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Agenda Packet 2006-03-28 CITY OF Tony Ferrara Jim Guthrie Jim Dickens Joe Costello Ed Arnold , Mayor Mayor Pro Tem Council Member Council Member Council Member Agenda City Council "H~LIFOR~.'; ~-~~~I-I Steven Adams City Manager Timothy J. Carmel City Attorney Kelly Wetmore City Clerk AGENDA SUMMARY CITY COUNCIL MEETING TUESDAY, MARCH 28, 2006 7:00 P.M. Arroyo Grande City Council Chambers 215 East Branch Street, Arroyo Grande 1. . CALL TO ORDER: 7:00 P.M. 2. ROLL CALL 3. FLAG SALUTE: KNIGHTS OF COLUMBUS 4. , INVOCATION: FIRST UNITED METHODIST CHURCH PASTOR ROBERT UNDERWOOD 5. SPECIAL PRESENTATIONS: None. 6. AGENDA REVIEW: 6a. Move that all ordinances presented tonight be read in title only and all further readings be waived. AGENDA SUMMARY - MARCH 28, 2006 PAGE 2 7. , COMMUNITY COMMENTS AND SUGGESTIONS: This public comment period is an invitation to members of the community to present issues, thoughts, or suggestions on matters not scheduled on this agenda. Comments should be limited to those matters that are within the jurisdiction of the City . Council. The Brown Act restricts the Council from taking formal action on matters not . published on the agenda. In response to your comments, the Mayor or presiding Council Member may: . . Direct City staff to assist or coordinate with you. . A Council Member may state a desire to meet with you. . It may be the desire of the Council to place your issue or matter on a future Council agenda. Please adhere to the following procedures when addressing the Council: . Comments should be limited to 3 minutes or less. . Your comments should be directed to the Council as a whole and not directed to individual Council members. . Slanderous, profane or personal remarks against any Council Member or member of the audience shall not be permitted. 8.' CONSENT AGENDA: The following routine items listed below are scheduled for consideration as a group. The recommendations for each item are noted.-Any member of the public who wishes to comment on any' Consent Agenda item may do so at this time. Any Council . Member may request that any item be withdrawn from the Consent Agenda to permit ,discussion or change the recommended course of action. The City Council may , approve the remainder of the Consent Agenda on one motion. 8.a. Cash Disbursement Ratification (KRAETSCH) Recommended Action: Ratify the listing of cash disbursements for the period March 1, 2006 through March 15, 2006. 8.b. . Statement of Investment Deoosits (KRAETSCH) Recommended Action: Receive and file the report of current investment deposits . as of February 28, 2006. 8.c. Consideration of Aooroval of City Investment Policv (KRAETSCH) . Recommended Action: Approve the City of Arroyo Grande Investment Policy. 8.d. Cost Allocation Plan Uodate (KRAETSCH) 'Recommended Action: Adopt the Fiscal Year 2006-07 Cost Allocation Plan. 8.e. Consideration to Aoorove a Contract Extension with Mid State Plumbina to . Continue the Plumbina Retrofit Proaram (SPAGNOLO) Recommended Action: Approve a one-year contract extension with Mid State Plumbing and Drain Cleaning, Inc. in the amount of $274,493.25. AGEt:lDA SUMMARY - MARCH 28, 2006 PAGE 3 8. . CONSENT AGENDA: (continued) 8.f. . Consideration of Resolution Uoholdina Aooeal 05-006 and Aoorovina Plot Plan I Review 05-008: 230 Station Wav (STRONG) Recommended Action: Adopt Resolution. 8.g. . Consideration of Authorization to Use Citv Prooertv and Close City Streets for i the Annual Arrovo Grande Strawberrv Festival on Mav 27-28.2006: Temoorarv . Use Permit No. 06-002 (STRONG) i Recommended Action: Adopt Resolution. 9. PUBLIC HEARINGS: None. 10. . CONTINUED BUSINESS: None. \. 11. NEW BUSINESS: 11.a, 'I Consideration of Presentation on the Arrovo Grande Creek Habitat .. Conservation Plan (SPAGNOLO) . Recommended Action: Review and provide input regarding the Arroyo Grande Creek Habitat Conservation Plan (HCP). 12. . CITY COUNCIL REPORTS: This item gives the Mayor and Council Members the opportunity to present reports to the other members regarding committees, commissions, boards, or special projects on which they may be participating. (a) MAYOR TONY FERRARA: (1) San Luis Obispo Council of Governments/San Luis Obispo Regional Transit Authority (SLOCOG/SLORTA) (2) South San Luis Obispo County Sanitation District (SSLOCSD) (3) Other (b) MAYOR PRO TEM JIM GUTHRIE: (1) Economic Vitality Corporation (EVC) (2) Other (c) COUNCIL MEMBER JIM DICKENS: (1) South County Area Transit (SCAT) (2) South County Youth Coalition (3) Other AGENDA SUMMARY - MARCH 28, 2006 PAGE 4 12. CITY COUNCil REPORTS: (continued) (d) COUNCil MEMBER JOE COSTEllO: (1) Zone 3 Water Advisory Board (2) Air Pollution Control District (APCD) (3) Fire Oversight Committee (4) Other (e) COUNCil MEMBER ED ARNOLD: (1) Integrated Waste Management Authority Board (IWMA) (2) California Joint Powers Insurance Authority (CJPIA) (3) County Water Resources Advisory Committee (WRAC) (4) Other 13. CITY COUNCil MEMBER ITEMS: The following item{s) are placed on the agenda by a Council Member who would like to receive feedback, direct staff to prepare information, and/or request a formal agenda report be prepared and the item placed on a future agenda. No formal action can be taken. a. None. 14. CITY MANAGER ITEMS: . The following item(s) are placed on the agenda by the City Manager in order to . receive feedback and/or request direction from the Council. No formal action can be taken. a. None. 15. COUNCil COMMUNICATIONS: . Correspondence/Comments as presented by the City Council. 16. STAFF COMMUNICATIONS: Correspondence/Comments as presented by the City Manager. 17. ,COMMUNITY COMMENTS AND SUGGESTIONS: . This public comment period is an invitation to members of the community to present issues, thoughts, or suggestions. Comments should be limited to those matters that . are within the jurisdiction of the City Council. The Brown Act restricts the Council from taking formal action on matters not published on the agenda. AGENDA SUMMARY - MARCH 28, 2006 PAGE 5 18. ADJOURNMENT ************************* All staff reports or other written documentation relating to each item of business referred to on the agenda are on' file in the City Clerk's office and are available for public inspection and reproduction at cost. If requested, the agenda shall be made available in appropriate alternative formats to persons with a disability, as required by the Americans with Disabilities Act. To make a request for disability-related modification or accommodation, contact the Administrative Services Department at 805-473-5414 as soon as possible and at least 48 hours prior to the meeting date. ************************** Note: This agenda was prepared and posted pursuant to Government Code Section 54954.2. Agenda reports can be accessed and downloaded from the City's website at www.arrovoqrande.orq 8.a. MEMORANDUM FROM: CITY COUNCIL j / ANGELA KRAETSCH, DIRECTOR OF FINANCIAL SERVICE~f) FRANCES R. HEAD, ACCOUNTING SUPERVISOR ~ CASH DISBURSEMENT RATIFICATION TO: BY: SUBJECT: DATE: MARCH 28, 2006 RECOMMENDATION: It is recommended the City Council ratify the attached listing of cash disbursements for the period March 1 through March 15, 2006. FUNDING: There is $677,517.81 fiscal impact. All payments are within the existing budget. DISCUSSION: The attached listing represents the cash disbursements required of normal and usual operations. It is requested that the City Council approve these payments. ALTERNATIVES: The following alternatives are provided for the Council's consideration: . Approve staff's recommendation; . Do not approve staff's recommendation; . Provide direction to staff. Attachments: Attachment 1 - Cash Disbursement Listing Attachment 2 - March 3, 2006, Accounts Payable Check Register Attachment 3 - March 3,2006, Payroll Checks & Benefit Checks Register Attachment 4 - March 10,2006, Accounts Payable Check Register ATTACHMENT 1 CITY OF ARROYO GRANDE CASH DISBURSEMENTS For the Period of March 1 Through March 15, 2006 March 28, 2006 Presented are the cash disbursements issued by the Department of Financial Services for the period March 1 to March 15, 2006. Shown are cash disbursements by week of occurrence and type of payment. WEEK TYPE OF PAYMENT ATTACHMENT AMOUNT March 3, 2006 Accounts Payable Cks 125229-125320 2 $ 56,797.96 Payroll O1ecks & Benefit O1ecks 3 $ 410,038.71 $ 466,836.67 March 10, 2006 Accounts Payable Cks 125322-125447 4 $ 210,681.14 $ 210,681.14 1WO-WEEK TOTAL $ 677,517.81 U,\MSWORD\ CITY COUNCIL FORMS\ CASH DISBURSEMENT FORMS\ CASH DISBURSEMENT SCHED wEXCEL WKS.doc CITY OF ARROYO GRANDE INDEX FOR BUDGET DEPARTMENTS EDEN COMPUTER SYSTEM GENERAL FUND (010l City Government {Fund 010} 4001 - City Council 4002 - Administrative Services 4003 - City Attorney 4101 - City Manager 4102 - Printing/Duplicating 4120 - Financial Services 4121 - Taxes/ Insurance/ Bonds 4130 - Community Development 4131 - Community Building (CDBG) 4140 - Management Information System 414S - Non Departmental Public Safety {Fund 010} 4201 - Police 4211 - Fire 4212 - Building & Safety Public Works {Fund 010} 4301 - Public Works-Admin & Engineering 4303 - Street/Bridge Maintenance 4304 - Street Lighting 430S - Automotive Shop Parks & Recreation {Fund 010} 4420 - Parks 4421 - Recreation 4422 - General Recreation 4423 - Pre-School Program 4424 - Recreation-Special Programs 442S - Children in Motion 4426 - Five Cities Youth Basketball 4430 - Soto Sport Complex 4213 - Government Buildings 4460 - Parkway Maintenance SPECIAL REVENUE FUNDS Park Development Fee Fund (Fund 213) 4550 - Park Development Fee Traffic Signal Fund (Fund 222) 4501 - Traffic Fund Transportation Fund (Fund 225) 4553 - Public Transit System Construction Tax Fund (Fund 230) 4556 - Construction Tax Police Grant Funds 4201 - Law Enforcement Equip. (Fd 272) 4202 - State AB3229 Cops Grant (Fd 271) 4203 - Federal Universal Hiring (Fd 274) 4208 - Federal Local Law Enforcmt (FD 279) Redevelopment Agency (Fund 284) 4103 - Redevelopment Administration ENTERPRISE FUNDS Sewer Fund (Fund 612) 4610 - Sewer Maintenance Water Fund (Fund 640) 4710 - Water Administration 4711 - Water Production 4712 - Water Distribution Lopez Administration (Fund 641) 4750 - Lopez Administration CAPITAL IMPROVEMENT PROGRAMS (Fund 350l 5501-5599 - Park Projects 5601-5699 - Streets Projects 5701-5799 - Drainage Projects 5801-5899 - Water/Sewer/Street Projects 5901-5999 - Water Projects U,\MSWORD\ CITY COUNCIL FORMS\ CASH DISBURSEMENT FORMS\ CASH DISBURSEMENT SCHED wEXCEL WKS.doc ~ - 1'-1'- 00 00 00 00 '" '" ::j:::j: ~ l: 00 00 00 00 00 "'.... ::l 00 00 roo:i 00 oia) crieD -oi"; 0 E ~ - CD'" "'.... N N NN '" .... m '" ~ - ~ - ~ - CD'" <1: a; a; '" '" M .. .. ll. ll. E- u: u: UU ZZ I I a: Z ll.ll. 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CO III C 0 0 '" .c :E ~ 0 0 0 ~ - :;; 0 0 0' 02 .5 oe( CD CD CD l!! l!! co 0 0 0 N Q) 0 0 0 Q) Q) 0 - .<: .<: eu CO ~ ~ ~ l) l) '.'! 0 0 M M ::l ::l .0 M M M 0 g .... > .... CO co co Q) CO co 0 "t:J 0 0 ~ CO 0> - N l) Q) 0 ~ M .<: ;;; ;;; N "" <.> M .c 0 c ::l '" '" '" - CO 0 N N N U M '" > .... .... .... > 0 ATTACHMENT 3 CITY OF ARROYO GRANDE DEPARTMENTAL LABOR DISTRIBUTION PAY PERIOD 02/10/06 - 02/23/06 03/03/06 FUND 010 FUND 220 FUND 284 FUND 612 FUND 640 369,013.53 15,292.79 6,757.68 18,974.71 410,038.71 5101 5102 5103 5105 5107 5108 5109 5110 5111 5112 5113 5114 5115 5121 5122 5123 5126 5127 5131 5132 5133 5134 5135 5143 5144 5146 5147 5148 5149 5150 Salaries Full time Salaries Part-Time - PPT Salaries Part-Time - TPT Salaries OverTime Salaries Standby Holiday Pay Sick Pay Annual Leave Buyback Vacation Buyback Sick Leave Buyback Vacation Pay Comp Pay Annual Leave Pay PERS Retirement Social Security PARS Retirement State Disability Ins. 