HomeMy WebLinkAboutReso 2019-046RESOLUTION NO. 2019-046
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING AN AGREEMENT WITH HDL
COMPANIES TO PROVIDE COMMERCIAL CANNABIS
APPLICATION REVIEW SERVICES; WAIVING CITY’S
CONSULTANT SELECTION PROCESS IN CONNECTION
WITH SAME; APPROPRIATING $539,500 OUT OF THE
GENERAL FUND, NON-DEPARTMENTAL, TO FUND THE
AGREEMENT; AND AUTHORIZING THE CITY MANAGER
TO FINALIZE AND EXECUTE THE FORMAL CONTRACT
WITH HDL COMPANIES ON BEHALF OF THE CITY
WHEREAS, the Medicinal and Adult-Use Cannabis Regulation and Safety Act
(MAUCRSA), enacted by the California Legislature in June 2017, establishes a comprehensive
set of laws regulating both individual and commercial medicinal and non-medicinal cannabis
activity throughout the State of California; and
WHEREAS, the City of Chula Vista now desires to permit, license, and fully regulate
commercial cannabis activities within the City; and
WHEREAS, to this end, the City is seeking assistance from HdL Companies to provide
cannabis application review services; and
WHEREAS, HdL Companies’ extensive and unique experience with cannabis
administration and more specifically cannabis application review and scoring makes them
uniquely qualified to provide these services for the City; and
WHEREAS, finance staff has reviewed the rates and schedules proposed for the services
and believe that they are reasonable in comparison to other agencies and the level of effort and
expertise involved in order to deliver the required services; and
WHEREAS, for these reasons staff’s recommendation is that the City Council waive the
standard bidding requirements for this contract as being impractical and find that hiring HdL
Companies on the terms proposed is in the best overall interest of the City pursuant to CVMC
Section 2.56.070.B; and
WHEREAS, HdL Companies’ proposal sets forth fixed fees per task, not to exceed
$539,500; and
WHEREAS, upon City Council approval, the City Manager will work with the City
Attorney’s office to finalize a formal contract with HdL Companies on the City’s standard two-
party consulting agreement; and
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Resolution No. 2019-046
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WHEREAS, the services rendered by HdL Companies are to be paid from the application
fees collected from the cannabis business application process.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista
as follows:
(1) Based upon the facts set forth above, and further presented by staff, the City Council
waives the City’s competitive bidding procedures as impractical and finds that
awarding a contract to HdL Companies on the terms presented is in the best overall
interest of the City; and
(2) City Council approves an agreement with HdL Companies on the terms presented and
authorizes and directs the City Manager to negotiate and finalize a formal contract
with HdL consistent with such terms in a final form approved by the City Attorney;
and
(3) To fund the contract City Council amends the Fiscal Year 2018/19 budget and
appropriates funds to the General Fund, Non-departmental, in the amount of
$539,500.
[SIGNATURES ON THE FOLLOWING PAGE]
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Presented by Approved as to form by
David Bilby, MSBA, CPFO Glen R. Googins
Director of Finance/Treasurer City Attorney
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 26th day of March 2019 by the following vote:
AYES: Councilmembers: Diaz, Galvez, McCann, Padilla, and Casillas Salas
NAYS: Councilmembers: None
ABSENT: Councilmembers: None
Mary Casillas Salas, Mayor
ATTEST:
Kerry K. Bigelow, MMC, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Kerry K. Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2019-046 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 26th day of March 2019.
Executed this 26th day of March 2019.
Kerry K. Bigelow, MMC, City Clerk
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