with Barboza & Associates in the
amount of $18,000 for a total contractual allowance not to exceed $68,000 will have no
impact to the General Fund as professional contractual services for investiga tions were
included in the adopted FY 2019/20 operating budget split between Administration
(account number 001-110-0001-5502) and the Liability Fund (account number 629 -110-
0056-5502).
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution 2020-95, approving the First Amendment to the
Professional Services Agreement between the City of San Bernardino and Barboza &
Associates for workplace investigation services.
Attachments
Attachment 1 Resolution 2020-126; Exhibit “A” - First Amendment
Attachment 2 Original Agreement dated February 20, 2020
Ward: All
Synopsis of Previous Council Actions: N/A
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RESOLUTION NO. 2020-126
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
APPROVING THE FIRST AMENDMENT TO THE
PROFESSIONAL SERVICES AGREEMENT BETWEEN
THE CIY OF SAN BERNARDINO AND BARBOZA AND
ASSOCIATES FOR WORKPLACE INVESTIGATION
SERVICES
WHEREAS, on February 20, 2020, the City entered into a Professional Services
Agreement with Barboza and Associates in the amount of $50,000; and
WHEREAS, Barboza & Associates is investigating allegations made against Mayor John
Valdivia of harassment and other misconduct; and
WHEREAS, when allegations are made, conducting a thorough investigation is critical
and the City must take all reasonable necessary steps to prevent discrimination and harassment
from occurring in the workplace; and
WHEREAS, when Barboza & Associates was retained, it was estimated that $50,000
would be sufficient to complete a thorough and impartial investigation; and
WHEREAS, three additional individuals have come forward with allegations against the
Mayor; and
WHEREAS, this amendment is required to ensure all complaints are investigated
thoroughly as required by law and City policy; and
WHEREAS, the Human Resources Department budget includes funds for investigative
services;
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized and directed to execute the First
Amendment to the agreement for workplace investigative services between Barboza &
Associates and the City of San Bernardino, a copy of which is attached hereto marked Exhibit A
and incorporated herein.
SECTION 3. The Director of Finance or designee is hereby authorized to amend the
Purchase Order to Barboza and Associates for a total amount not to exceed $68,000 for FY
2019/20.
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Packet Pg. 278 Attachment: HR.First Amendment to the Professional Services Agreement with Barboza & Associates.RESOLUTION (6754 : First Amendment
Resolution No. 2020-126
SECTION 4. That the City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 5. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 6. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
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Packet Pg. 279 Attachment: HR.First Amendment to the Professional Services Agreement with Barboza & Associates.RESOLUTION (6754 : First Amendment
Resolution No. 2020-126
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
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Packet Pg. 280 Attachment: HR.First Amendment to the Professional Services Agreement with Barboza & Associates.RESOLUTION (6754 : First Amendment
EXHIBIT A
FIRST AMENDMENT TO THE
PROFESSIONAL SERVICES AGREEMENT
WITH BARBOZA & ASSOCIATES
This First Amendment (“First Amendment”) to the Professional Services Agreement
dated February 20, 2020 is made and entered into by and between the CITY OF SAN
BERNARDINO (“CITY”) and Barboza & Associates (“Consultant”) as of the last date set forth
below.
1. Consultant is performing workplace investigation services under the Agreement.
Now, the CITY and Consultant wish to amend the Agreement to increase the purchase order by
$18,000.
2. Section 4(b) of the Agreement is hereby amended in its entirety to read as
follows:
“In no event shall the total amount paid for services rendered by
Consultant under this First Amendment exceed the sum of
$68,000. This amount is to cover all related costs, and the City will
not pay any additional fees for printing expenses. Consultant may
submit invoices to City for approval. Said invoice shall be based
on the total of all Consultant’s services which have been completed
to City’s sole satisfaction. City shall pay Consultant’s invoice
within (45) days from the date the City receives said invoice. The
invoice shall describe in detail the services performed and the
associated time for completion. Any additional services approved
and performed pursuant to this Agreement shall be designated as
“Additional Services” and shall identify the number of the
authorized change order, where applicable, on all invoices.”
3. Except as modified by this First Amendment, all provisions of the Agreement
shall remain in full force and effect for the term thereof.
4. This First Amendment may be executed in counterparts, each of which shall be
deemed an original, but which together shall constitute one and the same instrument.
[SIGANTURES ON FOLLOWING PAGE]
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EXHIBIT A
SIGNATURE PAGE FOR FIRST AMENDMENT TO THE
PROFESSIONAL SERVICES AGREEMENT
WITH BARBOZA & ASSOCIATES
Dated: _____, 2020 BARBOZA & ASSOCIATE
By: Carla D. Barboza
Its: President
Dated: _____, 2020 CITY OF SAN BERNARDINO
By: Teri Ledoux
Its: City Manager
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Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Rebekah Kramer, Assistant City Manager
Subject: Risk Management Insurance Program Fiscal Year 2020/21
Recommendation
Adopt Resolution No. 2020-131 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to purchase both a 30 -day
extension to the current excess liability policies for the extended term of coverage
through July 31, 2020 for the premium amount of $47,509 and excess workers’
compensation insurance through Public Risk Innovation, Solutions, and Management
(PRISM) formerly California State Associate of Counties Excess Insurance Authority
(CSAC-EIA) premium quote in the amount of $384,275.
Background
On June 19, 2019, the Mayor and City Council adopted Resolution 2019 -68 authorizing
the City Manager to purchase excess workers’ compensation (EWC) insurance with
California State Association of Counties Excess Insurance Authority (CSAC -EIA)
insurance pool and purchase stand-alone commercial coverage for excess liability
insurance for Fiscal Year (FY) 2019/20.
On July 17, 2019, the Mayor and City Council adopted Resolut ion 2019-176 authorizing
the City Manager to purchase the City’s property, difference in conditions, and cyber
security insurance for Fiscal Year (FY) 2019/20.
Excess Workers’ Compensation Insurance
The City purchases excess workers’ compensation insurance to protect against
catastrophic injury to City employees.
Excess workers’ compensation insurance was purchased through CSAC-EIA, which
uses pool purchasing power to achieve broad coverage for the lowest rates available.
CSAC-EIA’s program is the largest pool in the nation and their excess workers’
compensation program provides services to 95 percent of the counties and 70 percent
of the cities in California. The City’s current excess workers’ compensation coverage
has a $1 million SIR with a limit remaining at statutory coverage. Statutory coverage
provides payment for claims up to the amount required by law, without limits. The
program has a $5 million pooled limit and statutory reinsurance coverage for each
accident. FY 2019/20 premium for coverage was a total of $364,881.
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Excess Liability Insurance
The City purchases excess liability insurance to protect against catastrophic incidents:
bodily injury, property damage, personal injury, public officials’ errors and omissions
liability, and employment practices liability.
The City’s current excess liability insurance is stand-alone commercial coverage with
the following carriers Allied, Arch, Berkeley and Hallmark, the coverage is layered to
provide the City a larger limit of coverage. Coverage was negotiated and secured by the
City’s property and liability broker Aon, a leading global professional services firm
providing a broad range of insurance solutions that has been in business for over 30
years. The City’s current excess liability insurance coverage has a $5 million SIR with a
limit of $35 million. The FY 2019/20 premium for coverage was a total of $581,275.
Commercial Property
The City purchases commercial property insurance to cover for direct physical loss or
damage to City property.
The current commercial property insurance is with Travelers Insurance. The policy
coverage provides a $50 million dollar limit per occurrence with a $100,000 dollar
deductible for all risks with the exception of DIC deductibles ranging from $100,000 to
$250,000, total premium for coverage was $621,097 for FY 2019/20.
Difference in Conditions (Earthquake and Flood)
The City purchases difference in conditions (DIC) insurance to protect against direct
physical loss of or damage to City property caused by or resulte d from a covered cause
of loss such as earthquakes and flooding.
The City’s current difference in conditions coverage is through the following carriers
Westchester Specialty, Endurance Insurance Company, Evanston Insurance Company
and Arch, the coverage is layered to provide a $20 million dollars limit. Coverage was
negotiated and secured by the City’s property and liability broker Aon, FY 2019/20
premium for coverage was a total of $328,640.
Cyber Liability
The City purchases cyber liability insurance for reimbursement coverage in response to
data privacy security incidents, business interruption, system failure, digital access
protection, network security, cyber extortion, and media liability.
The current cyber liability carrier is Chubb; the policy provides a $2 million dollar limit.
Total premium for coverage was $47,974 for FY 2019/20.
Discussion
Staff is working with the City’s current liability insurance broker Aon to evaluate various
policy limits and self-insured retention options to find excess liability coverage in the
current insurance marketplace on behalf of the City. The current market presently has
faced many obstacles such as capacity restrictions meaning there are fewer firms
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writing policies for public agencies and those that are writing are doing so for less
coverage, perceived jury verdicts for police-related claims, and the current uncertainty
that COVID-19 has created worldwide exacerbated insurance market conditions. The
City’s broker Aon and staff have submitted requests for quo tes to our current insurance
carriers and a variety of other carriers to explore and review available options for excess
liability, commercial property, and cyber liability.
Allied the City’s current excess liability insurance carrier has made the determination
that it will not renew coverage for the City in FY 2020/21. Allied provides the City excess
liability insurance coverage in the amount of $5 million for the first layer of insurance
available to the City beyond the current self -insured retention rate of $5 million. Instead,
what Allied has offered is a 30-day extension of our existing policy to allow the City an
opportunity to secure other coverage. The City’s three additional excess carriers have
followed Allied’s lead and have also agreed to provide the City a 30-day extension of
the existing policies. The total cost for the 30 -day extensions is $47,509. The following
is a breakdown of the pro-rata fee to extend our existing policies through July 31, 2020,
which will allow the City to secure excess liability insurance coverage.
Allied Excess Liability Insurance Carrier - 1st Layer ($5 - $10 million): $21,985
Hallmark Excess Liability Insurance Carrier - 2nd Layer ($10 - $15 million): $8,463
Berkley Excess Liability Insurance Carrier - 3rd Layer ($15 - $25 million): $12,300
Arch Excess Liability Insurance Carrier - 4th Layer ($25 - $35 million): $4,761
Staff has conducted thorough research and analyses on workers’ compensation
coverage for the City and the San Bernardino Municipal Water Departm ent (SBMWD). It
should be noted SBMWD will only be included in excess workers’ compensation
coverage at this time as they have alternative excess liability coverage. The City has
directly worked with the pooled carrier PRISM, formerly CSAC-EIA, to secure excess
workers’ compensation insurance coverage for both the City of San Bernardino and
SBMWD. The premium quote for excess workers’ compensation insurance with PRISM
is $384,275 for FY 2020/21.
In July, staff will bring back renewal options and costs fo r excess liability insurance,
commercial property insurance, and cyber liability options for consideration. At this time,
after the stay-at home orders associated with COVID-19, we have received the
indication that excess liability insurance coverage could cost upwards of $1.5 million in
FY 2020/21. Preliminary estimates have not been received for the commercial property
insurance and cyber liability insurance coverage; however, these policies do not renew
until August 1, 2020. A re-evaluation of various self-insured retention rates, levels of
excess liability insurance, and difference in conditions insurance options is necessary to
ensure the City’s risk insurance programs continues to meet the City’s needs both from
a cost-containment standpoint and so that appropriate levels of coverage are secured
for the City.
2020-2025 Key Strategic Targets and Goals
The resolution authorizes the City Manager to purchase both a 30-day extension with
the current excess liability policies and excess workers’ compensation insurance
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through Public Risk Innovation, Solutions, and Management (PRISM) aligns with Goal
No. 1: Financial Stability.
Fiscal Impact
The cost for a 30-day extension through July 31, 2020 for excess liability coverage and
excess workers’ compensation premiums is $431,784 for Fiscal Year (FY) 2020/21.
Sufficient funding is included in the proposed FY 2020/21 Operating Budget for the cost
of the premiums in accounts 629-110-0056*5161 (liability) and 678-110-0057*5161
(workers’ compensation).
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-131 authorizing the City Manager to purchase
both a 30-day extension to the current excess liability policies for the extended term of
coverage through July 31, 2020 for the premium amount of $47,509 and excess
workers’ compensation insurance through Public Risk Innovation, Solutions, and
Management (PRISM) formerly California State Associate of Counties Excess
Insurance Authority (CSAC-EIA) for the premium quote amount of $384,275.
Attachments
Attachment 1 Resolution 2020-131
Attachment 2 PRISM Excess Workers’ Compensation Quote
Attachment 3 EWC Memorandum of Understanding
Attachment 4 Aon 30-Day Extension Letter
Ward: n/a
Synopsis of Previous Council Actions:
June 20, 2019 Mayor and City Council adopted Resolution 2019 -68 authorizing
the City Manager enter into California State Association of Counties
Excess Insurance Authority (CSAC-EIA) insurance pool for excess
workers’ compensation insurances and to purchase stand-alone
commercial coverage for excess liability insurance with Aon.
July 17, 2019 Mayor and City Council adopted Resolution 2019-176
authorizing the City Manager to purchase the City’s property, auto,
terrorism, difference in conditions, and cyber security insurance
policy term July 31, 2019 to July 31, 2020 for Fiscal Year (FY)
2019-2020.
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RESOLUTION NO. 2020-131
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING THE CITY MANAGER TO PURCHASE
BOTH A 30-DAY EXTENSION TO THE CURRENT
EXCESS LIABILITY POLICIES FOR THE EXTENDED
TERM OF COVERAGE THROUGH JULY 31, 2020 FOR
THE PREMIUM AMOUNT OF $47,509 AND EXCESS
WORKERS’ COMPENSATION INSURANCE THROUGH
THE PUBLIC RISK INNOVATION, SOLUTIONS AND
MANAGEMENT (PRISM) FORMERLY CALIFORNIA
STATE ASSOCATION OF COUNTIES EXCESS
INSURANCE AUTHORITY (CSAC-EIA) FOR THE
PREMIUM QUOTE IN THE AMOUNT OF $384,275
WHEREAS, on June 19, 2019 the Mayor and City Council adopted Resolution No.
2019-68, authorizing the City Manager to purchase excess workers’ compensation (EWC)
insurance with California State Association of Counties Excess Insurance Authority (CSAC-
EIA) and stand-alone commercial coverage for excess liability insurance for Fiscal Year
2019/20; and
WHEREAS, the City’s current excess liability insurance carrier has made the
determination that it will not renew coverage for the City; and
WHEREAS, the City’s liability insurance carriers have agreed to provide the City a 30-
day extension of the existing policies; and
WHEREAS, staff has conducted thorough research and analyses on workers’
compensation coverage for the City; and
WHEREAS, staff will bring back renewal options and costs for excess liability
insurance, commercial property insurance, cyber liability options for consideration.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized to purchase a 30-day extension to
the current excess liability policies for the extended term coverage through July 31, 2020 for the
premium amount of $47,509.
SECTION 3. The City Manager is hereby authorized to purchase excess workers’
compensation insurance through Public Risk Innovation, Solutions, and Management (PRISM)
for the premium quote in the amount of $384,275.
12.a
Packet Pg. 300 Attachment: HR.Risk Management Insurance Program.Resolution.doc (6763 : Risk Management Insurance Program Fiscal Year 2020/21)
Resolution No. 2020-131
SECTION 4. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 5. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 6. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
12.a
Packet Pg. 301 Attachment: HR.Risk Management Insurance Program.Resolution.doc (6763 : Risk Management Insurance Program Fiscal Year 2020/21)
Resolution No. 2020-131
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
12.a
Packet Pg. 302 Attachment: HR.Risk Management Insurance Program.Resolution.doc (6763 : Risk Management Insurance Program Fiscal Year 2020/21)
SBERC
City of San Bernardino
CSAC Excess Insurance Authority
2020/21 Early Budget Estimates, March 2020
0
This third round of early estimates have been prepared to further aid you in budgeting for the
2020/21 fiscal year. At this time, updated estimates are being provided for all major programs. Since
the December version: (1) The budget estimates have been updated with actuarial rates for the
pooled layers; (2) The reinsurance rates were updated where we have proposals; and (3) We have
incorporated more accurate administrative budget numbers. While the estimates provided are more
refined from the previous version, they contain a range if there are still outstanding items specific to
the program. The estimates are intended to be conservative; however, there may be a chance that
final numbers will come in higher than the assumptions currently in place. For this reason we
recommend continuing to budget toward the high end of the estimate range if one is provided.
If you are aware that you have had any substantial changes over the past 12 months, please contact
Brian Kelley and a better estimate will be developed for you
$70,332,997
$70,522,976
The EWC premium projections have been updated to reflect your entity’s estimated 2020/21 exposure, as provided on
your renewal application, as well as losses based on the June 30, 2019 data collection. Since the December estimate, we
have updated the projected program administrative costs and received and updated the pool and reinsurance rates.
Pool rates have changed from last year as follows:
• County rates are flat on average
• Low Safety rates are down 7.25% on average
• High Safety rates are up 1% on average
• School rates are up 3.5% on average
Reinsurance Premiums changed from last year as follows:
• Ace layer ($45m x $5M - Core Tower) - pending proposals, estimated 17.5% increase
• Liberty Mutual layer ($50M to Statutory - Core Tower) - pending proposals, estimated 11% increase
• Safety National layer ($2.5M to Statutory - Ed Tower) - No rate change
The estimates have become more accurate; however, we are still pending the finalization of some miscellaneous fees. To
remain somewhat conservative at this point, the estimates were rounded up to the nearest $1,000. We will distribute final
premium numbers in June once the nominal fees are finalized.
If you have directed us to apply the 2018/19 payroll audit to your 2020/21 premium, it has been included in the total
collection shown. If you have decided to handle the payroll audit outside of your renewal premium, the estimated
premium shown is the estimated total collection.
Premium
$373,000
Excess Workers' Compensation Program
2018/19 Estimated Payroll:
2019/20 Estimated Payroll:
$291,570
$305,68619/20 Premium:
18/19 Premium:
20/21 Estimated Premium:2020/21 Estimated Payroll: $76,815,625
Payroll Audit: $11,275
Estimated Collectible:$384,275
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SBERC
City of San Bernardino
CSAC Excess Insurance Authority
2020/21 Early Budget Estimates, March 2020
0
The program is in the first year of a 2 year agreement with AIG. Premium estimates provided assume a 10-15% increase
over the expiring premium and do not contemplate any exposure changes.
Premium
$13,000
Master Crime Program
to
$11,079
$12,18719/20 Premium:
18/19 Premium:
20/21 Estimated Premium:$14,000
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Packet Pg. 308 Attachment: HR.Risk Management Insurance Program.ATTACHMENT 3 (6763 : Risk Management Insurance Program Fiscal Year 2020/21)
Aon Risk Insurance Services West, Inc. | Public Entities Practice Group
707 Wilshire Blvd., Suite 2500 | Los Angeles CA 90017
t +1.213.630.3210 | m +1.213.200.0080 | o +1.213.630.3200 | f +1.213.996.1783 | aon.com
CA Corp. Lic. No. 0363334
June 4, 2020
City of San Bernardino
Edelia Eveland, Director of Human Resources
290 North D St
San Bernardino, CA 92401
Dear Edelia:
Here is our proposal for the extension of your policies. We have confirmations
from all the carriers for a 30-day extension at the following costs:
Allied has agreed to extend Pro-rata. A/P $21,985
Hallmark has agreed to extend Pro-rata as per APR/AWAC. A/P $8,463
Berkley has agreed to extend Pro-rata as per APR/AWAC. A/P $12,300
Arch has agreed to extend Pro-rata as per APR/AWAC. A/P $4,761.
Total is $47,509 for the 30-day extension. Let me know if I should have the
carriers process this change.
If you have any further questions, please feel free to contact me.
Regards,
William S. Deeb. Ed.D.
Director of Public Entities
Aon Risk Insurance Services West, Inc.
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Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Rebekah Kramer, Assistant City Manager
Subject: Side Letter Agreement Between the City and the San
Bernardino Police Officers Association (SBPOA)
Recommendation
Adopt Resolution No. 2020-132 of the Mayor and City Council of the City of San
Bernardino, California, approving a Side Letter Agreement to the Memorandum of
Understanding (MOU) between the City of San Bernardino and the San Bernardino
Police Officers Association (SBPOA), amending Article VI-Working Conditions, Section
1: Work Schedules and Article III-Compensation, Section 3: Overtime, effective the first
full 28-day work period following Mayor and City Council approval.
Background
On August 7, 2015, the Mayor and City Council adopted Resolution No. 2015 -173,
settlement agreement with the San Bernardino Police Officers Association (SBPOA),
approving the Police Safety Memorandum of Understanding (MOU) effective July 1,
2015 through June 30, 2020.
To provide for greater work-life balance to employees assigned to patrol, instead of the
existing 3/12 work schedule, SBPOA requested consideration for a 3/12.5 work
schedule consisting of twelve (12), twelve and one -half (12.5) hour workdays with one
(1) ten (10) hour workday over a 28 -day period. Under the requested 3/12.5 work
schedule, employees would be scheduled for 160 hours in a 28 -day period, which is
consistent with the number of scheduled work hours under the existing work schedules.
Police safety employees are currently assigned to one of the following schedules:
A. 5/40 work schedule consisting of five (5), eight (8) hour workdays for a total of
40-hours in a seven (7) day workweek.
B. 9/80 work schedule consisting of eight (8), nine (9) hour workdays, and one (1)
eight (8) hour workday split in two (2) four (4) hour periods for a total of 40 -hours
in a seven (7) day workweek.
C. 4/10 work schedule consisting of four (4), ten (10) hour workdays for a total of
40-hours in a seven (7) day workweek.
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D. 3/12 work schedule consisting of three (3), twelve (12) hour workdays, and one
(1) ten (10) hour workday split in two (2) five (5) hour periods, for a total of 40-
hours in a seven (7) day workweek.
Additionally, so the City does not incur overtime costs as a result of this side letter
agreement, amendments to the overtime definition in Article III, Section 3 are
recommended.
Discussion
The California Meyers-Milias-Brown-Act (MMBA) requires the City to meet and confer in
good faith on all matters relating to employment conditions and employer -employee
relations, including, but not limited to: wages, hours, and other terms and conditions of
employment with its bargaining groups. Pursuant to the MMBA, the City began
negotiations with the SBPOA for amendments to the work schedule provisions under
the MOU. After meeting and conferring in good faith, the City and the SBPOA have
reached an agreement to amend the MOU f or a 3/12.5 work schedule. With a “blended
schedule” some employees will be assigned to a 3/12.5 weekly work schedule instead
of the current 3/12 weekly work schedule, while others will be assigned to a 4/10 weekly
work schedule. Under a blended schedule , two work schedules are available for use in
patrol. Also, to ensure overtime is not incurred as a result of the 3/12.5 weekly work
schedule transition, the overtime definition in the MOU will require updates.
All existing work schedule options, regardless of the number of hours scheduled each
day, provide 40-hours in one workweek defined by the Fair Labor Standards Act (FLSA)
as any consecutive period of 168 hours (seven (7) consecutive 24 -hour periods). With
the implementation of a 3/12.5 work schedule, one (1) workweek will consist of 47.5
hours and three (3) workweeks will consist of 37.5 hours for a total of 160 hours in a 28 -
day period, the same number of scheduled hours as with the existing schedule options.
The workweek consisting of 47.5 hours includes one (1) 10-hour shift and the three (3)
12.5-hour shifts. The 12.5-hour shifts will be scheduled for Friday, Saturday and Sunday
of each week. The 10-hour shift will generally be scheduled on the Thursday adjacent to
a 12.5-hour shift. Employees assigned to work a 4/10 weekly work schedule, work four
(4) consecutive days of 10-hours each, either Monday through Thursday or Tuesday
through Friday.
The current MOU defines overtime, as all compensable hours in excess of the regular
scheduled workday or 40 hours per week. The existing language does not contemplate
overtime implications from the implementation of a 3/12.5 hour weekly work schedule in
the workweek employees are scheduled a total of 47.5 hours. As a general rule, an
employer must pay overtime for hours worked in excess of 40 hours per week. Under
Section 207(k) of the FLSA, commonly known as the 7(k) exemption, for employees
engaged in fire protection or law enforcement activities assigned to a 28-consecutive-
day work period are not entitled to overtime for hours in excess of 40 per week. To
neutralize the overtime impact of the new work schedule, it is necessary to implement
7(k) exemption of the FLSA with a 28-consecutive-day work period so that the 7.5 hours
are not paid at the higher overtime rate when employees are scheduled a total of 47.5
hours in one workweek. Additionally, under the 7(k) exemption, overtime will be
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compensated for hours in excess of 160 during the 28 -day work period. Consistent with
the current provisions of the MOU, employees will continue to receive overtime for all
compensable hours in excess of their regularly scheduled workday.
The 3/12.5 schedule provides an opportunity for an enhancement of work -life balance
with one less day of commuting for police safety employees.
2020-2025 Key Strategic Targets and Goals
The proposed Side Letter Agreement to the Police Safety MOU approving a 3/12.5 work
schedule aligns with Key Target No. 2: Focused, Aligned Leadership and Unified
Community: Build a culture that attracts, retains, and motivates the highest quality
talent.
Fiscal Impact
There is no fiscal impact associated with the transition to a 3/12.5 work schedule.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-132, approving a Side Letter Agreement to the
Memorandum of Understanding (MOU) between the City of San Bernardino and the
San Bernardino Police Officers Association (SBPOA), amending Article VI-Working
Conditions, Section 1: Work Schedules and Article III-Compensation, Section 3:
Overtime, effective the first full 28-day work period following Mayor and City Council
approval.
Attachments
Attachment 1 Resolution 2020-132; Exhibit “A” - Side Letter
Attachment 2 San Bernardino Police Officers Association (SBPOA) Memorandum
of Understanding (2015 - 2020)
Ward: All
Synopsis of Previous Council Actions:
August 7, 2015 Mayor and City Council adopted Resolution No. 2015-173, adopting
the Memorandum of Understanding (MOU) between the City of San
Bernardino and Employees in the Police Safety Employees’
Bargaining Unit of the City of San Bernardino Represented by San
Bernardino Police Officers Association (SBPOA).
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RESOLUTION NO. 2020-132
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
APPROVING A SIDE LETTER AGREEMENT TO THE
MEMORANDUM OF UNDERSTANDING (MOU)
BETWEEN THE CITY OF SAN BERNARDINO AND THE
SAN BERNARDINO POLICE OFFICERS ASSOCIATION
(SBPOA) AMENDING ARTICLE VI WORKING
CONDITIONS, SECTION 1 WORK SCHEDULES AND
ARTICLE III COMPENSATION, SECTION 3 OVERTIME,
EFFECTIVE THE FIRST 28-DAY WORK PERIOD
FOLLOWING CITY COUNCIL APPROVAL
WHEREAS, on August 7, 2015, the Mayor and City Council adopted Resolution No.
2015-173, approving a settlement agreement with the San Bernardino Police Officers
Association (SBPOA); and
WHEREAS, to provide for a greater work-life balance to employees assigned to patrol,
the SBPOA requested consideration for a 3/12.5 work schedule; and
WHEREAS, the City and the SBPOA met and conferred in good faith and reached a
tentative agreement to amend the Memorandum of Understanding.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized to execute the Side Letter
Agreement attached hereto and incorporated herein, marked as Exhibit A.
SECTION 3. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective the first full 28-day
work period following adoption.
13.a
Packet Pg. 313 Attachment: Side Letter Agreement Between the City and the SBPOA.Resolution (6764 : Side Letter Agreement Between the City and the San
Resolution No. 2020-132
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
13.a
Packet Pg. 314 Attachment: Side Letter Agreement Between the City and the SBPOA.Resolution (6764 : Side Letter Agreement Between the City and the San
Resolution No. 2020-132
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
13.a
Packet Pg. 315 Attachment: Side Letter Agreement Between the City and the SBPOA.Resolution (6764 : Side Letter Agreement Between the City and the San
EXHIBIT A
SIDE LETTER TO THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF SAN BERNARDINO (“CITY”) AND THE SAN BERNARDINO POLICE OFFICERS’ ASSOCIATION (“ASSOCIATION”)
The City and the Association hereby agree to a modification of the terms and conditions set
forth in the Memorandum of Understanding (2015-2020) between the City and the Association
(hereinafter referred to as “MOU”) as follows:
1. Article VI, Section 1, Subsection C of the MOU shall be revised to read as follows::
3/12.5 and 4/10 Work Schedules:
The Parties have agreed to implement a “blended schedule” for employees assigned to
patrol whereby some employees will work a 3/12.5 weekly work schedule and others
will work a 4/10 weekly work schedule.
• Those employees assigned to work a 3/12.5 weekly work schedule shall work
three consecutive days of 12.5 hours each, inclusive of rest breaks and a paid 30-
minute meal period. During each 28-day work period, employees assigned to
work the 3/12.5 weekly work schedule shall also be scheduled to work one 10-
hour work shift, inclusive of rest breaks and a paid 30-minute meal period. The
12.5-hour shifts shall be scheduled for Friday, Saturday, and Sunday of each
week. The 10-hour shift will generally be scheduled for a Thursday so that it
will be adjacent to a 12.5-hour shift, but exceptions may be made to schedule the
10-hour shift for other days in order to accomplish Department-wide training or
due to special assignments. The Parties agree to develop policies governing the
interaction between the 3/12.5 weekly work schedule and extended training of
three days or more, and other issues that may arise.
• Those employees assigned to work a 4/10 weekly work schedule will work four
consecutive days of 10 hours each, inclusive of rest breaks and a paid 30-minute
meal period. The weekly schedule for employees assigned to work this shift
shall be either Monday through Thursday or Tuesday through Friday.
2. Article III, Section 3, Subsection B of the MOU shall be revised to read as follows:
Definition:
Overtime is defined as all compensable hours in excess of the regularly scheduled
workday or 40 hours per week. All overtime shall be reported in increments of 15
minutes and is non-accumulative and non-payable when incurred in units of less than 15
minutes.
Notwithstanding the above, for those employees assigned to work a 3/12.5 weekly work
schedule, overtime shall be defined as:
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Packet Pg. 316 Attachment: Side Letter Agreement Between the City and the SBPOA.Exhibit A [Revision 1] (6764 : Side Letter Agreement Between the City and
EXHIBIT A
• All compensable hours in excess of 160 hours in a 28-day work period, hereby
adopted in accordance with Section 7(k) of the Fair Labor Standards Act, or
• All compensable hours in excess of an employee’s regularly scheduled workday
except that in those weeks in which the employee is scheduled to work the 10-
hour shift, overtime shall be paid for compensable hours in excess of 47.5 hours.
For payroll purposes, employees assigned to work a 3/12.5 weekly work schedule will
be paid bi-weekly, with the 28-day work period will being divided into two 14-calendar
day pay periods: one pay period shall include 75 scheduled hours and the other 14-day
calendar day pay period shall include 85 scheduled hours.
3. This Side Letter Agreement shall become effective the first full 28-day work period
following City Council approval.
4. All other terms and conditions of the MOU will remain the same.
___________________________________
San Bernardino Police Officers’ Association
Date: ____________________________
___________________________________
City of San Bernardino
Date: ____________________________
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Packet Pg. 317 Attachment: Side Letter Agreement Between the City and the SBPOA.Exhibit A [Revision 1] (6764 : Side Letter Agreement Between the City and
July 1, 2015 TO
June 30, 2020
CITY OF SAN BERNARDINO
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Packet Pg. 318 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Article/Section
ARTICLE I
Section 1
Section 2
Section 3
Section 4
Section 5
ARTICLE II
Section 1
Section 2
Section 3
Section 4
Section 5
Section 6
Section 7
Section 8
Section 9
Section 10
Section 11
ARTICLE Ill
Section 1
Section 2
Section 3
Section 4
Section 5
Section 6
Section 7
Section 8
ARTICLE IV
Section 1
Section 2
Section 3
Section 4
Section 5
Section 6
Section 7
TABLE OF CONTENTS
Section
ADMINISTRATION
Definition of Terms ........................................................... 1
Management Rights ......................................................... 2
Mutual Aid ........................................................................ 3
Agency Personnel Rights ................................................ 3
Employees' Rights ........................................................... 3
EMPLOYER-EMPLOYEE RELATIONS
Recognition ..................................................................... .4
No Strike .......................................................................... 4
Payroll Deductions .......................................................... .4
Grievance Procedure ....................................................... 5
Employee Representative ................................................ ?
Investigation Rights ......................................................... 8
Non-Discrimination .......................................................... 9
Personnel Files ................................................................ 9
Political Activity ................................................................ 9
Use of City Resources ................................................... 1 0
Employer-Employee Relations Committee .................... 1 0
COMPENSATION
Salaries .......................................................................... 11
PERS/Retirement Plan .................................................. 11
Overtime ........................................................................ 12
Assignment to Higher Position ....................................... 13
On-Caii/Caii-Back!Standby ............................................ 13
Educationallncentive ..................................................... 14
Court Fines .................................................................... 15
Bilingual Pay .................................................................. 15
FRINGE BENEFITS
Health/Life Insurance -Active Employees .................... 15
Rain Gear/Utility Uniforms ............................................. 17
Books and Tuition Allowance ......................................... 17
Deferred Compensation ................................................. 18
Safety Equipment .......................................................... 18
Replacing/Repairing Personal Property ......................... 18
Service Pins ................................................................... 18
ii
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Packet Pg. 319 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Article/Section
ARTICLE V
Section 1
Section 2
Section 3
Section 4
Section 5
Section 6
Section 7
Section 8
ARTICLE VI
Section 1
Section 2
Section 3
Section 4
Section 5
Section 6
ARTICLE VII
Section 1
Section 2
Section 3
Section 4
Section 5
Section 6
Section 7
Section 8
Section 9
Section 10
Appendix A
Section
LEAVES
Pre-Petition Leave Banks .............................................. 19
Vacations ....................................................................... 19
Holidays ......................................................................... 21
Sick Leave ..................................................................... 22
Payment for Unused Sick Leave .................................... 24
Injury Leave ................................................................... 25
Leave of Absence Without Pay ...................................... 25
Military Leave ................................................................. 27
WORKING CONDITIONS
Work Schedules ............................................................. 27
Shift Change .................................................................. 29
Probationary Period ....................................................... 29
Seniority ......................................................................... 29
Reemployment. .............................................................. 29
Physical Examinations ................................................... 30
GENERAL PROVISIONS
Term ............................................................ : ................. 30
Notice of Intent to Reopen ............................................. 30
Housing Incentives ........................................................ 30
Recruitment Obligations ................................................ 30
Per Diem/Reimbursement Policy ................................... 31
Release of Claims .......................................................... 31
Severability .......................................................... 31
Waiver Clause ....................................................... 32
Prevailing Benefits ................................................ 32
Dispute Resolution .................................................... 32
Bankruptcy Provisions and Release of Claims ........ 33
Signature Page .............................................................. 34
lndex .............................................................................. 35
iii
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Packet Pg. 320 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Attachments for Reference:
Exhibit 1
Exhibit 2
Exhibit 3
Exhibit 4
Department Director Letter (DOL) No, 48,
Educational Reimbursement Processing
Resolution No. 2002-388, Side Letter Amending Article V,
Leaves, Section 7, Military Leave
Department Director Letter (DOL) No, 32,
Travel Authority and Expense Request Procedures
Department Director Letter (DOL) No, 33
Reimbursement or repair of lost or damaged items of
personal property of City employees.
iv
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Packet Pg. 321 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Administration:
Appointing
Authority:
Appropriate
Unit:
Association:
Continuous Service:
Department:
Division:
Employee:
Employee
Organization:
Employer:
Gender:
Mandatory and
Permissive:
ARTICLE 1-ADMINISTRATION
Section 1 -Definition of Terms
Any elected or appointed official of the City and any
employee of the City whose job classification is Management
or Confidential employee.
The Chief of the San Bernardino Police Department. In the
Chiefs absence, the Assistant Chief will be the appointing
authority.
Those positions recognized as belonging to the unit covered
by the terms of this MOU.
The San Bernardino Police Officers' Association (SBPOA).
The Chief of Police of the City of San Bernardino.
The City of San Bernardino.
Five-sixths (5/6) of the available compensable days within
the 12-month period immediately preceding the date of the
employee's return to service: 217 days for employees
working 8-hour shifts and 173 days for employees working
1 0-hour shifts.
The San Bernardino Police Department.
Any one of the major Divisions of the Department.
All Safety Personnel within the classifications in this
appropriate unit.
The San Bernardino Police Officers' Association (SBPOA).
Shall include the City of San Bernardino, and the City of San
Bernardino Police Department.
The masculine gender also includes the feminine.
"Shall" is mandatory, "may" is permissive.
1
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Packet Pg. 322 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Years of Employment:
Memorandum of
Understanding (MOU):
Singular and Plural:
Tense:
Working Day:
Shall include all full-time services for the City of San
Bernardino unless otherwise stated.
Shall mean the contractual obligation between the City and
the employees of the Unit.
The singular also includes the plural.
The present tense shall also include the past and the future.
Eight (8) hours, unless otherwise stated.
Section 2 -Management Rights
This Resolution shall not be deemed to limit or curtail the City in any way in the
exercise of the rights, powers and authority which the City has prior to entering into this
MOU, except to the extent that the provisions of the MOU specifically curtail or limit
such rights, powers and authority. Furthermore, the City retains all rights, powers and
authority under City Charter, Ordinances, Resolutions, State and Federal law, and
expressly and exclusively to: determine the mission of its constituent departments,
commissions and boards; set standards of selection for employment and promotion;
direct its employees; establish and enforce dress and grooming standards; maintain the
efficiency of governmental operations; determine the methods, means, numbers and
kinds of personnel by which government operations are to be conducted; determine the
content and intent of job classifications; determine methods of financing; determine style
and/or types of City issued wearing apparel, equipment or technology to be used,
provided that no such measures which threaten the safety of employees shall be
adopted; determine and change the facilities, methods, technology, means,
organizational structure, size and composition of the work force and allocate and assign
work by which the City operations are to be conducted, provided however, that no such
measures which threaten the safety of employees shall be adopted; determine and
change the number of work locations, relocations and types of operations, processes
and materials to be used in carrying out all City functions, including but not limited to,
the right to contract for or subcontract any work or operations of the City; assign work to
and schedule employees in accordance with requirements as determined by the City;
and establish and change work schedules and assignments as set forth in the MOU;
establish and modify productivity and performance programs and standards; discharge,
suspend, demote, reprimand, withhold salary increases and benefits, except such as
are mandated by City Charter, or otherwise discipline employees in accordance with the
applicable law; establish employee performance standards, including but not limited to,
quality and quantity standards; carry out its mission in emergencies; and, exercise
complete control and discretion over its organization and the technology of performing
its work.
2
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Packet Pg. 323 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Section 3 -Mutual Aid
Nothing herein shall in any way be construed to limit the use of any public safety
agency or any member in the fulfilling of mutual aid agreements with other jurisdictions
or agencies, nor shall this article be construed in any way to limit any jurisdictional or
interagency cooperation under any circumstances where such activity is indeed
necessary or desirable by the jurisdictions or the agencies involved.
Section 4 -Agency Personnel Rules
It is understood and agreed that there exists within the City the "Civil Service
Rules and Regulations for the Classified Service"; Resolution No. 10584, Establishing
Uniform and Orderly methods of Communications Between the City and its Employees
for the Purpose of Promoting Improved Employer-Employee Relations, as amended,
and Resolution No. 10585, Adopting Rules and Regulations Relating to Employer
Employee Relations, as amended. These documents will continue in effect, except for
those provisions modified by the Common Council in accordance with state or federal
laws, orders, regulations, official instructions or policies. In the case of proposed
changes by other than agreement, the City shall consult with the Association or meet
and confer when required by statute. In cases of emergency, the Association and City
will meet as soon as possible after the changes.
Section 5 -Employees' Rights
Employees shall have all the rights, which may be exercised in accordance with
state law, federal law, the Charter and applicable ordinances, resolutions, rules and
regulations.
A. The right to form, join and participate in the activities of employee
organizations of their own choosing for the purpose of representation on all matters of
employer-employee relations.
B. The right to refuse to join or participate in the activities of employee
organizations and the right to represent themselves individually in their employment
relations with the City.
C. The right to be free from interference, intimidation, restraint, coercion,
discrimination or reprisal by other employees, employee organizations, management or
supervisors as a result of their exercise of rights indicated in (A) and (B) above.
3
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Packet Pg. 324 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
ARTICLE II· EMPLOYER-EMPLOYEE RELATIONS
Section 1 • Recognition
Formal recognition of the Association is acknowledged for purposes of meeting
and conferring on wages, hours, working conditions and other terms and conditions of
employment and of general representation of its members. The Association has been
recognized formally as the majority representative of the appropriate unit composed of
Police Officers and other sworn, non-management positions in the San Bernardino
Police Department, including but not limited to, the following classifications: Police
Officer; Juvenile Officer; Corporal; Detective; Senior Identification Inspector; and,
Sergeant. These positions are recognized regardless of assignment, receipt of incentive
pay or acting in a higher position.
Section 2 • No Strike
It is the purpose of the MOU for the parties hereto, to confirm and maintain the
spirit of cooperation, which has heretofore existed between the City of San Bernardino
and the employee organization. It is recognized that any work disruptions are
unproductive to City operations and services provided its citizens. The Association and
City hereby agree that they shall at no time nor in any way jeopardize the public health,
welfare and safety of the City's business and residential communities. Thus, the
Association and the City will strive to promote a harmonious relationship between the
parties of this MOU that will result in benefits to the City and will provide continuous and
uninterrupted employee services. It is, therefore, further agreed that the Association
shall not, on behalf of itself and its members, individually or collectively, engage in any
curtailment or restriction of work, including but not limited to, "blue flu" or strikes, at any
time during the term of this MOU.
Section 3 • Payroll Deductions
It is agreed that the Association membership dues, insurance and premiums for
plans sponsored by the Association shall be deducted by the City from the pay warrant
of each employee covered hereby who files with the City a written authorization
requesting that such deduction be made. Remittance of the aggregate amount of all
membership dues and insurance premiums deducted from the pay warrants of
employees covered hereby shall be made to the Association within 30 days after the
conclusion of the month in which said membership dues and insurance premiums were
deducted.
The City shall not be liable to the Association, employees or any other persons
by reason of the requirements of this section for the remittance of any sum other than
that constituting actual deductions made from employee wages earned. The Association
shall hold the City harmless from any and all claims, demands, suits, orders, judgments
4
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Packet Pg. 325 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
or other forms of liability that may arise out of, or by reason of, action taken by the City
under this section.
Section 4-Grievance Procedure
A. Purpose: The City of San Bernardino and the Association realize the
importance of a viable grievance procedure to aid in the resolution of disputes among
employees, supervisors and management. It is recognized that to maintain high
employee morale and harmonious relations, an orderly method of processing
grievances is necessary.
This procedure is intended to establish a systematic means to process a
grievance and to obtain fair and proper answers and decisions regarding employee
complaints. The representative of employees and management at all levels will make
continuing efforts to secure prompt disposition of grievances. Every effort should be
made to resolve grievances in the informal process.
The initiation of a grievance in good faith by an employee shall not cast
any adverse reflection on his/her standing with his/her supervisors or his/her loyalty as a
City employee, nor be a reflection on the employee's supervisor or the department
involved, unless it is determined that such department or supervisor has grossly abused
management discretion or the employee has grossly abused the grievance process.
B. Definition: A grievance is an alleged violation of the terms of this MOU or
of the laws, ordinances, resolutions or regulations concerning or affecting wages, hours
or other conditions of employment. The remedy selected by the employee shall be the
exclusive remedy pursued, either through the grievance procedure or through appeals
to the Civil Service Board. However, nothing herein shall be interpreted as
relinquishment of the rights set forth in City of San Bernardino Charter Sections 253,
254, and 255.
Additionally, allegations of discrimination and harassment shall be
submitted to the Equal Employment Officer.
C. Representation: The aggrieved employee shall have the right to be
represented. This representation may commence at any step in the grievance
procedure. Legal counsel and/or official representatives of the recognized employee
organization only can represent the employee. No person hearing a grievance need
recognize more than one representative for any employee at any one time, unless
he/she so desires. If the employee's legal counsel is not from the formally recognized
employee organization, a representative of that formally recognized organization may
attend the grievance hearing to insure that the solution reached does not violate the
terms of the MOU.
5
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Packet Pg. 326 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
D. Consolidation of Grievances: In order to avoid the necessity of processing
numerous similar grievances at one time, a single grievance may be filed.
E. Time Limits Time limitations are established to settle a grievance quickly.
Time limits may be modified by agreements of the parties. If at any stage of the
grievance procedures the grievant is dissatisfied with the decision rendered, it shall be
the grievant's responsibility to initiate the action, which submits the grievance to the next
level of review. The grievant may proceed to the next step if a reviewing official does not
respond within the time limits specified. A formal grievance may be entertained in or
advanced to any step if the parties jointly so agree.
F. Steps in the Grievance Procedure: The procedures outlined herein
constitute the informal and formal steps necessary to resolve an employee's grievance.
An attempt to settle the grievance in the informal structure at the employee-supervisor
level is required. The grievance must be submitted to the informal step within ten (10)
working days of the incident causing the grievance, or the grievant's knowledge of the
incident occurrence.
Note: If the employee chooses to appeal disciplinary action to the Civil
Service Board, he/she shall be precluded from filing a grievance.
The date and the subject of the incident should be provided with the
request for the informal meeting.
1. Informal: Initially, the grieving employee shall on a personal face-to-
face basis discuss his/her complaint with his/her immediate supervisor informally.
Within ten (10) working days, the supervisor shall give his/her decision to the employee
orally.
2. Formal:
Step 1. Written Grievance to Supervisor: If a mutually acceptable
solution has not been reached in the informal process, the employee shall submit the
grievance in writing to his/her immediate supervisor. This must be accomplished within
ten (10) working days of being informed of the supervisor's informal decision. Within ten
( 1 0) working days of receiving the written notification of the employee's grievance, the
supervisor may meet with the employee and thoroughly discuss the grievance. The
employee may appear personally and may be represented by a representative of
his/her choice. In any event, the supervisor shall give a written decision to the employee
within ten (1 0) working days after receipt of the written grievance.
Step 2. Meet with Division Head: If the grievance has not been
satisfactorily resolved at this level, it may be appealed within ten (1 0) working days to
the division head, who may follow the steps outlined in Step 1 above. In any event, the
division head shall give a written decision to the employee within ten (10) working days
after receipt of the grievance.
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Packet Pg. 327 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Step 3. Meet with Chief: If the grievance has not been satisfactorily
resolved at this level, it may be appealed within ten (10) working days to the Chief, who
may follow the steps outlined in Step 2 above. In any event, the Chief shall give a
written decision to the employee within ten (10) working days after receipt of the
grievance. If the grievance has not been satisfactorily resolved at this level, it may be
appealed within ten (1 0) working days to the Director of Human Resources.
Step 4. Review by the Director of Human Resources: If the
grievance is still not adjusted, the aggrieved party may file a written appeal with the
Director of Human Resources within ten (10) working days from the date of delivery of
said answer. The Director of Human Resources or his/her designee shall meet with the
employee, and if the employee desires, the designated union representative within ten
(10) working days after receipt of the appeal. The designated City representative shall
deliver his/her answer in writing to the employee within ten (10) working days after the
meeting.
Step 5. Final Step:
a. If the grievance is still not adjusted, the aggrieved party may
file a written appeal with the City Manager or his/her designated representative within
ten (1 0) working days from the date of delivery of said answer. State in writing the
complaint and the desired result.
b. The City Manager or his/her designated representative shall
deliver his/her answer in writing within ten (1 0) working days after receipt of the appeal.
c. The decision of the City Manager or his/her designated
representative is final and binding on all parties, unless reversed by a court decision.
d. All grievances shall be treated as confidential and no
publicity will be given the final resolution of the grievances.
Section 5 -Employee Representatives
When requested by an employee, a Job Representative (Job Rep) may
investigate any alleged grievance in the department and assist in its presentation. The
representative shall be allowed reasonable time therefor during working hours without
loss of time or pay, upon notification and approval of his/her immediate supervisor, with
the concurrence of the division or department head. The privilege of a Job Rep to leave
work during work hours without loss of time or pay is subject to the understanding that
the time will be devoted to the proper handling of grievances and will not be abused.
Such time shall be excluded in any computation of overtime. Job Reps will perform their
regularly assigned work at all times, except when necessary to leave their work to
handle grievances as provided herein. A Job Rep will not be granted time off or
compensation for the purpose of handling grievances outside this unit. The Association
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Packet Pg. 328 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
shall notify the City of the names of each Job Rep each January. The City shall
recognize a ratio of one (1) Job Rep for every 50 permanent employees in the unit, but
not less than five (5). Job Reps shall include: One (1) from Detective Bureau; three (3)
from Patrol; one (1) from MET/Traffic; and, one (1) from Narcotics.
Section 6 -Investigation Rights
When an employee is under investigation and subjected to interrogation by
his/her commanding officer or any other member of the department, which could lead to
punitive action, such interrogation shall be conducted under the following conditions.
For the purpose of this chapter, punitive action is defined as any action which may lead
to dismissal, demotion, suspension, reduction in salary, written reprimand or transfer for
purposes of punishment.
The Police Department will make a good faith effort to conclude within 90
calendar days any investigation that could lead to discipline of a unit member.
For disciplinary appeals, the member may request that a neutral hearing officer
hear the matter and submit a proposed decision to the City's Civil Service Board
("Board"). The Board shall review the decision and recommended discipline, and either
adopt the findings and the disciplinary action in its entirety, modify the recommended
disciplinary action, and/or request additional findings from the hearing officer. The
Board shall retain jurisdiction of final disposition of the disciplinary action.
The Police Department will exclude disciplinary action, which is not final in
preparing performance evaluations. However, the Police Department retains the right to
consider such disciplinary action, once finalized, in subsequent performance
evaluations, ratings for promotions and so forth.
If an employee on the graveyard shift wishes to appeal a disciplinary action to the
Civil Service Board, the employee's shift may be rescheduled to the day shift on the
date of the Civil Service Board meeting, provided that the shift change is for the
disciplined employee only and the employee requests the shift change in advance
through the chain of command.
The City hereby adopts and incorporates herein by reference all provisions of the
Public Safety Officers' Procedural Bill of Rights (Government Code Section 3300, et.
seq.).
Lawful Exercise of Rights: Insubordination: Administrative Appeal:
A. No employee shall be subjected to punitive action, or denied promotion, or
be threatened with any such treatment because of the lawful exercise of the rights
granted herein or the exercise of any rights under any existing administrative grievance.
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Packet Pg. 329 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Nothing in this section shall preclude a head of an agency from ordering
an employee to cooperate with other agencies involved in criminal investigations. If an
officer fails to comply with such an order, the agency may officially charge him with
insubordination.
B. No punitive action, nor denial of promotion on grounds other than merit,
shall be undertaken by any public agency without providing the employee with an
opportunity for administrative appeal.
Section 7 -Non-Discrimination
The provisions of this agreement shall be applied equally by the City and the
Police Association to all employees covered hereby without favor or discrimination
because of race, sex, age, national origin, marital status, sexual orientation, political or
religious opinions or affiliations or Association membership. Further, there shall be no
discrimination against qualified individuals with disabilities as defined in the Americans
With Disabilities Act of 1990 (ADA), when those individuals do not pose a risk to the
health or safety of themselves or others.
Section 8 -Personnel Files
No member shall have any comment adverse to his/her interest entered in
his/her personnel file as described in PC 832.8, or any other files used for any
personnel purposes by the employer, without the member having first read and signed
the instrument containing the adverse comment indicating he/she is aware of such
comment, except that such entry may be made if after reading such instrument, the
member refuses to sign it. Should a member refuse to sign, that fact shall be noted on
the document and signed or initialed by such officer.
A member shall have 30 days within which to file a written response to any
adverse comment entered in his/her personnel file. Such written response shall be
attached to and accompany the adverse comment.
In all instances other than a written warning or commendation, the consultation
reports will be purged from the supervisor's file in compliance with departmental
standard operating procedures. Citizen/internal complaints will be purged from the
Internal Affairs files in compliance with the departmental Standard Operating
Procedures.
Section 9 -Political Activities
Except as otherwise provided by law or whenever on duty or in uniform, no
employee shall be prohibited from engaging in or be coerced or required to engage in
political activity.
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Packet Pg. 330 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Section 10-Use of Citv Resources
The Association may be granted permission to use department facilities for the
purpose of meeting with employees to conduct its internal affairs provided space for
such meetings can be made available without interfering with City needs. Permission to
use facilities must be obtained by the Association from the Chief or a designated
representative. The Association shall be held fully responsible for any damages to and
the security of any facility that is used by the Association.
The department will furnish adequate bulletin board space where currently
available. Only areas designated by the appointing authority may be used for posting of
notices. Bulletin boards may be used for the following notices:
A. Scheduled Association meetings, agenda and minutes;
B. Information on Association elections and results;
C. Information regarding Association special, recreational and related
bulletins;
D. Reports of official business of the Association, including reports of
committees or the Board of Directors;
E. MOU, pay scales, job announcements, promotion lists, etc.
Such other items as may be approved by the department management upon request of
the department.
Posted notices shall not be obscene or defamatory, nor shall they advocate
election or defeat of candidates for public office. All notices to be posted may be dated
and signed by an authorized representative of the Association and should have prior
written approval of the Chief or an authorized representative. Denial of approval shall
not be arbitrary or capricious or discriminatory.
Section 11-Employer-Employee Relations Committee
Consistent with Section 5, the Association will designate five (5) representatives
who will meet with representatives of Police administration on a mutually agreeable
basis to discuss matters pertinent to the welfare of the City and the employees. The
Association may have additional representatives present when appropriate for the
discussion of scheduled matters. Normally, such meeting shall be during regular
working hours.
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Packet Pg. 331 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
ARTICLE Ill· COMPENSATION
Section 1 • Salaries
For each year that this Agreement is in effect, the monthly salaries of local safety
members of the San Bernardino Police Department shall be increased by 3.5%. In
addition, salary surveys shall be conducted annually, in accordance with the City
Charter, Article X, Section 186 and consistent with the interpretation and methodology
currently utilized by the City. In the event the annual salary survey determines that the
salary for each classification surveyed exceeds 3.5%, the higher amount shall
determine the salary for that classification only. Salary increases shall be effective
August 1st in accordance with the City Charter. The provisions of this section shall
continue during the term of this Agreement regardless of whether City Charter Section
186 is repealed or otherwise modified.
Section 2 • PERS/Retirement Plan
A. Retirement Benefits. SBPOA members are provided retirement benefits
under the Public Employee's Retirement System (CaiPERS) as follows:
Tier 1: Employees hired prior to September 1, 2011 shall receive a 3% @ 50
retirement benefit;
Tier II: Employees hired between September 1, 2011 and December 31, 2012
shall receive a 3% @ 55 retirement benefit;
Tier Ill: Employees hired between January 1, 2013 and December 31, 2015
shall receive a 2.7%@ 57 retirement benefit in accordance with the Public
Employees' Pension Reform Act of 2013 (PEPRA);
Tier IV: Employees hired on or after January 1, 2016 shall receive a 2.5% @ 57
retirement benefit in accordance with PEPRA.
B. Required Bargaining Unit Member Contributions. As of the effective
date of this MOU, bargaining unit employees hired on or before December 31, 2012
(hereinafter referred to as legacy or classic employees), shall contribute through a
payroll deduction, 9% toward the CaiPERS retirement costs.
Effective July 1, 2016, legacy or classic members shall contribute through
a payroll deduction, 9% toward the CaiPERS retirement.
Effective July 1, 2017, and for the remaining term of the MOU, legacy or
classic employees shall contribute through a payroll deduction of 12% toward their
retirement.
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Packet Pg. 332 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Employees hired on or after January 1, 2013 (PEPRA Employees) shall
contribute 50% of the normal costs in accordance with Government Code § 7522.30.
C. In accordance with Government Code§ 21624 and§ 21635, the "post
survivors retirement" benefit provided under the City's contract with CaiPERS shall be
provided to all employees.
D. For Tier I and Tier II legacy or classic employees, the final compensation
period will be single highest year as provided under the City's contract with CaiPERS.
Section 3 -Overtime
A. Policy: It is the policy of the City to discourage overtime, except when
necessitated by abnormal or unanticipated workload situations. The City has the right to
require overtime to be worked as necessary. Consistent with this policy, the Chief will
make every effort to assign overtime evenly among the employees with similar skills or
assignments.
B. Definition: Overtime is defined as all compensable hours in excess of the
regularly scheduled workday or 40 hours per week. All overtime shall be reported in
increments of 15 minutes and is non-accumulative and non-payable when incurred in
units of less than 15 minutes.
C. Compensation: An employee who works overtime authorized by the
department shall be compensated at time-and-a-half. Payment for overtime shall be
made on the first regular payday following the pay period in which overtime is worked,
unless overtime compensation cannot be computed until some later date, in which case,
overtime will be paid on the next regular payday after such computation can be made.
The employee may decide that he/she be paid for the overtime or accumulate such
overtime at time-and-a-half. Such determination must be made at the time the employee
submits the overtime slip. Overtime compensation for details or assignments outside
the normal budgetary process or that are funded through grant funds shall be
compensated in cash. Payment for unused accumulated overtime shall be made upon
termination, retirement or paid to the survivor upon death of the employee.
D. Accumulated overtime shall not exceed 240 hours. Effective July 1, 2015, all
compensatory time shall be capped at 240 hours. Any compensatory time in excess of
240 hours shall be placed in a separate bank (Excess Camp Time Bank "ECT") and
shall be cashed out as follows:
• October 15, 2015 paycheck = 25%
• January 15, 2016 paycheck = 25%
• April15, 2016 paycheck= 25%
• July 15, 2016 paycheck = 25%
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Packet Pg. 333 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Any SBPOA unit members who separate prior to July 15, 2015, shall be paid for all
unused compensatory time in full. For the October 15, 2015 payment, the City Manager
has the discretion to cash out more than 25% so long as it does not bring the SBPOA
member below the 240 cap. All accumulated compensatory time shall be paid to a unit
member upon promotion of the member.
Requests for use of accumulated overtime made fourteen (14) days in advance of the
time requested, will be granted unless a public safety issue or serious deployment issue
arises.
E. Daylight Savings Time: Employees required to work during daylight
savings time when their shift is extended by one (1) hour (clocks are turned back one
(1) hour) will not be compensated for that hour.
Employees required to work when their shift is reduced by one (1) hour
(clocks are turned forward one (1) hour) will not be deducted one (1) hour of
compensation time.
If employees are required to work beyond their standard end of shift,
employees will be compensated at their normal overtime rate.
Section 4 • Assignment to Higher Position
An employee of the department temporarily acting in a position in a higher rank
during periods of absence of the incumbent or during a vacancy in the position for more
than ten (1 0) consecutive days shall receive the same salary for the higher rank to
which he/she would be entitled, were he/she promoted to that rank during the period in
which the employee is acting in the higher rank. The Chief shall certify monthly as to the
assignment and the period of time worked in the higher rank to validate entitlement to
the higher salary.
This article does not apply to a situation in which there is no vacant higher-level
position for which funds have been appropriated. Substantive addition of duties of a
higher-level classification to an employee's budgeted position should be considered for
a classification study.
Section 5 • On-Caii/Caii-Back/Standbv
A. On-Gall/Call-Back: An employee placed in an "on-call" status by Police
management will receive four (4) hours pay for all or any portion of a 24-hour day. On-
call status shall start at the end of the employee's scheduled workday and at 0800 hours
for employees on a scheduled day off.
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Packet Pg. 334 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Four ( 4) personnel will be placed in an on-call status for the purpose of
homicide investigations. These personnel, consisting of three (3) investigators and one
(1) supervisor, will be compensated with one (1) hour of overtime, equal to timecand-a-
half of their current rate of pay. Periods of time for on-call will be established by the
department to coincide with the needs of the investigations division.
For all unit members (other than homicide investigation personnel noted
above), compensation for those called back after the end of their scheduled workday
will be a one (1) hour minimum at time-and-a-half, as applicable.
Whether or not the time an employee is on-call need be counted as
compensable working time depends upon the employee's freedom while on-call, as
defined by the Fair Labor Standards Act (FLSA).
B. Standby: In the event an employee is placed on standby for a court
subpoena, the employee will receive three (3) hours' standby pay. If the employee is
called to court and does not go beyond 1200 hours in that day, it will be considered part
of the three (3) hours' standby. If the employee has to appear after the noon recess, any
additional time will be added to the three (3) hours' standby. In cases where the
subpoena is for 1330 hours or another time, the standby will start with the time stated
on the subpoena. In those cases where the subpoena is for 1330 or later, the
employee's time will be computed at the amount of time between the time of the
subpoena and 1700. Employees will receive a half-hour (1/2) travel time for going to
court.
If an employee works graveyard shift and has an 8:00 a.m. court
appearance; the employee will receive overtime pay for a minimum of one (1) hour. For
all hours worked in excess of the one (1) hour, employees will receive overtime pay for
actual time worked.
In the event the employee is required to pay parking fees, the employee
will be reimbursed. If employees are required to stay through noon recess, they will be
paid for the actual time worked.
Section 6 • Educational Incentive
All police officers shall be entitled to receive in addition to their regular salary and
as may be appropriate, one of the levels of incentive payment as outlined below:
A. Two hundred dollars ($200) additional compensation per month shall be
paid each police officer who has obtained a Peace Officer Standards Training (POST)
Intermediate Certificate; or,
B. Two hundred fifty dollars ($250) additional compensation per month shall
be paid each police officer who has obtained a POST Advanced Certificate; or,
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Packet Pg. 335 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
C. Two hundred seventy-five dollars ($275) additional compensation per
month shall be paid to each police officer who has obtained a POST Supervisory
Certificate.
Section 7 -Court Fines
The City shall pay for court fines imposed upon each member as a result of
his/her conviction of a traffic violation when such employee was directed to operate any
faulty vehicle or vehicular equipment, which was the proximate cause of the mechanical
or other traffic violation, provided that such violation did not result from improper or
negligent operation of the vehicle on the part of the member.
Section 8 -Bilingual Pay
Each full-time employee who meets the City's certification and eligibility
requirements shall be compensated at the rate of $50/month. The City shall reserve the
right to determine languages for which testing will be conducted.
ARTICLE IV -FRINGE BENEFITS
Section 1 -Health/Life Insurance -Active Employees
A. During the term of this agreement the City's Contributions for Healthcare
benefits shall be as follows:
1. For Plan Year (Calendar Year) 2015, the City shall contribute
$855.38 per month toward health premiums for the Employee + One dependent or
Family coverage. For calendar year 2015, the City shall contribute $ 508.21 per month
toward health premiums for employees with Employee Only coverage.
2. For Plan Year (Calendar Year) 2016, the City's contribution toward
healthcare premiums will be paid at 100% for Employee Only; 85% for Employee +
One; and 75% for Employee + Family, using the Kaiser premium amount then in effect.
B. Thereafter, the City and the SBPOA will share, on a 50-50 basis, the dollar
increases to the Kaiser premiums for the next two Plan Years (2017 and 2018).
C. During Plan Years four (2019) and five (2020) of this MOU, the 50-50 cost
sharing of the increased Kaiser premiums would be continued, however, the City's
contribution during the last two (2) Plan Years would be capped at 3% per year. At the
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Packet Pg. 336 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
end of the MOU, the 3% cap will sunset, unless otherwise modified by the City and the
SBPOA.
The amount of the City's contribution is based on the selection of the
"medical" enrollment category. If an employee elects "employee only" medical
coverage, then the "employee only" allowance is given to the employee. Any
contribution not utilized by the employee shall revert to the City.
D. Insurance benefits available for purchase by employees include: medical,
dental, vision, and supplemental life and accidental death and dismemberment
insurance.