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IV III c: 0 0 0 0 <0 <0 .0 :;: ~ 0 0 0 0 0 0 ~ ~ ::!; 0 0 0 0 0 0 .E c: <( <0 <0 <0 <0 <0 <0 III III CO 0 0 0 0 0 0 ~ ~ N " 0 0 0 0 0 0 " " CO ~ ~ ~ ~ N ~ N .s: .s: 11l lU 2; 2; " " '!! 0 c 0 0 0 :l :l ~ ~ ~ ~ ~ ~ .... .0 ;;; ;;; ;;; ;;; ;;; ;;; ~ ~ .... en en CD 0 0 " ~ ~ 0 ." 0 0 ~ (") ... <0 <0 r-- - N " N .!!! <:; " .s: ... ... ... ... ... ... '" " ... ... ... ... ... ... :E .... c: :l <0 <0 <0 <0 It) <0 M lU ~ N N N N N N U 1Il ~ ~ ~ ~ ~ ~ > 0 CD ~ N C <D " 0 N E <( Q; Q; Ol CO '" D. CO D. ~ C " o u u ~ c o :;::l Co Oc U III " C .. 0 W D. Q Z - ~ 11/ 0 ::i 0 .. >- Ql 0 ~ (J ll:: :l ll:: 0 c( > LL " U 0 00 ~ > 1: (.) ~ 0 "C C :;; ~ c( CO <:'! CI> ~ CO III CO '!l 0 c ~ .0 ~ CD CI> 0 "C 0 0 ~ - N CI> o!!! - u "" 0 "" U :;: ~ C " u M CO ~ > 0 m a.b. MEMORANDUM BY: CITY COUNCIL ANGELA KRAETSCH, DIRECTOR OF FINANCIAL SERVICES At:. FRANCES R. HEAD, ACCOUNTING SUPERVISORf1t) STATEMENT OF INVESTMENT DEPOSITS 'if-' TO: FROM: SUBJECT: DATE: MARCH 28, 2006 Attached please find a report listing the current investment deposits of the City of Arroyo Grande, as of February 28, 2006, as required by Government Code Section 53646 (b). Staff recommends that the Council receive and file the report. CITY OF ARROYO GRANDE MONTHLY INVESTMENT REPORT As of February 28, 2006 March 28, 2006 This report presents the City's investments as of February 28, 2006. It includes all investments managed by the City, the investment institution, type of investment, maturity date, and rate of interest. As of February 28, 2006, the investment portfolio was in compliance with all State laws and the City's investment policy. Current Investments: The City is currently investing short-term excess cash in the following accounts: . Local Agency Investment Fund (LAIF) . Certificates of Deposit Following is a comparison of LAIF investments based on book values as of February 28, 2006, compared with the prior month and the prior year: LAIF INVESTMENTS AS OF FEBRUARY 28, 2006 Current Month Prior Month Prior Year DATE Februa ry, 2006 January, 2006 February, 200S AMOUNT $11,512,S63 $11,S12,563 $11,9S9,S32 INTEREST RATE 4.04% 3.96% 2.37% Following is a listing of Certificates of Deposit showing the amount purchased, the Purchase Date, Interest Rate, and Maturity Date: CERTIFICATES OF DEPOSIT AS OF FEBRUARY 28, 2006 Financial Institution First Standard Bank Redding Bank of Commerce Amount $99,000 $99.000 Purchase Date December 2, 2005 February 8, 2006 Interest Rate 4.96% 4.95% Maturity Date December 2, 2006 April 7, 2006 Total $198,000 8.c. MEMORANDUM TO: FROM: CITY COUNCIL ANGELA KRAETSCH, DIRECTOR OF FINANCIAL SERVICEJh CONSIDERATION OF APPROVAL OF CITY INVESTMENT POLICY MARCH 28, 2006 SUBJECT: DATE: RECOMMENDATION: It is recommended the City Council approve the City of Arroyo Grande Investment Policy. FUNDING: There is no funding involved with this policy review. DISCUSSION: Attached is the City's Investment Policy, which was last reviewed by the City Council on March 22, 2005. State law (AS 943) requires the treasurer or chief fiscal officer of local governments to annually submit a statement of investment policy to their governing body. In compliance with that State law, the City's Investment Policy is presented for City Council review. The City's Investment Policy authorizes only the more conservative investments, requires monthly investment reports to City Council, and requires that the due diligence of a "prudent person" be followed in the investment of City funds. ALTERNATIVES: The following alternatives are provided for City Council consideration: - Approve the Investment Policy as presented; Deny approval of Investment Policy; - Modify Investment Policy and approve; Provide direction to staff. CITY OF ARROYO GRANDE ,., (,::: '$). (' '{<; ..' I': ~ c', _ ,', ti:, 5'~ ;or '.'p.. .. ~" " . "'1:\\ .~.. I. . ';t~ . ,,~;:::e.,~ ~.\ < < ->lIlIIi\'tp. dC. ,dE,,j{, , !. ",,~, <p:("I1t':;~. '~ ,,"'~';"','.,ff' " ,~ r!' A,."'. 'i""." <<~ ~~,n~~I'~<<{" "'1'..... .c;?~ d ~', "', ,~! ~ !:.:. ,~., , j~~ ,! \ \i .. ~7!'~~ J \ l'l , , j l ,:~ I _,-, .. /'j;~- INVESTMENT POLICY MARCH 28, 2006 Prepared by the Financial Services Department TABLE OF CONTENTS Page Investment Policy...... ........ ................. .................. ........................................ .......................... .... 1 Investment Objective .................... .................................................................. ...... ...................... I Prudence Standard. ....................... .................................... ......................... ........ ........................ 2 Areas ofInvestment Policy: I. Authorities, Control, and Care............................... ........... ......... ..............................2 II. Portfolio Diversification Eligible Financial Institutions................. ............. ............. ........ .........................3 Code Authorized Instruments and Portfolio Limitations ............................... 3 Safekeeping of Securities................................................................................... 4 City Placement Practice.......................... .......................... ................................. 4 III. Cash Management and Maturities ..........................................................................6 Investment Reporting, Policy Review and Effective Policy Term............................................6 CITY OF ARROYO GRANDE STATEMENT OF INVESTMENT POLICY Investment Policy The purpose of this document is to identify various policies and procedures that enhance opportunities for a prudent and systematic investment process and to organize and formalize investment-related activities. The ultimate goal is to enhance the economic status of the City of Arroyo Grande while protecting its cash resources. The investment policies and practices of the City of Arroyo Grande and the Arroyo Grande Redevelopment Agericy are based on state law and prudent money management. All funds will be invested in accordance with the City's Investment Policy and the authority governing investments for municipal governments as set forth in the California Government Code. Investment Obiective The investment objective of the City of Arroyo Grande is to optimize the following goals: . Safety . Liquidity . Yield Safety of principal is the foremost objective of the City. Investments shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. Investment decisions should not incur unreasonable credit or market risks in order to obtain current investment income. Credit risk is the risk of loss due to the failure of the security issuer or broker. Market risk is the risk that the market value of securities in the portfolio will fall due to changes in general level of interest rates. The City's investment portfolio will remain sufficiently liquid to enable the City to meet its cash flow requirements. Liquidity of the investments guarantees the City's ability to meet operating expenditures. The City's investment portfolio shall be designed with the objective ofattahling a market rate of return on its' investments consistent with the constraints imposed by its safety objective and cash flow considerations. Yield is to be a consideration only after the basic requirements of safety and liquidity have been met. Optimization means striving to achieve a balance between all tlrree objective goals. Should a demand be perceived to prioritize the three goals, they are listed in preferred order. I Prudence Standard The standard of prudence to be used by the Financial Services Director/designee shall be the "prudent person rule" and shall be applied in the context of managing City investments. Persons acting in accordance with written procedures and exercising due diligence shall be relieved of personal responsibility for an individual investment loss, provided that deviations are reported in a timely fashion, and appropriate action is taken to control adverse developments. Areas ofInvestment Policv Authorities. Control and Care: I. The Director of Financial Services has been authorized, via Resolutions #2260 and #2261, to establish deposit and investment agreements and undertake deposit/investment transactions on behalf of the City of Arroyo Grande. The Director of Financial Services may delegate to another official the individual placement of monies in deposit/investment transactions, but must review and approve each one. 2. The Financial Services Department is responsible for implementing this policy, and maintaining a system of internal control designed to prevent employee error or imprudent actions, misrepresentation by parties to an investment agreement, fraud, or unexpected changes in the financial market place. 3. State of California Government Code Sections 53600 et seq. 53683 and 16429.1 regulate the deposit/investment activities of general law cities. See Sec. 53635 and 16429.1. Based upon the relatively small size of the City's portfolio, the City does not utilize a professional investment manager. Rather, Arroyo Grande's investment program is simply a part of the City's financial management activity. 4. The Director of Financial Services (and any delegate) shall use good judgement and care, as a "prudent person" would, when entering contracts for deposits and investments, and when placing individual investment transactions. Such care is that which would be exercised by a person concerning his/her own affairs; not for speculation, but for safe investment and earned interest. Some level of risk is present in any investment transaction. Losses could be incurred due to market price changes, technical cash flow complications such as the need to withdraw a non- negotiable Time Certificate of Deposit early, or even the default of an issuer. To minimize such risks, diversification of the investment portfolio by institution and by investment instruments will be used as much as is practical and prudent. 2 Portfolio Diversification: I. Eligible Financial Institutions: Government Code Section 53635 distinguishes between "deposits" and "investments". It provides that "as far as possible" City monies shall be "deposited" in State or National banks, or State or Federal savings and loan associations; or may be "invested" in specified instruments. Thus, eligible financial institutions would include: A. Banks plus savings and loans, primarily for active demand deposits (checking accounts and passbook savings) and inactive deposits (non-negotiable Time Certificates), also for investment instruments. See Government Code Sec. 53638 for maximum deposit limitations for banks and savings and loans, involving bank paid up capital and saving and loan net worth. B. Brokers and issuers, for various investment instruments listed below. 2. Code Authorized Instruments and Portfolio Limitations: A. Instruments and Portfolio Limitations are authorized as provided in Government Code Section 53635 and 16429.1, as follows: I) Bonds issued by the City of Arroyo Grande. No limit. 2) U.S. Treasury Notes, bonds, bills, or other certificates of indebtedness. No limit. 3) California State registered notes, bonds, or warrants. No limit. 4) Other local agencies within California, bonds, notes, warrants, or other indebtedness. No limit. 5) Obligations issued by Federal agencies . such as Federal Home Loan Bank (FHLB), Federal Home Loan Mortgage Corporation (FHLMC), Federal Farm Credit Bank (FFCB), etc. No limit. 