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CC SR 20210601 05 - Johnson Favaro Amendment No 3 Ladera Linda CITY COUNCIL MEETING DATE: 06/01/2021 AGENDA REPORT AGENDA HEADING: Consent Calendar AGENDA TITLE: Consideration and possible action to appropriate additional funding and approve a third amendment to the Professional Services Agreement with Johnson Favaro for the Ladera Linda Community Center and Park Project. RECOMMENDED COUNCIL ACTION: (1) Authorize an additional appropriation of $35,775 in support of the on-going design effort for the Ladera Linda Community Center and Park Project; and (2) Authorize the Mayor to approve Amendment No. 3 to the Professional Services Agreement, in a form approved by the City Attorney, with Johnson Favaro for on- going architectural and engineering design services for the Ladera Linda Community Center and Park Project thereby authorizing changes to the scope of work that are needed to complete the additional necessary services at a new contract sum of $597,035. FISCAL IMPACT: Quimby funds will be used to complete this work. Amount Budgeted: $624,143 Additional Appropriation: $35,775 Account Number(s): 334-400-8405-8004 [Quimby Fund – Ladera Linda/Design Services] ORIGINATED BY: Ron Dragoo, PE, Principal Engineer REVIEWED BY: Ramzi Awwad, Director of Public Works APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Amendment No. 3 to the Johnson Favaro Professional Services Agreement (page A-1) B. Proposal - Cost Estimate Update (page B-1) C. Proposal - Enclosed Restroom revisions (page C-1) D. Proposal - Security Consulting Services (page D-1) E. Staff Report 05-18-2021 (page E-1) F. Staff Report 04-06-2021 Page F-1) 1 G. Amendment No. 2 to the Johnson Favaro Professional Services Agreement (page G-1) H. Amendment No. 1 to the Johnson Favaro Professional Services Agreement (page H-1) I. 2018 Professional Services Agreement with Johnson Favaro (page I-1) BACKGROUND AND DISCUSSION: On December 18, 2018, the City Council approved the Professional Services Agreement (PSA) with Johnson Favaro for architectural and engineering design services for the Ladera Linda Community Center and Park Project in the amount of $538,460 (Attachment I). On December 17, 2019, the City Council approved Amendment No. 1 to the PSA thereby approving a one-year extension and increasing the contract amount by $14,740 for additional services (Attachment H). This increased the amount of the agreement to $553,200. On December 1, 2020, the City Council approved Amendment No. 2 to the Johnson Favaro contract thereby extending the term by one additional year to allow sufficient time to complete the CUP/CEQA process and the subsequent development of construction-ready documents (Attachment G). On April 6, 2021, the City Council upheld the Planning Commission-approved planning entitlements (Attachment F). On May 18, 2021, the City Council approved a funding strategy and approved proceeding with filing the necessary application with iBank for the Ladera Linda Community Center and Park Project (Attachment E). As the project moves forward with the development of construction documents, additional professional services that are part of typical construction document development, but are not included in the Johnson Favaro contract, are needed. Most of these additional professional services will be in the form of sub-consultants to Johnson Favaro, specializing in a particular aspect of design and construction document development. Engaging these sub-consultants will require an amendment to the Johnson Favaro contract. At this time, the costs associated with these services are presented in the attached Amendment No. 3 to the PSA (Attachment A) and the services are summarized as follows for the City Council’s consideration: • Cost Estimate Update: the cost estimating format needs to be changed and in response to requests from the community for a different format than is typically used as part of plan development and updated to reflect the approved minor modifications to the project design (Attachment B). The updated cost estimate will be presented to the City Council at an upcoming meeting. 2 • Enclosed Restroom Revisions: these services are required to modify plan sheets and specifications to change the open cabana restrooms to separate fully enclosed Men’s and Women’s restrooms (Attachment C). • Security Sub-Consulting Services: these services are required to provide drawings and specifications for pole-mounted and building-mounted security cameras and the associated system for the building and surrounding grounds (Attachment D). The cost to perform the cost estimate update, revisions to the enclosed restrooms, and security sub-consulting services is $43,835. The project has over $8,000 available, therefore, the additional appropriation request is only for $35,775, the balance of the additional sub-consulting services. Below is the Capital Improvement Program Project Summary Table for the Ladera Linda Community Center and Park Project: Staff recommends approving Amendment No. 3 to the Johnson Favaro PSA so the additional necessary services can be completed. ADDITIONAL INFORMATION: Staff that there may be some additional requests for contract amendments and new contracts to further progress this project. Anticipated upcoming amendments over the next several weeks include dry utility sub-consulting services, information technology, audio-visual sub-consulting services, and an overall project management contract. ALTERNATIVES: In addition to the Staff recommendation, the following alternative actions are available for the City Council’s consideration: 1. Do not approve the changes in scope and additional spending authorization with Johnson Favaro. 3 2. Take other action as deemed appropriate by the City Council. 4 AMENDMENT NO. 3 TO AGREEMENT FOR CONTRACTUAL SERVICES THIS AMENDMENT TO THE AGREEMENT FOR CONTRACTUAL SERVICES (Amendment No. 3) by and between the CITY OF RANCHO PALOS VERDES (City) and JOHNSON FAVARO, a California corporation (“Consultant”) is effective as of June 1, 2021. RECITALS A. City and Consultant entered into that certain Agreement for Contractual Services dated December 18, 2018 (Agreement) whereby Consultant agreed to provide engineering design services for the Ladera Linda Community Park Project (the Services) for a Term of one year, for a Contract Sum of $538,460. The Agreement provided for an additional one-year extension at the City’s discretion. B. Due to the unforeseen necessity for Conditional Use Permit review and California Environmental Quality Act review by Consultant, the Services required additional tasks and would take longer than anticipated. Therefore, on December 17, 2019, the City and Consultant entered into the Amendment No. 1 to the Agreement to extend the Term of the Agreement by one year, to expire on December 18, 2020, and to increase the Contract Sum to $553,200. C. Due to delays resulting from the COVID-19 pandemic, additional time was required to complete the Services contemplated in the Agreement and in Amendment No. 1. Therefore, the City and Consultant again amended the Agreement to extend the Term to December 18, 2021 (Amendment No. 2). D. City and Consultant desire to further amend the Agreement, as amended, to add the following services: (i) cost estimate update and reformatting; (ii) revisions to the design for the enclosed restrooms; and (iii) security consulting services. The additional services shall increase the compensation by $43,835 for a new Contract Sum of $597,035. TERMS 1. Contract Changes. The Agreement is amended as provided herein. Deleted text is indicated in strikethrough and added text in bold italics. (a) Section 2.1, Contract Sum, is amended to read: “Subject to any limitations set forth in this Agreement, City agrees to pay Consultant the amounts specified in the “Schedule of Compensation” attached hereto as Exhibit “C” and incorporated herein by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed $553,200 (Five Hundred Thirty Three Thousand Two Hundred Dollars)$597,035 (Five Hundred Ninety Seven Thousand Thirty Five Dollars) (the “Contract Sum”), unless additional compensation is approved pursuant to Section 1.9.” A-1 01203.0006/718260.2 -2- (b) Section I.C.18 to Exhibit “A,” Schedule of Services, is added to read: “18. Additional Services Pursuant to Amendment No. 3: a. Cost estimate update and reformatting (subconsultant: MGAC) i. Provide an updated and reformatted cost estimate to reflect minor scope and design modifications and clarifications, current unit pricing and market conditions, and revised construction schedule. ii. Provide separate cost report documents with cost breakdown as per the City notes received April 16, 2021 iii. Provide a full project breakdown inclusive of construction hard costs and project soft costs, based on traditional design-bid-build procurement. iv. Attend two virtual meetings with the City to present and review the updated cost report. b. Revisions to enclosed restroom design (subconsultants: Novus (MEP, Darkhorse Lighworks (Lighting)). Change from open cabana restrooms to separate fully enclosed men’s and women’s restrooms. MEP Scope of Work Mechanical - Revise duct distribution layout and duct sizes. M2.01 Mechanical First Floor Plan. - Revise restroom exhaust fan size. M0.11 Mechanical Schedules. Electrical - Revise power design for additional water heaters at each enclosed restroom. E2.01 Electrical First Floor Power Plan. - Revise electrical calculations and riser diagram. E6.00 Single Line Diagram. Plumbing - Revise plumbing design for restroom. P3.00 Enlarged plan - Revise water heater design for each restroom. P2.01 Plumbing First Floor Plan A-2 01203.0006/718260.2 -3- (c) Exhibit “A-1”, Scope of Work for Security Consulting Services Pursuant to Amendment No. 3, attached hereto, is added to the Agreement. (d) Exhibit “C-2”, Schedule of Compensation for Additional Work Pursuant to Amendment No. 3, attached hereto, is added to the Agreement. (e) The following is added to at the bottom of Section I of Exhibit “D,” Schedule of Performance, as provided in Amendment No. 2: “All Additional Services provided in Amendment No. 3 shall be subject to the above Schedule of Performance.” 2. Continuing Effect of Agreement. Except as amended by Amendment Nos. 1 through 3, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 2, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement, as amended by Amendment Nos. 1 through 3. 3. Affirmation of Agreement; Warranty Re Absence of Defaults. City and Consultant each ratify and reaffirm each and every one of the respective rights and obligations arising under the Agreement. Each party represents and warrants to the other that there have been no written or oral modifications to the Agreement other than as provided herein. Each party represents and warrants to the other that the Agreement is currently an effective, valid, and binding obligation. Consultant represents and warrants to City that, as of the date of this Amendment No. 3, City is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement. City represents and warrants to Consultant that, as of the date of this Amendment No. 3, Consultant is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement. 4. Adequate Consideration. The parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 3. 5. Authority. The persons executing this Amendment No. 3 on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 3 on behalf of said party, (iii) by so executing this Amendment No. 3, such party is formally bound to the provisions of this Amendment No. 3, and (iv) the entering into this Amendment No. 3 does not violate any provision of any other agreement to which said party is bound. [SIGNATURES ON FOLLOWING PAGE] A-3 01203.0006/718260.2 -4- IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first-above written. CITY: CITY OF RANCHO PALOS VERDES, a municipal corporation ____________________________________ Eric Alegria, Mayor ATTEST: _________________________________ Teri Takaoka, City Clerk APPROVED AS TO FORM: ALESHIRE & WYNDER, LLP _________________________________ William W. Wynder, City Attorney CONSULTANT: JOHNSON FAVARO, a California corporation By: ________________________________ Name: Jim Favaro Title: Principal By: ________________________________ Name: Steve Johnson Title: Principal Address: 5898 Blackwelder Street Culver City, CA 90232 Two corporate officer signatures required when Consultant is a corporation, with one signature required from each of the following groups: 1) Chairman of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. CONSULTANT’S SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT’S BUSINESS ENTITY. A-4 01203.0006/718260.2 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT STATE OF CALIFORNIA COUNTY OF LOS ANGELES On __________, 2021 before me, ________________, personally appeared ________________, proved to me on the basis of satisfactory evidence to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature: _____________________________________ OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT INDIVIDUAL CORPORATE OFFICER _______________________________ TITLE(S) PARTNER(S) LIMITED GENERAL ATTORNEY-IN-FACT TRUSTEE(S) GUARDIAN/CONSERVATOR OTHER_______________________________ ______________________________________ SIGNER IS REPRESENTING: (NAME OF PERSON(S) OR ENTITY(IES)) _____________________________________________ _____________________________________________ ___________________________________ TITLE OR TYPE OF DOCUMENT ___________________________________ NUMBER OF PAGES ___________________________________ DATE OF DOCUMENT ___________________________________ SIGNER(S) OTHER THAN NAMED ABOVE A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document. A-5 01203.0006/718260.2 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT STATE OF CALIFORNIA COUNTY OF LOS ANGELES On __________, 2021 before me, ________________, personally appeared ________________, proved to me on the basis of satisfactory evidence to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature: _____________________________________ OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT INDIVIDUAL CORPORATE OFFICER _______________________________ TITLE(S) PARTNER(S) LIMITED GENERAL ATTORNEY-IN-FACT TRUSTEE(S) GUARDIAN/CONSERVATOR OTHER_______________________________ ______________________________________ SIGNER IS REPRESENTING: (NAME OF PERSON(S) OR ENTITY(IES)) _____________________________________________ _____________________________________________ ___________________________________ TITLE OR TYPE OF DOCUMENT ___________________________________ NUMBER OF PAGES ___________________________________ DATE OF DOCUMENT ___________________________________ SIGNER(S) OTHER THAN NAMED ABOVE A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document. A-6 01203.0006/718260.2 EXHIBIT “A-1” SCOPE OF WORK FOR SECURITY CONSULTING SERVICES PURSUANT TO AMENDMENT NO. 3 A. SCHEMATIC DESIGN / DESIGN DEVELOPMENT PHASE This phase incorporates a preliminary effort to identify the design concept to ultimately arrive at the acceptable starting point. The tasks are as follows: 1. SC&D will review any changes to renderings produced by the City since our last review to confirm the scope of work involved. 2. Initially attend a conference call with the City via a Go-To-Meeting to discuss the overall design concept for acceptance. 3. SC&D shall produce a Basis of Design Short Narrative (BODSN) that will include recommendations for a security system program, reduced plans depicting the location of devices, and a probable project cost analysis. SC&D will submit the narrative to the City for internal review. The narrative at a minimum will include:  A brief explanation of the security system.  The general location of equipment.  A single probable project budget. B. CONSTRUCTION DOCUMENT PHASE This phase constitutes the final design effort. Documents produced during this phase will be used by the awarding contractor for bid purposes and will include details necessary for construction. We anticipate 50%, 90%, and 100% deliverables for this phase. The tasks outlined below are inclusive in each deliverable unless otherwise noted. 1. Prepare and submit one copy of design drawings in CAD and PDF format for the security system per submission for a total of three submissions containing CAD files provided by the City. The drawings will consist of floor plans depicting the location, or relocation of control panels, field devices, riser locations, mounting details, required building power locations, and revised general notes. The drawings will include system block diagram. 2. At 100%, revise and resubmit the previously submitted probable project budget. 3. At 100%, prepare and submit one copy of a security specification in Word and PDF formats. 4. Attend further conference calls and Go-To-Meetings, as necessary. A-7 01203.0006/718260.2 C. BIDDING PHASE This phase shall include the response to comments and RFI’s issued by City and other Stakeholders and shall include: 1. Up to five (5) responses to Requests for Information (RFI). 2. Attend conference calls and Go-To-Meetings, as necessary. D. CLARIFICATIONS  City will arrange meetings and required conference calls.  Ctiy will provide CAD files for submission A-8 01203.0006/718260.2 EXHIBIT “C-2” SCHEDULE OF COMPENSATION FOR SERVICES PURSUANT TO AMENDMENT NO. 3 Consultant will provide the Additional Services pursuant to Exhibit “A-1” at the following rates: COMPENSATION FOR ADDITIONAL SERVICES COST SUBTOTALS Cost Estimate Update and Reformatting MGAC (see below for fee detail) $14,500 Consultant $2,153 Subtotal $16,653 Enclosed Restroom Revisions Consultant $5,340 Novus (MEP) (see below for fee detail) $2,035 Darkhorse Lightworks (Lighting) (see below for fee detail) $1,520 Subtotal $8,895 Security Consulting Services Consultant $4,360 Design, Construction Documents, Bidding (see fee detail below) $14,700 Subtotal $18,287 TOTAL FOR ADDITIONAL SERVICES $43,835 **Fee details on following pages A-9 01203.0006/718260.2 I. Cost Estimate Update and Reformatting Fee Detail MGAC ARCHITECTURE FEE SUMMARY DETAIL JOHNSON FAVARO - ARCHITECTURE TASK STAFF RATE HOURS TOTAL Meeting with City to discuss format of estimate Principal $216.72 1 $216.72 Senior Staff 4 $115.58 1 $115.58 SUBTOTAL $332.30 Redlining of drawings for Cost Consultant to describe updates to the set Principal $216.72 1 $216.72 Senior Staff 4 $115.58 5.25 $606.80 SUBTOTAL $823.52 Meeting with Cost Consultant to review updates to drawings Principal $216.72 1 $216.72 Senior Staff 4 $115.58 1 $115.58 SUBTOTAL $332.30 2 meetings with City to present and review cost estimate Principal $216.72 2 $433.44 Senior Staff 4 $115.58 2 $231.16 SUBTOTAL $664.60 TOTAL $2,153 A-10 01203.0006/718260.2 II. Enclosed Restroom Revisions Fee Details Consultant Architectural FEE SUMMARY DETAIL TASK STAFF RATE HOURS TOTAL Revised fixture calculations, Revised Revit plan and area plan Number of sheets affected: 2 Partner $220.00 0 $0.00 Senior Associate $180.00 8 $1,440.0 0 SUBTOTAL $1,440.0 0 Revision to Exterior and Interior Elevations, Building Section, Finish floor plan, Enlarged floor plans, RCPs, Material schedule, Door Schedule. Consultant Coordination Number of sheets affected: 10 Partner $220.00 1 $220.00 Senior Associate $180.00 16 $2,880.0 0 SUBTOTAL $3,100.0 0 City Review Meetings and final revisions Partner $220.00 2 $440.00 Senior Associate $180.00 2 $360.00 SUBTOTAL $800.00 TOTAL $5,340 A-11 01203.0006/718260.2 MEP FEE SUMMARY DETAIL (Novus) TASK STAFF RATE HOURS TOTAL Mechanical Revisions Number of sheets affected: 2 Senior Engineer $135.00 1 $135.00 BIM Designer $115.00 3 $345.00 SUBTOT AL $480.00 Electrical Revisions Number of sheets affected: 2 Senior Engineer $135.00 1 $135.00 BIM Designer $115.00 4 $460.00 SUBTOT AL $595.00 Plumbing Revisions Number of sheets affected: 2 Senior Engineer $135.00 2 $270.00 BIM Designer $115.00 6 $690.00 SUBTOTAL $960.00 TOTAL $2,035 Lighting FEE SUMMARY DETAIL (Darkhorse Lightworks) TASK STAFF RATE HOURS TOTAL Lighting Revisions Number of sheets affected: 3, plan/RCP, elevation or detailing, specifications and photometric analysis Senior Staff $190.00 3 $570.00 Number of sheets affected: 4, plan/RCP, elevation or detail, specifications, controls, photometric analysis Senior Staff $190.00 5 $950.00 Staff 0 $0.00 SUBTOTA L $1,520.00 TOTAL $1,520 A-12 01203.0006/718260.2 III. Security Consulting Services Fee Details Secure Consulting and Design Phase Fee Schematic Design / Design Development Phase $1,688 Construction Document Phase – 50% $4,156 Construction Document Phase – 90% $3,324 Construction Document Phase – 100% $4,780 Bidding Phase $752 Total Fee: $14,700 A-13 April 20, 2021 Matt Waters Senior Administrative Analyst City of Rancho Palos Verdes 30940 Hawthorne Blvd, Rancho Palos Verdes, CA 90275 Project: Ladera Linda Community Center and Park RE: Additional Services Proposal: DD Cost Estimate Update Dear Mr. Waters, The following describes additional services to be provided by Johnson Favaro (Consultant) to the City of Rancho Palos Verdes (Owner), in accordance with our professional services agreement approved by City Council on December 18, 2018 and subsequently entered into agreement on January 22, 2019 in connection with the project referenced above. ADD SERVICE DESCRIPTION 1) Provide an updated DD cost estimate to reflect minor scope and design modifications and clarifications, current unit pricing and market conditions, and revised construction schedule. 2) Provide separate cost report documents with cost breakdown as per the City of Rancho Palos Verdes notes received April 16, 2021 3) Provide a full project breakdown inclusive of construction hard costs and project soft costs, based on traditional design-bid-build procurement. 4) Attend two virtual meetings with the City to present and review the updated cost report. MGAC $14,500 Johnson Favaro $2,153 Total $16,653 B-1 LADERA LINDA COMMUNITY CENTER AND PARK – ADD SERVICES FOR SECURITY AND AUDIOVISUAL/COMMUNICATIONS OCTOBER 10, 2019 FEE PROPOSAL: Based on the Scope of Services described above, the Consultant proposes a fixed fee of: SIXTEEN THOUSAND SIX HUNDRED FIFTY THREE DOLLARS AND ZERO CENTS ($16,653) See Exhibit “A” for sub-consultant proposal and JF fee detail CONFIRMATION OF AGREEMENT This Agreement correctly sets out the scope and fees for services to be provided by Johnson Favaro for this project. Signature of Authorized City Officer ________________________________________________________________ Name Title of Authorized City Officer __________________________________________________________________ Date Signature of Authorized Johnson Favaro Principal STEVE JOHNSON ______________________________________________________________ Name Title of Authorized Johnson Favaro Principal __________________________________________________________________ Date B-2 B-3 B-4 TASK STAFF RATE HOURS TOTAL Meeting with RPV to discuss format of estimate Principal $216.72 1 $216.72 Senior Staff 4 $115.58 1 $115.58 SUBTOTAL $332.30 Redlining of drawings for Cost Consultant to describe updates to the set since DD Principal $216.72 1 $216.72 Senior Staff 4 $115.58 5.25 $606.80 SUBTOTAL $823.52 Meeting with Cost Consultant to review updates to drawings since DD Principal $216.72 1 $216.72 Senior Staff 4 $115.58 1 $115.58 SUBTOTAL $332.30 2 meetings with client to present and review Cost estimate Principal $216.72 2 $433.44 Senior Staff 4 $115.58 2 $231.16 SUBTOTAL $664.60 $2,153TOTAL JOHNSON FAVARO - ARCHITECTURE EXHIBIT "A" ARCHITECTURE (JF) FEE SUMMARY DETAIL FEE SUMMARY DETAIL Ladera Linda Community Center Rancho Palos Verdes ADDITIONAL SERVICES: Additional DD estimate B-5 April 29, 2021 Ramzi Awwad Director of Public Works City of Rancho Palos Verdes 30940 Hawthorne Blvd, Rancho Palos Verdes, CA 90275 Project: Ladera Linda Community Center and Park RE: Additional Services Proposal: Enclosed Restroom revisions Dear Mr. Awwad, The following describes additional services to be provided by Johnson Favaro (Consultant) to the City of Rancho Palos Verdes (Owner), in accordance with our professional services agreement approved by City Council on December 18, 2018 and subsequently entered into agreement on January 22, 2019 in connection with the project referenced above. ADD SERVICE DESCRIPTION 1) Change from open cabana restrooms to separate fully enclosed Mens and Womens restrooms This proposal covers Architectural, MEP, and Lighting services required for the revision. Johnson Favaro (Consultant) $5340 Novus (MEP Subconsultant) $2035 Darkhorse Lightworks (Lighting Subconsultant) $1520 Total $8895 FEE PROPOSAL: Based on the Scope of Services described above, the Consultant proposes a fixed fee of: EIGHT THOUSAND EIGHT HUNDRED NINETY FIVE DOLLARS AND ZERO CENTS ($8895) C-1 LADERA LINDA COMMUNITY CENTER AND PARK – ADD SERVICES FOR SECURITY See Exhibit “A” for fee details. CONFIRMATION OF AGREEMENT This Agreement correctly sets out the scope and fees for services to be provided by Johnson Favaro for this project. Signature of Authorized City Officer ________________________________________________________________ Name Title of Authorized City Officer __________________________________________________________________ Date Signature of Authorized Johnson Favaro Principal STEVE JOHNSON ______________________________________________________________ Name Title of Authorized Johnson Favaro Principal __________________________________________________________________ Date C-2 TASK STAFF RATE HOURS TOTAL Revised fixture calculations, Revised Revit plan and area plan Partner $220.00 0 $0.00 Senior Associate $180.00 8 $1,440.00 SUBTOTAL $1,440.00 Revision to Exterior and Interior Elevations, Building Section, Finish floor plan, Enlarged floor plans, RCPs, Material schedule, Door Schedule. Consultant Coordination Partner $220.00 1 $220.00 Senior Associate $180.00 16 $2,880.00 SUBTOTAL $3,100.00 Client Review Meetings and final revisions Partner $220.00 2 $440.00 Senior Associate $180.00 2 $360.00 SUBTOTAL $800.00 $5,340TOTAL EXHIBIT "A" Architectural FEE SUMMARY DETAIL FEE SUMMARY DETAIL Number of sheets affected: 2 Ladera Linda Community Center Rancho Palos Verdes ADDITIONAL SERVICES: Enclosed Restrooms Number of sheets affected: 10 C-3 TASK STAFF RATE HOURS TOTAL Mechanical Revisions Senior Engineer $135.00 1 $135.00 BIM Designer $115.00 3 $345.00 SUBTOTAL $480.00 Electrical Revisions Senior Engineer $135.00 1 $135.00 BIM Designer $115.00 4 $460.00 SUBTOTAL $595.00 Plumbing Revisions Senior Engineer $135.00 2 $270.00 BIM Designer $115.00 6 $690.00 SUBTOTAL $960.00 $2,035 Number of sheets affected: 2 TOTAL EXHIBIT "A" MEP FEE SUMMARY DETAIL FEE SUMMARY DETAIL Number of sheets affected: 2 Ladera Linda Community Center Rancho Palos Verdes ADDITIONAL SERVICES: Enclosed Restrooms Number of sheets affected: 2 C-4 Page 1 of 1 NOVUS DESIGN STUDIO ASR#1 - Ladera Linda Community Center ____________________________________________________________________________ PROPOSAL FOR SERVICES Client Johnson Favaro Architecture + Urban Design Attn: Ingrid Dennert Project Ladera Linda Community Center MEP ASR#1 – Enclosed Restrooms Number P2018-41.1 Date 4/27/2021 Scope of Services Per the request of the architect, we have developed the scope of work for modifications to the restroom layouts. The DD phase restroom layout will change to fully enclosed male and female restrooms. MEP Scope of Work Mechanical - Revise duct distribution layout and duct sizes. M2.01 Mechanical First Floor Plan. - Revise restroom exhaust fan size. M0.11 Mechanical Schedules. Electrical - Revise power design for additional water heaters at each enclosed restroom. E2.01 Electrical First Floor Power Plan. - Revise electrical calculations and riser diagram. E6.00 Single Line Diagram. Plumbing - Revise plumbing design for restroom. P3.00 Enlarged plan - Revise water heater design for each restroom. P2.01 Plumbing First Floor Plan Fixed Fee $2,035 Terms and Conditions • Terms and Conditions are per our approved contract for the base project dated 06.11.2019 • No deliverable items will be provided on this project before a valid contract is executed by both parties. • Scope, Fees, and Terms and Conditions outlined here are valid for 30 days • Reimbursable costs such as travel expenses to indicated meetings, drawing reproduction and printing, will be billed at cost • Services will be provided on a Fixed Fee basis, billed monthly Exclusions • Exclusions per our approved contract for the base project dated 06.11.2019 C-5 TASK STAFF RATE HOURS TOTAL Lighting Revisions Number of sheets affected: 3, plan/RCP, elevation or detailing, specifications and photometric analysis Senior Staff $190.00 3 $570.00 Senior Staff $190.00 5 $950.00 Staff 0 $0.00 SUBTOTAL $1,520.00 $1,520TOTAL EXHIBIT "A" Lighting FEE SUMMARY DETAIL FEE SUMMARY DETAIL Number of sheets affected: 4, plan/RCP, elevation or detail, specifications, controls, photometric analysis Ladera Linda Community Center Rancho Palos Verdes ADDITIONAL SERVICES: Enclosed Restrooms C-6 April 22, 2021 Matt Waters Senior Administrative Analyst City of Rancho Palos Verdes 30940 Hawthorne Blvd, Rancho Palos Verdes, CA 90275 Project: Ladera Linda Community Center and Park RE: Additional Services Proposal: Security Consulting Services Dear Mr. Waters, The following describes additional services to be provided by Johnson Favaro (Consultant) to the City of Rancho Palos Verdes (Owner), in accordance with our professional services agreement approved by City Council on December 18, 2018 and subsequently entered into agreement on January 22, 2019 in connection with the project referenced above. PROJECT DESCRIPTION 1) Security Consulting Services This proposal covers services of the subconsultant from schematic design through to Closeout/Warranty. Johnson Favaro will be responsible for coordination of subconsultant. See below for a detail of hours projected by Consultant to complete documentation of requested additional project scope: Johnson Favaro (Consultant) $4,360 Secure Consulting and Design (Subconsultant) $17,868 Total $22,228 FEE PROPOSAL: Based on the Scope of Services described above, the Consultant proposes a fixed fee of: TWENTY TWO THOUSAND TWO HUNDRED TWENTY EIGHT DOLLARS AND ZERO CENTS ($22,228) $14,700 Awwad Ramzi Awwad Director of Public Works May 25, 2021 $3,587 $18,287 Bidding Phase. EIGHTEEN THOUSAND TWO HUNDRED EIGHTY SEVEN DOLLARS AND ZERO CENTS D-1 LADERA LINDA COMMUNITY CENTER AND PARK – ADD SERVICES FOR SECURITY See Exhibit “A” for sub-consultant proposal. CONFIRMATION OF AGREEMENT This Agreement correctly sets out the scope and fees for services to be provided by Johnson Favaro for this project. Signature of Authorized City Officer ________________________________________________________________ Name Title of Authorized City Officer __________________________________________________________________ Date Signature of Authorized Johnson Favaro Principal STEVE JOHNSON ______________________________________________________________ Name Title of Authorized Johnson Favaro Principal __________________________________________________________________ Date D-2 TASK STAFF RATE HOURS TOTAL Design Phase Principal $216.72 5 $1,083.60 Senior Staff 4 $115.58 15 $1,733.70 SUBTOTAL $2,817 Design meeting with RPV Principal $216.72 2 $433.44 Senior Staff 4 $115.58 3 $346.74 SUBTOTAL $780 $3,597TOTAL JOHNSON FAVARO - ARCHITECTURE EXHIBIT "A" ARCHITECTURE (JF) FEE SUMMARY DETAIL FEE SUMMARY DETAIL Coordination of security camera locations at ceilings and exterior walls/soffits and within site, Update of door schedule to note contacts, Coordination of site lighting with site cameras. Coordination of access control with gate design. Ladera Linda Community Center Rancho Palos Verdes ADDITIONAL SERVICES: Security Add service Prep, Meeting, and minutes D-3 Security ■ Fire ■ Intercom ■ Emergency Telephone Systems 2484 Ashen Light Drive, Henderson, NV 89044, Phone (714) 318-4771 drgallegos@secureconsultingdesign.com September 12, 2019 Revised: September 25, 2019 Revised: April 21, 2021 Revised: April 22, 2021 Via Email: idennert@johnsonfavaro.com Ms. Ingrid Dennert Johnson Favaro Architecture + Urban Design 5898 Blackwelder Street Culver City, CA 90232 RE: Proposal to Provide Security Consulting and Design Services For the Ladera Linda Park and Community Center - Security System Rancho Palos Verdes, California SC&D Proposal No. 119002-00 Dear Ingrid, Secure Consulting & Design (SC&D) is pleased to submit this proposal to provide security consulting services to Johnson Favaro (Client) for the above referenced project. INTRODUCTION Ladera Linda Park is an 11-acre neighborhood park located on Forrestal Drive. Accounting for steep hillsides, the park has only 5.5 acres of usable park space. The project includes a new Community Center building, totaling 5,730 SF (enclosed/conditioned floor area – circulation for the building is covered and not conditioned). The new community center building includes four classrooms and 1 meeting room that will also be used for orientation/educational programming associated with the adjoining preserve. The project also includes redevelopment of the park, with the primary focus of restoring most of the site to the natural landscape native to the peninsula – low chaparral and trails. No new program uses are proposed in the park as compared to existing, which includes an open field for informal play/recreation, a children’s playground, a basketball court and a paddle tennis/pickle ball court. Parking for the site is provided in a new surface lot for 54 cars. BASIC SERVICES For this proposal we will assume to provide drawings and specification for pole-mounted/building-mounted security cameras and system for the building and the surrounding grounds. We will include an intrusion system with alarm points such as door alarms, interior motion sensors and glass break sensors. Included will be a possible access control system. Further services will include single on-site meeting with the client and city officials with key Go-To-Meetings with the design team to develop and coordinate design with the client and other consultants. We will prepare drawings, specifications and a short narrative for client use only to assist with development of estimated construction cost for this portion of the work. EXHIBIT "A" D-4 Ladera Linda Park and Community Center - Security System Revised: April 22, 2021 Rancho Palos Verdes, CA 2 119002-00 SCHEMATIC DESIGN / DESIGN DEVELOPMENT PHASE This phase incorporates a preliminary effort to identify the design concept to ultimately arrive at the acceptable starting point. The tasks are as follows: 1. SC&D will review any changes to renderings produced by the client since our last review to confirm the scope of work involved. 2. Initially attend a conference call with the client via a Go-To-Meeting to discuss the overall design concept for acceptance. 3. SC&D shall produce a Basis of Design Short Narrative (BODSN) that will include recommendations for a security system program, reduced plans depicting the location of devices, and a probable project cost analysis. SC&D will submit the narrative to the Client for internal review. The narrative at a minimum will include: A brief explanation of the security system. The general location of equipment. A single probable project budget. CONSTRUCTION DOCUMENT PHASE This phase constitutes the final design effort. Documents produced during this phase will be used by the awarding contractor for bid purposes and will include details necessary for construction. We anticipate 50%, 90%, and 100% deliverables for this phase. The tasks outlined below are inclusive in each deliverable unless otherwise noted. 1. Prepare and submit one copy of design drawings in CAD and PDF format for the security system per submission for a total of three submissions containing CAD files provided by the Client. The drawings will consist of floor plans depicting the location, or relocation of control panels, field devices, riser locations, mounting details, required building power locations, and revised general notes. The drawings will include system block diagram. 2. At 100%, revise and resubmit the previously submitted probable project budget. 3. At 100%, prepare and submit one copy of a security specification in Word and PDF formats. 4. Attend further conference calls and Go-To-Meetings, as necessary. BIDDING PHASE This phase shall include the response to comments and RFI’s issued by Client and other Stakeholders and shall include: 1. Up to five (5) responses to Requests for Information (RFI). 2. Attend conference calls and Go-To-Meetings, as necessary. CONSTRUCTION ADMINISTRATION PHASE This phase shall include Responses to RFI’s and site visits to ensure compliance to Contract Documents. The tasks are as follows: 1. Up to five (5) responses to Requests for Information (RFI). 2. Perform two on-site visits to confirm compliance with Contract Documents. Prepare a site visit report on the progress being made to include a punch list of items needing correction. 3. Attend conference calls and Go-To-Meetings, as necessary. CLOSE OUT / WARRANTY PHASE 1. Review Contractor supplied security documents issued for compliance to Contract Documents for completeness. D-5 Ladera Linda Park and Community Center - Security System Revised: April 22, 2021 Rancho Palos Verdes, CA 3 119002-00 CLARIFICATIONS The Client will arrange meetings and required conference calls. The Client will provide CAD files per submission. PROFESSIONAL FEE SC&D will provide Basic Services on a fixed fee basis, which includes Reimbursable Expenses. The fee for Basic Services is as follows: Phase Fee Schematic Design / Design Development Phase $1,688 Construction Document Phase – 50%$4,156 Construction Document Phase – 90%$3,324 Construction Document Phase – 100%$4,780 Bidding Phase $752 Construction Administration Phase $2,416 Close Out / Warranty Phase $752 Total Fee:$17,868 The fee for Basic Services does not include Additional Services described herein. SC&D’s fees shall be paid monthly in proportion to services performed. REIMBURSABLE EXPENSES Reimbursable Expenses are included in the base bid. ADDITIONAL SERVICES This proposal contemplates a scope of service based upon one project scheme. Major revisions outside SC&D's control or responsibility that will require rework of contemplated work or more extensive work than originally agreed upon will be considered Additional Services. Additional Services also includes all work (such as additional consultation, meetings or revisions) not outlined in Basic Services. Additional services, excluded from the Basic Services, include but are not limited to the following: Additional Meetings. Additional Design Phases. Additional Construction Phases. Additional Construction Drawings. Production of shop or coordination drawings (other than that specified). Development of alternate means of methods of design/construction equivalencies. By extension, the design or expansion of security apparatus beyond the confines of the project limitations. Additional Services will not be performed unless authorized or requested by the Client. TERMS AND CONDITIONS In order for us to perform this work, the Client shall provide SC&D complete information about the project including current design CAD files, prints, specifications, etc. and advise the Consultant of any changes affecting his work as soon as possible upon consideration of the changes. SC&D is not responsible for errors and omissions in drawings and/or data provided by the Owner, occupant, architect or other consultants for inclusion in the construction documents. Invoices will be prepared in accordance with work performed. $14,700 D-6 Ladera Linda Park and Community Center - Security System Revised: April 22, 2021 Rancho Palos Verdes, CA 4 119002-00 Should this project be delayed for a period of six months or longer, SC&D reserves the right to modify this proposal to reflect any changes or rework that result from such a period of inactivity. Any changes would be treated as an additional service. SC&D warrants his services under this proposal to be exercised in a manner consistent with that level of care and skill ordinarily exercised by members of the SC&D’s profession currently practicing in his locality under similar conditions. No other warranty, either expressed or implied as to the results to be achieved because of this project, is made. SC&D’s liability to the Client relating to this agreement or to SC&D’s services under this agreement, except in cases of gross negligence, shall not exceed the aggregate of SC&D’s total fee for services under this agreement. SC&D’s shall provide professional liability insurance coverage as dictated by the general terms the Client has accepted per their contract agreement with the city of Rancho Palos Verdes. SC&D shall have no responsibility for the discovery, presence, handling, removal or disposal of or exposure of persons to hazardous materials in any form at the project site(s), including but not limited to asbestos, asbestos products, polychlorinated biphenyl (PCB) or other toxic substances. This agreement may be accepted by signing in the space below and returning a countersigned copy of this agreement, or by authorizing, directing or permitting Secure Consulting & Design to proceed with the Scope of Services. Thank you for your time and consideration. SUBMITTED BY: SECURE CONSULTING & DESIGN David Gallegos Consultant/Designer ACCEPTED BY: JOHNSON FAVARO ARCHITECTS Name (signature) Name (print/type) Title Date D-7 CITY COUNCIL MEETING DATE: 05/18/2021 AGENDA REPORT AGENDA HEADING: Regular Business AGENDA TITLE: Consideration and possible action to identify a financing option for the Ladera Linda Community Center and Park Project. RECOMMENDED CITY COUNCIL ACTIONS: 1. Based on a traditional procurement approach, review the financing option recommended by the Finance Advisory Committee for the Ladera Linda Community Center and Park Project using the following combined funding sources: a. 50% of the American Rescue Plan Act; b. Available funds in the Quimby Fund; c. A 50/50 split between financing with iBank and the Capital Infrastructure Program Fund Reserve; and, d. Create a framework to replenish CIP Fund with interest earnings, additional transfers from the General Fund when there is a surplus, and private funding such as donations and capital fundraisers. 2. If acceptable, affirm the FAC’s recommendation and direct Staff to proceed with filing the necessary application with iBank. FISCAL IMPACT: N/A Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Trang Nguyen, Director of Finance REVIEWED BY: Karina Bañales, Deputy City Manager APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. CIP Fund Forecasts (page A-1) B. Sample iBank Amortization Schedule (page B-1) C. April 22, 2021 Finance Advisory Committee staff report (page C-1) D. May 6, 2021 Finance Advisory Committee staff report (page D-1) E. Public comments received by May 11, 2021 (page E-1) E-1 BACKGROUND: On April 6, 2021, the City Council upheld the Planning Commission’s approval of the Ladera Linda Community Center and Park Project. The summary of the approval are as follows: • Adopted Resolution No. 2021-13 upholding the Planning Commission- approved planning entitlements, with conditions of approval, consisting of Conditional Use Permit, Major Grading Permit, Variance and Site Plan Review application findings (planning entitlements), thereby approving the project with certain modifications to the conditions. • Directed Staff to proceed with the completion of construction documents and authorize advertisement of bids upon final completion of plans and specifications for the project. • Directed Staff to relocate and optimize handicap parking spaces closer to the building and explore the cost and effective ways to install exterior shutters over glass surfaces to provide the necessary security. Based on the City Council’s directives on the project, which was estimated to cost approximately $15.7 million at the April 6 meeting, potential financing options were presented to the Finance Advisory Committee (FAC) at a special meeting on April 22, 2021 (Attachment C). At the conclusion of the meeting, FAC formed two Subcommittees to review (1) financing options and (2) operating financial impacts of the new facility. The Subcommittee Members for the financing options are Vice Chair Lewis and Members MacAllister and Yourman. The Subcommittee for the operating financial impacts is comprised of Members Vlaco and Seal. On May 6, 2021, the financing options Subcommittee presented its recommendations to the larger FAC, which, after considering the information presented, voted unanimously to forward the following recommendation to the City Council: • Use up to 50% of the City’s American Rescue Plan Act (ARPA) funding for the project. Currently estimated at $3.9 million. • Use any available funding from the Quimby Fund for the project. Currently estimated at $943,500. • For the remaining balance of the Project cost, fund the difference between a loan and the Capital Infrastructure Program (CIP) Fund reserve, as follows: o Use iBank to finance the remaining 50% of the project cost, after the use of ARPA and the Quimby Fund, with a term of 10 years. Currently, the estimated financing amount is $5.5 million or 35% of the total estimated project cost as reported on April 6. o Use reserves from the CIP Fund to fund the remaining 50% of the project cost. Currently, it is estimated that $5.3 million or 34% of the total estimated project cost, as reported on April 6, would be needed. E-2 • Create a framework to replenish the CIP Fund with interest earnings, additional transfers from the General Fund when there is a surplus, and private funding such as donations and capital fundraisers. The above recommendation from FAC ensures that construction of the project will not result in any tax increase to residents and that projects identified in the 5 -year CIP continue to be funded based on the City’s current practice of using transient occupancy tax (TOT) generated by Terranea and restricted funds. At the same meeting, the operating financial impacts Subcommittee also reported that it met with Finance Director Nguyen, Recreation and Parks Deputy Director Trautner, and Recreation and Parks Senior Administrative Analyst Waters to discuss the project’s operating revenues and expenditures after construction is completed. The discussion that ensued with the Subcommittee revealed that it is too early and there is not enough data or information to make any assumptions of the operating impacts of the new facility. Therefore, the FAC recommended, as part of the next fiscal year workplan, that the Subcommittee continue to analyze the operational, financial impacts of the project. DISCUSSION: Project Procurement During the April 22, 2021, FAC special meeting, Staff reiterated to the FAC the following three procurement options that were previously presented by Kosmont Transaction Services (KTS) at the February 25 meeting: • Traditional (design-bid-build) o The City’s responsibility is from start to finish of the project. o Requires bidding out most components of the project. o May take longer to complete. o Flexible financing options. • Total Project Delivery o The City is not responsible for the project installation. o Guaranteed delivery. o Limited to lease payment. • Design-Build o The City’s responsibility is from start to finish of the project. o One contractor to design and build. o Streamline the process to reduce the time to complete. o Flexible financing options. At the April 22 meeting, the FAC was informed that the City is too far along the design process that the options of design-build and total project delivery are no longer viable. Therefore, the only procurement option the City has at this point is the tradi tional E-3 approach (design-bid-build). The FAC agreed with the recommendation and did not discuss the procurement option at the subcommittee meeting or at the May 6 follow-up meeting. Financing Options At the April 22 meeting, Staff also reintroduced the following four financing options that KTS previously presented at the February 25 meeting: • Current Resources o Cash reserves o Grants o Special revenues • Issue Securities o Loan o General Obligation Bonds – requires an affirmative vote of 2/3 of registered voters o Lease Revenue Bonds – no voter requirement • Lease o Direct Lease – non-tax exempt, term of less than 30 years o Total Project Delivery – tax-exempt, 30-year term During the discussion, FAC suggested a fifth option of private funding, such as donations and capital campaign fundraising. Staff and a couple of FAC members indicated that it is too late in the process to consider private funding as a financing option for the project. However, the FAC feels that private funding should be considered to try to replenish the CIP Fund Reserves used for the project. After discussion ensued at the May 6 meeting, FAC agreed to finance the project from a combination of restricted funds, CIP Fund, and loan. The Committee agreed that the use of restricted funds for the project should be considered before using the CIP Fund and loan. FAC also noted that the balance of the total cost of the project, after the use of ARPA and Quimby Fund, should be split between the CIP Fund reserve and loan. For example, if the cost for the project increased to $16 million from the current estimate of $15.7 million, after using ARPA and Quimby Fund, the remaining balance of $11,480,000 will be split evenly between the CIP Fund reserve and a loan. Currently, the two restricted funds that the City can consider using for the project would come from the anticipated funds from the anticipated ARPA and Quimby Fund. The estimated funding from ARPA for the City is approximately $7.8 million. The estimated fund balance in Quimby Fund on June 30, 2021 , is approximately $943,500. The FAC recommends using up to 50% of ARPA and all the available funds from the Quimby Fund for this project. E-4 Table 1 below estimates how the project funding would be allocated based on the cost estimate of $15.7 million presented at the April 6 meeting. Table 1: Ladera Linda Funding Summary The following discussion provides details to the above allocation. American Rescue Plan Act (ARPA) The ARPA was approved by Congress and subsequently signed into law by President Biden on March 11, 2021. The relief package provides funding in several areas such as state and local aid, education, rental assistance, and transit. Based on the preliminary information that the City received from the Government Finance Officers Association and the League of California Cities, the City’s allocation under the state and local fiscal aid of $350 billion is estimated to be $7.8 million. Based on the most current information, eligible uses may include: • Revenue replacement for the provision of government services to the extent of the reduction in revenue due to the COVID-19 public health emergency relative to revenues collected in the most recent fiscal year prior to the emergency; • Premium pay for essential workers; • Assistance to small businesses, households, and hard-hit industries, and economic recovery • Investments in water, sewer, and broadband infrastructure. The FAC recommends using up to 50% of the allocation from the ARPA to fund the project based on the following reasons: • The project is ready and eligible for ARPA funds under revenue replacement. o Due to the sudden revenue loss from the TOT over the last 18 months, the City may use ARPA funds for the purpose of revenue replacement. As illustrated in Table 2 below, the City’s estimated TOT revenue loss is $4.5 million. o Since over 90% of the City’s TOT is transferred to the CIP to fund capital projects, it would be an opportunity to utilize this grant and replace the revenue loss in the CIP caused by the pandemic. Funding Description Amount ARPA Fund $3,908,500 25% Quimby Fund 943,500 6% CIP Fund 5,338,000 34% iBank Loan 5,500,000 35% Total Funding $15,690,000 E-5 o Additionally, by applying for the revenue replacement section of the ARPA, the City may have more control on how funds can be used for capital projects. Whereas the other eligible uses are restricted for a specific purpose (i.e., infrastructure is listed for water, sewer, and broadband). • Timing o The funding for ARPA must be spent, not committed, by December 2024. Based on the current staffing capacity and the scheduled projects from the five-year CIP presented to the City Council on April 12, 2021, it would seem unattainable to schedule additional capital projects and spend more than 50% of the ARPA funds by 2024. Table 2: Estimated Revenue Losses *FY 2020-21 year-end estimates is based on the third quarter review as presented in the preliminary budget report. Quimby Fund The Quimby Fund is a restricted fund for parks and recreation usage. Therefore, the project is an eligible use of funds. The revenue sources for this fund are from developer fees and dedication of land for park and recreation purposes. At the beginning of FY 2020-21, the Quimby Fund had a fund balance of almost $1.1 million and is projected to end the year with just over $943,500. The reduction is due to the outstanding contract balance with Johnson Favaro, the project designer. The FAC recommends using all available funds in Quimby Fund. Capital Infrastructure Program (CIP) Fund The CIP Fund is the primary funding source for the City’s capital projects. At the start of FY 2020-21, CIP had a fund balance of over $25.3 million. This fund is estimated to end the year with $24.5 million in fund balance. The City Council Reserve Policy requires the CIP Fund to maintain a reserve of $5 million, leaving the fund with an estimated excess reserve of over $19.5 million on June 30, 2021. TOTAL REVENUE LOSSES FY 18-19 Actuals FY 19-20 Actuals FY 19-20 Losses FY 20-21 YE Est. FY 20-21 Losses TOT (4,545,195) 5,645,497 3,909,799 (1,735,698) 2,836,000 (2,809,497) Sales tax (1,186,720) 2,661,181 2,163,342 (497,839) 1,972,300 (688,881) Permits & fees (718,290) 2,217,106 1,916,822 (300,284) 1,799,100 (418,006) Business License (280,418) 945,792 896,166 (49,626) 715,000 (230,792) Interest Earnings (214,586) 366,409 358,232 (8,177) 160,000 (206,409) Rental/Leases (702,382) 478,729 189,076 (289,653) 66,000 (412,729) PVIC Sales (174,708) 137,551 92,494 (45,057) 7,900 (129,651) TOTAL (7,822,299) 12,452,265 9,525,931 (2,926,334) 7,556,300 (4,895,965) E-6 CIP Fund spending can be split into two general categories: annual capital projects, which are funded by annual transfers from the General Fund, and one-time City Council-directed projects, which are funded by the CIP excess fund reserve. Based on past City Council policy when Terranea was being entitled, it was determined that TOT generated from the hotel would not support General Fund operations but rather transferred to the CIP to fund annual capital projects. That has been the practice of the City until FY2017-18, when the TOT began funding the increases to the Los Angeles County Sheriff’s contract. Funds for some CIP projects that were not completed in the past were moved to the CIP Reserve, as well as the occasional transfer of funds from the General Fund. The intent was to build a healthy reserve for unforeseen projects and/or fund one-time City Council-directed capital projects for the public’s benefit and use. Staff reviewed the CIP Fund and less than 40% of the budget was typically spent by June 30 of each fiscal year, with an average of $3.3 million spent on capital project over the last three fiscal years between FY 2018-19 and FY 2020-21. In other words, the remaining unspent funds were returned to the fund balance. Based on the 10-year forecast for transfers from General Fund to CIP Fund, the average transfer is estimated at over $3.4 million from FY 2022-23 to FY 2030-31 (Attachment A). The estimated transfer amount includes the estimated reduction of $2 million from public safety increases. Therefore, the FAC is comfortable with making the recommendation of using the CIP excess reserve to fund the project and the annual payment for any debt service. Based on the current estimated project cost of $15.7 million, the projected use of the CIP excess reserve as recommended by the FAC, is approximately $5.3 million plus the annual payment of any debt service for the next 10 years of just over $6.3 million for a total use of CIP reserve of about $11.6 million (see next section on debt service). With conservative estimates of $2,200,000 on interest earnings and $2,200,000 on additional transfers from the General Fund over 10 years, the net impact on the CIP Fund is $7.3 million over the next 10 years, bringing the CIP Fund balance to approximately $16.8 million in FY 2030-31. This fund balance would enable the City to fund one-time unforeseen capital project or other City Council-directed projects, such as the Portuguese Bend Landslide Remediation or Western Avenue Beautification projects, if desired. This does not account for potential grant funds available for future capital projects, such as the Portuguese Bend Landslide Remediation project as currently being sought. Table 3: Estimated Net Impact on the CIP Fund FY 2020-21 Estimated ending fund balance 24,098,510$ Initial funding for Ladera Linda (5,338,000) 10-year of annual payments (6,355,400) Projected 10-year interests 2,200,000 Projected 10-year of additional transfers 2,200,000 FY 2030-31 Estimated ending fund balance 16,805,110$ Estimated Net impact on CIP Fund (7,293,400)$ E-7 iBank Financing Process The Infrastructure State Revolving Fund (ISFR) Program with iBank offers low-cost public financing to state and local governments. ISRF financing is available between $50,000 to $25 million with the loan terms up to a maximum of 30 years or the useful life of the project. Below is an estimated processing timeline to obtain an ISFR loan with iBank. The first step is a preliminary review in which iBank’s credit committee reviews the City’s financials and the proposed project to ensure that the financing complies with underwriting criteria. Once the credit committee approves the project, the City would receive an invitation to apply for the loan. iBank would work with Staff to draft the resolution for the City Council’s consideration at a future meeting and assist with the application and the preparation of the staff report for the iBank’s Board of Directors. Once the board approves the loan, its legal counsel would prepare the legal documents to