HomeMy WebLinkAbout2022/08/23 Post Meeting Agenda Packet
SPECIAL MEETING OF THE HOUSING AUTHORITY
MEETING JOINTLY WITH THE CITY COUNCIL OF THE CITY OF CHULA VISTA
**POST-MEETING AGENDA**
Date:Tuesday, August 23, 2022, 5:00 p.m.
Location:Council Chambers, 276 Fourth Avenue, Chula Vista, CA
Notice is hereby given that the Mayor of the City of Chula Vista has called and will convene a Special Meeting
of the Housing Authority meeting jointly with the City Council on Tuesday, August 23, 2022, at 5:00 p.m. in the
Council Chambers, located at 276 Fourth Avenue, Building A, Chula Vista, California.
View the Meeting Live in English & Spanish: chulavistaca.gov/councilmeetings
Cox channel 24 in English only
Welcome to your City Council/Housing Authority Meeting
PUBLIC COMMENTS: Public comments may be submitted to the Council/Authority in the following ways:
In-Person. The Community is welcome to make public comments at this City Council/Housing
Authority meeting. Masks or face coverings are required, regardless of vaccination status.
Comments via eComment (instructions below) are encouraged.
•
Submit an eComment: Visit www.chulavistaca.gov/councilmeetings, locate the meeting and click the
comment bubble icon. Select the item and click "Leave Comment." eComments can be submitted
until the conclusion of public comments for the item and are viewable online upon submittal. If you
have difficulty submitting eComments, email comments to: cityclerk@chulavistaca.gov
•
HOW TO WATCH: Live stream is available at www.chulavistaca.gov/councilmeetings. To switch the video to
Spanish, please click on "ES" in the bottom right-hand corner. Meetings are available anytime on the City's
website (English and Spanish).
ACCESSIBILITY: Individuals with disabilities or special needs are invited to request modifications or
accommodations to access and/or participate in a City meeting by contacting the City Clerk’s Office at
cityclerk@chulavistaca.gov or (619) 691-5041 (California Relay Service is available for the hearing impaired
by dialing 711) at least forty-eight hours in advance of the meeting.
SPEAKER TIME LIMITS: The time allotted for speakers may be adjusted by the Mayor.
- Five minutes* for specific items listed on the agenda
- Three minutes* for items NOT on the agenda (called to speak during Public Comments)
- A group of individuals may select a spokesperson to speak on their behalf on an agenda item, waiving
their option to speak individually on the same item. Generally, five minutes are allotted per person, up to
a limit of 30 minutes, although the limits may be adjusted. Members of the group must be present.
*Individuals who use a translator will be allotted twice the amount of time.
GETTING TO KNOW YOUR AGENDA
Agenda Sections:
CONSENT CALENDAR items are routine items that are not expected to prompt discussion. All items are
considered for approval at the same time with one vote. Councilmembers and staff may request items be
removed and members of the public may submit a speaker slip if they wish to comment on an item. Items
removed from the Consent Calendar are discussed after the vote on the remaining Consent Calendar items.
PUBLIC COMMENT provides the public with an opportunity to address the Council on any matter not listed on
the agenda that is within the jurisdiction of the Council. In compliance with the Brown Act, the Council cannot
take action on matters not listed on the agenda.
PUBLIC HEARINGS are held on matters specifically required by law. The Mayor opens the public hearing
and asks for presentations from staff and from the proponent or applicant involved (if applicable) in the matter
under discussion. Following questions from the Councilmembers, the Mayor opens the public hearing and
asks for public comments. The hearing is closed, and the City Council may discuss and take action.
ACTION ITEMS are items that are expected to cause discussion and/or action by the Council but do not
legally require a Public Hearing. Staff may make a presentation and Councilmembers may ask questions of
staff and the involved parties before the Mayor invites the public to provide input.
CLOSED SESSION may only be attended by members of the Council, support staff, and/or legal counsel. The
most common purpose of a Closed Session is to avoid revealing confidential information that may prejudice
the legal or negotiating position of the City or compromise the privacy interests of employees. Closed
sessions may be held only as specifically authorized by law.
Council Actions:
RESOLUTIONS are formal expressions of opinion or intention of the Council and are usually effective
immediately.
ORDINANCES are laws adopted by the Council. Ordinances usually amend, repeal or supplement the
Municipal Code; provide zoning specifications; or appropriate money for specific purposes. Most ordinances
require two hearings: an introductory hearing, generally followed by a second hearing at the next regular
meeting. Most ordinances go into effect 30 days after the final approval.
PROCLAMATIONS are issued by the City to honor significant achievements by community members,
highlight an event, promote awareness of community issues, and recognize City employees.
2022/08/23 City Council Post Agenda Page 2 of 573
Pages
1.CALL TO ORDER
2.ROLL CALL
3.PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE
4.SPECIAL ORDERS OF THE DAY
4.1.Oath of Office
Salvatore Denaro - Christopher Columbus Statue and Discovery Park Task
Force
4.2.Presentation by Claire Lion and Clovis Honore of GRID Alternatives Regarding a
Solar Energy Program for Low-Income Residents
10
4.3.Presentation from Marketing and Communications Manager Anne Steinberger
and Third Avenue Village Association District Director Dominic LiMandri
Regarding the Chula Vista Block Party and other Third Avenue Events
5.CONSENT CALENDAR (Items 5.1 through 5.12)
All items listed under the Consent Calendar are considered and acted upon by one
motion. Anyone may request an item be removed for separate consideration.
RECOMMENDED ACTION:
Council approve the recommended action on the below consent calendar items.
5.1.Waive Reading of Text of Resolutions and Ordinances
RECOMMENDED ACTION:
Approve a motion to read only the title and waive the reading of the text of all
resolutions and ordinances at this meeting.
5.2.Consideration of Request for Excused Absences 12
RECOMMENDED ACTION:
Consider requests for excused absences as appropriate.
5.3.Appropriation: Appropriate Funds to the “Sidewalk Replacement Fiscal Year
2020/21 (STL0448)” Project from the TransNet Fund for Contract Change Orders
with Just Construction, Inc.
13
Report Number: 22-0239
Location: No specific geographic location
Department: Engineering
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant
to the California Environmental Quality Act State Guidelines Section 15301 Class
1 (Existing Facilities) and Section 15302 Class 2 (Replacement or
Reconstruction).
RECOMMENDED ACTION:
Adopt a resolution approving the appropriation of $96,000 from the available
balance of the TransNet Fund to the Sidewalk Replacement Fiscal Year 2020/21
(STL0448) Project for contract change orders with Just Construction, Inc. (4/5
Vote Required)
2022/08/23 City Council Post Agenda Page 3 of 573
5.4.Agreements: Approve Agreements with Kitchell CEM, Inc., OCMI, Inc., Project
Professionals Corporation, and Schneider CM Inc. to Provide On-Call Building
Construction Management Consulting Services
16
Report Number: 22-0221
Location: No specific geographic location
Department: Engineering and Capital Projects
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant
to the California Environmental Quality Act State Guidelines Section 15301 Class
1 (Existing Facilities), Section 15309 Class 9 (Inspections), and Section
15061(b)(3).
RECOMMENDED ACTION:
Adopt a resolution approving agreements with Kitchell CEM, Inc., OCMI, Inc.,
Project Professionals Corporation, and Schneider CM Inc. to provide construction
management consultant services for various building-related Capital Improvement
Program (CIP) Projects and other City projects.
5.5.Agreements: Approve Agreements with Ardurra Group Inc., DUDEK, Kleinfelder
Construction Services, Inc., and Project Professionals Corporation to Provide On-
Call Capital Improvement Program (CIP) Construction Management Consulting
Services
114
Report Number: 22-0229
Location: No specific geographic location
Department: Engineering and Capital Projects
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant
to the California Environmental Quality Act State Guidelines Section 15301 Class
1 (Existing Facilities), Section 15309 Class 9 (Inspections), and Section
15061(b)(3).
RECOMMENDED ACTION:
Adopt a resolution approving agreements with Ardurra Group Inc., DUDEK,
Kleinfelder Construction Services Inc., and Project Professionals Corporation to
provide construction management services for various City infrastructure Capital
Improvement Program (CIP) Projects.
5.6.Agreement: Approve a Cooperative Purchasing Agreement with Sweep America
Intermediate Holdings, LLC, dba Sweeping Corporation of America (SCA) for
Street Sweeping Services
217
Report Number:22-0227
Location: Citywide
Department: Public Works
Environmental Notice: The Project qualifies for a Class 1 Categorical Exemption
pursuant to Section 15301 (Existing Facilities) of the California Environmental
Quality Act State Guidelines.
2022/08/23 City Council Post Agenda Page 4 of 573
RECOMMENDED ACTION:
Adopt a resolution approving a cooperative purchasing agreement with Sweeping
Corporation of America (SCA) for street sweeping services, with an initial term
expiring on June 30, 2023 and two options to renew for additional one-year terms,
and a maximum contract amount not-to-exceed $2,000,000 if all options to extend
are exercised.
5.7.Agreement: Approve a Community Purpose Facilities Agreement for Millenia
Sectional Planning Area
274
Report Number: 22-0209
Location: Millenia Sectional Planning Area, located at the southwest corner of
Birch Road and Eastlake Parkway, east of State Route 125
Department: Development Services
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act (“CEQA”) State Guidelines;
therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental
review is required.
RECOMMENDED ACTION:
Adopt a resolution approving the Community Purpose Facilities (CPF) Agreement
for the Millenia Sectional Planning Area.
5.8.Investment Report: Quarter Ending June 30, 2022 293
Report Number: 22-0235
Location: No specific geographic location
Department: Finance
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Accept the investment report for the quarter ending on June 30, 2022.
5.9.Agreement: Approve an Agreement with Golden Bell Products, Inc. to Provide
Vermin Eradication Services
314
Report Number: 22-0236
Location: No specific geographic location
Department: Public Works
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant
to the California Environmental Quality Act State Guidelines Section 15301 Class
1 (Existing Facilities) and Section 15061(b)(3).
2022/08/23 City Council Post Agenda Page 5 of 573
RECOMMENDED ACTION:
Adopt a resolution approving an agreement with Golden Bell Products, Inc. to
provide sewer collection systems vermin eradication services for a five-year term
starting September 1, 2022 with a not-to-exceed contract amount of $260,000
over the five-year term.
5.10.Affordable Housing: Balanced Communities Affordable Housing Agreements to
Transfer a 38-Unit Obligation from Otay Ranch Village 3 to Otay Ranch Village 8
East
337
Report Number: 22-0096
Location: Otay Ranch Village 3 and Otay Ranch Village 8 East
Department: Development Services
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act (“CEQA”) State Guidelines;
therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental
review is required.
RECOMMENDED ACTION:
Adopt resolutions: A) Approving a first amendment to the existing Balanced
Communities Affordable Housing Agreement for Otay Ranch Village 3 to transfer
a 38-unit affordable housing unit obligation to Otay Ranch Village 8 East and B)
Approving an affordable housing transfer agreement between the City and
HomeFed Otay Land II, LLC , to move the 38-unit obligation from Otay Ranch
Village 3 to Otay Ranch Village 8 East.
5.11.Purchase Award and Appropriation: Waive the Competitive Bid Process, Approve
the Purchase of Ford Maverick XL Vehicles from Penske Ford La Mesa, and
Appropriate Funds for that Purpose
364
Report Number: 22-0240
Location: No specific geographic location
Department: Public Works
Environmental Notice: The activity is not a "Project" as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Adopt a resolution waiving the competitive bid process, authorizing the purchase
of 12 Ford Maverick vehicles from Penske Ford La Mesa, and appropriating funds
in the amount of $375,000 for that purpose. (4/5 Vote Required)
2022/08/23 City Council Post Agenda Page 6 of 573
5.12.Agreement: Waive Competitive Bid Requirements and Approve an Agreement
with Hyder & Company for Property Management Services
369
Report Number: 22-0199
Location: No specific geographic location
Department: Development Services
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act (“CEQA”) State Guidelines;
therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental
review is required.
This item was continued from the August 9, 2022 meeting.
RECOMMENDED ACTION:
Adopt a resolution: (1) waiving competitive bidding requirements; (2) approving
an agreement with Hyder & Company for property management services; and (3)
authorizing the City Manager or designee to enter into the initial agreement for
$12,600, and optional extensions, for a maximum contract period of five years
and a not-to-exceed amount of $66,897.
6.PUBLIC COMMENTS 397
The public may address the Council on any matter within the jurisdiction of the Council
but not on the agenda.
7.PUBLIC HEARINGS
The following item(s) have been advertised as public hearing(s) as required by law.
7.1.Community Facilities District Formation: Consider Authorizing the California
Municipal Financing Authority to Form Community Facility District No. 2022-12
Through the Bond Opportunities for Land Development Program and Related
Actions
402
Report Number: 22-0213
Location: Otay Ranch Village 3, Phase II - located at the terminus of Main Street,
east of Heritage Road
Department: Development Services
Environmental Notice: The activity is not a "Project" as defined under Section
15378 of the California Environmental Quality Act (CEQA) State Guidelines;
therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental
review is required.
2022/08/23 City Council Post Agenda Page 7 of 573
RECOMMENDED ACTION:
A) Conduct a public hearing pursuant to California Government Code section
6586.5; then B) Adopt a resolution authorizing the California Municipal Financing
Authority (CMFA) to initiate proceedings to form CFD No. 2022-12 (City of Chula
Vista - Otay Ranch Village 3, Phase II) through the Bond Opportunities for Land
Development Program (“BOLD Program”) pursuant to the Mello-Roos Community
Facilities Act of 1982, as amended, approving a Joint Community Facilities
Agreement (JCFA), and authorizing related actions; and C) Adopt a resolution
approving an Acquisition Financing Agreement with CMFA relating to the above-
referenced CFD.
8.BOARD AND COMMISSION REPORTS
The following item(s) have been brought forward by a City board, commission, or
committee.
8.1.Bayfront: Update by San Diego Port Commissioner Ann Moore on the Chula Vista
Bayfront, Presentation by Proponent of a Mixed-Use Project and Potential
Entertainment/Sports Complex, and Request for Preliminary City Council Input
486
Location: Chula Vista Bayfront
RECOMMENDED ACTION:
Hear the presentation and provide input as appropriate.
9.ACTION ITEMS
The following item(s) will be considered individually and are expected to elicit discussion
and deliberation.
9.1.Presentation of 2020 Community and Municipal Greenhouse Gas Emissions
Inventories
496
Report Number: 22-0188
Location: No specific geographic location
Department: Economic Development
Environmental Notice: The activity is not a "Project" as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Hear the presentation and accept the report.
9.2.Harborside Park: Report Regarding Increasing Safety Concerns at Harborside
Park that Impact Harborside Elementary School and the Surrounding Community,
and Consider Short- and Long-Term Measures to Secure the Park
537
Location: 670 Oxford Street
Department: Administration
Environmental Notice: The Project qualifies for a Class 3 Categorical Exemption
pursuant to Section 15303 (New Construction or Conversion of Small Structures)
of the California Environmental Quality Act (“CEQA”) State Guidelines.
2022/08/23 City Council Post Agenda Page 8 of 573
RECOMMENDED ACTION:
Adopt a resolution approving a temporary 90-day closure of Harborside Park to
protect public health and safety; waiving the formal and informal bidding
requirements to procure temporary fencing, security services, public outreach
services, and permanent fencing, as appropriate; authorizing the City Manager to
enter into contracts or execute documents necessary to secure the park and
conduct public outreach; and appropriating funds for those purposes. (4/5 Vote
Required)
10.CITY MANAGER’S REPORTS
11.MAYOR’S REPORTS
12.COUNCILMEMBERS’ COMMENTS
13.CITY ATTORNEY'S REPORTS
14.CLOSED SESSION
Announcements of actions taken in Closed Sessions shall be made available by noon on
the next business day following the Council meeting at the City Attorney's office in
accordance with the Ralph M. Brown Act (Government Code 54957.7)
14.1.Conference with Legal Counsel Regarding Initiation of Litigation Pursuant to
Government Code Section 54956.9(c):
One Case
14.2.Conference with Legal Counsel Regarding Existing Litigation Pursuant to
Government Code Section 54956.9 (d)(1)
A) Name of Case: Zoraida Baiza, et al. v. City of Chula Vista, et al, San Diego
Superior Court, Case No. 37-2021-00005268-CU-PO-CTL.
B) Name of Case: Chula Vista v. Orr Builders et al., San Diego Superior Court,
Case No. 37-2019-00047190-CU-CD-CTL.
C) Name of Case: Benito Leo Millete, et al. v. Chula Vista Police Department, et
al., San Diego Superior Court, Case No. 37-2022-00017223-CU-CR-CTL.
15.ADJOURNMENT
to the regular City Council meeting on September 13, 2022, in the Council Chambers.
2022/08/23 City Council Post Agenda Page 9 of 573
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2022/08/23 City Council Post Agenda Page 10 of 573
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2022/08/23 City Council Post Agenda Page 11 of 573
August 22, 2022
DATE: August 22, 2022
TO: Mayor and Councilmembers
CC: City Manager, City Clerk, City Attorney
FROM: Stephen C. Padilla, Councilmember
SUBJECT: Request for Excused Absence
Dear Mayor and Councilmembers,
Please excuse my absence from the Chula Vista City Council meeting on August 23,
2022 for personal leave time.
Sincerely,
Steve Padilla
Councilmember
District 3
MEMORANDUM
Item 5.2 - Received 8/23/2022
2022/08/23 City Council Post Agenda Page 12 of 573
v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Appropriation: Appropriate Funds to the “Sidewalk Replacement Fiscal Year 2020/21 (STL0448)” Project
from the TransNet Fund for Contract Change Orders with Just Construction, Inc.
Report Number: 22-0239
Location: No specific geographic location
Department: Engineering
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant to the California
Environmental Quality Act State Guidelines Section 15301 Class 1 (Existing Facilities) and Section 15302
Class 2 (Replacement or Reconstruction).
Recommended Action
Adopt a resolution approving the appropriation of $96,000 from the available balance of the TransNet Fund
to the Sidewalk Replacement Fiscal Year 2020/21 (STL0448) Project for contract change orders with Just
Construction, Inc. (4/5 Vote Required)
SUMMARY
On April 6, 2022, the Director of Finance awarded a construction contract to Just Construction for the
Sidewalk Replacement Program FY2020/21 (CIP# STL0448) project. Due to differing overall quantities and
additional items of work encountered in the field as compared to the construction contract, actual costs to
the project will exceed the approved contingencies. Adoption of this resolution would appropriate an
additional $96,000 above the originally approved amount for construction change orders to cover contractor
and staff costs.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed project for compliance with the California
Environmental Quality Act (CEQA) and has determined that the project qualifies for a Categorical Exemption
pursuant to State CEQA Guidelines Section 15301 Class 1 (Existing Facilities) and Section 15302 Class 2
(Replacement or Reconstruction) because the proposed actions would not result in a significant effect on the
environment, create a cumulative impact, damage a scenic highway, or cause a substantial adverse change in
the significance of a historical resource. Thus, no further environmental review is required.
2022/08/23 City Council Post Agenda Page 13 of 573
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BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable
DISCUSSION
The Public Works Department replaces damaged sidewalk at various locations throughout the City through
the “Sidewalk Replacement Program” on a yearly basis. CIP# STL0448 addresses the FY 2020/21 list of
locations for the program.
On Wednesday, March 23, 2022, the Director of Engineering & Capital Projects received seven (7) sealed bids
for the “Sidewalk Replacement Program FY2020/21 (CIP# STL0448)” project.
On April 6, 2022, the Director of Finance awarded a construction contract to Just Construction for CIP#
STL0448. Due to differing overall quantities and additional items of work encountered in the field as
compared to the construction contract, actual costs to the project will exceed the approved contingencies.
Approval of the proposed resolution would appropriate an additional $96,000 above the originally approved
amount for construction change orders to cover contractor and associated staff costs. If the resolution is
adopted, in accordance with Chula Vista Municipal Code section 2.56.160(C)(2), the City Engineer can then
approve construction change orders to covers such costs.
DECISION-MAKER CONFLICT
Staff has determined that this decision solely concerns repairs, replacement, or maintenance of existing
streets, water, sewer, storm drainage or similar facilities and therefore pursuant to California Code of
Regulations Title 2, sections 18700 and 18702.2(d)(1)) does not present a real property-related conflict of
interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
CURRENT-YEAR FISCAL IMPACT
Approval of the resolution will appropriate $96,000 in TransNet to cover the additional project and staff
costs associated with CIP STL0448. Sufficient funding is available for said appropriation; therefore, there is
no additional impact to the TransNet Fund.
ONGOING FISCAL IMPACT
Upon completion of the project, the improvements will require routine maintenance.
ATTACHMENTS
None
Staff Contact: Jose Luis Gomez, Principal Civil Engineer
2022/08/23 City Council Post Agenda Page 14 of 573
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROPRIATING $96,000 FROM THE
AVAILABLE BALANCE OF THE TRANSNET FUND TO THE
SIDEWALK REPLACEMENT FY 2020/21 (STL0448) PROJECT
FOR CONTRACT CHANGE ORDERS WITH JUST
CONSTRUCTION, INC.
WHEREAS, the Public Works Department replaces damaged sidewalk at various locations
throughout the City through the “Sidewalk Replacement Program” on a yearly basis and CIP#
STL0448 addresses the FY 2020/21 list of locations for the program; and
WHEREAS, on Wednesday, March 23, 2022, the Director of Engineering & Capital
Projects received seven (7) sealed bids for the “Sidewalk Replacement Program FY2020/21 (CIP#
STL0448)” project; and
WHEREAS, on April 6, 2022, the Director of Finance awarded a construction contract to
Just Construction for CIP# STL0448; and
WHEREAS, due to differing quantities and additional items of work encountered in the
field as compared to the construction contract, actual costs to the project will exceed the approved
contingencies; and
WHEREAS, staff recommends appropriating an additional $96,000 above the originally
approved amount for construction change orders with Just Construction, Inc., and associated staff
costs.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista
that it appropriates $96,000 from the available balance of the TransNet Fund to CIP STL0448.
Presented by Approved as to form by
William S. Valle Glen R. Googins
Director of Engineering & Capital Projects City Attorney
2022/08/23 City Council Post Agenda Page 15 of 573
v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Agreements: Approve Agreements with Kitchell CEM, Inc., OCMI, Inc., Project Professionals Corporation,
and Schneider CM Inc. to Provide On-Call Building Construction Management Consulting Services
Report Number: 22-0221
Location: No specific geographic location
Department: Engineering and Capital Projects
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant to the California
Environmental Quality Act State Guidelines Section 15301 Class 1 (Existing Facilities), Section 15309 Class
9 (Inspections), and Section 15061(b)(3).
Recommended Action
Adopt a resolution approving agreements with Kitchell CEM, Inc., OCMI, Inc., Project Professionals
Corporation, and Schneider CM Inc. to provide construction management consultant services for various
building-related Capital Improvement Program (CIP) Projects and other City projects.
SUMMARY
The Engineering and Capital Projects and Public Works Departments have identified the need to enlist
qualified consultants to provide on-call construction management consulting services on new building
facility and building renovation projects. These on-call consultant services would augment City staff to
provide timely, as-needed, construction management services for building Projects.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed project for compliance with the California
Environmental Quality Act (CEQA) and has determined that the project qualifies for a Categorical Exemption
pursuant to State CEQA Guidelines Section 15301 Class 1 (Existing Facilities), Section 15309 Class 9
(Inspections), and Section 15061(b)(3); because it can be seen with certainty that there is no possibility that
the activity in question may have a significant effect on the environment. Thus, no further environmental
review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
2022/08/23 City Council Post Agenda Page 16 of 573
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Not Applicable.
DISCUSSION
Background
The Engineering and Capital Projects and Public Works Departments manage the construction and
renovation of City building facilities for the City of Chula Vista (City). On November 21, 2017, City Council
approved construction management on-call consultant agreements that will expire on November 21, 2022.
City staff has found that the services provided by these on-call consultants has proved beneficial in delivering
various projects and is recommending entering into similar agreements by this action..
It is critical that the construction management of these types of projects be performed in a timely manner so
that project delivery is not delayed. City staff anticipates the need to secure the assistance of experienced
construction management consultant teams on an as-needed basis for the following reasons:
1. Staff anticipates that the increased pace of CIP projects will continue for the next few years. Some of
the building CIP projects include fire station construction, facility renovations, and parks & recreation
facility renovations and construction.
2. Consultants will be able to assist with construction management when workload exceeds existing
staffing levels.
The use of outside consultants to provide technical assistance for the short-term needs is a more efficient
way to handle the additional workload that staff anticipates.
Scope of Work
Typical services that the City may require during the construction phase of building facilities projects will
involve construction management tasks such as:
- Design-build project team selection and procurement support
- Proposal review
- Design-build project team coordination
- Project scheduling, budgeting, and cost estimating
- Review of submittals and response to requests for information
- Inspection, monitoring and documentation of project teamwork plans
- Create and maintain the document-control filing system for the project
- Construction activities oversight and plan compliance
- Verify compliance with labor laws
Key elements of the proposed on-call contracts include/require the following:
A. Project management and oversight of the design phase of design-build projects.
B. General construction management services for projects before, during, and after construction
operations.
C. The number, if any, and scope of such projects will vary from year to year.
D. Consultants must provide personnel that are experienced in all areas of project management,
construction management, inspection, and engineering, and possess knowledge of City codes,
procedures, and regulations.
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E. Consultants must use of software and methodology that are approved by the City.
F. Consultants must provide the City all original field notes, data, reports, records, photos etc. of field
and office tasks upon request.
G. Consultants must use billing forms and procedures acceptable to the City.
H. Consultants must maintain insurance and agree to defend, indemnify, and hold City harmless.
Consultant Selection Process
On March 4, 2022, the City issued a Request for Proposals/Qualifications (RFP/Q) for Professional Services
for Construction Management of New Facilities, Facility Renovations, Fire Stations and Parks.
In accordance with City ordinances and policies, the Director of Engineering and Capital Projects assigned
staff to act as a Selection Committee, comprised of four City staff members, to evaluate the proposals and
prepare a list ranking the responding firms. Seven (7) proposals were received on April 13, 2022, and
reviewed by the City’s Selection Committee.
The Selection Committee evaluated and ranked the proposals. The ranking was based on evaluation criteria
contained in the RFP/Q that included the following: experience, capacity to perform the work, quality of the
management team, and design-build construction management experience and approach. Five (5) teams
were selected to move on to the interview phase of selection.
Upon the conclusion of the consultant interviews and deliberations by the Selection Committee, the
committee selected Kitchell CEM, Inc., OCMI, Inc., Project Professionals Corporation, and Schneider CM Inc.
as the four highest ranking firms. Fee schedules and contract details have been successfully negotiated with
the teams (prime and the sub-consultants). Agreements with the selected firms are attached (Attachments
1-4).
The proposed initial term for each agreement is through June 30, 2024, with up to three one-year options to
extend. If the extensions are exercised, the total term of each agreement would be approximately five years.
All fees for services will be paid on a time and materials basis for the productive hours actually spent and at
the rates/amounts indicated in each agreement. The not-to-exceed amount for each agreement is $2 million
for the initial term and up to $5,000,000 if all options to extend are exercised. All fees for the consultant
services will be paid from funds already allocated for CIP projects.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and
consequently, the 500-foot rule found in California Code of Regulations Title 2, section 18702.2(a)(11), is not
applicable to this decision for purposes of determining a disqualifying real property-related financial conflict
of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
All fees for Consultant's services will be paid from funds already allocated for CIP projects. Each Consultant
team may work on several CIP projects of varying size and complexity. The approximately two-year
contracts will be eligible for up to three (3) one-year extensions. Should the need arise to contract for
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consultant services, the costs associated with delivering a project could increase as staff’s oversight would
be required in addition to the consultant fees.
ONGOING FISCAL IMPACT
None
ATTACHMENTS
1. Consultant Services Agreement with Kitchell CEM, Inc.
2. Consultant Services Agreement with OCMI Inc.
3. Consultant Services Agreement with Project Professionals Corporation
4. Consultant Services Agreement with Schneider CM Inc.
Staff Contact: Diana Bauer, Associate Engineer
Jonathan Salsman, Senior Civil Engineer
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RESOLUTION NO. ______
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING CONSULTANT SERVICES
AGREEMENTS BETWEEN THE CITY AND KITCHELL CEM,
INC., OCMI INC., PROJECT PROFESSIONALS
CORPORATION, AND SCHNEIDER CM TO PROVIDE ON-
CALL BUILDING CONSTRUCTION MANAGEMENT
CONSULTING SERVICES
WHEREAS, the requirements for the selection process and award of contracts for
professional services is provided in Chula Vista Municipal Code (CVMC) section 2.56.110; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist the
Engineering & Capital Projects department and Public Works department with building
construction management due to the current volume and pace of City’s building-related Capital
Improvement Program (CIP) projects; and
WHEREAS, on March 4, 2022, the City issued a Request for Proposals/Qualifications
(RFP/Q) for Professional Services for On-Call Building Construction Management Consulting
Services; and
WHEREAS, the City received seven Statements of Proposals/Qualifications from
consultant teams interested in providing such services; and
WHEREAS, after the City completed its review of the proposals, five teams were
interviewed in May 2022; and
WHEREAS, after the interview process, the selection committee recommended awarding
contracts to Kitchell CEM, Inc., OCMI Inc., Project Professionals Corporation, and Schneider CM;
and
WHEREAS, the consultant selection process was conducted in accordance with CVMC
section 2.56.110(C); and
WHEREAS, the proposed agreements include an initial term through June 30, 2024 and
three options to extend the term for a period of one-year; and
WHEREAS, the proposed agreements include a maximum compensation amount of
$2,000,000 during the initial term, and $1,000,000 during each potential option term, for a
potential total maximum compensation amount of $5,000,000.
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Resolution No. _________
Page 2
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista
that it approves Consultant Services Agreement(s) between the City and Kitchell CEM, Inc.,
OCMI Inc., Project Professionals Corporation, and Schneider CM Inc., respectively, to provide
On-Call Building Construction Management Services for Various Capital Improvement Program
(CIP) Projects and other City projects, in the forms presented, with such minor modifications as
may be required or approved by the City Attorney, copies of which shall be kept on file in the
Office of the City Clerk, and authorizes and directs the City Manager or designee to the
agreements.
Presented by Approved as to form by
William S. Valle Glen R. Googins
Director of Engineering & Capital Projects City Attorney
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1 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH KITCHELL CEM, INC.
TO PROVIDE ON-CALL BUILDING CONSTRUCTION MANAGEMENT.
This Agreement is entered into effective as of August 23, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and KITCHELL CEM, Inc., a California Corporation
(“Consultant”) (collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, the City has a Capital Improvement Program (CIP) for improvements at various locations
throughout the City; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist with the construction
management activities on new City facilities and facility renovations, and
WHEREAS, on March 4, 2022 a Request for Proposal/Qualifications for Professional Services for
Construction Management Services was issued for various Capital Improvement Program (CIP) projects and other
City projects; and,
WHEREAS, the consultant selection committee determined Kitchell CEM,Inc., as one of four (4)
consultants to provide construction management services; and,
WHEREAS, the Consultant selection process was conducted in accordance with section 2.56.110(C) of
the Chula Vista Municipal Code; and,
WHEREAS, consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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2 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.” Consultant shall not be
responsible for delays caused by circumstances beyond its reasonable control.
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additio nal
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the professional standard of care exercised by members of
the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry
standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry
standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
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3 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant und er this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line-item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactorily performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.5 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.6 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
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4 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Wo rkers’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Consultant’s insurance
using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed
Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or
self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from
the insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
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5 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liabilit y,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
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6 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree tha t may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
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7 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
all “Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount du e and
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United
States or in any other country without the express, prior written consent of City. City shall have unrestricted
authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such
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Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of
the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Consultant shall make available to City, upon reasonable written
request by City, the necessary functional computer software and hardware for purposes of accessing,
compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be deemed
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
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9 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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10 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
KITCHELL CEM, INC. CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
Geoffrey Bachanas, MARIA V. KACHADOORIAN
Principal In Charge CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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11 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Salsman
1800 Maxwell Road, Chula Vista CA 91911
619-397-6115
jsalsman@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
KITCHELL CEM, INC.
Terra Arbuckle
4719 Viewridge Avenue, Suite 130
San Diego, CA 92123
(949) 233-9643
tarbuckle@kitchell.com
For Legal Notice Copy to:
KITCHELL CEM, INC.
David Koval
4719 Viewridge Avenue, Suite 130
San Diego, CA 92123
(949) 233-9643
dkoval@kitchell.com
2. Required Services
A. General Description:
Consultant shall provide project management and construction management consultant services at the direction
and to the satisfaction of the City Engineer for City of Chula Vista construction projects on an “as-needed” and
per project/assignment basis (each a “Task Order”) at the sole discretion of the City Task Orders will range from
complete construction project management and administration for a project to minor construction management
tasks depending on the needs of the City. Typical projects for which construction management consulting services
may be required include: construction of new Parks, Sports Fields/Courts, Animal Facilities, Community
Centers/Recreation Centers, Energy Retrofit Projects, and Renovation/Upgrades to existing facilities, and similar
work. Projects for which the Required Services will be necessary will typically utilize a design-build delivery
method.
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Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
B. Detailed Description:
1 Construction Management Services. Consultant will provide construction management services
for the design and construction of new facilities, facility renovations, parks, and other City construction
projects as provided in a Task Order. Each Task Order will include a not-to-exceed fee for all time,
materials, and costs permitted to be incurred for that Task Order. Consultant acknowledges and agrees
that City is not required to request that Consultant provide any Required Services per a Task Order under
this Agreement. Consultant acknowledges and agrees that it is not entitled to any compensation under
this Agreement until such time that it has provided Required Services as explicitly authorized and
approved by the City in accordance with a Task Order and this Agreement.
2 Personnel. Consultant will provide qualified project managers, construction managers, inspectors,
engineers, and/or construction specialists experienced in a wide variety of construction methods, project
management, contract administration, and other related duties. The City shall have the right to make a
determination as to the qualifications or performance of individual personnel and shall have the right to
require substitution of personnel. If such substitution is not immediately effectuated, City may cancel the
Task Order.
3 On-Call Services. Consultant acknowledges and agrees that service requests from the City under
this Agreement will be on an “as-needed” and per Task Order basis at the sole discretion of the City.
4 Task Order Proposal. Prior to issuance of a Task Order, Consultant shall confer with the City’s
Contract Administrator and identify the scope of the Task Order. Consultant shall provide the City with a
cost proposal for work in the Task Order. The cost proposal shall set a not-to-exceed price and break
down pf hours per unit of work and person completing the work.
5 Scope of Work. Consultant may provide the following services on an as-needed as contained in a
Task Order:
5.1 Planning
5.1.1 Support City of Chula Vista during Design Build Project Team
selection/procurement process including:
5.1.1.1 Preparing Requests for Statements of Qualifications to be used for soliciting
qualified Design Build Project Teams.
5.1.1.2 Evaluating Project Team Qualifications and Proposals received and
assisting in selection of respondents to be provided the opportunity to
submit final proposals.
5.1.1.3 Preparing Requests for Proposals, reviewing and assisting in the selection
of the most qualified team.
5.1.2 Reviewing bids/proposals, recommending award of the contract, assisting with
contract negotiations, and assistance in preparing contract documents and exhibits.
5.1.3 Coordinate with City of Chula Vista, the Project Team and various Consultants
before and during design and construction as necessary including kickoff meeting,
status update meetings, deficiency meetings, and document control and
distribution.
5.2 Pre-Construction and Construction Management
5.2.1 Provide Construction Management oversight services during construction
including but not limited to: submittal review, scheduling, budgeting, cost
estimating, review payment requests and change orders, meeting coordination,
maintenance of project documents, and oversight of Contractor.
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13 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
5.2.2 Attend meetings between the City and the project Team during all phases of the
project, including programming, schematic design, design development, cost
estimating, subcontractor and other bidding & formulation of guaranteed maximum
price, construction documents, construction and post construction. Consultant to
review deliverables at all stages and make recommendations to the City regarding
the acceptability, applicability, feasibility and constructability. C onsultant shall
consider the site constraints, building systems, building materials, code
compliance, alternate methods, economics, materials and labor availability and
schedules.
5.2.3 Oversee the Project Team’s design services to ensure compatibility with governing
agency requirements, to coordinate code compliance and ensure compliance with
the project schedule.
5.2.4 Assist in Issuance of Notices of Award, coordinate Project Team Design and
Construction contract execution, and issuance of Notice to Proceed.
5.2.5 Maintenance of construction schedule and status reporting. Prepare progress reports
that include a comprehensive description of the main accomplishments and current
construction activities. Representative photographs shall be included within the
progress report as appropriate to the phase of the project.
5.2.6 Review and evaluate Project Team’s work plans, schedules, budgets and cash flow
projections. Lead the evaluation of value engineering proposals submitted by the
Project Team.
5.2.7 Consultant is to inspect, monitor and document the activities of contractors,
subcontractors and suppliers to ensure compliance with the requirements of
contract documents. Key activities may require full time oversight by qualified
construction management staff.
5.2.8 Consultant may be requested to provide qualified Special Inspectors as needed or
oversee DB supplied special inspectors. Projects for Essential Facilities such as
fire stations are expected to require Special inspection.
5.2.9 Create and maintain the document-control filing system for the Project during the
Construction Phase.
5.2.10 Submittal logging and review.
5.2.11 Schedule and participate in preconstruction and regular meetings with Project Team
and City staff regarding construction issues, progress reporting, interpretation of
plans and specifications, and contractor performance.
5.2.12 Oversee construction activities and provide management and oversight services to
ensure that contractors' work is performed in accordance with construction plans
and specifications, and is consistent with the intent of the design. Interface with the
Design Build Team to facilitate resolution of technical issues, processing of design
changes to suit conditions encountered in the field. Maintain construction site
records. Review all contractor reports and records, including shift reports, daily
material placement reports, daily progress reports, and job safety reports.
5.2.13 Review pay requests submitted by the contractor and issue pay certificates to the
City.
5.2.14 Identify, prepare, log, monitor and negotiate all claims, changes, extra work, and
change orders. Prepare independent cost estimates, change order justification, and
recommend action on all change order requests. Prepare necessary change orders
for all construction contracts.
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14 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
5.2.15 Assignments may involve Design Build projects with a Guaranteed Maximum
Price and the expectation is there will be little or no changes once the Guaranteed
Maximum Price is set.
5.2.16 Consultant shall implement procedures for the systematic and timely completion,
start-up and testing, acceptance and transfer of all facilities constructed, as well as
the closeout of the contract.
5.2.17 Prepare detailed project punch lists toward closeout of the project.
5.2.18 Assist in negotiating and closing out the project. Verify that all project payments
have been made to the contractors and that all required releases have been obtained.
5.2.19 Prepare final change orders as required. Finalize and verify that the project record
drawings are complete and accurate including stamp and original signature of any
Architect and Professional Engineer licensed in California. Organize, bind, and
submit all project documents to the City.
5.2.20 Prepare and submit final Construction Summary Reports for the project. The report
shall be organized and may serve as a future historic document on the Project.
Copies shall be prepared for distribution to the City as requested in a formatting as
specified.
5.2.21 Provide other miscellaneous additional specialty services as requested by the City
and identified in Exhibit D during the work such as, witness and evaluation of
electrical instrumentation, controls, water quality, noise and air quality monitoring
services, geotechnical, structural, civil design and other technical specialties.
5.2.22 Consultant is responsible for document control and is expected to maintain a log of
all correspondence submitted by the contractors and the responses applicable to that
correspondence. Manage the receipt, logging, control, tracking and timely
processing of all technical documents, shop drawings, submittals, manuals, and
samples received as part of the construction. Review shop drawings and submittals,
including the evaluation of construction schedules, and where applicable analyze
and submit reports to the City/design engineer for review.
5.2.23 Review and provide written responses to contractor Requests for Information
(RFI's).
5.2.24 Maintain up-to-date, secured, marked-up prints of construction drawings showing
all field changes and as-built conditions. Maintain an up-to-date, secured,
conformed copy of all construction contracts, including all approved modifications
and changes.
5.2.1 Verify contractor compliance with all labor laws. Verify certified payroll
prevailing wage, apprenticeship compliance. Conduct labor compliance interviews.
6 Standards for Deliverables.
6.1 The Consultant shall make project documentation available to City of Chula Vista at any
time during the project. At the conclusion of the project, the CM Consultant shall provide
the City with all project documentation including, but not limited to:
6.1.1 Correspondence
6.1.2 Submittals
6.1.3 Requests for Information
6.1.4 Pay requests
6.1.5 Design change notifications
6.1.6 As-built drawings and specifications
6.1.7 Quality Assurance/Code test and inspection results
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15 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
6.1.8 Deficiency notices
6.1.9 Change orders
6.1.10 Meeting minutes
6.1.11 Daily field reports
6.2 The Consultant shall compile the construction documents in a final Construction
Summary Report. Copies containing the report shall be submitted to the City no more
than 30 days following construction completion.
7 Plan Review. Consultant may also be requested to review design plans, specifications, estimates,
proposals, studies and general engineering documents prepared by other engineers for constructability.
8 Performance.
8.1 Provide services in accordance with specific projects on an as-needed basis.
8.2 Commencement of work under this Agreement shall occur only upon receipt of a Task
Order signed by the City.
8.3 The cost of each Task Order under this Agreement shall be the negotiated cost for a
specific project during the term of the Agreement using firm fixed price, or not to exceed
price, or hourly rates.
8.4 Deliverables required are project specific and will be determined in the Task Order.
8.5 Consultant will provide for their staff all vehicles, tools, safety equipment, computer
equipment, software, consumables and accessories required for the work.
9 Software and Methodology. Consultant will identify software and methodology used for Task
Order completion and deliverables, which shall require prior approval of the City.
10 Records. Upon request, Consultant will provide the City all original field notes, data, reports,
records, photos etc. of field and office tasks. Further, the Consultant shall maintain copies of all records
related to the project tasks performed for a period of five years.
11 Meetings. All project meetings are to be included in Task Order scope and minutes shall be
provided to the City for approval.
12 Conflict of Interest. Consultant shall not retain any clients who are doing work under permits or
contractual agreements with the City unless otherwise approved in writing by City Engineer.
13 Work not listed in Schedule. If an occasion arises whereby the City requests work to be done which
is not listed in this schedule, the price of providing this work shall be negotiated in good faith between the
City and the Consultant. The negotiated price(s) shall not exceed the Schedule of Charges labeled as
Exhibit D to this agreement between the City and Consultant.
14 No Assurance. Consultant acknowledges and agrees that the City is not required to request any
services from Consultant via a Task Order under this Agreement.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin August 23,
2022 and end on June 30, 2024 for the completion of all Required Services. If City desires for Consultant to
continue to provide Required Services on Task Orders that are in-progress at the expiration date of this
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Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
Agreement, the City may, in its sole discretion, extend the term of this Agreement by administrative
amendment to a date needed to complete the Required Services .
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Consultant as identified in Section 2.B.,
above, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of the
Required Services, at the rates or amounts as indicated below:
See Exhibit D for applicable hourly rates
B. Reimbursement of Costs
For the cost of out of pocket expenses requested and approved by the City and incurred by Consultant in the
performance of Required Services, City shall pay Consultant at the rates or amounts set forth below:
Initial Scope meeting No Cost
In County Travel Time No Cost
Reports, Original, Mylar No Cost
Copies, Reproductions of Final Reports/Mylars Cost Plus 10%
Outside Services Cost Plus 15%
Delivery Cost Plus 10%
Long Distance Telephone Charges No Cost
Other Actual Identifiable City- Approved Direct Costs Cost Plus 10%
Mileage IRS Standard Mileage Rate
Written City-Approved Overtime To be negotiated at time of written request and
approved by City
Consultant acknowledges and agrees that when reprographics and courier services are requested by the City,
expenses will only be reimbursed when performed by a third-party business entity and only when accompanied
by a copy of the original invoice.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 2024 shall not exceed $2,000,000. .
5. Special Provisions:
☒ Permitted Sub-Consultants: For Sub-Consultant list see Exhibit E.
☒ Notwithstanding the completion date set forth in Section 3 above, City has the option to extend this Agreement
for three (3) additional terms, defined as a one-year increment. The City Manager or Director of Finance shall be
authorized to exercise any such extensions on behalf of the City. If the City exercises an option to extend, each
extension shall be on the same terms and conditions contained in this Agreement, provided that the maximum
amount to be paid to Consultant for services performed during the respective option term(s) shall be as follows:
Option Year 1 (July 1, 2024 – June 30, 2025): $1,000,000.00*
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17 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
Option Year 2 (July 1, 2025 – June 30, 2026): $1,000,000.00*
Option Year 3 (July 1, 2026 – June 30, 2027): $1,000,000.00*
* Amounts duly approved but not encumbered during the original Term or prior option term(s) may be carried
over, in City’s sole discretion, to increase the maximum amounts during subsequent option terms.
The City will give written notice to Consultant of the City’s election to exercise the extension via a Notice of
Exercise of Option to Extend. The Consultant may submit a written request to the City to increase the amoun ts
specified in Exhibit D by up to three and a half percent (3.5%) for each extension.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 30, 2027 shall not exceed $5,000,000. .
☒ Other:
Labor Code Compliance: Consultant and each of its subconsultants/subcontractors will comply with the State of
California’s prevailing wage rate requirements in accordance with California Labor Code, and all Federal, State,
and local laws and ordinances applicable to persons employed by them for public works in a covered work
classification. When payment of prevailing wages apply to the Required Services the wage rates and
transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial
Relations, State of California (DIR). The State’s prevailing wage rates determinations are available from the DIR
home page at www.dir.ca.gov/oprl/. The City has ascertained that general prevailing wage rates may be
applicable to all or a portion of the work to be performed for the Required Services. To verify compliance with
State prevailing wage requirements, the DIR maintains an online registry of contractors to which Consultant
and/or its subconsultants/subcontractors will be required to submit certified payrolls. Subject to the exceptions
provided in the California Labor code, no Consultant or any of its subconsultants/subcontractors shall be qualified
to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or
engage in the performance of any contract for public work unless currently registered with the DIR and qualified
to perform public work pursuant to California Labor Code section 1725.5. When payment of prevailing wages
applies to the Required Services, this Agreement becomes subject to compliance monitoring and enforcement by
the DIR. Nothing contained above shall be construed to any way limit Consultant’s obligations to comply with
all laws and regulations.
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18 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
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19 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a Statement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Salsman
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not incl ude
corporation or limited liability company).
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20 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
EXHIBIT D
RATE SCHEDULE
KITCHELL
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21 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
NINYO & MOORE
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22 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
EXHIBIT D
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23 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KITCHELL CEM, Inc. Rev. 9/15/20
EXHIBIT E
LIST OF SUBCONSULTANTS
Subconsultant Role Contact Information
Ninyo & Moore Geotechnical & Environmental Reports Review
Quality Control and Inspection services
Jeffrey Kent
Quality Control/Inspection Manager
5710 Ruffin Rd
San Diego, CA 92123
Ph: 858-576-1000
2022/08/23 City Council Post Agenda Page 44 of 573
1 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH OCMI, INC.
TO PROVIDE ON-CALL BUILDING CONSTRUCTION MANAGEMENT.
This Agreement is entered into effective as of August 23, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and OCMI, Inc., a California Corporation (“Consultant”)
(collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, the City has a Capital Improvement Program (CIP) for improvements at various locations
throughout the City; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist with the construction
management activities on new City facilities and facility renovations, and
WHEREAS, on March 4, 2022 a Request for Proposal/Qualifications for Professional Services for
Construction Management Services was issued for various Capital Improvement Program (CIP) projects and other
City projects; and,
WHEREAS, the consultant selection committee determined OCMI, Inc., as one of four (4) consultants to
provide construction management services; and,
WHEREAS, the Consultant selection process was conducted in accordance with section 2.56.110(C) of
the Chula Vista Municipal Code; and,
WHEREAS, consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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2 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.” Consultant shall not be
responsible for delays caused by circumstances beyond its reasonable control.
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additio nal
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the professional standard of care exercised by members of
the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry
standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry
standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
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3 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant und er this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line-item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactorily performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.5 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.6 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
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4 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Wo rkers’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Consultant’s insurance
using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed
Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or
self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from
the insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
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Consultant Name: OCMI, Inc. Rev. 9/15/20
right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liabilit y,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
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proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree tha t may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
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7 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
all “Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount due and
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United
States or in any other country without the express, prior written consent of City. City shall have unrestricted
authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such
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Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of
the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Consultant shall make available to City, upon reasonable written
request by City, the necessary functional computer software and hardware for purposes of accessing,
compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be deemed
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
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or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
OCMI, INC. CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
Neil Murphy, MARIA V. KACHADOORIAN
Executive Vice President CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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Consultant Name: OCMI, Inc. Rev. 9/15/20
EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Salsman
1800 Maxwell Road, Chula Vista CA 91911
619-397-6115
jsalsman@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
OCMI, INC.
Neil Murphy
2150 West Washington Street, Suite 203
San Diego, CA 92110
(619) 291-4600
nmurphy@ocmi.com
For Legal Notice Copy to:
OCMI, INC.
Neil Murphy
2150 West Washington Street, Suite 203
San Diego, CA 92110
(619) 291-4600
nmurphy@ocmi.com
2. Required Services
A. General Description:
Consultant shall provide project management and construction management consultant services at the direction
and to the satisfaction of the City Engineer for City of Chula Vista construction projects on an “as-needed” and
per project/assignment basis (each a “Task Order”) at the sole discretion of the City Task Orders will range from
complete construction project management and administration for a project to minor construction management
tasks depending on the needs of the City. Typical projects for which construction management consulting services
may be required include: construction of new Parks, Sports Fields/Courts, Animal Facilities, Community
Centers/Recreation Centers, Energy Retrofit Projects, and Renovation/Upgrades to existing facilities, and similar
work. Projects for which the Required Services will be necessary will typically utilize a design-build delivery
method.
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B. Detailed Description:
1 Construction Management Services. Consultant will provide construction management services
for the design and construction of new facilities, facility renovations, parks, and other City construction
projects as provided in a Task Order. Each Task Order will include a not-to-exceed fee for all time,
materials, and costs permitted to be incurred for that Task Order. Consultant acknowledges and agrees
that City is not required to request that Consultant provide any Required Services per a Task Order under
this Agreement. Consultant acknowledges and agrees that it is not entitled to any compensation under
this Agreement until such time that it has provided Required Services as explicitly authorized and
approved by the City in accordance with a Task Order and this Agreement.
2 Personnel. Consultant will provide qualified project managers, construction managers, inspectors,
engineers, and/or construction specialists experienced in a wide variety of construction methods, project
management, contract administration, and other related duties. The City shall have the right to make a
determination as to the qualifications or performance of individual personnel and shall have the right to
require substitution of personnel. If such substitution is not immediately effectuated, City may cancel the
Task Order.
3 On-Call Services. Consultant acknowledges and agrees that service requests from the City under
this Agreement will be on an “as-needed” and per Task Order basis at the sole discretion of the City.
4 Task Order Proposal. Prior to issuance of a Task Order, Consultant shall confer with the City’s
Contract Administrator and identify the scope of the Task Order. Consultant shall provide the City with a
cost proposal for work in the Task Order. The cost proposal shall set a not-to-exceed price and break
down pf hours per unit of work and person completing the work.
5 Scope of Work. Consultant may provide the following services on an as-needed as contained in a
Task Order:
5.1 Planning
5.1.1 Support City of Chula Vista during Design Build Project Team
selection/procurement process including:
5.1.1.1 Preparing Requests for Statements of Qualifications to be used for soliciting
qualified Design Build Project Teams.
5.1.1.2 Evaluating Project Team Qualifications and Proposals received and
assisting in selection of respondents to be provided the opportunity to
submit final proposals.
5.1.1.3 Preparing Requests for Proposals, reviewing and assisting in the selection
of the most qualified team.
5.1.2 Reviewing bids/proposals, recommending award of the contract, assisting with
contract negotiations, and assistance in preparing contract documents and exhibits.
5.1.3 Coordinate with City of Chula Vista, the Project Team and various Consultants
before and during design and construction as necessary including kickoff meeting,
status update meetings, deficiency meetings, and document control and
distribution.
5.2 Pre-Construction and Construction Management
5.2.1 Provide Construction Management oversight services during construction
including but not limited to: submittal review, scheduling, budgeting, cost
estimating, review payment requests and change orders, meeting coordination,
maintenance of project documents, and oversight of Contractor.
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Consultant Name: OCMI, Inc. Rev. 9/15/20
5.2.2 Attend meetings between the City and the project Team during all phases of the
project, including programming, schematic design, design development, cost
estimating, subcontractor and other bidding & formulation of guaranteed maximum
price, construction documents, construction and post construction. Consultant to
review deliverables at all stages and make recommendations to the City regarding
the acceptability, applicability, feasibility and constructability. C onsultant shall
consider the site constraints, building systems, building materials, code
compliance, alternate methods, economics, materials and labor availability and
schedules.
5.2.3 Oversee the Project Team’s design services to ensure compatibility with governing
agency requirements, to coordinate code compliance and ensure compliance with
the project schedule.
5.2.4 Assist in Issuance of Notices of Award, coordinate Project Team Design and
Construction contract execution, and issuance of Notice to Proceed.
5.2.5 Maintenance of construction schedule and status reporting. Prepare progress reports
that include a comprehensive description of the main accomplishments and current
construction activities. Representative photographs shall be included within the
progress report as appropriate to the phase of the project.
5.2.6 Review and evaluate Project Team’s work plans, schedules, budgets and cash flow
projections. Lead the evaluation of value engineering proposals submitted by the
Project Team.
5.2.7 Consultant is to inspect, monitor and document the activities of contractors,
subcontractors and suppliers to ensure compliance with the requirements of
contract documents. Key activities may require full time oversight by qualified
construction management staff.
5.2.8 Consultant may be requested to provide qualified Special Inspectors as needed or
oversee DB supplied special inspectors. Projects for Essential Facilities such as
fire stations are expected to require Special inspection.
5.2.9 Create and maintain the document-control filing system for the Project during the
Construction Phase.
5.2.10 Submittal logging and review.
5.2.11 Schedule and participate in preconstruction and regular meetings with Project Team
and City staff regarding construction issues, progress reporting, interpretation of
plans and specifications, and contractor performance.
5.2.12 Oversee construction activities and provide management and oversight services to
ensure that contractors' work is performed in accordance with construction plans
and specifications, and is consistent with the intent of the design. Interface with the
Design Build Team to facilitate resolution of technical issues, processing of design
changes to suit conditions encountered in the field. Maintain construction site
records. Review all contractor reports and records, including shift reports, daily
material placement reports, daily progress reports, and job safety reports.
5.2.13 Review pay requests submitted by the contractor and issue pay certificates to the
City.
5.2.14 Identify, prepare, log, monitor and negotiate all claims, changes, extra work, and
change orders. Prepare independent cost estimates, change order justification, and
recommend action on all change order requests. Prepare necessary change orders
for all construction contracts.
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Consultant Name: OCMI, Inc. Rev. 9/15/20
5.2.15 Assignments may involve Design Build projects with a Guaranteed Maximum
Price and the expectation is there will be little or no changes once the Guaranteed
Maximum Price is set.
5.2.16 Consultant shall implement procedures for the systematic and timely completion,
start-up and testing, acceptance and transfer of all facilities constructed, as well as
the closeout of the contract.
5.2.17 Prepare detailed project punch lists toward closeout of the project.
5.2.18 Assist in negotiating and closing out the project. Verify that all project payments
have been made to the contractors and that all required releases have been obtained.
5.2.19 Prepare final change orders as required. Finalize and verify that the project record
drawings are complete and accurate including stamp and original signature of any
Architect and Professional Engineer licensed in California. Organize, bind, and
submit all project documents to the City.