6) Banker's acceptances (bills of exchange or time drafts) drawn on and accepted by a cornmercial bank, and which are eligible for purchase by the Federal Reserve System. These are limited to 30 percent of the City's surplus funds, and limited to I80-day maximum maturities. 7) Commercial paper of "pnme" quality, as rated by Moody's Investor Service or Standard and Poor's Corporation. These are limited to 15 percent of the City's portfolio, and limited to 270-day maximum maturities, plus some other qualifications. 3 8) FDIC insured or fully collateralized time certificates of deposit in financial institutions located in California, including United States branches of foreign banks licensed to do business in California. The maximum maturity of a time deposit shall not exceed five years. 9) Negotiable Certificates of Deposit, issued by either a National or State bank or a state or federal savings and loan provided that the senior debt obligations of the issuing institution are rated "AA" or better by Moody's or Standard & Poor's. The maximum maturity of a negotiable certificate of deposit shall not exceed five years. Purchase of negotiable certificates of deposit may not exceed 30 percent of the book value of the City's portfolio. 1 0) Repurchase agreements or reverse repurchase agreements, whereby the seller of securities will repurchase them on a specified date and for a specified amount. II) Local Agency Investment Fund, State of California, per Government Code Sec. 16429.1. Pooled monies of various agencies within California. Account size is limited to a minimum of $5,000 and a maximum limit of $40 million. Safekeepinl! of Securities: To protect against fraud or embezzlement or losses caused by collapse of an individual securities dealer, all securities owned by the City shall be held in safekeeping by a third party bank trust department. Designated third party shall act as agents for the City under the terms of a' custody agreement. All trades executed by a dealer will settle delivery vs. payment (DVP) through the City's safekeeping agent. Investment officials shall be bonded to protect the public against possible embezzlement or malice. Securities held in custody for the City shall be independently audited on an annual basis to verify investment holdings. City Placement Practice: I. The following financial institutions will be used by the City of Arroyo Grande, for non- negotiable Time Certificates of Deposit: a) Commercial banks having offices in the State of California. b) Savings and loans maintaining offices in the State of California. 2. The State of California Local Agency Investment Fund (L.A.I.F.) will be utilized, to pool current surplus City monies for demand deposit earnings. 3. For other investment instruments, three institutions may be selected from a list of qualified primary or regional broker/dealers qualifying under SEC rule 15c3-1 (uniform net capital 4 rule). Broker/dealers must be licensed in the State of California and be headquartered or maintain a branch office in the State of California. All brokers/dealers shall carry Errors and Omissions insurance with a limit of not less than $1,000,000 per occurrence. Proof of existence of said insurance shall be provided to the City at its request and the City shall be notified if the policy is cancelled or coverage is reduce below $1,000,000. 4. Prior to establishing a contract for deposit of monies per Sec. 53649, or placing an individual investment, the credit-worthiness of each financial institution will be determined. As a minimum, the ratio of net worth (equity) to total assets shall be 3.0% or more. 5. No more than 30% of the City's available surplus shall be placed with anyone financial institution (excluding the State L.A.I.F. and government agency issues). 6. No more than 50% of the City's available surplus shall be placed with savings and loan institutions. 7. The City, as authorized in Government Code Sections 53635 and 16429.1, may use all deposit and investment instruments; except repurchase and reverse repurchase agreements shall not be used. However, non-negotiable time certificates with commercial banks and savings and loans, plus deposits in the State Local Agency Investment Fund, will be the primary instruments used by the City, along with possible U.S. Treasury bills and bankers acceptances. 8. Collateral security on Certificates of Deposit will be provide in according to Government Code Sections 53651and 53653 by the commercial banks and savings and loans, at 110% when government securities are used, or at 150% when promissory notes secured by 1 st mortgages or 1 st trust deeds on improved residential real property located in California are used. 9. Individual placements of deposits and investments will be made based upon highest rate quotes, in most instances. 10. Within the context of any portfolio limitations and quoted rates, deposits shall be distributed between institutions as evenly as practical or possible. 5 Cash Manaeement and Maturities: 1. A maximum investment of all City monies, not needed to meet current cash flow needs, will be maintained as closely as practical. A sufficient compensating balance will also be provided, regarding the City's banking service agreement. 2. All monetary resources will be pooled for investment purposes, to maximize interest earnings, which will be periodically allocated to the various funds of the City based upon average cash balances at month ends. No interest will be credited to individual accounts within the various funds. 3. Time deposits and investments will be held to maturity, unless it is absolutely necessary to sell an investment early due to an unexpected liability. 4. Maturities of deposits and investments will be scheduled in such a manner as to provide a steady stream of available cash to meet cash flow needs. The California State Local Agency Investment Fund deposits of the City .of Arroyo Grande are available on a same- day/next-day telephone call basis. Investment Reportinl!, Policv Review and Effective Policv Term Govemment Code Section 53646 requires a report of earned interest be prepared following each calendar quarter. The text requires the Director of Financial Services to submit annually to the City Council a statement of investment policy. In addition, the text requires the Director of Financial Services to submit to the City Council a monthly report, providing the following information: 1. Type of investment. 2. Financial institution (bank, savings and loan, broker, etc). 3. Date of maturity. 4. Principal amount. 5. Rate of interest. 6. Current market value for all securities having a maturity of more than 12 months. 7. Relationship of the monthly report to the annual statement of investment policy. The City's independent certified public accountant shall review and make recommendations, when appropriate, regarding the City of Arroyo Grande's investment policy. 6 B.d. MEMORANDUM TO: FROM: CITY COUNCIL A AI ANGELA KRAETSCH, DIRECTOR OF FINANCIAL SERVICESK!\ SUBJECT: COST ALLOCATION PLAN UPDATE DATE: MARCH 28, 2006 RECOMMENDATION: It is recommended the City Council adopt the Fiscal Year 2006-07 Cost Allocation Plan. FUNDING: The Fiscal Year 2006-07 Cost Allocation Plan will provide resources to the General Fund in the amount of approximately $467,500 from other funds such as Water, Sewer, Streets, Redevelopment Agency, and other non-general funds. These reimbursements are shown as budgeted cost allocation transfers-out in other funds and as budget reductions in General Fund expenses (cost allocation transfers-in). The cost allocations in the Bi-Annual Budget were based on the FY 2005-06 budget plus a 5% increase for FY 2006-07. These calculations resulted in cost allocation revenue to the General Fund of $458,900 for FY 2006-07. However, the attached cost allocation booklet shows that the actual cost allocation for FY 2006-07 should be $467,500, an $8,600 increase. DISCUSSION: A Cost Allocation Plan is a method of recovering the cost of General Fund services provided to other funds. In March of 1996 the first Cost Allocation Plan was adopted by the City Council. This was the first time that City costs were identified and divided between direct and indirect costs. Direct costs are expenses incurred in providing a specific cost objective, such as street maintenance, police protection, landscape maintenance, and water service. Indirect costs are expenses not readily identifiable with a particular operating program, but rather are incurred for a joint purpose, which benefits more than one fund/department. Common examples of indirect costs are accounting, purchasing, personnel, building maintenance, and utilities. Though indirect costs are not readily identifiable with direct operating programs, they can be allocated based on rational, logical methodology. The Cost Allocation Plan is a method of allocating indirect costs, provided by the General Fund, based on the proportionate share of benefits received. Different indirect costs have different methods of allocation. For instance, payroll costs are allocated on the number of full time positions and building maintenance costs are allocated on the number of departmental square feet in City buildings. CITY COUNCIL COST ALLOCATION PLAN MARCH 28, 2006 PAGE 2 The Cost Allocation Plan is based on the Fiscal Year 2006-07 Annual Budget. 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'" o U I-< U ~ a ~ o I-< o - M o '" z o E=: -< u 3 '" -< I-< '" o U I-< U ~ a 2:i '" -< I-< ~ ~ ~ Co .ll en g = <( a oS ~ " i ~ " co I: ~ " e ~ " 2 3 <5 ;> ~ ii: >. .0 "0 1! 'il co '01 e ~ ~ " <l :E ~ o ~ en gf :S! 'S <:Q "0 a ~ ii: 2 o Z 8.e. MEMORANDUM TO: CITY COUNCIL FROM: DON SPAGNOLO, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER rJ!!i5 SUBJECT: CONSIDERATION TO APPROVE A CONTRACT EXTENSION WITH MID STATE PLUMBING TO CONTINUE THE PLUMBING RETROFIT PROGRAM DATE: MARCH 28, 2006 RECOMMENDATION: It is recommended the Council approve a one-year contract extension with Mid State Plumbing and o'rain Cleaning, Inc. to continue the City's Plumbing Retrofit Program in the amount of $274,493.25. FUNDING: The current contract extension was in the amount of $353,773.25. It is estimated that $300,000 will be expended to complete the contract extension. The Capital Improvement Program will have an account balance of $312,000.00, which will provide funding for the recommended contract extension. The unit price increase requested will amount to an average of $45.00 more per apartment than the current contract unit prices. This will result in spending $27,000 more if all estimated apartments and homes are retrofitted. The Water Neutralization Fund (226) will have an estimated fund balance of $478,173 as of the end of March. This will be available to fund the second phase of the water conservation program. DISCUSSION: On March 23, 2004 the City Council awarded a contract to Mid State Plumbing for the plumbing retrofit portion of the City's Water Conservation Program. The contract provided for two one-year optional extensions. On March 22, 2005, the Council authorized a one-year contract extension. The current contract expires April 7, 2006 and allows for a final one-year optional extension. The City has received numerous comments from residents who are satisfied with both the work that was performed by Mid State Plumbing and the overall performance of the retrofit fixtures. All single-family homes built before 1992 (4,361 homes) have been notified, twice. As of March 10,2006,1151 homes have been retrofitted. To date it is estimated that the program will save approximately 35 acre-feet of water per year. It should be