20240806 Late Correspondence1 1
Subject:FW: City Council Meeting August 6, 2024
Attachments:SRA - SCE Letter_8-6-24_final.pdf; Untitled attachment 00011.htm; 240801 SCE
Letter.pdf; Untitled attachment 00014.htm
From: KIT & KWI <kitmsong@yahoo.com>
Sent: Tuesday, August 6, 2024 7:02 PM
To: Enyssa Sisson <esisson@rpvca.gov>
Subject: Re: City Council Meeting August 6, 2024
Enyssa, I will also try to load this into the meeting this PM if necessary, but would like to add the two
attached documents into the record.
Page 1 of 2
August 6th, 2024
Jill C. Anderson
Executive Vice President and Chief Operating Officer
Southern California Edison
Dear Ms. Anderson:
On behalf of the SeaView Resident’s Association, we are writing to object to and request correction of the
recent letter sent out to residents of the SeaView neighborhood and for clarification of the intent of and
information within the letter. We are enclosing as a separate attachment the letter that was sent.
The letter is inaccurate for the large majority of households to which it was sent. There are 36 homes within
SeaView that are within the Klondike Canyon Land Abatement District. The remaining 232 homes are not
within the boundaries of the ancient or current land movement zones and implying that they are damages the
homeowners of those homes in efforts for acquisition of insurance, property values, and ongoing
preservation of utilities. We ask that you print a correction of information or a retraction of the letter to
those homeowners to mitigate the damage that has been done. We would be happy to work with your
team on the content of such a letter.
Secondarily, the message presented in the letter and at the recent city meeting on land movement at Ladera
Linda Community Center on July 31st does not provide residents with information of Southern California
Edison’s intent toward services in the SeaView or Portuguese Bend Beach Club neighborhoods. Most of both
communities are not in an unstable area, but as noted in the community meeting, both are tied to a single
circuit and at risk of temporary interruption of services due to there being only a single circuit supplying
electricity to the area.
We understood from the community meeting presentation that there are efforts to redesign the grid in the
SeaView and Portuguese Bend Beach Club communities to mitigate the impact of power outage repairs that
may be needed due to land movement. One behalf of the community we are requesting as soon as
possible for meetings with knowledgeable individuals at SCE, representatives of Seaview, and the city
of Rancho Palos Verdes to update the communities on SCE’s plans and intentions which would include
question-and-answer session about those efforts. We further request clarification of the letter sent to
Seaview residents indicating that service to our properties may be discontinued. We seek to know if you
intend to stop providing service to all of SeaView and Portuguese Bend Beach Club as is implied in the
communication sent to us or if the intent is to notify us that temporary interruptions in service may be
anticipated. A permanent stoppage of electrical services would irreparably damage the residents of these
communities and be in violation of the company’s obligation to provide electrical services.
Page 2 of 2
We stand ready to work with Southern California Edison to better understand the safety issues involved in
repair efforts to maintain the electrical grid but insist on the above measures to mitigate damage that has
already been done by an ill-advised communication to homeowners in our community.
Sincerely,
SeaView Residents Association, Board of Directors
Jerry Duhovic, President
Rayne Sherman, Vice President
Lori Givens, Treasurer
Deirdre Heimer, Secretary
Nic Grillo, Board Member
Nikki Noushkam, Board Member
David Potter, Board Member
Gerry Taccini, Board Member
Kit Song, Board Member
Mike Miller, Alternate Board Member
CC.
• Ara Mihranian Rancho Palos Verdes City Manager aram@rpvca.gov
• Ted Lieu: U.S.: House of Representatives 1645 Corinth Ave, Suite 101, 90025
• Janice Hahn: LA County Supervisor FourthDistrict@bos.lacounty.gov
• State Senator Ben Allen. Senator.Allen@Senate.CA.gov
• Al Muratsuchi Assemblymember District 66, 3424 W. Carson St. Suite 450 Torrance, CA 90503
• California Public Utilities Commission. 320 West 4th Street, Suite 500 Los Angeles, CA 90013
• Los Angeles Times
c/o Investigations Editor Jack Leonard
2300 E. Imperial Highway
El Segundo, CA 90245
SOUIHtRN CALIhOKNIA
EDISON
UPDATE - NOTICE OF POTENTIAL SERVICE SHUT OFF DUE TO LAND MOVEMENT
Dear Kit Song,
On Oct.3,2023,the City of Rancho Palos Verdes declared a local emergency dueto accelerated land
movement and subsidence.Your property has been identifiedas beingwithinthe landslidearea. Over
the past18 months,there has been considerable land movement putting the utilities serving the area
and your property at risk.The purpose ofthisletter is to advise that Southern California Edison's
service to your property may be discontinued if conditions warrant.
Nothing is more importantthan the safetyofourteam members,customersandthe public.The
ground movement affecting your neighborhood has created unsafe and hazardous conditions,which
have alreadyimpacted SCE's infrastructure,causing powerpolesto leanand power lines to fail.The
impact on SCE's equipment caused by these hazardous conditions increases the risk of system failure,
fire ignition or other public safety hazards.
SCE will continue to serve your community as longas it issafe to do so. We are workingwiththe City
of Rancho PalosVerdes and Los AngelesCounty officials to monitor area conditions as they evolve.
We recognize the impact the potential of discontinued service has, and we appreciate your
understanding. We will make every effort to providetimelycommunications regardingany impactto
your service,however,the dynamic conditions in the area may not allow for advance notification.
Because of this,customers in the area are encouraged to begin planning for the potential suspension
of electric service.
Learn More:
A website isavailable to provide updates and resources for the residents of Rancho PalosVerdes.
Please visit:www.sce.com/rpv.
Ifyou have questions or need our assistance,please reach out to our customer service team at
SCEoutage@sce.com.
Sincerely,
Jill C.Anderson
Executive Vice President and Chief Operating Officer
Southern California Edison
TO: HONORABLE MAYOR & CITY COUNCIL MEMBERS
FROM: CITY CLERK
DATE: AUGUST 6, 2024
SUBJECT: ADDITIONS/REVISIONS AND AMENDMENTS TO AGENDA
_____________________________________________________________________
Attached are revisions/additions and/or amendments to the agenda material presented
for tonight’s meeting.
Item No. Description of Material
K Attachment A (Agreement with Hardy and Harper, Inc.)
1 CalOES Letter Regarding Declaring a Local Emergency
Email from Robert Lauck
Respectfully submitted,
_________________
Teresa Takaoka
L:\LATE CORRESPONDENCE\2024\2024 Coversheets\20240806 additions revisions to agenda.docx
01203.0006/1003130.4
PUBLIC WORKS AGREEMENT
By and Between
CITY OF RANCHO PALOS VERDES
and
HARDY & HARPER INC.,
K.
A-1
AGREEMENT FOR PUBLIC WORKS SERVICES
BETWEEN THE CITY OF RANCHO PALOS VERDES AND
HARDY & HARPER INC., FOR ROADWAY MAINTENANCE CONTRACT FISCAL
YEARS 2024-25 THROUGH 2028-29.
THIS AGREEMENT FOR PUBLIC WORKS SERVICES (herein "Agreement") is made
and entered into on August 6, 2024 by and between the City of Rancho Palos Verdes, a California
municipal corporation ("City") and Hardy & Harper Inc., a California Corporation ("Contractor").
City and Contractor 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 l of this Agreement.
B. Contractor, following submission of a proposal or bid for the performance of the
services defined and described particularly in Article I 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 Contractor for performance of those
services defined and described particularly in Article I of this Agreement and desire that the terms
of that petformance 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. WORK OF CONTRACTOR
1.1 Scope of Work.
In compliance with all terms and conditions of this Agreement, the Contractor shall
provide those services specified in the "Scope of Work" 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, Contractor
represents and warrants that it has the qualifications, experience, and facilities necessary to
properly perform the work required under this Agreement in a thorough, competent, and
professional manner, and is experienced in performing the work and services contemplated herein.