However, City contributions cannot be used for any voluntary benefits
offer to members through Colonial Life.
E. An employee must purchase insurance offered through the City in order to
utilize the contributions described in Section A above.
F. Employees may use any of the amounts described in Section A to
purchase any/all of the insurance benefits described in Section B.
G. Cafeteria monies may be redesigned or a change of plans may be made
in accordance with the rules established by the insurance plan selected by the
employee.
H. Effective January 1, 2007, the City shall provide each employee with
$25,000 term life insurance and $25,000 Accidental Disability and Dismemberment
(AD&D).
I. The City shall pay funeral expenses of up to $10,000 for a police officer
killed in the line of duty.
J. Enrollment in City insurance plans is subject to the regulations availability
established by each plan's provider.
K. An employee who does not want to enroll in any health care plan offered by
the City must provide evidence of health care insurance coverage, and execute a
"Waiver of Benefits and Release Agreement" releasing the City from any responsibility
or liability to provide health care insurance coverage on an annual basis. Employees
who elect to waive the City's health care insurance may receive a stipend as shall be
determined by the City on an annual basis. The parties acknowledge that the stipend for
calendar year 2015 is$ 2,000 and the City has set the stipend for calendar year 2016 at
$2,500.
L. The SBPOA agrees to participate in the City's Joint Labor-Management
Health Benefits Committee ("Committee") to evaluate, on an annual basis, City-wide
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Packet Pg. 337 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
plan designs for health care. All plan designs and City contributions shall be effective on
January 1st annually.
M. Employees must be in a paid status for fifteen (15) consecutive days, in any
given month, to receive the benefits of this Article, unless the employee is on a
qualifying approved leave, such as Family Medical Leave, and is eligible for benefit
continuation under applicable State or Federal law. Members who have been
suspended or discharged pending an administrative appeal shall be eligible for
continuation of benefits pending final disposition of the disciplinary matter by the Civil
Service Commission.
Section 2 • Rain Gear/Utility Uniforms/Uniform Allowance
A. Rain Gear: The City shall continue its current method to provide
appropriate duty rain gear for personnel.
B. Utility Uniforms: Each employee of the bargaining unit shall be furnished
one utility uniform. Said uniform shall be maintained in assigned lockers or in the vehicle
available for use at all times.
C. Uniform Allowance: Once each fiscal year, each employee in the
bargaining unit shall receive an annual uniform allowance of $950 to be paid in a lump
sum amount during the first pay period of March.
New employees must wait until the first pay period of March to receive
their annual uniform allowance.
Section 3 · Books and Tuition Allowance
The City will continue under its formalized procedures to pay tuition costs for
members who complete prior-approved, job related courses of instruction, which will
increase their value to the City. Grades must be consistent with the City's policy.
Courses must be taken at an accredited school. The amount of reimbursement shall be
equivalent of tuition costs for up to six (6) units per quarter as charged by the California
State University, San Bernardino, or up to one-and-a-half (1-1/2) times that amount, if
based on a semester system. The Director of Human Resources will recommend
approval or disapproval, based on the availability of budgeted funds for tuition
assistance. Reimbursement for books required for the approved course or courses may
be authorized by the Chief at the time reimbursement for tuition is requested. See
Exhibit 1 -Department of Director Letter (DDL) No. 48, Educational Reimbursement
Processing.
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Packet Pg. 338 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Section 4 -Deferred Compensation
The City shall continue to sponsor a Deferred Compensation Plan, which shall be
available to employees on a voluntary basis. Unspent "cafeteria" contributions may not
be diverted into a deferred compensation or like plan.
Section 5 -Safety Equipment
A. New employees who are required to have safety equipment will be
furnished same on a one-time basis, including safety equipment hardware, leather and
safety vests.
B. The City shall furnish regularly-assigned motorcycle officers the following
items as initial issue: (1) safety helmet; (1) pair of boots; (2) pair of riding breeches,
which are declared to be necessary for the safety of the officer as specified under Labor
Code Section 6401 and Government Code Section 5008.1.
C. Replacements will be issued upon return of worn-out items. It shall be the
duty of each employee to use normal diligence in their use and any willful damage or
loss shall obligate the employee to replace the item at his/her expense. Upon
reassignment or separation from the department, these items shall be returned to the
City.
The City Director of Finance shall have direct control over the purchase,
issue and replacement of the above-described items. The Chief shall certify in writing to
the Director of Finance as to an individual's entitlement.
Section 6 • Replacing/Repairing Personal Property
The City shall continue to provide for the cost of replacing or repairing personal
property of an employee, which is lost or damaged in the performance of duty as
provided in Department Director Letter (DOL) No. 33, Reimbursement or Repair of Lost
or Damaged Items of Personal Property of City Employees, dated April 17, 1989, and
revised August 29, 2003.
Section 7 -Service Pins
Employees of the City of San Bernardino shall be awarded service pins upon
completion of each of the following period of years of continuous loyal service:
5 years
10 years
15 years
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Packet Pg. 339 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
20 years
25 years and over
Years of service shall be deemed to include all continuous loyal employment for
the City of San Bernardino.
Award of service pins for the above-designated service shall be made as soon as
may be practicable after the employee has completed the required period of
employment.
Service pins shall be of such design as approved by the Mayor and Common
Council of the City of San Bernardino and shall show the number of years of service for
which the award is made and the City seal of the City of San Bernardino.
ARTICLE V ·LEAVES
Section 1 -Pre-Petition Leave Banks
The monetary value of all pre-petition leave bank accruals, including without limitation,
vacation, sick leave, concession leave, and holiday leave, will be the subject of
distribution as part of the bankruptcy unsecured creditors' pool. All leave balances
accrued on or before August 1, 2012 (Pre-Petition Leave) shall be placed in the
unsecured creditor pool and will not be available for cash-out (or the cash equivalent)
by the SBPOA members. This position is consistent with the Recovery Plan adopted by
the City Council on May 18, 2015. Under the City's Recovery Plan, all City employees
are subject to these restrictions on pre-petition leaves. With the exception of post-
petition vacation accrual, all post-petition leave accruals will be deferred pending the
final approval and effective date of a Plan of Adjustment by the Bankruptcy Court. Any
agreement reached by the parties as to the implementation of this section will be
memorialized in a side letter.
Section 2 -Vacations
A. All employees within the bargaining unit covered by this MOU shall be
entitled to annual paid vacations as follows:
Completed Years of
Continuous Service*
1 year**
5 years
15 years
20 years
Rate of Accrual
Per Pay Period
3.33 hours
5.0 hours
6.667 hours
8.33 hours
19
Equivalent Hours
Per Year
80 hours
120 hours
160 hours
200 hours
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Packet Pg. 340 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
*Service year begins on initial date of employment in a full-time regular status.
**No vacation granted or accrued, if service is Jess than one year.
B. When an employee resigns or otherwise leaves the service of the City and
has not used his earned post-petition vacation since his last anniversary date, payment
shall be made to the employee for the earned portion of his vacation.
Vacation leave will continue to accrue in accordance with Section A
(above). Prior to the final approval and the effective date of the City's Plan of
Adjustment by the Bankruptcy court, all post-petition vacation accruals shall be paid in
accordance with Resolution 2014-158, adopted by the Mayor and Common Council on
June 16, 2014.
Calculation of payment earned vacation or deduction for unearned
vacation upon termination shall be made in accordance with the wage rate in effect on
the final day of employment.
C. When an employee returns to work after a break in "continuous service,"
and when such break in continuous service shall have been by leave of absence with
approval of the Mayor and Common Council, vacation time shall not accrue during such
break in continuous service but shall accrue monthly from the date of return to service
from such approved leave of absence, based upon the total length of service of the
employee.
D. Whenever the terms "years or years of employment" appear herein, it
shall be deemed to include all services for the City of San Bernardino.
E. If an employee leaves the City service prior to the completion of the year
in which he/she used such leave, a deduction will be made from such employee's final
paycheck for the unearned portion of such vacation. Employees shall not be allowed to
use unearned vacation time.
F. Vacation credits may accrue and accumulate for a maximum of two (2)
years' total accumulated vacation credits on a carryover basis from year to year.
Vacations or portions thereof from any one year so accrued may run consecutively with
vacations or portions thereof of the next succeeding year, subject to approval of the
Chief.
G. Compensation for vacation other than for earned vacation at the time of
termination of employment shall be limited to the amount normally earned during
regularly assigned working time.
H. Once per year, members of the bargaining unit will be granted the option
of selling up to one-quarter (1/4) of their post-petition vacation and holidays to the City.
The Chief will approve or disapprove a member's request for sellback. An eligible
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employee shall notify the City by August 1 of his/her request for sellback for the prior
fiscal year ending June 30. The City shall compensate eligible employees on the first
payday in September.
I. In the event that an employee is compensated for less than 50 percent of
the total number of work hours in the pay period, he/she shall not accrue vacation hours
for that period.
J. Approved vacation, sick leave, holiday or compensatory time off shall be
considered as time worked for the purpose of Article V, Section (2) I.
Section 3-Holidays
A. Employees shall be entitled to 10 City-designated holidays, the equivalent
of 1 00 holiday hours each year, as listed below:
New Year's Day
Memorial Day
Independence Day
Labor Day
Veteran's Day (November 11)
Thanksgiving Day
Day After Thanksgiving
Christmas Eve
Christmas Day
New Year's Eve
Additionally, employees shall be entitled to one ten (10) hour floating
holiday effective January 1 of each year. Only unit employees who have satisfactorily
served in the employ of the City continuously for at least six (6) months in a full-time
position shall be eligible to take floating holidays. Employees shall not be allowed to use
unearned holiday time.
B. The Chief shall consider any request of any employee as to preference for
taking floating holidays, provided however, the final right to allot the day to be observed
is exclusively reserved to the Chief.
C. All full-time employees with the exception of those employees shown in
the following paragraphs shall be allowed the above holidays at full pay when such
holidays occur within the regular assigned working period, provided they are in a paid
status during any portion of the working day immediately preceding or succeeding the
holiday. If it becomes necessary for employees to work on any of the City-designated
holidays, ten (1 0) hours shall be placed in their holiday account.
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D. Upon separation from the City, employees shall be paid for 80% of his/her
current holiday account balance.
E. Holidays as listed above shall be allowed on Monday, if any such holiday
falls on Sunday, and shall be allowed on the preceding Friday, if any such holiday falls
on Saturday, for all employees except those covered by other provisions herein. If the
Christmas and New Year holidays occur on Mondays, these holidays and the holiday
eves will be observed on Mondays and Tuesdays.
F. Employees may accrue a maximum of 120 hours in their holiday bank.
Section 4 • Sick Leave
A. Sick leave means absence from duty of an officer or employee because of
illness or injury, exposure to contagious disease, attendance upon a member of his
immediate family who is seriously ill or requires the care or attendance of an officer or
employee, or death in the immediate family of the officer or employee. Immediate family
means: husband; wife; grandmother; grandfather; mother; father; sister; brother; son;
daughter; mother-in-law; father-in-law; sister-in-law; brother-in-law; daughter-in-law; or
son-in-law.
B. Not more than one-half (1/2) of an employee's annual sick leave accrual
within any calendar year may be granted to an officer or employee for the care of or
attendance upon members of his immediate family. Not more than 40 hours of sick
leave may be granted to an officer or employee for each absence due to death of a
member of his immediate family as defined above.
C. No absence due to illness or injury in excess of 40 hours shall be
approved except after the presentation of satisfactory evidence of illness or injury; and,
a certificate from a practicing physician or an authorized practicing chiropractor
approved by the Mayor and Common Council may be required by the Chief and shall be
subject to his approval concerning said absence. The Mayor and Common Council shall
have the power to require that any person claiming the sick leave benefits of this MOU
be examined at any reasonable time or intervals by the County Health Officer or other
designated physician, and in the event of an adverse report, to reject such claim for sick
leave in whole or in part, and to terminate sick leave compensation. In the event of the
refusal of any person to submit to such examination after notification, the Mayor and
Common Council may terminate sick leave compensation and reject any claim therefor.
The Mayor and Common Council shall have the right to require the presentation of a
certificate from a practicing physician or the County Health Officer stating that an officer
or employee is physically able to perform his work and duties satisfactorily before
permitting an officer or employee who has been on sick leave to return to work.
D. In order to receive compensation while absent on sick leave, the
employee shall notify his immediate superior or the station commander prior to the time
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set for beginning his daily duties, or as may be specified by the Chief. When the
absence is for more than one work day, the employee may be required to file a
physician's certificate or a personal affidavit with the Director of Human Resources
stating the cause of the absence.
E. Sick leave with pay shall be granted to all regular employees. Sick leave
shall not be considered as a right, which an employee may use at his discretion, but
shall be allowed only in case of necessity and actual personal sickness or disability,
except as otherwise provided herein.
F. Whenever an employee is compensated hereunder for sick leave and has
not had a vacation at the end of the current calendar year, he shall be allowed to take
his vacation in the calendar year he returns to duty.
G. Whenever the term "service of City" appears herein, it shall be deemed to
include all service of the City of San Bernardino.
H. All full-time officers and employees of the City who are actively on duty,
have been in the service of said City for six (6) months or more continuously, and who
are compelled to be absent from their work on account of illness or injury other than that
which is compensable under Article V, Section 6, Injury Leave, of this MOU, shall
receive their full salary, wages or compensation for a period of one (1) day for each
month of continuous service, provided that such salary, wages or compensation shall
cease upon the exhaustion of all accumulated sick leave.
I. Sick leave accruals and payouts (Section 5 below) shall only include post-
petition sick leave accrued after August 1, 2012. An employee may only accrue a
maximum of 1040 hours of sick leave. Time off with pay for sick leave shall be
considered as time worked for purposes of the accrual of sick leave only. Sick leave
shall not accumulate during periods of leave of absence without pay. Employees will not
be allowed to use unearned sick leave.
J. The 48 hours of sick leave granted after six (6) calendar months of
continuous service as herein provided for all full-time employees shall be computed at
the rate of approximately 4.0 hours per pay period. In the event that an employee works
less than 50 percent of the total normal work hours in the pay period, he shall receive
no sick leave benefit for such pay period and shall not be credited with the 4.0 hours of
sick leave.
K. Approved vacation, sick leave, holiday or compensatory time off shall be
considered as time worked for the purpose of computing sick leave benefits only.
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Packet Pg. 344 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Section 5 • Payment for Unused Sick Leave
A. All permanent employees or the estate of any such deceased employee
who dies during employment shall be entitled to receive payment for unused post-
petition sick leave, subject to the restrictions and conditions as set forth below.
B. Employees or the estate of any such deceased employee who dies during
employment, after the completion of five (5) years of continuous full-time employment
with the City, upon retirement, death or termination of employment, except through
dismissal or resignation with prejudice, shall receive compensation of 50 percent of
accumulated and unused post-petition sick leave. After 20 years of continuous service
with the City of San Bernardino, compensation will be seventy-five percent (75 %) of all
accumulated and unused post-petition sick leave.
C. For the purpose of this section, the "retirement" shall have the meaning
ascribed to it and the definition therefore as set forth in Section 20060 of the
Government Code.
D. Any conversion of sick leave resulting from industrial disability will be
provided to an employee in accordance with applicable provisions of the Labor Code.
E. Each fiscal year an employee may elect to receive payment in lieu of
accrued post-petition sick leave, provided such employee has used 32 hours or less of
post-petition sick leave during the fiscal year ending June 30th.
1. An eligible employee shall notify the City by August1 st of his/her
desire to receive such payment. The City shall compensate eligible employees on the
first payday in September.
2. An employee receiving such pay shall receive at the then current
salary rate pay for one-fourth (1/4) of the number of hours of post-petition sick leave
accrued; less those hours used for the fiscal year period. The employee's accrued post-
petition sick leave shall be reduced by the number of post-petition sick leave hours for
which pay is provided.
F. At the time of separation from service, any employee having fifteen (15) years
of continuous service with the City of San Bernardino, may cash out up to 50% of
unused post-petition sick leave. At the time of separation from service, any employee
having 20 years of continuous service with the City of San Bernardino, may cash out up
to 75% of unused post-petition sick leave.
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Packet Pg. 345 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Section 6 -Injury Leave
Employees will have a choice of doctor on work-related injury, in accordance with
existing State Labor Code.
The parties understand that Association may submit the issue of the applicability
of California Government Code Section 45010 as it pertains to City Resolution No.
6433, Section 6, for determination by way of an action for declaratory judgment to be
filed in the San Bernardino County Superior Court. The City does not waive its defense
that this issue has been decided in favor of the City by a binding decision of the Court of
Appeal, nor does the City hereunder agree to pay any costs or expenses of the
litigation.
When injury is sustained in the course and scope of employment with the City,
said employee shall be compensated under the provisions of the Workers'
Compensation Insurance and Safety Act of California and not under the provisions of
the MOU; provided that he/she shall be reimbursed pursuant to the provisions of
California Labor Code Section 4850 during the first 365 days of disability, provided
further that these payments may be terminated pursuant to the provisions of California
Government Code Section 21023.6.
Employees who are receiving payments under Labor Code Section 4850 shall
accrue vacation, sick leave and holiday credits during such absence from duty. When
employees are off duty on injury leave and have not had a vacation at the end of the
current year, they shall be allowed to take this vacation in the calendar year they return
to duty.
Section 7 -Leave of Absence Without Pay
A. Leave of absence without pay is a temporary non-pay status and absence
from duty granted at the request of the employee. The Mayor and Common Council
may grant leave of absence without pay for a period not to exceed six (6) months, upon
the positive recommendation of the Chief and the City Manager. Under justifiable
conditions, said leave may be extended by the Mayor and Common Council for
additional periods. A leave of absence without pay will be considered favorably if it is to
be expected that the employee will return to duty and that at least one of the following
benefits will result: increased job ability, protection or improvement of the employee's
health, retention of a desirable employee or furtherance of a program in the interest of
the City. Examples or conditions for which a leave of absence without pay may be
granted are:
1. For an employee who is a disabled veteran requiring medical
treatment.
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Packet Pg. 346 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
2. For an employee who is temporarily mentally or physically unable
to perform his duties.
3. For an employee who files for or assumes elected office.
4. For maternity or paternity leave, upon the recommendation of the
attending physician.
5. For military leave when the employee has less than one ( 1) year of
service to qualify for leave with pay.
A, An approved leave of absence without pay for less than 60 days in any
calendar year will not be considered a break in service. Leave in excess of 60 days
shall result in the advancement of the employee's anniversary date and compensation
advancement date to such date as will account for the total period of uncompensated
time off. Failure to return to duty at the expiration of the approved leave of absence
without pay shall constitute an automatic resignation.
B. The City's contribution towards an employee's health and life insurance
premiums will not be extended beyond the last day of the month in which the absence
without pay begins if the leave of absence without pay becomes effective during the first
15 days of the month, nor beyond the last day of the next succeeding month if the leave
of absence without pay becomes effective after the 15th day of the month, unless the
employee is returned to work from leave of absence without pay status prior to the date
the City's contribution would be discontinued. In the event the employee desires to
maintain full health and life insurance coverage while on leave of absence without pay
status, he may arrange to pay the insurance premiums for the coverage desired (both
the employee and the employer portions). It is the responsibility of the employee to
contact the payroll section in this regard. The payment of the amount of the premiums
must be made to the payroll section prior to the date on which the City's participation will
terminate. Payments must be made monthly thereafter until the employee either returns
to work or his employment with the City is terminated.
C. Upon an employee's return to work, the City's contribution towards the
employee's health and life insurance premiums will begin on the first day of the month
following the end of the leave of absence without pay if that leave of absence without
pay terminates between the 1st and 15th days of the month, or on the 1st day of the next
succeeding month if the leave of absence without pay terminates after the 15th day of
the month.
D. Notwithstanding any other provision of this section to the contrary, the City
will continue its contribution for health and life insurance premiums of an employee on
leave of absence due to any injury or illness arising out of and in the course of his or her
employment with the City.
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Packet Pg. 347 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
E. In circumstances in which either the Federal Family Leave Act or the State
Medical and Family Leave Act apply, the City shall adhere to the requirements of the
Acts.
Section 8 • Military Leave
A. An employee who shall enter the Armed Forces of the United States
during war or national emergency as declared by the President or the Congress of the
United States shall be entitled to leave of absence without pay during such service and
for a period of 90 days thereafter. Every such employee and/or officer returning to the
City within the time herein specified, and who has been honorably discharged from such
service shall be reinstated without loss of status or seniority, provided they are not
physically or mentally incapacitated from performing the duties of said office or position.
B. Compensation of employees on temporary military leave of absence is
found in Military & Veterans Code Section 395.01, which currently provides in part as
follows:
"Any public employee who is on temporary military leave of
absence and who has been in the service of the public agency from
which the leave is taken for a period of not less than one year
immediately prior to the day on which the absence begins shall be
entitled to receive his salary or compensation as such public
employee for the first 30 calendar days of any such absence. Pay
for such purposes shall not exceed 30 days in any one fiscal year.
For the purposes of this section in determining the one year of
public agency service, all service of said public employee in the
recognized military service shall be counted as public agency
service."
C. All persons appointed to fill such position during war or such national
emergency shall be temporary appointees only.
D. In the event of circumstances, which require reserve "call-up," the City will
meet and confer with the POA over the impact of the call-up on unit members.
ARTICLE VI • WORKING CONDITIONS
Section 1 ·Work Schedules
The standard workday represents the tour of duty for which an employee is
regularly scheduled for work during a 24-hour period commencing from the start of the
employee's assigned shift. A regularly scheduled tour of duty, which commences before
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midnight and ends the following day, shall be reported for payroll purposes as time
worked for the day in which the tour of duty began.
Work schedules shall be as defined herein, except as otherwise provided for:
A. 5/40 Work Schedule: The 5/40 work schedule shall consist of a 40-hour
workweek consisting of five (5), eight-(8) hour workdays, exclusive of any meal periods
assigned by management.
B. 9/80 Work Schedule: The 9/80 work schedule shall consist of 80 work
hours in a two (2) week period, consisting of eight (8), nine-(9) hour work days and one
(1 ), eight (8) hour work day, exclusive of any meal periods assigned by management.
C. 4/10 Work Schedule: The 4/10 work schedule shall consist of a 40-hour
workweek consisting of four (4), ten-(1 0) hour workdays, exclusive of any meal periods
assigned by management.
Since the four-day, ten-hours-per-day plan (4/1 0) has been a successful
method of operation in the Patrol Division, it shall continue with exceptions of special
details within that Division.
D. Work Schedule Adjustment: It is recognized that during the term of this
agreement, it may be necessary for management to make changes in the work
schedule to meet the needs of the service, based on the results of a management audit
and/or other circumstances that may arise. Any shift schedule changes are subject to
the meet and confer process. Except for emergencies or in case of special needs where
management finds it necessary to make such changes, it shall notify the Association
indicating the proposed change prior to its implementation. Where such change would
significantly affect the working conditions of a significantly large number of employees in
the unit and where the Association requests to meet with management, the parties shall
expeditiously undertake to consult, as provided by Section 350 et. Seq., of the California
Government Code regarding the impact the change would have on the employees of
the unit.
In cases of special needs where it would be advantageous to make
temporary changes to the regularly assigned shift of some personnel, the Department
will make a good faith attempt to give one (1) week advance notice to the affected
employee(s). The Department will not make special needs changes that result in the
disruption of consecutive work days. It is recognized that it may be necessary for
management to make unscheduled temporary changes to regularly assigned shifts
based on emergencies or matters of public safety.
E. Lunch Hours: Only officers in Patrol will be allowed to take paid meal
breaks.
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Section 2 • Shift Change
Subject to authorization of the Chief, Assistant Chief, Captain, Area Commander
or Station Commander, employees in the unit should be allowed to exchange time with
other employees of equal rank on the following basis:
A. Time exchanged shall be with equal rank and be agreeable with both
parties and shall be requested in a memo signed by both employees.
B. The time exchange requested shall be initiated with the immediate
supervisor of the employee requesting the exchange.
C. Time exchanged may be by one standard workday or by a half (1/2)
standard workday.
D. Time exchanged shall be repaid by one standard workday or by a half
(1/2) standard workday, within a seven-(7) day period.
E. Since this is done for the convenience of the employee, in no case shall a
shift exchange or repayment of a shift exchange be considered in computation of
overtime.
Section 3 • Probationary Period
The probationary period for positions in this unit shall be 12 months from the date
of hire.
Section 4 • Seniority
Seniority is herein defined to be an employee's length of service with no break in
service within the Police Department and/or classification in which the employee is
presently assigned. The department may consider seniority in vacation scheduling, shift
assignments and transfers within classification.
Section 5 · Reemployment
An employee who has terminated City employment and who is subsequently
rehired in the same classification in a regular position within a 90-day period may
receive restoration of salary step. Seniority shall begin anew as of the rehire date. All
other authorized benefits shall accrue as of the date of rehire.
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Packet Pg. 350 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Section 6 -Physical Examinations
The City shall pay medical fees for the physical examination of any police officer
when such examination is required and directed by the City.
ARTICLE VII -GENERAL PROVISIONS
Section 1 -Term
The Term of this Agreement shall be five (5) years, commencing on July 1, .2015. The
dates of this Agreement shall be fiscal years: 2015-2016; 2016~2017; 2017-2018; 2018-
2019; and 2019-2020.
Section 2-Notice of Intent to Reopen
Commencing on January 1, 2020, either Party may submit to the other, a written
request to bargain for a successor agreement, including a list of proposals on economic
or non-economic issues.
Section 3 -Housing Incentives
During the term of this Agreement, the City shall provide HUD housing incentives to
officers wishing to purchase homes within the City of San Bernardino ("Community
Revitalization Program"). Such incentives shall represent a 50% discount from the
list price of the home. All participants in this program must commit to live in the
property for three (3) years. The City shall provide to the SBPOA a summary of the
terms of this Community Revitalization Program.
Section 4 -Recruitment Obligations
The City and the SBPOA acknowledge that there has been significant attrition of
police safety members and that coming to an agreement on the essential terms and
conditions of employment is the first step in stabilizing the San Bernardino Police
Department. In recognition of the need to rebuild the Department, the SBPOA
agrees that, as a condition of an agreement to the economic terms, it will actively
participate in the formulation and implementation of an aggressive recruitment
campaign to attract new hires and lateral police officers.
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Packet Pg. 351 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Section 5 -Per Diem/Reimbursement Policy
Th.e City shall pay employees per diem rates for authorized travel and lodging related to
attendance at schools, training, and other approved work related duties. Per diem rates
will include meals and mileage to be determined by location and destination of the
school or business attended and in accordance with the guidelines the U.S. General
Services Administration. The rates are periodically updated and are set by the
destination /location of the school or business location being attended. The current rate
information can be found at www.gsa.gov. No receipts will be required for the per diem.
And all requests must be submitted within 45 days upon completion of the authorized
travel.
The City of San Bernardino will arrange for and pay the employee's lodging expenses.
Lodging receipts will be submitted to the City by the travelling employee. Additional
expenses (such as parking, rental vehicles, ancillary duty costs) will be reimbursed by
the City of San Bernardino upon the employee submitting receipts for such job related
costs. Requirements for receiving reimbursement for these expenses will be provided in
the City of San Bernardino's Department/Director Letter, No. 32.
Section 6-Release of Claims
CaiPERS 13.989% Cost Sharing Imposition: The SBPOA agrees to release any and all
claims regarding the January 28, 2013 imposition of the 13.989% cost sharing amount
to the CaiPERS contribution. These claims are incorporated into claims referred to in
Appendix A.
Section 7 -Severability
If any provision of the MOU is held by the proper legislative or judicial authority to
be unlawful, unenforceable, unconstitutional or not in accordance with applicable
statutes or not applicable to Charter cities, all other provisions of the MOU shall remain
in full force and effect for the duration of this MOU. If there is any conflict between the
provisions of this MOU and the provisions of federal, state, or local government
regulations, the provisions of the federal, state or local government regulations shall be
controlling. Upon the issuance of a decision declaring any article, section or portion of
this MOU to be unlawful, unenforceable, unconstitutional or not applicable to Charter
cities, the parties agree to meet and confer immediately concerning only those articles,
sections, and portions.
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Packet Pg. 352 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Section 8 -Waiver Clause
The City and the Association for the life of the MOU each agrees that the other
shall not be obligated to meet and confer with respect to any subject or matter referred
to or covered by this MOU.
Section 9 -Prevailing Benefits
All benefits, privileges and working conditions authorized for the employees at
the present time, which are not included in this MOU shall remain in full force during the
term of this MOU, unless changed by mutual consent.
Section 10-Dispute Resolution
The Parties acknowledge that there are terms and conditions set forth above
which may not be resolved by mutual agreement. The Parties agrees that in the event
any disputes cannot be resolved, such disputes shall be submitted to the Honorable
Judge Gregg Zive for resolution.
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Packet Pg. 353 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
APPENDIX A
Bankruptcy Provisions and Release of Claims
1. The MOU will become effective upon execution by the parties, provided
however that the MOU will become null and void and of no further effect if the
City's Plan of Adjustment is not approved by the Bankruptcy Court.
2. The City will append the MOU to its Plan of Adjustment, and the Plan and
confirmation order shall provide for Court approval of the MOU.
3. Under the Plan all claims of the SBPOA and its members with respect to
wages, pensions (including implementation of cost sharing and elimination of
the EPMC benefit), other benefits and other terms and conditions of
employment that arose prior to the date of the confirmation of the Plan,
including, without limitations, all claims arising from the City's changes to the
terms and conditions of employment and/or rejection of the prior MOU
(collectively the "Police Claims"), shall be treated as general unsecured
claims under the Plan, and the City and its officers shall be discharged from
such Police Claims upon confirmation of the Plan; provided, however, that
any claims arising under the MOU after it is executed by the City and the
SBPOA (e.g. grievances) shall not be discharged as long as (a) the SBPOA
complies with the terms of the SBPOA Settlement, and, (b) the Court confirms
the Plan.
4. The SBPOA shall support confirmation of the Plan that incorporates the
SBPOA Settlement.
5. The City and the SBPOA shall stipulate and agree on the amount of the
Police Claims. The SBPOA shall vote the full amount of the Police Claims in
favor of the Plan and shall file a brief in support of confirmation of the Plan.
6. The SBPOA Settlement is not a solicitation by the City, and the SBPOA's
commitment to vote the Police Claims in favor of the Plan is not effective until
the Court approves a Disclosure Statement that incorporated the SBPOA
Settlement.
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Packet Pg. 354 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
INDEX
Subject
Agency Personnel Rights ........................................................................................... 3
Assignment to Higher Position .................................................................................. 13
Bilingual Pay ............................................................................................................. 15
Books and Tuition Allowance .................................................................................... 17
Court Fines ............................................................................................................... 15
Deferred Compensation ............................................................................................ 18
Definition of Terms ..................................................................................................... 1
Educational Incentive ............................................................................................... 14
Employee Representative ........................................................................................... 7
Employees' Rights ...................................................................................................... 3
Employer-Employee Relations Committee ............................................................... 1 0
Grievance Procedure .................................................................................................. 5
Health/Life Insurance-Active Employees ............................................................... 15
Holidays .................................................................................................................... 21
Housing Incentives ................................................................................................... 30
Injury Leave .............................................................................................................. 23
Investigation Rights .................................................................................................... 8
Leave of Absence Without Pay ................................................................................. 25
Management Rights ................................................................................................... 2
Military Leave ........................................................................................................... 26
Mutual Aid ................................................................................................................... 3
No Strike ..................................................................................................................... 4
Non-Discrimination ..................................................................................................... 9
Notice of Intent to Reopen ........................................................................................ 30
On-Caii/Caii-Back/Standby ....................................................................................... 13
Overtime ................................................................................................................... 12
Payment for Unused Sick Leave .............................................................................. 23
Payroll Deductions ..................................................................................................... .4
Per Diem/Reimbursement Policy .............................................................................. 30
PERS/Retirement Plan ............................................................................................. 11
Personnel Files ........................................................................................................... 9
Physical Examinations .............................................................................................. 29
Political Activity ........................................................................................................... 9
Pre-Petition Leave Banks ......................................................................................... 19
Prevailing Benefits .................................................................................................... 31
Probationary Period .................................................................................................. 29
Rain Gear/Utility Uniforms ........................................................................................ 17
Recognition ................................................................................................................. 4
Recruitment Obligations ........................................................................................... 30
Reemployment ......................................................................................................... 29
Release of Claims .................................................................................................... 31
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Packet Pg. 355 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Subject. ................................................................................................................ Page
Replacing/Repairing Personal Property .................................................................... 18
Safety Equipment ..................................................................................................... 18
Salaries ..................................................................................................................... 11
Seniority .................................................................................................................... 29
Service Pins .............................................................................................................. 18
Severability ............................................................................................................... 31
Shift Change ............................................................................................................. 28
Sick Leave ................................................................................................................ 22
Term ......................................................................................................................... 33
Use of City Resources .............................................................................................. 1 0
Vacations .................................................................................................................. 19
Waiver Clause .......................................................................................................... 31
Work Schedules ....................................................................................................... 27
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Packet Pg. 356 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
References
During the term of this Memorandum of Understanding (MOU), the attached Resolution
and Department/Director Letters (DOL) may be modified. Official documents will be
located in the City Manager's Office.
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Packet Pg. 357 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
ATTEST:
POLICE SAFETY EMPLOYEES'
MEMORANDUM OF UNDERSTANDING
2015-2020
Georgeann Hanna, City Clerk
Approved as to form:
Gary D. Saenz, City Attorney
34 Police Safety MOU
13.c
Packet Pg. 358 Attachment: Side Letter Agreement Between the City and the SBPOA.Attachment 2 (6764 : Side Letter Agreement Between the City and the San
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Jim Tickemyer, Parks, Recreation, & Community Services
Director
Subject: Addendum to Amend the Performance Period Deadline for
Visual Performing Art Grant Award Agreement
Recommendation
Adopt Resolution No. 2020-133 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager or designee to execute an
addendum to the Visual and Performing Art Grant Award Agreements amending the
performance period deadline to December 31, 2020.
Background
The Visual and Performing Arts Grant was made available to qualifying non -profit arts
organizations, Parks and Recreation community centers, and classroom teachers within
the San Bernardino City Unified School District (including charter schools), SBVC and
CSUSB for the enhancement and support of city-wide art and cultural programs of
benefit and interest to a broad segment of the population.
The Arts and Historical Preservation Commission recommended 15 recipients that were
awarded funding ranged from $900 - $50,000 for visual and performing art programs.
The funding consideration for approved programs was for a one-year performance
period beginning July 1, 2019 through June 30, 2020 for grant recipients.
The restrictions set forth by the COVID-19 pandemic had an immediate effect on the
award recipients and their ability to continue to meet the performance period deadline of
June 30, 2020 as set forth in the agreement. Due to the impact of the COVID -19
pandemic that resulted in closure of schools, entertainment venues, large gatherings,
and other educational facilities, several of the award reci pients have been forced to
postpone programming.
Discussion
In consideration of the unforeseen circumstances affected by the COVID -19 pandemic
on the award recipients programming, the City believes that it is befitting to grant the
recipients an extended performance period.
The extended performance period will allow the award recipients to achieve program
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Page 2
goals and objectives and to provide the committed efforts to educate, enhance and
benefit the cultural and economic well-being of the community through visual and
performing arts.
2020-2025 Key Strategic Targets and Goals
The request to extend the performance period aligns with Key Target No. 2: Focused,
Aligned Leadership and Unified Community by building a culture that attracts, retains,
and motivates the highest quality of talent.
Fiscal Impact
There is no fiscal impact to the City.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-133, authorizing the City Manager or designee to
execute an addendum to the Visual and Performing Art Grant Award Agreements
amending the performance period deadline to December 31, 2020.
Attachments
Attachment 1 Resolution 2020-133; Exhibit “A” - Addendum to Grant Award
Agreement;
Attachment 2 Exhibit “B” - Addendum to Agreement-Akoma Unity Center
Exhibit “C” - Addendum to Agreement-Arts Connection-San
Bernardino
Exhibit “D” - Addendum to Agreement-Cajon Chamber Choir
Booster Club
Exhibit “E” - Addendum to Agreement-CSU, San Bernardino Opera
Theatre
Exhibit “F” - Addendum to Agreement-City of San Bernardino
Parks, Recreation and Community Services
Exhibit “G” - Addendum to Agreement-Empire Wind Ensemble
Exhibit “H” - Addendum to Agreement-Junior University Theater
Exhibit “I” - Addendum to Agreement--SBCUSD Visual &
Performing Arts K-6 Bucket Percussion
Exhibit “J” - Addendum to Agreement-SBCUSD Visual &
Performing Arts K-12 Music and Band Percussion
Exhibit “K” - Addendum to Agreement-San Bernardino Symphony
Orchestra
Exhibit “L” - Addendum to Agreement-San Bernardino Valley
College Foundation
Exhibit “M” - Addendum to Agreement-San Bernardino Valley
Concert Association
Exhibit “N” - Addendum to Agreement-Sinfonia Mexicana Mariachi
Youth Academy
Exhibit “O” - Addendum to Agreement-San Bernardino Teen Music
Workshop
Exhibit “P” - Addendum to Agreement-The Little Gallery of San
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Page 3
Bernardino
Ward: All
Synopsis of Previous Council Actions:
June 5, 2019 Mayor and City Council adopted Resolution No. 2019-84,
authorizing the execution of 15 Visual and Performing Art Grant
Agreements with recipients recommended by the Arts and
Historical Preservation Commission for FY 2018/19.
14
Packet Pg. 361
RESOLUTION NO. 2020-133
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING THE CITY MANAGER OR DESIGNEE TO
EXECUTE AN ADDENDUM TO THE VISUAL AND
PERFORMING ART GRANT AWARD AGREEMENTS
AMENDING THE PERFORMANCE PERIOD DEADLINE
TO DECEMBER 31, 2020
WHEREAS, on June 5, 2019 the Mayor and City Council of the City of San Bernardino
authorized the City Manager or designee to execute Visual and Performing Art Grant
Agreements to 15 recipients recommended by the Arts and Historical Preservation Commission
for a performance period of July 1, 2019 to June 30, 2020; and
WHEREAS, due to the impact of the restrictions set forth in response to the COVID-19
pandemic resulting in the closure of schools, large gatherings, and entertainment venues, several
of the grant award recipients were forced to postpone programming; and
WHEREAS, the Mayor and City Council now desire to authorize the City Manager to
extend the performance period deadline to December 31, 2020.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and Akoma Unity Center amending the performance period deadline to
December 31, 2020 attached hereto as Exhibit “B” and incorporated reference herein as if
fully set forth.
SECTION 2. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and Arts Connection amending the performance period deadline to
December 31, 2020 attached hereto as Exhibit “B” and incorporated reference herein as if
fully set forth.
SECTION 3. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and Cajon High School Chamber Choir Booster Club amending the
performance period deadline to December 31, 2020 attached hereto as Exhibit “B” and
incorporated reference herein as if fully set forth.
SECTION 4. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and California State University, San Bernardino Opera Theatre amending
14.a
Packet Pg. 362 Attachment: PR.Addendum to Agreement Art Grant Award.RESOLUTION [Revision 2] (6780 : Addendum to Amend the Performance Period
Resolution No. 2020-133
the performance period deadline to December 31, 2020 attached hereto as Exhibit “B” and
incorporated reference herein as if fully set forth.
SECTION 5. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and City of San Bernardino, Parks, Recreation and Community Services
Department amending the performance period deadline to December 31, 2020 attached hereto as
Exhibit “B” and incorporated reference herein as if fully set forth.
SECTION 6. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and Empire Wind Ensemble amending the performance period deadline
to December 31, 2020 attached hereto as Exhibit “B” and incorporated reference herein as if
fully set forth.
SECTION 7. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and Junior University amending the performance period deadline to
December 31, 2020 attached hereto as Exhibit “B” and incorporated reference herein as if
fully set forth.
SECTION 8. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and San Bernardino City Unified School District Visual and Performing
Arts (K-6 Instrumental Music, Bucket Percussion) amending the performance period deadline to
December 31, 2020 attached hereto as Exhibit “B” and incorporated reference herein as if
fully set forth.
SECTION 9. That the City Manager of the City of San Bernardino is hereby authorized
to execute an addendum to the Visual and Performing Art Grant Award Agreement between the
City of San Bernardino and San Bernardino City Unified School District Visual and Performing
Arts (K-12 Instrumental Music, Band and Percussion amending the performance period deadline
to December 31, 2020 attached hereto as Exhibit “B” and incorporated reference herein as if
fully set forth.
SECTION 10. That the City Manager of the City of San Bernardino is hereby
authorized to execute an addendum to the Visual and Performing Art Grant Award Agreement
between the City of San Bernardino and San Bernardino Symphony Orchestra amending the
performance period deadline to December 31, 2020 attached hereto as Exhibit “B” and
incorporated reference herein as if fully set forth.
SECTION 11. That the City Manager of the City of San Bernardino is hereby
authorized to execute an addendum to the Visual and Performing Art Grant Award Agreement
between the City of San Bernardino and San Bernardino Valley College Foundation amending
the performance period deadline to December 31, 2020 attached hereto as Exhibit “B” and
incorporated reference herein as if fully set forth.
14.a
Packet Pg. 363 Attachment: PR.Addendum to Agreement Art Grant Award.RESOLUTION [Revision 2] (6780 : Addendum to Amend the Performance Period
Resolution No. 2020-133
SECTION 12. That the City Manager of the City of San Bernardino is hereby
authorized to execute an addendum to the Visual and Performing Art Grant Award Agreement
between the City of San Bernardino and San Bernardino Valley Concert Association (Garcia
Center for the Arts) amending the performance period deadline to December 31, 2020 attached
hereto as Exhibit “B” and incorporated reference herein as if fully set forth.
SECTION 13. That the City Manager of the City of San Bernardino is hereby
authorized to execute an addendum to the Visual and Performing Art Grant Award Agreement
between the City of San Bernardino and Mexicana Mariachi Youth Academy amending the
performance period deadline to December 31, 2020 attached hereto as Exhibit “B” and
incorporated reference herein as if fully set forth.
SECTION 14. That the City Manager of the City of San Bernardino is hereby
authorized to execute an addendum to the Visual and Performing Art Grant Award Agreement
between the City of San Bernardino and San Bernardino Teen Music Workshop amending the
performance period deadline to December 31, 2020 attached hereto as Exhibit “B” and
incorporated reference herein as if fully set forth.
SECTION 15. That the City Manager of the City of San Bernardino is hereby
authorized to execute an addendum to the Visual and Performing Art Grant Award Agreement
between the City of San Bernardino and The Little Gallery of San Bernardino amending the
performance period deadline to December 31, 2020 attached hereto as Exhibit “B” and
incorporated reference herein as if fully set forth.
SECTION 16. That the City Council finds this Resolution is not subject to the
California Environmental Quality Act (CEQA) in that the activity is covered by the general rule
that CEQA applies only to projects which have the potential for causing a significant effect on
the environment. Where it can be seen with certainty, as in this case, that the re is no possibility
that the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 17. Severability. If any provision of this Resolution or the application
thereof to any person or circumstance is held invalid, such invalidity shall not affect other
provisions or applications, and to this end the provisions of this Resolution are declared to be
severable.
SECTION 18. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
14.a
Packet Pg. 364 Attachment: PR.Addendum to Agreement Art Grant Award.RESOLUTION [Revision 2] (6780 : Addendum to Amend the Performance Period
Resolution No. 2020-133
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
14.a
Packet Pg. 365 Attachment: PR.Addendum to Agreement Art Grant Award.RESOLUTION [Revision 2] (6780 : Addendum to Amend the Performance Period
Resolution No. 2020-133
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
14.a
Packet Pg. 366 Attachment: PR.Addendum to Agreement Art Grant Award.RESOLUTION [Revision 2] (6780 : Addendum to Amend the Performance Period
290 North D St, San Bernardino, CA 92401 | P: 909-384-7272 | www.SBCity.org
June 22, 2020
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum to
the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and (“Recipient”). City or Recipient are hereinafter sometimes referred to
individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020 as set forth in
Section 2. Compensation and Expenses 2.2 Grant Reversion, to the amended deadline date of December
31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “A” 14.b
Packet Pg. 367 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 1.Addendum to Agreements Exhibit A (6780 : Addendum to Amend
290 North D St, San Bernardino, CA 92401 | P: 909-384-7272 | www.SBCity.org
June 22, 2020
Akoma Unity Center
1367 North California
San Bernardino, CA 92411
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum to
the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND AKOMA UNITY CENTER
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020 as set forth in
Section 2. Compensation and Expenses 2.2 Grant Reversion, to the amended deadline date of December
31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “B” 14.c
Packet Pg. 368 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
Arts Connection - Visual Arts Building Room 308
5500 University Parkway
San Bernardino, CA 92407
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum to
the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND ARTS CONNECTION
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “C” 14.c
Packet Pg. 369 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
Cajon Chamber Choir Booster Club
Attn: Matthew Thomas
1200 West Hill Drive
San Bernardino, CA 92407
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum to
the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND CAJON CHAMBER CHOIR BOOSTER CLUB
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “D” 14.c
Packet Pg. 370 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
CSUSB Opera Theatre
5500 University Parkway
San Bernardino, CA 92407
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum to
the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND CSU SAN BERNARDINO OPERA THEATRE
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
D. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
E. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
F. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “E” 14.c
Packet Pg. 371 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
City of San Bernardino Parks, Recreation and Community Services
290 N D Street
San Bernardino, CA 92401
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND CITY OF SAN BERNARDINO PARKS, RECREATION & COMMUNITY SERVICES
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “F” 14.c
Packet Pg. 372 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
Empire Wind Ensemble
471 Magnolia Avenue
San Bernardino, CA 92405
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND EMPIRE WIND ENSEMBLE
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “G” 14.c
Packet Pg. 373 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
Junior University Theater
2772 Sterling Avenue
San Bernardino, CA 92404
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND JUNIOR UNIVERSITY THEATER
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “H” 14.c
Packet Pg. 374 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
SBCUSD Visual and Performing Arts
Attn: Jessica Swanson, K-6 Bucket Percussion
777 North F Street
San Bernardino, CA 92404
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND SBCUSD VISUAL AND PERFORMING ARTS (K-6 BUCKET PERCUSSION)
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “I” 14.c
Packet Pg. 375 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
SBCUSD Visual and Performing Arts
Attn: Jessica Swanson, K-6 Bucket Percussion
777 North F Street
San Bernardino, CA 92404
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND SBCUSD VISUAL AND PERFORMING ARTS (K-12 BAND & PERCUSSION)
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “J” 14.c
Packet Pg. 376 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
San Bernardino Symphony Orchestra
536 W. 11th Street, Suite 1
San Bernardino, CA 92402
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND SAN BERNARDINO SYMPHONY ORCHESTRA
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “K” 14.c
Packet Pg. 377 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
San Bernardino Valley College Foundation
701 South Mt Vernon
San Bernardino, CA 92410
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND SAN BERNARDINO VALLEY COLLEGE FOUNDATION
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “L” 14.c
Packet Pg. 378 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
San Bernardino Valley Concert Association
Garcia Center for the Arts
536 W. 11th Street
San Bernardino, CA 92402
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND SAN BERNARDINO VALLEY CONCERT ASSOCIATION (Garcia Center for the Arts)
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “M” 14.c
Packet Pg. 379 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
Sinfonia Mexicana Mariachi Youth Academy
562 W. 4th Street
San Bernardino, CA 92410
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND SINFONIA MEXICANA MARIACHI YOUTH ACADEMY
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “N” 14.c
Packet Pg. 380 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
San Bernardino Teen Music Workshop
455 South K Street
San Bernardino, CA 92410
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND SAN BERNARDINO TEEN MUSIC WORKSHOP
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “O” 14.c
Packet Pg. 381 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
June 22, 2020
The Little Gallery of San Bernardino
459 4TH Street
San Bernardino, CA 92401
I, Teri Ledoux, the City of San Bernardino City Manager, hereby authorize the amendment of the
performance period deadline to be extended to December 31, 2020 as adopted under Resolution 2020-
XX, which states:
“…the Mayor and City Council has authorized the City Manager or designee to execute an addendum
to the Agreements extending the performance period deadline to December 31, 2020.”
ADDENDUM
ARTS GRANT RECIPIENT AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO
AND THE LITTLE GALLERY OF SAN BERNARDINO
This Addendum is made and entered into this 22nd day of June, 2020 by and between the City of San
Bernardino (“City”), and Akoma Unity Center (“Recipient”). City or Recipient are hereinafter sometimes
referred to individually as “Party” and collectively as the “Parties.”
A. The City agrees to extend the Performance Period deadline of June 30, 2020
as set forth in Section 2. Compensation and Expenses 2.2 Grant Reversion, to
the amended deadline date of December 31, 2020.
The City and Recipient agree to adhere to the stipulations set forth in the Agreement originally signed by
the City and Recipient. All terms, provisions, and conditions of the Agreement adopted under
Resolution 2019-84 shall remain in full force and effect.
B. The Parties desire by this Agreement is to memorialize the nature of the Project and desire to set
forth their rights, duties, and liabilities in connection with the City’s support of the Project.
C. No official or employee of the City has a financial interest, within the provision of California
Government Code § 1090-1092, in the subject matter of this Agreement.
CITY OF SAN BERNARDINO
Teri Ledoux
City Manager
EXHIBIT “P” 14.c
Packet Pg. 382 Attachment: PR.Addendum to Agreement Art Grant Award.ATTACHMENT 2.Addendum to Agreements Exhibit B to P (6780 : Addendum to
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Eric McBride, Acting Chief of Police
Subject: First Amendment to the MOU Between Public Safety Acadamy
and the Police Department
Recommendation
Adopt Resolution No. 2020-134 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to execute the First Amendment to
the Memorandum of Understanding between the Public Safety Academy of San
Bernardino Inc. (PSA) and the San Bernardino Police Department.
Background
On February 23, 2017, the Mayor and City Council adopted Resolution No. 2017 -18,
authorizing the execution of a Memorandum of Understanding (MOU) between the City
of San Bernardino and the Public Safety Academy of San Bernardino Inc., and the
appropriation of $125,880 in the FY 2016/17 budget.
The MOU aims to provide $125,880 for part -time Cadet positions to be filled by pending
graduates or graduates of the PSA. Since entering the MOU, the department has hired
two cadets that met the required specifications of the agreement. Department staff has
communicated with authorized representatives of the PSA. Both parties reco gnize that
the specifications of the agreement limit the department's ability to find qualified
candidates to fill cadet positions. Both parties have agreed to amend the MOU to allow
the department to select from a broader range of candidates.
Discussion
The PSA's mission is to develop students toward a career in public safety service.
Through the California Department of Education's Career Pathways Grant, a portion of
the funding provided through this agreement was given to the PSA. The Career
Pathways Trust was established in July 2014 with the goal of leading high school
students to postsecondary credential or certification aligned with the regional workforce
needs.
The police cadet program is a transitional program that provides training and insight into
the law enforcement organization. Part-time police cadets perform a wide variety of
tasks at the police department and are especially valuable at supplementing positions
that are short-staffed. Exposure to cadet positions better qualify individuals fo r a police
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6759
Page 2
officer position or other positions within the department.
The current MOU establishes that the department will only use this funding to select
applicants from the PSA for the cadet program. In 2017 , the MOU was signed by the
Principal of the PSA, Jennifer Stickel, and then City Manager, Mark Scott.
Department staff met with Principal Stickel and explained that the current conditions of
the MOU limit the department's ability to fill cadet positions with the grant funding.
Expanding the qualifications to include applicants from all schools in the City of San
Bernardino would benefit the entire community, allow the department to fill these
valuable positions, and still align with the intent of the Career Pathways Grant. Principal
Stickel agreed to amend the MOU to include the following language:
"...in keeping with the intent of the California Department of Education's Career
Pathways Grant, absent a qualified candidate from the Public Safety Academy of San
Bernardino Inc., the San Bernardino Police Department may hire a candidate with a
nexus to the City of San Bernardino. Without limitation, the nexus requirement is met by
any individuals who either graduated from or spent at least one academic year at San
Bernardino City Unified School District school or charter school within the City limits,
participants in or former graduates of the San Bernardino explorer program, and
students of community colleges or universities within the City limits..."
The amended agreement will allow the department to hire qualified candidates from the
City of San Bernardino community if the PSA does not have a qualified applicant
available.
2020-2025 Key Strategic Targets and Goals
The request to amend the MOU between the San Bernardino Police Department and
the Public Safety Academy of San Bernardino Inc. aligns with Key Target No. 2:
Focused, aligned Leadership and Unified Community, by developing and implementing
a community engagement plan, and building a culture that attracts, retains, and
motivates the highest quality talent.
Fiscal Impact
No fiscal impact to the City.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-134, authorizing the City Manager to execute the
First Amendment to the Memorandum of Understanding between the Public Safety
Academy of San Bernardino Inc. (PSA) and the San Bernardino Police Department.
Attachments
Attachment 1 Resolution 2020-134
Attachment 2 MOU
Attachment 3 Amendment
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Page 3
Ward: All
Synopsis of Previous Council Actions:
February 21, 2017 Mayor and City Council adopted Resolution No. 2017-18,
authorizing the execution of a Memorandum of Understanding
between the City of San Bernardino and the Public Safety Academy
of San Bernardino Inc. and the appropriation of $125,880 into the
FY16/17 budget.
15
Packet Pg. 385
RESOLUTION NO. 2020-134
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING THE CITY MANAGER TO EXECUTE
THE FIRST AMENDMENT TO THE MEMORANDUM OF
UNDERSTANDING BETWEEN THE PUBLIC SAFETY
ACADEMY OF SAN BERNARDINO INC. AND THE SAN
BERNARDINO POLICE DEPARTMENT
WHEREAS, on February 23, 2017, the Mayor and City Council adopted Resolution No.
2017-18, authorizing the execution of a Memorandum of Understanding (MOU) between the
City of San Bernardino and the Public Safety Academy of San Bernardino Inc. and the
appropriation of $125,880 in the FY16/17 budget; and
WHEREAS, the department has been unable to identify a sufficient number of
candidates under the current MOU limitations to fill Cadet positions; and
WHEREAS, the authorized PSA representative has agreed to amend the requirements of
the MOU to allow the department to select from a broader candidate pool.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized to execute the First Amendment to
the Memorandum of Understanding between the Public Safety Academy of San Bernardino Inc.
(PSA) and the San Bernardino Police Department by adding language allowing the department to
select from candidates with a nexus to City of San Bernardino Schools as outlined in the
amendment attached hereto as Exhibit “A.”
SECTION 3. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity i s not
subject to CEQA.
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective immediately.
15.a
Packet Pg. 386 Attachment: PD-First Amendment to the PSA MOU-Resolution (6759 : First Amendment to the MOU Between Public Safety Acadamy and the
Resolution No. 2020-134
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________, 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
__________________________________
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
__________________________________
Sonia Carvalho, City Attorney
15.a
Packet Pg. 387 Attachment: PD-First Amendment to the PSA MOU-Resolution (6759 : First Amendment to the MOU Between Public Safety Acadamy and the
Resolution No. 2020-134
CERTIFICATION
STATE OF CALIFORNIA)
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO)
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
15.a
Packet Pg. 388 Attachment: PD-First Amendment to the PSA MOU-Resolution (6759 : First Amendment to the MOU Between Public Safety Acadamy and the
MEMORANDUM OF UNDERSTANDING
Public Safety Academy of San Bernardino Inc. and San Bernardino Police
Department
THIS AGREEMENT is executed between the Public Safety Academy of San
Bernardino Inc. (PSASB Inc), and the San Bernardino Police Department (SBPD). This
agreement reflects a collaborative arrangement to expose selected pending/former graduates of
the Public Safety Academy of San Bernardino to the San Bernardino Police Department's Police
Cadet Program, with the intent of them becoming a future police officer/law enforcement trainee
candidate.
Scope of Agreement
A. The Public Safety Academy of San Bernardino will:
1. Allocate to the San Bernardino Police Department funding in the amount of
$125,880.00 in order to provide training to selected candidates in
preparation of a career as an officer with the San Bernardino Police
Department. Funding for the training incorporates monies obtained by the Public
Safety Academy of San Bernardino, as awarded to them by the California
Department of Education's Career Pathways Grant, in the amount of
$83,880.00. An additional $42,000.00 is provided to the program by the Public
Safety Academy of San Bernardino's general operating budget.
2. Selection of candidates will be predicated on successful completion of the
application process and required background investigation.
B. San Bernardino Police Department will:
1. Identify a point of contact to act within SBPD as a liaison with the Public Safety
Academy of San Bernardino.
2. Provide expenditure data on a semi-annual basis in a general ledger format
accounting to the Public Safety Academy of San Bernardino of funds used for the
training of selected candidates, and of the progress being made by them in
preparation of employment as a police officer.
3. There is no specific requirement for continued funding of the Cadet program
under the Pathways Grant once grant funds are exhausted, but Cadets hired
under the grant may continue in the Cadet positions if City-funded Cadet positions
are vacant.
15.b
Packet Pg. 389 Attachment: PD-First Amendment to the PSA MOU-MOU (6759 : First Amendment to the MOU Between Public Safety Acadamy and the Police
Terms of Agreement
A. Agreement shall commence effective immediately following approval of this MOU
by the City of San Bernardino.
B. The Agreement shall remain in force until such time as the funding provided by
the Public Safety Academy is expended and the Police Department continues the
training as provided for in this agreement.
Jennifer Stickel, Principal Mark Scott, City Manager
Public Safety Academy of San Bernardino City of San Bernardino
D a t e: Date:
Approved as to Form:
Gary D. Saenz, City Attorney
By:_______________________
2
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Packet Pg. 390 Attachment: PD-First Amendment to the PSA MOU-MOU (6759 : First Amendment to the MOU Between Public Safety Acadamy and the Police
FIRST AMENDMENT TO MEMORANDUM OF UNDERSTANDING
This First Amendment (“First Amendment”) to the Memorandum of Understanding
Between the Public Safety Academy of San Bernardino, Inc. (“Academy”) and the City of San
Bernardino (“City”) dated _______________, 2020 (“ Original Agreement”) is made and entered
into by and between the City and the Academy as of the last date set forth below. City and
Academy may hereafter be referred to collectively as Parties.
RECITALS
A. The Parties entered into the Original Agreement to establish a collaborative
arrangement to expose pending and future graduates of the Academy to the City’s Police
Department Cadet Program.
B. The Parties now wish to expand the permitted uses of the funding provided under
the Original Agreement to enable the City’s Police Department to utilize the funds more broadly
to benefit those with a nexus to the City of San Bernardino.
NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the Agreement is amended as follows:
1. A new Section B.4. is hereby added to the Original Agreement to read as follows:
“4. Notwithstanding the foregoing, in keeping with the intent
of the California Department of Education's Career
Pathways Grant, absent a qualified candidate from the
Public Safety Academy of San Bernardino Inc., the San
Bernardino Police Department may hire a candidate with a
nexus to the City of San Bernardino. Without limitation,
the nexus requirement is met by any individuals who either
graduated from or spent at least one academic year at San
Bernardino City Unified School District school or charter
school within the City limits, participants in or former
graduates of the San Bernardino explorer program, and
students of community colleges or universities within the
City limits..”
2. Except as modified by this First Amendment, all provisions of the Original
Agreement shall remain in full force and effect for the term thereof.
3. This First Amendment may be executed in counterparts, each of which shall be
deemed an original, but which together shall constitute one and the same instrument.
SIGNATURES ON FOLLOWING PAGE
15.c
Packet Pg. 391 Attachment: PD-First Amendment to the PSA MOU-Amendment (6759 : First Amendment to the MOU Between Public Safety Acadamy and the
SIGNATURE PAGE TO
FIRST AMENDMENT TO MEMORANDUM OF UNDERSTANDING
Dated: June __, 2020 Public Safety Academy of San Bernardino
By: Jennifer Stickel
Its: Principal
Dated: June __, 2020 City of San Bernardino
By: Teri Ledoux
Its: City Manager
15.c
Packet Pg. 392 Attachment: PD-First Amendment to the PSA MOU-Amendment (6759 : First Amendment to the MOU Between Public Safety Acadamy and the
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Eric McBride, Acting Chief of Police
Subject: Authorization to Accept Department of Justice Coronavirus
Emergency Grand Funding
Recommendation
Adopt Resolution 2020-135 of the Mayor and City Council of the City of San Bernardino,
California, authorizing the City Manager to accept the BJA Fiscal Year 2020
Coronavirus Emergency Supplemental Funding Program Grant in the amount of
$632,422; and authorizing the Director of Finance to amend the Fiscal Year 2020/21
budget, appropriating $632,422 in both revenue and expenditures.
Background
On May 8, 2020, the U.S. Department of Justice released the Coronavirus Emergency
Supplemental Funding Program Solicitation Fiscal Year 2020 Formula Grant
Solicitation. On May 26, 2020, the San Bernardino Police Department submitted an
application requesting $632,422 in grant funding to prevent, prepare for, and respond to
the Coronavirus. The Department’s application was approved, and the full amount has
been awarded to the Department. There is no cost matching responsibility from the City
with this grant.
The Coronavirus has harmed law enforcement agencies through several avenues.
COVID-19 exposure resulted in the depletion of supplies, temporary removal of
equipment, and reduced personnel for quarantine purposes. Additionally, cities have
experienced protests, increase in crime, and a high er demand for efficient online
services.
Discussion
On May 30, 2020, the Department was notified that it was awarded $632,422 in grant
funding. The Department intends to use this funding to purchase vehicles, equipment,
technologies, and to support staffing needs to respond to the COVID-19 environment.
2020-2025 Key Strategic Targets and Goals
The request to authorize the receipt, obligation and expenditure of the Coronavirus
Grant Funds aligns with Key Target No. 1: Financial Stability by implementing,
maintaining, and updating a fiscal accountability plan.
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Page 2
Fiscal Impact
The fiscal impact to the City is a budget amendment of $632,422 to revenue and
expenditures in the FY 2020/21 budget. Due to the timing of the grant award notification ,
staff was unable to amend the FY 2019/20 adopted budget or include it in the proposed
FY 2020/21 budget. No grant expenditures will occur until after July 1, 2020. Grant
account numbers will be established after approval of this item.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution 2020-135, authorizing the City Manager to accept the BJA
Fiscal Year 2020 Coronavirus Emergency Supplemental Funding Program Grant in the
amount of $632,422; and authorizing the Director of Finance to amend the Fiscal Year
2020/21 budget, appropriating $632,422 in both revenue and expenditures.
Attachments
Attachment 1 Resolution 2020-135
Attachment 2 Award Document
Attachment 3 Budget Summary
Ward: All
Synopsis of Previous Council Actions:
None
16
Packet Pg. 394
RESOLUTION NO. 2020-135
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING THE CITY MANAGER TO ACCEPT THE
BUREAU OF JUSTICE ADMINISTRATION FY20
CORONAVIRUS EMERGENCY SUPPLEMENTAL
FUNDING PROGRAM GRANT AND AUTHORIZING THE
DIRECTOR OF FINANCE TO AMEND THE FY2020/21
BUDGET APPROPRIATING $632,422 IN BOTH REVENUE
AND EXPENDITURES
WHEREAS, the City of San Bernardino has been awarded the BJA FY 20 Coronavirus
Emergency Supplemental Funding Program Grant in the amount of $632,422; and
WHEREAS, the City will use the funding to improve preparedness, prevention, and
response to the Coronavirus.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The City Manager is hereby authorized to accept the BJA FY 20
Coronavirus Emergency Supplemental Funding Program Grant in the amount of $632,422. The
City Manager is further authorized to execute any documents necessary and advisable to
effectuate the grant.