noted that since the adoption of the Mandatory Retrofit Ordinance, which applies to the sale of single-family units, about 127 properties have been issued Water Conservation Certificates. . ---~-~~-~ ---. CITY COUNCIL CONSIDERATION TO APPROVE A CONTRACT EXTENSION WITH MID STATE PLUMBING TO CONTINUE THE PLUMBING RETROFIT PROGRAM MARCH 28, 2006 PAGE 2 There are also 70 eligible apartment complexes totaling 551 apartment units that will be notified of the retrofit program should the Council approve the contract extension. On March 9, 2006 the City received a request from Mid State Plumbing regarding an increase in the unit prices reflecting an increase in both materials and labor. The material costs were verified with the distributor and the increased labor costs reflect prevailing wage changes and an increase in insurance costs. This overall cost increase has been reflected in the new contract schedule. ALTERNATIVES: The following alternatives are provided for the Council's consideration: - Approve staffs recommendations; Modify staffs recommendation and approve; Provide direction to staff. Attachments: 1. Contract Documents 2. Letter from Mid State Plumbing - received 3/9/06 ATTACHMENT 1 CONTRACT DOCUMENTS CITY OF ARROYO GRANDE STATE OF CALIFORNIA CONTRACT FOR: CITY OF ARROYO GRANDE PLUMBING RETROFIT PROGRAM THIS AGREEMENT, made and entered into thisB!Lday of April, 2006, by and between the CITY OF ARROYO GRANDE; a municipal corporation of the State of California, hereinafter designated City, party of the first part, and MID STATE PLUMBING AND DRAIN CLEANING, ~hereinafter designated as Contractor, party of the second part, WITNESSETH: That the parties hereto do mutually agree as follows: ARTICLE I. For and in consideration of the payments and agreements hereinafter mentioned to be made and performed by City, Contractor agrees with City to furnish all materials, equipment and labor and construct facilities for City, and to perform and complete in a good and workmanlike manner all the work pertaining thereto shown on the plans and described in the specifications hereto attached, and to furnish at his own proper cost and expense all tools, equipment, labor, and materials necessary therefore, except such materials as in the said specifications are stipulated to be furnished by City, and to do everything required by this Contract and the said specifications and plans, and the requirements of the Engineer under them, to wit: CONTRACT SCHEDULE OF COSTS ITEM UNIT NO. QTY UNIT DESCRIPTION PRICE AMOUNT 1 800 EA 1.6 gpm Flush Toilet-12" Rough $246.90 $197,520.00 2 50 EA 1.6 gpm Flush Toilet - 10" Rough $294.09 $14,704.50 3 850 EA Toilet Seat and Cover $18.00 $15,300.00 4 1,600 EA 2.0 gpm Faucet Aerator $5.00 $8,000.00 5 800 EA 2.5 gpm Shower Head $16.50 $13,200.00 6 300 EA Water Pressure Determination $30.00 $9,000.00 7 25 EA Adjust Existing Water Pressure Regulating Valve $20.00 $500.00 8 25 EA Replace Existing 3/4" Water Pressure Regulating Valve $80.25 $2,006.25 9 10 EA Replace Existing 1" Water Pressure Regulating Valve $97.75 $977.50 10 100 EA Install New 3/4" Water Pressure Regulating Valve $120.00 $12,000.00 11 10 EA Install New 1" Water Pressure Regulating Valve $128.50 $1,285.00 TOTAL CONTRACT PRICE $274,493.25 CON-l TOTAL CONTRACT IN WORDS: Two Hundred Seventv Four Thousand. Four Hundred Ninetv Three Dollars and Twentv. Five Cents BY: SIGNATURE DATE TITLE: CONTRACTORS BUSINESS NAME: MID STATE PLUMBING AND DRAIN CLEANING. INC. CONTRACTORS LICENSE NO.: 779258 LICENSE EXPIRATION DATE: September 30, 2007 ARTICLE II. For furnishing all said equipment. materials and labor. performing demolition as required, and doing all the work contemplated and embraced in this Contract; and for all loss and damage arising out of the nature ofthe work aforesaid, or from the action of the elements or from any unforeseen difficulties which may arise or be encountered in the prosecution of the work until its acceptance by City, and for all risks of every description connected with the work; also for all expenses incurred by or in consequence ofthe suspension or discontinuance of work, except such as in the said specifications are expressly stipulated to be borne by City; and for well and faithfully completing the work and the whole thereof, in the manner shoWl and described in the said plans and specifications and in accordance with the requirements of the Engineer under them, City will pay and Contractor shall receive as full compensation therefore the amounts for such work as installed for the unit prices bd therefore in accordance with the proposal of Contractor. ARTICLE III. City hereby promises and agrees with said Contractor to employ, and does hereby employ, said Contractor to provide the materials and to do the work according to the terms and conditions herein contained and referred to, for the prices aforesaid, and hereby contracts to pay the same at the time, in the manner and upon the conditions set forth in the specifications; and the said parties for themselves, their heirs, executors, administrators, successors, and assigns, do hereby agree to full performance of the covenants herein contained. ARTICLE IV. Contract Documents shall consist of The Notice to Contractors, the Statement of Prevailing Wages, the Contract Bid, the Contract Agreement, the Standard Specifications, the Technical Specifications, and the Special Provision mentioned therein and titled "CITY OF ARROYO GRANDE, PLUMBING RETROFIT PROGRAM:', all of which are hereto attached are hereby incorporated in and made a part of this Contract. ARTICLE V. Should any of the materials or equipment prove defective or should the work prove defective due to faulty workmanship, material furnished or methods of installation, or should the work or any part CON-2 thereof fail to operate properly as originally intended and in accordance with the plans and specifications, due to any of the above causes,all within twelve (12) months after date on which the work called for in this Contract is accepted by City, the undersigned agrees to reimburse City, upon demand, for its expenses incurred in restoring said Work to the condition contemplated in said project, including the cost of any such equipment or materials replaced and the cost of removing and replacing any work necessary to make such replacement or repairs, or, upon demand by City, to replace any such materials and to repair said Work completely without cost to City so that said work will function Successfully as originally contemplated. City shall have the unqualified option to make any needed replacanent or repairs itself or to have such replacements or repairs done by the undersigned. In the event City elects to have said work performed by the undersigned, the undersigned agrees that the repairs shall be made and such materials as are necessary shall be furnished and installed within a reasonable time after the receipt of demand from City. If the undersigned shall fail or refuse to comply with his obligations under this guaranty, City shall be entitled to all costs and expenses, including attorney's fees, reasonably incurred by reason of the said failure or refusal. ARTICLE VI. If Contractor should be adjudged a bankrupt, or if he makes a general assignment for the benefit of his creditors, or if a receiver should be appointed on account of his insolvency, or if he or any of . his subcontractors should persistently violate any of the proviSions of the Contract, or if he should disregard laws, ordinances or the instructions of the Engineer, then City may, upon certificate of the Engineer when sufficient cause exists to justify such action, serve written notice upon Contractor and his surety of its intention to terminate the Contract, such notice to contain the reasons for such intention to terminate the Contract, and unless, within five (5) days after the serving of such notice, such violations shall cease and satisfactory arrangements for correction thereof be made, the Contract shall, upon the expiration of said five (5) days, cease and terminate. In the event of any such termination, City shall immedately serve written notice thereof upon the surety and Contractor, and the surety shall have the right to take over and perform the Contract, provided, however, that if the surety, within ten (10) days after the serving upon it of notice of termination, does not give City written notice of its intention to take over and perform the Contract or does not commence performance thereof within the ten (10) days stated above from the date of the serving of such notice, City may take Over the work and prosecute the same to completion by Contract or by any other method it may deem advisable, for the account and at the expense of Contractor, and Contractor and his surety shall be liable to City for any excess cost occasioned City thereby, and in such event City may, without liability for so doing, take possession of and utilize in completing the work such materials, appliances, plans and other property belonging to Contractor as may be on the site of the Work and necessary therefore. In such case Contractor shall not be entitled to receive any further payment until the work is finished. If the unpaid balance of the Contract price shall exceed the expenses of finishing the work, including compensation for additional managerial and administration services, such excess shall be paid Contractor. If such expense shall exceed such unpaid balance, Contractor shall pay the difference to City. The expense incurred by City, as herein provided, and damage incurred through Contractor's default, shall be certified by the Engineer. ARTICLE VII. The Contractor shall indemnify, defend, and hold harmless the City, and its officers, officials, employees and agents, from and against any and all claims asserted, liability, loss, damage, expense, costs (inclUding without limitation costs and fee of litigation) of every nature arising of, directly or indirectly, or in connection with this Contract or the acts or omisSions of Contractor, Contractor's Subcontractors, employees, representatives, agents and invitees including, but not limited to, performance of the work hereunder or failure to comply with any of the obligations contained herein, except such loss or damage which was caused by the established active negligence of City or the established sole negligence CON-3 --------------------------------------------- or willful misconduct of City, its officers, officials, employees and agents. Said indemnification and hold harmless provisions shall be in full force and effect regardless of whether or not there shall be insurance policies covering and applicable to such liability, loss, damagEl expense or cost. The Contractor agrees that the use of any and all public streets and improvements which are part of or subject to this Contract shall be at all times, priorto the final acceptance by the City, the sole and exclusive risk of the Contractor. The Contractor further specifically agrees that he shall indemnify and hold City free of any liability for any accident, loss or damage to the work which is the subject of this Contract prior to its completion and acceptance by the City. ARTICLE VIII. It is further expressly agreed by and between the parties hereto that should there be any conflict between the terms of this instrument and the bid or proposal therefore, then this instrument shall control and nothing herein shall be considered as an acceptance ofthe said terms of said bid or proposal conflicting herewith. ARTICLE IX. Time is of the essence of this contract and failure to comply with this provision shall be a material breach of this contract. ARTICLEX. If any part of this contract is held invalid by a court of competent jurisdiction, the balance shall retain its full force and effect. ARTICLE XI. Maintenance of required insurance coverage is a material element of this contract and failure to maintain or renew coverage or to provide evidence of renewal shall be a material breach of this contract. IN WITNESS WHEREOF: The parties hereto have caused this Contract to be executed the day and year first above written. CITY OF ARROYO GRANDE By: Mayor ATTEST: Director of Administrative Services CONTRACTOR By: Title: CON-4 GENERAL LIABILITY ENDORSEMENT CITY OF ARROYO GRANDE P.O. Box 550 Arroyo Grande, CA 93421 ATTN: POLICY INFORMATION 1. Insurance Company: Policy Number: 2. Policy Term - From: To: Endorsement Effective Date: 3. 