5.2.20 Prepare and submit final Construction Summary Reports for the project. The report
shall be organized and may serve as a future historic document on the Project.
Copies shall be prepared for distribution to the City as requested in a formatting as
specified.
5.2.21 Provide other miscellaneous additional specialty services as requested by the City
and identified in Exhibit D during the work such as, witness and evaluation of
electrical instrumentation, controls, water quality, noise and air quality monitoring
services, geotechnical, structural, civil design and other technical specialties.
5.2.22 Consultant is responsible for document control and is expected to maintain a log of
all correspondence submitted by the contractors and the responses applicable to that
correspondence. Manage the receipt, logging, control, tracking and timely
processing of all technical documents, shop drawings, submittals, manuals, and
samples received as part of the construction. Review shop drawings and submittals,
including the evaluation of construction schedules, and where applicable analyze
and submit reports to the City/design engineer for review.
5.2.23 Review and provide written responses to contractor Requests for Information
(RFI's).
5.2.24 Maintain up-to-date, secured, marked-up prints of construction drawings showing
all field changes and as-built conditions. Maintain an up-to-date, secured,
conformed copy of all construction contracts, including all approved modifications
and changes.
5.2.1 Verify contractor compliance with all labor laws. Verify certified payroll
prevailing wage, apprenticeship compliance. Conduct labor compliance interviews.
6 Standards for Deliverables.
6.1 The Consultant shall make project documentation available to City of Chula Vista at any
time during the project. At the conclusion of the project, the CM Consultant shall provide
the City with all project documentation including, but not limited to:
6.1.1 Correspondence
6.1.2 Submittals
6.1.3 Requests for Information
6.1.4 Pay requests
6.1.5 Design change notifications
6.1.6 As-built drawings and specifications
6.1.7 Quality Assurance/Code test and inspection results
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Consultant Name: OCMI, Inc. Rev. 9/15/20
6.1.8 Deficiency notices
6.1.9 Change orders
6.1.10 Meeting minutes
6.1.11 Daily field reports
6.2 The Consultant shall compile the construction documents in a final Construction
Summary Report. Copies containing the report shall be submitted to the City no more
than 30 days following construction completion.
7 Plan Review. Consultant may also be requested to review design plans, specifications, estimates,
proposals, studies and general engineering documents prepared by other engineers for constructability.
8 Performance.
8.1 Provide services in accordance with specific projects on an as-needed basis.
8.2 Commencement of work under this Agreement shall occur only upon receipt of a Task
Order signed by the City.
8.3 The cost of each Task Order under this Agreement shall be the negotiated cost for a
specific project during the term of the Agreement using firm fixed price, or not to exceed
price, or hourly rates.
8.4 Deliverables required are project specific and will be determined in the Task Order.
8.5 Consultant will provide for their staff all vehicles, tools, safety equipment, computer
equipment, software, consumables and accessories required for the work.
9 Software and Methodology. Consultant will identify software and methodology used for Task
Order completion and deliverables, which shall require prior approval of the City.
10 Records. Upon request, Consultant will provide the City all original field notes, data, reports,
records, photos etc. of field and office tasks. Further, the Consultant shall maintain copies of all records
related to the project tasks performed for a period of five years.
11 Meetings. All project meetings are to be included in Task Order scope and minutes shall be
provided to the City for approval.
12 Conflict of Interest. Consultant shall not retain any clients who are doing work under permits or
contractual agreements with the City unless otherwise approved in writing by City Engineer.
13 Work not listed in Schedule. If an occasion arises whereby the City requests work to be done which
is not listed in this schedule, the price of providing this work shall be negotiated in good faith between the
City and the Consultant. The negotiated price(s) shall not exceed the Schedule of Charges labeled as
Exhibit D to this agreement between the City and Consultant.
14 No Assurance. Consultant acknowledges and agrees that the City is not required to request any
services from Consultant via a Task Order under this Agreement.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin August 23,
2022 and end on June 30, 2024 for the completion of all Required Services. If City desires for Consultant to
continue to provide Required Services on Task Orders that are in-progress at the expiration date of this
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Consultant Name: OCMI, Inc. Rev. 9/15/20
Agreement, the City may, in its sole discretion, extend the term of this Agreement by administrative
amendment to a date needed to complete the Required Services .
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Consultant as identified in Section 2.B.,
above, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of the
Required Services, at the rates or amounts as indicated below:
See Exhibit D for applicable hourly rates
B. Reimbursement of Costs
For the cost of out of pocket expenses requested and approved by the City and incurred by Consultant in the
performance of Required Services, City shall pay Consultant at the rates or amounts set forth below:
Initial Scope meeting No Cost
In County Travel Time No Cost
Reports, Original, Mylar No Cost
Copies, Reproductions of Final Reports/Mylars Cost Plus 10%
Outside Services Cost Plus 15%
Delivery Cost Plus 10%
Long Distance Telephone Charges No Cost
Other Actual Identifiable City- Approved Direct Costs Cost Plus 10%
Mileage IRS Standard Mileage Rate
Written City-Approved Overtime To be negotiated at time of written request and
approved by City
Consultant acknowledges and agrees that when reprographics and courier services are requested by the City,
expenses will only be reimbursed when performed by a third-party business entity and only when accompanied
by a copy of the original invoice.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 2024 shall not exceed $2,000,000. .
5. Special Provisions:
☒ Permitted Sub-Consultants: For Sub-Consultant list see Exhibit E.
☒ Notwithstanding the completion date set forth in Section 3 above, City has the option to extend this Agreement
for three (3) additional terms, defined as a one-year increment. The City Manager or Director of Finance shall be
authorized to exercise any such extensions on behalf of the City. If the City exercises an option to extend, each
extension shall be on the same terms and conditions contained in this Agreement, provided that the maximum
amount to be paid to Consultant for services performed during the respective option term(s) shall be as follows:
Option Year 1 (July 1, 2024 – June 30, 2025): $1,000,000.00*
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17 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
Option Year 2 (July 1, 2025 – June 30, 2026): $1,000,000.00*
Option Year 3 (July 1, 2026 – June 30, 2027): $1,000,000.00*
* Amounts duly approved but not encumbered during the original Term or prior option-to-extend term(s) may be
carried over, in City’s sole discretion, to increase the maximum amounts during further option terms.
The City shall give written notice to Consultant of the City’s election to exercise the extension via a Notice of
Exercise of Option to Extend. At this time the Consultant may submit a written request to the City to increase the
amounts specified in Exhibit D by up to three and a half percent (3.5%) for each extension.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 30, 2027 shall not exceed $5,000,000. .
☒ Other:
Labor Code Compliance: Consultant and each of its subconsultants/subcontractors will comply with the State of
California’s prevailing wage rate requirements in accordance with California Labor Code, and all Federal, State,
and local laws and ordinances applicable to persons employed by them for public works in a covered work
classification. When payment of prevailing wages apply to the Required Services the wage rates and
transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial
Relations, State of California (DIR). The State’s prevailing wage rates determinations are available from the DIR
home page at www.dir.ca.gov/oprl/. The City has ascertained that general prevailing wage rates may be
applicable to all or a portion of the work to be performed for the Required Services. To verify compliance with
State prevailing wage requirements, the DIR maintains an online registry of contractors to which Consultant
and/or its subconsultants/subcontractors will be required to submit certified payrolls. Subject to the exceptions
provided in the California Labor code, no Consultant or any of its subconsultants/subcontractors shall be qualified
to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or
engage in the performance of any contract for public work unless currently registered with the DIR and qualified
to perform public work pursuant to California Labor Code section 1725.5. When payment of prevailing wages
applies to the Required Services, this Agreement becomes subject to compliance monitoring and enforcement by
the DIR. Nothing contained above shall be construed to any way limit Consultant’s obligations to comply with
all laws and regulations.
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18 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
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19 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a Statement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Salsman
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not incl ude
corporation or limited liability company).
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20 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
EXHIBIT D
RATE SCHEDULE
OCMI INC.
GROUP DELTA
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21 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
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Consultant Name: OCMI, Inc. Rev. 9/15/20
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Consultant Name: OCMI, Inc. Rev. 9/15/20
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24 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
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25 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: OCMI, Inc. Rev. 9/15/20
EXHIBIT E
LIST OF SUBCONSULTANTS
Subconsultant Role Contact Information
Group Delta Quality Control and Inspection services Group Delta
9245 Activity Road, Suite 103
San Diego, CA 92126
Ph: 858-536-1000
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1 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH PROJECT PROFESSIONALS CORPORATION
TO PROVIDE ON-CALL BUILDING CONSTRUCTION MANAGEMENT.
This Agreement is entered into effective as of August 23, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and PROJECT PROFESSIONALS CORPORATION, a
California Corporation (“Consultant”) (collectively, the “Parties” and, individually, a “Party”) with reference to
the following facts:
RECITALS
WHEREAS, the City has a Capital Improvement Program (CIP) for improvements at various locations
throughout the City; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist with the construction
management activities on new City facilities and facility renovations, and
WHEREAS, on March 4, 2022 a Request for Proposal/Qualifications for Professional Services for
Construction Management Services was issued for various Capital Improvement Program (CIP) projects and other
City projects; and,
WHEREAS, the consultant selection committee determined Project Professionals Corporation, as one of
four (4) consultants to provide construction management services; and,
WHEREAS, the Consultant selection process was conducted in accordance with section 2.56.110(C) of
the Chula Vista Municipal Code; and,
WHEREAS, consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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2 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.” Consultant shall not be
responsible for delays caused by circumstances beyond its reasonable control.
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additio nal
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the professional standard of care exercised by members of
the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry
standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry
standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
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3 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant und er this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line-item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactorily performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.5 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.6 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
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4 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Wo rkers’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Consultant’s insurance
using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed
Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or
self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from
the insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
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right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liabilit y,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
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proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree tha t may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
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all “Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount due and
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United
States or in any other country without the express, prior written consent of City. City shall have unrestricted
authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such
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Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of
the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Consultant shall make available to City, upon reasonable written
request by City, the necessary functional computer software and hardware for purposes of accessing,
compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be deemed
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
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or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
PROJECT PROFESSIONALS
CORPORATION
CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
Byron S. Wade, MARIA V. KACHADOORIAN
President/CEO CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Salsman
1800 Maxwell Road, Chula Vista CA 91911
619-397-6115
jsalsman@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
PROJECT PROFESSIONALS CORPORATION
Byron S. Wade
4499 Ruffin Road, Suite 250
San Diego, CA 92123
(585) 634-8180
byron@ppc-sd.com
For Legal Notice Copy to:
PROJECT PROFESSIONALS CORPORATION
Byron S. Wade
4499 Ruffin Road, Suite 250
San Diego, CA 92123
(585) 634-8180
byron@ppc-sd.com
2. Required Services
A. General Description:
Consultant shall provide project management and construction management consultant services at the direction
and to the satisfaction of the City Engineer for City of Chula Vista construction projects on an “as-needed” and
per project/assignment basis (each a “Task Order”) at the sole discretion of the City Task Orders will range from
complete construction project management and administration for a project to minor construction management
tasks depending on the needs of the City. Typical projects for which construction management consulting services
may be required include: construction of new Parks, Sports Fields/Courts, Animal Facilities, Community
Centers/Recreation Centers, Energy Retrofit Projects, and Renovation/Upgrades to existing facilities, and similar
work. Projects for which the Required Services will be necessary will typically utilize a design-build delivery
method.
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B. Detailed Description:
1 Construction Management Services. Consultant will provide construction management services
for the design and construction of new facilities, facility renovations, parks, and other City construction
projects as provided in a Task Order. Each Task Order will include a not-to-exceed fee for all time,
materials, and costs permitted to be incurred for that Task Order. Consultant acknowledges and agrees
that City is not required to request that Consultant provide any Required Services per a Task Order under
this Agreement. Consultant acknowledges and agrees that it is not entitled to any compensation under
this Agreement until such time that it has provided Required Services as explicitly authorized and
approved by the City in accordance with a Task Order and this Agreement.
2 Personnel. Consultant will provide qualified project managers, construction managers, inspectors,
engineers, and/or construction specialists experienced in a wide variety of construction methods, project
management, contract administration, and other related duties. The City shall have the right to make a
determination as to the qualifications or performance of individual personnel and shall have the right to
require substitution of personnel. If such substitution is not immediately effectuated, City may cancel the
Task Order.
3 On-Call Services. Consultant acknowledges and agrees that service requests from the City under
this Agreement will be on an “as-needed” and per Task Order basis at the sole discretion of the City.
4 Task Order Proposal. Prior to issuance of a Task Order, Consultant shall confer with the City’s
Contract Administrator and identify the scope of the Task Order. Consultant shall provide the City with a
cost proposal for work in the Task Order. The cost proposal shall set a not-to-exceed price and break
down pf hours per unit of work and person completing the work.
5 Scope of Work. Consultant may provide the following services on an as-needed as contained in a
Task Order:
5.1 Planning
5.1.1 Support City of Chula Vista during Design Build Project Team
selection/procurement process including:
5.1.1.1 Preparing Requests for Statements of Qualifications to be used for soliciting
qualified Design Build Project Teams.
5.1.1.2 Evaluating Project Team Qualifications and Proposals received and
assisting in selection of respondents to be provided the opportunity to
submit final proposals.
5.1.1.3 Preparing Requests for Proposals, reviewing and assisting in the selection
of the most qualified team.
5.1.2 Reviewing bids/proposals, recommending award of the contract, assisting with
contract negotiations, and assistance in preparing contract documents and exhibits.
5.1.3 Coordinate with City of Chula Vista, the Project Team and various Consultants
before and during design and construction as necessary including kickoff meeting,
status update meetings, deficiency meetings, and document control and
distribution.
5.2 Pre-Construction and Construction Management
5.2.1 Provide Construction Management oversight services during construction
including but not limited to: submittal review, scheduling, budgeting, cost
estimating, review payment requests and change orders, meeting coordination,
maintenance of project documents, and oversight of Contractor.
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5.2.2 Attend meetings between the City and the project Team during all phases of the
project, including programming, schematic design, design development, cost
estimating, subcontractor and other bidding & formulation of guaranteed maximum
price, construction documents, construction and post construction. Consultant to
review deliverables at all stages and make recommendations to the City regarding
the acceptability, applicability, feasibility and constructability. C onsultant shall
consider the site constraints, building systems, building materials, code
compliance, alternate methods, economics, materials and labor availability and
schedules.
5.2.3 Oversee the Project Team’s design services to ensure compatibility with governing
agency requirements, to coordinate code compliance and ensure compliance with
the project schedule.
5.2.4 Assist in Issuance of Notices of Award, coordinate Project Team Design and
Construction contract execution, and issuance of Notice to Proceed.
5.2.5 Maintenance of construction schedule and status reporting. Prepare progress reports
that include a comprehensive description of the main accomplishments and current
construction activities. Representative photographs shall be included within the
progress report as appropriate to the phase of the project.
5.2.6 Review and evaluate Project Team’s work plans, schedules, budgets and cash flow
projections. Lead the evaluation of value engineering proposals submitted by the
Project Team.
5.2.7 Consultant is to inspect, monitor and document the activities of contractors,
subcontractors and suppliers to ensure compliance with the requirements of
contract documents. Key activities may require full time oversight by qualified
construction management staff.
5.2.8 Consultant may be requested to provide qualified Special Inspectors as needed or
oversee DB supplied special inspectors. Projects for Essential Facilities such as
fire stations are expected to require Special inspection.
5.2.9 Create and maintain the document-control filing system for the Project during the
Construction Phase.
5.2.10 Submittal logging and review.
5.2.11 Schedule and participate in preconstruction and regular meetings with Project Team
and City staff regarding construction issues, progress reporting, interpretation of
plans and specifications, and contractor performance.
5.2.12 Oversee construction activities and provide management and oversight services to
ensure that contractors' work is performed in accordance with construction plans
and specifications, and is consistent with the intent of the design. Interface with the
Design Build Team to facilitate resolution of technical issues, processing of design
changes to suit conditions encountered in the field. Maintain construction site
records. Review all contractor reports and records, including shift reports, daily
material placement reports, daily progress reports, and job safety reports.
5.2.13 Review pay requests submitted by the contractor and issue pay certificates to the
City.
5.2.14 Identify, prepare, log, monitor and negotiate all claims, changes, extra work, and
change orders. Prepare independent cost estimates, change order justification, and
recommend action on all change order requests. Prepare necessary change orders
for all construction contracts.
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5.2.15 Assignments may involve Design Build projects with a Guaranteed Maximum
Price and the expectation is there will be little or no changes once the Guaranteed
Maximum Price is set.
5.2.16 Consultant shall implement procedures for the systematic and timely completion,
start-up and testing, acceptance and transfer of all facilities constructed, as well as
the closeout of the contract.
5.2.17 Prepare detailed project punch lists toward closeout of the project.
5.2.18 Assist in negotiating and closing out the project. Verify that all project payments
have been made to the contractors and that all required releases have been obtained.
5.2.19 Prepare final change orders as required. Finalize and verify that the project record
drawings are complete and accurate including stamp and original signature of any
Architect and Professional Engineer licensed in California. Organize, bind, and
submit all project documents to the City.
5.2.20 Prepare and submit final Construction Summary Reports for the project. The report
shall be organized and may serve as a future historic document on the Project.
Copies shall be prepared for distribution to the City as requested in a formatting as
specified.
5.2.21 Provide other miscellaneous additional specialty services as requested by the City
and identified in Exhibit D during the work such as, witness and evaluation of
electrical instrumentation, controls, water quality, noise and air quality monitoring
services, geotechnical, structural, civil design and other technical specialties.
5.2.22 Consultant is responsible for document control and is expected to maintain a log of
all correspondence submitted by the contractors and the responses applicable to that
correspondence. Manage the receipt, logging, control, tracking and timely
processing of all technical documents, shop drawings, submittals, manuals, and
samples received as part of the construction. Review shop drawings and submittals,
including the evaluation of construction schedules, and where applicable analyze
and submit reports to the City/design engineer for review.
5.2.23 Review and provide written responses to contractor Requests for Information
(RFI's).
5.2.24 Maintain up-to-date, secured, marked-up prints of construction drawings showing
all field changes and as-built conditions. Maintain an up-to-date, secured,
conformed copy of all construction contracts, including all approved modifications
and changes.
5.2.1 Verify contractor compliance with all labor laws. Verify certified payroll
prevailing wage, apprenticeship compliance. Conduct labor compliance interviews.
6 Standards for Deliverables.
6.1 The Consultant shall make project documentation available to City of Chula Vista at any
time during the project. At the conclusion of the project, the CM Consultant shall provide
the City with all project documentation including, but not limited to:
6.1.1 Correspondence
6.1.2 Submittals
6.1.3 Requests for Information
6.1.4 Pay requests
6.1.5 Design change notifications
6.1.6 As-built drawings and specifications
6.1.7 Quality Assurance/Code test and inspection results
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6.1.8 Deficiency notices
6.1.9 Change orders
6.1.10 Meeting minutes
6.1.11 Daily field reports
6.2 The Consultant shall compile the construction documents in a final Construction
Summary Report. Copies containing the report shall be submitted to the City no more
than 30 days following construction completion.
7 Plan Review. Consultant may also be requested to review design plans, specifications, estimates,
proposals, studies and general engineering documents prepared by other engineers for constructability.
8 Performance.
8.1 Provide services in accordance with specific projects on an as-needed basis.
8.2 Commencement of work under this Agreement shall occur only upon receipt of a Task
Order signed by the City.
8.3 The cost of each Task Order under this Agreement shall be the negotiated cost for a
specific project during the term of the Agreement using firm fixed price, or not to exceed
price, or hourly rates.
8.4 Deliverables required are project specific and will be determined in the Task Order.
8.5 Consultant will provide for their staff all vehicles, tools, safety equipment, computer
equipment, software, consumables and accessories required for the work.
9 Software and Methodology. Consultant will identify software and methodology used for Task
Order completion and deliverables, which shall require prior approval of the City.
10 Records. Upon request, Consultant will provide the City all original field notes, data, reports,
records, photos etc. of field and office tasks. Further, the Consultant shall maintain copies of all records
related to the project tasks performed for a period of five years.
11 Meetings. All project meetings are to be included in Task Order scope and minutes shall be
provided to the City for approval.
12 Conflict of Interest. Consultant shall not retain any clients who are doing work under permits or
contractual agreements with the City unless otherwise approved in writing by City Engineer.
13 Work not listed in Schedule. If an occasion arises whereby the City requests work to be done which
is not listed in this schedule, the price of providing this work shall be negotiated in good faith between the
City and the Consultant. The negotiated price(s) shall not exceed the Schedule of Charges labeled as
Exhibit D to this agreement between the City and Consultant.
14 No Assurance. Consultant acknowledges and agrees that the City is not required to request any
services from Consultant via a Task Order under this Agreement.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin August 23,
2022 and end on June 30, 2024 for the completion of all Required Services. If City desires for Consultant to
continue to provide Required Services on Task Orders that are in-progress at the expiration date of this
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Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
Agreement, the City may, in its sole discretion, extend the term of this Agreement by administrative
amendment to a date needed to complete the Required Services .
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Consultant as identified in Section 2.B.,
above, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of the
Required Services, at the rates or amounts as indicated below:
See Exhibit D for applicable hourly rates
B. Reimbursement of Costs
For the cost of out of pocket expenses requested and approved by the City and incurred by Consultant in the
performance of Required Services, City shall pay Consultant at the rates or amounts set forth below:
Initial Scope meeting No Cost
In County Travel Time No Cost
Reports, Original, Mylar No Cost
Copies, Reproductions of Final Reports/Mylars Cost Plus 10%
Outside Services Cost Plus 15%
Delivery Cost Plus 10%
Long Distance Telephone Charges No Cost
Other Actual Identifiable City- Approved Direct Costs Cost Plus 10%
Mileage IRS Standard Mileage Rate
Written City-Approved Overtime To be negotiated at time of written request and
approved by City
Consultant acknowledges and agrees that when reprographics and courier services are requested by the City,
expenses will only be reimbursed when performed by a third-party business entity and only when accompanied
by a copy of the original invoice.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 2024 shall not exceed $2,000,000. .
5. Special Provisions:
☒ Permitted Sub-Consultants: For Sub-Consultant list see Exhibit E.
☒ Notwithstanding the completion date set forth in Section 3 above, City has the option to extend this Agreement
for three (3) additional terms, defined as a one-year increment. The City Manager or Director of Finance shall be
authorized to exercise any such extensions on behalf of the City. If the City exercises an option to extend, each
extension shall be on the same terms and conditions contained in this Agreement, provided that the maximum
amount to be paid to Consultant for services performed during the respective option term(s) shall be as follows:
Option Year 1 (July 1, 2024 – June 30, 2025): $1,000,000.00*
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17 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
Option Year 2 (July 1, 2025 – June 30, 2026): $1,000,000.00*
Option Year 3 (July 1, 2026 – June 30, 2027): $1,000,000.00*
* Amounts duly approved but not encumbered during the original Term or prior option-to-extend term(s) may be
carried over, in City’s sole discretion, to increase the maximum amounts during further option terms.
The City shall give written notice to Consultant of the City’s election to exercise the extension via a Notice of
Exercise of Option to Extend. At this time the Consultant may submit a written request to the City to increase the
amounts specified in Exhibit D by up to three and a half percent (3.5%) for each extension.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 30, 2027 shall not exceed $5,000,000. .
☒ Other:
Labor Code Compliance: Consultant and each of its subconsultants/subcontractors will comply with the State of
California’s prevailing wage rate requirements in accordance with California Labor Code, and all Federal, State,
and local laws and ordinances applicable to persons employed by them for public works in a covered work
classification. When payment of prevailing wages apply to the Required Services the wage rates and
transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial
Relations, State of California (DIR). The State’s prevailing wage rates determinations are available from the DIR
home page at www.dir.ca.gov/oprl/. The City has ascertained that general prevailing wage rates may be
applicable to all or a portion of the work to be performed for the Required Services. To verify compliance with
State prevailing wage requirements, the DIR maintains an online registry of contractors to which Consultant
and/or its subconsultants/subcontractors will be required to submit certified payrolls. Subje ct to the exceptions
provided in the California Labor code, no Consultant or any of its subconsultants/subcontractors shall be qualified
to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or
engage in the performance of any contract for public work unless currently registered with the DIR and qualified
to perform public work pursuant to California Labor Code section 1725.5. When payment of prevailing wages
applies to the Required Services, this Agreement becomes subject to compliance monitoring and enforcement by
the DIR. Nothing contained above shall be construed to any way limit Consultant’s obligations to comply with
all laws and regulations.
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18 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
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19 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a Statement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Salsman
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not include
corporation or limited liability company).
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20 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
EXHIBIT D
RATE SCHEDULE
PROJECT PROFESSIONALS CORPORATION
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21 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
D-MAX ENGINEERING, INC
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22 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
GHOSTRIDER INSPECTION INC
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23 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION Rev. 9/15/20
EXHIBIT E
LIST OF SUBCONSULTANTS
Subconsultant Role Contact Information
D-Max
Engineering, Inc.
Environmental and Quality Control
Compliance
D-Max Engineering
7220 Trade St,
San Diego, CA 92121
Ph: 858-586-6600
Ghostrider
Inspection Inc
Special Inspections Tylor White
Ph: 760-473-5052
Email: twghostrider01@yahoo.com
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1 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH SCHNEIDER CM, INC.
TO PROVIDE ON-CALL BUILDING CONSTRUCTION MANAGEMENT.
This Agreement is entered into effective as of August 23, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and SCHNEIDER CM, Inc., a California Corporation
(“Consultant”) (collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, the City has a Capital Improvement Program (CIP) for improvements at various locations
throughout the City; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist with the construction
management activities on new City facilities and facility renovations, and
WHEREAS, on March 4, 2022 a Request for Proposal/Qualifications for Professional Services for
Construction Management Services was issued for various Capital Improvement Program (CIP) projects and other
City projects; and,
WHEREAS, the consultant selection committee determined Schneider CM,Inc., as one of four (4)
consultants to provide construction management services; and,
WHEREAS, the Consultant selection process was conducted in accordance with section 2.56.110(C) of
the Chula Vista Municipal Code; and,
WHEREAS, consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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2 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.” Consultant shall not be
responsible for delays caused by circumstances beyond its reasonable control.
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additio nal
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the professional standard of care exercised by members of
the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry
standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry
standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
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3 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant und er this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line-item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactorily performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.5 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.6 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
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4 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Wo rkers’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Consultant’s insurance
using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed
Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or
self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from
the insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
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5 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liabilit y,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
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Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree tha t may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
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7 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
all “Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount due and
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United
States or in any other country without the express, prior written consent of City. City shall have unrestricted
authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such
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Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of
the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Consultant shall make available to City, upon reasonable written
request by City, the necessary functional computer software and hardware for purposes of accessing,
compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be deemed
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
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or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
SCHNEIDER CM, INC. CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
Carl Schneider, MARIA V. KACHADOORIAN
President/CEO CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Salsman
1800 Maxwell Road, Chula Vista CA 91911
619-397-6115
jsalsman@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
SCHNEIDER CM, INC.
Carl Schneider
6353 El Camino Real, Suite C
Carlsbad, CA 92009
(619) 905-5522
Carl.schneider@schneidercm.net
For Legal Notice Copy to:
SCHNEIDER CM, INC.
Carl Schneider
6353 El Camino Real, Suite C
Carlsbad, CA 92009
(619) 905-5522
Carl.schneider@schneidercm.net
2. Required Services
A. General Description:
Consultant shall provide project management and construction management consultant services at the direction
and to the satisfaction of the City Engineer for City of Chula Vista construction projects on an “as-needed” and
per project/assignment basis (each a “Task Order”) at the sole discretion of the City Task Orders will range from
complete construction project management and administration for a project to minor construction management
tasks depending on the needs of the City. Typical projects for which construction management consulting services
may be required include: construction of new Parks, Sports Fields/Courts, Animal Facilities, Community
Centers/Recreation Centers, Energy Retrofit Projects, and Renovation/Upgrades to existing facilities, and similar
work. Projects for which the Required Services will be necessary will typically utilize a design-build delivery
method.
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B. Detailed Description:
1 Construction Management Services. Consultant will provide construction management services
for the design and construction of new facilities, facility renovations, parks, and other City construction
projects as provided in a Task Order. Each Task Order will include a not-to-exceed fee for all time,
materials, and costs permitted to be incurred for that Task Order. Consultant acknowledges and agrees
that City is not required to request that Consultant provide any Required Services per a Task Order under
this Agreement. Consultant acknowledges and agrees that it is not entitled to any compensation under
this Agreement until such time that it has provided Required Services as explicitly authorized and
approved by the City in accordance with a Task Order and this Agreement.
2 Personnel. Consultant will provide qualified project managers, construction managers, inspectors,
engineers, and/or construction specialists experienced in a wide variety of construction methods, project
management, contract administration, and other related duties. The City shall have the right to make a
determination as to the qualifications or performance of individual personnel and shall have the right to
require substitution of personnel. If such substitution is not immediately effectuated, City may cancel the
Task Order.
3 On-Call Services. Consultant acknowledges and agrees that service requests from the City under
this Agreement will be on an “as-needed” and per Task Order basis at the sole discretion of the City.
4 Task Order Proposal. Prior to issuance of a Task Order, Consultant shall confer with the City’s
Contract Administrator and identify the scope of the Task Order. Consultant shall provide the City with a
cost proposal for work in the Task Order. The cost proposal shall set a not-to-exceed price and break
down pf hours per unit of work and person completing the work.
5 Scope of Work. Consultant may provide the following services on an as-needed as contained in a
Task Order:
5.1 Planning
5.1.1 Support City of Chula Vista during Design Build Project Team
selection/procurement process including:
5.1.1.1 Preparing Requests for Statements of Qualifications to be used for soliciting
qualified Design Build Project Teams.
5.1.1.2 Evaluating Project Team Qualifications and Proposals received and
assisting in selection of respondents to be provided the opportunity to
submit final proposals.
5.1.1.3 Preparing Requests for Proposals, reviewing and assisting in the selection
of the most qualified team.
5.1.2 Reviewing bids/proposals, recommending award of the contract, assisting with
contract negotiations, and assistance in preparing contract documents and exhibits.
5.1.3 Coordinate with City of Chula Vista, the Project Team and various Consultants
before and during design and construction as necessary including kickoff meeting,
status update meetings, deficiency meetings, and document control and
distribution.
5.2 Pre-Construction and Construction Management
5.2.1 Provide Construction Management oversight services during construction
including but not limited to: submittal review, scheduling, budgeting, cost
estimating, review payment requests and change orders, meeting coordination,
maintenance of project documents, and oversight of Contractor.
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5.2.2 Attend meetings between the City and the project Team during all phases of the
project, including programming, schematic design, design development, cost
estimating, subcontractor and other bidding & formulation of guaranteed maximum
price, construction documents, construction and post construction. Consultant to
review deliverables at all stages and make recommendations to the City regarding
the acceptability, applicability, feasibility and constructability. C onsultant shall
consider the site constraints, building systems, building materials, code
compliance, alternate methods, economics, materials and labor availability and
schedules.
5.2.3 Oversee the Project Team’s design services to ensure compatibility with governing
agency requirements, to coordinate code compliance and ensure compliance with
the project schedule.
5.2.4 Assist in Issuance of Notices of Award, coordinate Project Team Design and
Construction contract execution, and issuance of Notice to Proceed.
5.2.5 Maintenance of construction schedule and status reporting. Prepare progress reports
that include a comprehensive description of the main accomplishments and current
construction activities. Representative photographs shall be included within the
progress report as appropriate to the phase of the project.
5.2.6 Review and evaluate Project Team’s work plans, schedules, budgets and cash flow
projections. Lead the evaluation of value engineering proposals submitted by the
Project Team.
5.2.7 Consultant is to inspect, monitor and document the activities of contractors,
subcontractors and suppliers to ensure compliance with the requirements of
contract documents. Key activities may require full time oversight by qualified
construction management staff.
5.2.8 Consultant may be requested to provide qualified Special Inspectors as needed or
oversee DB supplied special inspectors. Projects for Essential Facilities such as
fire stations are expected to require Special inspection.
5.2.9 Create and maintain the document-control filing system for the Project during the
Construction Phase.
5.2.10 Submittal logging and review.
5.2.11 Schedule and participate in preconstruction and regular meetings with Project Team
and City staff regarding construction issues, progress reporting, interpretation of
plans and specifications, and contractor performance.
5.2.12 Oversee construction activities and provide management and oversight services to
ensure that contractors' work is performed in accordance with construction plans
and specifications, and is consistent with the intent of the design. Interface with the
Design Build Team to facilitate resolution of technical issues, processing of design
changes to suit conditions encountered in the field. Maintain construction site
records. Review all contractor reports and records, including shift reports, daily
material placement reports, daily progress reports, and job safety reports.
5.2.13 Review pay requests submitted by the contractor and issue pay certificates to the
City.
5.2.14 Identify, prepare, log, monitor and negotiate all claims, changes, extra work, and
change orders. Prepare independent cost estimates, change order justification, and
recommend action on all change order requests. Prepare necessary change orders
for all construction contracts.
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5.2.15 Assignments may involve Design Build projects with a Guaranteed Maximum
Price and the expectation is there will be little or no changes once the Guaranteed
Maximum Price is set.
5.2.16 Consultant shall implement procedures for the systematic and timely completion,
start-up and testing, acceptance and transfer of all facilities constructed, as well as
the closeout of the contract.
5.2.17 Prepare detailed project punch lists toward closeout of the project.
5.2.18 Assist in negotiating and closing out the project. Verify that all project payments
have been made to the contractors and that all required releases have been obtained.
5.2.19 Prepare final change orders as required. Finalize and verify that the project record
drawings are complete and accurate including stamp and original signature of any
Architect and Professional Engineer licensed in California. Organize, bind, and
submit all project documents to the City.
5.2.20 Prepare and submit final Construction Summary Reports for the project. The report
shall be organized and may serve as a future historic document on the Project.
Copies shall be prepared for distribution to the City as requested in a formatting as
specified.
5.2.21 Provide other miscellaneous additional specialty services as requested by the City
and identified in Exhibit D during the work such as, witness and evaluation of
electrical instrumentation, controls, water quality, noise and air quality monitoring
services, geotechnical, structural, civil design and other technical specialties.
5.2.22 Consultant is responsible for document control and is expected to maintain a log of
all correspondence submitted by the contractors and the responses applicable to that
correspondence. Manage the receipt, logging, control, tracking and timely
processing of all technical documents, shop drawings, submittals, manuals, and
samples received as part of the construction. Review shop drawings and submittals,
including the evaluation of construction schedules, and where applicable analyze
and submit reports to the City/design engineer for review.
5.2.23 Review and provide written responses to contractor Requests for Information
(RFI's).
5.2.24 Maintain up-to-date, secured, marked-up prints of construction drawings showing
all field changes and as-built conditions. Maintain an up-to-date, secured,
conformed copy of all construction contracts, including all approved modifications
and changes.
5.2.1 Verify contractor compliance with all labor laws. Verify certified payroll
prevailing wage, apprenticeship compliance. Conduct labor compliance interviews.
6 Standards for Deliverables.
6.1 The Consultant shall make project documentation available to City of Chula Vista at any
time during the project. At the conclusion of the project, the CM Consultant shall provide
the City with all project documentation including, but not limited to:
6.1.1 Correspondence
6.1.2 Submittals
6.1.3 Requests for Information
6.1.4 Pay requests
6.1.5 Design change notifications
6.1.6 As-built drawings and specifications
6.1.7 Quality Assurance/Code test and inspection results
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Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
6.1.8 Deficiency notices
6.1.9 Change orders
6.1.10 Meeting minutes
6.1.11 Daily field reports
6.2 The Consultant shall compile the construction documents in a final Construction
Summary Report. Copies containing the report shall be submitted to the City no more
than 30 days following construction completion.
7 Plan Review. Consultant may also be requested to review design plans, specifications, estimates,
proposals, studies and general engineering documents prepared by other engineers for constructability.
8 Performance.
8.1 Provide services in accordance with specific projects on an as-needed basis.
8.2 Commencement of work under this Agreement shall occur only upon receipt of a Task
Order signed by the City.
8.3 The cost of each Task Order under this Agreement shall be the negotiated cost for a
specific project during the term of the Agreement using firm fixed price, or not to exceed
price, or hourly rates.
8.4 Deliverables required are project specific and will be determined in the Task Order.
8.5 Consultant will provide for their staff all vehicles, tools, safety equipment, computer
equipment, software, consumables and accessories required for the work.
9 Software and Methodology. Consultant will identify software and methodology used for Task
Order completion and deliverables, which shall require prior approval of the City.
10 Records. Upon request, Consultant will provide the City all original field notes, data, reports,
records, photos etc. of field and office tasks. Further, the Consultant shall maintain copies of all records
related to the project tasks performed for a period of five years.
11 Meetings. All project meetings are to be included in Task Order scope and minutes shall be
provided to the City for approval.
12 Conflict of Interest. Consultant shall not retain any clients who are doing work under permits or
contractual agreements with the City unless otherwise approved in writing by City Engineer.
13 Work not listed in Schedule. If an occasion arises whereby the City requests work to be done which
is not listed in this schedule, the price of providing this work shall be negotiated in good faith between the
City and the Consultant. The negotiated price(s) shall not exceed the Schedule of Charges labeled as
Exhibit D to this agreement between the City and Consultant.
14 No Assurance. Consultant acknowledges and agrees that the City is not required to request any
services from Consultant via a Task Order under this Agreement.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin August 23,
2022 and end on June 30, 2024 for the completion of all Required Services. If City desires for Consultant to
continue to provide Required Services on Task Orders that are in-progress at the expiration date of this
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Agreement, the City may, in its sole discretion, extend the term of this Agreement by administrative
amendment to a date needed to complete the Required Services .
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Consultant as identified in Section 2.B.,
above, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of the
Required Services, at the rates or amounts as indicated below:
See Exhibit D for applicable hourly rates
B. Reimbursement of Costs
For the cost of out of pocket expenses requested and approved by the City and incurred by Consultant in the
performance of Required Services, City shall pay Consultant at the rates or amounts set forth below:
Initial Scope meeting No Cost
In County Travel Time No Cost
Reports, Original, Mylar No Cost
Copies, Reproductions of Final Reports/Mylars Cost Plus 10%
Outside Services Cost Plus 15%
Delivery Cost Plus 10%
Long Distance Telephone Charges No Cost
Other Actual Identifiable City- Approved Direct Costs Cost Plus 10%
Mileage IRS Standard Mileage Rate
Written City-Approved Overtime To be negotiated at time of written request and
approved by City
Consultant acknowledges and agrees that when reprographics and courier services are requested by the City,
expenses will only be reimbursed when performed by a third-party business entity and only when accompanied
by a copy of the original invoice.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 2024 shall not exceed $2,000,000. .
5. Special Provisions:
☒ Permitted Sub-Consultants: For Sub-Consultant list see Exhibit E.
☒ Notwithstanding the completion date set forth in Section 3 above, City has the option to extend this Agreement
for three (3) additional terms, defined as a one-year increment. The City Manager or Director of Finance shall be
authorized to exercise any such extensions on behalf of the City. If the City exercises an option to extend, each
extension shall be on the same terms and conditions contained in this Agreement, provided that the maximum
amount to be paid to Consultant for services performed during the respective option term(s) shall be as follows:
Option Year 1 (July 1, 2024 – June 30, 2025): $1,000,000.00*
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Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
Option Year 2 (July 1, 2025 – June 30, 2026): $1,000,000.00*
Option Year 3 (July 1, 2026 – June 30, 2027): $1,000,000.00*
* Amounts duly approved but not encumbered during the original Term or prior option-to-extend term(s) may be
carried over, in City’s sole discretion, to increase the maximum amounts during further option terms.
The City shall give written notice to Consultant of the City’s election to exercise the extension via a Notice of
Exercise of Option to Extend. At this time the Consultant may submit a written request to the City to increase the
amounts specified in Exhibit D by up to three and a half percent (3.5%) for each extension.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 30, 2027 shall not exceed $5,000,000. .
☒ Other:
Labor Code Compliance: Consultant and each of its subconsultants/subcontractors will comply with the State of
California’s prevailing wage rate requirements in accordance with California Labor Code, and all Federal, State,
and local laws and ordinances applicable to persons employed by them for public works in a covered work
classification. When payment of prevailing wages apply to the Required Services the wage rates and
transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial
Relations, State of California (DIR). The State’s prevailing wage rates determinations are available from the DIR
home page at www.dir.ca.gov/oprl/. The City has ascertained that general prevailing wage rates may be
applicable to all or a portion of the work to be performed for the Required Services. To verify compliance with
State prevailing wage requirements, the DIR maintains an online registry of contractors to which Consultant
and/or its subconsultants/subcontractors will be required to submit certified payrolls. Subje ct to the exceptions
provided in the California Labor code, no Consultant or any of its subconsultants/subcontractors shall be qualified
to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or
engage in the performance of any contract for public work unless currently registered with the DIR and qualified
to perform public work pursuant to California Labor Code section 1725.5. When payment of prevailing wages
applies to the Required Services, this Agreement becomes subject to compliance monitoring and enforcement by
the DIR. Nothing contained above shall be construed to any way limit Consultant’s obligations to comply with
all laws and regulations.
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Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
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Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a Statement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Salsman
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not incl ude
corporation or limited liability compan y).
2022/08/23 City Council Post Agenda Page 111 of 573
20 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
EXHIBIT D
RATE SCHEDULE
SCHNEIDER
2022/08/23 City Council Post Agenda Page 112 of 573
21 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: SCHNEIDER CM, Inc. Rev. 9/15/20
EXHIBIT E
LIST OF SUBCONSULTANTS
NONE LISTED
2022/08/23 City Council Post Agenda Page 113 of 573
v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Agreements: Approve Agreements with Ardurra Group Inc., DUDEK, Kleinfelder Construction Services, Inc.,
and Project Professionals Corporation to Provide On-Call Capital Improvement Program (CIP) Construction
Management Consulting Services
Report Number: 22-0229
Location: No specific geographic location
Department: Engineering and Capital Projects
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant to the California
Environmental Quality Act State Guidelines Section 15301 Class 1 (Existing Facilities), Section 15309 Class
9 (Inspections), and Section 15061(b)(3).
Recommended Action
Adopt a resolution approving agreement with Ardurra Group Inc., DUDEK, Kleinfelder Construction Services
Inc., and Project Professionals Corporation to provide construction management services for various City
infrastructure Capital Improvement Program (CIP) Projects.
SUMMARY
The Engineering and Capital Projects department and Public Works department have identified the need to
enlist qualified consultants periodically to provide on-call construction management consulting services of
City infrastructure CIP Projects. These on-call consultant services would augment city staff to provide timely,
as-needed, construction managements services and inspection services for CIP Projects.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed project for compliance with the California
Environmental Quality Act (CEQA) and has determined that the project qualifies for a Categorical Exemption
pursuant to State CEQA Guidelines Section 15301 Class 1 (Existing Facilities), Section 15309 Class 9
(Inspections), and Section 15061(b)(3); because it can be seen with certainty that there is no possibility that
the activity in question may have a significant effect on the environment. Thus, no further environmental
review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
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Not applicable.
DISCUSSION
Background
The Engineering and Capital Projects department and Public Works department manage the construction of
infrastructure Capital Improvement Program (CIP) Projects for the City of Chula Vista (City). On November
21, 2017, City Council approved construction management on-call consultant agreements that will expire on
November 21, 2022. City staff has found that the services provided by these on-call consultants proved
beneficial in delivering various projects and is recommending entering into similar agreements by this
action.
It is critical that the construction management of these types of projects be performed in a timely manner so
that project delivery is not delayed. City staff anticipates the need to secure the assistance of experienced
construction management consultant teams on an as-needed basis for the following reasons:
1. Staff anticipates that the increased pace of CIP projects will continue for the next few years. Some of
the large CIP projects include various disciplines such as Drainage, Pavement, Traffic, and
Wastewater.
2. Consultants will be able to assist with construction management when workload exceeds existing
staffing levels.
The use of outside consultants to provide technical assistance for the short-term needs is a more efficient
way to handle the additional workload staff anticipates.
Scope of Work
Typical services that the City may require during the construction phase of CIP projects will involve
construction management of work such as:
- Pavement Rehabilitation
- Storm Drain Construction and Rehabilitation
- Sewer Construction and Rehabilitation
- Sewage Pump Station Construction and Rehabilitation
- Traffic Signal Modifications
- Street Widening Improvements
- ADA Curb Ramp and Sidewalk Replacement
- Signage and Striping
- Stormwater Permanent BMP construction
The proposed contracts include/require the following:
A. Civil infrastructure construction project management and administration, inspection services or
other associated construction management services.
B. The number, if any, and scope of such projects will vary from year to year.
C. Personnel that are experienced in a variety of construction methods, project management, field
inspection, contract administration and other related duties.
D. Consultants must use of software and methodology that are approved by the City.
2022/08/23 City Council Post Agenda Page 115 of 573
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E. Consultants must provide the City all original field notes, data, reports, records, photos etc. of field
and office tasks upon request.
F. Consultants must use billing forms and procedures acceptable to the City.
G. Consultants must maintain insurance and agree to defend, indemnify, and hold City harmless
H. Additional services may include:
a. Supervise and inspect traffic control set ups.
b. Pre-construction and post-construction stormwater monitoring and inspections.
c. Contractor compliance with federal, state and local safety rules and regulations.
d. Mandatory safety training.
e. Preparation and submittal of daily reports of construction activities in a manor acceptable to
the City.
f. Verification of contractor prevailing wage payments and compliance with federal and state
labor regulations.
g. Processing of contract change orders.
Consultant Selection Process
On March 4, 2022, the City of Chula Vista issued a Request for Proposals/Qualifications (RFP/Q) for
Professional Services for Construction Management of CIP projects.
In accordance with City ordinances and policies, the Director of Engineering and Capital Projects assigned
staff to act as a selection committee to evaluate the proposals and prepare a list ranking the responding firms.
Nine (9) proposals were received on April 13, 2022, and reviewed by the City’s Selection Committee,
comprised of four City staff members.
The selection committee evaluated and ranked the proposals. The ranking was based on evaluation criteria
contained in the RFP/Q that included the following: the consultant's experience, the capacity to perform the
work, references, and the quality of the management team. Five (5) teams were selected to move on to the
interview phase of selection.
Upon the conclusion of the consultant interviews and deliberations by the Selection Committee, the
committee selected Ardurra Group Inc., DUDEK, Kleinfelder Construction Services Inc., and Project
Professionals Corporation as the four highest ranking firms. Fee schedules and contract details have been
successfully negotiated with the teams (prime and the sub-consultants). Agreements with the selected firms
are attached (Attachments 1-4).
The proposed initial term for each agreement is through June 30, 2024, with up to three one-year options to
extend. If the extensions are exercised, the total term of each agreement would be approximately five years.
All fees for services will be paid on a time and materials basis for the productive hours actually spent and at
the rates/amounts indicated in each agreement. The not-to-exceed amount for each agreement is $2 million
for the initial term and up to $5,000,000 if all options to extend are exercised. All fees for the consultant
services will be paid from funds already allocated for CIP projects.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and
consequently, the 500-foot rule found in California Code of Regulations Title 2, section 18702.2(a)(11), is not
applicable to this decision for purposes of determining a disqualifying real property-related financial conflict
of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
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Staff is not independently aware and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
All fees for Consultant's services will be paid from funds already allocated for CIP projects. Each Consultant
team may work on several CIP projects of varying size and complexity. The approximately two-year
contracts will be eligible for up to three (3) one-year extensions upon mutual agreement. Should the need
arise to contract for consultant services, the costs associated with delivering a project could increase as staff’s
oversight would be required in addition to the consultant fees.
ONGOING FISCAL IMPACT
None.
ATTACHMENTS
1. Consultant Services Agreement with Ardurra Group Inc.
2. Consultant Services Agreement with DUDEK
3. Consultant Services Agreement with Kleinfelder Construction Services Inc.
4. Consultant Services Agreement with Project Professionals Corporation
Staff Contact: Diana Bauer, Associate Engineer
Jonathan Salsman, Senior Civil Engineer
2022/08/23 City Council Post Agenda Page 117 of 573
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING CONSULTANT SERVICES
AGREEMENTS BETWEEN THE CITY AND ARDURRA GROUP
INC., DUDEK, KLEINFELDER CONSTRUCTION SERVICES
INC. AND PROJECT PROFESSIONALS CORPORATION TO
PROVIDE ON-CALL CIP CONSTRUCTION MANAGEMENT
CONSULTING
WHEREAS, Chula Vista Municipal Code (CVMC) section 2.56.110 provides the
requirements for selection and award of contracts for professional services; and
WHEREAS, City has identified the need to enlist qualified consultants to assist Engineering &
Capital Improvements and Public Works staff with construction management due to the volume and
pace of City’s infrastructure Capital Improvement Program (CIP) projects; and
WHEREAS, on March 4, 2022, City issued a Request for Proposals/Qualifications (RFP/Q) for
Professional Services for On-Call CIP Construction Management Consulting Services; and
WHEREAS, City received nine proposals in response to the RFP/Q; and
WHEREAS, after City completed its review of the proposals, five teams were interviewed; and
WHEREAS, after the interview process, the selection committee recommended awarding
contracts to Ardurra Group Inc., DUDEK, Kleinfelder Construction Services Inc., and Project
Professionals Corporation to provide such services; and
WHEREAS, the consultant selection process has been conducted in accordance with Section
2.56.11 0.C of the Chula Vista Municipal Code; and
WHEREAS, the proposed agreements have an initial term through June 30, 2024, and three
options to extend for a period of one-year; and
WHEREAS, the proposed agreements contain a maximum compensation amount of
$2,000,000 during the initial term, and $1,000,000 for each option term, for a total maximum
compensation amount of $5,000,000.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista that
it approves the Consultant Services Agreement(s) between the City and (1) Ardurra Group Inc., (2)
DUDEK, (3) Kleinfelder Construction Services Inc., and (4) Project Professionals Corporation,
respectively, to provide On-Call CIP Construction Management Services for Various Capital
Improvement Program (CIP) Projects and Other City Projects, in the forms presented, with such minor
modifications as may be required or approved by the City Attorney, copies of which shall be kept on
file in the Office of the City Clerk, and authorizes and directs the City Manager or designee to
execute the agreements.
2022/08/23 City Council Post Agenda Page 118 of 573
Resolution No.
Page 2
Presented by
William S. Valle
Director of Engineering & Capital Projects
Approved as to form by
Glen R. Googins
City Attorney
2022/08/23 City Council Post Agenda Page 119 of 573
1 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH ARDURRA GROUP INC.
TO PROVIDE ON-CALL CIP CONSTRUCTION MANAGEMENT.
This Agreement is entered into effective as of August 23, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and ARDURRA GROUP Inc., a Florida Corporation
(“Consultant”) (collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, the City has a Capital Improvement Program (CIP) for improvements at various locations
throughout the City; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist with the construction
management activities on (CIP) projects and other City projects, and
WHEREAS, on March 4, 2022 a Request for Proposal/Qualifications for Professional Services for
Construction Management Services was issued for various Capital Improvement Program (CIP) projects and other
City projects; and,
WHEREAS, the consultant selection committee determined Ardurra Group Inc., as one of four (4)
Consultants to provide the construction management services; and,
WHEREAS, the Consultant selection process was conducted in accordance with Section 2.56.110(C) of
the Chula Vista Municipal Code; and,
WHEREAS, consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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2 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.” Consultant shall not be
responsible for delays caused by circumstances beyond its reasonable control.
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additio nal
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the professional standard of care exercised by members of
the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry
standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry
standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
2022/08/23 City Council Post Agenda Page 121 of 573
3 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant und er this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line-item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactorily performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.5 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.6 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
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4 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers ’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Consultant’s insurance
using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed
Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or
self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from
the insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
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5 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liability,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
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6 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree t hat may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
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all “Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount due a nd
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectivel y “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United
States or in any other country without the express, prior written consent of City. City shall have unrestricted
authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such
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Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of
the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Consultant shall make available to City, upon reasonable written
request by City, the necessary functional computer software and hardware for purposes of accessing,
compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be deemed
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
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or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
ARDURRA GROUP INC. CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
Scott Adamson, MARIA V. KACHADOORIAN
Construction Management, Group Leader CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Salsman
1800 Maxwell Road, Chula Vista CA 91911
619-397-6115
jsalsman@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
ARDURRA GROUP INC.
Scott Adamson, Construction Management Group Leader
14271 Danielson Street
Poway, CA 92064
(858) 842-6979
sadanson@ardurra.com
For Legal Notice Copy to:
ARDURRA GROUP INC.
Scott Adamson, Construction Management Group Leader
14271 Danielson Street
Poway, CA 92064
(858) 842-6979
sadanson@ardurra.com
2. Required Services
A. General Description:
Consultant shall provide project management and construction management consultant services at the direction
and to the satisfaction of the City Engineer for City of Chula Vista construction projects on an “as-needed” and
per project/assignment basis (each a “Task Order”) at the sole discretion of the City Task Orders will range from
complete construction project management and administration for a project to minor construction management
tasks depending on the needs of the City. Typical projects for which construction management consulting services
may be required include: Pavement Rehabilitation, Sewage Pump Station Construction and Rehabilitation, Sewer
Construction and Rehabilitation, Traffic Signal Modifications, Street Widening Improvements, ADA Curb Ramp
and Sidewalk Replacement, Signage and Striping, Stormwater Permanent BMP Construction, and similar work.
B. Detailed Description:
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1 Construction Management Services. Consultant will provide project management and construction
management services for civil infrastructure projects and other City projects as provided in a Task Order.
Each Task Order will include a not-to-exceed fee for all time, materials, and costs permitted to be incurred
for that Task Order. Consultant acknowledges and agrees that the City is not required to request that
Consultant provide any Required Services per a Task Order under this Agreement. Consultant
acknowledges and agrees that it is not entitled to any compensation under this Agreement until such time
that it has provided Required Services as explicitly authorized and approved by the City in accordance
with a Task Order and this Agreement.
2 Personnel. Consultant will provide qualified project managers, construction managers, inspectors,
engineers and/or construction specialists experienced in a wide variety of construction methods, project
management, contract administration and other related duties. All consultants shall have knowledge of
City codes, procedures, and regulations as well as Knowledge of SDRSD, Greenbook Specifications,
Caltrans Std. Plans and Specifications, City of Chula Vista Construction Standards, City of Chula Vista
Subdivision Manual, and City of Chula Vista Standard Special Provisions. Consultants shall also have
knowledge of requirements for local, state and federally funded projects. The City shall have the right to
make a determination as to the qualifications or performance of individual personnel and shall have the
right to require substitution of personnel. If such substitution is not immediately effectuated, City may
cancel the Task Order.
3 On-Call Services. Consultant acknowledges and agrees that service requests from the City under
this Agreement will be on an “as-needed” and per Task Order basis sole discretion of the City.
4 Task Order Proposal. Prior to issuance of a Task Order, Consultant shall confer with the Contract
Administrator and identify the scope of the Task Order. Consultant shall provide the City with a cost
proposal for work in the Task Order. The cost proposal shall set a not-to-exceed price and break down of
hours per unit of work and person completing the work.
5 Scope of Work. Consultant will provide the following services as needed on each project or
assignment:
5.1 Consultant shall be able to provide qualified construction inspectors, landscape inspectors,
electrical inspectors, engineers and/or construction managers experienced in a wide variety
of construction methods, project management, field inspection, traffic signal inspection,
contract administration, landscape inspection, utility potholing, and other related duties.