Contractor shall at all times faithfully, competently and to the best of its ability, experience and
talent, perform all services described herein. Contractor 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
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Ol 203.0006/1003130.4 A-2
Agreement, the phrase "highest professional standards" shall mean those standards of practice
recognized by one or more first-class firms performing similar work under similar circumstances.
1.2 Bid Documents.
The Scope of Work shall include the "General Provisions" and "Special Provisions"
in the bid documents for the project entitled ROADWAY MAINTENANCE CONTRACT
FISCAL YEARS 2024-2025 THROUGH 2028-2029, including any documents or exhibits
referenced therein (collectively, "bid documents"), all of which are incorporated herein by this
reference. In the event of any inconsistency between the terms of the bid documents and this
Agreement, the terms of this Agreement shall govern.
1.3 Compliance with Law.
Contractor 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 Compliance with California Labor Law.
(a) Public Work. The Parties acknowledge that the work to be
performed under this Agreement is a "public work" as defined in Labor Code Section 1 720 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 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
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01203.0006/1003 I 304 A-3
accurate payroll records and verify such records in writing under penalty of pe1jury, 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 l 777.5, 1777.6, and l 777.7 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
apprentieeable 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.
(f) Eight-Hour Work Day. Contractor acknowledges that eight (8)
hours labor constitutes a legal clay's work. Contractor shall comply with and be bound by Labor
Code Section l 810.
(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 I, 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
(I½) times the basic rate of pay.
(h) Workers' Compensation. California Labor Code Sections 1860 and
3700 provide that every employer \Viii be required to secure the payment of compensation to its
employees ifit has employees. In accordance with the provisions of California Labor Code Section
I 86 L Contractor certifies as follows:
··1 am aware of the provisions of Section 3700 of the Labor Code ,vhich 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 wi II
comply with such provisions before commencing the performance of the work of
this contract."
c/1n)
Contractor's Authorized lnitialy,,_ __ _
(i) Contractor's Responsibility for Subcontractors. For every
subcontractor who will pcrl"urrn work under this AgrecmenL Contractor shall be responsible for
such subcontractor's compliance with Division 2. Part 7. Chapter l (commencing with Section
1720) of the California Labor Code, and shall make such co111plia11cc a requirement in any contract
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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 reriodic basis or upon becoming aware of the failure of the subcontractor to
pay his or her \Vorkers 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 Asst!ssments.
Contractor shall obtain at its sole cost and expense such licenses, permits,
registrations. and approvals as may be required by law for the performance of the services required
by this Agreement. Contractor 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 Contractor'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.
t.6 Familiarity with Work.
(a) By executing this Agreement, Contractor warrants that Contractor
(i) has thoroughly investigated and considered the scope of work to be pcrlclrmed, (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 ,vork upon any site. Contractor warrants that Contractor has or will investigate
the site and is or wi 11 be fully acquainted with the conditions there existing, prior to commencement
of services hereunder.
(b) Contractor shall promptly, and before the following conditions arc
disturbed, notify the City, in writing, of any: (i) material Contractor believes may be hazardous
waste as defined in Section 25117 of the Health & Safety Code required to be removed to a Class
1, II, or Ill disposal site in accordance with existing law; (ii) subsurface, unknown or latent
conditions. materially different from those indicated; or (iii) unknown physical conditions at the
site of any unusual nature, different from those ordinarily encountered and generally recognized
as inherent in \Vork of the character provided for in this Agreement. and will materially affect the
performance of the services hereunder.
(c) City shall promptly investigate the conditions, and if it finds that
the conditions do materially differ, or do involve hazardous waste, and cause a decrease or increase
in Contractor's cost of, or the time required for, performance of any part of the work, shall issue a
change order per Section I. IO of this Agreement.
(d) In the event that a dispute arises between City and Contractor
whether the conditions materially differ. or involve hazardous waste, or cause a decrease or
increase in Contractor's cost oL or time required for, performance or any part of the work,
Contractor shall not be excused from any scheduled completion date set. but shall proced with all
work to be performed under the Agreement. Contractor shall rctn in any and al I rights provided
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o I ;:OJUl!Oliil IIUJ 1111 ,1 A-5
cilher by contract or by law, ,vhich pertain to the resolution o( disputes and protests between the
contracting parties.
(e) City will compensate Contractor to the extent required by
Government Code Section 4215 by issuing a change order per Section I. IO of this Agreement.
1. 7 Protection and Care of Work and Materials.
The Contractor shall adopt reasonable methods, including providing and
maintaining storage facilities. 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 caused by City's
own negligence. Stored materials shall be reasonably accessible for inspection. Contractor shall
not, without City's consent, assign, sell, mortgage, hypothccate, or remove equipment or materials
which have been installed or delivered and which may be necessary lor the completion of the work.
1.8 Warranty.
Contractor warrants all work under the Agreement (which for purroses of this
Section shall be deemed to include unauthorized work which has not been removed and any
non-conforming materials incorporated into the work) to be of good quality and free from any
defective or faulty material and workmanship. Contractor agrees that !'or a period of one year (or
the period of time srecitied elsewhere in the Agreement or in any guarantee or warranty provided
by any manufacturer or supplier of equipment or materials incorporated into the work, whichever
is later) after the date of final acceptance, Contractor shall within ten ( I 0) days after being notified
in writing by the City of any defect in the work or non-conformance of the work to the Agreement.
commence and prosecute with due diligence all work necessary to fulfill the terms of the v..·arranty
at its sole cost and expense. Contractor shall act as soon as requested by the City in response to an
emergency. In addition, Contractor shall, at its sole cost and expense, repair, remove and replace
any portions of the work (or work of other contractors) damaged by its defective \VOrk or which
becomes damaged in the course of repairing or replacing defective work. For any \vork so
corrected, Contractor's obligation hereunder to correct defective ,vork shall be reinstated for an
additional one year period, commencing with the date of acceptance of such corrected work.
Contractor shall perform such tests as the City may require to verify that any corrective actions,
including. without limitation. redesign. repairs, and replacements comply with the requirements of
the Agreement. All costs associated \vith such corrective actions and testing. including the
removal, replacement, and reinstitution of equipment and materials necessary to gain access, shall
be the sole responsibility of the Contractor. All warranties and guarantees of subcontractors.
suppliers and manufacturers with respect to any portion of the work, whether express or implied.
are deemed to be obtained by Contractor for the benefit of the City. regardless of whether or not
such warranties and guarantees have been transferred or assigned to the City by separate agreemelll
and Contractor agrees tn enforce such warranties and guarantees, if necessary. on behalf of the
City. In the event that Contractor fails to perform its obligations under this Section. or under nny
other warranty or guaranty under this Agreement. to the reasonable satisfaction of the City. the
City shall have the right to correct and replace any defective or non-conforming work and any
work damaged by such work or the replacement or corrcc'tion thereof· at Contractor's sole expense.
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Contractor shall be obligated to fully reimburse the City for any expenses incurred hereunder upon
demand.
1.9 Fu rt her Responsibilities of Parties.
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.
1.10 Additional Work and Change Orders.
(a) 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 Work or make changes by altering, adding to or deducting from said work. No such extra
work may be undertaken unless a written change order is first given by the Project Manager to the
Contractor, incorporating therein any adjustment in (i) the Contract Sum, and/or (ii) the time to
perform this Agreement, which said adjustments are subject to the written approval of the
Contractor ("Change Order"). All Change Orders must be signed by the Contractor and Project
Manager prior to commencing the extra work thereunder.