fund the loan. If the City Council proceeds with the FAC’s recommendation, the total estimated project cost may have to be revised to include the cost for financing the project with iBank over a 10-year term. The financing cost for the 10-year loan is estimated at $855,400 at this time. The annual payment for the 10-year loan is estimated at $635,540 coming from the CIP excess fund reserve based on a proposed $5.5 million loan. If the City Council approves using iBank as a lending option, Staff seeks authorization from the City Council to proceed with Step 1, preliminary review, and specific details on the financing process. Staff would bring back a report to update the City Council on the process and details as they become available. It is also important to note that the loan would not be finalized until approved and accepted by the City Council at a public meeting. Prelimary Review 2 to 4 weeks Receive an Invitation to apply Completed Application and Board Approval 60 to 90 days E-8 Framework to Replenish the CIP Fund Besides reviewing, evaluating, and providing a recommendation for financing options for the project, the FAC also recommends the combined use of the following to replenish the CIP Fund Reserves: • Using interest earnings from CIP’s fund balance. • Transferring any surplus from the General Fund to the CIP Fund Reserve; and, • Developing a capital campaign to raise private donations. Interest Earnings Over the last two years, the CIP Fund has earned almost $1 million in interest earnings. In FY 2018-19, the interest earned was $509,000 and $471,000 in FY 2019-20. For the current fiscal year, the estimated interest-earning is approximately $300,000. The Subcommittee recommends using the interest earned to replenish the fund balance. Staff has taken a conservative approach and projected a flat $200,000 annually in interest earnings in the forecast model. This is to account for the timing of the disbursement of funds on the project compared to the interest earning from the loan disbursement and the ARPA allocation. The FAC supported this recommendation. Surplus Transfers from the General Fund Typically, in December, the Finance Department brings forward a staff report on the City’s unaudited actuals of the previous fiscal year. This report highlights any surplus/deficit in the General Fund, revenues minus expenditures. Looking back at the last four years, the General Fund ended the year with a surplus ranging from $223,000 to $1.9 million. The estimated surplus for FY 2020-21, as presented in the preliminary budget report, is over $700,000. Table 4: Five-Year History of the General Fund Surplus *FY 2020-21 surplus is an estimate based on the third quarter review in preliminary budget report. Based on this information, the FAC recommends transferring a portion of the surplus calculated at year-end to the CIP Fund to replenish the excess reserve. For the purpose of the model, Staff used $200,000 annually as the additional transfer from the General Fund, which is the lowest surplus over five years. The FAC supported this FY 2020-21 FY 2019-20 FY 2018-19 FY 2017-18 FY 2016-17 Revenues 28,529,200 29,499,005 31,911,048 30,682,619 29,449,666 Expenditures (27,802,800) (28,538,827) (29,201,461) (29,429,062) (27,692,362) PO Carry-forward - (167,175) (341,432) (715,164) (963,643) Continuing appropriation - (569,400) (400,000) (300,000) (415,000) Surplus 726,400 223,603 1,968,155 238,393 378,661 E-9 recommendation. If acceptable, this option will be included in the year-end report that goes to the City Council every December. Capital Campaign The Subcommittee also recommended the use of private donations to replenish the CIP fund balance. The approach for this recommendation would be a more inclusive approach by developing a donation program for the City’s various capital projects. To encourage donations, the capital campaign could provide a donor wall and naming opportunities pursuant to City Council Policy No. 37. Any donation received would go directly to replenish the CIP Fund. If acceptable, the FAC recommends that the City Council appoint a City Council subcommittee or create a new committee and onboard a consultant to develop a capital campaign program. At this time, the City Council may wish to have the Public Facilities Subcommittee, consisting of Mayor Alegria and Councilman Cruikshank, to serve in this capacity. ADDITIONAL INFORMATION: Minor Modification No. 1 On May 5, 2021, the Director of Community Development issued a Notice of Decision (NOD) for approval of Minor Modification No. 1 to the City Council-approved Conditional Use Permit, Variance, Grading Permit, and Site Plan Review for the Ladera Linda Community Center and Park Project (Case No. PLCU2020-0007). The design modifications include the reconfiguration of the proposed open-air restroom configuration (individual water closets and communal wash area) into enclosed, and separate men’s and women’s restrooms consisting of traditional stalls and washbasins, and minor reconfiguration of the parking lot, as seen in the revised site plan below: E-10 The NOD provides for a 15-day period to appeal the Director’s decision to the City Council. A $2,275.00 appeal fee must accompany any appeal letter. If no appeal is filed, the Director’s decision will be final at 5:30 PM on Thursday, May 20, 2021. Project Cost Estimate Update As a result of the approval of Minor Modification No. 1, Staff is working on estimating the full cost of enclosing the bathrooms to accommodate a separate men’s and women’s bathroom. At this time, the anticipated cost of enclosing the bathrooms remains approximately $175,000 as stated in the April 6, 2021 Staff Report plus any escalation, associated soft costs, and contingency. Additionally, Staff is working to estimate the cost of installing security shutters on glass surfaces, which is anticipated to be approximately $250,000 plus escalation, associated soft costs, and contingency. In response to community feedback, Staff is working with the project’s cost estimator (MGAC Inc.) to reformat the project cost estimate document to include more detailed information that can be presented in a format that is easily interpreted by the general public. The updated and re-formatted cost estimate is expected to be complete in the next several weeks, at which time it will be made available to the public and presented to the City Council at a future meeting. The design of the enclosed bathrooms and security shutters, as well as the cost estimate updates and format changes are an additional service that will require a n amendment to the Johnson Favaro contract. This contract amendment is estimated to be brought to City Council as early as June 2021. In the coming weeks and months, Staff will bring other contract amendments to the City Council as the design progresses further towards construction documents. These will include hiring a security sub-consultant and a dry utility coordination sub-consultant, among others. Such sub-consultants and similar contract amendments were accounted in the overall project cost estimate presented to the City Council on April 6 and do not represent a cost increase. Project Construction Manager Based on City Council directive at the April 12 CIP workshop, Staff is in the process of publishing a request for proposal to on-board a project construction manager. Between now and the adoption of the budget in June 2021, staff will collect proposals and conduct selection interviews, that may include the participation on the interview panel by the City Council Public Facilities Subcommittee, so that a professional service agreement may be considered by the City Council soon after the budget is adopted. E-11 Finance Advisory Committee The Chair, Vice-Chair, and a member of the subcommittee have been invited to attend the May 18 City Council meeting to answer any questions pertaining to their recommendation. KTS Consulting On February 25, Kosmont Transaction Services (KTS) provided a high-level overview of the procurement and financing options to the FAC. At the April 22 FAC meeting, KTS provided Staff with three amortization schedules to finance the project with a Lease Revenue Bond at 50%, 75%, and 100%. After comparing the cost of financing through bond and loan, FAC recommended not to consider a bond to fund the project for the following reasons: • High cost of issuance • The City would have to go through a public credit rating • The debt amount is relatively small • The projected interest rate is higher Staff has provided the FAC recommendation to KTS, who suggest the City consider (1) a private direct lending with a term of 5- to 15-years at an expected cost between $100,000 to $125,000, or (2) a public offering with a term of 5- to 30-years with the expected costs between $150,000 to $175,000 . Although the City may be able to obtain a competitive interest rate, the City will have an additional cost of borrowing on top of the interest cost. FAC recommends that the added cost associated with issuance and the public credit rating for the amount of debt that it recommends is not worth pursuing at this time. Public Comments As of May 11, the City received 34 public comments (Attachment E). The majority of the public comments express opposition to the project and using public funds to pay for the project. CONCLUSION: The FAC recommends, unanimously, that the City Council consider financing the project using 50% of the ARPA funds, the Quimby Fund, and the remaining balance to be split between a 10-year loan from iBank and the CIP Fund Reserve. The approval of the funding option as proposed will not result in any tax increases to the community. E-12 (1) Capital Infrastructure Improvement Fund 10-year Forecast with ARPA Financing 100% of the project cost Using ARPA for loan payments up to December of 2024 and Quimby balance in FY 24-25 and FY 25-26 Reduced transfers in by $2M for public safety Capital Improvement FY 2020-21 Capital Improvement FY 2021-22 Capital Improvement FY 2022-23 Capital Improvement FY 2023-24 Capital Improvement FY 2024-25 Capital Improvement FY 2025-26 Capital Improvement FY 2026-27 Capital Improvement FY 2027-28 Capital Improvement FY 2028-29 Capital Improvement FY 2029-30 Capital Improvement FY 2030-31 Capital Improvement FY 2030-31 Beginning Fund Balance 7/1 25,344,808 24,538,510 24,546,510 24,946,510 25,346,510 25,746,510 25,150,910 23,758,210 22,370,610 20,988,310 19,611,310 18,239,810 Add: Revenues 205,224 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Add: Transfers in 1,557,200 2,553,000 2,861,000 3,400,000 3,427,000 3,455,000 3,482,000 3,509,000 3,537,000 3,565,000 3,565,000 3,565,000 Total Revenues 1,762,424 2,753,000 3,061,000 3,600,000 3,627,000 3,655,000 3,682,000 3,709,000 3,737,000 3,765,000 3,765,000 3,765,000 Less: Capital Project (2,568,722)(2,945,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) Less: Operating Expenses 0 - - - - - - - - - - - Less: Transfers Out 0 - - - - - - - - - - - Total Expenditures (2,568,722)(2,945,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) Ladera Linda Annual Payment (130,000)(1,811,800)(1,807,300)(1,661,000)(995,600)(1,792,700)(1,787,600)(1,782,300)(1,777,000)(1,771,500)(1,765,900) Replenishing CIP Fund Balance 0 330,000 2,011,800 2,007,300 1,861,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Operating revenues generated from LL General Fund Surplus at the end of the FY 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 American Rescue Plan Act (ARPA)130,000 1,811,800 1,807,300 1,661,000 Fundraiser for LL Donation for LL Total Fiscal Impact from LL 0 200,000 200,000 200,000 200,000 (795,600)(1,592,700)(1,587,600)(1,582,300)(1,577,000)(1,571,500)(1,565,900) Ending Fund Balance 24,538,510 24,546,510 24,946,510 25,346,510 25,746,510 25,150,910 23,758,210 22,370,610 20,988,310 19,611,310 18,239,810 16,873,910 Council Reserve (5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000) Excess Reserve 19,538,510 19,546,510 19,946,510 20,346,510 20,746,510 20,150,910 18,758,210 17,370,610 15,988,310 14,611,310 13,239,810 11,873,910 Estimated Ending Fund Balance 6/30 24,098,510 23,674,010 23,874,010 24,074,010 24,274,010 24,474,010 24,674,010 24,874,010 25,074,010 25,274,010 25,474,010 25,464,010 Changes in ending fund balance 440,000 872,500 1,072,500 1,272,500 1,472,500 676,900 (915,800)(2,503,400)(4,085,700)(5,662,700)(7,234,200)(8,590,100) % of change 1.83%3.69%4.49%5.29%6.07%2.77%-3.71%-10.06%-16.29%-22.41%-28.40%-33.73% E-13 (2) Capital Infrastructure Improvement Fund 10-year Forecast with ARPA Financing 75% of the project cost Using ARPA for loan payments up to December of 2024 and Quimby balance in FY 24-25 and FY 25-26 Reduced transfers in by $2M for public safety Capital Improvement FY 2020-21 Capital Improvement FY 2021-22 Capital Improvement FY 2022-23 Capital Improvement FY 2023-24 Capital Improvement FY 2024-25 Capital Improvement FY 2025-26 Capital Improvement FY 2026-27 Capital Improvement FY 2027-28 Capital Improvement FY 2028-29 Capital Improvement FY 2029-30 Capital Improvement FY 2030-31 Capital Improvement FY 2030-31 Beginning Fund Balance 7/1 25,344,808 24,098,510 20,576,010 20,976,010 21,376,010 21,776,010 21,627,910 20,648,910 19,673,810 18,702,710 17,735,710 16,773,010 Add: Revenues 205,224 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Add: Transfers in 1,117,200 3,000,000 2,861,000 3,400,000 3,427,000 3,455,000 3,482,000 3,509,000 3,537,000 3,565,000 3,565,000 3,565,000 Total Revenues 1,322,424 3,200,000 3,061,000 3,600,000 3,627,000 3,655,000 3,682,000 3,709,000 3,737,000 3,765,000 3,765,000 3,765,000 Less: Capital Project (2,568,722)(3,000,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) Less: Operating Expenses 0 - - - - - - - - - - - Less: Transfers Out 0 - - - - - - - - - - - Total Expenditures (2,568,722)(3,000,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) Ladera Linda Initial Funding (3,922,500) Ladera Linda Annual Payment (100,000)(1,393,700)(1,390,200)(1,277,700)(548,100)(1,379,000)(1,375,100)(1,371,100)(1,367,000)(1,362,700)(1,358,400) Replenishing CIP Fund Balance 0 300,000 1,593,700 1,590,200 1,477,700 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Operating revenues generated from LL General Fund Surplus at the end of the FY 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 American Rescue Plan Act (ARPA)100,000 1,393,700 1,390,200 1,277,700 Fundraiser for LL Donation for LL Total Fiscal Impact from LL 0 (3,722,500)200,000 200,000 200,000 (348,100)(1,179,000)(1,175,100)(1,171,100)(1,167,000)(1,162,700)(1,158,400) Ending Fund Balance 24,098,510 20,576,010 20,976,010 21,376,010 21,776,010 21,627,910 20,648,910 19,673,810 18,702,710 17,735,710 16,773,010 15,814,610 Council Reserve (5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000) Excess Reserve 19,098,510 15,576,010 15,976,010 16,376,010 16,776,010 16,627,910 15,648,910 14,673,810 13,702,710 12,735,710 11,773,010 10,814,610 Estimated Ending Fund Balance 6/30 24,098,510 23,674,010 23,874,010 24,074,010 24,274,010 24,474,010 24,674,010 24,874,010 25,074,010 25,274,010 25,474,010 25,464,010 Changes in ending fund balance 0 (3,098,000)(2,898,000)(2,698,000)(2,498,000)(2,846,100)(4,025,100)(5,200,200)(6,371,300)(7,538,300)(8,701,000)(9,649,400) % of change 0.00%-13.09%-12.14%-11.21%-10.29%-11.63%-16.31%-20.91%-25.41%-29.83%-34.16%-37.89% E-14 (3) Capital Infrastructure Improvement Fund 10-year Forecast with ARPA Financing 50% of the project cost Using ARPA for loan payments up to December of 2024 and Quimby balance in FY 24-25 and FY 25-26 Reduced transfers in by $2M for public safety Capital Improvement FY 2020-21 Capital Improvement FY 2021-22 Capital Improvement FY 2022-23 Capital Improvement FY 2023-24 Capital Improvement FY 2024-25 Capital Improvement FY 2025-26 Capital Improvement FY 2026-27 Capital Improvement FY 2027-28 Capital Improvement FY 2028-29 Capital Improvement FY 2029-30 Capital Improvement FY 2030-31 Capital Improvement FY 2030-31 Beginning Fund Balance 7/1 25,344,808 24,098,510 16,653,510 17,053,510 17,453,510 17,853,510 18,215,110 17,707,310 17,202,010 16,699,310 16,199,410 15,712,310 Add: Revenues 205,224 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Add: Transfers in 1,117,200 3,000,000 2,861,000 3,400,000 3,427,000 3,455,000 3,482,000 3,509,000 3,537,000 3,565,000 3,565,000 3,565,000 Total Revenues 1,322,424 3,200,000 3,061,000 3,600,000 3,627,000 3,655,000 3,682,000 3,709,000 3,737,000 3,765,000 3,765,000 3,765,000 Less: Capital Project (2,568,722)(3,000,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) Less: Operating Expenses 0 - - - - - - - - - - - Less: Transfers Out 0 - - - - - - - - - - - Total Expenditures (2,568,722)(3,000,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) Ladera Linda Initial Funding (7,845,000) Ladera Linda Annual Payment (65,800)(917,500)(915,200)(841,200)(38,400)(907,800)(905,300)(902,700)(899,900)(887,100)(894,300) Replenishing CIP Fund Balance 0 265,800 1,117,500 1,115,200 1,041,200 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Operating revenues generated from LL General Fund Surplus at the end of the FY 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 American Rescue Plan Act (ARPA)65,800 917,500 915,200 841,200 Fundraiser for LL Donation for LL Total Fiscal Impact from LL 0 (7,645,000)200,000 200,000 200,000 161,600 (707,800)(705,300)(702,700)(699,900)(687,100)(694,300) Ending Fund Balance 24,098,510 16,653,510 17,053,510 17,453,510 17,853,510 18,215,110 17,707,310 17,202,010 16,699,310 16,199,410 15,712,310 15,218,010 Council Reserve (5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000) Excess Reserve 19,098,510 11,653,510 12,053,510 12,453,510 12,853,510 13,215,110 12,707,310 12,202,010 11,699,310 11,199,410 10,712,310 10,218,010 Estimated Ending Fund Balance 6/30 24,098,510 23,674,010 23,874,010 24,074,010 24,274,010 24,474,010 24,674,010 24,874,010 25,074,010 25,274,010 25,474,010 25,464,010 Changes in ending fund balance 0 (7,020,500)(6,820,500)(6,620,500)(6,420,500)(6,258,900)(6,966,700)(7,672,000)(8,374,700)(9,074,600)(9,761,700)(10,246,000) % of change 0.00%-29.65%-28.57%-27.50%-26.45%-25.57%-28.23%-30.84%-33.40%-35.90%-38.32%-40.24% E-15 (4) Capital Infrastructure Improvement Fund 10-year Forecast with ARPA Reduced transfers in by $2M for public safety 10-year loan Capital Improvement FY 2020-21 Capital Improvement FY 2021-22 Capital Improvement FY 2022-23 Capital Improvement FY 2023-24 Capital Improvement FY 2024-25 Capital Improvement FY 2025-26 Capital Improvement FY 2026-27 Capital Improvement FY 2027-28 Capital Improvement FY 2028-29 Capital Improvement FY 2029-30 Capital Improvement FY 2030-31 Capital Improvement FY 2030-31 Beginning Fund Balance 7/1 25,344,808 24,098,510 19,114,710 18,875,910 18,638,710 18,403,210 18,169,410 17,937,410 17,707,210 17,478,810 17,252,310 17,027,710 Add: Revenues 205,224 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Add: Transfers in 1,117,200 3,000,000 2,861,000 3,400,000 3,427,000 3,455,000 3,482,000 3,509,000 3,537,000 3,565,000 3,565,000 3,565,000 Total Revenues 1,322,424 3,200,000 3,061,000 3,600,000 3,627,000 3,655,000 3,682,000 3,709,000 3,737,000 3,765,000 3,765,000 3,765,000 Less: Capital Project (2,568,722)(3,000,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) Less: Operating Expenses 0 - - - - - - - - - - - Less: Transfers Out 0 - - - - - - - - - - - Total Expenditures (2,568,722)(3,000,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) Ladera Linda Initial Funding (5,338,000) Ladera Linda Annual Payment (45,800)(638,800)(637,200)(635,500)(633,800)(632,000)(630,200)(628,400)(626,500)(624,600)(622,600) Replenishing CIP Fund Balance 0 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Operating revenues generated from LL General Fund Surplus at the end of the FY 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 American Rescue Plan Act (ARPA) Fundraiser for LL Donation for LL Total Fiscal Impact from LL 0 (5,183,800)(438,800)(437,200)(435,500)(433,800)(432,000)(430,200)(428,400)(426,500)(424,600)(422,600) Ending Fund Balance 24,098,510 19,114,710 18,875,910 18,638,710 18,403,210 18,169,410 17,937,410 17,707,210 17,478,810 17,252,310 17,027,710 16,805,110 Council Reserve (5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000) Excess Reserve 19,098,510 14,114,710 13,875,910 13,638,710 13,403,210 13,169,410 12,937,410 12,707,210 12,478,810 12,252,310 12,027,710 11,805,110 Estimated Ending Fund Balance 6/30 24,098,510 23,674,010 23,874,010 24,074,010 24,274,010 24,474,010 24,674,010 24,874,010 25,074,010 25,274,010 25,474,010 25,464,010 Changes in ending fund balance 0 (4,559,300)(4,998,100)(5,435,300)(5,870,800)(6,304,600)(6,736,600)(7,166,800)(7,595,200)(8,021,700)(8,446,300)(8,658,900) % of change 0.00%-19.26%-20.94%-22.58%-24.19%-25.76%-27.30%-28.81%-30.29%-31.74%-33.16%-34.00% E-16 (4) Capital Infrastructure Improvement Fund 15-year Forecast with ARPA Reduced transfers in by $2M for public safety 15-year loan Capital Improvement FY 2020-21 Capital Improvement FY 2021-22 Capital Improvement FY 2022-23 Capital Improvement FY 2023-24 Capital Improvement FY 2024-25 Capital Improvement FY 2025-26 Capital Improvement FY 2026-27 Capital Improvement FY 2027-28 Capital Improvement FY 2028-29 Capital Improvement FY 2029-30 Capital Improvement FY 2030-31 Capital Improvement FY 2031-32 Capital Improvement FY 2032-33 Capital Improvement FY 2033-34 Capital Improvement FY 2034-35 Capital Improvement FY 2035-36 Capital Improvement FY 2035-36 Beginning Fund Balance 7/1 25,344,808 24,098,510 19,114,710 19,057,810 19,001,910 18,947,110 18,893,310 18,840,610 18,789,110 18,738,710 18,689,510 18,641,510 18,594,710 18,549,210 18,505,010 18,462,110 18,420,610 Add: Revenues 205,224 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Add: Transfers in 1,117,200 3,000,000 2,861,000 3,400,000 3,427,000 3,455,000 3,482,000 3,509,000 3,537,000 3,565,000 3,565,000 3,565,000 3,565,000 3,565,000 3,565,000 3,565,000 3,565,000 Total Revenues 1,322,424 3,200,000 3,061,000 3,600,000 3,627,000 3,655,000 3,682,000 3,709,000 3,737,000 3,765,000 3,765,000 3,765,000 3,765,000 3,765,000 3,765,000 3,765,000 3,765,000 Less: Capital Project (2,568,722)(3,000,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) Less: Operating Expenses 0 - - - - - - - - - - - - - - - - Less: Transfers Out 0 - - - - - - - - - - - - - - - - Total Expenditures (2,568,722)(3,000,000) (2,861,000) (3,400,000) (3,427,000) (3,455,000) (3,482,000) (3,509,000) (3,537,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) (3,565,000) Ladera Linda Initial Funding (5,338,000) Ladera Linda Annual Payment (45,800)(456,900)(455,900)(454,800)(453,800)(452,700)(451,500)(450,400)(449,200)(448,000)(446,800)(445,500)(444,200)(442,900)(441,500)(440,100) Replenishing CIP Fund Balance 0 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Operating revenues generated from LL General Fund Surplus at the end of the FY 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 American Rescue Plan Act (ARPA) Fundraiser for LL Donation for LL Total Fiscal Impact from LL 0 (5,183,800)(256,900)(255,900)(254,800)(253,800)(252,700)(251,500)(250,400)(249,200)(248,000)(246,800)(245,500)(244,200)(242,900)(241,500)(240,100) Ending Fund Balance 24,098,510 19,114,710 19,057,810 19,001,910 18,947,110 18,893,310 18,840,610 18,789,110 18,738,710 18,689,510 18,641,510 18,594,710 18,549,210 18,505,010 18,462,110 18,420,610 18,380,510 Council Reserve (5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000)(5,000,000) Excess Reserve 19,098,510 14,114,710 14,057,810 14,001,910 13,947,110 13,893,310 13,840,610 13,789,110 13,738,710 13,689,510 13,641,510 13,594,710 13,549,210 13,505,010 13,462,110 13,420,610 13,380,510 Estimated Ending Fund Balance 6/30 24,098,510 23,674,010 23,874,010 24,074,010 24,274,010 24,474,010 24,674,010 24,874,010 25,074,010 25,274,010 25,474,010 25,674,010 25,874,010 26,074,010 26,274,010 26,474,010 26,674,010 Changes in ending fund balance 0 (4,559,300)(4,816,200)(5,072,100)(5,326,900)(5,580,700)(5,833,400)(6,084,900)(6,335,300)(6,584,500)(6,832,500)(7,079,300)(7,324,800)(7,569,000)(7,811,900)(8,053,400)(8,293,500) % of change 0.00%-19.26%-20.17%-21.07%-21.94%-22.80%-23.64%-24.46%-25.27%-26.05%-26.82%-27.57%-28.31%-29.03%-29.73%-30.42%-31.09% E-17 $5,500,000 2.50%Loan or Lease Loan 0.30% 10/1/2021 Fiscal Year Ends June 30 First Interest Only Pmt Date 2/1/2022 First Principal Pmt Date 8/1/2022 10 Amortization Period 10 - - Payment Date Ending Principal Balance Principal Payment Interest Payment Total Principal & Interest Annual Fee Total Payment Total Payment Fiscal Year Ending June 30 1-Oct-2021 $5,500,000.00 1-Feb-2022 $45,833.33 $45,833.33 $45,833.33 $45,833.33 1-Aug-2022 $5,009,076.80 $490,923.20 $68,750.00 $559,673.20 $16,500.00 $576,173.20 1-Feb-2023 $62,613.46 $62,613.46 $62,613.46 $638,786.66 1-Aug-2023 $4,505,880.53 $503,196.28 $62,613.46 $565,809.74 $15,027.23 $580,836.97 1-Feb-2024 $56,323.51 $56,323.51 $56,323.51 $637,160.47 1-Aug-2024 $3,990,104.34 $515,776.18 $56,323.51 $572,099.69 $13,517.64 $585,617.33 1-Feb-2025 $49,876.30 $49,876.30 $49,876.30 $635,493.64 1-Aug-2025 $3,461,433.75 $528,670.59 $49,876.30 $578,546.89 $11,970.31 $590,517.21 1-Feb-2026 $43,267.92 $43,267.92 $43,267.92 $633,785.13 1-Aug-2026 $2,919,546.40 $541,887.35 $43,267.92 $585,155.28 $10,384.30 $595,539.58 1-Feb-2027 $36,494.33 $36,494.33 $36,494.33 $632,033.91 1-Aug-2027 $2,364,111.86 $555,434.54 $36,494.33 $591,928.87 $8,758.64 $600,687.51 1-Feb-2028 $29,551.40 $29,551.40 $29,551.40 $630,238.90 1-Aug-2028 $1,794,791.46 $569,320.40 $29,551.40 $598,871.80 $7,092.34 $605,964.13 1-Feb-2029 $22,434.89 $22,434.89 $22,434.89 $628,399.03 1-Aug-2029 $1,211,238.05 $583,553.41 $22,434.89 $605,988.30 $5,384.37 $611,372.68 1-Feb-2030 $15,140.48 $15,140.48 $15,140.48 $626,513.15 1-Aug-2030 $613,095.80 $598,142.25 $15,140.48 $613,282.72 $3,633.71 $616,916.44 1-Feb-2031 $7,663.70 $7,663.70 $7,663.70 $624,580.13 1-Aug-2031 $613,095.80 $7,663.70 $620,759.50 $1,839.29 $622,598.79 $622,598.79 $5,500,000.00 $761,315.31 $6,261,315.31 $94,107.84 $6,355,423.15 $6,355,423.15Total Payments: Applicant/Project Name Loan Amount Interest Rate Annual Fee Funding Date Loan Years City of Ranchos Palos Verdes - Ladera Park Note: The Interest Rate shown in this example has not been quoted or approved and represents an indictive rate based on similar loans. E-18 $5,500,000 2.50%Loan or Lease Loan 0.30% 10/1/2021 Fiscal Year Ends June 30 First Interest Only Pmt Date 2/1/2022 First Principal Pmt Date 8/1/2022 15 Amortization Period 15 - - Payment Date Ending Principal Balance Principal Payment Interest Payment Total Principal & Interest Annual Fee Total Payment Total Payment Fiscal Year Ending June 30 1-Oct-2021 $5,500,000.00 1-Feb-2022 $45,833.33 $45,833.33 $45,833.33 $45,833.33 1-Aug-2022 $5,193,284.49 $306,715.51 $68,750.00 $375,465.51 $16,500.00 $391,965.51 1-Feb-2023 $64,916.06 $64,916.06 $64,916.06 $456,881.56 1-Aug-2023 $4,878,901.10 $314,383.40 $64,916.06 $379,299.45 $15,579.85 $394,879.31 1-Feb-2024 $60,986.26 $60,986.26 $60,986.26 $455,865.57 1-Aug-2024 $4,556,658.11 $322,242.98 $60,986.26 $383,229.24 $14,636.70 $397,865.95 1-Feb-2025 $56,958.23 $56,958.23 $56,958.23 $454,824.17 1-Aug-2025 $4,226,359.06 $330,299.06 $56,958.23 $387,257.28 $13,669.97 $400,927.26 1-Feb-2026 $52,829.49 $52,829.49 $52,829.49 $453,756.74 1-Aug-2026 $3,887,802.53 $338,556.53 $52,829.49 $391,386.02 $12,679.08 $404,065.10 1-Feb-2027 $48,597.53 $48,597.53 $48,597.53 $452,662.63 1-Aug-2027 $3,540,782.08 $347,020.45 $48,597.53 $395,617.98 $11,663.41 $407,281.38 1-Feb-2028 $44,259.78 $44,259.78 $44,259.78 $451,541.16 1-Aug-2028 $3,185,086.13 $355,695.96 $44,259.78 $399,955.73 $10,622.35 $410,578.08 1-Feb-2029 $39,813.58 $39,813.58 $39,813.58 $450,391.66 1-Aug-2029 $2,820,497.77 $364,588.36 $39,813.58 $404,401.93 $9,555.26 $413,957.19 1-Feb-2030 $35,256.22 $35,256.22 $35,256.22 $449,213.41 1-Aug-2030 $2,446,794.71 $373,703.06 $35,256.22 $408,959.29 $8,461.49 $417,420.78 1-Feb-2031 $30,584.93 $30,584.93 $30,584.93 $448,005.71 1-Aug-2031 $2,063,749.07 $383,045.64 $30,584.93 $413,630.57 $7,340.38 $420,970.96 1-Feb-2032 $25,796.86 $25,796.86 $25,796.86 $446,767.82 1-Aug-2032 $1,671,127.28 $392,621.78 $25,796.86 $418,418.64 $6,191.25 $424,609.89 1-Feb-2033 $20,889.09 $20,889.09 $20,889.09 $445,498.98 1-Aug-2033 $1,268,689.96 $402,437.33 $20,889.09 $423,326.42 $5,013.38 $428,339.80 1-Feb-2034 $15,858.62 $15,858.62 $15,858.62 $444,198.42 1-Aug-2034 $856,191.70 $412,498.26 $15,858.62 $428,356.88 $3,806.07 $432,162.95 1-Feb-2035 $10,702.40 $10,702.40 $10,702.40 $442,865.35 1-Aug-2035 $433,380.98 $422,810.72 $10,702.40 $433,513.11 $2,568.58 $436,081.69 1-Feb-2036 $5,417.26 $5,417.26 $5,417.26 $441,498.95 1-Aug-2036 $433,380.98 $5,417.26 $438,798.25 $1,300.14 $440,098.39 $440,098.39 $5,500,000.00 $1,140,315.96 $6,640,315.96 $139,587.91 $6,779,903.87 $6,779,903.87 Funding Date Loan Years Total Payments: Applicant/Project Name City of Ranchos Palos Verdes - Ladera Park Loan Amount Interest Rate Annual Fee Note: The Interest Rate shown in this example has not been quoted or approved and represents an indictive rate based on similar loans. E-19 FINANCE ADVISORY COMMITTEE MEETING DATE: 04/22/2021 AGENDA REPORT AGENDA TITLE: Consideration and possible action to discuss and provide recommendations on the financing options for the Ladera Linda Community Center and Park Project. RECOMMENDED FINANCE ADVISORY COMMITTEE ACTION: 1. Discuss and provide recommendations on the financing options for the Ladera Linda Community Center and Park Project. FISCAL IMPACT: N/A Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Trang Nguyen, Director of Finance REVIEWED BY: Same as above APPROVED BY: Same as above ATTACHED SUPPORTING DOCUMENTS: A. City Council April 6, 2021 Staff Report (page A-1) B. Kosmont Transaction Services Presentation (page B-1) C. City Council April 12, 2021 Staff Report (page C-1) D. Debt Management Policy (page D-1) E. Sample Debt Schedule with iBank (page E -1) F. Sample Amortization Schedule for Bond (page F-1) BACKGROUND: On April 6, 2021, the City Council approved the Ladera Linda Community Center and Park project. The staff report for the April 6 meeting is attached (Attachment A). The summary of the approval are as follows: • Adopted Resolution No. 2021-XX upholding the Planning Commission- approved planning entitlements, with conditions of approval, consisting of Conditional Use Permit, Major Grading Permit, Variance and Site Plan Review application findings (planning entitlements) thereby approving the project. In its decision, certain conditions were modified including amending Condition No. 31 to add security roll-down gates above and around the bathroom sink area to fully enclose the bathroom during non-operational afterhours. E-20 • Directed Staff to proceed with the completion of construction documents and authorize advertisement of bids upon final completion of plans and specifications for the Ladera Linda Community Center and Park project. • Directed Staff to relocate and optimize handicap parking spaces closer to the building and to explore cost and effective ways to install exterior shutters over glass surfaces to provide necessary security. Based on the City Council directions on the Ladera Linda Community Center and Park project, the financing options for the project are presented tonight for the Finance Advisory Committee in accordance with FY 2020-21 Workplan No. 9c that states: Receive a presentation and make recommendations on the Ladera Linda Community Park and the associated financial implication. In line with this goal, on February 25, 2021, the FAC received a presentation from Kosmont Transaction Services (KTS) on the procurement and financing options for the project (Attachment B). Below is a summary of the procurement and financing options as presented. Procurement Options • Traditional o The City’s responsibility is from start to finish of the project. o Requires bidding out most components of the project. o May take longer to complete. o Flexible financing options. • Total Project Delivery o The City is not responsible for the project installation. o Guaranteed delivery. o Limited to lease payment. • Design-Build o The City’s responsibility is from start to finish of the project. o One contractor to design and build. o Streamline process to reduce the time to complete. o Flexible financing options. Due to the size of the project, the Public-Private Partnership (P3) model was not presented as a procurement option. A desirable P3 project for most developers would have to be in the range of $50 million or more. Moreover, since most of the design work has been completed, the project would be less desirable for a P3 developer. E-21 Financing Options • Current Resources o Cash reserves o Grants o Special revenues • Issue Securities o Loan o General Obligation Bonds – requires an affirmative vote of 2/3 of registered voters. o Lease Revenue Bonds – no voter requirement • Lease o Direct Lease – non-tax exempt, term of less than 30 years o Total Project Delivery – tax exempt, 30-year term As reported to the City Council on April 9, the current, all-in, estimated cost for the project is almost $15.7 million (Attachment A). The estimated fund balance of the Capital Infrastructure Program (CIP) Fund on June 30, 2021 is just under $24.1 million. After applying the City Council Reserve Policy of $5 million, the total excess reserve is almost $18.7 million. As discussed in the April 12, 2021 CIP Budget staff report (Attachment C), the projects on the 5-year capital improvement plan total almost $52 million with an annual revenue transferring from the General Fund ranges between $3 to $5 million over the next five years. Besides the CIP Fund, the City’s Quimby Fund can also be used for this project. Quimby Fund is funded by the developer fees or dedication of land for park and recreation purposes. The estimated fund balance for Quimby Fund at June 30, 2021 is just under $950,000. DISCUSSION: Evaluating Financing Options After years of project planning that included many community engagement and public meetings, on April 6, the City Council approved the Ladera Linda Community Center and Park project. Accordingly, if public financing is considered, the City would use the Debt Management Policy (Attachment D) for guidance. The policy was recommended by FAC and adopted by the City Council in June 2015. Based on the policy, the City will evaluate the use of debt in-lieu of pay-as-you-go financing based on the following criteria: 1. Current reserves or projected revenues are adequate to fund the project; 2. Proposed debt levels would have a deleterious effect on the City’s credit position or rating; and 3. Credit market conditions are unstable or present d ifficulty in marketing the proposed debt. E-22 Moreover, the policy outlines the following six factors favoring the use of debt: 1. Revenues are deemed to be stable and reliable enough to support the proposed debt at investment grade rating levels; 2. The nature of the financed project will support investment grade ratings: 3. Credit market conditions present favorable interest rates and demand for financing such as the City’s; 4. The proposed project is required by the state or federal government and present resources are insufficient or unavailable to fund the project; 5. The proposed project is immediately required to meet or relieve capacity needs and current resources are insufficient or unavailable; and 6. The estimated useful life of the asset to be financed is greater than 5 years. Financing Options As presented by KTS on February 25, the two procurement options available for this project are traditional and total lease delivery. Depending on the procurement option, the financing options may be different. For the purpose of this meeting, staff has included all the financing options available for discussion. Cash/Current Resources This option is to utilize existing cash resources to fund the entire project. At the end of FY 2020-21, the City is estimated to have over $24 million in the CIP Fund and less than a $1 million in the Quimby Fund. The CIP Fund is used for the City’s infrastructure projects with many competing projects that includes public right-of-way, expansion and rehabilitation of facilities and infrastructure. As stated earlier, over the next five years, the CIP projects are estimated to reach at $52 million while only anticipating between $3-$5 million in revenues. The Quimby Fund is restricted to park improvements and the only source of revenue is through development impact fees, dedications, and exactions. This option would almost deplete the fund balance and significantly reduce the available funding for other planned capital projects. Loan/Financing This option is a traditional financing approach which may be available through iBank. iBank is the California Infrastructure and Economic Development Bank. iBank’s mission is to provide financial assistance and support infrastructure and economic development in California. The Infrastructure State Revolving Fund (ISFR) Program is a low-cost public financing to state and local government. ISRF financing is available between $50,000 to $25 million with the loan terms up to a maximum of 30 years or the useful life of the project. A traditional infrastructure loan with iBank can take up to six months until the loan is finalized, and the fund is disbursed to the City. E-23 Below is a process timeline to obtain a ISFR loan with iBank. The first step is preliminary review where iBank’s credit committee reviews the City’s financials and project to ensure that the financing complies with their underwriting criteria. Once the credit committee approves the project, the City will receive an invitation to apply for the loan. At that time, staff will bring forward a resolution to the City Council to proceed with the loan application. iBank will work with staff to draft the resolution for the City Council and assist with the application and the preparation of the staff report for the iBank’s Board of Directors. Once the board approves the loan, their legal counsel will prepare the legal documents to fund the loan. Staff obtained a sample financing cost (Attachment E) from iBank. Based on the amortization schedule, for a debt of $15.6 million with a 10, 20, and 30 years term, the financing costs could range from $2.4 million up to $7.5 million and the annual payments range from $1.7 million down to $740,000 depending on the term. Lease Revenue Bonds This option is a traditional approach in which public agencies may raise capital by creating a lease/leaseback structure between the City and its public finance authority. This option does not have voter requirements like a general municipal obligation bond (see below) and there is a direct access to capital markets based on City’s credit. This process takes about 90 - 120 days and assumes the issuance will ultimately be a Lease Revenue Bond or a Certificate of Participation. This option will require a consultant such as KTS and a bond counsel to support the City with the process. The following are highlights of the process: Prelimary Review 2 to 4 weeks Receive an Invitation to apply Completed Application and Board Approval 60 to 90 days E-24 The preparation stage includes the City Council directing staff to move forward with preparing the authorization package, forming a bond counsel, drafting the transaction documents, determining the bond size, term, and repayment structure, and apply for bond rating. The preparation stage typically takes 45-60 days but could take as long as 90 days. Once the authorization package is ready, it goes back to the City Council for approval to proceed with the bond sales. The bond sales typically begin two weeks after approval and close within a day or two. Once the bond sale close s, it takes about two weeks for the legal filing and the funds disbursed to the City. KTS estimates the financing cost to issue a bond ranges between $4.2 million at 50% financing to $8.5 million at 100% financing. A sample amortization schedule is in attachment F. KTS will be invited to present a more detailed process to the City Council and the community if this option is selected as a recommendation to move forward with financing for the project. General Municipal Obligation Bond (GOB) This option is a tax levy to repay GOB issued to pay costs of procurement. This option requires an affirmative vote of 2/3 of the electorates. Since this option requires a tax levy on property owners to repay, this option is not considered a preferred option for this project. Financial Implications Project Costs As presented in the April 6 City Council staff report (Attachment A), the City has spent almost $550,000 and has an outstanding commitment of almost $300,000 on the Ladera Linda Community Center and Park project. Table 1 below illustrates a summary of the year-to-date expenditures and commitments. Preparation 45 -60 days Council Approval Bond Sales 15 -30 days E-25 Table 1: Year-to-Date Expenditures and Commitments The estimated total construction cost for both the community center building and park grounds is approximately $15.7 million. This cost includes the construction costs, escalation costs, and soft costs associated with the project. The escalation cost of approximately $550,000 is included in the estimate with a projected construction start date of December 2021. The projected escalation cost per month is approximately $31,000 for each month delay from the December 2021 start date. Table 2 below provides a summary of the total estimated project cost based on the project scope as approved by the Planning Commission. YEAR-TO-DATE EXPENDITURES Amount Funding Anderson Penna - Survey/Geotech 62,883$ 334 - Quimby Richard Fisher and Associates - Master Plan 184,045$ 334 - Quimby Priority One Environmental - Environmental Review 1,500$ 334 - Quimby Willdan - traffic study for PC meeting 10,175$ 101 - General Fund Michael Baker - CQEA analysis for PC meeting 3,599$ 101 - General Fund Johnson Favaro - Design 263,131$ 334 - Quimby Cal-Water - water pressure fire flow 525$ 334 - Quimby Kosmont - Financial services 23,277$ 101 - General Fund Total year-to-date expenditures 549,135$ OUTSTANDING COMMITMENTS Anderson Penna - Survey/Geotech -$ 334 - Quimby Johnson Favaro - Design 290,069$ 334 - Quimby Michael Baker - CQEA analysis for PC meeting 8,006$ 101 - General Fund Kosmont - Financial services 1,723$ 101 - General Fund Total year-to-date expenditures 299,798$ TOTAL YTD PROJECT COSTS 848,933$ YTD PROJECT COSTS BY FUND Amount 334 - Quimby 802,153$ 101 - General Fund 46,780$ TOTAL YTD PROJECT COSTS BY FUND 848,933$ E-26 Table 2: Total Estimated Construction Cost Annual Maintenance and Operation Staff estimates the operating and maintenance costs for the new facility and park to be less than $240,000. The estimate includes staffing, supplies, utilities, maintenance, playground equipment repair, and fuel modification. Due to the health emergency order and the shutdown of park facilities, staffing and supplies for FY 2020-21 is lower than a typical year. Staff anticipates that the new facility will require more staffing (as previously reported) and supplies. However, staff anticipates that the newer facility will not have the same maintenance needs and will more energy efficiency, so staff is projecting these to remain flat or just a modest increase. Table 3 below illustrates the increase of the operating and maintenance budget of the new facility to FY 2020 -21. HARD COSTS Amount Community Center (enclosed areas and covered areas) 5,700,000$ Sitework (demolition of existing buildings, site prep, etc.) 6,700,000$ Furnishings, fixtures, equipment (FFEs)300,000$ Sub-total of construction costs 12,700,000$ Construction contigency (5%)640,000$ Total estimated construction costs 13,340,000$ SOFT COSTS Construction management (5%)640,000$ Construction inspection (7.5%)950,000$ Permitting (2%)250,000$ Hazardous materials abatement (1%)130,000$ Engineering support during construction (3%)380,000$ Total estimated soft costs 2,350,000$ TOTAL ESTIMATED CONSTRUCTION COSTS 15,690,000$ E-27 Table 3: Proposed Operating & Maintenance Costs Capital Infrastructure Program (CIP) Fund Staff has prepared a 10-year forecast (Table 4) for CIP Fund using the following assumptions: • Transfer-in is capped at $5.5 million and does not include the reduction of Public Safety. • TOT transfer in from the General Fund is for the annual CIP projects. • Interest revenue is capped at $200K. Based on these factor, CIP Fund is projected to increase by approximately $1.8 million or 7.6% over the 10 years period. Table 5: CIP 10-year Fund Balance Forecast FY 2020-21 Proposed Increase Salaries & benefits 47,400 127,300 79,900 Supplies 1,000 6,500 5,500 Utilities 28,200 27,700 (500) Maintenance 115,000 76,800 (38,200) TOTAL 191,600 238,300 46,700 Capital Improvement FY 2020-21 Capital Improvement FY 2021-22 Capital Improvement FY 2022-23 Capital Improvement FY 2023-24 Capital Improvement FY 2024-25 Beginning Fund Balance 7/1 25,344,808 24,098,510 23,674,010 23,874,010 24,074,010 Add: Revenues 205,224 200,000 200,000 200,000 200,000 Add: Transfers in 1,117,200 2,075,500 2,975,000 4,105,000 5,010,000 Total Revenues 1,322,424 2,275,500 3,175,000 4,305,000 5,210,000 Less: Capital Project (2,568,722)(2,700,000) (2,975,000) (4,105,000) (5,010,000) Less: Operating Expenses 0 - - - - Less: Transfers Out 0 - - - - Total Expenditures (2,568,722)(2,700,000) (2,975,000) (4,105,000) (5,010,000) Estimated Ending Fund Balance 6/30 24,098,510 23,674,010 23,874,010 24,074,010 24,274,010 Reserve Policy 5,000,000 5,000,000 5,000,000 5,000,000 5,000,000 Excess Reserve 19,098,510 18,674,010 18,874,010 19,074,010 19,274,010 Capital Improvement FY 2025-26 Capital Improvement FY 2026-27 Capital Improvement FY 2027-28 Capital Improvement FY 2028-29 Capital Improvement FY 2029-30 Capital Improvement FY 2030-31 Beginning Fund Balance 7/1 24,274,010 24,474,010 24,674,010 24,874,010 25,074,010 25,274,010 Add: Revenues 200,000 200,000 200,000 200,000 200,000 200,000 Add: Transfers in 5,490,000 5,490,000 5,490,000 5,490,000 5,490,000 5,490,000 Total Revenues 5,690,000 5,690,000 5,690,000 5,690,000 5,690,000 5,690,000 Less: Capital Project (5,490,000) (5,490,000) (5,490,000) (5,490,000) (5,490,000) (5,490,000) Less: Operating Expenses - - - - - - Less: Transfers Out - - - - - - Total Expenditures (5,490,000) (5,490,000) (5,490,000) (5,490,000) (5,490,000) (5,490,000) Estimated Ending Fund Balance 6/30 24,474,010 24,674,010 24,874,010 25,074,010 25,274,010 25,474,010 Reserve Policy 5,000,000 5,000,000 5,000,000 5,000,000 5,000,000 5,000,000 Excess Reserve 19,474,010 19,674,010 19,874,010 20,074,010 20,274,010 20,474,010 E-28 Financing Costs Based on the estimated $15.7 million all-in cost of the project, and the projected operating and maintenance expenses of approximated $238,000 per year, the financing cost for the use of debt ranges between $2.4 million and $8.5 million depending the type, amount, and term of the debt. The table below summarizes the cost of financing the Ladera Linda Community Center and Park Project. Table 6: Summary of the Financing Costs CONCLUSION: As part of the FAC’s Work Plan and the City Council directions, Staff seeks FAC’s recommendations on the Ladera Linda Community Park’s financing options and the associated financial implications. The Committee’s recommendations and feedback will be reported to the City Council on May 18, 2021. 50% Financing 75% Financing 100% Financing 10-years Loan 2,426,291 20-years Loan 4,878,573 30-years Loan 7,506,127 30-years Bond 4,290,150 6,393,000 8,500,950 E-29 FINANCE ADVISORY COMMITTEE MEETING DATE: 05/06/2021 AGENDA REPORT AGENDA TITLE: Consideration and possible action to receive a report from the Finance Advisory Subcommittee on the financing option recommendations for the Ladera Linda Park and Community Center Project. RECOMMENDED FINANCE ADVISORY COMMITTEE ACTION: 1. Review, discuss, and approve the Finance Advisory Subcommittee’s recommendations for financing options on the Ladera Linda Park and Community Center Project and direct Staff to forward the recommendations to the City Council. FISCAL IMPACT: N/A Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Trang Nguyen, Director of Finance REVIEWED BY: George Lewis, Finance Advisory Committee Vice-Chair John MacAllister, Finance Advisory Committee Member Kevin Yourman, Finance Advisory Committee Member APPROVED BY: Same as above ATTACHED SUPPORTING DOCUMENTS: A. Finance Forecast (page A-1) B. iBank Amortization Schedule (page B-1) BACKGROUND: On April 22, 2021, the Finance Advisory Committee (FAC) held a special meeting to review and discuss the financing options for the Ladera Linda Park and Community Center Project. At the conclusion of the meeting, FAC formed two Subcommittees to review the financing options and operating financial impacts of the project. The Subcommittee Members for the financing options are Vice-Chair Lewis, Member MacAllister, and Member Yourman. The operating financial impacts of the project will be reviewed by Member Vlaco and Member Seal. Also, the Subcommittees were asked to bring back recommendations for FAC’s review and consideration at a special meeting on May 6, 2021. E-30 On April 27, 2021, Member MacAllister and Member Yourman met with Director Nguyen to discuss various options and ideas related to financing options. At the conclusion of the meeting, Member MacAllister and Member Yourman recommended the following: • Use up to 50% of the American Rescue Plan Act funding for the project. • Use any available funding from Quimby Fund for the project. • Use Capital Infrastructure Program (CIP) Fund to fund 50% of the project . balance • Finance 50% of the remaining balance with iBank. • Establish a plan to replenish the CIP Fund: o Private funding campaign o Interest earnings o General Fund surplus o Operating revenues from Ladera Linda The recommendations were shared with Vice-Chair Lewis on April 28, 2021 and Vice- Chair is in agreement with the recommendations across the board. The only suggestion that Vice-Chair Lewis suggested is to expand the fund balance change, which shows up as only one line in the annual report, to show all affected funds. By layering in first the expected $855,000 of annual repayment for the Park, and then imagining the Civic center, Vice-Chair Lewis suggested that this would show the reduction in the "change in net position" line, or basically the city's gain/loss line for the year. DISCUSSION: I. Financing Options Overview As presented at the April 6, 2021 City Council meeting, the total, all -in, estimated project cost is $15.7 million. The financing Subcommittee’s recommendation to fund the project includes a combination of restricted funds, CIP Fund, and a loan to finance the Ladera Linda Park and Community Center Project. There was an agreement amongst the Subcommittee Members that the use of restricted funds for the project should be considered before using CIP Fund and financing options. Currently, the two restricted funds that the City can consider are the anticipated funds from the upcoming American Rescue Plan Act (ARPA) and Quimby Fund. The estimated funding from ARPA for the City is approximately $7.8 million. The estimate d fund balance in Quimby Fund on June 30, 2021 is approximately $943,000. The financing Subcommittee is recommending using up to 50% of ARPA and all the available funds from the Quimby Fund for this project. Table 1 below is summary of the Subcommittee’s recommended financing options and a detailed explanation of the recommendations is provided next. E-31 Table 1: Ladera Linda Funding Summary American Rescue Plan Act (ARPA) The ARPA was approved by Congress and subsequently signed into law by President Biden on March 11, 2021. The relief package provides funding in several areas such as state and local aid, education, rental assistance, and transit. Based on the preliminary information that the City received from the Government Finance Officers Association and the League of California Cities, the City’s allocation under the state and local fiscal aid of $350 billion is estimated to be at $7.8 million. Based on the most current information, eligible uses may include: • Revenue replacement for the provision of government services to the extent the reduction in revenue due the COVID-19 public health emergency relative to revenues collected in the most recent fiscal year prior to the emergency. • Premium pay for essential workers • Assistance to small businesses, households, and hard-hit industries, and economic recovery • Investments in water, sewer and broadband infrastructure. The financing Subcommittee recommended using up to 50% of the allocation from the ARPA to fund the project based on the following reasons: • Project is ready and eligible for ARPA funds under revenue replacement. o Due to the sudden revenue loss from the Transient Occupancy Tax (TOT) over the last 18 months, the City may use ARPA funds for the purpose of revenue replacement. As illustrated on Table 2 below, the City’s estimated revenue loss is $4.7 million. o Since over 90% of the City’s TOT is transferred to the CIP to fund capital projects, it would be an opportunity to utilize this grant and replace the revenue loss in CIP caused by the pandemic. o Additionally, by applying for the revenue replacement section of the ARPA, the City may have more control on how funds can be u sed for capital projects. Whereas the other eligible uses are restricted for Funding Description Amount ARPA Fund $3,908,500 25% Quimby Fund 943,500 6% CIP Fund 5,338,000 34% iBank Loan 5,500,000 35% Total Funding $15,690,000 E-32 a specific purpose (i.e. infrastructure is listed for water, sewer, and broadband). • Timing. o The funding for ARPA must be spent by December of 2024. Based on the current staffing capacity and the scheduled projects from the 5-year CIP presented to the City Council on April 12, 2021, it would seem unattainable to schedule additional capital projects and spend more than 50% of the ARPA funds by 2024. Table 2: Estimated Revenue Losses Quimby Fund The Quimby Fund is a restricted fund for parks and recreation usage, therefore, the Ladera Linda project is an eligible use of funds . The revenue sources for this fund are from developer fees and dedication of land for park and recreation purposes. At the beginning of FY 2020-21, Quimby Fund has a fund balance of almost $1.1 million and projected to end the year with just over $943,000. The financing Subcommittee recommended to use all available funds in Quimby CIP Fund. Capital Infrastructure Program Fund The Capital Infrastructure Program (CIP) Fund is the primary funding source for the City’s capital projects. At the start of FY 2020-21, CIP has a fund balance of over $25 million. This fund is estimated to end the year with $24.1 million in fund balance. The City Council Reserve Policy requires CIP Fund to maintain a reserve of $5 million, leaving the fund with an excess reserve of over $19 million. Staff reviewed the total CIP projects funded by CIP and other Special Revenue Funds in the last three fiscal years. As shown in tables below, less than 50% of the budget for capital projects was spent by June 30. When reviewing the CIP fund only, less than 40% of budget was spent by June 30, with an average of $3.3 million spent from FY 2018-19 to FY 2020-21. TOTAL REVENUE LOSSES FY 18-19 Actuals FY 19-20 Actuals FY 19-20 Losses FY 20-21 YE Est. FY 20-21 Losses TOT (4,681,195) 5,645,497 3,909,799 (1,735,698) 2,700,000 (2,945,497) Sales tax (1,186,720) 2,661,181 2,163,342 (497,839) 1,972,300 (688,881) Permits & fees (718,290) 2,217,106 1,916,822 (300,284) 1,799,100 (418,006) Business License (280,418) 945,792 896,166 (49,626) 715,000 (230,792) Interest Earnings (214,586) 366,409 358,232 (8,177) 160,000 (206,409) Rental/Leases (702,382) 478,729 189,076 (289,653) 66,000 (412,729) PVIC Sales (174,708) 137,551 92,494 (45,057) 7,900 (129,651) TOTAL (7,958,299) 12,452,265 9,525,931 (2,926,334) 7,420,300 (5,031,965) E-33 Table 3a: FY 2018-19 CIP Actuals Table 3b: FY 2019-20 CIP Actuals FY 2018-19 FY 2018-19 FY 2018-19 % SPENT FUND FUND DESCRIPTION BUDGET REV. BUDGET ACTUAL REV. BUDGET 202 GAS TAX - - - 0.00% 211 1911 ACT STREET LIGHTING - 1,523,276 862,315 56.61% 212 BEAUTIFICATION - 405,585 378,754 93.38% 215 PROPOSITION C 500,000 1,100,000 639,011 58.09% 216 PROPOSITION A 500,000 500,000 44,108 8.82% 220 MEASURE R - 2,550,000 2,254,152 88.40% 225 ABALONE COVE SEWER DISTRICT - - - 0.00% 228 DONOR RESTRICTED CONTRIBUTION - 238,409 137,683 57.75% 310 CDBG - 361,683 193,586 53.52% 330 CAPITAL INFRASTRUCTURES PROJEC 7,105,100 8,424,151 3,291,424 39.07% 331 FEDERAL GRANTS - - - 0.00% 332 STATE GRANTS - 965,645 408,060 42.26% 334 QUIMBY PARK DEVELOPMENT - 1,026,436 145,474 14.17% 340 BICYCLE/PEDESTRIAN ACCESS - - - 0.00% TOTAL CIP 8,105,100 17,095,184 8,354,567 48.87% FY 2019-20 FY 2019-20 FY 2019-20 % SPENT FUND FUND DESCRIPTION BUDGET REV. BUDGET ACTUAL REV. BUDGET 202 GAS TAX 1,500,000 2,215,166 285,516 12.89% 211 1911 ACT STREET LIGHTING - 592,148 509,249 86.00% 212 BEAUTIFICATION - - - 0.00% 215 PROPOSITION C 640,000 1,111,401 698,806 62.88% 216 PROPOSITION A 450,000 1,155,267 458,736 39.71% 220 MEASURE R 700,000 1,256,006 72,167 5.75% 225 ABALONE COVE SEWER DISTRICT - 450,000 - 0.00% 228 DONOR RESTRICTED CONTRIBUTION - - - 0.00% 310 CDBG 150,600 346,095 211,806 61.20% 330 CAPITAL INFRASTRUCTURES PROJEC 9,917,000 13,012,768 4,652,908 35.76% 331 FEDERAL GRANTS - - - 0.00% 332 STATE GRANTS - 557,206 277,373 49.78% 334 QUIMBY PARK DEVELOPMENT - 846,624 545,813 64.47% 340 BICYCLE/PEDESTRIAN ACCESS - - - 0.00% TOTAL CIP 13,357,600 21,542,681 7,712,375 35.80% E-34 Table 3c: FY 2019-20 CIP Actuals Based on the next ten (10) year forecast for transfers from General Fund to CIP Fund, the average transfers is estimated at over $3.4 million from FY 2022 -23 to FY 2030-31 (Attachment A). The estimated transfer amount includes the estimated reduction of $2 million from the public safety increases. Therefore, the financing Subcommittee is comfortable with making the recommendation of using the about $5.3 million in fund balance in CIP to fund the Ladera Linda Park and Community Center Project. iBank Loan Process The Infrastructure State Revolving Fund (ISFR) Program with iBank is a low-cost public financing to state and local government. ISRF financing is available between $50,000 to $25 million with the loan terms up to a maximum of 30 years or the useful life of the project. FY 2020-21 FY 2020-21 FY 2020-21 YTD % SPENT FUND FUND DESCRIPTION BUDGET REV. BUDGET ACTUAL