5.2 Supervise Contractor’s traffic control, detours, lane closures and staging plans.
5.3 Conduct on-site monitoring and inspection of construction activities to ensure contractor
compliance with: all construction contract specifications, plans, and schedules; all NPDES
General Construction and MS4 Stormwater permits & permit conditions.
5.4 Conduct stormwater inspections, monitoring and reporting for pre-construction activities
and post-construction Best Management Practices.
5.5 Conduct landscaping and irrigation inceptions in accordance with all codes and regulations,
per typical industry practice.
5.6 Conduct electrical inspections to certify electrical construction accordance with all codes
and regulations, per typical industry practice. Typical electrical inspections include pump
station, traffic signals, ROW lighting, and other non-building City infrastructure.
5.7 Monitor contractor’s compliance with all federal, state and local safety rules and
regulations.
5.8 Conduct and/or participate in mandatory safety training.
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5.9 Preparation and submittal of daily reports of construction activities, including equipment
and labor usage, description of work, location, progress, current issues.
5.10 Preparation and submittal of weekly statement of working days.
5.11 Photo document the project site and construction activities prior, during and after
completion of all work.
5.12 Interpretation of contract specifications and plans as required.
5.13 Coordination of City or consultant supplied surveying and testing services.
5.14 Perform office tasks including, but not limited to: CPM schedule reviews; maintain project
files (both paper and electronic); prepare project correspondence; prepare and maintain
project fiscal records; and other duties as required relative to contract administration for
the assignment.
5.15 Verification of contractor prevailing wage payments and compliance with federal and state
labor regulations.
5.16 Calculation of quantities and preparation of payment estimates.
5.17 Preparation of contract change orders and necessary supporting documents and forms.
5.18 Review, investigate, and recommend action on submittals & requests for information.
5.19 Coordination with utilities, state and local agencies, and the public.
5.20 Analyze, investigate, and recommend action on potential claims, contract disputes, and
claims.
5.21 Preparation of final reports and as-built drawings for the project.
5.22 Compliance with Caltrans Local Assistant Program for federally funded projects.
5.23 Utility location verification services by potholing methods for location and depth
verification. Scope of this task does not include services normally provided by
Underground Service Alert of Southern California (811, USA, Dig Alert,
https://www.california811.org/).
6 Standards for Deliverables.
6.1 The Consultant shall make project documentation available to City of Chula Vista at any
time during the project. At the conclusion of the project, the CM Consultant shall provide
the City with all project documentation including, but not limited to:
6.1.1 Correspondence
6.1.2 Submittals
6.1.3 Requests for Information
6.1.4 Pay requests
6.1.5 Design change notifications
6.1.6 As-built drawings and specifications
6.1.7 Quality Assurance/Code test and inspection results
6.1.8 Deficiency notices
6.1.9 Change orders
6.1.10 Meeting minutes
6.1.11 Daily field reports
6.2 The Consultant shall compile the construction documents in a final Construction
Summary Report. Copies containing the report shall be submitted to the City no more
than 30 days following construction completion.
7 Plan Review. Consultant may also be requested to review design plans, specifications, estimates,
proposals, studies and general engineering documents prepared by other engineers for constructability.
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8 Performance.
8.1 Provide services in accordance with specific projects on an As-Needed basis.
8.2 Commencement of work under this Agreement shall occur only upon receipt of a Task
Order signed by the City.
8.3 The cost of each Task Order under this Agreement shall be the negotiated cost for a
specific project during the term of the Agreement using firm fixed price, or not to exceed
price, or hourly rates.
8.4 Deliverables required are project specific and will be determined in the Task Order.
8.5 Consultant will provide for their staff all vehicles, tools, safety equipment, computer
equipment, software, consumables and accessories required for the work.
9 Software and Methodology. Consultant will identify software and methodology used for Project
completion and deliverables, which shall require prior approval of the City.
10 Records. Consultant will provide the City all original field notes, data, reports, records, photos
etc. of field and office tasks. Further, the Consultant shall maintain copies of all records related to the
project tasks performed for a period of five years
11 Meetings. All Project meetings are to be included in project scope and minutes shall be provided
to the City for approval.
12 Conflict of Interest. Consultant shall not retain any clients who are doing work under permits or
contractual agreements with the City of Chula Vista unless otherwise approved in writing by City
Engineer.
13 Work not listed in Schedule. If an occasion arises whereby the City requests work to be done which
is not listed in this schedule, the price of providing this work shall be negotiated in good faith between the
City and the Consultant. The negotiated price(s) shall not exceed the Schedule of Charges labeled as
Exhibit D to this agreement between the City and Consultant
14 No Assurance. Consultant acknowledges and agrees that the City is not required to request any
services from Consultant via a Task Order under this Agreement.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin August 23,
2022 and end on June 30, 2024 for the completion of all Required Services. If City desires for Consultant to
continue to provide Required Services on Projects that are in-progress at the expiration date of this Agreement,
the City may, in its sole discretion, extend the term of this Agreement by administrative amendment to a date
needed to complete the Required Services .
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Co nsultant as identified in Section 2.B.,
above, City shall pay Contractor for the productive hours of time spent by Consultant in the performance of the
Required Services, at the rates or amounts as indicated below:
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Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
See Exhibit D for Applicable Hourly Rates
B. Reimbursement of Costs
For the cost of out of pocket expenses requested by the City and incurred by Consultant in the performance of
Required Services, City shall pay Consultant at the rates or amounts set forth below:
Initial Scope meeting No Cost
In County Travel Time No Cost
Reports, Original, Mylar No Cost
Copies, Reproductions of Final Reports/Mylars Cost Plus 10%
Outside Services Cost Plus 15%
Delivery Cost Plus 10%
Long Distance Telephone Charges No Cost
Other Actual Identifiable City- Approved Direct Costs Cost Plus 10%
Mileage IRS Standard Mileage Rate
Written City-Approved Overtime To be negotiated at time of written request and
approved by City
Consultant acknowledges and agrees that when reprographics and courier services are requested by the City,
expenses will be reimbursed at cost when performed by a third-party business entity and only when accompanied
by a copy of the original invoice.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 2024 shall not exceed $2,000,000. .
5. Special Provisions:
☒ Permitted Sub-Consultants: For Sub-Consultant list see Exhibit E.
☒ Notwithstanding the completion date set forth in Section 3 above, City has option to extend this Agreement
for three (3) additional terms, defined as a one-year increment. The City Manager or Director of Finance/Treasurer
shall be authorized to exercise the extensions on behalf of the City. If the City exercises an option to extend, each
extension shall be on the same terms and conditions contained herein, provided that the maximum amount to be
paid to Consultant for services performed during the option term(s) shall be as follows:
Option Year 1 (July 1, 2024 – June 30, 2025): $1,000,000.00*
Option Year 2 (July 1, 2025 – June 30, 2026): $1,000,000.00*
Option Year 3 (July 1, 2026 – June 30, 2027): $1,000,000.00*
* Amounts duly approved but not encumbered during the original Term or previously exercised option(s)-to-
extend may be carried over, in City’s sole discretion, to increase the maximum amounts during the option terms.
The City shall give written notice to Consultant of the City’s election to exercise the extension via the Notice of
Exercise of Option to Extend document. At this time the Consultant may submit a written request to the City to
increase the amounts specified in Exhibit D by up to three and a half percent (3.5%) for each extension.
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Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 30, 2027 shall not exceed $5,000,000. .
☒ Other:
Labor Code Compliance: Consultant and each of its subconsultants/subcontractors will comply with the State of
California’s prevailing wage rate requirements in accordance with California Labor Code, and all Federal, State,
and local laws and ordinances applicable to persons employed by them for public works in a covered work
classification. When payment of prevailing wages apply to the Required Services the wage rates and
transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial
Relations, State of California (DIR). The State’s prevailing wage rates determinations are available from the DIR
home page at www.dir.ca.gov/oprl/. The City has ascertained that general prevailing wage rates may be
applicable to all or a portion of the work to be performed for the Required Services. To verify compliance with
State prevailing wage requirements, the DIR maintains an online registry of contractors to which Consultant
and/or its subconsultants/subcontractors will be required to submit certified payrolls. Subject to the exceptions
provided in the California Labor code, no Consultant or any of its subconsultants/subcontractors shall be qualified
to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or
engage in the performance of any contract for public work unless currently registered with the DIR and qualified
to perform public work pursuant to California Labor Code section 1725.5. When payment of prevailing wages
applies to the Required Services, this Agreement becomes subject to compliance monitoring and enforcement by
the DIR. Nothing contained above shall be construed to any way limit Consultant’s obligations to comply with
all laws and regulations.
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Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
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EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a Statement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Salsman
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not incl ude
corporation or limited liability company).
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Consultant Name: ARDURRA GROUP Inc. Rev. 9/15/20
EXHIBIT D
RATE SCHEDULE
ARDURRA GROUP
RCS
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D-MAX ENGINEERING
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UNDERGROUND SOLUTIONS
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STC TRAFFIC
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EXHIBIT E
LIST OF SUBCONSULTANTS
Subconsultant Role Contact Information
D-Max
Engineering, Inc.
Stormwater inspection, Monitoring &
Reporting
7220 Trade St,
San Diego, CA 92121
Ph: 858-586-6600
Underground
Solutions, Inc.
Potholing 120 N Andreasen Dr.
Escondido, CA 92029
Ph: 760-294-9449
Rockwell
Construction
Services
Electrical/Controls 31480 Justin Place,
Valley Center, CA, 92082
STC Traffic Signals & Street Lighting Inspection 5973 Avenida Encinas #218
Carlsbad, CA 92008
Ph: 760602-4290
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1 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH DUDEK.
TO PROVIDE ON-CALL CIP CONSTRUCTION MANAGEMENT.
This Agreement is entered into effective as of August 23, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and DUDEK., a California Corporation (“Consultant”)
(collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, the City has a Capital Improvement Program (CIP) for improvements at various locations
throughout the City; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist with the construction
management activities on (CIP) projects and other City projects, and
WHEREAS, on March 4, 2022 a Request for Proposal/Qualifications for Professional Services for
Construction Management Services was issued for various Capital Improvement Program (CIP) projects and other
City projects; and,
WHEREAS, the consultant selection committee determined DUDEK, as one of four (4) Consultants to
provide the construction management services; and,
WHEREAS, the Consultant selection process was conducted in accordance with Section 2.56.110(C) of
the Chula Vista Municipal Code; and,
WHEREAS, consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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2 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.” Consultant shall not be
responsible for delays caused by circumstances beyond its reasonable control.
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additional
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the professional standard of care exercised by members of
the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry
standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry
standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
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Consultant Name: DUDEK. Rev. 9/15/20
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant under this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line-item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactorily performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.5 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.6 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
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4 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers ’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Consultant’s insurance
using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed
Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or
self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from
the insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
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Consultant Name: DUDEK. Rev. 9/15/20
right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents , and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liability,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
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Consultant Name: DUDEK. Rev. 9/15/20
proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree that may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
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Consultant Name: DUDEK. Rev. 9/15/20
all “Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount due a nd
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United
States or in any other country without the express, prior written consent of City. City shall have unrestricted
authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such
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Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of
the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Consultant shall make available to City, upon reasonable written
request by City, the necessary functional computer software and hardware for purposes of accessing,
compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be dee med
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
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or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
DUDEK. CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
George Litzinger, MARIA V. KACHADOORIAN
Project Principal CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Salsman
1800 Maxwell Road, Chula Vista CA 91911
619-397-6115
jsalsman@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
DUDEK.
George Litzinger, Project Principal
1645 S. Rancho Santa Fe Rd.
San Marcos, CA 92078
(619) 980-7048
glitzinger@dudek.com
For Legal Notice Copy to:
DUDEK.
George Litzinger, Project Principal
1645 S. Rancho Santa Fe Rd.
San Marcos, CA 92078
(619) 980-7048
glitzinger@dudek.com
2. Required Services
A. General Description:
Consultant shall provide project management and construction management consultant services at the direction
and to the satisfaction of the City Engineer for City of Chula Vista construction projects on an “as-needed” and
per project/assignment basis (each a “Task Order”) at the sole discretion of the City Task Orders will range from
complete construction project management and administration for a project to minor construction management
tasks depending on the needs of the City. Typical projects for which construction management consulting services
may be required include: Pavement Rehabilitation, Sewage Pump Station Construction and Rehabilitation, Sewer
Construction and Rehabilitation, Traffic Signal Modifications, Street Widening Improvements, ADA Curb Ramp
and Sidewalk Replacement, Signage and Striping, Stormwater Permanent BMP Construction, and similar work.
B. Detailed Description:
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1 Construction Management Services. Consultant will provide project management and construction
management services for civil infrastructure projects and other City projects as provided in a Task Order.
Each Task Order will include a not-to-exceed fee for all time, materials, and costs permitted to be incurred
for that Task Order. Consultant acknowledges and agrees that the City is not required to request that
Consultant provide any Required Services per a Task Order under this Agreement. Consultant
acknowledges and agrees that it is not entitled to any compensation under this Agreement until such time
that it has provided Required Services as explicitly authorized and approved by the City in accordance
with a Task Order and this Agreement.
2 Personnel. Consultant will provide qualified project managers, construction managers, inspectors,
engineers and/or construction specialists experienced in a wide variety of construction methods, project
management, contract administration and other related duties. All consultants shall have knowledge of
City codes, procedures, and regulations as well as Knowledge of SDRSD, Greenbook Specifications,
Caltrans Std. Plans and Specifications, City of Chula Vista Construction Standards, City of Chula Vista
Subdivision Manual, and City of Chula Vista Standard Special Provisions. Consultants shall also have
knowledge of requirements for local, state and federally funded projects. The City shall have the right to
make a determination as to the qualifications or performance of individual personnel and shall have the
right to require substitution of personnel. If such substitution is not immediately effectuated, City may
cancel the Task Order.
3 On-Call Services. Consultant acknowledges and agrees that service requests from the City under
this Agreement will be on an “as-needed” and per Task Order basis sole discretion of the City.
4 Task Order Proposal. Prior to issuance of a Task Order, Consultant shall confer with the Contract
Administrator and identify the scope of the Task Order. Consultant shall provide the City with a cost
proposal for work in the Task Order. The cost proposal shall set a not-to-exceed price and break down of
hours per unit of work and person completing the work.
5 Scope of Work. Consultant will provide the following services as needed on each project or
assignment:
5.1 Consultant shall be able to provide qualified construction inspectors, landscape inspectors,
electrical inspectors, engineers and/or construction managers experienced in a wide variety
of construction methods, project management, field inspection, traffic signal inspection,
contract administration, landscape inspection, utility potholing, and other related duties.
5.2 Supervise Contractor’s traffic control, detours, lane closures and staging plans.
5.3 Conduct on-site monitoring and inspection of construction activities to ensure contractor
compliance with: all construction contract specifications, plans, and schedules; all NPDES
General Construction and MS4 Stormwater permits & permit conditions.
5.4 Conduct stormwater inspections, monitoring and reporting for pre-construction activities
and post-construction Best Management Practices.
5.5 Conduct landscaping and irrigation inceptions in accordance with all codes and regulations,
per typical industry practice.
5.6 Conduct electrical inspections to certify electrical construction accordance with all codes
and regulations, per typical industry practice. Typical electrical inspections include pump
station, traffic signals, ROW lighting, and other non-building City infrastructure.
5.7 Monitor contractor’s compliance with all federal, state and local safety rules and
regulations.
5.8 Conduct and/or participate in mandatory safety training.
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Consultant Name: DUDEK. Rev. 9/15/20
5.9 Preparation and submittal of daily reports of construction activities, including equipment
and labor usage, description of work, location, progress, current issues.
5.10 Preparation and submittal of weekly statement of working days.
5.11 Photo document the project site and construction activities prior, during and after
completion of all work.
5.12 Interpretation of contract specifications and plans as required.
5.13 Coordination of City or consultant supplied surveying and testing services.
5.14 Perform office tasks including, but not limited to: CPM schedule reviews; maintain project
files (both paper and electronic); prepare project correspondence; prepare and maintain
project fiscal records; and other duties as required relative to contract administration for
the assignment.
5.15 Verification of contractor prevailing wage payments and compliance with federal and state
labor regulations.
5.16 Calculation of quantities and preparation of payment estimates.
5.17 Preparation of contract change orders and necessary supporting documents and forms.
5.18 Review, investigate, and recommend action on submittals & requests for information.
5.19 Coordination with utilities, state and local agencies, and the public.
5.20 Analyze, investigate, and recommend action on potential claims, contract disputes, and
claims.
5.21 Preparation of final reports and as-built drawings for the project.
5.22 Compliance with Caltrans Local Assistant Program for federally funded projects.
5.23 Utility location verification services by potholing methods for location and depth
verification. Scope of this task does not include services normally provided by
Underground Service Alert of Southern California (811, USA, Dig Alert,
https://www.california811.org/).
6 Standards for Deliverables.
6.1 The Consultant shall make project documentation available to City of Chula Vista at any
time during the project. At the conclusion of the project, the CM Consultant shall provide
the City with all project documentation including, but not limited to:
6.1.1 Correspondence
6.1.2 Submittals
6.1.3 Requests for Information
6.1.4 Pay requests
6.1.5 Design change notifications
6.1.6 As-built drawings and specifications
6.1.7 Quality Assurance/Code test and inspection results
6.1.8 Deficiency notices
6.1.9 Change orders
6.1.10 Meeting minutes
6.1.11 Daily field reports
6.2 The Consultant shall compile the construction documents in a final Construction
Summary Report. Copies containing the report shall be submitted to the City no more
than 30 days following construction completion.
7 Plan Review. Consultant may also be requested to review design plans, specifications, estimates,
proposals, studies and general engineering documents prepared by other engineers for constructability.
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Consultant Name: DUDEK. Rev. 9/15/20
8 Performance.
8.1 Provide services in accordance with specific projects on an As-Needed basis.
8.2 Commencement of work under this Agreement shall occur only upon receipt of a Task
Order signed by the City.
8.3 The cost of each Task Order under this Agreement shall be the negotiated cost for a
specific project during the term of the Agreement using firm fixed price, or not to exceed
price, or hourly rates.
8.4 Deliverables required are project specific and will be determined in the Task Order.
8.5 Consultant will provide for their staff all vehicles, tools, safety equipment, computer
equipment, software, consumables and accessories required for the work.
9 Software and Methodology. Consultant will identify software and methodology used for Project
completion and deliverables, which shall require prior approval of the City.
10 Records. Consultant will provide the City all original field notes, data, reports, records, photos
etc. of field and office tasks. Further, the Consultant shall maintain copies of all records related to the
project tasks performed for a period of five years
11 Meetings. All Project meetings are to be included in project scope and minutes shall be provided
to the City for approval.
12 Conflict of Interest. Consultant shall not retain any clients who are doing work under permits or
contractual agreements with the City of Chula Vista unless otherwise approved in writing by City
Engineer.
13 Work not listed in Schedule. If an occasion arises whereby the City requests work to be done which
is not listed in this schedule, the price of providing this work shall be negotiated in good faith between the
City and the Consultant. The negotiated price(s) shall not exceed the Schedule of Charges labeled as
Exhibit D to this agreement between the City and Consultant
14 No Assurance. Consultant acknowledges and agrees that the City is not required to request any
services from Consultant via a Task Order under this Agreement.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin August 23,
2022 and end on June 30, 2024 for the completion of all Required Services. If City desires for Consultant to
continue to provide Required Services on Projects that are in-progress at the expiration date of this Agreement,
the City may, in its sole discretion, extend the term of this Agreement by administrative amendment to a date
needed to complete the Required Services .
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Co nsultant as identified in Section 2.B.,
above, City shall pay Contractor for the productive hours of time spent by Consultant in the performance of the
Required Services, at the rates or amounts as indicated below:
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15 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
See Exhibit D for Applicable Hourly Rates
B. Reimbursement of Costs
For the cost of out of pocket expenses requested by the City and incurred by Consultant in the performance of
Required Services, City shall pay Consultant at the rates or amounts set forth below:
Initial Scope meeting No Cost
In County Travel Time No Cost
Reports, Original, Mylar No Cost
Copies, Reproductions of Final Reports/Mylars Cost Plus 10%
Outside Services Cost Plus 15%
Delivery Cost Plus 10%
Long Distance Telephone Charges No Cost
Other Actual Identifiable City- Approved Direct Costs Cost Plus 10%
Mileage IRS Standard Mileage Rate
Written City-Approved Overtime To be negotiated at time of written request and
approved by City
Consultant acknowledges and agrees that when reprographics and courier services are requested by the City,
expenses will be reimbursed at cost when performed by a third-party business entity and only when accompanied
by a copy of the original invoice.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 2024 shall not exceed $2,000,000. .
5. Special Provisions:
☒ Permitted Sub-Consultants: For Sub-Consultant list see Exhibit E.
☒ Notwithstanding the completion date set forth in Section 3 above, City has option to extend this Agreement
for three (3) additional terms, defined as a one-year increment. The City Manager or Director of Finance/Treasurer
shall be authorized to exercise the extensions on behalf of the City. If the City exercises an option to extend, each
extension shall be on the same terms and conditions contained herein, provided that the maximum amount to be
paid to Consultant for services performed during the option term(s) shall be as follows:
Option Year 1 (July 1, 2024 – June 30, 2025): $1,000,000.00*
Option Year 2 (July 1, 2025 – June 30, 2026): $1,000,000.00*
Option Year 3 (July 1, 2026 – June 30, 2027): $1,000,000.00*
* Amounts duly approved but not encumbered during the original Term or previously exercised option(s)-to-
extend may be carried over, in City’s sole discretion, to increase the maximum amounts during the option terms.
The City shall give written notice to Consultant of the City’s election to exercise the extension via the Notice of
Exercise of Option to Extend document. At this time the Consultant may submit a written request to the City to
increase the amounts specified in Exhibit D by up to three and a half percent (3.5%) for each extension.
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16 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 30, 2027 shall not exceed $5,000,000. .
☒ Other:
Labor Code Compliance: Consultant and each of its subconsultants/subcontractors will comply with the State of
California’s prevailing wage rate requirements in accordance with California Labor Code, and all Federal, State,
and local laws and ordinances applicable to persons employed by them for public works in a covered work
classification. When payment of prevailing wages apply to the Required Services the wage rates and
transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial
Relations, State of California (DIR). The State’s prevailing wage rates determinations are available from the DIR
home page at www.dir.ca.gov/oprl/. The City has ascertained that general prevailing wage rates may be
applicable to all or a portion of the work to be performed for the Required Services. To verify compliance with
State prevailing wage requirements, the DIR maintains an online registry of contractors to which Consultant
and/or its subconsultants/subcontractors will be required to submit certified payrolls. Subject to the exceptions
provided in the California Labor code, no Consultant or any of its subconsultants/subcontractors shall be qualified
to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or
engage in the performance of any contract for public work unless currently registered with the DIR and qualified
to perform public work pursuant to California Labor Code section 1725.5. When payment of prevailing wages
applies to the Required Services, this Agreement becomes subject to compliance monitoring and enforcement by
the DIR. Nothing contained above shall be construed to any way limit Consultant’s obligations to comply with
all laws and regulations.
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17 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
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18 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a Statement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691 -5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Salsman
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not incl ude
corporation or limited liability company).
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19 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
EXHIBIT D
RATE SCHEDULE
DUDEK
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20 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: DUDEK. Rev. 9/15/20
EXHIBIT E
LIST OF SUBCONSULTANTS
Subconsultant Role Contact Information
Atlas Technical
Consultants
Geotechnical/Materials Testing 14457 Meridian Pkwy.
March Air Reserve Base, CA 92518
Ph: 951-697-4777
Golden Triangle
Surveying
Surveying 1298 Naval Pl.
Vista, CA 92018
Ph: 760-758-7725
Rockwell
Construction
Services
Electrical/Controls 31480 Justin Place,
Valley Center, CA, 92082
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1 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH KLEINFELDER CONSTRUCTION SERVICES, INC.,
TO PROVIDE ON-CALL CIP CONSTRUCTION MANAGEMENT.
This Agreement is entered into effective as of August 23, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and KLEINFELDER CONSTRUCTION SERVICES,
INC.,, a California Corporation (“Consultant”) (collectively, the “Parties” and, individually, a “Party”) with
reference to the following facts:
RECITALS
WHEREAS, the City has a Capital Improvement Program (CIP) for improvements at various locations
throughout the City; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist with the construction
management activities on (CIP) projects and other City projects, and
WHEREAS, on March 4, 2022 a Request for Proposal/Qualifications for Professional Services for
Construction Management Services was issued for various Capital Improvement Program (CIP) projects and other
City projects; and,
WHEREAS, the consultant selection committee determined Kleinfelder Construction Services, Inc., as
one of four (4) Consultants to provide the construction management services; and,
WHEREAS, the Consultant selection process was conducted in accordance with Section 2.56.110(C) of
the Chula Vista Municipal Code; and,
WHEREAS, consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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2 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.” Consultant shall not be
responsible for delays caused by circumstances beyond its reasonable control.
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additional
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the highest standard of care exercised by members of the
profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all applicable laws,
codes, industry standards, and liability for damages caused by negligent acts, errors, omissions,
noncompliance with industry standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
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3 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant under this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line-item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactoril y performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.5 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.6 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
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4 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers ’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, and agents must be named as additional
insureds with respect to any policy of general liability, automobile, or pollution insurance specified as required
in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability additional insured
coverage must be provided in the form of an endorsement to the Consultant’s insurance using ISO CG 2010
(11/85) or its equivalent; such endorsement must not exclude Products/Completed Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, and agents. Any insurance or self-
insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from the
insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
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5 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liabilit y,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
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obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree tha t may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
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rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
all “Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount due and
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
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Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United
States or in any other country without the express, prior written consent of City. City shall have unrestricted
authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such
Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of
the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Consultant shall make available to City, upon reasonable written
request by City, the necessary functional computer software and hardware for purposes of accessing,
compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
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Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be deemed
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
8.11 Site Access. The Consultant, may, for the successful and timely completion of services, request that
City provides timely access to the site, including third party sites, if required.
(End of page. Next page is signature page.)
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SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
KLEINFELDER CONSTRUCTION
SERVICES, INC.,
CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
Rick Fitterer, MARIA V. KACHADOORIAN
Area Manager CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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11 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Salsman
1800 Maxwell Road, Chula Vista CA 91911
619-397-6115
jsalsman@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
KLEINFELDER CONSTRUCTION SERVICES, INC.,
Mark Plotnikiewicz, Project Manager
5761 Copley Drive, Suite 100
San Diego, CA 92111
(858) 223-8480
mplotnikiewicz.com
For Legal Notice Copy to:
KLEINFELDER CONSTRUCTION SERVICES, INC.,
5761 Copley Drive, Suite 100
San Diego, CA 92111
(858) 223-8500
2. Required Services
A. General Description:
Consultant shall provide project management and construction management consultant services at the direction
and to the satisfaction of the City Engineer for City of Chula Vista construction projects on an “as-needed” and
per project/assignment basis (each a “Task Order”) at the sole discretion of the City Task Orders will range from
complete construction project management and administration for a project to minor construction management
tasks depending on the needs of the City. Typical projects for which construction management consulting services
may be required include: Pavement Rehabilitation, Sewage Pump Station Construction and Rehabilitation, Sewer
Construction and Rehabilitation, Traffic Signal Modifications, Street Widening Improvements, ADA Curb Ramp
and Sidewalk Replacement, Signage and Striping, Stormwater Permanent BMP Construction, and similar work.
B. Detailed Description:
1 Construction Management Services. Consultant will provide project management and construction
management services for civil infrastructure projects and other City projects as provided in a Task Order.
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Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
Each Task Order will include a not-to-exceed fee for all time, materials, and costs permitted to be incurred
for that Task Order. Consultant acknowledges and agrees that the City is not required to request that
Consultant provide any Required Services per a Task Order under this Agreement. Consultant
acknowledges and agrees that it is not entitled to any compensation under this Agreement until such time
that it has provided Required Services as explicitly authorized and approved by the City in accordance
with a Task Order and this Agreement.
2 Personnel. Consultant will provide qualified project managers, construction managers, inspectors,
engineers and/or construction specialists experienced in a wide variety of construction methods, project
management, contract administration and other related duties. All consultants shall have knowledge of
City codes, procedures, and regulations as well as Knowledge of SDRSD, Greenbook Specifications,
Caltrans Std. Plans and Specifications, City of Chula Vista Construction Standards, City of Chula Vista
Subdivision Manual, and City of Chula Vista Standard Special Provisions. Consultants shall also have
knowledge of requirements for local, state and federally funded projects. The City shall have the right to
make a determination as to the qualifications or performance of individual personnel and shall have the
right to require substitution of personnel. If such substitution is not immediately effectuated, City may
cancel the Task Order.
3 On-Call Services. Consultant acknowledges and agrees that service requests from the City under
this Agreement will be on an “as-needed” and per Task Order basis sole discretion of the City.
4 Task Order Proposal. Prior to issuance of a Task Order, Consultant shall confer with the Contract
Administrator and identify the scope of the Task Order. Consultant shall provide the City with a cost
proposal for work in the Task Order. The cost proposal shall set a not-to-exceed price and break down of
hours per unit of work and person completing the work.
5 Scope of Work. Consultant will provide the following services as needed on each project or
assignment:
5.1 Consultant shall be able to provide qualified construction inspectors, landscape inspectors,
electrical inspectors, engineers and/or construction managers experienced in a wide variety
of construction methods, project management, field inspection, traffic signal inspection,
contract administration, landscape inspection, utility potholing, and other related duties.
5.2 Supervise Contractor’s traffic control, detours, lane closures and staging plans.
5.3 Conduct on-site monitoring and inspection of construction activities to ensure contractor
compliance with: all construction contract specifications, plans, and schedules; all NPDES
General Construction and MS4 Stormwater permits & permit conditions.
5.4 Conduct stormwater inspections, monitoring and reporting for pre-construction activities
and post-construction Best Management Practices.
5.5 Conduct landscaping and irrigation inceptions in accordance with all codes and regulations,
per typical industry practice.
5.6 Conduct electrical inspections to certify electrical construction accordance with all codes
and regulations, per typical industry practice. Typical electrical inspections include pump
station, traffic signals, ROW lighting, and other non-building City infrastructure.
5.7 Monitor contractor’s compliance with all federal, state and local safety rules and
regulations.
5.8 Conduct and/or participate in mandatory safety training.
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5.9 Preparation and submittal of daily reports of construction activities, including equipment
and labor usage, description of work, location, progress, current issues.
5.10 Preparation and submittal of weekly statement of working days.
5.11 Photo document the project site and construction activities prior, during and after
completion of all work.
5.12 Interpretation of contract specifications and plans as required.
5.13 Coordination of City or consultant supplied surveying and testing services.
5.14 Perform office tasks including, but not limited to: CPM schedule reviews; maintain project
files (both paper and electronic); prepare project correspondence; prepare and maintain
project fiscal records; and other duties as required relative to contract administration for
the assignment.
5.15 Verification of contractor prevailing wage payments and compliance with federal and state
labor regulations.
5.16 Calculation of quantities and preparation of payment estimates.
5.17 Preparation of contract change orders and necessary supporting documents and forms.
5.18 Review, investigate, and recommend action on submittals & requests for information.
5.19 Coordination with utilities, state and local agencies, and the public.
5.20 Analyze, investigate, and recommend action on potential claims, contract disputes, and
claims.
5.21 Preparation of final reports and as-built drawings for the project.
5.22 Compliance with Caltrans Local Assistant Program for federally funded projects.
5.23 Utility location verification services by potholing methods for location and depth
verification. Scope of this task does not include services normally provided by
Underground Service Alert of Southern California (811, USA, Dig Alert,
https://www.california811.org/).
6 Standards for Deliverables.
6.1 The Consultant shall make project documentation available to City of Chula Vista at any
time during the project. At the conclusion of the project, the CM Consultant shall provide
the City with all project documentation including, but not limited to:
6.1.1 Correspondence
6.1.2 Submittals
6.1.3 Requests for Information
6.1.4 Pay requests
6.1.5 Design change notifications
6.1.6 As-built drawings and specifications
6.1.7 Quality Assurance/Code test and inspection results
6.1.8 Deficiency notices
6.1.9 Change orders
6.1.10 Meeting minutes
6.1.11 Daily field reports
6.2 The Consultant shall compile the construction documents in a final Construction
Summary Report. Copies containing the report shall be submitted to the City no more
than 30 days following construction completion.
7 Plan Review. Consultant may also be requested to review design plans, specifications, estimates,
proposals, studies and general engineering documents prepared by other engineers for constructability.
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8 Performance.
8.1 Provide services in accordance with specific projects on an As-Needed basis.
8.2 Commencement of work under this Agreement shall occur only upon receipt of a Task
Order signed by the City.
8.3 The cost of each Task Order under this Agreement shall be the negotiated cost for a
specific project during the term of the Agreement using firm fixed price, or not to exceed
price, or hourly rates.
8.4 Deliverables required are project specific and will be determined in the Task Order.
8.5 Consultant will provide for their staff all vehicles, tools, safety equipment, computer
equipment, software, consumables and accessories required for the work.
9 Software and Methodology. Consultant will identify software and methodology used for Project
completion and deliverables, which shall require prior approval of the City.
10 Records. Consultant will provide the City all original field notes, data, reports, records, photos
etc. of field and office tasks. Further, the Consultant shall maintain copies of all records related to the
project tasks performed for a period of five years
11 Meetings. All Project meetings are to be included in project scope and minutes shall be provided
to the City for approval.
12 Conflict of Interest. Consultant shall not retain any clients who are doing work under permits or
contractual agreements with the City of Chula Vista unless otherwise approved in writing by City
Engineer.
13 Work not listed in Schedule. If an occasion arises whereby the City requests work to be done which
is not listed in this schedule, the price of providing this work shall be negotiated in good faith between the
City and the Consultant. The negotiated price(s) shall not exceed the Schedule of Charges labeled as
Exhibit D to this agreement between the City and Consultant
14 No Assurance. Consultant acknowledges and agrees that the City is not required to request any
services from Consultant via a Task Order under this Agreement.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin August 23,
2022 and end on June 30, 2024 for the completion of all Required Services. If City desires for Consultant to
continue to provide Required Services on Projects that are in-progress at the expiration date of this Agreement,
the City may, in its sole discretion, extend the term of this Agreement by administrative amendment to a date
needed to complete the Required Services .
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Co nsultant as identified in Section 2.B.,
above, City shall pay Contractor for the productive hours of time spent by Consultant in the performance of the
Required Services, at the rates or amounts as indicated below:
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Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
See Exhibit D for Applicable Hourly Rates
B. Reimbursement of Costs
For the cost of out of pocket expenses requested by the City and incurred by Consultant in the performance of
Required Services, City shall pay Consultant at the rates or amounts set forth below:
Initial Scope meeting No Cost
In County Travel Time No Cost
Reports, Original, Mylar No Cost
Copies, Reproductions of Final Reports/Mylars Cost Plus 10%
Outside Services Cost Plus 15%
Delivery Cost Plus 10%
Long Distance Telephone Charges No Cost
Other Actual Identifiable City- Approved Direct Costs Cost Plus 10%
Mileage IRS Standard Mileage Rate
Written City-Approved Overtime To be negotiated at time of written request and
approved by City
Consultant acknowledges and agrees that when reprographics and courier services are requested by the City,
expenses will be reimbursed at cost when performed by a third-party business entity and only when accompanied
by a copy of the original invoice.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 2024 shall not exceed $2,000,000. .
5. Special Provisions:
☒ Permitted Sub-Consultants: For Sub-Consultant list see Exhibit E.
☒ Notwithstanding the completion date set forth in Section 3 above, City has option to extend this Agreement
for three (3) additional terms, defined as a one-year increment. The City Manager or Director of Finance/Treasurer
shall be authorized to exercise the extensions on behalf of the City. If the City exercises an option to extend, each
extension shall be on the same terms and conditions contained herein, provided that the maximum amount to be
paid to Consultant for services performed during the option term(s) shall be as follows:
Option Year 1 (July 1, 2024 – June 30, 2025): $1,000,000.00*
Option Year 2 (July 1, 2025 – June 30, 2026): $1,000,000.00*
Option Year 3 (July 1, 2026 – June 30, 2027): $1,000,000.00*
* Amounts duly approved but not encumbered during the original Term or previously exercised option(s)-to-
extend may be carried over, in City’s sole discretion, to increase the maximum amounts during the option terms.
The City shall give written notice to Consultant of the City’s election to exercise the extension via the Notice of
Exercise of Option to Extend document. At this time the Consultant may submit a written request to the City to
increase the amounts specified in Exhibit D by up to three and a half percent (3.5%) for each extension.
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Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 30, 2027 shall not exceed $5,000,000. .
☒ Other:
Labor Code Compliance: Consultant and each of its subconsultants/subcontractors will comply with the State of
California’s prevailing wage rate requirements in accordance with California Labor Code, and all Federal, State,
and local laws and ordinances applicable to persons employed by them for public works in a covered work
classification. When payment of prevailing wages apply to the Required Services the wage rates and
transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial
Relations, State of California (DIR). The State’s prevailing wage rates determinations are available from the DIR
home page at www.dir.ca.gov/oprl/. The City has ascertained that general prevailing wage rates may be
applicable to all or a portion of the work to be performed for the Required Services. To verify compliance with
State prevailing wage requirements, the DIR maintains an online registry of contractors to which Consultant
and/or its subconsultants/subcontractors will be required to submit certified payrolls. Subject to the exceptions
provided in the California Labor code, no Consultant or any of its subconsultants/subcontractors shall be qualified
to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or
engage in the performance of any contract for public work unless currently registered with the DIR and qualified
to perform public work pursuant to California Labor Code section 1725.5. When payment of prevailing wages
applies to the Required Services, this Agreement becomes subject to compliance monitoring and enforcement by
the DIR. Nothing contained above shall be construed to any way limit Consultant’s obligations to comply with
all laws and regulations.
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17 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
2022/08/23 City Council Post Agenda Page 179 of 573
18 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a Statement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691 -5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Salsman
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not incl ude
corporation or limited liability company).
2022/08/23 City Council Post Agenda Page 180 of 573
19 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
EXHIBIT D
RATE SCHEDULE
KLEINFELDER CONSTRUCTION SERVICES
2022/08/23 City Council Post Agenda Page 181 of 573
20 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 182 of 573
21 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 183 of 573
22 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 184 of 573
23 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 185 of 573
24 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 186 of 573
25 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 187 of 573
26 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 188 of 573
27 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 189 of 573
28 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
2022/08/23 City Council Post Agenda Page 190 of 573
29 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
AIRX UTILITY SURVEYORS
2022/08/23 City Council Post Agenda Page 191 of 573
30 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: KLEINFELDER CONSTRUCTION SERVICES,
INC., Rev. 9/15/20
EXHIBIT E
LIST OF SUBCONSULTANTS
Subconsultant Role Contact Information
Reddy
Engineering
Civil/Landscape Inspectors 9655 Granite Ridge Dr.
San Diego, CA 92123
Ph: 858-308-2801
CA Wehsener
Engineering
Electrical Inspectors 10453 Russell Rd.
La Mesa, CA 91941
Ph: 760-594-1958
STC Traffic Traffic Inspectors 5973 Avenida Encinas #218
Carlsbad, CA 92008
Ph: 760-602-4290
AirX Utility
Services
Potholing 785 E Mission Rd. Ste 100
San Marcos, CA 92069
Ph: 760480-2347
Guida Surveying Surveying 380 State Pl.
Escondido, CA92029
Ph: 760-317-9819
Gonzalez White
Consulting
Services
Labor Compliance Teresa Gonzalez-White
Ph: 619-518-1821
2022/08/23 City Council Post Agenda Page 192 of 573
1 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH PROJECT PROFESSIONALS CORPORATION.
TO PROVIDE ON-CALL CIP CONSTRUCTION MANAGEMENT.
This Agreement is entered into effective as of August 23, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and PROJECT PROFESSIONALS CORPORATION.,
a California Corporation (“Consultant”) (collectively, the “Parties” and, individually, a “Party”) with reference
to the following facts:
RECITALS
WHEREAS, the City has a Capital Improvement Program (CIP) for improvements at various locations
throughout the City; and
WHEREAS, the City has identified the need to enlist qualified consultants to assist with the construction
management activities on (CIP) projects and other City projects, and
WHEREAS, on March 4, 2022 a Request for Proposal/Qualifications for Professional Services for
Construction Management Services was issued for various Capital Improvement Program (CIP) projects and other
City projects; and,
WHEREAS, the consultant selection committee determined Project Professionals Corporation, as one of
four (4) Consultants to provide the construction management services; and,
WHEREAS, the Consultant selection process was conducted in accordance with Section 2.56.110(C) of
the Chula Vista Municipal Code; and,
WHEREAS, consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
2022/08/23 City Council Post Agenda Page 193 of 573
2 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.” Consultant shall not be
responsible for delays caused by circumstances beyond its reasonable control.
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additional
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the professional standard of care exercised by members of
the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry
standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry
standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
2022/08/23 City Council Post Agenda Page 194 of 573
3 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant under this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line-item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactorily performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.5 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.6 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
2022/08/23 City Council Post Agenda Page 195 of 573
4 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers ’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Consultant’s insurance
using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed
Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or
self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from
the insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
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5 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents , and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liability,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
2022/08/23 City Council Post Agenda Page 197 of 573
6 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree that may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
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7 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
all “Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount due a nd
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United
States or in any other country without the express, prior written consent of City. City shall have unrestricted
authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such
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8 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of
the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Consultant shall make available to City, upon reasonable written
request by City, the necessary functional computer software and hardware for purposes of accessing,
compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be dee med
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
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9 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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10 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
PROJECT PROFESSIONALS
CORPORATION.
CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
Byron S. Wade, MARIA V. KACHADOORIAN
President/CEO
CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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11 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Salsman
1800 Maxwell Road, Chula Vista CA 91911
619-397-6115
jsalsman@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
PROJECT PROFESSIONALS CORPORATION.
Byron S. Wade
4499 Ruffin Road, Suite 250
San Diego, CA 92123
(585) 634-8180
byron@ppc-sd.com
For Legal Notice Copy to:
PROJECT PROFESSIONALS CORPORATION.
Byron S. Wade
4499 Ruffin Road, Suite 250
San Diego, CA 92123
(585) 634-8180
byron@ppc-sd.com
2. Required Services
A. General Description:
Consultant shall provide project management and construction management consultant services at the direction
and to the satisfaction of the City Engineer for City of Chula Vista construction projects on an “as-needed” and
per project/assignment basis (each a “Task Order”) at the sole discretion of the City Task Orders will range from
complete construction project management and administration for a project to minor construction management
tasks depending on the needs of the City. Typical projects for which construction management consulting services
may be required include: Pavement Rehabilitation, Sewage Pump Station Construction and Rehabilitation, Sewer
Construction and Rehabilitation, Traffic Signal Modifications, Street Widening Improvements, ADA Curb Ramp
and Sidewalk Replacement, Signage and Striping, Stormwater Permanent BMP Construction, and similar work.
B. Detailed Description:
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12 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
1 Construction Management Services. Consultant will provide project management and construction
management services for civil infrastructure projects and other City projects as provided in a Task Order.
Each Task Order will include a not-to-exceed fee for all time, materials, and costs permitted to be incurred
for that Task Order. Consultant acknowledges and agrees that the City is not required to request that
Consultant provide any Required Services per a Task Order under this Agreement. Consultant
acknowledges and agrees that it is not entitled to any compensation under this Agreement until such time
that it has provided Required Services as explicitly authorized and approved by the City in accordance
with a Task Order and this Agreement.
2 Personnel. Consultant will provide qualified project managers, construction managers, inspectors,
engineers and/or construction specialists experienced in a wide variety of construction methods, project
management, contract administration and other related duties. All consultants shall have knowledge of
City codes, procedures, and regulations as well as Knowledge of SDRSD, Greenbook Specifications,
Caltrans Std. Plans and Specifications, City of Chula Vista Construction Standard s, City of Chula Vista
Subdivision Manual, and City of Chula Vista Standard Special Provisions. Consultants shall also have
knowledge of requirements for local, state and federally funded projects. The City shall have the right to
make a determination as to the qualifications or performance of individual personnel and shall have the
right to require substitution of personnel. If such substitution is not immediately effectuated, City may
cancel the Task Order.
3 On-Call Services. Consultant acknowledges and agrees that service requests from the City under
this Agreement will be on an “as-needed” and per Task Order basis sole discretion of the City.
4 Task Order Proposal. Prior to issuance of a Task Order, Consultant shall confer with the Contract
Administrator and identify the scope of the Task Order. Consultant shall provide the City with a cost
proposal for work in the Task Order. The cost proposal shall set a not-to-exceed price and break down of
hours per unit of work and person completing the work.
5 Scope of Work. Consultant will provide the following services as needed on each project or
assignment:
5.1 Consultant shall be able to provide qualified construction inspectors, landscape inspectors,
electrical inspectors, engineers and/or construction managers experienced in a wide variety
of construction methods, project management, field inspection, traffic signal inspection,
contract administration, landscape inspection, utility potholing, and other related duties.
5.2 Supervise Contractor’s traffic control, detours, lane closures and staging plans.
5.3 Conduct on-site monitoring and inspection of construction activities to ensure contractor
compliance with: all construction contract specifications, plans, and schedules; all NPDES
General Construction and MS4 Stormwater permits & permit conditions.
5.4 Conduct stormwater inspections, monitoring and reporting for pre-construction activities
and post-construction Best Management Practices.
5.5 Conduct landscaping and irrigation inceptions in accordance with all codes and regulations,
per typical industry practice.
5.6 Conduct electrical inspections to certify electrical construction accordance with all codes
and regulations, per typical industry practice. Typical electrical inspections include pump
station, traffic signals, ROW lighting, and other non-building City infrastructure.
5.7 Monitor contractor’s compliance with all federal, state and local safety rules and
regulations.
5.8 Conduct and/or participate in mandatory safety training.
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Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
5.9 Preparation and submittal of daily reports of construction activities, including equipment
and labor usage, description of work, location, progress, current issues.
5.10 Preparation and submittal of weekly statement of working days.
5.11 Photo document the project site and construction activities prior, during and after
completion of all work.
5.12 Interpretation of contract specifications and plans as required.
5.13 Coordination of City or consultant supplied surveying and testing services.
5.14 Perform office tasks including, but not limited to: CPM schedule reviews; maintain project
files (both paper and electronic); prepare project correspondence; prepare and maintain
project fiscal records; and other duties as required relative to contract administration for
the assignment.
5.15 Verification of contractor prevailing wage payments and compliance with federal and state
labor regulations.
5.16 Calculation of quantities and preparation of payment estimates.
5.17 Preparation of contract change orders and necessary supporting documents and forms.
5.18 Review, investigate, and recommend action on submittals & requests for information.
5.19 Coordination with utilities, state and local agencies, and the public.
5.20 Analyze, investigate, and recommend action on potential claims, contract disputes, and
claims.
5.21 Preparation of final reports and as-built drawings for the project.
5.22 Compliance with Caltrans Local Assistant Program for federally funded projects.
5.23 Utility location verification services by potholing methods for location and depth
verification. Scope of this task does not include services normally provided by
Underground Service Alert of Southern California (811, USA, Dig Alert,
https://www.california811.org/).
6 Standards for Deliverables.
6.1 The Consultant shall make project documentation available to City of Chula Vista at any
time during the project. At the conclusion of the project, the CM Consultant shall provide
the City with all project documentation including, but not limited to:
6.1.1 Correspondence
6.1.2 Submittals
6.1.3 Requests for Information
6.1.4 Pay requests
6.1.5 Design change notifications
6.1.6 As-built drawings and specifications
6.1.7 Quality Assurance/Code test and inspection results
6.1.8 Deficiency notices
6.1.9 Change orders
6.1.10 Meeting minutes
6.1.11 Daily field reports
6.2 The Consultant shall compile the construction documents in a final Construction
Summary Report. Copies containing the report shall be submitted to the City no more
than 30 days following construction completion.
7 Plan Review. Consultant may also be requested to review design plans, specifications, estimates,
proposals, studies and general engineering documents prepared by other engineers for constructability.
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Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
8 Performance.
8.1 Provide services in accordance with specific projects on an As-Needed basis.
8.2 Commencement of work under this Agreement shall occur only upon receipt of a Task
Order signed by the City.
8.3 The cost of each Task Order under this Agreement shall be the negotiated cost for a
specific project during the term of the Agreement using firm fixed price, or not to exceed
price, or hourly rates.
8.4 Deliverables required are project specific and will be determined in the Task Order.
8.5 Consultant will provide for their staff all vehicles, tools, safety equipment, computer
equipment, software, consumables and accessories required for the work.
9 Software and Methodology. Consultant will identify software and methodology used for Project
completion and deliverables, which shall require prior approval of the City.
10 Records. Consultant will provide the City all original field notes, data, reports, records, photos
etc. of field and office tasks. Further, the Consultant shall maintain copies of all records related to the
project tasks performed for a period of five years
11 Meetings. All Project meetings are to be included in project scope and minutes shall be provided
to the City for approval.
12 Conflict of Interest. Consultant shall not retain any clients who are doing work under permits or
contractual agreements with the City of Chula Vista unless otherwise approved in writing by City
Engineer.
13 Work not listed in Schedule. If an occasion arises whereby the City requests work to be done which
is not listed in this schedule, the price of providing this work shall be negotiated in good faith between the
City and the Consultant. The negotiated price(s) shall not exceed the Schedule of Charges labeled as
Exhibit D to this agreement between the City and Consultant
14 No Assurance. Consultant acknowledges and agrees that the City is not required to request any
services from Consultant via a Task Order under this Agreement.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin August 23,
2022 and end on June 30, 2024 for the completion of all Required Services. If City desires for Consultant to
continue to provide Required Services on Projects that are in-progress at the expiration date of this Agreement,
the City may, in its sole discretion, extend the term of this Agreement by administrative amendment to a date
needed to complete the Required Services .
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Co nsultant as identified in Section 2.B.,
above, City shall pay Contractor for the productive hours of time spent by Consultant in the performance of the
Required Services, at the rates or amounts as indicated below:
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15 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
See Exhibit D for Applicable Hourly Rates
B. Reimbursement of Costs
For the cost of out of pocket expenses requested by the City and incurred by Consultant in the performance of
Required Services, City shall pay Consultant at the rates or amounts set forth below:
Initial Scope meeting No Cost
In County Travel Time No Cost
Reports, Original, Mylar No Cost
Copies, Reproductions of Final Reports/Mylars Cost Plus 10%
Outside Services Cost Plus 15%
Delivery Cost Plus 10%
Long Distance Telephone Charges No Cost
Other Actual Identifiable City- Approved Direct Costs Cost Plus 10%
Mileage IRS Standard Mileage Rate
Written City-Approved Overtime To be negotiated at time of written request and
approved by City
Consultant acknowledges and agrees that when reprographics and courier services are requested by the City,
expenses will be reimbursed at cost when performed by a third-party business entity and only when accompanied
by a copy of the original invoice.
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 2024 shall not exceed $2,000,000. .
5. Special Provisions:
☒ Permitted Sub-Consultants: For Sub-Consultant list see Exhibit E.
☒ Notwithstanding the completion date set forth in Section 3 above, City has option to extend this Agreement
for three (3) additional terms, defined as a one-year increment. The City Manager or Director of Finance/Treasurer
shall be authorized to exercise the extensions on behalf of the City. If the City exercises an option to extend, each
extension shall be on the same terms and conditions contained herein, provided that the maximum amount to be
paid to Consultant for services performed during the option term(s) shall be as follows:
Option Year 1 (July 1, 2024 – June 30, 2025): $1,000,000.00*
Option Year 2 (July 1, 2025 – June 30, 2026): $1,000,000.00*
Option Year 3 (July 1, 2026 – June 30, 2027): $1,000,000.00*
* Amounts duly approved but not encumbered during the original Term or previously exercised option(s)-to-
extend may be carried over, in City’s sole discretion, to increase the maximum amounts during the option terms.
The City shall give written notice to Consultant of the City’s election to exercise the extension via the Notice of
Exercise of Option to Extend document. At this time the Consultant may submit a written request to the City to
increase the amounts specified in Exhibit D by up to three and a half percent (3.5%) for each extension.
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16 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through
June 30, 2027 shall not exceed $5,000,000. .
☒ Other:
Labor Code Compliance: Consultant and each of its subconsultants/subcontractors will comply with the State of
California’s prevailing wage rate requirements in accordance with California Labor Code, and all Federal, State,
and local laws and ordinances applicable to persons employed by them for public works in a covered work
classification. When payment of prevailing wages apply to the Required Services the wage rates and
transportation and subsistence costs shall be reimbursed at the minimum rates set by the Department of Industrial
Relations, State of California (DIR). The State’s prevailing wage rates determinations are available from the DIR
home page at www.dir.ca.gov/oprl/. The City has ascertained that general prevailing wage rates may be
applicable to all or a portion of the work to be performed for the Required Services. To verify compliance with
State prevailing wage requirements, the DIR maintains an online registry of contractors to which Consultant
and/or its subconsultants/subcontractors will be required to submit certified payrolls. Subject to the exceptions
provided in the California Labor code, no Consultant or any of its subconsultants/subcontractors shall be qualified
to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or
engage in the performance of any contract for public work unless currently registered with the DIR and qualified
to perform public work pursuant to California Labor Code section 1725.5. When payment of prevailing wages
applies to the Required Services, this Agreement becomes subject to compliance monitoring and enforcement by
the DIR. Nothing contained above shall be construed to any way limit Consultant’s obligations to comply with
all laws and regulations.
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17 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
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18 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a Statement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691 -5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Salsman
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not incl ude
corporation or limited liability compan y).
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19 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
EXHIBIT D
RATE SCHEDULE
PROJECT PROFESSIONALS CORPORATION
2022/08/23 City Council Post Agenda Page 211 of 573
20 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
D-MAX ENGINEERING, INC
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Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
STC TRAFFIC
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Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
C-BELOW
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Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
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24 City of Chula Vista Agreement No.: Obtain From City Clerk x5961
Consultant Name: PROJECT PROFESSIONALS CORPORATION. Rev. 9/15/20
EXHIBIT E
LIST OF SUBCONSULTANTS
Subconsultant Role Contact Information
D-Max
Engineering, Inc.
Environmental and Quality Control
Compliance
7220 Trade St,
San Diego, CA 92121
Ph: 858-586-6600
C-Below Potholing/Utility location and Inspection 14280 Euclid Ave.
Chino, CA 91710
Ph: 888-90-BELOW
STC Traffic Traffic Control 5973 Avenida Encinas #218
Carlsbad, CA 92008
Ph: 760-602-4290
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v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE Agreement: Approve a Cooperative Purchasing Agreement with Sweep America Intermediate
Holdings, LLC, dba Sweeping Corporation of America (SCA) for Street Sweeping Services
Report Number:22-0227
Location: Citywide
Department: Public Works
Environmental Notice: The Project qualifies for a Class 1 Categorical Exemption pursuant to Section
15301 (Existing Facilities) of the California Environmental Quality Act State Guidelines.
Recommended Action
Adopt a resolution approving a cooperative purchasing agreement with Sweeping Corporation of America
(SCA) for street sweeping services, with an initial term expiring on June 30, 2023 and two options to renew
for additional one-year terms, and a maximum contract amount not-to-exceed $2,000,000 if all options to
extend are exercised.
SUMMARY
Section 2.56.140 of the Chula Vista Municipal Code authorizes the City to contract for goods or services
through a cooperative purchase arrangement provided the goods or services were purchased through a
competitive process that the Purchasing Agent determines to be consistent with the goods purchase
practices; Staff recommendation is that Council approve the Cooperative Purchase Agreement with
Sweeping Corporation of America for street sweeping services.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed project for compliance with the California
Environmental Quality Act (CEQA) and has determined that the project qualifies for a Class 1 Categorical
Exemption pursuant to Section 15301 (Existing Facilities) of the State CEQA Guidelines because the project
involves negligible or no expansion of an existing use. Thus, no further environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION Not Applicable
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P a g e | 2
DISCUSSION
Sourcewell issued a public solicitation for Facilities Maintenance Services and awarded a contract to Sweep
America Intermediate Holdings, LLC, dba Sweeping Corp of America (SCA) to provide street sweeping
equipment, products, or services to the government entities that access Sourcewell’s cooperative purchasing
contracts.