(b) Any increase in compensation of up to ten percent ( I 0%) of the
Contract Sum or $25,000, whichever is less: or any increase in the time to perform of up to one
hundred eighty ( 180) clays: and does not materially affect the Work and which are not detrimental
to the Work or lo the interest of the City, may be approved by the Project Manager. Any greater
increases. taken either separately or cumulatively. must be approved by the City Counci I.
(c) Any adjustment in the Contract Sum for a Change Order must be in
accordance with the rates set forth in the Schedule of Compensation in Exhibit --c·. If the rates in
the Schedule of Compensation do not cover the type of work in the Change Order, the cost of such
work shall not exceed an amount agreed upon in writing and signed by Contractor and Project
Manager. lflhe cost of the Change Order cannot be agreed upon, the City will pay for actual work
of'the Change Order completed, to the satisfaction of'the City, as follows:
(i) Labor: the cost of labor shall be the actual cost for wages of
workers and subcontractors performing the work for the Change Order at the time such work is
done. The use of labor classifications that would increase the cost of such work shall not be
permitted.
(ii) Materials and L~quipment: the cost of materials and
equipment shall be at cost to Contractor or lmvest current price which such materials and
equipmem are reasonably available at the time the work is done. whichever is lower.
(iii) II' the cost or the extra ,,ork cannot be agrct:d up011, the
Contractor must provide a daily report that includes invoices for labor, materials and equipment
costs for the wurk under the Change Order. The daily report must include: list of names of workers.
classitications. and hours worked: description and list or quantities of materials used; type or
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equipment, size, identification number, and hours of operation, including loading and
transportation, if applicable; description of other City authorized services and expenditures in such
detail as the City may require. Failure to submit a daily report by the close of the next working day
may, al the City's sole and absolute discretion, waive the Contractor's rights for that clay.
(d) It is expressly understood by Contractor that the provisions of this
Section 1.10 shall not apply to services specifically set forth in lhe Scope of Work. Contractor
hereby acknowledges that it accepts the risk that the services to be provided pursuant to the Scope
of Work may be more costly or time consuming than Contractor anticipates and that Contractor
shall not be entitled to additional compensation therefor. City may in its sole and absolute
discretion have similar work done by other contractors.
(e) No claim for an increase in the Contract Sum or time fcJr
performance shall be valid unless the procedures established in this Section are followed.
1.11 Special Requirements.
Additional terms and conditions of this Agreement, if any, which are made a part
hereof arc set forth in the "Special Requirements'' attached hereto as Exhibit "13" and incorporated
herein by this reference. In the event of a conflict between the provisions of Exhibit ·'13'' and any
other provisions of this Agreement, the provisions of Exhibit "13'' shall govern.
ARTICLE 2. COMPENSATION AND METHOD OF PAYMENT.
2.1 Contract Sum.
Subject to any limitations set fotth in this Agreement, City agrees to pay Contractor
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 $400,087 per fiscal year, for a total compensation of $2,000,435 (Two
Million Four Hundred Thirty Five Dollars) (the "Contract Sum"), unless additional compensation
is approved pursuanl to Section 1.10, as follows:
Contractor may request annual rate increases effective FY 2025-36. Rates may be
increased in accordance with the Consumer Price Index (CPl-lJ) within the Los Angeles-Long
Beach and Anaheim geographic area, not to exceed a 5% increase per fiscal year.
2.2 Method of Compensation.
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 the contract retention: (iii) payment for time and materials based upon the
Contractor'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 cxcedcd; or (iv) such other methods as l!lay be specified in the Schedule (Ir
Compensation.
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2.3 Reimbursable Expenses.
Compensation may include reimbursement for actual and necessary expenditures
for reproduction costs. telephone expenses, and travel expenses approved by the Project Manager
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 Contractor at all project meetings reasonably deemed necessary by the City.
Coordination of the performance of the \Vork with City is a critical component of the services. If
Contractor is required to attend additional meetings to facilitate such coordination, Contractor shall
not be entitled to any additional compensation for attending said meetings.
2.4 Invoices.
Each month Contractor shal I furnish to City an original invoice for all \vork
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, Contractor is
ccrtitying compliance with all provisions of the Agreement. The invoice shall contain all
information specified in Exhibit .. C", and 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.
Contractor shal I not invoice City for any duplicate services performed by more than one person.
City shall, as soon as practicable, independently review each invoice submitted by
the Contractor 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 Contractor which are disputed by City, or as provided in Section 7.3, City will cause
Contractor to be paid within thirty (30) days of receipt of Contractor's correct and undisputed
invoice; however, Contractor 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 that City
docs not cause Contractor to be paid within thirty (30) days of receipt of an undisputed and
properly submitted invoict.:, Contractor shall be entitled to the payment of interest to the extent
allowed under Public Contract Code Section 20104.50. In the event any charges or expenses are
disputed by City, the original invoice shall be returned by City to Contractor. not later than seven
(7) days after receipt by the City, for correction and resubmission. Returned invoices shall be
accompanied by a document selling lt1rth in writing the reasons why the payment request was
rejected. Review and payment by the City of any invoice provided by the Contractor shall not
constitute a waiver of any rights or remedies provided herein or any applicable law.
2.5 Waiver.
Payment to Contractor for work performed pursuant to this Agreement shall not be deemed
to waive any defects in work performed by Contractor.
ARTICLE 3. PERFORMANCE SCHEDULE
3.l Time of Essence.
Time is ol' the essence in the performance of this /\grecrnent.
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3.2 Schedule of Performance.
Contractor shal I 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 Contractor, extensions to the time period(s) specified in the
Schedule of Performance may be approved in writing by the Project Manager but not exceeding
one hundred eighty ( 180) days cumulatively.
3.3 Force Ma,jcure.
The time pcriod(s) specified in the Schedule or 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 Contractor,
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 Contractor shall within
ten ( I 0) days of the commencement of such delay notify the Project Manager in writing of the
causes or the delay. The Project Manager shall ascertain the facts and the extent or delay, and
extend the time for performing the services for the period of the enforced delay when and if in the
judgment of the Project Manager such delay is justified. The Prc\ject Manager's determination
shall be final and conclusive upon the parties to this Agreement. In no event shall Contractor be
entitled to recover damages against the City for any delay in the performance of this Agreement.
however caused, Contractor's sole remedy being extension of the Agreement pursuant to this
Section.
3.4 Inspection and Final Acceptance.
City may inspect and accept or reject any of Contractor·s work under this
Agreement, either during performance or when completed. City shall reject or finally accept
Contractor's work within forty-five (45) days after submitted to City. City shall accept work by a
timely written acceptance. otherwise work shall be deemed to have been rejected. City's
acceptance shall be conclusive as to such work except with respect to latent defects. fraud and such
gross mistakes as to amount to fraud. Acceptance or any work by City shall not constitute a waiver
of any of the provisions of this Agreement including, but not limited to. Articles 1 and 5, pertaining
to warranty and indemnification and insurance, respectively.
3.5 Term.
Unless earlier terminated in accordance with Article 7 of this Agreement. this
Agreement shall continue in ful I force and effect through FY 2028-29. except as otherwise
provided in the Schedule of Performance (Exhibit "IY').
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ARTICLE 4. COORDINATION OF WORK
4.1 Representatives and Personnel of Contractor.
The following principals of Contractor ("Principals") are hereby designated as
being the principals and representatives of Contractor authorized to act in its behalf with respect
to the work specified herein and make all decisions in connection therewith:
Dan T. Maas
(Name)
Michael Amundson
(Name)
Tanner Hambright
(Name)
Kristen Paulino
(Name)
President
(Title)
Vice President
Critic)
Vice President
(Title)
Corporate Secretary
(Title)
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 Principals shall be responsible during the term or this Agreement for directing all
activities of Contractor and devoting sufficient time to personally supervise the services hereunder.