4. Name Insured: 5. Address of Named Insured: 6. Deductible or Self-Insured Retention (Nil unless otherwise specified): $ 7 Coverage is equivalent to: Liability "occurrence" form CG0001. 8. Bodily Injury and Property Damage Coverage is: Commercial General POLICY AMENDMENTS This endorsement is issued in consideration of the policy premium. Notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any other endorsement attached thereto, it is agreed as follows: 1) INSURED. The City, its elected or appointed officials, employees, agents and volunteers, are included as insured with regard to damages and defense of claims arising from: (a) activities performed by or on behaif of the Named Insured, (b) products and completed operations of the Named Insured, or (c) premises owned, leased or used by the Named Insured or (d) automobiles owned, leased, hired or borrowed by the named insured. 2) CONTRIBUTION NOT REQUIRED. As respects: (a) work performed by the Named Insured for or on behalf of the City; or (b) products sold by the Named Insured to the City; or (c) premises leased by the Named Insured from the City, the insurance afforded by this policy shall be primary insurance as respects the City, its elected or appointed officials, employees, or volunteers; or stand in an unbroken chain of coverage excess of the Named Insured's scheduled underlying primary coverage. In either event, any other insurance maintained by: the City, its elected or appointed officials, employees, agents and volunteers, shall be in excess of this insurance and shall not contribute to it. SCOPE OF COVERAGE. The policy, if primary, affords coverage at least as broad as: 1) Insurance Services Office Commercial General Liability Coverage, "occurrence" form CG0001; or 2) If excess, affords coverage, which is at least as broad as the primary insurance forms referenced in the proceeding sections (1). SEVERABILITY OF INTEREST. The insurance afforded by this policy applies separately to each insured who is seeking coverage or against CON-5 whom a claim is made or a suit is brought, except with respects to the Company's limit of liability. The inclusion of any person or organization as an insured shall not affect any right which such person or organization would have as a claimant if not so included. PROVISIONS REGARDING THE INSURED'S DUTIES AFTER ACCIDENT OR LOSS. Any failure to comply with reporting provisions of the policy shall not affect coverage provided to the City, its elected or appointed officials, employees, agents or volunteers. CANCELLATION NOTICE. The insurance afforded by this policy shall not be suspended, voided, canceled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail return receipt requested has been given to the City. Such notice shall be addressed as shown in the heading of this endorsement. INCIDENT AND CLAIM REPORTING PROCEDURE Incidents and claims are to be reported to the insurer at: ATTN: Title: Department: Company: Street Address: Telephone Number: SIGNATURE OF INSURER OR AUTHORIZED REPRESENTATIVE OF THE INSURER I, (prinUtype name), warrant that I have authority to bind the below listed insurance company and by my signature hereon do so bind this company. SIGNATURE OF AUTHORIZED REPRESENTATIVE (original signature required on endorsement furnished to the City) ORGANIZATION: ADDRESS: TITLE: TELEPHONE: FAX: -- END OF GENERAL LIABILITY ENDORSEMENT-- CON-6 AUTOMOBILE LIABILITY ENDORSEMENT ATTN: POLICY INFORMATION 1. Insurance Company: Policy Number: 2. Policy Term - From: To: Endorsement Effective Date: 3. Name Insured: 4. Add ress of Named Insured: 5. Limit Liability Any One Occurrence/Aggregate: $ 6. Deductible or Self-Insured Retention (Nil unless otherwise specified): $ POLICY AMENDMENTS This endorsement is issued in consideraton of the policy premium. Notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any other endorsement attached thereto, it is agreed as follows: INSURED. The City, its elected or appointed officials, employees, agents and volunteers, are included as insured with regard to damages and defense of claims arising from: (a) activities performed by or on behalf of the Named Insured, (b) products and completed operations of the Named Insured, or (c) premises owned, leased or used by the Named Insured, or (d) automobiles owned, leased, hired, or borrowed by the Named Insured. CONTRIBUTION NOT REQUIRED. As respects: (a) work performed by the Named Insured for or on behalf of the City; or (b) products sold by the Named Insured to the City; or (c) premises leased by the Named Insured from the City, the insurance afforded by this policy shall be primary insurance as respects the City, its elected or appointed officials, employees, or volunteers; or stand in an unbroken chain of coverage excess of the Named Insured's scheduled underlying primary coverage. In either event, any other insurance maintained by the City, its elected or appointed officials, employees, agents or volunteers, shall be in excess of this insurance and shall not contribute t SCOPE OF COVERAGE. The policy, if primary, affords coverage at least as broad as: 1) Insurance Services Office form number CA 0001 (ed. 1/78), Code 1 (any auto) and endorsement CA 0025. 2) If excess, affords coverage, which is at least as broad as the primary insurance forms referenced in the preceding section (1). SEVERABILITY OF INTEREST. The insurance afforded by this policy applies separately to each insured who is seeking coverage or against whom a claim is made or a suit is brought, except with respects to the Company's limit of liability. The inclusion of any person or organization as an insured shall not affect any right which such person or organization would have as a claimant if not so included. PROVISIONS REGARDING THE INSURED'S DUTIES AFTER ACCIDENT OR LOSS. Any failure to comply . with reporting provisions of the policy or breaches or violations of warranties shall not affect coverage provided to the City, its elected or appointed officials, employees, agents or volunteers. CANCELLATION NOTICE. The insurance afforded by this policy shall not be suspended, voided, canceled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail return receipt CON-7 requested has been given to the City. Such notice shall be addressed as shown in the heading of this endorsement. INCIDENT AND CLAIM REPORTING PROCEDURE Incidents and claims are to be reported to the insurer at: ATTN: Title: Department: Company: Street Address: Telephone Number: SIGNATURE OF INSURER OR AUTHORIZED REPRESENTATIVE OF THE INSURER. I, (print/type name), warrant that I have authority to bind the below listed insurance company and by my signature hereon do so bind this company. SIGNATURE OF AUTHORIZED REPRESENTATIVE (original signature required on endorsement furnished to the City) ORGANIZATION: ADDRESS: TITLE: TELEPHONE: FAX: -- END OF AUTOMOBILE L1ABILlTY-- . CON-8 WORKER'S COMPENSA TION/EMPLOYMENT LIABILITY ENDORSEMENT ATTN: POLICY INFORMATION 1. Insurance Company: Policy Number: 2. Policy Term - From: To: Endorsement Effective Date: 3. Name Insured: 4. Address of Named Insured: 5. Limit Liability Any One Occurrence/Aggregate: $ 6. Deductible or Self-Insured Retention (Nil unless otherwise specified): $ POLICY AMENDMENTS In consideration of the policy premium and notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any other endorsement attached thereto, it is agreed as follows: Cancellation Notice. The insurance afforded by this policy shall not be suspended, voided, canceled, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail return receipt requested has been given to the City. Such notice shall be addressed as shown in the heading of this endorsement. Waiver of Subrooation. The Insurance Company agrees to waive all rights of subrogation against the City, its elected or appointed officials, agents and employees for losses paid under the terms of this policy which arise from work performed by the Named Insured for the City. SIGNATURE OF INSURER OR AUTHORIZED REPRESENTATIVE OF THE INSURER I, (print/type name), warrant that I have authority to bind the below listed insurance company and by my signature hereon do so bind this company. SIGNATURE OF AUTHORIZED REPRESENTATIVE (original signature required on endorsement furnished to the City) ORGANIZATION: ADDRESS: TITLE: TELEPHONE: FAX: CITY OF ARROYO GRANDE ("the City") A Municipal Corporation ATTN: This certifies to the City that the following described policies have been issued to the Insured named below and are in force at this time. Insured: CON-9 Address: Description of operations/locations/products insured (show contract name and lor number, if any): POLICIES LIMITS POLICY EXPIRATION AND INSURERS BODILY INJURY PROPERTY NUMBER DATE DAMAGE Worker's Compensation Empioyer's Liability $ (Name of Insurer) Best's Ratinn Check Policy Type: o Comprehensive Claims-made - o General Liability Occurrence_ o Commercial General Each Occurrence Each Occurrence Liability $ $ (Name of Insurer) or Best's Rating: Combined Single Limit $ .Annrenate $ , Business Auto Policy Each Person Each Accident Liability Coverage $ $ Symbol (Name of Insurer) Each Accident Best's Rating: $ Combined Single Limit $ Umbrella Liability Claims-Made - Occurrence_ (Name of Insurer) Occurrence/Aggregate $ Best's Rating: Self Insured Retention $ CON-10 The following coverage or conditions are in effect YES NO The City, its officials, and employees, agents and volunteers, are named on all liability policies described above as insured as repects: (a) activities performed for the City by or on behalf of the named insured, (b) products and completed operations on the Named Insured, and (c) oremises owned, leased or used bv the Named Insured. Products and Comoleted Ooerations. The undersigned will mail to the City 30 days' written notice by receipted delivery of cancellation or deduction of coveraae or limits. . Cross Liabilitv Clause (or eouivalent wordino). Personall~ Perils A, B, and C. Broad form Prooertv Damaoe X, C, U hazards included. Contractual Liabilitv Coveraoe aoolvino to this Contract. Linuor Liabin;;;:- Coverage afforded the City, its officials, employees, agents and volunteers, as insured applies as primary and not excess or contributing to any insurance issued in the name of the Citv. . . Waiver of subrooation from Workers' Comoensation insurer. This certificate is issued as a matter of information. This certificate is not an insurance policy and does not amend, extend or alter the coverage afforded by the policies listed herein. Notwithstanding any requirement, term or condition of any contract or other document with respect to which this certificate of insurance may be issued or may pertain, the insurance afforded by the policies described herein is subject to all the terms, exclusions and conditions of such policies. Agency of Brokerage Insurance Company Address Home Office Name of Person to be Contacted Authorized Signature Telephone Number Date Note: Authorized signatures may be the agent's if agent has placed insurance through an agency agreement with the insurer. If insurance is brokered, authorized signature must be of official of insurer. This information must include all construction work undertaken in the State of California by the bidder and any partnership, joint venture or corporation that any principal of the bidder participated in as a principal or owner for the last five calendar years and the current calendar year prior to the date of bid submittal. Separate information shall be submitted for each particular partnership, joint venture, corporate or individual bidder. The bidder may attach any additional information or explanation of data which he would like taken into consideration in evaluating the safety record. An explanation must be attached of the circumstances surrounding any and all fatalities. CON-11 ", ATTACHMENT 2 Mid State Plumbing and Drain Cleaning, Inc. P.O. Box 1807 Pismo Beach, CA 93448 805473-8270 Fax 805 473-8288 License #779258 March 9, 2006 City of Arroyo Grande P.O. Box 550 Arroyo Grande, CA 93420 Attn: Don Spagnolo & Shane Taylor Re: Plumbing Retrofit Program Dear Don & Shane, We would like to submit price increases for the 2006 retrofit program. The prices include prevailing wage labor rates. 