SCA is the largest self-performing sweeping company in the United States. Since 2017, SCA has completed
25 acquisitions, including former locally owned Canon Pacific Services Inc. The City previously contracted
with Canon Pacific Services. As of May 2021, SCA has 50 operating locations.
SCA is a certified Sweeping Company by the North American Power Sweeping Association (NAPSA) and all
equipment used by SCA complies with the latest EPA emission standards. SCA is the only sweeping company
to offer the proprietary Verified Sweeping Service® (VSS) to show proof that work was act ually performed.
Any customer can log into their own portal to see real time data.
The cooperative purchase agreement with SCA includes the sweeping of all City public streets (that have
been accepted by the City), center islands/medians, centerlines, and designated parking lots. The streets and
parking lots to be cleaned and frequency of cleaning are listed in the attached contract. Payment will be based
on the rates and quantities indicated. Special sweeping will be on an as-needed basis, such as sweeping after
a special event, paid at an hourly rate as indicated in the agreement.
The streets and parking lots to be cleaned are divided into the following categories:
Class A: (Residential) Streets to be swept once every two months.
Class B: (Business/Commercial) Streets to be swept once every two weeks
Class C: (Commercial) Streets to be swept once every two weeks
Class D: Center lines to be swept once every two months
Class E: Center lines to be swept once every two months
Class F: Non-curbed street to be swept once every two months
Class G: Parking lots to be swept once every two months
Class H: Other special sweeping requested by the City at the agreed upon rate stipulated within the
contract
The proposed initial term of the contract is one year, effective July 1, 2022 and it expires June 30, 2023. SCA
has been providing street sweeping services on a month -to-month basis. The contract may be extended for
a total of (2) additional one-year extensions. The maximum length of the contract is three (3) years if both
extensions are exercised.
Pending prevailing wage legislation (Assembly Bill (AB) 1886) could subject some or all of the services in the
contract to state law prevailing wage requirements. If such legislation passes and subjects the services in
the contract to prevailing wage law, then the hourly rates will increase to reflect prevailing wage rates. The
contract includes two rate schedules that reflect a non-prevailing wage rate and a prevailing wage rate.
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P a g e | 3
The total value of the contract at non-prevailing wage rates will be $350,000 per fiscal year for a total of
$1.25 million if all options to extend are exercised. The total value of the contract at prevailing wage rates
will be $565,000 per fiscal year for a total of $2.0 million if all options to extend are exercised.
DECISION-MAKER CONFLICT
Staff has determined that this decision solely concerns repairs, replacement, or maintenance of existing
streets, water, sewer, storm drainage or similar facilities and therefore pursuant to California Code of
Regulations Title 2, sections 18700 and 18702.2(d)(1)) does not present a real property-related conflict of
interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
CURRENT-YEAR FISCAL IMPACT
Funding for the first year of the contract under non-prevailing wage rates is included within the Fiscal Year
2022-2023 Public Works budget. If AB 1886 passes, it will require increased appropriations that will be
addressed during the quarterly budget monitoring process.
ONGOING FISCAL IMPACT
The annual contract cost will be included in the annual budget for Public Works and will be considered as
part of the annual budget development process.
ATTACHMENTS
1. Cooperative Purchasing Agreement with Sweeping Corporation of America.
Staff Contact: Kalani Camacho, Public Works Superintendent
2022/08/23 City Council Post Agenda Page 219 of 573
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A COOPERATIVE
PURCHASING AGREEMENT FOR STREET SWEEPING
SERVICES BETWEEN THE CITY AND SWEEP AMERICA
INTERMEDIATE HOLDINGS, LLC DBA SWEEPING
CORPORATION OF AMERICA
WHEREAS, Chula Vista Municipal Code section 2.56.140 authorizes the City to contract
for goods or services through a cooperative purchase arrangement provided the goods or services
were purchased through a competitive process that the Purchasing Agent determines to be
consistent with the goods purchase practices; and
WHEREAS, on May 6, 2021, a request for proposals (RFP) was posted on the Sourcewell
Procurement Portal for Facility Maintenance Services to result in a contracting solution for use by
its participating entities; and
WHEREAS, on June 24, 2021, eight proposals were received and the proposals were rated
based on the following predetermined criteria: conformance to RFP requirements, pricing,
financial viability and marketplace success, ability to sell and deliver service, marketing plan,
value added attributes, warranty, depth and breadth of offered equipment, products, or services;
and
WHEREAS, Sourcewell awarded a street sweeping contract to Sweep America
Intermediate Holdings, LLC dba Sweeping Corp of America; and
WHEREAS, staff recommends entering into a cooperative agreement with Sweeping Corp
of America pursuant to the above Sourcewell solicitation; and
WHEREAS, the proposed initial term would exprie on June 30, 2023, and upon satisfactory
work performance, could be extended for two additional one-year terms; and
WHEREAS, the proposed agreement contains an alternate schedule for payment terms
should prevailing wage rates become legally required during the term of the agreement; and
WHEREAS, the proposed agreement includes a not-to-exceed contract amount of
$2,000,000 for the initial term and all potential options to extend; and
WHEREAS, staff recommends that the City Council approve a Cooperative Purchase
Agreement with Sweeping Corp of America for street sweeping services; and
WHEREAS, funding for the proposed agreement at the non-prevailing wage rates has been
appropriated in the Fiscal Year 2022-2023 Public Works Street Maintenance budget.
2022/08/23 City Council Post Agenda Page 220 of 573
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista
that it hereby approves the Cooperative Purchase Agreement with Sweeping Corp of America to
Provide Street Sweeping Services, in the form presented, with such minor modifications as may
be required or approved by the City Attorney, a copy of which shall be kept on file in the Office
of the City Clerk, and authorizes and directs the City Manager or designee to execute the same.
Presented by Approved as to form by
Matthew Little Glen R. Googins
Director of Public Works City Attorney
2022/08/23 City Council Post Agenda Page 221 of 573
CITY OF CHULA VISTA
COOPERATIVE PURCHASING AGREEMENT
WITH SWEEPING CORP OF AMERICA
TO PROVIDE STREET SWEEPING SERVICES
This Cooperative Purchasing Agreement (“Agreement”) is made and entered into between
the City of Chula Vista (“City”) and Sweep America Intermediate Holdings, LLC; dba Sweeping
Corp of America (“Contractor”) (collectively, the “Parties” and, individually, a “Party”) with
reference to the following facts:
RECITALS
WHEREAS, Sweeping Corp of America (SCA) was awarded a contract by Sourcewell
following a competitive bid process (062421-SWP) to perform street sweeping services for
improvement to public buildings and grounds, and all attachments and exhibits thereto, which are
attached hereto as Exhibit A and incorporated herein by this reference (“Original Contract”); and
WHEREAS, Section 2.56.140 of the Chula Vista Municipal Code authorizes the City to
contract for goods or services through a cooperative purchasing arrangement provided the goods
or services were purchased through a competitive process that the Purchasing Agent determines to
be consistent with good purchasing practices; and
WHEREAS, the City has a need for street sweeping services like those found in the
Original Contract; and
WHEREAS, the City desires to enter into an agreement with Contractor through a
cooperative purchasing arrangement on the terms and conditions set forth in the Original Contract
and this Agreement; and
WHEREAS, the City’s Purchasing Agent has determined that the Sourcewell competitive
process for the Original Contract to be consistent with good purchasing practices; and
WHEREAS, the Contractor warrants and represents that it is experienced and staffed in a
manner such that it can deliver the services required of Contractor to the City in accordance with
the time frames and the terms and conditions of this Agreement.
OBLIGATORY PROVISIONS
NOW, THEREFORE, for and in consideration of the above recitals, the covenants
contained herein, and other good and valuable consideration, the receipt and sufficiency of which
the Parties hereby acknowledge, City and Contractor hereby agree as follows:
1. Required Services
Contractor agrees to perform all services, and deliver to City all deliverables (if any), as described
in Exhibit A (Original Contract) and further described below:
ACN#2022-117
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The Contractor shall in a manner consistent with the highest level of care and skill exercised by
members of the profession clean all curbs, gutters, median curbs and painted islands, centerlines,
road shoulders, turning lanes, alleys, cross gutters, intersection curb return areas and parking lots
located in the City as designated in Exhibits D and E. Parking is not restricted for street sweeping
purposes.
The Contractor shall sweep around any vehicle on City streets in a safe manner and missing as
little curb and/or gutter as possible.
The streets and parking lots to be cleaned, and frequency of cleaning are listed in Exhibits D and
E. The lengths represent the City’s best measurement. Payment will be based on the quantities
indicated with no adjustments except as provided herein. Contractor is responsible for verifying
measurements and inspecting all conditions prior submitting their bid and starting work. The
streets and parking lots to be cleaned are divided into the following categories:
(1) Class A: (Residential) Streets to be swept once every two months.
(2) Class B: (Business/Commercial) Streets to be swept once every two weeks.
(3) Class C: (Commercial) Streets to be swept once every two weeks.
(4) Class D: Center lines to be swept once every two months.
(5) Class E: Center lines to be swept once every two months.
(6) Class F: Non-curbed street to be swept once every two months.
(7) Class G: Parking lots to be swept once every two months.
(8) Class H: Other special sweeping requested by the City at the rate stipulated within the bid
The services and/or deliverables described in Original Contract and above shall be referred to
herein as the “Required Services.” Contractor agrees to perform the Required Services in strict
accordance with Exhibit A (Original Contract) and Exhibit B (Required Services Provisions)
which are attached hereto and incorporated herein by reference.
2. Term of the Agreement
The effective date of this Agreement is July 1, 2022 (“Effective Date”) and it expires June 30,
2023. Notwithstanding the completion date above, the Agreement may be extended for a total of
(2) additional one-year terms (July 1 – June 30). The City Manager or Director of Finance shall
be authorized to exercise the extensions on behalf of the City. If the City exercises an option to
extend, each extension shall be on the same terms and conditions contained herein.
3. Payment Terms
For performance of the Required Services by Contractor, City shall pay Contractor as provided in
Exhibit C (Payment Terms), which is attached hereto and are incorporated herein by reference.
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The reimbursement for productive hours spent or expenses incurred in the performance of this
Agreement shall be made only upon acceptance by City of Contractor’s invoice and supporting
documentation.
If the City exercises an option to extend, the amounts specified in Exhibit C.1 may be increased
by up to the lower of the annual San Diego Area Consumer Price Index (CPI-W) increase or 5%
of the Contractor-quoted prices for each extension.
4. Insurance
Contractor must procure and maintain insurance in strict accordance with the Insurance
Requirements identified in Exhibit F, which is attached hereto and are incorporated herein by
reference.
5. Indemnity
Contractor must indemnify, defend, and hold harmless the Indemnified Parties (as defined in
Exhibit G) as provided in Exhibit G, which is attached hereto and are incorporated herein by
reference.
6. Authorized Representatives and Notices
The City hereby designates as its Authorized Representative:
Kalani Camacho, Public Works Superintendent
Department of Public Works
1800 Maxwell Road, Chula Vista, CA 91911
All notices, demands or requests provided for or permitted to be given pursuant to this Agreement
must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or serviced if personally served or deposited in the United States mail,
addressed to such Party, postage prepaid, register or certified, with return receipt requested, at the
address[es] identified in this Agreement.
Notices, demands or requests sent to City shall be submitted to:
Kalani Camacho, Public Works Superintendent
Department of Public Works
1800 Maxwell Road, Chula Vista, CA 91911
Notices, demands or requests sent to Contractor shall be submitted to:
Mike Siragusa, Vice President
Sweeping Corp of America
285 Pawnee, Suite A
San Marcos, CA 92078
2022/08/23 City Council Post Agenda Page 224 of 573
7. Remedies
7.1 Termination for Cause. If for any reason whatsoever Contractor shall fail to
perform the Required Services under this Agreement, in a proper or timely manner, or if
Contractor shall violate any of the other covenants, agreements or conditions of this
Agreement (each a “Default”), in addition to any and all other rights and remedies City
may have under this Agreement, at law or in equity, City shall have the right to terminate
this Agreement by giving five (5) days written notice to Contractor. Such notice shall
identify the Default and the Agreement termination date. If Contractor notifies City of its
intent to cure such Default prior to City’s specified termination date, and City agrees that
the specified Default is capable of being cured, City may grant Contractor up to ten (10)
additional days after the designated termination date to effectuate such cure. In the event
of a termination under this Section 7.a, Contractor shall immediately provide City any and
all reports, studies, information, data, statistics, forms, designs, plans, procedures, systems
and any other materials or properties produced in whole or in part under this Agreement
(“Work Product”) in connection with the performance of the Required Services work
product prepared by Contractor as part of the Required Services. Such Work Product shall
be City's sole and exclusive property. Contractor may be entitled to compensation for work
satisfactorily performed prior to Contractor’s receipt of the Default notice; provided,
however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced
by any costs incurred or projected to be incurred by City as a result of the Default.
7.2 Termination or Suspension for Convenience of City. City may suspend or terminate
this Agreement, or any portion of the Required Services, at any time and for any reason,
with or without cause, by giving specific written notice to Contractor of such termination
or suspension at least fifteen (15) days prior to the effective date thereof. Upon receipt of
such notice, Contractor shall immediately cease all work under the Agreement and
promptly deliver all Work Product to City. Such Work Product shall be City's sole and
exclusive property. Contractor shall be entitled to receive just and equitable compensation
for this Work Product in an amount equal to the amount due and payable under this
Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in
advance that would maximize City’s value under the Agreement.
7.3 Waiver of Claims. In the event City terminates the Agreement in accordance with
the terms of this section, Contractor hereby expressly waives any and all claims for
damages or compensation as a result of such termination except as expressly provided in
this Section 7.
7.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall
be brought arising out of this Agreement against City unless a claim has first been presented
in writing and filed with City and acted upon by City in accordance with the procedures
set forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may be amended, the
provisions of which, including such policies and procedures used by City in the
implementation of same, are incorporated herein by this reference. Upon request by City,
2022/08/23 City Council Post Agenda Page 225 of 573
Contractor shall meet and confer in good faith with City for the purpose of resolving any
dispute over the terms of this Agreement.
8. Conflicts or Discrepancies
In the event of any inconsistencies, conflicts, or discrepancies between any of the terms or
conditions of the Original Contract and this Agreement, the inconsistency shall be resolved by
giving precedence in the following order:
1) This Agreement (excluding the incorporated Original Contract)
2) Original Contract
9. General Provisions
9.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
9.2 Assignment. City would not have entered into this Agreement but for Contractor’s unique
qualifications and traits. Contractor shall not assign any of its rights or responsibilities under this
Agreement, nor any part hereof, without City’s prior, written consent, which City may grant,
condition, or deny in its sole discretion.
9.3 Authority. The person(s) executing this Agreement for Contractor warrants and represents
that they have the authority to execute same on behalf of Contractor and to bind Contractor to its
obligations hereunder without any further action or direction from Contractor or any board,
principle or officer thereof.
9.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be
deemed an original, but all of which shall constitute one Agreement after each Party has signed
such a counterpart.
9.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other
agreements expressly referred to herein, constitutes the entire Agreement between the Parties with
respect to the subject matter contained herein. All exhibits referenced herein shall be attached
hereto and are incorporated herein by reference. All prior or contemporaneous agreements,
understandings, representations, warranties and statements, oral or written, are suspended.
9.6 Record Retention. During the course of this Agreement and for three (3) years following
completion of the Services, Contractor agrees to maintain, intact and readily accessible, all data,
documents, reports, records, contracts, and supporting materials relating to the performance of this
Agreement, including accounting for costs and expenses charged to City, including such records
in possession of sub-contractors.
9.7 Further Assurances. The Parties agree to perform such further acts and to execute and
deliver such additional documents and instruments as may be reasonably required in order to carry
out the provisions of this Agreement and the intentions of the Parties.
2022/08/23 City Council Post Agenda Page 226 of 573
9.8 Independent Contractor. Contractor is and shall at all times remain as to City a wholly
independent contractor. Neither City nor any of its officers, employees, agents or volunteers shall
have control over the conduct of Contractor or any of Contractor’s officers, employees, or agents
(“Contractor Related Individuals”), except as set forth in this Agreement. No Contractor Related
Individuals shall be deemed employees of City, and none of them shall be entitled to any benefits
to which City employees are entitled, including but not limited to, overtime, retirement benefits,
worker’s compensation benefits, injury leave or other leave benefits. Furthermore, City will not
withhold state or federal income tax, social security tax or any other payroll tax with respect to
any Contractor Related Individuals; instead, Contractor shall be solely responsible for the payment
of same and shall hold City harmless with respect to same. Contractor shall not at any time or in
any manner represent that it or any of its Contractor Related Individuals are employees or agents
of City. Contractor shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
2022/08/23 City Council Post Agenda Page 227 of 573
SIGNATURE PAGE
COOPERATIVE PURCHASING AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and
Contractor agree that they have read and understood all terms and conditions of this Agreement,
that they fully agree and consent to bound by same, and that they are freely entering into this
Agreement as of the Effective Date.
For: SWEEP AMERICA INTERMEDIATE For: CITY OF CHULA VISTA
HOLDINGS, LLC dba SWEEPING CORP OF
AMERICA
Date: ______________________________ Date: ______________________________
By: _______________________________ By: _______________________________
Mike Siragusa, Vice President Mary Casillas Salas, Mayor
ATTEST:
Date:
By:
Kerry K. Bigelow, MMC
City Clerk
APPROVED AS TO FORM
Glen R. Googins, City Attorney
Date: ______________________________
By: _______________________________
EXHIBITS
A Original Contract, Contract No. 062421-SWP Sourcewell and Sweep America
Intermediate Holdings, LLC / Sweeping Corp of America
B Required Services Provisions
C Payment Terms
D Sweep Schedule
E Parking Lots
F Insurance Requirements
G Indemnity Requirements
H Contractor Conflict of Interest Designation
2022/08/23 City Council Post Agenda Page 228 of 573
062421-SWP
Rev. 3/2021 1
Solicitation Number: RFP #062421
CONTRACT
This Contract is between Sourcewell, 202 12th Street Northeast, P.O. Box 219, Staples, MN
56479 (Sourcewell) and Sweep America Intermediate Holdings, LLC, 4141 Rockside Road, Suite
100, Seven Hills, OH 44131 (Supplier).
Sourcewell is a State of Minnesota local government unit and service cooperative created
under the laws of the State of Minnesota (Minnesota Statutes Section 123A.21) that offers
cooperative procurement solutions to government entities. Participation is open to eligible
federal, state/province, and municipal governmental entities, higher education, K-12 education,
nonprofit, tribal government, and other public entities located in the United States and Canada.
Sourcewell issued a public solicitation for Facilities Maintenance Services from which Supplier
was awarded a contract.
Supplier desires to contract with Sourcewell to provide equipment, products, or services to
Sourcewell and the entities that access Sourcewell’s cooperative purchasing contracts
(Participating Entities).
1. TERM OF CONTRACT
A. EFFECTIVE DATE. This Contract is effective upon the date of the final signature below.
B. EXPIRATION DATE AND EXTENSION. This Contract expires August 8, 2025, unless it is
cancelled sooner pursuant to Article 22. This Contract may be extended one additional year
upon the request of Sourcewell and written agreement by Supplier.
C. SURVIVAL OF TERMS. Notwithstanding any expiration or termination of this Contract, all
payment obligations incurred prior to expiration or termination will survive, as will the
following: Articles 11 through 14 survive the expiration or cancellation of this Contract. All
rights will cease upon expiration or termination of this Contract.
2. EQUIPMENT, PRODUCTS, OR SERVICES
A. EQUIPMENT, PRODUCTS, OR SERVICES. Supplier will provide the Equipment, Products, or
Services as stated in its Proposal submitted under the Solicitation Number listed above.
EXHIBIT A: SOURCEWELL - SWEEP AMERICA CONTRACT
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062421-SWP
Rev. 3/2021 2
Supplier’s Equipment, Products, or Services Proposal (Proposal) is attached and incorporated
into this Contract.
All Equipment and Products provided under this Contract must be new and the current model.
Supplier may offer close-out or refurbished Equipment or Products if they are clearly indicated
in Supplier’s product and pricing list. Unless agreed to by the Participating Entities in advance,
Equipment or Products must be delivered as operational to the Participating Entity’s site.
This Contract offers an indefinite quantity of sales, and while substantial volume is anticipated,
sales and sales volume are not guaranteed.
B. WARRANTY. Supplier warrants that all Equipment, Products, and Services furnished are free
from liens and encumbrances, and are free from defects in design, materials, and workmanship.
In addition, Supplier warrants the Equipment, Products, and Services are suitable for and will
perform in accordance with the ordinary use for which they are intended. Supplier’s dealers
and distributors must agree to assist the Participating Entity in reaching a resolution in any
dispute over warranty terms with the manufacturer. Any manufacturer’s warranty that extends
beyond the expiration of the Supplier’s warranty will be passed on to the Participating Entity.
C. DEALERS, DISTRIBUTORS, AND/OR RESELLERS. Upon Contract execution and throughout
the Contract term, Supplier must provide to Sourcewell a current means to validate or
authenticate Supplier’s authorized dealers, distributors, or resellers relative to the Equipment,
Products, and Services offered under this Contract, which will be incorporated into this
Contract by reference. It is the Supplier’s responsibility to ensure Sourcewell receives the most
current information.
3. PRICING
All Equipment, Products, or Services under this Contract will be priced at or below the price
stated in Supplier’s Proposal.
When providing pricing quotes to Participating Entities, all pricing quoted must reflect a
Participating Entity’s total cost of acquisition. This means that the quoted cost is for delivered
Equipment, Products, and Services that are operational for their intended purpose, and
includes all costs to the Participating Entity’s requested delivery location.
Regardless of the payment method chosen by the Participating Entity, the total cost associated
with any purchase option of the Equipment, Products, or Services must always be disclosed in
the pricing quote to the applicable Participating Entity at the time of purchase.
A. SHIPPING AND SHIPPING COSTS. All delivered Equipment and Products must be properly
packaged. Damaged Equipment and Products may be rejected. If the damage is not readily
apparent at the time of delivery, Supplier must permit the Equipment and Products to be
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062421-SWP
Rev. 3/2021 3
returned within a reasonable time at no cost to Sourcewell or its Participating Entities.
Participating Entities reserve the right to inspect the Equipment and Products at a reasonable
time after delivery where circumstances or conditions prevent effective inspection of the
Equipment and Products at the time of delivery. In the event of the delivery of nonconforming
Equipment and Products, the Participating Entity will notify the Supplier as soon as possible and
the Supplier will replace nonconforming Equipment and Products with conforming Equipment
and Products that are acceptable to the Participating Entity.
Supplier must arrange for and pay for the return shipment on Equipment and Products that arrive
in a defective or inoperable condition.
Sourcewell may declare the Supplier in breach of this Contract if the Supplier intentionally
delivers substandard or inferior Equipment or Products.
B. SALES TAX. Each Participating Entity is responsible for supplying the Supplier with valid tax-
exemption certification(s). When ordering, a Participating Entity must indicate if it is a tax-
exempt entity.
C. HOT LIST PRICING. At any time during this Contract, Supplier may offer a specific selection
of Equipment, Products, or Services at discounts greater than those listed in the Contract.
When Supplier determines it will offer Hot List Pricing, it must be submitted electronically to
Sourcewell in a line-item format. Equipment, Products, or Services may be added or removed
from the Hot List at any time through a Sourcewell Price and Product Change Form as defined
in Article 4 below.
Hot List program and pricing may also be used to discount and liquidate close-out and
discontinued Equipment and Products as long as those close-out and discontinued items are
clearly identified as such. Current ordering process and administrative fees apply. Hot List
Pricing must be published and made available to all Participating Entities.
4. PRODUCT AND PRICING CHANGE REQUESTS
Supplier may request Equipment, Product, or Service changes, additions, or deletions at any
time. All requests must be made in writing by submitting a signed Sourcewell Price and Product
Change Request Form to the assigned Sourcewell Supplier Development Administrator. This
approved form is available from the assigned Sourcewell Supplier Development Administrator.
At a minimum, the request must:
x Identify the applicable Sourcewell contract number;
x Clearly specify the requested change;
x Provide sufficient detail to justify the requested change;
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062421-SWP
Rev. 3/2021 4
x Individually list all Equipment, Products, or Services affected by the requested change,
along with the requested change (e.g., addition, deletion, price change); and
x Include a complete restatement of pricing documentation in Microsoft Excel with the
effective date of the modified pricing, or product addition or deletion. The new pricing
restatement must include all Equipment, Products, and Services offered, even for those
items where pricing remains unchanged.
A fully executed Sourcewell Price and Product Request Form will become an amendment
to this Contract and will be incorporated by reference.
5. PARTICIPATION, CONTRACT ACCESS, AND PARTICIPATING ENTITY REQUIREMENTS
A. PARTICIPATION. Sourcewell’s cooperative contracts are available and open to public and
nonprofit entities across the United States and Canada; such as federal, state/province,
municipal, K-12 and higher education, tribal government, and other public entities.
The benefits of this Contract should be available to all Participating Entities that can legally
access the Equipment, Products, or Services under this Contract. A Participating Entity’s
authority to access this Contract is determined through its cooperative purchasing, interlocal,
or joint powers laws. Any entity accessing benefits of this Contract will be considered a Service
Member of Sourcewell during such time of access. Supplier understands that a Participating
Entity’s use of this Contract is at the Participating Entity’s sole convenience and Participating
Entities reserve the right to obtain like Equipment, Products, or Services from any other source.
Supplier is responsible for familiarizing its sales and service forces with Sourcewell contract use
eligibility requirements and documentation and will encourage potential participating entities
to join Sourcewell. Sourcewell reserves the right to add and remove Participating Entities to its
roster during the term of this Contract.
B. PUBLIC FACILITIES. Supplier’s employees may be required to perform work at government-
owned facilities, including schools. Supplier’s employees and agents must conduct themselves
in a professional manner while on the premises, and in accordance with Participating Entity
policies and procedures, and all applicable laws.
6. PARTICIPATING ENTITY USE AND PURCHASING
A. ORDERS AND PAYMENT. To access the contracted Equipment, Products, or Services under
this Contract, a Participating Entity must clearly indicate to Supplier that it intends to access this
Contract; however, order flow and procedure will be developed jointly between Sourcewell and
Supplier. Typically, a Participating Entity will issue an order directly to Supplier or its authorized
subsidiary, distributor, dealer, or reseller. If a Participating Entity issues a purchase order, it
may use its own forms, but the purchase order should clearly note the applicable Sourcewell
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062421-SWP
Rev. 3/2021 5
contract number. All Participating Entity orders under this Contract must be issued prior to
expiration or cancellation of this Contract; however, Supplier performance, Participating Entity
payment obligations, and any applicable warranty periods or other Supplier or Participating
Entity obligations may extend beyond the term of this Contract.
Supplier’s acceptable forms of payment are included in its attached Proposal. Participating
Entities will be solely responsible for payment and Sourcewell will have no liability for any
unpaid invoice of any Participating Entity.
B. ADDITIONAL TERMS AND CONDITIONS/PARTICIPATING ADDENDUM. Additional terms and
conditions to a purchase order, or other required transaction documentation, may be
negotiated between a Participating Entity and Supplier, such as job or industry-specific
requirements, legal requirements (e.g., affirmative action or immigration status requirements),
or specific local policy requirements. Some Participating Entitles may require the use of a
Participating Addendum; the terms of which will be negotiateddirectly between the
Participating Entity and the Supplier. Any negotiated additional terms and conditions must
never be less favorable to the Participating Entity than what is contained in this Contract.
C. SPECIALIZED SERVICE REQUIREMENTS. In the event that the Participating Entity requires
service or specialized performance requirements not addressed in this Contract (such as e-
commerce specifications, specialized delivery requirements, or other specifications and
requirements), the Participating Entity and the Supplier may enter into a separate, standalone
agreement, apart from this Contract. Sourcewell, including its agents and employees, will not
be made a party to a claim for breach of such agreement.
D. TERMINATION OF ORDERS. Participating Entities may terminate an order, in whole or
in part, immediately upon notice to Supplier in the event of any of the following events:
1. The Participating Entity fails to receive funding or appropriation from its governing body
at levels sufficient to pay for the equipment, products, or services to be purchased; or
2. Federal, state, or provincial laws or regulations prohibit the purchase or change the
Participating Entity’s requirements.
E. GOVERNING LAW AND VENUE. The governing law and venue for any action related to a
Participating Entity’s order will be determined by the Participating Entity making the purchase.
7. CUSTOMER SERVICE
A. PRIMARY ACCOUNT REPRESENTATIVE. Supplier will assign an Account Representative to
Sourcewell for this Contract and must provide prompt notice to Sourcewell if that person is
changed. The Account Representative will be responsible for:
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062421-SWP
Rev. 3/2021 6
x Maintenance and management of this Contract;
x Timely response to all Sourcewell and Participating Entity inquiries; and
x Business reviews to Sourcewell and Participating Entities, if applicable.
B. BUSINESS REVIEWS. Supplier must perform a minimum of one business review with
Sourcewell per contract year. The business review will cover sales to Participating Entities,
pricing and contract terms, administrative fees, sales data reports, supply issues, customer
issues, and any other necessary information.
8. REPORT ON CONTRACT SALES ACTIVITY AND ADMINISTRATIVE FEE PAYMENT
A. CONTRACT SALES ACTIVITY REPORT. Each calendar quarter, Supplier must provide a
contract sales activity report (Report) to the Sourcewell Supplier Development Administrator
assigned to this Contract. Reports are due no later than 45 days after the end of each calendar
quarter. A Report must be provided regardless of the number or amount of sales during that
quarter (i.e., if there are no sales, Supplier must submit a report indicating no sales were
made).
The Report must contain the following fields:
x Participating Entity Name (e.g., City of Staples Highway Department);
x Participating Entity Physical Street Address;
x Participating Entity City;
x Participating Entity State/Province;
x Participating Entity Zip/Postal Code;
x Participating Entity Contact Name;
x Participating Entity Contact Email Address;
x Participating Entity Contact Telephone Number;
x Sourcewell Assigned Entity/Participating Entity Number;
x Item Purchased Description;
x Item Purchased Price;
x Sourcewell Administrative Fee Applied; and
x Date Purchase was invoiced/sale was recognized as revenue by Supplier.
B. ADMINISTRATIVE FEE. In consideration for the support and services provided by Sourcewell,
the Supplier will pay an administrative fee to Sourcewell on all Equipment, Products, and
Services provided to Participating Entities. The Administrative Fee must be included in, and not
added to, the pricing. Supplier may not charge Participating Entities more than the contracted
price to offset the Administrative Fee.
The Supplier will submit payment to Sourcewell for the percentage of administrative fee stated
in the Proposal multiplied by the total sales of all Equipment, Products, and Services purchased
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by Participating Entities under this Contract during each calendar quarter. Payments should
note the Supplier’s name and Sourcewell-assigned contract number in the memo; and must be
mailed to the address above “Attn: Accounts Receivable” or remitted electronically to
Sourcewell’s banking institution per Sourcewell’s Finance department instructions. Payments
must be received no later than 45 calendar days after the end of each calendar quarter.
Supplier agrees to cooperate with Sourcewell in auditing transactions under this Contract to
ensure that the administrative fee is paid on all items purchased under this Contract.
In the event the Supplier is delinquent in any undisputed administrative fees, Sourcewell
reserves the right to cancel this Contract and reject any proposal submitted by the Supplier in
any subsequent solicitation. In the event this Contract is cancelled by either party prior to the
Contract’s expiration date, the administrative fee payment will be due no more than 30 days
from the cancellation date.
9. AUTHORIZED REPRESENTATIVE
Sourcewell's Authorized Representative is its Chief Procurement Officer.
Supplier’s Authorized Representative is the person named in the Supplier’s Proposal. If
Supplier’s Authorized Representative changes at any time during this Contract, Supplier must
promptly notify Sourcewell in writing.
10. AUDIT, ASSIGNMENT, AMENDMENTS, WAIVER, AND CONTRACT COMPLETE
A. AUDIT. Pursuant to Minnesota Statutes Section 16C.05, subdivision 5, the books, records,
documents, and accounting procedures and practices relevant to this Agreement are subject to
examination by Sourcewell or the Minnesota State Auditor for a minimum of six years from the
end of this Contract. This clause extends to Participating Entities as it relates to business
conducted by that Participating Entity under this Contract.
B. ASSIGNMENT. Neither party may assign or otherwise transfer its rights or obligations under
this Contract without the prior written consent of the other party and a fully executed
assignment agreement. Such consent will not be unreasonably withheld. Any prohibited
assignment will be invalid.
C. AMENDMENTS. Any amendment to this Contract must be in writing and will not be effective
until it has been duly executed by the parties.
D. WAIVER. Failure by either party to take action or assert any right under this Contract will
not be deemed a waiver of such right in the event of the continuation or repetition of the
circumstances giving rise to such right. Any such waiver must be in writing and signed by the
parties.
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E. CONTRACT COMPLETE. This Contract represents the complete agreement between the
parties. No other understanding regarding this Contract, whether written or oral, may be used
to bind either party.For any conflict between the attached Proposal and the terms set out in
Articles 1-22 of this Contract, the terms of Articles 1-22 will govern.
F. RELATIONSHIP OF THE PARTIES. The relationship of the parties is one of independent
contractors, each free to exercise judgment and discretion with regard to the conduct of their
respective businesses. This Contract does not create a partnership, joint venture, or any other
relationship such as master-servant, or principal-agent.
11. INDEMNITY AND HOLD HARMLESS
Supplier must indemnify, defend, save, and hold Sourcewell and its Participating Entities,
including their agents and employees, harmless from any claims or causes of action, including
attorneys’ fees incurred by Sourcewell or its Participating Entities, arising out of any act or
omission in the performance of this Contract by the Supplier or its agents or employees; this
indemnification includes injury or death to person(s) or property alleged to have been caused
by some defect in the Equipment, Products, or Services under this Contract to the extent the
Equipment, Product, or Service has been used according to its specifications. Sourcewell’s
responsibility will be governed by the State of Minnesota’s Tort Liability Act (Minnesota
Statutes Chapter 466) and other applicable law.
12. GOVERNMENT DATA PRACTICES
Supplier and Sourcewell must comply with the Minnesota Government Data Practices Act,
Minnesota Statutes Chapter 13, as it applies to all data provided by or provided to Sourcewell
under this Contract and as it applies to all data created, collected, received, stored, used,
maintained, or disseminated by the Supplier under this Contract.
13. INTELLECTUAL PROPERTY, PUBLICITY, MARKETING, AND ENDORSEMENT
A. INTELLECTUAL PROPERTY
1. Grant of License. During the term of this Contract:
a. Sourcewell grants to Supplier a royalty-free, worldwide, non-exclusive right and
license to use thetrademark(s) provided to Supplier by Sourcewell in advertising and
promotional materials for the purpose of marketing Sourcewell’s relationship with
Supplier.
b. Supplier grants to Sourcewell a royalty-free, worldwide, non-exclusive right and
license to use Supplier’s trademarks in advertising and promotional materials for the
purpose of marketing Supplier’s relationship with Sourcewell.
2. Limited Right of Sublicense. The right and license granted herein includes a limited right
of each party to grant sublicenses to their respective subsidiaries, distributors, dealers,
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resellers, marketing representatives, and agents (collectively “Permitted Sublicensees”) in
advertising and promotional materials for the purpose of marketing the Parties’ relationship
to Participating Entities. Any sublicense granted will be subject to the terms and conditions
of this Article. Each party will be responsible for any breach of this Article by any of their
respective sublicensees.
3. Use; Quality Control.
a. Neither party may alter the other party’s trademarks from the form provided
and must comply with removal requests as to specific uses of its trademarks or
logos.
b. Each party agrees to use, and to cause its Permitted Sublicensees to use, the
other party’s trademarks only in good faith and in a dignified manner consistent with
such party’s use of the trademarks. Upon written notice to the breaching party, the
breaching party has 30 days of the date of the written notice to cure the breach or
the license will be terminated.
4. As applicable, Supplier agrees to indemnify and hold harmless Sourcewell and its
Participating Entities against any and all suits, claims, judgments, and costs instituted or
recovered against Sourcewell or Participating Entities by any person on account of the use
of any Equipment or Products by Sourcewell or its Participating Entities supplied by Supplier
in violation of applicable patent or copyright laws.
5. Termination. Upon the termination of this Contract for any reason, each party, including
Permitted Sublicensees, will have 30 days to remove all Trademarks from signage, websites,
and the like bearing the other party’s name or logo (excepting Sourcewell’s pre-printed
catalog of suppliers which may be used until the next printing). Supplier must return all
marketing and promotional materials, including signage, provided by Sourcewell, or dispose
of it according to Sourcewell’s written directions.
B. PUBLICITY. Any publicity regarding the subject matter of this Contract must not be released
without prior written approval from the Authorized Representatives. Publicity includes notices,
informational pamphlets, press releases, research, reports, signs, and similar public notices
prepared by or for the Supplier individually or jointly with others, or any subcontractors, with
respect to the program, publications, or services provided resulting from this Contract.
C. MARKETING. Any direct advertising, marketing, or offers with Participating Entities must be
approved by Sourcewell. Send all approval requests to the Sourcewell Supplier Development
Administrator assigned to this Contract.
D. ENDORSEMENT. The Supplier must not claim that Sourcewell endorses its Equipment,
Products, or Services.
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14. GOVERNING LAW, JURISDICTION, AND VENUE
The substantive and procedural laws of the State of Minnesota will govern this Contract. Venue
for all legal proceedings arising out of this Contract, or its breach, must be in the appropriate
state court in Todd County, Minnesota or federal court in Fergus Falls, Minnesota.
15. FORCE MAJEURE
Neither party to this Contract will be held responsible for delay or default caused by acts of God
or other conditions that are beyond that party’s reasonable control. A party defaulting under
this provision must provide the other party prompt written notice of the default.
16. SEVERABILITY
If any provision of this Contract is found by a court of competent jurisdiction to be illegal,
unenforceable, or void then both parties will be relieved from all obligations arising from that
provision. If the remainder of this Contract is capable of being performed, it will not be affected
by such determination or finding and must be fully performed.
17. PERFORMANCE, DEFAULT, AND REMEDIES
A. PERFORMANCE. During the term of this Contract, the parties will monitor performance and
address unresolved contract issues as follows:
1. Notification. The parties must promptly notify each other of any known dispute and
work in good faith to resolve such dispute within a reasonable period of time. If necessary,
Sourcewell and the Supplier will jointly develop a short briefing document that describes
the issue(s), relevant impact, and positions of both parties.
2. Escalation. If parties are unable to resolve the issue in a timely manner, as specified
above, either Sourcewell or Supplier may escalate the resolution of the issue to a higher
level of management. The Supplier will have 30 calendar days to cure an outstanding issue.
3. Performance while Dispute is Pending. Notwithstanding the existence of a dispute, the
Supplier must continue without delay to carry out all of its responsibilities under the
Contract that are not affected by the dispute. If the Supplier fails to continue without delay
to perform its responsibilities under the Contract, in the accomplishment of all undisputed
work, the Supplier will bear any additional costs incurred by Sourcewell and/or its
Participating Entities as a result of such failure to proceed.
B. DEFAULT AND REMEDIES. Either of the following constitutes cause to declare this Contract,
or any Participating Entity order under this Contract, in default:
1. Nonperformance of contractual requirements, or
2. A material breach of any term or condition of this Contract.
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The party claiming default must provide written notice of the default, with 30 calendar days to
cure the default. Time allowed for cure will not diminish or eliminate any liability for liquidated
or other damages. If the default remains after the opportunity for cure, the non-defaulting
party may:
x Exercise any remedy provided by law or equity, or
x Terminate the Contract or any portion thereof, including any orders issued against the
Contract.
18. INSURANCE
A. REQUIREMENTS. At its own expense, Supplier must maintain insurance policy(ies) in effect
at all times during the performance of this Contract with insurance company(ies) licensed or
authorized to do business in the State of Minnesota having an “AM BEST” rating of A- or better,
with coverage and limits of insurance not less than the following:
1. Workers’ Compensation and Employer’s Liability.
Workers’ Compensation: As required by any applicable law or regulation.
Employer's Liability Insurance: must be provided in amounts not less than listed below:
Minimum limits:
$500,000 each accident for bodily injury by accident
$500,000 policy limit for bodily injury by disease
$500,000 each employee for bodily injury by disease
2. Commercial General Liability Insurance. Supplier will maintain insurance covering its
operations, with coverage on an occurrence basis, and must be subject to terms no less
broad than the Insurance Services Office (“ISO”) Commercial General Liability Form
CG0001 (2001 or newer edition), or equivalent. At a minimum, coverage must include
liability arising from premises, operations, bodily injury and property damage,
independent contractors, products-completed operations including construction defect,
contractual liability, blanket contractual liability, and personal injury and advertising
injury. All required limits, terms and conditions of coverage must be maintained during
the term of this Contract.
Minimum Limits:
$1,000,000 each occurrence Bodily Injury and Property Damage
$1,000,000 Personal and Advertising Injury
$2,000,000 aggregate for Products-Completed operations
$2,000,000 general aggregate
3. Commercial Automobile Liability Insurance. During the term of this Contract,
Supplier will maintain insurance covering all owned, hired, and non-owned automobiles
in limits of liability not less than indicated below. The coverage must be subject to terms
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no less broad than ISO Business Auto Coverage Form CA 0001 (2010 edition or newer),
or equivalent.
Minimum Limits:
$1,000,000 each accident, combined single limit
4. Umbrella Insurance. During the term of this Contract, Supplier will maintain
umbrella coverage over Employer’s Liability, Commercial General Liability, and
Commercial Automobile.
Minimum Limits:
$2,000,000
5. Network Security and Privacy Liability Insurance. During the term of this Contract,
Supplier will maintain coverage for network security and privacy liability. The coverage
may be endorsed on another form of liability coverage or written on a standalone
policy. The insurance must cover claims which may arise from failure of Supplier’s
security resulting in, but not limited to, computer attacks, unauthorized access,
disclosure of not public data – including but not limited to, confidential or private
information, transmission of a computer virus, or denial of service.
Minimum limits:
$2,000,000 per occurrence
$2,000,000 annual aggregate
Failure of Supplier to maintain the required insurance will constitute a material breach entitling
Sourcewell to immediately terminate this Contract for default.
B. CERTIFICATES OF INSURANCE. Prior to commencing under this Contract, Supplier must
furnish to Sourcewell a certificate of insurance, as evidence of the insurance required under this
Contract. Prior to expiration of the policy(ies), renewal certificates must be mailed to
Sourcewell, 202 12th Street Northeast, P.O. Box 219, Staples, MN 56479 or sent to the
Sourcewell Supplier Development Administrator assigned to this Contract. The certificates must
be signed by a person authorized by the insurer(s) to bind coverage on their behalf.
Failure to request certificates of insurance by Sourcewell, or failure of Supplier to provide
certificates of insurance, in no way limits or relieves Supplier of its duties and responsibilities in
this Contract.
C. ADDITIONAL INSURED ENDORSEMENT AND PRIMARY AND NON-CONTRIBUTORY
INSURANCE CLAUSE. Supplier agrees to list Sourcewell and its Participating Entities, including
their officers, agents, and employees, as an additional insured under the Supplier’s commercial
general liability insurance policy with respect to liability arising out of activities, “operations,” or
“work” performed by or on behalf of Supplier, and products and completed operations of
Supplier. The policy provision(s) or endorsement(s) must further provide that coverage is
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primary and not excess over or contributory with any other valid, applicable, and collectible
insurance or self-insurance in force for the additional insureds.
D. WAIVER OF SUBROGATION. Supplier waives and must require (by endorsement or
otherwise) all its insurers to waive subrogation rights against Sourcewell and other additional
insureds for losses paid under the insurance policies required by this Contract or other
insurance applicable to the Supplier or its subcontractors. The waiver must apply to all
deductibles and/or self-insured retentions applicable to the required or any other insurance
maintained by the Supplier or its subcontractors. Where permitted by law, Supplier must
require similar written express waivers of subrogation and insurance clauses from each of its
subcontractors.
E. UMBRELLA/EXCESS LIABILITY/SELF-INSURED RETENTION. The limits required by this
Contract can be met by either providing a primary policy or in combination with
umbrella/excess liability policy(ies), or self-insured retention.
19. COMPLIANCE
A. LAWS AND REGULATIONS. All Equipment, Products, or Services provided under this
Contract must comply fully with applicable federal laws and regulations, and with the laws in
the states and provinces in which the Equipment, Products, or Services are sold.
B. LICENSES. Supplier must maintain a valid and current status on all required federal,
state/provincial, and local licenses, bonds, and permits required for the operation of the
business that the Supplier conducts with Sourcewell and Participating Entities.
20. BANKRUPTCY, DEBARMENT, OR SUSPENSION CERTIFICATION
Supplier certifies and warrants that it is not in bankruptcy or that it has previously disclosed in
writing certain information to Sourcewell related to bankruptcy actions. If at any time during
this Contract Supplier declares bankruptcy, Supplier must immediately notify Sourcewell in
writing.
Supplier certifies and warrants that neither it nor its principals are presently debarred,
suspended, proposed for debarment, declared ineligible, or voluntarily excluded from programs
operated by the State of Minnesota; the United States federal government or the Canadian
government, as applicable; or any Participating Entity. Supplier certifies and warrants that
neither it nor its principals have been convicted of a criminal offense related to the subject
matter of this Contract. Supplier further warrants that it will provide immediate written notice
to Sourcewell if this certification changes at any time.
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21. PROVISIONS FOR NON-UNITED STATES FEDERAL ENTITY PROCUREMENTS UNDER
UNITED STATES FEDERAL AWARDS OR OTHER AWARDS
Participating Entities that use United States federal grant or FEMA funds to purchase goods or
services from this Contract may be subject to additional requirements including the
procurement standards of the Uniform Administrative Requirements, Cost Principles and Audit
Requirements for Federal Awards, 2 C.F.R. § 200. Participating Entities may have additional
requirements based on specific funding source terms or conditions. Within this Article, all
references to “federal” should be interpreted to mean the United States federal government.
The following list only applies when a Participating Entity accesses Supplier’s Equipment,
Products, or Services with United States federal funds.
A. EQUAL EMPLOYMENT OPPORTUNITY. Except as otherwise provided under 41 C.F.R. § 60, all
contracts that meet the definition of “federally assisted construction contract” in 41 C.F.R. § 60-
1.3 must include the equal opportunity clause provided under 41 C.F.R. §60-1.4(b), in
accordance with Executive Order 11246, “Equal Employment Opportunity” (30 FR 12319,
12935, 3 C.F.R. §, 1964-1965 Comp., p. 339), as amended by Executive Order 11375, “Amending
Executive Order 11246 Relating to Equal Employment Opportunity,” and implementing
regulations at 41 C.F.R. § 60, “Office of Federal Contract Compliance Programs, Equal
Employment Opportunity, Department of Labor.” The equal opportunity clause is incorporated
herein by reference.
B. DAVIS-BACON ACT, AS AMENDED (40 U.S.C. § 3141-3148). When required by federal
program legislation, all prime construction contracts in excess of $2,000 awarded by non-
federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. §
3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 C.F.R. § 5,
“Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted
Construction”). In accordance with the statute, contractors must be required to pay wages to
laborers and mechanics at a rate not less than the prevailing wages specified in a wage
determination made by the Secretary of Labor. In addition, contractors must be required to pay
wages not less than once a week. The non-federal entity must place a copy of the current
prevailing wage determination issued by the Department of Labor in each solicitation. The
decision to award a contract or subcontract must be conditioned upon the acceptance of the
wage determination. The non-federal entity must report all suspected or reported violations to
the federal awarding agency. The contracts must also include a provision for compliance with
the Copeland “Anti-Kickback” Act (40 U.S.C. § 3145), as supplemented by Department of Labor
regulations (29 C.F.R. § 3, “Contractors and Subcontractors on Public Building or Public Work
Financed in Whole or in Part by Loans or Grants from the United States”). The Act provides that
each contractor or subrecipient must be prohibited from inducing, by any means, any person
employed in the construction, completion, or repair of public work, to give up any part of the
compensation to which he or she is otherwise entitled. The non-federal entity must report
all suspected or reported violations to the federal awarding agency. Supplier must be in
compliance with all applicable Davis-Bacon Act provisions.
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C. CONTRACT WORK HOURS AND SAFETY STANDARDS ACT (40 U.S.C. § 3701-3708). Where
applicable, all contracts awarded by the non-federal entity in excess of $100,000 that involve
the employment of mechanics or laborers must include a provision for compliance with 40
U.S.C. §§ 3702 and 3704, as supplemented by Department of Labor regulations (29 C.F.R. § 5).
Under 40 U.S.C. § 3702 of the Act, each contractor must be required to compute the wages of
every mechanic and laborer on the basis of a standard work week of 40 hours. Work in excess
of the standard work week is permissible provided that the worker is compensated at a rate of
not less than one and a half times the basic rate of pay for all hours worked in excess of 40
hours in the work week. The requirements of 40 U.S.C. § 3704 are applicable to construction
work and provide that no laborer or mechanic must be required to work in surroundings or
under working conditions which are unsanitary, hazardous or dangerous. These requirements
do not apply to the purchases of supplies or materials or articles ordinarily available on the
open market, or contracts for transportation or transmission of intelligence. This provision is
hereby incorporated by reference into this Contract. Supplier certifies that during the term of
an award for all contracts by Sourcewell resulting from this procurement process, Supplier must
comply with applicable requirements as referenced above.
D. RIGHTS TO INVENTIONS MADE UNDER A CONTRACT OR AGREEMENT. If the federal award
meets the definition of “funding agreement” under 37 C.F.R. § 401.2(a) and the recipient or
subrecipient wishes to enter into a contract with a small business firm or nonprofit organization
regarding the substitution of parties, assignment or performance of experimental,
developmental, or research work under that “funding agreement,” the recipient or subrecipient
must comply with the requirements of 37 C.F.R. § 401, “Rights to Inventions Made by Nonprofit
Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative
Agreements,” and any implementing regulations issued by the awarding agency. Supplier
certifies that during the term of an award for all contracts by Sourcewell resulting from this
procurement process, Supplier must comply with applicable requirements as referenced above.
E. CLEAN AIR ACT (42 U.S.C. § 7401-7671Q.) AND THE FEDERAL WATER POLLUTION CONTROL
ACT (33 U.S.C. § 1251-1387). Contracts and subgrants of amounts in excess of $150,000 require
the non-federal award to agree to comply with all applicable standards, orders or regulations
issued pursuant to the Clean Air Act (42 U.S.C. § 7401- 7671q) and the Federal Water Pollution
Control Act as amended (33 U.S.C. § 1251- 1387). Violations must be reported to the Federal
awarding agency and the Regional Office of the Environmental Protection Agency (EPA).
Supplier certifies that during the term of this Contract will comply with applicable requirements
as referenced above.
F. DEBARMENT AND SUSPENSION (EXECUTIVE ORDERS 12549 AND 12689). A contract award
(see 2 C.F.R. § 180.220) must not be made to parties listed on the government wide exclusions
in the System for Award Management (SAM), in accordance with the OMB guidelines at 2 C.F.R.
§180 that implement Executive Orders 12549 (3 C.F.R. § 1986 Comp., p. 189) and 12689 (3
C.F.R. § 1989 Comp., p. 235), “Debarment and Suspension.” SAM Exclusions contains the names
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of parties debarred, suspended, or otherwise excluded by agencies, as well as parties declared
ineligible under statutory or regulatory authority other than Executive Order 12549. Supplier
certifies that neither it nor its principals are presently debarred, suspended, proposed for
debarment, declared ineligible, or voluntarily excluded from participation by any federal
department or agency.
G. BYRD ANTI-LOBBYING AMENDMENT, AS AMENDED (31 U.S.C. § 1352). Suppliers must file
any required certifications. Suppliers must not have used federal appropriated funds to pay any
person or organization for influencing or attempting to influence an officer or employee of any
agency, a member of Congress, officer or employee of Congress, or an employee of a member
of Congress in connection with obtaining any federal contract, grant, or any other award
covered by 31 U.S.C. § 1352. Suppliers must disclose any lobbying with non-federal funds that
takes place in connection with obtaining any federal award. Such disclosures are forwarded
from tier to tier up to the non-federal award. Suppliers must file all certifications and
disclosures required by, and otherwise comply with, the Byrd Anti-Lobbying Amendment (31
U.S.C. § 1352).
H. RECORD RETENTION REQUIREMENTS. To the extent applicable, Supplier must comply with
the record retention requirements detailed in 2 C.F.R. § 200.333. The Supplier further certifies
that it will retain all records as required by 2 C.F.R. § 200.333 for a period of 3 years after
grantees or subgrantees submit final expenditure reports or quarterly or annual financial
reports, as applicable, and all other pending matters are closed.
I. ENERGY POLICY AND CONSERVATION ACT COMPLIANCE. To the extent applicable, Supplier
must comply with the mandatory standards and policies relating to energy efficiency which are
contained in the state energy conservation plan issued in compliance with the Energy Policy
and Conservation Act.
J. BUY AMERICAN PROVISIONS COMPLIANCE. To the extent applicable, Supplier must comply
with all applicable provisions of the Buy American Act. Purchases made in accordance with the
Buy American Act must follow the applicable procurement rules calling for free and open
competition.
K. ACCESS TO RECORDS (2 C.F.R. § 200.336). Supplier agrees that duly authorized
representatives of a federal agency must have access to any books, documents, papers and
records of Supplier that are directly pertinent to Supplier’s discharge of its obligations under
this Contract for the purpose of making audits, examinations, excerpts, and transcriptions. The
right also includes timely and reasonable access to Supplier’s personnel for the purpose of
interview and discussion relating to such documents.
L. PROCUREMENT OF RECOVERED MATERIALS (2 C.F.R. § 200.322). A non-federal entity that is
a state agency or agency of a political subdivision of a state and its contractors must comply
with Section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation
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and Recovery Act. The requirements of Section 6002 include procuring only items designated in
guidelines of the Environmental Protection Agency (EPA) at 40 C.F.R. § 247 that contain the
highest percentage of recovered materials practicable, consistent with maintaining a
satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the
value of the quantity acquired during the preceding fiscal year exceeded $10,000; procuring
solid waste management services in a manner that maximizes energy and resource recovery;
and establishing an affirmative procurement program for procurement of recovered materials
identified in the EPA guidelines.
M. FEDERAL SEAL(S), LOGOS, AND FLAGS. The Supplier not use the seal(s), logos, crests, or
reproductions of flags or likenesses of Federal agency officials without specific pre-approval.
N. NO OBLIGATION BY FEDERAL GOVERNMENT. The U.S. federal government is not a party to this
Contract or any purchase by an Participating Entity and is not subject to any obligations or liabilities to
the Participating Entity, Supplier, or any other party pertaining to any matter resulting from the Contract
or any purchase by an authorized user.
O. PROGRAM FRAUD AND FALSE OR FRAUDULENT STATEMENTS OR RELATED ACTS. The Contractor
acknowledges that 31 U.S.C. 38 (Administrative Remedies for False Claims and Statements) applies to
the Supplier’s actions pertaining to this Contract or any purchase by a Participating Entity.
P. FEDERAL DEBT. The Supplier certifies that it is non-delinquent in its repayment of any federal
debt. Examples of relevant debt include delinquent payroll and other taxes, audit disallowance, and
benefit overpayments.