A 11 personnel of Contractor, and any authorized agents, shat I at al I times be under the exclusive
direction and control or the Principals. For purposes of this Agreement, the Principals may not be
replaced nor may their responsibilities be substantially reduced by Contractor without the express
written approval or City. Additionally, Contractor shall make every reasonable effort to maintain
the stability and continuity of Contractor's staff and subcontractors, if any, assigned to perform
the services required under this Agreement. Contractor shall notif)' City of any changes in
Contractor'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 Contractor.
Comractor 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 \\Tiling by City. Contractor shall not at any time or in any manner represent
that Contractor or any of Contractor's officers, employees, or agents arc in any manner officials,
officers, employees or agents nf' City. Neither Contractor, nor any of Contractor's officers,
employees ()f agents, sh al I obtain any rights to retirement, health care or any other benefits \vhich
may otherwise accrue lo City's employees. Contractor expressly waives any claim Contractor may
have to any such rights.
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4.3 Project Manager.
The Project Manager shall be David Copp. Deputy Director of Public Works or
such person as may be designated by the Director of Public Works. It shall be the Contractor's
responsibility to assure that the Project Manager is kept informed of the progress of the
performance of the services and the Contractor shall refer any decisions \Vhich must be made by
City to the Project Manager. Unless otherwise specified herein. any approval of City required
hereunder shall mean the approval of the Project l'vtanager. The Project Manager 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 Contractor.
Neither the City nor any of its employees shall have any control over the manner,
mode or means by which Contractor. 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 Contractor's employees, servants, representatives or agents, or in fixing
their number, compensation or hours of service. Contractor 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 ,,.,,,ith only such obligations as are consistent with that role. Contractor shall
not at any 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 Contractor in its business or othe,wise or a joint venturer or a member or any joint
enterprise with Contractor.
4.5 Prohibition Against Subcontracting or Assignment.
The experience, knowledge, capability and reputation of Contractor, its principals
and employees were a substantial inducement for the City to enter into this Agreement. Therefore,
Contractor shall not contract with any other entity to perfonn in \Vhole or in part the services
required hereunder without the express written approval of the City. All subcontractors shall
obtain, at its or Contractor's expense, such licenses, permits, registrations and approvals (including
from the City) as may be required by law for the performance of any services or work under this
Agreement. In addition. neither this Agreement nor any interest herein may be transferred.
assigned, conveyed, hypothccated or encumbered voluntarily or by operation of law, whether for
the benefit of creditors or othenvisc. 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 Contractor, taking all
transfers into account on a cumulative basis. In the event of any such unapproved transfer.
including any bankruptcy proceeding. this Agreement shall he void. No approved transfer shall
release the Contractor or any surety of Contractor of any liability hereunder without the express
consent of City.
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ARTICLE 5. INSURANCE, INDEMNIFICATION AND BONDS
5.1 Insurance Coverages.
Without limiting Contractor's indemnification of City, and prior to commencement
of any services under this Agreement, Contractor 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) Ciencral liability insurance. Contractor shall maintain commercial general
liability insurance with coverage at least as broad as Insurance Services Office form CG 00 0 I, in
an amount not less than $2.000,000 per occurrence, $4,000,000 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. Additional Insurance as referenced in Section 5.2(a) belO\v shall provide coverage frw
both ongoing and completed operations, and shall provide for both a defense and indemnity of the
City.
(b) Automobile liability insurance. Contractor shall maintain automobile
insurance at least as broad as Insurance Services Office form CA 00 0 I covering bodily injury and
property damage for al I activities of the Contractor 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. Contractor shall
maintain professional liability insurance that covers the Services to be performed in connection
with this Agreement, in the minimum amount of $3,000,000 per claim and in the aggregate. Any
policy inception date, continuity date, or retroactive date must be before the effective date of this
Agreement and Contractor agrees to maintain continuous coverage through a period no less than
five (5) years after completion of the services required by this Agreement.
(d) Workers' compensation insurance. Contractor shall maintain Workers·
Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at
least $1,000.000).
(e) Umbrella or excess liabilitv insurance. Contractor shall obtain and maintain
an umbrella or excess liability insurance that will provide bodily injury. personal injury and
property damage liability coverage at least as broad as the primary coverages set forth above,
including commercial general liability and employer's liability. Such policy or policies shall
include the following terms and conditions:
Pay on behalf of wording as opposed to reimbursement;
Concurrency of efYective dates with primary pol icics:
Policies shall '·follow form" to the underlying primary policies: and
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• Insureds under primary policies shall also be insureds under the umbrella or
excess policies.
(f) Pollution liability insurance. Environmental Impairment Liability Insurance
shall be written on a Contractor's Pollution Liability form, or other form acceptable to the City,
providing coverage for liability arising out of sudden, accidental and gradual pollution and
remediation. The policy limit shall be no less than $1,000,000 dollars per claim and in the
aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the
policy as "covered operations." The policy shall provide coverage for the hauling or waste from
the project site to the final disposal location, including non-owned disposal sites.
(g) Builder's risk insurance. Upon commencement of construction and with
approval of City, Contractor shall obtain and maintain builder's risk insurance for the entire
duration of the Project until only the City has an insurable interest. The Builder's Risk coverage
shall include the coverages as specified below.
The named insureds shall be Contractor and City, including its officers,
officials. employees, and agents. /\II Subcontractors (excluding those solely responsible for design
Work) or any tier and suppliers shall be included as additional insureds as their interests may
appear. Contractor shall not be required to maintain property insurance for any pmtion or the
Project following transfer of control thereof to City. The policy shall contain a provision that all
proceeds from the builder's risk policy shall be made payable to the City. The City '"'ill act as a
fiduciary for all other interests in the Project.
Policy shall be provided for replacement value on an "all risk" basis for the
completed value of the project. There shall be no coinsurance penalty or provisional limit provision
in any such policy. Policy must include: (I) coverage for any ensuing loss from faulty
workmanship, Nonconforming Work, omission or deficiency in design or specifications: (2)
coverage against machinery accidents and operational testing; (3) coverage for removal of debris,
and insuring the buildings, structures, machinery, equipment, materials. facilities, fixtures and all
other properties constituting a part of the Project; ( 4) Ordinance or law coverage for contingent
rebuilding, demolition, and increased costs of construction; (5) transit coverage (unless insured by
the supplier or receiving contractor), with sub-limits sufficient to insure the full replacement value
or any key equipment item; (6) Ocean marine cargo coverage insuring any Project materials or
supplies, if applicable; (7) coverage with sub-limits sufficient to insure the full replacement value
of any property or equipment stored either on or off the Site or any staging area. Such insurance
shall be on a form acceptable to Agency to ensure adequacy of 1er111s and subl imits and shall be
submitted to the Agency prior to commencement of construction.
(h) Subcontractors. Contractor 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.
City shall be an additional insured on all subcontractor polices pursuant to this Section 5.1 and
Section 5.2 below.
( i) Additional Insurance. Policies of' such other insurance. as may be required
in the Special Requirements in [xhibit "Ir'.
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5.2 General Insurance Requirements.
(a) Proof of insurance. Contractor shall provide additional insured
endorsements to City as evidence of the insurance coverage required herein, along with a \Vaiver
of subrogation endorsement for \Vorkers' compensation. Certificates of Insurance will not be
acceptable. Endorsements must be approved by City's Risk Manager prior to commencement of
performance. Current Endorsements and Declarations pages shall be kept on tile with City at al I
times during the term of this Agreement. City reserves the right to require complete, certified
copies of all required insurance policies, at any time. In the event the City makes such a request,
Contractor shall immediately provide the requested policies and provide any such Privacy Act
release required by the City to Contractor's insurers relative to policy information.