12" rough toilet 10" rough toilet Toilet seat Aerator Shower head $246.90 $294.09 $ 18.00 $ 5.00 $ 16.50 The prices for pressure tests, pressure adjustments, pressure regulator installatjon and replacement will remain the same. We would also like to request that we receive payment every 2 weeks instead of once a month. This is due to our payroll being paid every 2 weeks, and the high labor paid for prevailing wage. If you questlOc~ "". ---:, ing and Drain Cleaning, Inc. 8.f. MEMORANDUM FROM: CITY COUNCIL ~ ROB STRONG COMMUNITY DEVELOPMENT DIRECTO~ RYAN FOSTER, ASSISTANT PLANNE~ TO: BY: SUBJECT: CONSIDERATION OF RESOLUTION UPHOLDING APPEAL 05-006 AND APPROVING PLOT PLAN REVIEW 05-008; 230 STATION WAY DATE: MARCH 28, 2006 RECOMMENDATION: It is recommended the City Council adopt the attached Resolution, upholding Appeal 05- 006 and approving Plot Plan Review 05-008. FUNDING: No fiscal impact. DISCUSSION: At its meeting of March 14, 2006, the City Council tentatively upheld Appeal 05-006 and approved Plot Plan Review 05-008 and directed staff to return with a Resolution supporting this action. ALTERNATIVES: 1. Adopt the attached Resolution upholding Appeal 05-006 and approving Plot Plan Review 05-008; 2. Do not adopt the attached Resolution; 3. Provide direction to staff S:ICOMMUNITY _DEVELOPMENTlPROJECTSIAPLI05-006IAPL_ 05-006 _ CC _ RPT _ 3.doc RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE UPHOLDING APPEAL 05-006 AND APPROVING PLOT PLAN REVIEW 05-008; 230 STATION WAY WHEREAS, the Planning Commission of the City of Arroyo Grande adopted a Resolution denying the application for Plot Plan Review 05-008 at a hearing on October 4, 2005 in accordance with the Municipal Code of the City of Arroyo Grande; and WHEREAS, the applicant filed an appeal of the Planning Commission's decision to deny the application for Plot Plan Review 05-008 on October 14, 2005; and WHEREAS, the City Council of the City of Arroyo Grande has considered this appeal at a public hearing on March 14, 2006 in accordance with the Municipal Code of the City of Arroyo Grande; and WHEREAS, the City Council finds, after due study and deliberation, that the following circumstances exist: Mixed-Use Projects 1. The mixed uses are consistent with the general plan and are compatible with their surroundings, with neighboring uses, and with each other. Mixed-use is allowed in the Village Core (VC) as described in the Land Use Element of the General Plan. The proposed residential use is compatible with the surrounding officelcommercial uses - neither use is anticipated to have a negative impact on the other; in fact, their peak hours of use tend to compliment each other, with the officelcommercial portion utilized primarily during weekdays and the residential portion utilized primarily during nights and weekends. 2. The design protects the public health, safety, and welfare. The design will comply with all USC requirements for separation of occupancy, thereby protecting the public health, safety and welfare. 3. The mixed uses provide greater public benefits than single-use development of the site. This finding must enumerate those benefits, such as proximity of workplaces and housing, automobile trip reduction, provision of affordable housing, or other benefits consistent with the purposes of this section. The site is currently developed with only officelcommercial uses, adding a RESOLUTION NO. PAGE 2 residential component would provide a greater public benefit than the existing uses by adding rental units to the City's housing stock, which the Housing Element seeks to encourage. Additionally, the residential use would be in close proximity to numerous services in both the Village and surrounding areas, which may reduce the use of automobiles by the residents. Plot Plan Review 1. The proposed project is consistent with the goals, objectives, policies and programs of the Arroyo Grande general plan; The proposed project site is located in the Village Mixed Use (VMU) zoning district and designated as Village Core in the Land Use Element of the General Plan. Several policies contained within the General Plan promote mixed use, such as LU6-4 (Village Core), which states, "...upstairs apartments are encouraged in conjunction with ground-floor commercial uses." 2. The proposed project conforms to applicable performance standards and will not be detrimental to the public health, safety or general welfare; While the development was not designed to include residential uses, it does include adequate open space and parking (with allowed reduction), and the proposed units will not be adversely affected by existing lighting or ambient noise levels beyond what other residential developments are exposed to. 3. The physical location or placement of the use on the site is compatible with the surrounding neighborhood. The physical location of the use is compatible with the surrounding neighborhood and will have access to adequate amenities and public services. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo Grande hereby upholds the appeal and approves Plot Plan Review 05-008, with the above findings and subject to the conditions as set forth in Exhibit "A", attached hereto and incorporated herein by this reference. RESOLUTION NO. PAGE 3 On motion by Council Member following roll call vote, to wit: , seconded by Council Member AYES: NOES: ABSENT: the foregoing Resolution was adopted this 28th day of March, 2006. , and by the RESOLUTION NO. PAGE 4 TONY FERRARA, MAYOR ATTEST: KELLY WETMORE, CITY CLERK APPROVED AS TO CONTENT: STEVEN ADAMS, CITY MANAGER APPROVED AS TO FORM: TIMOTHY CARMEL, CITY ATTORNEY RESOLUTION NO. PAGE 5 EXHIBIT "A" CONDITIONS OF APPROVAL PLOT PLAN REVIEW 05-008 230 STATION WAY This approval authorizes the construction of two (2) second-floor apartments within an existing two-story office building located 230 Station Way GFNFRAL CONDITIONS 1. The applicant shall ascertain and comply with all State, County and City requirements as are applicable to this project. 2. The project shall substantially conform to the plans on file in the Community Development Department. 3. The applicant shall comply with all conditions of approval for Plot Plan Review 05- 008. 4. The applicant shall agree to defend at his/her sole expense any action brought against the City, its present or former agents, officers, or employees because of the issuance of said approval, or in anyway relating to the implementation thereof, or in the alternative, to relinquish such approval. The applicant shall reimburse the City, its agents, officers, or employees, for any court costs and attorney's fee's which the City, its agents, officers or employees may be required by a court to pay as a result of such action. The City may, at its sole discretion, participate at its own expense in the defense of any such action but such participation shall not relieve applicant of his/her obligations under this condition. 5. Any required exterior modifications to the existing building shall be subject to review and approval by the Architectural Review Committee (ARC). BUILDING AND FIRE DEPARTMFNT CONDITIONS 6. All plans and construction drawings shall be prepared under the supervision of a licensed architect. 7. The project shall comply with the most recent editions of all California Building and Fire Codes, as adopted by the City of Arroyo Grande. 8. The project shall provide complete compliance with State and Federal disabled access requirements. 9. All fire lanes must be posted and enforced, per Police Department and Fire Department guidelines. 10. The project shall have a fire flow of 1,500 gallons per minute for a duration of 2 hours. RESOLUTION NO. PAGE 6 11. Prior to occupancy, the applicant shall provide an approved "security key vault", per Building and Fire Department guidelines. 12. Prior to occupancy, all buildings must be fully sprinklered per Building and Fire Department guidelines. 13. The applicant shall pay water meter, service main, distribution and availability fees, to be based on codes and rates in effect at the time of building permit issuance. 14. The applicant shall pay a water neutralization fee, to be based on codes and rates in effect at the time of building permit issuance. 15. The applicant shall pay a traffic impact fee, to be based on codes and rates in effect at the time of building permit issuance. 16. The applicant shall pay a traffic signalization fee, to be based on codes and rates in effect at the time of building permit issuance. 17. The applicant shall pay sewer hook-up and facility permit fees, to be based on codes and rates in effect at the time of building permit issuance. 18. The applicant shall pay building permit fees, to be based on codes and rates in effect at the time of building permit issuance. 19. The applicant shall pay a Strong Motion Instrumentation Program (SMIP) fee, to be based on codes and rates in effect at the time of building permit issuance. 20. The applicant shall pay a park development fee, to be based on codes and rates in effect at the time of building permit issuance. 21. The applicant shall pay a park improvements fee, to be based on codes and rates in effect at the time of building permit issuance. 22. The applicant shall pay a community centers fee, to be based on codes and rates in effect at the time of building permit issuance. 23. The applicant shall pay a fire protection fee, to be based on codes and rates in effect at the time of building permit issuance. 24. The applicant shall pay a police facilities fee, to be based on codes and rates in effect at the time of building permit issuance. 