REV. BUDGET 202 GAS TAX - 1,899,490 1,619,127 85.24% 211 1911 ACT STREET LIGHTING 342,000 408,540 82,735 20.25% 212 BEAUTIFICATION - - - 0.00% 215 PROPOSITION C 945,000 950,379 2,694 0.28% 216 PROPOSITION A - 647,530 463,842 71.63% 220 MEASURE R 450,000 1,033,802 364,626 35.27% 225 ABALONE COVE SEWER DISTRICT - - - 0.00% 228 DONOR RESTRICTED CONTRIBUTION - - - 0.00% 310 CDBG 150,600 338,999 20,969 6.19% 330 CAPITAL INFRASTRUCTURES PROJEC 2,521,000 3,767,094 761,469 20.21% 331 FEDERAL GRANTS - - - 0.00% 332 STATE GRANTS - 220,826 49,208 22.28% 334 QUIMBY PARK DEVELOPMENT - 300,790 14,740 4.90% 340 BICYCLE/PEDESTRIAN ACCESS - - - 0.00% TOTAL CIP 4,408,600 9,567,448 3,379,410 35.32% E-35 Below is a process timeline to obtain a ISFR loan with iBank. The first step is preliminary review where iBank’s credit committee reviews the City’s financials and project to ensure that the financing complies with their underwriting criteria. Once the credit committee approves the project, the City will receive an invitation to apply for the loan. At that time, staff will bring forward a resolution to the City Council to proceed with the loan application. iBank will work with staff to draft the resolution for the City Council and assist with the application and the preparation of the staff report for the iBank’s Board of Directors. Once the board approves the loan, their legal counsel will prepare the legal documents to fund the loan. The table below summarized the financing costs and annual payment between the two terms. Table 4: iBank Financing Summary Description 10-year 15-year Annual payment $635,500 $452,000 Total interest 761,000 1.14 M Total service fees 94,100 139,600 Total payments 6.35M 6.78M Total costs of financing $855,000 $1.28M Prelimary Review 2 to 4 weeks Receive an Invitation to apply Completed Application and Board Approval 60 to 90 days E-36 Replenishing the CIP Fund Besides reviewing, evaluating, and providing a recommendation for the financing options for the Ladera Linda Park and Community Center Project, the financing Subcommittee also recommended the following options to replenish the use of CIP Fund: • Interest earnings from CIP’s fund balance. • Additional transfers from the General Fund from surplus. • Private funding. Interest Earnings Over the last two years, CIP Fund has earned almost $1 million in interest earnings. In FY 2018-19, the interest earned is $509,000 and $471,000 in FY 2019-20. For the current fiscal year, the estimated interest earnings are approximately $300,0000. The Subcommittee recommends using the interest earning to replenish the fund balance. Staff has taken a conservative approach and projected a flat $200,000 in interest earnings in the forecast model. This is to account for the timing of the disbursement of funds on the project compared to the interest earning from the loan disbursement and the ARPA allocation. The Subcommittee has also supported this estimate. Additional Transfers from the General Fund Typically, in December, the Finance Department brings forward a staff report on the City’s unaudited actuals of the previous fiscal year. This report highlights any surplus/deficit in the General Fund, revenues minus expenditures. Looking back at the last four years, the General Fund ended year with a surplus ranging from $223,000 to $1.9 million. The estimated surplus for FY 2020-21 as presented at the budget workshop is over $800,000. Table 9: Five-Year History of the General Fund Surplus *FY 2020-21 surplus is an estimate based on the mid-year report. Based on this information, the Subcommittee recommends transferring a portion of the surplus calculated at year-end to be transferred to the CIP Fund to replenish the fund balance. For the purpose of the model, Staff used $200,000 as the additional transfer from the General Fund, which is the lowest surplus over five years. The Subcommittee also supported this estimate. FY 2020-21 FY 2019-20 FY 2018-19 FY 2017-18 FY 2016-17 Revenues 27,978,100 29,499,005 31,911,048 30,682,619 29,449,666 Expenditures (27,122,785) (28,538,827) (29,201,461) (29,429,062) (27,692,362) PO Carry-forward - (167,175) (341,432) (715,164) (963,643) Continuing appropriation - (569,400) (400,000) (300,000) (415,000) Surplus 855,315 223,603 1,968,155 238,393 378,661 E-37 Private Funding Moreover, the Subcommittee also recommended the use of private funding to replenish the CIP fund balance. If the FAC approves, the recommendation of the Subcommittee is to look into working with a consultant to build a plan. The approach for this recommendation would be a more inclusive approach by having a funding program for the City’s various capital and beautification projects. The private funding will include a donor wall and naming rights to the buildings, parks, and playground. Any donation received will go directly to CIP Fund to replenish the shortfall of over $9 million. II. Financial Implications To assist the Subcommittee with the recommendations that are presented to FAC tonight, Staff has prepared various scenarios to review the financial impact on the City to undertake this project. The table below provides a summary of the scenarios that were discussed. The details of the different scenarios are available in attachment A. Table 5: Summary of Financial Impacts After meeting with Subcommittee Member MacAllister and Member Yourman , Staff was asked to prepare two additional scenarios based on the following: • Use up to 50% of the American Rescue Plan Act funding for the project. • Use any available funding from Quimby Fund for the project. • Use Capital Infrastructure Program (CIP) Fund for 50% of the remaining balance or approximately 34% of the total project cost. • Use iBank loan for the other 50% of the remaining balance or approximately 35% of the total project cost with a 10-years term. • Use iBank loan for the other 50% of the remaining balance or approximately 35% of the total project cost with a 15-years term. Scenario 1 Financing 100% Scenario 2 Financing 75% Scenario 3 Financing 50% Initial fund for Ladera Linda from CIP fund - 3,922,500 7,845,000 Average Annual payment 1,789,570 1,376,600 905,240 Use of CIP fund 16,952,700 12,823,000 8,109,400 Use of Quimby fund 943,000 943,000 943,000 Use of ARPA fund 5,410,100 4,161,600 2,739,700 Shortfall in replenishing CIP fund (10,285,600) (11,326,900) (11,957,700) Total increase/(decrease) in fund balance (8,638,100) (9,649,400) (10,246,000) % of increase/(decrease) in fund balance -33.92% -37.89% -40.24% E-38 Based on the directions, Table 6 is a summary of the financial impacts on the two additional scenarios that the financing Subcommittee requested. Table 6: Summary of Additional Financial Impacts Table 7 below is the revised total estimated project costs including the financing costs for 10 years and 15 years. In summary, the financing costs for the 10-year loan is estimated at $855,400, an increase of 5% to the original estimated project cost of $15.7 million. The annual payment for the 10-year loan is $635,540. The 15-year loan financing costs is estimated at $1.3 million or an 8% increase to the original estimated project cost. The annual payment for the 15-year loan is $452,000. Both options require the use of ARPA, Quimby fund, and the CIP Fund excess reserve. The 10 years option will reduce the CIP fund balance by approximately $8.7 million while the 15-years will reduce CIP fund balance by almost $8.3 million. Both options in scenario 4 will leave the CIP Fund with over $16 million in fund balance (Attachment A). Scenario 4 Financing 35% 10-year Scenario 4 Financing 35% 15-year Initial fund for Ladera Linda from CIP fund 5,338,000 5,338,000 Average Annual payment 635,540 452,000 Use of CIP fund 6,355,400 6,780,000 Use of Quimby fund 943,500 943,500 Use of ARPA fund 3,908,500 3,908,500 Shortfall in replenishing CIP fund (9,493,400) (9,918,000) Total increase/(decrease) in fund balance (8,658,900) (8,293,500) % of increase/(decrease) in fund balance -34.00% -31.09% E-39 Table 7: Revised Total Estimated Project Costs CONCLUSION: In summary, the financing Subcommittee and Director Nguyen met on April 27, 2021 to discuss the financing options for the Ladera Linda Park and Community Center Project. Based on the discussion amongst Subcommittee Member Lewis, Member MacAllister, and Member Yourman, and the additional analysis provided by Director Nguyen, the Subcommittee recommends the following: • Use up to 50% of the American Rescue Plan Act funding for the project. Currently estimated at $3.9 million. • Use any available funding from Quimby Fund for the project. Currently estimated at $943,000. • Use Capital Infrastructure Program (CIP) Fund to fund 50% of the remaining balance of the project. Currently estimated at use of CIP Fund is $5.3 million • Finance $5.5 million or 35% of the total project cost with iBank for 10-years. The Subcommittee and Staff are seeking for FAC’s feedback and recommendations on the financing options presented tonight and direct Staff to forward the agreed upon recommendations to the City Council. HARD COSTS 10-years Amount 15-years Amount Community Center (enclosed areas and covered areas) 5,700,000$ 5,700,000$ Sitework (demolition of existing buildings, site prep, etc.) 6,700,000 6,700,000 Furnishings, fixtures, equipment (FFEs)300,000 300,000 Sub-total of construction costs 12,700,000 12,700,000 Construction contigency (5%)640,000 640,000 Total estimated construction costs 13,340,000$ 13,340,000$ SOFT COSTS Construction management (5%)640,000 640,000 Construction inspection (7.5%)950,000 950,000 Permitting (2%)250,000 250,000 Hazardous materials abatement (1%)130,000 130,000 Engineering support during construction (3%)380,000 380,000 Total estimated soft costs 2,350,000$ 2,350,000$ FINANCING COSTS Interest 761,300 1,140,300 Annual fees 94,100 139,600 Total estimated financing costs 855,400$ 1,279,900$ TOTAL ESTIMATED PROJECT COSTS 16,545,400$ 16,969,900$ E-40 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 4:22 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Cost Here’s one I missed.       Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: cjruona@cox.net <cjruona@cox.net>   Sent: Monday, April 12, 2021 3:28 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Cost    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     I read in today’s Torrance Daily Breeze that the cost of the Ladera Linda Community Center,  recently approved by the city council is expected to be $15,700,000.  I expect by the time it is  built that figure will be considerably higher.  It always is.  The Rancho Palos Verdes budget for  fiscal year 2020‐2021 totaled $37,979,100 in expenditures.  That means the projected cost of  Ladera Linda will total 41.4% of this fiscal year’s expenditures.  This is out of line & extravagant  for a city that is supposed to take pride in following a conservative fiscal policy.  The city  council will now determine how to finance this.  With the recent reduction in tax revenues due  to Covid‐19 business closures this will take imagination and should be carefully scrutinized.  It  E-41 2 is disappointing that RPV’s commitment to fiscal prudence has been abandon.  Especially  troubling is councilman Ken Dyda’s vote in support of this effort.  He is a city founder who I  thought backed fiscal responsibility.  That is not possible with expensive projects like this.  I  have lived in RPV for 38 years & believe that the majority of people in our city do not know  anything about Ladera Linda, much less where it is located.  Accordingly, they will not visit the  site in the future & this will be an under used facility.  This is an inflated cash commitment for  few residents.  Finally, this is being sold as something for the east side residents since they do  not have a facility like this.  The east side community is basically along Palos Verdes Drive East,  primarily  between Marymount College to just beyond Miraleste Intermediate School.  Ladera  Linda is just off of Palos Verdes Drive South, in the south side of our city.      C. J. Ruona  Rancho Palos Verdes  E-42 1 Trang Nguyen From:Megan Barnes Sent:Wednesday, April 21, 2021 1:35 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Park Project Funding. May 4, 2021 City Council Meeting        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Ann Muscat <amuscat@cox.net>   Sent: Tuesday, April 20, 2021 2:17 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Park Project Funding. May 4, 2021 City Council Meeting    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Dear City Council Member:     It was with disappointment that we noted the Council’s approval of the Ladera Linda Park Project  as presented at the  last council meeting.  In our minds this represents a continued disregard of the surrounding community’s concerns  about the size of the project.  We write now to ask you to please consider your fiduciary responsibility to the city very  carefully before voting to approve the budget for the project as presented.    Due to the Covid pandemic this time is particularly fraught with uncertainty for the city and is likely to result in a  revenue shortfall.  Given the many financial commitments and aspirations of the city—the on‐going response to the  Portuguese Bend land slide, the desire for a new city hall, significant and growing commitments to RPVs CalPers  E-43 2 retirement program—just to name a few, it seems unwise to commit what could eventually be upwards of $20 million to  a community center project whose size and scope has been questioned from the beginning.    It is our understanding that the cost estimate provided by staff is not an all‐in cost that has been carefully priced out by  contractors.   It represents instead an estimate by the architect with some costs not yet priced out at all, for example  security such as lighting, fencing, gates, landscaping etc. will be determined later by consultants to recommend what  items to include and at what cost.  Thus the $15.7 million that you will be voting on is likely to represent a low end  figure.  As it is $5.7 million is budgeted for the building’s cost, which for a 6,790 square foot building represents  $839/square foot, a pretty rich budget for a modest neighborhood facility.  We would make the same comment about  the $6.7 million indicated for site work.    As the overall number increases it stands to reason that the pressure to rent the facility out will increase to recoup  the costs expended, which will result in the kind of traffic and congestion that many in the neighborhood have been  concerned about from the beginning.  We would ask the City Council to carefully consider the budget proposed and withhold approval until all the costs are  understood and a reasonable budget is established.  And as 25 year residents of the community we would ask you to do this understanding all of the other financial resources and commitments of the city at this time.    Thank you for your consideration of our concerns.    Ann Muscat  Jack Baldelli         E-44 1 Trang Nguyen From:Megan Barnes Sent:Wednesday, April 21, 2021 1:35 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Park Project Funding        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: kmc5140@aol.com <kmc5140@aol.com>   Sent: Tuesday, April 20, 2021 2:09 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Park Project Funding    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Date: April 20, 2021 To: City Council Meeting Re: Ladera Linda Park Project Funding E-45 2 My name is Kim McCarthy and I am a 8 year resident of Rancho Palos Verdes. I am writing this letter to recommend that the City Council reject staff’s recommendation to spend $15.7 million on the proposed redevelopment of the Ladera Linda Park. The City is presently facing a short fall in revenues as a result of the pandemic. This project could very well place the City in a shaky financial position given the city’s higher priority items. The highest priority being the large expenditure required to slow the Portuguese Bend landslide that is even now costing the city $1 million a year just to maintain PV Drive South. In addition the City is facing RPV's CALpers retirement plan cost at a present estimated of $25 million. Finally, of major concern is the increase in vehicle crimes that the city is presently experiencing. These do not even take into consideration the cost of a new city hall. What is of concern is that the cost estimate provided by staff does not reflect the true cost of the project and could ultimately approach $20 million. The architect used some algorithm to get a very rough idea for the total cost. There was never any actual breakdown for costs for the various items listed in security; lighting, fencing, gates, landscaping etc. The report states that they will hire consultants to recommend what items to include and at what cost. That tells you that the present cost is not the "all in" cost. The City Council should vote against the funding of the project until the Council establishes a target cost of the total project consistent with the present financial position of the city and in consideration to the funding of higher priority projects. Once the target is established staff should be required to provide the Council with a cost breakdown for everything to be included in this project within the target cost. Without accurate costs it's easy to anticipate the need to start "paying for itself" once it's open. What we do not want is for the City to find itself needing to encourage frequent rentals of the building and park by outside groups in order to pay for its upkeep after the fact. Until these steps are taken we recommend that the Council reject staff’s recommendation. Kim McCarthy 134 Seawall Road, RPV E-46 1 Trang Nguyen From:Megan Barnes Sent:Wednesday, April 21, 2021 1:34 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Letter of objection for the funding of the Ladera Linda Community Center Attachments:Ladera Linda community center rejection letter.docx        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Lori Barr <lmu95x2@yahoo.com>   Sent: Tuesday, April 20, 2021 2:39 PM  To: CC <CC@rpvca.gov>  Subject: Letter of objection for the funding of the Ladera Linda Community Center    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Dear Madam or Sir, Please find attached my letter rejecting the funding of the Ladera Linda community center. Thank you, Lori Barr 3678 Vigilance Drive E-47 May 4, 2021 City Council Meeting Ladera Linda Park Project Funding My name is Lori Barr, and I am a 7-year resident of the Ladera Linda community in Rancho Palos Verdes. I am writing this letter to strongly urge the City Council reject staff’s recommendation to spend $15.7 million on the proposed redevelopment of the Ladera Linda Park. The City is presently facing a shortfall in revenues as a result of the pandemic. This project could very well place the City in a shaky financial position given the city’s higher priority items. The highest priority being the large expenditure required to slow the Portuguese Bend landslide that is even now costing the city $1 million a year just t o maintain PV Drive South. In addition, the City is facing RPV's CALpers retirement plan cost at a present estimated of $25 million. Finally, of major concern is the increase in vehicle crimes that the city is presently experiencing. These do not even take into consideration the cost of a new city hall. What is of concern is that the cost estimate provided by staff does not reflect the true cost of the project and could ultimately approach $20 million. The architect used an algorithm to get a rough idea for the total cost. There was never any actual breakdown for costs for the various items listed in security; lighting, fencing, gates, landscaping etc. The report states that they will hire consultants to recommend what items to include and at what cost . That tells you that the present cost is not the "all in" cost. The City Council should vote AGAINST the funding of the project until the Council establishes a target cost of the total project consistent with the present financial position of the city a nd in consideration to the funding of higher priority projects. Once the target is established, staff should be required to provide the Council with a cost breakdown for everything to be included in this project within the target cost. Without accurate costs it's easy to anticipate the need to start "paying for itself" once it's open. What we do not want is for the City to find itself needing to encourage frequent rentals of the building and park by outside groups in order to pay for its upkeep after the fact. Until these steps are taken we recommend that the Council reject staff’s recommendation. ____Lori F Barr_________________________ Name ____3678 Vigilance Dr. RPV_______________ Address E-48 1 Trang Nguyen From:Megan Barnes Sent:Wednesday, April 21, 2021 1:35 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Project Attachments:Ladera Linda Letter.docx        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Michael Tocicki <michael@premierinservices.com>   Sent: Tuesday, April 20, 2021 12:50 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Project    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Hello     Please see attached letter.    Thank you          E-49 2   Best Regards, Michael A. Tocicki Executive General Adjuster PREMIER Insurance Services, LLC p  215-620-5649   f  619-639-1115  w  premierinservices.com   NEW YORK • LOS ANGELES • MIAMI • BOSTON No representative of Premier Insurance Services LLC (“Premier”), or any consultant retained on behalf of the insurer(s) working with “Premier”, has any authority either to bind the insurer(s) to coverage, or to interpret, waive, or alter any of the terms, conditions, or limitations of the policy. The insurer (s) reserves the right to make all decisions concerning coverage. For the avoidance of doubt, nothing that “Premier” communicates to you with respect to this matter constitutes any decision of any kind with respect to any coverage of any kind or an interpretation, waiver or alteration of any policy term, condition or limitation of any insurance policy.   E-50 May 4, 2021 City Council Meeting Ladera Linda Park Project Funding We, Michael & Denise Tocicki, are residents of Rancho Palos Verdes. We live on Phantom Drive. We are writing this letter to recommend that the City Council reject the staff’s recommendation to spend $15.7 million on the proposed redevelopment of the Ladera Linda Park. The City is presently facing a shortfall in revenues as a result of the pandemic. This project could very well place the City in a desperate financial position given the city’s higher priority items. The highest priority being the large expenditure required to slow the Portuguese Bend landslide that is even now costing the city $1 million a year just to maintain PV Drive South. In addition the City is facing RPV's CALpers retirement plan cost at a present estimated of $25 million. Finally, of major concern is the increase in vehicle crimes that the city is presently experiencing. These do not even take into consideration the cost of a new city hall. What is of concern is that the cost estimate provided by staff does not reflect the true cost of the project and could ultimately approach $20 million. The architect used some algorithm to get a very rough idea for the total cost. There was never any actual breakdown for costs for the various items listed in security; lighting, fencing, gates, landscaping etc. The report states that they will hire consultants to recommend what items to include and at what cost. That tells you that the present cost is not the "all in" cost. The City Council should vote against the funding of the project until the Council establishes a target cost of the total project consistent with the present financial position of the city and in consideration to the funding of higher priority projects. Once the target is established staff should be required to provide the Council with a cost breakdown for everything to be included in this project within the target cost. Without accurate costs it's easy to anticipate the need to start "paying for itself" once it's open. What we do not want is for the City to find itself needing to encourage frequent rentals of the building and park by outside groups in order to pay for its upkeep after the fact. Until these steps are taken we recommend that the Council reject staff’s recommendation. ________Michael & Denise Tocicki_____________________ Name Phantom Drive, Rancho Palos Verdes _________________________________ Address E-51 1 Trang Nguyen From:Megan Barnes Sent:Wednesday, April 21, 2021 1:34 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Construction Project Attachments:Ladera_Linda_project.docx        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: mark dehaan <madehaan@yahoo.com>   Sent: Wednesday, April 21, 2021 10:36 AM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Construction Project    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Please see the attached document regarding the funding of the Ladera Linda Project. Sincerely, Mark DeHaan E-52 2 17 year- Ladera Linda resident E-53 May 4, 2021 City Council Meeting Ladera Linda Park Project Funding My name is Mark DeHaan and I am a 17 year resident of Rancho Palos Verdes. I am writing this letter to recommend that the City Council reject staff’s recommendation to spend $15.7 million on the proposed redevelopment of the Ladera Linda Park. The City is presently facing a short fall in revenues as a result of the pandemic. This project could very well place the City in a shaky financial position given the city’s higher priority items. The highest priority being the large expenditure required to slow the Portuguese Bend landslide that is even now costing the city $1 million a year just to maintain PV Drive South. In addition the City is facing RPV's CALpers retirement plan cost at a present estimated of $25 million. Finally, of major concern is the increase in vehicle crimes that the city is presently experiencing. These do not even take into consideration the cost of a new city hall. What is of concern is that the cost estimate provided by staff does not reflect the true cost of the project and could ultimately approach $20 million. The architect used some algorithm to get a very rough idea for the total cost. There was never any actual breakdown for costs for the various items listed in security; lighting, fencing, gates, landscaping etc. The report states that they will hire consultants to recommend what items to include and at what cost. That tells you that the present cost is not the "all in" cost. The City Council should vote against the funding of the project until the Council establishes a target cost of the total project consistent with the present financial position of the city and in consideration to the funding of higher priority projects. Once the target is established staff should be required to provide the Council with a cost breakdown for everything to be included in this project within the target cost. Without accurate costs it's easy to anticipate the need to start "paying for itself" once it's open. What we do not want is for the City to find itself needing to encourage frequent rentals of the building and park by outside groups in order to pay for its upkeep after the fact. Until these steps are taken we recommend that the Council reject staff’s recommendation. Mark DeHaan Name 3511 Heroic Drive Address E-54 1 Trang Nguyen From:Megan Barnes Sent:Monday, April 26, 2021 8:58 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Park Project Funding        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: patricia stenehjem <patsyanntoo@yahoo.com>   Sent: Friday, April 23, 2021 7:32 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Park Project Funding    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Dear Mayor and City Council Members, My name is Patricia Stenehjem, and I am a 47 year resident of Rancho Palos Verdes. I am writing to recommend that the City Council reject staff's recommendation to spend $15.7 million on the proposed redevelopment of the Ladera Linda Park. The City is presently facing a shortfall in revenues as a result of the pandemic. This project could very well place the City in a shaky financial position, given the City's higher priority items, such as the large expenditure required to slow the Portuguese Bend landslide, and the ongoing maintenance of PV Drive South. In my opinion, the money earmarked for Ladera Linda would be better spent on upgrading and improving (or adding a new) city hall. E-55 2 What else is of concern is that the cost estimate provided by staff does not reflect the true cost of the project. There was never any breakdown for the various items listed in security: lighting, fencing,gates, landscaping, etc. The report states that they will hire consultants to recommend what items to include, and at what cost. The City Council should vote against the funding of the project until the Council establishes a target cost of the total project consistent with the present financial position of the City, and in consideration of the funding of higher priority projects. Once the target is established, staff should be required to provide the Council with a cost breakdown for everything to be included in this project within the target cost. Until these steps are taken, I urge the Council to reject staff's recommendation. Without accurate costs, it's also easy to anticipate the need for the Park to start "paying for itself" once it's open, which would likely have a detrimental impact on surrounding neighborhoods. Sincerely and respectfully, Patricia Stenehjem 32215 Searaven Drive E-56 1 Trang Nguyen From:Megan Barnes Sent:Monday, April 26, 2021 3:03 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: May 4th City Council Meeting - Ladera Linda Park Project Funding        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: The Costleys <billmelandlindsey@cox.net>   Sent: Monday, April 26, 2021 2:38 PM  To: CC <CC@rpvca.gov>  Subject: May 4th City Council Meeting ‐ Ladera Linda Park Project Funding    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Dear Mayor and City Council Members,    My name is Bill Costley and I am a 20 year resident of Rancho Palos Verdes.  I am writing to recommend that the City  Council reject the staff’s recommendation to spend $15.7 million on the proposed redevelopment of the Ladera Linda  Park.  The cost estimate provided by staff does not reflect the true cost of the project which will ultimately be closer to $18‐20 million.  The architect’s method to calculate costs only provided a rough idea of the total cost and there was never  any actual breakdown for costs associated with the various items listed for security, lighting, fencing, gates, landscaping, etc.  The report states that they will hire consultants to recommend what items to include and at what costs, which means the recommended $15.7 million number is far from the total costs for this project.  This is a ridiculous amount of money  E-57 2 that would be better spent on higher priority projects such as the Portuguese Bend Landslide abatement or the Civic Center Project as opposed to a lavish community center and park that the majority of residents oppose.    Thank you for your consideration.    Bill Costley  Phantom Drive    E-58 1 Trang Nguyen From:Megan Barnes Sent:Tuesday, April 27, 2021 5:00 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Project        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Colleen Teles <imcat58@gmail.com>   Sent: Tuesday, April 27, 2021 4:57 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Project    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     I am sad to learn about the cost to move forward with the Ladera Linda project, a project that will do little to improve  the overall quality of life in RPV.  Ladera Linda is so far away from a vast majority of residents that I believe it will be  underused, as it was in its former incarnation.  There were occasional classes held there, and of course, it is used  extensively as a soccer field, but I doubt that no matter what you do to the structure, it will not be utilized.   I'd say that now is not the time to move forward with such an expensive project.  I'm sure Covid had a fiscal impact on  our city; let's get our current affairs in order before committing to spending money on a project that nobody really cares  about.   Lots of new families are moving into RPV, especially the Silver Spur; Basswood, Crest areas.  Not too sure about the east  side.  If you must spend money,  why don't we do something to improve the quality of life here in RPV?  A few new  classrooms at a distant site isn't going to cut it.  Follow El Segundo's lead and create a great sports center, with a pool,  E-59 2 great baseball field, soccer field, etc.  Or follow Torrance's example and build something similar to Wilson Park, which is  a huge benefit to the community.  RPV is really lacking as far as nice parks go.    Our city is dying, as far as amenities go.  We lost our mall, the parks are average, we have no pool nor community sports  center.   The residents commonly refer to our city as the place to go to die, what with all the retirement communities  being built.  Why are you letting this happen?         Colleen Teles  5433 Whitefox Drive  Rancho Palos Verdes, CA  90275    E-60 1 Trang Nguyen From:Megan Barnes Sent:Tuesday, April 27, 2021 4:35 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: jdplatus <jdplatus@cox.net>   Sent: Tuesday, April 27, 2021 4:35 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.         Please vote NO on this project!  We love the idea of being a quiet, conservative community without extra traffic and  parking.   This costly project will cost us more in taxes.  We don’t Need this at all.  Save money, our security, and our quiet  residential  community.    Judy Platus   jdplatus@cox.net  E-61 2 live in RPV  E-62 1 Trang Nguyen From:Megan Barnes Sent:Tuesday, April 27, 2021 5:04 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: klenders@cox.net <klenders@cox.net>   Sent: Tuesday, April 27, 2021 5:03 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Dear City Council,  Please listen to your residents, WE DO NOT WANT A $15 MILLION LADERA LINDA IMPROVEMENT. We don't want it. WE  DON'T WANT IT. Nor do we want a shuttle bringing visitors to the Preserve. WE DON'T WANT IT. We don't want you  posting videos on Youtube or Instagram inviting people to come to the peninsula. They have found it just fine without  your help. We cannot accommodate them. The road is dangerous. It's moving, MOVING. It's an ACTIVE landslide. Visitors  not familiar with the area are dying; on the road, and in the water. How many more makeshift memorials will we have to  watch be erected? There isn't adequate parking. There aren't adequate sidewalks. Please come to my home and watch  E-63 2 them liter, honk, make illegal screeching u turns, park in front of "No Parking" signs, run, bike, pee in our bushes, vomit  on our curbs, etc. I'll put on a pot of coffee so you can stay awhile and watch the horror show...  Thank you for listening,  Kristen Lenders  E-64 1 Trang Nguyen From:Megan Barnes Sent:Tuesday, April 27, 2021 5:28 PM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Megan Barnes Senior Administrative Analyst mbarnes@rpvca.gov Phone - (310) 544-5226 City of Rancho Palos Verdes 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275 Website: www.rpvca.gov This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation. City Hall is open to the public during regular business hours. To help prevent the spread of COVID- 19, visitors are required to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate department and follow all posted directions during your visit. Walk-ups are limited to one person at a time. Please note that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on the City website. -----Original Message----- From: Anne Wold <annewold@cox.net> Sent: Tuesday, April 27, 2021 5:27 PM To: CC <CC@rpvca.gov> Subject: Ladera Linda CAUTION: This email originated from outside of the City of Rancho Palos Verdes. Our appreciation goes to the fiscally- E-65 2 sensible council members Ms. Ferraro and Mr Bradley, who have stated their position to not support a 15+ million dollar project in a quiet neighborhood. They are following their pre-election promises to listen to their constituents and to retain RPV’s sensible budget expenditures. They also recognize the surrounding neighborhood traffic which would be associated with such a large project. How do the remaining three council members plan to properly maintain our City when over 40% of the entire budget is going to overbuild a facility? Surely hope we would not have an emergency requiring funds in place. Extremely disappointing to hear the stuff coming out of our City Council these days. Anne & Richard Wold 50 year residents of RPV E-66 1 Trang Nguyen From:Megan Barnes Sent:Wednesday, April 28, 2021 9:26 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda project        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: alfrew@cox.net <alfrew@cox.net>   Sent: Wednesday, April 28, 2021 9:26 AM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda project    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Councilmembers,  Please do not approve such an expensive project ... re‐look at something more reasonable.  Thank you,  Allan Frew  RPV  E-67 1 Trang Nguyen From:Megan Barnes Sent:Wednesday, April 28, 2021 8:13 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda cost        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Bill Foster <billfost541@gmail.com>   Sent: Wednesday, April 28, 2021 2:21 AM  To: Ken Dyda <Ken.Dyda@rpvca.gov>; CC <CC@rpvca.gov>  Cc: martycrna@gmail.com  Subject: Ladera Linda cost    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     I was shocked after reading the PvP watch letter about the cost of the park project. I’m sure you have read it, but reread  it again. How can you honestly commit over40% of the cities yearly revenues for a questionable and unpopular project?  This is the most alarming part of the newsletter  The Cost E-68 2 The Torrance Daily Breeze has reported that the cost of this project is expected to be $15,700,000. By the time it is completed this number will be bigger than that…it always is. To give that large number context realize that the RPV budget for fiscal year 2020-2021 totaled $37,979,100 in expenditures. That means the projected cost of Ladera Linda is 41.4% of this fiscal year’s expenditures…for the entire city! PVP Watch believes this is out of line for a city that is supposed to pride itself in following a conservative fiscal policy. On May 4th the city council will determine how to finance this extravagance. With the recent reduction in tax revenues due to Covid-19 business closures this will take imagination and should be carefully scrutinized.   Bill Foster  32451 Searaven Dr  Rancho Palos Verdes  Sent from my iPad  E-69 1 Trang Nguyen From:Megan Barnes Sent:Friday, April 30, 2021 8:32 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda cost        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: MANSOOR ALYESHMERNI <alyesh@aol.com>   Sent: Friday, April 30, 2021 7:39 AM  To: grapecon@cox.net  Cc: Bill Foster <billfost541@gmail.com>; bill schurmer <sbschurm@yahoo.com>; Diane Mills <dianebmills@gmail.com>;  martycrna@gmail.com; CC <CC@rpvca.gov>; Jessica Vlaco <jvlaco@yahoo.com>; Mickey Rodich  <mickeyrodich@gmail.com> <mickeyrodich@gmail.com>; Amanda Wong <kiwi_esq@hotmail.com>; Donald Bell  <dwbrpv@gmail.com>  Subject: Re: Ladera Linda cost    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     It reminds me of the old adage figures don’t lie but liars do figure.    As mentioned above there are significant infrastructure needs much greater than what’s being done here at a very big  expense.     What can we do at this point? Request a meeting?  E-70 2     M.  "Elie" Alyeshmerni    Alyesh@aol.com  Cell 310 922‐7852  32443 Sea Raven Drive  Rancho Palos Verdes CA 90275    On Apr 30, 2021, at 5:43 AM, grapecon@cox.net wrote:     Cost per square foot less than George F. Canyon?????  Well, I guess if you only consider building cost,  and use the roof area instead of the usable square footage, you can get to that figure ($5.08M / 13,370  square feet).  But is that fair?  How about using usable square footage in the denominator ($5.08M /  ~6700 square feet = $760 per square foot), and now the cost per square foot is 150% of George F  Canyon.  A design with a significant amount of glass, laid out in linear fashion to provide more  unnecessary ocean views, is not going to be a cost effective construction.  Instead of putting in a modest  amount of glass, the city is instead putting a band aid on by adding large expensive security shutters,  which will only raise the cost further the more area of expensive glass they have to cover.     Regarding funding, how about applying ARPA funding to slide mitigation?  Seems like that is in greater  need of “rescue.”  Aren’t there other critical infrastructure needs, also?  Our sewer, water, electricity,  and gas lines are 50+ years old…..no concerns there?  How about undergrounding power lines to help  mitigate sources of wildfire? Even if there is good argument to use those funds for this park, that  doesn’t mean the city needs to spend $15.7M (or more) on this project.  How about $5M‐$7M for the  project?  Right size the building to 3 rooms, use more conventional construction, preserve existing large  foliage and only re‐landscape what is necessary, etc.  I am sure we could have a very nice and functional  facility for that budget.  And what about funding for the massive proposed Civic Center Project????     Also, the last line in Ara’s email is offensive in that it implies LL residents want nothing done:  “ the existing park grounds and building are a poor representation of Rancho Palos Verdes, and do not support an enhanced quality of life for our residents.” We are not arguing that nothing be done. We agree a new center and improving the grounds is a good idea. We just don’t agree that a building of the proposed size is needed or wanted by the community, nor all the amenities clearly designed to attract more visitors from greater distances. When we point out that opening up views in no way affects the functionality of the community center or park, we get no response….because there is no logical counter-argument. Does every major park in RPV have to have expansive views? Why not keep the “nestled in the trees” community feel currently at Ladera Linda?        From: Bill Foster <billfost541@gmail.com>   Sent: Thursday, April 29, 2021 10:21 PM  To: Gary Randall <grapecon@cox.net>; bill schurmer <sbschurm@yahoo.com>; Diane Mills  <dianebmills@gmail.com>; martycrna@gmail.com; CC <cc@rpvca.gov>; Jessica Vlaco  <jvlaco@yahoo.com>; Mickey Rodich <mickeyrodich@gmail.com>; Amanda Wong  <kiwi_esq@hotmail.com>; Donald Bell <dwbrpv@gmail.com>; Elie Alyeshmerni <Alyesh@aol.com>  Subject: Fwd: Ladera Linda cost     So guess the cost per square foot for Ladera Linda is less than George Canyon. Even though Ladera  Linda  will cost 15 million dollars more to build,So that makes it all right.  E-71 3 So we are building  this with reliance of the American Rescue Plan Act and other bailouts for funding to  build this . Does Ladera Linda need to be rescued? The city will be using an incredible amount of its  reserve and resources to build something  that according to the residents of RPV, we don’t want.  I really don’t understand the motivation of our city leaders for supporting this.   Bill Foster  32451 Searaven Dr  Sent from my iPad    Begin forwarded message:  From: Ara Mihranian <AraM@rpvca.gov>  Date: April 29, 2021 at 2:53:17 PM PDT  To: Bill Foster <billfost541@gmail.com>, Ken Dyda <Ken.Dyda@rpvca.gov>, CC  <CC@rpvca.gov>  Cc: martycrna@gmail.com  Subject: RE: Ladera Linda  cost     Mr. Foster,     The City Council is in receipt of your email expressing your concerns regarding the Ladera Linda Community Center and Park Project. Your email will be provided to the City Council as part of the May 18 Staff Report. Please note that the City Council will not be considering project budget and financing alternatives on May 4, but rather on May 18.    I would like to take this opportunity to highlight information on this project taken from the April 6, 2021 City Council Staff Report on the City’s website at the following link:    https://rpv.granicus.com/GeneratedAgendaViewer.php?view_id=5&clip_id =3900    As you may know, in the 1960s, the PVPUSD developed the project site into the Ladera Linda Elementary school. The school operated until 1980, when the City purchased the property and officially opened the park in 1982. From 1993 to 2011, a Montessori School leased several classrooms on the site. Since 2011, the community center and park has been exclusively used for park recreation purposes.    In 2013, the City Council commissioned an engineering firm to assess the condition of all its public facilities, including Ladera Linda. That assessment scored the Ladera Linda buildings as an “F” noting that the following:    • Buildings/systems are at end of useful life: facing significant repair and renovation costs  • Inefficient systems: Increased on-going utility costs and maintenance   • Building area is larger than needed and therefore more costly to maintain  E-72 4 • Code compliance – any renovation triggers accessibility and fire/life safety upgrades to site and buildings  • Complex array of buildings creates nooks and crannies, numerous blind spots and insecure site areas.    I am highlighting the above because it indicates that the existing buildings are, among other things, essentially a financial liability for the City. To that point, in 2016, the then-City Council proceeded to develop a master plan for the property. Over the next few years, the project plans for the master plan were reviewed extensively by the public including the adjacent neighborhoods at several public workshops and meetings. The final design was presented and accepted by the City Council in August 2019.    In terms of the community, our city prides itself on acres of protected open space. Ladera Linda is the only park with a community center in the eastern portion of the City and is almost 5 miles east of PVIC and 7.5 miles east of Hesse Park. There are very few City parks and no City community centers in that part of RPV.     During public workshops and meetings with adjacent HOAs, many residents noted that they were not inclined to drive to Hesse Park to attend classes; they would prefer to attend classes in their local neighborhood park. Ladera Linda is also the only City facility with a large multi-purpose room located east of the landslide, one that could serve as an evacuation center in case of a natural disaster.    There has recently been a comparison of the City’s estimated $15.7 million Ladera Linda project to the Rolling Hills Estates’ George F. Canyon Nature Center project with a reported $1.7 million price tag. The April 6, 2021 Staff Report addressed this issue in depth. These are very different projects as shown in the following staff report excerpt:    Table 7. Comparison between the George F Canyon Nature Center and the Ladera Linda Community Center    <image001.png>   This table compares the building size, structural framed area, and estimated costs without soft costs and contingency for both buildings. This apples-to-apples comparison shows that the cost per square foot of the George F. Canyon Nature Center is actually higher than the Ladera Linda Community Center. Moreover, the Ladera Linda project is a total rebuild of approximately 7 acres of the total 11-acre site.    In considering the breadth and scope of a City project such as Ladera Linda, it is important to understand municipal budgeting. In simple terms, the City’s budget is an operational plan on what is expected to be spent during the year to deliver services to the community. That budget number also represents the cash outflow related to the delivery of the services. Ladera Linda is a capital project, and all capital projects are expended over the life of the asset, not in the year or years that it was built and is E-73 5 therefore not considered an operating expense. That said, to construct a capital project in government, you need to understand the City’s cash flow. At the end of March 2021, the City has a cash balance of $64.1 million in all of its funds (i.e. General Fund, CIP, Gas Tax, CDBG, Prop A, Prop C, etc.). However, because this is a capital project, not affecting general operations, the cost would be borne by the Capital Infrastructure Program (CIP) Fund which has a cash balance of $25.5 million at the end of March 2021 (the General Fund which supports services has a cash balance of $22.8 million at the end of March 2021).    There are multiple ways the City could fund this project without impacting operations or services. Based on the estimated project cost of $15.7 million, the City’s Finance Advisory Committee is currently working on evaluating different financing options for this project. One option currently being considered is using a mixture of the American Rescue Plan Act (ARPA) funding, Quimby Fund, CIP Fund, and financing. This option would reduce the use of general operations funds so services are not impacted nor taxes raised (which is not even under consideration). The City has an estimated allocation of $7.8 million from the ARPA and just under $1 million available from Quimby Fund.     The point in providing this information is to understand that the existing park and community center are a valuable City asset that needs to be maintained similar to other City assets, like roads, trails, and critical infrastructure. If not maintained, the cost to the City may likely exceed the estimated project cost in the long term. Lastly, the existing park grounds and building are a poor representation of Rancho Palos Verdes, and do not support an enhanced quality of life for our residents.     I hope this has been helpful. Please feel free to reach out to me with any follow-up questions.    Ara            Ara Michael Mihranian  City Manager  ___________________________________    <image002.jpg> 30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  310-544-5202 (telephone)  310-544-5293 (fax)  aram@rpvca.gov  www.rpvca.gov        E-74 6  Do you really need to print this e-mail?    This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.    <image003.png>  <image004.png>          <image005.png>    From: Bill Foster <billfost541@gmail.com>   Sent: Wednesday, April 28, 2021 2:21 AM  To: Ken Dyda <Ken.Dyda@rpvca.gov>; CC <CC@rpvca.gov>  Cc: martycrna@gmail.com  Subject: Ladera Linda cost     CAUTION: This email originated from outside of the City of Rancho Palos Verdes.      I was shocked after reading the PvP watch letter about the cost of the park project. I’m  sure you have read it, but reread it again. How can you honestly commit over40% of the  cities yearly revenues for a questionable and unpopular project?   This is the most alarming part of the newsletter  The Cost  The Torrance Daily Breeze has reported that the cost of this project is expected to be $15,700,000. By the time it is completed this number will be bigger than that…it always is. T give that large number context realize that the RPV budget for fiscal year 2020-2021 totaled $37,979,100 in expenditures. That means the projected cost of Ladera Linda 41.4% of this fiscal year’s expenditures…for the entire city! PVP Watch believes this is out of line for a city that is supposed to pride itself in following a conservative fiscal policy On May 4th the city council will determine how to finance this extravagance. With the recent reduction in tax revenues due t Covid-19 business closures this will take imagination and should be carefully scrutinized.    Bill Foster  32451 Searaven Dr  Rancho Palos Verdes  Sent from my iPad  E-75 1 Trang Nguyen From:Megan Barnes Sent:Friday, April 30, 2021 8:32 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda cost        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: grapecon@cox.net <grapecon@cox.net>   Sent: Friday, April 30, 2021 5:44 AM  To: 'Bill Foster' <billfost541@gmail.com>; 'bill schurmer' <sbschurm@yahoo.com>; 'Diane Mills'  <dianebmills@gmail.com>; martycrna@gmail.com; CC <CC@rpvca.gov>; 'Jessica Vlaco' <jvlaco@yahoo.com>; Mickey  Rodich <mickeyrodich@gmail.com> <mickeyrodich@gmail.com>; 'Amanda Wong' <kiwi_esq@hotmail.com>; 'Donald  Bell' <dwbrpv@gmail.com>; 'Elie Alyeshmerni' <Alyesh@aol.com>  Subject: RE: Ladera Linda cost    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Cost per square foot less than George F. Canyon?????  Well, I guess if you only consider building cost, and use the roof  area instead of the usable square footage, you can get to that figure ($5.08M / 13,370 square feet).  But is that  fair?  How about using usable square footage in the denominator ($5.08M / ~6700 square feet = $760 per square foot),  and now the cost per square foot is 150% of George F Canyon.  A design with a significant amount of glass, laid out in  linear fashion to provide more unnecessary ocean views, is not going to be a cost effective construction.  Instead of  putting in a modest amount of glass, the city is instead putting a band aid on by adding large expensive security shutters,  which will only raise the cost further the more area of expensive glass they have to cover.  E-76 2   Regarding funding, how about applying ARPA funding to slide mitigation?  Seems like that is in greater need of  “rescue.”  Aren’t there other critical infrastructure needs, also?  Our sewer, water, electricity, and gas lines are 50+ years  old…..no concerns there?  How about undergrounding power lines to help mitigate sources of wildfire? Even if there is  good argument to use those funds for this park, that doesn’t mean the city needs to spend $15.7M (or more) on this  project.  How about $5M‐$7M for the project?  Right size the building to 3 rooms, use more conventional construction,  preserve existing large foliage and only re‐landscape what is necessary, etc.  I am sure we could have a very nice and  functional facility for that budget.  And what about funding for the massive proposed Civic Center Project????    Also, the last line in Ara’s email is offensive in that it implies LL residents want nothing done:  “ the existing park grounds and building are a poor representation of Rancho Palos Verdes, and do not support an enhanced quality of life for our residents.” We are not arguing that nothing be done. We agree a new center and improving the grounds is a good idea. We just don’t agree that a building of the proposed size is needed or wanted by the community, nor all the amenities clearly designed to attract more visitors from greater distances. When we point out that opening up views in no way affects the functionality of the community center or park, we get no response….because there is no logical counter-argument. Does every major park in RPV have to have expansive views? Why not keep the “nestled in the trees” community feel currently at Ladera Linda?     From: Bill Foster <billfost541@gmail.com>   Sent: Thursday, April 29, 2021 10:21 PM  To: Gary Randall <grapecon@cox.net>; bill schurmer <sbschurm@yahoo.com>; Diane Mills <dianebmills@gmail.com>;  martycrna@gmail.com; CC <cc@rpvca.gov>; Jessica Vlaco <jvlaco@yahoo.com>; Mickey Rodich  <mickeyrodich@gmail.com>; Amanda Wong <kiwi_esq@hotmail.com>; Donald Bell <dwbrpv@gmail.com>; Elie  Alyeshmerni <Alyesh@aol.com>  Subject: Fwd: Ladera Linda cost    So guess the cost per square foot for Ladera Linda is less than George Canyon. Even though Ladera Linda  will cost 15  million dollars more to build,So that makes it all right.  So we are building  this with reliance of the American Rescue Plan Act and other bailouts for funding to build this . Does  Ladera Linda need to be rescued? The city will be using an incredible amount of its reserve and resources to build  something  that according to the residents of RPV, we don’t want.  I really don’t understand the motivation of our city leaders for supporting this.   Bill Foster  32451 Searaven Dr  Sent from my iPad    Begin forwarded message:  From: Ara Mihranian <AraM@rpvca.gov>  Date: April 29, 2021 at 2:53:17 PM PDT  To: Bill Foster <billfost541@gmail.com>, Ken Dyda <Ken.Dyda@rpvca.gov>, CC <CC@rpvca.gov>  Cc: martycrna@gmail.com  Subject: RE: Ladera Linda  cost     Mr. Foster,     The City Council is in receipt of your email expressing your concerns regarding the Ladera Linda Community Center and Park Project. Your email will be provided to the City Council as part of the May 18 Staff Report. Please note that the City Council will E-77 3 not be considering project budget and financing alternatives on May 4, but rather on May 18.    I would like to take this opportunity to highlight information on this project taken from the April 6, 2021 City Council Staff Report on the City’s website at the following link:    https://rpv.granicus.com/GeneratedAgendaViewer.php?view_id=5&clip_id=3900    As you may know, in the 1960s, the PVPUSD developed the project site into the Ladera Linda Elementary school. The school operated until 1980, when the City purchased the property and officially opened the park in 1982. From 1993 to 2011, a Montessori School leased several classrooms on the site. Since 2011, the community center and park has been exclusively used for park recreation purposes.    In 2013, the City Council commissioned an engineering firm to assess the condition of all its public facilities, including Ladera Linda. That assessment scored the Ladera Linda buildings as an “F” noting that the following:    • Buildings/systems are at end of useful life: facing significant repair and renovation costs  • Inefficient systems: Increased on-going utility costs and maintenance   • Building area is larger than needed and therefore more costly to maintain  • Code compliance – any renovation triggers accessibility and fire/life safety upgrades to site and buildings  • Complex array of buildings creates nooks and crannies, numerous blind spots and insecure site areas.    