(b) Duration of coverage. Unless a longer or shorter term is specified herein
with respect to a specific type of insurance, Contractor shall procure and maintain for the duration
of this Agreement all of the insurance required by this Agreement..
( c) Products/completed operations coverage. Products/completed operations
coverage shall extend a minimum of three (3) years after project completion. Coverage shall be
included on behalf of the insured for covered claims arising out of the actions of independent
contractors. If the insured is using subcontractors, the Policy must include work performed ''by or
on behalf' of the insured. Policy shall contain no language that would invalidate or remove the
insurer's duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy
shall specifically provide for a duty to defend on the part of the insurer. The City, its officials,
officers. agents, and employees, shall be included as additional insureds under the Products and
Completed Operations coverage.
(cl) Primary/noncontributing. For insurance required by Section 5.1 (a) and (b)
coverage provided by Contractor 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 comply with the Proof of Insurance requirements of paragraph
5.2(a), and must contain or be endorsed to contain a provision that such coverage shall also apply
on a primary and non-contributory basis f'or the benefit of City before the City's own insurance or
self-insurance shall be called upon to protect it as a named insured.
(e) Citv'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 Contractor or City will withhold amounts suf'ficient
to pay premium from Contractor payments. In the alternative. City may cancel this Agreement.
(t) 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 Linc lnsmers in the State of California, with an assigned
policyholders' Rating or A-(or higher) and Financial Size Category Class VI (or larger) in
accordance with the latest edition or Best's Key Rating Guide, unless otherwise approved by the
City's Risk f-.1lanager.
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(g) 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
Contractor or others providing insurance evidence in compliance with these specifications to waive
their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against
City, and shall require similar written express waivers and insurance clauses from each of its
subcontractors.
(h) Enforcement ol' contract provisions (non-cstoppel). Contractor
acknowledges and agrees that any actual or alleged failure on the part or the City to inform
Contractor of non-compliance with any requirement imposes no additional obligations on the City
nor docs it waive any rights hereunder.
(i) Requirements not limiting. Requirements or specific coverage features or
limits contained in this section arc 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 Contractor maintains higher limits than the minimums shown above,
the City requires and shall be entitled to coverage for the higher limits maintained by the
Contractor. 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. Contractor agrees to oblige its insurance agent or
broker and insurers to provide to City with a thirty (30) day notice or cancellation (except for
nonpayment for which a ten ( 10) day notice is required) or nonrenewal of coverage for each
required coverage.
(k) Prohibition of undisclosed coverage limitations. Norn: 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,
(I) Separation of insureds. Commercial General Liability and Automobile
policies shall contain a sevcrability of interests provision must apply for all additional insureds
ensuring that Contractor's insurance shall apply separately to each insured against whom claim is
made or suit is brought, except with respect to the insurer's lirnits 01· liability. The policy(ies) shall
not contain any cross-liability exclusions,
(m) Pass through clause. Contractor 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 Contractor, provide the same minimum insurance coverage and endorsements
required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all
responsibility for ensuring that such coverage is provided in conformity with the requirements or
this section. Contractor agrees that upon request, all agreements with consultants. subcontractors.
and others engaged in the project will be submitted to City for review.
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(n) Agencv's right to revise specifications. The City reserves the right at any
time during the term or the contract Lo change the amounts and types of insurance required by
giving the Contractor ninety (90) days advance written notice of such change. If such change
results in substantial additional cost to the Contractor, the City and Contractor may renegotiate
Contractor'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 \Viii not be considered to comply with these
specifications unless approved by City. Contractor shall be responsible for immediately satisfying
any deductible, retained limit or self-insured retention in order for the City to be afforded an
immediate defense.
(p) Timely notice of claims. Contractor shall give City prompt and timely
notice of claims made or suits instituted that arise out of or result from Contractor's performance
under this Agreement, and that involve or may involve coverage under any of the required liability
policies. City's failure to promptly tender defense directly to any insurer shall not be considered
··voluntary" within the meaning of any insurer's "voluntary payments" clause or similar provision.
No defense costs or indemnity obligation incurred by the City in any matter arising from or related
to Contractor's acts or omissions in the performance of this Agreement shall be considered
'·voluntary."
(q) Additional kinds of insurance. Contractor shall also procure and maintain,
at its own cost and expense. any additional kinds of insurance, which in its own judgment may be
necessary fr1r its proper protection and prosecution of the work.
5.3 Indemnification.
To the full extent permitted by law, Contractor 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 perfonnancc of the work, operations or activities provided herein of
Contractor, its officers. employees, agents, subcontractors, or invitees, or any individual or entity
for which Contractor is legally liabk ('"indcmnitors"), or arising from Contractor's or indcrnnitors'
reckless or wi 11 fu I misconduct, or arising from Contractor's or indemn ihws' neg I igent performance
of or failure to perform any term. provision, covenant or condition of this Agreement, and in
connection therewith:
(a) Contracwr will upon tender of defense by the City. immediately defend any
action or actions tiled in connection with any of'said claims or liabilities and will pay all costs and
expenses. including legal costs and attorneys' f'ees incurred in connection therewith. Contractor
expressly waives any contention that an immediate defense obligation docs not arise pursuant to
any provision or the Calif'ornia Civil Code and/or Crawfiml v. IVeathershidd (2008) 44 Cal.4th
541, or its pwgcny.
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(b) ContracLOr will promptly pay any _judgment rendered against the City, its
officers, agents or employees for any such claims or liabilities arising out ofor in connection with
the negligent performance of or failure to perform such work, operations or activities of'Contractor
hereunder; and Contractor agrees to save and hold the City, its officers, agents. and employees
harm less 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 Contractor !'or such damages or other claims
arising out of or in connection \vith the negligent pcrfonnance of or failure to perform the work,
operation or activities of Contractor hereunder, Contractor 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.
In addition, Contractor agrees to indemnify, defend and hold harmless the Indemnified
Parties from, any and all claims and liahilities for any infringement of patent rights, copyrights or
trademark on any person or persons in consequence of the use by the Indemnified Pai1ies of articles
to be supplied by Contractor under this Agreement, and of which the Contractor is not the patentee
or assignee or has not the lawful right to sell the same.
Contractor shall incorporate the provisions of this Section 5.3 in all indemnity
agreements with its subcontractors and if it fails to do so Contractor 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
Contractor in the performance of professional services and work hereunder. The provisions of this
Section do not apply to claims or liabilities occmring 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 Contractor and shall survive termination of this Agreement.
5.4 Notification of Third-Party Claims.
City shall timely notify Contractor of the receipt of any third-party claim relating
to the work under this Agreement. City shall be entitled to recover from Contractor its reasonable
costs incurred in providing such notification.
5.5 Performance and Labor Bonds.
Concurrently with execution nf this Agreement Cuntractur shall deliver to the City.
the following:
(a) A perf'ormanec bond in the a111ount of the Contract Sum ot' this
Agreement, in the form provided by the City Clerk, which secures the il1ithful performance of this
Agreement.
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(b) A labor and materials bond in the amount of the Contract Sum of
this Agreement. in the form provided by the City Clerk, which secures the payment of all persons
furnishing labor and/or materials in connection with the work under this Agreement.
Both the performance and labors bonds required under this Section 5.5 shall contain
the original notarized signature of an authorized officer of the surety and affixed thereto shall be a
certified and current copy of his power of attorney. The bond shall be unconditional and remain in
force during the entire term of the Agreement and shall be null and void only if the Contractor
promptly and faithfully performs all terms and conditions of this Agreement and pays all labor and
materials for work and services under this Agreement.