8.g. MEMORANDUM TO: FROM: CITY COUNCIL r(' ROB STRONG, COMMUNITY DEVELOPMENT DIRECTO~P BRIAN SOLAND, PLANNING INTERN ~.5 CONSIDERATION OF AUTHORIZATION TO USE CITY PROPERTY AND CLOSE CITY STREETS FOR THE ANNUAL ARROYO GRANDE STRAWBERRY FESTIVAL ON MAY 27-28, 2006; TEMPORARY USE PERMIT NO. 06-002 BY: SUBJECT: DATE: MARCH 28, 2006 RECOMMENDA nON: It is recommended the City Council consider the request from the Arroyo Grande Village Improvement Association and adopt a Resolution authorizing the use of City property and closure of City streets for the Annual Arroyo Grande Strawberry Festival on May 27-28, 2006 (Attachment 1). FUNDING: There is no direct funding impact as a result of this event. Event organizers are required to reimburse the City for the costs of police, fire, public works and other City services used to conduct this event. DISCUSSION: The Arroyo Grande Village Improvement Association has requested the following items for the Annual Arroyo Grande Strawberry Festival on May 27-28, 2006: 1. The closure of Branch Street from Traffic Way to Mason Street from 6:00 am to 6:00 pm on Saturday, May 27, 2006 and Sunday, May 28, 2006. (This will require the Police Department to apply to CalTrans for street closure authorization). 2. The closure of Short Street from Branch Street to Olohan Alley from 5:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. 3. The closure of Bridge Street from Branch Street to the driveway at McLintock's parking lot from 6:00 am Saturday, May 27, 2006 to 6:00 pm Sunday, May 28, 2006. CITY COUNCIL STRA WBERRY FESTIVAL MARCH 28. 2006 PAGE 2 4. The closure of Bridge Street from McLintock's driveway to Nelson Street from 6:00 am to 6:00 pm, Saturday, May 27, 2006 and Sunday, May 28, 2006. 5. The closure of Bridge Street from Nelson Street to Traffic Way from 6:00 am Saturday, May 27, 2006 to 6:00 pm Sunday, May 28, 2006. 6. The closure of Nelson Street from Mason Street to Traffic Way from 6:00 am to 6:00 pm on Saturday, May 27, 2006 and Sunday, May 28, 2006. 7. The use of the parking lots along Olohan Alley from Mason Street to Bridge Street from 5:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. 8. The use of the Car Corral from 10:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. 9. The use of the parking area from the Car Corral to and including the Brisco parking lot from 10:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. 10. The use of the lawn on Nelson Street between Mason and Short Streets from 4:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. 11. The use of Hart-Collett Park between Bridge Street and Traffic Way from 6:00 am Saturday, May 27, 2006 to 6:00 pm Sunday, May 28,2006. 12. The use of the five-acre lot next to the Arroyo Grande Woman's Club on West Branch Street for shuttle bus parking on Saturday, May 27, 2006 and Sunday, May 28, 2006. Upon City Council authorization to use City property, the Community Development Department will issue a Temporary Use Permit for the event. ALTERNATIVES: The following alternatives are provided for the Council's consideration: Adopt the attached resolution; Modify as appropriate and adopt the attached resolution; Do not adopt the attached resolution; Provide direction to staff. Attachments: Letter from the Arroyo Grande Village Improvement Association, dated January 9, 2006. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE AUTHORIZING THE CLOSURE OF CITY STREETS AND USE OF CITY PROPERTY FOR THE ANNUAL STRAWBERRY FESTIVAL, MAY 27-28,2006. ,. j WHEREAS, the Arroyo Grande Village Improvement Association (AGVIA), organizers of the Strawberry Festival, have requested closure of certain City streets and the use of City property as outlined below, for the purpose of craft exhibits, displays, food booths and entertainment, and similar activities; and WHEREAS, members of the AGVIA will be responsible for traffic control, cleanup, and payment of all related fees and costs for use of City property and City employee time related to the event. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Arroyo Grande as follows: 1. That the Arroyo Grande Village Improvement Association is hereby granted the use of certain City streets and property as follows: Strawberry Festival - Saturday & Sunday, May 27 & 28, 2006 A. "No Parking/Tow Away Zone" in the following areas in the City of Arroyo Grande for the period of 6:00 am to 6:00 pm, Saturday, May 27 and Sunday, May 28, 2006: both sides of Branch Street (Highway 227) from Traffic Way to Mason Street; Bridge Street from Branch Street to Traffic Way; Nelson Street from Traffic Way to Mason Street; Mason Street from Poole Street to Le Point Street; and Poole Street from Traffic Way to Mason Street. B. "No Parking/Tow Away Zone" for fire/emergency access in the following areas in the City of Arroyo Grande for the period of 6:00 am to 6:00 pm, Saturday, May 27 and Sunday, May 28, 2006: both sides of Nevada Street from Branch Street to Le Point Street; Le Point Street from Nevada Street easterly through the Tally Ho curve; Crown Terrace from Crown Hill Road to Le Point Street; and East Branch Street from Garden Street to Huasna Road. C. The closure of Branch Street from Traffic Way to Mason Street from 6:00 am to 6:00 pm on Saturday, May 27, 2006 and Sunday, May 28, 2006. (This will require the Police Department to apply to CalTrans for street closure authorization) . D. The closure of Short Street from Branch Street to Olohan Alley from 5:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. RESOLUTION NO. PAGE 2 E. The closure of Bridge Street from Branch Street to the driveway at McLintock's parking lot from 6:00 am Saturday, May 27, 2006 to 6:00 pm Sunday, May 28, 2006. F. The closure of Bridge Street from McLintock's driveway to Nelson Street from 6:00 am to 6:00 pm, Saturday, May 27, 2006 and Sunday, May 28,2006. G. The closure of Bridge Street from Nelson Street to Traffic Way from 6:00 am Saturday, May 27, 2006 to 6:00 pm Sunday, May 28, 2006. H. The closure of Nelson Street from Mason Street to Traffic Way from 6:00 am to 6:00 pm on Saturday, May 27, 2006 and Sunday, May 28, 2006. I. The use of the parking lots along Olohan Alley from Mason Street to Bridge Street from 5:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. J. The use of the Car Corral from 10:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. K. The use of the parking area from the Car Corral to and including the Brisco parking lot from 10:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. L. The use of the lawn on Nelson Street between Mason and Short Streets from 4:00 pm Friday, May 26, 2006 to 6:00 pm Sunday, May 28, 2006. M. The use of Hart-Collett Park between Bridge Street and Traffic Way from 6:00 am Saturday, May 27, 2006 to 6:00 pm Sunday, May 28,2006. N. The use of the five-acre lot next to the Arroyo Grande Woman's Club on West Branch Street for shuttle bus parking on Saturday, May 27, 2006 and Sunday, May 28, 2006 2. That the AGVIA will adhere to all requirements and conditions of approval as set forth in Exhibit "A" attached hereto and incorporated herein by this reference. On motion of Council Member , seconded by Council Member and on the following roll call vote, to wit: AYES: NOES: ABSENT: The foregoing resolution was passed and adopted this 8th day of March 28, 2006. RESOLUTION NO. PAGE 3 TONY FERRARA, MAYOR ATTEST: KELLY WETMORE, DIRECTOR OF ADMINISTRATIVE SERVICES! CITY CLERK APPROVED AS TO CONTENT: STEVEN ADAMS, CITY MANAGER APPROVED AS TO FORM: TIMOTHY J. CARMEL, CITY ATTORNEY RESOLUTION NO. PAGE 4 EXHIBIT "A" CONDITIONS OF APPROVAL FOR TEMPORARY USE PERMIT NO. 06-002 STRAWBERRY FESTIVAL (May 27-28, 2006) General Conditions 1. The applicant shall ascertain and comply with all State, County and City requirements as are applicable to this project. 2. The event shall occur in substantial conformance with the application and plans on file in the Community Development Department office. 3. The event organizers shall comply with all the conditions of the City Council Resolution adopted on March 28, 2006. (Reference attachment.) 4. The applicant shall agree to defend, indemnify and hold the City harmless, at his/her/its sole expense from any action brought against the City, its agents, officers, or employees because of said approval, or in the alternative, to relinquish such approval. The applicant shall reimburse the City, its agents, officers, or employees, for any court costs and attorney's fees which the City, its agents, officers, or employees may be required by a court to pay as a result of such action. The City may, at its sole discretion, participate at its own expense in the defense of any such action but such participation shall not relieve applicant of his/her obligations under this condition. Parks, Recreation and Facilities Department Conditions 5. The event organizers shall notify the Parks and Recreation Department of the number and placement of waste containers prior to May 22, 2006. 6. AGVIA is responsible for providing trash bags and restroom supplies for the festival. Any supplies the Parks and Recreation Department may need to provide will need to be reimbursed by AGVIA. 7. The event organizers shall have an individual designated to periodically inspect the restrooms and areas around the food vendors and waste containers. That individual shall be responsible for maintaining the cleanliness of these areas and gathering and disposing of all debris. 8. The event organizers shall reimburse the City for electrical costs associated with special events. Specifically, costs for the outlets by the gazebo, Rotary Bandstand, Bridge St., Olohan Alley, and behind City Hall shall be reimbursed. 9. The event organizers shall reimburse the City for the costs of any Parks and Recreation City services required for this event, including, but not limited to, restroom maintenance, trash, etc. 10. The event organizers shall remove any tape placed on streets and parking areas after the event. RESOLUTION NO. PAGE 5 Public Works Department Conditions 11. Restroom facilities, barricades, signing and detour routes shall be provided by the applicant as required. 12. The event organizers shall place an advertisement in the Five Cities Times-Press Recorder just prior to the event to advise residents of street closures. 13. The event organizers shall provide a $1,000,000.00 insurance policy naming the City as additional insured. 14. The event organizers shall reimburse the City for the costs of Public Works services and any other City services required for this event. 15. The event organizers shall contact the Public Works Department 72 hours prior to the event to check on the status of street maintenance/construction activities. The Public Works Department may require the event organizers to provide temporary construction (orange plastic) fencing around areas designated as potentially hazardous. Buildinq and Fire Department Conditions 16. All food booths (cooking) must comply with the Fire Department guidelines, and must have County Health Department approval. AGVIA will inform booth applicants of Fire Department guidelines, and will ensure total compliance of booth operators. AGVIA will not allow non-compliant booths to operate. 1 7. The project shall comply with the most recent edition of the California State Fire and Building Codes and the Uniform Building and Fire Codes as adopted by the City of Arroyo Grande. Specifically, all temporary-wiring provisions of the N.E.C. must be met. 18. The Building and Fire Department must inspect all food booths, generators and temporary electrical service prior to the opening of the event. In lieu of requiring a building permit for temporary electrical service, AGVIA will collect a fee of $15 per every booth utilizing an electrical connection. This fee will be itemized by booth number and submitted to the Department of Building and Fire within 15 days of the end of the Festival. 19. Emergency access must be maintained to the satisfaction of the Director of the Building and Fire Department. A detailed chart or map will be provided to the Department of Building and Fire for approval prior to the event, showing placement of all booths, to include actual dimensions of access pathways for fire apparatus and emergency vehicles. 