I am highlighting the above because it indicates that the existing buildings are, among other things, essentially a financial liability for the City. To that point, in 2016, the then- City Council proceeded to develop a master plan for the property. Over the next few years, the project plans for the master plan were reviewed extensively by the public including the adjacent neighborhoods at several public workshops and meetings. The final design was presented and accepted by the City Council in August 2019.    In terms of the community, our city prides itself on acres of protected open space. Ladera Linda is the only park with a community center in the eastern portion of the City and is almost 5 miles east of PVIC and 7.5 miles east of Hesse Park. There are very few City parks and no City community centers in that part of RPV.     During public workshops and meetings with adjacent HOAs, many residents noted that they were not inclined to drive to Hesse Park to attend classes; they would prefer to attend classes in their local neighborhood park. Ladera Linda is also the only City facility with a large multi-purpose room located east of the landslide, one that could serve as an evacuation center in case of a natural disaster.    There has recently been a comparison of the City’s estimated $15.7 million Ladera Linda project to the Rolling Hills Estates’ George F. Canyon Nature Center project with a reported $1.7 million price tag. The April 6, 2021 Staff Report addressed this issue in depth. These are very different projects as shown in the following staff report excerpt:    E-78 4 Table 7. Comparison between the George F Canyon Nature Center and the Ladera Linda Community Center        This table compares the building size, structural framed area, and estimated costs without soft costs and contingency for both buildings. This apples-to-apples comparison shows that the cost per square foot of the George F. Canyon Nature Center is actually higher than the Ladera Linda Community Center. Moreover, the Ladera Linda project is a total rebuild of approximately 7 acres of the total 11-acre site.    In considering the breadth and scope of a City project such as Ladera Linda, it is important to understand municipal budgeting. In simple terms, the City’s budget is an operational plan on what is expected to be spent during the year to deliver services to the community. That budget number also represents the cash outflow related to the delivery of the services. Ladera Linda is a capital project, and all capital projects are expended over the life of the asset, not in the year or years that it was built and is therefore not considered an operating expense. That said, to construct a capital project in government, you need to understand the City’s cash flow. At the end of March 2021, the City has a cash balance of $64.1 million in all of its funds (i.e. General Fund, CIP, Gas Tax, CDBG, Prop A, Prop C, etc.). However, because this is a capital project, not affecting general operations, the cost would be borne by the Capital Infrastructure Program (CIP) Fund which has a cash balance of $25.5 million at the end of March 2021 (the General Fund which supports services has a cash balance of $22.8 million at the end of March 2021).    There are multiple ways the City could fund this project without impacting operations or services. Based on the estimated project cost of $15.7 million, the City’s Finance Advisory Committee is currently working on evaluating different financing options for this project. One option currently being considered is using a mixture of the American Rescue Plan Act (ARPA) funding, Quimby Fund, CIP Fund, and financing. This option would reduce the use of general operations funds so services are not impacted nor taxes raised (which is not even under consideration). The City has an estimated allocation of $7.8 million from the ARPA and just under $1 million available from Quimby Fund.     The point in providing this information is to understand that the existing park and community center are a valuable City asset that needs to be maintained similar to other City assets, like roads, trails, and critical infrastructure. If not maintained, the cost to the City may likely exceed the estimated project cost in the long term. Lastly, the existing park grounds and building are a poor representation of Rancho Palos Verdes, and do not support an enhanced quality of life for our residents.     E-79 5 I hope this has been helpful. Please feel free to reach out to me with any follow-up questions.    Ara            Ara Michael Mihranian  City Manager  ___________________________________      30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  310-544-5202 (telephone)  310-544-5293 (fax)  aram@rpvca.gov  www.rpvca.gov         Do you really need to print this e-mail?    This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.                From: Bill Foster <billfost541@gmail.com>   Sent: Wednesday, April 28, 2021 2:21 AM  To: Ken Dyda <Ken.Dyda@rpvca.gov>; CC <CC@rpvca.gov>  Cc: martycrna@gmail.com  Subject: Ladera Linda cost     CAUTION: This email originated from outside of the City of Rancho Palos Verdes.      E-80 6 I was shocked after reading the PvP watch letter about the cost of the park project. I’m sure you have  read it, but reread it again. How can you honestly commit over40% of the cities yearly revenues for a  questionable and unpopular project?   This is the most alarming part of the newsletter  The Cost  The Torrance Daily Breeze has reported that the cost of this project is expected to be $15,700,000. By the time it is completed this number will be bigger than that…it always is. To give that large number context realize that the RPV budget for fiscal year 2020-2021 totaled $37,979,100 in expenditures. That means the projected cost of Ladera Linda is 41.4% of this fiscal year’s expenditures…for the entire city! PVP Watch believes this is out of line for a city that is supposed to pride itself in following a conservative fiscal policy.  On May 4th the city council will determine how to finance this extravagance. With the recent reduction in tax revenues due to Covid-19 business closures this will take imagination and should be carefully scrutinized.    Bill Foster  32451 Searaven Dr  Rancho Palos Verdes  Sent from my iPad  E-81 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 3, 2021 11:21 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Traffic signal Megan Barnes Senior Administrative Analyst mbarnes@rpvca.gov Phone - (310) 544-5226 City of Rancho Palos Verdes 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275 Website: www.rpvca.gov This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation. City Hall is open to the public during regular business hours. To help prevent the spread of COVID- 19, visitors are required to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate department and follow all posted directions during your visit. Walk-ups are limited to one person at a time. Please note that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on the City website. -----Original Message----- From: Irene Henrikson <irene.henrikson@cox.net> Sent: Saturday, May 1, 2021 10:19 AM To: CC <CC@rpvca.gov> Subject: Traffic signal CAUTION: This email originated from outside of the City of Rancho Palos Verdes. E-82 2 If you are spending millions(where is the money coming from?) on the Ladera Linda Park surely you can install a traffic signal so drivers don’t have to wait ten minutes to turn left onto PV south. Just a travesty for residents! Irene and Paul Henrikson 32404 Searaven Dr E-83 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 3, 2021 11:20 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: WHAT TO DO WITH LADERA LINDA?        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: rolo15@aol.com <rolo15@aol.com>   Sent: Sunday, May 2, 2021 10:29 AM  To: CC <CC@rpvca.gov>; Ken Dyda <Ken.Dyda@rpvca.gov>; rolo15@aol.com  Subject: WHAT TO DO WITH LADERA LINDA?    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     To: RPV City Council: May 2, 2021 This is to state my opposition to the proposed development at Ladera Linda. If something needs to be done with Ladera Linda piece of land, make it a grassy area with a couple of teeter-totters that kids could enjoy and perhaps an obstacle course for skate boarding teens. If there is a good view, we can enjoy it without tourists’ presence. E-84 2 Palos Verdes Peninsula’s charm depends on being a quiet out-of-the -way village on the edge of a metropolis, not readily accessible or inviting. We are happy as we are. Local popular meetings rarely exceed fifty people and are easily accommodated by the existing conference rooms at the library or Hesse Park. There is no need for a Palos Verdes Tajh Mahal with more auditoriums and numerous bathrooms to support some non-existent crowds. Let us not build something that will need merchandising to tourist trade to justify its existence. I am especially upset at Councilman Dyda’s support of the project. He promised low-density land use and minimum taxes when he was a member of the first city council in 1973. The fifteen million cost of the project (sure to grow as project costs do), and perhaps twice as much if paid by a bond, works out close to at least $400 for every man, woman, and child on RPV. Let us remember Tomas Paine wisdom: ”Government, even in its best state, is but a necessary evil; in its worst state, an intolerable one”. Spending peoples’ money without their support is surely not the “best state”. Roland Ilsen 6847 Abbottswood Dr. E-85 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:53 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Barry Cossette <BarryBJC007@hotmail.com>   Sent: Friday, May 7, 2021 11:46 AM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     As a 23-year RPV resident now retired, I fail to see the necessity for such a large facility in an area not designed to handle the influx of people. We have already seen the mess the Sunday hikers from all over LA County are making in our traffic and neighborhoods; this will add more messed up neighborhoods to the list. Barry Cossette Armaga Spring Rd E-86 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:51 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Community Center Project        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Susan's Email <rpvbeckman@cox.net>   Sent: Friday, May 7, 2021 5:29 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Community Center Project    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.       City Council Members,      We have lived in RPV for over 40 years in the PV Drive South area. We strongly oppose the dollar amount and the size  of the proposed Ladera Linda project.  While we do not live in the immediate neighborhood we feel this project is not  good for those neighbors.  The increased traffic and pollution alone will be unacceptable.      We hope that you will reconsider your vote to build the project as proposed at this time.    John and Susan Beckman  E-87 2 1 Packet Road  RPV, Ca  E-88 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:52 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda project.        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Greg Teles <docteles@gmail.com>   Sent: Friday, May 7, 2021 11:54 AM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda project.    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     In this climate of COVID and stressful conditions,  I strongly disagree with going forward with this exorbitant project.     In my opinion, this is reckless regard to fiscal responsibility.  This needs to stop now.  Going forward with this will hurt  our city.      I strongly suggest you vote NO on this moving forward.          E-89 2 ‐‐         Thank you.    Greg Teles  All South Bay Footcare  23365 Hawthorne Blvd., Suite 101  Torrance, CA  90505  310‐326‐0202  E-90 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:52 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Please vote no on the Ladera Linda Project        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: George Walker <george@walker‐g.com>   Sent: Friday, May 7, 2021 2:01 PM  To: CC <CC@rpvca.gov>  Subject: Please vote no on the Ladera Linda Project    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Council Members    I am very concerned that the Ladera Linda project is so expensive and is being forced upon the  neighbors in the area against their will.    Please vote no when this is considered on May 18.    E-91 2 George A Walker 6035 Ocean Terrace Drive Rancho Palos Verdes, CA 90275 george@walker‐g.com  310‐990‐9003    E-92 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:52 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Please vote “No” Ladera Linda center Megan Barnes Senior Administrative Analyst mbarnes@rpvca.gov Phone - (310) 544-5226 City of Rancho Palos Verdes 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275 Website: www.rpvca.gov This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation. City Hall is open to the public during regular business hours. To help prevent the spread of COVID- 19, visitors are required to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate department and follow all posted directions during your visit. Walk-ups are limited to one person at a time. Please note that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on the City website. -----Original Message----- From: drgskin <drgskin@gmail.com> Sent: Friday, May 7, 2021 2:26 PM To: CC <CC@rpvca.gov> Subject: Please vote “No” Ladera Linda center CAUTION: This email originated from outside of the City of Rancho Palos Verdes. Dear RPV council men, E-93 2 After careful consideration, we would like to voice our strong opposition to Ladera Linda community center project. We do not want our city to over spend on facility we don’t need or want. We also don’t want increased traffic or crime to the city we love. We don’t live too close but near there (in PVE) but can definitely use the facility. However, we don’t want you guys to over build and then hike up tax to us or our children. We have enough public amenities to use and enjoy already. Thank you very much for listening and vote according to your constituents. Thank you! Mr. AHo and SChiu E-94 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:52 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Project Megan Barnes Senior Administrative Analyst mbarnes@rpvca.gov Phone - (310) 544-5226 City of Rancho Palos Verdes 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275 Website: www.rpvca.gov This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation. City Hall is open to the public during regular business hours. To help prevent the spread of COVID- 19, visitors are required to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate department and follow all posted directions during your visit. Walk-ups are limited to one person at a time. Please note that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on the City website. -----Original Message----- From: John Marckx <jmarckx@cox.net> Sent: Friday, May 7, 2021 1:54 PM To: CC <CC@rpvca.gov> Cc: Ken Dyda <Ken.Dyda@rpvca.gov> Subject: Ladera Linda Project CAUTION: This email originated from outside of the City of Rancho Palos Verdes. This expenditure is not a good use of city funds. E-95 2 Why not update the restrooms and provide some overdue maintenance. Thanks for being our city council. John Marckx E-96 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:51 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Center        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: KENNETH DAPONTE <knjlastmile@cox.net>   Sent: Friday, May 7, 2021 2:55 PM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Center    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Dear Council Member-This is to request that the proposed massive expenditure for the unwanted and unneeded Center is not made.  This money is better spent for improving and expanding existing recreational projects--trail additions and improvements, more playgrounds, etc. --that benefit RPV residents. rather than the thousands of greater LA visitors who are slowly overwhelming the current recreational facilities we residents used to be able to enjoy without larger and larger crowds the internet has attracted. I personally don't even try to E-97 2 use the Preserve trails on Crenshaw anymore after being being rundown by mountain bike riders 3 times. Check it out on a weekend when that area is jampacked with non- RPV/Peninsula visitors trashing the place.  Thank you for your consideration of this request.  Dr. Ken Daponte--50- year RPV resident    E-98 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:53 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Community Center        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Linda Cavette <lkcavette@aol.com>   Sent: Friday, May 7, 2021 11:39 AM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Community Center    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Please do not spend this kind of money on the Ladera Linda Community Center. The buildings so far out of touch with the rest of RPV is just not rational. Over $15 million of tax payers money is just useless to the rest of the RPV community. Its too far out of the main part of RPV for this kind of expenditure. Yes, build the playing fields, but reduce that price on the extravagant buildings. I'd rather see you spend on the new City Hall buildings. I am pretty sure you are ignoring the survey we all took time to send to you. Linda Cavette, Realtor ® 310-722-7550 cell Coldwell Banker Realty E-99 2 DRE #01294734 LKCavette@aol.com email LindaCavette.com website Named in the Top 1,000 Realtors USA NATIONALLY, Honored by NRT LLC, management and operations of Coldwell Banker®, Sotheby's International Realty®, The Corcoran Group®, ZipRealty®, Climb Real Estate, Century 21. E-100 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:50 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Community Center        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Chuck's Gmail <chuck.agnew@gmail.com>   Sent: Saturday, May 8, 2021 3:24 PM  To: Eric Alegria <Eric.Alegria@rpvca.gov>; David Bradley <david.bradley@rpvca.gov>; John Cruikshank  <John.Cruikshank@rpvca.gov>; Ken Dyda <Ken.Dyda@rpvca.gov>; Barbara Ferraro <barbara.ferraro@rpvca.gov>  Cc: CityClerk <CityClerk@rpvca.gov>; CityManager <CityManager@rpvca.gov>; Planning <Planning@rpvca.gov>; CC  <CC@rpvca.gov>; Cory Linder <CoryL@rpvca.gov>; Parks <Parks@rpvca.gov>; PublicWorks <PublicWorks@rpvca.gov>;  Ken Rukavina <krukavina@rpvca.gov>; Planning <Planning@rpvca.gov>; Octavio Silva <OctavioS@rpvca.gov>; Matt  Waters <MattW@rpvca.gov>  Subject: Ladera Linda Community Center    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Please approve the Ladera Linda Community Center. I have play paddle tennis there twice per week for over 31 years. E-101 2 We use to hold neighborhood dinner dances, children’s birthday parties, Christmas functions, Halloween fun houses, neighborhood block parties, square dancing, and etcetera at our Community Center. With proper improvements we can do it again. It certainly will increase our property values, and our property taxes. Our neighborhood used to have annual dinner dances. We don’t any more partly because the price has become prohibitive. With a modern Community Room that facility could become an attractive low cost option. It presently is a ghost town. Leaving in its present condition is unthinkable. I agree that the cost is too high, but we have been over ten years in the planning, and starting over isn’t an option. A combination of pay for it now and finance the rest with low interest rates is the answer. Charles Agnew 32261 Phantom Dr. Rancho Palos Verdes CA 90275 cvagnew@cox.net chuck.agnew@gmail.com (310) 377 0290  E-102 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:50 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: NO to Ladera Linda        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Jessica Feldman <jessyfeldm@gmail.com>   Sent: Saturday, May 8, 2021 10:55 AM  To: CC <CC@rpvca.gov>; Ken Dyda <Ken.Dyda@rpvca.gov>  Subject: NO to Ladera Linda    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Dear RPV representatives,     I would like to voice my strong opposition to the Ladera Linda community center project. I read Herb Stark's  article and completely agree with him.    I do not want our city to overspend on a facility! We need to budget our resources more carefully and not  burden us with higher taxes! I don't mind paying taxes, but I want the funds to be used judiciously and get the  most bang for our buck (like education). This facility proposal is over the top and does not reflect our  community needs/budget and the practicalities Mr. Stark detail are scary!   E-103 2   Thank you very much for listening and please vote NO. Thank you!    Jessica Feldman  4212 Miraleste Dr., RPV  E-104 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:50 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Marty Dodell <mdodell@verizon.net>   Sent: Saturday, May 8, 2021 9:32 AM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     To RPV City Council members, I write to urge a NO vote on the Ladera Linda project especially in light of a $15,000,000 price tag. I think it a huge investment that will provide services for a relatively small part of the City remotely sited as it is. Martin Dodell 48 year resident of RPV E-105 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 7:50 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Community Center vote NO        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: mozawa@cox.net <mozawa@cox.net>   Sent: Saturday, May 8, 2021 8:50 AM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda Community Center vote NO    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Please vote NO on the Ladera Linda Community Center.  The cost is too high.  Thank you.  Michael Ozawa  5234 Valley View Road    Michael Ozawa  mozawa@cox.net  (213) 705‐9339    E-106 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 9:44 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda Megan Barnes Senior Administrative Analyst mbarnes@rpvca.gov Phone - (310) 544-5226 City of Rancho Palos Verdes 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275 Website: www.rpvca.gov This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation. City Hall is open to the public during regular business hours. To help prevent the spread of COVID- 19, visitors are required to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate department and follow all posted directions during your visit. Walk-ups are limited to one person at a time. Please note that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on the City website. -----Original Message----- From: Lisa Levine <lisalevine2@icloud.com> Sent: Monday, May 10, 2021 9:39 AM To: CC <CC@rpvca.gov> Cc: info@pvpwatch.com Subject: Ladera Linda CAUTION: This email originated from outside of the City of Rancho Palos Verdes. Hello City Council, E-107 2 I vote “NO” to the Ladera Linda Community Project. It sounds like the neighbors are not in favor of this and their opinions should count. Lisa Levine RPV E-108 1 Trang Nguyen From:Megan Barnes Sent:Monday, May 10, 2021 10:43 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Larry Carapellotti <larryc3@cox.net>   Sent: Monday, May 10, 2021 10:43 AM  To: Ara Mihranian <AraM@rpvca.gov>; CC <CC@rpvca.gov>; Ken Dyda <Ken.Dyda@rpvca.gov>  Cc: lisalevine2@icloud.com; Critelli, Robert C III <Robert.C.Critelli@morganstanley.com>; johnrsato@gmail.com;  c.robert.chow@gmail.com; myang@orrick.com; debbie.schneider@balimgmt.com  Subject: Ladera Linda  CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     Please don’t waste RPV funds on a facility at Ladera Linda when there are many more important priorities. There is nothing at Ladera Linda to attract visitors other than some trails in the hills. Improving the Ocean cliff areas where visitors flock daily is a much better use of City recreational funds. Ocean Front Estates We have been waiting for the City to remove the acacia bushes along PV Drive in OFE for over one year (they represent a safety and fire hazard). We have also been waiting for the City to institute “permit parking only” at OFE (passed by the Safety Committee in February). E-109 2 If the council really wants to direct visitors to parking that will not impact residents why don’t you pave the two parking lots at the Interpretive Center and improve the signage. Unfortunately, we at Ocean Front Estates, feel that the City is not responsive to our requests and needs. Our residents pay over $5MM per year in property taxes and get very little back from the City; especially when it comes to safety and maintenance issues. We at OFE spend $300k/year to keep our residents safe – a job which the Sheriff should be doing (we almost never see a Sheriff’s vehicle in our neighborhood). Please HELP. Let’s take care of what we have before we waste money on a facility that nobody wants! Larry Carapellotti VP – OFE/HOA larryc3@cox.net Cell: 818-519-8520 E-110 1 Trang Nguyen From:Megan Barnes Sent:Tuesday, May 11, 2021 11:35 AM To:Trang Nguyen Cc:Karina Banales Subject:FW: Ladera Linda        Megan Barnes  Senior Administrative  Analyst    mbarnes@rpvca.gov       Phone ‐ (310) 544‐5226     City of Rancho Palos Verdes  30940 Hawthorne Blvd.  Rancho Palos Verdes, CA 90275  Website: www.rpvca.gov      This e-mail message contains information belonging to the City of Rancho Palos Verdes, which may be privileged, confidential and/or protected from disclosure. The information is intended only for use of the individual or entity named. Unauthorized dissemination, distribution, or copying is strictly prohibited. If you received this email in error, or are not an intended recipient, please notify the sender immediately. Thank you for your assistance and cooperation.  City Hall is open to the public during regular business hours. To help prevent the spread of COVID‐19, visitors are required  to wear face coverings and adhere to physical distancing guidelines. Some employees are working on rotation and may  be working remotely. If you need to visit City Hall, please schedule an appointment in advance by calling the appropriate  department and follow all posted directions during your visit. Walk‐ups are limited to one person at a time. Please note  that our response to your inquiry could be delayed. For a list of department phone numbers, visit the Staff Directory on  the City website.    From: Sue Soldoff <drsue@cox.net>   Sent: Tuesday, May 11, 2021 11:32 AM  To: CC <CC@rpvca.gov>  Subject: Ladera Linda    CAUTION: This email originated from outside of the City of Rancho Palos Verdes.     We both vote NO on the overpriced Ladera Linda project.    Susan Soldoff  Stephen Soldoff      Sue & Steve Soldoff  3414 Coolheights Dr  Rancho Palos Verdes, CA 90275, USA  drsue@cox.net * ssoldoff@cox.net  E-111 2 (310) 740‐2465 * (310) 740‐2455      E-112 CITY COUNCIL MEETING DATE: 04/06/2021 AGENDA REPORT AGENDA HEADING: Public Hearing AGENDA DESCRIPTION: Consideration and possible action to consider an appeal of the Planning Commission - approval for the Ladera Linda Community Center and Park project located at 32201 Forrestal Drive (Case No. PLCU2020-0007). RECOMMENDED COUNCIL ACTION: (1) Review the Planning Commission-approved Conditional Use Permit, Major Grading Permit, Variance and Site Plan Review application findings (planning entitlements) and Conditions of Approval for the construction of the new Ladera Linda Community Center and Park project; (2) Review responses to public comments and recommendations adopted by the Planning Commission, via minute order, to the proposed project; (3) Review Staff recommended modifications to the Planning Commission -adopted Conditions of Approval; (4) If acceptable, adopt Resolution No. 2021-__; upholding the Planning Commission-approved Conditional Use Permit, Major Grading Permit, Variance and Site Plan Review for the Ladera Linda Community Center and Park project with modifications to the Conditions of Approval; and (5) If acceptable, direct Staff to proceed with the completion of construction documents and authorize advertisement of bids upon final completion of plans and specifications for the Ladera Linda Community Center and Park project. FISCAL IMPACT: No fiscal impact associated with the City Council’s appeal hearing. Project specific costs are further discussed in the ‘Additional Information’ section of this report. Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Octavio Silva, Deputy Director of Community Development REVIEWED BY: Ken Rukavina PE Director of Community Development APPROVED BY: Ara Mihranian, AICP, City Manager F-1 ATTACHED SUPPORTING DOCUMENTS: Click on the following links to view the supporting attachments except for Attachment A: A. Draft Resolution No. 2021-___ (page A-1) B. Project Plans (page B-1) C. Planning Commission-Adopted Resolution No. 2021-02 (page C-1) D. Public Facilities City Council Subcommittee Appeal Request (page D-1) E. Public Comments (page E-1) F. Environmental Assessment Determination (page F-1) G. Willdan Engineering Traffic & Parking Impact Analysis (page G-1) H. Ladera Linda Community Center & Park Usage Analysis (page H-1) I. Grading & Retaining Wall Exhibit (page I-1) J. Planning Commission Meeting Minutes dated February 23, 2021 (page J- 1) K. Potential Project Design Modifications Exhibit (page K-1) L. Finance Advisory Committee Presentation dated February 25, 2021 (page L-1) BACKGROUND: In 1960s, the Palos Verdes Peninsula Unified School District (PVPUSD) developed the project site into the Ladera Linda Elementary, which included five structures and ancillary site improvements. The school operated until 1980 when the City purchased the property and the Rancho Palos Verdes Parks and Recreation Department took over operations of the site. The park officially opened to the public in 1982. From 1993 to 2011, a Montessori School leased several classrooms on the site. Since 2011, the community center and park has been exclusively used for park recreation purposes. 2015 Master Plan Update In 2015, the City commissioned a Parks Master Plan Update (Master Plan), which was prepared by Richard Fisher Associates (RFA). The Master Plan update recommended a separate Master Plan for Ladera Linda to include, but not limited to, the following components: • Demolish existing buildings and construct a new Community Center; • Incorporate an expanded Nature Center/Preserve Annex; • Incorporate a Sheriff/Ranger Drop-in Office; • Pave access road between lower and middle parking lots. Early in the public outreach process for the Parks Master Plan and Ladera Linda Master Plan, there was general agreement to keep existing components and not add any new elements. After two years of extensive community outreach and design work, in 2018, the City Council reviewed and approved a conceptual Master Use Plan for Ladera Linda Park prepared by RFA, which included an approximately 8,900 ft2 Community Center building with two sets of restrooms along with ancillary site improvements. Based on F-2 public input, the City Council-approved Master Use Plan for Ladera Linda was modified as follows: • Large scale recreation components such as a gymnasium, pool or skate park were removed from consideration; • Active recreation elements were relocated from the lower park tier to the upper park tier to minimize noise and visual impacts to the Ladera Linda neighborhood; • The height and density of project landscaping was modified to minimize visual impacts on adjacent neighborhood while still allowing for adequate security sightlines; and • Multiple reductions were made to the building square footage from its current existing size, including several Richard Fisher design iterations that resulted in the approved 2018 RFA Master Plan. Subsequent to approval of the conceptual Master Use Plan for Ladera Linda Park, the City Council directed Staff to proceed with developing a Request for Proposals (RFP) to solicit proposals for the preparation of Phase 1 - Final Concepts Drawings and Phase 2 - Detailed Construction Drawings. At City Council’s direction, representatives from the Seaview, Ladera Linda, Mediterrania, and Seacliff Hills homeowners’ associations (HOAs) were invited to participate in the consultant selection process due to their proximity to the Ladera Linda site. Staff prepared a draft RFP that was reviewed and approved by the City Council RFP ad hoc subcommittee. Based on the results of the RFP interview, the architectural firm Johnson Favaro was awarded the contract to prepare the project plans. Johnson Favaro Project Design Johnson Favaro began its design work with numerous small exploratory meetings with a wide range of interested parties in February 2019 in order to gain a better sense of the community concerns. Johnson Favaro met with representatives from four HOAs (Seaview, Ladera Linda, Mediterrania and Seacliff Hills) located in the vicinity of the park, individual councilmembers, Los Serenos de Point Vicente docents, City staff, individual residents and other small groups. As a result of this public and internal engagement, Johnson Favaro developed a refined conceptual design, which includes: • Reduction in the building size of approximately 4,800 ft2 from the RFA building design; • Further realignment of active features away from the Ladera Linda neighborhood by positioning the building away from the western bluff edge overlooking the Seaview neighborhood and modifications to the meeting room layout and design; • Elimination of second set of restrooms; • Elimination of lobby/gallery area; • Replacement of the Discovery Room with a smaller multi-function meeting room that incorporates elements of the Discovery Room per City Council direction; and • Reduction in the size of the multi-purpose room. In July 2019, the City and Johnson Favaro conducted a public workshop, in wh ich Johnson Favaro presented its outreach efforts and proposed park design. 84 people F-3 attended the Master Plan workshop at Ladera Linda with 38% of attendees from the Ladera Linda HOA, 14% from the Seaview HOA, 2% from the Mediterrania HOA, and 46% were from other parts of the City. During the workshop, park operations were also presented to the public including proposed hours and days of operation, staffing levels, and Community Center usage. On August 20, 2019, after a comprehensive public outreach and engagement effort, the City Council approved the Ladera Linda Park and Community Center Master Plan. The City Council’s August 20, 2019 actions included approving the design of the replacement Community Center, landscaping, ancillary site improvements, which also included factors such as park security, staffing levels and facility rentals. On October 15, 2019, the City Council reviewed roof design options, including a green roof or pitched roof, and subsequently directed Staff to study the installation of a solar roof option on a flat roof as part of the detailed construction drawings phase. The size and configuration of the solar panel system will be determined during the final design phase; however, the solar panels can be laid flat and flush with the roof and sill provide energy to operate the building. Since 2019, the proposed project design has been further modified as follows: • Additional reduction of approximately 110 ft2 in the size of the Community Center square footage; • A reduction in the overall building height and the width of exterior covered walkways to further minimize building massing and reduce visual impacts of the building on the site; and • A reduction in the building exterior glass wall area by 31% and an increase in solid wall surface area by 30% as compared to the August 2019 City Council approved Johnson Favaro design. On January 26, 2021, the Planning Commission conducted a public hearing to consider the planning entitlements for the Council-approved Ladera Linda Community Center and Park project. The planning entitlements include a Conditional Use Permit (CUP), Variance, Major Grading Permit and Site Plan Review. After considering information presented at the meeting including public testimony, the Planning Commission continued the public hearing to February 23, 2021 , to provide Staff an opportunity to incorporate project feedback provided by the Planning Commission. On February 23, 2021, the Planning Commission conducted the continued public hearing and after consider information presented including public testimony, the Planning Commission adopted P.C. Resolution No. 2021-02 (Attachment C), conditionally approving the planning entitlements for the Ladera Linda Community Center and Park project. The Planning Commission in their motion, which passed on a 7-0 vote, approved Conditions of Approval to mitigate project impacts that included, but were not limited to, safety and security measures, hours of operation, limits on the number of rentals and special events, noise restrictions, and lighting. The Planning Commission also adopted, via minute order, recommendations for consideration by the City Council which include implementing of traffic and parking measures, prioritizing F-4 park usage to City residents and assessing current and future site usage. On February 24, 2021, the City Council’s Public Facilities Subcommittee, consisting of Mayor Alegria and Councilmember Cruikshank, notified the City Manager that they are requesting that consideration of an appeal of the Planning Commission’s approval of the subject project be placed on the March 2, 2021 City Council agenda. On March 2, 2021, the City Council, after considering information presented including public testimony, voted to appeal the Planning Commission’s approval of the Ladera Linda Community Center and Park land-use applications and tentatively set the appeal hearing for April 6, 2021 (Attachment D). In its decision, the City Council indicated that their action did not represent disagreement with the Planning Commission’s decision, but felt the decision of this City project should be in the jurisdiction of the City Council, thereby warranting the appeal. On March 11, 2021, a public notice announcing the City Council’s consideration of the appeal was sent to property owners within a 500-foot radius of the project site and interested parties as well as published in the Peninsula News. As of the preparation of this report, staff has received 33 public communications (Attachment E) in response to the public notice. These public comments are discussed in the Public Correspondence Section of this report. DISCUSSION: Pursuant to Rancho Palos Verdes Municipal Code (RPVMC) § 17.80.070(F) (De Novo Review), a City Council appeal hearing is not limited to consideration of the materials presented to the Planning Commission. Any matter or evidence relating to the action on the application, regardless of the specific issue appealed, may be reviewed by the City Council at the appeal hearing. As such, this staff report presents information considered by the Planning Commission, as well as new evidence and is outlined as follows: 1. Site Description 2. Project Description 3. Planning Entitlement Code Considerations & Analysis o Conditional Use Permit o Variance o Major Grading Permit o Site Plan Review o Environmental Analysis 4. Public Comments 5. Planning Commission Recommendations 6. Staff Recommended Modified Conditions of Approval 7. Additional Information o Potential Project Modifications o Project Cost o Project Timeline o Miscellaneous F-5 1. Site Description The project site is owned and operated by the City of Rancho Palos Verdes and consists of approximately 11.031 acres. The project site is bounded by Forrestal Drive and open space preserve (Forrestal Reserve) to the north and east, the Ladera Linda Neighborhood Community to the southeast, Dauntless Drive and the Seaview Neighborhood Community to the south and southwest and Ladera Linda Park soccer fields (owned by the PVPUSD) to the west. The site is currently composed of five buildings (approximately 18,574 ft2 in gross area)1 comprising the Community Center, surface parking, playground paving, equipment, two full-court basketball courts, two paddle tennis courts, fields, landscaping, City offices, and emergency preparedness storage containers. Approximately 7 acres of the site are used for these purposes with the remainder of the area being steep terraced slopes to the south and southwest of the site that are improved with mature landscaping and drainage swales. As a result of the topography in the area, the project site is configured into three tiers, a lower, middle, and upper. The project site also includes two easements that traverse the property from north to south for storm drain purposes. The project site has a General Plan and Zoning designation of Institutional Public and Institutional (I), respectively. The site is immediately adjacent to the south-west of the Forrestal Reserve (a sub-area of the Palos Verdes Nature Preserve) and in the immediate area of a number of public trails including, but not limited to, the Forrestal, Pirate and Quarry Trails. The site is also within the vicinity of various conceptual trails as outlined in the City’s Conceptual Trails Plan. Additional information about the public trails in the area of the project site are further discussed in the Public Trails section of this report. The existing Ladera Linda Park and Community Center is the only City facility serving residents and the community on the east side of the City. 2. Project Description The City Council-approved Ladera Linda Community Center and Park project involves the following: • Demolition of five existing buildings (18,574 ft2 in gross area), parking, ancillary site improvements and landscaping; • Construction of a new 6,790 ft2 single-story building (Community Center) with an overall building footprint of 13,720 ft2 (enclosed and covered areas) at an overall height of 16 feet – 6 ¼ inches; • Construction of a 775 ft2 outdoor tiered seating area; • Construction of a 54-stall parking lot located adjacent to building and playground, including four clean air vehicle spaces; • Construction of a naturalistic children’s playground area in th e upper tier; 1 Please note that the gross floor area of the existing buildings was previously reported to be 19,000 ft2. After further examination of the project site survey, it was determined that the enclosed and covered area of the buildings total approximately 18,574 ft2. F-6 • Construction of one full basketball court and a half-court basketball court in the upper tier; • Renovation of two existing paddle tennis courts in the upper tier; • Construction of a 400 ft2 storage facility at 12 feet in height for City and emergency supplies; • Construction of walking paths throughout park area along with upper and lower lawn areas; • Construction of a lawn area in the lower tier; • Utilization of existing driveway off Forrestal Drive as the only vehicular entrance into the park; • Installation of low-impact, native and drought-tolerant landscaping, including 30- foot to 100-foot buffer zone between the building and southerly slope; • 9,000 cubic yards combined balanced on-site grading (4,500 cubic yards of cut and 4,500 cubic yards of fill); • Grading cut and fill over 5 feet in height to support an Americans with Disability Act (ADA) access ramp between middle- and upper-tiers; • Construction of retaining and combination walls to a maximum height of 15 ½ feet to accommodate accessibility and ADA compliant ramps; • Installation of a new 12-foot flagpole; • Construction of mechanical equipment and refuse storage area; • Installation of new bike and storage area; • Installation of vehicular entry gate for park security; and, • Installation of on-site lighting. Below is the proposed 6,790 ft2 single-story building floor plan diagram illustrating the enclosed spaces: The building is proposed to contain the following components: • A 1,880 ft2 divisible multi-purpose room with a seating capacity of 144 in lecture format; • Two classrooms with a combined area of approximately 1,690 ft2. Classroom 1 has a seating capacity of 60 in lecture format or capacity for 24 seats at tables. Classroom 2 has a seating capacity of 24 seats at tables; • A 660 ft2 multi-function meeting room with Discovery Room displays built into the walls and a seating capacity of 16 at tables; • A 240 ft2 work room with a maximum occupant load of 3; • Storage and staging areas with a combined area of approximately 490 ft2; • Public restrooms; F-7 • A 380 ft2 staff office with a maximum occupant load of 4; • A 137 ft2 outdoor breezeway/patio covered lobby; • A 150 ft2 kitchenette and staging area with a maximum occupant load of 2; • Covered walkways; • Janitorial and electrical rooms; and • Vestibules The building footprint measures 13,720 ft2, which consists of the entire roofed area of the structure including the 6,790 ft2 enclosed area. The following aerial image shows the existing school buildings (red-striped) overlaying the proposed building siting. Please note that the new Community Center was setback further from the southwesterly transition slope to mitigate potential view impacts to residential properties located in the Seaview neighborhood. A comparison of the existing versus proposed hardscape and vehicular circulation/parking footprint is demonstrated in the tables below: Hardscape Comparison (courts, driveway, parking) Current Design Proposed Design Acreage 2.68 acres 1.59 acres Square Footage 116,900 ft2 69,075 ft2 Vehicular Circulation & Parking Comparison Current Design Proposed Design Acreage 1.5 acres .88 acres Square Footage 65,500 ft2 38,374 ft2 F-8 Proposed Park Building Hours The following table shows current and proposed Ladera Linda park and building hours. Park & Building Hours Hours: Mon-Fri Hours: Sat-Sun Current 12:00 p.m.- 5:00 p.m. 10:00 a.m.- 5:00 p.m. Proposed 8:00 a.m.- dusk 8:00 a.m.- dusk Hours would be extended to 9:00 p.m. if rentals or classes are scheduled. Ladera Linda Park is currently staffed by one part-time employee per shift who is overseen by a full- time recreation supervisor. The new building will likely increase staffing to two part-time employees per shift with one full-time supervisor. Proposed Park Usage The table below shows current Ladera Linda usage policies. While the park will be used more during the day, restrictions on park usage and rental hours are proposed. **Restriction does not apply to non-profits, City events, or HOA rentals. Conditions require that no nighttime special events (one hour after dusk) would be permitted without a Special Use Permit being issued, which will require public notification. Staff will coordinate with the AYSO schedule to minimize impact by avoiding large rentals or events at the same time as AYSO game days. Building and Park Security Security will be incorporated into the overall design of the park and Community Center, which will be formalized during the construction design phase. Following is a summary of the security measures incorporated into the City Council design -approved project and the Planning Commission-adopted Conditions of Approval: • Clear points of entry and improved sight lines in the final design • Appropriately placed exterior and interior security cameras and motion sensors • Appropriate low-level landscaping • Control of ingress and egress points during operating hours and non-operating hours • Glass break sensors Rental Polices LL Current LL Proposed Rental Hours Not specified 10:00 a.m.- 9:00 p.m. Classes Not specified 8:00 a.m.- 9:00 p.m. Private Rentals after 5 p.m. No current limits 2 x month ** Amplified Music (indoor only. Outdoor prohibited) 10:00 a.m. – 10:00 p.m. 11:00 a.m.- 8:00 p.m. Special Events No limit 8/year F-9 • Comprehensive best practices, lighting design throughout park and building • Ability to secure park perimeter at night through fencing and improved entrance gates for both pedestrian and vehicular access points • Reduction/elimination of blind spots • Increased utilization of the park combined with increased staff supervision The Planning Commission-approved Conditions of Approval include provisions to secure the lobby breezeway, restroom and accompanying sink areas with roll-down gates and automatically shut-off the water to the wash area on a nightly basis. 3. Planning Entitlement Code Consideration & Analysis The following reflects the Planning Commission’s analysis finding that the Project is consistent with the City’s General Plan and Zoning Ordinance in relation to the required planning entitlements for the proposed project. The planning entitlements include a Conditional Use Permit, Variance, Major Grading Permit and Site Plan Review whereby the required applications are analyzed separately below: a. Conditional Use Permit (CUP) The project site has a zoning designation of Institutional. Pursuant to RPVMC § 17.26.030(A), a CUP is required in the Institutional Zoning District for public facilities owned or used and operated for governmental purposes by the City (emphasis added), the county, the state and the government of the United States of America, and any special district or other local agency. In addition, pursuant to RPVMC § 17.26.040(B), institutional buildings erected in the City shall have a building height not greater than 16 feet and shall not exceed one story, unless with the approval of a CUP by the Planning Commission (or City Council on appeal). As the proposed Ladera Linda Community Center and Park site is owned and operated by the City of Rancho Palos Verdes and the proposed building will be over 16 feet in height, at 16 feet- 6 ¼ inches, thereby a CUP is required for the project. In considering a CUP, pursuant to RPVMC § 17.60.050(A), the Planning Commission made the following findings in reference to the property and project, which is now under consideration by the City Council (Finding language is boldface, followed by assessment of the Project in normal type): 1. The site is adequate in size and shape to accommodate the proposed use and for all of the yards, setbacks, walls, fences, landscaping and other features required by this title or by conditions imposed under this section to integrate said use with those on adjacent land and within the neighborhood. The project site is adequate in size and shape to accommodate the proposed use. The project site is approximately 11.031 acres in size and currently utilized as a park and Community Center with multiple facility buildings, surface parking, playground pav ing, equipment and paddle tennis courts, fields, landscaping and emergency preparedness storage containers. The proposed project includes the demolition of the existing facilities and improvements, with the exception of the paddle tennis courts, to constru ct a single Community Center structure that would be approximately 40% of the total area of the F-10 existing facility. Consequently, the new building would occupy a significantly smaller footprint than the existing buildings and be located in the middle of the existing built areas of the Park. The proposed Community Center and ancillary facilities are sited throughout the 11.031-acre tiered site, so as to provide enhanced setbacks to adjacent properties and provide enhanced line of sight from the perimeter of the property for security purposes. The proposed 54 on-site parking spaces, which consist of four ADA spaces, four dedicated spaces for clean air vehicles (one Van ADA space included), exceed the parking stalls required for both weekend (42 spaces) and weekday (15 spaces) conditions for the proposed project as outlined in the latest edition of the Institute of Transportation Engineer’s Parking Generation Manual (5th Edition, 2019). As such, this finding can be made. 2. The site for the proposed use relates to streets and highways sufficient to carry the type and quantity of traffic generated by the subject use. The proposed project relates to streets and highways sufficient to carry the type and quantity of traffic generated by the use. The project replaces the existing Community Center facility, comprised of several buildings, with a single building that would be less than 40% of the total area of the existing facilities. In addition, the new building would occupy a smaller footprint than the existing Community Center buildings within the existing built areas of the Park. Furthermore, the Project will not result in any increases to the existing uses, programming, and activities. Rather, uses, programming and activities are proposed to be limited and regulated, and would, therefore, have substantially the same purpose, but with less capacity than the existing facility that will be replaced. The park does not create a cumulative impact on traffic within the City of Rancho Palos Verdes. The traffic on Forrestal Drive is mostly attributed to the only outlet to over 160 single family homes off Pirate Drive. The proposed Community Center and Park does not affect the traffic signal warrant at the intersection of Palos Verdes Drive South and Forrestal/Trump National as noted in the Traffic Impact Analysis prepared by Willdan Engineering (Attachment G). As such, this finding can be made. 3. In approving the subject use at the specific location, there will be no significant adverse effect on adjacent property or the permitted use thereof. The project site is currently improved with a park use and will continue to serve as such as part of the proposed project. The new Community Center will serve all residents and the community, particularly those located on the east side of the City, as an area for recreational opportunities as well as for emergency preparedness activities such as, but not limited to, a cooling center, storage location and emergency evacuation center. The height of the proposed Community Center is 16 feet- 6 ¼ inches and will not create a significant adverse effect, as residential properties to the east and south of the project site have views of the ocean and Catalina Island oriented in the opposite direction of the proposed building. Furthermore, the building pad of the proposed Community Center will be located approximately 25 feet below the street of access (Forrestal Drive), therefore views from the street and adjacent trails can be observed over the proposed building height. The project will not result in any adverse safety or security impacts, as F-11 the City Council design-approved project includes a comprehensive list of safety measures and designs such as the incorporation of a surveillance system , motion and glass break sensors, perimeter fencing, and lighting design. The project will not result in adverse noise impacts as the project incorporates construction noise regulations for potential short-term construction impacts, hours of operation for the community center and limitations on mechanical equipment noise for potential long-term operational impacts. The project lighting will not result in an adverse impact because the site lighting has been designed to comply with RPVMC regulations that require lighting to be down-cast and avoid illumination of the night sky and to provide for park safety and security. As such, this finding can be made. 4. The proposed use is not contrary to the General Plan. The use of the property for a community center and park is consistent with the Institutional-Public General Plan Land Use designation for the site. The project site is currently a park with a community center and will continue to be utilized as such. The new community center and park will serve all residents and the community, particularly those located on the east side of the City, as an area for recreational opportunities as well as for emergency preparedness activities such as, but not limited to, a cooling center, storage location, and emergency evacuation center. Furthermore, the Conservation and Open Space Element of the City’s 2018 General Plan Update (p age COS-39) identified the Ladera Linda Community Center and Park as an Institutional- Public land use with passive and active amenities including playground and sports equipment, multipurpose rooms and classrooms, as well as ancillary site improvements including a parking lot and restrooms. The General Plan also notes that a Master Plan process for the Ladera Linda Community Center and Park was included in the Parks Master Plan Update. As such, this finding can be made. 5. If the site of the proposed use is within any of the overlay control districts established by Chapter 17.40 (Overlay Control Districts) of this title [Title 17 “Zoning”], the proposed use complies with all applicable requirements of that chapter. The project site is not within an overlay control district. Therefore, this finding is not applicable to the project. 