5.6 Sufficiency of Insurer or Surety.
Insurance and bonds required by this Agreement shall be satisfactory only if issued
by companies qualified to do business in California, rated "A" or better in the most recent edition
of Best's Rating Guide. The Key Rating Guide or in the Federal Register. and only if they are of a
financial category Class Vil or better, unless such requirements are waived by the Risk Manager
of the City ("Risk Manager") due to unique circumstances. If this Agreement continues for more
than 3 years duration, or in the event the Risk Manager determines that the work or services to be
performed under this Agreement creates an increased or decreased risk of loss to the City, the
Contractor agrees that the minimum limits of the insurance policies and the performance bond
required by Section 5.5 may be changed accordingly upon receipt of written notice from the Risk
Manager.
5.7 Substitution of Securities.
Pursuant to Public Contract Code Section 22300, substitution of eligible equivalent
securities for any fi.mds withheld to ensure performance under this Agreement may be permitted
at the request and sole expense of the Contractor. Alternatively, the Contractor may, pursuant to
an escrow agreement in a frmn prescribed by Public Contract Code Section 22300, request
payment of retentions funds earned directly to the escrow agent at the sole expense of the
Contractor.
5.8 Release of Sccu ritics.
City shall release the Performance and Labor Bonds when the following have occurred:
(a) Contractor has made a written request for release and provided
evidence of' saLisfaction of all other requirements under Article 5 of this Agreement;
(b) the Work has been accepted: and
(c) after passage of the time within which lien claims arc required to be
made pursuant to applicable laws: if' lien claims have been timely filed, City shall hold the Labor
fsond until such clairns have been resolved, Contractor has provided statutory bnnd, or otherwise
as required by applicable law·.
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ARTICLE 6. RECORDS, REPORTS, AND RELEASE OF INFORMATIO~
6.1 Records.
Contractor shall keep, and require subcontractors to keep, such ledgers. books of
accounts, invoices, vouchers, canceled checks, reports, studies, certified and accurate copies of
payroll records in compliance with all applicable laws. or other documents rt>lating Lo 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 Project
Manager to evaluate the performance of such services. Any and all such documt:nts shall be
maintained in accordance with generally accepted accounting principles and shall be complete and
detailed. The Project Manager 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 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 Contractor's business, custody of the
books and records may be given to City, and access shall be provided by Contractor's successor
in interest. Notwithstanding the above, the Contractor 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.
6.2 Reports.
Contractor shall periodically prepare and submit to the Project Manager such
reports concerning the performance of the services required by this Agreement as the Project
Manager shall require. Contractor 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.
Contractor agrees that if Contractor 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 Contractor is providing design services, the cost of the project being
designed, Contractor shall promptly notify the Project Manager of said fact, circumstance,
technique or event and the estimated increased or decreased cost related thereto and, if Contractor
is providing design services, the estimated increased or decreased cost estimate for the project
being designed.
6.3 Ownership of Documents.
All drawings, spccilications, maps, designs. photographs, studies. surveys. data,
notes, compi1ter files, reports, records, documents and other malerials (the "'documents and
materials") prepared by Contractor, 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
Project Manager or upon the termination of this Agreement. and Contractor shall have no claim
for further employment or additional compensation as a result or the exercise by City of its full
rights of ownership use, reuse. or assignment oft he documents and materials hereunder. /\ny use.
reuse or assignment of' such completed documents for other projects and/or use of uncompleted
documents without specific written authorization by the Contractor will be at the City's sole risk
and without liability to Contractor, and Contractor's guarantee and warrantie~ shall not extend to
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such use, reuse or assignment. Contractor may retain copies of such documents for its own use.
Contractor shall have an unrestricted 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 Contractor fails to secure such assignment. Contractor shall indemnify City for all damages
resulting therefrom. Moreover, Contractor with respect to any documents and materials that may
qualify as ··works made for hire" as defined in 17 U.S.C. § IO I, such documents and materials are
hereby deemed ··works made for hire'' for the City.
6.4 Confidentiality and Release of Information.
(a) information gained or work product produced by Contractor in
performance of this Agreement shall be considered confidential, unless such inforniation is in the
public domain or already known to Contractor. Contractor shall not release or disclose any such
information or work product to persons or entities other than City without prior written
authorization from the Project Manager.
(b) Contractor, its officers, employees, agents or subcontractors, shall
not. without prior written authorization from the Project Manager 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
Contractor gives City notice of such cou1t order or subpoena.
(c) If Contractor, or any officer, employee, agent or subcontractor of
Contractor, provides any information or work product in violation of this Agreement, then City
shall have the right to reimbursement and indemnity from Contractor for any damages. costs and
fees, including attorneys' fees, caused by or incurred as a result of Contractor's conduct.
(d) Contractor shall promptly notify City should Contractor. 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 Contractor or be present at
any deposition, hearing or similar proceeding. Contractor agrees to cooperate fully with City and
to provide City with the opportunity to review any response to discovery requests provided by
Contractor. However. this right to review any such response docs not imply or mean the right by
City to control. direct. or re\vrite said response.
ARTICLE 7. ENFORCEMENT OF AGREEMENT AND 'fl<:RMINATION
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 mauer arising out or or in relation to this Agreement shall he
instituted in the Superior Court of the County of Los Angeles, State of California, or any other
appropriate court in such e<1unty, and Contractor covenant:, and agrees to submit to the personal
jurisdiction or such court in the event of such action. In the event oi' litigation in a l l.S. District
A-21
Court, venue shall lie exclusively Ill the Central District of Calif'ornia. 111 the County of Los
Angeles, State of California.
7.2 Disputes.
(a) Default; Cure. In the event that Contractor is in default under the
terms of this Agreement, the City shall not have any obligation or duty to continue compensating
Contractor for any work performed after the date of default. Instead. the City may give notice to
Contractor of the default and the reasons frir the default. The notice shall include the time frame in
which Contractor 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
Contractor is in default, the City shall hold all invoices and shall proceed ,:vith payment on the
invoices only when the default is cured. 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 Contractor does not
cure the default, the City may take necessary steps to terminate this Agreement under this Article.
Any failure on the parl of the City to give notice of the Contractor'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.
(b) Dispute Resolution. This contract is subject to the provisions of
Article 1.5 (commencing at Section 20 I 04) of Division 2, Part 3 of the California Public Contract
Code regarding the resolution of public \vorks claims of less than $375,000. Article 1.5 mandates
certain procedures for the filing of claims and supporting documentation by the Contractor, for the
response to such claims by the City, for a mandatory meet and confer conference upon the request
of the Contractor, for mandatory non-binding mediation in the event litigation is commenced, and
for mandatory judicial arbitration upon the failure to resolve the dispute through mediation. This
Agreement hereby incorporates the provisions of Article 1.5 as though fully set forth herein.
7.3 Retention of Funds.
Contractor hereby authorizes City to deduct from any amount payable to Contractor
(whether or not arising out of this Agreement) (i) any amounts the payment of which may be in
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 Contractor's acts or omissions in performing or failing Lo perform Contractor'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 Contractor, 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 oriligations or· the
Contractor 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
-21-
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provision or a waiver of any subsequent breach or violation of any provision of this AgreemenL
Acceptance by City of any work or services by Contractor 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 arc 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 shal I not preclude the exercise by it, al 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 itliunctive relief, or to
obtain any other remedy consistent with the purposes of this Agreement. Notwithstanding any
contrary provision herein, Contractor shall file a claim pursuant to Government Code Sections 905
ct seq. and 9 IO ct 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 perfrmnance 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, in addition to any liquidated damages
pursuant to paragraph 5.2(b) above, for and shall pay to the City the sum of Five Hundred Dollars
(SS00) as liquidated damages for each working day of delay in the performance of any service
required hereunder, as specified in the Schedule of Performance (Exhibit "'D''). The City may
withhold from any monies payable 011 account of services performed by the Contractor any accrued
liquidated damages. Pursuant to Government Code Section 4215, Contractor shall not be assessed
liquidated damages for delay in completion of the project ,vhen such delay was caused by the
failure of the public agency or owner of the utility to provide for removal or relocation of utility
facilities.