SECTION 2. The Director of Finance is hereby authorized to amend the FY 2020/21
budget, appropriating $632,422 in both revenue and expenditures
SECTION 3. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
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Packet Pg. 395 Attachment: PD-Accept Coronavirus FY20 Grant-Reso- (6768 : Authorization to Accept Department of Justice Coronavirus Emergency Grand
Resolution No. 2020-135
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho , City Attorney
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Packet Pg. 396 Attachment: PD-Accept Coronavirus FY20 Grant-Reso- (6768 : Authorization to Accept Department of Justice Coronavirus Emergency Grand
Resolution No. 2020-135
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
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Packet Pg. 397 Attachment: PD-Accept Coronavirus FY20 Grant-Reso- (6768 : Authorization to Accept Department of Justice Coronavirus Emergency Grand
Department of Justice (DOJ)
Office of Justice Programs
Washington, D.C. 20531Office of the Assistant Attorney General
May 30, 2020
Ms. Teri Ledoux
City of San Bernardino
710 North D Street, Post Office Box 1559
San Bernardino, CA 92402-1559
Dear Ms. Ledoux:
On behalf of Attorney General William P. Barr, it is my pleasure to inform you that the Office of Justice Programs (OJP), U.S.
Department of Justice (DOJ), has approved the application by City of San Bernardino for an award under the OJP funding
opportunity entitled "BJA FY 20 Coronavirus Emergency Supplemental Funding Program." The approved award amount is
$632,422. These funds are for the project entitled City of San Bernardino COVID-19 Preparation Plan.
The award document, including award conditions, is enclosed. The entire document is to be reviewed carefully before any
decision to accept the award. Also, the webpage entitled "Legal Notices: Special circumstances as to particular award
conditions" (ojp.gov/funding/Explore/LegalNotices-AwardReqts.htm) is to be consulted prior to an acceptance. Through that
"Legal Notices" webpage, OJP sets out -- by funding opportunity -- certain special circumstances that may or will affect the
applicability of one or more award requirements. Any such legal notice pertaining to award requirements that is posted
through that webpage is incorporated by reference into the award.
Please note that award requirements include not only award conditions, but also compliance with assurances and certifications
that relate to conduct during the period of performance for the award. Because these requirements encompass financial,
administrative, and programmatic matters, as well as other important matters (e.g., specific restrictions on use of funds), it is
vital that all key staff know the award requirements, and receive the award conditions and the assurances and certifications, as
well as the application as approved by OJP. (Information on all pertinent award requirements also must be provided to any
subrecipient of the award.)
Should City of San Bernardino accept the award and then fail to comply with an award requirement, DOJ will pursue
appropriate remedies for non-compliance, which may include termination of the award and/or a requirement to repay award
funds.
Please direct questions regarding this award as follows:
- For program questions, contact Gerardo Velazquez, Program Manager at (202) 598-7412; and
- For financial questions, contact the Customer Service Center of OJP's Office of the Chief Financial Officer at
(800) 458-0786, or at ask.ocfo@usdoj.gov.
We look forward to working with you.
Sincerely,
Encl.
Katharine T. Sullivan
Principal Deputy Assistant Attorney General
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Director
Michael L. Alston
Department of Justice (DOJ)
Office of Justice Programs
May 30, 2020
Ms. Teri Ledoux
City of San Bernardino
710 North D Street
Post Office Box 1559
San Bernardino, CA 92402-1559
Congratulations on your recent award. The Office for Civil Rights (OCR), Office of Justice Programs (OJP), U.S. Department of
Justice (DOJ) has been delegated the responsibility for ensuring that recipients of federal financial assistance from the OJP, the Office
of Community Oriented Policing Services (COPS), and the Office on Violence Against Women (OVW) are not engaged in
discrimination prohibited by law. Several federal civil rights laws, such as Title VI of the Civil Rights Act of 1964 and Title IX of
the Education Amendments of 1972, require recipients of federal financial assistance to give assurances that they will comply with
those laws. In addition to those civil rights laws, many grant program statutes contain nondiscrimination provisions that require
compliance with them as a condition of receiving federal financial assistance. For a complete review of these civil rights laws and
nondiscrimination requirements, in connection with OJP and other DOJ awards, see
https://ojp.gov/funding/Explore/LegalOverview/CivilRightsRequirements.htm
Under the delegation of authority, the OCR investigates allegations of discrimination against recipients from individuals, entities, or
groups. In addition, the OCR conducts limited compliance reviews and audits based on regulatory criteria. These reviews and audits
permit the OCR to evaluate whether recipients of financial assistance from the Department are providing services in a non-
discriminatory manner to their service population or have employment practices that meet equal-opportunity standards.
If you are a recipient of grant awards under the Omnibus Crime Control and Safe Streets Act or the Juvenile Justice and Delinquency
Prevention Act and your agency is part of a criminal justice system, there are two additional obligations that may apply in connection
with the awards: (1) complying with the regulation relating to Equal Employment Opportunity Programs (EEOPs); and (2)
submitting findings of discrimination to OCR. For additional information regarding the EEOP requirement, see 28 CFR Part 42,
subpart E, and for additional information regarding requirements when there is an adverse finding, see 28 C.F.R. §§ 42.204(c),
.205(c)(5). Please submit information about any adverse finding to the OCR at the above address.
We at the OCR are available to help you and your organization meet the civil rights requirements that are associated with OJP and
other DOJ grant funding. If you would like the OCR to assist you in fulfilling your organization's civil rights or nondiscrimination
responsibilities as a recipient of federal financial assistance, please do not hesitate to let us know.
Dear Ms. Ledoux:
Sincerely,
cc:Grant Manager
Financial Analyst
Washington, DC 20531
Office of Civil Rights
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Grant
PAGE 1 OF
Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
1. RECIPIENT NAME AND ADDRESS (Including Zip Code)
City of San Bernardino
710 North D Street Post Office Box 1559
San Bernardino, CA 92402-1559
8. SUPPLEMENT NUMBER
00
9. PREVIOUS AWARD AMOUNT
10. AMOUNT OF THIS AWARD
$ 0
$ 632,422
11. TOTAL AWARD $ 632,422
2a. GRANTEE IRS/VENDOR NO.
956007721
2b. GRANTEE DUNS NO.
805349206
3. PROJECT TITLE
City of San Bernardino COVID-19 Preparation Plan
12. SPECIAL CONDITIONS
THE ABOVE GRANT PROJECT IS APPROVED SUBJECT TO SUCH CONDITIONS OR LIMITATIONS AS ARE SET FORTH
ON THE ATTACHED PAGE(S).
13. STATUTORY AUTHORITY FOR GRANT
This project is supported under FY20(BJA - CESF) Pub. L. No. 116-136, Div. B; 28 U.S.C. 530C
14 . CATALOG OF DOMESTIC FEDERAL ASSISTANCE (CFDA Number)
16.034 - Coronavirus Emergency Supplemental Funding Program
15. METHOD OF PAYMENT
GPRS
AGENCY APPROVAL
16. TYPED NAME AND TITLE OF APPROVING OFFICIAL
GRANTEE ACCEPTANCE
Katharine T. Sullivan
Principal Deputy Assistant Attorney General
AGENCY USE ONLY
20. ACCOUNTING CLASSIFICATION CODES 21.
FISCAL
YEAR
FUND
CODE
BUD.
ACT.OFC.
DIV.
REG.SUB.POMS AMOUNT
VDBX 80 00 00 632422
VVDUGT1084
18. TYPED NAME AND TITLE OF AUTHORIZED GRANTEE OFFICIAL
Teri Ledoux
City Manager
4. AWARD NUMBER:2020-VD-BX-1095
5. PROJECT PERIOD: FROM
BUDGET PERIOD: FROM
6. AWARD DATE 7. ACTION
Initial
05/30/2020
TO
TO
01/20/2020
01/20/2020
01/31/2022
01/31/2022
OJP FORM 4000/2 (REV. 5-87) PREVIOUS EDITIONS ARE OBSOLETE.
OJP FORM 4000/2 (REV. 4-88)
19. SIGNATURE OF AUTHORIZED RECIPIENT OFFICIAL 19A. DATE17. SIGNATURE OF APPROVING OFFICIAL
16
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AWARD CONTINUATION
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Grant
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Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Requirements of the award; remedies for non-compliance or for materially false statements
The conditions of this award are material requirements of the award. Compliance with any assurances or certifications
submitted by or on behalf of the recipient that relate to conduct during the period of performance also is a material
requirement of this award.
Limited Exceptions. In certain special circumstances, the U.S. Department of Justice ("DOJ") may determine that it will
not enforce, or enforce only in part, one or more requirements otherwise applicable to the award. Any such exceptions
regarding enforcement, including any such exceptions made during the period of performance, are (or will be during
the period of performance) set out through the Office of Justice Programs ("OJP") webpage entitled "Legal Notices:
Special circumstances as to particular award conditions" (ojp.gov/funding/Explore/LegalNotices-AwardReqts.htm), and
incorporated by reference into the award.
By signing and accepting this award on behalf of the recipient, the authorized recipient official accepts all material
requirements of the award, and specifically adopts, as if personally executed by the authorized recipient official, all
assurances or certifications submitted by or on behalf of the recipient that relate to conduct during the period of
performance.
Failure to comply with one or more award requirements -- whether a condition set out in full below, a condition
incorporated by reference below, or an assurance or certification related to conduct during the award period -- may
result in OJP taking appropriate action with respect to the recipient and the award. Among other things, the OJP may
withhold award funds, disallow costs, or suspend or terminate the award. DOJ, including OJP, also may take other legal
action as appropriate.
Any materially false, fictitious, or fraudulent statement to the federal government related to this award (or concealment
or omission of a material fact) may be the subject of criminal prosecution (including under 18 U.S.C. 1001 and/or 1621,
and/or 34 U.S.C. 10271-10273), and also may lead to imposition of civil penalties and administrative remedies for false
claims or otherwise (including under 31 U.S.C. 3729-3730 and 3801-3812).
Should any provision of a requirement of this award be held to be invalid or unenforceable by its terms, that provision
shall first be applied with a limited construction so as to give it the maximum effect permitted by law. Should it be
held, instead, that the provision is utterly invalid or -unenforceable, such provision shall be deemed severable from this
award.
1.
OJP FORM 4000/2 (REV. 4-88)
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AWARD CONTINUATION
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Grant
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Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Applicability of Part 200 Uniform Requirements
The Uniform Administrative Requirements, Cost Principles, and Audit Requirements in 2 C.F.R. Part 200, as adopted
and supplemented by DOJ in 2 C.F.R. Part 2800 (together, the "Part 200 Uniform Requirements") apply to this FY
2020 award from OJP.
The Part 200 Uniform Requirements were first adopted by DOJ on December 26, 2014. If this FY 2020 award
supplements funds previously awarded by OJP under the same award number (e.g., funds awarded during or before
December 2014), the Part 200 Uniform Requirements apply with respect to all funds under that award number
(regardless of the award date, and regardless of whether derived from the initial award or a supplemental award) that
are obligated on or after the acceptance date of this FY 2020 award.
For more information and resources on the Part 200 Uniform Requirements as they relate to OJP awards and subawards
("subgrants"), see the OJP website at https://ojp.gov/funding/Part200UniformRequirements.htm.
Record retention and access: Records pertinent to the award that the recipient (and any subrecipient ("subgrantee") at
any tier) must retain -- typically for a period of 3 years from the date of submission of the final expenditure report (SF
425), unless a different retention period applies -- and to which the recipient (and any subrecipient ("subgrantee") at
any tier) must provide access, include performance measurement information, in addition to the financial records,
supporting documents, statistical records, and other pertinent records indicated at 2 C.F.R. 200.333.
In the event that an award-related question arises from documents or other materials prepared or distributed by OJP
that may appear to conflict with, or differ in some way from, the provisions of the Part 200 Uniform Requirements, the
recipient is to contact OJP promptly for clarification.
Compliance with DOJ Grants Financial Guide
References to the DOJ Grants Financial Guide are to the DOJ Grants Financial Guide as posted on the OJP website
(currently, the "DOJ Grants Financial Guide" available at https://ojp.gov/financialguide/DOJ/index.htm), including any
updated version that may be posted during the period of performance. The recipient agrees to comply with the DOJ
Grants Financial Guide.
Reclassification of various statutory provisions to a new Title 34 of the United States Code
On September 1, 2017, various statutory provisions previously codified elsewhere in the U.S. Code were editorially
reclassified (that is, moved and renumbered) to a new Title 34, entitled "Crime Control and Law Enforcement." The
reclassification encompassed a number of statutory provisions pertinent to OJP awards (that is, OJP grants and
cooperative agreements), including many provisions previously codified in Title 42 of the U.S. Code.
Effective as of September 1, 2017, any reference in this award document to a statutory provision that has been
reclassified to the new Title 34 of the U.S. Code is to be read as a reference to that statutory provision as reclassified to
Title 34. This rule of construction specifically includes references set out in award conditions, references set out in
material incorporated by reference through award conditions, and references set out in other award requirements.
2.
3.
4.
OJP FORM 4000/2 (REV. 4-88)
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AWARD CONTINUATION
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Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Required training for Point of Contact and all Financial Points of Contact
Both the Point of Contact (POC) and all Financial Points of Contact (FPOCs) for this award must have successfully
completed an "OJP financial management and grant administration training" by 120 days after the date of the
recipient's acceptance of the award. Successful completion of such a training on or after January 1, 2018, will satisfy
this condition.
In the event that either the POC or an FPOC for this award changes during the period of performance, the new POC or
FPOC must have successfully completed an "OJP financial management and grant administration training" by 120
calendar days after -- (1) the date of OJP's approval of the "Change Grantee Contact" GAN (in the case of a new
POC), or (2) the date the POC enters information on the new FPOC in GMS (in the case of a new FPOC). Successful
completion of such a training on or after January 1, 2018, will satisfy this condition.
A list of OJP trainings that OJP will consider "OJP financial management and grant administration training" for
purposes of this condition is available at https://www.ojp.gov/training/fmts.htm. All trainings that satisfy this condition
include a session on grant fraud prevention and detection.
The recipient should anticipate that OJP will immediately withhold ("freeze") award funds if the recipient fails to
comply with this condition. The recipient's failure to comply also may lead OJP to impose additional appropriate
conditions on this award.
Requirements related to "de minimis" indirect cost rate
A recipient that is eligible under the Part 200 Uniform Requirements and other applicable law to use the "de minimis"
indirect cost rate described in 2 C.F.R. 200.414(f), and that elects to use the "de minimis" indirect cost rate, must advise
OJP in writing of both its eligibility and its election, and must comply with all associated requirements in the Part 200
Uniform Requirements. The "de minimis" rate may be applied only to modified total direct costs (MTDC) as defined
by the Part 200 Uniform Requirements.
Requirement to report potentially duplicative funding
If the recipient currently has other active awards of federal funds, or if the recipient receives any other award of federal
funds during the period of performance for this award, the recipient promptly must determine whether funds from any
of those other federal awards have been, are being, or are to be used (in whole or in part) for one or more of the
identical cost items for which funds are provided under this award. If so, the recipient must promptly notify the DOJ
awarding agency (OJP or OVW, as appropriate) in writing of the potential duplication, and, if so requested by the DOJ
awarding agency, must seek a budget-modification or change-of-project-scope grant adjustment notice (GAN) to
eliminate any inappropriate duplication of funding.
5.
6.
7.
OJP FORM 4000/2 (REV. 4-88)
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AWARD CONTINUATION
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Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Requirements related to System for Award Management and Universal Identifier Requirements
The recipient must comply with applicable requirements regarding the System for Award Management (SAM),
currently accessible at https://www.sam.gov/. This includes applicable requirements regarding registration with SAM,
as well as maintaining the currency of information in SAM.
The recipient also must comply with applicable restrictions on subawards ("subgrants") to first-tier subrecipients
(first-tier "subgrantees"), including restrictions on subawards to entities that do not acquire and provide (to the
recipient) the unique entity identifier required for SAM registration.
The details of the recipient's obligations related to SAM and to unique entity identifiers are posted on the OJP web site
at https://ojp.gov/funding/Explore/SAM.htm (Award condition: System for Award Management (SAM) and Universal
Identifier Requirements), and are incorporated by reference here.
This condition does not apply to an award to an individual who received the award as a natural person (i.e., unrelated to
any business or non-profit organization that he or she may own or operate in his or her name).
8.
OJP FORM 4000/2 (REV. 4-88)
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AWARD CONTINUATION
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Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Employment eligibility verification for hiring under the award
1. The recipient (and any subrecipient at any tier) must--
A. Ensure that, as part of the hiring process for any position within the United States that is or will be funded (in whole
or in part) with award funds, the recipient (or any subrecipient) properly verifies the employment eligibility of the
individual who is being hired, consistent with the provisions of 8 U.S.C. 1324a(a)(1) and (2).
B. Notify all persons associated with the recipient (or any subrecipient) who are or will be involved in activities under
this award of both--
(1) this award requirement for verification of employment eligibility, and
(2) the associated provisions in 8 U.S.C. 1324a(a)(1) and (2) that, generally speaking, make it unlawful, in the United
States, to hire (or recruit for employment) certain aliens.
C. Provide training (to the extent necessary) to those persons required by this condition to be notified of the award
requirement for employment eligibility verification and of the associated provisions of 8 U.S.C. 1324a(a)(1) and (2).
D. As part of the recordkeeping for the award (including pursuant to the Part 200 Uniform Requirements), maintain
records of all employment eligibility verifications pertinent to compliance with this award condition in accordance with
Form I-9 record retention requirements, as well as records of all pertinent notifications and trainings.
2. Monitoring
The recipient's monitoring responsibilities include monitoring of subrecipient compliance with this condition.
3. Allowable costs
To the extent that such costs are not reimbursed under any other federal program, award funds may be obligated for the
reasonable, necessary, and allocable costs (if any) of actions designed to ensure compliance with this condition.
4. Rules of construction
A. Staff involved in the hiring process
For purposes of this condition, persons "who are or will be involved in activities under this award" specifically includes
(without limitation) any and all recipient (or any subrecipient) officials or other staff who are or will be involved in the
hiring process with respect to a position that is or will be funded (in whole or in part) with award funds.
B. Employment eligibility confirmation with E-Verify
For purposes of satisfying the requirement of this condition regarding verification of employment eligibility, the
recipient (or any subrecipient) may choose to participate in, and use, E-Verify (www.e-verify.gov), provided an
appropriate person authorized to act on behalf of the recipient (or subrecipient) uses E-Verify (and follows the proper
E-Verify procedures, including in the event of a "Tentative Nonconfirmation" or a "Final Nonconfirmation") to
confirm employment eligibility for each hiring for a position in the United States that is or will be funded (in whole or
in part) with award funds.
C. "United States" specifically includes the District of Columbia, Puerto Rico, Guam, the Virgin Islands of the United
States, and the Commonwealth of the Northern Mariana Islands.
D. Nothing in this condition shall be understood to authorize or require any recipient, any subrecipient at any tier, or
9.
OJP FORM 4000/2 (REV. 4-88)
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Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
any person or other entity, to violate any federal law, including any applicable civil rights or nondiscrimination law.
E. Nothing in this condition, including in paragraph 4.B., shall be understood to relieve any recipient, any subrecipient
at any tier, or any person or other entity, of any obligation otherwise imposed by law, including 8 U.S.C. 1324a(a)(1)
and (2).
Questions about E-Verify should be directed to DHS. For more information about E-Verify visit the E-Verify
website (https://www.e-verify.gov/) or email E-Verify at E-Verify@dhs.gov. E-Verify employer agents can email E-
Verify at E-VerifyEmployerAgent@dhs.gov.
Questions about the meaning or scope of this condition should be directed to OJP, before award acceptance.
Requirement to report actual or imminent breach of personally identifiable information (PII)
The recipient (and any "subrecipient" at any tier) must have written procedures in place to respond in the event of an
actual or imminent "breach" (OMB M-17-12) if it (or a subrecipient) -- (1) creates, collects, uses, processes, stores,
maintains, disseminates, discloses, or disposes of "personally identifiable information (PII)" (2 CFR 200.79) within the
scope of an OJP grant-funded program or activity, or (2) uses or operates a "Federal information system" (OMB
Circular A-130). The recipient's breach procedures must include a requirement to report actual or imminent breach of
PII to an OJP Program Manager no later than 24 hours after an occurrence of an actual breach, or the detection of an
imminent breach.
All subawards ("subgrants") must have specific federal authorization
The recipient, and any subrecipient ("subgrantee") at any tier, must comply with all applicable requirements for
authorization of any subaward. This condition applies to agreements that -- for purposes of federal grants
administrative requirements -- OJP considers a "subaward" (and therefore does not consider a procurement
"contract").
The details of the requirement for authorization of any subaward are posted on the OJP web site at
https://ojp.gov/funding/Explore/SubawardAuthorization.htm (Award condition: All subawards ("subgrants") must have
specific federal authorization), and are incorporated by reference here.
Specific post-award approval required to use a noncompetitive approach in any procurement contract that would
exceed $250,000
The recipient, and any subrecipient ("subgrantee") at any tier, must comply with all applicable requirements to obtain
specific advance approval to use a noncompetitive approach in any procurement contract that would exceed the
Simplified Acquisition Threshold (currently, $250,000). This condition applies to agreements that -- for purposes of
federal grants administrative requirements -- OJP considers a procurement "contract" (and therefore does not consider
a subaward).
The details of the requirement for advance approval to use a noncompetitive approach in a procurement contract under
an OJP award are posted on the OJP web site at https://ojp.gov/funding/Explore/NoncompetitiveProcurement.htm
(Award condition: Specific post-award approval required to use a noncompetitive approach in a procurement contract
(if contract would exceed $250,000)), and are incorporated by reference here.
10.
11.
12.
OJP FORM 4000/2 (REV. 4-88)
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AWARD CONTINUATION
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Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Unreasonable restrictions on competition under the award; association with federal government
SCOPE. This condition applies with respect to any procurement of property or services that is funded (in whole or in
part) by this award, whether by the recipient or by any subrecipient at any tier, and regardless of the dollar amount of
the purchase or acquisition, the method of procurement, or the nature of any legal instrument used. The provisions of
this condition must be among those included in any subaward (at any tier).
1. No discrimination, in procurement transactions, against associates of the federal government
Consistent with the (DOJ) Part 200 Uniform Requirements -- including as set out at 2 C.F.R. 200.300 (requiring
awards to be "manage[d] and administer[ed] in a manner so as to ensure that Federal funding is expended and
associated programs are implemented in full accordance with U.S. statutory and public policy requirements") and
200.319(a) (generally requiring "[a]ll procurement transactions [to] be conducted in a manner providing full and open
competition" and forbidding practices "restrictive of competition," such as "[p]lacing unreasonable requirements on
firms in order for them to qualify to do business" and taking "[a]ny arbitrary action in the procurement process") -- no
recipient (or subrecipient, at any tier) may (in any procurement transaction) discriminate against any person or entity on
the basis of such person or entity's status as an "associate of the federal government" (or on the basis of such person or
entity's status as a parent, affiliate, or subsidiary of such an associate), except as expressly set out in 2 C.F.R.
200.319(a) or as specifically authorized by USDOJ.
2. Monitoring
The recipient's monitoring responsibilities include monitoring of subrecipient compliance with this condition.
3. Allowable costs
To the extent that such costs are not reimbursed under any other federal program, award funds may be obligated for the
reasonable, necessary, and allocable costs (if any) of actions designed to ensure compliance with this condition.
4. Rules of construction
A. The term "associate of the federal government" means any person or entity engaged or employed (in the past or at
present) by or on behalf of the federal government -- as an employee, contractor or subcontractor (at any tier), grant
recipient or -subrecipient (at any tier), agent, or otherwise -- in undertaking any work, project, or activity for or on
behalf of (or in providing goods or services to or on behalf of) the federal government, and includes any applicant for
such employment or engagement, and any person or entity committed by legal instrument to undertake any such work,
project, or activity (or to provide such goods or services) in future.
B. Nothing in this condition shall be understood to authorize or require any recipient, any subrecipient at any tier, or
any person or other entity, to violate any federal law, including any applicable civil rights or nondiscrimination law.
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Office of Justice Programs
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AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Requirements pertaining to prohibited conduct related to trafficking in persons (including reporting requirements and
OJP authority to terminate award)
The recipient, and any subrecipient ("subgrantee") at any tier, must comply with all applicable requirements (including
requirements to report allegations) pertaining to prohibited conduct related to the trafficking of persons, whether on the
part of recipients, subrecipients ("subgrantees"), or individuals defined (for purposes of this condition) as "employees"
of the recipient or of any subrecipient.
The details of the recipient's obligations related to prohibited conduct related to trafficking in persons are posted on the
OJP web site at https://ojp.gov/funding/Explore/ProhibitedConduct-Trafficking.htm (Award condition: Prohibited
conduct by recipients and subrecipients related to trafficking in persons (including reporting requirements and OJP
authority to terminate award)), and are incorporated by reference here.
Determination of suitability to interact with participating minors
SCOPE. This condition applies to this award if it is indicated -- in the application for the award (as approved by
DOJ)(or in the application for any subaward, at any tier), the DOJ funding announcement (solicitation), or an
associated federal statute -- that a purpose of some or all of the activities to be carried out under the award (whether by
the recipient, or a subrecipient at any tier) is to benefit a set of individuals under 18 years of age.
The recipient, and any subrecipient at any tier, must make determinations of suitability before certain individuals may
interact with participating minors. This requirement applies regardless of an individual's employment status.
The details of this requirement are posted on the OJP web site at https://ojp.gov/funding/Explore/Interact-Minors.htm
(Award condition: Determination of suitability required, in advance, for certain individuals who may interact with
participating minors), and are incorporated by reference here.
Compliance with applicable rules regarding approval, planning, and reporting of conferences, meetings, trainings, and
other events
The recipient, and any subrecipient ("subgrantee") at any tier, must comply with all applicable laws, regulations,
policies, and official DOJ guidance (including specific cost limits, prior approval and reporting requirements, where
applicable) governing the use of federal funds for expenses related to conferences (as that term is defined by DOJ),
including the provision of food and/or beverages at such conferences, and costs of attendance at such conferences.
Information on the pertinent DOJ definition of conferences and the rules applicable to this award appears in the DOJ
Grants Financial Guide (currently, as section 3.10 of "Postaward Requirements" in the "DOJ Grants Financial Guide").
Requirement for data on performance and effectiveness under the award
The recipient must collect and maintain data that measure the performance and effectiveness of work under this award.
The data must be provided to OJP in the manner (including within the timeframes) specified by OJP in the program
solicitation or other applicable written guidance. Data collection supports compliance with the Government
Performance and Results Act (GPRA) and the GPRA Modernization Act of 2010, and other applicable laws.
OJP Training Guiding Principles
Any training or training materials that the recipient -- or any subrecipient ("subgrantee") at any tier -- develops or
delivers with OJP award funds must adhere to the OJP Training Guiding Principles for Grantees and Subgrantees,
available at https://ojp.gov/funding/Implement/TrainingPrinciplesForGrantees-Subgrantees.htm.
14.
15.
16.
17.
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AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Effect of failure to address audit issues
The recipient understands and agrees that the DOJ awarding agency (OJP or OVW, as appropriate) may withhold
award funds, or may impose other related requirements, if (as determined by the DOJ awarding agency) the recipient
does not satisfactorily and promptly address outstanding issues from audits required by the Part 200 Uniform
Requirements (or by the terms of this award), or other outstanding issues that arise in connection with audits,
investigations, or reviews of DOJ awards.
Potential imposition of additional requirements
The recipient agrees to comply with any additional requirements that may be imposed by the DOJ awarding agency
(OJP or OVW, as appropriate) during the period of performance for this award, if the recipient is designated as "high-
risk" for purposes of the DOJ high-risk grantee list.
Compliance with DOJ regulations pertaining to civil rights and nondiscrimination - 28 C.F.R. Part 42
The recipient, and any subrecipient ("subgrantee") at any tier, must comply with all applicable requirements of 28
C.F.R. Part 42, specifically including any applicable requirements in Subpart E of 28 C.F.R. Part 42 that relate to an
equal employment opportunity program.
Compliance with DOJ regulations pertaining to civil rights and nondiscrimination - 28 C.F.R. Part 54
The recipient, and any subrecipient ("subgrantee") at any tier, must comply with all applicable requirements of 28
C.F.R. Part 54, which relates to nondiscrimination on the basis of sex in certain "education programs."
Compliance with DOJ regulations pertaining to civil rights and nondiscrimination - 28 C.F.R. Part 38
The recipient, and any subrecipient ("subgrantee") at any tier, must comply with all applicable requirements of 28
C.F.R. Part 38 (as may be applicable from time to time), specifically including any applicable requirements regarding
written notice to program beneficiaries and prospective program beneficiaries.
Currently, among other things, 28 C.F.R. Part 38 includes rules that prohibit specific forms of discrimination on the
basis of religion, a religious belief, a refusal to hold a religious belief, or refusal to attend or participate in a religious
practice. Part 38, currently, also sets out rules and requirements that pertain to recipient and subrecipient
("subgrantee") organizations that engage in or conduct explicitly religious activities, as well as rules and requirements
that pertain to recipients and subrecipients that are faith-based or religious organizations.
The text of 28 C.F.R. Part 38 is available via the Electronic Code of Federal Regulations (currently accessible at
https://www.ecfr.gov/cgi-bin/ECFR?page=browse), by browsing to Title 28-Judicial Administration, Chapter 1, Part
38, under e-CFR "current" data.
19.
20.
21.
22.
23.
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AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Restrictions on "lobbying"
In general, as a matter of federal law, federal funds awarded by OJP may not be used by the recipient, or any
subrecipient ("subgrantee") at any tier, either directly or indirectly, to support or oppose the enactment, repeal,
modification, or adoption of any law, regulation, or policy, at any level of government. See 18 U.S.C. 1913. (There
may be exceptions if an applicable federal statute specifically authorizes certain activities that otherwise would be
barred by law.)
Another federal law generally prohibits federal funds awarded by OJP from being used by the recipient, or any
subrecipient at any tier, to pay any person to influence (or attempt to influence) a federal agency, a Member of
Congress, or Congress (or an official or employee of any of them) with respect to the awarding of a federal grant or
cooperative agreement, subgrant, contract, subcontract, or loan, or with respect to actions such as renewing, extending,
or modifying any such award. See 31 U.S.C. 1352. Certain exceptions to this law apply, including an exception that
applies to Indian tribes and tribal organizations.
Should any question arise as to whether a particular use of federal funds by a recipient (or subrecipient) would or might
fall within the scope of these prohibitions, the recipient is to contact OJP for guidance, and may not proceed without the
express prior written approval of OJP.
Compliance with general appropriations-law restrictions on the use of federal funds (FY 2020) The recipient, and any
subrecipient ("subgrantee") at any tier, must comply with all applicable restrictions on the use of federal funds set out in
federal appropriations statutes. Pertinent restrictions that may be set out in applicable appropriations acts are indicated
at https://ojp.gov/funding/Explore/FY20AppropriationsRestrictions.htm, and are incorporated by reference here. Should
a question arise as to whether a particular use of federal funds by a recipient (or a subrecipient) would or might fall
within the scope of an appropriations-law restriction, the recipient is to contact OJP for guidance, and may not proceed
without the express prior written approval of OJP.
Reporting potential fraud, waste, and abuse, and similar misconduct
The recipient, and any subrecipients ("subgrantees") at any tier, must promptly refer to the DOJ Office of the Inspector
General (OIG) any credible evidence that a principal, employee, agent, subrecipient, contractor, subcontractor, or other
person has, in connection with funds under this award-- (1) submitted a claim that violates the False Claims Act; or (2)
committed a criminal or civil violation of laws pertaining to fraud, conflict of interest, bribery, gratuity, or similar
misconduct.
Potential fraud, waste, abuse, or misconduct involving or relating to funds under this award should be reported to the
OIG by--(1) online submission accessible via the OIG webpage at https://oig.justice.gov/hotline/contact-grants.htm
(select "Submit Report Online"); (2) mail directed to: U.S. Department of Justice, Office of the Inspector General,
Investigations Division, ATTN: Grantee Reporting, 950 Pennsylvania Ave., NW, Washington, DC 20530; and/or (3) by
facsimile directed to the DOJ OIG Investigations Division (Attn: Grantee Reporting) at (202) 616-9881 (fax).
Additional information is available from the DOJ OIG website at https://oig.justice.gov/hotline.
24.
25.
26.
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AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Restrictions and certifications regarding non-disclosure agreements and related matters
No recipient or subrecipient ("subgrantee") under this award, or entity that receives a procurement contract or
subcontract with any funds under this award, may require any employee or contractor to sign an internal confidentiality
agreement or statement that prohibits or otherwise restricts, or purports to prohibit or restrict, the reporting (in
accordance with law) of waste, fraud, or abuse to an investigative or law enforcement representative of a federal
department or agency authorized to receive such information.
The foregoing is not intended, and shall not be understood by the agency making this award, to contravene
requirements applicable to Standard Form 312 (which relates to classified information), Form 4414 (which relates to
sensitive compartmented information), or any other form issued by a federal department or agency governing the
nondisclosure of classified information.
1. In accepting this award, the recipient--
a. represents that it neither requires nor has required internal confidentiality agreements or statements from employees
or contractors that currently prohibit or otherwise currently restrict (or purport to prohibit or restrict) employees or
contractors from reporting waste, fraud, or abuse as described above; and
b. certifies that, if it learns or is notified that it is or has been requiring its employees or contractors to execute
agreements or statements that prohibit or otherwise restrict (or purport to prohibit or restrict), reporting of waste, fraud,
or abuse as described above, it will immediately stop any further obligations of award funds, will provide prompt
written notification to the federal agency making this award, and will resume (or permit resumption of) such
obligations only if expressly authorized to do so by that agency.
2. If the recipient does or is authorized under this award to make subawards ("subgrants"), procurement contracts, or
both--
a. it represents that--
(1) it has determined that no other entity that the recipient's application proposes may or will receive award funds
(whether through a subaward ("subgrant"), procurement contract, or subcontract under a procurement contract) either
requires or has required internal confidentiality agreements or statements from employees or contractors that currently
prohibit or otherwise currently restrict (or purport to prohibit or restrict) employees or contractors from reporting waste,
fraud, or abuse as described above; and
(2) it has made appropriate inquiry, or otherwise has an adequate factual basis, to support this representation; and
b. it certifies that, if it learns or is notified that any subrecipient, contractor, or subcontractor entity that receives funds
under this award is or has been requiring its employees or contractors to execute agreements or statements that prohibit
or otherwise restrict (or purport to prohibit or restrict), reporting of waste, fraud, or abuse as described above, it will
immediately stop any further obligations of award funds to or by that entity, will provide prompt written notification to
the federal agency making this award, and will resume (or permit resumption of) such obligations only if expressly
authorized to do so by that agency.
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AWARD DATE 05/30/2020PROJECT NUMBER 2020-VD-BX-1095
SPECIAL CONDITIONS
Compliance with 41 U.S.C. 4712 (including prohibitions on reprisal; notice to employees)
The recipient (and any subrecipient at any tier) must comply with, and is subject to, all applicable provisions of 41
U.S.C. 4712, including all applicable provisions that prohibit, under specified circumstances, discrimination against an
employee as reprisal for the employee's disclosure of information related to gross mismanagement of a federal grant, a
gross waste of federal funds, an abuse of authority relating to a federal grant, a substantial and specific danger to public
health or safety, or a violation of law, rule, or regulation related to a federal grant.
The recipient also must inform its employees, in writing (and in the predominant native language of the workforce), of
employee rights and remedies under 41 U.S.C. 4712.
Should a question arise as to the applicability of the provisions of 41 U.S.C. 4712 to this award, the recipient is to
contact the DOJ awarding agency (OJP or OVW, as appropriate) for guidance.
Encouragement of policies to ban text messaging while driving
Pursuant to Executive Order 13513, "Federal Leadership on Reducing Text Messaging While Driving," 74 Fed. Reg.
51225 (October 1, 2009), DOJ encourages recipients and subrecipients ("subgrantees") to adopt and enforce policies
banning employees from text messaging while driving any vehicle during the course of performing work funded by this
award, and to establish workplace safety policies and conduct education, awareness, and other outreach to decrease
crashes caused by distracted drivers.
Requirement to disclose whether recipient is designated "high risk" by a federal grant-making agency outside of DOJ
If the recipient is designated "high risk" by a federal grant-making agency outside of DOJ, currently or at any time
during the course of the period of performance under this award, the recipient must disclose that fact and certain related
information to OJP by email at OJP.ComplianceReporting@ojp.usdoj.gov. For purposes of this disclosure, high risk
includes any status under which a federal awarding agency provides additional oversight due to the recipient's past
performance, or other programmatic or financial concerns with the recipient. The recipient's disclosure must include
the following: 1. The federal awarding agency that currently designates the recipient high risk, 2. The date the recipient
was designated high risk, 3. The high-risk point of contact at that federal awarding agency (name, phone number, and
email address), and 4. The reasons for the high-risk status, as set out by the federal awarding agency.
Signing Authority
This award must be signed by an authorized official of the applicant State, local, or tribal government, on behalf of that
applicant State, unit of local government, or Tribe, unless the applicant designates an organizational unit to apply on its
behalf. For example, if designated by a unit of local government, a Police Department or Sheriff’s Office (or similar
agency) may apply on behalf of the applicant jurisdiction, as long as the department, office, or agency is listed as the
organizational unit on the SF-424. In that case, the head of the designated organizational unit (such as a Police Chief or
Sheriff) may sign the award. Documentation of the designation by the appropriate governing body must be retained by
the grant recipient.
The "Emergency Appropriations for Coronavirus Health Response and Agency Operations" law (Public Law 116-136)
includes definitions, reporting requirements, and certain other provisions that apply (whether in whole or in part) to this
award. In addition, consistent with the CESF Program's purposes, which involve preparing for, preventing, and
responding to the coronavirus national emergency, OJP will provide notice of any additional CESF program-specific
grants administrative requirements on an award page, accessible at https://www.ojp.gov/funding/explore/CESF-
program-specific-condition, that is incorporated by reference here.
28.
29.
30.
31.
32.
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SPECIAL CONDITIONS
The recipient agrees to comply with OJP grant monitoring guidelines, protocols, and procedures, and to cooperate with
BJA and OCFO on all grant monitoring requests, including requests related to desk reviews, enhanced programmatic
desk reviews, and/or site visits. The recipient agrees to provide to BJA and OCFO all documentation necessary to
complete monitoring tasks, including documentation related to any subawards made under this award. Further, the
recipient agrees to abide by reasonable deadlines set by BJA and OCFO for providing the requested documents.
Failure to cooperate with BJA's/OCFO's grant monitoring activities may result in sanctions affecting the recipient's
DOJ awards, including, but not limited to: withholdings and/or other restrictions on the recipient's access to grant
funds; referral to the Office of the Inspector General for audit review; designation of the recipient as a DOJ High Risk
grantee; or termination of an award(s).
FFATA reporting: Subawards and executive compensation
The recipient must comply with applicable requirements to report first-tier subawards ("subgrants") of $25,000 or
more and, in certain circumstances, to report the names and total compensation of the five most highly compensated
executives of the recipient and first-tier subrecipients (first-tier "subgrantees") of award funds. The details of recipient
obligations, which derive from the Federal Funding Accountability and Transparency Act of 2006 (FFATA), are posted
on the OJP web site at https://ojp.gov/funding/Explore/FFATA.htm (Award condition: Reporting Subawards and
Executive Compensation), and are incorporated by reference here.
This condition, including its reporting requirement, does not apply to-- (1) an award of less than $25,000, or (2) an
award made to an individual who received the award as a natural person (i.e., unrelated to any business or non-profit
organization that he or she may own or operate in his or her name).
Required monitoring of subawards
The recipient must monitor subawards under this award in accordance with all applicable statutes, regulations, award
conditions, and the DOJ Grants Financial Guide, and must include the applicable conditions of this award in any
subaward. Among other things, the recipient is responsible for oversight of subrecipient spending and monitoring of
specific outcomes and benefits attributable to use of award funds by subrecipients. The recipient agrees to submit, upon
request, documentation of its policies and procedures for monitoring of subawards under this award.
Use of program income
Program income (as defined in the Part 200 Uniform Requirements) must be used in accordance with the provisions of
the Part 200 Uniform Requirements. Program income earnings and expenditures both must be reported on the quarterly
Federal Financial Report, SF 425.
Justice Information Sharing
Recipients are encouraged to comply any information-sharing projects funded under this award with DOJ's Global
Justice Information Sharing Initiative (Global) guidelines. The recipient (and any subrecipient at any tier) is encouraged
to conform to the Global Standards Package (GSP) and all constituent elements, where applicable, as described at:
https://it.ojp.gov/ gsp_grantcondition. The recipient (and any subrecipient at any tier) must document planned
approaches to information sharing and describe compliance with the GSP and appropriate privacy policy that protects
shared information.
Avoidance of duplication of networks
To avoid duplicating existing networks or IT systems in any initiatives funded by BJA for law enforcement information
sharing systems which involve interstate connectivity between jurisdictions, such systems shall employ, to the extent
possible, existing networks as the communication backbone to achieve interstate connectivity.
33.
34.
35.
36.
37.
38.
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SPECIAL CONDITIONS
Compliance with National Environmental Policy Act and related statutes
Upon request, the recipient (and any subrecipient at any tier) must assist BJA in complying with the National
Environmental Policy Act (NEPA), the National Historic Preservation Act, and other related federal environmental
impact analyses requirements in the use of these award funds, either directly by the recipient or by a subrecipient.
Accordingly, the recipient agrees to first determine if any of the following activities will be funded by the grant, prior
to obligating funds for any of these purposes. If it is determined that any of the following activities will be funded by
the award, the recipient agrees to contact BJA. The recipient understands that this condition applies to new activities as
set out below, whether or not they are being specifically funded with these award funds. That is, as long as the activity
is being conducted by the recipient, a subrecipient, or any third party, and the activity needs to be undertaken in order
to use these award funds, this condition must first be met. The activities covered by this condition are: a. New
construction; b. Minor renovation or remodeling of a property located in an environmentally or historically sensitive
area, including properties located within a 100-year flood plain, a wetland, or habitat for endangered species, or a
property listed on or eligible for listing on the National Register of Historic Places; c. A renovation, lease, or any
proposed use of a building or facility that will either (a) result in a change in its basic prior use or (b) significantly
change its size; d. Implementation of a new program involving the use of chemicals other than chemicals that are (a)
purchased as an incidental component of a funded activity and (b) traditionally used, for example, in office, household,
recreational, or education environments; and e. Implementation of a program relating to clandestine methamphetamine
laboratory operations, including the identification, seizure, or closure of clandestine methamphetamine laboratories.
The recipient understands and agrees that complying with NEPA may require the preparation of an Environmental
Assessment and/ or an Environmental Impact Statement, as directed by BJA. The recipient further understands and
agrees to the requirements for implementation of a Mitigation Plan, as detailed at https:/ / bja.gov/ Funding/ nepa.html,
for programs relating to methamphetamine laboratory operations. Application of This Condition to Recipient's Existing
Programs or Activities: For any of the recipient's or its subrecipients' existing programs or activities that will be funded
by these award funds, the recipient, upon specific request from BJA, agrees to cooperate with BJA in any preparation
by BJA of a national or program environmental assessment of that funded program or activity.
Establishment of interest-bearing account
If award funds are being drawn down in advance, the recipient (or a subrecipient, with respect to a subaward) is
required to establish an interest-bearing account dedicated specifically to this award. Recipients (and subrecipients)
must maintain advance payments of federal awards in interest-bearing accounts, unless regulatory exclusions apply (2
C.F.R. 200.305(b)(8)). The award funds, including any interest, may not be used to pay debts or expenses incurred by
other activities beyond the scope of the Coronavirus Emergency Supplemental Funding (CESF) program . The recipient
also agrees to obligate the award funds in the account(including any interest earned) during the period of performance
for the award and expend within 90 days thereafter. Any unobligated or unexpended funds, including interest earned,
must be returned to OJP at the time of closeout.
Expenditures requiring prior approval
No funds under this award may be expended on individual items costing $500,000 or more, or to purchase Unmanned
Aerial Systems (UAS), Unmanned Aircraft (UA), and/or Unmanned Aerial Vehicles (UAV) without prior written
approval from BJA. Prior approval must be obtained post-award, through the submission and approval of a Grant
Adjustment Notice (GAN) through OJP’s Grant Management System (GMS).
39.
40.
41.
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SPECIAL CONDITIONS
Authorization to obligate (federal) award funds to reimburse certain project costs incurred on or after January 20, 2020
The recipient may obligate (federal) award funds only after the recipient makes a valid acceptance of the award. As of
the first day of the period of performance for the award (January 20, 2020), however, the recipient may choose to incur
project costs using non-federal funds, but any such project costs are incurred at the recipient's risk until, at a
minimum-- (1) the recipient makes a valid acceptance of the award, and (2) all applicable withholding conditions are
removed by OJP (via a Grant Adjustment Notice). (A withholding condition is a condition in the award document that
precludes the recipient from obligating, expending, or drawing down all or a portion of the award funds until the
condition is removed.)
Nothing in this condition shall be understood to authorize the recipient (or any subrecipient at any tier) to use award
funds to "supplant" State or local funds.
Use of funds for DNA testing; upload of DNA profiles
If award funds are used for DNA testing of evidentiary materials, any resulting eligible DNA profiles must be uploaded
to the Combined DNA Index System ("CODIS," the DNA database operated by the FBI) by a government DNA
laboratory with access to CODIS. No profiles generated under this award may be entered or uploaded into any non-
governmental DNA database without prior express written approval from BJA. Award funds may not be used for the
purchase of DNA equipment and supplies unless the resulting DNA profiles may be accepted for entry into CODIS.
Body armor - compliance with NIJ standards and other requirements
Ballistic-resistant and stab-resistant body armor purchased with award funds may be purchased at any threat level,
make or model, from any distributor or manufacturer, as long as the body armor has been tested and found to comply
with applicable National Institute of Justice ballistic or stab standards and is listed on the NIJ Compliant Body Armor
Model List (https://nij.gov/topics/technology/body-armor/Pages/compliant-ballistic-armor.aspx). In addition, ballistic-
resistant and stab-resistant body armor purchased must be made in the United States and must be uniquely fitted, as set
forth in 34 U.S.C. 10202(c)(1)(A). The latest NIJ standard information can be found here: https:/ / nij.gov/ topics/
technology/ body-armor/ pages/ safety-initiative.aspx.
Recipient integrity and performance matters: Requirement to report information on certain civil, criminal, and
administrative proceedings to SAM and FAPIIS
The recipient must comply with any and all applicable requirements regarding reporting of information on civil,
criminal, and administrative proceedings connected with (or connected to the performance of) either this OJP award or
any other grant, cooperative agreement, or procurement contract from the federal government. Under certain
circumstances, recipients of OJP awards are required to report information about such proceedings, through the federal
System for Award Management (known as "SAM"), to the designated federal integrity and performance system
(currently, "FAPIIS").
The details of recipient obligations regarding the required reporting (and updating) of information on certain civil,
criminal, and administrative proceedings to the federal designated integrity and performance system (currently,
"FAPIIS") within SAM are posted on the OJP web site at https://ojp.gov/funding/FAPIIS.htm (Award condition:
Recipient Integrity and Performance Matters, including Recipient Reporting to FAPIIS), and are incorporated by
reference here.
42.
43.
44.
45.
OJP FORM 4000/2 (REV. 4-88)
16
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Memorandum To:
From:
Subject:
Washington, D.C. 20531
Orbin Terry, NEPA Coordinator
Categorical Exclusion for City of San Bernardino
The Coronavirus Emergency Supplemental Funding (CESF) Program allows eligible states, local units of
government, and tribes to support a broad range of activities including preventing, preparing for, and responding to
the coronavirus.
All recipients of CESF funding must assist BJA in complying with NEPA and other related federal environmental
impact analyses requirements in the use of grant funds, whether the funds are used directly by the grantee or by a
sub-grantee or third party.
BJA’s expectation is that none of the following activities will be conducted whether under this federal award or a
related third party action:
(1) New construction
(2) Any renovation or remodeling of a property located in an environmentally or historically sensitive area,
including property (a) listed on or eligible for listing on the National Register of Historic Places, or (b) located
within a 100-year flood plain, a wetland, or habitat for an endangered species
(3) A renovation that will change the basic prior use of a facility or significantly change its size
(4) Research and technology whose anticipated and future application could be expected to have an effect on the
environment
(5) Implementation of a program involving the use of chemicals (including the
identification, seizure, or closure of clandestine methamphetamine laboratories) other than chemicals that are (a)
purchased as an incidental component of a funded activity and (b) traditionally used, for example, in office,
household, recreational, or education environments.
Consequently, the subject federal action meets the Office of Justice Programs' criteria for a categorical exclusion
as contained in paragraph 4(b) of Appendix D to Part 61 of Title 28 of the Code of Federal Regulations.
If, however, award funds are proposed to be used for any of the enumerated projects or activities above, grant
recipients must contact their grant manager, and receive written approval prior to commencing that project or
activity.
Questions about this determination may be directed to your grant manager or Orbin Terry, Environmental
Coordinator for BJA.
Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
Official Grant File
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GRANT MANAGER'S MEMORANDUM, PT. I:
PROJECT SUMMARY
1. STAFF CONTACT (Name & telephone number)
PROJECT NUMBER
6. NAME & ADRESS OF SUBGRANTEE
7. PROGRAM PERIOD 8. BUDGET PERIOD
9. AMOUNT OF AWARD 10. DATE OF AWARD
11. SECOND YEAR'S BUDGET
2020-VD-BX-1095
2. PROJECT DIRECTOR (Name, address & telephone number)
4. TITLE OF PROJECT
12. SECOND YEAR'S BUDGET AMOUNT
13. THIRD YEAR'S BUDGET PERIOD 14. THIRD YEAR'S BUDGET AMOUNT
15. SUMMARY DESCRIPTION OF PROJECT (See instruction on reverse)
5. NAME & ADDRESS OF GRANTEE
Grant
This project is supported under FY20(BJA - CESF) Pub. L. No. 116-136, Div. B; 28 U.S.C. 530C
Francisco Hernandez
Captain
710 North D Street
San Bernardino, CA 92401-1112
(909) 384-5740
PAGE 11OF
The Coronavirus Emergency Supplemental Funding (CESF) Program allows States, U.S. Territories, the District of Columbia, units of local government, and
federally recognized tribal governments to support a broad range of activities to prevent, prepare for, and respond to the coronavirus. Funded projects or initiatives
may include, but are not limited to, overtime, equipment (including law enforcement and medical personal protective equipment), hiring, supplies (such as gloves,
masks, sanitizer), training, travel expenses (particularly related to the distribution of resources to the most impacted areas), and addressing the medical needs of
inmates in state, local, and tribal prisons, jails, and detention centers.
NCA/NCF
Gerardo Velazquez
(202) 598-7412
OJP FORM 4000/2 (REV. 4-88)
City of San Bernardino COVID-19 Preparation Plan
City of San Bernardino
710 North D Street Post Office Box 1559
San Bernardino, CA 92402-1559
TO:01/20/2020 01/31/2022FROM:TO:01/20/2020 01/31/2022FROM:
05/30/2020 $ 632,422
3b. POMS CODE (SEE INSTRUCTIONS
ON REVERSE)
3a. TITLE OF THE PROGRAM
BJA FY 20 Coronavirus Emergency Supplemental Funding Program
Department of Justice (DOJ)
Office of Justice Programs
Bureau of Justice Assistance
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Budget Summary
A. Personnel $177,422 $0 $0 $0 $0 $0 $0 $0 $0 $0 $177,422
B. Fringe Benefits $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
C. Travel $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
D. Equipment $345,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 $345,000
E. Supplies $30,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 $30,000
F. Construction $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
G. Subawards (Subgrants)$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
H. Procurement Contracts $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
I. Other $60,000 $0 $20,000 $0 $0 $0 $0 $0 $0 $0 $80,000
Total Direct Costs $612,422 $0 $20,000 $0 $0 $0 $0 $0 $0 $0 $632,422
J. Indirect Costs $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Project Costs $612,422 $0 $20,000 $0 $0 $0 $0 $0 $0 $0 $632,422
Budget Summary
Note: Any errors detected on this page should be fixed on the corresponding Budget Detail tab.Non-Federal RequestTotal(s)Federal RequestYear 1 Year 2
(if needed)Federal RequestNon-Federal RequestYear 3
(if needed)Federal RequestNon-Federal RequestYear 4
(if needed)Federal RequestNon-Federal RequestDoes this budget contain conference costs which is defined broadly to include meetings, retreats, seminars, symposia, and training activities? - Y/N No
Year 5
(if needed)Federal RequestNon-Federal RequestBudget Category
1
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Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Eric McBride, Acting Chief of Police
Subject: Authorize Replacement Professional Services Agreement with
Axon Enterprise, Inc.
Recommendation
Adopt Resolution No. 2020-129 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to execute a replacement
Professional Services Agreement with Axon Enterprise, Inc., decreasing costs for the
remaining two years of an existing five-year agreement by $139,426.56.
Background
On February 21, 2017, a Professional Services Agreement with Axon Enterprise, Inc.
was approved in the amount of $1,078,001.44 for the purchase of 285 body worn
camera licenses. On December 6, 2017, the Professional Services Agreement was
modified to incorporate the purchase of an additional $529,432.29 in Taser weapons.
Discussion
As currently structured, the City’s Professional Services Agreement with Axon
Enterprise, Inc. obligates our subscription to 285 body worn camera licenses of which
225 are classified as “Unlimited”, 50 classified as “Basic” and 5 are classified as
“Unlimited Pro.” With these licenses, the Department receives a physical camera as
well as an array of user permissions, dependent on license category, within Axon’s
cloud-based data management system known as Evidence.com. Due to the fact that
some staff utilizes more features of the database, but do not work in the field, and some
staff utilize cameras in the field, but do not work extensively in the database, City staff
has negotiated for a replacement agreement that addresses these issues and reduces
cost. The replacement agreement will convert 50 existing “Unlimited” licenses to
“Basic” licenses without reducing camera use. Additionally, staff has determined that
under the current agreement, the Department is obligated to purchase a greater number
of Taser weapons than it has use for. Therefore, the replacement agreement will
terminate the purchase of additional weapons.
2020-2025 Key Strategic Targets and Goals
Executing a replacement Professional Services Agreement with Axon Enterprise, Inc.
aligns with Key Target No. 1: Financial Stability. Evaluating operations and performance
through investment in the resources, technology and tools are needed to create a
17
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6781
Page 2
framework for spending decisions
Fiscal Impact
The financial impact to the City is a cost savings of $139,426.56 over two years.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-129, authorizing the City Manager to execute a
replacement Professional Services Agreement with Axon Enterprise, Inc.
Attachments
Attachment 1 Resolution 2020-129
Attachment 2 Professional Services Agreement
Ward: All
Synopsis of Previous Council Actions:
December 6, 2017 Mayor and City Council adopted Resolution 2017 -232, authorizing
the execution of a 5-year agreement between the City of San
Bernardino and Axon Enterprise, Inc. for body worn cameras and
Taser X26P weapons and issuance of a purchase order to Axon
Enterprise, Inc.
September 6, 2017 Mayor and City Council adopted Resolution 2017 -171, authorizing
the Director of Finance to issue purchase orders to Taser
International, Inc. and the City of Fontana Police Department for
body worn camera data storage.
February 21, 2017 Mayor and City Council adopted Resolution 2017 -020, authorizing
the City Manager to execute a vendor services agreement with
Taser International, Inc., and authorizing the Director of Finance to
issue a purchase order to Taser International, Inc. in the amount of
$341,230 for body worn cameras.
17
Packet Pg. 420
RESOLUTION NO. 2020-129
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING THE CITY MANAGER TO EXECUTE A
REPLACEMENT PROFESSIONAL SERVICES
AGREEMENT WITH AXON ENTERPRISE, INC.,
DECREASING COST FOR THE REMAINING TWO
YEARS OF AN EXISTING FIVE-YEAR AGREEMENT BY
$139,426.56
WHEREAS, on February 21, 2017, an agreement with Axon Enterprise, Inc. was
approved in the amount of $1,078,001.44 for the purchase of 285 body worn camera licenses;
and
WHEREAS, on December 6, 2017, the agreement was modified to incorporate the
purchase of an additional $529,432.29 in Taser weapons; and
WHEREAS, the City evaluated the terms of the agreement and determined certain
subscriptions and purchase obligations are no longer reflective of current Department needs.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized to execute a replacement
Professional Services Agreement with Axon Enterprise, Inc., decreasing cost for the remaining
two years of an existing five-year agreement by $139,426.56.
SECTION 3. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a si gnificant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
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Resolution No. 2020-129
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
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Resolution No. 2020-129
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
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1
PROFESSIONAL SERVICES AGREEMENT
BETWEEN THE CITY OF SAN BERNARDINO
AND AXON ENTERPRISE, INC.
This Agreement is made and entered into as of June 17, 2019 by and between the City of
San Bernardino, a charter city and municipal corporation organized and operating under the laws
of the State of California with its principal place of business at Vanir Tower, 290 North D Street,
San Bernardino, CA 92401 (“City”), and Axon Enterprise, Inc., a Delaware corporation with its
principal place of business at 17800 N 85th Street, Scottsdale, AZ 85255 (hereinafter referred to
as “Consultant”). City and Consultant are hereinafter sometimes referred to individually as
“Party” and collectively as the “Parties.”
RECITALS
A. City is a public agency of the State of California and is in need of professional
services for the following project:
Body-worn cameras, digital evidence management, and TASER conducted energy weapons
(“CEW”) (hereinafter referred to as “the Project”).
B. Consultant is duly licensed and has the necessar y qualifications to provide such
services.
C. The Parties desire by this Agreement to establish the terms for City to retain
Consultant to provide the services described herein .
AGREEMENT
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:
1. Incorporation of Recitals. The recitals above are true and correct and are hereby
incorporated herein by this reference.
2. Services. Consultant shall provide the City wit h the services described in the
Scope of Services attached hereto as Exhibit “A” (AXON QUOTE) and incorporated herein by
this reference. City’s receipt, and Consultant’s provision, of Services shall be subject to the
additional terms and conditions identified in Exhib it “B” (CONSULTANT SALES TERMS
AND CONDITIONS), Exhibit “C” (AXON CLOUD SERVICES TERMS OF USE), Exhibit
“D” (TECHNOLOGY ASSURANCE PLAN), and Exhibit “E” (AXON AUTO-TAGGING).
Exhibits “B,” “C,” “D,” and “E” are incorporated herein by this reference.
3. Professional Practices. All professional services to be provided by Consultant
pursuant to this Agreement shall be provided by personnel identified in their proposal.
Consultant warrants that Consultant is familiar with all laws that may affect its performance of
this Agreement and shall advise City of any changes in any laws that may affect Consultant’s
performance of this Agreement. Consultant further represents that no City employee will
provide any services under this Agreement.
4. Compensation.
DocuSign Envelope ID: 582EAC06-FDE7-4143-8CCD-7E0693ED6D27
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a. Subject to paragraph 4(b) below, the City shall pay for such services in
accordance with the Schedule of Charges set forth in Exhibit “A.”
b. In no event shall the total amount paid for services rendered by Consultant
under this Agreement exceed the sum of $441,311.04 ($220,655.52 in Payment Year 4 and
$220,655.52 in Payment Year 5 as further defined in Exhibit “A”). This amount is to cover all
related costs, and the City will not pay any additional fees for printing expenses. Consultant may
submit invoices to City for approval. Said invoice shall be based on the total of all Consultant’s
services which have been completed to City’s sole satisfaction. City shall pay Consultant’s
invoice within forty-five (45) days from the date City receives said invoice. The invoice shall
describe in detail the services performed and the associated time for completion. Any additional
services approved and performed pursuant to this Agreement shall be designated as “Additional
Services” and shall identify the number of the authorized change order, where applicable, on all
invoices.
5. Additional Work. If changes in the work seem merited by Consultant or the City,
and informal consultations with the other party indicate that a change is warranted, it shall be
processed in the following manner: a letter outlin ing the changes shall be forwarded to the City
by Consultant with a statement of estimated changes in fee or time schedule. An amendment to
this Agreement shall be prepared by the City and executed by both Parties before performance of
such services, or the City will not be required to pay for the changes in the scope of work. Such
amendment shall not render ineffective or invalidat e unaffected portions of this Agreement.
6. Term. This Agreement shall commence on the Effective Date and continue
through the completion of services as set forth in Exhibit “A,” unless the Agreement is
previously terminated as provided for herein (“Term”).
7. Maintenance of Records; Audits.
a. Records of Consultant’s services relating to this Agreement shall be
maintained in accordance with generally recognized accounting principles and shall be made
available to City for inspection and/or audit at mutually convenient times for a period of four (4)
years from the Effective Date.
b. Books, documents, papers, accounting records, and other evidence
pertaining to costs incurred shall be maintained by Consultant and made available at all
reasonable times during the contract period and for four (4) years from the date of final payment
under the contract for inspection by City.
8. Time of Performance. Consultant shall perform its services in a prompt and
timely manner and shall commence performance upon receipt of written notice from the City to
proceed. Consultant shall complete the services required hereunder within Term.
9. Delays in Performance.
a. Neither City nor Consultant shall be considered in default of this
Agreement for delays in performance caused by circu mstances beyond the reasonable control of
the non-performing Party. For purposes of this Agreement, such circumstances include but are
not limited to, abnormal weather conditions; floods; earthquakes; fire; epidemics; war; riots and
DocuSign Envelope ID: 582EAC06-FDE7-4143-8CCD-7E0693ED6D27
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other civil disturbances; strikes, lockouts, work slowdowns, and other labor disturbances;
sabotage or judicial restraint.
b. Should such circumstances occur, the non-performing Party shall, within a
reasonable time of being prevented from performing, give written notice to the other Party
describing the circumstances preventing continued performance and the efforts being made to
resume performance of this Agreement.
10. Compliance with Law.
a. Consultant shall comply with all applicable laws, o rdinances, codes and
regulations of the federal, state and local government, including Cal/OSHA requirements.
b. If required, Consultant shall assist the City, as requested, in obtaining and
maintaining all permits required of Consultant by federal, state and local regulatory agencies.
c. If applicable, Consultant is responsible for all co sts of clean up and/ or
removal of hazardous and toxic substances spilled as a result of his or her services or operations
performed under this Agreement.
11. Standard of Care. Consultant’s services will be performed in accordance with
generally accepted professional practices and principles and in a manner consistent with the level
of care and skill ordinarily exercised by members o f the profession currently practicing under
similar conditions.
12. Conflicts of Interest. During the term of this Agreement, Consultant shall at all
times maintain a duty of loyalty and a fiduciary duty to the City and shall not accept payment
from or employment with any person or entity which will constitute a conflict of interest with the
City.
13. City Business Certificate. Consultant shall, prior to execution of this Agreement,
obtain and maintain during the term of this Agreement a valid business registration certificate
from the City pursuant to Title 5 of the City’s Municipal Code and any and all other licenses,
permits, qualifications, insurance, and approvals of whatever nature that are legally required of
Consultant to practice his/her profession, skill, o r business.
14. Assignment and Subconsultant. Consultant shall not assign, sublet, or transfer
this Agreement or any rights under or interest in t his Agreement without the written consent of
the City, which may be withheld for any reason. Any attempt to so assign or so transfer without
such consent shall be void and without legal effect and shall constitute grounds for termination.
Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in
this Agreement. Nothing contained herein shall prevent Consultant from employing independent
associates and subconsultants as Consultant may deem appropriate to assist in the performance
of services hereunder.