6. That conditions regarding any of the requirements listed in this paragraph, which the Planning Commission finds to be necessary to protect the health, safety and general welfare, have been imposed (including but not limited to): setbacks and buffers; fences or walls; lighting; vehicular ingress or egress; noise, vibration, odors and similar emissions; landscaping; maintenance of structures, grounds or signs; service roads or alleys; and such other conditions as will make possible development of the city in an orderly and efficient manner and in conformity with the intent and purposes set forth in this title (Title 17 – Zoning). Conditions of Approval were approved by the Planning Commission to mitigate potential impacts to adjacent properties and to protect the health, safety and general welfare of F-12 the residents, businesses, and visitors of the City. A further discussion of the proposed Conditions of Approval is presented in the ‘Conditions of Approval’ section of this report. Based on the above discussion, the Planning Commission was able to make the required CUP findings as reflected in the attached resolution for City Council consideration. b. Variance Pursuant to RPVMC § 17.76.030(C)(2)(b)(ii), walls combined with a fence, the total height may not exceed 8 feet, as measured from grade on the lower side and may not exceed 7 feet as measured from grade on the higher side. The project proposes the construction of a retaining wall measuring up to 15 ½ feet (retaining wall and safety railing) in height and approximately 265 feet in length to support ADA complaint ramps between the middle- and upper-tiers of the park. Pursuant to RPVMC § 17.64.010(A), the Planning Commission was able to find that a Variance may be granted because of practical difficulties, unnecessary hardships or results inconsistent with the general intent and purpose of the title occurred by reason of the strict interpretation of any of its provisions, as reflected in the following findings (Finding language is boldface, followed by assessment of the Project in normal type) are met: 1. That there are exceptional or extraordinary circumstances or conditions applicable to the property involved, or to the intended use of the property, which do not apply generally to other property in the same zoning district; The project site was originally developed as an elementary school with multiple classroom buildings and play areas on a three-tiered site due to the unique and steep topographic conditions in the area, which have been used as a community center and park facilities since the 1980s. The three tiers include a lower, middle and upper tier with 5-foot to 15-foot transitional slopes between the tiers. The project proposes to maintain the same three-tier park layout and will also include new accessible walking paths and ramps to enhance accessibility and walkability throughout the project site. In order to accommodate an ADA-compliant accessible ramp between the middle- and upper-tiers of the park, the project proposes to construct a retaining wall with an overall height of up to 15½ feet. The existing site development and requirement to provide for enhanced accessibility to meet ADA requirements present exceptional circumstances that warrant the need to construct a retaining wall that exceeds the height lim itations established in the RPVMC. Although other Institutional-zoned properties in the City were developed with similar topographic conditions, the project site is unique in that it was previously developed as an elementary school and the project proposes to re- develop the site but maintain the existing park’s tiered layout but meet current accessibility requirements without conducting substantially more grading that would disturb the overall site. As such, this finding can be made. 2. That such variance is necessary for the preservation and enjoyment of a substantial property right of the applicant, which right is possessed by other property owners under like conditions in the same zoning district; F-13 The construction of the proposed retaining wall up to 15½ feet in height are necessary for the preservation and enjoyment of a substantial property right, which right is possessed by other property owners under like conditions in the same zoning district. The project site is encumbered by steep topographical conditions in certain areas of the project site, including transitional slopes between the various tiers of the park that are not present in other developed Institutional zoned properties. As a public facility, owned and operated by the City of Rancho Palos Verdes, the City is required to provide for ADA accessibility throughout the site and to ensure the safety of the public . As such, this finding can be made. 3. That granting the variance will not be materially detrimental to the public welfare or injurious to property and improvements in the area in which the property is located; and, The construction of the proposed retaining wall up to 15½ feet in height in order to accommodate an ADA access ramp will not be materially detrimental to the public welfare or injurious to property and improvement in the area, as the construction of the proposed wall will be reviewed and inspected by the City’s Building and Safety Division for conformance with the California Building Code and associated geological requirements. In addition, the proposed retaining wall will support the transition slope between the middle and upper tiers of the park. Not granting the Variance application request for the construction of retaining walls up to 15½ feet in height and not accommodating an ADA accessible ramp would in fact be materially detrimental to the public welfare or injurious to visitors of the park. Furthermore, the face of the retaining walls will be screened with landscaping and include areas of terracing, so as to soften the appearance and scale of the structure. A rendering of the proposed retaining wall along with landscape improvements is attached to this staff report (Attachment I). As such, this finding can be made. 4. That granting the variance will not be contrary to the objectives of the general plan or the policies and requirements of the coastal specific plan. The variance will not be contrary to the objectives of the General Plan or the policies and requirements of the Coastal Specific Plan. The project site is not located in the City’s Coastal Specific Plan. The use of the property as a community center and park is consistent with the City’s updated General Plan. The Conservation and Open Space Element (Pg. COS-6) of the City’s General Plan includes goals and policies related to Open-Space and Recreation Resources, which promote public access to all recreational land and building additional parks and playfields, where appropriate, for multiple use by various groups. The proposed retaining wall with an overall height of 15 ½ feet, will provide enhanced ADA accessibility to recreational land and for the use of various groups. As such, this finding can be made. c. Major Grading Permit Pursuant to RPVMC §17.76.040(B)(2)(a), a Major Grading Permit is required for projects that result in an excavation, fill or combination thereof, in excess of 50 cubic yards in any two-year period. Since a total of 9,000 cubic yards combined grading F-14 (4,500 cubic yards of cut and 4,500 cubic yards of fill) as part of the project request, a Major Grading Permit is required. RPVMC §17.76.040(E) sets forth the criteria (in bold type) that the Planning Commission was able to make (or the City Council on appeal) to approve the required Major Grading application: 1. The grading does not exceed that which is necessary for the permitted primary use of the lot; The grading does not exceed that which is necessary for the permitted primary use of the lot. The proposed project is in an Institutional Zoning District, in which the primary use of the lot is a park and community center. The new park and community center will serve all residents and the community, particularly those located on the east side of the City, as an area for recreational opportunities as well as for emergency preparedness activities such as, but not limited to, a cooling center, storage location, and emergency evacuation center. The proposed 9,000 yd3 of grading will be balanced on-site therefore avoiding the need to export or import soil or rock. Furthermore, the proposed grading will be limited to the existing developed portions of the site, which have been previously graded and disturbed to support existing improvements. The project grading proposes targeted cut and fill into portions of the existing site to accommodate the proposed park and community center, parking lot, tiered seating, walking paths, ADA compliant accessible ramp, and other ancillary park improvements. In addition, the proposed grading will enhance adequate drainage of the site. As such, this finding can be made. 2. The proposed grading and/or related construction does not significantly adversely affect the visual relationships with, nor the views from the viewing area of neighboring properties. In cases where grading is proposed for a new residence or an addition to an existing residence, this finding shall be satisfied when the proposed grading results in a lower finished grade under the building footprint such that the height of the proposed structure, as measured pursuant to Section 17.02.040(B) of the Municipal Code, is lower than a structure that could have been built in the same location on the lot if measured from preconstruction (existing) grade; The proposed project and associated grading will not significantly adversely affect the visual relationships with, nor the views from the viewing areas of neighboring properties because the project site is currently improved with an existing park, building facilities, and ancillary site improvements. The proposed grading will continue to accommodate a park use and a single community center building that would be less than 40% of the total area of the existing facility. In addition, the new community center would occupy a smaller footprint than the community center buildings within the existing built areas of the Park. The proposed building height will not create a significant adverse effect, as the height of the community center, as a result of the site grading, will not impact vi ews as observed from neighboring properties due to the topographic conditions in the area. Residential properties to the east and south of the project site have views of the ocean and Catalina Island oriented in the opposite direction of the proposed build ing. Finally, the building pad of the proposed community center will be located approximately 25 feet below the street of access (Forrestal Drive), whereby views from the street and adjacent F-15 trails can be observed over the proposed building height. As such, this finding can be made. 3. The nature of the grading minimizes disturbance to the natural contours and finished contours are reasonably natural; The nature of the grading minimizes disturbance to the natural contours and finished contours are reasonably natural because the proposed grading is generally limited to developed portions of the site. In addition, the proposed grading maintains a majority of the existing contours surrounding the developed areas on the project site. The project proposes to maintain the existing transitional slope along the south and southwest of the site as well as the slopes between the project site and Forrestal Drive. The finished contours of the project will blend with the existing contours on the existing site. As such, this finding can be made. 4. The grading takes into account the preservation of natural topographic features and appearances by means of land sculpturing so as to blend any man-made or manufactured slope into the natural topography; The grading takes into account the preservation of natural topographic features and appearances by means of land sculpturing. The project site has been previously graded in order to accommodate the existing park, parking lot and ancillary site improvements. The proposed grading is generally limited to developed portions of the site to support the construction of ADA-compliant ramp. Moreover, the proposed grading generally follows the existing slope of the property and results in finished slopes that appear reasonably natural. Additionally, although some land-sculpturing is proposed to occur, it is designed so as to blend the manufactured slopes into the natural topography. As such, this finding can be made. 5. For new single-family residence, the grading and/or related construction is compatible with the immediate neighborhood character; The proposed grading does not involve a new single-family residence and therefore this criterion does not apply. 6. In new residential tracts, the grading includes provisions for the preservation and introduction of plant materials so as to protect slopes from soil erosion and slippage and minimize the visual effects of grading and construction on hillside areas; The proposed grading does not involve a new residential tract and theref ore this criterion does not apply. 7. The grading utilizes street designs and improvements which serve to minimize grading alternatives and harmonize with the natural contours and character of the hillside; The proposed project does not involve modification s to streets or other public F-16 infrastructure and therefore, this criterion does not apply. 8. The grading would not cause excessive and unnecessary disturbance of the natural landscape or wildlife habitat through removal of vegetation; The grading would not cause excessive and unnecessary disturbance of the natural landscape or wildlife habitat through removal of vegetation because the proposed grading area does not contain natural landscape or wildlife habitat. The proposed grading is limited to areas of the project site that have been previously graded to accommodate existing structures and ancillary site improvements. As such, this finding can be made. 9. The grading conforms to standards related to grading on slopes equal to or exceeding 35%; fill and cut depths; grading on slopes exceeding 50% gradient; number and location of retaining walls and driveways: The grading conforms to the City’s standards for grading on slopes, maximum finished slopes, maximum depth of cut and fill, and retaining wall heights with the exception grading on slopes over 50% steepness and the construction of a retaining wall up to 6 feet-11 inches in height along the driveway in the immediate area of the mechanical and refuse enclosures. The proposed grading over slopes with 50% and the retaining wall are consistent with the purpose of the Grading Permit because it will result in the reasonable development of the project site. In addition, the proposed grading and retaining wall will contribute to the overall site accessibility and retention of groundcover to aid against flooding, erosion and other similar hazards. Furthermore, the sce nic character of the neighborhood would not be altered as the retaining wall along the driveway would not be readily visible from the public right-of-way as the location of the wall will be located below the Forrestal Drive street level. The proposed grading and retaining wall will comply with the goals and policies of the General Plan, as the project supports policies for public health/ safety related to the environment. More specifically, the proposed retaining wall is required to be designed to performan ce standards that ensure both engineering standards and the topographic treatment of slopes on the property. Furthermore, the City’s geotechnical consultant and the Building Official will be required to review and approve engineered grading plans prior to grading permit issuance and inspections will be conducted throughout the construction process. With these provisions, the proposed deviation will not cause a detrimental impact to public safety and/or other properties in the vicinity of the project. Notice of this decision shall be given to all owners of property adjacent to the property. d. Site Plan Review Pursuant to RPVMC § 17.70.010, the Site Plan Review procedure enables the Planning Commission (or the City Council on Appeal) to check development proposals for conformity with the provisions of the Municipal Code and for the manner in which they are applied, when no other application is required. As the project proposes a number of ancillary site improvements, including but not limited to, parking, a 400 ft2 storage facility, and mechanical equipment, a Site Plan Review is required to ensure compliance with the Institutional zoning designation of the project site. Based on a review of the F-17 project plans, the proposed project including, but not limited to, the accessory structures, flag-pole, mechanical equipment and parking was determined by the Planning Commission to comply with applicable code requirements such as development setbacks. e. Environmental Analysis The Planning Commission has determined that the proposed project is Categorically Exempt from the provisions of the California Environmental Quality Act (CEQA), pursuant to § 15302 of the State CEQA Guidelines—Class 2, Replacement or Reconstruction. The proposed project meets the requirements of Class 2, as it consists of the reconstruction of an existing facility where the new structure will be located on the same site as the structure(s) replaced and will have substantially the same purpose and capacity. A Class 2 Categorical Exemption Evaluation Report and Cultural Resources memorandum (Attachment F) were prepared to provide supplemental information related to staff’s environmental assessment. Based on the analysis above, the Planning Commission determined that the proposed Ladera Linda Community Center and Park project is consistent with the requested CUP, Variance, Major Grading Permit and Site Plan Review applications and that all the associated permit findings for the project can be affirmatively made. Attached for the City Council’s consideration is a draft resolution, including conditions of approval, memorializing the findings made for the required planning entitlements (Attachment A) 4. Public Comments As part to the Planning Commission’s consideration of the Ladera Linda Community Center and Park project, Staff received a wide range of public comments both in support and opposition to the proposed project. In response to the public notice that was issued on March 11th, announcing the City Council’s appeal consideration, Staff received an additional 33 comments as of the preparation of this report. The comments in opposition expressed concerns related to, but not limited to, design, compatibility, traffic, safety, and facility/park use. The table on the next page summarizes public comments and provides a staff analysis of the issues, as well as any corresponding Planning Commission-approved Conditions of Approval or newly proposed conditions of approval intended to address the concern (please note that newly proposed Conditions of Approval are identified with the “New” notation): F-18 Table No. 1- Public Comment Analysis Summary of Comment Project Clarification and/or Staff Analysis Recommended Mitigating Condition(s) of Approval No. Community Center Structure Size Public comments requested clarification regarding the overall size of the proposed community center and Community Centers at Hesse Park, Ryan Park and PVIC. Ladera Linda Community Center: • 6,790 ft2 (enclosed building areas) • 13,720 ft2 (building footprint including extended roof eves) Hesse Park Community Center (approx.): • 7,901 ft2 (enclosed building areas) • 9,130 ft2 (building footprint including extended roof eves) Ryan Park (approx.): • 1,379 ft2 (enclosed building areas) • 2,208 ft2 (building footprint including extended roof eves) PVIC (approx.): • 10,781 ft2 (enclosed building areas) • 13,365 ft2 (building footprint including extended roof eves) None F-19 Summary of Comment Project Clarification and/or Staff Analysis Recommended Mitigating Condition(s) of Approval No. Traffic Conditions Public comments expressed concerns with the project impacts on traffic conditions in the immediate aera of the site. Willdan Engineering prepared a Traffic Impact Analysis (Attachment G), which determined that: • The park does not create a cumulative impact on traffic within the City. • Traffic on Forrestal Drive is mostly attributed to the only outlet to over 160 single family homes off Pirate Drive. • The proposed community center and park do not affect the traffic signal warrant at the intersection of Palos Verdes Drive South and Forrestal/Trump National. The traffic signal was warranted based on weekend traffic volumes due to AYSO soccer matches, Trump National traffic and residential trips accessing the intersection. None On-Site Security The public raised security and safety concerns related to the proposed project and design. Robust security features will be developed by a security specialist and incorporated into the final design, including but not limited to: • Clear points of entry and improved sightlines; • Surveillance cameras; • Low-level landscaping; • Control of ingress and egress points; • Glass break sensors; • Fencing and improved entrance gates; • Drop down gates to preclude access to Condition Nos. 28 - 31 F-20 Summary of Comment Project Clarification and/or Staff Analysis Recommended Mitigating Condition(s) of Approval No. restroom and wash areas during non-operating hours; • Lighting; and • Increased park supervision. The driveway entrance from Forrestal will be gated and locked during non-operating hours. Building Design Public comments expressed project concerns with the glass façade; climate control; extended roof eves, open restroom design; neighborhood compatibility (Please see the ‘Potential Project Modifications’ section of this report of more information) Total wall surface area and glass wall/glass door area were reduced from the City Council design-approved project in August 2019, including a 9% reduction in total wall area, a 31% reduction in glass wall area and a 30% increase in solid wall area. The glass areas of the building incorporate high performance glazing. Furthermore, as currently designed, the Community Center incorporates roll down black-out blinds on the interior of the building. The proposed community center is designed with extended roof eves around the perimeter of the building. The extended roof eves serve to provides shade, reduces the amount of air conditioning needed, reduces the overall cost of the building, provides a circulation route around and into the building, and allows for overflow from classes and events where appropriate, given use and amplified sound conditions. The overall size of the building footprint Condition Nos. 30-34 F-21 Summary of Comment Project Clarification and/or Staff Analysis Recommended Mitigating Condition(s) of Approval No. with extended roof eves is approximately 13,720 ft2. The Planning Commission- approved Conditions of Approval include provisions to secure the open lobby, restroom and accompanying sink areas with a roll-down gate and automatically shut- off the water to the wash area on a nightly basis. The Community Center is designed as a single-story structure with articulated facades that include vernacular finished materials (glass, wood, concrete) that are found in the immediate area. Project Lighting Public comments expressed concerns with the proposed project lighting and illumination impacts to neighboring properties. Project lighting has been designed to: • illuminate the ground surface for safety; • not illuminate park areas that will not be used during night hours; • provide minimum lighting for the operation of surveillance cameras, security patrols and park personnel surveillance; and to achieve code- required illumination for egress. Condition Nos. 56-63 Seismic Public comments voiced seismic concerns with the glass building design. Proposed Conditions of Approval require project review and approval by the City’s Geologist prior to Grading or Building Permit issuance. Condition No. 21 F-22 Summary of Comment Project Clarification and/or Staff Analysis Recommended Mitigating Condition(s) of Approval No. Community Center Rooms Public comments expressed concerns with the number and size of community center rooms. Use Analysis (Attachment H) of existing and proposed facility use at Ladera Linda Park determined that the proposed project will result in a reduction of available space for classes, rentals and other programing. None Museum & Amphitheater Public comments expressed concerns with a museum and amphitheater. The proposed project does not include a museum or amphitheater, but rather a 660 ft2 multi-use meeting room that also includes some interactive displays and 775 ft2 outdoor tiered seating area built into an existing slope. The project architect, Johnson Favaro, prepared a grading exhibit that depicts proposed grading between the middle- and upper-tiers of the park, which included a rendering of the proposed tiered seating area (Attachment I). None Discovery Room Exhibits Concerns were expressed with the incorporation of the existing Discovery Room exhibits into the project. The current Discovery Room is a single-use 961 ft2 room at Ladera Linda full of geologic, cultural and static animal artifacts and displays. The proposed new design does not include a stand- alone dedicated Discovery Room. In its place, is a 660 ft2 multi-use meeting room with a capacity of 16 people. Designed for small meetings, the room has wall spaces and built-in cabinets to display a fraction of the Discovery Room’s total exhibits. There is no space in the proposed Condition No. 72 (New) F-23 Summary of Comment Project Clarification and/or Staff Analysis Recommended Mitigating Condition(s) of Approval No. building to store these items. A Condition of Approval is proposed that would require that the exhibits be placed in storage containers at the Point Vicente Interpretive Center or alternate location to be determined prior to construction. Other Improvements Public Comments suggested that the Community Center would include shower facilities. The proposed design does not include shower facilities. None Silhouette Public comments requested that a building silhouette be constructed. The Planning Commission- approved Conditions of Approval do not include provisions that require the construction of a project silhouette prior to construction. A project silhouette is not required as the project plans include 3-D renderings and a community center model was developed. Furthermore, the Planning Commission determined that the community center will not significantly impair views from neighboring properties. None Noise Public comments expressed concerns with noise impacts The Planning Commission- approved Conditions of Approval include a comprehensive list of noise restrictions and requirements related to mechanical equipment, deliveries, and amplified noise. Condition Nos. 65-68 F-24 Project Cost Public comments express a concern with the cost of the proposed project. Please see Staff’s analysis in the ‘Project Cost’ section of this report. None Parking Public comments request that more project parking be provided. Willdan Engineering traffic and parking analysis determined that the proposed 54 on-site parking spaces will more than accommodate park and community center needs. Condition Nos. 46-50. Compliance Review Concerns were expressed on operational impacts. The Planning Commission- approved Conditions of Approval include a one-year review (or earlier) to assess community center operations, at which time conditions may be added, deleted or modified accordingly. Condition No. 2 Enforcement of Conditions Concerns were expressed with the enforcement of proposed Conditions Enforcement of conditions will occur through compliance review, park supervision and signage. None Based on the discussion above, Staff is of the opinion that additional clarification has been provided to further address public comments and concerns with the proposed project. Furthermore, in response to the public comments, the Planning Commission - approved Conditions of Approval include a comprehensive set of provisions to mitigate negative project impacts. 5. Planning Commission Project Recommendations As part of the Planning Commission’s approval of the Ladera Linda Community Center and Park project applications, the Planning Commission also provided a number of recommendations, adopted via minute order, for the City Council’s consideration to further address project impacts (Attachment J). The table below identifies the recommendations along with staff’s analysis and/or associated action(s): F-25 Table 2. Planning Commission Project Recommendations Recommendation Staff’s Analysis Recommended Mitigating Condition(s) of Approval No. Develop parking and traffic strategies for Preserve Access, AYSO activities, and the Community Center that limits parking on residential streets and long wait times at PVD South. Strategies to include: A. Collection of traffic data and usage in the vicinity of the park, so as to develop a baseline by which to assess future project-specific traffic and parking impacts; B. Consider implementation of traffic calming measures, in order to provide immediate traffic relief in the area; and C. Develop a parking permit program in the area of the project site A. Add new Condition of Approval requiring the City to collect baseline traffic data in the area of the park, prior to grading and construction activities. B. Installation of the traffic signal at Palos Verdes Drive South and Palos Verdes Drive East is expected to begin in the spring of 2021 and be completed in the summer of 2021. Additionally, a Citywide traffic and speed study is being prepared that will assess, among other areas, this intersection. C. Add new Condition of Approval requiring the City to perform a parking demand analysis to assess alternatives for the development of a parking management program as part of the annual compliance review Condition Nos. 73 and 74 Explore ways to prioritize community center and park use for City residents. The City Attorney’s Office reviewed the request and determined that preferential treatment to residents needs to be justified by rational basis and supported by relevant evidence. Additionally, it is anticipated that the majority of community center and park users will be City residents based on usage at Hesse Park. In review of the 2019 data, the last full year prior to the pandemic, shows that 94% of reserved hours at None F-26 Recommendation Staff’s Analysis Recommended Mitigating Condition(s) of Approval No. Hesse Park’s McTaggert Hall were used by either RPV resident non-profits or RPV resident private rentals. The remaining 6% were a combination of non-resident or non-profit private rentals. Facility Rental Group Breakdown: Group I • City Sponsored Events, Gov. Agencies, Peninsula Residents, Public or Candidates Forums, RPV HOA’s, Peninsula Seniors Groups, Peninsula Non-Profit, Civic, Social and Youth Organizations with Non-Paid Management. Group II • Non-Resident HOA’s, Non-Resident Non-Profit, Civic, Social and Youth Organizations with Paid Management. Group III • RPV Residents/Private Party Activities, Resident Commercial and Religious Organizations. Group IV • Non-Residents/Private Party Activities, Non-Resident Commercial and Religious Organizations. Lastly, Staff is of the opinion that park use restrictions are not warranted, as the park does not create a cumulative impact on traffic and the F-27 Recommendation Staff’s Analysis Recommended Mitigating Condition(s) of Approval No. project and Planning Commission-approved Conditions of Approval provide sufficient measures to reduce project impacts in the area. Assess current and future usage of proposed park improvements, such as the basketball and paddleball courts, to ensure balance of recreational opportunities and adequate facilities. During community workshops and meetings regarding this project, there was strong local community support for maintaining existing recreational components. During the outreach process, there was limited support for expanding the quantity of existing facilities. None Address public safety concerns and parking impacts of stairs that provide access from the park’s court area to the soccer fields owned by the Palos Verdes Unified School District. Given the age of the stairs, their relatively poor condition, and the fact that they are not currently intended to provide for access to or from the soccer field, a Condition of Approval is recommended to remove the stairs as part of the park reconstruction. Condition No. 75 Staff is of the opinion that the Planning Commission’s recommendations and associated Conditions of Approval serve to further address any project impacts as well as to ensure that new Ladera Linda Community Center and Park remains compatible to with the surrounding land uses. 6. Modified Conditions of Approval Based on the Planning Commission’s recommendations and a reassessment of the adopted Conditions of Approval, Staff proposes that the City Council consider adding the following conditions of approval to the Commission-adopted conditions: • Condition No. 72- Prior to on-site grading or construction activities, the City shall place all Discovery Room exhibits/displays into storage at Point Vicente Interpretive Center or at other City facilities as deemed appropriate. After construction is complete, the exhibits/displays that are not incorporated into the Discovery Room, shall remain in storage. • Condition No. 73 - Prior to on-site grading or construction activities, the City shall conduct a traffic engineering study to collect baseline traffic data in the area of F-28 the park. • Condition No. 74 - The City shall perform a parking demand analysis to assess alternatives for the development of a parking management program as part of the annual compliance review. • Condition No. 75 - The access stairs between the upper tier of the project site and the adjacent property in the area of the lower soccer fields shall be removed as part of the park reconstruction. 7. Additional Information Potential Project Modifications Through the public comment process, Staff received a number of comments recommending modifications to the design of the proposed Community Center . During the Planning Commission’s consideration of the proposed project, the Planning Commission was directed to focus on the land-use/planning entitlements and to not to make design modifications to the Community Center, as design modifications would present fiscal impacts and project schedule extensions that would be under the purview of the City Council. The table below summarizes the potential project modifications along with Staff’s analysis, which includes an assessment of fiscal and project schedule impacts as well as any corresponding Condition(s) of Approval for the City Council’s consideration. The table also includes a Planning Commission conditioned project modification requiring that the lobby breeze, restroom and accompanying sink areas be secured with roll-down gates as well as shutting off the water to the wash area on a nightly basis. Please note that visual representations of the project modifications that would add security gates, enclose the breezeway or add a corridor (Modifications 1-4) are available in Attachment K of this report. Table 3. Project Modifications and Analysis Project Modification Staff’s Analysis Recommended Mitigating Condition(s) of Approval No. 1. Secure Community Center lobby breeze, restroom and accompanying sink areas with roll down security gates as well as shutting off the water to the wash area on a nightly basis (Commission-approved). $45,000 approximate cost increase; No schedule increase. Condition No. 31 (included as part of the proposed Conditions of Approval) 2. Enclosing the Community Center lobby breezeway (but not restrooms). $100,000 approximate cost increase;1 month schedule increase; changes to building plan backgrounds and None F-29 Project Modification Staff’s Analysis Recommended Mitigating Condition(s) of Approval No. involves all consultants; requires re-design and City approval of re- design before proceeding with Construction Document Phase. 3. Enclosing the Community Center restrooms (but not the lobby). $175,000 approximate cost increase; 2 month schedule increase; requires re-design and City approval of re- design before proceeding with Construction Document Phase. None 4. Creating an enclosed corridor along the north side of the Community Center enclosing the lobby and restrooms. $1,550,000 approximate cost increase; 3 month schedule increase; will require the building to move south on the site to accommodate a separation between the building and parking lot; increased annual operating costs with added interior floor area; requires re-design and City approval of re- design before proceeding with Construction Document Phase. None 5. Modifying the flat roof design of the Community Center to a pitched roof design. $1,325,000 approximate cost increase; City Council was presented with a wide range of roof options in October 2019 with comparative costs for each option. Cost increase is associated with added building material and increased cost to operations due to None F-30 Project Modification Staff’s Analysis Recommended Mitigating Condition(s) of Approval No. added volume to the interior. 6. Removing Discovery Room ($35,795) approximate cost decrease; the Discovery Room is not a dedicated room, but rather a part of the 660 ft2 multi-function meeting room, whereby the multi-purpose room can function as a “Discovery Room” when displays built into the walls are turned visibly outward; eliminating this feature will not cause a reduction in floor area or size of building footprint; cost savings are for fixtures only. None Based on the analysis above, all changes other than the installation of roll-down security gates at the restroom area and lobby breezeway will result in a significant increase to the project budget and the project schedule. More specifically, th e modifications requiring major project revisions (i.e. creating an enclosed corridor) will require the project architect and associated consultant team to step-back into the Design Development Phase before proceeding to the Construction Document Phase. Staff is of the opinion that the incorporation of the roll down security gates augments the project’s comprehensive set of safety and security measures, which include, but are not limited to, surveillance cameras, lighting, fencing and increased site supervision. Project Cost The following discussion encompasses a financial analysis of costs incurred to date and committed expenditures, project construction cost estimate, operating and maintenance cost estimates, and a summary of potential procurement and financing options. a. Year-to-Date Expenditures and Commitments To date, the project cost is approximately $849,993 based on year-to-date expenditures and committed expenditures, as described in greater detail below. From 2016 to March 12, 2021, the City has expended almost $550,000 in both the General Fund and the Quimby Fund toward the development of the Ladera Linda Community Center and Park Project. Of this amount, $263,000 or 48% was expended on design with Johnson Favaro and $184,000 or 34% was expended on the master plan with Richard Fisher F-31 and Associates. The remaining $102,000 or 19% was expended on surveys, environmental review, financial services, traffic study, and other miscellaneous services. At this time, the project has almost $300,000 committed for design services, CEQA analysis, and financial services. Table 4 below page summarizes the project year-to- date expenditures and outstanding commitments by categories and funds. Table 4. Year-to-Date Expenditures and Commitments *YTD as of March 1, 2021 b. Project Construction Cost Estimate Pursuant to the project description stated earlier in this report, the Ladera Linda Community Center and Park Project has two major components, which include the community center building and the park ground improvements. The enclosed building is approximately 6,790 ft2 while the building footprint which includes the enclosed interior of the building and covered walkways and eaves is approximately 13,720 ft2. The total overall project, community center building and park improvements, encompass approximately 273,600 ft2 or 6.3 acres out of a total site of approximately 11 acres. The estimated total construction cost for both the community center building and park grounds is approximately $15.7 million. This cost includes the construction costs, escalation costs, and soft costs associated with the project. The escalation cost of YEAR-TO-DATE EXPENDITURES Amount Funding Anderson Penna - Survey/Geotech 62,883$ 334 - Quimby Richard Fisher and Associates - Master Plan 184,045$ 334 - Quimby Priority One Environmental - Environmental Review 1,500$ 334 - Quimby Willdan - traffic study for PC meeting 10,175$ 101 - General Fund Michael Baker - CQEA analysis for PC meeting 3,599$ 101 - General Fund Johnson Favaro - Design 263,131$ 334 - Quimby Cal-Water - water pressure fire flow 525$ 334 - Quimby Kosmont - Financial services 23,277$ 101 - General Fund Total year-to-date expenditures 549,135$ OUTSTANDING COMMITMENTS Anderson Penna - Survey/Geotech -$ 334 - Quimby Johnson Favaro - Design 290,069$ 334 - Quimby Michael Baker - CQEA analysis for PC meeting 8,006$ 101 - General Fund Kosmont - Financial services 1,723$ 101 - General Fund Total year-to-date expenditures 299,798$ TOTAL YTD PROJECT COSTS 848,933$ YTD PROJECT COSTS BY FUND Amount 334 - Quimby 802,153$ 101 - General Fund 46,780$ TOTAL YTD PROJECT COSTS BY FUND 848,933$ F-32 approximately $550,000 is included in the estimate with a projected construction start date of December 2021. The projected escalation cost per month is approximately $31,000 for each month delay from the December 2021 start date. Table 5 below provides a summary of the total estimated project cost based on the project scope as approved by the Planning Commission. Table 5. Total Estimated Construction Cost *The estimated future costs include rounding and escalation to a projected start date of December 2021 Table 6. Total Estimated Construction Cost per FT² *The estimated future costs include rounding and escalation to a projected start date of December 2021 The soft costs are estimated as a percentage of hard costs based on staff experience; the percentages applied can vary depending on project manager judgement and the organizational structure and staffing of Public Works departments. HARD COSTS Amount Community Center (enclosed areas and covered areas) 5,700,000$ Sitework (demolition of existing buildings, site prep, etc.) 6,700,000$ Furnishings, fixtures, equipment (FFEs)300,000$ Sub-total of construction costs 12,700,000$ Construction contigency (5%)640,000$ Total estimated construction costs 13,340,000$ SOFT COSTS Construction management (5%)640,000$ Construction inspection (7.5%)950,000$ Permitting (2%)250,000$ Hazardous materials abatement (1%)130,000$ Engineering support during construction (3%)380,000$ Total estimated soft costs 2,350,000$ TOTAL ESTIMATED CONSTRUCTION COSTS 15,690,000$ Description Area Amount Unit Community Center (40%)6,276,000$ Sitework (60%)9,414,000$ 15,690,000$ Structural framed area (ft²)13,720.00 457.43$ per ft² Enclosed building areas (ft²) 6,790.00 924.30$ per ft² Park ground (ft²)259,870.00 36.23$ per ft² Overall project (ft²)273,590.00 57.35$ per ft² F-33 The estimated construction costs for the Ladera Linda Community Center and Park have been publicly compared to other facility projects in nearby communities. However, the publicly stated costs for other projects, do not include soft costs such engineering, management, permitting, and inspection; escalation to projected year of construction; furnishings, fixtures, and equipment (FFEs); special requirements; and contingencies. These costs can increase the project totals by at least 30% to 50%, particularly when projects are in the early planning stages. Table 7. Comparison between the George F Canyon Nature Center and the Ladera Linda Community Center c. Phased Construction Cost Should City Council decide to phase the project, e.g., build only one section of building now and the remainder later, costs are almost certain to increase. First, a decision will need to be made as to what is to be included in the first phase, which will require an iterative scoping phase and a phasing plan. There will be additional costs for multiple bidding processes, and plan revisions as building codes may change prior to permitting later phases. Next, phased construction requires additional mobilizations and secondary impacts to neighbors. There will be the need to join existing construction and match materials. Additionally, phasing loses the advantage of economy of scale for construction of improvements and for engineering, inspection, and construction management. Lastly, there will likely be increased construction costs due inflationary cost escalation affecting materials and contactors’ overhead, as well costs associated with operational impacts. d. Operating & Maintenance Costs Currently, Ladera Linda Community Center and Park has one part-time employee per shift who is overseen by a full-time recreation supervisor. The estimated operating and maintenance costs for FY 2020-21 is approximately $191,000. Staff estimates the operating and maintenance costs for the new facility and park to be less than $210,000. The estimate includes staffing, supplies, utilities, maintenance, playground equipment repair, and fuel modification. Due to the health emergency order and the shutdown of park facilities, staffing and supplies for FY 2020-21 is lower than a typical year. Staff anticipates that the new facility will require more staffing (as previously reported) and supplies. However, staff anticipates that the newer facility will not have the same George F Canyon Nature Center Ladera Linda Community Center Building 1,750 6,790 Structural framed area 3,355 13,720 Estimated costs w/out soft costs and contingency 1,694,376$ 5,080,000$ Cost per ft²505$ 370$ F-34 maintenance needs and will more energy efficiency, so staff is projecting these to remain flat or just a modest increase. Table 8 below illustrates the increase of the operating and maintenance budget of the new facility to FY 2020-21. Table 8. Proposed Operating & Maintenance Costs e. Procurement and Financing Options In October 2019, the City entered into a Municipal Advisory and Consulting Services agreement with Kosmont Transaction Services (KTS). The scope of the agreement is for KTS to identify alternative financing options based on the 2019 City Council's approved design for the Ladera Linda Community Center and Park Project. KTS presented the procurement and financing options to the Finance Advisory Committee (FAC) on February 25, 2021. A copy of the presentation given to the FAC on February 25 is attached (Attachment L). According to the presentation provided to the FAC, there are generally two major components to consider funding this City capital project: I. Procurement Options o Traditional ▪ The City is responsibility from start to finish of the project. ▪ May take longer to complete. ▪ Flexible financing options. o Total Project Delivery ▪ The City is not responsible for the project installation. ▪ Guaranteed delivery. ▪ Limited to lease payment. o Design-Build ▪ One contractor to design and build. ▪ The City is responsibility from start to finish of the project. ▪ Streamline process to reduce the time to complete. ▪ Flexible financing options. FY 2020-21 Proposed Increase Salaries & benefits 47,400 127,300 79,900 Supplies 1,000 6,500 5,500 Utilities 28,200 27,700 (500) Maintenance 115,000 76,800 (38,200) TOTAL 191,600 238,300 46,700 F-35 The P3 (public private partnership) model was not presented as a procurement option because of the size of the project. A desirable P3 project for most developers would have to be in the range of $50 million or more. Moreover, since most of the design work has been completed, it too is less desirable for a P3 developer. II. Financing Options o Current Resources ▪ Cash reserve ▪ Grants ▪ Special revenues o Issue Securities ▪ Loan ▪ General Obligation Bonds – requires an affirmative vote of 2/3 of registered voters ▪ Lease Revenue Bonds – no voter requirement o Lease ▪ Direct Lease – non-tax exempt, term of less than 30 years ▪ Total Project Delivery – tax exempt, 30-year term As illustrated on Page 11 of the FAC presentation (Attachment L), financing 100% of the project is the most expensive financing method. The general obligat ion bond requires an affirmative vote of 2/3 and has to be on a ballot during a November election. The lease revenue bond does not require a 2/3 vote but it needs a good credit rating to take advantage of a low interest rate. A capital loan with iBank is s ubject to credit check and project review. These financing options have at least a 20-year term. Table 9 below provides an example of the financing cost per $1 million as presented by KTS on February 25, 2021. Table 9. Financing Comparison Per $1 Million Based on the information provided above and discussion at the FAC meeting, if the project budget is deemed acceptable to the City Council, Staff will bring the information back to the FAC at a meeting tentatively scheduled for April 22nd for further discussion and recommendations for consideration by the City Council tentatively at its May 4, 2021 meeting. Variable 100% Cash 50% Cash 50% Financed 100% Financed Principal amount N/A $515,000 $1,025,000 Financing costs -$ 10,300$ 20,500$ Total principal & interest payment -$ 789,800$ 1,569,350$ Cash 1,000,000$ 500,000$ -$ Total spent on project 1,000,000$ 1,289,800$ 1,569,350$ All-in interest cost N/A 3.16%3.16% Average annual payment N/A 26,327$ 52,312$ F-36 Project Timeline If the City Council approves the requested land -use applications for the Ladera Linda Community Center and Park, the project timeline will be as follows: • Completion of Construction Documents: approximately three months • Permitting: approximately two months • Bidding: approximately four months Design changes directed by the City Council could increase the project timeline by up to three months, depending on the changes. MISCELLANEOUS INFORMATION Appeal Hearing Participation Staff invited the Planning Commission Chairman Gordon Leon to participate in the City Council appeal hearing. Staff also invited Steve Johnson of Johnson Favaro and his consultant team, including the cost estimator, to participate in the public hearing. Advisory Committee Update Staff provided the Infrastructure Management Advisory Committee (IMAC), Civic Center Advisory Committee (CCAC) and the FAC with a presentation of the Ladera Linda Community Center and Park project for informational purposes. ALTERNATIVES In addition to the staff recommendation, the following alternative actions are available for the City Council’s consideration: 1. Provide staff with further project input and continue the public hearing to the May 4, 2021 City Council meeting in order to provide staff with an opportunity to incorporate feedback. 2. Uphold the Planning Commission’s approval of the Ladera Linda Community Center and Park planning entitlements with no modifications to the approved Conditions of Approval. 3. Overturn the Planning Commission’s approval of the Ladera Linda Community Center and Park planning entitlements thereby denying the project. F-37 RESOLUTION NO. 2021-__ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES UPHOLDING THE PLANNING COMMISSION-APPROVED CONDITIONAL USE PERMIT, MAJOR GRADING PERMIT, VARIANCE AND SITE PLAN REVIEW FOR THE LADERA LINDA COMMUNITY CENTER AND PARK PROJECT WITH MODIFICATIONS TO THE CONDITIONS OF APPROVAL (CASE NO. PLCU2020- 0007). WHEREAS, on August 20, 2019, after a comprehensive public outreach and engagement effort, the City Council approved the Ladera Linda Community Center and Park Master Plan, which included approving the design of the replacement Community Center, landscaping, ancillary site improvements, as well as factors such as park security, staffing levels and facility rentals; and, WHEREAS, on October 15, 2019, the City Council reviewed roof design options and directed Staff to study the installation of a solar roof option as part of the detailed construction drawings phase; and, WHEREAS, on December 10, 2020, a 15-day public notice for the public hearing on the project-required planning entitlements was sent to property owners within a 500 - foot radius of the project site, interested parties, as well as published in the Peninsula News; and, WHEREAS, on December 31, 2020, an amended public notice was issued to identify additional required project applications that were not previously outlined in the original public notice; and, WHEREAS, on January 26, 2021, the Planning Commission held a public hearing regarding the proposed project to review plans for the replacement of the Ladera Linda Community Center and Park, as it relates to Chapter 17 (Zoning) of the Rancho Palo Verdes Municipal Code, and continued the public hearing to February 23, 2021, in order to provide staff an opportunity to assess input and incorporate project feedback as necessary; and, WHEREAS, on February 23, 2021, the Planning Commission held a public hearing to further discuss the subject project and after considering public testimony adopted P.C. Resolution No. 2021-02, conditionally approving the requested Conditional Use Permit, Major Grading Permit, Variance and Site Plan review with minute-order recommendations to the City Council; and, WHEREAS, on February 24, 2021, the City Council Public Facilities Subcommittee, consisting of Mayor Alegria and Councilmember Cruikshank, notified City Manager Mihranian to request that an item be placed on the next available agenda for F-38 the City Council to consider whether to appeal the Planning Commission’s approval of the subject project; and, WHEREAS, on March 2, 2021, the City Council approved the filing of an appeal to the Planning Commission’s approval of the subject project and setting the appeal hearing date to April 6, 2021; and WHEREAS, on March 11, 2021, a 15-day public notice of the public hearing regarding the appeal was provided to all property owners within a 500 foot radius of the Property and published in the Palos Verdes Peninsula News; and WHEREAS, Pursuant to the provisions of the California Environmental Quality Act, Public Resources Code Sections 21000 et. seq. ("CEQA"), the State's CEQA Guidelines, California Code of Regulations, Title 14, Section 15000 et. seq., the City's Local CEQA Guidelines, and Government Code the proposed project has been found to be categorically exempt under Section 15302 (Replacement or Reconstruction) of the CEQA Guidelines. Specifically, the project consists of the reconstruction of an existing facility where the new structure will be located on the same site as the structure(s) replaced and will have substantially the same purpose and capacity; and, WHEREAS, on April 6, 2021, the City Council held a duly noticed public hearing, at which time all interested parties were given an opportunity to be heard and present evidence. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: Section 1: The above recitals are hereby incorporated into this Resolution as set forth herein. Section 2: The project involves the demolition of five existing buildings, parking, ancillary site improvements and landscaping to accommodate the construction of a new 6,790ft2 single-story community center building measuring 16’-6¼” in height, parking for 54 cars on-site, play areas, landscaping, ancillary site improvements and 9,000 yd3 of combined balanced on-site grading (4,500 yd3 of cut and 4,500 yd3 of fill). Section 3: The Conditional Use Permit for the new Ladera Linda Park, 6,790 ft2 single-story community center, play areas, landscaping, and ancillary site improvements is warranted based on the following findings: A. The project site is adequate in size and shape to accommodate the proposed use. The project site is approximately 11.031 acres in size and currently utilized as a park and Community Center with multiple facility buildings, surface parking, playground paving, equipment and paddle tennis F-39 courts, fields, landscaping and emergency preparedness storage containers. The proposed project includes the demolition of the existing facilities and improvements, with the exception of the paddle tennis courts, to construct a single Community Center structure that would be approximately 37% of the total gross square footage of the existing facility. Consequently, the new building would occupy a significantly smaller footprint than the existing buildings and be located in the middle of the existing built areas of the Park. The proposed Community Center an d ancillary facilities are sited throughout the 11.031 -acre tiered site, so as to provide enhanced setbacks to adjacent properties and provide enhanced line of sight from the perimeter of the property for security purposes. The proposed 54 on-site parking spaces, which consist of four ADA spaces, four dedicated spaces for clean air vehicles (one Van ADA space included), exceed the parking stalls required for both weekend (42 spaces) and weekday (15 spaces) conditions for the proposed project as outlined in the latest edition of the Institute of Transportation Engineer’s Parking Generation Manual (5th Edition, 2019). B. The proposed project relates to streets and highways sufficient to carry the type and quantity of traffic generated by the use. The project replaces the existing Community Center facility, comprised of several buildings, with a single building that would be less than 40% of the total square footage of the existing facilities. In addition, the new building would occupy a smaller footprint than the existing Community Center buildings within the existing built areas of the Park. Furthermore, the Project will not result in any increases to the existing uses, programming, and activities. Rather, uses, programming and activities are proposed to be limited and regulated, and would, therefore, have substantially the same purpose, but with less capacity than the existing facility that will be replaced. The park does not create a cumulative impact on traffic within the City of Rancho Palos Verdes. The traffic on Forrestal Drive is mostly attributed to the only outlet to over 160 single family homes off Pirate Drive. The proposed Park and Community Center does not affect the traffic signal warrant at the intersection of Palos Verdes Drive South and Forrestal/ Trump National. C. The project site is currently improved with a park use and will continue to serve as such as part of the proposed project. The new Community Center will serve all residents and the community, particularly those located on the east side of the City, as an area for recreational opportunities as well as for emergency preparedness activities such as, but not limited to, a cooling center and storage location. The height of the proposed Community Center is 16 feet- 6 ¼ inches and will not create a significant adverse effect, as residential properties to the east and south of the project site have views of the ocean and Catalina Island oriented in the opposite direction of the F-40 proposed building. Furthermore, the building pad of the proposed Community Center will be located approximately 25 feet below the street of access (Forrestal Drive), therefore views from the street and adjacent trails can be observed over the proposed building height. The project will not result in any adverse safety or security impacts, as the City Council design - approved project includes a comprehensive list of safety measures and designs such as the incorporation of a surveillance system, motion and glass break sensors, perimeter fencing, and lighting design. The project will not result in adverse noise impacts as the project incorporates construction noise regulations, hours of operation for the community center and limitations on mechanical equipment noise. The project ligh ting will not result in an adverse impact because the site lighting has been designed to comply with RPVMC regulations and to provide for park safety and security. D. The use of the property for a park and community center is consistent with the Institutional- Public General Plan land use designation for the site. The project site is currently a park with a community center and will continue to be utilized as such. The new park and community center will serve all residents and the community, particularly th ose located on the east side of the City, as an area for recreational opportunities as well as for emergency preparedness activities such as, but not limited to, a cooling center and storage location. Furthermore, the Conservation and Open Space Element of the City’s 2018 General Plan Update (pg. COS-39) identified the Ladera Linda Park and Community Center as an Institutional-Public land use with passive and active amenities including playground and sports equipment, multipurpose rooms and classrooms as well as ancillary site improvements including a parking lot and restrooms. The General Plan also notes that a Master Plan process for the Ladera Linda Park and Community Center was included in the Parks Master Plan Update. Section 4: The Variance for the construction of retaining walls up to 15½ feet in height to support ADA complaint ramps between the middle -tier and upper-tiers of the park is warranted based on the following findings: A. The project site was originally developed as an elementary school wit h multiple classroom buildings and play areas on a three-tiered site due to the unique and steep topographic conditions in the area, which have been used as a community center and park facilities since the 1980s. The three tiers include a lower, middle, and upper tier with 5-foot to 15-foot transitional slopes between the tiers. The project proposes to maintain the same three- tier park layout and will also include new accessible walking paths and ramps to enhance accessibility and walkability throughout th e project site. In order to accommodate an ADA-compliant accessible ramp between the middle and upper tiers of the park, the project proposes to construct a F-41 retaining wall with an overall height of up to 15½ feet. The existing site development and requirement to provide for enhanced accessibility to meet ADA requirements present exceptional circumstances that warrant the need to construct a retaining wall that exceeds the height limitations established in the RPVMC. Although other Institutional-zoned properties in the City were developed with similar topographic conditions, the project site is unique in that it was previously developed as an elementary school and the project proposes to re-develop the site but maintain the existing park’s tiered layout but meet current accessibility requirements. B. The construction of the proposed retaining wall up to 15½ feet in height are necessary for the preservation and enjoyment of a substantial property right, which right is possessed by other property owners under like conditions in the same zoning district. The project site is encumbered by steep topographical conditions in certain areas of the project site, including transitional slopes between the various tiers of the park that are not present in other developed Institutional zoned properties. As a public facility, owned and operated by the City of Rancho Palos Verdes, the City is r equired to provide for ADA accessibility throughout the site and to ensure the safety of the public. C. The construction of the proposed retaining wall up to 15½ feet in height to accommodate an ADA access ramp will not be materially detrimental to the public welfare or injurious to property and improvement in the area, as the construction of the proposed wall will be reviewed and inspected by the City’s Building and Safety Division for conformance with the California Building Code and associated geological requirements. In addition, the proposed retaining wall will support the transition slope between the middle and upper tiers of the park. Not granting the Variance application request for the construction of retaining walls up to 15½ feet in height and not accommodating an ADA accessible ramp would in fact be materially detrimental to the public welfare or injurious to visitors of the park. D. The variance will not be contrary to the objectives of the General Plan or the policies and requirements of the Coastal Specific Plan. The project site is not located in the City’s Coastal Specific Plan. The use of the property as a park and community center is consistent with the City’s updated General Plan. The Conservation and Open Space Element (Pg. COS-6) of the City’s General Plan includes goals and policies related to Open -Space and Recreation Resources, which promote public access to all recreational land and building additional parks and playfields, where appropriate, for multiple use by various groups. The proposed retaining wall with an overall height of 15 ½ feet, will provide enhanced ADA accessibility to recreational land and for the use of various groups. F-42 Section 5: The Major Grading Permit to conduct 9,000 yd3 of combined grading consisting of 4,500 yd3 of cut and 4,500 yd3 of fill with grading above 5 feet in height is warranted based on the following findings: A. The grading does not exceed that which is necessary for the permitted primary use of the lot. The proposed project is in an Institutional Zoning District, in which the primary use of the lot is a park and Community Center. The new park and community center will serve all residents and the community, particularly those located on the east side of the City, as an area for recreational opportunities as well as for emergency preparedness activities such as, but not limited to, a cooling center and storage location. The proposed 9,000 yd3 of grading will be balanced on-site therefore avoiding the need to export or import soil or rock. Furthermore, the proposed grading will be limited to the existing developed portions of the site, which have been previously graded to support existing improvements. The project grading proposes targeted cut and fill into po rtions of the existing site to accommodate the proposed park and community center, parking lot, tiered seating, walking paths, ADA compliant accessible ramp, and other ancillary park improvements. In addition, the proposed grading will enhance adequate drainage of the site. B. The proposed project and associated grading will not significantly adversely affect the visual relationships with, nor the views from the viewing areas of neighboring properties because the project site is currently improved with an existing park, building facilities, and ancillary site improvements. The proposed grading will continue to accommodate a park use and a single community center building that would be less than 40% of the total square footage of the existing facility. In addition, the new community center would occupy a smaller footprint than the community center buildings within the existing built areas of the Park. The proposed building height will not create a significant adverse effect, as the height of the community center, as a result of the site grading, will not impact views as observed from neighboring properties due to the topographic conditions in the area. Residential properties to the east and south of the project site have views of the ocean and Catalina Island oriented in the opposite direction of the proposed building. Finally, the building pad of the proposed community center will be located approximately 25 feet below the street of access (Forrestal Drive), whereby views from the street and adjacent trails can be observed over the proposed building height. C. The nature of the grading minimizes disturbance to the natural contours and finished contours are reasonably natural because the proposed grading is generally limited to developed portions of the site. In addition, the proposed F-43 grading maintains a majority of the existing contours surrounding the developed areas on the project site. The project proposes to maintain the existing transitional slope along the south and southwest of the site as well as the slopes between the project site and Forrestal Drive. The finished contours of the project will blend with the existing contours on the existing site. D. The grading takes into account the preservation of natural topographic features and appearances by means of land sculpturing . The project site has been previously graded to accommodate the existing park, parking lot and ancillary site improvements. The proposed grading is generally limited to developed portions of the site. Moreover, the proposed grading generally follows the existing slope of the property and re sults in finished slopes that appear reasonably natural. Additionally, although some land-sculpturing is proposed to occur, it is designed so as to blend the manufactured slopes into the natural topography. E. The grading would not cause excessive and unnecessary disturbance of the natural landscape or wildlife habitat through removal of vegetation because the proposed grading area does not contain natural landscape or wildlife habitat. The proposed grading is limited to areas of the project site that have been previously graded to accommodate existing structures and ancillary site improvements. F. The grading conforms to the City’s standards for grading on slopes, maximum finished slopes, maximum depth of cut and fill, and retaining wall heights with the exception grading on slopes over 50% steepness and the construction of a retaining wall up to 6 feet-11 inches in height along the driveway in the immediate area of the mechanical and refuse enclosures. The proposed grading over slopes with 50% and the retaining wall are consistent with the purpose of the Grading Permit because it will result in the reasonable development of the project site. In additi on, the proposed grading and retaining wall will contribute to the overall site accessibility and retention of groundcover to aid against flooding, erosion and other similar hazards. Furthermore, the scenic character of the neighborhood would not be altered as the retaining wall along the driveway would not be readily visible from the public right-of-way as the location of the wall be located below the Forrestal Drive street level. The proposed grading and retaining wall will comply with the goals and policies of the General Plan, as the project supports policies for public health/ safety related to the environment. More specifically, the proposed retaining wall is required to be designed to performance standards that ensure both engineering standards and the topographic treatment of slopes on the property. Furthermore, the City’s geotechnical consultant and the Building Official will be required to review F-44 and approve engineered grading plans prior to grading permit issuance and inspections will be conducted throughout the process. With these provisions, the proposed deviation will not cause a detrimental impact to public safety and/or other properties in the vicinity of the project. Notice of this decision shall be given to the Applicant and to all owners of property adjacent to the property Section 6: The Site Plan Review for the proposed ancillary site improvements including, but not limited to, the accessory structures, flag pole, mechanical equipment and parking comply with all applicable Code requirements. Section 7: In order to further mitigate any potential project impacts to neighboring properties in the area, the City Council also modifies the Planning- Commission approved Conditions of Approval to include the following Conditions of Approval: • Condition No. 72 - Prior to on-site grading or construction activities, the City shall place all Discovery Room exhibits/displays into storage at Point Vicente Interpretive Center or at other City facilities as deemed appropriate. After construction is complete, the exhibits/displays that are not incorporated into the Discovery Room, shall remain in storage. • Condition No. 73 - Prior to on-site grading or construction activities, the City shall conduct a traffic engineering study to collect baseline traffic data in the ar ea of the park. • Condition No. 74 - The City shall perform a parking demand analysis to assess alternatives for the development of a parking management program as part of the annual compliance review. • Condition No. 75 - The access stairs between the upper tier of the project site and the adjacent property in the area of the lower soccer fields shall be removed as part of the park reconstruction. Section 8: Pursuant to the provisions of the California Environmental Quality Act, Public Resources Code Sections 21000 et. seq. ("CEQA"), the State's CEQA Guidelines, California Code of Regulations, Title 14, Section 15000 et. seq., the City's Local CEQA Guidelines, and Government Code the proposed project has been found to be categorically exempt under Section 15302 (Replacement or Reconstruction) of the CEQA Guidelines. Specifically, the project consists of the reconstruction of an existing facility where the new structure will be located on the same site as the structure(s) replaced and will have substantially the same purpose and capacity. F-45 Section 9: The City Clerk shall certify to the passage, approval, and adoption of this Resolution, and shall cause this Resolution and her certification to be entered in the Book of Resolutions of the City Council. Section 10: The time within which judicial review of the decision reflected in this Resolution must be sought is governed by Section 1094.6 of the California Code of Civil Procedure and/or Section 21167 of the California Public Resources Code. PASSED, APPROVED and ADOPTED this 6th day of April 2021. _________________________________ Eric Alegria, Mayor ATTEST: ____________________________ City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss CITY OF RANCHO PALOS VERDES ) I, __________, City Clerk of the City of Rancho Palos Verdes, do hereby certify that the above Resolution No. 2021-__, was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on April 6, 2021. __________________________________ CITY CLERK F-46 EXHIBIT 'A' LADERA LINDA COMMUNITY CENTER AND PARK PROJECT CONDITIONS OF APPROVAL FOR CONDITIONAL USE PERMIT, VARIANCE, MAJOR GRADING PERMIT & SITE PLAN REVIEW (CASE NO. PLCU-0007) 1. Approval of this permit shall not be construed as a waiver of applicable and appropriate zoning regulations, or any Federal, State, County and/or City laws and regulations. Unless otherwise expressly specified, all other requirements of the City of Rancho Palos Verdes Municipal Code (RPVMC) shall apply. 2. No later than one year after the issuance of the Certificate of Occupancy for the Community Center building, the City Council shall review the Conditions of Approval contained herein at a duly noticed public hearing. As part of the review, the City Council Commission shall assess the project’s compliance with the Conditions of Approval and the adequacy of the conditions imposed. At that time, the City Council may add, delete, or modify any conditions of approval as evidence presented at the hearing demonstrates are necessary and appropriate to address impacts resulting from operation of the project. Notice of the review hearing shall be published and provided to owners of property within a 500-foot radius of the site, to persons requesting notice, to all affected homeowners associations, and to the property owner, in accordance with the RPVMC. As part of this review, the City Council shall consider, among other things, the parking conditions, circulation patterns, lighting, landscaping, noise, and operational hours. The City Council may require such subsequent additional reviews, as the City Council deems appropriate. This provision shall not be construed as a limitation on the City’s ability to enforce any provision of the RPVMC regarding this project. The City Council may remand this review to the Planning Commission to provide recommendations in the advisory capacity. In this case, the Planning Commission shall conduct a duly noticed public hearing pursuant to public notification requirements stated above. 3. Pursuant to RPVMC Section 17.78.040, the Director of Community Development is authorized to make minor modifications to the approved plans and any of the conditions of approval if such modifications will achieve substantially the same results as would strict compliance with the approved plans and conditions. Substantial changes to the project shall be considered a revision and require approval by the final body that approved the original project, which may require new and separate environmental review and public notification. 4. The project development on the site shall conform to the specific standards F-47 contained in these Conditions of Approval or, if not addressed herein, shall conform to the Institutional zoning district development standards of the RPVMC, including but not limited to height, setback standards. 5. In the event that any of these conditions conflict with the recommendations and/or requirements of another permitting agency or City department, the stricter standard shall apply. 6. Unless otherwise designated in these conditions, all construction shall be completed in substantial conformance with the plans stamped APPROVED by the City with the effective date of this Resolution. 7. This approval is only for the items described within these conditions and identified on the stamped APPROVED plans and is not an approval of any existing illegal or legal non-conforming structures on the property, unless the approval of such illegal or legal non-conforming structure is specifically identified within these conditions or on the stamped APPROVED plans. 8. The construction site and adjacent public and private properties and streets shall be kept free of all loose materials resembling trash and debris in excess of that material used for immediate construction purposes. Such excess ma terial may include, but not be limited to: the accumulation of debris, garbage, lumber, scrap metal, concrete asphalt, piles of earth, salvage materials, abandoned or discarded furniture, appliances or other household fixtures. 9. All construction sites shall be maintained in a secure, safe, neat and orderly manner, to the satisfaction of the City’s Building Official. All construction waste and debris resulting from a construction, alteration or repair project shall be removed on a weekly basis by the contractor or property owner. Existing or temporary portable bathrooms shall be provided during construction. Portable bathrooms shall be placed in a location that will minimize disturbance to the surrounding property owners, to the satisfaction of the City’s Building Official. 10. Permitted hours and days for construction activity are 7:00 a.m. to 6:00 p.m., Monday through Friday, 9:00 a.m. to 5:00 p.m. on Saturday, with no construction activity permitted on Sundays or on the legal holidays specified in RPVMC Section 17.96.920. During demolition, construction and/or grading operations, trucks shall not park, queue and/or idle at the project site or in the adjoining street rights -of- way before 7:00 a.m. Monday through Friday and before 9:00 a.m. on Saturday, in accordance with the permitted hours of construction stated in this condition. When feasible to do so, the construction contractor shall provide staging areas on - site to minimize off-site transportation of heavy construction equipment. These areas shall be located to maximize the distance between staging activities and neighboring properties, subject to approval by the building official. F-48 11. If construction projects that are accessible from a street right-of-way or an abutting property and which remain in operation or expect to remain in operation for over 30 calendar days, the City shall provide temporary construction fencing, as defined in RPVMC Section 17.56.050(C). Unless required to protect against a safety hazard, temporary construction fencing shall not be erected sooner than 15 days prior to commencement of construction. Project Specific Conditions 12. This approval allows for the following: • Demolition of five existing buildings (18,574 ft2 in gross area), parking, ancillary site improvements and landscaping; • Construction of a new 6,790 gross ft2 single-story building (community center) and adjacent 137 ft2 of covered patio areas with an overall height of 16 feet – 6 ¼ inches; • Construction of a 400 ft2 storage facility at 12 feet in height for City and emergency supplies; • Construction of a 54-stall parking lot located adjacent to building and playground, including four clean air vehicle spaces; • Construction of a naturalistic children’s playground area in the upper terrace; • Construction of one full basketball court and a half-court basketball court in the upper terrace; • Renovation of two existing paddle tennis courts in the upper t errace; • Construction of walking paths throughout park area along with upper and lower lawn areas; • Construction of an outdoor tiered seating area between the middle - and upper- terraces; • Construction of a lawn area in the lower terrace; • Utilization of existing Forrestal Drive entrance into the park; • Installation of low-impact, native and drought-tolerant landscaping, including 30-foot to 100-foot buffer zone between the building and southerly slope; • 9,000 cubic yards combined balanced on-site grading (4,500 cubic yards of cut and 4,500 cubic yards of fill); • Grading cut and fill over 5 feet in height to support an Americans with Disability Act (ADA) access ramp between the middle- and upper terraces; • Construction of retaining and combination walls to a maximum height of 15 ½ feet to accommodate accessibility and ADA compliant ramps; • Installation of a new 12-foot flagpole; • Construction of mechanical equipment and refuse storage area; F-49 • Installation of new bike and storage area; • Installation of vehicular entry gate for park security; and, • Installation of on-site lighting. 13. The height of the proposed community center shall be 16 feet-6 ¼ inches tall, as measured from the highest existing grade covered by the structure (elev. 448.00 feet) to the highest roof ridgeline (464.525 feet). BUILDING HEIGHT CERTIFICATION IS REQUIRED TO BE PROVIDED BY A LICENSED LAND SURVEYOR OR CIVIL ENGINEER PRIOR TO ROOF SHEATHING INSPECTION. 14. The height of the proposed accessory storage building shall not exceed a height of 12 feet as measured as measured from the lowest preconstruction grade adjacent to the foundation wall to the ridge. 15. Unless modified by the approval of future planning applications, the approved community center building and storage building shall maintain the following setbacks: • Front & Street Side- 25 feet (abutting a dedicated street) • Interior Side & Rear- 20 feet Grading Permit Conditions 16. The following maximum quantities and depths of grading are approved for the project site as shown on the grading plan reviewed and approved by the City Council: a. 9,000 cubic yards of combined on-site grading (4,500 cubic yards of cut and 4,500 cubic yards of fill) with retaining walls up to 12 feet in height in support of the proposed improvements. b. Cut and fill depths up to 10 feet in height No export or import of earth material shall occur with the exception of base material and other construction related material. 17. The Director of Community Development shall be authorized to allow deviations to the project grading quantities up to 200 cubic yards over the stated maximum quantities for unforeseen circumstances due to conditions encountered in the field provided that such deviation or modification to the grading quantities achieve substantially the same results as with the strict compliance with the grading plan. F-50 Any modifications resulting in additional grading in excess of the above amounts shall require approval of an amendment to the grading permit by the City Council at a duly noticed public hearing. This is a balanced grading project. No export or import of earth shall be permitted, except for rock material or fine grading materials, such as select fill. 18. Prior to the final inspection of the precise grading, a certified as -built grading plan prepared and wet-stamped by a license engineer shall be reviewed and approved by the Building Official and the Director of Public Works. If applicable, the as -built grading plan shall identify any revisions to the grading plan. 19. For all grading, landscaping and construction activities, the City shall employ effective dust control techniques, either through screening and/or watering. 20. PRIOR TO ISSUANCE OF GRADING OR BUILDING PERMITS, haul routes to transport soil shall be approved by the Public Works Department, if applicable. 21. PRIOR TO THE ISSUANCE OF GRADING OR BUILDING PERMITS, the contractor shall demonstrate to the satisfaction of the Director of Community Development how dust generated by the grading activities will be mitigated, so as to comply with the South Coast Air Quality Management District Rule 403 and the RPVMC requirements, which require watering for the control of dust. 22. PRIOR TO THE ISSUANCE OF GRADING OR BUILDING PERMITS, the project geologist shall review and approve final plans and specifications and shall stamp and sign such plans and specifications. 23. PRIOR TO ISSUANCE OF GRADING OR BUILDING PERMITS, the City shall submit for review and approval a drainage plan that complies with the National Pollutant Discharge Elimination System (NPDES) permits for stormwater discharges. 24. All grading shall be monitored by a licensed engineering geologist and/or soils engineer in accordance with the applicable provisions of the RPMVC and the recommendations of the Director of Public Works. Written reports, summarizing grading activities, shall be submitted on a weekly basis to t he Director of Public Works and the City’s Building Official. 25. Grading activity on-site shall occur in accordance with all applicable City safety standards. 26. If applicable, any water features, including bioswales, shall be lined to prevent percolation of water into the soil. Designs of all water features shall be included on the grading plans submitted for review by the City’s Building Official and the City’s F-51 Geologist prior to the issuance of any grading permits. 27. Prior to the final grading inspection by the Building and Safety Division, the graded slopes shall be properly maintained in accordance with the project landscape plan. Plan materials shall generally include significant low ground cover to impede surface water flows. Safety Conditions 28. PRIOR TO THE ISSUANCE OF ANY GRADING OR BUILDING PERMITS, the project plans shall be reviewed and approved by the Los Angeles Count y Fire Department to ensure compliance with the fire code and fuel modification requirements. 29. PRIOR TO THE ISSUANCE OF ANY GRADING OR BUILDING PERMITS, the City shall contract with a security consultant to develop a Safety & Security Plan, which incorporates the following safety design elements: • Clear points of entry and improved sight lines in the final design; • Appropriately placed exterior and interior security cameras and motion sensors with lighting; • Appropriate low-level landscaping; • Control of ingress and egress points during operating hou rs and non- operating hours; • Glass break sensors; • On-site security lighting incorporating comprehensive best practices in lighting design throughout the park grounds and building; • Ability to secure park perimeter at night through fencing and improved entrance gates for both pedestrian and vehicular access points; • Ability to make restroom and vestibule area secured and inaccessible during community center non-operating hours; • Reduction/elimination of blind spots; , • Increased utilization of the park combined with increased staff supervision 30. The on-site surveillance system, including security cameras and motion sensors shall be maintained by the City in perpetuity. 31. The community center open lobby, restrooms and accompanying sink areas shall be designed to be secured on a nightly basis with a roll-down security gate or other means to secure the area and prevent hour use. F-52 Landscape and Park Improvement Conditions 32. A final Landscape Plan shall be prepared by a qualified Landscape Architect in accordance with the standards set forth in the RPVMC. The Landscape Plan shall be reviewed and approved by the Director of Community Development, a qualified Landscape Architect, and/or an Arborist hired by the City, prior to the issuance of any building or grading permits. The Landscape Plan shall include, at include, a minimum, the plant species (Latin and common names), growth rate, and maximum height at maturity of all proposed trees. During the Director’s review, the Landscape Plan shall also be made available to the public for review. The Landscape Plan shall comply with the City’s Water Efficient Landscape Ordinance, the View Preservation Ordinance, the planting requirements, the irrigation system design criteria, and all other requirements RPVMC. All new trees and foliage shall not exceed 16-feet in height, as measured from the grade adjacent to the tree or foliage. The Landscape Plan shall also include an Integrated Pest Management Plan that addresses the use of grass-cycling and pesticides for the lawn and landscape areas. 33. Prior to approval of the landscape plan, the project shall comply with the City’s Low Impact Development Ordinance, as applicable. Construction Conditions 34. All construction vehicles onsite shall minimize idling time by requiring that equipment be shut down after 5 minutes when not in use (as required by the State airborne toxics control measure, 13 CCR § 2485). Clear signs that lists this requirement shall be posted with the requirements for workers at the entrances to the site and provide a plan for the enforcement of this requirement including a phone number to contact a designated City employee (i.e. project manager). 35. Unless safety provisions require otherwise, the construction contractor shall adjust all audible back‐up alarms to the lowest volume appropriate for safety purposes (i.e. still maintaining adequate signal‐to‐noise ratio for alarm effectiveness). The contractor shall consider signal persons, strobe lights, or alternative safety equipment and/or processes as allowed for reducing reliance on high ‐amplitude sonic alarms. 36. The project shall utilize construction equipment equipped with standard noise insulating features during construction to reduce source noise levels. 37. All project construction equipment shall be properly maintained to assure that no additional noise, due to worn or improperly maintained parts is generated. F-53 38. Construction of the project should not impede upon any City Council-approved public trails in the immediate area. 39. PRIOR TO THE ISSUANCE OF ANY GRADING OR BUILDING PERMITS, a Staging Plan shall be prepared and reviewed by the Director of Community Development, which includes, but is not limited to, the identification of equipment staging and construction-associated parking. Operational Conditions 40. Pursuant to RPVMC Section 12.16.030, the Ladera Linda park ground hours shall be one hour before sunrise to one hour after sunset, seven days a week, or as designated by City Council action. 41. The Ladera Linda parking lot shall be open at 8:00 a.m. to dusk, seven days a week, or as designated by City Council action. 42. The Ladera Linda Park Community Center hours shall be 8:00 a.m. to 9 p.m. seven days a week, or as designated by City Council action. Operating hours may be extended if rentals are scheduled, or for City conducted business, such as public meetings. 43. Rental for purposes of the use of the community center shall mean any contracted or permitted use of a park facility by an individual, business, non -profit, HOA, or the City, and hours of use shall be limited to between 10:00 a.m. and 9:00 p.m. 44. Classes (instructor-led class, either private or City-sponsored) shall be conducted only between 8:00 a.m. and 9:00 p.m. 45. No more than two private rentals per month shall be allowed after 5 :00 p.m. This restriction shall not apply to non-profits, City events, or HOA rentals. 46. No more than eight special events (a large City-sponsored or permitted private event) shall be allowed per calendar year. Special events that extend until after 9:00 P.M. shall only be permitted upon approval of a Special Event Permit. 47. All maintenance and grounds-keeping equipment shall be entirely enclosed when not in use. Parking Conditions 48. No fewer than 54 on-site parking spaces consisting of 47 standard parking spaces at a minimum of 9 feet wide by 20 feet deep, one electric vehicle space, one ADA electric van accessible space, three clean air vehicle spaces and three ADA F-54 accessible spaces. 49. All parking, loading and access shall comply with RPVMC Chapter 17.50 (Nonresidential Parking and Loading Standards). 50. PRIOR TO THE ISSUANCE OF ANY GRADING OR BUILDING PERMITS, a Parking Plan shall be reviewed and approved by the Director of Community Development that shall include, but not be limited to, parking striping, directional arrows, wheel stops or curbs, landscaping, way finding signs and other necessary parking and circulation amenities. 51. All proposed driveways and aisle shall be designed in substantially the same alignment as shown on the propose project site plan, subject to final design review and approval by the Los Angeles County Fire Department and Director of Public Works. 52. Prior to the installation of the bicycle storage lockers, a color sample for the locker exterior shall be reviewed and approved by the Director of Community Development. On-Site Walk and Pathway Conditions 53. The location and number of on-site walk and pathways shall generally comply with the project plans. These walk and pathways shall be constructed pursuant to the standards approved by the Director of Public Works. 54. Handicap access ramps shall be installed in accordance with the current standards established by the Americans with Disabilities Act. 55. All sidewalks and pathways throughout the project site shall be designed to comply with the minimum width standards set forth in the most recent Disabled Accessibility Guidebook. Site Lighting Conditions 56. The Lighting Plan approved by the City Council shall comply with the Non- Residential Outdoor Light Ordinance pursuant to RPVMC Section 17.56.040. An as-built lighting plan shall be submitted to the City prior to the final inspection and shall include, but not limited to, the location, height, number of lights, wattage and estimates of maximum illumination on site and spill/glare at properties lines for all exterior circulation lighting, outdoor building lighting, walking and sidewalk lighting, parking lot lighting, landscape ambiance lighting and sign lighting. The Lighting Plan shall be submitted for review and approval by the Director of Community Development prior to the issuance of any building permit. F-55 57. An Illuminated mock-up of one of the proposed -10-foot high light poles shall be placed prior to installation for review by the Director of Community Development. 58. There shall be a trial period of thirty (30) days from the installation of all the project exterior lighting, including building and parking lot lighting, during which the lighting shall be assessed for potential impacts to the surrounding properties. At the end of the thirty (30) day period, the Director of Community Development may require additional screening or reduction in the intensity or numbers of lights which are determined to be excessively bright or otherwise create adverse impacts. Furthermore, said lighting shall be reviewed as part of the one-year compliance review described in Condition No. 3. 59. Parking and security lighting shall be kept to minimum safety standards and shall conform to City requirements. Fixtures shall be shielded to emit light below 90 degrees so that only the project site is illuminated; there shall be no spillover onto residential properties or halo into the night sky. 60. No outdoor lighting is permitted where the light source or fixture, if located on a building, is above the line of the eaves. If the light source or fixture is located on a building with no eaves, or if located on a standard or pole, the light source or fixture shall not be more than 10 feet above existing grade, adjacent to the building or pole. 61. The parking lot light standards shall be limited to a maximum height of 10 feet, as measured from adjacent finished grade. 62. The lighting bollards shall be limited to a maximum height of 42 inches, as measured from adjacent finished grade. 63. The use of laser lights, strobe lights, flashing lights, or any similar lighting shall be prohibited during all events. Utility Conditions 64. Prior to issuance of the final inspection for the project grading, all new utilities exclusively serving the project site shall be placed underground including, but not limited to, cable, telephone, electrical, gas and water. All appropriate permits shall be obtained for any such installation. 65. No above ground utility structure cabinets, poles, pipes, or valves shall be constructed within the public rights-of-way without prior approval of the Director of Public Works. If permitted, above ground utility structure cabinets, pipes, or valves shall not impede on the pedestrian circulation flow and shall be painted a color to F-56 the satisfaction of the Director of Community Development. The use of above ground utility poles is prohibited. 66. The project shall comply with all recorded easements on the property. Noise and Mechanical Equipment 67. If applicable, all new mechanical equipment, regardless of its location, shall be housed in enclosures designed to attenuate noise to a level of 65 dBA CNEL at the project site’s property lines. 68. Mechanical equipment shall be oriented away from any sensitive receptors such as neighboring residences, and where applicable, must be installed with any required acoustical shielding. 69. Use of amplified sound in excess of 65 dB at the property lines shall require a special event permit pursuant to RPVMC Section§ 12.20.040. 70. The use of indoor amplified music shall be permitted between 11:00 a.m and 8:00 p.m. Music amplification or reproduction equipment shall not be operated in such a manner that it is plainly audible from the nearest property line in any direction from the community center building for classes or exercise programs . Use of amplified music outdoors shall require a special event permit; not be allowed after 9 p.m.; speakers shall be oriented away from residential property and sound shall not be in excess of 65 dB at the property lines. 71. All deliveries of goods and supplies; trash pick -up, including the use of parking lot trash sweepers; and the operation of machinery or mechanical equipment which emits noise levels in excess of 65 dBA, as measured from the closest property line to the equipment, shall only be allowed between the hours of 8:00 a.m. and dusk, Monday through Sunday . April 6, 2021 City Council-Approved Conditions 72. Prior to on-site grading or construction activities, the City shall place all Discovery Room exhibits/displays into storage at Point Vicente Interpretive Center or at other City facilities as deemed appropriate. After construction is complete, the exhibits/displays that are not incorporated into the Discovery Room, shall remain in storage. 73. Prior to on-site grading or construction activities, the City shall conduct a traffic engineering study to collect baseline traffic data in the area of the park. 74. The City shall perform a parking demand analysis to assess alternatives for the F-57 development of a parking management program as part of the annual compliance review. 75. The access stairs between the upper tier of the project site and the adjacent property in the area of the lower soccer fields shall be removed as part of the park reconstruction. F-58 AMENDMENT NO. 2 TO AGREEMENT FOR CONTRACTUAL SERVICES THIS AMENDMENT TO THE AGREEMENT FOR CONTRACTUAL SERVICES (“Amendment No. 2”) by and between the CITY OF RANCHO PALOS VERDES (“City”) and JOHNSON FAVARO, a California corporation (“Consultant”) is effective as of , 2020. RECITALS A. City and Consultant entered into that certain Agreement for Contractual Services dated December 18, 2018 (“Agreement”) whereby Consultant agreed to provide engineering design services (the “Services”) for a Term of one year, for a Contract Sum of $538,460. The Agreement provided for an additional one-year extension at the City’s discretion. B. Due to the unforeseen necessity for Conditional Use Permit review and California Environmental Quality Act review, the Services required additional tasks and would take longer than anticipated. Therefore, on December 17, 2019, the City and Consultant entered into the Amendment No. 1 to the Agreement to extend the Term of the Agreement by one year, to expire on December 18, 2020, and increase the Contract Sum to $553,200. C. Due to delays resulting from the COVID-19 pandemic, additional time is required to complete the Services. Therefore, the City and Consultant now desire to amend the Agreement to extend the Term of the Agreement one additional year, to expire on December 18, 2021. TERMS 1. Contract Changes. The Agreement is amended as provided herein. Deleted text is indicated in strikethrough and added text in bold italics. (a) Section 3.4, Term, is hereby amended as follows: “Unless earlier terminated in accordance with Article 7 of this Agreement, this Agreement shall continue in full force and effect until completion of the services but not exceeding December 18, 2021 December 18, 2020, except as otherwise provided in the Schedule of Performance ( Exhibit D).” (b) Exhibit “A”, Scope of Work, Section I(C)(17) is hereby amended as follows: “17. Consultant will submit any and all required documents necessary for the project’s Conditional Use Permit/entitlements review and environmental review (CEQA). In addition, Consultant will participate in internal meetings with City Staff during the CUP/CEQA review phase as well as prepare presentations and present at public hearings as needed. Consultant will also prepare minor revisions to submitted materials as needed after both internal/departmental review and after public hearings. CUP/CEQA Support: The Consultant will utilize the 100% G-1 Design Development drawings for the Conditional Use Permit (CUP) and California Environmental Quality Act (CEQA) applications. With regard to design documents, anticipated are minor revisions to the completed 100% Design Development drawings as a result of the CUP/CEQA process. This scope of work does not include design changes which will require revision of the building configuration, plan layout, building size, parking configuration or parking quantity which would require revision of the completed 100% Design Development drawings and additional work and coordination with MEP, Lighting, Landscape, Structural and Civil Consultants. Changes that require major revisions to the completed 100% Design Development drawings will required a revision to the proposed Project Schedule. 1. Consultant will review and complete an application for the CUP. The application will be filled out by Consultant to the best of the Consultant’s knowledge. 2. Consultant will prepare and submit any and all required documents necessary for the project’s CUP/entitlements review and environmental review (CEQA). 3. Consultant will participate in internal meetings with City Staff during the CUP/CEQA review phase as well as prepare presentations and present at public hearings as needed. Anticipated at present are two (2) Planning Commission meetings and one (1) City Council meeting. 4. Consultant will also prepare minor revisions to submitted materials as needed after both internal/departmental review and after public hearings.” (c) Exhibit “D,” Schedule of Performance, is hereby replaced in its entirety with the new Exhibit “D,” Schedule of Performance, attached hereto and incorporated herein by this reference. 2. Continuing Effect of Agreement. Except as amended by this Amendment No. 2, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 2, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement, as amended by Amendment No. 1 and Amendment No. 2 to the Agreement. 3. Affirmation of Agreement; Warranty Re Absence of Defaults. City and Consultant each ratify and reaffirm each and every one of the respective rights and obligations arising under the Agreement. Each party represents and warrants to the other that there have been no written or oral modifications to the Agreement other than as provided herein. Each party represents and warrants to the other that the Agreement is currently an effective, valid, and binding obligation. Consultant represents and warrants to City that, as of the date of this Amendment No. 2, City is not in default of any material term of the Agreement and that there have been no events G-2 that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement. City represents and warrants to Consultant that, as of the date of this Amendment No. 2, Consultant is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement. 4. Adequate Consideration. The parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 2. 5. Authority. The persons executing this Amendment No. 2 on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 2 on behalf of said party, (iii) by so executing this Amendment No. 2, such party is formally bound to the provisions of this Amendment No. 2, and (iv) the entering into this Amendment No. 2 does not violate any provision of any other agreement to which said party is bound. [SIGNATURES ON FOLLOWING PAGE] G-3 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first-above written. CITY: CITY OF RANCHO PALOS VERDES, a municipal corporation ____________________________________ Mayor ATTEST: _________________________________ Emily Colborn, City Clerk APPROVED AS TO FORM: ALESHIRE & WYNDER, LLP _________________________________ William W. Wynder, City Attorney CONSULTANT: JOHNSON FAVARO, a California corporation By: ________________________________ Name: Jim Favaro Title: Principal By: ________________________________ Name: Steve Johnson Title: Principal Address: 5898 Blackwelder Street Culver City, CA 90232 Two corporate officer signatures required when Consultant is a corporation, with one signature required from each of the following groups: 1) Chairman of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. CONSULTANT’S SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT’S BUSINESS ENTITY. G-4 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT STATE OF CALIFORNIA COUNTY OF LOS ANGELES On __________, 2020 before me, ________________, personally appeared ________________, proved to me on the basis of satisfactory evidence to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature: _____________________________________ OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT INDIVIDUAL CORPORATE OFFICER _______________________________ TITLE(S) PARTNER(S) LIMITED GENERAL ATTORNEY-IN-FACT TRUSTEE(S) GUARDIAN/CONSERVATOR OTHER_______________________________ ______________________________________ SIGNER IS REPRESENTING: (NAME OF PERSON(S) OR ENTITY(IES)) _____________________________________________ _____________________________________________ ___________________________________ TITLE OR TYPE OF DOCUMENT ___________________________________ NUMBER OF PAGES ___________________________________ DATE OF DOCUMENT ___________________________________ SIGNER(S) OTHER THAN NAMED ABOVE A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document. G-5 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT STATE OF CALIFORNIA COUNTY OF LOS ANGELES On __________, 2020 before me, ________________, personally appeared ________________, proved to me on the basis of satisfactory evidence to be the person(s) whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature: _____________________________________ OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT INDIVIDUAL CORPORATE OFFICER _______________________________ TITLE(S) PARTNER(S) LIMITED GENERAL ATTORNEY-IN-FACT TRUSTEE(S) GUARDIAN/CONSERVATOR OTHER_______________________________ ______________________________________ SIGNER IS REPRESENTING: (NAME OF PERSON(S) OR ENTITY(IES)) _____________________________________________ _____________________________________________ ___________________________________ TITLE OR TYPE OF DOCUMENT ___________________________________ NUMBER OF PAGES ___________________________________ DATE OF DOCUMENT ___________________________________ SIGNER(S) OTHER THAN NAMED ABOVE A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy or validity of that document. G-6 EXHIBIT “D” SCHEDULE OF PERFORMANCE I. Consultant shall perform all Services timely in accordance with the following schedule. Some portions of the Phases may be conducted concurrently. Phase Duration (Calendar Days) Start Finish A. Pre-Design 45 2.21.19 5.31.19 RPV Review and NTP 15 6.1.19 6.15.19 B. Schematic Design 45 6.3.19 7.25.19 RPV Review and NTP 15 7.25.19 9.16.19 C. Design Development 45 9.16.19 11.22.19 RPV Review and NTP 15 11.23.19 12.22.19 CUP/CEQA Review Process 90 12.01.20 3.31.21 D. Construction Documents 90 04.01.21* 6.29.21 RPV Review and NTP 15 3.30.21 7.14.21 E. Permit 60** 7.15.21 9.12.21 F. City Council action to approve project to go to bid 30** 9.13.21 10.12.21 G. Bid 45** 10.13.21 11.26.21 H. City Council action to award contract to successful bidder 45** 11.27.21 01.10.22 I. Construction Duration 14 months** 1.11.22 3.11.23 * Anticipated start date dependent on CUP/CEQA review process, if either of the two processes take longer than the 3 months anticipated, the Construction Documentation phase will be affected. ** Approximate time estimate, this is subject to change. II. Consultant shall deliver the following tangible work products to the City by the following dates. Per Section I, above. III. The Contract Officer may approve extensions for performance of the services in accordance with Section 3.2. G-7 AMENDMENT NO. 1 TO AGREEMENT FOR CONTRACTUAL SERVICES THIS AMENDMENT TO THE AGREEMENT FOR CONTRACTUAL SERVICES Amendment No 1")by and between the CITY OF RANCHO PALOS VERDES ("City") and JOHNSON FAVARO, a California corporation ("Consultant") is effective as of Pee.. 17 2019 RECITALS A City and Consultant entered into that certain Agreement for Contractual Services dated December 18, 2018 ("Agreement") whereby Consultant agreed to provide engmeenng design services (the "Services") for a Term of one year, for a Contract Sum of$538,460 The Agreement provided for an additional one-year extension at the City's discretion B Due to the unforeseen necessity for a Conditional Use Permit review and California Environmental Quality Act review, the Services will require additional tasks and take longer than anticipated Therefore, the City and Consultant now desire to amend the Agreement to extend the Term of the Agreement by one year, to expire on December 18, 2020, and increase the Contract Sum to $553,200 TERMS 1 Contract Changes The Agreement is amended as provided herein Deleted text is indicated in stnkethreugh and added text in bold italics a) Section 2 1, Contract Sum, is hereby amended as follows Subject to any limitations set forth in this Agreement, City agrees to pay Consultant the amounts specified in the "Schedule of Compensation" attached hereto as Exhibit "C" and incorporated herein by this reference The total compensation, including reimbursement for actual expenses, shall not exceed Ave Five Hundred Fifty Three Thousand and Two Hundred Dollars ($553,200) (the "Contract Sum"), unless additional compensation is approved pursuant to Section 1 9 " b) Section 3 4, Term, is hereby amended as follows Unless earlier terminated in accordance with Article 7 of this Agreement, this Agreement shall continue in full force and effect until completion of the services but not exceeding December 18, 2020 one years from the date hereof, except as otherwise provided in the Schedule of Performance ( Exhibit D") [The City may, c) Exhibit "A," Scope of Services, is hereby replaced in its entirety with the new Exhibit "A," Scope of Services, attached hereto and incorporated herein by this reference H-1 d) Exhibit "C," Schedule of Compensation, is hereby replaced in its entirety with the new Exhibit "C," Schedule of Compensation, attached hereto and incorporated herein by this reference e) Exhibit "D," Schedule of Performance, is hereby replaced m its entirety with the new Exhibit "D," Schedule of Performance, attached hereto and incorporated herein by this reference 2 Continuing Effect of Agreement Except as amended by this Amendment No 1, all provisions of the Agreement shall remain unchanged and m full force and effect From and after the date of this Amendment No 1,whenever the term"Agreement"appears in the Agreement, it shall mean the Agreement, as amended by this Amendment No 1 to the Agreement 3 Affirmation of Agreement; Warranty Re Absence of Defaults. City and Consultant each ratify and reaffirm each and every one of the respective nghts and obligations arising under the Agreement Each party represents and warrants to the other that there have been no written or oral modifications to the Agreement other than as provided herein Each party represents and warrants to the other that the Agreement is currently an effective,valid,and binding obligation Consultant represents and warrants to City that, as of the date of this Amendment No 1, City is not m default of any matenal term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a matenal default under the Agreement City represents and warrants to Consultant that, as of the date of this Amendment No 1, Consultant is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement 4 Adequate Consideration. The parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No 1 5 Authority The persons executing this Amendment No 1 on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No 1 on behalf of said party, (iii) by so executing this Amendment No 1, such party is formally bound to the provisions of this Amendment No 1, and iv)the entenng into this Amendment No 1 does not violate any provision of any other agreement to which said party is bound SIGNATURES ON FOLLOWING PAGE] 01203 0006/616940 1 2-H-2 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first-above wntten CITY CITY OF RANCHO PALOS VERDES, a municipal corporation Li i, Cruikshank, Mayor Anil- AM lowTTA 411411 Eminiar '!r, City Clerk APPROVED AS TO FORM: ALESHIRE & WYNDER, LLP 4 William W Wynd S ity Attorney CONSULTANT JOHNSON FAVARO, a California Corporation By 1%- 1, 1/ r/ . fril"I' m ,`avaropPnn•...al s.1 By ame Y'-_ i/ ve ', '.._.Jv4 ot + Princ .. Address 5898 Blac . - •er Street r Culver City, CA 90232 Two corporate officer signatures required when Consultant is a corporation,with one signature required from each of the following groups 1)Chairman of the Board,President or any Vice President, and 2)Secretary,any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer CONSULTANT'S SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT'S BUSINESS ENTITY 01203 0006/616940 1 3-H-3 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT A notary public or other officer completing this certificate venfies only the identity of the individual who signed the document to which this certificate is attached,and not the truthfulness, accuracy or validity of that document STATE OF CALIFORNIA COUNTY OF LOS ANGELES, =,t) SP On(J 1712ta20,29.I+9 before me,$t.t(r, kirkv4t)I,personally appeared SIM F-Peat iCQproved to me on the basis of satisfactory evidence to be the person(s whose namesO is/ape subscribed to the within instrument and acknowledged to me that he/sbeLthey executed the same in his/herktieir authorized capacity(iesj, and that by hls/hef,'heir•signature(1) on the instrument the person(1), or the entity upon behalf of which the person() acted, executed the instrument I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct WITNESS myhand and official seal s'= SHEIUTRIVEDI I I Loss,4 AngNotary eles County California J r Commission 0 229794Signaturess'my Comm Expires N+Y IS 2023 OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT INDIVIDUAL l CORPORATE OFFICER I(LO.'w mutt- vQ_(o,v Tte-GIGr TITLE OR TYPE OF DOCUMENT TITLE(S) PARTNER(S) LIMITED GENERAL NUMBER OF PAGES ATTORNEY-IN-FACT TRUSTEE(S) GUARDIAN/CONSERVATOR t I(1 ,>0 OTHER N b V G DATE OF DOCUMENT SIGNER IS REPRESENTING NU N NAME OF PERSON(S)OR ENTITY(IES)) SIGNER(S)OTHER THAN NAMED ABOVE 01203 0006/616940 1 H-4 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached,and not the truthfulness,accuracy or validity of that document STATE OF CALIFORNIA COUNTY OF LOS ANGGES1i7/&o2' 24,20 On X)19 ,394 SC19beforeme,14 1V - I4j5personally appeared h*ONN $11-t, ,proved to me on the basis of satisfactory evidence to be the person(4 whose names() is/aFe subscribed to the within instrument and acknowledged to me that he/site eney executed the same in his/I1Citt}ieir authonzed capacity(ies), and that by his/11444heir signature(i) on the instrument the person(s1}, or the entity upon behalf of which the person() acted, executed the instrument I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct WITNESS myhand and official seal sNE1LATltiv[a rr Notary Public Ca1HorMa e l 4. Los Anieles County IF Signature SMy Coram IEsp«ir esAue tS• 2o21 OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT INDIVIDUAL Co 071.4C-1- CORPORATE OFFICER JpJ St c 4wA.Y" (rdU,Le o^"k ) TITLE OR TYPE OF DOCUMENT TITLE(S) PARTNER(S) LIMITED 3 GENERAL NUMBER OF PAGES ATTORNEY-IN-FACT TRUSTEE(S) GUARDIAN/CONSERVATOR 11(1- 1 ,)-02-0 OTHER DATE OF DOCUMENT SIGNER IS REPRESENTING C`'0 6) L NAME OF PERSON(S)OR ENTITY(IES)) SIGNER(S)OTHER THAN NAMED ABOVE S.tIF 01203 0006/616940 1 H-5 EXHIBIT "A" SCOPE OF SERVICES Consultant will perform engineering design services for the Ladera Linda Community Park Project (the Services) The project's scope is divided into two phases PHASE 1 The first phase consists of refining and developing the existing approved conceptual Master Plan to a 30%completion level This phase will be presented to the City Council for review and approval PHASE 2 The second phase consists of the development of a fully- completed construction design and construction-ready documents for this project Consultant will coordinate work with the subconsultants to ensure that is completed in a timely and professional manner, and shall be solely responsible for the work of subconsultants PHASE 1 A. PRE-DESIGN. The work shall be performed by Consultant. 