Q. CONFLICTS OF INTEREST. The Supplier must notify the U.S. Office of General Services, Sourcewell,
and Participating Entity as soon as possible if this Contract or any aspect related to the anticipated work
under this Contract raises an actual or potential conflict of interest (as described in 2 C.F.R. Part
200). The Supplier must explain the actual or potential conflict in writing in sufficient detail so that the
U.S. Office of General Services, Sourcewell, and Participating Entity are able to assess the actual or
potential conflict; and provide any additional information as necessary or requested.
R. U.S. EXECUTIVE ORDER 13224. The Supplier, and its subcontractors, must comply with U.S. Executive
Order 13224 and U.S. Laws that prohibit transactions with and provision of resources and support to
individuals and organizations associated with terrorism.
S. PROHIBITION ON CERTAIN TELECOMMUNICATIONS AND VIDEO SURVEILLANCE SERVICES OR
EQUIPMENT. To the extent applicable, Supplier certifies that during the term of this Contract it will
comply with applicable requirements of 2 C.F.R. § 200.216.
T. DOMESTIC PREFERENCES FOR PROCUREMENTS. To the extent applicable, Supplier certifies that
during the term of this Contract will comply with applicable requirements of 2 C.F.R. § 200.322.
2022/08/23 City Council Post Agenda Page 245 of 573
062421-SWP
Rev. 3/2021 18
22. CANCELLATION
Sourcewell or Supplier may cancel this Contract at any time, with or without cause, upon 60
days’ written notice to the other party. However, Sourcewell may cancel this Contract
immediately upon discovery of a material defect in any certification made in Supplier’s
Proposal. Cancellation of this Contract does not relieve either party of financial, product, or
service obligations incurred or accrued prior to cancellation.
Sourcewell Sweep America Intermediate Holdings, LLC
By: __________________________ By: __________________________
Jeremy Schwartz M.J. DuBois, President, DuCo, LLC
Title: Chief Procurement Officer Title: Authorized Contract Administrator
Date: ________________________
Date: ________________________
Approved:
By: __________________________
Chad Coauette
Title: Executive Director/CEO
Date: ________________________
2022/08/23 City Council Post Agenda Page 246 of 573
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2022/08/23 City Council Post Agenda Page 252 of 573
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2022/08/23 City Council Post Agenda Page 255 of 573
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Bid Number: RFP 062421 Vendor Name: DuCo, LLC
2022/08/23 City Council Post Agenda Page 260 of 573
AMENDMENT #1
TO
CONTRACT #062421-SWP
THIS AMENDMENT is by and between Sourcewell and Sweep America Intermediate Holdings,
LLC (Vendor).
Vendor was awarded a Sourcewell Contract for Facilities Maintenance Services effective August
5, 2021, through August 8, 2025, relating to the provision of services by Vendor to Sourcewell
and its Members (Original Agreement).
The parties agree that certain terms within the Original Agreement will be updated and
amended and only to the extent as hereunder provided.
IN CONSIDERATION OF the mutual covenants and agreements described in this Amendment,
the parties agree as follows:
1. This Amendment is effective upon the date of the last signature below.
2. Section 18. Insurance, Subsection A. Requirements, Item 5. Network Security and
Privacy Liability Insurance of the Original Agreement is modified to reduce the minimum
limits required to $1,000,000 per occurrence and annual aggregate.
Except as amended by this Amendment, the Original Agreement remains in full force and
effect.
Sourcewell Sweep America Intermediate Holdings, LLC
By: By:
Jeremy Schwartz Matthew Spencer
Title: Director of Operations & Procurement/CPO Title:
Date: Date:
Sourcewell–APPROVED:
By:
Chad Coauette
Title: Executive Director/CEO
Date:
2022/08/23 City Council Post Agenda Page 261 of 573
EXHIBIT B
REQUIRED SERVICES
B.1 Required Services. Contractor agrees to perform the services as stated in the Original
Contract and this Agreement, within the time frames set forth herein.
B.2 Reductions in Scope of Work. City may independently, or upon request from Contractor,
reduce the Required Services to be performed by Contractor under this Agreement. Upon doing
so, City and Contractor agree to meet and confer in good faith for the purpose of negotiating a
corresponding reduction in the compensation associated with the reduction.
B.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies,
procedures and ordinances governing procurement and purchasing authority, City may request
Contractor provide additional services related to the Required Services (“Additional Services”).
If so, City and Contractor agree to meet and confer in good faith for the purpose of negotiating an
amendment to the Agreement to add the Additional Services. Unless otherwise agreed,
compensation for the Additional Services shall be charged and paid consistent with the rates and
terms already provided therein. Once added to the Agreement, “Additional Services” shall also
become “Required Services” for the purposes of this Agreement.
B.4 Standard of Care. Contractor expressly warrants and agrees that any and all Required
Services hereunder shall be performed in accordance with the highest standard of care exercised
by members of the profession currently practicing under similar conditions and in similar
locations.
B.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be
conceptual approval only and does not relieve Contractor of responsibility for complying with all
laws, codes, industry standards, and liability for damages caused by negligent acts, errors,
omissions, noncompliance with industry standards, or the willful misconduct of Contractor or its
subcontractors.
B.6 Security of Performance. In the event that the Payment Terms in Exhibit C indicate the
need for Contractor to provide additional security for performance of its duties under this
Agreement, Contractor shall provide such additional security prior to commencement of its
Require Services in the form and on the terms prescribed in the this Agreement, or as otherwise
prescribed by the City Attorney.
B.7 Compliance with Laws. In its performance of the Required Services, Contractor shall
comply with any and all applicable federal, state, and local laws, including the Chula Vista
Municipal Code.
2022/08/23 City Council Post Agenda Page 262 of 573
EXHIBIT C
PAYMENT TERMS
(Non-Prevailing Wage Rate)
C.1. Time and Materials. For performance of the Required Services by Contractor as identified
herein, City shall pay Contractor for the productive hours of time spent by Contractor in the
performance of the Required Services, at the rates or amounts as indicated below:
Rate Schedule
Class A Streets to be swept once every two months, at the rate of $29.40 per curb mile.
Class B Streets to be swept once every two weeks, at the rate of $29.40 per curb mile.
Class C Streets to be swept once every two weeks, at the rate of $29.40 per curb mile.
Class D Center islands and medians to be swept once every two months, at the rate of
$29.40 per curb mile.
Class E Center lines to be swept once every two months, at the rate of $29.40 per pass
mile.
Class F Non-curbed streets to be swept once every two months, at the rate of $29.40 per
curb mile.
Class G Parking lots to be swept once every two months, at the rate of $0.0100 per
square feet.
Class H Other special sweeping requested by the City at the following rates:
Streets Weekdays: Hourly rate of $120.00 per hour
Street Weekends and Holidays: Hourly rate of $120.00 per hour
C.2. Reimbursement of Costs
There are no reimbursable costs under this Agreement. The compensation identified herein
includes all costs.
C.3. Additional Security. None
C.4. Prevailing Wages. No.
C.5. Maximum Contract Amount. The maximum amount to be paid to the Contractor for services
performed during the Initial Term ending June 30, 2023 is $350,000. If the City elects to exercise
an option to extend the Agreement per Section 2, the maximum amounts to be paid to Contractor
for services performed during each option term(s) shall be as follows: $350,000 for Option Year
1 (July 1, 2023 – June 30, 2024) and $350,000 for Option Year 2 (July 1, 2024 – June 30, 2025).
Amounts duly approved but encumbered during the Initial Term, or prior option term(s), may be
carried over, in the City’s sole discretion, to increase the maximum amount to be paid during
Option Year 1 or Option Year 2.
Notwithstanding any of the above, the maximum amount to be paid to the Contractor for services
performed through June 30, 2025 shall be $1,250,000.
C.6. Permitted Subcontractors. None.
2022/08/23 City Council Post Agenda Page 263 of 573
EXHIBIT C
PAYMENT TERMS
(Prevailing Wage Rate)
C.1. Time and Materials. For performance of the Required Services by Contractor as identified
herein, City shall pay Contractor for the productive hours of time spent by Contractor in the
performance of the Required Services, at the rates or amounts as indicated below:
Rate Schedule
Class A Streets to be swept once every two months, at the rate of $49.86 per curb mile.
Class B Streets to be swept once every two weeks, at the rate of $49.86 per curb mile.
Class C Streets to be swept once every two weeks, at the rate of $49.86 per curb mile.
Class D Center islands and medians to be swept once every two months, at the rate of
$49.86 per curb mile.
Class E Center lines to be swept once every two months, at the rate of $49.86 per pass
mile.
Class F Non-curbed streets to be swept once every two months, at the rate of $49.86 per
curb mile.
Class G Parking lots to be swept once every two months, at the rate of $0.0175 per square
feet.
Class H Other special sweeping requested by the City at the following rates:
Streets Weekdays: Hourly rate of $232.80 per hour
Street Weekends and Holidays: Hourly rate of $257.05 per hour
C.2. Reimbursement of Costs
There are no reimbursable costs under this Agreement. The compensation identified herein
includes all costs.
C.3. Additional Security. None
C.4. Prevailing Wages. Contractor acknowledges that this Agreement and the Required Services
are subject to the provisions of the Labor Code relating to public works and prevailing wages and
agrees to be bound by all the provisions thereof. In accordance with the provisions of section
1773 of the Labor Code, the City has ascertained that general prevailing wage scales may be
applicable to certain work or services to be done under this Agreement. Contractor acknowledges
and agrees that it is required to pay prevailing wages to persons employed by them in performing
a covered work classification in accordance with Labor Code Section 1771 and 1774. The
prevailing wage scales are those determined by the DIR and are available at the DIR’s website.
As applicable, Contractor acknowledges and agrees to comply with and be subject to Labor Code
sections 1775 and 1776 including but not limited fulfilling its duty to keep accurate payrolls, make
payroll records available, and inform the City of the location of such records. Contractor
acknowledges and agrees that portions or all the work under this Agreement are subject to
compliance monitoring and enforcement by the Department of Industrial Relations.
2022/08/23 City Council Post Agenda Page 264 of 573
C.5. Maximum Contract Amount. The maximum amount to be paid to the Contractor for services
performed during the Initial Term ending June 30, 2023 is $565,000. If the City elects to exercise
an option to extend the Agreement per Section 2, the maximum amounts to be paid to Contractor
for services performed during each option term(s) shall be as follows: $565,000 for Option Year
1 (July 1, 2023 – June 30, 2024) and $565,000 for Option Year 2 (July 1, 2024 – June 30, 2025).
Amounts duly approved but encumbered during the Initial Term, or prior option term(s), may be
carried over, in City’s sole discretion, to increase the maximum amount to be paid during a Option
Year 1 or Option Year 2.
Notwithstanding any of the above, the maximum amount to be paid to the Contractor for services
performed through June 30, 2025 shall be $2,000,000.
C.6. Permitted Subcontractors. None.
2022/08/23 City Council Post Agenda Page 265 of 573
EXHIBIT D
SWEEPING CALL BY SCHEDULE
EXISTING EXISTING
LINEAR FEET CURB MILES
SWEEP CLASS A
TOTAL RESIDENTIAL STREETS
SWEPT ONCE EVERY TWO MONTHS 3,480, 643 662.06
_____________________________________________________________________________________
SWEEP CLASS B
TOTAL BUSINESS/COMMERCIAL STREETS
SWEPT ONCE EVERY TWO WEEKS 639.461 121.11
_____________________________________________________________________________________
SWEEP CLASS C
TOTAL COMMERCIAL STREETS
SWEPT ONCE EVERY TWO WEEKS 55,440 10.5
_____________________________________________________________________________________
SWEEP CLASS D
TOTAL CENTER ISLANDS AND MEDIANS
SWEPT ONCE EVERY TWO MONTHS 393,730 75.47
_____________________________________________________________________________________
SWEEP CLASS E
TOTAL CENTER LINES
SWEPT ONCE EVERY TWO MONTHS 242,352 49.5
PASS MILES
_____________________________________________________________________________________
SWEEP CLASS F
TOTAL NON-CURBED STREETS
SWEPT ONCE EVERY TWO MONTHS 102,432 19.4
_____________________________________________________________________________________
TOTAL 4,275,236 934.44
_____________________________________________________________________________________
SWEEP CLASS H
OTHER SPECIAL SWEEPING REQUESTED BY THE CITY AT THE RATE STIPULATED IN
EXHIBIT C
2022/08/23 City Council Post Agenda Page 266 of 573
EXHIBIT E
CLASS G
CITY OF CHULA VISTA PARKING LOTS
SWEPT EVERY TWO MONTHS
PARKING LOTS LOCATION SQ.FT.
Civic Center Library 365 F Street 59,864
Civic Center 276 Fourth Avenue 16,640
Discovery Park 700 Buena Vista Way 64,670
Eucalyptus Park SW Corner of Fourth Avenue & C Street 69,710
Hilltop Park 780 Hilltop Drive 10,877
Horizon Park 970 East Palomar 7,800
Ken Lee Building 430 F Street 35,000
Public Parking Lot #2 245 Landis Avenue 25,520
Public Parking Lot #3 285-287 Landis Avenue 24,132
Lauderbach Park 333 Oxford Street 19,350
Loma Verde Park 1420 Loma Lane 88,468
Memorial Park/Parkway Gym 385 Park Way 20,913
Montevalle Park 840 Duncan Ranch Road 148,252
Mountain Hawk Park 1475 Lake Crest Drive 23,042
Norman Park Center 270 F Street 13,200
Reinstra Park/Max Field 1500 Max Avenue 85,083
Rohr Park 4548 Sweetwater Road 205,404
Salt Creek Park 2710 Otay Lakes Road 119,064
SDG&E Park 1450 Hilltop Drive 11,329
South Chula Vista Library 1427 Fourth Avenue 82,780
Terra Nova Park 450 Hidden Vista Drive 15,370
Veterans Park 785 East Palomar Street 28,266
TOTAL 1,174,734
Additional parking lots shall be swept on an as-needed basis, to be paid at the per sq.ft. rate, in
accordance with Exhibit C.
2022/08/23 City Council Post Agenda Page 267 of 573
EXHIBIT F
INSURANCE REQUIREMENTS
F.1 Required Insurance. Contractor must procure and maintain, during the period performance
of the Required Services under this Agreement, and for twelve months after completion of
Required Services, the policies of insurance set forth below in C.13 (“Required Insurance”). The
Required Insurance shall also comply with all other terms of this Exhibit.
F.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions
relating to the Required Insurance must be disclosed to approved by City in advance of the
commencement of work.
F.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted
to transact business in the State of California with a current A.M. Best’s rating of A V or better,
or, if insurance is placed with a surplus lines insurer, insurer must be listed on the State of
California List of Eligible Surplus Lines Insurers (LESLI) with a current A.M. Best’s rating of no
less than A X. For Worker’s Compensation Insurance, insurance issued by the State Compensation
Fund is also acceptable.
F.4 Subcontractors. Contractor must include all sub-contractors/service providers as insured
under its policies and/or furnish separate certificates and endorsements demonstrating separate
coverage for those not under its policies. Any separate coverage for sub-contractors/service
providers must also comply with the terms of this Agreement.
F.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must
be named as additional insured with respect to any policy of general liability, automobile, or
pollution insurance specified as required below in C.13 or as may otherwise be specified by City’s
Risk Manager. The general liability additional insured coverage must be provided in the form of
an endorsement to the Contractor’s insurance using ISO CG 20 10 (11/85) or its equivalent; such
endorsement must not exclude Products/Completed Operations coverage.
F.6 General Liability Coverage to be “Primary.” Contractor’s general liability coverage must
be primary insurance as it pertains to City, its officers, officials, employees, agents, and volunteers.
Any insurance or self-insurance maintained by City, its officers, officials, employees, or volunteers
is wholly separate from the insurance provided by Contractor and in no way relieves Contractor
from its responsibility to provide insurance.
F.7 No Cancellation. No Required Insurance policy may be canceled by either Party during
the required insured period under this Agreement, except after thirty days’ prior written notice to
City by certified mail, return receipt requested. Prior to the Effective Date of any such cancellation
Contractor must procure and put into effect equivalent coverage(s).
F.8 Waiver of Subrogation. Contractor will provide a Waiver of Subrogation in favor of City
for each Required Insurance policy under this Agreement. In addition, Contractor waives any right
it may have or may obtain to subrogation for a claim against City.
2022/08/23 City Council Post Agenda Page 268 of 573
F.9 Verification of Coverage. Prior to commencement of any work, Contractor shall furnish
City with original certificates of insurance and any amendatory endorsements necessary to
demonstrate to City that Contractor has obtained the Required Insurance in compliance with the
terms of this Agreement. The words “will endeavor” and “but failure to mail such notice hall
impose no obligation or liability of any kind upon the company, its agents, or representatives” or
any similar must be deleted from all certificates. The required certificates and endorsements
should otherwise be on industry standard forms. City reserves the right to require, at any time,
complete, certified copies or all required insurance policies, including endorsements evidencing
the coverage required by these specifications.
F.10 Claims Made Policy Requirements. If General Liability, Pollution, and/or Asbestos
Pollution Liability and/or Errors & Omissions coverage are required and are provided on a claims-
made form, the following requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the
beginning of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five
(5) years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy
form with a “Retro Date” prior to the Effective Date of this Agreement, Contractor must
purchase “extended reporting” coverage for a minimum of five (5) years after completion
of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to City for review.
F.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be
constructed to limit Contractor’s obligations under this Agreement, including Indemnity.
F.12 Additional Coverage. To the extent that insurance coverage provide by Contractor
maintains higher limits than the minimums appearing below in C.13, City requires and shall be
entitled to coverage for higher limits maintained.
2022/08/23 City Council Post Agenda Page 269 of 573
F.13 Insurance Requirements.
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products
and complete
operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence
limit.
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waive of Recovery Endorsement
Insurance Services Office
Form
CG 00 01
*Must be primary and must
not exclude
Products/Completed
Operations
☒ Automobile
Liability
$1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office
Form
CA 00 01
Code 1 – Any Auto
Code 8 – Hired
Code 9 – Non-Owned
☒ Workers’
Compensation
Employer’s
Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional
Liability (Errors &
Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: NONE
2022/08/23 City Council Post Agenda Page 270 of 573
EXHIBIT G
INDEMNITY REQUIREMENTS
G.1 General. To the maximum extent allowed by law, Contractor shall protect, defend,
indemnify and hold harmless City, its elected and appointed officers, agents, employees and
volunteers (collectively, “Indemnified Parties”), from and against any and all claims, demands,
causes of action, costs, expenses, (including reasonable attorneys’ fees and court costs), liability,
loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any
manner arising out of or incident to any alleged acts, omissions, negligence, or willful misconduct
of Contractor, its officials, officers, employees, agents, and contractors, arising out of or in
connection with the performance of the Required Services, the results of such performance, or this
Agreement. This indemnity provision does not include any claims, damages, liability, costs and
expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active
or passive negligent acts or omissions of the Indemnified Parties which may be in combination
with the active or passive negligent acts or omissions of the Contractor, its employees, agents or
officers, or any third party.
G.2 Modified Indemnity Where Agreement Involves Design Professional Services.
Notwithstanding the forgoing, if the services provided under this Agreement are design
professional services, as defined by California Civil Code Section 2782.8, as may be amended
from time to time, the defense and indemnity obligation under Section D.1, above, shall be limited
to the extent required by California Civil Code Section 2782.8.
G.3 Costs of Defense and Award. Included in Contractor’s obligations under these Indemnity
Provisions is Contractor’s obligation to defend, at Contractor’s own cost, expense and risk, any
and all suits, action or other legal proceedings that may be brought or instituted against one or
more of the Indemnified Parties. Subject to the limitations in this Indemnity Provisions, Contractor
shall pay and satisfy any judgment, award or decrees that may be rendered against on or more of
the Indemnified Parties for any and all related legal expenses and costs incurred by any of them.
G.4 Contractor’s Obligations Not Limited or Modified. Contractor’s obligations under these
Indemnity Provisions shall not be limited to insurance proceeds, if any, received by the
Indemnified Parties, or by any prior or subsequent declaration by Contractor. Furthermore,
Contractor’s obligations under this Indemnity Requirements shall in no way limit, modify or
excuse any of Contractor’s other obligations or duties under this Agreement.
G.5 Enforcement Costs. Contractor agrees to pay any and all costs City incurs in enforcing
Contractor’s obligations under these Indemnity Provisions.
G.6 Survival. Contractor’s obligations under these Indemnity Provisions shall survive the
termination of this Agreement.
2022/08/23 City Council Post Agenda Page 271 of 573
EXHIBIT H
CONTRACTOR CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require
designated state and local government officials, including some consultants, to make certain public
disclosures using a Statement of Economic Interests form (Form 700). Once filed, a Form 700 is
a public document, accessible to any member of the public. In addition, consultants designated to
file the Form 700 are also required to comply with certain ethics training requirements.3
☒ A. Contractor IS a corporation or limited liability company and is therefore EXCLUDED4 from
disclosure.
☐ B. Contractor NOT a corporation or limited liability company and disclosure designation is as
follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE
SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-
interest-code.)
Name Email Address Applicable Designation
Enter Name of Each
Individual Who Will Be
Providing Service Under
the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for
each individual
Enter email
address(es)
☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or
more of the categories under which the
Contractor shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐
6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets
the definition of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk
via the City's online filing system, NetFile, within 30 days of the approval of the Agreement. Additional
Form 700 filings will be required annually on April 1 during the term of the Agreement, and within 30
days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City
pursuant to the Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on
an analysis of the services the Contractor will provide. Notwithstanding this designation or anything
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th
261; FPPC Reg. 18700.3 (Consultant defined as an “individual” who participates in making a governmental
decision; “individual” does not include corporation or limited liability company).
2022/08/23 City Council Post Agenda Page 272 of 573
in the Agreement, the Contractor is ultimately responsible for complying with FPPC regulations and
filing requirements. If you have any questions regarding filing requirements, please do not hesitate to
contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or (866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the
written determination of the consultant’s requirement to comply with the disclosure requirements set forth in
the Code.
Completed by Kalani Camacho, Public Works Superintendent.
2022/08/23 City Council Post Agenda Page 273 of 573
v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Agreement: Approve a Community Purpose Facilities Agreement for Millenia Sectional Planning Area
Report Number: 22-0209
Location: Millenia Sectional Planning Area, located at the southwest corner of Birch Road and Eastlake
Parkway, east of State Route 125
Department: Development Services
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act (“CEQA”) State Guidelines; therefore, pursuant to State Guidelines Section
15060(c)(3) no environmental review is required.
Recommended Action
Adopt a resolution approving the Community Purpose Facilities (CPF) Agreement for the Millenia Sectional
Planning Area.
SUMMARY
The SLF IV – Millenia, LLC (“Developer”) is requesting an agreement for alternative CPF compliance within
the Millenia SPA in the form of a per unit fee to be paid into a fund for CPF uses as identified by the City. The
Millenia SPA, entitled for 2,983 residential units, requires 10.7-acres of CPF land as required by the Chula
Vista Municipal Code (“CVMC”) Section 19.48.025. The proposed fee is $2,343.22 per each residential
dwelling unit (“DU”) constructed in excess of 2,659 units, and would be considered after the current CPF
credit of 9.34 acres is exhausted at the issuance of the 2,604th residential building permit. The proposed fee
will escalate 3% annually starting January 1, 2023.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with CEQA and has
determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines
because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3)
of the State CEQA Guidelines, the activity is not subject to CEQA.
2022/08/23 City Council Post Agenda Page 274 of 573
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BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable
DISCUSSION
Background
The Millenia Sectional Planning Area (“SPA”) is located at the southwest corner of Birch Road and Eastlake
Parkway, east of the SR 125 toll road. The SPA was originally adopted on October 6, 2009, via Resolution No.
2009-224 and Ordinance No. 3142 with subsequent amendments on March 5, 2013; August 9, 2016;
December 6, 2016, and July 10, 2018.
The Millenia SPA is a 206-acre urban mixed-use center with a maximum buildout of 2,983 multi-family
residential units and 3,487,000 square feet of commercial uses including office, hospitality, retail and civic
uses. To date, 2,409 of the 2,983 entitled multi-family units have been permitted.
The following is a partial list of projects that have had building permits issued since the original SPA
adoption:
Pulse Millenia Apartments – a 273-unit rental community.
Chelsea Investment Company – a 210-unit family (Duetta) and senior (Volta) affordable apartment
community.
Ayres Hotel - a 135-room four story hotel.
The Sudberry Properties Millenia Commons Retail Center - a 130,000 square foot retail center.
Trammel Crow Residential Alexan Apartments- a 309-unit mixed use rental project with 10,000
square feet of commercial and live work units.
Trammel Crow Residential Esplanade Apartments - a 253-unit rental community.
Metro, Evo and Trio by Meridian Communities - a 217-unit condominium project.
Element and Z by Shea Homes - 106 three story townhomes and 70 detached urban homes.
Skylar by KB Homes - a 79-unit detached home project.
Boulevard by Lennar - a 78-unit townhome project.
Ryan Companies Avalyn Apartments – 480-unit mixed use community.
Chelsea Investment Company Columba Apartments – 200-unit affordable housing community.
The Millenia SPA is entitled for 2,983 residential units, resulting in a maximum possible CPF obligation of
10.7 acres (2.58 residents per unit x 2,983 units = 7,696 people ÷ 1,000 residents x 1.39 acres). This CPF
obligation is partially offset by a 9.34-acre CPF credit. This credit was generated by other McMillin projects
within Otay Ranch Villages Six and Seven that exceeded their respective CPF obligations.
The CPF credit of 9.34 acres will be exhausted at the time of the issuance of the 2,604th residential building
permit. It is anticipated that the SPA will build 2,659 residential units, resulting in a 0.20-acre CPF obligation
beyond the credit. Given the impracticality of delivering a CPF use on 0.2 acres, the Developer has requested
to pay $128,877.10 to the City, to be restricted for future CPF uses in perpetuity (“CPF Benefit Funds”). The
proposed CPF Benefit Funds are based on the “as-is” value for a finished commercial lot of $15.00 per square
foot. This equates to a cost of $653,400 per acre of CPF land.
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If the Millenia SPA is built out to the total entitlement of 2,983 units, an additional CPF obligation of 1.16
acres would be generated. The proposed agreement provides discretion to the Developer to provide the
additional 1.16 acres as CPF land or to pay additional CPF Benefit Funds on a per unit basis for each unit
constructed in excess of 2,659 (“CPF Benefit Fee”).
The per unit CPF Benefit Fee is determined by the following calculation:
2.58 People Per Household/1000 x 1.39 acres per 1,000 population x $653,400 (cost of an acre of
improved CPF land)
CPF Benefit Fee per residential unit = $2,343.22
This CPF Benefit Fee for the Millenia SPA will have an annual 3% escalator that will begin on January 1, 2023.
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the City Council members and has found no property holdings
within 1,000 feet of the boundaries of the property which is the subject of this action. Consequently, this item
does not present a disqualifying real property-related financial conflict of interest under California Code of
Regulations Title 2, section 18702.2(a)(7) or (8), for purposes of the Political Reform Act (Cal. Gov’t Code
§87100, et seq.).
Staff is not independently aware and has not been informed by any City Cou ncil member, of any other fact
that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
All costs associated with the drafting of the proposed agreement are borne by the developer, resulting in no
net fiscal impact to the General Fund or Development Services Fund as a result of this action.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact to the General Fund as a result of this action.
ATTACHMENTS
1. Community Purpose Facilities Agreement
Staff Contact: Laura C. Black, AICP, Interim Director of Development Services
2022/08/23 City Council Post Agenda Page 276 of 573
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A COMMUNITY PURPOSE
FACILITIES AGREEMENT BETWEEN THE CITY AND SLF IV
– MILLENIA, LLC
WHEREAS, SLF IV – Millenia, LLC (SLF), and its predecessors have been developing
the master planned Millenia project (Millenia), formerly known as the Eastern Urban Center (the
“EUC”), in the Otay Ranch area of the City; and
WHEREAS, the Otay Ranch General Development Plan establishes goals for religious,
day care, health, social services, and similar community and regional purpose facilities; and
WHEREAS, Chapter VII, Section K of the EUC Specific Planning Area Plan (the “SPA
Plan”), which governs Millenia, calls for the implementation of a Community Purpose Facility
zone to provide land for religious, day care, health, social services, and similar facilities; and
WHEREAS, Chula Vista Municipal Code (CVMC) §19.48.025 requires that new planned
communities identify 1.39-acres of net usable land for community purpose facilities (CPF) per
1,000 anticipated residents; and
WHEREAS, Millenia holds a CPF credit in the amount of 9.34 acres, which will not be
exhausted until construction of the 2,604th unit in Millenia; and
WHEREAS, it is currently anticipated that Millenia will ultimately contain approximately
2,659 DUs, which (after the credit of 9.34-acres) would require that Millenia provide 0.20-acres
of CPF; and
WHEREAS, based on these practical considerations, the City agrees to waive the expected
CPF obligation of 0.20-acres because of the extraordinary public benefit provided by a payment
from SLF to the City in the amount of one hundred twenty-eight thousand eight hundred seventy-
seven and 10/100 dollars ($128,877.10); and
WHEREAS, the initial CPF benefit funds collected from Millenia may be utilized by the
City at its discretion to provide CPF uses in perpetuity; and
WHEREAS, if the SPA is built out to the total entitlement of 2,983 residential units,
Millenia would be obligated to provide an additional 1.16-acres of CPF land; and
WHEREAS, at SLF’s election, the potential CPF obligation of 1.16-acres may be waived
because of the extraordinary benefit provided by payments for each residential unit which receives
a building permit above a cumulative total of the 2,659th residential unit in the amount of two
thousand three hundred forty-three dollars and 22/100 dollars ($2,343.22) per residential unit,
escalating 3% annually each January 1st, with the first such escalation occurring January 1, 2023.
2022/08/23 City Council Post Agenda Page 277 of 573
Resolution No.
Page No. 2
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista,
that it hereby approves the Community Purpose Facilities Agreement, between the City and SLF
IV – Millenia, LLC, in the form presented, with such minor modifications as may be required or
approved by the City Attorney, a copy of which shall be kept on file in the Office of the City Clerk
and authorizes and directs the City Manager to execute the same.
Presented by Approved as to form by
Laura C. Black, AICP Glen R. Googins
Interim Director of Development Services City Attorney
2022/08/23 City Council Post Agenda Page 278 of 573
RECORDING REQ{JESTED AND WHEN
RECORDED MAIL TO AND MAIL TAX
ST ATEMENTS TO:
City Clerk
City of Chula Vista
276 Fourth Avenue
Chula Vista, California 91910
EXEMPT FROM RECORDER'S FEES
Pursuant to GOVERNMENT CODE §6103
APN(s):SPACE ABOVE THIS
RECORDER'S USE
LINE FOR
COMMUNITY PURPOSE FACILITIES AGREEMENT
This COMMUNITY P{JRPOSE FACILITIES AGREEMENT ("Agreement") is made as
of this day of 2022, by and between the CITY OF CH{JLA VISTA, a
California municipal corporation and charter city ("City") and SLF IV - Millenia, LLC, a pelaware
limited liability company ("SLF") with reference to the following facts:
WHEREAS, SLF and its predecessors have been developing the master planned Millenia
project ("Millenia"), formerly known as the Eastern Urban Center (the "EUC"), in the Otay Ranch
area of the City; and
WHEREAS, SLF- and its predecessors have developed and sold portions of Millenia, but
SLF still owns the portion of Millenia whose legal description is in Exhibit A attached hereto and
incorporated herein by the reference (the "Remaining SLF Property"); and
WHEREAS, the Otay Ranch General Development Plan establishes goals for religious,
day care, health, social services, and similar community and regional purpose facilities; and
WHEREAS, Chapter VII, Section K of the EUC Specific Planning Area Plan (the "SPA
Plan"), which governs Millenia, calls for the implementation of a Community Purpose Facility
zone to provide land for religious, day care, health, social services, and similar facilities; and
WHEREAS, Chula Vista Municipal Code ("CVMC") §19.48.025 requires that new
planned cornrnunities identify 1.39-acres of net usable land for community purpose facilities
("CPF") per 1,000 anticipated residents; and
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WHEREAS, according to Table G of the SPA Plan (Chapter 7, pg. VII-32), Millenia could
generate a demand for 10.7-acres of CPF land, based on a maximum of 2,983 dwelling units
("DUs") with an average of 2.58 residents per unit, for an estimated maximum population of 7,696
people; and
WHEREAS, as Table G of the SPA Plan states, Millenia is entitled to a credit of 9.34-acres
of CPF from previous projects, leaving 1.36-acres to be provided; and
WHEREAS, Millenia's CPF credit of 9.34-acres will not be exhausted until construction
of the 2,604'h rinit in Millenia; and
WHEREAS, it is currently anticipated that Millenia will ultimately contain approximately
2,659 DUs, which (after the credit of 9.34-acres) would require that Millenia provide O.20-acres
of CPF (the "Expected CPF Obligation"); and
WHEREAS, based on these practical considerations, the City agrees to waive the Expected
CPF Obligation of O.20-acres because of the extraordinary public benefit provided by a payment
from SLF to the City in the amount of one hundred twenty-eight thousand eight hundred seventy-
seven and 10/100 dollars ($128,877.10) based upon the valuation described in Exhibit B, attached
hereto and incorporated herein by the reference (the "Initial CPF Benefit Funds"); and
WHEREAS, the Initial CPF Benefit Funds collected from Millenia may be utilized by the
City at its discretion to provide CPF uses in perpetuity; and
WHEREAS, if the SPA is built out to the total entitlement of 2,983 residential units,
Millenia would be obligated to provide an additional 1.16-acres of CPF (the "Potential CPF
Obligation"); and
WHEREAS, at SLF's election, the Potential CPF Obligation of 1.16-acres may be waived
because of the extraordinary benefit provided by payments for each residential unit which receives
a building permit above a cumulative total the 2,659th residential unit in the amount of two
thousand three hundred forty-three dollars and 22/100 dollars ($2,343.22) per residential unit,
escalating 3% annua-lly each January ls', with the first such escalation occurring January 1, 2023
(the "Potential CPF Benefit Funds"); and
WHEREAS, if elected, the Potential CPF Benefit Funds collected from Millenia shall be
utilized by the City at its discretion to provide CPF uses in perpetuity; and
WHEREAS, the City Council, in approving this Agreement, finds that (a) the Initial CPF
Benefit Funds and the Potential CPF Benefit Funds, if elected, will provide extraordinary benefit
not otherwise obtained through the provision of CPF acreage; (b) the public benefit is similar in
nature to and Satisfies the goals of the CPF requirement by providing the community with funds
to acquire land or other interests on which a public service, determined by the City Council to be
essential to part of the community fabric, for which land or other interests would not otherwise be
available, is provided and made available to the community; (c) the extraordinary public benefit is
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guaranteed in perpetuity; and (d) this Agreement ensures the provision of the extraordinary benefit
in perpetuity; and
WHEREAS, the City Council, in approving this Agreement, finds that SLF is in
compliance with the CPF requirements of CVMC Chapter 19.48.
NOW, THEREFORE, in consideration of the mutual covenants herein contained, the
parties agree as follows:
1. Definitions. In addition to terms defined in the Recitals, the following terms shall
have the indicated definitions throughout this Agreement:
1.1 "Design Review" means the design review process described in CVMC
§19.14.582 and §19.14.583.
1.2 "Development Agreement" means the Development Agreement by and
Between the City of Chula Vista and McMillin Otay Ranch LLC, recorded in the San Diego
County Recorder's Office on October 27, 2009, as Document No. 2009-0595116, including all
amendments thereto.
1.3 "Initial Triggering Proiect" means the first residential constniction project that
would exceed the cumulative 2,604th DU in Millenia.
1.4 "Master Developer" means the Master Developer as defined in the
pevelopment Agreement. SLF is currently Master Developer.
1.5 "Merchant Builder" means a Merchant Builder as defined in the Development
Agreement.
1.6 "Potential Triggering Proiect" means the first residential construction project
that would exceed the cumulative 2,659th DU in Millenia.
2. Satisfying the Community Purpose Facility Requirement.
2.1 . As part of its monitoring of Design Review applications and
approvals for Millenia, City shall endeavor to notify Master Developer when City is considering
the first application for Design Review for the Initial Triggering Project and the Potential
Triggering Project. Failure by the City to timely notify Master Developer shall not limit City's
ability to enforce the terms of this Agreement.
2.2 Payment of hiitial CPF Benefit Funds. Design Review for the Initial
Triggering Project shall be made subject to a condition requiring payment of the Initial CPF
Benefit Funds prior to building permit issuance.
2.3 Election of Potential CPF Obligation Waiver. Master Developer shall
submit in writing to the City Manager its election to pay the Potential CPF Benefit Funds.
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2.4 Payment of Potential CPF Benefit Funds. If Master Developer has so
elected, Design Review for the Potential Triggering Project, and any subsequent residential
projects, shall be made subject to a condition requiring payment of the Potential CPF Benefit Funds
for each residential unit in the indiyidual project(s), prior to building permit issuance.
2.5 Master Developer's Private Arranzements. Nothing herein is intended to
prevent, nor shall be deemed to prevent, Master Developer from making private credit or
reimbursement arrangements withMerchant Builders regarding payment ofthe Initial CPF Benefit
Funds orthe Potential CPF BenefitFunds, so long as the City receives payment as described above.
2.6 Compliance with CVMC. Payment of the Initial CPF Benefit Funds
pursuant to this Agreement satisfies Millenia's Expected CPF Obligation. Payment of the Potential
CPF Benefit Funds pursuant to this Agreement satisfies Millenia's Potential CPF Obligation.
3. Miscellaneous Provisions.
3.1 Notices.A1lnoticesanddemandsgivenpursuanttothisAgreementshallbe
written. They shall be 4eemed served (i) immediately, upon personal delivery; (ii) the next
business day, if e-mailed or sent prepaid by recognized overnight service such as FedEx for
delivery the next business day; or (iii) three (3) business days after deposit in the United States
mail, certified or registered mail, return receipt requested, first-class postage prepaid. Until notice
of a change of address is properly given, notice shall be given:
If to City:City of Chula Vista
Attn: City Manager
276 Fourth Avenue
Chula Vista, CA 91910
With a copy to:City Attoniey
276 Fourth Avenue
Chula Vista, CA 91910
If to Master Developer:Todd Galarneari
Executive Vice President
Meridian Development
9988 Hibert Street, Suite 210
San Diego, CA 92131
TGalameau@,meridiandevelopment.com
With a copy to:Richard A. Schulman
Richard A. Schulman, A Professional Corporation
9834 Apple Tree Drive, Unit C
San Diego, CA 92124
Richard(iSchulmanAtLaw.com
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3.2 . Captions in this Agreement are inserted for convenience of
reference. They do not define, describe, or limit any ternn of this Agreement.
3.3 Entire Agreement. This Agreement embodies the entire agreement and
rinderstanding between the parties regarding how Millenia may satisfy its future CPF obligations.
No prior or contemporaneous oral or written representations, agreements, understandings and/or
statements regarding its subject matter shall have any force or effect. This Agreement is not
intended to supersede or amend any other agreement between the parties unless expressly noted.
All previous written agreements between the parties, such as the Development Agreement, remain
in full force and effect.
3.4 Recitals and Exhibits. All Recitals set forth above and all Exhibits attached
hereto are part of this Agreement.
3.5 . If.any provision of this Agreement or its particular application
is held invalid or unenforceable by a court of competent jurisdiction, the remaining provisions of
this Agreement, and their application, shall remain in full force and effect, unless a party's
consideration would materially fail as a result.
3.6 Recordation. The City shall have this Agreement recorded in the Office of
the County Recorder of San Diego Corinty, California within ten days after its approval by the
City Corincil.
3.7 Term.
3.7.1 Partial termination. This Agreement shall terminate as to each portion
of the Remaining SLF Property for which the Initial CPF Benefit Funds have been paid in full,
and for any property for which the Potential CPF Benefit payments have been paid in full. The
parties (or their successors as to thI'atportion, as applicable) shall record a termination of this
Agreement as to that portion of the Remaining SLF Properly, in substantially the form attached as
Exhibit C.
3.7.2 Complete-termination. As to any portion(s) of the Remaining SLF
Property for which the Iriitial or Potential CPF Benefit Funds have not been paid, this Agreement
shall terminate in its entirety upon the payment of the Potential CPF Benefit Funds for the 2,983
DUs in Millenia allowed by the Development Agreement.
3.8 Preparation of Agreement. No inference, assumption or presumption shall
be drawn from the fact that a party or its attorney drafted this Agreement. It shall be conclusively
-presiuned that all parties participated equally in drafting this Agreement.
3.9 . Each party warrants and represents that it has the necessary legal
authority and capacity to enter into this Agreement, and that it has taken all necessary action to
authorize its entry into this Agrgement. Each individual signing this Agreement on behalf of an
entity warrants that his/her principal has duly authorized him/her to sign this Agreement on its
behalf so as to bind his/her principal.
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3.10 Modification. This Agreement may not be modified, terminated, or
rescinded, in whole or in part, except by written instrument duly executed and acknowledged by
the parties hereto, their successors or assigns.
3. 11 Successors. This Agreement shall bind all successors and assigns who own
all or any portion of the Remaining SLF Property, including but not limited to Merchant Builders
and SLF's successor(s) as Master Developer. Nothing herein is intended to limit, or shall be
deemed to limit, the right of SLF and its successor(s) as Master Developer to sell all or any portion
of the Remaining SLF Property.
3.12 Governing Law and Venue. This Agreement shall be governed by and
construed in accordance with the laws of the State of California. Any action arising under or
relating to this Agreement shall be brought only in the federal or state corirts located in San Diego
County, State of California, and if applicable, the City of Chula Vista, or as close thereto as
possible. Venue for this Agreement and performance hereunder shall be the City of Chula Vista.
3.13 . This Agreement may be executed in any number of
counterparts, each of which shall be an original and all of which shall constitute one and the same
document. However, in the event of conflicts, the recorded version shall control.
3.14 Agreement Runs with the Land. The burden of the covenants contained in
this Agreement shall run with the Remaining SLF Property for the benefit ofMillenia, the Master
Developer and the City, their successors and assigns and any successor in interest and thereby run
with the land. City is deemed the beneficiary of such covenants for and in its own right and for the
purposes of protecting the interest of the cornrnunity. This Agreement shall be released from the
Remaining SLF Property in accordance with Section 3.7 herein.
[Remainder of page intentionally left blarxk3
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SIGNATURE PAGE TO
COMMUNITY PURPOSE FACILITIES AGREEMENT
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
the day and year first set forth above.
CITY OF CHULA VIST A,
a California municipal corporation and
charter city
BY:
ATTEST:
BY:
City Clerk
APPROVED AS TO FORM:
BY:
City Attorney
SLF IV - MILLENIA, LLC,
a Delaware limited liability company
By: SLF IV Millenia Investor, LLC,
a Texas limited liability company,
its sole and managing member
By: Stratford Land Fund IV, L.P.,
a Delaware limited partnership,
its co-managing member
Name:f!osm- E l'ys-
Title: hktJatc
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A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document, to which this certificate is attached, and not the truthfulness,
accuracy, or validity of that document.
STATE OF GEORGIA
COUNTY OF FULTON
to me on the basis of satisfactory evidence to the person(s) whose name(s) is/are subscribed to
the within instrument and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENAI,TY OF PERJURY under the laws of the State of Georgia that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
6ommt%.+
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A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the truthfulness,
accuracy, or validity of that document.
State of California
County of
On before me,a Notary Public,
personally appeared , who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument
and acknowledged to me that he/she/they executed the same in his/her/their authorized
capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity
upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJ[JRY under the laws of the State of California that the
foregoing paragraph is tnie and correct.
WITNESS my hand and official seal.
Signature
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EXHIBIT A
Legal Description of "Remaining SLF Property"
Lots l and 19 in the City of Chula Vista County of San Diego, State of California, According to
Map thereof No. 16081 filed in the Office of the County Recorder of San Diego Corinty on
December 28, 2015
And,
Parcel 1 in the City of Chula Vista Corinty of San Diego, State of California, According to Map
thereof No. 21622 filed in the Office of the County Recorder of San Diego County on September
14, 2018
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EXHIBIT B
CPF Calculator
CPF Calculator
All payment and fee amounts are as of 1-1-2022
Total
Project
Unit
Count
Units
above
credit HHP"Total Pap
CPF AC
required
Starting
Credit
Remaining
Credit
(AC)
Rem
obligation
(AC)
Initial CPF
Payment
Per unit
fee***
2604 o 2.58 6718 9.34 9.34 0.00 o
2659"55 2.58 6860 9.54 9.34 -0.20 0.20 9128,877.10 ,!>2,343.22
I I
Per unit fee represents 3% escalation effective 1/1/2023****S2,413.52
* Household Population
** The Millenia SPA is entitled for a total of 2,983 residential units. It is anticipated that the SPA may
only build to 2,659 residential units.
*** Per unit fee based on land value of S15 per square foot.
****Annual escalation of 3 percent will occur each January 1st. First increase will be effective on
January 1, 2023.
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EXHIBIT C
Form of Termination
RECORDING REQUESTED AND WHEN
RECORDED MAIL TO AND MAIL TAX
ST ATEMENTS TO:
City Clerk
City of Chula Vista
276 Fourth Avenue
Chula Vista, California 91910
EXEMPT FROM RECORDER'S FEES
Pursuant to GOVERNMENT CODE §6103
APN(s):SPACE ABOVE THIS
RECORDER'S USE
LINE FOR
This TERMINATION OF COMMUNITY P{JRPOSE FACILITIES AGREEMENT
("Termination") is made and enteredinto as of this day of 20, (the
"Effective Date") by and between the CITY, OF CHULA VISTA, a California municipal
corporation and charter city ("City") -and SLF IV - Millenia, LLC, a Delaware limited liability
company ("SLF") with reference to the following facts:
A. On or about - ' - , 2022, C'ity and SLF entered into the "Community
-p urposeFacilities Agreement," whichwas recorded on , 2022, as Document No.
- 2022- (the"Agreement")
B. The Agreement calls for its tertnination as to any properties for which either the
Initial CPF BenefitFunds or PotentiaKPF Benefit Funds, as defined in the Agreement, have been
paid.
C. The . . - '- CPF Benefit Funds for the property legally described in
attacbed Exhibit A (the "Terminated Property") have been paid.
WHEREFORE, the parties agree as follows:
1. TheAgreementisherebyterminatedastotheTerminatedProperty.TheAgreement
shall have no further force o-r.effect as to the Terminated Property as of the Effective Date.
lNext page Signature Page]
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SIGNATURE PAGE TO
COMMUNITY PURPOSE FACILITIES AGREEMENT
FORM OF TERMINATION
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
the day and year first set forth above.
CITY OF CHULA VIST A,
a municipal corporation
SLF IV - MILLENIA, LLC,
a Delaware limited liability company
BY:
By: SLF IV Millenia Investor, LLC,
a Texas limited liability company,
its sole and managing member
ATTEST:By: Stratford Land Fund IV, L.P.,
a Delaware limited partnership,
its co-managing member
By:
City Clerk By: SLF IV 2020 GP, LLC,
a Texas limited liability company,
its general partner
BY:
BY:Name:
City Attorney
Title:
ACN# 2022-119
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EXHIBIT A
Legal Description of Terminated Property
Lot 1 in the City of Chula Vista County of San Diego, State of California, According to Map
thereof No. 16081 filed in the Office of the County Recorder of San Diego County on December
28, 2015
Or,
Lot 19 in the City of Chula Vista County of San Diego, State of California, According to Map
thereof No. 16081 filed in the Office of the County Recorder of San Diego County on December
28, 2015
Or,
Parcel 1 in the City of Chula Vista County of San Diego, State of California, According to Map
thereof No. 21622 filed in the Office of the County Recorder of San Diego County on September
14, 2018
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v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Investment Report: Quarter Ending June 30, 2022
Report Number: 22-0235
Location: No specific geographic location
Department: Finance
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no
environmental review is required.
Recommended Action
Accept the investment report for the quarter ending on June 30, 2022.
SUMMARY
Transmitted herewith is the City’s investment report for the quarter ending June 30, 2022. To meet the
reporting requirements set forth in California Government Code Section 53600 et seq. and the City of Chula
Vista Investment Policy and Guidelines, a separate report was distributed to the City Council in July.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with the California
Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under
Section 15378 of the State CEQA Guidelines because the proposed activity consists of a governmental
fiscal/administrative activity which does not result in a physical change in the environment; therefore,
pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no
environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
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DISCUSSION
The total cash and investment portfolio held by the City as of June 30, 2022 was $579,814,394 and total cash
and investments held by the trustees was $101,248,456.
The cash and investments held by the City are composed of the following components: Managed Investment
Portfolio ($482,958,236), State of CA Local Agency Investment Fund ($11,806,018), County of San Diego
Pooled Investment Fund ($23,207,250), and Cash/Time Deposits ($61,842,891). Cash and investments held
by the City and the trustees continue to be invested in accordance with the Government Code and the Council
Investment Policy as adopted by Resolution 2022-052 on March 1, 2022.
During the quarter, eleven investments matured, totaling $14,538,000. Fourteen purchases were made to
replace those investments and invest idle cash. Purchased investments include: Nine federal agency bonds
($26,170,000), three corporate notes ($9,495,000), and two municipal bonds ($5,700,000). Finance staff
continues to manage the portfolio and execute transactions as financial and economic conditions warrant.
There is no further activity to report other than routine investments.
Two-year Treasuries yielding 2.28% at the beginning of the quarter ended the quarter at a yield of 2.92%.
As of June 30, 2022, the Weighted Yield to Maturity on the Managed Investment Portfolio was 1.66%, which
was an increase of eight basis points from the previous quarter. Due to the rapid increase in inte rest rates
over the last two quarters, the portfolio’s Weighted Yield to Maturity falls below the current two-year
treasury. Purchases are made at current market yields with fixed interest rates.
At the end of this quarter, the Weighted Average Maturity of the Managed Investment Portfolio was 2.01
years, which is a decrease from 2.12 years the prior quarter and is within the Council Policy.
The Federal Open Market Committee (FOMC) meets approximately every six weeks and determines the level
of the Federal Funds Rate. During this quarter, the FOMC met on May 4 and June 15. At their May 4 meeting,
the FOMC voted to raise the Federal Funds Rate target range from 0.25%-0.50% to a range of 0.75%-1.00%.
At their June 15 meeting, the Federal Funds Rate was increased to a new range of 1.50%-1.75%.
The following excerpts are from the statement issued by the FOMC following their June 15 meeting. “Overall
economic activity appears to have picked up after edging down in the first quarter. Job gains have been robust
in recent months, and the unemployment rate has remained low. Inflation remains elevated, reflecting supply
and demand imbalances related to the pandemic, higher energy prices, and broader price pressures. The
invasion of Ukraine by Russia is causing tremendous human and economic hardship. The invasion and
related events are creating additional upward pressure on inflation and are weighing on global economic
activity. In addition, COVID-related lockdowns in China are likely to exacerbate supply chain disruptions. The
Committee is highly attentive to inflation risks. The Committee seeks to achieve maximum employment and
inflation at the rate of 2 percent over the longer run. In support of these goals, the Committee decided to raise
the target range for the federal funds rate to 1-1/2 to 1-3/4 percent and anticipates that ongoing increases
in the target range will be appropriate…In assessing the appropriate stance of monetary policy, the
Committee will continue to monitor the implications of incoming information for the economic outlook. The
Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that
could impede the attainment of the Committee’s goals….”
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P a g e | 3
Considering the projected timing of cash receipts and disbursements and the structure of the Pooled
Investment Portfolio, the City will be able to comfortably meet overall cash flow needs over the next six
months.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the real property holdings of the City Council members do not create a disqualifying real
property-related financial conflict of interest under the Political Reform Act (Cal. Gov’t Code § 87100, et seq.).
Staff is not independently aware, and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
Considering the projected timing of cash receipts and disbursements and the structure of the Pooled
Investment Portfolio, the City should be able to comfortably meet overall cash flow needs over the next six
months. There is no direct fiscal impact by this action.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact by this action.
ATTACHMENTS
1. Summary of Cash and Investments as of June 30, 2022
2. Investment Report for the Quarter Ended June 30, 2022
Staff Contact: Sarah Schoen, Director of Finance/Treasurer
Lisa Partee, Fiscal and Management Analyst, Finance Department
2022/08/23 City Council Post Agenda Page 295 of 573
% of
Investment Type Par Value Market Value Book Value Portfolio
Managed Investment Portfolio
BNY Custodial Cash Account $9,406,775 $9,406,775 $9,406,775 1.38%
U.S. Treasury Bond/Note 17,000,000 16,758,030 17,077,142 2.51%
Federal Agency Collateralized Mtg Ob. 0 0 0 0.00%
Federal Agency Bond/Note 184,929,000 178,187,138 184,329,723 27.07%
Corporate Note 145,696,000 142,637,596 148,690,848 21.83%
Commercial Paper 0 0 0 0.00%
Certificate of Deposit 28,304,000 27,634,847 28,306,305 4.16%
Municipal Bond 68,505,000 66,832,494 69,427,779 10.19%
Supranationals 18,500,000 17,847,880 18,294,873 2.69%
Asset Back Security/Collateralized Mtg Ob. 3,160,000 3,162,456 3,198,802 0.47%
Placement Service Deposits (CDARS) 4,225,989 4,225,989 4,225,989 0.62%
Managed Investment Portfolio Subtotal 479,726,764 466,693,204 482,958,236 70.91%
Pooled Investments
State of CA Local Agency Investment Fund 11,806,018 11,654,020 11,806,018 1.73%
County of San Diego Pooled Investment Fund 23,207,250 22,601,541 23,207,250 3.41%
Pooled Investments Subtotal 35,013,268 34,255,561 35,013,268 5.14%
Cash/Time Deposits 61,842,891 61,842,891 61,842,891 9.08%
Total Cash & Investments Held by the City $576,582,923 $562,791,656 $579,814,394 85.13%
Held by Bank Trustee/Fiduciary Funds
Investment Agreements 0 0 0 0.00%
Mutual Funds 22,466,053 22,298,159 22,466,053 3.30%
Cash with Fiscal Agents 9,781,190 9,781,190 9,781,190 1.44%
Restricted Cash 10,315,773 10,315,773 10,315,773 1.51%
U.S. Government 58,685,439 58,685,439 58,685,439 8.62%
Total Held by Bank Trustee/Fiduciary Funds $101,248,456 $101,080,561 $101,248,456 14.87%
Total Portfolio $677,831,378 $663,872,217 $681,062,850 100.00%
Notes:
1. Reflects bond proceeds and tax levy revenues held by trustee in accordance with bond covenants.
2. Par value is the principal amount of the investment on maturity.
3. Market values contained herein are received from sources we believe are reliable, however we do not guarantee their accuracy.