15. Independent Consultant. Consultant is retained as an independent contractor and
is not an employee of City. No employee or agent o f Consultant shall become an employee of
City. The work to be performed shall be in accordance with the work described in this
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Agreement, subject to such directions and amendment s from City as herein provided.
16. Insurance. Consultant shall not commence work for the City until it has provided
evidence satisfactory to the City it has secured all insurance required under this section. In
addition, Consultant shall not allow any subcontractor to commence work on any subcontract
until it has secured all insurance required under t his section.
a. Additional Insured
The City of San Bernardino, its officials, officers, employees, agents, and
volunteers shall be named as additional insureds on Consultant’s and its subconsultants’ policies
of commercial general liability and automobile liability insurance using the endorsements and
forms specified herein or exact equivalents.
b. Commercial General Liability
(i) The Consultant shall take out and maintain, dur ing the
performance of all work under this Agreement, in amounts not less than specified herein,
Commercial General Liability Insurance, in a form and with insurance companies acceptable to
the City.
(ii) Coverage for Commercial General Liability insurance shall be at
least as broad as the following:
Insurance Services Office Commercial General Liability coverage
(Occurrence Form CG 00 01) or exact equivalent.
(iii) Commercial General Liability Insurance must include coverage
for the following:
(1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX) exclu sion
deleted
(7) Contractual Liability with respect to this Cont ract
(8) Broad Form Property Damage
(9) Independent Consultants Coverage
(iv) The policy shall contain no endorsements or provisions limiting
coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one
insured against another; (3) products/completed operations liability; or (4) contain any other
exclusion contrary to the Agreement.
(v) The policy shall give City, its elected and appointed officials,
officers, employees, agents, and City-designated vo lunteers additional insured status using ISO
endorsement forms CG 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same
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coverage.
(vi) The general liability program may utilize either deductibles or
provide coverage excess of a self-insured retention, subject to written approval by the City, and
provided that such deductibles shall not apply to t he City as an additional insured.
c. Automobile Liability
(i) At all times during the performance of the work under this
Agreement, the Consultant shall maintain Automobile Liability Insurance for bodily injury and
property damage including coverage for owned, non-o wned and hired vehicles, in a form and
with insurance companies acceptable to the City.
(ii) Coverage for automobile liability insurance shall be at least as
broad as Insurance Services Office Form Number CA 00 01 covering automobile liability
(Coverage Symbol 1, any auto).
(iii) The policy shall give City, its elected and appointed officials,
officers, employees, agents and City designated volunteers additional insured status.
(iv) Subject to written approval by the City, the automobile liability
program may utilize deductibles, provided that such deductibles shall not apply to the City as an
additional insured, but not a self-insured retention.
d. Workers’ Compensation/Employer’s Liability
(i) Consultant certifies that he/she is aware of the provisions of
Section 3700 of the California Labor Code which requires every employer to be insured against
liability for workers’ compensation or to undertake self-insurance in accordance with the
provisions of that code, and he/she will comply wit h such provisions before commencing work
under this Agreement.
(ii) To the extent Consultant has employees at any time during the
term of this Agreement, at all times during the performance of the work under this Agreement,
the Consultant shall maintain full compensation insurance for all persons employed directly by
him/her to carry out the work contemplated under this Agreement, all in accordance with the
“Workers’ Compensation and Insurance Act,” Division IV of the Labor Code of the State of
California and any acts amendatory thereof, and Emp loyer’s Liability Coverage in amounts
indicated herein. Consultant shall require all subconsultants to obtain and maintain, for the
period required by this Agreement, workers’ compensation coverage of the same type and limits
as specified in this section.
e. Professional Liability (Errors and Omissions)
At all times during the performance of the work under this Agreement the Consultant
shall maintain professional liability or Errors and Omissions insurance appropriate to its
profession, in a form and with insurance companies acceptable to the City and in an amount
indicated herein. This insurance shall be endorsed to include contractual liability applicable to
this Agreement and shall be written on a policy form coverage specifically designed to protect
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against acts, errors or omissions of the Consultant . “Covered Professional Services” as
designated in the policy must specifically include work performed under this Agreement. The
policy must “pay on behalf of” the insured and must include a provision establishing the insurer's
duty to defend.
f. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:
Combined Single Limit
Commercial General Liability $1,000,000 per occurrence/ $2,000,000 aggregate
for bodily injury, personal injury, and property
damage
Automobile Liability $1,000,000 per occurrence fo r bodily injury and
property damage
Employer’s Liability $1,000,000 per occurrence
Professional Liability $1,000,000 per claim and aggregate (errors and
omissions)
(ii) Defense costs shall be payable in addition to the limits.
(iii) Requirements of specific coverage or limits contained in this
section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of
any coverage normally provided by any insurance. Any available coverage shall be provided to
the parties required to be named as Additional Insu red pursuant to this Agreement.
g. Evidence Required
Prior to execution of the Agreement, the Consultant shall file with the City
evidence of insurance from an insurer or insurers certifying to the coverage of all insurance
required herein. Such evidence shall include original copies of the ISO CG 00 01 (or insurer’s
equivalent) signed by the insurer’s representative and Certificate of Insurance (Acord Form 25-
S or equivalent), together with required endorsements. All evidence of insurance shall be
signed by a properly authorized officer, agent, or qualified representative of the insurer and
shall certify the names of the insured, any additio nal insureds, where appropriate, the type and
amount of the insurance, the location and operations to which the insurance applies, and the
expiration date of such insurance.
h. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior
written notice of cancellation of any policy required by this Agreement, except that the
Consultant shall provide at least ten (10) days prior written notice of cancellation of any such
policy due to non-payment of the premium. If any o f the required coverage is cancelled or
expires during the term of this Agreement, the Consultant shall deliver renewal certificate(s)
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including the General Liability Additional Insured Endorsement to the City at least ten (10)
days prior to the effective date of cancellation or expiration.
(ii) The Commercial General Liability Policy and Automobile Policy
shall each contain a provision stating that Consult ant’s policy is primary insurance and that any
insurance, self-insurance or other coverage maintained by the City or any named insureds shall
not be called upon to contribute to any loss.
(iii) The retroactive date (if any) of each policy is to be no later than the
effective date of this Agreement. Consultant shall maintain such coverage continuously for a
period of at least three years after the completion of the work under this Agreement. Consultant
shall purchase a one (1) year extended reporting period A) if the retroactive date is advanced
past the effective date of this Agreement; B) if the policy is cancelled or not renewed; or C) if
the policy is replaced by another claims-made policy with a retroactive date subsequent to the
effective date of this Agreement.
(iv) All required insurance coverages, except for t he professional
liability coverage, shall contain or be endorsed to provide waiver of subrogation in favor of the
City, its officials, officers, employees, agents, and volunteers or shall specifically allow
Consultant or others providing insurance evidence in compliance with these specifications to
waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery
against City, and shall require similar written exp ress waivers and insurance clauses from each
of its subconsultants.
(v) The limits set forth herein shall apply separat ely to each insured
against whom claims are made or suits are brought, except with respect to the limits of liability.
Further the limits set forth herein shall not be co nstrued to relieve the Consultant from liability
in excess of such coverage, nor shall it limit the Consultant’s indemnification obligations to the
City and shall not preclude the City from taking such other actions available to the City under
other provisions of the Agreement or law.
i. Qualifying Insurers
(i) All policies required shall be issued by accept able insurance
companies, as determined by the City, which satisfy the following minimum requirements:
(1) Each such policy shall be from a company or companies
with a current A.M. Best's rating of no less than A:VII and admitted to transact in the
business of insurance in the State of California, or otherwise allowed to place insurance
through surplus line brokers under applicable provisions of the California Insurance Code
or any federal law.
j. Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance
coverage to be maintained by Consultant, and any approval of said insurance by the City, is not
intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise
assumed by the Consultant pursuant to this Agreement, including, but not limited to, the
provisions concerning indemnification.
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(ii) If at any time during the life of the Agreement, any policy of
insurance required under this Agreement does not co mply with these specifications or is
canceled and not replaced, City has the right but not the duty to obtain the insurance it deems
necessary and any premium paid by City will be promptly reimbursed by Consultant or City
will withhold amounts sufficient to pay premium fro m Consultant payments. In the alternative,
City may cancel this Agreement.
(iii) The City may require the Consultant to provide complete copies of
all insurance policies in effect for the duration o f the Project.
(iv) Neither the City nor the City Council, nor any member of the City
Council, nor any of the officials, officers, employees, agents or volunteers shall be personally
responsible for any liability arising under or by virtue of this Agreement.
k. Subconsultant Insurance Requirements. Consultant shall not allow any
subcontractors or subconsultants to commence work on any subcontract until they have
provided evidence satisfactory to the City that they have secured all insurance required under
this section. Policies of commercial general liability insurance provided by such subcontractors
or subconsultants shall be endorsed to name the Cit y as an additional insured using ISO form
CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by
Consultant, City may approve different scopes or minimum limits of insurance for particular
subcontractors or subconsultants.
17. Indemnification.
a. To the fullest extent permitted by law, Consultant shall defend (with
counsel reasonably approved by the City), indemnify and hold the City, its elected and appointed
officials, officers, employees, agents, and authorized volunteers free and harmless from any and
all claims, demands, causes of action, suits, actio ns, proceedings, costs, expenses, liability,
judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, to
property or persons, including wrongful death, (collectively, “Claims”) in any manner arising out
of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of
Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection
with the performance of the Consultant’s services, the Project, or this Agreement, including
without limitation the payment of all expert witness fees and reasonable attorneys’ fees and other
related costs and expenses. Notwithstanding the fo regoing, to the extent Consultant’s services
are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent
required by Civil Code Section 2782.8, to Claims that arise out of, pertain to, or relate to the
negligence, recklessness, or willful misconduct of the Consultant. Consultant's obligation to
indemnify shall not be restricted to insurance proceeds, if any, received by the City, the City
Council, members of the City Council, its employees, or authorized volunteers.
b. Additional Indemnity Obligations. Consultant shall defend, with counsel
of City’s choosing and at Consultant’s own cost, expense and risk, any and all Claims covered by
this section that may be brought or instituted against the City, its elected and appointed officials,
employees, agents, or authorized volunteers. Consultant shall pay and satisfy any judgment,
award or decree that may be rendered against the City, its elected and appointed officials,
employees, agents, or authorized volunteers as part of any such claim, suit, action or other
proceeding. Consultant shall also reimburse City for the cost of any settlement paid by the City,
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its elected and appointed officials, employees, agents, or authorized volunteers as part of any
such claim, suit, action or other proceeding. Such reimbursement shall include payment for the
City’s attorney's fees and costs, including expert witness fees. Consultant shall reimburse the
City, its elected and appointed officials, employees, agents, or authorized volunteers, for any and
all legal expenses and costs incurred by each of them in connection therewith or in enforcing the
indemnity herein provided. Consultant’s obligation to indemnify shall not be restricted to
insurance proceeds, if any, received by the City, its elected and appointed officials, employees,
agents, or authorized volunteers.
c. Limitation of Liability. The remedies provided for in this Agreement are
expressly in lieu of any other liability Consultant may have. Consultant’s cumulative liability to
any the City for any loss or damage resulting from any claims, demands, or actions arising out of
relating to any Consultant product will not exceed $5,000,000.00, except for cases of
Consultant’s willful misconduct, recklessness, or gross negligence.
18. California Labor Code Requirements. Consultant is aware of the requirements of
California Labor Code Sections 1720 et seq. and 1770 et seq., as well as California Code of
Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the
payment of prevailing wage rates and the performance of other requirements on certain “public
works” and “maintenance” projects. If the Services are being performed as part of an applicable
“public works” or “maintenance” project, as defined by the Prevailing Wage Laws, Consultant
agrees to fully comply with such Prevailing Wage Laws, if applicable. Consultant shall defend,
indemnify and hold the City, its elected officials, officers, employees and agents free and
harmless from any claims, liabilities, costs, penalties or interest arising out of any failure or
alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory upon the
Consultant and all subconsultants to comply with all California Labor Code provisions, which
include but are not limited to prevailing wages, employment of apprentices, hours of labor and
debarment of contractors and subcontractors.
If the Services are being performed as part of an applicable “public works” or
“maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant
and all subconsultants performing such Services must be registered with the Department of
Industrial Relations. Consultant shall maintain registration for the duration of the Project and
require the same of any subconsultants, as applicable. This Project may also be subject to
compliance monitoring and enforcement by the Department of Industrial Relations. It shall be
Consultant’s sole responsibility to comply with all applicable registration and labor compliance
requirements.
19. Verification of Employment Eligibility. By executing this Agreement, Consultant
verifies that it fully complies with all requirements and restrictions of state and federal law
respecting the employment of undocumented aliens, including, but not limited to, the
Immigration Reform and Control Act of 1986, as may be amended from time to time, and shall
require all subconsultants and sub-subconsultants to comply with the same.
20. Laws and Venue. This Agreement shall be interpreted in accordance with the
laws of the State of California. If any action is brought to interpret or enforce any term of this
Agreement, the action shall be brought in a state o r federal court situated in the County of San
Bernardino, State of California.
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21. Termination or Abandonment
a. City has the right to terminate or abandon any portion or all of the work
under this Agreement by giving thirty (30) calendar days’ written notice to Consultant. In such
event, City shall be immediately given title and po ssession to all original field notes, drawings
and specifications, written reports and other documents produced or developed for that portion of
the work completed and/or being abandoned. City shall pay Consultant the reasonable value of
services rendered for any portion of the work completed prior to termination, as further described
in Exhibit B in “Effect of Termination”. If said t ermination occurs prior to completion of any
task for the Project for which a payment request has not been received, the charge for services
performed during such task shall be the reasonable value of such services, based on an amount
mutually agreed to by City and Consultant of the po rtion of such task completed but not paid
prior to said termination. City shall not be liable for any costs other than the charges or portions
thereof which are specified herein. Consultant shall not be entitled to payment for unperformed
services, and shall not be entitled to damages or compensation for termination of work.
b. Consultant may terminate its obligation to provide further services under
this Agreement upon thirty (30) calendar days’ written notice to City only in the event of
substantial failure by City to perform in accordance with the terms of this Agreement through no
fault of Consultant.
22. Attorneys’ Fees. In the event that litigation is brought by any Party in connection
with this Agreement, the prevailing Party shall be entitled to recover from the opposing Party all
costs and expenses, including reasonable attorneys’ fees, incurred by the prevailing Party in the
exercise of any of its rights or remedies hereunder or the enforcement of any of the terms,
conditions, or provisions hereof. The costs, salar y, and expenses of the City Attorney’s Office in
enforcing this Agreement on behalf of the City shall be considered as “attorneys’ fees” for the
purposes of this Agreement.
23. Responsibility for Errors. Consultant shall be responsible for its work and results
under this Agreement. Consultant, when requested, shall furnish clarification and/or explanation
as may be required by the City’s representative, regarding any services rendered under this
Agreement at no additional cost to City. In the event that an error or omission attributable to
Consultant’s professional services occurs, Consultant shall, at no cost to City, provide all other
services necessary to rectify and correct the matter to the sole satisfaction of the City and to
participate in any meeting required with regard to the correction.
24. Prohibited Employment. Consultant shall not employ any current employee of
City to perform the work under this Agreement while this Agreement is in effect.
25. Costs. Each Party shall bear its own costs and fees incurred in the preparation and
negotiation of this Agreement and in the performance of its obligations hereunder except as
expressly provided herein.
26. Documents. Except as otherwise provided in “Termination or Abandonment,”
above, all original field notes, written reports, Drawings and Specifications and other documents,
produced or developed for the Project shall, upon payment in full for the services described in
this Agreement, be furnished to and become the property of the City.
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27. Organization. Consultant shall assign Evan Kafarakis (ekafarakis@axon.com) as
Project Manager. The Project Manager shall not be removed from the Project or reassigned
without the prior written consent of the City.
28. Limitation of Agreement. This Agreement is limited to and includes only the
work included in the Project described above.
29. Notice. Any notice or instrument required to be given or delivered by this
Agreement may be given or delivered by depositing t he same in any United States Post Office,
certified mail, return receipt requested, postage prepaid, addressed to the following addresses and
shall be effective upon receipt thereof:
CITY:
City of San Bernardino
Vanir Tower, 290 North D Street
San Bernardino, CA 92401
Attn: City Manager
With Copy To:
City of San Bernardino
Vanir Tower, 290 North D Street
San Bernardino, CA 92401
Attn: City Attorney
CONSULTANT:
Axon Enterprise, Inc.
17800 North 85th Street
Scottsdale, AZ 85255
Attn: Legal
30. Third Party Rights. Nothing in this Agreement shall be construed to give any
rights or benefits to anyone other than the City and the Consultant.
31. Equal Opportunity Employment. Consultant represents that it is an equal
opportunity employer and that it shall not discriminate against any employee or applicant for
employment because of race, religion, color, national origin, ancestry, sex, age or other interests
protected by the State or Federal Constitutions. Such non-discrimination shall include, but not
be limited to, all activities related to initial employment, upgrading, demotion, transfer,
recruitment or recruitment advertising, layoff or t ermination.
32. Entire Agreement. This Agreement, including all Exhibits, represents the entire
understanding of City and Consultant as to those matters contained herein, and supersedes and
cancels any prior or contemporaneous oral or written understanding, promises or representations
with respect to those matters covered hereunder. Each Party acknowledges that no
representations, inducements, promises, or agreements have been made by any person which are
not incorporated herein, and that any other agreements shall be void. This is an integrated
Agreement. This Agreement replaces all other agreements between the City and Consultant
including, without limitation, the Master Services and Purchasing Agreement dated March 31,
2017, the Quotation Q-137034-2 dated November 10, 2017 and executed December 11, 2017,
and the Vendor Services Agreement dated February 21, 2017.
33. Severability. If any provision of this Agreement is determined by a court of
competent jurisdiction to be invalid, illegal, or unenforceable for any reason, such determination
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shall not affect the validity or enforceability of the remaining terms and provisions hereof or of
the offending provision in any other circumstance, and the remaining provisions of this
Agreement shall remain in full force and effect.
34. Successors and Assigns. This Agreement shall be binding upon and shall inure to
the benefit of the successors in interest, executors, administrators and assigns of each Party to
this Agreement. However, Consultant shall not assign or transfer by operation of law or
otherwise any or all of its rights, burdens, duties or obligations without the prior written consent
of City. Any attempted assignment without such consent shall be invalid and void.
35. Non-Waiver. The delay or failure of either Party at any time to require
performance or compliance by the other Party of any of its obligations or agreements shall in no
way be deemed a waiver of those rights to require such performance or compliance. No waiver
of any provision of this Agreement shall be effective unless in writing and signed by a duly
authorized representative of the Party against whom enforcement of a waiver is sought. The
waiver of any right or remedy with respect to any o ccurrence or event shall not be deemed a
waiver of any right or remedy with respect to any other occurrence or event, nor shall any waiver
constitute a continuing waiver.
36. Time of Essence. Time is of the essence for each and every provision of this
Agreement.
37. Headings. Paragraphs and subparagraph heading s contained in this Agreement
are included solely for convenience and are not intended to modify, explain, or to be a full or
accurate description of the content thereof and shall not in any way affect the meaning or
interpretation of this Agreement.
38. Amendments. Only a writing executed by all of the Parties hereto or their
respective successors and assigns may amend this Agreement.
39. City’s Right to Employ Other Consultants. City reserves its right to employ other
consultants, including engineers, in connection with this Project or other projects.
40. Prohibited Interests. Consultant maintains and warrants that it has neither
employed nor retained any company or person, other than a bona fide employee working solely
for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not
paid nor has it agreed to pay any company or person, other than a bona fide employee working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration
contingent upon or resulting from the award or making of this Agreement. For breach or
violation of this warranty, City shall have the rig ht to rescind this Agreement without liability.
For the term of this Agreement, no official, officer or employee of City, during the term of his or
her service with City, shall have any direct interest in this Agreement, or obtain any present or
anticipated material benefit arising therefrom.
41. Counterparts. This Agreement may be executed in one or more counterparts, each
of which shall be deemed an original. All counterparts shall be construed together and shall
constitute one single Agreement.
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42. Authority. The persons executing this Agreement on behalf of the Parties hereto
warrant that they are duly authorized to execute this Agreement on behalf of said Parties and that
by doing so, the Parties hereto are formally bound to the provisions of this Agreement.
[SIGNATURES ON FOLLOWING PAGE]
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SIGNATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT
BETWEEN THE CITY OF SAN BERNARDINO
AND AXON ENTERPRISE, INC.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first
written above.
CITY OF SAN BERNARDINO
Approved By:
Teri Ledoux
City Manager
Approved as to Form:
Sonia Carvalho
City Attorney
Attested By:
Genoveva Rocha, CMC
Acting City Clerk
CONSULTANT
Signature
Name
Title
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VP, Assoc. General Counsel
Robert Driscoll
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EXHIBIT A
EXHIBIT A
AXON QUOTE
Quote attached on following pages
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Payment Terms: Net 30
Delivery Method: Fedex -Ground
Contract Number: 00010492
Q-256366-43983.952CM
Year 4 (4/15/2020-4/14/2021)
Item Description Term
(Months)Quantity List Unit
Price Net Unit Price Total (USD)
Axon Plans & Packages
85079 TECH ASSURANCE PLAN DOCK ANNUAL
PAYMENT 1 36.00 36.00 36.00
85100 AXON AUTO TAGGING SERVICE: ANNUAL
PAYMENT 180 180.00 0.00 0.00
85126 EVIDENCE.COM UNLIMITED LICENSE YEAR 4
PAYMENT 180 948.00 948.00 170,640.00
85184 TASER 60 YEAR 4 PAYMENT: X26P BASIC 50 264.00 240.00 12,000.00
87026 TECH ASSURANCE PLAN DOCK 2 ANNUAL
PAYMENT 23 216.00 216.00 4,968.00
85110 EVIDENCE.COM INCLUDED STORAGE 7,200 0.00 0.00 0.00
80015 BASIC EVIDENCE.COM LICENSE: YEAR 4
PAYMENT 100 180.00 180.00 18,000.00
85110 EVIDENCE.COM INCLUDED STORAGE 1,000 0.00 0.00 0.00
Subtotal 205,644.00
Estimated Shipping 0.00
Estimated Tax 15,011.52
Total 220,655.52
Issued: 06/01/2020
Quote Expiration: 06/30/2020
Account Number: 106954
Axon Enterprise, Inc.
17800 N 85th St.
Scottsdale, Arizona 85255
United States
Phone: (800) 978-2737
Protect Life.
PRIMARY CONTACT
Nelson Carrington
Phone: (909) 384-5690
Email: carrington_ne@sbcity.org
BILL TO
San Bernardino Police Dept. -CA
P. O. Box 1559
San Bernardino, CA 92401
US
SHIP TO
Nelson Carrington
San Bernardino Police Dept. -CA
710 North D Street
San Bernardino, CA 92401
US
SALES REPRESENTATIVE
Chris Morton
Phone: (206) 310-6165
Email: cmorton@axon.com
Fax:
Q-256366-43983.952CM
1
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Year 5 (4/15/2021-4/14/2022)
Item Description Term
(Months)Quantity List Unit
Price Net Unit Price Total (USD)
Axon Plans & Packages
85127 EVIDENCE.COM UNLIMITED LICENSE YEAR
5 PAYMENT 180 948.00 948.00 170,640.00
85185 TASER 60 YEAR 5 PAYMENT: X26P BASIC 50 264.00 240.00 12,000.00
85110 EVIDENCE.COM INCLUDED STORAGE 7,200 0.00 0.00 0.00
85079 TECH ASSURANCE PLAN DOCK ANNUAL
PAYMENT 1 36.00 36.00 36.00
85100 AXON AUTO TAGGING SERVICE: ANNUAL
PAYMENT 180 180.00 0.00 0.00
87026 TECH ASSURANCE PLAN DOCK 2 ANNUAL
PAYMENT 23 216.00 216.00 4,968.00
80016 BASIC EVIDENCE.COM LICENSE: YEAR 5
PAYMENT 100 180.00 180.00 18,000.00
85110 EVIDENCE.COM INCLUDED STORAGE 1,000 0.00 0.00 0.00
Subtotal 205,644.00
Estimated Tax 15,011.52
Total 220,655.52
Grand Total 441,311.04
Protect Life.Q-256366-43983.952CM
2
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Discounts (USD)
Quote Expiration: 06/30/2020
List Amount 478,488.00
Discounts 67,200.00
Total 411,288.00
*Total excludes applicable taxes
Protect Life.Q-256366-43983.952CM
3
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Notes
This quote is co-termed with quote Q-28932 (executed contract #00010492). Execution of this quote will replace Year 4 of contract #00010492 (Q-28932) and will cancel
invoice SI-1655520.
The Unlimited licenses in this quote will cover 180 already deployed AB3 cameras and 23 docks. If the Agency chooses to utilize any of the additional AB3 camera and dock
hardware from Q-234446, additional unlimited licenses must be purchased, and that additional hardware is no longer covered under the Technology Assurance Plan (TAP)
and are not eligible for a TAP refresh.
The parties agree the agency will be returning 25 X26P's upon execution of this quote. A Certificate of Intent to Destroy or an RMA will need to be submitted with the quote
approval listing all S/Ns of the 25 X26P's being returned.
180 AB3's and 23 docking stations that were previously deployed will be covered under the Technology Assurance Plan (TAP) and will be eligible for 1 replacement at the
same time as the equipment originally deployed on this existing contract as determined by quote Q-28932. This will take place at the end of the contract on 4/14/2022.
Protect Life.Q-256366-43983.952CM
4
***Axon Internal Use Only***
Review 1 Review 2
SFDC Contract #:
Order Type:
RMA #:
Address Used:
SO #:
Comments:
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EXHIBIT B
EXHIBIT B
CONSULTANT SALES TERMS AND CONDITIONS
These Sales Terms and Conditions govern Agency’s purchase and use of the Axon products and
services detailed in Exhibit “A” (“Quote”).
1 Definitions.
“Axon Cloud Services” means Axon’s web services for Axon Evidence, Axon Records,
Axon Dispatch, and interactions between Evidence.co m and Axon Devices or Axon
client software. Axon Cloud Service excludes third-party applications, hardware
warranties, and my.evidence.com.
“Axon Devices” means all hardware provided by Axon under this Agreement.
“Quote” means an offer to sell and is only valid for devices and services on the quote at
the specified prices. Any terms within Agency’s purchase order in response to a Quote
will be void. Orders are subject to prior credit approval. Changes in the deployment
estimated ship date may change charges in the Quote. Shipping dates are estimates only.
Axon is not responsible for typographical errors in any offer by Axon, and Axon reserves
the right to cancel any orders resulting from such errors.
“Services” means all services provided by Axon under this Agreement, including
software, Axon Cloud Services, and professional services.
2 Subscription Term. All subscriptions including Axon Evidence, Axon Fleet, Officer
Safety Plans, Technology Assurance Plans, and TASER 7 plans begin after shipment of
the applicable Axon Device. If Axon ships the Device in the first half of the month, the
start date is the 1st of the following month. If Axon ships the Device in the second half of
the month, the start date is the 15th of the following month. For purchases solely of Axon
Evidence subscriptions, the start date is the Effective Date. Each subscription term ends
upon completion of the subscription stated in the Quote (“Subscription Term”).
3 Taxes. Agency is responsible for sales and other taxes associated with the order unless
Agency provides Axon a valid tax exemption certificate.
4 Shipping. Axon may make partial shipments and ship Devices from multiple locations.
All shipments are FOB shipping point via common carrier. Title and risk of loss pass to
Agency upon Axon’s delivery to the common carrier. Agency is responsible for any
shipping charges in the Quote.
5 Returns. All sales are final. Axon does not allow refunds or exchanges, except warranty
returns or as provided by state or federal law.
6 Warranty.
6.1 Hardware Limited Warranty. Axon warrants that Axon-manufactured Devices
are free from defects in workmanship and materials for 1 year from the date of
Agency’s receipt, except Signal Sidearm, which Axon warrants for 30 months
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EXHIBIT B
from the date of Agency’s receipt. Axon warrants it s Axon-manufactured
accessories for 90-days from the date of Agency’s receipt. Used CEW cartridges
are deemed to have operated properly. Extended warranties run from the
expiration of the 1-year hardware warranty through the extended warranty term.
Non-Axon manufactured Devices are not covered by Axon’s warranty. Agency
should contact the manufacturer for support of non-Axon manufactured Devices.
6.2 Claims. If Axon receives a valid warranty claim for an Axon manufactured
Device during the warranty term, Axon’s sole responsibility is to repair or replace
the Device with the same or like Device, at Axon’s option. A replacement Device
will be new or like new. Axon will warrant the replacement Device for the longer
of: (a) the remaining warranty of the original Device; or (b) 90-days from the date
of repair or replacement.
If Agency exchanges a device or part, the replacement item becomes Agency’s
property, and the replaced item becomes Axon’s property. Before delivering a
Device for service, Agency must upload Device data to Axon Evidence or
download it and retain a copy. Axon is not responsible for any loss of software,
data, or other information contained in storage med ia or any part of the Device
sent to Axon for service.
6.3 Spare Devices. Axon may provide Agency a predetermined number of spare
Devices as detailed in the Quote (“Spare Devices”). Spare Devices will replace
broken or non-functioning units. If Agency utilizes a Spare Device, Agency must
return to Axon, through Axon’s warranty return process, any broken or non-
functioning units. Axon will repair or replace the unit with a replacement Device.
Upon termination, Axon will invoice Agency the MSRP then in effect for all
Spare Devices provided. If Agency returns the Spare Devices to Axon within 30
days of the invoice date, Axon will issue a credit and apply it against the invoice.
6.4 Limitations. Axon’s warranty excludes damage related to: (a) failure to follow
Device use instructions; (b) Devices used with equipment not manufactured or
recommended by Axon; (c) abuse, misuse, or intentio nal damage to Device; (d)
force majeure; (e) Devices repaired or modified by persons other than Axon
without Axon’s written permission; or (f) Devices with a defaced or removed
serial number.
7 Device Warnings. See www.axon.com/legal for the most current Axon device warnings.
8 Design Changes. Axon may make design changes to any Axon Device or Service
without notifying Agency or making the same change to Devices and Services previously
purchased by Agency.
9 IP Rights. Axon owns and reserves all right, title, and interest in Axon devices and
services and suggestions to Axon, including all related intellectual property rights.
Agency will not cause any Axon proprietary rights to be violated. Axon through this
Agreement is granting City a nonexclusive license in relation to any Axon intellectual
property necessary for City to utilize the Services during the Term (and for any period of
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time belong that as may be necessary to effectuate the intent of this Agreement).
10 Agency Responsibilities. Agency is responsible for: (a) Agency’s use of Axon Devices;
(b) breach of this Agreement or violation of applic able law by Agency or an Agency end
user; and (c) a dispute between Agency and a third-party over Agency’s use of Axon
Devices.
11 Confidentiality. “Confidential Information” means nonpublic information designated
as confidential or, given the nature of the information or circumstances surrounding
disclosure, should reasonably be understood to be confidential. Each Party will take
reasonable measures to avoid disclosure, disseminat ion, or unauthorized use of the other
Party’s Confidential Information. Unless required by law, neither Party will disclose the
other Party’s Confidential Information during the Term and for 5-years thereafter. Axon
pricing is Confidential Information and competition sensitive. If Agency is required by
law to disclose Axon pricing, to the extent allowed by law, Agency will provide notice to
Axon before disclosure. Axon may publicly announce information related to this
Agreement. Parties understand and acknowledge that this Agreement and the Exhibits
are subject to release under the Public Records Act.
12 Delays. Axon will use commercially reasonable efforts to deliver Products and services
as soon as practicable. If delivery is interrupted due to causes beyond Axon’s control,
Axon may delay or terminate the delivery with reaso nable notice.
13 Force Majeure. Neither Party will be liable for any delay or failure to perform under the
Agreement due to a cause beyond the Parties’ reasonable control, including acts of God,
labor disputes, industrial disturbances, utility failures, earthquake, storms, elements of
nature, blockages, embargoes, riots, acts or orders of government, terrorism, or war.
14 Effect of Termination. Agency will be invoiced and obligated to pay for the remainder
of the MSRP for TASER 60 hardware received before t he termination date. In the case of
termination for non-appropriations, Axon will not invoice Agency if Agency returns the
CEW, battery, holster, and unused cartridges to Axon within 30 days of the date of
termination.
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EXHIBIT C
AXON CLOUD SERVICES TERMS OF USE
1 Definitions.
“Agency Content” is data uploaded into, ingested by, or created in Axon Cloud Services
within Agency’s tenant, including media or multimed ia uploaded into Axon Cloud
Services by Agency. Agency Content includes Evidence but excludes Non-Content Data.
“Evidence” is media or multimedia uploaded into Axon Evidence as 'evidence' by an
Agency. Evidence is a subset of Agency Content.
“Non-Content Data” is data, configuration, and usage information abo ut Agency’s Axon
Cloud Services tenant, Axon Devices and client soft ware, and users that is transmitted or
generated when using Axon Devices. Non-Content Data includes data about users
captured during account management and customer support activities. Non-Content Data
does not include Agency Content.
“Personal Data” means any information relating to an identified o r identifiable natural
person. An identifiable natural person is one who can be identified, directly or indirectly,
in particular by reference to an identifier such as a name, an identification number,
location data, an online identifier or to one or mo re factors specific to the physical,
physiological, genetic, mental, economic, cultural or social identity of that natural person.
2 Access. Upon Axon granting Agency a subscription to Axon Cloud Services, Agency
may access and use Axon Cloud Services to store and manage Agency Content. Agency
may not exceed more end users than the Quote specifies. Axon Air requires an Axon
Evidence subscription for each drone operator. For Axon Evidence Lite, Agency may
access and use Axon Evidence only to store and manage TASER CEW and TASER
CAM data (“TASER Data”). Agency may not upload non-TASER Data to Axon
Evidence Lite.
3 Agency Owns Agency Content. Agency controls and owns all right, title, and interest in
Agency Content. Except as outlined herein, Axon obt ains no interest in Agency Content,
and Agency Content are not business records of Axon. Agency is solely responsible for
uploading, sharing, managing, and deleting Agency Content. Axon will have limited
access to Agency Content solely for providing and supporting Axon Cloud Services to
Agency and Agency end users.
4 Security. Axon will implement commercially reasonable and appropriate measures to
secure Agency Content against accidental or unlawfu l loss, access or disclosure. Axon
will maintain a comprehensive information security program to protect Axon Cloud
Services and Agency Content including logical, physical access, vulnerability, risk, and
configuration management; incident monitoring and response; encryption of uploaded
digital evidence; security education; and data prot ection. Axon agrees to the Federal
Bureau of Investigation Criminal Justice Informatio n Services Security Addendum.
5 Agency Responsibilities. Agency is responsible for: (a) ensuring Agency owns Agency
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Content; (b) ensuring no Agency Content or Agency end user’s use of Agency Content or
Axon Cloud Services violates this Agreement or applicable laws; and (c) maintaining
necessary computer equipment and Internet connectio ns for use of Axon Cloud Services.
If Agency becomes aware of any violation of this Agreement by an end user, Agency will
immediately terminate that end user’s access to Axo n Cloud Services.
Agency will also maintain the security of end user names and passwords and security and
access by end users to Agency Content. Agency is responsible for ensuring the
configuration and utilization of Axon Cloud Services meet applicable Agency regulation
and standards. Agency may not sell, transfer, or sublicense access to any other entity or
person. Agency shall contact Axon immediately if an unauthorized party may be using
Agency’s account or Agency Content, or if account information is lost or stolen.
6 Privacy. Axon will not disclose Agency Content or informatio n about Agency except as
compelled by a court or administrative body or required by law or regulation. If Axon
receives a disclosure request for Agency Content, Axon will give Agency notice, unless
legally prohibited from doing so, to allow Agency t o file an objection with the court or
administrative body. Agency agrees to allow Axon access to certain information from
Agency to: (a) perform troubleshooting services upo n request or as part of regular
diagnostic screening; (b) enforce this Agreement or policies governing the use of Axon
Evidence; or (c) perform analytic and diagnostic evaluations of the systems.
7 Axon Body 3 Wi-Fi Positioning. Axon Body 3 cameras offers a feature to enhance
location services where GPS/GNSS signals may not be available, for instance, within
buildings or underground. Agency administrators can manage their choice to use this
service within the administrative features of Axon Cloud Services. If Agency chooses to
use this service, Axon must also enable the usage o f the feature for Agency’s Axon Cloud
Services tenant. Agency will not see this option with Axon Cloud Services unless Axon
has enabled Wi-Fi Positioning for Agency’s Axon Clo ud Services tenant. When Wi-Fi
Positioning is enabled by both Axon and Agency, Non-Content and Personal Data will be
sent to Skyhook Holdings, Inc. (“Skyhook”) to facilitate the Wi-Fi Positioning
functionality. Data controlled by Skyhook is outside the scope of the Axon Cloud
Services Privacy Policy and is subject to the Skyhook Services Privacy Policy.
8 Storage. For Axon Unlimited Device Storage subscriptions, Agency may store unlimited
data in Agency's Axon Evidence account only if data originates from Axon Capture or
the applicable Axon Device. Axon may charge Agency additional fees for exceeding
purchased storage amounts. Axon may place Agency Co ntent that Agency has not
viewed or accessed for 6 months into archival storage. Agency Content in archival
storage will not have immediate availability and may take up to 24 hours to access.
9 Location of Storage. Axon may transfer Agency Content to third-party subcontractors
for storage. Axon will determine the locations of data centers for storage of Agency
Content. For United States agencies, Axon will ensure all Agency Content stored in Axon
Cloud Services remains within the United States. Ownership of Agency Content remains
with Agency.
10 Suspension. Axon may temporarily suspend Agency’s or any end user’s right to access
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or use any portion or all of Axon Cloud Services immediately upon notice, if Agency or
end user’s use of or registration for Axon Cloud Services may: (a) pose a security risk to
Axon Cloud Services or any third-party; (b) adversely impact Axon Cloud Services , the
systems, or content of any other customer; (c) subject Axon, Axon’s affiliates, or any
third-party to liability; or (d) be fraudulent.
Agency remains responsible for all fees incurred through suspension. Axon will not
delete Agency Content because of suspension, except as specified in this Agreement.
11 Axon Cloud Services Warranty. Axon disclaims any warranties or responsibility for
data corruption or errors before Agency uploads dat a to Axon Cloud Services.
12 Axon Cloud Services Restrictions. Agency and Agency end users (including
employees, contractors, agents, officers, volunteers, and directors), may not, or may not
attempt to:
12.1 copy, modify, tamper with, repair, or create derivative works of any part of Axon
Cloud Services;
12.2 reverse engineer, disassemble, or decompile Axon Cloud Services or apply any
process to derive any source code included in Axon Cloud Services, or allow
others to do the same;
12.3 access or use Axon Cloud Services with the intent to gain unauthorized access,
avoid incurring fees or exceeding usage limits or quotas;
12.4 use trade secret information contained in Axon Cloud Services, except as
expressly permitted in this Agreement;
12.5 access Axon Cloud Services to build a competitive device or service or copy any
features, functions, or graphics of Axon Cloud Services;
12.6 remove, alter, or obscure any confidentiality or proprietary rights notices
(including copyright and trademark notices) of Axon’s or Axon’s licensors on or
within Axon Cloud Services; or
12.7 use Axon Cloud Services to store or transmit infringing, libelous, or other
unlawful or tortious material; to store or transmit material in violation of third-
party privacy rights; or to store or transmit malicious code.
13 After Termination. Axon will not delete Agency Content for 90-days following
termination. There will be no functionality of Axon Cloud Services during these 90-days
other than the ability to retrieve Agency Content. Agency will not incur additional fees if
Agency downloads Agency Content from Axon Cloud Services during this time. Axon
has no obligation to maintain or provide Agency Content after these 90-days and will
thereafter, unless legally prohibited, delete all Agency Content. Upon request, Axon will
provide written proof that Axon successfully deleted and fully removed all Agency
Content from Axon Cloud Services.
14 Post-Termination Assistance. Axon will provide Agency with the same post-
termination data retrieval assistance that Axon generally makes available to all
customers. Requests for Axon to provide additional assistance in downloading or
transferring Agency Content, including requests for Axon’s data egress service, will
result in additional fees and Axon will not warrant or guarantee data integrity or
readability in the external system.
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15 U.S. Government Rights. If Agency is a U.S. Federal department or using Axon Cloud
Services on behalf of a U.S. Federal department, Axon Cloud Services is provided as a
“commercial item,” “commercial computer software,” “commercial computer software
documentation,” and “technical data”, as defined in the Federal Acquisition Regulation
and Defense Federal Acquisition Regulation Supplement. If Agency is using Axon Cloud
Services on behalf of the U.S. Government and these terms fail to meet the U.S.
Government’s needs or are inconsistent in any respect with federal law, Agency will
immediately discontinue use of Axon Cloud Services.
Survival. Upon any termination of this Agreement, the following sections in this Exhibit will
survive: Agency Owns Agency Content, Storage, Axon Cloud Services Warranty, and Axon
Cloud Services Restrictions.
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EXHIBIT D
TECHNOLOGY ASSURANCE PLAN
1 TAP Warranty. The TAP warranty is an extended warranty that starts at the end of the
1-year Hardware Limited Warranty.
2 Officer Safety Plan. If Agency purchases an Officer Safety Plan (“OSP”), Agency will
receive the deliverables detailed in the Quote. Agency must accept delivery of the
TASER CEW and accessories as soon as available from Axon.
3 OSP 7 Term. OSP 7 begins after Axon ships the Axon Body 3 or TASER 7 hardware to
Agency. If Axon ships in the first half of the month, OSP 7 starts the 1st of the following
month. If Axon ships in the second half of the month, OSP 7 starts the 15th of the
following month (“OSP 7 Term”).
4 TAP BWC Upgrade. If Agency has no outstanding payment obligations and purchased
TAP, Axon will provide Agency a new Axon body-worn camera (“BWC Upgrade”) as
scheduled in the Quote. If Agency purchased TAP Axo n will provide a BWC Upgrade
that is the same or like Device, at Axon’s option. Axon makes no guarantee the BWC
Upgrade will utilize the same accessories or Axon Dock.
5 TAP Dock Upgrade. If Agency has no outstanding payment obligations and purchased
TAP, Axon will provide Agency a new Axon Dock as scheduled in the Quote (“Dock
Upgrade”). Accessories associated with any Dock Upgrades are subject to change at
Axon discretion. Dock Upgrades will only include a new Axon Dock bay configuration
unless a new Axon Dock core is required for BWC compatibility. If Agency originally
purchased a single-bay Axon Dock, the Dock Upgrade will be a single-bay Axon Dock
model that is the same or like Device, at Axon’s option. If Agency originally purchased a
multi-bay Axon Dock, the Dock Upgrade will be a multi-bay Axon Dock that is the same
or like Device, at Axon’s option.
6 Upgrade Delay. Axon may ship the BWC and Dock Upgrades as scheduled in the Quote
without prior confirmation from Agency unless the Parties agree in writing otherwise at
least 90 days in advance. Axon may ship the final BWC and Dock Upgrade as scheduled
in the Quote 60 days before the end of the Subscription Term without prior confirmation
from Agency.
7 Upgrade Change. If Agency wants to change Device models for the o ffered BWC or
Dock Upgrade, Agency must pay the price difference between the MSRP for the offered
BWC or Dock Upgrade and the MSRP for the model desired. If the model Agency
desires has an MSRP less than the MSRP of the offered BWC Upgrade or Dock Upgrade,
Axon will not provide a refund. The MSRP is the MSRP in effect at the time of the
upgrade.
8 Return of Original Device. Within 30 days of receiving a BWC or Dock Upgrade,
Agency must return the original Devices to Axon or destroy the Devices and provide a
certificate of destruction to Axon including serial numbers for the destroyed Devices. If
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EXHIBIT D
Agency does not return or destroy the Devices, Axon will deactivate the serial numbers
for the Devices received by Agency.
9 Termination. If Agency’s payment for TAP, OSP, or Axon Evidence is more than 30
days past due, Axon may terminate TAP or OSP. Once TAP or OSP terminates for any
reason:
9.1 TAP and OSP coverage terminate as of the date of termination and no refunds
will be given.
9.2 Axon will not and has no obligation to provide the Upgrade Models.
9.3 Agency must make any missed payments due to the termination before Agency
may purchase any future TAP or OSP.
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EXHIBIT E
AXON AUTO-TAGGING
1 Scope. Axon Auto-Tagging consists of the development of a module to allow Axon
Evidence to interact with Agency’s Computer-Aided Dispatch (“CAD”) or Records
Management Systems (“RMS”). This allows end users to auto-populate Axon video meta-
data with a case ID, category, and location-based on data maintained in Agency’s CAD or
RMS.
2 Support. For thirty days after completing Auto-Tagging Ser vices, Axon will provide up
to 5 hours of remote support at no additional charge. Axon will provide free support due
to a change in Axon Evidence, so long as long as Agency maintains an Axon Evidence
and Auto-Tagging subscription. Axon will not provide support if a change is required
because Agency changes its CAD or RMS.
3 Changes. Axon is only responsible to perform the Services in this Exhibit. Any
additional Services are out of scope. The Parties must document scope changes in a
written and signed change order. Changes may require an equitable adjustment in fees or
schedule.
4 Agency Responsibilities. Axon’s performance of Auto-Tagging Services requires
Agency to:
4.1 Make available relevant systems, including Agency’s current CAD or RMS, for
assessment by Axon (including remote access if possible);
4.2 Make required modifications, upgrades or alterations to Agency’s hardware,
facilities, systems and networks related to Axon’s performance of Auto-Tagging
Services;
4.3 Provide access to the premises where Axon is performing Auto-Tagging Services,
subject to Agency safety and security restrictions, and allow Axon to enter and
exit the premises with laptops and materials needed to perform Auto-Tagging
Services;
4.4 Provide all infrastructure and software information (TCP/IP addresses, node
names, network configuration) necessary for Axon to provide Auto-Tagging
Services;
4.5 Promptly install and implement any software updates provided by Axon;
4.6 Ensure that all appropriate data backups are performed;
4.7 Provide assistance, participation, and approvals in testing Auto-Tagging Services;
4.8 Provide Axon with remote access to Agency’s Axon Evidence account when
required;
4.9 Notify Axon of any network or machine maintenance t hat may impact the
performance of the module at Agency; and
4.10 Ensure reasonable availability of knowledgeable staff and personnel to provide
timely, accurate, complete, and up-to-date document ation and information to
Axon.
5 Access to Systems. Agency authorizes Axon to access Agency’s relevant computers,
network systems, and CAD or RMS solely for performing Auto-Tagging Services. Axon
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will work diligently to identify as soon as reasonably practicable resources and
information Axon expects to use and will provide an initial list to Agency. Agency is
responsible for and assumes the risk of any problems, delays, losses, claims, or expenses
resulting from the content, accuracy, completeness, and consistency of all data, materials,
and information supplied by Agency
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Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Mitch Cochran, Information Technology Director
Subject: Resolution to Approve the FY 2020/21 Annual Usage,
Software, and Hardware Maintenance Agreements
Recommendation
Adopt Resolution 2020-139 of the Mayor and City Council of the City of San Bernardino,
California, authorizing the issuance of Fiscal Year 2020/2021 Purchase Orders for the
annual usage fees, software and or hardware support with Accela Corporation, CelPlan,
Earth Science Research Institute (ESRI), Konica Minolta, NPA Computers, TPX, Tyler
Technologies, and Verizon Cellular as outlined in the report.
Background
The City purchases annual maintenance and software support for its existing critical
systems. The agreements are necessary to provide troubleshooting support, software
fixes, and enable the City to take advantage of the latest version of the produc t.
Discussion
Staff is requesting authorization to issue Purchase Orders for five ongoing annual
maintenance agreements. This request for authorization is due to the expected annual
payments for each vendor exceeding the $50,000 threshold necessary for C ity Council
approval. The majority of the City systems have an annual support cost that is below
the purchasing threshold of $50,000 needed for direct City Council authorization.
The vendors provide a service rate or annual maintenance cost based on the product
mix that the City has for that year. Typically, there is not an individually signed
agreement with the City. The vendors refer to their standard service agreements. The
cost estimates for Konica Minolta, TPX, and Verizon Cellular are based on ac tual usage
during the year.
Staff has developed an expected annual cost based on expected usage or an annual
fixed amount provided by the vendor. Staff is requesting that a 10% contingency be
added to the purchasing authorization amount for slight change s in the products or
support functions which might occur during the fiscal year.
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2020-2025 Key Strategic Targets and Goals
The purchase of maintenance agreements support Key Target No. 1: Financial Stability,
as the services and agreements help to support the creation and management of an
asset management plan. The annual support agreements ensure that critical software
applications and hardware are supported and kept up to date.
Fiscal Impact
The cost of the annual support agreements has been included in the proposed FY
2020/21 budget in the appropriate department accounts:
Conclusion
It is recommended that the Mayor and City Council adopt Resolution 2020 -139
authorizing the issuance of Fiscal Year 2020/21 Purchase Orders for the annual usage
fees, software and or hardware support with Accela Corporation, CelPlan, Earth
Science Research Institute (ESRI), Konica Minolta, NPA Computers, TPX, Tyler
Technologies and Verizon Cellular.
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Attachments
Attachment 1 Accella support quote for 2020-2021
Attachment 2 ESRI support quote for 2020-2021
Attachment 3 Tyler support quote for 2020-2021 - Police Department CAD
Attachment 4 Tyler support quote for 2020-2021 - Financial
Ward: n/a
Synopsis of Previous Council Actions:
July 18, 2018 Mayor and City Council directed the City Manager to authorize
annual support agreements for the Fiscal Year 2017-2018 with
Accela Corporation, Dell/EMC, and Earth Science Research
Institute (ESRI).
August 1, 2018 Mayor and City Council directed the City Manager to issue a
Vender Services Agreement with NPA Computers. The agreement
provided for 3 one year extensions.
June 19, 2019 Mayor and City Council directed the City Manager to authorize
annual support agreements for the Fiscal Year 2019-2020 with
Accela Corporation, Dell/EMC, Earth Science Research Institute
(ESRI), Konica Minolta and NPA Computers.
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RESOLUTION NO. 2020-139
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA, TO
PURCHASE ANNUAL SERVICES, SOFTWARE
MAINTENANCE, AND HARDWARE MAINTENANCE
AGREEMENTS FROM ACCELA, CELPLAN, EARTH
SCIENCE RESEARCH INSTITUTE, KONICA MINOLTA,
NPA, TPX, TYLER TECHNOLOGIES, AND VERIZON
CELLULAR FOR FY 2020/21
WHEREAS, the City of San Bernardino contracts with vendors to provide advanced
technology systems and services to support City operations, the usage, service, and support
agreements are renewed and approved by the City Council on an annual basis; and
WHEREAS, the City Council provides purchasing authorization for annual purchases of
an amount over $50,000 for a fiscal year.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The City Manager is hereby authorized to purchase and execute annual
maintenance agreements from Accela Corporation (Accela) for the support of the Permits Plus
product in an amount not to exceed $111,983 which includes the total quoted price of
$101,802.50 plus a $10,108.15 (10%) contingency.
SECTION 2. The City Manager is hereby authorized to purchase and execute annual
maintenance agreements from Celplan Corporation (Celplan) for the support of City and Police
Department cameras in an amount not to exceed $165,000 which includes the expected annual
usage fee of $150,000 plus a $15,000 (10%) contingency.
SECTION 3. The City Manager is hereby authorized to purchase and execute annual
maintenance agreements from Earth Science Research Institute (ESRI) Corporation for the
support of ArcGIS software in an amount not to exceed $96,250 which includes the total quoted
price of $87,500 plus a $8,750 (10%) contingency.
SECTION 4. The City Manager is hereby authorized to purchase annual maintenance
services from Konica Minolta Corporation for the hardware support and usage of city copier in
an amount not to exceed $110,000 which includes the expected cost of $100,000 plus a $10,000
(10%) contingency.
SECTION 5. The City Manager is hereby authorized to purchase annual maintenance
services from NPA Corporation for the hardware support of out of warranty equipment in an
amount not to exceed $130,350 which includes the expected cost of $118,500 plus a $11,850
(10%) contingency.
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SECTION 6. The City Manager is hereby authorized to purchase MPLS, phone and
network services from TPX in an amount not to exceed $374,000 which includes the expected
cost of $340,000 plus a $34,000 (10%) contingency.
SECTION 7. The City Manager is hereby authorized to purchase and execute annual
maintenance agreements from Tyler Technologies for support of the Police New World Dispatch
system in an amount not to exceed $348,123 which includes the total quoted price of $316,476
plus a $31467 (10%) contingency.
SECTION 8. The City Manager is hereby authorized to purchase and execute annual
maintenance agreements from Tyler Technologies for support of the Finance New World
Financial records system in an amount not to exceed $187,000 which includes the total quoted
price of $170,000 plus a $17,000 (10%) contingency.
SECTION 9. The City Manager is hereby authorized to purchase cellular phone services
from Verizon Cellular in an amount not to exceed $228,800 which includes the expected cost of
$208,000 plus a $20,800 (10%) contingency.
SECTION 10. Severability. If any provision of this Resolution or the application
thereof to any person or circumstance is held invalid, such invalidity shall not affect other
provisions or applications, and to this end the provisions of this Resolution are declared to be
severable.
SECTION 11. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 12. Effective Date. This Resolution shall become effective for the Fiscal
Year 2020/21 based on approval of the 2020/21 Fiscal Year budgets.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
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Packet Pg. 458 Attachment: IT.annual software renewals FY2020-2021-reso (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
Resolution No. 2020-139
Approved as to form:
Sonia Carvalho, City Attorney
18.a
Packet Pg. 459 Attachment: IT.annual software renewals FY2020-2021-reso (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
Resolution No. 2020-139
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
18.a
Packet Pg. 460 Attachment: IT.annual software renewals FY2020-2021-reso (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
- 1 -
Accela Order Form opid:O-030017
2633 Camino Ramon, Suite 500
San Ramon, CA 94583
RENEWAL ORDER FORM
Address Information
Bill To:
City of San Bernardino
300 North D. Street - 4th Floor
San Bernardino, California 92418
United States
Billing Contact: Than Trinooson
Billing Phone: 9093845947
Billing Email: trinooson_th@sbcity.org
Ship To:
City of San Bernardino
300 North D. Street - 4th Floor
San Bernardino, California 92418
United States
Services
Services
Start Date End Date Term
(Mths)
Unit Price Quantity Total Price
PERMITS Plus Annual Maintenance and
Support Renewal
07/01/2020 06/30/2021 12 $966.92 30.00 $29,007.68
PERMITS Plus Client Server Annual
Maintenance and Support Renewal
07/01/2020 06/30/2021 12 $424.42 30.00 $12,732.62
PERMITS Plus Connect Annual
Maintenance and Support Renewal
07/01/2020 06/30/2021 12 $138.38 30.00 $4,151.52
PERMITS Plus Workflow Annual
Maintenance and Support Renewal
07/01/2020 06/30/2021 12 $182.80 30.00 $5,483.89
PERMITS Plus Scan-it Annual Maintenance
and Support Renewal
07/01/2020 06/30/2021 12 $41.57 30.00 $1,247.09
PERMITS Plus Office Link Annual
Maintenance and Support Renewal
07/01/2020 06/30/2021 12 $51.50 30.00 $1,544.99
Accela GIS Annual Maintenance and
Support Renewal
07/01/2020 06/30/2021 12 $432.68 20.00 $8,653.55
Accela Wireless Annual Maintenance and
Support Renewal
07/01/2020 06/30/2021 12 $1,689.20 20.00 $33,783.91
Accela GIS Site License Annual
Maintenance and Support Renewal
07/01/2020 06/30/2021 12 $5,197.60 1.00 $5,197.60
Total $101,802.85
Proposed by: Becky O'Brien
Contact Phone: (925) 359-3334
Contact Email: robrien@accela.com
Quote ID: Q-17729
Valid Through: 07/01/2020
Currency: USD
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Packet Pg. 461 Attachment: IT.annual software renewals FY2020-2021 - ap1-accela (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
- 2 -
Accela Order Form opid:O-030017
Renewal Terms / Information
General Information
Governing Agreement(s) This Order Form will be governed by the applicable terms and conditions. If those terms and conditions are non-
existent, have expired or have otherwise been terminated, the following terms will govern as applicable, based on
the Customer’s purchase: www.accela.com/terms.
Order Terms
Order Start Date Unless otherwise specified in the Special Order Terms:
• Software Licenses & Subscriptions start on the date of delivery by Accela;
• Hosting and Support start on Accela’s delivery of the software hosted and/or supported;.
Order Duration Unless otherwise specified in the Special Order Terms:
• Subscriptions continue from the Order Start Date through the number of months listed in this Order
Form (or if not listed, twelve (12) months). Thereafter Subscriptions automatically renew annually as
calculated from Order Start Date of Customer’s first Subscription purchase.
• Any Software Licenses or Hardware are one-time, non-refundable purchases.
• Hosting and Support continue from the Order Start Date through the number of months listed in this
Order Form (or if not listed, twelve (12) months).
• Professional Services continue for the duration as outlined in the applicable Statement of Work, Exhibit
or the Governing Agreement, as applicable.
Special Order Terms This Order Form replaces all previous order forms for the terms listed above and will govern the Software,
Maintenance, and/or Services items listed on Page 2 of this Order Form.
• In the event of an inconsistency between this Order Form, any governing agreement, purchase order, or
invoice, the Order Form shall govern as it pertains to this transaction.
• For Software Licenses, Accela may terminate this Order Form in the event the Software is phased out
across Accela’s customer base. In such event, Accela will provide Customer sufficient advance notice
and the parties will mutually agree to a migration plan for converting Customer to another Accela
generally-available offering with comparable functionality.
Payment Terms
Currency USD
Invoice Date Unless otherwise stated in the Special Payment Terms, Invoice for the Grand Total $ above will be issued on the
Order Start Date.
Payment Due Date Unless otherwise stated in the Special Payment Terms or the Governing Agreement(s), all payments are due on
the Invoice Date and payable net 30 days.
Special Payment Terms None unless otherwise specified in this section.
Purchase Order If Customer requires PO number on invoices, it must be provided to the right and Customer
must provide copy of the PO prior to invoice issuance. If no PO number provided prior to
invoice issuance date, invoices issued on this Order Form will be valid without a PO reference.
PO#
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Packet Pg. 462 Attachment: IT.annual software renewals FY2020-2021 - ap1-accela (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
- 3 -
Accela Order Form opid:O-030017
Accela
Customer
By: \Signature2\
(Signature)
By: \Signature1\
(Signature)
\Name2\
(Print Name)
\Name1\
(Print Name)
Its: \Title2\
(Title)
Its: \Title1\
(Title)
Dated: \Date2\
(Month, Day, Year)
Dated: \Date1\
(Month, Day, Year)
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Packet Pg. 463 Attachment: IT.annual software renewals FY2020-2021 - ap1-accela (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
380 New York Street 909 793 2853 esri.com
Redlands, California 92373-8100 USA info@esri.com
February 7, 2019
Ms. Ruth Parish
City of San Bernardino
290 N D St
San Bernardino, CA 92401 -1734
Dear Ruth,
The Esri Small Municipal and County Government Enterprise Agreement (EA) is a three-year agreement
that will grant your organization access to Esri® term license software on an unlimited basis including
maintenance on all software offered through the EA for the term of the agreement. The EA will be effective
on the date executed and will require a firm, three-year commitment.
Based on Esri's work with several organizations similar to yours, we know there is significant potential
to apply geographic information system (GIS) technology in many operational and technical areas within
your organization. For this reason, we believe that your organization will greatly benefit from an
enterprise agreement.
An EA will provide your organization with numerous benefits including:
A lower cost per unit for licensed software
Substantially reduced administrative and procurement expenses
Maintenance on all Esri software deployed under this agreement
Complete flexibility to deploy software products when and where needed
The following business terms and conditions will apply:
All current departments, employees, and in-house contractors of the organization will be eligible
to use the software and services included in the EA.
If your organization wishes to acquire and/or maintain any Esri software during the term of the
agreement that is not included in the EA, it may do so separately at the Esri pricing that is
generally available for your organization for software and maintenance.
The organization will establish a single point of contact for orders and deliveries and will be
responsible for redistribution to eligible users.
The organization will establish a Tier 1 support center to field calls from internal users of Esri
software. The organization may designate individuals as specified in the EA who may directly
contact Esri for Tier 2 technical support.
The organization will provide an annual report of installed Esri software to Esri.
Esri software and updates that the organization is licensed to use will be automatically available
for downloading.
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Packet Pg. 464 Attachment: IT.annual software renewals FY2020-2021 - ap2-Esri (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
Small Government EA
The fee and benefits offered in this EA proposal are contingent upon your acceptance of Esri’s
Small Municipal and County Government EA terms and conditions.
Licenses are valid for the term of the EA.
This program offer is valid for 90 days. To complete the agreement within this time frame, please
contact me within the next seven days to work through any questions or concerns you may have. To
expedite your acceptance of this EA offer:
1. Sign and return the EA contract with a Purchase Order or issue a Purchase
Order that references this EA Quotation and includes the following statement on the face of the
Purchase Order: "THIS PURCHASE ORDER IS GOVERNED BY THE TERMS AND
CONDITIONS OF THE ESRI SMALL MUNICIPAL AND COUNTY GOVERNMENT
EA, AND ADDITIONAL TERMS AND CONDITIONS IN THIS PURCHASE ORDER
WILL NOT APPLY." Have it signed by an authorized representative of the organization.
2. On the first page of the EA, identify the central point of contact/agreement administrator. The
agreement administrator is the party that will be the contact for management of the software,
administration issues, and general operations. Information should include name, title (if
applicable), address, phone number, and e-mail address.
3. In the purchase order, identify the "Ship to" and "Bill to" information for your organization.
4. Send the purchase order and agreement to the address, email or fax noted below:
Esri
Attn: Customer Service SG-EA
380 New York Street
Redlands, CA 92373-8100
e-mail: service@esri.com fax
documents to: 909-307-3083
I appreciate the opportunity to present you with this proposal, and I believe it will bring great benefits to
your organization.
Thank you very much for your consideration.
Best Regards,
Jan Cunningham
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Packet Pg. 465 Attachment: IT.annual software renewals FY2020-2021 - ap2-Esri (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
Material Qty Description Unit Price Total
149598 1 Populations of 150,001 to 250,000 Small Government Term Enterprise
License Agreement - Year 1
75,000.00 75,000.00
149598 1 Populations of 150,001 to 250,000 Small Government Term Enterprise
License Agreement - Year 2
87,500.00 87,500.00
149598 1 Populations of 150,001 to 250,000 Small Government Term Enterprise
License Agreement - Year 3
100,000.00 100,000.00
Item Total:262,500.00
Subtotal:262,500.00
Sales Tax:0.00
Estimated Shipping & Handling(2 Day Delivery) :0.00
Contract Pricing Adjust:0.00
This pricing is based off of a special approval by Esri. The program pricing based
on the population of the City of San Bernardino would be $150,000 a year.
Total:$262,500.00
The items on this quotation are subject to and governed by the terms of this quotation, the most current product specific scope of use document found
at https://assets.esri.com/content/dam/esrisites/media/legal/product-specific-terms-of-use/e300.pdf, and your applicable signed agreement with Esri. If
no such agreement covers any item quoted, then Esri’s standard terms and conditions found at
https://assets.esri.com/content/dam/esrisites/media/legal/ma-full/ma-full.pdf apply to your purchase of that item. Federal government entities and
government prime contractors authorized under FAR 51.1 may purchase under the terms of Esri’s GSA Federal Supply Schedule. Supplemental terms
and conditions found at https://www.esri.com/en-us/legal/terms/state-supplemental apply to some state and local government purchases. All terms of
this quotation will be incorporated into and become part of any additional agreement regarding Esri’s offerings. Acceptance of this quotation is limited to
the terms of this quotation. Esri objects to and expressly rejects any different or additional terms contained in any purchase order, offer, or confirmation
sent to or to be sent by buyer. Unless prohibited by law, the quotation information is confidential and may not be copied or released other than for the
express purpose of system selection and purchase/license. The information may not be given to outside parties or used for any other purpose without
consent from Esri. Delivery is FOB Origin.