1 In cooperation with the City the Consultant shall produce existing conditions documentation based on City provided site survey, geotechnical investigative report, and other documents and date as required by the City's Contract Officer 2 Consultant shall create documentation of the Ladera Linda Park Master Plan dated March 20, 2018 (Master Plan) suitable for a basis of design, and presentation(s) to the City, community stakeholders and other as required by the City's Contract Officer 3 Consultant shall engage in a community outreach effort (including (3) meetings with neighbonng HOAs and others as required by the City's Contract Officer) to confirm those features of the park master plan to remain and those which are to be revised 4 Consultant shall produce models and drawings suitable for incorporation into subsequent design and document sets, as well as presentation of same to City and community groups B. SCHEMATIC DESIGN. The work shall be performed by Consultant, in conjunction with subconsultants MGAC, KPFF, Englekirk Institutional, NOVUS, KSA, and Technical Resources Consultants. 1 In cooperation with the City, the Consultant shall prepare documents illustrating the scale and relationship of project components (Schematic Design Documents) of the Project The documents shall include, but not be limited to a site plan, enlarged site plans, floor plans, elevations, site sections, site elevations, outline specifications and other documents necessary and as required to illustrate the proposed project scope and concept The Consultant shall incorporate into the Schematic Documents the proposed program and 01203 0006/616940 1 H-6 functional requirements as approved by the City,established in the Master Plan, as well as revisions in the pre-design phase 2 The Schematic Design documents shall include preliminary selections of major building systems, and construction matenals shall be noted on the drawings or descnbed in wntmg 3 Consultant shall meet with the City's Contract Officer at intervals as necessary to develop the design and review progress drawings and other documents which depict schematic status of the Project design 4 Community/stakeholder workshops as required by the City's Contract Officer are proposed during this phase in order to update Project design progress and solicit comment 5 Consultant shall target LEED Certified Equivalent per the U S Green Building Council (USGBC) rating system and provide LEED checklists and reports indicating probable design credits for the Project and assignment of subconsultant responsibility for ensuring each measure is properly applied to the Project design 6 Consultant shall coordinate as required with City's staff in order to confirm compliance with City standards and to develop furniture and equipment plans for the Project design that are consistent with City requirements and standards 7 Consultant shall prepare a preliminary site development package to include civil plans illustrating demolition, grading and paving, hydrology calculations and drainage (to include potential detention basins and/or bio-swales) and all utility services 8 Consultant has the sole responsibility for preparing documentation of the preliminary design for review and comment by all appropnate agencies and utility providers, including but not limited to the City of Rancho Palos Verdes, and others as required Consultant is not responsible for the actions, non- actions, change of action by these agencies and utility providers after all efforts are made by Consultant to solicit review and to incorporate all review comments All work associated with change-of-action based on previous direction by the agencies identified will be considered Additional Services 9 Consultant shall prepare an Estimated Project Construction Cost Estimate in a format acceptable to the City at 100%completion of Schematic Design, the purpose of which is to show the probable construction cost in relation to the City's Construction Budget If the Consultant perceives site considerations or City project requirements which render the project cost prohibitive, the Consultant shall disclose such conditions in wnting to the City immediately 10 Consultant shall make presentations of the Schematic Design documents and 100% Schematic Design Cost Estimates to the City of Rancho Palos Verdes 01203 0006/616940 1 H-7 staff, City Council, Commissions and others as required in order to update design progress,solicit comment,and obtam approval for the Schematic Design project scope and budget 11 Consultant shall make presentations of the 100% Schematic Design Cost Estimates to the City The City shall prepare at City's discretion and at its own expense the independent third party estimates of probable construction costs All cost estimates will be reconciled with an City/ Project Management Cost Estimate developed by an independent third party cost estimator The Consultant shall attend one (1) cost reconciliation meeting with the third-party cost estimator for the purpose of reconciling the 100% Schematic Design Estimated Project Construction Costs 12 City's Contract Officer and Consultant shall meet to review the provisional Schematic Design Documents and Cost Estimates in order to reach agreement on any City-authonzed adjustment to the approved Project schedule or construction budget and identify any necessary clanfications of the provisional Schematic Design Documents 13 Consultant shall make all City-requested changes, additions, deletions, and corrections m the Schematic Design Documents which may result from the City's or any constructability review, at no additional cost to the City, so long as they are not in conflict with the requirements of the public agencies havmg jurisdiction or pnor approval, or inconsistent with earlier City direction or Consultant's professional judgment If such changes are inconsistent with pnor City direction, Consultant shall make such alterations and be compensated therefore pursuant to the Additional Services provision of this Agreement 14 Unless City agrees otherwise in wnting, the Consultant shall revise respective provisional Schematic Design documents and Cost Estimates to reflect adjustments and clarifications agreed upon in the review meeting and resubmit Schematic Design documents and Cost Estimates to City Once approved, the revised Schematic Design documents shall become the final Schematic Design Documents 15 If the City's Contract Officer has not authorized m wasting a revision to the project scope and the Estimated Project Construction Cost based on Schematic Design documents exceeds the City's Construction Budget by more than ten percent (10%), the City may request the Consultant to amend, at the Consultant's sole cost and expense, the Schematic Design Documents in order to meet the City's Construction Budget PHASE 2 C. DESIGN DEVELOPMENT. The work shall be performed by the Consultant, in conjunction with subconsultants MGAC, KPFF, Englekirk Institutional, NOVUS,Darkhorse Lighworks, KSA, and Technical Resources Consultants 01203 0006/616940 1 H-8 1 Upon written approval by the City's Contract Officer of the Schematic Design documents and the 100% Schematic Design Estimated Project Construction Cost, the Consultant shall prepare Design Development documents consisting of, but not limited to, site plans, enlarged site plans, building floor plans, enlarged floor plans, site sections, building sections, building elevations, typical construction details, finish schedules indicating finish selection, mtenor elevations, outline specifications and other drawings and documents sufficient to fix and descnbe the scope, relationship, size, appearance and character of the project components 2 Design Development documents shall include Mechanical, Electncal, and Plumbing system designs and equipment layouts including single line diagrams and an energy analysis report 3 Consultant shall provide mtenor and extenor lighting design services to include lighting design plans and schedules and photometric calculations as required for permit and to confirm minimum or maximum light levels for site development and building areas, including parking lots, path of travel and emergency egress 4 Consultant shall update the LEED checklists and report identifying probable design credits for the Project and prepare as needed concept cost/benefit analysis of individual design elements for review and consideration by the City 5 Consultant shall finalize storm water and design drainage plans and incorporate site features in conformance with the guidelines of the Governing Agency and as required to comply with City regulations 6 Consultant shall take the lead role in applying for and obtaining required approvals from all federal, state, regional or local agencies concerned with the Project 7 Consultant shall interpret all applicable federal, state and local laws, rules, and regulations with respect to access, including those of the Amencans with Disabilities Act (ADA) Consultant shall identify all non-compliant construction within the Project scope area and complete plans and specifications for site and building improvements within the Project scope area as required to correct or remove non-compliant construction as required for permit, including, but not limited to path of travel, curb ramps and accessible parking 8 Consultant shall meet with the City at intervals as necessary to develop the design and to review progress drawings and other documents that depict the Design Development status of the Project 01203 0006/616940 1 H-9 9 Consultant shall establish an updated Estimated Project Construction Costs at 100% completion of Design Development documents containing detail consistent with the Design Development documents 10 Community/stakeholder workshops are proposed as required by the City's Contract Officer during this phase in order to update Project design progress and solicit comment 11 Consultant shall make presentations of the City of Rancho Palos Verdes staff, City Council, Commissions,and others as required by the City's Contract Officer, to update design progress, solicit comment, and obtain approval for the Design Development project scope and budget 12 Design Development documents and 100% Design Development Cost Estimates to the City All cost estimates will be reconciled with an City/Project Management Cost Estimate developed by an independent third party cost estimator The City shall prepare at City's discretion and at its own expense the independent third party estimates of probable construction costs The Consultant shall attend one (1) cost reconciliation meeting with the third-party cost estimator for the purpose of reconciling the 100% Design Development Estimated Project Construction Costs 13 The City and the Consultant shall meet to review the provisional Design Development Documents and Cost Estimates in order to reach agreement on any City-authorized adjustment to the approved Project schedule or construction budget and identify any necessary clanfications of the provisional Design Development Documents and/or the 100% Design Development Cost Estimates 14 Consultant shall make all City-requested changes, additions, deletions, and corrections m the Design Development documents which may result from any constructability review, at no additional cost to the City, so long as they are not in conflict with the requirements of the public agencies having junsdiction or pnor approval, or inconsistent with earlier City direction or Consultant's professional judgment If such changes are inconsistent with pnor City direction, Consultant shall make such alterations and be compensated therefore pursuant to the Additional Services provision of this Agreement 15 Unless the City agrees otherwise in writing, the Consultant shall revise provisional Design Development documents and Cost Estimates to reflect adjustments and clanfications agreed upon in the review meeting and resubmit Design Development documents and Cost Estimates to the City Once approved, the revised Design Development documents shall become the final Design Development Documents 16 If the City has not authorized in wnting a revision to the project scope and Estimated Project Construction Costs based on Design Development 01203 0006/616940 1 H-10 documents exceeds the City's Construction Budget by more than ten percent 10%), the City may request the Consultant to amend, at the Consultant's sole cost and expense, the Design Development Documents in order to meet the City's Construction Budget 17 Consultant will submit any and all required documents necessary for the project's Conditional Use Permit/entitlements review and environmental review (CEQA) In addition, Consultant will participate in internal meetings with City Staff during the CUP/CEQA review phase as well as prepare presentations and present at public heanngs as needed Consultant will also prepare minor revisions to submitted matenals as needed after both internal/departmental review and after public heanngs D. CONSTRUCTION DOCUMENTS. The work shall be performed by Consultant, in conjunction with subconsultants MGAC, KPFF, Englekirk Institutional,NOVUS,Darkhorse Lightworks,KSA,and Technical Resources Consultants. 1 Based on approved Design Development Documents and the approved updated project Construction Budget,the Consultant shall prepare,for approval by City, Construction Documents consisting of drawings and other documents setting forth m detail the requirements for construction of the Project The Consultant shall prepare complete drawings and specifications as are necessary for developing complete bids and for properly executing the Project work Drawings and specifications shall set forth in detail all of the following 1) the Project construction work to be done, 2) the matenals, workmanship, finishes, and equipment required for the Project, and 3) the utility service connection equipment and site work 2 Consultant shall prepare a Storm Water Pollution Prevention Plan(SWPPP) which will include Best Management Practices (BMP's) that outline standard practices that can be implemented to decrease the discharge of pollutants into storm drains during construction operation on the site 3 Consultant shall submit a written Estimated Project Construction Cost for the project based on the Construction Document Phase Documents at 90% completion Construction Document Phase Documents shall be consistent with the Project Construction Budget and if not in conformance shall be revised until approved in writing by the City 4 All cost estimates will be reconciled with an City/Project Management Cost Estimate developed by an independent third-party cost estimator The City shall prepare at City's discretion and at its own expense the independent third-party estimate of probable construction costs The Consultant shall attend one(1)cost reconciliation meeting at each Construction Document milestone with the City's third-party cost estimator for the purpose of reconciling the 90% Construction Document Estimated Project Construction Cost 01203 0006/616940 1 H-11 5 The City's Contract Officer and the Consultant shall meet to review the provisional 100% Construction Documents and Cost Estimate to reach agreement on any City-authorized adjustment to the approved Project schedule or construction budget and identify any necessary clanfications of the provisional Construction Documents and Cost Estimates 6 The parties agree that the Consultant, and not the City,possess the requisite expertise to determine the constructability of the Construction Documents However, the City reserves the nght to conduct one or more constructability review processes with the Construction Documents, and to hire an independent architect or other consultant to perform such reviews Any such independent constructability reviews shall be at the City's expense 7 Consultant shall make all City-requested changes, additions, deletions, and corrections m the Construction Documents which may result from any constructability review, at no additional cost to the City, so long as they are not in conflict with the requirements of the public agencies having jurisdiction or pnor approval, or inconsistent with earlier City direction or with Consultant's professional judgment If such changes are inconsistent with pnor City direction, Consultant shall make such alterations and be compensated therefore pursuant to the Additional Services provision of this Agreement 8 Unless the City agrees otherwise in wnting, the Consultant shall revise provisional Construction Documents and Cost Estimates to reflect adjustments and clarifications agreed upon m the review meeting and resubmit Construction Documents and Cost Estimates to the City Once approved, the revised Construction Documents shall become the final 100% Construction Documents 9 The Consultant shall provide two (2) sets full size(30"x 42") and half size 15" x 21") hard copies at 50% Construction Documents for City review and input Changes directed by City which are inconsistent with pnor City direction shall be made by the Consultant and compensated as Additional Services The scope of and compensation for such changes shall be mutually agreed upon by the Consultant and City before such changes are initiated 10 Revise the 50%Construction Documents and submit another two (2) set of documents at 90%Construction Documents for City review and input Changes directed by City which are inconsistent with prior City direction shall be made by the Consultant and compensated as Additional Services The scope of and compensation for such changes shall be mutually agreed upon by the Consultant and City before such changes are initiated 11 Consultant shall submit two (2) sets of 90% Construction Documents for submittal to the Building and Safety Department for review and approval 01203 0006/616940 1 H-12 12 Complete corrections on the 100% Construction Documents as required by the various City departments to obtain final approval of the Construction Documents for bidding purposes 13 Provide a final Cost Estimate and Project Schedule to confirm the project is on target 14 Submit two (2) sets of approved 100% Construction Documents and Specifications for City's records and electronic copies on a CD along with a flash drive E. PERMIT.The work shall be performed by the Consultant,in conjunction with subconsultants KPFF, Englekirk Institutional,NOVUS, and KSA 1 The Construction Documents and Specifications must be m such form as will enable the Consultant and City to secure the required permits and approvals for all federal, state, regional or local agencies concerned with the Project F BIDDING. The work shall be performed by Consultant, in conjunction with subconsultants KPFF, Englekirk Institutional,NOVUS, and KSA. 1 Assist in the submittal of the Bid Drawings (100% Construction Documents) and Specifications to the City's Project Manager 2 Respond to all Requests for Information (RFIs) workmg with the City's Project Manager 3 Assist the City's Project Manager m reviewing and evaluating the bids and related documents for contract award to the lowest responsive and responsible bidder II Exclusions See Exhibit"A-1" III. As part of the Services, Consultant will prepare and deliver the following tangible work products to the City 1 Models and drawings 2 Schematic Design Documents 3 Preliminary site development package 4 Estimated Project Construction Cost Estimates 5 Presentation files 6 Design Development documents 7 Storm Water Pollution Prevention Plan (SWPPP) 8 Construction Documents 01203 0006/616940 1 H-13 IV. In addition to the requirements of Section 6 2, dunng performance of the Services, Consultant will keep the City appraised of the status of performance by delivenng the following status reports NOT APPLICABLE V. All work product is subject to review and acceptance by the City, and must be revised by the Consultant without additional charge to the City until found satisfactory and accepted by City VI Consultant will utilize the following personnel to accomplish the Services A Jim Favaro, Steve Johnson, Bnan Davis and Kathy Williams B KSA Kathenne Spitz, Jake Patton C. KPFF Tom Gsell D MGAC Rick Lloyd E. Englekirk Institutional , Tom Sabol and Diana Nish, F NOVUS Michael Leung G Darkhorse Lightworks TRC Dawn Hollingsworth 01203 0006/616940 1 H-14 EXHIBIT "C" SCHEDULE OF COMPENSATION I.Consultant and subconsultants shall perform the following tasks at the following rates Discipline/Firm Predesign Schematic Design Construction Permit Bid Sub- design Development Documents Budget Architecture/ 45,000 45,000 74,740 125,000 $5,000 $3,500 $298,240 Johnson Favaro Cost Planning/ 0 3,000 6,000 4,500 0 0 $13,500 MGAC Civil Engineering/ 0 19,360 20,240 35,200 $10,200 $3,000 $88,000 KPFF Structural 0 2,750 6,300 24,000 500 $500 $34,050 Engineering/ Englekirk MEP,FLS/Novus 0 10,000 13,000 22,500 $3,000 $1,500 $50,000 Lighting/0 0 4,500 7,500 0 0 $12,000 Darkhorse Lighting Landscape 0 10,520 9,800 18,000 590 $500 $39,410 Architecture/KSA Specifications/TRC 0 0 5,000 2,000 $1,000 0 8,000 Reimbursable 10,000 Expenses* TOTALS 45,000 90,630 139,580 238,700 $20,290 $9,000 $553,200 Reimbursable expenses shall include reasonable out of pocket expenses that are incurred and paid by Consultant and subconsultants in furtherance of this Agreement Reimbursable expenses shall include Printing and reproduction costs Project-related mileage Shipping, overnight mail, postage, messenger and other handling of drawings and documents Presentation models Fees paid to third parties for securing approval of authorities having jurisdiction over the Project 01203 0006/616940 1 H-15 Additional consultants not included in this Agreement, subject to the City's Contract Officer's prior written approval II A retention of ten percent (10%) shall be held from each payment as a contract retention to be paid as part of the final payment upon satisfactory completion of services. NOT APPLICABLE III. Within the budgeted amounts for each Task, and with the approval of the Contract Officer, funds may be shifted from one Task subbudget to another so long as the Contract Sum is not exceeded per Section 21, unless Additional Services are approved per Section 1.9. IV. The City will compensate Consultant for the Services performed upon submission of a valid invoice Each invoice is to include: A Line items for all personnel descnbing the work performed, the number of hours worked, and the hourly rate B Line items for all materials and equipment properly charged to the Services C Line items for all other approved reimbursable expenses claimed, with supporting documentation D Line items for all approved subcontractor labor,supplies,equipment,matenals,and travel properly charged to the Services V. The total compensation for the Services shall not exceed the Contract Sum as provided in Section 2.1 of this Agreement. VI The billing rates for Consultant's and subconsultants' personnel are attached as Exhibit C-1. 01203 0006/616940 1 H-16 EXHIBIT "D" SCHEDULE OF PERFORMANCE I.Consultant shall perform all Services timely in accordance with the following schedule. Some portions of the Phases may be conducted concurrently. Phase Duration Start Finish Calendar Days) A. Pre-Design 45 2 21 19 5 31 19 RPV Review and NTP 15 6 1 19 6 15 19 B. Schematic Design 45 6 3 19 7 25 19 RPV Review and NTP 15 7 25 19 9 16 19 C. Design Development 45 9 16 19 11 22 19 RPV Review and NTP 15 11 23 19 12 22 19 CUP/CEQA Review 180 12 18 19 6 15 20 Process D Construction Documents 180 12 22 19 6 15 20 RPV Review and NTP 110 3 15 20 7 1 20 E Permit 45 7 1 20 8 15 20 F Bid 15 8 15 20 11 1 20 II Consultant shall dehver the following tangible work products to the City by the following dates. Per Section I, above III. The Contract Officer may approve extensions for performance of the services in accordance with Section 3.2. 01203 0006/616940 1 H-17 CONTRACT SERVICES AGREEMENT By and Between CITY OF RANCHO PALOS VERDES and JOHNSON FAVARO 01203.0006/523512 2 1 A-1 I-1 AGREEMENT FOR CONTRACT SERVICES BETWEEN THE CITY OF RANCHO PALOS VERDES AND JOHNSON FAVARO THIS AGREEMENT FOR CONTRACT SERVICES (herein "Agreement") is made and entered into this 18 day of December, 2018 by and between the City of Rancho Palos Verdes, a California municipal corporation ("City") and Johnson Favaro, a California corporation Consultant"). City and Consultant may be referred to, individually or collectively, as"Party" or Parties." RECITALS A. City has sought, by issuance of a Request for Proposals or Invitation for Bids, the performance of the services defined and described particularly in Article 1 of this Agreement. B. Consultant, following submission of a proposal or bid for the performance of the services defined and described particularly in Article 1 of this Agreement, was selected by the City to perform those services. C. Pursuant to the City of Rancho Palos Verdes' Municipal Code, City has authority to enter into and execute this Agreement. D. The Parties desire to formalize the selection of Consultant for performance of those services defined and described particularly in Article 1 of this Agreement and desire that the terms of that performance be as particularly defined and described herein. OPERATIVE PROVISIONS NOW, THEREFORE, in consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged,the parties agree as follows: ARTICLE 1. SERVICES OF CONSULTANT 1.1 Scope of Services. In compliance with all terms and conditions of this Agreement, the Consultant shall provide those services specified in the "Scope of Services" attached hereto as Exhibit "A" and incorporated herein by this reference, which may be referred to herein as the "services" or work"hereunder. As a material inducement to the City entering into this Agreement, Consultant represents and warrants that it has the qualifications, experience, and facilities necessary to properly perform the services required under this Agreement in a thorough, competent, and professional manner, and is experienced in performing the work and services contemplated herein. Consultant shall at all times faithfully, competently and to the best of its ability, experience and talent, perform all services described herein. Consultant covenants that it shall follow the highest professional standards in performing the work and services required hereunder and that all materials will be both of good quality as well as fit for the purpose intended. For purposes of this Agreement, the phrase "highest professional standards" shall mean those 01203.0006/523512.2 A-2 I-2 standards of practice recognized by one or more first-class firms performing similar work under similar circumstances. 1.2 Consultant's Proposal. The Scope of Service shall include the Consultant's scope of work or bid which shall be incorporated herein by this reference as though fully set forth herein. In the event of any inconsistency between the terms of such proposal and this Agreement, the terms of this Agreement shall govern. 1.3 Compliance with Law. Consultant shall keep itself informed concerning, and shall render all services hereunder in accordance with, all ordinances, resolutions, statutes, rules, and regulations of the City and any Federal, State or local governmental entity having jurisdiction in effect at the time service is rendered. 1.4 California Labor Law. If the Scope of Services includes any "public work" or "maintenance work," as those terms are defined in California Labor Code section 1720 et seq. and California Code of Regulations, Title 8, Section 16000 et seq., and if the total compensation is $1,000 or more, Consultant shall pay prevailing wages for such work and comply with the requirements in California Labor Code section 1770 et seq. and 1810 et seq., and all other applicable laws, including the following requirements: a) Public Work. The Parties acknowledge that some or all of the work to be performed under this Agreement is a "public work" as defined in Labor Code Section 1720 and that this Agreement is therefore subject to the requirements of Division 2, Part 7, Chapter 1 commencing with Section 1720) of the California Labor Code relating to public works contracts and the rules and regulations established by the Department of Industrial Relations ("DIR") implementing such statutes. The work performed under this Agreement is subject to compliance monitoring and enforcement by the DIR. Contractor shall post job site notices, as prescribed by regulation. b) Prevailing Wages. Contractor shall pay prevailing wages to the extent required by Labor Code Section 1771. Pursuant to Labor Code Section 1773.2, copies of the prevailing rate of per diem wages are on file at City Hall and will be made available to any interested party on request. By initiating any work under this Agreement, Contractor acknowledges receipt of a copy of the Department of Industrial Relations (DIR) determination of the prevailing rate of per diem wages, and Contractor shall post a copy of the same at each job site where work is performed under this Agreement. c) Penalty for Failure to Pay Prevailing Wages. Contractor shall comply with and be bound by the provisions of Labor Code Sections 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The Contractor shall, as a penalty to the City, forfeit two hundred dollars ($200) for each calendar 01203.0006/523512.2 2 A-3 I-3 day, or portion thereof, for each worker paid less than the prevailing rates as determined by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Contractor or by any subcontractor. d) Payroll Records. Contractor shall comply with and be bound by the provisions of Labor Code Section 1776, which requires Contractor and each subcontractor to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in Section 1776; certify and make such payroll records available for inspection as provided by Section 1776; and inform the City of the location of the records. e) Apprentices. Contractor shall comply with and be bound by the provisions of Labor Code Sections 1777.5, 1777.6, and 1777.7 and California Code of Regulations Title 8, Section 200 et seq. concerning the employment of apprentices on public works projects. Contractor shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations. Prior to commencing work under this Agreement, Contractor shall provide City with a copy of the information submitted to any applicable apprenticeship program. Within sixty (60) days after concluding work pursuant to this Agreement, Contractor and each of its subcontractors shall submit to the City a verified statement of the journeyman and apprentice hours performed under this Agreement. 0 Eight-Hour Work Day. Contractor acknowledges that eight (8)hours labor constitutes a legal day's work. Contractor shall comply with and be bound by Labor Code Section 1810. g) Penalties for Excess Hours. Contractor shall comply with and be bound by the provisions of Labor Code Section 1813 concerning penalties for workers who work excess hours. The Contractor shall, as a penalty to the City, forfeit twenty-five dollars ($25) for each worker employed in the performance of this Agreement by the Contractor or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the Labor Code. Pursuant to Labor Code section 1815, work performed by employees of Contractor in excess of eight (8) hours per day, and forty (40) hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of 8 hours per day at not less than one and one-half(11/2)times the basic rate of pay. h) Workers' Compensation. California Labor Code Sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees if it has employees. In accordance with the provisions of California Labor Code Section 1861, Contractor certifies as follows: I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract." 01203.0006/523512.2 3 A-4 I-4 A,,1 Contractor's Authorized Initials a.. i) Contractor's Responsibility for Su. . tractors. For every subcontractor who will perform work under this Agreement, Contractor shall be responsible for such subcontractor's compliance with Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code, and shall make such compliance a requirement in any contract with any subcontractor for work under this Agreement. Contractor shall be required to take all actions necessary to enforce such contractual provisions and ensure subcontractor's compliance, including without limitation, conducting a review of the certified payroll records of the subcontractor on a periodic basis or upon becoming aware of the failure of the subcontractor to pay his or her workers the specified prevailing rate of wages. Contractor shall diligently take corrective action to halt or rectify any such failure by any subcontractor. 1.5 Licenses,Permits,Fees and Assessments. Consultant shall obtain at its sole cost and expense such licenses, permits and approvals as may be required by law for the performance of the services required by this Agreement. Consultant shall have the sole obligation to pay for any fees, assessments and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the Consultant's performance of the services required by this Agreement, and shall indemnify, defend and hold harmless City, its officers, employees or agents of City, against any such fees, assessments, taxes, penalties or interest levied, assessed or imposed against City hereunder. 1.6 Familiarity with Work. By executing this Agreement, Consultant warrants that Consultant (i) has thoroughly investigated and considered the scope of services to be performed, (ii) has carefully considered how the services should be performed, and (iii) fully understands the facilities, difficulties and restrictions attending performance of the services under this Agreement. If the services involve work upon any site, Consultant warrants that Consultant has or will investigate the site and is or will be fully acquainted with the conditions there existing, prior to commencement of services hereunder. Should the Consultant discover any latent or unknown conditions, which will materially affect the performance of the services hereunder, Consultant shall immediately inform the City of such fact and shall not proceed except at Consultant's risk until written instructions are received from the Contract Officer. 1.7 Care of Work. The Consultant shall adopt reasonable methods during the life of the Agreement to furnish continuous protection to the work, and the equipment, materials, papers, documents, plans, studies and/or other components thereof to prevent losses or damages, and shall be responsible for all such damages, to persons or property, until acceptance of the work by City, except such losses or damages as may be caused by City's own negligence. 1.8 Further Responsibilities of Parties. 01203.0006/523512.2 4 A-5 I-5 Both parties agree to use reasonable care and diligence to perform their respective obligations under this Agreement. Both parties agree to act in good faith to execute all instruments, prepare all documents and take all actions as may be reasonably necessary to carry out the purposes of this Agreement. Unless hereafter specified, neither party shall be responsible for the service of the other. 1.9 Additional Services. City shall have the right at any time during the performance of the services, without invalidating this Agreement, to order extra work beyond that specified in the Scope of Services or make changes by altering, adding to or deducting from said work. No such extra work may be undertaken unless a written order is first given by the Contract Officer to the Consultant, incorporating therein any adjustment in (i) the Contract Sum for the actual costs of the extra work, and/or (ii) the time to perform this Agreement, which said adjustments are subject to the written approval of the Consultant. Any increase in compensation of up to ten percent (10%) of the Contract Sum or $25,000, whichever is less; or, in the time to perform of up to one hundred eighty (180) days, may be approved by the Contract Officer. Any greater increases, taken either separately or cumulatively, must be approved by the City Council. It is expressly understood by Consultant that the provisions of this Section shall not apply to services specifically set forth in the Scope of Services. Consultant hereby acknowledges that it accepts the risk that the services to be provided pursuant to the Scope of Services may be more costly or time consuming than Consultant anticipates and that Consultant shall not be entitled to additional compensation therefor. City may in its sole and absolute discretion have similar work done by other contractors. No claims for an increase in the Contract Sum or time for performance shall be valid unless the procedures established in this Section are followed. 1.10 Special Requirements. Additional terms and conditions of this Agreement, if any, which are made a part hereof are set forth in the "Special Requirements" attached hereto as Exhibit "B" and incorporated herein by this reference. In the event of a conflict between the provisions of Exhibit "B" and any other provisions of this Agreement,the provisions of Exhibit"B" shall govern. ARTICLE 2. COMPENSATION AND METHOD OF PAYMENT. 2.1 Contract Sum. Subject to any limitations set forth in this Agreement, City agrees to pay Consultant the amounts specified in the "Schedule of Compensation" attached hereto as Exhibit "C" and incorporated herein by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed Five Hundred Thirty Eight Thousand Four Hundred Sixty Dollars ($538,460) (the "Contract Sum"), unless additional compensation is approved pursuant to Section 1.9. 2.2 Method of Compensation. 01203.0006/523512.2 5 A-6 I-6 The method of compensation may include: (i) a lump sum payment upon completion; (ii) payment in accordance with specified tasks or the percentage of completion of the services, less contract retention; (iii) payment for time and materials based upon the Consultant's rates as specified in the Schedule of Compensation, provided that (a) time estimates are provided for the performance of sub tasks, (b) contract retention is maintained, and (c) the Contract Sum is not exceeded; or(iv) such other methods as may be specified in the Schedule of Compensation. 2.3 Reimbursable Expenses. Compensation may include reimbursement for actual and necessary expenditures for reproduction costs, telephone expenses, and travel expenses approved by the Contract Officer in advance, or actual subcontractor expenses of an approved subcontractor pursuant to Section 4.5, and only if specified in the Schedule of Compensation. The Contract Sum shall include the attendance of Consultant at all project meetings reasonably deemed necessary by the City. Coordination of the performance of the work with City is a critical component of the services. If Consultant is required to attend additional meetings to facilitate such coordination, Consultant shall not be entitled to any additional compensation for attending said meetings. 2. 4 Invoices. Each month Consultant shall furnish to City an original invoice for all work performed and expenses incurred during the preceding month in a form approved by City's Director of Finance. By submitting an invoice for payment under this Agreement, Consultant is certifying compliance with all provisions of the Agreement. The invoice shall detail charges for all necessary and actual expenses by the following categories: labor (by sub-category), travel, materials, equipment, supplies, and sub-contractor contracts. Sub-contractor charges shall also be detailed by such categories. Consultant shall not invoice City for any duplicate services performed by more than one person. City shall independently review each invoice submitted by the Consultant to determine whether the work performed and expenses incurred are in compliance with the provisions of this Agreement. Except as to any charges for work performed or expenses incurred by Consultant which are disputed by City, or as provided in Section 7.3, City will use its best efforts to cause Consultant to be paid within forty-five (45) days of receipt of Consultant's correct and undisputed invoice; however, Consultant acknowledges and agrees that due to City warrant run procedures, the City cannot guarantee that payment will occur within this time period. In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Consultant for correction and resubmission. Review and payment by City for any invoice provided by the Consultant shall not constitute a waiver of any rights or remedies provided herein or any applicable law. 2.5 Waiver. Payment to Consultant for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Consultant. ARTICLE 3. PERFORMANCE SCHEDULE 01203.0006/523512.2 6 A-7 I-7 3.1 Time of Essence. Time is of the essence in the performance of this Agreement. 3.2 Schedule of Performance. Consultant shall commence the services pursuant to this Agreement upon receipt of a written notice to proceed and shall perform all services within the time period(s) established in the "Schedule of Performance" attached hereto as Exhibit "D" and incorporated herein by this reference. When requested by the Consultant, extensions to the time period(s) specified in the Schedule of Performance may be approved in writing by the Contract Officer but not exceeding one hundred eighty(180) days cumulatively. 3. 3 Force Maieure. The time period(s) specified in the Schedule of Performance for performance of the services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of the Consultant, including, but not restricted to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including the City, if the Consultant shall within ten (10) days of the commencement of such delay notify the Contract Officer in writing of the causes of the delay. The Contract Officer shall ascertain the facts and the extent of delay, and extend the time for performing the services for the period of the enforced delay when and if in the judgment of the Contract Officer such delay is justified. The Contract Officer's determination shall be final and conclusive upon the parties to this Agreement. In no event shall Consultant be entitled to recover damages against the City for any delay in the performance of this Agreement, however caused, Consultant's sole remedy being extension of the Agreement pursuant to this Section. 3.4 Term. Unless earlier terminated in accordance with Article 7 of this Agreement, this Agreement shall continue in full force and effect until completion of the services but not exceeding one years from the date hereof, except as otherwise provided in the Schedule of Performance (Exhibit D"). [The City may, in its sole discretion, extend the Term for one additional one-year terms.] ARTICLE 4. COORDINATION OF WORK 4.1 Representatives and Personnel of Consultant. The following principals of Consultant ("Principals") are hereby designated as being the principals and representatives of Consultant authorized to act in its behalf with respect to the work specified herein and make all decisions in connection therewith: Jim Favaro Principal Name)Title) 01203.0006/523512.2 7 A-8 I-8 It is expressly understood that the experience, knowledge, capability and reputation of the foregoing principals were a substantial inducement for City to enter into this Agreement. Therefore, the foregoing principals shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the services hereunder. All personnel of Consultant, and any authorized agents, shall at all times be under the exclusive direction and control of the Principals. For purposes of this Agreement, the foregoing Principals may not be replaced nor may their responsibilities be substantially reduced by Consultant without the express written approval of City. Additionally, Consultant shall utilize only competent personnel to perform services pursuant to this Agreement. Consultant shall make every reasonable effort to maintain the stability and continuity of Consultant's staff and subcontractors, if any, assigned to perform the services required under this Agreement. Consultant shall notify City of any changes in Consultant's staff and subcontractors, if any, assigned to perform the services required under this Agreement, prior to and during any such performance. 4.2 Status of Consultant. Consultant shall have no authority to bind City in any manner, or to incur any obligation, debt or liability of any kind on behalf of or against City, whether by contract or otherwise, unless such authority is expressly conferred under this Agreement or is otherwise expressly conferred in writing by City. Consultant shall not at any time or in any manner represent that Consultant or any of Consultant's officers, employees, or agents are in any manner officials, officers, employees or agents of City. Neither Consultant, nor any of Consultant's officers, employees or agents, shall obtain any rights to retirement, health care or any other benefits which may otherwise accrue to City's employees. Consultant expressly waives any claim Consultant may have to any such rights. 4.3 Contract Officer. The Contract Officer shall be Elias Sassoon, Director of Public Works, and Ron Dragoo, Principal/City Engineer, or such person as may be designated by the City Manager. It shall be the Consultant's responsibility to assure that the Contract Officer is kept informed of the progress of the performance of the services and the Consultant shall refer any decisions which must be made by City to the Contract Officer. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Contract Officer. The Contract Officer shall have authority, if specified in writing by the City Manager, to sign all documents on behalf of the City required hereunder to carry out the terms of this Agreement. 4. 4 Independent Consultant. Neither the City nor any of its employees shall have any control over the manner,mode or means by which Consultant, its agents or employees,perform the services required herein, except as otherwise set forth herein. City shall have no voice in the selection, discharge, supervision or control of Consultant's employees, servants, representatives or agents, or in fixing their number, compensation or hours of service. Consultant shall perform all services required herein as an independent contractor of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role. Consultant shall not at any 01203.0006/523512.2 8 A-9 I-9 time or in any manner represent that it or any of its agents or employees are agents or employees of City. City shall not in any way or for any purpose become or be deemed to be a partner of Consultant in its business or otherwise or a joint venturer or a member of any joint enterprise with Consultant. 4.5 Prohibition Against Subcontracting or Assignment. The experience, knowledge, capability and reputation of Consultant, its principals and employees were a substantial inducement for the City to enter into this Agreement. Therefore, Consultant shall not contract with any other entity to perform in whole or in part the services required hereunder without the express written approval of the City. In addition, neither this Agreement nor any interest herein may be transferred, assigned, conveyed, hypothecated or encumbered voluntarily or by operation of law, whether for the benefit of creditors or otherwise, without the prior written approval of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty five percent 25%) of the present ownership and/or control of Consultant, taking all transfers into account on a cumulative basis. In the event of any such unapproved transfer, including any bankruptcy proceeding, this Agreement shall be void. No approved transfer shall release the Consultant or any surety of Consultant of any liability hereunder without the express consent of City. ARTICLE 5. INSURANCE AND INDEMNIFICATION 5.1 Insurance Coverages. Without limiting Consultant's indemnification of City, and prior to commencement of any services under this Agreement, Consultant shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to City. a) General liability insurance. Consultant shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO "insured contract" language will not be accepted. b) Automobile liability insurance. Consultant shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Services to be performed under this Agreement, including coverage for any owned, hired, non- owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident. c) Professional liability (errors & omissions) insurance. Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of$1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this 01203.0006/523512.2 9 A-10 I-10 Agreement and Consultant agrees to maintain continuous coverage through a period no less than three(3)years after completion of the services required by this Agreement. d) Workers' compensation insurance. Consultant shall maintain Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at least$1,000, 000). e) Subcontractors. Consultant shall include all subcontractors as insureds under its policies or shall furnish separate certificates and certified endorsements for each subcontractor. All coverages for subcontractors shall include all of the requirements stated herein. f) Additional Insurance. Policies of such other insurance, as may be required in the Special Requirements in Exhibit"B". 5.2 General Insurance Requirements. a) Proof of insurance. Consultant shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation. Insurance certificates and endorsements must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. City reserves the right to require complete, certified copies of all required insurance policies, at any time. b) Duration of coverage. Consultant shall procure and maintain for the duration of this Agreement insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Services hereunder by Consultant, its agents, representatives,employees or subconsultants. c) Primary/noncontributing. Coverage provided by Consultant shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non- contributory basis for the benefit of City before the City's own insurance or self-insurance shall be called upon to protect it as a named insured. d) City's rights of enforcement. In the event 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. e) Acceptable insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or that is on the List of Approved Surplus Line Insurers in the State of California, with an 01203.0006/523512 2 10 A-11 I-11 assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VI(or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. f) Waiver of subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against City, its elected or appointed officers, agents, officials, employees 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. g) Enforcement of contract provisions (non-estoppel). Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. h) Requirements not limiting. Requirements of specific coverage features or limits contained in this section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Consultant maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. i) Notice of cancellation. Consultant agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. j) Additional insured status. General liability policies shall provide or be endorsed to provide that City and its officers, officials, employees, and agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. k) Prohibition of undisclosed coverage limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. 1) Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that Consultant's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer's limits of liability. The policy(ies) shall not contain any cross-liability exclusions. 01203.0006/523512.2 11 A-12 I-12 m) Pass through clause. Consultant agrees to ensure that its subconsultants, subcontractors, and any other party involved with the project who is brought onto or involved in the project by Consultant, provide the same minimum insurance coverage and endorsements required of Consultant. Consultant agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Consultant agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the project will be submitted to City for review. n) Agency's right to revise specifications. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Consultant ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Consultant, the City and Consultant may renegotiate Consultant's compensation. o) Self-insured retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City. p) Timely notice of claims. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant's performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. q) Additional insurance. Consultant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the work. 5.3 Indemnification. To the full extent permitted by law, Consultant agrees to indemnify, defend and hold harmless the City, its officers, employees and agents ("Indemnified Parties") against, and will hold and save them and each of them harmless from, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities whether actual or threatened(herein"claims or liabilities") that may be asserted or claimed by any person, firm or entity arising out of or in connection with the negligent performance of the work, operations or activities provided herein of Consultant, its officers, employees, agents, subcontractors, or invitees, or any individual or entity for which Consultant is legally liable ("indemnitors"), or arising from Consultant's or indemnitors' reckless or willful misconduct, or arising from Consultant's or indemnitors' negligent performance of or failure to perform any term, provision, covenant or condition of this Agreement, and in connection therewith: a) Consultant will defend any action or actions filed in connection with any of said claims or liabilities and will pay all costs and expenses, including legal costs and attorneys' fees incurred in connection therewith; 01203.0006/523512 2 12 A-13 I-13 b) Consultant will promptly pay any judgment rendered against the City, its officers, agents or employees for any such claims or liabilities arising out of or in connection with the negligent performance of or failure to perform such work, operations or activities of Consultant hereunder; and Consultant agrees to save and hold the City, its officers, agents, and employees harmless therefrom; c) In the event the City, its officers, agents or employees is made a party to any action or proceeding filed or prosecuted against Consultant for such damages or other claims arising out of or in connection with the negligent performance of or failure to perform the work, operation or activities of Consultant hereunder, Consultant agrees to pay to the City, its officers, agents or employees, any and all costs and expenses incurred by the City, its officers, agents or employees in such action or proceeding, including but not limited to, legal costs and attorneys' fees. Consultant shall incorporate similar indemnity agreements with its subcontractors and if it fails to do so Consultant shall be fully responsible to indemnify City hereunder therefore, and failure of City to monitor compliance with these provisions shall not be a waiver hereof. This indemnification includes claims or liabilities arising from any negligent or wrongful act, error or omission, or reckless or willful misconduct of Consultant in the performance of professional services hereunder. The provisions of this Section do not apply to claims or liabilities occurring as a result of City's sole negligence or willful acts or omissions, but, to the fullest extent permitted by law, shall apply to claims and liabilities resulting in part from City's negligence, except that design professionals' indemnity hereunder shall be limited to claims and liabilities arising out of the negligence, recklessness or willful misconduct of the design professional. The indemnity obligation shall be binding on successors and assigns of Consultant and shall survive termination of this Agreement. ARTICLE 6. RECORDS,REPORTS,AND RELEASE OF INFORMATION 6.1 Records. Consultant shall keep, and require subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports, studies or other documents relating to the disbursements charged to City and services performed hereunder (the "books and records"), as shall be necessary to perform the services required by this Agreement and enable the Contract Officer to evaluate the performance of such services. Any and all such documents shall be maintained in accordance with generally accepted accounting principles and shall be complete and detailed. The Contract Officer shall have full and free access to such books and records at all times during normal business hours of City, including the right to inspect, copy, audit and make records and transcripts from such records. Such records shall be maintained for a period of three 3) years following completion of the services hereunder, and the City shall have access to such records in the event any audit is required. In the event of dissolution of Consultant's business, custody of the books and records may be given to City, and access shall be provided by Consultant's successor in interest. Notwithstanding the above, the Consultant shall fully cooperate with the City in providing access to the books and records if a public records request is made and disclosure is required by law including but not limited to the California Public Records Act. 01203.0006/523512.2 13 A-14 I-14 6.2 Reports. Consultant shall periodically prepare and submit to the Contract Officer such reports concerning the performance of the services required by this Agreement as the Contract Officer shall require. Consultant hereby acknowledges that the City is greatly concerned about the cost of work and services to be performed pursuant to this Agreement. For this reason, Consultant agrees that if Consultant becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the work or services contemplated herein or, if Consultant is providing design services, the cost of the project being designed, Consultant shall promptly notify the Contract Officer of said fact, circumstance, technique or event and the estimated increased or decreased cost related thereto and, if Consultant is providing design services,the estimated increased or decreased cost estimate for the project being designed. 