4. Book value is par value of the security plus or minus any premium or discount on the security.
Summary of Cash and Investments as of June 30, 2022
City of Chula Vista
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Excludes Pooled Investments and BNY Custodial Cash AccountPortfolio MaturityUnder 1 YearMaturityJun 2022Mar 2022Change1 - 2 Years3-Month1.72%0.52%1.20%2 - 3 Years1-Year2.80%1.63%1.17%3 - 4 Years2-Year2.92%2.28%0.64%4 - 5 Years3-Year2.99%2.45%0.54%Total5-Year3.01%2.42%0.59%10-Year2.98%2.32%0.66%AprilMayJun 2021Jun 2020Jun 2019Jun 2018June0.25%0.16%1.75%2.52%Total for QuarterNote: Interest Earnings figures do not include capital gains or losses437,142$ 1,720,048$ (131,551)$ 261,099$ 257,226$ 386,774$ U.S. Treasury Yields - Quarterly Comparison2-Year U.S. Treasury Yield - Historical Data614,750$ 797,704$ 746,301$ 536,605$ Interest Earnings20222,106,821$ % Maturing2021Change470,319,989$ 19%27%31%19%3%100%90,771,989$ 127,942,000$ 145,627,000$ 91,629,000$ 694,368$ PAR Maturing14,350,000$ City of Chula VistaInvestment Report for the Quarter Ended June 30, 2022Portfolio Summary and Key StatisticsPAR ValueBook ValueMarket ValueWeighted Average Maturity (in years)Weighted Yield to MaturityPortfolio Key Statistics514,740,032$ 517,971,503$ 500,948,765$ 2.011.66%0.63%5.52%0.00%28.47%35.57%3.35%13.34%3.56%0.84%2.33%4.51%1.88%ASSET-BACKED SECURITYCERTIFICATE OF DEPOSITCOMMERCIAL PAPERCORPORATE NOTEFEDERAL AGENCY BOND/NOTEU.S. TREASURY NOTEMUNICIPAL BONDSUPRANATIONALPLACEMENT SERVICE DEPOSITSLOCAL AGENCY INVESTMENT FUNDSD COUNTY INVESTMENT POOLMONEY MARKET FUND0%5%10%15%20%25%30%35%Under 1Year1 - 2 Years 2 - 3 Years 3 - 4 Years 4 - 5 Years19%27%31%19%3%Portfolio Maturity DistributionPage 1 of 17Source: City of Chula Vista Finance Department2022/08/23 City Council Post Agenda Page 297 of 573
City of Chula Vista Market Values as of:6/30/2022Current InvestmentsDescription DatedDate Coupon MaturityCUSIPParS&PMdysTradeDateSettlementDate Book Value YTMBNY Market Value 1IssuerCAPITAL ONE 2019-A2 A29/5/20191.720%8/15/202414041NFU02,000,000.00AAA12/18/201912/23/20191,992,939.221.862,000,055.60CAPITAL ONE MULTI-ASSET EXEC TRCITIBANK 2018-A6 A68/17/20183.210%12/7/202417305EGR0560,000.00Aaa1/2/20201/7/2020581,862.371.83561,184.68CITIBANK CREDIT CARD ISSUANCEWORLD OMNI 2018-D A410/17/20183.440%12/16/202498162WAE7600,000.00AAA12/19/201912/23/2019624,000.002.13601,215.42WORLD OMNI AUTO RECEIVABLES TRUSTASSET-BACKED SECURITYSUBTOTAL3,160,000.003,198,801.593,162,455.70HANMI BANK7/19/20192.000%7/19/2022410493EL0249,000.00NA7/9/20197/19/2019249,000.002.00249,036.63HANMI BANKTIAA FSB2/4/20192.900%8/4/202287270LBR3246,000.00NA1/23/20192/4/2019246,000.002.90246,276.92TIAA FSBCIT BANK8/23/20191.950%8/23/202212556LBB1247,000.00NA8/12/20198/23/2019247,000.001.95247,080.62CIT BANK NA1ST SECURITY BANK8/30/20191.750%8/30/202233625CCQ0249,000.00NA8/12/20198/30/2019249,000.001.75248,894.791ST SECURITY BANKFIRST SOURCE BANK7/11/20192.000%9/12/202233646CLJ1247,000.00NA7/3/20197/11/2019247,000.002.00246,993.82FIRST SOURCE BANKCONGRESSIONAL BANK7/24/20192.050%9/26/202220726ABC1247,000.00NA7/11/20197/24/2019247,000.002.05247,023.47CONGRESSIONAL BANKPLAINSCAPITAL BANK10/11/20191.800%10/11/202272663QD30247,000.00NA10/1/201910/11/2019247,000.001.80246,677.70PLAINSCAPITAL BANKENERBANK USA10/31/20183.300%10/31/202229278TDT4249,000.00NA10/26/201810/31/2018249,000.003.30249,524.46ENERBANK USADISCOVER BANK11/1/20183.300%11/1/2022254673WA0245,000.00NA10/26/201811/1/2018245,000.003.30245,674.71DISCOVER BANKFIRST BANK FINANCIAL 2/6/20192.750%11/7/202231911QFP5249,000.00NA1/30/20192/6/2019249,000.002.75249,241.24FIRST BANK FINANCIAL CENMORGAN STANLEY11/8/20183.400%11/8/202261760ARM3245,000.00NA10/31/201811/8/2018245,000.003.40245,801.90MORGAN STANLEYFSB OF DEQUEEN7/30/20192.000%11/30/2022336460CV0249,000.00NA7/3/20197/30/2019249,000.002.00248,285.28FSB OF DEQUEENLUANA SAVINGS BANK6/21/20192.250%12/21/2022549104GU5247,000.00NA6/13/20196/21/2019247,000.002.25246,491.44LUANA SAVINGS BANKVERUS BANK6/28/20192.200%12/28/202292535LCH5249,000.00NA6/13/20196/28/2019249,000.002.20248,403.71VERUS BANKWELLS FARGO NATL BANK12/30/20191.850%12/30/2022949495AF2249,000.00NA12/16/201912/30/2019249,000.001.85247,719.85WELLS FARGO NATL BANKMARTHAS VINEYARD SB1/21/20201.650%1/23/2023573125AF8249,000.00NA1/13/20201/21/2020249,000.001.65247,269.49MARTHAS VINEYARD SBUNITY BANK NJ1/22/20201.650%1/23/202391330ABX4249,000.00NA1/13/20201/22/2020249,000.001.65247,269.49UNITY BANK NJVIRGINIA PARTNERS BANK1/27/20201.650%1/27/2023928066BB4249,000.00NA1/13/20201/27/2020249,000.001.65247,236.43VIRGINIA PARTNERS BANKPROMISEONE BANK2/14/20201.500%2/14/202374348HAE8249,000.00NA2/4/20202/14/2020249,000.001.50246,633.75PROMISEONE BANKSERVISFIRST BANK2/21/20201.600%2/21/202381768PAF3249,000.00NA1/31/20202/21/2020249,000.001.60246,723.61SERVISFIRST BANKBANK OF PERRY COUNTY2/21/20201.550%2/21/202306425KCC1249,000.00NA2/4/20202/21/2020249,000.001.55246,642.89BANK OF PERRY COUNTYPEOPLEFIRST BANK3/6/20201.350%3/6/2023709771AG4249,000.00NA2/27/20203/6/2020249,000.001.35245,937.31PEOPLEFIRST BANKPADUCAH BANK AND TRUST3/12/20201.250%3/13/2023695292FR8249,000.00NA2/28/20203/13/2020249,000.001.25245,677.21PADUCAH BANK AND TRUSTFIRST CAROLINA BANK3/24/20201.100%3/24/202331944MAR6249,000.00NA3/2/20203/24/2020249,000.001.10245,262.77FIRST CAROLINA BANKSTATE BANK OF REESEVILLE4/12/20192.550%4/12/2023856487AQ6249,000.00NA3/28/20194/12/2019249,000.002.55247,556.71STATE BANK OF REESEVILLEMIDWEST COMMUNITY BANK4/15/20201.200%4/14/2023598315CE7249,000.00NA4/3/20204/15/2020249,000.001.20244,896.35MIDWEST COMMUNITY BANKCADENCE BANK4/15/20201.300%4/17/202312738RGA6248,000.00NA4/2/20204/15/2020248,000.001.30244,083.94CADENCE BANKEAGLEBANK4/30/20192.650%4/28/202327002YEL6249,000.00NA4/16/20194/30/2019249,000.002.65247,683.13EAGLEBANKSTEARNS BANK2/10/20201.650%5/10/2023857894F95247,000.00NA2/4/20202/10/2020247,000.001.65243,305.50STEARNS BANKFARMERS & MERCH SVGS BK8/15/20191.950%8/15/202330886WAB1249,000.00NA8/1/20198/15/2019249,000.001.95244,444.01FARMERS & MERCH SVGS BKNEBRASKALAND NATIONAL BK8/22/20191.750%8/22/202363970QFT8248,000.00NA8/12/20198/22/2019248,000.001.75242,835.37NEBRASKALAND NATIONAL BANKFIRSTIER BANK8/23/20191.900%8/23/202333766LAH1249,000.00NA8/8/20198/23/2019249,000.001.90244,215.58FIRSTIER BANKAMERICAN COMMERCE BANK8/23/20191.750%8/23/202302519TAW6249,000.00NA8/12/20198/23/2019249,000.001.75243,790.46AMERICAN COMMERCE BANKCELTIC BANK8/30/20191.800%8/30/202315118RRF6249,000.00NA8/12/20198/30/2019249,000.001.80243,940.74CELTIC BANKFIRST ST BANK BUXTON9/5/20191.650%9/5/202333648RAZ2249,000.00NA8/27/20199/5/2019249,000.001.65243,432.66FIRST ST BANK BUXTONNATIONAL BANK OF NY CITY9/10/20191.700%9/8/2023634116CU9249,000.00NA8/27/20199/10/2019249,000.001.70243,541.77NATIONAL BANK OF NY CITYABACUS FEDERAL SVGS BANK9/12/20191.700%9/12/202300257TBG0249,000.00NA8/27/20199/12/2019249,000.001.70243,492.59ABACUS FEDERAL SVGS BANKFIRST SERVICE BANK9/30/20191.750%9/29/202333640VDB1249,000.00NA9/17/20199/30/2019249,000.001.75243,438.39FIRST SERVICE BANKCOMENITY CAPITAL10/30/20183.450%10/30/202320033AM86249,000.00NA10/26/201810/30/2018249,000.003.45248,858.73COMENITY CAPITALGOLDMAN SACHS10/31/20183.500%10/31/202338148PY84245,000.00NA10/26/201810/31/2018245,000.003.50245,105.34GOLDMAN SACHSUBS BANK USA11/7/20183.500%11/7/202390348JFQ8249,000.00NA10/30/201811/7/2018249,000.003.50249,022.99UBS BANK USABARCLAYS BANK11/7/20183.450%11/7/202306740KMU8245,000.00NA10/29/201811/7/2018245,000.003.45244,843.89BARCLAYS BANKMORGAN STANLEY11/8/20183.550%11/8/202361690UAZ3245,000.00NA10/31/201811/8/2018245,000.003.55245,170.29MORGAN STANLEYCITIBANK NA11/9/20183.450%11/9/202317312QV55245,000.00NA10/26/201811/9/2018245,000.003.45244,843.69CITIBANK NAPage 2 of 172022/08/23 City Council Post Agenda Page 298 of 573
City of Chula Vista Market Values as of:6/30/2022Current InvestmentsDescription DatedDate Coupon MaturityCUSIPParS&PMdysTradeDateSettlementDate Book Value YTMBNY Market Value 1IssuerWELLS FARGO BANK NA11/9/20183.500%11/9/2023949763UY0249,000.00NA10/26/201811/9/2018249,000.003.50249,023.02WELLS FARGO BANK NACOMMERCIAL BANK11/15/20183.400%11/15/202320143PDV9249,000.00NA11/7/201811/15/2018249,000.003.40248,684.15COMMERCIAL BANK HARROGATEBANK NEW ENGLAND7/19/20192.150%11/20/202306426KBH0249,000.00NA7/10/20197/19/2019249,000.002.15244,401.81BANK OF NEW ENGLANDBANK OF BARODA11/30/20183.550%11/30/202306062R7R7245,000.00NA11/20/201811/30/2018245,000.003.55245,289.68BANK OF BARODAMARLIN BUSINESS BANK12/2/20191.700%12/4/202357116ATG3249,000.00NA11/6/201912/2/2019249,000.001.70242,804.01MARLIN BUSINESS BANKBAR HARBOR BANK & TRUST12/31/20183.300%12/29/2023066851WH5249,000.00NA12/19/201812/31/2018249,000.003.30248,403.71BAR HARBOR BANK & TRUSTNAHEOLA CREDIT UNION1/10/20202.000%1/10/2024629801AB7248,000.00NA12/20/20191/10/2020248,000.002.00242,640.83NAHEOLA CREDIT UNIONMEDALLION BK UT2/11/20193.000%2/12/202458404DDG3249,000.00NA1/30/20192/11/2019249,000.003.00247,412.82MEDALLION BANK UTAHROLLSTONE BANK & TRUST2/12/20201.650%2/12/202477579ADF0247,000.00NA2/11/20202/13/2020247,000.001.65240,138.74ROLLSTONE BANK & TRUSTPCSB BANK2/21/20201.650%2/21/202469324MAL9249,000.00NA2/6/20202/21/2020249,000.001.65241,941.56PCSB BANKBANK HAPOALIM3/25/20192.900%3/25/202406251AW48246,000.00NA3/18/20193/25/2019246,000.002.90244,030.88BANK HAPOALIM BM NYAXOS BANK3/26/20201.650%3/26/202405465DAK4249,000.00NA2/27/20203/26/2020249,000.001.65241,684.11AXOS BANKNICOLET NATIONAL BANK3/31/20201.150%3/28/2024654062JR0249,000.00NA3/18/20203/31/2020249,000.001.15239,526.18NICOLET NATIONAL BANKLAKESIDE BANK4/14/20201.250%4/12/202451210SSH1249,000.00NA4/3/20204/14/2020249,000.001.25239,883.56LAKESIDE BANKJEFFERSON BANK4/15/20201.250%4/15/2024472382AQ3249,000.00NA4/3/20204/15/2020249,000.001.25239,842.86JEFFERSON BANKPACIFIC WESTERN BANK4/16/20201.300%4/16/202469506YRH4248,000.00NA4/6/20204/16/2020248,000.001.30239,134.15PACIFIC WESTERN BANKTHOMASTON SAVINGS BANK4/23/20201.250%4/23/202488457PAR8248,000.00NA4/13/20204/23/2020248,000.001.25238,823.36THOMASTON SAVINGS BANKNORTHWEST BANK4/30/20201.100%4/30/202466736ABT5249,000.00NA4/17/20204/30/2020249,000.001.10239,103.00NORTHWEST BANKFIRST FREEDOM BANK4/30/20201.100%4/30/202432027BAM9249,000.00NA4/17/20204/30/2020249,000.001.10239,103.00FIRST FREEDOM BANKUNITED REPUBLIC BANK5/13/20201.000%5/13/2024909242AH2249,000.00NA4/21/20205/13/2020249,000.001.00238,459.34UNITED REPUBLIC BANKCAPITAL ONE NA6/19/20192.500%6/19/202414042RLZ2246,000.00NA6/11/20196/19/2019246,000.002.50242,339.93CAPITAL ONE NACAPITAL ONE BANK6/19/20192.500%6/19/202414042TAW7246,000.00NA6/11/20196/19/2019246,000.002.50242,339.93CAPITAL ONE BANKLCA BANK CORP6/28/20192.200%6/28/2024501798NL2247,000.00NA6/19/20196/28/2019247,000.002.20241,843.05LCA BANK CORPORATIONREVERE BANK6/28/20192.300%6/28/2024761402BY1247,000.00NA6/18/20196/28/2019247,000.002.30242,323.15REVERE BANKCENTURY NEXT BANK7/17/20192.000%7/17/2024156634AS6249,000.00NA7/3/20197/17/2019249,000.002.00242,793.82CENTURY NEXT BANKCF BANK8/19/20191.850%8/19/202415721UDB2247,000.00NA8/8/20198/19/2019247,000.001.85239,862.37CF BANKFIRST RESOURCE BANK8/21/20191.700%8/21/202433617LAC3249,000.00NA8/12/20198/21/2019249,000.001.70241,003.39FIRST RESOURCE BANKCALDWELL BANK & TRUST8/23/20191.900%8/23/2024128829AF5247,000.00NA8/7/20198/23/2019247,000.001.90240,121.59CALDWELL BANK & TRUSTWASHINGTON FEDERAL8/23/20192.050%8/23/2024938828BJ8249,000.00NA7/29/20198/23/2019249,000.002.05242,816.24WASHINGTON FEDERALGENOA BANKING COMPANY8/28/20191.800%8/28/2024372348CK6249,000.00NA8/12/20198/28/2019249,000.001.80241,461.40GENOA BANKING COMPANYMERCHANTS STATE BANK8/30/20191.800%8/30/2024589227AG2247,000.00NA8/7/20198/30/2019247,000.001.80239,597.68MERCHANTS STATE BANKPREFERRED BANK8/30/20191.850%8/30/2024740367HS9249,000.00NA8/7/20198/30/2019249,000.001.85241,764.31PREFERRED BANKPEOPLES BANK ROCK VALLEY3/10/20201.500%9/10/2024710665FD7249,000.00NA2/24/20203/10/2020249,000.001.50239,793.80PEOPLES BANK ROCK VALLEYALMA BANK9/11/20191.750%9/11/2024020080BL0249,000.00NA8/27/20199/11/2019249,000.001.75241,122.39ALMA BANKBANK OF OLD MONROE9/18/20191.700%9/18/2024064236BG6249,000.00NA8/27/20199/18/2019249,000.001.70240,786.07BANK OF OLD MONROESPRING BANK9/19/20191.650%9/19/2024849430BA0249,000.00NA8/27/20199/19/2019249,000.001.65240,505.81SPRING BANKENTERPRISE BANK9/27/20191.800%9/27/202429367RLA2247,000.00NA9/17/20199/27/2019247,000.001.80239,344.32ENTERPRISE BANKBANKWEST INC9/27/20191.700%9/27/202406652CHB0249,000.00NA9/12/20199/27/2019249,000.001.70240,698.41BANKWEST INCUINTA BANK10/16/20191.700%10/16/2024903572DX0247,000.00NA10/4/201910/16/2019247,000.001.70238,683.58UINTA BANKMUTUALBANK10/22/20191.700%10/22/202462844AAP2249,000.00NA10/4/201910/22/2019249,000.001.70240,515.33MUTUALBANKFIRST BANK OF NEBRASKA10/30/20191.700%10/30/202432116PAM0249,000.00NA10/9/201910/30/2019249,000.001.70240,499.55FIRST BANK OF NEBRASKAENTERPRISE BANK & TRUST11/8/20191.800%11/8/202429367SJQ8249,000.00NA10/22/201911/8/2019249,000.001.80240,986.21ENTERPRISE BANK & TRUSTTRIAD BANK11/8/20191.800%11/8/202489579NCB7249,000.00NA11/4/201911/8/2019249,000.001.80240,986.21TRIAD BANKMAINE SAVINGS FCU11/8/20191.900%11/8/2024560507AN5245,000.00NA2/3/20202/5/2020247,305.451.69237,678.94MAINE SAVINGS FCUCOMMERCIAL BANK 11/13/20191.750%11/13/2024201282JB7249,000.00NA10/31/201911/13/2019249,000.001.75240,653.22COMMERCIAL BANK ALMA MICOMMUNITY STATE BANK IL3/2/20201.550%12/2/202420404YCF0249,000.00NA2/13/20203/2/2020249,000.001.55239,363.95COMMUNITY STATE BANK ILCOMMUNITY BANK TEXAS12/4/20191.800%12/4/2024204161BJ1249,000.00NA11/20/201912/4/2019249,000.001.80240,817.75COMMUNITY BANK TEXASBANK FORWARD12/18/20191.750%12/18/2024062163BN9249,000.00NA12/5/201912/18/2019249,000.001.75240,394.23BANK FORWARDPage 3 of 172022/08/23 City Council Post Agenda Page 299 of 573
City of Chula Vista Market Values as of:6/30/2022Current InvestmentsDescription DatedDate Coupon MaturityCUSIPParS&PMdysTradeDateSettlementDate Book Value YTMBNY Market Value 1IssuerFREEDOM FINANCIAL BANK2/14/20201.550%2/14/202535637RDC8249,000.00NA2/6/20202/14/2020249,000.001.55238,729.36FREEDOM FINANCIAL BANKFIRST NATL BANK MICHIGAN2/14/20201.650%2/14/202532114VBT3249,000.00NA2/4/20202/14/2020249,000.001.65239,365.28FIRST NATL BANK MICHIGANAMERICAN STATE BANK IA2/21/20201.600%2/21/2025029728BC5249,000.00NA2/6/20202/21/2020249,000.001.60238,977.84AMERICAN STATE BANK IABELL BANK CORP2/27/20201.600%2/27/202507815AAZ0249,000.00NA2/10/20202/27/2020249,000.001.60238,918.42BELL BANK CORPAMERICAN EAGLE BANK IL2/28/20201.600%2/28/202502554BCZ2249,000.00NA2/18/20203/2/2020249,000.001.60238,908.59AMERICAN EAGLE BANK ILHORIZON BANK WAVERLY NE2/28/20201.550%2/28/202544042TBX1249,000.00NA2/6/20202/28/2020249,000.001.55238,586.18HORIZON BANK WAVERLY NEFNB OF ALBANY2/28/20201.600%2/28/202532117WAN2249,000.00NA2/25/20202/28/2020249,000.001.60238,908.59FNB OF ALBANYIOWA STATE BANK3/5/20201.500%3/5/202546256YBF5248,000.00NA2/24/20203/5/2020248,000.001.50237,380.48IOWA STATE BANKACCESS BANK OMAHA NE3/13/20201.600%3/13/202500435JBH5249,000.00NA2/27/20203/13/2020249,000.001.60238,849.62ACCESS BANK OMAHA NEMCHENRY SAVINGS BANK3/13/20201.550%3/13/202558117WAG2249,000.00NA2/25/20203/13/2020249,000.001.55238,523.05MCHENRY SAVINGS BANKFNB BANK INC/ROMNEY3/18/20201.150%3/18/202530257JAR6249,000.00NA3/2/20203/18/2020249,000.001.15235,846.98FNB BANK INC/ROMNEYHARDIN COUNTY BANK3/27/20201.000%3/27/2025411822CN7249,000.00NA3/9/20203/27/2020249,000.001.00234,739.93HARDIN COUNTY BANKBANK OF ROMNEY3/27/20201.150%3/27/2025064657BB4249,000.00NA3/2/20203/27/2020249,000.001.15235,732.96BANK OF ROMNEYSAN FRANCISCO CREDIT UNION3/27/20201.100%3/27/202579772FAF3249,000.00NA3/10/20203/27/2025249,000.001.10235,401.95SAN FRANCISCO CREDIT UNIONCENTRAL BANK3/27/20201.000%3/27/2025152577AZ5249,000.00NA3/11/20203/27/2020249,000.001.00234,739.93CENTRAL BANKKNOXVILLE TVA EMPL CR UNION3/31/20201.000%3/31/2025499724AM4249,000.00NA3/11/20203/31/2020249,000.001.00234,827.33KNOXVILLE TVA EMPL CREDIT UNIONCENTERSTATE BANK3/30/20201.000%3/31/202515201QCJ4248,000.00NA3/10/20203/30/2020248,000.001.00233,962.90CENTERSTATE BANKGOLD COAST BANK4/15/20201.300%4/15/202538058KEF9249,000.00NA3/31/20204/15/2020249,000.001.30236,575.27GOLD COAST BANKSYNCHRONY BANK4/17/20201.450%4/17/202587164WZS0248,000.00NA4/6/20204/17/2020248,000.001.45236,672.20SYNCHRONY BANKSTATE BANK OF INDIA4/29/20201.600%4/29/2025856285TF8248,000.00NA4/13/20204/29/2020248,000.001.60237,559.52STATE BANK OF INDIABELMONT BANK & TRUST4/30/20201.300%4/30/202508016PDP1249,000.00NA4/3/20204/30/2020249,000.001.30236,474.16BELMONT BANK & TRUSTM1 BANK5/8/20201.000%5/8/202555316CAY2248,000.00NA4/27/20205/8/2020248,000.001.00233,457.71M1 BANKCERTIFICATE OF DEPOSITSUBTOTAL28,304,000.0028,306,305.4527,634,847.27COMMERCIAL PAPERSUBTOTAL0.000.000.00UNITED HEALTH7/23/20153.350%7/15/202291324PCN03,000,000.00A+9/10/20189/13/20183,012,282.413.243,000,210.00UNITED HEALTHPACCAR FINANCIAL8/10/20172.300%8/10/202269371RN772,500,000.00A+8/13/20198/15/20192,518,000.002.052,499,275.00PACCAR FINANCIALPROCTOR & GAMBLE8/11/20172.150%8/11/2022742718EU93,000,000.00AA-10/25/201810/29/20182,884,787.823.243,000,390.00PROCTOR & GAMBLE COESTEE LAUDER CO8/2/20122.350%8/15/202229736RAE0250,000.00A+1/23/20201/27/2020253,905.001.72250,007.50ESTEE LAUDER COCHARLES SCHWAB CORP8/27/20123.225%9/1/2022808513AG02,376,000.00A1/14/20201/16/20202,462,391.361.802,381,346.00CHARLES SCHWAB CORPTOYOTA MOTOR CREDIT9/8/20172.150%9/8/202289236TEC51,500,000.00A+8/30/20199/4/20191,514,085.001.831,499,430.00TOYOTA MOTOR CORPWALT DISNEY COMPANY9/15/20193.000%9/15/2022254687CM61,095,000.00BBB+1/27/20201/29/20201,133,116.951.641,096,281.15THE WALT DISNEY COMPANY (TWDC)JP MORGAN CHASE9/24/20123.250%9/23/202246625HJE12,530,000.00A-1/27/20201/29/20202,626,443.601.772,533,896.20JP MORGAN CHASEPACCAR FINANCIAL9/26/20192.000%9/26/202269371RQ331,000,000.00A+5/4/20205/6/20201,019,963.311.15998,310.00PACCAR FINANCIALUNITED PARCEL SERVICE9/27/20122.450%10/1/2022911312AQ93,750,000.00A-10/25/201810/29/20183,624,712.503.373,748,087.50UNITED PARCEL SERVICE INCUNITED HEALTH10/25/20172.375%10/15/202291324PDD12,504,000.00A+7/25/20197/29/20192,516,845.522.212,503,874.80UNITED HEALTHCHUBB INA HOLDINGS INC11/3/20152.875%11/3/202200440EAU12,500,000.00A1/23/20201/27/20202,569,175.001.782,500,825.00ACE INA HOLDINGSAMERICAN HONDA FINANCE11/16/20172.600%11/16/202202665WCA7474,000.00A-7/25/20197/29/2019479,232.962.25473,450.16AMERICAN HONDA FINANCEWALT DISNEY COMPANY11/30/20122.350%12/1/202225468PCW41,500,000.00BBB+9/10/20199/12/20191,519,558.431.931,496,580.00TWDC ENTERPRISES 18 CORPCOOPERATIVE RABOBANK NY1/10/20182.750%1/10/202321688AAL62,500,000.00A+3/25/20193/28/20192,485,700.002.912,499,050.00COOPERATIVE RABOBANK NYNIKE INC4/26/20132.250%5/1/2023654106AC71,200,000.00AA-7/26/20197/30/20191,206,456.002.091,194,060.00NIKE INCBP CAPITAL MARKETS11/10/20182.750%5/10/202310373QAL43,490,000.00A-6/4/20196/6/20193,510,940.002.593,483,054.90BP CAPITAL MARKETS AMERICALOEWS CORP5/7/20132.625%5/15/2023540424AQ11,500,000.00A2/5/20202/7/20201,538,700.001.741,494,345.00LOEWS CORPSIMON PROPERTY GROUP LP12/11/20172.750%6/1/2023828807DD62,000,000.00A-1/9/20201/13/20202,050,240.001.921,980,500.00SIMON PROPERTY GROUP LPJOHN DEERE6/7/20183.450%6/7/202324422EUH02,000,000.00A2/6/20202/10/20202,111,060.001.722,005,780.00JOHN DEERE CAPITAL CORPBANK OF AMERICA CORP7/23/20134.100%7/24/202306053FAA71,255,000.00A-12/8/202112/10/20211,322,968.050.741,267,236.25BANK OF AMERICA CORPPNC BANK7/25/20133.800%7/25/202369349LAM02,525,000.00A-12/22/202112/27/20212,633,878.000.892,532,751.75PNC BANK NABNY MELLON 8/16/20162.200%8/16/202306406FAD53,000,000.00A12/22/202112/27/20213,066,220.510.842,969,790.00BANK OF NEW YORK MELLON CORPTOYOTA MOTOR CREDIT5/26/20201.350%8/25/202389236THA62,500,000.00A+12/29/202112/31/20212,523,100.000.792,445,425.00TOYOTA MOTOR CORPPage 4 of 172022/08/23 City Council Post Agenda Page 300 of 573
City of Chula Vista Market Values as of:6/30/2022Current InvestmentsDescription DatedDate Coupon MaturityCUSIPParS&PMdysTradeDateSettlementDate Book Value YTMBNY Market Value 1IssuerGILEAD SCIENCES9/20/20162.500%9/1/2023375558BL63,092,000.00BBB+6/3/20196/5/20193,086,640.602.543,061,234.60GILEAD SCIENCESAMERICAN HONDA FINANCE9/10/20200.650%9/8/202302665WDM03,000,000.00A-12/8/202112/10/20212,990,803.110.832,909,700.00AMERICAN HONDA FINANCEMETLIFE INC9/10/20134.368%9/15/202359156RBB33,549,000.00A-12/22/202112/27/20213,761,159.220.863,593,220.54METLIFE INCCUMMINS INC9/24/20133.650%10/1/2023231021AR73,500,000.00A+7/15/20197/18/20193,689,081.202.223,516,275.00CUMMINS INCCATERPILLAR 12/7/20183.650%12/7/202314913Q2S73,700,000.00A6/4/20196/6/20193,870,829.002.563,724,642.00CATERPILLAR FINL GEORGIA-PACIFIC12/11/20038.000%1/15/2024373298CF3320,000.00A+7/24/20197/26/2019395,206.402.42339,209.60GEORGIA-PACIFICJOHN DEERE6/7/20192.600%3/7/202424422EUX53,000,000.00A5/1/20205/5/20203,154,993.531.222,966,460.00JOHN DEERE CAPITAL CORPUNILEVER CAPITAL5/5/20172.600%5/5/2024904764AX51,500,000.00A+2/4/20202/6/20201,550,235.001.751,479,840.00UNILEVER CAPITALUNILEVER CAPITAL5/5/20172.600%5/5/2024904764AX52,000,000.00A+2/6/20202/10/20202,063,700.001.791,973,120.00UNILEVER CAPITALAPPLE INC5/6/20143.450%5/6/2024037833AS9250,000.00AA+1/31/20202/4/2020268,607.501.63251,037.50APPLE INCAPPLE INC5/11/20172.850%5/11/2024037833CU2650,000.00AA+2/5/20202/7/2020679,640.001.69645,879.00APPLE INCTEXAS INSTRUMENTS5/4/20172.625%5/15/2024882508BB91,000,000.00A+7/16/20197/19/20191,015,040.002.28991,650.00TEXAS INSTRUMENTSBNY MELLON 5/7/20143.400%5/15/202406406HCV9600,000.00A5/4/20205/6/2020647,702.111.36599,418.00BANK OF NEW YORK MELLON CORPIBM CORP5/15/20193.000%5/15/2024459200JY83,000,000.00A-7/14/20217/16/20213,201,589.220.602,978,370.00IBM CORPASTRAZENECA FINANCE LLC5/28/20210.700%5/28/202404636NAC72,500,000.00A-12/13/202112/15/20212,476,175.001.102,371,225.00ASTRAZENECA FINANCE LLCONCOR ELECTRIC DELIVERY5/23/20192.750%6/1/202468233JBM5475,000.00A+12/23/202112/28/2021493,349.251.08468,340.50ONCOR ELECTRIC DELIVERYHORMEL FOODS CORP6/3/20210.650%6/3/2024440452AG53,000,000.00A1/19/20221/21/20222,962,380.001.192,864,940.00HORMEL FOODS CORPWALMART INC4/23/20192.850%7/8/2024931142EL33,900,000.00AA5/10/20225/12/20223,910,569.002.713,879,993.00WALMART INCSALESFORCE.COM7/12/20210.625%7/15/202479466LAG9450,000.00A+12/8/202112/10/2021446,113.520.96426,199.50SALESFORCE.COM INCUNITED HEALTH7/25/20192.375%8/15/202491324PDR03,000,000.00A+7/9/20217/13/20213,164,611.520.582,938,020.00UNITED HEALTHEXXON MOBIL CO8/16/20192.019%8/16/202430231GBC51,000,000.00AA-6/28/20216/30/20211,042,229.780.65975,000.00EXXON MOBIL COAMAZON.COM INC2/22/20182.800%8/22/2024023135AZ9226,000.00AA1/14/20201/16/2020234,784.621.88224,413.48AMAZON.COM INCBURLINGTON NORTH SANTA FE8/18/20143.400%9/1/202412189LAT81,000,000.00AA-1/14/20201/16/20201,063,990.001.87998,250.00BURLINGTON NORTH SANTA FEBURLINGTON NORTH SANTA FE8/18/20143.400%9/1/202412189LAT83,000,000.00AA-12/3/202112/7/20213,178,248.000.972,994,750.00BURLINGTON NORTH SANTA FECOCA-COLA CO9/6/20191.750%9/6/2024191216CL23,200,000.00A+12/17/202112/21/20213,268,288.000.953,129,184.00COCA-COLA COPAYPAL HOLDING9/26/20192.400%10/1/202470450YAC7950,000.00A-6/28/20216/30/20211,002,643.560.67927,048.00PAYPAL HOLDINGBNY MELLON 10/24/20192.100%10/24/202406406RAL11,000,000.00A12/8/202112/10/20211,026,690.001.15965,870.00BANK OF NEW YORK MELLON CORPCATERPILLAR 11/8/20192.150%11/8/202414913Q3B33,000,000.00A12/3/202112/7/20213,093,739.111.062,912,850.00CATERPILLAR FINL HERSHEY COMPANY10/31/20192.050%11/15/2024427866BC1677,000.00A1/14/20201/16/2020682,504.011.87658,159.09HERSHEY COMPANYADOBE INC1/26/20153.250%2/1/202500724FAC52,595,000.00A+5/5/20225/9/20222,603,405.153.112,584,126.95ADOBE SYSTEMS INCPACCAR FINANCIAL2/6/20201.800%2/6/202569371RQ661,000,000.00A+7/29/20218/2/20211,039,501.740.66956,530.00PACCAR FINANCIALTOYOTA MOTOR CREDIT2/13/20201.800%2/13/202589236TGT61,000,000.00A+10/15/202110/19/20211,025,005.341.03954,170.00TOYOTA MOTOR CORP3M COMPANY8/26/20192.000%2/14/202588579YBH32,500,000.00A+1/19/20221/21/20222,540,850.001.442,409,625.003M COMPANYWW GRAINGER INC2/26/20201.850%2/15/2025384802AE4580,000.00A+7/23/20217/27/2021602,805.020.70552,879.20WW GRAINGER INCJOHN DEERE3/13/20183.450%3/13/202524422EUE71,250,000.00A11/19/202111/23/20211,345,784.481.081,251,087.50JOHN DEERE CAPITAL CORPAMAZON.COM INC4/13/20223.000%4/13/2025023135CE43,000,000.00AA5/9/20225/11/20223,000,780.002.992,963,370.00AMAZON.COM INCTARGET CORP3/31/20202.250%4/15/202587612EBL93,000,000.00A1/27/20221/31/20223,046,902.171.752,898,480.00TARGET CORPAPPLE INC5/11/20201.125%5/11/2025037833DT41,131,000.00AA+11/19/202111/23/20211,131,188.511.121,062,597.12APPLE INCHONEYWELL INTL5/18/20201.350%6/1/2025438516CB03,000,000.00A11/19/202111/23/20213,020,786.761.142,826,300.00HONEYWELL INTERNATIONALAMAZON.COM INC6/3/20200.800%6/3/2025023135BQ81,678,000.00AA12/14/202112/16/20211,655,794.571.191,563,795.32AMAZON.COM INCJP MORGAN CHASE7/21/20153.900%7/15/202546625HMN72,000,000.00A-1/21/20221/25/20222,137,260.001.852,010,800.00JP MORGAN CHASESTATE STREET CORP8/18/20153.550%8/18/2025857477AT01,600,000.00A3/25/20223/29/20221,623,320.623.091,588,096.00STATE STREET CORPCUMMINS INC8/24/20200.750%9/1/2025231021AU0743,000.00A+12/8/202112/10/2021728,678.811.28677,764.60CUMMINS INCCUMMINS INC8/24/20200.750%9/1/2025231021AU02,257,000.00A+12/16/202112/20/20212,222,307.351.182,058,835.40CUMMINS INCTOYOTA MOTOR CREDIT10/16/20200.800%10/16/202589236THP33,000,000.00A+12/8/202112/10/20212,931,090.001.422,731,530.00TOYOTA MOTOR CORPVISA INC12/14/20153.150%12/14/202592826CAD42,500,000.00AA-3/24/20223/28/20222,535,958.532.742,471,850.00VISA INCINTEL CORP5/19/20162.600%5/19/2026458140AU42,374,000.00A+12/23/202112/28/20212,494,124.401.342,291,503.50INTEL CORPBANK OF AMERICA CORP3/2/20222.750%3/2/202706048WS844,000,000.00A-2/28/20223/2/20224,000,000.002.753,166,000.00BANK OF AMERICA CORPPage 5 of 172022/08/23 City Council Post Agenda Page 301 of 573
City of Chula Vista Market Values as of:6/30/2022Current InvestmentsDescription DatedDate Coupon MaturityCUSIPParS&PMdysTradeDateSettlementDate Book Value YTMBNY Market Value 1IssuerCORPORATE NOTESUBTOTAL145,696,000.00148,690,848.13142,637,595.61FHLB8/15/20133.125%9/9/2022313383WD93,000,000.00AA+10/26/201810/30/20183,018,561.002.953,007,500.00FED HOME LN BANKFNMA10/6/20172.000%10/5/20223135G0T783,000,000.00AA+10/29/201810/30/20182,894,940.002.952,998,590.00FANNIE MAEFHLB11/6/20183.000%12/9/20223130AFE783,000,000.00AA+3/30/20223/31/20223,034,101.701.343,009,000.00FED HOME LN BANKFHLB2/21/20201.375%2/17/20233130AJ7E33,000,000.00AA+3/30/20223/31/20222,994,780.191.572,975,340.00FED HOME LN BANKFHLB6/9/20222.000%3/9/20233130AS4V82,400,000.00AA+5/12/20226/9/20222,400,000.002.002,388,096.00FED HOME LN BANKFHLMC6/11/20182.750%6/19/20233137EAEN52,000,000.00AA+1/21/20221/24/20222,054,995.370.781,994,700.00FREDDIE MACFFCB11/24/20210.450%7/24/20233133ENEY23,000,000.00AA+1/21/20221/24/20222,982,204.900.852,931,870.00FED FARM CREDITFFCB8/14/20191.600%8/14/20233133EKZK52,719,000.00AA+8/21/20198/22/20192,728,063.741.512,679,030.70FED FARM CREDITFFCB10/12/20210.290%10/12/20233133ENAL43,500,000.00AA+1/24/20221/25/20223,463,997.500.903,383,345.00FED FARM CREDITFHLMC10/16/20200.125%10/16/20233137EAEY13,000,000.00AA+1/5/20221/6/20222,969,049.000.712,895,270.00FREDDIE MACFHLB11/12/20210.500%11/9/20233130APU293,500,000.00AA+1/5/20221/6/20223,484,022.500.753,387,300.00FED HOME LN BANKFHLB11/24/20210.750%11/22/20233130APWH43,500,000.00AA+1/3/20221/4/20223,497,186.000.793,389,785.00FED HOME LN BANKFFCB11/24/20210.550%11/24/20233133ENEX43,000,000.00AA+1/5/20221/6/20222,987,194.590.782,905,920.00FED FARM CREDITFFCB12/20/20210.680%12/20/20233133ENHR43,000,000.00AA+1/24/20221/25/20222,983,080.000.982,899,560.00FED FARM CREDITFHLB2/7/20221.000%2/7/20243130AQLR22,500,000.00AA+1/21/20222/7/20222,497,500.001.052,419,475.00FED HOME LN BANKFHLB5/26/20222.625%2/26/20243130AS3H01,600,000.00AA+5/10/20225/26/20221,600,000.002.631,587,616.00FED HOME LN BANKFFCB3/8/20221.670%3/8/20243133ENQX12,500,000.00AA+3/3/20223/8/20222,500,000.001.672,448,400.00FED FARM CREDITFHLB12/28/20210.820%3/28/20243130AQD343,500,000.00AA+12/14/202112/28/20213,500,000.000.823,382,610.00FED HOME LN BANKFHLB4/25/20222.500%4/25/20243130ARJJ12,720,000.00AA+3/25/20224/25/20222,720,000.002.502,710,480.00FED HOME LN BANKFHLMC9/10/20200.400%6/10/20243134GWJ641,950,000.00Aaa12/16/202112/17/20211,929,720.000.821,853,533.50FREDDIE MACFNMA12/14/20200.375%6/14/20243135GA5Y32,140,000.00AA+12/14/202112/15/20212,115,197.850.852,032,358.00FANNIE MAEFHLB12/28/20211.000%6/28/20243130AQAH64,000,000.00AA+12/3/202112/28/20214,000,000.001.003,862,480.00FED HOME LN BANKFFCB7/2/20200.570%7/2/20243133ELQ563,000,000.00AA+12/16/202112/17/20212,981,100.000.822,854,050.00FED FARM CREDITFHLB10/19/20210.450%7/19/20243130AP7D12,090,000.00AA+12/16/202112/17/20212,067,741.500.871,986,356.90FED HOME LN BANKFHLB1/26/20221.080%7/26/20243130AQL683,200,000.00AA+1/6/20221/26/20223,200,000.001.083,092,256.00FED HOME LN BANKFHLB11/23/20210.940%8/23/20243130APQX62,300,000.00AA+10/28/202111/23/20212,300,000.000.942,206,045.00FED HOME LN BANKFHLB5/26/20223.000%8/26/20243130AS3U13,000,000.00AA+5/11/20225/26/20223,000,000.003.002,987,550.00FED HOME LN BANKFHLB12/16/20211.000%9/16/20243130APYH24,000,000.00AA+11/17/202112/16/20214,000,000.001.003,815,400.00FED HOME LN BANKFHLB12/23/20211.000%9/23/20243130AQ4Q33,000,000.00AA+12/1/202112/23/20213,000,000.001.002,882,670.00FED HOME LN BANKFAMCA9/26/20191.740%9/26/202431422BMD94,000,000.00NR 10/28/201910/31/20193,997,528.131.753,894,840.00FARMER MACFHLB12/30/20211.000%9/30/20243130AQD593,200,000.00AA+12/23/202112/30/20213,200,000.001.003,075,616.00FED HOME LN BANKFFCB10/17/20161.820%10/17/20243133EGYR01,000,000.00AA+2/5/20202/6/20201,013,630.001.52975,560.00FED FARM CREDITFHLB1/25/20221.050%10/25/20243130AQHL03,500,000.00AA+1/20/20221/25/20223,481,819.661.243,350,200.00FED HOME LN BANKFFCB11/1/20191.650%11/1/20243133EK4Y93,000,000.00AA+2/6/20202/7/20203,017,700.001.522,913,300.00FED FARM CREDITFHLB11/18/20211.000%11/18/20243130APQM02,300,000.00AA+10/28/202111/18/20212,300,000.001.002,198,317.00FED HOME LN BANKFHLB11/30/20211.000%11/25/20243130AQ3B71,000,000.00AA+12/14/202112/15/20211,000,368.280.99951,680.00FED HOME LN BANKFFCB1/11/20221.125%1/6/20253133ENKS81,500,000.00AA+1/10/20221/11/20221,496,925.001.201,433,130.00FED FARM CREDITFHLB2/17/20152.375%3/14/20253130A4CH33,000,000.00AA+12/17/202112/20/20213,137,340.000.932,944,620.00FED HOME LN BANKFHLB3/24/20222.000%3/24/20253130ARA353,000,000.00AA+3/2/20223/24/20223,000,000.002.002,931,000.00FED HOME LN BANKFHLB9/28/20210.600%3/28/20253130ANX963,500,000.00AA+12/15/202112/16/20213,447,500.001.073,277,295.00FED HOME LN BANKFHLB4/21/20222.670%4/21/20253130ARJP72,500,000.00AA+3/25/20224/21/20222,500,000.002.672,472,300.00FED HOME LN BANKFHLB10/28/20210.850%4/28/20253130APKK01,730,000.00AA+10/15/202110/28/20211,730,000.000.851,633,587.10FED HOME LN BANKFHLB11/23/20211.150%5/23/20253130APXP53,000,000.00AA+11/17/202111/23/20213,000,000.001.152,849,820.00FED HOME LN BANKFNMA6/19/20200.500%6/17/20253135G04Z34,000,000.00AA+12/27/202112/28/20213,921,600.001.083,714,040.00FANNIE MAEFFCB12/23/20211.170%6/23/20253133ENHW33,000,000.00AA+12/14/202112/23/20213,000,000.001.172,826,750.00FED FARM CREDITFHLB10/27/20210.875%6/27/20253130APK383,500,000.00AA+1/6/20221/7/20223,459,774.501.213,271,555.00FED HOME LN BANKFHLB12/30/20211.250%6/30/20253130AQ5S83,500,000.00AA+12/1/202112/30/20213,500,000.001.253,340,330.00FED HOME LN BANKPage 6 of 172022/08/23 City Council Post Agenda Page 302 of 573
City of Chula Vista Market Values as of:6/30/2022Current InvestmentsDescription DatedDate Coupon MaturityCUSIPParS&PMdysTradeDateSettlementDate Book Value YTMBNY Market Value 1IssuerFHLB1/18/20221.200%7/18/20253130AQGV93,500,000.00AA+12/29/20211/18/20223,500,000.001.203,337,215.00FED HOME LN BANKFHLB1/25/20221.250%7/25/20253130AQHV83,000,000.00AA+1/6/20221/25/20223,000,000.001.252,849,670.00FED HOME LN BANKFNMA8/27/20200.375%8/25/20253135G05X74,000,000.00AA+11/17/202111/18/20213,899,720.001.063,677,480.00FANNIE MAEFHLB9/29/20210.700%8/29/20253130AP3F04,000,000.00AA+1/6/20221/7/20223,911,796.911.323,709,320.00FED HOME LN BANKFHLB8/9/20161.750%9/12/20253130A8ZQ94,000,000.00AA+11/30/202112/1/20214,104,240.001.053,842,440.00FED HOME LN BANKFHLMC9/24/20200.570%9/24/20253134GWUG94,000,000.00Aaa12/27/202112/28/20213,910,000.001.193,683,760.00FREDDIE MACFHLB4/14/20222.500%10/14/20253130ARGJ43,500,000.00AA+3/22/20224/14/20223,500,000.002.503,447,255.00FED HOME LN BANKFFCB4/20/20223.090%10/20/20253133ENUZ13,200,000.00AA+5/5/20225/6/20223,183,877.343.253,170,720.00FED FARM CREDITFHLB4/29/20223.100%10/29/20253130ARLT63,500,000.00AA+3/30/20224/29/20223,500,000.003.103,474,590.00FED HOME LN BANKFNMA11/12/20200.500%11/7/20253135G06G33,500,000.00AA+12/8/202112/9/20213,408,615.001.193,216,850.00FANNIE MAEFFCB11/17/20211.050%11/17/20253133ENEG12,030,000.00AA+11/17/202111/18/20212,028,802.301.071,901,358.90FED FARM CREDITFFCB1/27/20221.440%1/27/20263133ENMM93,500,000.00AA+2/1/20222/2/20223,485,300.001.553,309,530.00FED FARM CREDITFFCB3/10/20222.220%3/10/20263133ENRG73,500,000.00AA+3/8/20223/10/20223,498,250.002.233,405,605.00FED FARM CREDITFHLB4/21/20223.000%10/21/20263130ARHY03,750,000.00AA+3/24/20224/21/20223,750,000.003.003,708,412.50FED HOME LN BANKFHLB11/23/20211.430%11/23/20263130APRK32,600,000.00AA+2/28/20223/1/20222,541,500.001.932,432,404.00FED HOME LN BANKFEDERAL AGENCY BOND/NOTESUBTOTAL184,929,000.00184,329,722.96178,187,137.60U.S. TREASURY NOTE11/2/20200.125%10/31/202291282CAR22,000,000.00Aaa3/30/20223/31/20221,988,236.261.141,986,820.00U.S. TREASURY NOTEU.S. TREASURY NOTE11/30/20152.000%11/30/2022912828M803,000,000.00Aaa3/30/20223/31/20223,014,192.971.282,995,560.00U.S. TREASURY NOTEU.S. TREASURY NOTE2/28/20182.625%2/28/20239128284A52,500,000.00Aaa3/30/20223/31/20222,523,535.901.582,498,525.00U.S. TREASURY NOTEU.S. TREASURY NOTE11/1/20210.375%10/31/202391282CDD03,500,000.00Aaa1/5/20221/6/20223,477,819.060.733,384,465.00U.S. TREASURY NOTEU.S. TREASURY NOTE11/15/20132.750%11/15/2023912828WE63,000,000.00Aaa1/21/20221/24/20223,097,970.790.922,992,620.00U.S. TREASURY NOTEU.S. TREASURY NOTE11/30/20210.500%11/30/202391282CDM03,000,000.00Aaa1/21/20221/24/20222,975,386.560.952,900,040.00U.S. TREASURY NOTEU.S. TREASURY NOTESUBTOTAL17,000,000.0017,077,141.5416,758,030.00LAKE TAHOE UNIFIED SCH DIST5/26/20154.000%8/1/2022511012MS2530,000.00A15/4/20205/6/2020564,699.101.03531,060.00LAKE TAHOE UNIFIED SCHOOL DISTLOS ANGELES CNTY REDEV REF8/25/20162.000%9/1/202254465AGN61,000,000.00AA3/16/20203/18/20201,019,030.001.21999,450.00LOS ANGELES CNTY REDEV REF TARBHESPERIA CMNTY REDEV AGY10/2/20183.125%9/1/202242806KAR41,500,000.00AA5/26/20206/5/20201,563,300.001.211,501,560.00HESPERIA CMNTY REDEV AGYBAY AREA CA TOLL AUTH9/26/20192.184%4/1/2023072024WN82,500,000.00AA9/23/20199/30/20192,509,850.002.072,480,400.00BAY AREA CA TOLL AUTHPORT OF OAKLAND12/3/20200.821%5/1/2023735000TK71,050,000.00A+3/29/20223/31/20221,035,678.002.101,029,021.00PORT OF OAKLANDUNIV OF CALIFORNIA9/28/20172.519%5/15/202391412G2U82,000,000.00AA-10/30/201911/1/20192,043,540.001.881,988,480.00UNIV OF CALIFORNIACALIFORNIA HEALTH FAC FIN11/25/20191.970%6/1/202313032UVA31,000,000.00AA-11/20/201911/25/20191,000,000.001.97989,120.00CALIFORNIA HEALTH FACILITY FIN AUTHCITY OF ONTARIO CA5/21/20202.216%6/1/202368304FAC0200,000.00AA5/15/20205/21/2020203,506.001.62197,820.00CITY OF ONTARIO CASTHRN PUB PWR AUTH-B3/26/20143.458%7/1/202384247PHY03,960,000.00AA-12/12/201812/14/20184,028,389.203.053,973,226.40SOUTHERN CA PUBLIC POWER AUTHGARDEN GROVE UNIFIED SD10/16/20191.926%8/1/2023365298Y44245,000.00AA-9/25/201910/16/2019245,000.001.93241,746.40GARDEN GROVE UNIFIED SDPOWAY UNIFIED SCHOOL DIST10/16/20191.992%8/1/2023738850SW71,000,000.00AA-9/27/201910/16/20191,000,000.001.99988,480.00POWAY UNIFIED SCHOOL DISTCOACHELLA VALLEY USD10/17/20191.899%8/1/2023189849MF6555,000.00AA10/4/201910/17/2019555,000.001.90547,185.60COACHELLA VALLEY USDSAN RAFAEL ELEM SCH DIST11/13/20191.865%8/1/2023799306QJ7980,000.00AA11/1/201911/13/2019980,000.001.87967,103.20SAN RAFAEL ELEM SCH DISTWEST CONTRA COSTA USD5/12/20201.569%8/1/20239523472D3500,000.00AA-5/5/20205/12/2020500,000.001.57492,015.00WEST CONTRA COSTA USDPOMONA PENSN OBLG8/20/20204.000%8/1/202373208PBD2500,000.00AA-10/15/202010/19/2020541,065.001.00503,940.00POMONA PENSION OBLGSTATE OF CALIFORNIA10/26/20172.250%10/1/202313063DDG02,500,000.00AA-11/30/201812/5/20182,401,525.003.142,475,275.00STATE OF CALIFORNIASTATE OF CALIFORNIA10/26/20172.250%10/1/202313063DDG04,000,000.00AA-10/29/201810/31/20183,848,480.003.093,960,440.00STATE OF CALIFORNIACALIFORNIA STATE UNIVERSITY2/27/20201.557%11/1/202313077DKB7400,000.00AA-2/6/20202/27/2020400,000.001.56391,260.00CALIFORNIA STATE UNIVBAKERSFIELD SD3/29/20175.500%11/1/2023057507KL8335,000.00A+5/4/20205/6/2020385,524.701.08350,547.35BAKERSFIELD SCHOOL DISTSTATE OF CALIFORNIA4/4/20193.000%4/1/202413063DLZ93,000,000.00AA-7/26/20197/30/20193,125,010.002.062,988,120.00STATE OF CALIFORNIACITY OF RIVERSIDE POB6/11/20202.107%6/1/2024769036BL7250,000.00AA6/5/20206/11/2020250,000.002.11243,685.00CITY OF RIVERSIDE POBCENTRAL UNIFIED SCHOOL DIST6/18/20145.000%7/1/202415276PAV1795,000.00AA4/28/20204/30/2020916,786.051.22839,766.45CENTRAL USDSAN RAFAEL ELEM SCH DIST11/13/20191.965%8/1/2024799306QK41,200,000.00AA11/1/201911/13/20191,200,000.001.971,163,364.00SAN RAFAEL ELEM SCH DISTSANTA MONICA-MALIBU USD11/6/20191.719%8/1/2024802498UH6250,000.00AA+10/8/201911/6/2019250,000.001.72241,717.50SANTA MONICA-MALIBU USDGILROY UNIFIED SD10/30/20191.833%8/1/2024376087FZ0500,000.00AA-10/9/201910/31/2019500,000.001.83483,595.00GILROY UNIFIED SDPage 7 of 172022/08/23 City Council Post Agenda Page 303 of 573