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. \-Vith or without cause, upon fourteen ( 14) days' written notice to
Contractor. except that where termination is due to the fault of the Contractor. the perind of notice
may be such shorter time as may be determined by the Project Manager.\ lpon receipt of any notice
of termination, Contractor shall immediately cease all services hereunder except such as may be
specifically approved hy the Project Manager. Except where the Contractor has initiated
termination, thc Contractnr shall be entitled to compensation for all services rendered prior lP the
')")
A-23
effective date of the notice of term inalion and fbr any services authorized by the Project Manager
thereafter in accordance with the Schedule of Compensation or such as may be approved by the
Project Manager, except as provided in Section 7.3. In the event the Contractor has initiated
termination, the Contractor 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 Contractor.
If termination is due to the failure of the Contractor to ft1lfill 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 Contractor 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 Contractor 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 \vay 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.
7.11 Unfair Business Practices Claims.
In entering into this Agreerncnt, Contractor offers and agrees to assign tn the City
all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton
Act ( 15 U .S.C. § 15) or under the Cartwright Act (Chapter 2, (commencing ,vith Section 16700)
of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods,
services or materials related to this Agreement. This assignment shall be made and become
effective at the time the City renders final payment to the Contractor without further
acknowledgment of the Parties.
ARTICLE 8. CITY OF.FICERS AND EMPLOYEES: NON-DISCRIMINATION
8.1 Non-liability of City Officers and Employees.
Nu ul'ficcr or employee l)f the City shall be personally liabk lo the Co11trnclur, or
any successor in interest, in the event of any default or breach by the City or for any amoullt which
may become due to the Contractor or to its successor, or for breach uf any obligation of the terms
nf this Agreement.
A-24
8.2 Conflict of Interest.
Contractor 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 Contractor's performance of services under
this Agreement. Contractor further co\'enants that in the performance or 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 Project Manager. Contractor 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 effects his financial interest or the financial interest of any
corporation, partnership or association in which he is, directly or indirectly, interested, in violation
of any State statute or regulation. The Contractor warrants that it has not paid or given and will not
pay or give any third patty any money or other consideration for obtaining this Agreement.
8.3 Covenant Against Discrimination.
Contractor covenants that, by and for itself, its heirs, executors, assigns, and all
persons claiming under or through them, 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. Contractor 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.
Contractor hereby promises and agrees to comply with all of the provisions of the
Federal Immigration and Nationality Act, 8 U.S.C. s 110 I et seq., as amended, and in connection
therewith, shall not employ unauthorized aliens as defined therein. Should Contractor so employ
such unauthorized aliens for the performance of work and/or services covered by this Agreement,
and should any I iabi I ity or sanctions be imposed against City for such use of unauthorized aliens,
Contractor 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.
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 \'vTiting
and either served personally or sent by prepaid, flrsL-class mail, in the case or the City, tu the City
Manager and to the altention of Lhe Project Manager (with her/his name and City title). City of
Rancho Palos Verdes. 30940 l lawthorne Boulevard, Rancho Palos Verdes. CA 90275 and in the
case of the Contractor, to the person at the address designated 011 the execution page of this
A-25
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. All
correspondence relating to this Agreement shall be serialized consecutively.
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 arc 110 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 lo or
modification of this Agreement shall be valid unless made in writing and approved by the
Contractor 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 unenforceabil ity 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 olliciaL officer, or employee of City has any financial interest, direct or indirect
in this Agreement, nor shall any orticial, 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
any corporation, partnership, or association in which (s)hc is directly or indirectly interested. or in
violation of' any corporation, partnership, or association in which (s)hc is directly or indirectly
interested. or in violation of' any State or municipal statute or regulation. The dctcnni11atio11 of"
""financial interest" shall be consistent with State law and shall not include interests found to be
··remote" or ·;11011i11tcrests" pursuant to Government Code Sect inns I 091 or I 091.5. Contractor
warrants and represents that it has not paid ur given, and will not pay or give, tn any third party
A-26
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.
Contractor further warrants and represents that (s)he/it has not engaged in any act(s), omission(s).
or other cnnduct 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. Contractor is
aware of and understands that any such act(s), omission(s) or other conduct resulting in such
payment of money, consideration, or other thing of value will render this Agreement void and of
no force or effect.
9.7
,J/-1
Contractor's Authorized lnitia~/
Corporate Authority. f
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) the 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.
ISIGNATlJRES ON FOLLOWING PAGEi
A-27
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on
the date and year first-above written.
ATTEST:
Teresa Takaoka, City Clerk
APPROVED AS TO FORM:
ALfi:SHIRE & WYNDER, LLP
Elena Q. Gerti, City Attorney
CITY:
CITY OF RANCHO PALOS VERDES, a
municipal corporation
John Cruikshank, Mayor
CONTRACTOR:
Hardy & Harper Inc., a California
corporation
/
Hy ~:;(,.;;_;, __ _
Name: Michael Amundson
Title: Vice
Paulino
Title: Corporate Secretary
Address:
32 Rancho Cir. Lake Forest, CA 92610
Two corporate officer signatures required when Contractor is a rnrporntion, with one signature required from
each of the following groups: I) Chairman of the Board, President or any Vice President; and 2) Secretary, any
Assistant Secretary, Chief Finandal Officer or any Assistant Treasurer. CO'\'TRACTOR'S SIGNATl!RES
SHALL BE l>l'LY NOTARIZED, AND APPROPRIATE ATTEST1\TIONS SHALL BE INCLUDED AS
MAY BE REQUIRED BY TIIE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER IWLES OR
REGl'l,ATIONS APPI.ICABLE TO CONTRACTOl{'S BUSINESS E!\TITY.
A-28
From: Ara Mihranian
Sent: Tuesday, August 6, 2024 1 :24 PM
Cc: Elena Gerli; Catherine Jun; Ramzi Awwad; Vina Ramos; Brandy Forbes; Daniel Trautner;
CityClerk
Subject:
Attachments:
Importance:
Follow Up Flag:
Flag Status:
PB Landslide August 6 CC Meeting -Letter to Governor Newson
CalOES -Request for State of Emergency.pdf
High
Follow up
Flagged
Honorable Mayor and City Councilmembers,
Tonight, staff is going to introduce an added recommendation for your consideration on the PB Landslide
matter.
In addition to ratifying letters sent to CalOES, FEMA and FHWA, Staff is requesting that the Council authorize
the Mayor sign a letter requesting Governor Newson declare a state of emergency for the 135 households that
no longer have gas service and to request President Biden declare a federal disaster. This is similar to the
February 20 action, and the hope is to deploy BOTH public and Individual assistance to our community.