If sending remittance, please address to: Esri, P.O. Box 741076, Los Angeles, CA 90074-1076
This offer is limited to the terms and conditions incorporated and attached herein.CUNNINGHAMJ
For questions contact:Jan Cunningham Email:jcunningham@esri.com Phone:(909) 793-2853 x4363
Esri may charge a fee to cover expenses related to any customer requirement to use a proprietary vendor management, procurement, or invoice program.
Environmental Systems Research Institute, Inc.
380 New York St
Redlands, CA 92373-8100
Phone: 909-793-2853 Fax: 909-307-3049
DUNS Number: 06-313-4175 CAGE Code: 0AMS3
Quotation # 20544943
Date:
Customer # 17639 Contract #
City of San Bernardino
Information Technology Dept
290 N D St
San Bernardino, CA 92401-1734
ATTENTION: Ruth Parish
PHONE: 909-384-5947
FAX: 909-384-7236
To expedite your order, please attach a copy of
this quotation to your purchase order.
Quote is valid from: 02/07/2019 To: 05/08/2019
February 7, 2019
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Packet Pg. 466 Attachment: IT.annual software renewals FY2020-2021 - ap2-Esri (6782 : Resolution to Approve the FY 2020/21 Annual Usage, Software, and
Esri Use Only:
Cust. Name
Cust. #
PO #
Esri Agreement #
Page 1 of 6 November 20, 2018
SMALL ENTERPRISE AGREEMENT
COUNTY AND MUNICIPALITY GOVERNMENT
(E214-6)
This Agreement is by and between the organization identified in the Quotation ("Customer") and Environmental
Systems Research Institute, Inc. ("Esri").
This Agreement sets forth the terms for Customer's use of Products and incorporates by reference (i) the
Quotation and (ii) the Master Agreement. Should there be any conflict between the terms and conditions of the
documents that comprise this Agreement, the order of precedence for the documents shall be as follows: (i) the
Quotation, (ii) this Agreement, and (iii) the Master Agreement. This Agreement shall be governed by and
construed in accordance with the laws of the state in which Customer is located without reference to conflict of
laws principles, and the United States of America federal law shall govern in matters of intellectual property. The
modifications and additional rights granted in this Agreement apply only to the Products listed in Table A.
Table A
List of Products
Uncapped Quantities
Desktop Software and Extensions (Single Use)
ArcGIS Desktop Advanced
ArcGIS Desktop Standard
ArcGIS Desktop Basic
ArcGIS Desktop Extensions: ArcGIS 3D Analyst,
ArcGIS Spatial Analyst, ArcGIS Geostatistical
Analyst, ArcGIS Publisher, ArcGIS Network
Analyst, ArcGIS Schematics, ArcGIS Workflow
Manager, ArcGIS Data Reviewer
Enterprise Software and Extensions
ArcGIS Enterprise and Workgroup
(Advanced and Standard)
ArcGIS Enterprise Extensions: ArcGIS 3D Analyst,
ArcGIS Spatial Analyst, ArcGIS Geostatistical
Analyst, ArcGIS Network Analyst, ArcGIS
Schematics, ArcGIS Workflow Manager
Enterprise Additional Capability Servers
ArcGIS Image Server
Developer Tools
ArcGIS Engine
ArcGIS Engine Extensions: ArcGIS 3D Analyst,
ArcGIS Spatial Analyst, ArcGIS Engine Geodatabase
Update, ArcGIS Network Analyst, ArcGIS Schematics
ArcGIS Runtime (Standard)
ArcGIS Runtime Analysis Extension
Limited Quantities
One (1) Professional subscription to ArcGIS
Developer*
Two (2) Esri CityEngine Advanced Single Use
Licenses
1,000 ArcGIS Online Viewers
1,000 ArcGIS Online Creators
110,000 ArcGIS Online Service Credits
1,000 Level 2 ArcGIS Enterprise Named Users
15 Insights for ArcGIS for use with ArcGIS Enterprise
15 Insights for ArcGIS for use with ArcGIS Online
OTHER BENEFITS
Number of Esri User Conference registrations provided annually 5
Number of Tier 1 Help Desk individuals authorized to call Esri 5
Maximum number of sets of backup media, if requested** 2
Self-Paced e-Learning Uncapped
Five percent (5%) discount on all individual commercially available instructor-led training classes at Esri
facilities purchased outside this Agreement (Discount does not apply to Small Enterprise Training Package)
* Maintenance is not provided for these items
**Additional sets of backup media may be purchased for a fee
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Page 2 of 6 November 20, 2018
Customer may accept this Agreement by signing and returning the whole Agreement with (i) the Quotation
attached, (ii) a purchase order, or (iii) another document that matches the Quotation and references this
Agreement ("Ordering Document"). ADDITIONAL OR CONFLICTING TERMS IN CUSTOMER'S PURCHASE
ORDER OR OTHER DOCUMENT WILL NOT APPLY, AND THE TERMS OF THIS AGREEMENT WILL
GOVERN. This Agreement is effective as of the date of Esri's receipt of an Ordering Document, unless otherwise
agreed to by the parties ("Effective Date").
Term of Agreement: Three (3) years
This Agreement supersedes any previous agreements, proposals, presentations, understandings, and
arrangements between the parties relating to the licensing of the Products. Except as provided in Article 4—
Product Updates, no modifications can be made to this Agreement.
Accepted and Agreed:
(Customer)
By:
Authorized Signature
Printed Name:
Title:
Date:
CUSTOMER CONTACT INFORMATION
Contact: Telephone:
Address: Fax:
City, State, Postal Code: E-mail:
Country:
Quotation Number (if applicable):
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Page 3 of 6 November 20, 2018
1.0—ADDITIONAL DEFINITIONS
In addition to the definitions provided in the Master
Agreement, the following definitions apply to this
Agreement:
"Case" means a failure of the Software or Online
Services to operate according to the Documentation
where such failure substantially impacts operational
or functional performance.
"Deploy", "Deployed" and "Deployment" mean to
redistribute and install the Products and related
Authorization Codes within Customer's
organization(s).
"Fee" means the fee set forth in the Quotation.
"Maintenance" means Tier 2 Support, Product
updates, and Product patches provided to Customer
during the Term of Agreement.
"Master Agreement" means the applicable master
agreement for Esri Products incorporated by this
reference that is (i) found at
http://www.esri.com/legal/software-license and
available in the installation process requiring
acceptance by electronic acknowledgment or (ii) a
signed Esri master agreement or license agreement
that supersedes such electronically acknowledged
master agreement.
"Product(s)" means the products identified in
Table A—List of Products and any updates to the list
Esri provides in writing.
"Quotation" means the offer letter and quotation
provided separately to Customer.
"Technical Support" means the technical
assistance for attempting resolution of a reported
Case through error correction, patches, hot fixes,
workarounds, replacement deliveries, or any other
type of Product corrections or modifications.
"Tier 1 Help Desk" means Customer's point of
contact(s) to provide all Tier 1 Support within
Customer's organization(s).
"Tier 1 Support" means the Technical Support
provided by the Tier 1 Help Desk.
"Tier 2 Support" means the Esri Technical Support
provided to the Tier 1 Help Desk when a Case
cannot be resolved through Tier 1 Support.
2.0—ADDITIONAL GRANT OF LICENSE
2.1 Grant of License. Subject to the terms and
conditions of this Agreement, Esri grants to
Customer a personal, nonexclusive,
nontransferable license solely to use, copy, and
Deploy quantities of the Products listed in
Table A—List of Products for the Term of
Agreement (i) for the applicable Fee and (ii) in
accordance with the Master Agreement.
2.2 Consultant Access. Esri grants Customer the
right to permit Customer's consultants or
contractors to use the Products exclusively for
Customer's benefit. Customer will be solely
responsible for compliance by consultants and
contractors with this Agreement and will ensure
that the consultant or contractor discontinues
use of Products upon completion of work for
Customer. Access to or use of Products by
consultants or contractors not exclusively for
Customer's benefit is prohibited. Customer may
not permit its consultants or contractors to install
Software or Data on consultant, contractor, or
third-party computers or remove Software or
Data from Customer locations, except for the
purpose of hosting the Software or Data on
Contractor servers for the benefit of Customer.
3.0—TERM, TERMINATION, AND EXPIRATION
3.1 Term. This Agreement and all licenses
hereunder will commence on the Effective Date
and continue for the duration identified in the
Term of Agreement, unless this Agreement is
terminated earlier as provided herein. Customer
is only authorized to use Products during the
Term of Agreement. For an Agreement with a
limited term, Esri does not grant Customer an
indefinite or a perpetual license to Products.
3.2 No Use upon Agreement Expiration or
Termination. All Product licenses, all
Maintenance, and Esri User Conference
registrations terminate upon expiration or
termination of this Agreement.
3.3 Termination for a Material Breach. Either party
may terminate this Agreement for a material
breach by the other party. The breaching party
will have thirty (30) days from the date of written
notice to cure any material breach.
3.4 Termination for Lack of Funds. For an
Agreement with government or government-
owned entities, either party may terminate this
Agreement before any subsequent year if
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Page 4 of 6 November 20, 2018
Customer is unable to secure funding through
the legislative or governing body's approval
process.
3.5 Follow-on Term. If the parties enter into
another agreement substantially similar to this
Agreement for an additional term, the effective
date of the follow-on agreement will be the day
after the expiration date of this Agreement.
4.0—PRODUCT UPDATES
4.1 Future Updates. Esri reserves the right to
update the list of Products in Table A—List of
Products by providing written notice to
Customer. Customer may continue to use all
Products that have been Deployed, but support
and upgrades for deleted items may not be
available. As new Products are incorporated into
the standard program, they will be offered to
Customer via written notice for incorporation into
the Products schedule at no additional charge.
Customer's use of new or updated Products
requires Customer to adhere to applicable
additional or revised terms and conditions in the
Master Agreement.
4.2 Product Life Cycle. During the Term of
Agreement, some Products may be retired or
may no longer be available to Deploy in the
identified quantities. Maintenance will be subject
to the individual Product Life Cycle Support
Status and Product Life Cycle Support Policy,
which can be found at
http://support.esri.com/en/content/productlifecycl
es. Updates for Products in the mature and
retired phases may not be available. Customer
may continue to use Products already Deployed,
but Customer will not be able to Deploy retired
Products.
5.0—MAINTENANCE
The Fee includes standard maintenance benefits
during the Term of Agreement as specified in the
most current applicable Esri Maintenance and
Support Program document (found at
http://www.esri.com/legal). At Esri's sole discretion,
Esri may make patches, hot fixes, or updates
available for download. No Software other than the
defined Products will receive Maintenance.
Customer may acquire maintenance for other
Software outside this Agreement.
a. Tier 1 Support
1. Customer will provide Tier 1 Support
through the Tier 1 Help Desk to all
Customer's authorized users.
2. The Tier 1 Help Desk will be fully trained in
the Products.
3. At a minimum, Tier 1 Support will include
those activities that assist the user in
resolving how-to and operational questions
as well as questions on installation and
troubleshooting procedures.
4. The Tier 1 Help Desk will be the initial point
of contact for all questions and reporting of a
Case. The Tier 1 Help Desk will obtain a full
description of each reported Case and the
system configuration from the user. This
may include obtaining any customizations,
code samples, or data involved in the Case.
5. If the Tier 1 Help Desk cannot resolve the
Case, an authorized Tier 1 Help Desk
individual may contact Tier 2 Support. The
Tier 1 Help Desk will provide support in such
a way as to minimize repeat calls and make
solutions to problems available to
Customer’s organization.
6. Tier 1 Help Desk individuals are the only
individuals authorized to contact Tier 2
Support. Customer may change the Tier 1
Help Desk individuals by written notice to
Esri.
b. Tier 2 Support
1. Tier 2 Support will log the calls received
from Tier 1 Help Desk.
2. Tier 2 Support will review all information
collected by and received from the Tier 1
Help Desk including preliminary documented
troubleshooting provided by the Tier 1 Help
Desk when Tier 2 Support is required.
3. Tier 2 Support may request that Tier 1 Help
Desk individuals provide verification of
information, additional information, or
answers to additional questions to
supplement any preliminary information
gathering or troubleshooting performed by
Tier 1 Help Desk.
4. Tier 2 Support will attempt to resolve the
Case submitted by Tier 1 Help Desk.
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Page 5 of 6 November 20, 2018
5. When the Case is resolved, Tier 2 Support
will communicate the information to Tier 1
Help Desk, and Tier 1 Help Desk will
disseminate the resolution to the user(s).
6.0—ENDORSEMENT AND PUBLICITY
This Agreement will not be construed or interpreted
as an exclusive dealings agreement or Customer's
endorsement of Products. Either party may publicize
the existence of this Agreement.
7.0—ADMINISTRATIVE REQUIREMENTS
7.1 OEM Licenses. Under Esri's OEM or Solution
OEM programs, OEM partners are authorized to
embed or bundle portions of Esri products and
services with their application or service. OEM
partners' business model, licensing terms and
conditions, and pricing are independent of this
Agreement. Customer will not seek any discount
from the OEM partner or Esri based on the
availability of Products under this Agreement.
Customer will not decouple Esri products or
services from the OEM partners' application or
service.
7.2 Annual Report of Deployments. At each
anniversary date and ninety (90) calendar days
prior to the expiration of this Agreement,
Customer will provide Esri with a written report
detailing all Deployments. Upon request,
Customer will provide records sufficient to verify
the accuracy of the annual report.
8.0—ORDERING, ADMINISTRATIVE
PROCEDURES, DELIVERY, AND
DEPLOYMENT
8.1 Orders, Delivery, and Deployment
a. Upon the Effective Date, Esri will invoice
Customer and provide Authorization Codes to
activate the nondestructive copy protection
program that enables Customer to download,
operate, or allow access to the Products. If this
is a multi-year Agreement, Esri may invoice the
Fee before the annual anniversary date for each
year.
b. Undisputed invoices will be due and payable
within thirty (30) calendar days from the date of
invoice. Esri's federal ID number is 95-2775-732.
c. If requested, Esri will ship backup media to the
ship-to address identified on the Ordering
Document, FOB Destination, with shipping
charges prepaid. Customer acknowledges that
should sales or use taxes become due as a
result of any shipments of tangible media, Esri
has a right to invoice and Customer will pay any
such sales or use tax associated with the receipt
of tangible media.
8.2 Order Requirements. Esri does not require
Customer to issue a purchase order. Customer
may submit a purchase order in accordance with
its own process requirements, provided that if
Customer issues a purchase order, Customer
will submit its initial purchase order on the
Effective Date. If this is a multi-year Agreement,
Customer will submit subsequent purchase
orders to Esri at least thirty (30) calendar days
before the annual anniversary date for each
year.
a. All orders pertaining to this Agreement will be
processed through Customer's centralized point
of contact.
b. The following information will be included in
each Ordering Document:
(1) Customer name; Esri customer number, if
known; and bill-to and ship-to addresses
(2) Order number
(3) Applicable annual payment due
9.0—MERGERS, ACQUISITIONS, OR
DIVESTITURES
If Customer is a commercial entity, Customer will
notify Esri in writing in the event of (i) a
consolidation, merger, or reorganization of Customer
with or into another corporation or entity;
(ii) Customer's acquisition of another entity; or (iii) a
transfer or sale of all or part of Customer's
organization (subsections i, ii, and iii, collectively
referred to as "Ownership Change"). There will be
no decrease in Fee as a result of any Ownership
Change.
9.1 If an Ownership Change increases the
cumulative program count beyond the maximum
level for this Agreement, Esri reserves the right
to increase the Fee or terminate this Agreement
and the parties will negotiate a new agreement.
9.2 If an Ownership Change results in transfer or
sale of a portion of Customer's organization, that
portion of Customer's organization will transfer
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Page 6 of 6 November 20, 2018
the Products to Customer or uninstall, remove,
and destroy all copies of the Products.
9.3 This Agreement may not be assigned to a
successor entity as a result of an Ownership
Change unless approved by Esri in writing in
advance. If the assignment to the new entity is
not approved, Customer will require any
successor entity to uninstall, remove, and
destroy the Products. This Agreement will
terminate upon such Ownership Change.
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Support Agreement
This Support Agreement is made, as of the date set forth below (the “Effective Date”) by and between Tyler
Technologies, Inc. with offices at 840 West Long Lake Road, Troy, MI 48098 (“Tyler”) and the client identified below
(“Client”).
WHEREAS, New World Systems Corporation (“New World”) and Client are parties to an original agreement
(“Agreement”) under which Client licensed the New World software itemized therein; and
WHEREAS, Tyler and New World merged effective November 16, 2015, with Tyler as the surviving entity; and
WHEREAS, Tyler and Client desire to update the applicable maintenance and support services terms;
NOW THEREFORE, in consideration of the mutual promises hereinafter contained, Tyler and Client agree as follows :
1. The New World software Client licensed under the Agreement, and on which Client has paid maintenance
and support fees through the Effective Date, shall mean the “Tyler Software” for purposes of this Support
Amendment.
2. Tyler shall provide maintenance and support services on the Tyler Software according to the terms of Exhibit
1 to this Support Amendment.
3. For the term specified in the applicable invoice, Client shall remit to Tyler maintenance fees in the amount
set forth therein. Payment is due within thirty (30) days of the invoice date.
4. This Support Agreement shall be governed by and construed in accordance with the terms and conditions of
the Agreement.
5. All other terms and conditions of the Agreement shall remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this Support Agreement as of the dates set forth below.
Tyler Technologies, Inc. City of San Bernardino, CA
By: By:
Name: Name:
Title: Title:
Date: Date:
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Exhibit 1
Maintenance and Support Agreement
Tyler (“we”) will provide Client (“you”) with the following maintenance and support services for the Tyler Software
set forth in Schedule B, which is a list of all modules and interfaces currently under maintenance and support as of
the Amendment Effective Date and does not include previously discontinued or dropped modules and interfaces.
Capitalized terms not otherwise defined will have the meaning assigned to such terms in the Support Agreement.
1. Term. We provide maintenance and support services on an annual basis. The initial term commences on July 1,
2020 and remains in effect for one (1) year. The term will renew automatically for additional one (1) year terms
unless terminated in writing by either party at least ninety (90) days prior to the end of the then-current term.
2. Maintenance and Support Fees. Your maintenance and support fees for the initial term for the Tyler Software
will be $316,476.00. Your fees for each subsequent term will be at our then-current rates. We reserve the right
to suspend maintenance and support services if you fail to pay undisputed maintenance and support fees within
thirty (30) days of our written notice. We will reinstate maintenance and support services only if you pay all past
due maintenance and support fees, including all fees for the periods during which services were suspended.
3. Maintenance and Support Services. As long as you are not using the Help Desk as a substitute for our training
services on the Tyler Software, and you timely pay your maintenance and support fees, we will, consistent with
our then-current Support Call Process:
3.1 perform our maintenance and support obligations in a professional, good, and workmanlike manner,
consistent with industry standards, to resolve Defects, as defined in the Agreement, in the Tyler Software
(limited to the then-current version and the immediately prior version); provided, however, that if you
modify the Tyler Software without our consent, our obligation to provide maintenance and support services
on and warrant the Tyler Software will be void;
3.2 a) provide telephone support during our established support hours, currently Monday through Friday from
8:00 a.m. to 9:00 p.m. (Eastern Time Zone).
b) emergency 24-hour per day telephone support, for New World CAD only, seven (7) days per week for
Licensed Standard Software. Normal service is available from 8:00 a.m. to 9:00 p.m. (Eastern Time Zone).
After 8:00 p.m., the New World CAD phone support will be provided via pager and a support representative
will respond to CAD service calls within 30 minutes of call initiation.
3.3 maintain personnel that are sufficiently trained to be familiar with the Tyler Software and third party
software, if any, in order to provide maintenance and support services;
3.4 provide you with a copy of all major and minor releases to the Tyler Software (including updates and
enhancements) that we make generally available without additional charge to customers who have a
maintenance and support agreement in effect; and
3.5 provide non-Defect resolution support of prior releases of the Tyler Software in accordance with our then-
current release life cycle policy.
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4. Client Responsibilities. We will use all reasonable efforts to perform any maintenance and support services
remotely. Currently, we use a third-party secure unattended connectivity tool called Bomgar, as well as
GotoAssist by Citrix. Therefore, you agree to maintain a high-speed internet connection capable of connecting us
to your PCs and server(s). You agree to provide us with a login account and local administrative privileges as we
may reasonably require to perform remote services. We will, at our option, use the secure connection to assist
with proper diagnosis and resolution, subject to any reasonably applicable security protocols. If we cannot
resolve a support issue remotely, we may be required to provide onsite services. In such event, we will be
responsible for our travel expenses, unless it is determined that the reason onsite support was required was a
reason outside our control. Either way, you agree to provide us with full and free access to the Tyler Software,
working space, adequate facilities within a reasonable distance from the equipment, and use of machines,
attachments, features, or other equipment reasonably necessary for us to provide the maintenance and support
services, all at no charge to us. We strongly recommend that you also maintain a VPN for backup connectivity
purposes.
5. Hardware and Other Systems. If in the process of diagnosing a software support issue it is discovered that one of
your peripheral systems or other software is the cause of the issue, we will notify you so that you may contact
the support agency for that peripheral system. We cannot support or maintain third party products except as
expressly set forth in the Agreement.
In order for us to provide the highest level of software support, you bear the following responsibility related to
hardware and software:
(a) All infrastructure executing Tyler Software shall be managed by you;
(b) You will maintain support contracts for all non-Tyler software associated with Tyler Software (including
operating systems and database management systems, but excluding Third-Party Software, if any); and
(c) You will perform daily database backups and verify that those backups are successful.
6. Other Excluded Services. Maintenance and support fees do not include fees for the following services: (a) initial
installation or implementation of the Tyler Software; (b) onsite maintenance and support (unless Tyler cannot
remotely correct a Defect in the Tyler Software, as set forth above); (c) application design; (d) other consulting
services; (e) maintenance and support of an operating system or hardware; (f) support outside our established
support hours; or (g) installation, training services, or third party product costs related to a new release.
Requested maintenance and support services such as those outlined in this section will be billed to you on a time
and materials basis at our then current rates. You must request those services with at least one (1) weeks’
advance notice.
7. Current Support Call Process. Our current Support Call Process for the Tyler Software is provided Schedule A to
Exhibit 1.
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Exhibit 1
Schedule A
Support Call Process
If, after you have cut over to live production use of the Tyler Software, you believe that the Tyler Software is
Defective, as “Defect” is defined in the Agreement, then you will notify us by phone, in writing, by email, or through
the support website. Please reference the applicable Customer Support page at www.tylertech.com/client-support
for information on how to use these various means of contact.
Documented examples of the claimed Defect must accompany each notice. We will review the documented notice
and when there is a Defect, we shall resolve it at no additional cost to you beyond your then-current maintenance
and support fees.
In receiving and responding to Defect notices and other support calls, we will follow the priority categorizations
below. These categories are assigned based on your determination of the severity of the Defect and our reasonable
analysis. If you believe a priority categorization needs to be updated, you may contact us again, via the same
methods outlined above, to request the change.
In each instance of a Priority 1 or 2 Defect, prior to final Defect correction, the support team may offer you
workaround solutions, including patches, configuration changes, and operational adjustments, or may recommend
that you revert back to the prior version the Tyler Software pending Defect correction.
(a) Priority 1: A Defect that renders the Tyler Software inoperative; or causes the Tyler Software to fail
catastrophically.
After initial assessment of the Priority 1 Defect, if required, we shall assign a qualified product technical
specialist(s) within one business (1) hour. The technical specialist(s) will then work to diagnose the
Defect and to correct the Defect, providing ongoing communication to you concerning the status of the
correction until the Tyler Software is operational without Priority 1 defect.
The goal for correcting a Priority 1 Defect is 24 hours or less.
(b) Priority 2: A Defect that substantially degrades the performance of the Tyler Software, but does not
prohibit your use of the Tyler Software.
We shall assign a qualified product technical specialist(s) within four (4) business hours of our receipt of
your notice. The product technical specialist will then work to diagnose and correct the Defect. We shall
work diligently to make the correction, and shall provide ongoing communication to you concerning the
status of the correction until the Tyler Software is operational without Priority 2 Defect.
The goal for correcting a Priority 2 event is to include a correction in the next Tyler Software release.
(c) Priority 3: A Defect which causes only a minor impact on the use of the Tyler Software.
We may include a correction in subsequent Tyler Software releases.
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Exhibit 1
Schedule B
Customer Software Inventory
Amount
Computer Aided Dispatch (CAD)
Combined LE/Fire/EMS CAD Enterprise.NET $31,290.00
E-911 Interface Enterprise.NET $3,600.00
CAD Pager Interface Enterprise.NET $3,600.00
CAD AVL Enterprise.NET $3,400.00
Service Vehicle Rotation Enterprise.NET $3,400.00
On-Line CAD Interface to State/NCIC $8,800.00
Pre-Arrival Questionnaire Interface Enterprise.NET $3,600.00
Law Enforcement Records Software
LE Records Single Jurisdiction Base MSP $17,424.00
LE Records Federal & State Compliance MSP $6,000.00
Field Investigations MSP $3,000.00
Case Management MSP $3,000.00
Alarms Tracking and Billing MSP $4,200.00
Property Room Bar Coding MSP $3,000.00
Narcotics Management MSP $4,200.00
Data Analysis Mapping & Management Reporting MSP $6,000.00
State Accidents Compliance MSP $6,000.00
Fire Records Software
Fire Records Base Package MSP $12,672.00
Fire NFIRS 5.0 Electronic Reporting MSP $6,800.00
Public Safety Interface Software
State/NCIC Interface MSP $16,400.00
VINE Interface MSP $240.00
Livescan Interface MSP $3,600.00
Communications Server to State/NCIC $3,600.00
Ticket Writer Interface MSP $8,000.00
Citizens Reporting Interface MSP $2,300.00
Linx Interface $2,300.00
COPLINK Interface $4,600.00
Photo Imaging Software
Public Safety Mug Shots/Line-Ups MSP $600.00
Decision Support Software
LE Management Data Mart $2,400.00
CAD Enterprise Data Mart $2,400.00
Corrections Management Software
Corrections Management Base MSP $17,688.00
Corrections Compliance Federal & State Reporting $6,800.00
Corrections Barcoding MSP $3,400.00
Inmate Movement Tracking Bar Coding $3,400.00
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Mobile Management Server Software
New World Mobile Messaging Server $22,000.00
Field Based Reporting Software
Field Reporting Server $12,000.00
LE State/NCIC via Switch $12,480.00
LE Field Reporting $14,080.00
LE Accident Field Reporting $10,560.00
Fire CAD Via Switch (Messaging) $2,800.00
Mugshot Images Download $3,120.00
In Car Mapping $4,680.00
New World AVL $2,865.00
In-Car Routing $3,120.00
State Photo Download $3,120.00
EMS Field Reporting $20.00
ESRI Embedded Applications
ArcGIS Runtime CAD Desktop Workstations $3,300.00
ArcGIS Runtime Mobile In-Car $4,680.00
ArcGIS Advanced Enterprise Server Integration $5,900.00
Third Party
Scene PD (Maintenance is through ScenePD) N/A
Brazos
eCitation - BRAZOS REF MDC or Tablet $1,530.00
Brazos Hosting Fee $1,047.00
State Compliant Crash Report Software with $810.00
Field Interview Module $650.00
TOTALS $316,476.00
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1
LICENSE AND SERVICES AGREEMENT
This License and Services Agreement is made between Tyler Technologies, Inc. and Client.
WHEREAS, New World Systems Corporation and the City of San Bernardino are parties to a Standard
Software License Subscription and Services Agreement dated January 12, 2011 (“Subscription
Agreement”); and
WHEREAS, Tyler Technologies, Inc. and New World Systems Corporation merged effective November 16,
2015, with Tyler as the surviving entity; and
WHEREAS, Client selected Tyler to license the software products and perform the services set forth in
the Investment Summary and Tyler desires to perform such actions under the terms of this Agreement;
NOW THEREFORE, in consideration of the foregoing and of the mutual covenants and promises set forth
in this Agreement, Tyler and Client agree as follows:
SECTION A – DEFINITIONS
• “Agreement” means this License and Services Agreement.
• “Business Travel Policy” means our business travel policy. A copy of our current Business Travel
Policy is attached as Schedule 1 to Exhibit B.
• “Client” means the City of San Bernardino.
• “Defect” means a failure of the Tyler Software to substantially conform to the functional
descriptions set forth in our written proposal to you, or their functional equivalent. Future
functionality may be updated, modified, or otherwise enhanced through our maintenance and
support services, and the governing functional descriptions for such future functionality will be
set forth in our then-current Documentation.
• “Developer” means a third party who owns the intellectual property rights to Third Party
Software.
• “Documentation” means any online or written documentation related to the use or
functionality of the Tyler Software that we provide or otherwise make available to you, including
instructions, user guides, manuals and other training or self-help documentation.
• “Effective Date” means the date by which both your and our authorized representatives have
signed the Agreement.
• “Force Majeure” means an event beyond the reasonable control of you or us, including, without
limitation, governmental action, war, riot or civil commotion, fire, natural disaster, or any other
cause that could not with reasonable diligence be foreseen or prevented by you or us.
• “Investment Summary” means the agreed upon cost proposal for the software, products, and
services attached as Exhibit A.
• “Invoicing and Payment Policy” means the invoicing and payment policy. A copy of our current
Invoicing and Payment Policy is attached as Exhibit B.
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• “Maintenance and Support Agreement” means the terms and conditions governing the
provision of maintenance and support services to all of our customers. A copy of our current
Maintenance and Support Agreement is attached as Exhibit C.
• “Support Call Process” means the support call process applicable to all of our customers who
have licensed the Tyler Software. A copy of our current Support Call Process is attached as
Schedule 1 to Exhibit C.
• “Third Party Hardware” means the third party hardware, if any, identified in the Investment
Summary.
• “Third Party Products” means the Third Party Software and Third Party Hardware.
• “Third Party Services” means the third party services, if any, identified in the Investment
Summary.
• “Third Party Software” means the third party software, if any, identified in the Investment
Summary.
• “Third Party Terms” means, if any, the end user license agreement(s) or similar terms for the
Third Party Software, as applicable and attached as Exhibit D.
• “Tyler” means Tyler Technologies, Inc., a Delaware corporation.
• “Tyler Software” means our proprietary software, including any integrations, custom
modifications, and/or other related interfaces identified in the Investment Summary and
licensed by us to you through this Agreement.
• “we”, “us”, “our” and similar terms mean Tyler.
• “you” and similar terms mean Client.
SECTION B – SOFTWARE LICENSE
1. License Grant and Restrictions.
1.1 We grant to you a license to use the Tyler Software for your internal business purposes only, in
the scope of the internal business purposes disclosed to us as of the Effective Date. You may
make copies of the Tyler Software for backup and testing purposes, so long as such copies are
not used in production and the testing is for internal use only. Your rights to use the Tyler
Software are perpetual but may be revoked if you do not comply with the terms of this
Agreement.
1.2 The Documentation is licensed to you and may be used and copied by your employees for
internal, non-commercial reference purposes only.
1.3 You may not: (a) transfer or assign the Tyler Software to a third party; (b) reverse engineer,
decompile, or disassemble the Tyler Software; (c) rent, lease, lend, or provide commercial
hosting services with the Tyler Software; or (d) publish or otherwise disclose the Tyler Software
or Documentation to third parties.
1.4 The license terms in this Agreement apply to updates and enhancements we may provide to you
or make available to you through your Maintenance and Support Agreement.
1.5 The right to transfer the Tyler Software to a replacement hardware system is included in your
license. You will give us advance written notice of any such transfer and will pay us for any
required or requested technical assistance from us associated with such transfer.
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1.6 Where applicable with respect to our applications that take or process card payment data, we
are responsible for the security of cardholder data that we possess, including functions relating
to storing, processing, and transmitting of the cardholder data and affirm that, as of the
Effective Date, we comply with applicable requirements to be considered PCI DSS compliant and
have performed the necessary steps to validate compliance with the PCI DSS. We agree to
supply the current status of our PCI DSS compliance program in the form of an official
Attestation of Compliance, which can be found at https://www.tylertech.com/about-
us/compliance, and in the event of any change in our status, will comply with applicable notice
requirements.
1.7 We reserve all rights not expressly granted to you in this Agreement. The Tyler Software and
Documentation are protected by copyright and other intellectual property laws and treaties.
We own the title, copyright, and other intellectual property rights in the Tyler Software and the
Documentation. The Tyler Software is licensed, not sold.
2. License Fees. You agree to pay us the license fees in the amounts set forth in the Investment
Summary. Those amounts are payable in accordance with our Invoicing and Payment Policy.
3. Escrow. We maintain an escrow agreement with a third party under which we place the source
code for each major release of the Tyler Software. You may be added as a beneficiary to the escrow
agreement by completing a standard beneficiary enrollment form and paying the applicable annual
beneficiary fee. You will be responsible for maintaining your ongoing status as a beneficiary,
including payment of the then-current annual beneficiary fees. Release of source code for the Tyler
Software is strictly governed by the terms of the escrow agreement.
4. Limited Warranty. We warrant that the Tyler Software will be without Defect(s) as long as you have
a Maintenance and Support Agreement in effect. If the Tyler Software does not perform as
warranted, we will use all reasonable efforts, consistent with industry standards, to cure the Defect
as set forth in the Maintenance and Support Agreement.
SECTION C – PROFESSIONAL SERVICES
1. Services. We will provide you the various implementation-related services itemized in the
Investment Summary and described in our industry standard implementation plan. We will finalize
that documentation with you upon execution of this Agreement.
2. Professional Services Fees. You agree to pay us the professional services fees in the amounts set
forth in the Investment Summary. Those amounts are payable in accordance with our Invoicing and
Payment Policy. You acknowledge that the fees stated in the Investment Summary are good-faith
estimates of the amount of time and materials required for your implementation. We will bill you
the actual fees incurred based on the in-scope services provided to you. Any discrepancies in the
total values set forth in the Investment Summary will be resolved by multiplying the applicable
hourly rate by the quoted hours.
3. Additional Services. The Investment Summary contains the scope of services and related costs
(including programming and/or interface estimates) required for the project based on our
understanding of the specifications you supplied. If additional work is required, or if you use or
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request additional services, we will provide you with an addendum or change order, as applicable,
outlining the costs for the additional work. The price quotes in the addendum or change order will
be valid for thirty (30) days from the date of the quote.
4. Cancellation. We make all reasonable efforts to schedule our personnel for travel, including
arranging travel reservations, at least two (2) weeks in advance of commitments. Therefore, if you
cancel services less than two (2) weeks in advance (other than for Force Majeure or breach by us),
you will be liable for all (a) non-refundable expenses incurred by us on your behalf, and (b) daily fees
associated with cancelled professional services if we are unable to reassign our personnel. We will
make all reasonable efforts to reassign personnel in the event you cancel within two (2) weeks of
scheduled commitments.
5. Services Warranty. We will perform the services in a professional, workmanlike manner, consistent
with industry standards. In the event we provide services that do not conform to this warranty, we
will re-perform such services at no additional cost to you.
6. Site Access and Requirements. At no cost to us, you agree to provide us with full and free access to
your personnel, facilities, and equipment as may be reasonably necessary for us to provide
implementation services, subject to any reasonable security protocols or other written policies
provided to us as of the Effective Date, and thereafter as mutually agreed to by you and us. You
further agree to provide a reasonably suitable environment, location, and space for the installation
of the Tyler Software and any Third Party Products, including, without limitation, sufficient electrical
circuits, cables, and other reasonably necessary items required for the installation and operation of
the Tyler Software and any Third Party Products.
7. Client Assistance. You acknowledge that the implementation of the Tyler Software is a cooperative
process requiring the time and resources of your personnel. You agree to use all reasonable efforts
to cooperate with and assist us as may be reasonably required to meet the agreed upon project
deadlines and other milestones for implementation. This cooperation includes at least working with
us to schedule the implementation-related services outlined in this Agreement. We will not be
liable for failure to meet any deadlines and milestones when such failure is due to Force Majeure or
to the failure by your personnel to provide such cooperation and assistance (either through action
or omission).
8. Background Checks. For at least the past twelve (12) years, all of our employees have undergone
criminal background checks prior to hire. All employees sign our confidentiality agreement and
security policies.
SECTION D – MAINTENANCE AND SUPPORT
This Agreement includes the period of free maintenance and support services identified in the
Invoicing and Payment Policy. If you have purchased ongoing maintenance and support services,
and continue to make timely payments for them according to our Invoicing and Payment Policy, we
will provide you with maintenance and support services for the Tyler Software under the terms of
our standard Maintenance and Support Agreement.
If you have opted not to purchase ongoing maintenance and support services for the Tyler Software,
the Maintenance and Support Agreement does not apply to you. Instead, you will only receive
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ongoing maintenance and support on the Tyler Software on a time and materials basis. In addition,
you will:
(i) receive the lowest priority under our Support Call Process;
(ii) be required to purchase new releases of the Tyler Software, including fixes,
enhancements and patches;
(iii) be charged our then-current rates for support services, or such other rates that we may
consider necessary to account for your lack of ongoing training on the Tyler Software;
(iv) be charged for a minimum of two (2) hours of support services for every support call;
and
(v) not be granted access to the support website for the Tyler Software or the Tyler
Community Forum.
SECTION E – THIRD PARTY PRODUCTS
To the extent there are any Third Party Products set forth in the Investment Summary, the following
terms and conditions will apply:
1. Third Party Hardware. We will sell, deliver, and install onsite the Third Party Hardware, if you have
purchased any, for the price set forth in the Investment Summary. Those amounts are payable in
accordance with our Invoicing and Payment Policy.
2. Third Party Software. Upon payment in full of the Third Party Software license fees, you will receive
a non-transferable license to use the Third Party Software and related documentation for your
internal business purposes only. Your license rights to the Third Party Software will be governed by
the Third Party Terms.
2.1 We will install onsite the Third Party Software. The installation cost is included in the
installation fee in the Investment Summary.
2.2 If the Developer charges a fee for future updates, releases, or other enhancements to the Third
Party Software, you will be required to pay such additional future fee.
2.3 The right to transfer the Third Party Software to a replacement hardware system is governed by
the Developer. You will give us advance written notice of any such transfer and will pay us for
any required or requested technical assistance from us associated with such transfer.
3. Third Party Products Warranties.
3.1 We are authorized by each Developer to grant or transfer the licenses to the Third Party
Software.
3.2 The Third Party Hardware will be new and unused, and upon payment in full, you will receive
free and clear title to the Third Party Hardware.
3.3 You acknowledge that we are not the manufacturer of the Third Party Products. We do not
warrant or guarantee the performance of the Third Party Products. However, we grant and pass
through to you any warranty that we may receive from the Developer or supplier of the Third
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Party Products.
4. Third Party Services. If you have purchased Third Party Services, those services will be provided
independent of Tyler by such third-party at the rates set forth in the Investment Summary and in
accordance with our Invoicing and Payment Policy.
5. Maintenance. If you have a Maintenance and Support Agreement in effect, you may report defects
and other issues related to the Third Party Software directly to us, and we will (a) directly address
the defect or issue, to the extent it relates to our interface with the Third Party Software; and/or (b)
facilitate resolution with the Developer, unless that Developer requires that you have a separate,
direct maintenance agreement in effect with that Developer. In all events, if you do not have a
Maintenance and Support Agreement in effect with us, you will be responsible for resolving defects
and other issues related to the Third Party Software directly with the Developer.
SECTION F – INVOICING AND PAYMENT; INVOICE DISPUTES
1. Invoicing and Payment. We will invoice you for all fees set forth in the Investment Summary per our
Invoicing and Payment Policy, subject to Section F(2).
2. Invoice Disputes. If you believe any delivered software or service does not conform to the
warranties in this Agreement, you will provide us with written notice within thirty (30) days of your
receipt of the applicable invoice. The written notice must contain reasonable detail of the issues
you contend are in dispute so that we can confirm the issue and respond to your notice with either a
justification of the invoice, an adjustment to the invoice, or a proposal addressing the issues
presented in your notice. We will work with you as may be necessary to develop an action plan that
outlines reasonable steps to be taken by each of us to resolve any issues presented in your notice.
You may withhold payment of the amount(s) actually in dispute, and only those amounts, until we
complete the action items outlined in the plan. If we are unable to complete the action items
outlined in the action plan because of your failure to complete the items agreed to be done by you,
then you will remit full payment of the invoice. We reserve the right to suspend delivery of all
services, including maintenance and support services, if you fail to pay an invoice not disputed as
described above within fifteen (15) days of notice of our intent to do so.
SECTION G – TERMINATION
1. Termination. This Agreement may be terminated as set forth below. In the event of termination,
you will pay us for all undisputed fees and expenses related to the software, products, and/or
services you have received, or we have incurred or delivered, prior to the effective date of
termination. Disputed fees and expenses in all terminations other than your termination for cause
must have been submitted as invoice disputes in accordance with Section F(2).
1.1 For Cause. If you believe we have materially breached this Agreement, you will invoke the
Dispute Resolution clause set forth in Section I(3). You may terminate this Agreement for cause
in the event we do not cure, or create a mutually agreeable action plan to address, a material
breach of this Agreement within the thirty (30) day window set forth in Section I(3).
1.2 Force Majeure. Either party has the right to terminate this Agreement if a Force Majeure event
suspends performance of this Agreement for a period of forty-five (45) days or more.
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7
1.3 Lack of Appropriations. If you should not appropriate or otherwise receive funds sufficient to
purchase, lease, operate, or maintain the software or services set forth in this Agreement, you
may unilaterally terminate this Agreement upon thirty (30) days written notice to us. You will
not be entitled to a refund or offset of previously paid license and other fees. You agree not to
use termination for lack of appropriations as a substitute for termination for convenience.
SECTION H – INDEMNIFICATION, LIMITATION OF LIABILITY AND INSURANCE
1. Intellectual Property Infringement Indemnification.
1.1 We will defend you against any third party claim(s) that the Tyler Software or Documentation
infringes that third party’s patent, copyright, or trademark, or misappropriates its trade secrets,
and will pay the amount of any resulting adverse final judgment (or settlement to which we
consent). You must notify us promptly in writing of the claim and give us sole control over its
defense or settlement. You agree to provide us with reasonable assistance, cooperation, and
information in defending the claim at our expense.
1.2 Our obligations under this Section H(1) will not apply to the extent the claim or adverse final
judgment is based on your: (a) use of a previous version of the Tyler Software and the claim
would have been avoided had you installed and used the current version of the Tyler Software,
and we provided notice of that requirement to you; (b) combining the Tyler Software with any
product or device not provided, contemplated, or approved by us; (c) altering or modifying the
Tyler Software, including any modification by third parties at your direction or otherwise
permitted by you; (d) use of the Tyler Software in contradiction of this Agreement, including
with non-licensed third parties; or (e) willful infringement, including use of the Tyler Software
after we notify you to discontinue use due to such a claim.
1.3 If we receive information concerning an infringement or misappropriation claim related to the
Tyler Software, we may, at our expense and without obligation to do so, either: (a) procure for
you the right to continue its use; (b) modify it to make it non-infringing; or (c) replace it with a
functional equivalent, in which case you will stop running the allegedly infringing Tyler Software
immediately. Alternatively, we may decide to litigate the claim to judgment, in which case you
may continue to use the Tyler Software consistent with the terms of this Agreement.
1.4 If an infringement or misappropriation claim is fully litigated and your use of the Tyler Software
is enjoined by a court of competent jurisdiction, in addition to paying any adverse final
judgment (or settlement to which we consent), we will, at our option, either: (a) procure the
right to continue its use; (b) modify it to make it non-infringing; (c) replace it with a functional
equivalent; or (d) terminate your license and refund the license fees paid for the infringing Tyler
Software, as depreciated on a straight-line basis measured over seven (7) years from the
Effective Date. We will pursue those options in the order listed herein. This section provides
your exclusive remedy for third party copyright, patent, or trademark infringement and trade
secret misappropriation claims.
2. General Indemnification.
2.1 We will indemnify and hold harmless you and your agents, officials, and employees from and
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against any and all third-party claims, losses, liabilities, damages, costs, and expenses (including
reasonable attorney's fees and costs) for (a) personal injury or property damage to the extent
caused by our negligence or willful misconduct; or (b) our violation of PCI DSS requirements or a
law applicable to our performance under this Agreement. You must notify us promptly in
writing of the claim and give us sole control over its defense or settlement. You agree to
provide us with reasonable assistance, cooperation, and information in defending the claim at
our expense.
2.2 To the extent permitted by applicable law, you will indemnify and hold harmless us and our
agents, officials, and employees from and against any and all third-party claims, losses,
liabilities, damages, costs, and expenses (including reasonable attorney's fees and costs) for
personal injury or property damage to the extent caused by your negligence or willful
misconduct; or (b) your violation of a law applicable to your performance under this Agreement.
We will notify you promptly in writing of the claim and will give you sole control over its defense
or settlement. We agree to provide you with reasonable assistance, cooperation, and
information in defending the claim at your expense.
3. DISCLAIMER. EXCEPT FOR THE EXPRESS WARRANTIES PROVIDED IN THIS AGREEMENT AND TO
THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW, WE HEREBY DISCLAIM ALL OTHER
WARRANTIES AND CONDITIONS, WHETHER EXPRESS, IMPLIED, OR STATUTORY, INCLUDING, BUT
NOT LIMITED TO, ANY IMPLIED WARRANTIES, DUTIES, OR CONDITIONS OF MERCHANTABILITY OR
FITNESS FOR A PARTICULAR PURPOSE.
4. LIMITATION OF LIABILITY. EXCEPT AS OTHERWISE EXPRESSLY SET FORTH IN THIS AGREEMENT,
OUR LIABILITY FOR DAMAGES ARISING OUT OF THIS AGREEMENT, WHETHER BASED ON A THEORY
OF CONTRACT OR TORT, INCLUDING NEGLIGENCE AND STRICT LIABILITY, SHALL BE LIMITED TO
YOUR ACTUAL DIRECT DAMAGES, NOT TO EXCEED (A) PRIOR TO FORMAL TRANSITION TO
MAINTENANCE AND SUPPORT, THE TOTAL ONE-TIME FEES SET FORTH IN THE INVESTMENT
SUMMARY; OR (B) AFTER FORMAL TRANSITION TO MAINTENANCE AND SUPPORT, THE THEN-
CURRENT ANNUAL MAINTENANCE AND SUPPORT FEE. THE PARTIES ACKNOWLEDGE AND AGREE
THAT THE PRICES SET FORTH IN THIS AGREEMENT ARE SET IN RELIANCE UPON THIS LIMITATION
OF LIABILITY AND TO THE MAXIMUM EXTENT ALLOWED UNDER APPLICABLE LAW, THE EXCLUSION
OF CERTAIN DAMAGES, AND EACH SHALL APPLY REGARDLESS OF THE FAILURE OF AN ESSENTIAL
PURPOSE OF ANY REMEDY. THE FOREGOING LIMITATION OF LIABILITY SHALL NOT APPLY TO
CLAIMS THAT ARE SUBJECT TO SECTIONS H(1) AND H(2).
5. EXCLUSION OF CERTAIN DAMAGES. TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW,
IN NO EVENT SHALL WE BE LIABLE FOR ANY SPECIAL, INCIDENTAL, PUNITIVE, INDIRECT, OR
CONSEQUENTIAL DAMAGES WHATSOEVER, EVEN IF WE HAVE BEEN ADVISED OF THE POSSIBILITY
OF SUCH DAMAGES.
6. Insurance. During the course of performing services under this Agreement, we agree to maintain
the following levels of insurance: (a) Commercial General Liability of at least $1,000,000; (b)
Automobile Liability of at least $1,000,000; (c) Professional Liability of at least $1,000,000; (d)
Workers Compensation complying with applicable statutory requirements; and (e) Excess/Umbrella
Liability of at least $5,000,000. We will add you as an additional insured to our Commercial General
Liability and Automobile Liability policies, which will automatically add you as an additional insured
to our Excess/Umbrella Liability policy as well. We will provide you with copies of certificates of
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9
insurance upon your written request.
SECTION I – GENERAL TERMS AND CONDITIONS
1. Additional Products and Services. You may purchase additional products and services at the rates
set forth in the Investment Summary for twelve (12) months from the Effective Date, and thereafter
at our then-current list price, by executing a mutually agreed addendum. If no rate is provided in
the Investment Summary, or those twelve (12) months have expired, you may purchase additional
products and services at our then-current list price, also by executing a mutually agreed addendum.
The terms of this Agreement will control any such additional purchase(s), unless otherwise
specifically provided in the addendum.
2. Optional Items. Pricing for any listed optional products and services in the Investment Summary will
be valid for twelve (12) months from the Effective Date.
3. Dispute Resolution. You agree to provide us with written notice within thirty (30) days of becoming
aware of a dispute. You agree to cooperate with us in trying to reasonably resolve all disputes,
including, if requested by either party, appointing a senior representative to meet and engage in
good faith negotiations with our appointed senior representative. Senior representatives will
convene within thirty (30) days of the written dispute notice, unless otherwise agreed. All meetings
and discussions between senior representatives will be deemed confidential settlement discussions
not subject to disclosure under Federal Rule of Evidence 408 or any similar applicable state rule. If
we fail to resolve the dispute, then the parties shall participate in non-binding mediation in an effort
to resolve the dispute. If the dispute remains unresolved after mediation, then either of us may
assert our respective rights and remedies in a court of competent jurisdiction. Nothing in this
section shall prevent you or us from seeking necessary injunctive relief during the dispute resolution
procedures.
4. Taxes. The fees in the Investment Summary do not include any taxes, including, without limitation,
sales, use, or excise tax. If you are a tax-exempt entity, you agree to provide us with a tax-exempt
certificate. Otherwise, we will pay all applicable taxes to the proper authorities and you will
reimburse us for such taxes. If you have a valid direct-pay permit, you agree to provide us with a
copy. For clarity, we are responsible for paying our income taxes, both federal and state, as
applicable, arising from our performance of this Agreement.
5. Nondiscrimination. We will not discriminate against any person employed or applying for
employment concerning the performance of our responsibilities under this Agreement. This
discrimination prohibition will apply to all matters of initial employment, tenure, and terms of
employment, or otherwise with respect to any matter directly or indirectly relating to employment
concerning race, color, religion, national origin, age, sex, sexual orientation, ancestry, disability that
is unrelated to the individual's ability to perform the duties of a particular job or position, height,
weight, marital status, or political affiliation. We will post, where appropriate, all notices related to
nondiscrimination as may be required by applicable law.
6. E-Verify. We have complied, and will comply, with the E-Verify procedures administered by the U.S.
Citizenship and Immigration Services Verification Division for all of our employees assigned to your
project.
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7. Subcontractors. We will not subcontract any services under this Agreement without your prior
written consent, not to be unreasonably withheld.
8. Binding Effect; No Assignment. This Agreement shall be binding on, and shall be for the benefit of,
either your or our successor(s) or permitted assign(s). Neither party may assign this Agreement
without the prior written consent of the other party; provided, however, your consent is not
required for an assignment by us as a result of a corporate reorganization, merger, acquisition, or
purchase of substantially all of our assets.
9. Force Majeure. Except for your payment obligations, neither party will be liable for delays in
performing its obligations under this Agreement to the extent that the delay is caused by Force
Majeure; provided, however, that within ten (10) business days of the Force Majeure event, the
party whose performance is delayed provides the other party with written notice explaining the
cause and extent thereof, as well as a request for a reasonable time extension equal to the
estimated duration of the Force Majeure event.
10. No Intended Third Party Beneficiaries. This Agreement is entered into solely for the benefit of you
and us. No third party will be deemed a beneficiary of this Agreement, and no third party will have
the right to make any claim or assert any right under this Agreement. This provision does not affect
the rights of third parties under any Third Party Terms.
11. Entire Agreement; Amendment. This Agreement represents the entire agreement between you and
us with respect to the subject matter hereof, and supersedes any prior agreements, understandings,
and representations, whether written, oral, expressed, implied, or statutory. Purchase orders
submitted by you, if any, are for your internal administrative purposes only, and the terms and
conditions contained in those purchase orders will have no force or effect. This Agreement may only
be modified by a written amendment signed by an authorized representative of each party.
12. Severability. If any term or provision of this Agreement is held invalid or unenforceable, the
remainder of this Agreement will be considered valid and enforceable to the fullest extent
permitted by law.
13. No Waiver. In the event that the terms and conditions of this Agreement are not strictly enforced
by either party, such non-enforcement will not act as or be deemed to act as a waiver or
modification of this Agreement, nor will such non-enforcement prevent such party from enforcing
each and every term of this Agreement thereafter.
14. Independent Contractor. We are an independent contractor for all purposes under this Agreement.
15. Notices. All notices or communications required or permitted as a part of this Agreement, such as
notice of an alleged material breach for a termination for cause or a dispute that must be submitted
to dispute resolution, must be in writing and will be deemed delivered upon the earlier of the
following: (a) actual receipt by the receiving party; (b) upon receipt by sender of a certified mail,
return receipt signed by an employee or agent of the receiving party; (c) upon receipt by sender of
proof of email delivery; or (d) if not actually received, five (5) days after deposit with the United
States Postal Service authorized mail center with proper postage (certified mail, return receipt
requested) affixed and addressed to the other party at the address set forth on the signature page
hereto or such other address as the party may have designated by proper notice. The consequences
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11
for the failure to receive a notice due to improper notification by the intended receiving party of a
change in address will be borne by the intended receiving party.
16. Client Lists. You agree that we may identify you by name in client lists, marketing presentations, and
promotional materials.
17. Confidentiality. Both parties recognize that their respective employees and agents, in the course of
performance of this Agreement, may be exposed to confidential information and that disclosure of
such information could violate rights to private individuals and entities, including the parties.
Confidential information is nonpublic information that a reasonable person would believe to be
confidential and includes, without limitation, personal identifying information (e.g., social security
numbers) and trade secrets, each as defined by applicable state law. Each party agrees that it will
not disclose any confidential information of the other party and further agrees to take all reasonable
and appropriate action to prevent such disclosure by its employees or agents. The confidentiality
covenants contained herein will survive the termination or cancellation of this Agreement. This
obligation of confidentiality will not apply to information that:
(a) is in the public domain, either at the time of disclosure or afterwards, except by breach of
this Agreement by a party or its employees or agents;
(b) a party can establish by reasonable proof was in that party's possession at the time of initial
disclosure;
(c) a party receives from a third party who has a right to disclose it to the receiving party; or
(d) is the subject of a legitimate disclosure request under the open records laws or similar
applicable public disclosure laws governing this Agreement; provided, however, that in the
event you receive an open records or other similar applicable request, you will give us
prompt notice and otherwise perform the functions required by applicable law.
18. Business License. In the event a local business license is required for us to perform services
hereunder, you will promptly notify us and provide us with the necessary paperwork and/or contact
information so that we may timely obtain such license.
19. Governing Law. This Agreement will be governed by and construed in accordance with the laws of
your state of domicile, without regard to its rules on conflicts of law.
20. Multiple Originals and Authorized Signatures. This Agreement may be executed in multiple
originals, any of which will be independently treated as an original document. Any electronic, faxed,
scanned, photocopied, or similarly reproduced signature on this Agreement or any amendment
hereto will be deemed an original signature and will be fully enforceable as if an original signature.
Each party represents to the other that the signatory set forth below is duly authorized to bind that
party to this Agreement.
21. Cooperative Procurement. To the maximum extent permitted by applicable law, we agree that this
Agreement may be used as a cooperative procurement vehicle by eligible jurisdictions. We reserve
the right to negotiate and customize the terms and conditions set forth herein, including but not
limited to pricing, to the scope and circumstances of that cooperative procurement.
22. Contract Documents. This Agreement includes the following exhibits:
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12
Exhibit A Investment Summary
Exhibit B Invoicing and Payment Policy
Schedule 1: Business Travel Policy
Exhibit C Maintenance and Support Agreement
Schedule 1: Support Call Process
IN WITNESS WHEREOF, a duly authorized representative of each party has executed this Agreement as
of the date(s) set forth below.
Tyler Technologies, Inc. City of San Bernardino
By: By:
Name: Name:
Title: Title:
Date: Date:
Address for Notices: Address for Notices:
Tyler Technologies, Inc. City of San Bernardino
One Tyler Drive 300 North D Street
Yarmouth, ME 04096 San Bernardino, CA 92418
Attention: Chief Legal Officer Attention: ______________________________
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Packet Pg. 490 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit A
1
Exhibit A
Investment Summary
The following Investment Summary details the software, products, and services to be delivered by us to
you under the Agreement. This Investment Summary is effective as of the Effective Date. Capitalized
terms not otherwise defined will have the meaning assigned to such terms in the Agreement.
REMAINDER OF PAGE INTENTIONALLY LEFT BLANK
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Packet Pg. 491 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
137095 4/22/2020
San Bernardino, CA
City San Bernardino, CA
Attn: June Yotsuya
300 North D Street
San Bernardino, CA 92418
United States
Attn : June Yotsuya
Company
Agreement ID :
Order No.Date Page
San Bernardino, CA
City San Bernardino, CA
Attn: June Yotsuya
300 North D Street
San Bernardino, CA 92418
United States
Attn: June Yotsuya
Order Type : Sales Order Status : Open Hold Status : N Company : 045 Territory : 031
045
Customer No Customer PO # Payment Terms Ship Via Sales Person
50197 Net 45 MISC HOUSE
Ship To :Bill To :
Sales Order Acknowledgement
1 of 4
ProcessSeqMntSKU Code/
Description/Comments
PSA Linked
Status
Cancellation
Date
StatusSSP
O/Ride
DR User
Start Date
DR Templ
Code
DR
Hold
TotalDisc %RateUsersUnits DR User
End Date
SSP
O/Ride Amt
SSP
Category
Tax
NWERPUL2SL-M 1,735.00 1.00New Sale 1 1N 0% 1,735.00 N RATABLE 07/01/2020 06/30/2021 Y $1,735.00 OpenY
SUPPORT & UPDATE LICENSING - User License to Site License
NWERPFMA-M 43,195.00 1.00New Sale 1 2N 0% 43,195.00 N RATABLE 07/01/2020 06/30/2021 Y $43,195.00 OpenY
SUPPORT & UPDATE LICENSING - FM Base Suite
NWERPBR-M 5,200.00 1.00New Sale 1 3N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - Bank Rec
NWERPMISCBR-M 5,200.00 1.00New Sale 1 4N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - Misc. Billing & Receivables
NWERPPURCHASING-
M
5,200.00 1.00New Sale 1 5N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - PURCHASING
NWERPREQ-M 5,200.00 1.00New Sale 1 6N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - REQUISITIONS
NWERPPROJA-M 5,200.00 1.00New Sale 1 7N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - Project Accounting
NWERPGA-M 5,200.00 1.00New Sale 1 8N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - Grant Management
NWERPBM-M 5,200.00 1.00New Sale 1 9N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - BID & QUOTE MANAGEMENT
NWERPINV-M 5,200.00 1.00New Sale 1 10N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - INVENTORY
NWERPCM-M 5,200.00 1.00New Sale 1 11N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - CONTRACT ACCOUNTING
NWERP3PR-M 5,200.00 1.00New Sale 1 12N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - THIRD PARTY RECEIVABLES
NWERPGASB-M 5,200.00 1.00New Sale 1 13N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - GASB Reporting
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Packet Pg. 492 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to
137095 4/22/2020
San Bernardino, CA
City San Bernardino, CA
Attn: June Yotsuya
300 North D Street
San Bernardino, CA 92418
United States
Attn : June Yotsuya
Company
Agreement ID :
Order No.Date Page
San Bernardino, CA
City San Bernardino, CA
Attn: June Yotsuya
300 North D Street
San Bernardino, CA 92418
United States
Attn: June Yotsuya
Order Type : Sales Order Status : Open Hold Status : N Company : 045 Territory : 031
045
Customer No Customer PO # Payment Terms Ship Via Sales Person
50197 Net 45 MISC HOUSE
Ship To :Bill To :
Sales Order Acknowledgement
2 of 4
ProcessSeqMntSKU Code/
Description/Comments
PSA Linked
Status
Cancellation
Date
StatusSSP
O/Ride
DR User
Start Date
DR Templ
Code
DR
Hold
TotalDisc %RateUsersUnits DR User
End Date
SSP
O/Ride Amt
SSP
Category
Tax
NWERPFA-M 5,200.00 1.00New Sale 1 14N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - Asset Management
NWERPHRA-M 5,040.00 1.00New Sale 1 15N 0% 5,040.00 N RATABLE 07/01/2020 06/30/2021 Y $5,040.00 OpenY
SUPPORT & UPDATE LICENSING - HR Base Suite
NWERPSSEBA-M 864.00 1.00New Sale 1 16N 0% 864.00 N RATABLE 07/01/2020 06/30/2021 Y $864.00 OpenY
SUPPORT & UPDATE LICENSING - Benefits Admin
NWERPEPERS-M 792.00 1.00New Sale 1 17N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - Personnel Action Processing
NWERPPB-M 792.00 1.00New Sale 1 18N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - Position Budgeting
NWERPTA-M 360.00 1.00New Sale 1 19N 0% 360.00 N RATABLE 07/01/2020 06/30/2021 Y $360.00 OpenY
SUPPORT & UPDATE LICENSING - TIME AND ATTENDANCE INTERFACE
NWERPAT-M 792.00 1.00New Sale 1 20N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - APPLICANT TRACKING
NWERPERT-M 792.00 1.00New Sale 1 21N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - EMPLOYEE RETIREMENT TRACKING
NWERPEET-M 792.00 1.00New Sale 1 22N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - EMPLOYEE EVENT TRACKING
NWERPCBA-M 792.00 1.00New Sale 1 23N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - COBRA BILLING ADMINISTRATION
NWERPWCA-M 792.00 1.00New Sale 1 24N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - WORKERS COMPENSATION ADMIN
NWERPBT-M 792.00 1.00New Sale 1 25N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - BENEFITS TRACKING (NON-EMPLOYEE)
NWERPPERMIT-M 594.00 1.00New Sale 1 26N 0% 594.00 N RATABLE 07/01/2020 06/30/2021 Y $594.00 OpenY
SUPPORT & UPDATE LICENSING - PERMITS
NWERPCE-M 396.00 1.00New Sale 1 27N 0% 396.00 N RATABLE 07/01/2020 06/30/2021 Y $396.00 OpenY
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Packet Pg. 493 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to
137095 4/22/2020
San Bernardino, CA
City San Bernardino, CA
Attn: June Yotsuya
300 North D Street
San Bernardino, CA 92418
United States
Attn : June Yotsuya
Company
Agreement ID :
Order No.Date Page
San Bernardino, CA
City San Bernardino, CA
Attn: June Yotsuya
300 North D Street
San Bernardino, CA 92418
United States
Attn: June Yotsuya
Order Type : Sales Order Status : Open Hold Status : N Company : 045 Territory : 031
045
Customer No Customer PO # Payment Terms Ship Via Sales Person
50197 Net 45 MISC HOUSE
Ship To :Bill To :
Sales Order Acknowledgement
3 of 4
ProcessSeqMntSKU Code/
Description/Comments
PSA Linked
Status
Cancellation
Date
StatusSSP
O/Ride
DR User
Start Date
DR Templ
Code
DR
Hold
TotalDisc %RateUsersUnits DR User
End Date
SSP
O/Ride Amt
SSP
Category
Tax
SUPPORT & UPDATE LICENSING - CODE ENFORCEMENT
NWERPRST-M 396.00 1.00New Sale 1 28N 0% 396.00 N RATABLE 07/01/2020 06/30/2021 Y $396.00 OpenY
SUPPORT & UPDATE LICENSING - REQUEST FOR SERVICES TRACKING
NWERPBL-M 792.00 1.00New Sale 1 29N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - Business Licensing
NWERPMI-M 792.00 1.00New Sale 1 30N 0% 792.00 N RATABLE 07/01/2020 06/30/2021 Y $792.00 OpenY
SUPPORT & UPDATE LICENSING - MUNICIPAL INSPECTIONS
NWERPPMS-M 477.00 1.00New Sale 1 31N 0% 477.00 N RATABLE 07/01/2020 06/30/2021 Y $477.00 OpenY
SUPPORT & UPDATE LICENSING - PARCEL MANAGEMENT
NWERPCGISI-M 180.00 1.00New Sale 1 32N 0% 180.00 N RATABLE 07/01/2020 06/30/2021 Y $180.00 OpenY
SUPPORT & UPDATE LICENSING - COMMUNITY GIS INTEGRATION
NWERPPP-M 396.00 1.00New Sale 1 33N 0% 396.00 N RATABLE 07/01/2020 06/30/2021 Y $396.00 OpenY
SUPPORT & UPDATE LICENSING - PROJECT PLANNING
NWERPDSBD-M 5,200.00 1.00New Sale 1 34N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - DECISION SUPPORT BASE DATAMART
NWERPFMA-M 5,200.00 1.00New Sale 1 35N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - FM ANALYTICS
NWERPFMD-M 5,200.00 1.00New Sale 1 36N 0% 5,200.00 N RATABLE 07/01/2020 06/30/2021 Y $5,200.00 OpenY
SUPPORT & UPDATE LICENSING - FM DASHBOARDS
NWERPHRA-M 234.00 1.00New Sale 1 37N 0% 234.00 N RATABLE 07/01/2020 06/30/2021 Y $234.00 OpenY
SUPPORT & UPDATE LICENSING - HR ANALYTICS
NWERPHRD-M 477.00 1.00New Sale 1 38N 0% 477.00 N RATABLE 07/01/2020 06/30/2021 Y $477.00 OpenY
SUPPORT & UPDATE LICENSING - HR DASHBOARDS
NWERPCDA-M 198.00 1.00New Sale 1 39N 0% 198.00 N RATABLE 07/01/2020 06/30/2021 Y $198.00 OpenY
SUPPORT & UPDATE LICENSING - CD ANALYTICS
NWERPCDD-M 378.00 1.00New Sale 1 40N 0% 378.00 N RATABLE 07/01/2020 06/30/2021 Y $378.00 OpenY
SUPPORT & UPDATE LICENSING - CD DASHBOARD
18.e
Packet Pg. 494 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to
137095 4/22/2020
San Bernardino, CA
City San Bernardino, CA
Attn: June Yotsuya
300 North D Street
San Bernardino, CA 92418
United States
Attn : June Yotsuya
Company
Agreement ID :
Order No.Date Page
San Bernardino, CA
City San Bernardino, CA
Attn: June Yotsuya
300 North D Street
San Bernardino, CA 92418
United States
Attn: June Yotsuya
Order Type : Sales Order Status : Open Hold Status : N Company : 045 Territory : 031
045
Customer No Customer PO # Payment Terms Ship Via Sales Person
50197 Net 45 MISC HOUSE
Ship To :Bill To :
Sales Order Acknowledgement
4 of 4
ProcessSeqMntSKU Code/
Description/Comments
PSA Linked
Status
Cancellation
Date
StatusSSP
O/Ride
DR User
Start Date
DR Templ
Code
DR
Hold
TotalDisc %RateUsersUnits DR User
End Date
SSP
O/Ride Amt
SSP
Category
Tax
NWERPESUITE-M 4,800.00 1.00New Sale 1 41N 0% 4,800.00 N RATABLE 07/01/2020 06/30/2021 Y $4,800.00 OpenY
SUPPORT & UPDATE LICENSING - eSUITE BASE (Payments)
NWERPSSEP-M 4,800.00 1.00New Sale 1 42N 0% 4,800.00 N RATABLE 07/01/2020 06/30/2021 Y $4,800.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE ePayments
NWERPSSES-M 4,800.00 1.00New Sale 1 43N 0% 4,800.00 N RATABLE 07/01/2020 06/30/2021 Y $4,800.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eSupplier
NWERPSSEBID-M 4,800.00 1.00New Sale 1 44N 0% 4,800.00 N RATABLE 07/01/2020 06/30/2021 Y $4,800.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eBid
NWERPSSEMB-M 4,800.00 1.00New Sale 1 45N 0% 4,800.00 N RATABLE 07/01/2020 06/30/2021 Y $4,800.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eMisc Billing
NWERPSSEBA-M 1,224.00 1.00New Sale 1 46N 0% 1,224.00 N RATABLE 07/01/2020 06/30/2021 Y $1,224.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eBenefits Admin
NWERPSSET-M 954.00 1.00New Sale 1 47N 0% 954.00 N RATABLE 07/01/2020 06/30/2021 Y $954.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eTimesheets
NWERPSSEE-M 720.00 1.00New Sale 1 48N 0% 720.00 N RATABLE 07/01/2020 06/30/2021 Y $720.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eEmployee
NWERPSSERECRUIT-
M
720.00 1.00New Sale 1 49N 0% 720.00 N RATABLE 07/01/2020 06/30/2021 Y $720.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eRecruit
NWERPSSEPERMIT-M 396.00 1.00New Sale 1 50N 0% 396.00 N RATABLE 07/01/2020 06/30/2021 Y $396.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE ePermits
NWERPSSELIC-M 558.00 1.00New Sale 1 51N 0% 558.00 N RATABLE 07/01/2020 06/30/2021 Y $558.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eLicense
NWERPSSEREQ-M 558.00 1.00New Sale 1 52N 0% 558.00 N RATABLE 07/01/2020 06/30/2021 Y $558.00 OpenY
SUPPORT & UPDATE LICENSING - SELF SERVICE eRequests
Tax : 0.00
Order Total: 169,970.00Currency Code : USD
18.e
Packet Pg. 495 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to
Exhibit B
1
Exhibit B
Invoicing and Payment Policy
We will provide you with the software and services set forth in the Investment Summary. Capitalized
terms not otherwise defined will have the meaning assigned to such terms in the Agreement.