City of Chula Vista Market Values as of:6/30/2022Current InvestmentsDescription DatedDate Coupon MaturityCUSIPParS&PMdysTradeDateSettlementDate Book Value YTMBNY Market Value 1IssuerLONG BEACH CCD10/23/20191.803%8/1/2024542411NJ81,315,000.00AA10/9/201910/23/20191,315,000.001.801,265,989.95LONG BEACH CCDCOACHELLA VALLEY USD10/17/20191.999%8/1/2024189849MG4365,000.00AA10/9/201910/17/2019365,492.751.97353,871.15COACHELLA VALLEY USDSAN BERNARDINO CCD12/12/20192.044%8/1/2024796720MY3700,000.00AA11/21/201912/12/2019700,000.002.04681,324.00SAN BERNARDINO CCDSAN BERNARDINO CCD12/12/20192.044%8/1/2024796720MG21,000,000.00AA11/21/201912/12/20191,000,000.002.04973,320.00SAN BERNARDINO CCDSONOMA JR COLLEGE DIST11/12/20192.061%8/1/2024835569GR91,000,000.00AA10/23/201911/12/20191,000,000.002.06975,030.00SONOMA JR COLLEGE DISTVAL VERDE UNIFIED SCH DIST6/19/20201.654%8/1/202491882RFU1215,000.00AA6/10/20206/19/2020215,000.001.65207,350.30VAL VERDE UNIFIED SCH DISTOAK GROVE SCHOOL DISTRICT6/25/20201.276%8/1/2024671205Y63200,000.00AA6/12/20206/25/2020200,000.001.28191,038.00OAK GROVE SCHOOL DISTRICTCARSON REDEV AGY TAB9/3/20201.188%8/1/202414575TDY5600,000.00AA8/12/20209/3/2020600,000.001.19572,412.00CARSON REDEV AGY TABSANTA MARIA JT UHSD12/14/20211.095%8/1/2024802309NW0400,000.00Aa212/9/202112/14/2021400,000.001.10381,508.00SANTA MARIA JT UHSDSANTA ANA CMNTY REDEV AGY11/8/20183.683%9/1/2024801096AS72,000,000.00AA1/13/20201/17/20202,157,220.001.902,007,600.00SANTA ANA CMNTY REDEV AGYCALIFORNIA STATE UNIVERSITY7/29/20210.563%11/1/202413077DQC9450,000.00AA-7/9/20217/29/2021450,000.000.56420,700.50CALIFORNIA STATE UNIVERSITYNATIONAL CITY PENSN OBLIG11/16/20211.019%11/1/202463540QAC1300,000.00AA-12/3/202112/7/2021299,646.001.06280,308.00NATIONAL CITY PENSN OBLIGSTATE OF CALIFORNIA3/18/20154.000%3/1/202513063CQS2750,000.00AA-4/27/20204/29/2020845,032.501.29786,517.50STATE OF CALIFORNIASAN FRANCISCO PORT COMM2/27/20201.894%3/1/2025797679CC9255,000.00A2/13/20202/27/2020255,000.001.89244,491.45SAN FRANCISCO PORT COMMGARDENA PENSN OBLIG11/24/20201.702%4/1/2025365471AE1250,000.00AA-11/20/202011/24/2020257,455.001.00238,360.00GARDENA PENSN OBLIGPORT OF OAKLAND12/3/20201.181%5/1/2025735000TM31,030,000.00A+11/30/202112/2/20211,033,471.101.08961,185.70PORT OF OAKLANDCA STWD CMNTY DEV TRANS10/8/20201.061%6/1/202513079XBT21,000,000.00AA9/23/202010/8/20201,000,000.001.06933,400.00CA STWD CMNTY DEV TRANSCITY OF ONTARIO CA POB5/21/20202.537%6/1/202568304FAE61,000,000.00AA5/20/20206/5/20201,027,770.001.95964,980.00CITY OF ONTARIO CA POBUNIV OF CALIFORNIA5/18/20173.063%7/1/202591412GU941,600,000.00AA12/16/202112/20/20211,702,096.001.211,585,344.00UNIV OF CALIFORNIASAN JOSE SUCCESSOR AGY12/21/20173.076%8/1/2025798170AH94,675,000.00AA11/18/202111/22/20215,007,345.751.114,595,618.50SAN JOSE SUCCESSOR AGYCITY OF SAN BERNARDINO USD9/24/20201.114%8/1/2025796711G942,250,000.00AA9/11/20209/24/20202,250,000.001.112,076,007.50CITY OF SAN BERNARDINO USDCOLTON UNIFIED SD10/28/20201.052%8/1/2025197036PL42,475,000.00AA10/15/202010/28/20202,475,000.001.052,296,824.75COLTON UNIFIED SDCARPINTERIA UNIFIED SCH DIST11/18/20201.100%8/1/2025144393NA91,210,000.00AA-10/28/202011/18/20201,212,758.801.051,128,252.40CARPINTERIA UNIFIED SCH DISTPOMONA PENSION OBLG 8/20/20204.000%8/1/202573208PBF71,675,000.00AA-9/14/20209/16/20201,878,964.751.411,695,033.00POMONA PENSION OBLGSAN JOSE GEN OBLIG7/25/20192.450%9/1/2025798135E881,240,000.00AA+12/16/202112/20/20211,297,932.801.161,214,009.60SAN JOSE GEN OBLIGSAN JOSE GEN OBLIG7/25/20192.450%9/1/2025798135E881,035,000.00AA+12/16/202112/20/20211,083,355.201.161,013,306.40SAN JOSE GEN OBLIGSTATE OF HAWAII10/29/20200.852%10/1/2025419792ZL32,290,000.00AA+3/25/20223/29/20222,146,417.002.742,113,738.70STATE OF HAWAIICALIFORNIA STATE UNIVERSITY9/17/20200.885%11/1/202513077DML3775,000.00AA-12/13/202112/15/2021763,452.501.28710,124.75CALIFORNIA STATE UNIVCALIFORNIA STATE UNIVERSITY7/29/20210.862%11/1/202513077DQD72,500,000.00AA-5/5/20225/9/20222,295,050.003.382,288,950.00CALIFORNIA STATE UNIVSTATE OF CALIFORNIA4/4/20192.650%4/1/202613063DMA33,200,000.00AA-5/5/20225/9/20223,127,936.003.273,107,520.00STATE OF CALIFORNIAMUNICIPAL BONDSUBTOTAL68,505,000.0069,427,779.2066,832,494.05IADB9/14/20171.750%9/14/20224581X0CZ95,000,000.00AAA8/10/20188/14/20184,794,949.302.824,996,650.00INTERAMER DEVIADB9/23/20210.500%9/23/20244581X0DZ83,000,000.00AAA12/16/202112/20/20212,969,402.210.882,837,280.00INTERAMER DEVIBRD11/25/20142.500%11/25/2024459058DX83,000,000.00AAA3/24/20223/28/20223,013,112.612.332,962,740.00INTL BK RECON & DEVELOPIBRD7/29/20152.500%7/29/2025459058EP43,500,000.00AAA12/13/202112/15/20213,675,035.001.093,436,090.00INTL BK RECON & DEVELOPIFC9/8/20210.750%10/8/202645950KCX64,000,000.00AAA1/20/20221/24/20223,842,373.681.623,615,120.00INTL FINANCE CORPSUPRANATIONALSUBTOTAL18,500,000.0018,294,872.8017,847,880.00CDARS8/18/20224,225,988.678/19/20214,225,988.671.924,225,988.67Neighborhood National BankPLACEMENT SERVICE DEPOSITS4,225,988.674,225,988.67 4,225,988.67LOCAL AGENCY INVESTMENT FUND11,806,017.5011,806,017.50 11,654,019.91 SD COUNTY INVESTMENT POOL23,207,250.2823,207,250.28 22,601,541.05 POOLED INVESTMENTSSUBTOTAL35,013,267.7835,013,267.7834,255,560.96 MONEY MARKET FUND9,406,775.169,406,775.169,406,775.16Bank of New York MellonALL INVESTMENTSGRAND TOTAL514,740,031.61517,971,503.28 500,948,765.021 The Market Value for LAIF and San Diego County Investment Pool are calculated using the Market Value/Fair Value Factor provided by those agencies.Page 8 of 172022/08/23 City Council Post Agenda Page 304 of 573
City of Chula VistaActivity for the Quarter Ended June 30, 2022MATURITYSecurityTypeDesc Description DatedDate Coupon MaturityCUSIPParRating TradeDateSettlement Date Book Value YTM IssuerApr-22CERTIFICATE OF DEPOSITUNITED BANKERS BANK7/24/20192.000%4/25/2022909557JF8249,000.00NA7/3/20197/24/2019249,000.002.00UNITED BANKERS BANKMay-22CORPORATE NOTEGLAXOSMITHKLINE5/9/20122.850%5/9/2022377373AD73,000,000.00A3/12/20193/15/20193,003,447.002.81GLAXOSMITHKLINE CAPITALCERTIFICATE OF DEPOSITLIVE OAK BANK8/9/20192.000%5/9/2022538036FB5249,000.00NA7/29/20198/9/2019249,000.002.00LIVE OAK BANKMUNICIPAL BONDUNIV OF CALIFORNIA4/20/20162.046%5/16/202291412GD69200,000.00AA5/12/20205/14/2020202,940.001.30UNIV OF CALIFORNIACORPORATE NOTEQUALCOMM INC5/20/20153.000%5/20/2022747525AE32,595,000.00A3/4/20193/6/20192,583,984.233.14QUALCOMM INCJun-22MUNICIPAL BONDCITY OF OXNARD FIN AUTH12/10/20192.063%6/1/2022691875CZ9250,000.00AA11/21/201912/10/2019250,000.002.06CITY OF OXNARD FINANCING AUTHCERTIFICATE OF DEPOSITMERRICK BANK6/11/20192.450%6/10/202259013KAM8249,000.00NA6/3/20196/11/2019249,000.002.45MERRICK BANKCERTIFICATE OF DEPOSITFLAGSTAR BANK6/12/20192.500%6/13/202233847E2J5246,000.00NA5/29/20196/12/2019246,000.002.50FLAGSTAR BANKFEDERAL AGENCY BONDFAMCA6/21/20191.950%6/21/202231422BGP91,000,000.00NR7/26/20197/30/20191,001,250.491.91FARMER MACCORPORATE NOTEAMERICAN HONDA FINANCE6/27/20192.200%6/27/202202665WCY52,500,000.00A-1/14/20201/16/20202,522,150.001.83AMERICAN HONDA FINANCECORPORATE NOTEPNC BANK7/28/20172.450%6/28/202269353RFE34,000,000.00A10/15/201810/17/20183,848,511.483.53PNC BANK NATotal14,538,000.00BUYSecurityTypeDesc Description DatedDate Coupon MaturityCUSIPParRating TradeDateSettlement Date Book Value YTM IssuerApr-22FEDERAL AGENCY BONDFHLB4/14/20222.500%10/14/20253130ARGJ43,500,000.00AA+3/22/20224/14/20223,500,000.002.50FED HOME LN BANKFEDERAL AGENCY BONDFHLB4/21/20223.000%10/21/20263130ARHY03,750,000.00AA+3/24/20224/21/20223,750,000.003.00FED HOME LN BANKFEDERAL AGENCY BONDFHLB4/21/20222.670%4/21/20253130ARJP72,500,000.00AA+3/25/20224/21/20222,500,000.002.67FED HOME LN BANKFEDERAL AGENCY BONDFHLB4/25/20222.500%4/25/20243130ARJJ12,720,000.00AA+3/25/20224/25/20222,720,000.002.50FED HOME LN BANKFEDERAL AGENCY BONDFHLB4/29/20223.100%10/29/20253130ARLT63,500,000.00AA+3/30/20224/29/20223,500,000.003.10FED HOME LN BANKMay-22FEDERAL AGENCY BONDFFCB4/20/20223.090%10/20/20253133ENUZ13,200,000.00AA+5/5/20225/6/20223,183,877.343.25FED FARM CREDITMUNICIPAL BONDSTATE OF CALIFORNIA4/4/20192.650%4/1/202613063DMA33,200,000.00AA-5/5/20225/9/20223,127,936.003.27STATE OF CALIFORNIAMUNICIPAL BONDCALIFORNIA STATE UNIVERSITY7/29/20210.862%11/1/202513077DQD72,500,000.00AA-5/5/20225/9/20222,295,050.003.38CALIFORNIA STATE UNIVERSITYCORPORATE NOTEADOBE INC1/26/20153.250%2/1/202500724FAC52,595,000.00A+5/5/20225/9/20222,603,405.153.11ADOBE SYSTEMS INCCORPORATE NOTEAMAZON.COM INC4/13/20223.000%4/13/2025023135CE43,000,000.00AA5/9/20225/11/20223,000,780.002.99AMAZON.COM INCCORPORATE NOTEWALMART INC4/23/20192.850%7/8/2024931142EL33,900,000.00AA5/10/20225/12/20223,910,569.002.71WALMART INCFEDERAL AGENCY BONDFHLB5/26/20223.000%8/26/20243130AS3U13,000,000.00AA+5/11/20225/26/20223,000,000.003.00FED HOME LN BANKFEDERAL AGENCY BONDFHLB5/26/20222.625%2/26/20243130AS3H01,600,000.00AA+5/10/20225/26/20221,600,000.002.63FED HOME LN BANKJun-22FEDERAL AGENCY BONDFHLB6/9/20222.000%3/9/20233130AS4V82,400,000.00AA+5/12/20226/9/20222,400,000.002.00FED HOME LN BANKTotal41,365,000.00Page 9 of 172022/08/23 City Council Post Agenda Page 305 of 573
City of Chula VistaToday's Date:6/30/2022Portfolio Maturity Distribution0 - 182 Days183 - 365 Days366 - 730 Days731 - 1095 Days1096 - 1460 Days1461 - 1825 DaysDescriptionPARMaturityDays to MaturityUnder 6 Months6 - 12 Months1 - 2 Years2 - 3 Years3 - 4 Years4 - 5 YearsCAPITAL ONE 2019-A2 A2 2,000,000.00 8/15/2024 777 -$ -$ -$ 2,000,000.00$ -$ -$ CITIBANK 2018-A6 A6 560,000.00 12/7/2024 891 -$ -$ -$ 560,000.00$ -$ -$ WORLD OMNI 2018-D A4 600,000.00 12/16/2024 900 -$ -$ -$ 600,000.00$ -$ -$ ASSET-BACKED SECURITY-$ -$ -$ 3,160,000.00$ -$ -$ HANMI BANK249,000.00 7/19/2022 19 249,000.00$ -$ -$ -$ -$ -$ TIAA FSB246,000.00 8/4/2022 35 246,000.00$ -$ -$ -$ -$ -$ CIT BANK247,000.00 8/23/2022 54 247,000.00$ -$ -$ -$ -$ -$ 1ST SECURITY BANK 249,000.00 8/30/2022 61 249,000.00$ -$ -$ -$ -$ -$ FIRST SOURCE BANK 247,000.00 9/12/2022 74 247,000.00$ -$ -$ -$ -$ -$ CONGRESSIONAL BANK 247,000.00 9/26/2022 88 247,000.00$ -$ -$ -$ -$ -$ PLAINSCAPITAL BANK 247,000.00 10/11/2022 103 247,000.00$ -$ -$ -$ -$ -$ ENERBANK USA 249,000.00 10/31/2022 123 249,000.00$ -$ -$ -$ -$ -$ DISCOVER BANK 245,000.00 11/1/2022 124 245,000.00$ -$ -$ -$ -$ -$ FIRST BANK FINANCIAL 249,000.00 11/7/2022 130 249,000.00$ -$ -$ -$ -$ -$ MORGAN STANLEY 245,000.00 11/8/2022 131 245,000.00$ -$ -$ -$ -$ -$ FSB OF DEQUEEN 249,000.00 11/30/2022 153 249,000.00$ -$ -$ -$ -$ -$ LUANA SAVINGS BANK 247,000.00 12/21/2022 174 247,000.00$ -$ -$ -$ -$ -$ VERUS BANK249,000.00 12/28/2022 181 249,000.00$ -$ -$ -$ -$ -$ WELLS FARGO NATL BANK 249,000.00 12/30/2022 183 -$ 249,000.00$ -$ -$ -$ -$ MARTHAS VINEYARD SB 249,000.00 1/23/2023 207 -$ 249,000.00$ -$ -$ -$ -$ UNITY BANK NJ 249,000.00 1/23/2023 207 -$ 249,000.00$ -$ -$ -$ -$ VIRGINIA PARTNERS BANK 249,000.00 1/27/2023 211 -$ 249,000.00$ -$ -$ -$ -$ PROMISEONE BANK 249,000.00 2/14/2023 229 -$ 249,000.00$ -$ -$ -$ -$ SERVISFIRST BANK 249,000.00 2/21/2023 236 -$ 249,000.00$ -$ -$ -$ -$ BANK OF PERRY COUNTY 249,000.00 2/21/2023 236 -$ 249,000.00$ -$ -$ -$ -$ PEOPLEFIRST BANK 249,000.00 3/6/2023 249 -$ 249,000.00$ -$ -$ -$ -$ PADUCAH BANK AND TRUST 249,000.00 3/13/2023 256 -$ 249,000.00$ -$ -$ -$ -$ FIRST CAROLINA BANK 249,000.00 3/24/2023 267 -$ 249,000.00$ -$ -$ -$ -$ STATE BANK OF REESEVILLE 249,000.00 4/12/2023 286 -$ 249,000.00$ -$ -$ -$ -$ MIDWEST COMMUNITY BANK 249,000.00 4/14/2023 288 -$ 249,000.00$ -$ -$ -$ -$ CADENCE BANK 248,000.00 4/17/2023 291 -$ 248,000.00$ -$ -$ -$ -$ EAGLEBANK249,000.00 4/28/2023 302 -$ 249,000.00$ -$ -$ -$ -$ STEARNS BANK 247,000.00 5/10/2023 314 -$ 247,000.00$ -$ -$ -$ -$ FARMERS & MERCH SVGS BK 249,000.00 8/15/2023 411 -$ -$ 249,000.00$ -$ -$ -$ NEBRASKALAND NATIONAL BK 248,000.00 8/22/2023 418 -$ -$ 248,000.00$ -$ -$ -$ FIRSTIER BANK 249,000.00 8/23/2023 419 -$ -$ 249,000.00$ -$ -$ -$ AMERICAN COMMERCE BANK 249,000.00 8/23/2023 419 -$ -$ 249,000.00$ -$ -$ -$ CELTIC BANK249,000.00 8/30/2023 426 -$ -$ 249,000.00$ -$ -$ -$ FIRST ST BANK BUXTON 249,000.00 9/5/2023 432 -$ -$ 249,000.00$ -$ -$ -$ NATIONAL BANK OF NY CITY 249,000.00 9/8/2023 435 -$ -$ 249,000.00$ -$ -$ -$ ABACUS FEDERAL SVGS BANK 249,000.00 9/12/2023 439 -$ -$ 249,000.00$ -$ -$ -$ FIRST SERVICE BANK 249,000.00 9/29/2023 456 -$ -$ 249,000.00$ -$ -$ -$ COMENITY CAPITAL 249,000.00 10/30/2023 487 -$ -$ 249,000.00$ -$ -$ -$ GOLDMAN SACHS 245,000.00 10/31/2023 488 -$ -$ 245,000.00$ -$ -$ -$ UBS BANK USA 249,000.00 11/7/2023 495 -$ -$ 249,000.00$ -$ -$ -$ BARCLAYS BANK 245,000.00 11/7/2023 495 -$ -$ 245,000.00$ -$ -$ -$ MORGAN STANLEY 245,000.00 11/8/2023 496 -$ -$ 245,000.00$ -$ -$ -$ CITIBANK NA245,000.00 11/9/2023 497 -$ -$ 245,000.00$ -$ -$ -$ WELLS FARGO BANK NA 249,000.00 11/9/2023 497 -$ -$ 249,000.00$ -$ -$ -$ COMMERCIAL BANK 249,000.00 11/15/2023 503 -$ -$ 249,000.00$ -$ -$ -$ BANK NEW ENGLAND 249,000.00 11/20/2023 508 -$ -$ 249,000.00$ -$ -$ -$ BANK OF BARODA 245,000.00 11/30/2023 518 -$ -$ 245,000.00$ -$ -$ -$ MARLIN BUSINESS BANK 249,000.00 12/4/2023 522 -$ -$ 249,000.00$ -$ -$ -$ BAR HARBOR BANK & TRUST 249,000.00 12/29/2023 547 -$ -$ 249,000.00$ -$ -$ -$ NAHEOLA CREDIT UNION 248,000.00 1/10/2024 559 -$ -$ 248,000.00$ -$ -$ -$ MEDALLION BK UT 249,000.00 2/12/2024 592 -$ -$ 249,000.00$ -$ -$ -$ Page 10 of 172022/08/23 City Council Post Agenda Page 306 of 573
City of Chula VistaToday's Date:6/30/2022Portfolio Maturity Distribution0 - 182 Days183 - 365 Days366 - 730 Days731 - 1095 Days1096 - 1460 Days1461 - 1825 DaysDescriptionPARMaturityDays to MaturityUnder 6 Months6 - 12 Months1 - 2 Years2 - 3 Years3 - 4 Years4 - 5 YearsROLLSTONE BANK & TRUST 247,000.00 2/12/2024 592 -$ -$ 247,000.00$ -$ -$ -$ PCSB BANK249,000.00 2/21/2024 601 -$ -$ 249,000.00$ -$ -$ -$ BANK HAPOALIM 246,000.00 3/25/2024 634 -$ -$ 246,000.00$ -$ -$ -$ AXOS BANK249,000.00 3/26/2024 635 -$ -$ 249,000.00$ -$ -$ -$ NICOLET NATIONAL BANK 249,000.00 3/28/2024 637 -$ -$ 249,000.00$ -$ -$ -$ LAKESIDE BANK 249,000.00 4/12/2024 652 -$ -$ 249,000.00$ -$ -$ -$ JEFFERSON BANK 249,000.00 4/15/2024 655 -$ -$ 249,000.00$ -$ -$ -$ PACIFIC WESTERN BANK 248,000.00 4/16/2024 656 -$ -$ 248,000.00$ -$ -$ -$ THOMASTON SAVINGS BANK 248,000.00 4/23/2024 663 -$ -$ 248,000.00$ -$ -$ -$ NORTHWEST BANK 249,000.00 4/30/2024 670 -$ -$ 249,000.00$ -$ -$ -$ FIRST FREEDOM BANK 249,000.00 4/30/2024 670 -$ -$ 249,000.00$ -$ -$ -$ UNITED REPUBLIC BANK 249,000.00 5/13/2024 683 -$ -$ 249,000.00$ -$ -$ -$ CAPITAL ONE NA 246,000.00 6/19/2024 720 -$ -$ 246,000.00$ -$ -$ -$ CAPITAL ONE BANK 246,000.00 6/19/2024 720 -$ -$ 246,000.00$ -$ -$ -$ LCA BANK CORP 247,000.00 6/28/2024 729 -$ -$ 247,000.00$ -$ -$ -$ REVERE BANK 247,000.00 6/28/2024 729 -$ -$ 247,000.00$ -$ -$ -$ CENTURY NEXT BANK 249,000.00 7/17/2024 748 -$ -$ -$ 249,000.00$ -$ -$ CF BANK247,000.00 8/19/2024 781 -$ -$ -$ 247,000.00$ -$ -$ FIRST RESOURCE BANK 249,000.00 8/21/2024 783 -$ -$ -$ 249,000.00$ -$ -$ CALDWELL BANK & TRUST 247,000.00 8/23/2024 785 -$ -$ -$ 247,000.00$ -$ -$ WASHINGTON FEDERAL 249,000.00 8/23/2024 785 -$ -$ -$ 249,000.00$ -$ -$ GENOA BANKING COMPANY 249,000.00 8/28/2024 790 -$ -$ -$ 249,000.00$ -$ -$ MERCHANTS STATE BANK 247,000.00 8/30/2024 792 -$ -$ -$ 247,000.00$ -$ -$ PREFERRED BANK 249,000.00 8/30/2024 792 -$ -$ -$ 249,000.00$ -$ -$ PEOPLES BANK ROCK VALLEY 249,000.00 9/10/2024 803 -$ -$ -$ 249,000.00$ -$ -$ ALMA BANK249,000.00 9/11/2024 804 -$ -$ -$ 249,000.00$ -$ -$ BANK OF OLD MONROE 249,000.00 9/18/2024 811 -$ -$ -$ 249,000.00$ -$ -$ SPRING BANK249,000.00 9/19/2024 812 -$ -$ -$ 249,000.00$ -$ -$ ENTERPRISE BANK 247,000.00 9/27/2024 820 -$ -$ -$ 247,000.00$ -$ -$ BANKWEST INC 249,000.00 9/27/2024 820 -$ -$ -$ 249,000.00$ -$ -$ UINTA BANK247,000.00 10/16/2024 839 -$ -$ -$ 247,000.00$ -$ -$ MUTUALBANK249,000.00 10/22/2024 845 -$ -$ -$ 249,000.00$ -$ -$ FIRST BANK OF NEBRASKA 249,000.00 10/30/2024 853 -$ -$ -$ 249,000.00$ -$ -$ ENTERPRISE BANK & TRUST 249,000.00 11/8/2024 862 -$ -$ -$ 249,000.00$ -$ -$ TRIAD BANK249,000.00 11/8/2024 862 -$ -$ -$ 249,000.00$ -$ -$ MAINE SAVINGS FCU 245,000.00 11/8/2024 862 -$ -$ -$ 245,000.00$ -$ -$ COMMERCIAL BANK 249,000.00 11/13/2024 867 -$ -$ -$ 249,000.00$ -$ -$ COMMUNITY STATE BANK IL 249,000.00 12/2/2024 886 -$ -$ -$ 249,000.00$ -$ -$ COMMUNITY BANK TEXAS 249,000.00 12/4/2024 888 -$ -$ -$ 249,000.00$ -$ -$ BANK FORWARD 249,000.00 12/18/2024 902 -$ -$ -$ 249,000.00$ -$ -$ FREEDOM FINANCIAL BANK 249,000.00 2/14/2025 960 -$ -$ -$ 249,000.00$ -$ -$ FIRST NATL BANK MICHIGAN 249,000.00 2/14/2025 960 -$ -$ -$ 249,000.00$ -$ -$ AMERICAN STATE BANK IA 249,000.00 2/21/2025 967 -$ -$ -$ 249,000.00$ -$ -$ BELL BANK CORP 249,000.00 2/27/2025 973 -$ -$ -$ 249,000.00$ -$ -$ AMERICAN EAGLE BANK IL 249,000.00 2/28/2025 974 -$ -$ -$ 249,000.00$ -$ -$ HORIZON BANK WAVERLY NE 249,000.00 2/28/2025 974 -$ -$ -$ 249,000.00$ -$ -$ FNB OF ALBANY 249,000.00 2/28/2025 974 -$ -$ -$ 249,000.00$ -$ -$ IOWA STATE BANK 248,000.00 3/5/2025 979 -$ -$ -$ 248,000.00$ -$ -$ ACCESS BANK OMAHA NE 249,000.00 3/13/2025 987 -$ -$ -$ 249,000.00$ -$ -$ MCHENRY SAVINGS BANK 249,000.00 3/13/2025 987 -$ -$ -$ 249,000.00$ -$ -$ FNB BANK INC/ROMNEY 249,000.00 3/18/2025 992 -$ -$ -$ 249,000.00$ -$ -$ HARDIN COUNTY BANK 249,000.00 3/27/2025 1001 -$ -$ -$ 249,000.00$ -$ -$ BANK OF ROMNEY 249,000.00 3/27/2025 1001 -$ -$ -$ 249,000.00$ -$ -$ SAN FRANCISCO CREDIT UNION 249,000.00 3/27/2025 1001 -$ -$ -$ 249,000.00$ -$ -$ CENTRAL BANK 249,000.00 3/27/2025 1001 -$ -$ -$ 249,000.00$ -$ -$ KNOXVILLE TVA EMPL CR UNION 249,000.00 3/31/2025 1005 -$ -$ -$ 249,000.00$ -$ -$ Page 11 of 172022/08/23 City Council Post Agenda Page 307 of 573
City of Chula VistaToday's Date:6/30/2022Portfolio Maturity Distribution0 - 182 Days183 - 365 Days366 - 730 Days731 - 1095 Days1096 - 1460 Days1461 - 1825 DaysDescriptionPARMaturityDays to MaturityUnder 6 Months6 - 12 Months1 - 2 Years2 - 3 Years3 - 4 Years4 - 5 YearsCENTERSTATE BANK 248,000.00 3/31/2025 1005 -$ -$ -$ 248,000.00$ -$ -$ GOLD COAST BANK 249,000.00 4/15/2025 1020 -$ -$ -$ 249,000.00$ -$ -$ SYNCHRONY BANK 248,000.00 4/17/2025 1022 -$ -$ -$ 248,000.00$ -$ -$ STATE BANK OF INDIA 248,000.00 4/29/2025 1034 -$ -$ -$ 248,000.00$ -$ -$ BELMONT BANK & TRUST 249,000.00 4/30/2025 1035 -$ -$ -$ 249,000.00$ -$ -$ M1 BANK248,000.00 5/8/2025 1043 -$ -$ -$ 248,000.00$ -$ -$ CERTIFICATE OF DEPOSIT3,465,000.00$ 3,732,000.00$ 9,672,000.00$ 11,435,000.00$ -$ -$ COMMERCIAL PAPER-$ -$ -$ -$ -$ -$ UNITED HEALTH 3,000,000.00 7/15/2022 15 3,000,000.00$ -$ -$ -$ -$ -$ PACCAR FINANCIAL 2,500,000.00 8/10/2022 41 2,500,000.00$ -$ -$ -$ -$ -$ PROCTOR & GAMBLE 3,000,000.00 8/11/2022 42 3,000,000.00$ -$ -$ -$ -$ -$ ESTEE LAUDER CO 250,000.00 8/15/2022 46 250,000.00$ -$ -$ -$ -$ -$ CHARLES SCHWAB CORP 2,376,000.00 9/1/2022 63 2,376,000.00$ -$ -$ -$ -$ -$ TOYOTA MOTOR CREDIT 1,500,000.00 9/8/2022 70 1,500,000.00$ -$ -$ -$ -$ -$ WALT DISNEY COMPANY 1,095,000.00 9/15/2022 77 1,095,000.00$ -$ -$ -$ -$ -$ JP MORGAN CHASE 2,530,000.00 9/23/2022 85 2,530,000.00$ -$ -$ -$ -$ -$ PACCAR FINANCIAL 1,000,000.00 9/26/2022 88 1,000,000.00$ -$ -$ -$ -$ -$ UNITED PARCEL SERVICE 3,750,000.00 10/1/2022 93 3,750,000.00$ -$ -$ -$ -$ -$ UNITED HEALTH 2,504,000.00 10/15/2022 107 2,504,000.00$ -$ -$ -$ -$ -$ CHUBB INA HOLDINGS INC 2,500,000.00 11/3/2022 126 2,500,000.00$ -$ -$ -$ -$ -$ AMERICAN HONDA FINANCE 474,000.00 11/16/2022 139 474,000.00$ -$ -$ -$ -$ -$ WALT DISNEY COMPANY 1,500,000.00 12/1/2022 154 1,500,000.00$ -$ -$ -$ -$ -$ COOPERATIVE RABOBANK NY 2,500,000.00 1/10/2023 194 -$ 2,500,000.00$ -$ -$ -$ -$ NIKE INC1,200,000.00 5/1/2023 305 -$ 1,200,000.00$ -$ -$ -$ -$ BP CAPITAL MARKETS 3,490,000.00 5/10/2023 314 -$ 3,490,000.00$ -$ -$ -$ -$ LOEWS CORP 1,500,000.00 5/15/2023 319 -$ 1,500,000.00$ -$ -$ -$ -$ SIMON PROPERTY GROUP LP 2,000,000.00 6/1/2023 336 -$ 2,000,000.00$ -$ -$ -$ -$ JOHN DEERE 2,000,000.00 6/7/2023 342 -$ 2,000,000.00$ -$ -$ -$ -$ BANK OF AMERICA CORP 1,255,000.00 7/24/2023 389 -$ -$ 1,255,000.00$ -$ -$ -$ PNC BANK2,525,000.00 7/25/2023 390 -$ -$ 2,525,000.00$ -$ -$ -$ BNY MELLON 3,000,000.00 8/16/2023 412 -$ -$ 3,000,000.00$ -$ -$ -$ TOYOTA MOTOR CREDIT 2,500,000.00 8/25/2023 421 -$ -$ 2,500,000.00$ -$ -$ -$ GILEAD SCIENCES 3,092,000.00 9/1/2023 428 -$ -$ 3,092,000.00$ -$ -$ -$ AMERICAN HONDA FINANCE 3,000,000.00 9/8/2023 435 -$ -$ 3,000,000.00$ -$ -$ -$ METLIFE INC 3,549,000.00 9/15/2023 442 -$ -$ 3,549,000.00$ -$ -$ -$ CUMMINS INC 3,500,000.00 10/1/2023 458 -$ -$ 3,500,000.00$ -$ -$ -$ CATERPILLAR 3,700,000.00 12/7/2023 525 -$ -$ 3,700,000.00$ -$ -$ -$ GEORGIA-PACIFIC 320,000.00 1/15/2024 564 -$ -$ 320,000.00$ -$ -$ -$ JOHN DEERE 3,000,000.00 3/7/2024 616 -$ -$ 3,000,000.00$ -$ -$ -$ UNILEVER CAPITAL 1,500,000.00 5/5/2024 675 -$ -$ 1,500,000.00$ -$ -$ -$ UNILEVER CAPITAL 2,000,000.00 5/5/2024 675 -$ -$ 2,000,000.00$ -$ -$ -$ APPLE INC250,000.00 5/6/2024 676 -$ -$ 250,000.00$ -$ -$ -$ APPLE INC650,000.00 5/11/2024 681 -$ -$ 650,000.00$ -$ -$ -$ TEXAS INSTRUMENTS 1,000,000.00 5/15/2024 685 -$ -$ 1,000,000.00$ -$ -$ -$ BNY MELLON 600,000.00 5/15/2024 685 -$ -$ 600,000.00$ -$ -$ -$ IBM CORP3,000,000.00 5/15/2024 685 -$ -$ 3,000,000.00$ -$ -$ -$ ASTRAZENECA FINANCE LLC 2,500,000.00 5/28/2024 698 -$ -$ 2,500,000.00$ -$ -$ -$ ONCOR ELECTRIC DELIVERY 475,000.00 6/1/2024 702 -$ -$ 475,000.00$ -$ -$ -$ HORMEL FOODS CORP 3,000,000.00 6/3/2024 704 -$ -$ 3,000,000.00$ -$ -$ -$ WALMART INC 3,900,000.00 7/8/2024 739 -$ -$ -$ 3,900,000.00$ -$ -$ SALESFORCE.COM 450,000.00 7/15/2024 746 -$ -$ -$ 450,000.00$ -$ -$ UNITED HEALTH 3,000,000.00 8/15/2024 777 -$ -$ -$ 3,000,000.00$ -$ -$ EXXON MOBIL CO 1,000,000.00 8/16/2024 778 -$ -$ -$ 1,000,000.00$ -$ -$ AMAZON.COM INC 226,000.00 8/22/2024 784 -$ -$ -$ 226,000.00$ -$ -$ BURLINGTON NORTH SANTA FE 1,000,000.00 9/1/2024 794 -$ -$ -$ 1,000,000.00$ -$ -$ BURLINGTON NORTH SANTA FE 3,000,000.00 9/1/2024 794 -$ -$ -$ 3,000,000.00$ -$ -$ Page 12 of 172022/08/23 City Council Post Agenda Page 308 of 573
City of Chula VistaToday's Date:6/30/2022Portfolio Maturity Distribution0 - 182 Days183 - 365 Days366 - 730 Days731 - 1095 Days1096 - 1460 Days1461 - 1825 DaysDescriptionPARMaturityDays to MaturityUnder 6 Months6 - 12 Months1 - 2 Years2 - 3 Years3 - 4 Years4 - 5 YearsCOCA-COLA CO 3,200,000.00 9/6/2024 799 -$ -$ -$ 3,200,000.00$ -$ -$ PAYPAL HOLDING 950,000.00 10/1/2024 824 -$ -$ -$ 950,000.00$ -$ -$ BNY MELLON 1,000,000.00 10/24/2024 847 -$ -$ -$ 1,000,000.00$ -$ -$ CATERPILLAR 3,000,000.00 11/8/2024 862 -$ -$ -$ 3,000,000.00$ -$ -$ HERSHEY COMPANY 677,000.00 11/15/2024 869 -$ -$ -$ 677,000.00$ -$ -$ ADOBE INC2,595,000.00 2/1/2025 947 -$ -$ -$ 2,595,000.00$ -$ -$ PACCAR FINANCIAL 1,000,000.00 2/6/2025 952 -$ -$ -$ 1,000,000.00$ -$ -$ TOYOTA MOTOR CREDIT 1,000,000.00 2/13/2025 959 -$ -$ -$ 1,000,000.00$ -$ -$ 3M COMPANY 2,500,000.00 2/14/2025 960 -$ -$ -$ 2,500,000.00$ -$ -$ WW GRAINGER INC 580,000.00 2/15/2025 961 -$ -$ -$ 580,000.00$ -$ -$ JOHN DEERE 1,250,000.00 3/13/2025 987 -$ -$ -$ 1,250,000.00$ -$ -$ AMAZON.COM INC 3,000,000.00 4/13/2025 1018 -$ -$ -$ 3,000,000.00$ -$ -$ TARGET CORP 3,000,000.00 4/15/2025 1020 -$ -$ -$ 3,000,000.00$ -$ -$ APPLE INC1,131,000.00 5/11/2025 1046 -$ -$ -$ 1,131,000.00$ -$ -$ HONEYWELL INTL 3,000,000.00 6/1/2025 1067 -$ -$ -$ 3,000,000.00$ -$ -$ AMAZON.COM INC 1,678,000.00 6/3/2025 1069 -$ -$ -$ 1,678,000.00$ -$ -$ JP MORGAN CHASE 2,000,000.00 7/15/2025 1111 -$ -$ -$ -$ 2,000,000.00$ -$ STATE STREET CORP 1,600,000.00 8/18/2025 1145 -$ -$ -$ -$ 1,600,000.00$ -$ CUMMINS INC743,000.00 9/1/2025 1159 -$ -$ -$ -$ 743,000.00$ -$ CUMMINS INC 2,257,000.00 9/1/2025 1159 -$ -$ -$ -$ 2,257,000.00$ -$ TOYOTA MOTOR CREDIT 3,000,000.00 10/16/2025 1204 -$ -$ -$ -$ 3,000,000.00$ -$ VISA INC2,500,000.00 12/14/2025 1263 -$ -$ -$ -$ 2,500,000.00$ -$ INTEL CORP2,374,000.00 5/19/2026 1419 -$ -$ -$ -$ 2,374,000.00$ -$ BANK OF AMERICA CORP 4,000,000.00 3/2/2027 1706 -$ -$ -$ -$ -$ 4,000,000.00$ CORPORATE NOTE27,979,000.00$ 12,690,000.00$ 44,416,000.00$ 42,137,000.00$ 14,474,000.00$ 4,000,000.00$ FHLB3,000,000.00 9/9/2022 71 3,000,000.00$ -$ -$ -$ -$ -$ FNMA3,000,000.00 10/5/2022 97 3,000,000.00$ -$ -$ -$ -$ -$ FHLB3,000,000.00 12/9/2022 162 3,000,000.00$ -$ -$ -$ -$ -$ FHLB3,000,000.00 2/17/2023 232 -$ 3,000,000.00$ -$ -$ -$ -$ FHLB2,400,000.00 3/9/2023 252 -$ 2,400,000.00$ -$ -$ -$ -$ FHLMC2,000,000.00 6/19/2023 354 -$ 2,000,000.00$ -$ -$ -$ -$ FFCB3,000,000.00 7/24/2023 389 -$ -$ 3,000,000.00$ -$ -$ -$ FFCB2,719,000.00 8/14/2023 410 -$ -$ 2,719,000.00$ -$ -$ -$ FFCB3,500,000.00 10/12/2023 469 -$ -$ 3,500,000.00$ -$ -$ -$ FHLMC3,000,000.00 10/16/2023 473 -$ -$ 3,000,000.00$ -$ -$ -$ FHLB3,500,000.00 11/9/2023 497 -$ -$ 3,500,000.00$ -$ -$ -$ FHLB3,500,000.00 11/22/2023 510 -$ -$ 3,500,000.00$ -$ -$ -$ FFCB3,000,000.00 11/24/2023 512 -$ -$ 3,000,000.00$ -$ -$ -$ FFCB3,000,000.00 12/20/2023 538 -$ -$ 3,000,000.00$ -$ -$ -$ FHLB2,500,000.00 2/7/2024 587 -$ -$ 2,500,000.00$ -$ -$ -$ FHLB1,600,000.00 2/26/2024 606 -$ -$ 1,600,000.00$ -$ -$ -$ FFCB2,500,000.00 3/8/2024 617 -$ -$ 2,500,000.00$ -$ -$ -$ FHLB3,500,000.00 3/28/2024 637 -$ -$ 3,500,000.00$ -$ -$ -$ FHLB2,720,000.00 4/25/2024 665 -$ -$ 2,720,000.00$ -$ -$ -$ FHLMC1,950,000.00 6/10/2024 711 -$ -$ 1,950,000.00$ -$ -$ -$ FNMA2,140,000.00 6/14/2024 715 -$ -$ 2,140,000.00$ -$ -$ -$ FHLB4,000,000.00 6/28/2024 729 -$ -$ 4,000,000.00$ -$ -$ -$ FFCB3,000,000.00 7/2/2024 733 -$ -$ -$ 3,000,000.00$ -$ -$ FHLB2,090,000.00 7/19/2024 750 -$ -$ -$ 2,090,000.00$ -$ -$ FHLB3,200,000.00 7/26/2024 757 -$ -$ -$ 3,200,000.00$ -$ -$ FHLB2,300,000.00 8/23/2024 785 -$ -$ -$ 2,300,000.00$ -$ -$ FHLB3,000,000.00 8/26/2024 788 -$ -$ -$ 3,000,000.00$ -$ -$ FHLB4,000,000.00 9/16/2024 809 -$ -$ -$ 4,000,000.00$ -$ -$ FHLB3,000,000.00 9/23/2024 816 -$ -$ -$ 3,000,000.00$ -$ -$ FAMCA4,000,000.00 9/26/2024 819 -$ -$ -$ 4,000,000.00$ -$ -$ FHLB3,200,000.00 9/30/2024 823 -$ -$ -$ 3,200,000.00$ -$ -$ Page 13 of 172022/08/23 City Council Post Agenda Page 309 of 573
City of Chula VistaToday's Date:6/30/2022Portfolio Maturity Distribution0 - 182 Days183 - 365 Days366 - 730 Days731 - 1095 Days1096 - 1460 Days1461 - 1825 DaysDescriptionPARMaturityDays to MaturityUnder 6 Months6 - 12 Months1 - 2 Years2 - 3 Years3 - 4 Years4 - 5 YearsFFCB1,000,000.00 10/17/2024 840 -$ -$ -$ 1,000,000.00$ -$ -$ FHLB3,500,000.00 10/25/2024 848 -$ -$ -$ 3,500,000.00$ -$ -$ FFCB3,000,000.00 11/1/2024 855 -$ -$ -$ 3,000,000.00$ -$ -$ FHLB2,300,000.00 11/18/2024 872 -$ -$ -$ 2,300,000.00$ -$ -$ FHLB1,000,000.00 11/25/2024 879 -$ -$ -$ 1,000,000.00$ -$ -$ FFCB1,500,000.00 1/6/2025 921 -$ -$ -$ 1,500,000.00$ -$ -$ FHLB3,000,000.00 3/14/2025 988 -$ -$ -$ 3,000,000.00$ -$ -$ FHLB3,000,000.00 3/24/2025 998 -$ -$ -$ 3,000,000.00$ -$ -$ FHLB3,500,000.00 3/28/2025 1002 -$ -$ -$ 3,500,000.00$ -$ -$ FHLB2,500,000.00 4/21/2025 1026 -$ -$ -$ 2,500,000.00$ -$ -$ FHLB1,730,000.00 4/28/2025 1033 -$ -$ -$ 1,730,000.00$ -$ -$ FHLB3,000,000.00 5/23/2025 1058 -$ -$ -$ 3,000,000.00$ -$ -$ FNMA4,000,000.00 6/17/2025 1083 -$ -$ -$ 4,000,000.00$ -$ -$ FFCB3,000,000.00 6/23/2025 1089 -$ -$ -$ 3,000,000.00$ -$ -$ FHLB3,500,000.00 6/27/2025 1093 -$ -$ -$ 3,500,000.00$ -$ -$ FHLB3,500,000.00 6/30/2025 1096 -$ -$ -$ -$ 3,500,000.00$ -$ FHLB3,500,000.00 7/18/2025 1114 -$ -$ -$ -$ 3,500,000.00$ -$ FHLB3,000,000.00 7/25/2025 1121 -$ -$ -$ -$ 3,000,000.00$ -$ FNMA4,000,000.00 8/25/2025 1152 -$ -$ -$ -$ 4,000,000.00$ -$ FHLB4,000,000.00 8/29/2025 1156 -$ -$ -$ -$ 4,000,000.00$ -$ FHLB4,000,000.00 9/12/2025 1170 -$ -$ -$ -$ 4,000,000.00$ -$ FHLMC4,000,000.00 9/24/2025 1182 -$ -$ -$ -$ 4,000,000.00$ -$ FHLB3,500,000.00 10/14/2025 1202 -$ -$ -$ -$ 3,500,000.00$ -$ FFCB3,200,000.00 10/20/2025 1208 -$ -$ -$ -$ 3,200,000.00$ -$ FHLB3,500,000.00 10/29/2025 1217 -$ -$ -$ -$ 3,500,000.00$ -$ FNMA3,500,000.00 11/7/2025 1226 -$ -$ -$ -$ 3,500,000.00$ -$ FFCB2,030,000.00 11/17/2025 1236 -$ -$ -$ -$ 2,030,000.00$ -$ FFCB3,500,000.00 1/27/2026 1307 -$ -$ -$ -$ 3,500,000.00$ -$ FFCB3,500,000.00 3/10/2026 1349 -$ -$ -$ -$ 3,500,000.00$ -$ FHLB3,750,000.00 10/21/2026 1574 -$ -$ -$ -$ -$ 3,750,000.00$ FHLB2,600,000.00 11/23/2026 1607 -$ -$ -$ -$ -$ 2,600,000.00$ FEDERAL AGENCY BOND/NOTE9,000,000.00$ 7,400,000.00$ 46,129,000.00$ 67,320,000.00$ 48,730,000.00$ 6,350,000.00$ U.S. TREASURY NOTE 2,000,000.00 10/31/2022 123 2,000,000.00$ -$ -$ -$ -$ -$ U.S. TREASURY NOTE 3,000,000.00 11/30/2022 153 3,000,000.00$ -$ -$ -$ -$ -$ U.S. TREASURY NOTE 2,500,000.00 2/28/2023 243 -$ 2,500,000.00$ -$ -$ -$ -$ U.S. TREASURY NOTE 3,500,000.00 10/31/2023 488 -$ -$ 3,500,000.00$ -$ -$ -$ U.S. TREASURY NOTE 3,000,000.00 11/15/2023 503 -$ -$ 3,000,000.00$ -$ -$ -$ U.S. TREASURY NOTE 3,000,000.00 11/30/2023 518 -$ -$ 3,000,000.00$ -$ -$ -$ U.S. TREASURY NOTE5,000,000.00$ 2,500,000.00$ 9,500,000.00$ -$ -$ -$ LAKE TAHOE UNIFIED SCH DIST 530,000.00 8/1/2022 32 530,000.00$ -$ -$ -$ -$ -$ LOS ANGELES CNTY REDEV REF 1,000,000.00 9/1/2022 63 1,000,000.00$ -$ -$ -$ -$ -$ HESPERIA CMNTY REDEV AGY 1,500,000.00 9/1/2022 63 1,500,000.00$ -$ -$ -$ -$ -$ BAY AREA CA TOLL AUTH 2,500,000.00 4/1/2023 275 -$ 2,500,000.00$ -$ -$ -$ -$ PORT OF OAKLAND 1,050,000.00 5/1/2023 305 -$ 1,050,000.00$ -$ -$ -$ -$ UNIV OF CALIFORNIA 2,000,000.00 5/15/2023 319 -$ 2,000,000.00$ -$ -$ -$ -$ CALIFORNIA HEALTH FAC FIN 1,000,000.00 6/1/2023 336 -$ 1,000,000.00$ -$ -$ -$ -$ CITY OF ONTARIO CA 200,000.00 6/1/2023 336 -$ 200,000.00$ -$ -$ -$ -$ STHRN PUB PWR AUTH-B 3,960,000.00 7/1/2023 366 -$ -$ 3,960,000.00$ -$ -$ -$ GARDEN GROVE UNIFIED SD 245,000.00 8/1/2023 397 -$ -$ 245,000.00$ -$ -$ -$ POWAY UNIFIED SCHOOL DIST 1,000,000.00 8/1/2023 397 -$ -$ 1,000,000.00$ -$ -$ -$ COACHELLA VALLEY USD 555,000.00 8/1/2023 397 -$ -$ 555,000.00$ -$ -$ -$ SAN RAFAEL ELEM SCH DIST 980,000.00 8/1/2023 397 -$ -$ 980,000.00$ -$ -$ -$ WEST CONTRA COSTA USD 500,000.00 8/1/2023 397 -$ -$ 500,000.00$ -$ -$ -$ POMONA PENSN OBLG 500,000.00 8/1/2023 397 -$ -$ 500,000.00$ -$ -$ -$ STATE OF CALIFORNIA 2,500,000.00 10/1/2023 458 -$ -$ 2,500,000.00$ -$ -$ -$ STATE OF CALIFORNIA 4,000,000.00 10/1/2023 458 -$ -$ 4,000,000.00$ -$ -$ -$ Page 14 of 172022/08/23 City Council Post Agenda Page 310 of 573
City of Chula VistaToday's Date:6/30/2022Portfolio Maturity Distribution0 - 182 Days183 - 365 Days366 - 730 Days731 - 1095 Days1096 - 1460 Days1461 - 1825 DaysDescriptionPARMaturityDays to MaturityUnder 6 Months6 - 12 Months1 - 2 Years2 - 3 Years3 - 4 Years4 - 5 YearsCALIFORNIA STATE UNIVERSITY 400,000.00 11/1/2023 489 -$ -$ 400,000.00$ -$ -$ -$ BAKERSFIELD SD 335,000.00 11/1/2023 489 -$ -$ 335,000.00$ -$ -$ -$ STATE OF CALIFORNIA 3,000,000.00 4/1/2024 641 -$ -$ 3,000,000.00$ -$ -$ -$ CITY OF RIVERSIDE POB 250,000.00 6/1/2024 702 -$ -$ 250,000.00$ -$ -$ -$ CENTRAL UNIFIED SCHOOL DIST 795,000.00 7/1/2024 732 -$ -$ -$ 795,000.00$ -$ -$ SAN RAFAEL ELEM SCH DIST 1,200,000.00 8/1/2024 763 -$ -$ -$ 1,200,000.00$ -$ -$ SANTA MONICA-MALIBU USD 250,000.00 8/1/2024 763 -$ -$ -$ 250,000.00$ -$ -$ GILROY UNIFIED SD 500,000.00 8/1/2024 763 -$ -$ -$ 500,000.00$ -$ -$ LONG BEACH CCD 1,315,000.00 8/1/2024 763 -$ -$ -$ 1,315,000.00$ -$ -$ COACHELLA VALLEY USD 365,000.00 8/1/2024 763 -$ -$ -$ 365,000.00$ -$ -$ SAN BERNARDINO CCD 700,000.00 8/1/2024 763 -$ -$ -$ 700,000.00$ -$ -$ SAN BERNARDINO CCD 1,000,000.00 8/1/2024 763 -$ -$ -$ 1,000,000.00$ -$ -$ SONOMA JR COLLEGE DIST 1,000,000.00 8/1/2024 763 -$ -$ -$ 1,000,000.00$ -$ -$ VAL VERDE UNIFIED SCH DIST 215,000.00 8/1/2024 763 -$ -$ -$ 215,000.00$ -$ -$ OAK GROVE SCHOOL DISTRICT 200,000.00 8/1/2024 763 -$ -$ -$ 200,000.00$ -$ -$ CARSON REDEV AGY TAB 600,000.00 8/1/2024 763 -$ -$ -$ 600,000.00$ -$ -$ SANTA MARIA JT UHSD 400,000.00 8/1/2024 763 -$ -$ -$ 400,000.00$ -$ -$ SANTA ANA CMNTY REDEV AGY 2,000,000.00 9/1/2024 794 -$ -$ -$ 2,000,000.00$ -$ -$ CALIFORNIA STATE UNIVERSITY 450,000.00 11/1/2024 855 -$ -$ -$ 450,000.00$ -$ -$ NATIONAL CITY PENSN OBLIG 300,000.00 11/1/2024 855 -$ -$ -$ 300,000.00$ -$ -$ STATE OF CALIFORNIA 750,000.00 3/1/2025 975 -$ -$ -$ 750,000.00$ -$ -$ SAN FRANCISCO PORT COMM 255,000.00 3/1/2025 975 -$ -$ -$ 255,000.00$ -$ -$ GARDENA PENSN OBLIG 250,000.00 4/1/2025 1006 -$ -$ -$ 250,000.00$ -$ -$ PORT OF OAKLAND 1,030,000.00 5/1/2025 1036 -$ -$ -$ 1,030,000.00$ -$ -$ CA STWD CMNTY DEV TRANS 1,000,000.00 6/1/2025 1067 -$ -$ -$ 1,000,000.00$ -$ -$ CITY OF ONTARIO CA POB 1,000,000.00 6/1/2025 1067 -$ -$ -$ 1,000,000.00$ -$ -$ UNIV OF CALIFORNIA 1,600,000.00 7/1/2025 1097 -$ -$ -$ -$ 1,600,000.00$ -$ SAN JOSE SUCCESSOR AGY 4,675,000.00 8/1/2025 1128 -$ -$ -$ -$ 4,675,000.00$ -$ CITY OF SAN BERNARDINO USD 2,250,000.00 8/1/2025 1128 -$ -$ -$ -$ 2,250,000.00$ -$ COLTON UNIFIED SD 2,475,000.00 8/1/2025 1128 -$ -$ -$ -$ 2,475,000.00$ -$ CARPINTERIA UNIFIED SCH DIST 1,210,000.00 8/1/2025 1128 -$ -$ -$ -$ 1,210,000.00$ -$ POMONA PENSION OBLG 1,675,000.00 8/1/2025 1128 -$ -$ -$ -$ 1,675,000.00$ -$ SAN JOSE GEN OBLIG 1,240,000.00 9/1/2025 1159 -$ -$ -$ -$ 1,240,000.00$ -$ SAN JOSE GEN OBLIG 1,035,000.00 9/1/2025 1159 -$ -$ -$ -$ 1,035,000.00$ -$ STATE OF HAWAII 2,290,000.00 10/1/2025 1189 -$ -$ -$ -$ 2,290,000.00$ -$ CALIFORNIA STATE UNIVERSITY 775,000.00 11/1/2025 1220 -$ -$ -$ -$ 775,000.00$ -$ CALIFORNIA STATE UNIVERSITY 2,500,000.00 11/1/2025 1220 -$ -$ -$ -$ 2,500,000.00$ -$ STATE OF CALIFORNIA 3,200,000.00 4/1/2026 1371 -$ -$ -$ -$ 3,200,000.00$ -$ MUNICIPAL BOND3,030,000.00$ 6,750,000.00$ 18,225,000.00$ 15,575,000.00$ 24,925,000.00$ -$ IADB5,000,000.00 9/14/2022 76 5,000,000.00$ -$ -$ -$ -$ -$ IADB3,000,000.00 9/23/2024 816 -$ -$ -$ 3,000,000.00$ -$ -$ IBRD3,000,000.00 11/25/2024 879 -$ -$ -$ 3,000,000.00$ -$ -$ IBRD3,500,000.00 7/29/2025 1125 -$ -$ -$ -$ 3,500,000.00$ -$ IFC4,000,000.00 10/8/2026 1561 -$ -$ -$ -$ -$ 4,000,000.00$ SUPRANATIONAL5,000,000.00$ -$ -$ 6,000,000.00$ 3,500,000.00$ 4,000,000.00$ CDARS4,225,988.67 8/18/2022 49 4,225,988.67$ -$ -$ -$ -$ -$ PLACEMENT SERVICE DEPOSITS4,225,988.67$ -$ -$ -$ -$ -$ Total57,699,988.67$ 33,072,000.00$ 127,942,000.00$ 145,627,000.00$ 91,629,000.00$ 14,350,000.00$ Note: Excludes Pooled Investments and Bank of New York Mellon Money Market FundGrand Total 470,319,988.67$ Page 15 of 172022/08/23 City Council Post Agenda Page 311 of 573
City of Chula Vista
Corporate Bonds - Sector Distribution
SecurityTypeDesc Maturity CUSIP YTM
BNY Market
Value GICS Sector
UNITED HEALTH 7/15/2022 91324PCN0 3.24 3,000,210.00 Health Care
PACCAR FINANCIAL 8/10/2022 69371RN77 2.05 2,499,275.00 Financials
PROCTOR & GAMBLE 8/11/2022 742718EU9 3.24 3,000,390.00 Consumer Staples
ESTEE LAUDER CO 8/15/2022 29736RAE0 1.72 250,007.50 Consumer Staples
CHARLES SCHWAB CORP 9/1/2022 808513AG0 1.80 2,381,346.00 Financials
TOYOTA MOTOR CREDIT 9/8/2022 89236TEC5 1.83 1,499,430.00 Consumer Discretionary
WALT DISNEY COMPANY 9/15/2022 254687CM6 1.64 1,096,281.15 Communication Services
JP MORGAN CHASE 9/23/2022 46625HJE1 1.77 2,533,896.20 Financials
PACCAR FINANCIAL 9/26/2022 69371RQ33 1.15 998,310.00 Financials
UNITED PARCEL SERVICE 10/1/2022 911312AQ9 3.37 3,748,087.50 Industrials
UNITED HEALTH 10/15/2022 91324PDD1 2.21 2,503,874.80 Health Care
CHUBB INA HOLDINGS INC 11/3/2022 00440EAU1 1.78 2,500,825.00 Financials
AMERICAN HONDA FINANCE 11/16/2022 02665WCA7 2.25 473,450.16 Consumer Discretionary
WALT DISNEY COMPANY 12/1/2022 25468PCW4 1.93 1,496,580.00 Communication Services
COOPERATIVE RABOBANK NY 1/10/2023 21688AAL6 2.91 2,499,050.00 Financials
NIKE INC 5/1/2023 654106AC7 2.09 1,194,060.00 Consumer Discretionary
BP CAPITAL MARKETS 5/10/2023 10373QAL4 2.59 3,483,054.90 Energy
LOEWS CORP 5/15/2023 540424AQ1 1.74 1,494,345.00 Financials
SIMON PROPERTY GROUP LP 6/1/2023 828807DD6 1.92 1,980,500.00 Real Estate
JOHN DEERE 6/7/2023 24422EUH0 1.72 2,005,780.00 Industrials
BANK OF AMERICA CORP 7/24/2023 06053FAA7 0.74 1,267,236.25 Financials
PNC BANK 7/25/2023 69349LAM0 0.89 2,532,751.75 Financials
BNY MELLON 8/16/2023 06406FAD5 0.84 2,969,790.00 Financials
TOYOTA MOTOR CREDIT 8/25/2023 89236THA6 0.79 2,445,425.00 Consumer Discretionary
GILEAD SCIENCES 9/1/2023 375558BL6 2.54 3,061,234.60 Health Care
AMERICAN HONDA FINANCE 9/8/2023 02665WDM0 0.83 2,909,700.00 Consumer Discretionary
METLIFE INC 9/15/2023 59156RBB3 0.86 3,593,220.54 Financials
CUMMINS INC 10/1/2023 231021AR7 2.22 3,516,275.00 Industrials
CATERPILLAR 12/7/2023 14913Q2S7 2.56 3,724,642.00 Industrials
GEORGIA-PACIFIC 1/15/2024 373298CF3 2.42 339,209.60 Materials
JOHN DEERE 3/7/2024 24422EUX5 1.22 2,966,460.00 Industrials
UNILEVER CAPITAL 5/5/2024 904764AX5 1.75 1,479,840.00 Consumer Staples
UNILEVER CAPITAL 5/5/2024 904764AX5 1.79 1,973,120.00 Consumer Staples
APPLE INC 5/6/2024 037833AS9 1.63 251,037.50 Information Technology
APPLE INC 5/11/2024 037833CU2 1.69 645,879.00 Information Technology
TEXAS INSTRUMENTS 5/15/2024 882508BB9 2.28 991,650.00 Information Technology
BNY MELLON 5/15/2024 06406HCV9 1.36 599,418.00 Financials
IBM CORP 5/15/2024 459200JY8 0.60 2,978,370.00 Information Technology
ASTRAZENECA FINANCE LLC 5/28/2024 04636NAC7 1.10 2,371,225.00 Health Care
ONCOR ELECTRIC DELIVERY 6/1/2024 68233JBM5 1.08 468,340.50 Utilities
HORMEL FOODS CORP 6/3/2024 440452AG5 1.19 2,864,940.00 Consumer Staples
WALMART INC 7/8/2024 931142EL3 2.71 3,879,993.00 Consumer Discretionary
SALESFORCE.COM 7/15/2024 79466LAG9 0.96 426,199.50 Information Technology
UNITED HEALTH 8/15/2024 91324PDR0 0.58 2,938,020.00 Health Care
EXXON MOBIL CO 8/16/2024 30231GBC5 0.65 975,000.00 Energy
AMAZON.COM INC 8/22/2024 023135AZ9 1.88 224,413.48 Consumer Discretionary
BURLINGTON NORTH SANTA FE 9/1/2024 12189LAT8 1.87 998,250.00 Industrials
BURLINGTON NORTH SANTA FE 9/1/2024 12189LAT8 0.97 2,994,750.00 Industrials
COCA-COLA CO 9/6/2024 191216CL2 0.95 3,129,184.00 Consumer Staples
PAYPAL HOLDING 10/1/2024 70450YAC7 0.67 927,048.00 Information Technology
BNY MELLON 10/24/2024 06406RAL1 1.15 965,870.00 Financials
CATERPILLAR 11/8/2024 14913Q3B3 1.06 2,912,850.00 Industrials
HERSHEY COMPANY 11/15/2024 427866BC1 1.87 658,159.09 Consumer Staples
ADOBE INC 2/1/2025 00724FAC5 3.11 2,584,126.95 Information Technology
PACCAR FINANCIAL 2/6/2025 69371RQ66 0.66 956,530.00 Financials
TOYOTA MOTOR CREDIT 2/13/2025 89236TGT6 1.03 954,170.00 Consumer Discretionary
3M COMPANY 2/14/2025 88579YBH3 1.44 2,409,625.00 Industrials
WW GRAINGER INC 2/15/2025 384802AE4 0.70 552,879.20 Industrials
JOHN DEERE 3/13/2025 24422EUE7 1.08 1,251,087.50 Industrials
AMAZON.COM INC 4/13/2025 023135CE4 2.99 2,963,370.00 Consumer Discretionary
TARGET CORP 4/15/2025 87612EBL9 1.75 2,898,480.00 Consumer Discretionary
APPLE INC 5/11/2025 037833DT4 1.12 1,062,597.12 Information Technology
HONEYWELL INTL 6/1/2025 438516CB0 1.14 2,826,300.00 Industrials
AMAZON.COM INC 6/3/2025 023135BQ8 1.19 1,563,795.32 Consumer Discretionary
JP MORGAN CHASE 7/15/2025 46625HMN7 1.85 2,010,800.00 Financials
STATE STREET CORP 8/18/2025 857477AT0 3.09 1,588,096.00 Financials
CUMMINS INC 9/1/2025 231021AU0 1.28 677,764.60 Industrials
CUMMINS INC 9/1/2025 231021AU0 1.18 2,058,835.40 Industrials
TOYOTA MOTOR CREDIT 10/16/2025 89236THP3 1.42 2,731,530.00 Consumer Discretionary
VISA INC 12/14/2025 92826CAD4 2.74 2,471,850.00 Financials
INTEL CORP 5/19/2026 458140AU4 1.34 2,291,503.50 Information Technology
BANK OF AMERICA CORP 3/2/2027 06048WS84 2.75 3,166,000.00 Financials
Total 142,637,595.61
Page 16 of 172022/08/23 City Council Post Agenda Page 312 of 573
GICS Sector Amount Percent
Information Technology 12,158,411.57 8.52%
Financials 37,028,609.74 25.96%
Real Estate 1,980,500.00 1.39%
Consumer Discretionary 23,737,816.96 16.64%
Industrials 32,643,586.20 22.89%
Consumer Staples 13,355,640.59 9.36%
Energy 4,458,054.90 3.13%
Utilities 468,340.50 0.33%
Materials 339,209.60 0.24%
Communication Services 2,592,861.15 1.82%
Health Care 13,874,564.40 9.73%
Total 142,637,595.61 100.00%
8.52%
25.96%
1.39%
16.64%
22.89%
9.36%
3.13%
0.33%
0.24%1.82%9.73%
Corporate Bonds - Sector Distribution
Information Technology
Financials
Real Estate
Consumer Discretionary
Industrials
Consumer Staples
Energy
Utilities
Materials
Communication Services
Health Care
Page 17 of 172022/08/23 City Council Post Agenda Page 313 of 573
v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Agreement: Approve an Agreement with Golden Bell Products, Inc. to Provide Vermin Eradication Services
Report Number: 22-0236
Location: No specific geographic location
Department: Public Works
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant to the California
Environmental Quality Act State Guidelines Section 15301 Class 1 (Existing Facilities) and Section
15061(b)(3).