6.3 Ownership of Documents. All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents and other materials (the "documents and materials") prepared by Consultant, its employees, subcontractors and agents in the performance of this Agreement shall be the property of City and shall be delivered to City upon request of the Contract Officer or upon the termination of this Agreement, and Consultant shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership use, reuse, or assignment of the documents and materials hereunder. Any use, reuse or assignment of such completed documents for other projects and/or use of uncompleted documents without specific written authorization by the Consultant will be at the City's sole risk and without liability to Consultant, and Consultant's guarantee and warranties shall not extend to such use, reuse or assignment. Consultant may retain copies of such documents for its own use. Consultant shall have the right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any documents or materials prepared by them, and in the event Consultant fails to secure such assignment, Consultant shall indemnify City for all damages resulting therefrom. Moreover, Consultant with respect to any documents and materials that may qualify as "works made for hire" as defined in 17 U.S.C. § 101, such documents and materials are hereby deemed"works made for hire"for the City. 6.4 Confidentiality and Release of Information. a) All information gained or work product produced by Consultant in performance of this Agreement shall be considered confidential, unless such information is in the public domain or already known to Consultant. Consultant shall not release or disclose any such information or work product to persons or entities other than City without prior written authorization from the Contract Officer. b) Consultant, its officers, employees, agents or subcontractors, shall not, without prior written authorization from the Contract Officer or unless requested by the City Attorney, voluntarily provide documents, declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered"voluntary" provided Consultant gives City notice of such court order or subpoena. 01203.0006/523512 2 14 A-15 I-15 c) If Consultant, or any officer, employee, agent or subcontractor of Consultant, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Consultant for any damages, costs and fees, including attorney's fees, caused by or incurred as a result of Consultant's conduct. d) Consultant shall promptly notify City should Consultant, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed there under. City retains the right, but has no obligation, to represent Consultant or be present at any deposition, hearing or similar proceeding. Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Consultant. However, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response. ARTICLE 7. ENFORCEMENT OF AGREEMENT AND TERMINATION 7.1 California Law. This Agreement shall be interpreted, construed and governed both as to validity and to performance of the parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Los Angeles, State of California, or any other appropriate court in such county, and Consultant covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in the County of Los Angeles, State of California. 7.2 Disputes; Default. In the event that Consultant is in default under the terms of this Agreement, the City shall not have any obligation or duty to continue compensating Consultant for any work performed after the date of default. Instead, the City may give notice to Consultant of the default and the reasons for the default. The notice shall include the timeframe in which Consultant may cure the default. This timeframe is presumptively thirty (30) days, but may be extended, though not reduced, if circumstances warrant. During the period of time that Consultant is in default, the City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices. In the alternative, the City may, in its sole discretion, elect to pay some or all of the outstanding invoices during the period of default. If Consultant does not cure the default,the City may take necessary steps to terminate this Agreement under this Article. Any failure on the part of the City to give notice of the Consultant's default shall not be deemed to result in a waiver of the City's legal rights or any rights arising out of any provision of this Agreement. 7.3 Retention of Funds. Consultant hereby authorizes City to deduct from any amount payable to Consultant whether or not arising out of this Agreement) (i) any amounts the payment of which may be in 01203.0006/523512.2 15 A-16 I-16 dispute hereunder or which are necessary to compensate City for any losses, costs, liabilities, or damages suffered by City, and (ii) all amounts for which City may be liable to third parties, by reason of Consultant's acts or omissions in performing or failing to perform Consultant's obligation under this Agreement. In the event that any claim is made by a third party,the amount or validity of which is disputed by Consultant, or any indebtedness shall exist which shall appear to be the basis for a claim of lien, City may withhold from any payment due, without liability for interest because of such withholding, an amount sufficient to cover such claim. The failure of City to exercise such right to deduct or to withhold shall not, however, affect the obligations of the Consultant to insure, indemnify, and protect City as elsewhere provided herein. 7.4 Waiver. Waiver by any party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision or a waiver of any subsequent breach or violation of any provision of this Agreement. Acceptance by City of any work or services by Consultant shall not constitute a waiver of any of the provisions of this Agreement. No delay or omission in the exercise of any right or remedy by a non-defaulting party on any default shall impair such right or remedy or be construed as a waiver. Any waiver by either party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement. 7.5 Rights and Remedies are Cumulative. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative and the exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party. 7.6 Legal Action. In addition to any other rights or remedies, either party may take legal action, in law or in equity, to cure, correct or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement. Notwithstanding any contrary provision herein, Consultant shall file a statutory claim pursuant to Government Code Sections 905 et seq. and 910 et seq., in order to pursue a legal action under this Agreement. 7.7 Liquidated Damages. Since the determination of actual damages for any delay in performance of this Agreement would be extremely difficult or impractical to determine in the event of a breach of this Agreement, the Contractor and its sureties shall be liable for and shall pay to the City the sum of zero ($0) as liquidated damages for each working day of delay in the performance of any service required hereunder. The City may withhold from any monies payable on account of services performed by the Contractor any accrued liquidated damages. 01203.0006/523512.2 16 A-17 I-17 7.8 Termination Prior to Expiration of Term. This Section shall govern any termination of this Contract except as specifically provided in the following Section for termination for cause. The City reserves the right to terminate this Contract at any time, with or without cause, upon thirty (30) days' written notice to Consultant, except that where termination is due to the fault of the Consultant, the period of notice may be such shorter time as may be determined by the Contract Officer. In addition, the Consultant reserves the right to terminate this Contract at any time, with or without cause, upon sixty (60) days' written notice to City, except that where termination is due to the fault of the City, the period of notice may be such shorter time as the Consultant may determine. Upon receipt of any notice of termination, Consultant shall immediately cease all services hereunder except such as may be specifically approved by the Contract Officer. Except where the Consultant has initiated termination, the Consultant shall be entitled to compensation for all services rendered prior to the effective date of the notice of termination and for any services authorized by the Contract Officer thereafter in accordance with the Schedule of Compensation or such as may be approved by the Contract Officer, except as provided in Section 7. 3. In the event the Consultant has initiated termination, the Consultant shall be entitled to compensation only for the reasonable value of the work product actually produced hereunder. In the event of termination without cause pursuant to this Section, the terminating party need not provide the non-terminating party with the opportunity to cure pursuant to Section 7.2. 7.9 Termination for Default of Consultant. If termination is due to the failure of the Consultant to fulfill its obligations under this Agreement, City may, after compliance with the provisions of Section 7.2, take over the work and prosecute the same to completion by contract or otherwise, and the Consultant shall be liable to the extent that the total cost for completion of the services required hereunder exceeds the compensation herein stipulated (provided that the City shall use reasonable efforts to mitigate such damages), and City may withhold any payments to the Consultant for the purpose of set-off or partial payment of the amounts owed the City as previously stated. 7.10 Attorneys' Fees. If either party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorney's fees. Attorney's fees shall include attorney's fees on any appeal, and in addition a party entitled to attorney's fees shall be entitled to all other reasonable costs for investigating such action, taking depositions and discovery and all other necessary costs the court allows which are incurred in such litigation. All such fees shall be deemed to have accrued on commencement of such action and shall be enforceable whether or not such action is prosecuted to judgment. ARTICLE 8. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION 8.1 Non-liability of City Officers and Employees. 01203.0006/523512.2 17 A-18 I-18 No officer or employee of the City shall be personally liable to the Consultant, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Consultant or to its successor, or for breach of any obligation of the terms of this Agreement. 8.2 Conflict of Interest. Consultant covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Consultant's performance of services under this Agreement. Consultant further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the Contract Officer. Consultant agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement. No officer or employee of the City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which affects her/his financial interest or the financial interest of any corporation, partnership or association in which (s)he is, directly or indirectly, interested, in violation of any State statute or regulation. The Consultant warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement. 8.3 Covenant Against Discrimination. Consultant covenants that, by and for itself, its heirs, executors, 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 account of race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry or other protected class in the performance of this Agreement. Consultant shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry or other protected class. 8.4 Unauthorized Aliens. Consultant hereby promises and agrees to comply with all of the provisions of the Federal Immigration and Nationality Act, 8 U.S.C. § 1101 et seq., as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein. Should Consultant so employ such unauthorized aliens for the performance of work and/or services covered by this Agreement, and should any liability or sanctions be imposed against City for such use of unauthorized aliens, Consultant hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed,together with any and all costs, including attorneys' fees, incurred by City. ARTICLE 9. MISCELLANEOUS PROVISIONS 9.1 Notices. 01203.0006/523512.2 18 A-19 I-19 Any notice, demand,request, document, consent, approval, or communication either party desires or is required to give to the other party or any other person shall be in writing and either served personally or sent by prepaid, first-class mail, in the case of the City, to the City Manager and to the attention of the Contract Officer (with her/his name and City title), City of Rancho Palos Verdes, 30940 Hawthorne Blvd., Rancho Palos Verdes, California 90275 and in the case of the Consultant, to the person(s) at the address designated on the execution page of this Agreement. Either party may change its address by notifying the other party of the change of address in writing. Notice shall be deemed communicated at the time personally delivered or in seventy-two (72)hours from the time of mailing if mailed as provided in this Section. 9.2 Interpretation. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply. 9.3 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument. 9.4 Integration; Amendment. This Agreement including the attachments hereto is the entire, complete and exclusive expression of the understanding of the parties. It is understood that there are no oral agreements between the parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements and understandings, if any, between the parties, and none shall be used to interpret this Agreement.No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the Consultant and by the City Council. The parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void. 9.5 Severability. In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent of the parties hereunder unless the invalid provision is so material that its invalidity deprives either party of the basic benefit of their bargain or renders this Agreement meaningless. 9.6 Warranty& Representation of Non-Collusion. No official, officer, or employee of City has any financial interest, direct or indirect, in this Agreement, nor shall any official, officer, or employee of City participate in any decision relating to this Agreement which may affect his/her financial interest or the financial interest of 01203.0006/523512.2 19 A-20 I-20 any corporation, partnership, or association in which (s)he is directly or indirectly interested, or in violation of any corporation, partnership, or association in which (s)he is directly or indirectly interested, or in violation of any State or municipal statute or regulation. The determination of financial interest" shall be consistent with State law and shall not include interests found to be remote" or "noninterests" pursuant to Government Code Sections 1091 or 1091.5. Consultant warrants and represents that it has not paid or given, and will not pay or give, to any third party including, but not limited to, any City official, officer, or employee, any money, consideration, or other thing of value as a result or consequence of obtaining or being awarded any agreement. Consultant further warrants and represents that (s)he/it has not engaged in any act(s), omission(s), or other conduct or collusion that would result in the payment of any money, consideration, or other thing of value to any third party including, but not limited to, any City official, officer, or employee, as a result of consequence of obtaining or being awarded any agreement. Consultant is aware of and understands that any such act(s), omission(s) or other conduct resulting in such payment of money, considerati. , or other thing of value will render this Agreement void and of no force or effect. 4IA Consultant's Authorized Initials elltv 9.7 Corporate Authority. if The persons executing this Agreement on behalf of the parties hereto warrant that(i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement, such party is formally bound to the provisions of this Agreement, and (iv) that entering into this Agreement does not violate any provision of any other Agreement to which said party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the parties. SIGNATURES ON FOLLOWING PAGE] 01203.0006/523512.2 20 A-21 I-21 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first-above written. CITY: CITY OF RANCHO PALOS VERDES, a municipal corpor 'on Mayor ATillk. : lilt_kilb WAgifk. Em711Pb!1Mt -•, ity Clerk APPROVED AS TO FORM: ALESHIRE &WYNDER, LLP 1)Vii William VVI City Attorney CONSULTANT: JOHNSON FAVARO By: Name: a Title: Pr'• ,,IW 4110PBy: ./ Nam `_ ;Jo .on Title: Princip' Address: 5898 Blackwelder Street Culver City, CA 90232 Two corporate officer signatures required when Consultant is a corporation, with one signature required from each of the following groups: 1) Chairman of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. CONSULTANT'S SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT'S BUSINESS ENTITY. 01203.0006/523512 2 21 A-22 I-22 ALL-PURPOSE ACKNOWLEDGMENT Title of Document: SC-0 (t 6 Sigv14-17—d Date of Document: 12 I I J A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California o S OrN6 1 ss. County of On 12 \a% 1 ) 13. before me, ,9tn i A- TVG Notary Public, personally appeared 3-1 %-n p fw Pr R. c• 7tz rL Uh n1501J who proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) iefare subscribed to the within instrument and acknowledged to me that 11LT-0e/they executed the same in n.i&h r/their authorized capacity(ies), and that by hiefher/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal.is •- commission•2120047 t•-• Notary Public•California Los Angeles County Signature 2> 1M„ My Comm.Ex iter Au 15.2010' FOR NOTARY STAMP SIMLA TAIVEDI Commission al 2120047 Notary Public-California ztosAngsk:County1_\:,1-7),,152019 I-23 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached,and not the truthfulness,accuracy or validity of that document. STATE OF CALIFORNIA COUNTY OF LOS ANGELES grtyt 50101Sva On PE'C' 1 - $2018 before me,Sutk; Tilowwis, personally appeared 11 wn rPWA4RQ , proved to me on the basis of satisfactory evidence to be the person(s)whose names(s)4s/are subscribed to the within instrument and acknowledged to me that he4lte/they executed the same in hisfher/their authorized capacity(ies), and that by hiker/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. riall"1"111" 11111946P-WITNESS my hand and official seal. syoliry f ON-California 1'nl09 Atq li Couay Signature: Comm, 15 2019 OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT INDIVIDUAL CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TITLE(S) PARTNER(S) LIMITED GENERAL NUMBER OF PAGES ATTORNEY-IN-FACT TRUSTEE(S) GUARDIAN/CONSERVATOR OTHER DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON(S)OR ENTITY(IES)) SIGNER(S)OTHER THAN NAMED ABOVE 01203.0006/523512.2 A-23 I-24 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached,and not the truthfulness,accuracy or validity of that document. STATE OF CALIFORNIA COUNTY OF,LOS,ANGELES, On 2018 befOre•nfe, personally appeated'' prover!'to me on the basis of satisfactory evidence to be the person(s)whose names(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and co rr 44, WITNESS y I o iM; _` t Ylncnv tileVM lfiJ 1 '` Signature: _ r 4-__ aJ pnrt;' OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT INDIVIDUAL CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TITLE(S) PARTNER(S) LIMITED GENERAL NUMBER OF PAGES ATTORNEY-IN-FACT TRUSTEE(S) GUARDIAN/CONSERVATOR OTHER DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON(S)OR ENTITY(IES)) SIGNER(S)OTHER THAN NAMED ABOVE 01203.0006/523512.2 A-24 I-25 EXHIBIT "A" SCOPE OF SERVICES Consultant will perform engineering design services for the Ladera Linda Community Park Project (the Services). The project's scope is divided into two phases: PHASE 1: The first phase consists of refining and developing the existing approved conceptual Master Plan to a 30% completion level. This phase will be presented to the City Council for review and approval. PHASE 2: The second phase consists of the development of a fully-completed construction design and construction-ready documents for this project. Consultant will coordinate work with the subconsultants to ensure that is completed in a timely and professional manner, and shall be solely responsible for the work of subconsultants. PHASE 1 A. PRE-DESIGN. The work shall be performed by Consultant. 1. In cooperation with the City the Consultant shall produce existing conditions documentation based on City provided site survey, geotechnical investigative report, and other documents and date as required by the City's Contract Officer. 2. Consultant shall create documentation of the Ladera Linda Park Master Plan dated March 20, 2018 (Master Plan) suitable for a basis of design, and presentation(s) to the City, community stakeholders and other as required by the City's Contract Officer. 3. Consultant shall engage in a community outreach effort (including (3) meetings with neighboring HOAs and others as required by the City's Contract Officer) to confirm those features of the park master plan to remain and those which are to be revised. 4. Consultant shall produce models and drawings suitable for incorporation into subsequent design and document sets, as well as presentation of same to City and community groups. B. SCHEMATIC DESIGN. The work shall be performed by Consultant, in conjunction with subconsultants MGAC, KPFF, Englekirk Institutional, NOVUS,KSA,and Technical Resources Consultants. 1. In cooperation with the City, the Consultant shall prepare documents illustrating the scale and relationship of project components (Schematic Design Documents) of the Project. The documents shall include, but not be limited to a site plan, enlarged site plans, floor plans, elevations, site sections, site elevations, outline specifications and other documents necessary and as 01203.0006/523512 2 A-1 A-25 I-26 required to illustrate the proposed project scope and concept. The Consultant shall incorporate into the Schematic Documents the proposed program and functional requirements as approved by the City, established in the Master Plan,as well as revisions in the pre-design phase. 2. The Schematic Design documents shall include preliminary selections of major building systems, and construction materials shall be noted on the drawings or described in writing. 3. Consultant shall meet with the City's Contract Officer at intervals as necessary to develop the design and review progress drawings and other documents which depict schematic status of the Project design. 4. Community/stakeholder workshops as required by the City's Contract Officer are proposed during this phase in order to update Project design progress and solicit comment. 5. Consultant shall target LEED Certified Equivalent per the U.S. Green Building Council (USGBC) rating system and provide LEED checklists and reports indicating probable design credits for the Project and assignment of subconsultant responsibility for ensuring each measure is properly applied to the Project design. 6. Consultant shall coordinate as required with City's staff in order to confirm compliance with City standards and to develop furniture and equipment plans for the Project design that are consistent with City requirements and standards. 7. Consultant shall prepare a preliminary site development package to include civil plans illustrating demolition; grading and paving; hydrology calculations and drainage (to include potential detention basins and/or bio- swales)and all utility services. 8. Consultant has the sole responsibility for preparing documentation of the preliminary design for review and comment by all appropriate agencies and utility providers, including but not limited to the City of Rancho Palos Verdes, and others as required. Consultant is not responsible for the actions, non- actions, change of action by these agencies and utility providers after all efforts are made by Consultant to solicit review and to incorporate all review comments. All work associated with change-of-action based on previous direction by the agencies identified will be considered Additional Services. 9. Consultant shall prepare an Estimated Project Construction Cost Estimate in a format acceptable to the City at 100% completion of Schematic Design, the purpose of which is to show the probable construction cost in relation to the City's Construction Budget. If the Consultant perceives site considerations 01203.0006/523512.2 A-2 A-26 I-27 or City project requirements which render the project cost prohibitive, the Consultant shall disclose such conditions in writing to the City immediately. 10. Consultant shall make presentations of the Schematic Design documents and 100% Schematic Design Cost Estimates to the City of Rancho Palos Verdes staff, City Council, Commissions and others as required in order to update design progress, solicit comment, and obtain approval for the Schematic Design project scope and budget. 11. Consultant shall make presentations of the 100% Schematic Design Cost Estimates to the City. The City shall prepare at City's discretion and at its own expense the independent third party estimates of probable construction costs. All cost estimates will be reconciled with an City/ Project Management Cost Estimate developed by an independent third party cost estimator. The Consultant shall attend one (1) cost reconciliation meeting with the third-party cost estimator for the purpose of reconciling the 100% Schematic Design Estimated Project Construction Costs. 12. City's Contract Officer and Consultant shall meet to review the provisional Schematic Design Documents and Cost Estimates in order to reach agreement on any City-authorized adjustment to the approved Project schedule or construction budget and identify any necessary clarifications of the provisional Schematic Design Documents. 13. Consultant shall make all City-requested changes, additions, deletions, and corrections in the Schematic Design Documents which may result from the City's or any constructability review, at no additional cost to the City, so long as they are not in conflict with the requirements of the public agencies having jurisdiction or prior approval, or inconsistent with earlier City direction or Consultant's professional judgment. If such changes are inconsistent with prior City direction, Consultant shall make such alterations and be compensated therefore pursuant to the Additional Services provision of this Agreement. 14. Unless City agrees otherwise in writing, the Consultant shall revise respective provisional Schematic Design documents and Cost Estimates to reflect adjustments and clarifications agreed upon in the review meeting and resubmit Schematic Design documents and Cost Estimates to City. Once approved, the revised Schematic Design documents shall become the final Schematic Design Documents. 15. If the City's Contract Officer has not authorized in writing a revision to the project scope and the Estimated Project Construction Cost based on Schematic Design documents exceeds the City's Construction Budget by more than ten percent (10%), the City may request the Consultant to amend, at the Consultant's sole cost and expense, the Schematic Design Documents in order to meet the City's Construction Budget. 01203.0006/523512 2 A-3 A-27 I-28 PHASE 2 C. DESIGN DEVELOPMENT. The work shall be performed by the Consultant, in conjunction with subconsultants MGAC, KPFF, Englekirk Institutional, NOVUS,Darkhorse Lighworks, KSA,and Technical Resources Consultants. 1. Upon written approval by the City's Contract Officer of the Schematic Design documents and the 100% Schematic Design Estimated Project Construction Cost, the Consultant shall prepare Design Development documents consisting of, but not limited to, site plans, enlarged site plans, building floor plans, enlarged floor plans, site sections, building sections, building elevations, typical construction details, finish schedules indicating finish selection, interior elevations, outline specifications and other drawings and documents sufficient to fix and describe the scope, relationship, size, appearance and character of the project components. 2. Design Development documents shall include Mechanical, Electrical, and Plumbing system designs and equipment layouts including single line diagrams and an energy analysis report. 3. Consultant shall provide interior and exterior lighting design services to include lighting design plans and schedules and photometric calculations as required for permit and to confirm minimum or maximum light levels for site development and building areas, including parking lots, path of travel and emergency egress. 4. Consultant shall update the LEED checklists and report identifying probable design credits for the Project and prepare as needed concept cost/benefit analysis of individual design elements for review and consideration by the City. 5. Consultant shall finalize storm water and design drainage plans and incorporate site features in conformance with the guidelines of the Governing Agency and as required to comply with City regulations. 6. Consultant shall take the lead role in applying for and obtaining required approvals from all federal, state, regional or local agencies concerned with the Project. 7. Consultant shall interpret all applicable federal, state and local laws, rules, and regulations with respect to access, including those of the Americans with Disabilities Act (ADA). Consultant shall identify all non-compliant construction within the Project scope area and complete plans and specifications for site and building improvements within the Project scope area as required to correct or remove non-compliant construction as required for permit, including, but not limited to path of travel, curb ramps and accessible parking. 01203.0006/523512.2 A-4 A-28 I-29 8. Consultant shall meet with the City at intervals as necessary to develop the design and to review progress drawings and other documents that depict the Design Development status of the Project. 9. Consultant shall establish an updated Estimated Project Construction Costs at 100% completion of Design Development documents containing detail consistent with the Design Development documents. 10. Community/stakeholder workshops are proposed as required by the City's Contract Officer during this phase in order to update Project design progress and solicit comment. 11. Consultant shall make presentations of the City of Rancho Palos Verdes staff, City Council, Commissions, and others as required by the City's Contract Officer, to update design progress, solicit comment, and obtain approval for the Design Development project scope and budget. 12. Design Development documents and 100% Design Development Cost Estimates to the City. All cost estimates will be reconciled with an City/Project Management Cost Estimate developed by an independent third party cost estimator. The City shall prepare at City's discretion and at its own expense the independent third party estimates of probable construction costs. The Consultant shall attend one (1) cost reconciliation meeting with the third- party cost estimator for the purpose of reconciling the 100% Design Development Estimated Project Construction Costs. 13. The City and the Consultant shall meet to review the provisional Design Development Documents and Cost Estimates in order to reach agreement on any City-authorized adjustment to the approved Project schedule or construction budget and identify any necessary clarifications of the provisional Design Development Documents and/or the 100% Design Development Cost Estimates. 14. Consultant shall make all City-requested changes, additions, deletions, and corrections in the Design Development documents which may result from any constructability review, at no additional cost to the City, so long as they are not in conflict with the requirements of the public agencies having jurisdiction or prior approval, or inconsistent with earlier City direction or Consultant's professional judgment. If such changes are inconsistent with prior City direction, Consultant shall make such alterations and be compensated therefore pursuant to the Additional Services provision of this Agreement. 15. Unless the City agrees otherwise in writing, the Consultant shall revise provisional Design Development documents and Cost Estimates to reflect adjustments and clarifications agreed upon in the review meeting and resubmit. Design Development documents and Cost Estimates to the City. 01203.0006/523512.2 A-5 A-29 I-30 Once approved, the revised Design Development documents shall become the final Design Development Documents. 16. If the City has not authorized in writing a revision to the project scope and Estimated Project Construction Costs based on Design Development documents exceeds the City's Construction Budget by more than ten percent 10%), the City may request the Consultant to amend, at the Consultant's sole cost and expense, the Design Development Documents in order to meet the City's Construction Budget. D. CONSTRUCTION DOCUMENTS. The work shall be performed by Consultant, in conjunction with subconsultants MGAC, KPFF, Englekirk Institutional, NOVUS, Darkhorse Lightworks, KSA, and Technical Resources Consultants. 1. Based on approved Design Development Documents and the approved updated project Construction Budget, the Consultant shall prepare, for approval by City, Construction Documents consisting of drawings and other documents setting forth in detail the requirements for construction of the Project. The Consultant shall prepare complete drawings and specifications as are necessary for developing complete bids and for properly executing the Project work. Drawings and specifications shall set forth in detail all of the following: 1) the Project construction work to be done; 2) the materials, workmanship, finishes, and equipment required for the Project; and 3) the utility service connection equipment and site work. 2. Consultant shall prepare a Storm Water Pollution Prevention Plan SWPPP) which will include Best Management Practices (BMP's)that outline standard practices that can be implemented to decrease the discharge of pollutants into storm drains during construction operation on the site. 3. Consultant shall submit a written Estimated Project Construction Cost for the project based on the Construction Document Phase Documents at 90% completion. Construction Document Phase Documents shall be consistent with the Project Construction Budget and if not in conformance shall be revised until approved in writing by the City. 4. All cost estimates will be reconciled with an City/Project Management Cost Estimate developed by an independent third-party cost estimator. The City shall prepare at City's discretion and at its own expense the independent third-party estimate of probable construction costs. The Consultant shall attend one (1) cost reconciliation meeting at each Construction Document milestone with the City's third-party cost estimator for the purpose of reconciling the 90% Construction Document Estimated Project Construction Cost. 01203.0006/523512.2 A-6 A-30 I-31 5. The City's Contract Officer and the Consultant shall meet to review the provisional 100% Construction Documents and Cost Estimate to reach agreement on any City-authorized adjustment to the approved Project schedule or construction budget and identify any necessary clarifications of the provisional Construction Documents and Cost Estimates. 6. The parties agree that the Consultant, and not the City, possess the requisite expertise to determine the constructability of the Construction Documents. However, the City reserves the right to conduct one or more constructability review processes with the Construction Documents, and to hire an independent architect or other consultant to perform such reviews. Any such independent constructability reviews shall be at the City's expense. 7. Consultant shall make all City-requested changes, additions, deletions, and corrections in the Construction Documents which may result from any constructability review, at no additional cost to the City, so long as they are not in conflict with the requirements of the public agencies having jurisdiction or prior approval, or inconsistent with earlier City direction or with Consultant's professional judgment. If such changes are inconsistent with prior City direction, Consultant shall make such alterations and be compensated therefore pursuant to the Additional Services provision of this Agreement. 8. Unless the City agrees otherwise in writing, the Consultant shall revise provisional Construction Documents and Cost Estimates to reflect adjustments and clarifications agreed upon in the review meeting and resubmit Construction Documents and Cost Estimates to the City. Once approved, the revised Construction Documents shall become the final 100% Construction Documents. 9. The Consultant shall provide two (2) sets full size (30" x 42") and half size (15" x 21") hard copies at 50% Construction Documents for City review and input. Changes directed by City which are inconsistent with prior City direction shall be made by the Consultant and compensated as Additional Services. The scope of and compensation for such changes shall be mutually agreed upon by the Consultant and City before such changes are initiated. 10. Revise the 50% Construction Documents and submit another two (2) set of documents at 90% Construction Documents for City review and input. Changes directed by City which are inconsistent with prior City direction shall be made by the Consultant and compensated as Additional Services. The scope of and compensation for such changes shall be mutually agreed upon by the Consultant and City before such changes are initiated. 11. Consultant shall submit two (2) sets of 90% Construction Documents for submittal to the Building and Safety Department for review and approval. 01203.0006/523512.2 A-7 A-31 I-32 12. Complete corrections on the 100%Construction Documents as required by the various City departments to obtain final approval of the Construction Documents for bidding purposes. 13. Provide a final Cost Estimate and Project Schedule to confirm the project is on target. 14. Submit two (2) sets of approved 100% Construction Documents and Specifications for City's records and electronic copies on a CD along with a flash drive. E. PERMIT. The work shall be performed by the Consultant, in conjunction with subconsultants KPFF,Englekirk Institutional,NOVUS,and KSA. 1. The Construction Documents and Specifications must be in such form as will enable the Consultant and City to secure the required permits and approvals for all federal, state, regional or local agencies concerned with the Project. F. BIDDING. The work shall be performed by Consultant, in conjunction with subconsultants KPFF,Englekirk Institutional,NOVUS, and KSA. 1. Assist in the submittal of the Bid Drawings (100% Construction Documents) and Specifications to the City's Project Manager. 2. Respond to all Requests for Information (RFIs) working with the City's Project Manager. 3. Assist the City's Project Manager in reviewing and evaluating the bids and related documents for contract award to the lowest responsive and responsible bidder. II. Exclusions. See Exhibit"A-I" III. As part of the Services, Consultant will prepare and deliver the following tangible work products to the City: 1. Models and drawings 2. Schematic Design Documents 3. Preliminary site development package 4. Estimated Project Construction Cost Estimates 5. Presentation files 6. Design Development documents 7. Storm Water Pollution Prevention Plan (SWPPP) 01203.0006/523512.2 A-8 A-32 I-33 8. Construction Documents IV. In addition to the requirements of Section 6.2, during performance of the Services, Consultant will keep the City appraised of the status of performance by delivering the following status reports: NOT APPLICABLE V. All work product is subject to review and acceptance by the City, and must be revised by the Consultant without additional charge to the City until found satisfactory and accepted by City. VI. Consultant will utilize the following personnel to accomplish the Services: A. Jim Favaro, Steve Johnson, Brian Davis and Kathy Williams B. KSA: Katherine Spitz, Jake Patton C. KPFF: Tom Gsell D. MGAC: Rick Lloyd E. Englekirk Institutional:, Tom Sabol and Diana Nishi F. NOVUS: Michael Leung G. Darkhorse Lightworks: TRC Dawn Hollingsworth 01203.0006/ 523512.2 A-9 A-33 I-34 EXHIBIT "A-1" EXCLUSIONS The following services are expressly not included in this Scope of Work, and shall be charged as Additional Services pursuant to Section 1.8 if requested by City. A. General 1. Land Survey 2. Geotechnical Investigative Report 3. Phase 1 or Phase 2 Environmental Review 4. Tree Survey or Arborist Services 5. Materials Testing 6. Hazardous materials abatement scope related to survey of existing conditions, drawings, reports, documents and or specifications. 7. Methane extraction systems 8. Off-site public improvements, not described in this Proposal including adjoining street widening. 9. Physical presentation models 10. Partnering Workshops 11. Additional cost estimates or revisions to completed cost estimates B. Civil Engineering 1. Preparation of schematic opinion of probable construction costs. 2. Preparation of preliminary below-slab de-watering plan 3. Preparation of design development opinion of probable construction costs. 4. Assist in the filing of permits for the permanent or temporary discharge of groundwater. 5. Special studies. 6. Land surveys. 7. Design of site retaining walls. 8. Services relative to future facilities, systems, and equipment. 9. Service to investigate existing conditions or facilities, or to make measured drawings thereof. 10. Coordination of construction performed by separate contractors or by owner's forces. 01203.0006/523512.2 Al-10 A-34 I-35 11. Services regarding work of a construction manage or separate consultants retained by owner. 12. Detailed estimates of construction cost. 13. Record drawings. 14. Services of sub-consultants. 15. Storm water facilities. 16. Road widening. 17. Bicycle paths. 18. Traffic signals. 19. Street dedications. 20. Street lighting. 21. Striping plans. 22. Sewer improvements. 23. Water improvements. 24. Traffic studies. 25. Franchise Utility Coordination, includes natural gas lines, power and communications conduits, etc. 26. Assist the owner in coordinating the abandonment and/or relocation of existing franchise utilities. 27. Underground mechanical systems coordination, includes coordination of chilled water lines, steam lines, distilled water, etc. Note that coordination includes horizontal alignment only. Detailed design of these items is to be accomplished by others. 28. Design of sewer seepage pits, septic tanks, or leech fields. 29. Design of water wells. 30. Preparation of excavation documents/rough grading plans. 31. Preparation of studies of alternative site plans. 32. Flood,plain,wetland, or environmental work. 33. Design of lift stations for sanitary sewer or storm drainage systems. 34. Design of booster pumps for inadequate water pressure. 35. Intensive research and testing to determine conditions of existing site utilities (e.g. potholing, smoke testing, dye testing,pressure testing, and video testing. 36. Assist the general contractor with the design and permits associates with construction site dewatering. 01203.0006/523512.2 A 1-1 1 A-35 I-36 37. Design and documentation relative to special storm water detention and treatment systems required to obtain LEED credits. 38. Landscape Architecture 39. Hardscape design 40. Landscape design for adjacent hillside areas 41. Playground or sports courts equipment 42. Community Outreach 43. Lighting Design 44. Record Drawings/As-Builts 45. LEED calculations and documentation C. Structural Engineering 1. Structural engineering services outside of community center building except foundation design and detailing of playground equipment D. MEP Engineering 1. Design change requests and LEED strategy reassessment requested after completion of 100% Schematic Design that require significant redesign and/or redrawing. 2. Significant changes to building or MEP systems requiring reassessment of systems proposed will require additional services to assess. 3. MEP demolition drawings or documentation of any existing as-built conditions 4. Work on buildings and site other than those described under'Project Description" above 5. Design of systems outside of five feet from building or buildings described under Project Description" above, except for site related work as included in Services descriptions. 6. LEED and Title 24-2016 Required Commissioning and 3rd Party Peer Reviews 7. Construction management or bidding coordination 8. Kitchen design or specification of any kitchen equipment 9. Construction cost estimates will be by construction cost estimator. We will review cost estimator's pricing,participate in reconciliation and provide feedback. 10. Acoustical calculations for systems are not included. We will include modifications to our systems per your acoustical consultants' recommendations within our base fee. 11. Smoke modeling and any work on atriums 12. Routing of utilities (gas, water, sanitary, electrical, etc.) outside of five feet from the building 01203.0006/523512 2 A1-12 A-36 I-37 13. Design of building footing drainage and/or sub-slab groundwater drainage will be performed by others. 14. Trenching and backfilling details or specifications related to underground piping and/or tanks 15. Cogeneration systems 16. Audio Visual systems, Cabling for telephone or CATV, Fire Alarm and Security system design 17. Layout of fire sprinkler heads and routing of fire sprinkler piping in the building 18. Fire alarm system design 19. Design or testing of fire protection systems 20. Fuel oil under/above ground storage tanks, pumping, piping, and leak detection systems. 21. Storm water detention/reclamation system design. 22. Solar thermal water heating system design. 23. Medical gas system and piping distribution design including air, vacuum, oxygen and nitrogen. 24. Full Design of Solar Photovoltaic systems. 25. Energy storage power systems 26. Structural calculations for the seismic restraint of mechanical, electrical and plumbing equipment are not included 27. Waterproofing details/requirements for building components by others 28. Cost reduction requiring redesign after approved systems have been designed including but not limited to change order issues or ASI's. Issue of ASIs, change orders, plan revisions, etc. generated by others will require additional fees to be submitted for prior approval before completing these services. 29. Review of change order costs initiated by others will be billed hourly, on prior approval. 30. Determination/interpretation of egress lighting paths with local officials. 31. Distributed antenna system. 32. Kitchen exhaust and make-up air systems design. 33. Smoke control system or stair/elevator shaft pressurization system design. 34. Any Plug Load Monitoring or Submissions 35. Lighting design for areas not specifically listed under Lighting scope 36. Theatrical Lighting 37. Design of Landscape and Exterior Lighting 01203.0006/523512.2 A1-13 A-37 I-38 38. Mock-ups 39. Cost estimating 40. Multiple-name specifications 41. Control system specifications 42. Custom fixture design 43. Supervision of contractors 44. Aiming of installed light fixtures 45. Life Cycle Cost Analysis 46. Record drawings of completed project 47. Cost reduction requiring redesign 48. Determination/interpretation of egress lighting paths with local officials 49. Location of Exit Signs 50. Preparation and documentation of any LEED or similar credit programs 51. Power to street lighting at city sidewalks and right of ways. 52. Low Voltage Conduit design,routing and coordination. 53. Design-Bid-Build Early Foundation Package. 54. Filing of applications for building or other permits, payment of any fees associated with permits or associated applications. 55. Preparation of cost estimates. 56. Overall project BIM management. 57. Participations in development of BIM execution plans. 58. Design of an emergency or standby back up power system via a diesel generator. 59. Responses to additional rounds of comments from owners. One round of comments has been included in the scope of work. 60. Design for grease interceptor and plumbing for a commercial kitchen. E. Lighting 1. Revit model production. Darkhorse will utilize the Revit model to extract current backgrounds, sections and details, but will not produce a linked model. It is the architect or engineer's responsibility to populate the model with lighting families. Darkhorse will assist to obtain available manufacturers families for luminaires specified. 2. Additional site visits shall be billed at the day rates as noted in the fee schedule. Day rates are described as one (1)man-day of 8 hours. 3. Production time for additional drawing submissions not included in the scope of services. 01203.0006/523512.2 Al-14 A-38 I-39 4. Bidding and Negotiation. 5. As-built drawings, Record drawings and Close-out documentation. 6. Decorative lighting (FF&E) is to be provided by architect. Darkhorse shall assist with sources and dimming and at times might suggest fixtures but the responsibility is that of the interior designers. Should it be requested that Darkhorse source decorative light fixtures, a separate fee should be assessed based on the scope of the request. 7. Programming of the lighting controls system. This work shall be completed by the manufacturer's authorized personnel. 8. Commissioning of lighting and controls systems. This work shall be performed by a certified commissioning agent. 9. Emergency lighting, life safety. As directed, Darkhorse shall incorporate architectural lighting fixtures capable of emergency lighting to support and assist in efforts through zoning but it is the Electrical Engineer's responsibility to circuit the emergency lighting, verify that it meets code and specify visible emergency lighting, concealed EM lights, BOH, Staircase and other lighting not in Darkhorse's scope. 10. Energy code calculations, LEED submittals, lighting power density and other permit documents are supplied by consulting engineers. Darkhorse shall provide a fixture schedule and zone schedule with wattage information for areas within scope but does not have the authority to submit to agencies and municipalities. 11. LEED Compliance, WELL Building, Savings by Design or other third-party building program documentation unless specifically included. Related services are considered additional services upon request. 12. Living Building Challenge documentation and specifications unless specifically included. Compliance is the responsibility of manufacturers. If notified at the beginning the project will seek LBC status, Darkhorse will make every effort to specify products in compliance but does not warrant products specified comply with the LBC Red List. Coordination and all related efforts are considered additional services. 13. Landmarks approval documentation. 14. Lighting renderings are an additional service. Fees shall be based on the extent of the request. 15. Mock-ups shall be billed at the hourly rate. Any expenses associated with the construction of materials for the mock up shall be paid upon receipt of invoice. 16. Additional photometric calculations shall be billed as additional services at the hourly rates set forth herein. 17. Review and testing of fixture and/or control system substitutions proposed by others. 01203.0006/523512.2 A 1-15 A-39 I-40 18. Should the client request custom light fixtures; the design shall be billed at 4,500.00 USD per fixture design. All copyrights remain the property of Darkhorse. A custom lighting fixture is defined as an entirely new design and would require design approvals, prototypes and coordination of fabrication. Darkhorse does not charge additional fees for assisting with modifications or coordinating custom fixture as provided by other designers. 19. Should the overall design phase extend past twenty (20) months Darkhorse reserves the right to renegotiate fees and ask for additional compensation due to additional hours needed. 20. The specification and design of lighting control and dimming system, unless specifically included above. 21. Value engineering past 100%Design Development phases. 22. Written specifications beyond the information provided in our fixture schedule. 01203.0006/523512 2 A 1-16 A-40 I-41 EXHIBIT "B" SPECIAL REQUIREMENTS Superseding Contract Boilerplate) Added text is indicated in bold italics, and deleted text is indicated in stfilEethfeugh. I.Section 4.5,Prohibition Against Subcontracting or Assignment, is amended to read: The experience, knowledge, capability and reputation of Consultant, its principals and employees were a substantial inducement for the City to enter into this Agreement. Therefore, Consultant shall not contract with any other entity to perform in whole or in part the services required hereunder without the express written approval of the City. The following subconsultants are deemed approved: KPFF Consulting Engineers; KSA Design Studios; Englekirk Institutional; NOVUS Design Studio; Darkhorse Lightworks, LLC; MGAC; and Technical Resources Consultants. In addition, neither this Agreement nor any interest herein may be transferred, assigned, conveyed, hypothecated or encumbered voluntarily or by operation of law, whether for the benefit of creditors or otherwise, without the prior written approval of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty five percent(25%) of the present ownership and/or control of Consultant, taking all transfers into account on a cumulative basis. In the event of any such unapproved transfer, including any bankruptcy proceeding, this Agreement shall be void. No approved transfer shall release the Consultant or any surety of Consultant of any liability hereunder without the express consent of City. II. Section 7.7,Liquidated Damages, is deleted in its entirety. 01203.0006/523512.2 B-1 A-41 I-42 EXHIBIT "C" SCHEDULE OF COMPENSATION I.Consultant and subconsultants shall perform the following tasks at the following rates: Discipline/Firm Predesign Schematic Design Construction Permit Bid Sub- design Development Documents Budget Architecture/ 45,000 45,000 60,000 125,000 $5,000 $3,500 $283,500 Johnson Favaro Cost Planning/ 0 3,000 6,000 4,500 0 0 $13,500 MGAC Civil Engineering/ 0 19,360 20,240 35,200 $10,200 $3,000 $88,000 KPFF Structural Engineering/ 0 2,750 6,300 24,000 500 $500 $34, 050 Englekirk MEP,FLS/Novus 0 10,000 13,000 22,500 $3,000 $1,500 $ 50, 000 Lighting/ 0 0 4,500 7,500 0 0 $12,000 Darkhorse Lighting Landscape 0 10,520 9,800 18,000 590 $500 $ 39,410 Architecture/KSA Specifications/TRC 0 0 5,000 2,000 $1,000 0 8,000 Reimbursable 10,000 Expenses* TOTALS 45,000 90, 630 124,840 238, 700 $20,290 $9,000 $538,460 Reimbursable expenses shall include reasonable out of pocket expenses that are incurred and paid by Consultant and subconsultants in furtherance of this Agreement. Reimbursable expenses shall include: Printing and reproduction costs Project-related mileage Shipping, overnight mail,postage,messenger and other handling of drawings and documents Presentation models Fees paid to third parties for securing approval of authorities having jurisdiction over the Project 01203.0006/523512.2 C- A-42 I-43 Additional consultants not included in this Agreement, subject to the City's Contract Officer's prior written approval. II. A retention of ten percent (10%) shall be held from each payment as a contract retention to be paid as part of the final payment upon satisfactory completion of services. NOT APPLICABLE III. Within the budgeted amounts for each Task, and with the approval of the Contract Officer, funds may be shifted from one Task subbudget to another so long as the Contract Sum is not exceeded per Section 2.1, unless Additional Services are approved per Section 1.9. IV. The City will compensate Consultant for the Services performed upon submission of a valid invoice.Each invoice is to include: A. Line items for all personnel describing the work performed, the number of hours worked, and the hourly rate. B. Line items for all materials and equipment properly charged to the Services. C. Line items for all other approved reimbursable expenses claimed, with supporting documentation. D. Line items for all approved subcontractor labor, supplies, equipment, materials, and travel properly charged to the Services. V. The total compensation for the Services shall not exceed the Contract Sum as provided in Section 2.1 of this Agreement. VI. The billing rates for Consultant's and subconsultants' personnel are attached as Exhibit C-1. 01203.0006/ 523512.2 C-2 A-43 I-44 EXHIBIT "C-1" CONSULTANT TEAM HOURLY RATES Johnson Favaro-Architect Partners 220 Senior Associate 180 Senior Staff 3 120 KSA Design -Landscape Architect Principal 235 Project Manager/Project Designer $135 Draftsperson 90 MGAC - Cost Consultant Senior Cost Manager 200 Cost Manager 175 Assistant Cost Manager 100 KPFF- Civil Engineers Principal 225 Project Manager 180 Project Engineer 150 Englekirk Institutional-Structural Engineers Principal 275 Project Director 195 Associate 175 Novus-MEP Senior Engineer 135 BIM Designer 115 Darkhorse Lightworks-Lighting Principal 190 Senior Designer 175 Designer 150 Technical Resources Consultants - Specifications Principal 165 01203.0006/523512.2 C-3 A-44 I-45 EXHIBIT "D" SCHEDULE OF PERFORMANCE I.Consultant shall perform all Services timely in accordance with the following schedule. Phase Duration Start Finish Calendar Days) A. Pre-Design 45 11.01.18 12.15.18 RPV Review and NTP 15 12.15.18 01.01.18 B. Schematic Design 45 01.01.18 2.15.19 RPV Review and NTP 15 2.15.19 3.01. 19 C. Design Development 45 3.01.19 4.15.18 RPV Review and NTP 15 4.15.18 5.01.19 D. Construction Documents 90 5.01.19 08.01.19 RPV Review and NTP 15 08.01.19 08.15.19 E. Permit 45 08.15.19 10.01.19 F. Bid 15 10. 01.19 10.15.19 II. Consultant shall deliver the following tangible work products to the City by the following dates. Per Section I, above. III. The Contract Officer may approve extensions for performance of the services in accordance with Section 3.2. 01203.0006/523512.2 D-1 A-45 I-46