20. Per the approval of the Fire Chief, there will be ambulance service dedicated to the event. 21 . The use of generators must be reviewed and approved by the Director of the Building and Fire Department. 22. All fire lanes must be posted and enforced in accordance with Police and Fire Department guidelines. Fire lanes and access must be approved by the Fire Chief. 23. The applicant shall identify an individual to act as liaison with the Fire Department for the purpose of maintaining life and safety. ( RESOLUTION NO. PAGE 6 24. Prior to opening the event, the fire access road shall be posted. The applicant shall provide continuous enforcement of the fire access road during the event. 25. AGVIA will coordinate with and be responsible for costs associated with San Luis Ambulance to provide standby personnel and equipment for Bike Medic and golf cart transport for entire duration of Festival. 26. AGVIA shall pay Department of Building and Fire costs for members and equipment assigned to the event. Police Department Conditions 27. The event organizers shall pay Police Department costs for officers assigned to the event. 28. All temporary "No Parking" signs shall be posted a minimum of 24 hours prior to event setup (by 6:00 am, Friday, May 26, 2006). 29. A minimum of four (4) private "licensed" security personnel will be provided by AGVIA. AGVIA will present to the Arroyo Grande Police Department two (2) weeks prior to the event: a. The name of the security agency b. A schedule of security coverage c. Location and hours of security assignments Minimum required security is one (1) officer stationed at Nelson & Bridge Street, two (2) officers assigned to the Swinging Bridge, and one (1) officer for patrol throughout the evening hours on Saturday, May 27, 2006. 30. Failure to provide private licensed security will result in AGPD Officers being assigned with expenses billed to the AGVIA. Special Conditions 31 . Notification of all streets subject to closure must be posted a minimum of 24 hours prior to closure, stating the dates and times of closures. 32. The AGVIA shall distribute State Board of Equalization forms to all vendors to report the sales tax collected during the Festival, and shall notify them that a list of vendors will be supplied to the City to verify payment of sales tax. 33. The AGVIA shall provide to the City's Financial Services Department a list of all vendors participating in the festival. The list will be used to verify that sales tax was collected and reported as earned in Arroyo Grande. TheVilEo.ge or ARROYO GRANDE i 1;' - --:\.' .... ".,., Arroyo Grande Village Improvement Association P.O. Box 1526 . Arroyo Grande, CA 93421 Phone: (805) 473-2250 . Fax: (805) 473-0345 (' J'" " ~'. I J ,.i;i-~ (Ii .:51 Steve Adams, City Manager City of Arroyo Grande P.O. Box 550 Arroyo Grande, CA 93421 t., c./1,'c-+ et a li"e- ~. .4r~s brre.ckv ~~'V\.. 4=6~~h:L.""t- Plo...M<-t'4' (-&v ('..."'S$,....., ") I/Jo/Oip January 9, 2006 Dear Steve: I am submitting the items below for departmental review. Please send me the necessary forms to apply for the use permits and have the meetings scheduled that are necessary with the involved departments. Arroyo Grande Strawberry Festival- Saturday and Sunday. May 27 & 28. 2006 Item #1 will require a resolution from the City Council. Also, the Police Department will have to apply to Cal Trans for authorization. 1. The closure of Branch St. from Traffic Way to Mason St. from 6 am to 6 pm on Saturday, May 27 and Sunday, May 28. 2. The closure of Short St. from Branch St. to Olohan Alley from 5 pm Friday, May 26, to 6 pm, Sunday, May 28. 3. The closure of Bridge S',. from Branch St. to the driveway at McLintock's parking lot from 6 am on Saturday, May 27 until 6 pm on Sunday, May 28. 4. The closure of Bridge St. from McLintock's driveway to Nelson St. from 6 am to 6 pm, Saturday and Sunday, May 27 and 28. S. The closure of Bridge St. from Nelson St. to Traffic Way from 6 am Saturday, May 27 to 6 pm on Sunday, May 28. 6. The closure of Nelson St. from Mason St. to Traffic Way on Saturday and Sunday, May 27 and 28, from 6 am to 6 pm. 7. The use of the parking lots along Olohan Alley from Mason St. to Bridge St. from 5 pm Friday, May 26 through 6 pm Sunday, May 28. 8. The use of the Car Corral from 10 pm Friday, May 26 to 6 pm, Sunday May 28. 9. The use of the parking area from the Car Corral to and including the Brisco parking lot from 10 pm Friday, May 26 to 6 pm Sunday, May 28 10. The use of the lawns between Short St. and Mason St. on Nelson St. from 4 pm Friday, May 26 until 6 pm Sunday, May 28. I I. The use of the Collette Park between Bridge St. and Traffic Way from 6 am Saturday, May 27 to 6 pm on Sunday, May 28. 12. The use of the five-acre lot next to the Woman's Club on West Branch St. for shuttle bus parking on Saturday, May 27 and Sunday, May 28. The Arroyo Grande Village Improvement Association will provide the proper insurance policy to the City by May I, as our current policy is good through then. The AG.Y.LA. will compensate the City for any extra expenses incurred as agreed upon. The AG.Y.LA. will provide private police for all areas that need monitoring. The AG.V.LA will abide by all rules and regulations that will be discussed and agreed upon. The A.G.Y.LA. will provide all barricades and signs, an arrow board, as we have done in the past. The A.G. V.LA will provide all "No Parking" delineators and the proper "No Parking" signs. The A.G. V.LA. will install all delineators with "tow away, no parking" signs, as we have done in the past. They will be installed on Thursday, May 25 on all streets as outlined by the Police Dept. on Branch St., Bridge St., Nelson St. between Traffic Way and Mason St.; Mason St. from LePoint St. to Poole St.; Poole St. from Mason St. to Traffic Way; Nevada St.; a portion of LePoint St. as outlined by the Police Dept.; Crown Terrace between LePoint St. and Crown Hill; a portion of Highway 227 as outlined by the Police Department; the corner of Allen St. and Mason St., two parking spaces in from the corner in all directions. Short St. from the Swinging Bridge to Nelson St. Also, the off ramp exit to North HWY. 101 from Branch Street should have four delineators. We will also install delineators in all parking areas we have authority to use. The A.G.V.l.A. will maintain a private patrol to replace delineators that are stolen, misplaced, or vandalized. The AG. V.LA. will provide Swinging Bridge security as needed. The AG.Y.LA. will provide and place all barricades. Thank you for your consideration. I would appreciate a response as soon as possible. Sincerely, Bob Lund, Executive Director Arroyo Grande Village ImprovementAssociation 11.8. MEMORANDUM TO: CITY COUNCIL FROM: DON SPAGNOLO, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER~ SUBJECT: CONSIDERATION OF PRESENTATION ON THE ARROYO GRANDE CREEK HABITAT CONSERVATION PLAN DATE: MARCH 28, 2006 RECOMMENDATION: It is recommended that the Council review and provide input regarding the Arroyo Grande Creek Habitat Conservation Plan (HCP). FUNDING: The Habitat Conservation Plan is being funded by the water contractors that receive water from Lopez Lake. The cost to each contractor is in proportion to their water entitlement. The City receives 50.55% of the water produced at the lake. The total cost to prepare the HCP is approximately $832,000 of which the City's share is $421,000. DISCUSSION: At the request of the Council, an update of the Habitat Conservation Plan is being presented by the County Public Works Department. The County, acting on behalf of the Zone 3 Flood Control and Water Conservation District ("District"), initiated efforts to revise the existing water rights permit to reflect historical operations including reservoir storage and direct diversion of the water stored in the reservoir. As part of the process, the County is preparing an HCP. The purpose of the HCP is to comply with the Federal Endangered Species Act. The HCP documents the technical and scientific bases for the proposed conservation actions for protecting the southern steelhead trout and the California red-legged frog, based on the best scientific data available for Arroyo Grande Creek. Operations, maintenance, habitat improvements, and protective measures identified as part of this HCP will be the sole responsibility of the District. The HCP as presented does not impact municipal use or the City's current water entitlement. CITY COUNCIL CONSIDERATION OF PRESENTATION ON THE ARROYO GRANDE CREEK HABITAT CONSERVATION PLAN MARCH 28, 2006 PAGE 2 Objectives of the HCP are to (1) reduce mortality and enhance habitat for steel head and red-legged frogs within Arroyo Grande Creek; and (2) promote recovery of steel head trout and red-legged frogs. The HCP boundaries include Arroyo Grande Creek downstream from Lopez Dam to the flood control channel (Fair Oaks Boulevard), a distance of approximately 10 miles. The HCP boundaries extend laterally from the Arroyo Grande Creek channel to encompass riparian land along the creek supporting ecological processes associated with habitat of steel head and red-legged frogs. ' The proposed duration of this HCP, and the associated incidental take permit, is 20 years, from 2005 through 2025. The actual initiation date for the HCP will be based on final approval by the County and issuance of the associated incidental take permit. The key measures of the plan include the biological goals and objectives, adaptive management to reflect the latest scientific information, monitoring requirements, permitting, and public input. ALTERNATIVES: The following alternatives are provided for the Council's consideration: . Approve staff's recommendation; . Do not approve staff's recommendation; . Provide input to County staff regarding the HCP. Attachment: 1. HCP - Brief Chronology 2. Arroyo Grande Creek Habitat Conservation Plan (HCP) and Environmental Assessment/Initial Study (ENIS) for the Protection of Steelhead and California Red-Legged Frogs - Final Draft, February 2004 (on file in the Public Works and Administrative Services Departments Attachment 1 Arroyo Grande Creek Habitat Conservation Plan Brief Chronology 1990 - State Water Resources Control Board (SWRCB) determines that the District's water rights permit does not reflect its historic operations (ie the permit is for diversion to storage but not for direct diversion) 1991 - District submits a water rights permit amendment to SWRCB 1994 - California Sportfishing Protection Alliance complaint submitted to SWRCD and Calif. Dept of Fish & Game 1994 - District meeting with resource agencies, District to be the lead agency for conducting the HCP 1998 (Jan) - CDF&G finds two dead steelhead trout in Arroyo Grande Creek 1998 (Mar) - District meeting with resource agencies and agreement to conduct 5 mgd releases until completion of the HCP 1999 (Mar) - District contracts with Stetson Engineers for conducting the HCP 1999 (Nov) - Consultants conduct instream flow studies of reduced releases 2000 - District notifies CDF&G and NMFS of plan to reduce releases from 5 mgd to 4 mgd 1999 (Mar) to Jan 2004 - development of the Final Draft HCP 2004 (Mar) - Final Draft HCP submitted to the resource agencies for review and comment 2005 (Apr) - District staff and Zone 3 representatives meeting with resource agencies to discuss the Final Draft HCP 2005 (Apr) to 2006 (Mar) - resource agency review and comment of Final Draft HCP, District development and submittal of 2nd Final Draft HCP, and resource agency review and comment of 2nd Final Draft HCP