Ara
Ara Michael Mihranian
City Manager
aram@rpvca.gov
Phone -(310) 544-5202
Address:
30940 Hawthorne Blvd.
Rancho Palos Verdes, CA 90275
Website: www.rpvca.gov
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C ±.y of" Rancho Palos Ver-des
John C ru:kshank,M ayor
Er:c A legr:a ,Mayor Pro Tern
Dav:ii L.Bradley,CouncRmember
Barbara Ferraro ,CouncRmember
Paul Seo ,C ouncRmember
August 7, 2024
'P;,3_2~/
California Office of Emergency Services Disaster Analysis Unit
3650 Schriever Avenue
Mather, CA 95655
SUBJECT: REQUEST FOR THE GOVERNOR TO DECLARE A STATE OF EMERGENCY
WITHIN THE PORTUGUESE BEND COMMUNITY (PBC) DUE TO A SUDDEN
AND SEVERE ENERGY SHORTAGE, ANDTO SUBMIT A REQUEST TO
PRESIDENT BIDEN TO DECLARE A FEDERAL STATE OF EMERGENCY
To whom it may concern:
The Rancho Palos Verdes City Council is requesting the Governor to invoke his emergency
powers pursuant to the Emergency Services Act, Gov't Code§ 8550 et seq., and to proclaim
a State of Emergency in the Portuguese Bend Community due to a sudden and severe energy
shortage as defined under Gov't Code § 8557(9). This shortage began on July 29, 2024,
when Southern California Gas (SCG) shut off natural gas service to approximately 135 homes
in the Portuguese Bend Community with less than 72 hours' notice and without any indication
that service will be restored. This decision came as a direct result of the ongoing acceleration
of the 680-acre Portuguese Bend Landslide Complex (Landslide Complex), which has
damaged SCG gas lines and created unsafe conditions in the community. Since July 29,
residents have been scrambling to find alternate means of heating water, cooking meals, and
warming homes in preparation for a potentially rainy winter season.
Due to the historic rainstorms of 2023 and 2024, the Landslide Complex has accelerated to
an unprecedented rate of 9-12 inches per week (depending on the location). This sudden
increase in land movement has caused and continues to cause major damage to all other
utilities including Southern California Edison (SCE), Cal Water, Cox, Frontier, and Los
Angeles County Sanitation. Repairs have been constant, disruptive, and costly. One day
after SCG's decision to shut off service, SCE notified approximately 525 homes across PBC
and three other neighborhoods (Seaview, Portuguese Bend Beach Club, and Seacliff Hills)
about the potential to discontinue power with little to no advanced warning, if conditions
warrant. Affected residents are struggling to keep pace in an ever-changing landscape that
not only damages utilities, but the integrity of homes, streets, and services (i.e. Fire, waste
management, etc) and need resources. Rancho Palos Verdes residents are facing an
unprecedented situation without a playbook, and the City looks to State and Federal
governments for individual financial assistance.
30940 HAWTHORNE BLVD./ RANCHO PALOS VERDES, CA 90275-5391 / (310) 544-5207 / FAX (310) 544-5291 / WWW.RPVCA.GOV
CalOES Disaster Analysis Unit
August 7, 2024
Page 2
On August 6, 2024, the Rancho Palos Verdes City Council adopted a Local Declaration of
Emergency in the Portuguese Bend Community, based on the sudden and severe energy
shortage created by SCG on July 29, as defined under Government Code Section 8557(g).
This action was intended to provide affected residents with immediate access to resources.
However, the City's resources are limited, as the City is also engaged in (1) an emergency
hydrauger project to slow down the landslide and (2) ongoing roadway rehabilitation to Palos
Verdes Drive South, a major arterial in the Landslide Complex experiencing major damage
that disrupts the commute of 15,000 drivers per day.
As such, the City Council requests, pursuant to the authority provided by the Act, and
specifically by Sections 8571 and 8625 of the Government Code, that the Governor declare
a State of Emergency for the City of Rancho Palos Verdes to make public and individual
financial and in-kind assistance (i.e. Army Corps of Engineers) available to the community
impacted by the severe and sudden energy shortage, and to waive and/or suspend certain
state laws and permits required by local and state agencies that include, but are not limited
to, the California Coastal Commission, the California Department of Fish and Wildlife, the
Regional Water Quality Control Board, the State Water Resources Control Board, the South
Coast Air Quality Management District, and other State agency permits or review processes.
The City Council also requests the Governor waive and/or relax any requirements under the
California Environmental Quality Act and its implementing regulations related to the approval
and implementation of the remediation measures set forth above. Lastly, the City is
requesting that the Governor submit a request to the President of the United States for a
Federal Emergency Declaration pursuant to the Stafford Act, 42 U.S.C. §§ 5121-5207 to
achieve the aforementioned requests in the form of public and individual financial and in-kind
assistance.
We thank the Governor and CalOES for their consideration of this request. If you have any
further questions, please contact City Manager Ara Mihranian at aram@rpvca.gov or by
telephone at 310-544-5202.
Sincerely,
John Cruikshank
Mayor
310-544-5202
John.Cruikshank@rpvca.gov
cc: Los Angeles District Robert Fenton, Jr., Administrator, FEMA Region 9
Laphonza Butler, U.S. Senator, California
Alex Padilla, U.S. Senator, California
Ted Lieu, U.S. Representative, 36th Congressional District
Ben Allen, Senator, 24th State Senate District
Al Muratsuchi, Assemblymember, 66th Assembly District
Janice Hahn, L.A. County Supervisor, 4th District
Kevin McGowan, Director, L.A. County Office of Emergency Management
Brandy Villanueva, Disaster Manager Area Coordinator, L.A. County Area G
Rancho Palos Verdes City Council
Ara Mihranian, City Manager
Catherine Jun, Rancho Palos Verdes Deputy City Manager
Subject: FW: City Council Mtg 6 Aug 24-Landslide Emergency Discussion
From: rlauck@cox.net <rlauck@cox.net>
Sent: Monday, August 5, 2024 9:50 PM
To: CC <CC@rpvca.gov>
Subject: City Council Mtg 6 Aug 24-Landslide Emergency Discussion
Dear Mayor and Councilmembers,
Regarding the subject Council meeting discussion, I note that in the Staff Report for the topic there is included a
copy of a SCE Notice which I and many of my neighbors in Seaview have received recently. I must assume that it
was sent to all Seaview homeowners. This mail or email notice from SCE, subject: Update-Notice Of Potential
Service Shut Off Due To Land Movement, contains a statement that is false and damaging to most of the property
owners in the Seaview community and I believe there is a critical action the Council should take immediately in
response to this SCE notice. The SCE notice states in the second sentence "Your property has been identified as
being within the landslide area". I have talked to a number of neighbors and all of them have received this
notice. Except for the handful of homes in the KC LAD area, the vast majority of homes in the Seaview community
are not in a landslide area. That is a completely irresponsible and false statement that must be responded to by
the City of RPV. RPV should demand that SCE retract the notice, admit their error, and send out a notice
apologizing for any impact to Seaview residents that might result from this fallacious statement. These false
statements can drastically affect property values, insurance availability/premiums and borrowing actions, etc.
I have lived in Seaview for 52 years and every time there is some increase in the PB, KC and/or AC landslide activity
the whole of Seaview gets identified as a landslide area. Now, even the utilities are falling for this lie. There is no
evidence that all of Seaview is in a landslide area and since the 50s when the PB slide was characterized there has
not been any problem except for the KC LAD area which is primarily affected by the larger PB landslide (and is a
canyon that starts in Rolling Hills). The City just spent $20M of the taxpayers' money on a rebuild of the Lad era
Linda Community Center, less than a block from my house, that has large granite walls, patios, and an expansive
irrigation system for the grounds. I can't imagine the City doing that in a landslide area.
It is also difficult for me to believe that in the 40 plus years since the KC LAD was formed SCE has not been able to
figure out how to isolate that area from the rest of the Seaview power grid.
I urge the Council to direct City officials to notify SCE immediately that they should rescind the Notice and correct
the statement to stop the spread of this terribly damaging misinformation about Seaview. I also urge the Council
to caution all City personnel to make sure they do not conflate all of Seaview with the KCLAD landslide area.
Robert Lauck
31 0-541-4416
!