Invoicing: We will invoice you for the applicable license and services fees in the Investment Summary as
set forth below. Your rights to dispute any invoice are set forth in the Agreement.
1. Tyler Software.
1.1 Maintenance and Support Fees: Maintenance and support fees for the period July 1, 2020
through June 30, 2021 are due prior to July 1, 2020. Subsequent maintenance and support
fees are invoiced annually in advance of each July 1. Your fees for each subsequent year will
be set at our then-current rates.
2. Expenses. The service rates in the Investment Summary do not include travel expenses.
Expenses for Tyler delivered services will be billed as incurred and only in accordance with our
then-current Business Travel Policy, plus a 10% travel agency processing fee. Our current
Business Travel Policy is attached to this Exhibit B at Schedule 1. Copies of receipts will be
provided upon request; we reserve the right to charge you an administrative fee depending on
the extent of your requests. Receipts for miscellaneous items less than twenty-five dollars and
mileage logs are not available.
Payment. Payment for undisputed invoices is due within forty-five (45) days of the invoice date. We
prefer to receive payments electronically. Our electronic payment information is:
Bank: Wells Fargo Bank, N.A.
420 Montgomery
San Francisco, CA 94104
ABA: 121000248
Account: 4124302472
Beneficiary: Tyler Technologies, Inc. – Operating
18.e
Packet Pg. 496 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit B
Schedule 1
1
Exhibit B
Schedule 1
Business Travel Policy
1. Air Travel
A. Reservations & Tickets
The Travel Management Company (TMC) used by Tyler will provide an employee with a direct flight
within two hours before or after the requested departure time, assuming that flight does not add
more than three hours to the employee’s total trip duration and the fare is within $100 (each way)
of the lowest logical fare. If a net savings of $200 or more (each way) is possible through a
connecting flight that is within two hours before or after the requested departure time and that
does not add more than three hours to the employee’s total trip duration, the connecting flight
should be accepted.
Employees are encouraged to make advanced reservations to take full advantage of discount
opportunities. Employees should use all reasonable efforts to make travel arrangements at least
two (2) weeks in advance of commitments. A seven (7) day advance booking requirement is
mandatory. When booking less than seven (7) days in advance, management approval will be
required.
Except in the case of international travel where a segment of continuous air travel is six (6) or more
consecutive hours in length, only economy or coach class seating is reimbursable. Employees shall
not be reimbursed for “Basic Economy Fares” because these fares are non-refundable and have
many restrictions that outweigh the cost-savings.
B. Baggage Fees
Reimbursement of personal baggage charges are based on trip duration as follows:
• Up to five (5) days = one (1) checked bag
• Six (6) or more days = two (2) checked bags
Baggage fees for sports equipment are not reimbursable.
18.e
Packet Pg. 497 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit B
Schedule 1
2
2. Ground Transportation
A. Private Automobile
Mileage Allowance – Business use of an employee’s private automobile will be reimbursed at the
current IRS allowable rate, plus out of pocket costs for tolls and parking. Mileage will be calculated
by using the employee's office as the starting and ending point, in compliance with IRS regulations.
Employees who have been designated a home office should calculate miles from their home.
B. Rental Car
Employees are authorized to rent cars only in conjunction with air travel when cost, convenience,
and the specific situation reasonably require their use. When renting a car for Tyler business,
employees should select a “mid-size” or “intermediate” car. “Full” size cars may be rented when
three or more employees are traveling together. Tyler carries leased vehicle coverage for business
car rentals; except for employees traveling to Alaska and internationally (excluding Canada),
additional insurance on the rental agreement should be declined.
C. Public Transportation
Taxi or airport limousine services may be considered when traveling in and around cities or to and
from airports when less expensive means of transportation are unavailable or impractical. The
actual fare plus a reasonable tip (15-18%) are reimbursable. In the case of a free hotel shuttle to the
airport, tips are included in the per diem rates and will not be reimbursed separately.
D. Parking & Tolls
When parking at the airport, employees must use longer term parking areas that are measured in
days as opposed to hours. Park and fly options located near some airports may also be used. For
extended trips that would result in excessive parking charges, public transportation to/from the
airport should be considered. Tolls will be reimbursed when receipts are presented.
3. Lodging
Tyler’s TMC will select hotel chains that are well established, reasonable in price, and conveniently
located in relation to the traveler's work assignment. Typical hotel chains include Courtyard,
Fairfield Inn, Hampton Inn, and Holiday Inn Express. If the employee has a discount rate with a local
hotel, the hotel reservation should note that discount and the employee should confirm the lower
rate with the hotel upon arrival. Employee memberships in travel clubs such as AAA should be
noted in their travel profiles so that the employee can take advantage of any lower club rates.
“No shows” or cancellation fees are not reimbursable if the employee does not comply with the
hotel’s cancellation policy.
Tips for maids and other hotel staff are included in the per diem rate and are not reimbursed
separately.
18.e
Packet Pg. 498 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit B
Schedule 1
3
Employees are not authorized to reserve non-traditional short-term lodging, such as Airbnb, VRBO,
and HomeAway. Employees who elect to make such reservations shall not be reimbursed.
4. Meals and Incidental Expenses
Employee meals and incidental expenses while on travel status within the continental U.S. are in
accordance with the federal per diem rates published by the General Services Administration.
Incidental expenses include tips to maids, hotel staff, and shuttle drivers and other minor travel
expenses. Per diem rates are available at www.gsa.gov/perdiem.
Per diem for Alaska, Hawaii, U.S. protectorates and international destinations are provided
separately by the Department of State and will be determined as required.
A. Overnight Travel
For each full day of travel, all three meals are reimbursable. Per diems on the first and last day of a
trip are governed as set forth below.
Departure Day
Depart before 12:00 noon Lunch and dinner
Depart after 12:00 noon
Return Day
Dinner
Return before 12:00 noon Breakfast
Return between 12:00 noon & 7:00 p.m. Breakfast and lunch
Return after 7:00 p.m.* Breakfast, lunch and dinner
*7:00 p.m. is defined as direct travel time and does not include time taken to stop for dinner.
The reimbursement rates for individual meals are calculated as a percentage of the full day per diem
as follows:
Breakfast 15%
Lunch 25%
Dinner 60%
B. Same Day Travel
Employees traveling at least 100 miles to a site and returning in the same day are eligible to claim
lunch on an expense report. Employees on same day travel status are eligible to claim dinner in the
event they return home after 7:00 p.m.*
*7:00 p.m. is defined as direct travel time and does not include time taken to stop for dinner.
18.e
Packet Pg. 499 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit B
Schedule 1
4
5. Internet Access – Hotels and Airports
Employees who travel may need to access their e-mail at night. Many hotels provide free high
speed internet access and Tyler employees are encouraged to use such hotels whenever possible. If
an employee’s hotel charges for internet access it is reimbursable up to $10.00 per day. Charges for
internet access at airports are not reimbursable.
6. International Travel
All international flights with the exception of flights between the U.S. and Canada should be
reserved through TMC using the “lowest practical coach fare” with the exception of flights that are
six (6) or more consecutive hours in length. In such event, the next available seating class above
coach shall be reimbursed.
When required to travel internationally for business, employees shall be reimbursed for photo fees,
application fees, and execution fees when obtaining a new passport book, but fees related to
passport renewals are not reimbursable. Visa application and legal fees, entry taxes and departure
taxes are reimbursable.
The cost of vaccinations that are either required for travel to specific countries or suggested by the
U.S. Department of Health & Human Services for travel to specific countries, is reimbursable.
Section 4, Meals & Incidental Expenses, and Section 2.b., Rental Car, shall apply to this section.
18.e
Packet Pg. 500 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit C
1
Exhibit C
Maintenance and Support Agreement
We will provide you with the following maintenance and support services for the Tyler Software.
Capitalized terms not otherwise defined will have the meaning assigned to such terms in the Agreement.
1. Term. We provide maintenance and support services on an annual basis. The initial term
commences on July 1, 2020, and remains in effect for one (1) year. The term will renew
automatically for additional one (1) year terms unless terminated in writing by either party at least
thirty (30) days prior to the end of the then-current term. We will adjust the term to match your
first use of the Tyler Software in live production if that event precedes the one (1) year anniversary
of the Effective Date.
2. Maintenance and Support Fees. Your year 1 maintenance and support fees for the Tyler Software
are listed in the Investment Summary, and your payment obligations are set forth in the Invoicing
and Payment Policy. We reserve the right to suspend maintenance and support services if you fail
to pay undisputed maintenance and support fees within thirty (30) days of our written notice. We
will reinstate maintenance and support services only if you pay all past due maintenance and
support fees, including all fees for the periods during which services were suspended.
3. Maintenance and Support Services. As long as you are not using the Help Desk as a substitute for
our training services on the Tyler Software, and you timely pay your maintenance and support fees,
we will, consistent with our then-current Support Call Process:
3.1 perform our maintenance and support obligations in a professional, good, and workmanlike
manner, consistent with industry standards, to resolve Defects in the Tyler Software (limited to
the then-current version and the immediately prior version); provided, however, that if you
modify the Tyler Software without our consent, our obligation to provide maintenance and
support services on and warrant the Tyler Software will be void;
3.2 provide telephone support during our established support hours;
3.3 maintain personnel that are sufficiently trained to be familiar with the Tyler Software and Third
Party Software, if any, in order to provide maintenance and support services;
3.4 provide you with a copy of all major and minor releases to the Tyler Software (including updates
and enhancements) that we make generally available without additional charge to customers
who have a maintenance and support agreement in effect; and
3.5 provide non-Defect resolution support of prior releases of the Tyler Software in accordance with
our then-current release life cycle policy.
18.e
Packet Pg. 501 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit C
2
4. Client Responsibilities. We will use all reasonable efforts to perform any maintenance and support
services remotely. Currently, we use a third-party secure unattended connectivity tool called
Bomgar, as well as GotoAssist by Citrix. Therefore, you agree to maintain a high-speed internet
connection capable of connecting us to your PCs and server(s). You agree to provide us with a login
account and local administrative privileges as we may reasonably require to perform remote
services. We will, at our option, use the secure connection to assist with proper diagnosis and
resolution, subject to any reasonably applicable security protocols. If we cannot resolve a support
issue remotely, we may be required to provide onsite services. In such event, we will be responsible
for our travel expenses, unless it is determined that the reason onsite support was required was a
reason outside our control. Either way, you agree to provide us with full and free access to the Tyler
Software, working space, adequate facilities within a reasonable distance from the equipment, and
use of machines, attachments, features, or other equipment reasonably necessary for us to provide
the maintenance and support services, all at no charge to us. We strongly recommend that you also
maintain a VPN for backup connectivity purposes.
5. Hardware and Other Systems. If you are a self-hosted customer and, in the process of diagnosing a
software support issue, it is discovered that one of your peripheral systems or other software is the
cause of the issue, we will notify you so that you may contact the support agency for that peripheral
system. We cannot support or maintain Third Party Products except as expressly set forth in the
Agreement.
In order for us to provide the highest level of software support, you bear the following responsibility
related to hardware and software:
(a) All infrastructure executing Tyler Software shall be managed by you;
(b) You will maintain support contracts for all non-Tyler software associated with Tyler Software
(including operating systems and database management systems, but excluding Third-Party
Software, if any); and
(c) You will perform daily database backups and verify that those backups are successful.
6. Other Excluded Services. Maintenance and support fees do not include fees for the following
services: (a) initial installation or implementation of the Tyler Software; (b) onsite maintenance and
support (unless Tyler cannot remotely correct a Defect in the Tyler Software, as set forth above); (c)
application design; (d) other consulting services; (e) maintenance and support of an operating
system or hardware, unless you are a hosted customer; (f) support outside our normal business
hours as listed in our then-current Support Call Process; or (g) installation, training services, or third
party product costs related to a new release. Requested maintenance and support services such as
those outlined in this section will be billed to you on a time and materials basis at our then current
rates. You must request those services with at least one (1) weeks’ advance notice.
7. Current Support Call Process. Our current Support Call Process for the Tyler Software is attached to
this Exhibit C at Schedule 1.
18.e
Packet Pg. 502 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit C
Schedule 1
1
Exhibit C
Schedule 1
Support Call Process
Support Channels
Tyler Technologies, Inc. provides the following channels of software support:
(1) Tyler Community – an on-line resource, Tyler Community provides a venue for all Tyler clients
with current maintenance agreements to collaborate with one another, share best practices and
resources, and access documentation.
(2) On-line submission (portal) – for less urgent and functionality-based questions, users may create
unlimited support incidents through the customer relationship management portal available at
the Tyler Technologies website.
(3) Email – for less urgent situations, users may submit unlimited emails directly to the software
support group.
(4) Telephone – for urgent or complex questions, users receive toll-free, unlimited telephone
software support.
Support Resources
A number of additional resources are available to provide a comprehensive and complete support
experience:
(1) Tyler Website – www.tylertech.com – for accessing client tools and other information including
support contact information.
(2) Tyler Community – available through login, Tyler Community provides a venue for clients to
support one another and share best practices and resources.
(3) Knowledgebase – A fully searchable depository of thousands of documents related to
procedures, best practices, release information, and job aides.
(4) Program Updates – where development activity is made available for client consumption
Support Availability
Tyler Technologies support is available during the local business hours of 8 AM to 5 PM (Monday –
Friday) across four US time zones (Pacific, Mountain, Central and Eastern). Clients may receive coverage
across these time zones. Tyler’s holiday schedule is outlined below. There will be no support coverage
on these days.
New Year’s Day Thanksgiving Day
Memorial Day Day after Thanksgiving
Independence Day Christmas Day
Labor Day
18.e
Packet Pg. 503 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit C
Schedule 1
2
Issue Handling
Incident Tracking
Every support incident is logged into Tyler’s Customer Relationship Management System and given a
unique incident number. This system tracks the history of each incident. The incident tracking number is
used to track and reference open issues when clients contact support. Clients may track incidents, using
the incident number, through the portal at Tyler’s website or by calling software support directly.
Incident Priority
Each incident is assigned a priority number, which corresponds to the client’s needs and deadlines. The
client is responsible for reasonably setting the priority of the incident per the chart below. This chart is
not intended to address every type of support incident, and certain “characteristics” may or may not
apply depending on whether the Tyler software has been deployed on customer infrastructure or the
Tyler cloud. The goal is to help guide the client towards clearly understanding and communicating the
importance of the issue and to describe generally expected responses and resolutions.
Priority
Level Characteristics of Support Incident Resolution Targets
1
Critical
Support incident that causes (a)
complete application failure or
application unavailability; (b)
application failure or unavailability in
one or more of the client’s remote
location; or (c) systemic loss of
multiple essential system functions.
Tyler shall provide an initial response to Priority Level
1 incidents within one (1) business hour of receipt of
the support incident. Tyler shall use commercially
reasonable efforts to resolve such support incidents or
provide a circumvention procedure within one (1)
business day. For non-hosted customers, Tyler’s
responsibility for lost or corrupted data is limited to
assisting the client in restoring its last available
database.
2
High
Support incident that causes (a)
repeated, consistent failure of
essential functionality affecting more
than one user or (b) loss or
corruption of data.
Tyler shall provide an initial response to Priority Level
2 incidents within four (4) business hours of receipt of
the support incident. Tyler shall use commercially
reasonable efforts to resolve such support incidents or
provide a circumvention procedure within ten (10)
business days. For non-hosted customers, Tyler’s
responsibility for loss or corrupted data is limited to
assisting the client in restoring its last available
database.
3
Medium
Priority Level 1 incident with an
existing circumvention procedure, or
a Priority Level 2 incident that affects
only one user or for which there is an
existing circumvention procedure.
Tyler shall provide an initial response to Priority Level
3 incidents within one (1) business day of receipt of
the support incident. Tyler shall use commercially
reasonable efforts to resolve such support incidents
without the need for a circumvention procedure with
the next published maintenance update or service
pack. For non-hosted customers, Tyler’s responsibility
for lost or corrupted data is limited to assisting the
client in restoring its last available database.
18.e
Packet Pg. 504 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Exhibit C
Schedule 1
3
Priority
Level Characteristics of Support Incident Resolution Targets
4
Non-
critical
Support incident that causes failure
of non-essential functionality or a
cosmetic or other issue that does not
qualify as any other Priority Level.
Tyler shall provide an initial response to Priority Level
4 incidents within two (2) business days. Tyler shall
use commercially reasonable efforts to resolve such
support incidents, as well as cosmetic issues, with a
future version release.
Incident Escalation
Tyler Technology’s software support consists of four levels of personnel:
(1) Level 1: front-line representatives
(2) Level 2: more senior in their support role, they assist front-line representatives and take on
escalated issues
(3) Level 3: assist in incident escalations and specialized client issues
(4) Level 4: responsible for the management of support teams for either a single product or a
product group
If a client feels they are not receiving the service needed, they may contact the appropriate Software
Support Manager. After receiving the incident tracking number, the manager will follow up on the open
issue and determine the necessary action to meet the client’s needs.
On occasion, the priority or immediacy of a software support incident may change after initiation. Tyler
encourages clients to communicate the level of urgency or priority of software support issues so that we
can respond appropriately. A software support incident can be escalated by any of the following
methods:
(1) Telephone – for immediate response, call toll-free to either escalate an incident’s priority or to
escalate an issue through management channels as described above.
(2) Email – clients can send an email to software support in order to escalate the priority of an issue
(3) On-line Support Incident Portal – clients can also escalate the priority of an issue by logging into
the client incident portal and referencing the appropriate incident tracking number.
Remote Support Tool
Some support calls require further analysis of the client’s database, process or setup to diagnose a
problem or to assist with a question. Tyler will, at its discretion, use an industry-standard remote
support tool. Support is able to quickly connect to the client’s desktop and view the site’s setup,
diagnose problems, or assist with screen navigation. More information about the remote support tool
Tyler uses is available upon request.
18.e
Packet Pg. 505 Attachment: IT.annual software renewals FY2020-2021 - ap4-tyler-finance (6782 : Resolution to Approve the FY 2020/21 Annual Usage,
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Michael Huntley, Community & Economic Development Director
Subject: Amendment No. 2 to Professional Services Agreement
Recommendation
Adopt Resolution 2020-138 of the Mayor and City Council of the City of San Bernardino,
California, authorizing the execution of Amendment No. 2 to Professional Services
Agreement for accounting consultant services between the City of San Bernardino and
Annie Clark, in an amount not to exceed $92,200; and authorize the City Manager or
designee to take any further actions as necessary to effectuate the agreement.
Background
The City’s consultant, Ms. Annie Clark, began consulting with the City of San
Bernardino (City) in January 2016. She provides finance services to the Housing
Division with a primary focus on fiscal administration of the Community Development
Block Grant (CDBG), Emergency Solutions Grant (ESG), Neighborhood Stabilization
Programs (NSG), HOME Investment Partnerships Program and the Low/Mod Housing
Fund. The Housing Division has regained fiscal stability with the assistance of Ms.
Clark and she has made excellent progress a t clearing many of the audit findings noted
by the auditors, relative to various federal grant programs the City receives.
Additionally, Ms. Clark acts in the capacity of a grant liaison between the City’s Finance
Department, City Manager’s Office, the Library, Parks, Recreation & Community
Services, the Police Department and Public Works. The City has a continuing need in
its various grant programs that will greatly benefit from Ms. Clark’s expertise.
Discussion
Ms. Clark has been instrumental in providing the required accounting assistance that
has enabled the City to make substantial progress in improving the fiscal administration
of the HUD related grant programs noted above. There are also many other grant
programs that greatly benefit from her significant experience in working with the myriad
of special requirements that grant funds require for their acceptance and ongoing
management. Ms. Clark is exceptionally qualified to assist in the accounting, reporting
and financial management of HUD-related funding sources, state-funded grants, police
grants and social service grants such as the Senior Nutrition Program.
Her current contract will conclude on June 30, 2020. Amendment No. 2 will allow both
the Community & Economic Development and Finance D epartments to continue to
19
Packet Pg. 506
6739
Page 2
utilize her services. Staff’s proposal is to devote 70% of Ms. Clark’s time to the Housing
Division and 30% to the Finance Department, in order to accommodate a broader focus
on citywide grants administration. Utilizing Ms. Clark’s expertise during FY 2020/21 will
result in continuity of the ongoing work with the audit clean up and the grant programs.
2020-2025 Key Strategic Targets and Goals
The proposed consultant services agreement aligns with Key Target No. 1: Financial
Stability. Retaining Ms. Clark’s accounting consulting services will allow for continued
effective management and reporting of grants received by the City.
Fiscal Impact
The total cost of Ms. Clark’s services from July 1, 2020 to June 30, 2021 will not exce ed
$92,200. Sufficient resources have been included in the FY 2020/21 Proposed Budget
to fund the agreement; funding will be allocated 70% from CDBG (Community &
Economic Development account 119-180-2002*5502) and 30% from the General Fund
(Finance account 001-120-0039*5502).
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution 2020-138, authorizing the execution of Amendment No. 2 to
Professional Services Agreement for accounting consultant services between the City of
San Bernardino and Annie Clark, in an amount not to exceed $92,200; and authorizing
the City Manager or designee to take any further actions as necessary to effectuate the
agreement.
Attachments
Attachment 1 Resolution 2020-138; Exhibit “A” - Amendment No. 2 to the PSA
between the City of San Bernardino and Annie Clark Dated July 1,
2020
Attachment 2 Executed 2018 Professional Services Agreement
Attachment 3 Amendment No. 1 to Professional Services Agreement
Ward: All
Synopsis of Previous Council Actions:
March 7, 2017 Resolution No. 2017-28 Mayor and City Council authorized the first
amendment to the Professional Services Agreement with Ms. Clark
in an amount not to exceed $84,000.
June 21, 2017 Resolution No. 2017-110 Mayor and City Council authorized the
second amendment to the Professional Services Agreement with
Ms. Clark for accounting consultant services not to exceed
$90,000.
June 6, 2018 Resolution No. 2018-144 Mayor and City Council authorized a new
Professional Services Agreement with Ms. Clark in an amount not
to exceed $88,000.
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6739
Page 3
May 1, 2019 Mayor and City Council authorized the execution of Amendment
No. 1 to Professional Services Agreement with Ms. Clark in an
amount to exceed $91,200.
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RESOLUTION NO. 2020-138
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING THE EXECUTION OF A PROFESSIONAL
SERVICES AGREEMENT BETWEEN THE CITY OF SAN
BERNARDINO AND ANNIE CLARK FOR ACCOUNTING
CONSULTANT SERVICES
WHEREAS, on March 7, 2017, at the direction of the Mayor and City Council, the City
Manager executed the first amendment to the Professional Services Agreement between the City
of San Bernardino and Annie Clark in an amount no to exceed $84,000 for accounting consultant
services; and
WHEREAS, on June 21, 2017, at the direction of the Mayor and City Council, the City
Manager executed the second amendment to the Professional Services Agreement between the
City of San Bernardino and Annie Clark in an amount no to exceed $90,000 for accounting
consultant services; and
WHEREAS, on June 6, 2018, at the direction of the Mayor and City council, the City
Manager executed a new Professional Services Agreement with Annie Clark in an amount not to
exceed $88,000 ; and
WHEREAS, on May 1, 2019, at the direction of the Mayor and City council, the City
Manager executed the first amendment to the Professional Services Agreement between the City
of San Bernardino and Annie Clark in an amount no to exceed $91,200 for accounting consultant
services; and
WHEREAS, there is a continued need for accounting consulting services relative to the
grans management and accounting functions performed by Annie Clark.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized to execute the Second Amendment
to the Professional Services Agreement with Annie Clark and take any further actions as
necessary to effectuate the agreement attached to this Resolution as Exhibit A.
SECTION 3. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
19.a
Packet Pg. 509 Attachment: CED.PSA with Annie Clark.Attachment 2.Resolution (6739 : Amendment No. 2 to Professional Services Agreement)
Resolution No. 2020-138
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this 17th day of June 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
____________________________________
Sonia Carvalho, City Attorney
19.a
Packet Pg. 510 Attachment: CED.PSA with Annie Clark.Attachment 2.Resolution (6739 : Amendment No. 2 to Professional Services Agreement)
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-138, adopted at a regular meeting held on the 17th day of June
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this 17th day of June 2020.
Genoveva Rocha, CMC, Acting City Clerk
19.a
Packet Pg. 511 Attachment: CED.PSA with Annie Clark.Attachment 2.Resolution (6739 : Amendment No. 2 to Professional Services Agreement)
1
AMENDMENT NO. 2
TO THE PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF SAN
BERNARDINO AND ANNIE CLARK
This Amendment No. 2 to the Professional Services Agreement (“Second Amendment”)
is made and entered into this ___ day of June 2020, (“Effective Date”) by and between the City
of San Bernardino (“City”) and Annie Clark (“Consultant”). City and Consultant are sometimes
individually referred to as “Party” and collectively as “Parties.”
RECITALS
WHEREAS, the City and Consultant entered into a Professional Services Agreement on
June 6, 2018, setting forth the terms and conditions under which Consultant would perform
professional consulting services for the City (“Agreement”); and
WHEREAS, on July 1, 2019 the Parties extended the term of the Agreement to June 30,
2020 and modified the Consultant’s compensation to $87,500 (“First Amendment”); and
WHEREAS, now the Parties wish to extend the term of the Agreement, as amended by
the First Amendment, to June 30, 2021 to increase Consultant’s total compensation to $91,200.
TERMS
1. Section 1.9. A new Section 1.9 is added to the Agreement to read as follows:
1.9 Insurance. Consultant shall not commence work for the City until
Consultant has provided evidence satisfactory to the City and has secured all insurance
required under this section. In addition, Consultant shall not allow any subcontractor to
commence work on any subcontract until subcontractor has secured all insurance
required under this section.
a. Additional Insured
The City of San Bernardino, its officials, officers, employees, agents, and
volunteers shall be named as additional insureds on Consultant’s and its subconsultants’
policies of commercial general liability and automobile liability insurance using the
endorsements and forms specified herein or exact equivalents.
b. Commercial General Liability
(i) The Consultant shall take out and maintain, during the performance of all
work under the Agreement, in amounts not less than specified herein, Commercial
General Liability Insurance, in a form and with insurance companies acceptable to the
City.
(ii) Coverage for Commercial General Liability insurance shall be at least as
broad as the following:
19.b
Packet Pg. 512 Attachment: CED.PSA Amendment No. 2 with Annie Clark.Attachment 1 (6739 : Amendment No. 2 to Professional Services Agreement)
2
Insurance Services Office Commercial General Liability coverage (Occurrence
Form CG 00 01) or exact equivalent.
(iii) Commercial General Liability Insurance must include coverage for the
following:
(1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX) exclusion deleted
(7) Contractual Liability with respect to this Contract
(8) Broad Form Property Damage
(9) Independent Consultants Coverage
(iv) The policy shall contain no endorsements or provisions limiting coverage
for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured
against another; (3) products/completed operations liability; or (4) contain any other
exclusion contrary to the Agreement.
(v) The policy shall give the City, its elected and appointed officials, officers,
employees, agents, and City-designated volunteers additional insured status using ISO
endorsement forms CG 20 10 10 01 and 20 37 10 01, or endorsements providing the
exact same coverage.
(vi) The general liability program may utilize either deductibles or provide
coverage excess of a self-insured retention, subject to written approval by the City, and
provided that such deductibles shall not apply to the City as an additional insured.
c. Automobile Liability
(i) At all times during the performance of the work under the Agreement, the
Consultant shall maintain Automobile Liability Insurance for bodily injury and property
damage, including coverage for owned, non-owned and hired vehicles, in a form and with
insurance companies acceptable to the City.
(ii) Coverage for automobile liability insurance shall be at least as broad as
Insurance Services Office Form Number CA 00 01 covering automobile liability
(Coverage Symbol 1, any auto).
19.b
Packet Pg. 513 Attachment: CED.PSA Amendment No. 2 with Annie Clark.Attachment 1 (6739 : Amendment No. 2 to Professional Services Agreement)
3
(iii) The policy shall give the City, its elected and appointed officials, officers,
employees, agents and City-designated volunteers additional insured status.
(iv) Subject to written approval by the City, the automobile liability program
may utilize deductibles, provided that such deductibles shall not apply to the City as an
additional insured, but not a self-insured retention.
d. Workers’ Compensation/Employer’s Liability
(i) Consultant certifies that she is aware of the provisions of Section 3700 of
the California Labor Code which requires every employer to be insured against liability
for workers’ compensation or to undertake self-insurance in accordance with the
provisions of that code, and he/she will comply with such provisions before commencing
work under this Agreement.
(ii) To the extent Consultant has employees at any time during the term of this
Agreement at all times during the performance of the work under this Agreement, the
Consultant shall maintain full compensation insurance for all persons employed directly
by her to carry out the work contemplated under this Agreement, all in accordance with
the “Workers’ Compensation and Insurance Act,” Division IV of the Labor Code of the
State of California and any acts amendatory thereof, and Employer’s Liability Coverage
in amounts indicated herein. Consultant shall require all subconsultants to obtain and
maintain, for the period required by this Agreement, workers’ compensation coverage of
the same type and limits as specified in this section.
e. Professional Liability (Errors and Omissions)
At all times during the performance of the work under this Agreement, the
Consultant shall maintain professional liability or Errors and Omissions insurance
appropriate to its profession, in a form and with insurance companies acceptable to the
City and in an amount indicated herein. This insurance shall be endorsed to include
contractual liability applicable to this Agreement and shall be written on a policy form
coverage specifically designed to protect against acts, errors or omissions of the
Consultant. “Covered Professional Services” as designated in the policy must
specifically include work performed under this Agreement. The policy must “pay on
behalf of” the insured and must include a provision establishing the insurer's duty to
defend.
f. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:
Combined Single Limit
Commercial General Liability $1,000,000 per occurrence/$2,000,000
aggregate for bodily injury, personal injury,
and property damage
19.b
Packet Pg. 514 Attachment: CED.PSA Amendment No. 2 with Annie Clark.Attachment 1 (6739 : Amendment No. 2 to Professional Services Agreement)
4
Automobile Liability $1,000,000 per occurrence for bodily injury
and property damage
Employer’s Liability $1,000,000 per occurrence
Professional Liability $1,000,000 per claim and aggregate (errors
and omissions)
(ii) Defense costs shall be payable in addition to the limits.
(iii) Requirements of specific coverage or limits contained in this section are
not intended as a limitation on coverage, limits, or other requirement, or a waiver of any
coverage normally provided by any insurance. Any available coverage shall be provided
to the parties required to be named as Additional Insured pursuant to this Agreement.
g. Evidence Required
Prior to execution of the Agreement, Consultant shall file with the City evidence
of insurance from an insurer or insurers certifying to the coverage of all insurance
required herein. Such evidence shall include original copies of the ISO CG 00 01 (or
insurer’s equivalent) signed by the insurer’s representative and Certificate of Insurance
(Acord Form 25-S or equivalent), together with required endorsements. All evidence of
insurance shall be signed by a properly authorized officer, agent, or qualified
representative of the insurer and shall certify the names of the insured, any additional
insureds, where appropriate, the type and amount of the insurance, the location and
operations to which the insurance applies, and the expiration date of such insurance.
h. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior written
notice of cancellation of any policy required by this Agreement, except that Consultant
shall provide at least ten (10) days prior written notice of cancellation of any such policy
due to non-payment of the premium. If any of the required coverage is cancelled or
expires during the term of this Agreement, Consultant shall deliver renewal certificate(s)
including the General Liability Additional Insured Endorsement to the City at least ten
(10) days prior to the effective date of cancellation or expiration.
(ii) The Commercial General Liability Policy and Automobile Policy shall
each contain a provision stating that Consultant’s policy is primary insurance and that
any insurance, self-insurance or other coverage maintained by the City or any named
insureds shall not be called upon to contribute to any loss.
(iii) The retroactive date (if any) of each policy is to be no later than the
effective date of this Agreement. Consultant shall maintain such coverage continuously
for a period of at least three years after the completion of the work under this Agreement.
Consultant shall purchase a one (1) year extended reporting period A) if the retroactive
date is advanced past the effective date of this Agreement; B) if the policy is cancelled or
19.b
Packet Pg. 515 Attachment: CED.PSA Amendment No. 2 with Annie Clark.Attachment 1 (6739 : Amendment No. 2 to Professional Services Agreement)
5
not renewed; or C) if the policy is replaced by another claims -made policy with a
retroactive date subsequent to the effective date of this Agreement.
(iv) All required insurance coverages, except for the professional liability
coverage, shall contain or be endorsed to provide waiver of subrogation in favor of the
City, its officials, officers, employees, agents, and volunteers or shall specifically allow
Consultant or others providing insurance evidence in compliance with these
specifications to waive their right of recovery prior to a loss. Consultant hereby waives
her own right of recovery against City, and shall require similar written express waivers
and insurance clauses from each of its subconsultants.
(v) The limits set forth herein shall apply separately to each insured against
whom claims are made or suits are brought, except with respect to the limits of liability.
Further the limits set forth herein shall not be construed to relieve Consultant from
liability in excess of such coverage, nor shall it limit Consultant’s indemnification
obligations to the City and shall not preclude the City from taking such other actions
available to the City under other provisions of the Agreement or law.
i. Qualifying Insurers
(1) All policies required shall be issued by acceptable insurance companies, as
determined by the City, which satisfy the following minimum requirements:
(2) Each such policy shall be from a company or companies with a current
A.M. Best's rating of no less than A:VII and admitted to transact in the business of
insurance in the State of California, or otherwise allowed to place insurance through
surplus line brokers under applicable provisions of the California Insurance Code or any
federal law.
j. Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance
coverage to be maintained by Consultant, and any approval of said insurance by the City,
is not intended to and shall not in any manner limit or qualify the liabilities and
obligations otherwise assumed by Consultant pursuant to this Agreement, including, but
not limited to, the provisions concerning indemnification.
(ii) If at any time during the life of the Agreement, any policy of insurance
required under this Agreement does not comply with these specifications or is canceled
and not replaced, the City has the right, but not the duty, to obtain the insurance it deems
necessary and any premium paid by City will be promptly reimbursed by Consultant or
the City will withhold amounts sufficient to pay premium from Consultant payments. In
the alternative, the City may cancel this Agreement.
(iii) The City may require Consultant to provide complete copies of all
insurance policies in effect for the duration of the Project.
19.b
Packet Pg. 516 Attachment: CED.PSA Amendment No. 2 with Annie Clark.Attachment 1 (6739 : Amendment No. 2 to Professional Services Agreement)
6
(iv) Neither the City nor the City Council, nor any member of the City
Council, nor any of the officials, officers, employees, agents or volunteers shall be
personally responsible for any liability arising under or by virtue of this Agreement.
k. Subconsultant Insurance Requirements. Consultant shall not allow any
subcontractors or subconsultants to commence work on any subcontract until they have
provided evidence satisfactory to the City that they have secured all insurance required
under this section. Policies of commercial general liability insurance provided by such
subcontractors or subconsultants shall be endorsed to name the City as an additional
insured using ISO form CG 20 38 04 13 or an endorsement providing the exact same
coverage. If requested by Consultant, the City may approve different scopes or minimum
limits of insurance for particular subcontractors or subconsultants.
2. Execution of Amendment. In accordance with Section 4.14 of the Agreement, this
Second Amendment shall only be effective upon the execution by the City and Consultant.
3. Counterparts. This Second Amendment may be executed in counterparts.
4. Entire Agreement. This Second Amendment represents the entire understanding of the
City and the Consultant as to those matters contained in this Second Amendment, and supersedes
and cancels any prior oral or written understanding, promises or representatives with respect to
those matters covered in this Second Amendment, and it shall not be amended, altered or
changed except by a written agreement signed by the parties hereto.
5. Full Force and Effect. Except as amended by this Second Amendment, all other
provisions of the Agreement, as amended by First Amendment, remain in full force and effect.
From and after the date of this Second Amendment, whenever the term “Agreement” appears in
the Agreement, it shall mean the Agreement as amended by the First Amendment and this
Second Amendment.
6. Severability. If any provision of this Second Amendment shall be held invalid or
unenforceable by a court of competent jurisdiction, such holding shall not invalidate or render
unenforceable any other provision of this Second Amendment unless elimination of such
provision materially alters the rights and obligations set forth herein.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the day and
year first written above.
CITY
___________________________________
Teri Ledoux, City Manager
CONSULTANT
___________________________________
Annie Clark
19.b
Packet Pg. 517 Attachment: CED.PSA Amendment No. 2 with Annie Clark.Attachment 1 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 518 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 519 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 520 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 521 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 522 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 523 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 524 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 525 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 526 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 527 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.c
Packet Pg. 528 Attachment: CED.Executed 2018 Agreement with Annie Clark.Attachment 3 (6739 : Amendment No. 2 to Professional Services Agreement)
19.d
Packet Pg. 529 Attachment: CED.Amendment No.1.Attachment 4 (6739 : Amendment No. 2 to Professional Services Agreement)
19.d
Packet Pg. 530 Attachment: CED.Amendment No.1.Attachment 4 (6739 : Amendment No. 2 to Professional Services Agreement)
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Michael Huntley, Community & Economic Development Director
Subject: Subordination of a Deed of Trust in Connection with 275 East
49TH Street, San Bernardino, California
Recommendation
Adopt a Resolution No. 2020-141 of the Mayor and City Council of the City of San
Bernardino, California, acting as the Successor Housing Agency to the Redevelopment
Agency of the City of San Bernardino, approving a Subordination of a Deed of Trust in
connection with refinancing the Senior Mortgage relating to real property located at 275
East 49th Street, San Bernardino, California.
Background
On October 17, 1994, the Community Development Commission of the City of San
Bernardino (“Commission”) approved Resolution 5409, establishing the Mortgage
Assistance Program, subsequently renamed the Homebuyer Assistance Program,
which made available a limited number of deferred payment (principal and interest)
second mortgages. This Program was designed to provide income -qualified families
with down payment/closing cost monies necessary to secure financing towards the
purchase of single-family detached homes in the City and provided an additional
avenue for the former Redevelopment Agency of the City of San Bernardino (“Agency”)
to ensure the availability of affordable housing to income -qualified home buyers in the
community.
On January 9, 2012, the Mayor and Common Council adopted Resolution 2012-12
confirming that the City of San Bernardino would serve as the “Successor Agency” to
the former Agency, in accordance with AB1X 26. On January 23, 2012, the Mayor and
City Council adopted Resolution 2012-19 further confirming that the City would serve as
the “Successor Housing Agency” to the former Redevelopment Agency and perform the
housing functions previously performed by the Agency.
Discussion
The Homebuyer Assistance Program allows program participants to refinance their
mortgage only to lower the interest rate and/or term. Should the homeowner request to
“cash out” the property’s equity, the subordination request would be denied and the
Agency loan would become due.
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6753
Page 2
The owner for the property located at 275 East 49th Street received down payment
assistance and is now requesting to refinance their existing first mortgage. The owner of
the property listed above has submitted a subordination request to Successor Housing
Agency staff and the application has been reviewed and approved. To proceed with the
refinancing, the new lender and title company require the Agency’s deed of trust to be
expressly subordinated to the new first deed of trust. Therefore, staff requests that the
City Manager, or her designee, be authorized to sign and cause to be recorded the
subordination agreement and associated documents which will allow the property owner
to refinance their first mortgage.
2020-2025 Key Strategic Targets and Goals
Adoption of the attached resolution aligns with Key Strategic Target No. 3: Improved
Quality of Life. Refinancing supports homeownership and sustains neighborhoods
throughout the City.
Fiscal Impact
There is no fiscal impact to the General Fund since the staff processing the request i s
funded by the Recognized Obligation Payment Scheduled (ROPS).
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, acting as the Successor Housing Agency to the Redevelopment Agency of
the City of San Bernardino California, adopt a Resolution No. 2020-141, approving a
Subordination of a Deed of Trust in connection with refinancing the Senior Mortgage
relating to real property located at 275 East 49th Street, San Bernardino, California.
Attachments
Attachment 1 Resolution No. 2020-141
Attachment 2 Subordination Agreement for 275 East 49th Street
Ward: 4th Ward
Synopsis of Previous Council Actions:
January 23, 2012 Mayor and City Council adopted Resolution 2012 -19 further
confirming that the City would serve as the “Successor Housing
Agency” to the former Redevelopment Agency and perform the
housing functions previously performed by the Agency.
20
Packet Pg. 532
RESOLUTION NO. 2020-141
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
ACTING AS THE SUCCESSOR HOUSING AGENCY TO
THE REDEVELOPMENT AGENCY OF THE CITY OF SAN
BERNARDINO APPROVING THE SUBORDINATION OF A
DEED OF TRUST IN CONNECTION WITH A
REFINANCING OF THE SENIOR MORTGAGE
RELATING TO REAL PROPERTY LOCATED AT 275
EAST 49TH STREET, SAN BERNARDINO, CALIFORNIA
WHEREAS, on January 9, 2012, the Mayor and Common Council of the City of San
Bernardino, California, (“Council”) adopted Resolution No. 2012-12 confirming that the City of
San Bernardino would serve as the Successor Agency to the Redevelopment Agency (“Agency”)
of the City of San Bernardino (“Successor Agency”) effective February 1, 2012, pursuant to
AB1X 26 (The Redevelopment Agency Dissolution Act); and
WHEREAS on January 23, 2012, the City Council adopted Resolution No. 2012-19
providing for the City to serve as the Successor Housing Agency and perform the housing
functions previously performed by the Agency; and
WHEREAS, pursuant to Health & Safety Code Section 34181(c) of AB1X26 the
Oversight Board is to direct the transfer of housing responsibilities, including all rights, powers,
duties, obligations and assets, to the Successor Housing Agency; and
WHEREAS, pursuant to Health & Safety Code Section 34176(e)(1) of AB1484 the
restrictions on the use of real property such as affordability covenants entered into by the Agency
are considered a housing asset; and
WHEREAS, a Deed of Trust affecting real property located at 275 East 49th Street, San
Bernardino, California (“Property”) exists as of December 15, 2008, and recorded on January 30,
2009, as Instrument Number 2009-0042498 in the Official Records of the County of San
Bernardino (“Deed of Trust”); and
WHEREAS, the terms of the Deed of Trust allow the Trustor to obtain the release of the
security interest of the First Mortgage Lender in the Property for the purpose of a third-party
lender which refinances the purchase money mortgage of the First Mortgage Lender; and
WHEREAS, an escrow has been opened on the Property affected by the Deed of Trust
on which owner(s) (Curtis W. Philbert) request the subordination so that they can proceed on a
refinance and a clear lenders title policy can be provided to the new lender of the Property; and
WHEREAS, the Successor Housing Agency desires to confirm that the Deed of Trust is
a housing asset and/or housing function, and desires to authorize Successor Housing Agency
20.a
Packet Pg. 533 Attachment: CED.Subordination 275 E 49th Street-Resolution (6753 : Subordination of a Deed of Trust in Connection with 275 East 49TH Street,
Resolution No. ___
staff to transfer all rights and interest in the Deed of Trust to the City in its capacity as the
Successor Housing Agency; and
WHEREAS, Successor Housing Agency staff desires to cause to be signed and recorded
a subordination agreement for the purposes of causing the new third-party lender to have a
security interest in the Property senior to that of the Successor Housing Agency; and
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO, ACTING AS THE SUCCESSOR HOUSING AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. Pursuant to Health & Safety Code Section 34176, the Successor Housing
Agency to the Redevelopment Agency of the City of San Bernardino does hereby find and
determine that the Deed of Trust is a housing asset and hereby authorizes the City Manager or
his/her designee, to execute the Subordination Agreement (attached and incorporated herein as
Exhibit “A”) and do all such acts and things necessary to cause it to be recorded with the San
Bernardino County Recorder.
SECTION 3. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
20.a
Packet Pg. 534 Attachment: CED.Subordination 275 E 49th Street-Resolution (6753 : Subordination of a Deed of Trust in Connection with 275 East 49TH Street,
Resolution No. ___
Approved as to form:
Sonia Carvalho , City Attorney
20.a
Packet Pg. 535 Attachment: CED.Subordination 275 E 49th Street-Resolution (6753 : Subordination of a Deed of Trust in Connection with 275 East 49TH Street,
Resolution No. ___
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
20.a
Packet Pg. 536 Attachment: CED.Subordination 275 E 49th Street-Resolution (6753 : Subordination of a Deed of Trust in Connection with 275 East 49TH Street,
1
When recorded mail to:
City of San Bernardino, acting in its
capacity as the Successor Housing Agency
to the Redevelopment Agency of
the City of San Bernardino
290 North D Street
San Bernardino, CA 92401
Owner Name: Curtis W Philbert
275 East 49th Street
San Bernardino, CA 92404
SPACE ABOVE THIS LINE FOR RECORDERS USE.
Form of
SUBORDINATION AGREEMENT
NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR SECURITY
INTEREST IN THE PROPERTY BECOMING SUBJECT TO AND OF LOWER
PRIORITY THAN THE LIEN OF SOME OTHER OR LATER SECURITY
INSTRUMENT.
This AGREEMENT, made this day of , 2020, by (Curtis W Philbert), Owner of the land
hereinafter described and hereinafter referred to as "Owner," and the City of San Bernardino, acting in its capacity as
the Successor Housing Agency to the Redevelopment Agency of the City of San Bernardino , present owner and
holder of the Deed of Trust and Note;
WITNESSETH
WHEREAS, Owner(s) did on December 15, 2008, execute a Deed of Trust to Fidelity National Title
Company, a California Corporation, as trustee, covering:
LEGAL DESCRIPTION: The land herein after referred to is situated in the City of San Bernardino, County
of San Bernardino, State of California, and is described as follows:
LOT 7 IN BLOCK 19 OF TRACT 1834, SAN BERNARDINO HEIGHTS, IN THE CITY OF SAN
BERNARDINO, COUNTY, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER MAP
RECORDED IN BOOK 26, PAGE(S) 52, OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID
COUNTY.
to secure a Note in the sum of $67,500 dated December 15, 2008 in favor of the Redevelopment Agency of the City
of San Bernardino first hereinafter described and hereinafter referred to as "Beneficiary", which Deed of Trust was
recorded January 30, 2009, as Instrument No. 2009-0042498, Official Records of said county;
WHEREAS, all rights and obligations of the Beneficiary have since been transferred to the City of San
Bernardino as the Successor Housing Agency to the Redevelopment Agency of the City of San Bernardino
(“Successor Beneficiary”) pursuant to Mayor and Common Council Resolution No. 2012-19 dated January 23,
2012;
WHEREAS, Owner has executed, or is about to execute, a Deed of Trust and Note in the sum of not to exceed
$130,750, dated ________________________, in favor of Quicken Loans, LLC ISAOA , hereinafter referred
to as “Lender,” payable with interest and upon the terms and conditions described therein, which Deed of Trust is to
be recorded concurrently herewith; and
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Packet Pg. 537 Attachment: CED.Subordination 275 East 49th Street-Attachment 2 (6753 : Subordination of a Deed of Trust in Connection with 275 East 49TH
2
WHEREAS, it is a condition precedent to obtaining said loan that said Deed of Trust last above mentioned
shall unconditionally be and remain at all times a lien or charge upon the land herein before described, prior and
superior to the lien or charge of the Deed of Trust first above mentioned; and
WHEREAS, lender is willing to make said loan provided the Deed of Trust securing the same is a lien or
charge upon the above described property prior and superior to the lien or charge of the Deed of Trust first above
mentioned and provided that Successor Beneficiary will specifically and unconditionally subordinate the lien or
charge of the Deed of Trust first above mentioned to the lien or charge of the Deed of Trust in favor of Lender; and
WHEREAS, it is to the mutual benefit of the parties hereto that Lender make such loan to Owner; and
Successor Beneficiary is willing that the Deed of Trust securing the same shall, when recorded, constitute a lien or
charge upon said land which is unconditionally prior and superior to the lien or charge of the Deed of Trust first
above mentioned.
NOW, THEREFORE, in consideration of the mutual benefits accruing to the parties hereto and other
valuable consideration, the receipt and sufficiency of which consideration is hereby acknowledged, and in order to
induce Lender to make the loan above referred to, it is hereby declared, understood and agreed as follows:
1. That said Deed of Trust securing said Note in favor of Lender, and any renewals or extensions thereof,
shall unconditionally be and remain at all times a lien or charge on the property therein d escribed, prior
and superior to the lien or charge or the Deed of Trust first above mentioned.
2. That Lender would not make its loan above described without this Subordination Agreement.
3. That this Agreement shall be the whole and only agreement with regard to the subordination of the lien
or charge of the Deed of Trust first above mentioned to the lien or charge of the Deed of Trust in favor
of the lender above referred to and shall supersede and cancel, but only insofar as would affect the
priority between the Deeds of Trust hereinbefore specifically described, any prior agreement as to such
subordination including, but not limited to, those provisions, if any, contained in the Deed of Trust first
above mentioned, which provide for the subordination of the lien or charge thereof to another Deed or
Deeds of Trust or to another mortgage or mortgages.
Successor Beneficiary declares, agrees and acknowledges that:
(a) Lender in making disbursements pursuant to any such agreement is under no obligation or duty t o, nor
has Lender represented that it will, see to the application of such proceeds by the person or persons to
whom Lender disburses such proceeds and any application or use of such proceeds for purposes other
than those provided for in such agreement or agreements shall not defeat the subordination herein
made in whole or in part;
(b) Successor Beneficiary intentionally and unconditionally waives, relinquishes and subordinates the lien
or charge of the Deed of Trust first above mentioned in favor of the lien or charge upon said land of
the Deed of Trust in favor of Lender above referred to and understands t hat in reliance upon, and in
consideration of, this waiver, relinquishment and subordination specific loans and advances are being
and will be make and, as part and parcel thereof, specific monetary and other obligations are being and
will be entered into which would not be made or entered into but for said reliance upon this waiver,
relinquishment and subordination; and
(c) An endorsement has been placed upon the Note secured by the Deed of Trust first above mentioned
that said Deed of Trust has by this i nstrument been subordinated to the lien or charge of the Deed of
Trust in favor or Lender above referred to.
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Packet Pg. 538 Attachment: CED.Subordination 275 East 49th Street-Attachment 2 (6753 : Subordination of a Deed of Trust in Connection with 275 East 49TH
3
NOTICE: THIS SUBORDINATION AGREEMENT CONTAINS A PROVISION WHICH ALLOWS THE
PERSON OBLIGATED ON YOUR REAL PROPERTY SECURITY TO OBTAIN A LOAN A
PORTION OF WHICH MAY BE EXPENDED FOR OTHER PURPOSES THAN IMPROVEMENT
OF THE LAND.
City of San Bernardino, acting as the Successor Housing Agency
to the Redevelopment Agency of the City of San Bernardino
_____________________________________ ____________________________________
Teri Ledoux, City Manager Owner
City of San Bernardino
Owner
(ALL SIGNATURES MUST BE ACKNOWLEDGED)
IT IS RECOMMENDED THAT, PRIOR TO THE EXECUTION OF THIS SUBORDINATION AGREEMENT,
THE PARTIES CONSULT WITH THEIR ATTORNEYS WITH RESPECT THERETO.
20.b
Packet Pg. 539 Attachment: CED.Subordination 275 East 49th Street-Attachment 2 (6753 : Subordination of a Deed of Trust in Connection with 275 East 49TH
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Michael Huntley, Community & Economic Development Director
Subject: Ratify and Accept the San Bernardino County Fire Protection
District Ordinance No. FPD 20-01
Recommendation
Adopt Resolution No. 2020-140 of the Mayor and City Council of the City of San
Bernardino, California, to ratify and accept the San Bernardino County Fire Protection
District’s (“District”) Ordinance No. FPD 20-01, which amends and adopts the 2019
Edition of the California Fire Code, known as California Code of Regulations, Title 24,
Part 9, based on the 2018 Edition of the International Fire Code.
Background
As a result of LAFCO annexation proceedings, the District assumed control of the City
of San Bernardino’s fire protection services, meaning that the City of San Bernardino
(“City”) resides in the District’s jurisdiction. Every three years, the California Building
Standards Commission publishes updated regulations in Part 9 of the California Code of
Regulations, Title 24, which pertain to fire safe building standards. Local agencies are
required to adopt the updated regulations, but may also m ake local amendments as
necessary in the ordinance adopting these regulations. On December 4, 2019, the
Mayor and City Council adopted the 2019 California Building Codes. The adoption of
the California Fire Code by the City Council will complete the adop tion of all of the
California Code of Regulations.
Discussion
The District has adopted the 2019 Edition of the Fire Code, known as the California
Code of Regulations, Title 24, Part 9, along with the appendices and amendments
thereto. Pursuant to California Health and Safety Code section 13869.7(c), the District’s
Fire Code Ordinance cannot take effect until the municipalities in which the Ordinance
will apply each ratify the Ordinance. Given that the City is located within the District’s
jurisdiction, the City must ratify the District’s Fire Code Ordinance in order for it to take
effect. The City Attorney has reviewed the District’s Fire Code Ordinance, and
comments from the City Attorney have been received and incorporated into the
proposed Resolution.
2020-2025 Key Strategic Targets and Goals
Adoption of the attached resolution aligns with Key Target No. 3: Improved Quality of
21
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6770
Page 2
Life. Specifically, the ratification of the County adopted Fire Code helps preserve the
public health, safety and welfare.
Fiscal Impact
No fiscal impact to the City.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California adopt Resolution No. 2020-140, ratifying and accepting the San Bernardino
County Fire Protection District’s (“District”) Ordinance No. FPD 20-01, which amends
and adopts the 2019 Edition of the California Fire Code, known as California Code of
Regulations, Title 24, Part 9, based on the 2018 Edition of the International Fire Code.
Attachments
Attachment 1 Resolution No. 2020-140
Attachment 2 San Bernardino County Fire Protection District Ordinance No. FPD
20-01
Ward: All
Synopsis of Previous Council Action:
December 4, 2010 Mayor and City Council of the City of San Bernardino adopted the
2019 California Building Codes as prescribed by the State of
California.
21
Packet Pg. 541
RESOLUTION NO. 2020-140
A RESOLUTION OF THE MAYOR AND CITY COUNCIL
OF THE CITY OF SAN BERNARDINO, CALIFORNIA,
RATIFYING THE FIRE CODE ADOPTED BY THE SAN
BERNARDINO COUNTY FIRE PROTECTION
DISTRICT
WHEREAS, the San Bernardino County Fire Protection District (“District”) is
authorized pursuant to Health and Safety Code section 13869.7 to adopt building standards
relating to fire safety that are more stringent than the building standards adopted by the State Fire
Marshall and contained in the California Building Standards Code; and
WHEREAS, the City of San Bernardino (“City”) resides in the District’s jurisdiction and
receives fire protection services from the District; and
WHEREAS, on January 28, 2020, the District held a public hearing and adopted
Ordinance No. FPD 20-01 (“District Fire Code Ordinance”) adopting and amending the 2019
California Fire Code and appendices thereto; and
WHEREAS, the District has transmitted the District Fire Code Ordinance to the City for
ratification, pursuant to Health & Safety Code section 13869.7; and
WHEREAS, Section 13869.7 provides that the District Fire Code Ordinance will only
take effect upon the City’s ratification of the District Fire Code Ordinance; and
WHEREAS, the City Council of the City of San Bernardino (“City Council”) has
examined the District Fire Code Ordinance and finds that it provides consistency in the
application and enforcement of building and housing standards with an emphasis on local needs,
and with the goal of protecting lives and property from fire damage; and
WHEREAS, the City Council finds and determines that the action of ratifying the
District Fire Code Ordinance can be seen with certainty that there is no possibility that the
District Fire Code Ordinance may have a significant adverse effect on the environment; thus, the
adoption of the District Fire Code Ordinance is exempt from further environmental review under
Section 15061(b)(3) of the State CEQA Guidelines; and
WHEREAS, the City Council desires to ratify the District Fire Code Ordinance; and
WHEREAS, the City Council wishes to delegate the enforcement of the District Fire
Code Ordinance to the District’s Chief, or his or her authorized representative.
21.a
Packet Pg. 542 Attachment: CED.Ratification of County Fire Code Resolution [Revision 1] (6770 : Ratify and Accept the San Bernardino County Fire Protection
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN
BERNARDINO DOES HEREBY RESOLVE AND DECLARE AS FOLLOWS:
SECTION 1. Incorporation of Recitals. The recitals set forth above are true and correct
and are incorporated herein.
SECTION 2. Ratification. The City Council hereby ratifies the District Fire Code
Ordinance. A true and correct copy of the District Fire Code Ordinance is attached as Exhibit A
and incorporated herein by this reference.
SECTION 3. Enforcement. Pursuant to Health and Safety Code section 13869.7(h)(1),
the City Council directs that the District Fire Code Ordinance shall be enforced within the
District’s service area. The District shall enforce the District’s Code within the City’s corporate
limits, and the City’s Building Official shall enforce fire and panic safety and other regulations
of the State Fire Marshal as they relate to R-3 dwellings.
SECTION 4. Filing. The City Clerk is hereby directed to file a certified copy of this
Resolution and the District Fire Code Ordinance with the California Department of Housing and
Community Development.
SECTION 5. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 6. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 7. Effective Date. This Resolution shall take effect upon adoption.
APPROVED AND ADOPTED by the City Council and signed by the Mayor and
attested by the Acting City Clerk this 17th day of June, 2020.
________________________
John Valdivia, Mayor
City of San Bernardino
Attest:
_______________________________________
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
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Packet Pg. 543 Attachment: CED.Ratification of County Fire Code Resolution [Revision 1] (6770 : Ratify and Accept the San Bernardino County Fire Protection
__________________________________
Sonia Carvalho, City Attorney
21.a
Packet Pg. 544 Attachment: CED.Ratification of County Fire Code Resolution [Revision 1] (6770 : Ratify and Accept the San Bernardino County Fire Protection
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the day of
, 2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this day of
, 2020.
Genoveva Rocha, CMC, Acting City Clerk
21.a
Packet Pg. 545 Attachment: CED.Ratification of County Fire Code Resolution [Revision 1] (6770 : Ratify and Accept the San Bernardino County Fire Protection
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Packet Pg. 546 Attachment: CED.Fire Code.Attachment 2 (6770 : Ratify and Accept the San Bernardino County Fire Protection District Ordinance No. FPD 20-
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Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Kris Jensen, Director of Public Works
Subject: Award of a Construction Contract for the CityYards Roof
Replacement
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-122:
1. Amending the FY 2019/20 Capital Improvement Plan (CIP) to inclu de City Yard
Roof Replacement (“Project’); and
2. Approving a total project budget in the amount of $308,017 for the construction
contract in the amount of $279,517 and project contingencies in the amount of
$28,500; and
3. Approving the award of a Construction Contract with Bligh Roof Co. DBA Bligh
Pacific of Santa Fe Springs, California in the amount of $279,517; and
4. Authorizing the Director of Finance to amend the FY 2019/20 adopted budget to
transfer a total of $308,017 from Public Works Building Maintenance accounts
001-400-0037-5172 (Equipment Maintenance) and 001-400-0037-5502
(Professional Contractual services) to Capital Improvement Project Fund 001 -
160-8774 in support of the Project; and
5. Authorizing the City Manager or designee to expend the contingency fund, if
necessary, to complete the project.
Background
The Public Works Department Fleet and Building Maintenance Division is responsible
for maintaining the City Yard located at 187 S. Pershing Avenue, San Bernardino. The
existing roof of the vehicle maintenance Shop at City Yard is about 30 years old and
has exceeded its useful life and is no longer serviceable. The facility roof has been
patched numerous times over the last few decades, and the facility has incurred water
damage due to this over the years. Additional roof leaks could further damage the
buildings’ interior contents and structural deterioration could result if the roof is not
replaced.
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Staff prepared plans and specifications for the roof replacement project. The proposed
scope of work includes removing and disposing of the existing roof, installation of
adhered thermoplastic (PVC) feltback membrane roof system, installation of
polysocyanurate roof insulation, gypsum cover boards, PVC fascia, and other
components to comprise a water tight roof system as a base bid. Staff included
replacement of existing gutters and downspouts as an alternate bid item. Determination
of the lowest responsible bid was based on the total base bid. The alternate bid item
was not considered in determining the lowest responsible bidder.
This project is proposed to be funded with savings realized in FY 2019/20 Public Works
Building Maintenance Division operating budgets.
Discussion
City Yard Roof Replacement (Project No 13395) to provide roof repairs, was advertised
for public bidding on April 17, 2020 and April 24, 2020 in the San Bernardino County
Sun Newspaper, F. W. Dodge, Construction Bid Board, High Desert Plan Room, San
Diego Daily Transcript, Sub-Hub Online Plan Room, Reed Construction Data, Bid
America Online, Construction Bid Source, Bid Ocean, the City’s websites, and the San
Bernardino Area Chamber of Commerce.
Sealed bids were received and opened on May 14, 2020. The City received five bids as
follows:
BIDDER CITY BASE BID ALTERNATE
BID
TOTAL
BID
Bligh Roof Co. DBA
Bligh Pacific
Santa Fe
Springs
$227,810 $51,707 $279,517
Best Contracting
Services, Inc.
Gardena $285,850 $42,200 $328,050
San Marino Roof Co.,
Inc.
Orange $304,981 $43,438 $348,419
Danny Letner Inc. DBA
Letner Roofing Co.
Orange $349,200 $37,550 $386,750
Courtney, Inc. Irvine $378,680 $46,840 $425,520
The City has reviewed the bid package and confirmed that Bligh Roof Co. DBA Bligh
Pacific of Santa Fe Springs, California, is the lowest responsible and responsive bidder,
with a base bid amount of $227,810 and a total bid amount of $279,517. Based on
available funding, staff is recommending award of the total bid amount of $279,517
(base bid plus alternate).
In addition to construction costs, staff anticipates the need for a construction
contingency to provide for any unforeseen work that is related to the project and
estimated staff costs required to support engineering inspections of the project. At this
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time, the estimated full project cost is at $308,017 which includes the lowest responsive
construction bid, project contingencies, and engineering inspections. The breakdown of
the total project costs are as follows:
Cost Items Amount
Bid (Including Alternate Bid) $ 279,517
Construction Contingency $ 28,500
Estimated Total Project Cost $ 308,017
If awarded by the Mayor and City Council, construction work on the City Yard Roof
Replacement is anticipated to begin in August 2020 and be completed by October 2020.
2020-2025 Key Strategic Targets and Goals
This project aligns with Key Target No. 1e: Create an asset management plan as it will
address a long deferred maintenance item for a City owned facility and will help
preserve the facility asset for use continued use by the Public Works Departme nt for
many years into the future.
Fiscal Impact
Funding in the total amount of $308,017 is available for this project through General
Fund savings realized in FY 2019/20 Public Works Building Maintenance Operating
Budgets in account 001-400-0037. Savings in an amount of $93,017 is available in
001-400-0037-5172 (Building Equipment Maintenance) and $215,000 in savings is
available through 001-400-0037-5502 (Professional Contractual Services). A budget
adjustment is required to transfer the total Project budget of $308,017 to City Yard
Replacement Project. No 001-160-8774 as shown in the table below.
From Account To Account Amount Cost Item
001-400-0037-5172
Professional Services
001-160-8774-5504
CIP Construction
$ 93,017 Construction
001-400-0037-5502
Equipment Maint.
001-160-8774-5504
CIP Construction
$ 215,000 Construction
TOTAL $ 308,017
The Building Maintenance Division operating budgets include budgets for emergency
maintenance of equipment such as elevators, fire sprinkler systems, and roll up doors.
During FY19/20 fewer than expected equipment maintenance expenditures were
incurred, resulting in a savings in this budget category. Additionally, the Division
budgets annually for Professional Contractual Services to assist with major con struction
repair requests. Because staff was able to address the bulk of these types of repair
requests in-house, savings were realized in this budget category in FY2019/20, as well.
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Conclusion
It is recommended that the Mayor and City Council of the Cit y of San Bernardino,
California, adopt Resolution No. 2020-122:
1. Amending the FY 2019/20 Capital Improvement Plan (CIP) to include City Yard
Roof Replacement (“Project’); and
2. Approving a total project budget in the amount of $308,017 for the constru ction
contract in the amount of $279,517 and project contingencies in the amount of
$28,500; and
3. Approving the award of a Construction Contract with Bligh Roof Co. DBA Bligh
Pacific of Santa Fe Springs, California in the amount of $279,517; and
4. Authorizing the Director of Finance to amend the FY 2019/20 adopted budget to
transfer a total of $308,017 from Public Works Building Maintenance accounts
001-400-0037-5172 (Equipment Maintenance) and 001-400-0037-5502
(Professional Contractual services) to Capital Improvement Project Fund 001-
160-8774 in support of the Project; and
5. Authorizing the City Manager or designee to expend the contingency fund, if
necessary, to complete the project.
Attachments
Attachment 1 Resolution No. 2020-122; Exhibit “A” Agreement
Attachment 2 Bid Tabulation for City Yard Roof Replacement
Attachment 3 Lowest Bid Form for City Yard Roof Replacement
Attachment 4 Location Map
Ward: 2
Synopsis of Previous Council Actions: None
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RESOLUTION NO. 2020-122
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AMENDING THE FY 2019/20 CAPITAL IMPROVEMENT
PLAN (CIP) TO INCLUDE CITY YARD ROOF
REPLACEMENT PROJECT 13395 (“PROJECT’); AND
APPROVING A TOTAL PROJECT BUDGET IN THE
AMOUNT OF $308,017 FOR THE CONSTRUCTION
CONTRACT IN THE AMOUNT OF $279,517 AND
PROJECT CONTINGENCIES IN THE AMOUNT OF
$28,500; AND APPROVING THE AWARD OF A
CONSTRUCTION CONTRACT WITH BLIGH ROOF CO.
DBA BLIGH PACIFIC OF SANTA FE SPRINGS,
CALIFORNIA IN THE AMOUNT OF $279,517; AND
AUTHORIZING THE DIRECTOR OF FINANCE TO
AMEND THE FY 2019/20 ADOPTED BUDGET TO
TRANSFER A TOTAL OF $308,017 FROM PUBLIC
WORKS BUILDING MAINTENANCE ACCOUNTS 001-400-
0037-5172 (EQUIPMENT MAINTENANCE) AND 001-400-
0037-5502 (PROFESSIONAL CONTRACTUAL SERVICES)
TO CAPITAL IMPROVEMENT PROJECT FUND 001-160-
8774 IN SUPPORT OF THE PROJECT; AND
AUTHORIZING THE CITY MANAGER OR DESIGNEE TO
EXPEND THE CONTINGENCY FUND, IF NECESSARY,
TO COMPLETE THE PROJECT
WHEREAS, the City of San Bernardino Public Works Department is responsible to
maintain facilities at the City Yard located at 187 S. Pershing Avenue, San Bernardino; and
WHEREAS, staff has administered a competitive bid process to secure a construction
contract to perform the City Yard Roof Replacement (“Project”); and
WHEREAS, the City received five bids on May 14, 2020, and Bligh Roof Co. DBA
Bligh Pacific of Santa Fe Springs, California, has been determined to be the lowest responsive,
responsible bidder; and
WHEREAS, the total Project budget is estimated at $308,017 including construction
costs and contingencies; and
WHEREAS, the City now wishes to enter into a construction agreement with Bligh Roof
Co. DBA Bligh Pacific to perform the Project work; and
WHEREAS, the funding for the project is available through savings realized in
previously approved FY 2019/20 Building Maintenance Operating Budgets.
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Resolution No. 2020-122
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The Director of Finance is authorized to amend the FY 2019/20 CIP to
include the City Yard roof Replacement Project 13395 in a total project amount of $308,017.
SECTION 3. The City Manager is authorized and directed to execute a construction
agreement following the City’s standard terms approved by the City Attorney with Bligh Roof
Co. DBA Bligh Pacific in the amount of $279,517 with a contingency in the amount of $28,500
for the City Yard Roof Replacement, attached hereto and incorporated as Exhibit A.
SECTION 4. The City Manager or designee is hereby authorized to execute all
documents in support of the City Yard Roof Replacement Project 13395 on behalf of the City.
SECTION 5. The Director of Finance is authorized to amend the FY 2019/20 adopted
budget to transfer funds from General Fund Building Maintenance Account No. 001-400-0037-
5172 ($93,017) and 001-400-0037-5502 ($215,000) to CIP Account No. 001-160-8774.
SECTION 6. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 7. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 8. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________, 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
__________________________________
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
_________________________________
Sonia Carvalho, City Attorney
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Resolution No. 2020-122
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true copy of
Resolution No. _____, adopted at a regular meeting held at the ___ day of _______, 2020 by the
following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
______________________________
Genoveva Rocha, CMC, Acting City Clerk
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A-1
A G R E E M E N T
CITY OF SAN BERNARDINO
THIS AGREEMENT is made and concluded this _____ day of _______________, 20___, between the
City of San Bernardino (owner and hereinafter "CITY"), and Bligh Roof Co. DBA Bligh Pacific
(hereinafter "CONTRACTOR").
1. For and in consideration of the payments and agreements hereinafter mentioned, to be made and
performed by the CITY, and under the conditions expressed in the bond as deposited with the CITY, receipt of
which is hereby acknowledged, the CONTRACTOR agrees with the CITY, at the CONTRACTOR's own proper
cost and expense in the Special Provisions to be furnished by the CITY, to furnish all materials, tools and
equipment and perform all the work necessary to complete in good workmanlike and substantial manner the
CITY YARD ROOF REPLACEMENT
Project No. 13395
in strict conformity with Plans and Special Provisions No. 13395 , and also in accordance with Standard
Specifications for Public Works/Construction, latest edition in effect on the first day of the advertised “Notice
Inviting Sealed Bids” for this project, on file in the Office of the City Engineer, Public Works Department, City
of San Bernardino, which said Plans and Special Provisions and Standard Specifications are hereby especially
referred to and by such reference made a part hereof.
2. The CONTRACTOR agrees to receive and accept the prices as set forth in the Bid Schedule as
full compensation for furnishing all materials and doing all the work contemplated and embraced in this
agreement; also for all loss or damage arising out of the nature of the work aforesaid or from any unforeseen
difficulties or obstructions which may arise or be encountered in the prosecution of the work and for all risks of
every description connected with the work; also for all expenses incurred by or in consequence of the suspension
or discontinuance of work, and for well and faithfully completing the work and the whole thereof, in the manner
and according to the Plans and Special Provisions, and requirements of the Engineer under them.
3. The CONTRACTOR herein covenants by and for himself or herself, his or her heirs, executors,
administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination
against or segregation of, any person or group of persons on the basis of race, color, national origin, religion, sex,
marital status, or ancestry in the performance of this contract, nor shall the CONTRACTOR or any person
claiming under or through him or her, establish or permit any such practice or practices of discrimination or
segregation with reference to the selection of subcontractors, vendees, or employees in the performance of this
contract. Failure by the CONTRACTOR to carry out these requirements is a material breach of this contract,
which may result in the termination of this contract or such other remedy, as recipient deems appropriate.
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A-2
AGREEMENT: CITY YARD ROOF REPLACEMENT Project No. 13395
4. CITY hereby promises and agrees with the said CONTRACTOR to employ, and does hereby
employ the said CONTRACTOR to provide the materials and to do the work according to the terms and
conditions herein contained and referred to, for the prices aforesaid, and hereby contracts to pay the same at the
time, in the manner, and upon the conditions above set forth; and the same parties for themselves, their heirs,
executors, administrators, and assigns, do hereby agree to the full performance of the covenants herein contained.
5. It is further expressly agreed by and between the parties hereto that should there be any conflict
between the terms of this instrument and the bid of said CONTRACTOR, then this instrument shall control and
nothing herein shall be considered as an acceptance of said terms of said bid conflicting herewith.
IN WITNESS WHEREOF, the parties of these presents have executed this contract in four (4)
counterparts, each of which shall be deemed an original in the year and day first above mentioned.
CONTRACTOR CITY OF SAN BERNARDINO
NAME OF FIRM:
Bligh Roof Co. DBA Bligh Pacific BY: ___________________________________
TERI LEDOUX
City Manager
BY: _______________________________
Robert Bligh
TITLE: President ATTEST:
MAILING ADDRESS:
11043 Forest Place _______________________________
Genoveva Rocha, CMC
_____Santa Fe Springs, Ca 90670_______ Acting City Clerk
PHONE NO.: (562) 944-9753______________ APPROVED AS TO FORM:
ATTEST:
_______________________________
SONIA CARVALHO, City Attorney
____________________________________
Secretary
NOTE: Secretary of the Owner should attest.
If Contractor is a corporation, Secretary should attest.
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ATTACHMENT NO. 4
LOCATION MAP
187 S Pershing Avenue
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Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Kris Jensen, Director of Public Works
Subject: Five-Year Capital Improvement Program FY 2020/21 to FY
2024/25 for Measure I Local Expenditures
Recommendation
It is recommended that the Mayor and City Council of the City of San Bernardino,
California adopt Resolution No. 2020-143, approving the Measure I Five-Year Capital
Improvement Plan for FY 2020/21 through FY 2024/25 and Measure I Expenditure
Strategy.
Background
In November 1989, voters approved Measure I authorizing the San Bernardino County
Transportation Authority (SBCTA) to impose a one -half of one percent retail transaction
and use-tax. This tax was applicable throughout the County for a period of 20 years
beginning April 1, 1990 and extending to March 31, 2010, and is commonly known as
the 1/2-Cent Sales and Road Tax (Measure 1). In November 2004, voters appro ved an
extension of the 1/2-cent sales tax for an additional 30 years from April 1, 2010 through
March 31, 2040. To distinguish the two programs, they are being referenced as
Measure I 1990-2010 and Measure I 2010-2040.
Discussion
The City is required to adopt a Measure I Five Year Capital Improvement Program
annually. This program must identify projects, the estimated Measure I expenditures
on these projects, and a brief description of project and program to be undertaken.
This is an administrative requirement for both the original and subsequent voter
approved measures.
Local street project funds can be used flexibly for any eligible transportation purpose
determined to be a local priority, including local streets, major highways, state highway
improvements, transit, and other improvements/programs to maximize use of
transportation facilities. Expenditure of local street project funds shall be based upon a
Five Year Measure I Capital Improvement Plan (MICIP) adopted annually by the
governing body of each jurisdiction after being made available for public review and
comment.
The Five-Year MICIP only relates to the expenditure of Measure I funds and each
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agency is required to update their program annually. If approved, the City would be
committed to expending funds in accordance with the first year of the Five -Year Plan.
The second through fifth years are estimates for planning purposes and the Program
will be evaluated annually to update projects and estimates identified for future years.
In addition to obtaining approval for the proposed Five -Year MICIP for FY 2020 -2025,
the proposed Resolution includes language asserting that the City of San Bernardino
will meet its base year level Maintenance of Effort for FY 2020/21. Pursuant to Policy
VLS-25 of the Measure I Strategic Plan, jurisdictions shall annually provide a
statement in the resolution of the governing body adopting the Five Year CIP that
acknowledges the jurisdiction will maintain General Fund expenditures for
transportation related constru ction and maintenance activities at the required levels to
meet base year level in that fiscal year.
City staff is recommending approval of the proposed Five -Year MICIP for FY 2020-
2025 (Attachment 2). The projects shown in the five years of the MICIP r eflect the
projects and budget amounts included in the City's previously adopted Capital
Improvement Program budget. However, only projects in the first year of the budget
are actually funded in FY 2020/21. The City is projected to receive $3,198,957 in
Measure I pass-thru funds for fiscal year 2020/21 and Exhibit A indicates the way
those funds have been allocated in the City’s Capital Improvement Budget.
The proposed projects were selected based upon need and importance to the City’s
roadway network. Changes to the Program during the year are permitted, subject to
approval of plan amendments by resolution of the Mayor and City Council.
SBCTA also requires the local agencies to provide an "Expenditure Strategy."
Attached is a copy of the proposed strateg y (Attachment 4) for FY 2020/21 .
The projects shown in the attached five year Measure I Capital Improvement Program
is consistent with the approved Capital Improvement Program and the Public Works
Department Work Plan.
2020-2025 Strategic Targets and Goals
The Measure I Five-year CIP is consistent with Key Target No 1e: Create a framework
for spending decisions as it reflects the most current and highest priority need for use of
Measure I Funds in the 2020/21 fiscal year.
Fiscal Impact
There is no General Fund Impact. The projects listed in the proposed Five -Year MICIP
Fiscal Year 2020/21-2024/25 for Measure I Local Expenditures for the City of San
Bernardino have previously been identified in the City's Capital Improvement Program.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California adopt Resolution No. 2020-143, approving the Measure I Five-Year Capital
Improvement Plan for FY 2020/21 through FY 2024/25 and Measure I Expenditure
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Strategy and acknowledging that the City will maintain the base year level of
expenditures from the General Fund to meet required Maintenance of Effort (MOE)
expenditures in FY 2020/21.
Attachments
Attachment 1 Resolution No. 2020-143
Attachment 2 2020/21-2024/25 MICIP Report San Bernardino
Attachment 3 2020/21-2024/25 Measure I Revenue Estimate
Attachment 4 Location Map
Attachment 5 5-Yr CIP Measure I Expenditure Strategy 2020/21
Ward: All
Synopsis of Previous Council Actions:
November 15, 2012 Resolution No. 2012-258 adopted the Five-Year Measure I
Capital Improvement Program for FY 2012-2017.
October 21, 2013 Resolution No. 2013-296 adopted the Five-Year Measure I
Capital Improvement Program for FY 2013-2018.
October 20, 2014 Resolution No. 2014-374 adopted the Five-Year Measure I
Capital Improvement Program for FY 2014-2019.
December 7, 2015 Resolution No. 2015-273 adopted the Five-Year Measure I
Capital Improvement Program for FY 2015-2020.
March 20, 2017 Resolution No. 2017-047 adopted the Five-Year Measure I
Capital Improvement Program for FY 2016-2021.
February 7, 2018 Resolution No. 2018- 031adopted the Five-Year Measure I
Capital Improvement Program for FY 2017-2022.
August 15, 2018 Resolution No. 2018- 235 adopted the Five-Year Measure I
Capital Improvement Program for FY 2018-2023.
June 5, 2019 Resolution No. 2019- 083 adopted the Revised Five-Year
Measure I Capital Improvement Program for FY 2018-2023.
July 17, 2019 Resolution No. 2019- 172 adopted the Five-Year Measure I
Capital Improvement Program for FY 2019-2024.
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RESOLUTION NO. 2020-143
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
APPROVING THE MEASURE I FIVE-YEAR CAPITAL
IMPROVEMENT PLAN FOR FY 2020/2021 THROUGH FY
2024/2025 AND MEASURE I EXPENDITURE STRATEGY
AND ACKNOWLEDGING THAT THE CITY WILL
MAINTAIN THE BASE YEAR LEVEL OF EXPENDITURES
FROM GENERAL FUND TO MEET REQUIRED
MAINTENANVE OF EFFORT (MOE) EXPENDITURES IN
FY 2020/21
WHEREAS, San Bernardino County voters approved passage of Measure I in November
2004, authorizing the San Bernardino County Transportation Authority to impose a one-half of
one percent retail transactions and use tax applicable in the incorporated and unincorporated
territory of the County of San Bernardino; and
WHEREAS, Revenue from the tax can only be used for transportation improvement and
traffic management programs authorized in the Expenditure Plans set forth in Ordinance No. 04-
01 of the Authority; and
WHEREAS, the Strategic Plan requires each local jurisdiction applying for revenue from
the Local Street Program to annually adopt and update a Five-Year Capital Improvement Plan;
and
WHEREAS, in compliance with Policy VLS-25 of the Measure I Strategic Plan, the City
hereby acknowledges that it will maintain General Fund expenditures for transportation-related
construction and maintenance activities at the required Maintenance of Effort (MOE) base year
level for FY 2020/21.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The Mayor and City Council of the City of San Bernardino hereby
approves the Five-Year Capital Improvement Program (FY 2020-2025) for Measure I Local
Expenditures (MICIP) attached hereto and incorporated herein as Attachment 2.
SECTION 3. The Mayor and City Council of the City of San Bernardino hereby
approves the Expenditure Strategy attached hereto and incorporated herein as Attachment 5.
SECTION 4. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
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Resolution No. 2020-143
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 5. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 6. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho , City Attorney
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Resolution No. 2020-143
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
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Resolution Number:
Contact Person/Title: Alex Qishta Measure I Local Pass-through Program San Bernardino, City of
Phone: (909) 384-5019
Email: Qishta_al@sbcity.org FIVE YEAR CAPITAL IMPROVEMENT PLAN 6/30/2020 Carry Over Balance $2,044,038.00
Fiscal Years 2020/2021 thru 2024/2025
Total Est. Rev.
$3,811,011.00 $3,665,431.00 $18,341,957.00
No No 0%100%$700,000.00 700,000.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 $700,000.00
No No 0%100%$3,001,582.00 $159,731.00 $1,493,000.00 $0.00 $533,851.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $2,186,582.00
No No 0%100%$497,163.00 $497,163.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $497,163.00
No No 0%100%$3,199,431.00 $199,431.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $199,431.00
No No 0%100%$84,400.00 $84,400.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $84,400.00
No No 0%100%$2,039,582.00 $403,313.00 $385,940.00 $0.00 $749,272.00 $0.00 $501,057.00 $0.00 $0.00 $0.00 $0.00 $2,039,582.00
$2,044,038.00 $1,878,940.00 $0.00 $1,283,123.00 $0.00 $501,057.00 $0.00 $0.00 $0.00 $0.00 $5,707,158.00
No No 0%100%$3,144,091.00 $644,091.00 $500,000.00 $0.00 $500,000.00 $0.00 $500,000.00 $0.00 $500,000.00 $0.00 $500,000.00 $3,144,091.00
No No $8,250,000.00 $1,650,000.00 $1,650,000.00 $1,650,000.00 $1,650,000.00 $1,650,000.00 $8,250,000.00
$2,150,000.00 $1,650,000.00 $1,650,000.00 $1,650,000.00 $1,650,000.00 $8,250,000.00
67.21%43.30%45.02%43.71%42.40%
Total Carryover Programming:$2,044,038.00
Total Estimated Programming:$11,913,120.00
Total Programming:$13,957,158.00
Total Programming is currently 73.37% (must not exceed 150%) of Carryover Balance + Total Est. Revenue.
$3,891,565.00
FY2020/21 Est. Revenue FY2023/24 Est. Revenue FY2024/25 Est. RevenueFY2022/23 Est. Revenue
$3,198,957.00
Current
Estimate
Carryover
Funds
FY2021/22 Est. Revenue
$3,774,993.00
Is Project in
City's
Non-motorized
Transportation
Plan?
(Yes/No)
Does Project
have an ATP
Component?
(Yes/No)
Is the Project on the City's Nexus Study
List?
(Public/DIF Share %)Estimated Total
Project Cost
Citywide Street Rehabilitation (Annual)-Industrial Road from Waterman
Avenue to Steele Road,
Pepper Avenue Rehabilitation from Baseline Road to
Mill Street
Co-op with City of Redland for Mountain View Avenue Resurfacing from -10
Freeway to the Mission Zanja Channel
University Parkway & I-215 Improvements
TotalNamed Projects:
Sterling Avenue Rehabilitation from Pacific Street to
Highland Avenue
Co-op with City of Highland for Sixth Street from Fairfax Lane to Del Rosa
Avenue, Elmwood Road from South end to Union Street – Slurry Seal, Ninth
St. from 600’ east of Tippecanoe Ave. to 1,140’ east of Tippecanoe Av. – Mill
& Overlay, Sterling Avenue from 6th Street to 352’ north of 7th Street – Mill &
Overlay, Sixth St. from Sterling Ave. to 1,814’ east of Sterling Ave – Mill &
Overlay, Sixth Street from Roberts Street to Victoria Avenue – Mill & Overlay,
Jane Street from Rogers Lane to easterly terminus – Mill & Overlay, 17th
Street from Valaria Drive to Lynwood Way – Remove & Replace, Rockford
Avenue from Western Avenue to northerly terminus – Slurry Seal, Mansfield
St. from 200’ west of Central Ave. to Central Ave. – Slurry Seal, Central Ave.
from 75’ south of Fisher St. north of Mansfield St. – Slurry Seal, Orange
Street from Clifton Avenue to Pacific Street – Slurry Seal, Pacific Street from
Buckeye Street to Boulder Avenue – Remove & Replace, Atlantic Ave. from
Palm Ave. to City Limits east of Seine Ave. – 2” AC Cap, Pacific Street
Pavement Rehabilitation from Victoria Avenue to Palm Avenue, Pacific Street
Pavement Rehabilitation from Palm Avenue to Church Avenue, Pacific Street
Bikeway Improvements from Guthrie Street to Church Avenue, Tippecanoe
Avenue Improvements from 9th Street to Vine Street, 3rd Street near Palm
Avenue (SS19-00)
Current
Estimate
Carryover
Funds
Current
Estimate
Carryover
Funds
Current
Estimate
Carryover
Funds
Current
Estimate
Carryover
Funds
Named Projects Total:
Total Carryover + Estimate:
(%) Named Projects to FY Est. Revenue:122.63%33.67%13.67%0.00%0.00%
$3,922,978.00 $1,283,123.00 $501,057.00 $0.00 $0.00
Categorical Projects:
Electrical Charges for Street Lights and Traffic Signals
Categorical Projects Total:
(%) Categorical Projects to FY Est. Revenue:
Citywide Pavement Rehabilitation (Slurry / Crack Seal)
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REV FY19/20 FY20/21 FY21/22 FY22/23 FY23/24 FY24/25Chino5.62% $ 1,381,067 $ 1,310,748 $ 1,561,532 $ 1,501,882 $ 1,546,774 $ 1,594,538 7,515,473$ Chino Hills5.28% $ 1,297,046 $ 1,231,005 $ 1,466,532 $ 1,410,510 $ 1,452,671 $ 1,497,530 7,058,248$ Colton3.40% $ 836,229 $ 793,651 $ 945,500 $ 909,382 $ 936,564 $ 965,485 4,550,581$ Fontana13.28% $ 3,260,572 $ 3,094,554 $ 3,686,633 $ 3,545,804 $ 3,651,790 $ 3,764,558 17,743,340$ Grand Terrace0.79% $ 194,548 $ 184,642 $ 219,969 $ 211,567 $ 217,890 $ 224,619 1,058,687$ Highland3.49% $ 857,553 $ 813,889 $ 969,610 $ 932,571 $ 960,446 $ 990,105 4,666,623$ Loma Linda1.52% $ 374,136 $ 355,086 $ 423,025 $ 406,865 $ 419,027 $ 431,966 2,035,969$ Montclair2.48% $ 608,257 $ 577,287 $ 687,739 $ 661,467 $ 681,239 $ 702,276 3,310,007$ Ontario11.16% $ 2,740,764 $ 2,601,213 $ 3,098,901 $ 2,980,523 $ 3,069,613 $ 3,164,403 14,914,653$ Rancho Cucamonga11.23% $ 2,758,352 $ 2,617,906 $ 3,118,788 $ 2,999,650 $ 3,089,312 $ 3,184,710 15,010,365$ Redlands4.50% $ 1,104,482 $ 1,048,245 $ 1,248,805 $ 1,201,101 $ 1,237,002 $ 1,275,201 6,010,354$ Rialto6.71% $ 1,649,227 $ 1,565,254 $ 1,864,733 $ 1,793,500 $ 1,847,109 $ 1,904,148 8,974,744$ San Bernardino13.72% $ 3,370,576 $ 3,198,957 $ 3,811,011 $ 3,665,431 $ 3,774,993 $ 3,891,565 18,341,958$ Upland4.91% $ 1,206,598 $ 1,145,162 $ 1,364,265 $ 1,312,150 $ 1,351,371 $ 1,393,102 6,566,052$ Yucaipa3.43% $ 843,194 $ 800,261 $ 953,374 $ 916,955 $ 944,364 $ 973,526 4,588,480$ County/Valley8.46% $ 2,078,388 $ 1,972,564 $ 2,349,973 $ 2,260,204 $ 2,327,763 $ 2,399,644 11,310,147$ Total Valley Region 100.00% 24,560,990$ 23,310,424$ 27,770,391$ 26,709,562$ 27,507,928$ 28,357,376$ 133,655,681$ * Estimates for Local Pass-through Revenue updated April 2020. Includes effect of COVID-19 and 5% small business adjustment.Measure I Local Pass-through Program REVISED REVENUE ESTIMATES FOR FY2019/2020 TO FY2024/2025VALLEY SUBAREAPopulation Distribution Percentage Total FY20/21thru FY24/25 Valley Subarea Estimated Annual Local Pass-Through Amount*23.cPacket Pg. 668Attachment: PW.2020-2025 MICIP.03. Measure I Revenue Estimate.Attachment 3 (6755 : Five-Year Capital
Population Revenue GenerationREV FY19/20 FY20/21 FY21/22 FY22/23 FY23/24 FY24/25Needles70.07% 73.45%120,014.71$ 113,903.95$ 113,903.95$ 122,122.39$ 117,662.70$ 121,391.61$ 588,984.61$ County/Colorado River29.93% 26.55%47,230.93$ 44,826.09$ 44,826.09$ 48,060.39$ 46,305.32$ 47,772.80$ 231,790.69$ Colorado River Subarea100.00% 100.00%167,245.65$ 158,730.04$ 170,182.78$ 163,968.02$ 169,164.42$ 174,693.17$ 836,738.43$ Twentynine Palms38.31% 22.77%405,964.06$ 385,293.69$ 485,650.54$ 464,971.16$ 476,688.30$ 489,170.22$ 2,301,773.91$ Yucca Valley 29.17% 64.67%623,775.55$ 592,014.92$ 746,216.13$ 714,441.67$ 732,445.39$ 751,624.21$ 3,536,742.32$ County/Morongo Basin32.52% 12.56%299,662.15$ 284,404.32$ 358,482.68$ 343,218.21$ 351,867.21$ 361,080.73$ 1,699,053.15$ Morongo Basin Subarea100.00% 100.00%1,329,401.76$ 1,261,712.93$ 1,590,349.36$ 1,522,631.04$ 1,561,000.90$ 1,601,875.15$ 7,537,569.38$ Barstow 42.42% 75.24%1,379,091.77$ 1,308,872.87$ 1,679,197.73$ 1,623,042.60$ 1,679,826.12$ 1,740,266.59$ 8,031,205.91$ County/North Desert 57.58% 24.76%965,126.37$ 915,985.26$ 1,175,148.78$ 1,135,849.87$ 1,175,588.55$ 1,217,886.45$ 5,620,458.90$ North Desert Subarea100.00% 100.00%2,344,218.13$ 2,224,858.13$ 2,854,346.52$ 2,758,892.47$ 2,855,414.67$ 2,958,153.03$ 13,651,664.82$ Big Bear Lake 10.44% 49.84%392,858.41$ 372,855.32$ 410,297.29$ 394,847.81$ 406,880.75$ 419,683.21$ 2,004,564.38$ County/Mountains 89.56% 50.16%910,675.79$ 864,307.12$ 951,100.46$ 915,287.37$ 943,180.65$ 972,857.73$ 4,646,733.31$ Mountains Subarea100.00% 100.00%1,303,534.19$ 1,237,162.44$ 1,361,397.75$ 1,310,135.17$ 1,350,061.39$ 1,392,540.93$ 6,651,297.69$ Adelanto8.73% 4.03%660,476.40$ 626,847.08$ 748,695.89$ 726,867.50$ 755,633.81$ 786,293.27$ 3,644,337.54$ Apple Valley18.25% 14.90%1,716,383.59$ 1,628,990.89$ 1,945,640.06$ 1,888,914.50$ 1,963,669.68$ 2,043,344.57$ 9,470,559.70$ Hesperia23.94% 23.58%2,460,404.88$ 2,335,129.03$ 2,789,039.90$ 2,707,724.83$ 2,814,885.03$ 2,929,097.54$ 13,575,876.33$ Victorville31.43% 51.86%4,313,313.97$ 4,093,693.99$ 4,889,441.11$ 4,746,888.38$ 4,934,749.97$ 5,134,974.91$ 23,799,748.37$ County/Victor Valley17.65% 5.63%1,205,880.23$ 1,144,480.71$ 1,366,949.03$ 1,327,095.34$ 1,379,616.11$ 1,435,593.32$ 6,653,734.52$ Victor Valley Subarea100.00% 100.00% 10,356,459.06$ 9,829,141.71$ 11,739,765.99$ 11,397,490.55$ 11,848,554.60$ 12,329,303.61$ 57,144,256.46$ Total Mt Desert Region15,500,858.79$ 14,711,605.25$ 17,716,042.40$ 17,153,117.25$ 17,784,195.98$ 18,456,565.89$ 85,821,526.77$ * Estimates for Local Pass-through Revenue updated April 2020. Includes effect of COVID-19 and 5% small business adjustment. Total FY20/21 through FY24/25 MOUNTAIN/DESERT SUBAREADistribution Percentage(50% Population & 50% Revenue Generation) Estimated Annual Local Pass-Through Amount*Measure I Local Pass-through Program REVISED REVENUE ESTIMATES FOR FY2019/2020 TO FY2024/2025Mountain/Desert Subareas23.cPacket Pg. 669Attachment: PW.2020-2025 MICIP.03. Measure I Revenue Estimate.Attachment 3 (6755 : Five-Year Capital
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CITY OF SAN BERNARDINO
MEASURE I CAPITAL IMPROVEMENT PLAN
EXPENDITURE STRATEGY
Fiscal Year 2020/2021 to 2024/2025
The Cit y of San Bernardino will continue to place emphasis on both its regional and
sub-regional arterial roadwa y s ystem. At least fifty percent of the City's Measure I
allocation will be earmarked for specific capital projects that are geared toward
improving traffic flow and motorist convenience. Failing pavement surfaces will be
rehabilitated and traffic striping modified as needed to accommodate increased traffic
demand ; and intersection capacity will be improved with new and modified
traffic signals.
In addition to the above Capital Improvement Program, San Bernardino will continue
to allocate up to fifty percent of its annual Measure I funds towards public works
maintenance activities. Maintenance work will continue to include the Cit y's traffic
signal s ystems, sidewalk and curb repair, and pavement repair and overlay on the local
street system.
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Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Kris Jensen, Director of Public Works
Subject: Resolution Declaring Intent to Annex Territory Community
Facilities District No. 2019-1
Recommendation
Adopt Resolution No. 2020-144 of the Mayor and City Council of the City of San
Bernardino, California, declaring its intention to annex territory into Community Facilities
District No. 2019-1 (Maintenance Services) of the City of San Bernardino, adopting a
map of the area to be proposed (Annexation No. 4) and authorizing the levy of a special
taxes therein.
Background
On June 5, 2019, the Mayor City Council approved Resolution No. 2019-081
establishing Community Facilities District No. 2019-1 (Maintenance Services) of the City
of San Bernardino (the "CFD No. 2019-1" or "District") for the purpose of levying special
taxes on parcels of taxable property to provide certain services which are necessary to
meet increased demands placed upon the City.
Discussion
On July 17, 2019, the Mayor and City Council adopted Resolution No. 2019 -178,
establishing CFD No. 2019-1 pursuant to the provisions of the Mello-Roos Community
Facilities Act of 1982 (“Act”). CFD No. 2019 -1 allows for the levy of special taxes on
parcels of taxable property for the purpose of providing certain services which are
necessary to meet increased demands placed by development upon the City.
Development projects are subject to conditions of approval that require projects to
form/annex a maintenance district. These districts apply an annual fee or special tax
upon properties within the District which provide the revenue to offset the cost of
maintenance of the public improvements necessary to serve the development. The
Developer has agreed to initiate and conduct the CFD annexation proceedings pursuant
to the Act. To that end, the Developer has submitted a "Consent and Waiver" form,
which is on file in the City Clerk's office that authorizes the City to (1) hold the election
and declare election results; (2) shorten election time requirements; (3) waive analysis
and arguments; (4) waive all notice requirements relating to the conduct of the election
immediately following the public hearing.
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The public facilities and services proposed to be financed within the territory to be
annexed to the District are the following:
1. Maintenance of median landscaping and other public improvements installed
within the public rights-of-way; and
2. Public lighting and appurtenant facilities, including street lights within public
rights-of-way and traffic signals; and
3. Maintenance of streets, including pavement management, and provide street
sweeping; and
4. City and County costs associated with the setting, levying and collection of the
special tax, and in the administration of the District including the contract
administration and for the collection of reserve funds.
The proposed development includes approximately 2 8 gross acres of vacant residential
property to include 119 detaching single-family residential lots. The property is located
on the northeast intersection of Magnolia Avenue and Little League Drive, as shown in
Attachment 2. This development will create a new Tax Zone No. 5 within CFD No.
2019-1, as shown in the boundary map and included in the Resolution of Intention as
Exhibit “D”. In order to annex into CFD No. 2019 -1, a Resolution of Intention to annex
property must be approved to identify the facilities to be maintained and establish the
maximum special tax for this Tax Zone. The Resolution of Intention shall also set the
date and time for the public hearing.
The rate and method of apportionment of the special tax for this Tax Zone, (Tax Zone
No. 5), is included as Exhibit “C” to the Resolution of Intention. The maximum annual
special tax for this development has been calculated to be $401 per residential unit.
This tax rate includes a Maximum Special Tax A of $344 per unit per year for
maintenance services of public facilities and a Maximum Annual Special Tax B
(Contingent) of $57 per unit per year. Special Tax B (Contingent) is for the maintenance
and operation of the improvements described in Exhibit “B” attached hereto. If the
Property Owners Association (POA) were to default of its obligation to maintain such
improvements, the City would be able to collect funds to pay for those services. Annual
Special Tax B (Contingent) rate is proposed to escalate each year at the greater of
Consumer Price Index (CPI) or 2%. Attachment 3 attached to the staff report is a
maintenance exhibit to illustrate which services are being maintained by the CFD and
by the POA.
In order to annex property to CFD No. 2019 -1 pursuant to the provisions of California
Government Code Section 53311 et seq., the City must adopt a series of three
statutorily required Resolutions and an Ordinance which are summarized below.
Resolution declaring City intent to annex territory to Community Facilities District
No. 2019-1 including the boundary of the area to be annexed and the rate and
method of apportionment of special taxes within the annexation area (the special
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tax applies only to properties within the annexation area).
Resolution calling an election to submit to the qualif ied electors the question of
levying a special tax within the area proposed to be annexed to the District.
Resolution declaring the results of the election and directing the recording of the
notice of special tax lien.
Amend the Ordinance and order the levy and collection of special taxes in the
District.
With the adoption of the Resolution of Intention, the Public Hearing would be scheduled
for August 5, 2020.
2020-2025 Strategic Targets and Goals
Formation of this CFD is consistent with Key Targe t No 4a: Secure a long-term revenue
source. Funding from district assessments will create sustainable financial support for
ongoing maintenance of landscape and infrastructure associated with the district
location.
Fiscal Impact
The individual property owners in the CFD will be responsible for annual payments of
special taxes. Upon full completion of the development, it is estimated that there will be
an annual collection of special tax revenues of approximately $40,921 to be used to pay
for maintenance costs.
On March 1 of each year, every taxable unit for which a building permit has been issued
within the boundaries of the CFD will be subject to the special tax for the ensuing Fiscal
Year. If the anticipated costs of maintaining the facilities in any given Fiscal Year, prior
to build-out of the project, exceeds the special tax revenues available from parcels for
which building permits have been issued, then the special tax may also be applied to
property within recorded final subdivision maps, as well as other undeveloped property
within the boundaries of the CFD.
All costs associated with annexation into the CFD have been borne by the Developer.
By annexing into the CFD, the costs of maintaining improvements located within the
development will be financed through special taxes levied on the parcels within CFD
No. 2019-1 and not through the City’s General Fund.
Conclusion
Adopt Resolution No. 2020-143 of the Mayor and City Council of the City of San
Bernardino, California, declaring its intention to annex territory into Community Facilities
District No. 2019-1 (Maintenance Services) of the City of San Bernardino, adopting a
map of the area to be proposed (Annexation No. 4) and authorizing the levy of a special
taxes therein.
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Attachments
Attachment 1 Resolution 2020-144; Exhibit A - Description of Territory; Exhibit B -
Description of Authorized Services; Exhibit C - Rate and Method of
Apportionment; Exhibit D - Annexation and Potential Annexation
Boundary Maps; Exhibit E - Signed Petition, Waiver and Consent;
Exhibit F - Notice of Public Hearing; Exhibit G - Special Election
Ballot
Attachment 2 Project/Location Map
Attachment 3 CFD Landscape Maintenance Exhibit
Ward: 5
Synopsis of Previous Council Actions:
June 5, 2019 Mayor and City Council adopted Resolution No. 2019-81, a
Resolution of Intention to form Community Facilities District No.
2019-1 (Maintenance Services) of the City of San Bernardino (the
“Resolution of Intention”), pursuant to the provisions of the “Mello -
Roos Community Facilities Act of 1982”.
July 17, 2019 Resolution No. 2019-178 was adopted establishing Community
Facilities District No. 2019-1; Resolution No. 2019-179 was
adopted declaring election results for Community Facilities District
No. 2019-1; and first reading of Ordinance No. MC-1522 levying
special taxes to be collected during FY 2019 -20 to pay annual costs
of maintenance, services and expenses with respect to Community
Facilities District No. 2019-1.
August 7, 2019 Ordinance No. MC-1522 levying special taxes to be collected
during FY 2019-20 to pay annual costs of maintenance, services
and expenses with respect to Community Facilities District No.
2019-1.
24
Packet Pg. 682
RESOLUTION NO. 2020-144
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
DECLARING ITS INTENTION TO ANNEX TERRITORY
INTO COMMUNITY FACILITIES DISTRICT NO. 2019-1
(MAINTENANCE SERVICES) OF THE CITY OF SAN
BERNARDINO, ADOPTING A MAP OF THE AREA TO BE
PROPOSED (ANNEXATION NO. 4) AND AUTHORIZING
THE LEVY OF A SPECIAL TAXES THEREIN
WHEREAS, pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”),
on June 5, 2019, the City Council (the “City Council”) of the City of San Bernardino (the “City”)
approved Resolution No. 2019-081 establishing Community Facilities District No. 2019-1
(Maintenance Services) of the City of San Bernardino, County of San Bernardino, State of
California, defined the "CFD No. 2019-1", for the purpose of levying special taxes on parcels of
taxable property therein for the purpose of providing certain services which are necessary to meet
increased demands placed upon the City; and
WHEREAS, the City Council has received a written instrument from the landowner in the
CFD No. 2019-1 to initiate and conduct proceedings pursuant to the Act, to annex territory to CFD
No. 2019-1 and consenting to the shortening of election time requirements, waiving analysis and
arguments, and waiving all notice requirements relating to the conduct of the election; and
WHEREAS, the City Council has been advised that certain property owners have
requested that the area shown in Exhibit D be annexed territory to the boundaries of CFD No.
2019-1, that a rate and method of apportionment of the special tax to be levied therein be
established;
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. Intent to Annex. The City Council hereby declares that it proposes and
intends to conduct proceedings pursuant to Article 3.5 for the annexation to the Community
Facilities District of the territory described in Exhibit A attached hereto. The City Council
determines that the public convenience and necessity require that such territory be annexed to the
Community Facilities District.
SECTION 2. Name of the Community Facilities District. The name of the existing
community facilities district is known as “Community Facilities District No. 2019-1 (Maintenance
Services)”.
SECTION 3. Description of Territory Proposed to be Annexed, Annexation Map. The
territory proposed to be annexed are included within the boundaries within which property may
annex to CFD No. 2019-1 and are more particularly described and shown on that certain map
entitled “Boundaries – Potential Annexation Area Community Facilities District No. 2019-1
(Maintenance Services) of the City of San Bernardino, County of San Bernardino, State of
24.a
Packet Pg. 683 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 (6756 : Resolution Declaring Intent to Annex Territory Community
Resolution No. 2020-144
California,” as recorded on June 6, 2019 in Book 88 of Maps of Assessment and Community
Facilities District, Page 33, and as Instrument No. 2019-0185395 in the official records of the
County of San Bernardino. The territory proposed to be annexed to the CFD No. 2019-1 is
described in Exhibit A attached hereto and by this reference made a part hereof. Such territory is
also shown and described on the map thereof entitled "Annexation Map No. 4, Community
Facilities District No. 2019-1 (Maintenance Services), City of San Bernardino, County of San
Bernardino, State of California," which is on file with the City Clerk (the "Annexation Map") and
attached hereto as Exhibit D.
SECTION 4. Description of Authorized Services. The services proposed to be financed
by CFD No. 2019-1 (the “Services”) are described in Exhibit B attached hereto. The cost of
providing the Services includes “incidental expenses,” which include costs associated of CFD No.
2019-1, determination of the amount of special taxes, collection or payment of special taxes, or
costs otherwise incurred in order to carry out the authorized purposes of CFD No. 2019-1. The
Services authorized to be financed by CFD No. 2019-1 are in addition to those currently provided
in the territory of CFD No. 2019-1 and do not supplant services already available within that
territory.
SECTION 5. Levy of Special Taxes. Except where funds are otherwise available, a
special tax sufficient to pay the costs of the Services (including incidental expenses), secured by
recordation of a continuing lien against all nonexempt real property in CFD No. 2019-1, will be
levied annually within CFD No. 2019-1. The Rate and Method of Apportionment, and manner of
collection of the special tax are specified in Exhibit C.
SECTION 6. Adoption of Annexation Map. Pursuant to Section 3110.5 of the Streets
and Highways Code, the City Council adopts the Annexation Map as the map of the area proposed
to be annexed to the CFD No. 2019-1. Pursuant to Section 3111 of said Code, the City Clerk shall
file the original of the Annexation map in his office and shall file a copy of the Annexation Map
with the County Recorder of the County of San Bernardino no later than 15 days prior to the date
of the hearing specified in Section 7 hereof.
SECTION 7. Public Hearing. The City Council hereby fixes 7:00 p.m., or as soon
thereafter as practicable, on Wednesday, August 5, 2020, in the City Council Chambers located at
201 North “E” Street, San Bernardino, California, as the time and place when and where the City
Council will conduct a public hearing on the proposed annexation of the said territory to the CFD
No. 2019-1.
SECTION 8. Notice of Public Hearing. The City Clerk is hereby directed to publish, or
cause to be published, a notice of said public hearing, in substantially the form attached hereto as
Exhibit F, one time in a newspaper of general circulation published in the area of CFD No. 2019-
1. The publication of said notice shall be completed at least seven da ys prior to the date herein
fixed for said hearing. Said notice shall contain the information prescribed by Section 53322 of the
Act.
SECTION 9. Mailing Ballots. In anticipation of its action on Wednesday August 5, 2020
to call the election on the annexation for the same date, pursuant to waiver of election time limits
from the landowners, the City Council hereby authorizes the City Clerk to mail to each landowner
in the territory proposed to be annexed to the CFD No. 2019-1 a ballot in substantially the form set
24.a
Packet Pg. 684 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 (6756 : Resolution Declaring Intent to Annex Territory Community
Resolution No. 2020-144
forth in Exhibit G hereto. A copy of the waiver and consent form signed by the property owner is
attached hereto as Exhibit E and incorporated herein by this reference.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this 17th day of June 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
24.a
Packet Pg. 685 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 (6756 : Resolution Declaring Intent to Annex Territory Community
Resolution No. 2020-144
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true copy
of Resolution No. 2020-____, adopted at a regular meeting held on the 17th day of June 2020 by
the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ____ day of __________,
2020.
___________________________________
Genoveva Rocha, CMC, Acting City Clerk
24.a
Packet Pg. 686 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 (6756 : Resolution Declaring Intent to Annex Territory Community
EXHIBIT A
DESCRIPTION OF PROPOSED TERRITORY TO BE ANNEXED
The City of San Bernardino Community Facilities District No. 2019-1 (Maintenance Services) (the “CFD No.
2019-1”) Annexation No. 4 is currently comprised of one parcel, located within the City boundaries. The property
is identified by the following San Bernardino County Assessor's Parcel Numbers (APN).
APN Owner Name
0261-181-16 TH Rancho Palma LLC
0261-181-17 TH Rancho Palma LLC
24.b
Packet Pg. 687 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit A - Description of Proposed Territory to be Annexed (6756
EXHIBIT B
DESCRIPTION OF AUTHORIZED SERVICES
The services which may be funded with proceeds of the special tax of CFD No. 2019-1, as provided by
Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing
and/or replacing landscaped areas (may include reserves for replacement) in public street right-of-ways,
public landscaping, public open spaces and other similar landscaped areas officially dedicated for public
use. These services including the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which
maintenance and lighting services may include, without limitation, furnishing of electrical power to street
lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and
standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or
adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities;
maintenance of public signage; graffiti removal from and maintenance and repair of public structures
situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or
recreation program equipment or facilities situated on any park; and
(b) maintenance and operation of water quality improvements which include storm drainage
and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration
basins, flood control channels, fossil fuel filters, and similar facilities. Maintenance services may include but
is not limited to the repair, removal or replacement of all or part of any of the water quality improvements,
fossil fuel filters within the public right-of-way including the removal of petroleum hydrocarbons and other
pollutants from water runoff, or appurtenant facilities, clearing of inlets and outlets; erosion repairs; and
cleanup to improvements, and other items necessary for the maintenance, servicing; or both of the water
quality basin improvements within flood control channel improvements; and
(c) public street sweeping, on the segments of the arterials within the boundaries of CFD No.
2019-1; as well as local roads within residential subdivisions located within CFD No. 2019-1; and any
portions adjacent to the properties within CFD No. 2019-1.
In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may
be expended to pay “Administrative Expenses,” as said term is defined in Exhibit B to this resolution of
intention.
The above services shall be limited to those provided within the boundaries of CFD No. 2019-1 or for the
benefit of the properties within the boundaries of CFD No. 2019-1, as the boundary is expanded from time
to time by anticipated annexations, and said services may be financed by proceeds of the special tax of
CFD No. 2019-1 only to the extent that they are in addition to those provided in the territory of CFD No.
2019-1 before CFD No. 2019-1 was created.
24.c
Packet Pg. 688 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit B - Description of Authorized Services (6756 : Resolution
EXHIBIT C
City of San Bernardino 1
Community Facilities District No. 2019‐1 (Maintenance Services)
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX FOR
COMMUNITY FACILITIES DISTRICT NO. 2019‐1 (MAINTENANCE SERVICES)
OF THE CITY OF SAN BERNARDINO
A Special Tax (the “Special Tax”) shall be levied on and collected from each Assessor’s Parcel (defined
below) in Community Facilities District No. 2019‐1 (Maintenance Services) (the “CFD No. 2019‐1” or
“CFD”; defined below), in each Fiscal Year, (defined below), commencing in the Fiscal Year beginning July
1, 2019, in an amount determined by the City Council of the City of San Bernardino, acting in its capacity
as the legislative body of CFD No. 2019‐1, by applying the rate and method of apportionment set forth
below. All of the real property in CFD No. 2019‐1, unless exempted by law or by the provisions herein,
shall be taxed to the extent and in the manner provided herein.
A. DEFINITIONS
“Acre” or “Acreage” means the land area of an Assessor’s Parcel as shown on any Assessor’s Parcel
Map, or if the land area is not shown on the Assessor’s Parcel Map, the land area as shown on the
applicable Final Map, or if the area is not shown on the applicable Final Map, the land area shall be
calculated by the Administrator.
“Administrative Expenses” means the actual or reasonably estimated costs directly related to the
formation, annexation, and administration of CFD No. 2019‐1 including, but not limited to: the costs
of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether
by the City or designee thereof or both); the costs to the City, CFD No. 2019‐1, or any designee thereof
associated with fulfilling the CFD No. 2019‐1 disclosure requirements; the costs associated with
responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2019‐1 or
any designee thereof related to an appeal of the Special Tax; and the City's annual administration fees
including payment of a proportional share of salaries and benefits of any City employees and City
overhead whose duties are related to the administration and third party expenses. Administrative
Expenses shall also include amounts estimated or advanced by the City or CFD No. 2019‐1 for any
other administrative purposes of CFD No. 2019‐1, including attorney's fees and other costs related to
commencing and pursuing to completion any foreclosure of delinquent Special Taxes.
“Administrator” means the City Manager of the City of San Bernardino, or his or her designee.
“Approved Property” means all Assessor’s Parcels of Taxable Property that are included in a Final
Map that was recorded prior to the March 1 preceding the Fiscal Year in which the Special Tax is being
levied, and that have not been issued a building permit on or prior to the March 1 preceding the Fiscal
year in which the special tax is being levied.
“Assessor’s Parcel” means a lot or parcel of land that is identifiable by an Assessor’s Parcel Number
by the County Assessor of the County of San Bernardino.
“Assessor’s Parcel Map” means an official map of the Assessor of the County designating parcels by
Assessor’s Parcel Number.
“Assessor’s Parcel Number” means that identification number assigned to a parcel by the County
Assessor of the County.
24.d
Packet Pg. 689 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit C - Rate and Method of Apportionment (6756 : Resolution
City of San Bernardino 2
Community Facilities District No. 2019‐1 (Maintenance Services)
“Building Square Footage” or “BSF” means the floor area square footage reflected on the original
construction building permit issued for construction of a building of Non‐Residential Property and any
Building Square Footage subsequently added to a building of such Taxable Property after issuance of
a building permit for expansion or renovation of such building.
“Calendar Year” means the period commencing January 1 of any year and ending the following
December 31.
“CFD” or “CFD No. 2019‐1” means the City of San Bernardino Community Facilities District No. 2019‐
1 (Maintenance Services).
“City” means the City of San Bernardino.
“Contingent Special Tax B Requirement” means that amount required in any Fiscal Year, if the POA
is unable to maintain the Service(s) to: (i) pay the costs of Services incurred or otherwise payable in
the Calendar Year commencing in such Fiscal Year; (ii) fund an operating reserve for the costs
of Services as determined by the Administrator; less a credit for funds available to reduce the annual
Special Tax B (Contingent) levy as determined by the Administrator.
“County” means the County of San Bernardino.
“Developed Property” means all Assessor’s Parcels of Taxable Property for which a building permit
for new construction has been issued on or prior to March 1 preceding the Fiscal Year in which the
Special Tax is being levied.
“Exempt Property” means all Assessors’ Parcels designated as being exempt from the Special Tax as
provided for in Section G.
“Final Map” means a subdivision of property by recordation of a final map, parcel map, or lot line
adjustment, pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.)
or recordation of a condominium plan pursuant to California Civil Code 1352 that creates individual
lots for which building permits may be issued without further subdivision.
“Fiscal Year” means the period from and including July 1st of any year to and including the following
June 30th.
“Land Use Category” or “LUC” means any of the categories contained in Section B hereof to which an
Assessor’s Parcel is assigned consistent with the land use approvals that have been received or
proposed for the Assessor’s Parcel as of March 1 preceding the Fiscal Year in which the Special Tax is
being levied.
“Maximum Special Tax” means either Maximum Special Tax A and/or Maximum Special Tax B
(Contingent), as applicable.
“Maximum Special Tax A” means the Maximum Special Tax A, as determined in accordance with
Section C below that can be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property
within CFD No. 2019‐1.
24.d
Packet Pg. 690 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit C - Rate and Method of Apportionment (6756 : Resolution
City of San Bernardino 3
Community Facilities District No. 2019‐1 (Maintenance Services)
“Maximum Special Tax B (Contingent)” means the Maximum Special Tax B (Contingent), as
determined in accordance with Section C below that can be levied in any Fiscal Year on any Assessor's
Parcel of Taxable Property within CFD No. 2019‐1.
“Multi‐Family Residential Property” means any Assessor’s Parcel of residential property that consists
of a building or buildings comprised of attached Residential Units sharing at least one common wall
with another unit.
“Non‐Residential Property” or “NR” means all Assessor's Parcels of Taxable Property for which a
building permit(s) was issued for a non‐residential use. The Administrator shall make the
determination if an Assessor’s Parcel is Non‐Residential Property.
“Property Owner’s Association” or “POA” means the property owner’s association or homeowner’s
association established to maintain certain landscaping within a Tax Zone.
“Proportionately” means for Taxable Property that is: (i) Developed Property, that the ratio of the
actual Special Tax levy to the Maximum Special Tax is the same for all Parcels of Developed Property
with the same Tax Zone, (ii) Approved Property, that the ratio of the actual Special Tax levy to the
Maximum Special Tax is the same for all Parcels of Approved Property with the same Tax Zone, and
(iii) Undeveloped Property that the ratio of the actual Special Tax levy per acre to the Maximum
Special Tax per acre is the same for all Parcels of Undeveloped Property with the same Tax Zone.
“Residential Unit” or "RU" means a residential unit that is used or intended to be used as a domicile
by one or more persons, as determined by the Administrator.
“Residential Property” means all Assessor’s Parcels of Taxable Property upon which completed
Residential Units have been constructed or for which building permits have been or may be issued for
purposes of constructing one or more Residential Units.
“Service(s)” means services permitted under the Mello‐Roos Community Facilities Act of 1982
including, without limitation, those services authorized to be funded by CFD No. 2019‐1 as set forth
in the documents adopted by the City Council at the time the CFD was formed.
“Single Family Residential Property” means any residential property other than Multi‐Family
Residential Property on an Assessor’s Parcel.
“Special Tax(es)” means the Special Tax A and/or Special Tax B (Contingent) to be levied in each Fiscal
Year on each Assessor’s Parcel of Taxable Property.
“Special Tax A” means the annual special tax to be levied in each Fiscal Year on each Assessor’s Parcel
of Taxable Property to fund the Special Tax A Requirement.
"Special Tax A Requirement" means for each Tax Zone, that amount to be collected in any Fiscal Year
to pay for certain costs as required to meet the needs for such Tax Zone of CFD No. 2019‐1 in both
the current Fiscal Year and the next Fiscal Year. The costs to be covered shall be the direct costs for
maintenance services including but not limited to (i) maintenance and lighting of parks, parkways,
streets, roads and open space, (ii) maintenance and operation of water quality improvements, (iii)
public street sweeping, (iv) fund an operating reserve for the costs of Services as determined by the
Administrator, and (v) Administrative Expenses. Under no circumstances shall the Special Tax A
Requirement include funds for Bonds.
24.d
Packet Pg. 691 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit C - Rate and Method of Apportionment (6756 : Resolution
City of San Bernardino 4
Community Facilities District No. 2019‐1 (Maintenance Services)
“Special Tax B (Contingent)” means the Special Tax B (Contingent) to be levied in each Fiscal Year on
each Assessor’s Parcel of Taxable Property to fund the Contingent Special Tax B Requirement, if
required.
"Taxable Property" means all Assessor’s Parcels within CFD No. 2019‐1, which are not Exempt
Property.
“Taxable Unit” means a Residential Unit, Building Square Footage, or an Acre.
"Tax Zone" means a mutually exclusive geographic area, within which particular Special Tax rates may
be levied pursuant to this Rate and Method of Apportionment of Special Tax. Appendix C identifies
the Tax Zone in CFD No. 2019‐1 at formation; additional Tax Zones may be created when property is
annexed into the CFD.
"Tax Zone 1" means the specific geographic area identified on the CFD Boundary Map as Tax Zone 1.
"Tract(s)" means an area of land; i) within a subdivision identified by a particular tract number on a
Final Map, ii) identified within a Parcel Map; or iii) identified within lot line adjustment approved for
subdivision.
“Undeveloped Property” means, for each Fiscal Year, all Taxable Property not classified as Developed
Property or Approved Property.
B. ASSIGNMENT TO LAND USE CATEGORIES
For each Fiscal Year, all Assessor’s Parcels of Taxable Property within CFD No. 2019‐1 shall be classified
as Developed Property, Approved Property, or Undeveloped Property, and shall be subject to the levy
of Special Taxes as determined pursuant to Sections C and D below. Assessor’s Parcels of Developed
Property and Approved Property shall be classified as either Residential Property or Non‐Residential
Property. Residential Property shall be further classified as Single Family Residential Property or
Multi‐Family Residential Property and the number of Residential Units shall be determined by the
Administrator.
C. MAXIMUM SPECIAL TAX RATES
For purposes of determining the applicable Maximum Special Tax for Assessor’s Parcels of Developed
Property and Approved Property which are classified as Residential Property, all such Assessor’s
Parcels shall be assigned the number of Residential Unit(s) constructed or to be constructed thereon
as specified in or shown on the building permit(s) issued or Final Map as determined by the
Administrator. For Parcels of undeveloped property zoned for development of single family attached
or multi‐family units, the number of Residential Units shall be determined by referencing the
condominium plan, apartment plan, site plan or other development plan, or by assigning the
maximum allowable units permitted based on the underlying zoning for the Parcel. Once a single
family attached or multi‐family building or buildings have been built on an Assessor's Parcel, the
Administrator shall determine the actual number of Residential Units contained within the building
or buildings, and the Special Tax A levied against the Parcel in the next Fiscal Year shall be calculated
by multiplying the actual number of Residential Units by the Maximum Special Tax per Residential
Unit identified for the Tract below or as included in Appendix A as each Annexation occurs.
For purposes of determining the applicable Maximum Special Tax for Assessor’s Parcels of Developed
Property and Approved Property which are classified as Non‐Residential Property, all such Assessor’s
24.d
Packet Pg. 692 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit C - Rate and Method of Apportionment (6756 : Resolution
City of San Bernardino 5
Community Facilities District No. 2019‐1 (Maintenance Services)
Parcels shall be assigned the number of Building Square Footage or Acres as shown on the Final Map
as determined by the Administrator. Once the Administrator determines the actual number of
Building Square Footage or Acres for the Assessor’s Parcels, the Special Tax A levied against the
Assessor’s Parcel in the next Fiscal Year shall be calculated by multiplying the number of Building
Square Footage or Acres by the Maximum Special Tax per Taxable Unit identified for the Tax Zone
below or as included in Appendix A as each Annexation occurs.
1. Special Tax A
a. Developed Property
(i) Maximum Special Tax A
The Maximum Special Tax A for each Assessor’s Parcel of Developed Property shall be specific
to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2019‐1,
the rate and method adopted for the annexed property shall reflect the Maximum Special Tax
A for the Tax Zones annexed and included in Appendix A. The Maximum Special Tax A for
Developed Property for Fiscal Year 2019‐2020 within Tax Zone 1 is identified in Table 1 below:
TABLE 1
MAXIMUM SPECIAL TAX A RATES
DEVELOPED PROPERTY
Tax
Zone Tract Land Use Category
Taxable
Unit
Maximum
Special Tax A
1 TR 17170 Single Family Residential Property RU $961
(ii) Increase in the Maximum Special Tax A
On each July 1, commencing on July 1, 2020 the Maximum Special Tax A for Developed
Property shall increase by i) the percentage increase in the Consumer Price Index (All Items)
for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the
preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.
(iii) Multiple Land Use Categories
In some instances an Assessor's Parcel of Developed Property may contain more than one
Land Use Category. The Maximum Special Tax A that can be levied on an Assessor's Parcel
shall be the sum of the Maximum Special Tax A that can be levied for each Land Use Category
located on that Assessor's Parcel. For an Assessor's Parcel that contains more than one land
use, the Acreage of such Assessor's Parcel shall be allocated to each type of property based
on the amount of Acreage designated for each land use as determined by reference to the
site plan approved for such Assessor's Parcel. The Administrator's allocation to each type of
property shall be final.
b. Approved Property
The Maximum Special Tax A for each Assessor’s Parcel of Approved Property shall be specific to
each Tax Zone within the CFD. When additional property is annexed into CFD No. 2019‐1, the rate
and method adopted for the annexed property shall reflect the Maximum Special Tax A for the
Tax Zone annexed and included in Appendix A. The Maximum Special Tax A for Approved property
Fiscal Year 2019‐20 within Tax Zone 1 is identified in Table 2 below:
24.d
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City of San Bernardino 6
Community Facilities District No. 2019‐1 (Maintenance Services)
TABLE 2
MAXIMUM SPECIAL TAX A RATES
APPROVED PROPERTY
Tax
Zone Tract Land Use Category
Taxable
Unit
Maximum
Special Tax A
1 TR 17170 Single Family Residential RU $961
On each July 1, commencing on July 1, 2020 the Maximum Special Tax A for Approved Property
shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles
‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii)
by two percent (2.0%), whichever is greater.
c. Undeveloped Property
The Maximum Special Tax A for each Assessor’s Parcel of Undeveloped Property shall be specific
to each Tax Zone within the CFD. When additional property is annexed into CFD No. 2019‐1, the
rate and method adopted for the annexed property shall reflect the Maximum Special Tax A for
the Tax Zone annexed and included in Appendix A. The Maximum Special Tax A for Undeveloped
Property for Fiscal Year 2019‐20 within Tax Zone 1 is identified in Table 3 below:
TABLE 3
MAXIMUM SPECIAL TAX A RATES
UNDEVELOPED PROPERTY
Tax Zone Tracts Taxable Unit Maximum Special Tax A
1 TR 17170 Acre $4,338
On each July 1, commencing on July 1, 2020 the Maximum Special Tax A for Undeveloped Property
shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles
‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii)
by two percent (2.0%), whichever is greater.
2. Special Tax B (Contingent)
The City Council shall levy Special Tax B (Contingent) only in the event the POA defaults in its bligation
to maintain the Contingent Services, which default shall be deemed to have occurred, as determined
by the Administrator, in each of the following circumstances:
(a) The POA files for bankruptcy;
(b) The POA is dissolved;
(c) The POA ceases to levy annual assessments for the Contingent Services; or
(d) The POA fails to provide the Contingent Services at the same level as the City provides similar
services and maintains similar improvements throughout the City and within ninety (90) days
after written notice from the City, or such longer period permitted by the City Manager, fails
to remedy the deficiency to the reasonable satisfaction of the City Council.
a. Developed Property
(i) Maximum Special Tax B (Contingent)
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City of San Bernardino 7
Community Facilities District No. 2019‐1 (Maintenance Services)
The Maximum Special Tax B (Contingent) for each Assessor’s Parcel of Taxable Property is
shown in Table 4 and shall be specific to each Tax Zone within the CFD. When additional
property is annexed into CFD No. 2019‐1, the rate and method adopted for the annexed
property shall reflect the Maximum Special Tax B (Contingent) for each Tax Zones annexed
and included in Appendix A. The Maximum Special Tax B (Contingent) for Fiscal Year 2019‐20
within Tax Zone 1 is identified in Table 4 below:
TABLE 4
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
DEVELOPED PROPERTY
Tax
Zone Tract Land Use Category
Taxable
Unit
Maximum Special
Tax B (Contingent)
1 TR 17170 Single Family Residential Property RU $0
(ii) Increase in the Maximum Special Tax B (Contingent)
On each July 1, commencing on July 1, 2020 the Maximum Special Tax B (Contingent) for
Developed Property shall increase by i) the percentage increase in the Consumer Price Index
(All Items) for Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of
the preceding Fiscal Year, or ii) by two percent (2.0%), whichever is greater.
(iii) Multiple Land Use Categories
In some instances an Assessor's Parcel of Developed Property may contain more than one
Land Use Category. The Maximum Special Tax B (Contingent) that can be levied on an
Assessor's Parcel shall be the sum of the Maximum Special Tax B (Contingent) that can be
levied for each Land Use Category located on that Assessor's Parcel. For an Assessor's Parcel
that contains more than one land use, the Acreage of such Assessor's Parcel shall be allocated
to each type of property based on the amount of Acreage designated for each land use as
determined by reference to the site plan approved for such Assessor's Parcel. The
Administrator's allocation to each type of property shall be final.
b. Approved Property
The Maximum Special Tax B (Contingent) for each Assessor’s Parcel of Taxable Property is shown
in Table 5 and shall be specific to each Tax Zone within the CFD. When additional property is
annexed into CFD No. 2019‐1, the rate and method adopted for the annexed property shall reflect
the Maximum Special Tax B (Contingent) for the Tax Zone annexed and included in Appendix A.
The Maximum Special Tax B (Contingent) for Fiscal Year 2019‐20 within the Tax Zone is identified
in Table 5 below:
TABLE 5
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
APPROVED PROPERTY
Tax
Zone Tract Land Use Category
Taxable
Unit
Maximum Special
Tax B (Contingent)
1 TR 17170 Single Family Residential Property RU $0
On each July 1, commencing on July 1, 2020 the Maximum Special Tax B (Contingent) for Approved
Property shall increase by i) the percentage increase in the Consumer Price Index (All Items) for
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City of San Bernardino 8
Community Facilities District No. 2019‐1 (Maintenance Services)
Los Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding
Fiscal Year, or ii) by two percent (2.0%), whichever is greater.
c. Undeveloped Property
The Maximum Special Tax B (Contingent) for each Assessor’s Parcel of Taxable Property is shown
in Table 6 and shall be specific to each Tax Zone within the CFD. When additional property is
annexed into CFD No. 2019‐1, the rate and method adopted for the annexed property shall reflect
the Maximum Special Tax B (Contingent) for the Tax Zone annexed and included in Appendix A.
The Maximum Special Tax B (Contingent) for Fiscal Year 2019‐20 within the Tax Zone is identified
in Table 6 below:
TABLE 6
MAXIMUM SPECIAL TAX B (CONTINGENT) RATES
UNDEVELOPED PROPERTY
Tax Zone
Tracts Taxable Unit
Maximum Special
Tax B (Contingent)
1 TR 17170 Acre $0
On each July 1, commencing on July 1, 2020 the Maximum Special Tax B (Contingent) for Undeveloped
Property shall increase by i) the percentage increase in the Consumer Price Index (All Items) for Los
Angeles ‐ Riverside ‐ Orange County (1982‐84 = 100) since the beginning of the preceding Fiscal Year,
or ii) by two percent (2.0%), whichever is greater.
D. METHOD OF APPORTIONMENT OF ANNUAL SPECIAL TAX
1. Special Tax A
Commencing with Fiscal Year 2019‐20 and for each following Fiscal Year, the Council shall determine
the Special Tax A Requirement and shall levy the Special Tax A on all Assessor’s Parcels of Taxable
Property until the aggregate amount of Special Tax A equals the Special Tax A Requirement for each
Tax Zone. The Special Tax A shall be levied for each Fiscal Year as follows:
First: The Special Tax A shall be levied Proportionately on all Assessor’s Parcels of Developed
Property within each Tax Zone up to 100% of the applicable Maximum Special Tax to satisfy the Special
Tax A Requirement for such Tax Zone;
Second: If additional moneys are needed to satisfy the Special Tax A Requirement for a Tax Zone
after the first step has been completed, the Special Tax A shall be levied Proportionately on each
Parcel of Approved Property within such Tax Zone up to 100% of the Maximum Special Tax A for
Approved Property;
Third: If additional monies are needed to satisfy the Special Tax A Requirement for a Tax Zone
after the first two steps has been completed, the Special Tax A shall be levied Proportionately on all
Assessor’s Parcels of Undeveloped Property within such Tax Zone up to 100% of the Maximum Special
Tax A for Undeveloped Property.
2. Special Tax B (Contingent)
Commencing with Fiscal Year in which Special Tax B (Contingent) is authorized to be levied and for
each following Fiscal Year, the City Council shall determine the Contingent Special Tax B (Contingent)
Requirement for each Tax Zone, if any, and shall levy the Special Tax on all Assessor’s Parcels of
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City of San Bernardino 9
Community Facilities District No. 2019‐1 (Maintenance Services)
Taxable Property within such Tax Zone until the aggregate amount of Special Tax B (Contingent) equals
the Special Tax B ( Contingent) Requirement for such Tax Zone. The Special Tax B (Contingent) Shall
be levied for each Fiscal Year as follows:
First: The Special Tax shall be levied Proportionately on all Assessor’s Parcels of Developed
Property for a Tax Zone up to 100% of the applicable Maximum Special Tax B (Contingent) to satisfy
the Contingent Special Tax B Requirement;
Second: If additional moneys are needed to satisfy the Contingent Special Tax B Requirement after
the first step has been completed, the Special Tax B (Contingent) shall be levied Proportionately on
each Parcel of Approved Property within such Tax Zone up to 100% of the Maximum Special Tax B
(Contingent) for Approved Property;
Third: If additional monies are needed to satisfy the Contingent Special Tax B Requirement after
the first two steps has been completed, the Special Tax B (Contingent) shall be levied Proportionately
on all Assessor’s Parcels of Undeveloped Property within such Tax Zone up to 100% of the Maximum
Special Tax B (Contingent) for Undeveloped Property.
E. FUTURE ANNEXATIONS
It is anticipated that additional properties will be annexed to CFD No. 2019‐1 from time to time. As
each annexation is proposed, an analysis will be prepared to determine the annual cost for providing
Services. Based on this analysis, the property to be annexed, pursuant to California Government Code
section 53339 et seq. will be assigned to the appropriate Maximum Special Tax rate for the Tax Zone
when annexed and included in Appendix A.
F. DURATION OF SPECIAL TAX
For each Fiscal Year, the Special Tax A shall be levied as long as the Services are being provided.
For each Fiscal Year, the Special Tax B (Contingent) shall be levied as long as the Contingent Services
are being provided.
G. EXEMPTIONS
The City shall classify as Exempt Property within CFD No. 2019‐1, any Assessor’s Parcels; (i) which are
owned by, irrevocably offered for dedication, encumbered by or restricted in use by any public entity;
(ii) with public or utility easements making impractical their utilization for other than the purposes set
forth in the easement; (iii) which are privately owned but are encumbered by or restricted solely for
public uses; or (iv) which is in use in the performance of a public function as determined by the
Administrator.
H. APPEALS
Any property owner claiming that the amount or application of the Special Taxes are not correct may
file a written notice of appeal with the City not later than twelve months after having paid the first
installment of the Special Tax that is disputed. A representative(s) of CFD No. 2019‐1 shall promptly
review the appeal, and if necessary, meet with the property owner, consider written and oral evidence
regarding the amount of the Special Tax, and rule on the appeal. If the representative’s decision
requires that the Special Tax for an Assessor’s Parcel be modified or changed in favor of the property
owner, a cash refund shall not be made, but an adjustment shall be made to the Special Tax on that
Assessor’s Parcel in the subsequent Fiscal Year(s).
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City of San Bernardino 10
Community Facilities District No. 2019‐1 (Maintenance Services)
I. MANNER OF COLLECTION
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem
property taxes, provided, however, that CFD No. 2019‐1 may collect the Special Tax at a different time
or in a different manner if necessary to meet its financial obligations.
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City of San Bernardino 11
Community Facilities District No. 2019‐1 (Maintenance Services)
APPENDIX A
CITY OF SAN BERNARDINO
COMMUNITY FACILITIES DISTRICT NO. 2019‐1 (MAINTENANCE SERVICES)
COST ESTIMATE
Special Tax A Services ‐ The estimate breaks down the costs of providing one year's maintenance
services for Fiscal Year 2020‐21. These services are being funded by the levy of Special Tax A for
Community Facilities District No. 2019‐1.
TAX ZONE 5
TRACT NO. 20006
Item Description Estimated Cost
1 Landscaping $22,133
2 Lighting $2,161
3 Streets $7,364
4 Parks $3,835
5 Graffiti $657
6 Reserves $1,155
7 Admin $3,615
Total $40,920
Special Tax B Contingent Services – The estimate in the table below breaks down the costs of
providing one year’s contingent maintenance services for Fiscal Year 2020‐21. If necessary, these
services will be funded by the levy of Special Tax B (Contingent) for Community Facilities District
No. 2019‐1 Tax Zone 5.
TAX ZONE 5 (CONTINGENT SERVICES)
TRACT NO. 20006
Item Description Estimated Cost
1 Drainage $6,194
Total $6,194
TAX ZONE 5
FY 2020‐21 MAXIMUM SPECIAL TAX RATES
DEVELOPED PROPERTY AND APPROVED PROPERTY
Land Use
Category
Taxable
Unit
Maximum
Special Tax A
Maximum
Special Tax B
Single Family Residential RU $344 $57
Multi‐Family Residential RU $344 $57
Non‐Residential Property Acre $2,315 $385
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City of San Bernardino 12
Community Facilities District No. 2019‐1 (Maintenance Services)
TAX ZONE 2
FY 2020‐21 MAXIMUM SPECIAL TAX RATES
UNDEVELOPED PROPERTY
Taxable
Unit
Maximum
Special Tax A
Maximum
Special Tax B
Acre $2,315 $385
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City of San Bernardino 13
Community Facilities District No. 2019‐1 (Maintenance Services)
TAX ZONE SUMMARY
Annexation
Tax
Zone
Tract
APN
Fiscal
Year
Maximum
Special Tax A
Maximum
Special Tax B
Subdivider
Original 1 17170 2019‐20 $961 / RU $0 / RU Santiago Communities, Inc.
1 2 17329 2019‐20 $473 / RU $0 / RU JEC Enterprises, Inc.
2 3 PM 19814 2020‐21 $608 / Acre $0 / Acre GWS #4 Development, LLC
3 4 0266‐041‐39 2019‐20 $1,136/ Acre $0/ Acre Devore Storage Facility, LLC
4 5 TR 20006 2020‐21 $344/ RU $57/ RU TH Rancho Palma, LLC
ESCALATION OF MAXIMUM SPECIAL TAXES
On each July 1, commencing on July 1, 2021 the Maximum Special Tax shall increase by i) the
percentage increase in the Consumer Price Index (All Items) for Los Angeles ‐ Riverside ‐ Orange
County (1982‐84 = 100) since the beginning of the preceding Fiscal Year, or ii) by two percent
(2.0%), whichever is greater.
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City of San Bernardino 14
Community Facilities District No. 2019‐1 (Maintenance Services)
APPENDIX B
CITY OF SAN BERNARDINO
COMMUNITY FACILITIES DISTRICT NO. 2019‐1 (MAINTENANCE SERVICES)
DESCRIPTION OF AUTHORIZED SERVICES
The services which may be funded with proceeds of the special tax of CFD No. 2019‐1, as provided by
Section 53313 of the Act, will include all costs attributable to maintaining, servicing, cleaning, repairing
and/or replacing landscaped areas (may include reserves for replacement) in public street right‐of‐ways,
public landscaping, public open spaces and other similar landscaped areas officially dedicated for public
use. These services including the following:
(a) maintenance and lighting of parks, parkways, streets, roads and open space, which
maintenance and lighting services may include, without limitation, furnishing of electrical power to street
lights and traffic signals; repair and replacement of damaged or inoperative light bulbs, fixtures and
standards; maintenance (including irrigation and replacement) of landscaping vegetation situated on or
adjacent to parks, parkways, streets, roads and open space; maintenance and repair of irrigation facilities;
maintenance of public signage; graffiti removal from and maintenance and repair of public structures
situated on parks, parkways, streets, roads and open space; maintenance and repair of playground or
recreation program equipment or facilities situated on any park; and
(b) maintenance and operation of water quality improvements which include storm drainage
and flood protection facilities, including, without limitation, drainage inlets, catch basin inserts, infiltration
basins, flood control channels, fossil fuel filters, and similar facilities. Maintenance services may include
but is not limited to the repair, removal or replacement of all or part of any of the water quality
improvements, fossil fuel filters within the public right‐of‐way including the removal of petroleum
hydrocarbons and other pollutants from water runoff, or appurtenant facilities, clearing of inlets and
outlets; erosion repairs; and cleanup to improvements, and other items necessary for the maintenance,
servicing; or both of the water quality basin improvements within flood control channel improvements;
and
(c) public street sweeping, on the segments of the arterials within the boundaries of CFD No.
2019‐1; as well as local roads within residential subdivisions located within CFD No. 2019‐1; and any
portions adjacent to the properties within CFD No. 2019‐1; and
In addition to payment of the cost and expense of the forgoing services, proceeds of the special tax may
be expended to pay “Administrative Expenses,” as said term is defined in the Rate and Method of
Apportionment.
The above services shall be limited to those provided within the boundaries of CFD No. 2019‐1 or for the
benefit of the properties within the boundaries of CFD No. 2019‐1, as the boundary is expanded from time
to time by anticipated annexations, and said services may be financed by proceeds of the special tax of
CFD No. 2019‐1 only to the extent that they are in addition to those provided in the territory of CFD No.
2019‐1 before CFD No. 2019‐1 was created.
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City of San Bernardino 15
Community Facilities District No. 2019‐1 (Maintenance Services)
APPENDIX C
CITY OF SAN BERNARDINO
COMMUNITY FACILITIES DISTRICT NO. 2019‐1 (MAINTENANCE SERVICES)
PROPOSED BOUNDARIES AND POTENTIAL ANNEXATION AREA BOUNDARIES
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Packet Pg. 703 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit C - Rate and Method of Apportionment (6756 : Resolution
5IRVINGTON AVEMAGNOLIA AVECABLECREEKCHANNELLITTLE LEAGUE
DR0261-181-170261-181-16ANNEXATION MAP NO. 4COMMUNITY FACILITIES DISTRICT NO. 2019-1(MAINTENANCE SERVICES)CITY OF SAN BERNARDINOCOUNTY OF SAN BERNARDINO, STATE OF CALIFORNIASHEET 1 OF 1 SHEETI HEREBY CERTIFY THAT THE WITHIN MAP SHOWING PROPOSEDBOUNDARIES OF COMMUNITY FACILITIES DISTRICT 2019-1(MAINTENANCE SERVICES) FOR THE CITY OF SAN BERNARDINO,COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, WASAPPROVED BY THE CITY COUNCIL OF THE CITY OF SANBERNARDINO AT A REGULAR MEETING THEREOF, HELDON THE ____ DAY OF ____________________, 20 ____. BY ITS RESOLUTION NO. ____________________ _________________________________________ CITY CLERK, CITY OF SAN BERNARDINO FILED IN THE OFFICE OF THE CITY CLERK THIS _____ DAY OF________, 20 ____. _________________________________________ CITY CLERK, CITY OF SAN BERNARDINO CFD 2019-1TAX ZONE 5^_THIS ANNEXATION MAP CORRECTY SHOWS THE LOT ORPARCEL OF LAND INCLUDED WITHIN THE BOUNDARIES OFTHE COMMUNITY FACILITIES DISTRICT. FOR DETAILSCONCERNING THE LINES AND DIMENSIONS OF LOTS ORPARCEL REFER TO THE COUNTY ASSESSOR MAPS FORFISCAL YEAR 2019-20. -LEGEND ANNEXATION AREA BOUNDARYPARCEL LINECITY BOUNDARYXXXX-XXX-XX ASSESSOR PARCEL NUMBER 5 TAX ZONETHIS MAP SHOWS THE BOUNDARIES OF AREAS TO BEANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 2019-1(MAINTENANCE SERVICES), OF THE CITY OF SANBERNARDINO, COUNTY OF SAN BERNARDINO, STATE OFCALIFORNIA. THE BOUNDARIES OF WHICH COMMUNITY FACILITIESDISTRICT ARE SHOWN AND DESCRIBED ON THE MAPTHEREOF WHICH WAS PREVIOUSLY RECORDED ONJUNE 6, 2019 IN BOOK 88 OF MAPS OF ASSESSMENTAND COMMUNITY FACILITIES DISTRICT AT PAGE 32 ANDAS INSTRUMENT NO. 2019-0185323 IN THE OFFICE OF THECOUNTY RECORDER OF THE COUNTY OF SAN BERNARDINO,STATE OF CALIFORNIA. THIS MAP WAS FILED UNDER DOCUMENT NUMBER_____________, THIS ____ DAY OF _______, 20 ____, AT_____ M. IN BOOK ___ OF __________ AT PAGE ____, ATTHE REQUEST OF _____________________________IN THE AMOUNT OF $_________ BOB DUTTON ASSESSOR-RECORDER-CLERK COUNTY OF SAN BERNARDINO BY:________________________________ DEPUTY RECORDER 24.ePacket Pg. 704Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit D - Boundary Maps
24.ePacket Pg. 705Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit D - Boundary Maps
PETITION TO THE CITY COUNCIL OF THE CITY OF SAN BERNARDINO REQUESTING ANNEXING TERRITORY INTO COMMUNITY FACILITIES DISTRICT
NO. 2019-1 OF PROPERTY THE CITY OF SAN BERNARDINO AND A WAIVER WITH
RESPECTS TO CERTAIN PROCEDURAL MATTERS UNDER THE MELLO-ROOS
COMMUNITY FACILITIES ACT OF 1982 AND CONSENTING TO THE LEVY OF
SPECIAL TAXES THEREON TO PAY THE COSTS OF SERVICES TO BE PROVIDED
BY THE COMMUNITY FACILITIES DISTRICT
1. The undersigned requests that the City Council of the City of San Bernardino, initiate
and conduct proceedings pursuant to the Mello-Roos Community Facilities Act of 1982 (the “Act”)
(Government Code Section 53311 et seq.), to annex territory into Community Facilities District No. 2019-1
(Maintenance Services) (the “Community Facilities District”) of the property described below and consents to
the annual levy of special taxes on such property to pay the costs of services to be provided by the Community
Facilities District.
2. The undersigned requests that the community facilities district provide any services
that are permitted under the Act including, but not limited to, all necessary service, operations,
administration and maintenance required to keep landscape lighting, street lighting, flood control facilities,
ground cover, shrubs, plants and tree, irrigation systems, graffiti removal, sidewalks and masonry walls,
fencing entry monuments, tot lot equipment and associated appurtenant facilities within the district in a
healthy, vigorous and satisfactory working condition.
3. The undersigned hereby certifies that as of the date indicated opposite its signature,
it is the owner of all the property within the proposed boundaries of the Community Facilities District
described in Exhibit A hereto and as shown on the map Exhibit B hereto.
4. The undersigned requests that a special election be held under the Act to authorize
the special taxes for the proposed community facilities district. The undersigned waives any requirement for
the mailing of the ballot for the special election and expressly agrees that said election may be conducted by
mailed or hand-delivered ballot to be returned as quickly as possible to the designated election official, being
the office of the City Clerk and the undersigned request that the results of said election be canvassed and
reported to the City Council at the same meeting of the City Council as the public hearing on the creation of
the Community Facilities District or at the next available meeting.
5. Pursuant to Sections 53326(a) and 53327(b) of the Act, the undersigned expressly
waives all applicable waiting periods for the election and waives the requirement for analysis and
arguments relating to the special election, and consents to not having such materials provided to the
landowner in the ballot packet, and expressly waives any requirements as to the form of the ballot. The
undersigned expressly waives all notice requirements relating to hearings and special elections (except for
published notices required by the Act), and whether such requirements are found in the California Elections
Code, the California Government Code or other laws or procedures, including but not limited to any notice
provided for by compliance with the provisions of Section 4101 of the California Elections Code.
6. The undersigned hereby consents to and expressly waives any and all claims
based on any irregularity, error, mistake or departure from the provisions of the Act or other laws of the
State and any and all laws and requirements incorporated therein, and no step or action in any proceeding
relative to annexing territory into Community Facilities District No. 2019-1 of the portion of the incorporated
area of the City of San Bernardino or the special election therein shall be invalidated or affected by any such
irregularity, error mistake or departure.
DocuSign Envelope ID: 1AEB409F-BB80-4C80-B1E6-140ED3117F8F
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Packet Pg. 706 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit E - Petition (6756 : Resolution Declaring Intent to Annex
IN WITNESS WHEREOF, I hereunto set my hand this ____ day of __________, 20___.
TH RANCHO PALMA, LLC
a Delaware limited liability Company
By: TH Rancho Palma, LLC
By:_____________________
Name: Richard P. Douglass
Title: Authorized Agent
OWNER'S PROPERTY:
TRACT MAP OR PARCEL MAP NO.
or PROJECT NO. 20006
OWNER'S MAILING ADDRESS:
450 Newport Center Dr, Suite 300
Newport Beach, CA 92660
FILED IN THE OFFICE OF THE CITY CLERK OF THE CITY COUNCIL OF THE CITY OF SAN BERNARDINO
THIS ____ DAY OF __________, 20___.
______________________________
City Clerk of the City Council of the
City of San Bernardino
7 April 20
DocuSign Envelope ID: 1AEB409F-BB80-4C80-B1E6-140ED3117F8F
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Packet Pg. 707 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit E - Petition (6756 : Resolution Declaring Intent to Annex
Acknowledgment Regarding Property to be Included into Community Facilities District No. _____
The developer/property owner of Tract No. 20006 and Assessor’s Parcel Nos. 0261-181-16-0000, 0261-181-
17-0000 hereby acknowledges that:
If the landscaping, drainage, lighting and eligible public improvements within the Community Facilities District
No. ____ the maintenance areas of Assessor’s Parcel Nos. 0261-181-16-0000, 0261-181-17-0000, which are
to be included in the Community Facilities District No. ____ of the City of San Bernardino are completed prior
to the levy and collection of special taxes upon property within said tract for the maintenance of such
landscape and improvements, the developer/property owner will continue to be responsible for and will
maintain the landscaping, drainage, lighting, and eligible public improvements within such maintenance areas
at its sole expense, and the City will not assume responsibility for the maintenance of such landscaping,
drainage, lighting and eligible public improvements until such time as the City is able to collect such special
taxes to pay the costs of the maintenance of such landscaping, drainage, lighting, and eligible public
improvements.
DATED: OWNER:
___________________ ________________________________
Richard P. Douglass
________________________________
(Signature)
________________________________
Authorized Agent
TH Rancho Palma LLC
DocuSign Envelope ID: 1AEB409F-BB80-4C80-B1E6-140ED3117F8F
4/7/2020
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EXHIBIT F
NOTICE OF PUBLIC HEARING ON INTENTION TO ANNEX TERRITORY TO AN
EXISTING COMMUNITY FACILITIES DISTRICT 2019-1 (MAINTENANCE SERVICES)
(ANNEXATION NO. 4)
NOTICE IS HEREBY GIVEN that the City Council of the City of San Bernardino on June 17, 2020, adopted
its Resolution No. 2020-___, in which it declared its intention to annex territory to existing Community
Facilities District No. 2019-1 (Maintenance Services) (the "CFD No. 2019-1"), and to levy a special tax to
pay for certain maintenance services, all pursuant to the provisions of the Mello-Roos Community Facilities
Act of 1982, Chapter 2.5, Part 1, Division 2, Title 5 of the California Government Code. The resolution
describes the territory to be annexed and describes the rate and method of apportionment of the proposed
special tax. No change in the tax levied in the existing CFD No. 2019-1 is proposed.
NOTICE IS HEREBY FURTHER GIVEN that the City Council has fixed 7:00 p.m., or as soon thereafter as
practicable, Wednesday, August 5, 2020 at the Bing Wong Auditorium of the Norman F. Feldheym Public
Library at 555 W. 6th Street, San Bernardino, California, as the time and place when and where the City
Council will conduct a public hearing on the annexation of territory to CFD No. 2019-1. At the hearing, the
testimony of all interest persons for or against the annexation of the territory or the levying of the special
taxes will be heard. If and to the extent participation in the August 5, 2020 meeting must occur by
teleconference, videoconference, or other electronic means authorized by the Ralph M. Brown Act or an
Executive Order of the Governor of California, the means and methods for participating the meeting shall
be posted on the Agenda for said meeting, which shall be posted at least 72 hours prior to the meeting on
the City of San Bernardino (www.sbcity.org), and outside of the Bing Wong Auditorium of the Norman F.
Feldheym Public Library at 555 W. 6th Street, San Bernardino, California, 92418. A copy of the Agenda
will be made available upon request to the San Bernardino City Clerk's office at 909-384-5002.
DATED: ____________, 2020 _________________________________________
City Clerk of the City of San Bernardino
PUB: _______________, 2020
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Packet Pg. 709 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit F - Notice of Public Hearing (6756 : Resolution Declaring
EXHIBIT G
CITY OF SAN BERNARDINO
COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2019-1 (MAINTENANCE SERVICES)
ANNEXATION NO. 4
(August 5, 2020)
This ballot is for the use of the authorized representative of the following owner of land within
Community Facilities District No. 2019-1 (Maintenance Services) (“CFD No. 2019-1”) of the City
of San Bernardino:
Name of Landowner Number of Acres Owned Total Votes
TH Rancho Palma, LLC 28.34 29
According to the provisions of the Mello-Roos Community Facilities Act of 1982, and resolutions
of the City Council (the “Council”) of the City of San Bernardino (the “City”), the above-named
landowner is entitled to cast the number of votes shown above under the heading “Total Votes,”
representing the total votes for the property owned by said landowner. The City has sent the
enclosed ballot to you so that you may vote on whether or not to approve the special tax.
This special tax ballot is for the use of the property owner of the parcels identified below, which
parcels are located within the territory proposed to form the CFD No. 2019-1, City of San
Bernardino, County of San Bernardino, State of California. Please advise the City Clerk, at (909)
384-5002 if the name set forth below is incorrect or if you are no longer one of the owners of these
parcels. This special tax ballot may be used to express either support for or opposition to the
proposed special tax. To be counted, this special tax ballot must be signed below by the owner
or, if the owner is not an individual, by an authorized representative of the owner. The ballot must
then be delivered to the City Clerk, either by mail or in person, as follows:
Mail
Delivery: If by mail, place ballot in the return envelope provided, and mail no later than July
22, 2020, two calendar weeks prior to the date set for the election. Mailing later
than this deadline creates the risk that the special tax ballot may not be received
in time to be counted.
Personal
Delivery: If in person, deliver to the City Clerk at any time up to 7:00 p.m. on August 5, 2020,
at the Clerk’s office at 201 N. “E” Street, Bldg A, City of San Bernardino, CA 92401.
However delivered, this ballot must be received by the Clerk prior to the close of the public
meeting on August 5, 2020.
Very truly yours,
Genoveva Rocha, CMC, Acting City Clerk
24.h
Packet Pg. 710 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit G - Ballot (6756 : Resolution Declaring Intent to Annex
TO CAST THIS BALLOT, PLEASE RETURN THIS ENTIRE PAGE.
OFFICIAL SPECIAL TAX BALLOT
Name & Address of Property Owner: Assessor’s Parcel Number(s):
TH Rancho Palma, LLC
Attn: Richard P. Douglass
450 Newport Center Drive, Suite 300
Newport Beach, CA 92660
0261-181-16
0261-181-17
CITY OF SAN BERNARDINO
COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA
COMMUNITY FACILITIES DISTRICT NO. 2019-1 (MAINTENANCE SERVICES)
AN “X” OR OTHER MARK WILL CAST ALL VOTES ASSIGNED TO THIS BALLOT
SPECIAL TAX BALLOT MEASURE MARK “YES” OR “NO”
WITH AN “X”:
Shall the City Council of the City of San Bernardino be authorized to
levy a special tax on an annual basis at the rates and apportioned
as described in Exhibit B to the Resolution Declaring its Intention to
Annex territory to Community Facilities District No. 2019-1
(Maintenance Services) adopted by the City Council on June 17,
2020 (the “Resolution”), which is incorporated herein by this
reference, within the territory identified on the map entitled
“Annexation Map No. 4 of Community Facilities District No. 2019-1
(Maintenance Services) City of San Bernardino” to finance certain
services as set forth in Section 4 to the Resolution (including
incidental expenses), and shall an appropriation limit be established
for the Community Facilities District No. 2019-1 (Maintenance
Services) in the amount of special taxes collected?
YES _________
NO _________
Certification for Special Election Ballot
The undersigned is an authorized representative of the above-named landowner and is the
person legally authorized and entitled to cast this ballot on behalf of the above-named landowner.
I declare under penalty of perjury under the laws of the State of California that the foregoing is
true and correct and that this declaration is executed on ____________, 20__.
TH Rancho Palma, LLC,
a Delaware limited liability company
By: Richard P. Douglass
Authorizing Agent
Trumark Homes
Signature
Print Name
Title
24.h
Packet Pg. 711 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 1 - Exhibit G - Ballot (6756 : Resolution Declaring Intent to Annex
PROJECT MAP CFD NO. 2019-1 (MAINTENANCE SERVICES) ANNEXATION NO. 4 - TAX ZONE 5 24.iPacket Pg. 712Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 2 - Project Location Map (6756 :
PARCEL 1PARCEL 2MAINTENANCE EXHIBIT
24.j
Packet Pg. 713 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 3 - CFD Landscape Maintenance Exhibit (6756 : Resolution Declaring Intent to Annex Territory Community Facilities District No. 2019-1)
MAINTENANCE EXHIBIT
24.j
Packet Pg. 714 Attachment: PW. CFD 2019-1, Annexation No. 4 - Resolution - Attachment 3 - CFD Landscape Maintenance Exhibit (6756 : Resolution Declaring Intent to Annex Territory Community Facilities District No. 2019-1)
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Kris Jensen, Director of Public Works
Subject: Cooperative Agreement with the City of Highland and SB
County for ATP Cycle 5 Grant Program
Recommendation
Adopt Resolution No. 2020-113 of the Mayor and City Council of the City of San
Bernardino, California, approving a Cooperative Agreement with the City of Highland
and San Bernardino County for the submission of a Grant Application to the Active
Transportation Cycle 5 Grant Program for the Highland/San Bernardino Bi -City Bikeway
and Walkway Connector (Project) and authorizing the Director of Finance to record a
budget adjustment in Local Circulation Development Impact Fee (DIF) Fund No. 263 in
the amount of $23,000 in support of the application preparation.
Background
The Active Transportation Program was created by Senate Bill 99 in 2013 and
subsequently expanded to Senate Bill 1 (SB 1) in April 2017 to encourage increased
use of active modes of transportation, such as walking and biking. On March 26, 2020,
the California Department of Transportation announced the next rounds of the Active
Transportation Program (ATP) Cycle 5. The amount of funding available for the cycle is
$440 million. The grant is intended to increase the proportion of walking and biking trips
to reduce greenhouse emissions, enhance public health , and provide benefits to
disadvantage communities.
The purpose of ATP funding is to encourage increased use of active modes of
transportation and to achieve the following goals:
Increase the proportion of trips accomplished by biking and walking
Increase safety and mobility for non-motorized users
Advance the active transportation efforts of regional agencies to achieve
greenhouse gas (GHG) reduction goals
Enhance public health
Ensure that disadvantaged communities fully share in the benefits of the
program
Provide a broad spectrum of projects to benefit many types of active
transportation users
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The cities of San Bernardino and Highland, in partnership with San Bernardino County,
have been working together to establish a regional active transportation project to
improve active transportation options between schools within the San Bernardino City
Unified School District. The ATP Cycle 5 Grant Program provides an opportunity for the
agencies to leverage funding to support the regional project.
Discussion
The project is located within the San Bernardino City Unified School District (SBCUSD).
The SBCUSD includes a total of 72 schools. This project will provide direct connection
among twenty-two of those schools including fourteen elementary schools, two middle
schools, four high schools, one continuation school, and one special education school.
The proposed ATP 5 project application will provide multi-agency participation
improvements as follows:
o Improved efficiency of multi-modal transportation system
o Improved connectivity with California State University San Bernardino
throughout the City of San Bernardino
o Improvement to nine routes listed in the SBCTA Non -Motorized
Transportation Plan
o Construction of 12 miles of continuous bikeways/walkways
o Incorporate road diet and modern traffic safety improvements along the route
The City of Highland is the lead agency on this project. Highland is requesting that the
attached Cooperative Agreement, establishing the responsibilities of both the City of
San Bernardino and San Bernardino County, be approved by the City. The preliminary
cost estimates for the full project is $17,532,805. Through the ATP Cycle 5 Grant
Program $1,284,903 of the project costs are estimated to be eligible for reimbursement.
Non-eligible for pavement rehabilitation is estimated in the amount of $4,503,774.
The proposed Cooperative Agreement is requested to financially support the
preparation and submission of the ATP Cycle 5 Grant Program in a collective amount of
$50,000, of which $23,000 is the City of San Bernardino’s cost share. This agreement
does not commit any of the agencies to any work or resources beyond the preparation
and submission of the grant application. The application due date for ATP Cycle 5 is
June 15, 2020.
The SBCUSD is in support of this project. In addi tion, Southern California Association
of Governments (SCAG) Metropolitan Planning Organization (MPO), which represents 6
counties and 191 cities, as well as San Bernardino County Transportation Authority,
have indicated their support this project.
2020-2025 Key Strategic Targets and Goals
This project aligns with Key Target No. 1c: Create a framework for spending decisions.
By partnering with the City of Highland and County of San Bernardino, the City is able to
take advantage of shared costs for grant p reparation and submission. If the project is
awarded funding, it will provide the City with an opportunity to comprehensively evaluate
25
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the fiscal impacts and determine the level of priority for moving forward with the project
expenditure decision.
Fiscal Impact
No General Fund impact. Funding for the grant application submission will require an
appropriation in the amount of $23,000 from Local Circulation DIF Fund No. 263 fund
balance to Highland/San Bernardino Bi-City Bikeway and Walkway Connector (Project)
Fund No. 263-160-8752-5502. The current available fund balance in the Local
Circulation DIF Fund is $159,100. No General Fund appropriations are required for the
grant application work.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, adopt Resolution No. 2020-113, approving a Cooperative Agreement with the
City of Highland and San Bernardino County for the submission of a Grant Application
to the Active Transportation Cycle 5 Grant Program for the Highland/San Bernardino Bi-
City Bikeway and Walkway Connector (Project) and authorizing the Director of Finance
to record a budget adjustment in Local Circulation Development Impact Fee (DIF) Fund
No. 263 in the amount of $23,000 in support of the application preparation.
Attachments
Attachment 1 Resolution No. 2020-113; Exhibit A - Agreement
Ward: 1, 2, 4, 5, 7
Synopsis of Previous Council Actions: None
25
Packet Pg. 717
RESOLUTION NO. 2020-113
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING THE CITY MANAGER TO EXECUTE A
COOPERATIVE AGREEMENT WITH THE CITY OF
HIGHLAND AND SAN BERNARDINO COUNTY FOR
SUBMISSION OF A GRANT APPLICATION TO THE
ACTIVE TRANSPORTATION CYCLE 5 GRANT
PROGRAM FOR THE HIGHLAND/SAN BERNARDINO BI-
CITY BIKEWAY AND WALKWAY CONNECTOR
(PROJECT) AND AUTHORIZING THE DIRECTOR OF
FINANCE TO RECORD A BUDGET ADJUSTMENT IN
LOCAL CIRCULATION DEVELOPMENT IMPACT FEE
(DIF) FUND NO. 263 IN THE AMOUNT OF $23,000 IN
SUPPORT OF THE APPLICATION PREPARATION
WHEREAS, the City of Highland, the City of San Bernardino and the County of San
Bernardino (“Parties”) wish to work cooperatively in the preparation of a grant application to
secure funding from the Cycle 5 Active Transportation Program (ATP) for development and
construction of a bikeway and walkway facilities project entitled Highland/San Bernardino Bi-
City Bikeway and Walkway Connector (Project); and
WHEREAS, the total cost of the project is preliminarily estimated at $ 17,532,805, of
which, $12,849,031 is eligible for grant reimbursements through the ATP Cycle 5 Grant
Program; and
WHEREAS, the Parties desire to enter into a Cooperative Agreement (“Agreement”) to
financially support the preparation and submission of the ATP Cycle 5 Grant Program in a
collective amount of $50,000, of which $23,000 is the City of San Bernardino’s cost share; and
WHEREAS, this Agreement does not commit any of the Parties to any work or
resources beyond the preparation and submission of the grant application.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager is hereby authorized to execute, on behalf of the City,
Cooperative Agreement with the City of Highland and San Bernardino County, incorporated and
attached herein as Exhibit “A”.
SECTION 3. The Director of Finance is hereby authorized and directed to record a
budget adjustment in the amount of $23,000 from Local Circulation Fund (Fund 263) for the
City of San Bernardino’s share of the preparation of an ATP - Cycle 5 application.
25.a
Packet Pg. 718 Attachment: PW.Third-Party Coop Agreement for ATP Cycle 5.Att1 - Resolution (6774 : Cooperative Agreement with the City of Highland and
Resolution No. 2020-113
SECTION 4. The City Council finds this Resolution is not subject to the California
Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty, as in this case, that there is no possibility that
the activity in question may have a significant effect on the environment, the activity is not
subject to CEQA.
SECTION 5. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 6. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________ 2020.
John Valdivia, Mayor
City of San Bernardino
Attest:
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
Sonia Carvalho, City Attorney
25.a
Packet Pg. 719 Attachment: PW.Third-Party Coop Agreement for ATP Cycle 5.Att1 - Resolution (6774 : Cooperative Agreement with the City of Highland and
Resolution No. 2020-113
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true
copy of Resolution No. 2020-___, adopted at a regular meeting held on the ___ day of _______
2020 by the following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
Genoveva Rocha, CMC, Acting City Clerk
25.a
Packet Pg. 720 Attachment: PW.Third-Party Coop Agreement for ATP Cycle 5.Att1 - Resolution (6774 : Cooperative Agreement with the City of Highland and
1
AGREEMENT
between
City of Highland, City of San Bernardino and County of San Bernardino
for
GRANT APPLICATION
to the
Active Transportation Cycle 5 Grant Program
to fund development of the
HIGHLAND/SAN BERNARDINO BI-CITY BIKEWAY AND WALKWAY CONNECTOR
This AGREEMENT is made by and between the City of Highland (HIGHLAND), the City of San Bernardino (SAN
BERNARDINO) and the County of San Bernardino (COUNTY), sometimes individually referred to as a PARTY
and, collectively referred to as the PARTIES.
Whereas, HIGHLAND, SAN BERNARDINO and COUNTY wish to work cooperatively in the preparation of a
GRANT APPLICATION to secure funding from the Cycle 5 Active Transportation Program (ATP) for development
and construction of a bikeway and walkway facilities project entitled HIGHLAND/SAN BERNARDINO BI-CITY
BIKEWAY AND WALKWAY CONNECTOR (PROJECT); and
Whereas, the project description, scope and location are shown in Attachments “A” and “B”;
Whereas, HIGHLAND will be the Lead Agency and SAN BERNARDINO and COUNTY will be Partnering
Agencies in the PROJECT; and
Whereas, the PARTIES desire to implement this effort on a cost-shared basis in a manner deemed most efficient and
effective to the PARTIES;
Whereas, the PROJECT includes bikeway and walkway components that are eligible for grant reimbursements and
pavement rehabilitation that is not eligible for grant reimbursements; and
Whereas, a preliminary cost estimate indicates that development of the portion of the PROJECT that is eligible for
grant reimbursements may cost $12,849,031, the non-eligible portion which consists of pavement rehabilitation may
cost $4,503,774, for a total preliminary cost estimate of $17,532,805; and
Whereas, assuming a 10% match to the grant eligible portion of PROJECT, the estimated local match cost would be
approximately $1,284,903, ($461,107 HIGHLAND, $705,979 SAN BERNARDINO, $117,818 COUNTY); and
Whereas, the non-eligible portion of the PROJECT funded by 100% local funds for pavement rehabilitation in the
motorized vehicular travel lanes, would be approximately $4,503,774 ($2,158,991 HIGHLAND, $1,972,949 SAN
BERNARDINO, $371,834 COUNTY); and
Whereas, the total estiamted development cost of the PROJECT to the PARTIES (grant eligible and non-eligible)
would be $5,788,678 (HIGHLAND $2,620,098, SAN BERNARDINO $2,678,928, and COUNTY $489,652); and
Whereas, based on total estimated development costs (eligible and non-eligible), HIGHLAND’s proportional share of
the HIGHLAND/SAN BERNARDINO BI-CITY BIKEWAY AND WALKWAY CONNECTOR is 45%, SAN
BERNARDINO’s proportional share is 46%, and the COUNTY’s proportional share is 9%; and
25.b
Packet Pg. 721 Attachment: PW.Third-Party Coop Agreement for ATP Cycle 5.Att1A - Agreement (6774 : Cooperative Agreement with the City of Highland and
2
Now therefore, in consideration of the mutual covenants contained herein, the PARTIES agree as follows:
Section 1 – Purpose. The purpose of this agreement is to formalize a commitment by the PARTIES to financially
support preparation of the ATP Cyle 5 Grant Application. This is a cost-sharing Agreement only, and does not
commit any of the PARTIES to any work or resources beyond preparation of the grant application which is due June
15, 2020 and as outlined herein.
Section 2 – Administration. This Agreement will be administered by HIGHLAND, by designee of the City Manager.
HIGHLAND will manage preparation of the Grant Application and provide progress reports to the other PARTIES.
HIGHLAND will retain consultants to provide support data, organize stakeholders, lead public outreach efforts,
prepare and submit final grant application documents as required by the grant program, be the single point of contact
with the grant program administrator, and be responsible for obtaining and/or submitting all forms, reports,
correspondence, etc., either from or to the grant program as may become necessary, and include SAN
BERNARDINO and COUNTY in the PROJECT’s development team meetings and related communications on the
Grant Application.
Section 3 Funding – Each Party hereby commits to provide funding as set forth below:
(a) City of Highland $22,500
(b) City of San Bernardino $23,000
(c) County of San Bernardino $4,500
The PARTIES acknowledge that final Grant Application costs may ultimately exceed the current estimate of costs.
Any additional administrative cost resulting from PROJECT scope of work changes shall not exceed 10% of the
estimate herein, and be borne by each Party in proportion to where the work actually lies (based on jurisdiction).
SAN BERNARDINO AND COUTY will pay its proportional share of actual time-and-material of administrative
costs within 30 days of invoice receipt, even if grant funding is denied.
Section 3 – Termination. Except as set forth above, this Agreement may be terminated or modified only by
unanimous written consent of each Party signed hereto.
Section 4 – Term of Agreement. This Agreement is effective upon execution of the Agreement by the PARTIES
through December 31, 2020.
In Witness Whereof, the PARTIES have signed this Agreement as of the day and year written below.
City of Highland
__________________________________________________________
Joseph Hughes, City Manager Date
City of San Bernardino
__________________________________________________________
John Valdivia , Mayor Date
County of San Bernardino
__________________________________________________________
Gerry Newcombe, Director of Public Works Date
25.b
Packet Pg. 722 Attachment: PW.Third-Party Coop Agreement for ATP Cycle 5.Att1A - Agreement (6774 : Cooperative Agreement with the City of Highland and
ATTACHMENT “A”
PROJECT DESCRIPTION
GRANT APPLICATION preparation to the ATP for grant funding to develop the HIGHLAND/SAN
BERNARDINO BI-CITY BIKEWAY AND WALKWAY CONNECTOR, including meetings, public
outreach, data collection, communications, consultations, mapping, exhibits, cost estimating, data
analysis, grant writing, submittals, program coordination, and any and all efforts directly related to the
HIGHLAND/SAN BERNARDINO BI-CITY BIKEWAY AND WALKWAY CONNECTOR GRANT
APPLICATION(S).
The HIGHLAND/SAN BERNARDINO BI-CITY BIKEWAY AND WALKWAY CONNECTOR is
intended to close the gaps between the non-motorized transportation networks in the cities of Highland
and San Bernardino (see attached Vicinity Map), and will include bikeway and/or sidewalk improvements
along the following alignments in the Cities of Highland and San Bernardino and the County of San
Bernardino.
1. Northpark Blvd (University Drive to Electric Avenue)
2. Electric Avenue (Northpark Blvd to Mountain View Avenue)
3. Mountain View Avenue (Electric Avenue to Parkdale Drive)
4. Parkdale Drive (Mountain View Avenue to Valencia Avenue)
5. Valencia Avenue (Parkdale Drive to 21st Street)
6. 21st Street (Valencia Avenue to Perris Hill Park Road)
7. Perris Hill Park Road (21st Street to Pacific Street)
8. Pacific Street (Perris Hill Park Road to Del Rosa Drive)
9. Pacific Street (Del Rosa Drive to Boulder Avenue)
10. Del Rosa Drive (3rd Street to Pacific Street)
11. Palm Avenue (Base Line to Piedmont Drive)
PROJECT SCOPE
The PROJECT involves preparation of a GRANT APPLICATION to the ATP for grant funding to
develop the HIGHLAND/SAN BERNARDINO BI-CITY BIKEWAY AND WALKWAY
CONNECTOR, including:
Meetings, public outreach, data collection, communications, consultations, mapping, exhibits, cost
estimating, data analysis, grant writing, submittals, program coordination, and any and all efforts directly
relatated to the HIGHLAND/SAN BERNARDINO BI-CITY BIKEWAY AND WALKWAY
CONNECTOR GRANT APPLICATION).
AGENCY SHARES BASED ON TOTAL PROJECT COST
AGENCY
Eligible Project
Cost
Non-Eligible
Pavement
Rehab TOTAL COST
Total
Project
Share %
COSB 705,979$ 1,972,949$ 2,678,928$ 46.28%
SBCo 117,818$ 371,834$ 489,652$ 8.46%
COH 461,107$ 2,158,991$ 2,620,098$ 45.26%
ATP 11,564,128$ -$ 11,564,128$
TOTALS:12,849,031$ 4,503,774$ 17,352,805$
25.b
Packet Pg. 723 Attachment: PW.Third-Party Coop Agreement for ATP Cycle 5.Att1A - Agreement (6774 : Cooperative Agreement with the City of Highland and
ATTACHMENT “B”
PROJECT VICINITY MAP
HIGHLAND/SAN BERNARDINO BI-CITY BIKEWAY AND WALKWAY CONNECTOR
Legend:
Existing/Funded Bikeway
Proposed Bikeway/Walkway
25.b
Packet Pg. 724 Attachment: PW.Third-Party Coop Agreement for ATP Cycle 5.Att1A - Agreement (6774 : Cooperative Agreement with the City of Highland and
Page 1
Consent Calendar
City of San Bernardino
Request for Council Action
Date: June 17, 2020
To: Honorable Mayor and City Council Members
From: Teri Ledoux, City Manager
By:Kris Jensen, Director of Public Works
Subject: Purchase and Sale Agreement for 337 & 339 West 40TH Street
Recommendation
Adopt Resolution No. 2020-117 of the Mayor and City Council of the City of San
Bernardino, California, authorizing the City Manager to execute a Partial Purchase and
Sale Agreement with Bryan Henley and Sharland L. Henley for the property located at
337 & 339 West 40th Street.
Background
This project consists of the widening of West 40th Street from Johnson Street to Electric
Avenue to provide two through lanes in each direction and a two -way left-turn lane
(Attachment 2 - Location Map). The project includes right-of-way (ROW) acquisition,
undergrounding overhead utility lines, pavement widening, pavement rehabilitation,
signing and striping.
On July 19, 2017, the Mayor and City Council adopted Res olution No. 2017-131
approving an agreement with Engineering Resources of Southern California, Inc. to
provide environmental and civil engineering design for the widening of West 40th Street
from Johnson Street to Electric Avenue.
Design and right-of-way acquisition for the widening of West 40th Street from Johnson
Street to Electric Avenue was approved as part of the FY 2018/19 Capital Improvement
Program. The environmental component of the project was completed on April 24,
2018, and the Plans Specifications & Estimate (PS&E) are 95% completed. As part of
the PS&E, Engineering Resources of Southern California, Inc., was required to identify
necessary ROW , full and partial takes for this project. A total of 15 parcels were
identified to complete this project.
On March 21, 2018, the Mayor and City Council adopted Resolution No. 2018 -75
adopting a Mitigated Negative Declaration (MND), approving a Mitigation Monitoring
and Reporting Program (MMRP).
On September 5, 2018, the Mayor and City Council adopted Resolution No. 2018-248
approving an agreement with Paragon Partners, Ltd to acquire the right -of-way for this
project.
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Discussion
The subject property, located at 337 & 339 West 40th Street, San Bernardino, California
(Property), consists of approximately 24,832 square feet of land and is improved with
two single-family residences and a single tenant retail tenant, 664, 520, and 875 square
feet in size, respectively. A small portion of the property is required for the construction
of the City's capital improvement project West 40th Street Widening from Johnson
Street to Electric Avenue (Project).
The Project requires acquisition of a permanent easement for roadway purposes,
approximately 2,919 square feet in size, from the subject property. Valbridge Pr operty
Advisors completed an appraisal report dated January 31, 2019, which established the
Fair Market Value of the permanent easement at $200,250, which includes
compensation for site improvements and severance damages. On June 17, 2019, The
City of San Bernardino (City) approved the amount of just compensation and authorized
the initiation of formal negotiations to acquire the permanent easement. On June 27,
2019, a written offer to purchase in the amount of $200,250 was presented to the
property owner, Bryan Henley (Owner).
Per the construction plans, the Project will require the removal of the property’s site
improvements, including a portion of the asphalt-paved parking lot (five parking spaces),
one large tree, an 8” concrete block wall, and a portion of concrete and asphalt-paved
driveways. Additionally, acquisition of the permanent roadway easement will require the
demolition of the 520 square foot single-family house located on the property in order to
allow for replacement of the five parking spaces located within the permanent easement
area. Demolition of the single-family home will result in the loss in value to the
remainder property.
The Owner reviewed the offer and appraisal and contested that the offer did not
adequately compensate for the loss of value associated with the demolition of the
single-family house located on the property. Moreover, the Owner contended that real
estate values for similar homes in the area have increased since the appraisal’s date of
value. Lastly, the owner provided a lease agreement for the 520 square foot house on
the property, which illustrated an increase in the monthly rent from $800 to $1,000 since
the appraisal was completed. As expressed by the owner, the house was re -leased to a
new tenant upon expiration of the former tenant’s lease agreement.
Based upon the change in market conditions, the owner presented staff with a counter
offer in the amount of $250,000. Staff consulted with Valbridge Property Advisors to
evaluate the effect on the just compensation amount associated with the increase in
rental income for the 520 square foot house. It was determined that the increase in the
rental income equated to an equivalent increase in valuation of $40,000; suggesting a
counter offer in the amount of $240,250. In response, staff prepared the attached
Purchase and Sale Agreement (Agreement) and presented it to the owner on December
30, 2019; which was reviewed, accepted, and signed by the owner. Additionally, the
owner is waiving his rights to reimbursement of up to $5,000 for an independent
appraisal.
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Paragon Partners has reviewed the owner’s counter offer in the amount of $240,250 for
the permanent easement and believes the counter offer to be fair and reasonable, and
in the public’s best interest.
Staff recommends that the City of San Bernardino approve an administrative settlement
in the amount of $240,250 and proceed with consummating the Agreement attached
hereto. Upon the City’s review, approval and signature of the Agreement, Staff will
forward it to First American Title and Escrow Company, which will commence the
escrow period for acquisition of the property rights required for the Project.
2020-2025 Key Strategic Targets and Goals
Purchase of this property aligns with Key Target No. 1e: Create an asset management
plan as it will allow the City to acquire right-of-way needed to move forward with
implementation of the West 40th Street Widening project as identified in the City’s 5 -
year Capital Improvement Plan.
Fiscal Impact
This project is being reimbursed by the San Bernardino County Transportation Authority
(SBCTA) as part of the Valley Major Street Program. The West 40th Street Widening
Project is one of the four projects in the City of San Bernardino approved for
reimbursement under the Valley Major Street Program under the City’s Capital Project
Needs Assessment (CPNA). The reimbursement rate is 67.6%. Regional Circulation
DIF funding in the amount of $3,122,206.09 was previously approved by the Mayor and
City Council for the West 40th Street Widening From Johnson Street to Electric Avenue
(account 264-160-7160-5504) and $2,622,340.09 remains available for this project.
Purchase of the property located at 337 & 339 W 40 th Street in the amount of $240,250
will be paid from these available budgets.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino,
California, provide direction to staff regarding the right -of-way acquisition for West 40th
Street Widening (“Project”) and adopt Resolution No. 2020 -117 authorizing the City
Manager to execute a Partial Purchase and Sale Agreement with Bryan Henley and
Sharland L. Henley for the property located at 337 & 339 W . 40th Street.
Attachments
Attachment 1 Resolution 2020-117; Exhibit “A” - Sale Agreement
Attachment 2 Location Map
Ward: 4
Synopsis of Previous Council Actions:
July 19, 2017 Mayor and City Council adopted Resolution No. 2017-131
approving an agreement with Engineering Resources of Southern
California, Inc. to provide environmental and civil engineering
design.
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6773
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March 21, 2018 Mayor and City Council adopted Resolution No. 2018-75 approving
a Mitigated Negative Declaration (MND), adopting a Mitigation
Monitoring and Reporting Program (MMRP), and authorizing the
Director of Community Development or designee to file a Notice of
Determination (NOD) with the Clerk of the Board of Supervisors of
San Bernardino County for the widening of West 40th Street from
Johnson Street to Electric Avenue.
September 5, 2018 Mayor and City Council adopted Resolution No. 2018-248
approving an agreement with Paragon Partners, Ltd to provide
right-of-way acquisition services.
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RESOLUTION NO. 2020-117
RESOLUTION OF THE MAYOR AND CITY COUNCIL OF
THE CITY OF SAN BERNARDINO, CALIFORNIA,
AUTHORIZING THE CITY MANAGER TO EXECUTE A
PARTIAL PURCHASE AND SALE AGREEMENT WITH
BRYAN HENLEY AND SHARLAND L. HENLEY FOR THE
PROPERTY LOCATED AT 337 & 339 WEST 40TH STREET
WHEREAS, pursuant to the street widening project of 40th street between Johnson street
and Electric Avenue, the City of San Bernardino requires the a small portion of the property
located at 337 & 339 W 40th Street; and
WHEREAS, the parcels to be acquired are known as Assessor’s Parcel 0271-051-11 and
0271-051-12 and is more fully described in Exhibit “A”, attached hereto and made a part hereof;
and
WHEREAS, on July 19, 2017, the Mayor and City Council adopted Resolution No.
2017-131 approving an agreement with Engineering Resources of Southern California, Inc. to
provide environmental and civil engineering design for the widening of 40th Street from Johnson
Street to Electric Avenue (SS04-014); and
WHEREAS, on September 5, 2018, the Mayor and City Council adopted Resolution No.
2018-248 approving an agreement with Paragon Partners, Ltd to provide Right-of-Way
Acquisition Services for the widening of 40th Street from Johnson Street and Electric Avenue
(SS04-014); and
WHEREAS, the City and property owner have reached an agreement on the terms and
purchase price for parcels to be.
BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF THE CITY OF
SAN BERNARDINO AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are incorporated herein by this
reference.
SECTION 2. The City Manager or her designee is hereby authorized on behalf of the
City of San Bernardino to execute the Partial Fee Acquisition Purchase and Sale Agreement and
Joint Escrow Instructions to conclude the purchase of said parcels for the amount of $240,250
attached hereto as Exhibit A. The City Manager is authorized to execute any additional
documents necessary to effectuate the transaction.
SECTION 3. The City Council finds that a Mitigated Negative Declaration (MND) was
adopted for this project satisfying the requirements of the California Environmental Quality Act
(CEQA), and the actions contemplated by this Resolution are within scope of the previously
adopted MND.
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Packet Pg. 729 Attachment: PW.Purchase ansd Sale Agreement 337 & 339 W 40th Street.01.Attachment 1.Resolution (6773 : Purchase and Sale Agreement for
Resolution No. 2020-117
SECTION 4. Severability. If any provision of this Resolution or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications, and to this end the provisions of this Resolution are declared to be severable.
SECTION 5. Effective Date. This Resolution shall become effective immediately.
APPROVED and ADOPTED by the City Council and signed by the Mayor and attested
by the Acting City Clerk this ___ day of __________, 2020.
__________________________________
John Valdivia, Mayor
City of San Bernardino
Attest:
__________________________________
Genoveva Rocha, CMC, Acting City Clerk
Approved as to form:
__________________________________
Sonia Carvalho, City Attorney
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Packet Pg. 730 Attachment: PW.Purchase ansd Sale Agreement 337 & 339 W 40th Street.01.Attachment 1.Resolution (6773 : Purchase and Sale Agreement for
Resolution No. 2020-117
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss
CITY OF SAN BERNARDINO )
I, Genoveva Rocha, CMC, Acting City Clerk, hereby certify that the attached is a true copy of
Resolution No. _____, adopted at a regular meeting held at the ___ day of _______, 2020 by the
following vote:
Council Members: AYES NAYS ABSTAIN ABSENT
SANCHEZ _____ _____ _______ _______
IBARRA _____ _____ _______ _______
FIGUEROA _____ _____ _______ _______
SHORETT _____ _____ _______ _______
NICKEL _____ _____ _______ _______
RICHARD _____ _____ _______ _______
MULVIHILL _____ _____ _______ _______
WITNESS my hand and official seal of the City of San Bernardino this ___ day of
____________ 2020.
______________________________
Genoveva Rocha, CMC, Acting City Clerk
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Location Map
337 – 339 40 th Street , San Bernardino, CA.
Property Location
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