Recommended Action
Adopt a resolution approving an agreement with Golden Bell Products, Inc. to provide sewer collection
systems vermin eradication services for a five-year term starting September 1, 2022 with a not-to-exceed
contract amount of $260,000 over the five-year term.
SUMMARY
Golden Bell Products, Inc. (GP) has the sole distribution and application rights for a vermin eradication
product known as Insecta. GP has provided the service and product that is used in sewer manholes for the
control of roaches since October of 1998 when the first test area was treated in the State of California. GP’s
use of Insecta for the vermin eradication program has been successful in controlling the spread of roaches.
Staff is recommending that the City waive the formal bid process under Chapter 2.56 of the Chula Vista
Municipal Code and enter into an agreement with GP to provide vermin eradication services for a five-year
term starting September 1, 2022 with a not not-to-exceed contract amount of $260,000 over the five-year
term.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed project for compliance with the California
Environmental Quality Act (CEQA) and has determined that the project qualifies for a Categorical Exemption
pursuant to State CEQA Guidelines Section 15301 Class 1 (Existing Facilities) and Section 15061(b)(3)
because it can be seen with certainty that there is no possibility that the activity in question may have a
significant effect on the environment. Thus, no further environmental review is required.
2022/08/23 City Council Post Agenda Page 314 of 573
P a g e | 2
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
Over the course of time, City-owned sewer manholes in certain areas of the City have been inhabited with
cockroaches. Roaches multiply due to the moist environment in the sewer collection system. Controlling the
spread of roaches reduces the health threat to both maintenance crews and the general public.
Golden Bell Products, Inc. (GP) has the sole source right for the application and distribution of Insecta within
the State of California (Attachment 1). GP has provided the service and product that is used in sewer
manholes for the control of cockroaches since October of 1998, when the first test area was treated in the
State of California.
Insecta is the only registered product of its type and active ingredient labeled for use in sewer manholes.
The product is a formulated product, which is produced in an EPA approved establishment. The product
comes ready to use and since it is a polymerized product there is no field mixing required, which is not the
case with any additive type product. Insecta is a developed patented method of locking chemical into a non-
evaporating latex coating that lasts several times longer than conventional spray applications giving the
product the unique ability to kill roaches for two years.
GP has previously provided vermin eradication services for the City and has proven its expertise in applying
Insecta 45600-1 and has warranted that it is experienced and staffed in a manner such that it can deliver the
required services required in accordance with the timeframes and the terms and conditions of the proposed
agreement.
The maximum compensation amount under the proposed agreement is $50,000 for the first fiscal year with
an allowable increase of 2% per year to account for an increase in the unit cost as described in the following
table:
Fiscal
Year
Cost per Manhole for
Treating more than 1000
Manholes
Cost per Manhole for
Treating less than 1000
Manholes
2023 $25.00 $26.50
2024 $26.25 $27.83
2025 $27.56 $29.22
2026 $28.94 $30.68
2027 $30.39 $32.21
City Council’s adoption of the resolution would approve an agreement between the City and Golden Bell
Products, Inc. to provide vermin eradication services for a five-year term with a not-to-exceed amount of
$260,000 during the five-year term.
The City retains the right to terminate the agreement at its convenience (Attachment 2).
DECISION-MAKER CONFLICT
2022/08/23 City Council Post Agenda Page 315 of 573
P a g e | 3
Staff has determined that this decision solely concerns repairs, replacement, or maintenance of existing
streets, water, sewer, storm drainage or similar facilities and therefore pursuant to California Code of
Regulations Title 2, sections 18700 and 18702.2(d)(1)) does not present a real property-related conflict of
interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
Approval of the Resolution will award a five -year agreement to Golden Bell Products, Inc. for providing
sewer vermin eradication. Sufficient funds were budgeted in the Sewer Service Operating budget for FY 2023
for this expense, there is no additional fiscal impact anticipated from this item.
ONGOING FISCAL IMPACT
The annual cost for the following four years is $50,000 per year plus an allowable increa se of 2% per year
annually to account for an increase in material costs. This expense will be considered as part of the annual
budget development process and will be funded by Sewer Fund.
ATTACHMENTS
1. Letter from Manufacturer of Insect.
2. Agreement with Golden Bell, Inc.
Staff Contact: Joseph Burgos, Public Works Supervisor
2022/08/23 City Council Post Agenda Page 316 of 573
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING AN AGREEMENT FOR VERMIN
ERADICATION SERVICES BETWEEN THE CITY AND
GOLDEN BELL PRODUCTS, INC.
WHEREAS, Chula Vista Municipal Code (CVMC) section 2.56.070 provides the bidding
procedures for purchases of services exceeding $100,000; and
WHEREAS, CVMC section 2.56.070(B)(4) authorizes the City Council to waive the
competitive bidding requirements if the service is available from only one known source as the
result of unique performance capabilities, manufacturing processes, compatibility requirements or
market conditions, or as the result of a single, unsolicited proposal, shall not be subject to
competitive bidding requirements, in the discretion of the Purchasing Agent; and
WHEREAS, over the course of time, sewer manholes in certain areas of the City have been
infested with cockroaches, which have been multiplying due to the moist environment in the sewer
collection system, and the City desires to control the spread of cockroaches within the sewer
collection system; and
WHEREAS, Insecta is an innovative product and method to control roaches that will last
several times longer than conventional spray; and
WHEREAS, Golden Bell Products, Inc. (GP) has the sole distribution and application
rights for Insecta within the State of California through 2030; and
WHEREAS, GP has previously provided vermin eradication services for the City and
warrants and represents that it is experienced and staffed in a manner such that it can deliver the
vermin eradication services required by and accordance with the time frames and terms and
conditions of the proposed agreement; and
WHEREAS, the Purchasing Agent has confirmed that the proposed agreement is not
subject to competitive bidding requirements due to the sole distribution and application rights of
GP; and
WHEREAS, staff recommends awarding a contract to GP for vermin eradication services
with a five-year term and a not-to-exceed contract amount of $260,000 over the term of the
contract; and
WHEREAS, funding for the first year of the contract has been appropriated in the Fiscal
Year 2022/23 Sewer Service Budget.
2022/08/23 City Council Post Agenda Page 317 of 573
Resolution No. 2022-
Page No. 2
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista,
that it hereby approves the City of Chula Vista Contractor/Service Provider Agreement with
Golden Bell Products, Inc. to Provide Sewer Collection Systems Vermin Eradication Services, in
the form presented, with such minor modifications as may be required or approved by the City
Attorney, a copy of which shall be kept on file in the Office of the City Clerk, and authorizes and
directs the City Manager or designee to execute the same.
Presented by Approved as to form by
Matthew Little Glen R. Googins
Director of Public Works City Attorney
2022/08/23 City Council Post Agenda Page 318 of 573
2022/08/23 City Council Post Agenda Page 319 of 573
1 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
CITY OF CHULA VISTA
CONTRACTOR/SERVICE PROVIDER SERVICES AGREEMENT
WITH GOLDEN BELL PRODUCTS, INC.
TO PROVIDE SEWER COLLECTION SYSTEMS VERMIN ERADICATION SERVICES
This Agreement is entered into effective as of September 1, 2022 (“Effective Date”)1 by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and Golden Bell Products, Inc., (“Contractor/Service
Provider”) (collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, over the course of time, the City sewer manholes in certain areas of the City have been
infested with roaches and have been multiplying due to the moist environment in the swere collection system ;
and
WHEREAS, Insecta is known as an innovatinve method to control roaches, it is a developed patented
method of locking chemicals into a non-evaporating latex coating that would last several times longer than
conventional spray applications giving the product the unique ability to kill roaches for two years; and
WHEREAS, within the State of California Golden Bell Products, Inc., has the sole source right for the
application and distribution of Insecta; and
WHEREAS, controlling the spread of roaches will reduce the health threat to both maintenance crews and
the general public and it is a safe and efficient way to save money, time and manpower keeping swere manholes
free of roaches; and
WHEREAS, Contractor/Service Provider warrants and represents that it is experienced and staffed in a
manner such that it can deliver the services required of Contractor/Service Provider to City in accordance with
the time frames and the terms and conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
1 If City Council approved, insert date of City Council approval. Otherwise, insert a date no later than date Co ntractor’s work commences.
2022/08/23 City Council Post Agenda Page 320 of 573
2 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Contractor/Service Provider hereby agree as follows:
1. SERVICES
1.1 Required Services. Contractor/Service Provider agrees to perform the services, and deliver to City the
“Deliverables” (if any) described in the attached Exhibit A, incorporated into the Agreement by this reference,
within the time frames set forth therein, time being of the essence for this Agreement. The services and/or
Deliverables described in Exhibit A shall be referred to herein as the “Required Services.”
1.2 Reductions in Scope of Work. City may independently, or upon request from Contractor/Service
Provider, from time to time, reduce the Required Services to be performed by the Contractor/Service Provider
under this Agreement. Upon doing so, City and Contractor/Service Provider agree to meet and confer in good
faith for the purpose of negotiating a corresponding reduction in the compensation associated with the
reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Contractor/Service Provider
provide additional services related to the Required Services (“Additional Services”). If so, City and
Contractor/Service Provider agree to meet and confer in good faith for the purpose of negotiating an
amendment to Exhibit A, to add the Additional Services. Unless otherwise agreed, compensation for the
Additional Services shall be charged and paid consistent with the rates and terms already provided therein.
Once added to Exhibit A, “Additional Services” shall also become “Required Services” for purposes of this
Agreement.
1.4 Standard of Care. Contractor/Service Provider expressly warrants and agrees that any and all Required
Services hereunder shall be performed in accordance with the highest standard of care exercised by members
of the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Contractor/Service Provider of responsibility for complying with all
laws, codes, industry standards, and liabilit y for damages caused by negligent acts, errors, omissions,
noncompliance with industry standards, or the willful misconduct of the Contractor/Service Provider or its
subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for
Contractor/Service Provider to provide additional security for performance of its duties under this Agreement,
Contractor/Service Provider shall provide such additional security prior to commencement of its Required
Services in the form and on the terms prescribed on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Contractor/Service Provider
shall comply with any and all applicable federal, state and local laws, including the Chula Vista Municipal
Code.
1.8 Business License. Prior to commencement of work, Contractor/Service Provider shall obtain a
business license from City.
2022/08/23 City Council Post Agenda Page 321 of 573
3 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
1.9 Subcontractors. Prior to commencement of any work, Contractor/Service Provider shall submit for
City’s information and approval a list of any and all subcontractors to be used by Contractor/Service Provider
in the performance of the Required Services. Contractor/Service Provider agrees to take appropriate measures
necessary to ensure that all subcontractors and personnel utilized by the Contractor/Service Provider to
complete its obligations under this Agreement comply with all applicable laws, regulations, ordinances, and
policies, whether federal, state, or local. In addition, if any subcontractor is expected to fulfill any
responsibilities of the Contractor/Service Provider under this Agreement, Contractor/Service Provider shall
ensure that each and every subcontractor carries out the Contractor/Service Provider’s responsibilities as set
forth in this Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or
Contractor/Service Provider’s commencement of the Required Services hereunder, and shall terminate when
the Parties have complied with all their obligations hereunder; provided, however, provisions which expressly
survive termination shall remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate
Contractor/Service Provider in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard
terms for billing and payment are set forth in this Section 2.
2.2 Detailed Invoicing. Contractor/Service Provider agrees to provide City with a detailed invoice for
services performed each month, within thirty (30) days of the end of the month in which the services were
performed, unless otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following
the Effective Date of the Agreement. All charges must be presented in a line item format with each task
separately explained in reasonable detail. Each invoice shall include the current monthly amount being billed,
the amount invoiced to date, and the remaining amount available under any approved budget.
Contractor/Service Provider must obtain prior written authorization from City for any fees or expenses that
exceed the estimated budget.
2.3 Payment to Contractor/Service Provider. Upon receipt of a properly prepared invoice and
confirmation that the Required Services detailed in the invoice have been satisfactorily performed, City shall
pay Contractor/Service Provider for the invoice amount within thirty (30) days. Payment shall be made i n
accordance with the terms and conditions set forth in Exhibit A and section 2.4, below. At City’s discretion,
invoices not timely submitted may be subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Retention Policy. City shall retain ten percent (10%) of the amount due for Required Services detailed
on each invoice (the “holdback amount”). Upon City review and determination of Project Completion, the
holdback amount will be issued to Contractor/Service Provider.
2.5 Reimbursement of Costs. City may reimburse Contractor/Service Provider’s out-of-pocket costs
incurred by Contractor/Service Provider in the performance of the Required Services if negotiated in advance
and included in Exhibit A. Unless specifically provided in Exhibit A, Contractor/Service Provider shall be
responsible for any and all out-of-pocket costs incurred by Contractor/Service Provider in the performance of
the Required Services.
2.6 Exclusions. City shall not be responsible for payment to Contractor/Service Provider for any fees or
costs in excess of any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City
2022/08/23 City Council Post Agenda Page 322 of 573
4 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
shall also not be responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or
related to the errors, omissions, negligence or acts of willful misconduct of Contractor/Service Provider, its
agents, employees, or subcontractors.
2.7 Payment Not Final Approval. Contractor/Service Provider understands and agrees that payment to
the Contractor/Service Provider or reimbursement for any Contractor/Service Provider costs related to the
performance of Required Services does not constitute a City final decision regarding whether such payment
or cost reimbursement is allowable and eligible for payment under this Agreement, nor does it constitute a
waiver of any violation by Contractor/Service Provider of the terms of this Agreement. If City determines
that Contractor/Service Provider is not entitled to receive any amount of compensation already paid, City will
notify Contractor/Service Provider in writing and Contractor/Service Provider shall promptly return such
amount.
3. INSURANCE
3.1 Required Insurance. Contractor/Service Provider must procure and maintain, during the period of
performance of Required Services under this Agreement, and for twelve months after completion of Required
Services, the policies of insurance described on the attached Exhibit B, incorporated into the Agreement by
this reference (the “Required Insurance”). The Required Insurance shall also comply with all other terms of
this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Contractor/Service Provider must include all sub-Contractor/Service Providers/sub-
contractors as insureds under its policies and/or furnish separate certificates and endorsements demonstrating
separate coverage for those not under its policies. Any separate coverage for sub-Contractor/Service Providers
must also comply with the terms of this Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager.. The general liability
additional insured coverage must be provided in the form of an endorsement to the Contractor/Service
Provider’s insurance using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude
Products/Completed Operations coverage.
3.6 General Liability Coverage to be “Primary.” Contractor/Service Provider’s general liability coverage
must be primary insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers.
Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers is
wholly separate from the insurance provided by Contractor/Service Provider and in no way relieves
Contractor/Service Provider from its responsibility to provide insurance.
2022/08/23 City Council Post Agenda Page 323 of 573
5 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Contractor/Service Provider must
procure and put into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Contractor/Service Provider’s insurer(s) will provide a Waiver of Subrogation
in favor of the City for each Required Insurance policy under this Agreement. In addition, Contractor/Service
Provider waives any right it may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Contractor/Service Provider shall
furnish City with original certificates of insurance and any amendatory endorsements necessary to
demonstrate to City that Contractor/Service Provider has obtained the Required Insurance in compliance with
the terms of this Agreement. The words “will endeavor” and “but failure to mail such notice shall impose no
obligation or liability of any kind upon the company, its agents, or representatives” or any similar language
must be deleted from all certificates. The required certificates and endorsements should otherwise be on
industry standard forms. The City reserves the right to require, at any time, complete, certified copies of all
required insurance policies, including endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims-made form, the following
requirements also apply:
a. The “Retro Date” must be shown, and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Contractor/Service Provider must
purchase “extended reporting” coverage for a minimum of five (5) years after completion of the work required
by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Contractor/Service Provider’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Contractor/Service Provider
maintains higher limits than the minimums appearing in Exhibit B, City requires and shall be entitled to
coverage for higher limits maintained.
2022/08/23 City Council Post Agenda Page 324 of 573
6 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Contractor/Service Provider shall protect, defend,
indemnify and hold harmless City, its elected and appointed officers, agents, employees and volunteers
(collectively, “Indemnified Parties”), from and against any and all claims, demands, causes of action, costs,
expenses, (including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or
equity, to property or persons, including wrongful death, in any manner arising out of or incident to any
alleged acts, omissions, negligence, or willful misconduct of Contractor/Service Provider, its officials,
officers, employees, agents, and contractors, arising out of or in connection with the performance of the
Required Services, the results of such performance, or this Agreement. This indemnity provision does not
include any claims, damages, liability, costs and expenses arising from the sole negligence or willful
misconduct of the Indemnified Parties. Also covered is liability arising from, connected with, caused by or
claimed to be caused by the active or passive negligent acts or omissions of the Indemnified Parties which
may be in combination with the active or passive negligent acts or omissions of the Contractor/Service
Provider, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Contractor/Service Provider’s obligations under this Section
4 is Contractor/Service Provider’s obligation to defend, at Contractor/Service Provider’s own cost, expense
and risk, any and all suits, actions or other legal proceedings that may be brought or instituted against one or
more of the Indemnified Parties. Subject to the limitations in this Section 4, Contractor/Service Provider shall
pay and satisfy any judgment, award or decree that may be rendered against one or more of the Indemnified
Parties for any and all related legal expenses and costs incurred by any of them.
4.4. Contractor/Service Provider’s Obligations Not Limited or Modified. Contractor/Service Provider’s
obligations under this Section 4 shall not be limited to insurance proceeds, if any, received by the Indemnified
Parties, or by any prior or subsequent declaration by the Contractor/Service Provider. Furthermore,
Contractor/Service Provider’s obligations under this Section 4 shall in no way limit, modify or excuse any of
Contractor/Service Provider’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Contractor/Service Provider agrees to pay any and all costs City incurs in
enforcing Contractor/Service Provider’s obligations under this Section 4.
4.6 Survival. Contractor/Service Provider’s obligations under this Section 4 shall survive the termination
of this Agreement.
5. FINANCIAL INTERESTS OF CONTRACTOR/SERVICE PROVIDER.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and Contractor/Service Providers performing work for government
agencies to publicly disclose certain of their personal assets and income using a Statement of Economic
Interests form (Form 700). In order to assure compliance with these requirements, Contractor/Service
Provider shall comply with the disclosure requirements identified in the attached Exhibit C, incorporated into
the Agreement by this reference.
2022/08/23 City Council Post Agenda Page 325 of 573
7 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
5.2 Disclosures; Prohibited Interests. Independent of whether Contractor/Service Provider is required to
file a Form 700, Contractor/Service Provider warrants and represents that it has disclosed to City any
economic interests held by Contractor/Service Provider, or its employees or subcontractors who will be
performing the Required Services, in any real property or project which is the subject of this Agreement.
Contractor/Service Provider warrants and represents that it has not employed or retained any company or
person, other than a bona fide employee or approved subcontractor working solely for Contractor/Service
Provider, to solicit or secure this Agreement. Further, Contractor/Service Provider warrants and represents
that it has not paid or agreed to pay any company or person, other than a bona fide employee or approved
subcontractor working solely for Contractor/Service Provider, any fee, commission, percentage, brokerage
fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement.
Contractor/Service Provider further warrants and represents that no officer or employee of City, has any
interest, whether contractual, non-contractual, financial or otherwise, in this transaction, the proceeds hereof,
or in the business of Contractor/Service Provider or Contractor/Service Provider’s subcontractors.
Contractor/Service Provider further agrees to notify City in the event any such interest is discovered whether
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Contractor/Service Provider shall fail to perform
the Required Services under this Agreement, in a proper or timely manner, or if Contractor/Service Provider
shall violate any of the other covenants, agreements or conditions of this Agreement (each a “Default”), in
addition to any and all other rights and remedies City may have under this Agreement, at law or in equity,
City shall have the right to terminate this Agreement by giving five (5) days written notice to
Contractor/Service Provider. Such notice shall identify the Default and the Agreement termination date. If
Contractor/Service Provider notifies City of its intent to cure such Default prior to City’s specified termination
date, and City agrees that the specified Default is capable of being cured, City may grant Contractor/Service
Provider up to ten (10) additional days after the designated termination date to effectuate such cure. In the
event of a termination under this Section 6.1, Contractor/Service Provider shall immediately provide City any
and all ”Work Product” (defined in Section 7 below) prepared by Contractor/Service Provider as part of the
Required Services. Such Work Product shall be City’s sole and exclusive property as provided in Section 7
hereof. Contractor/Service Provider may be entitled to compensation for work satisfactorily performed prior
to Contractor/Service Provider’s receipt of the Default notice; provided, however, in no event shall such
compensation exceed the amount that would have been payable under this Agreement for such work, and any
such compensation shall be reduced by any costs incurred or projected to be incurred by City as a result of
the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Contractor/Service Provider of such termination or suspension at least fifteen (15)
days prior to the effective date thereof. Upon receipt of such notice, Contractor/Service Provider shall
immediately cease all work under the Agreement and promptly deliver all “Work Product” (defined in Section
7 below) to City. Such Work Product shall be City's sole and exclusive property as provided in Section 7
hereof. Contractor/Service Provider shall be entitled to receive just and equitable compensation for this Work
Product in an amount equal to the amount due and payable under this Agreement for work satisfactor ily
performed as of the date of the termination/suspension notice plus any additional remaining Required Services
requested or approved by City in advance that would maximize City’s value under the Agreement.
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8 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Contractor/Service Provider hereby expressly waives any and all claims for damages or
compensation as a result of such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City,
Contractor/Service Provider shall meet and confer in good faith with City for the purpose of resolving any
dispute over the terms of this Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Contractor/Service Provider agrees that it is subject to personal jurisdiction in
California. If Contractor/Service Provider is a foreign corporation, limited liability company, or partnership
that is not registered with the California Secretary of State, Contractor/Service Provider irrevocably consents
to service of process on Contractor/Service Provider by first class mail directed to the individual and address
listed under “For Legal Notice,” in section 1.B. of Exhibit A to this Agreement, and that such service shall be
effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectivel y “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Contractor/Service Provider
in the United States or in any other country without the express, prior written consent of City. City shall have
unrestricted authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in
part, any such Work Product, without requiring any permission of Contractor/Service Provider, except as may
be limited by the provisions of the Public Records Act or expressly prohibited by other applicable laws. With
respect to computer files containing data generated as Work Product, Contractor/Service Provider shall make
available to City, upon reasonable written request by City, the necessary functional computer software and
hardware for purposes of accessing, compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Contractor/Service Provider’s
unique qualifications and traits. Contractor/Service Provider shall not assign any of its rights or
responsibilities under this Agreement, nor any part hereof, without City’s prior written consent, which City
may grant, condition or deny in its sole discretion.
8.3 Authority. The person(s) executing this Agreement for Contractor/Service Provider warrants and
represents that they have the authority to execute same on behalf of Contractor/Service Provider and to bind
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9 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
Contractor/Service Provider to its obligations hereunder without any further action or direction from
Contractor/Service Provider or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Contractor/Service Provider agrees to maintain, intact and readily accessible, all
data, documents, reports, records, contracts, and supporting materials relating to the performance of the
Agreement, including accounting for costs and expenses charged to City, including such records in the
possession of sub-contractors/sub-Contractor/Service Providers.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Contractor/Service Provider is and shall at all times remain as to City a
wholly independent contractor. Neither City nor any of its officers, employees, agents or volunteers shall
have control over the conduct of Contractor/Service Provider or any of Contractor/Service Provider’s officers,
employees, or agents (“Contractor/Service Provider Related Individuals”), except as set forth in this
Agreement. No Contractor/Service Provider Related Individuals shall be deemed employees of City, and
none of them shall be entitled to any benefits to which City employees are entitled, including but not limited
to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits.
Furthermore, City will not withhold state or federal income tax, social security tax or any other payroll tax
with respect to any Contractor/Service Provider Related Individuals; instead, Contractor/Service Provider
shall be solely responsible for the payment of same and shall hold the City harmless with respect to same.
Contractor/Service Provider shall not at any time or in any manner represent that it or any of its
Contractor/Service Provider Related Individuals are employees or agents of City. Contractor/Service Provider
shall not incur or have the power to incur any debt, obligation or liability whatsoever against City, or bind
City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
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10 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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11 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
SIGNATURE PAGE
CONTRACTOR/SERVICE PROVIDER SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and
Contractor/Service Provider agree that they have read and understood all terms and conditions of the Agreement,
that they fully agree and consent to bound by same, and that they are freely entering into this Agreement as of the
Effective Date.
GOLDEN BELL PRODUCTS, INC. CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
MURRILL G. ADAMS MARIA V. KACHADOORIAN
OWNER CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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12 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
..
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Joseph Burgos, Public Works Supervisor
1800 Maxwell Road. Chula Vista, CA 91911
619-397-6031
Email: jburgos@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Contractor/Service Provider Contract Administration:
Golden Bell Products, Inc.
1200 N. Jefferson St. “M”, Anaheim, CA 92807
714-630-3861
Email: info@goldenbellproducts.com
For Legal Notice Copy to:
Murrill Adams, Owner
1200 N. Jefferson St. “M”, Anaheim, CA 92807
714-630-3861
Email: info@goldenbellproducts.com s
2. Required Services
A. General Description:
Contractor/Service Provider shall apply Insecta insecticide to the City sewer manholes to control roach
infestations as requested by City. Golden Bell shall assume sole and complete responsibility for job site
conditions during the course of applying the Insecta, including safety of all persons and property
B. Detailed Description:
Task Description Deliverables
1- Applying Insecticide
Coating
Contractor/Service Provider shall apply Insecta
45600-1 coating to the City sewer manholes for
controlling roach infestations. The contractor shall
prepare and apply the coating materials in accordance
to the manufacturer’s specifications and
recommended label rates.
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13 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
Contractor/Service Provider shall guarantee the
application for two (2) full years from the date of
treatment. If more than fifty (50) living roaches are
found in a manhole during the warranty period,
Golden Bell shall then retreat these manholes at no
additional cost to the City. Contractor/Service
Provider shall retreat these manholes within fourteen
(14) calendar days after being notified by the City.
All retreatment work shall be repeated as needed to
honor the two-year warranty period.
Contractor/Service Provider shall provide copies of
all applicable licenses and permits for applying the
insecticide materials as required by the State and the
City
2 Field Supervision and
Traffic Control
Contractor/Service Provider shall provide proper
supervision at the job site during all phases of work
and shall be responsible for coordinating the work to
be done including traffic control. Work could take
place in alley’s, yards, parking lots, drainage
channels, and major busy streets. If any of the
manholes to be treated require assistance with traffic
control beyond the capability of Contractor/Service
Provider, Contractor/Service Provider shall conduct
the traffic control. The traffic control contractor and
the locations where the additional traffic control will
be required shall be approved by the City Engineer.
Contractor/Service Provider shall follow industry
standard and safety protocols and shall protect the
public and its interest and shall conduct his work
without causing any damages to surrounding area.
3 Marking Manhole Covers of
all Treated Manholes
Contractor/Service Provider and the City shall
mutually select ideal zones (i.e., sections or areas of
the City which are most affected by vermin
infestation) as to maximize the effectiveness of
Insecta treatment The contractor shall mark each
manhole cover with permanent, weatherproof, and
distinctive color markers to be approved by the City,
identifying the date of all manholes that were treated.
This will help staff in tracking the warranty on the
insecticide.
4 Mapping and Billing
The City will provide the contractor with maps
outlining and listing the manholes to be treated.
When submitting invoices, and at the request of the
Director of Public Works, Contractor/Service
Provider shall mark these maps and shall submit log
sheets listing identification number of the treated
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14 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
manhole, name of insecticide material, amount of
application, size of manhole, assessment of the
manhole and its cover, type of manhole (concrete or
brick), date of treatment, and names of personnel
who did the work. This will serve as the record of
application for the two years warranty
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin September
1, 2022 and end on June 30, 2027 for completion of all Required Services.
4. Compensation:
A. Form of Compensation
As full compensation for and in consideration of Contractor’s/Service Providers’ performance of the Required
Services in strict accordance with this Agreement, the City agrees to compensate Contractor/Service Provider on
a unit cost basis ($/manhole treated) as provided in the table below:
Fiscal
Year
Cost per Manhole for
Treating more than 1000
Manholes
Cost per Manhole for
Treating less than 1000
Manholes
2023 $25.00 $26.50
2024 $26.25 $27.83
2025 $27.56 $29.22
2026 $28.94 $30.68
2027 $30.39 $32.21
City shall only make payment to the Contractor/Service Provider under this Agreement for work and services
actually performed by Contractor/Service Provider in strict accordance with the Agreement.
City will have no obligation to pay the Contractor/Service Provider any amount in excess of the above prices
unless this Agreement is first modified in accordance with its terms. The City’s obligation to pay the
Contractor/Service Provider under this Agreement is subject to and may be offset by charges that may apply to
the Contractor/Service Provider as provided in this Agreement.
B. Reimbursement of Costs
☒ None, the above compensation includes all costs.
Notwithstanding the foregoing, the maximum amount to be paid to the Contractor/Service Provider for services
performed through June 30, 2027 shall not exceed $260,000.
5. Special Provisions:
☒ Permitted Sub-Contractor/Service Providers: None
☒ Prevailing Wages. Contractor/Service Provider acknowledges that this Agreement and the Required Services
may be subject to the provisions of the Labor Code relating to public works and prevailing wages and agrees to
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15 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
be bound by all the provisions thereof. In accordance with the provisions of section 1773 of the Labor Code, the
City has ascertained that general prevailing wage scales may be applicable to certain work or services to be done
under this Agreement. Contractor/Service Provider acknowledges and agrees that it is required to pay prevailing
wages to persons employed by them in performing a covered work classification in accordance with Labor Code
Section 1771 and 1774. The prevailing wage scales are those determined by the DIR and are available at the
DIR’s website. As applicable, Contractor/Service Provider acknowledges and agrees to comply with and be
subject to Labor Code sections 1775 and 1776 including but not limited fulfilling its duty to keep accurate
payrolls, make payroll records available, and inform the City of the location of such records. Contractor/Service
Provider acknowledges and agrees that portions or all the work under this Agreement may be subject to
compliance monitoring and enforcement by the Department of Industrial Relations.
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16 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
EXHIBIT B
INSURANCE REQUIREMENTS
Contractor/Service Provider shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to
provide the following types and minimum amounts of insurance, as indicated by checking the applicable boxes
(x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
Other Negotiated Insurance Terms: NONE
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17 City of Chula Vista Agreement No.: 2022-088
Service Provider Name: Golden Bell Products, Inc. Rev. 2/4/21
EXHIBIT C
CONTRACTOR/SERVICE PROVIDER CONFLICT OF INTEREST DESIGNATION
The Political Reform Act2 and the Chula Vista Conflict of Interest Code3 (“Code”) require designated state and
local government officials, including some Contractor/Service Providers, to make certain public disclosures using
a Statement of Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to
any member of the public. In addition, Contractor/Service Providers designated to file the Form 700 are also
required to comply with certain ethics training requirements.4
☒ A. Contractor/Service Provider IS a corporation or limited liability company and is therefore EXCLUDED5
from disclosure.
☐ B. Contractor/Service Provider is NOT a corporation or limited liability company and disclosure designation
is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the Contractor shall
file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Contractor/Service Provider,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Contractor/Service Provider will provide. Notwithstanding this designation or anything in the Agreement, the
Contractor/Service Provider is ultimately responsible for complying with FPPC regulations and filing requirements. If
you have any questions regarding filing requirements, please do not hesitate to contact the City Clerk at (619)691-5041,
or the FPPC at 1-866-ASK-FPPC, or (866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the Contractor’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Joseph Burgos, Public Works Supervisor
2 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
3 Chula Vista Municipal Code §§2.02.010-2.02.040.
4 Cal. Gov. Code §§53234, et seq.
5 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not include
corporation or limited liability company).
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v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Affordable Housing: Balanced Communities Affordable Housing Agreements to Transfer a 38-Unit
Obligation from Otay Ranch Village 3 to Otay Ranch Village 8 East
Report Number: 22-0096
Location: Otay Ranch Village 3 and Otay Ranch Village 8 East
Department: Development Services
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act (“CEQA”) State Guidelines; therefore, pursuant to State Guidelines Section
15060(c)(3) no environmental review is required.
Recommended Action
Adopt resolutions: (A) Approving a first amendment to the existing Balanced Communities Affordable
Housing Agreement for Otay Ranch Village 3 to transfer a 38-unit affordable housing unit obligation to Otay
Ranch Village 8 East and (B) Approving an affordable housing transfer agreement between the City and
HomeFed Otay Land II, LLC , to move the 38-unit obligation from Otay Ranch Village 3 to Otay Ranch
Village 8 East.
SUMMARY
On June 15, 2021, the City Council approved amendments to the approvals for Otay Ranch Village 3 North
and a Portion of Otay Ranch Village 4 for HomeFed Village III Master, LLC and Flat Rock Land Company, LLC
(collectively the “Applicant” or “Owner”) (the “2021 Amendment”). The approvals included a condition that
the Applicant enter into an amended Balanced Communities Affordable Housing Agreement (the “AHA”)
prior to first building permit, for any of the parcels subject to the amendments, in order to address the
remaining Otay Ranch Village 3 affordable housing obligation.
Tonight’s action would satisfy the condition by transferring the remaining obligation of thirty-eight (38)
units generated by the 2021 Amendment from Otay Ranch Village 3 to Otay Ranch Village 8 East, owned by
HomeFed Otay Land II, LLC, increasing the Village 8 East obligation to 366 units.
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ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with CEQA and has
determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines
because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3)
of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
The City of Chula Vista Housing Element and associated Guidelines to the Balanced Communities Policy
requires that 10% of each housing development of 50 or more units to be affordable to low and moderate-
income households, with at least half of those units (5% of project total units) being design ated for low-
income households (the “Affordable Housing Obligation” or “AH Obligation”).
Otay Ranch Village 3 Balanced Communities Affordable Housing Agreement
The original Otay Ranch Village 3 AH Obligation was based on the Village 3 Sectional Planning Area (“SPA”)
Plan entitlement authorizing up to 1,597 units within the Village. The Otay Ranch Village 3 AH Obligation
required a total of 160 affordable housing units, 80 for low-income households and 80 for moderate-income
households.
On December 6, 2016, the City approved Tentative Subdivision Map CVT-16-02 for Otay Ranch Village 3
North and a Portion of Otay Ranch Village 4, Resolution Number 2016-255, containing 1,265 mapped units,
with a corresponding AH Obligation of 127 affordable housing units, 64 for low-income households and 63
for moderate-income households. The City of Chula Vista and HomeFed Village III Master, LLC, entered into
a Balanced Communities AHA for the 127-unit obligation on December 6, 2016, and recorded December 21,
2016 (Document No. 2016-0700046).
To satisfy a portion of the Otay Ranch Village 3 AH Obligation, the Otay Ranch Village 3 Owner transferred a
total of 97 affordable housing units, 33 units for moderate income households and 64 units for low-income
households, to Otay Ranch Village 8 West, pursuant to the Affordable Housing Transfer Agreement recorded
December 21, 2016, (Document No. 2016-0700047). Additionally, in 2019, the Otay Ranch Village 3 Owner
provided 30 affordable housing units for moderate income households in Otay Ranch Village 3 via the project,
The Residences at Escaya, committed through a Declaration of Covenants on September 25, 2019, recorded
the same day (Document No. 2019-023693).
On June 15, 2021, the City approved an amendment to the Otay Ranch Village 3 and a Portion of Otay Ranch
Village 4 SPA Plan, by Resolution No. 2021-122, which authorized amendments to the land use designations
for Neighborhoods R-6, R-19 and R-20 resulting in an increase in the number of residential units planned for
the Otay Ranch Village 3 SPA. Additionally, the amendment to the Otay Ranch Village 3 and a Portion of Otay
Ranch Village 4 SPA Plan, allowed for the transfer of 41 approved units from Otay Ranch Village 9 to Otay
Ranch Village 3, increasing the current approved Otay Ranch Village 3 residential housing unit allocation
from 1,597 to 1,638, without creating any new units within the Otay Ranch planning area.
The following land use changes were approved:
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Change land use designation of the Flat Rock parcel from industrial to residential;
Change land use designation of the Otay Ranch Village 3 R-19 parcel from office to residential; and
Increase the residential density on the Otay Ranch Village 3 R-6 parcel.
Based on the above stated actions for Otay Ranch Village 3 and prior satisfactions, the Owner is now obligated
to provide an additional 38 affordable housing units, 19 units for low-income households and 19 units for
moderate-income households, as provided in the summary of this report and below in Table 1.
Table 1
Affordable Housing Obligation Summary for Otay Ranch Village 3
Description Moderate
Income Units
Low Income
Units
Total Affordable
Units
Village 3 AHA Obligation (2016) * 63 64 127
Transfer Agreement to Village 8 (2016) -33 -64
Village 3 Mixed Use Site (2019) -30 0
Amended Village 3 Obligation (2021) ** 82 82 164
Remaining Village 3 Obligation 19 19 38
*Based on anticipated build out of 1,265 units
**Based on build out of 1,638
On June 15, 2021, the City approved the Tentative Subdivision Map CVT-20-0004 for Otay Ranch Village 3 R-
19, by Resolution No. 2021-123 and Tentative Subdivision Map CVT-20-0005 for Otay Ranch Village 3 R-6
and R-20 by Resolution No. 2021-124. The Tentative Maps both included a condition which requires that the
Otay Ranch Village 3 Owner enter into an amended Balanced Communities AHA with the City of Chula Vista
prior to the issuance of any residential building permits for these identified parcels. The AHA describes the
terms and conditions for Village 3 to meet its Affordable Housing Obligation and is presented as Attachment
No. 1.
As set forth in the Otay Ranch Village 3 SPA Plan, the Otay Ranch Village 3 Affordable Housing Obligation may
be deferred to a future village or location within the Otay Ranch planning area owned by the Owner or its
affiliate. It is the intent of the Otay Ranch Village 8 East Owner and the City, by execution of these
Amendments to the Village 3 Agreement, to allow the transfer of the remaining Otay Ranch Village 3
Affordable Housing Obligation for 38 housing units total, 19 for low-income households and 19 for moderate-
income households, to Otay Ranch Village 8 East.
The City finds that the public interest would be served by allowing the Transferred Affordable Housing
Obligation to be produced or operated within Otay Ranch Village 8 East based upon proximity to the
following:
Public transit;
Employment;
Services and entertainment; and
Proposed University.
The provision of the Transferred Affordable Housing Obligation within Otay Ranch Village 8 East will not be
significantly detrimental to achieving balanced residential communities and will provide at a minimum the
equivalent number of required affordable units with comparable rent and occupancy restrictions.
2022/08/23 City Council Post Agenda Page 339 of 573
P a g e | 4
Otay Ranch Village 8 East Affordable Housing Transfer Agreement
On December 2, 2014, the City approved the Tentative Subdivision Map for Chula Vista Tract No. 19-03 for
Otay Ranch Village 8 East, Resolution Number 2014-238, approving a Tentative Map to subdivide 575.3 Acres
into parcels supporting up to 943 single-family residential units, 2,217 multi-family residential units, and a
minimum of 20,000 square feet of retail uses. Condition 32 of the Tentative Map requires the Applicant to
enter into a Balanced Communities Affordable Housing Agreement prior to the approval of the first Final
Map for the Project.
On February 18, 2020, the City approved a Revised Tentative Map for Chula Vista Tract 13-03 for Otay Ranch
Village 8 East. The Revised Tentative Map removed 284 residential dwelling units from the approved Village
8 East Tentative Map, and Section Planning Area, resulting in a total of 3,276 residential units and an
affordable housing obligation of 328 (164 low income and 164 moderate income) units.
The transfer of 38-units as proposed tonight in the Transfer Agreement to Otay Ranch Village 8 East,
Attachment No. 2, will bring the total obligation for Otay Ranch Village 8 East to 366 units (183 low income
and 183 moderate income) as summarized in Table 2.
Table 2
Affordable Housing Obligation Summary for Otay Ranch Village 8 East
Description Moderate
Income Units
Low Income
Units
Total Affordable
Units
Village 8 East AHA Obligation (2020) 164 164 328
Village 3 Transfer Agreement +19 +19 +38
Amended Village 8 East Obligation 183 183 366
Conclusion
This action will enable the Owner to continue development of the Otay Ranch Villages, by approving the
First Amendment to City of Chula Vista and HomeFed Village III Master, LLC - Balanced Communities AHA
for Otay Ranch Village 3 approved on December 6, 2016, and recorded December 21, 2016, as Document
No. 2016-0700046, and adopting the Otay Ranch Village 8 East Transfer Agreement.
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the City Council members and has found no property holdings
within 1,000 feet of the boundaries of the property which is the subject of this action. Consequently, this item
does not present a disqualifying real property-related financial conflict of interest under California Code of
Regulations Title 2, section 18705.2(a)(11), for purposes of the Political Reform Act (Cal. Gov’t Code §87100,
et seq.).
Staff is not independently aware and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
There is no current year fiscal impact to the General Fund as a result of this action. The costs associated with
the project are borne by the Applicant.
2022/08/23 City Council Post Agenda Page 340 of 573
P a g e | 5
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact to the General Fund as a result of this action. The costs associated with
the project are borne by the Applicant.
ATTACHMENTS
1. First Amendment to the Otay Ranch Village 3 AHA
2. Otay Ranch Village 8 East Transfer Agreement
Staff Contact: Genevieve Hernandez, Senior Planner
Stacey Kurz, Housing Manager
Tiffany Allen, Director, Development Services
2022/08/23 City Council Post Agenda Page 341 of 573
Item 5.10 – Resolution A
Revised 8/23/2022
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A FIRST AMENDMENT TO THE
BALANCED COMMUNITIES HOUSING AGREEMENT FOR
OTAY RANCH VILLAGE 3 BETWEEN THE CITY AND
HOMEFED VILLAGE III MASTER, LLC, FLAT ROCK LAND
COMPANY, LLC, AND HOMEFED OTAY LAND II, LLC
WHEREAS, City and HomeFed Village III Master, LLC, (also referred to as “Developer”
entered into Balanced Communities Affordable Housing Agreement [Otay Ranch Village 3] dated
December 6, 2016, and recorded December 21, 2016, as Document No. 2016-0700046 of Official
Records, County of San Diego, State of California ("Affordable Housing Agreement”); and
WHEREAS, on June 15, 2021, the City approved the Village 3 and a Portion of Village 4
Sectional Planning Area (SPA) Amendment by Resolution No. 2021-0122 of the City Council
which authorized amendments to the land use designations with neighborhoods R-6, R-19 and R-
20, resulting in an increase in the number of residential units planned for Project; and
WHEREAS, the Affordable Housing Agreement provides that Developer’s affordable
housing obligation to provide 64 low-income units and 64 moderate income-units will be modified
if Developer builds in excess of 1,270 units within Otay Ranch Village 3; and
WHEREAS, based on the increase in the number of residential units planned for Project
described above, Developer is required to provide 38 additional total units, consisting of 19
additional low-income units and 19 additional moderate-income units (“Remaining Village 3
Affordable Housing Obligation”); and
WHEREAS the Parties thereto wish to amend the Affordable Housing Agreement via a
First Amendment as provided therein to transfer the obligation to build the Remaining Village 3
Affordable Housing Obligation (HomeFed Village III Master, LLC, and Flat Rock Land Company,
LLC (collectively referred to as “Owner/Developer”)) to Village 8 East, which is owned by
HomeFed Otay Land II, LLC, a Delaware limited liability company.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista,
that it approves the First Amendment to Balanced Communities Housing Agreement for Otay
Ranch Village 3 between the City and HomeFed Village III Master, LLC and Flat Rock Land
Company, LLC and HomeFed Otay Land II, LLC, to transfer the 38 units from Village 3 to Village
8 East, in substantial form presented, with such minor modifications as may be required or
approved by the City Attorney, a copy of which shall be kept on file in the Office of the City Clerk,
and authorizes and directs the City Manager to execute same.
Presented by Approved as to form by
Laura C. Black, AICP Glen R. Googins
Interim Director of Development Services City Attorney
2022/08/23 City Council Post Agenda Page 342 of 573
Item 5.10 – Attachment 1
Revised 8/23/2022
Page 1
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:
City of Chula Vista
276 Fourth Avenue
Chula Vista CA 91910
Attn: City Clerk
No fee for recording pursuant to
Government Code Section 27383
(Space above for Recorder's Use)
FIRST AMENDMENT TO
BALANCED COMMUNITIES AFFORDABLE HOUSING AGREEMENT
[OTAY RANCH VILLAGE 3]
THIS FIRST AMENDMENT to the Balanced Communities Affordable Housing
Agreement [Otay Ranch Village 3] ("Affordable Housing Agreement Amendment") is entered
into on the _______ day of ______________, 2022 ("Effective Date"), by and between the City of
Chula Vista, a California municipal corporation, ("City") and HomeFed Village III Master, LLC,
a Delaware limited liability company, Flat Rock Land Company, LLC, a Delaware limited
liability company (collectively referred to as “Owner/Developer”) HomeFed Otay Land II, LLC,
a Delaware limited liability company, a Delaware limited liability company (”Village 8 East
Owner"). City, Developer and Village 8 East Owner may be referred to herein individually as
“Party” and collectively as “Parties.”
RECITALS
WHEREAS, City and HomeFed Village III Master, LLC entered into Balanced
Communities Affordable Housing Agreement [Otay Ranch Village 3] dated December 6, 2016,
recorded December 21, 2016, as Document No. 2016-0700046 of Official Records, County of
San Diego, State of California (“Affordable Housing Agreement”), which has also been the
subject of a transfer agreement also dated December 6, 2016, and filed December 6, 2026; and
WHEREAS, on June 15, 2021, City approved the Village 3 and a Portion of Village 4
Sectional Planning Area (“SPA”) Amendment (“project”) by Resolution No. 2021-122 of the
City Council which authorized amendments to the land use designations within neighborhoods
R-6, R-19 and R-20, resulting in an increase in the number of residential units planned for the
project; and
WHEREAS, the Affordable Housing Agreement provides that Developer’s affordable
housing obligation to provide 64 units for low income households and 64 units for moderate
income households will be modified if Developer builds in excess of 1,270 units within the
project; and
2022/08/23 City Council Post Agenda Page 343 of 573
Item 5.10 – Attachment 1
Revised 8/23/2022
Page 2
WHEREAS, based on the increase in the number of residential units planned for the
project described above, Developer is required to provide a total of 38 additional units as
follows: 19 additional units for low income households and 19 additional units for moderate
income households (“Remaining Village 3 Affordable Housing Obligation”); and
WHEREAS, HomeFed Village III Master, LLC owns Village 3 Parcels R-6 and R-19,
and Flat Rock Land Company, LLC owns Village 3 Parcel R-20 as described in Exhibit “A”
attached hereto (“Village 3 Owner Property”); and
WHEREAS, HomeFed Otay Land II, LLC owns Village 8 East; and
WHEREAS, Section 11(e) of the Affordable Housing Agreement (“Release”) provides
that, upon the recordation of a City-approved Regulatory Agreement imposing affordable
housing covenants, the Affordable Housing Agreement shall no longer be applicable to the
project to the extent of the obligations set forth in such Regulatory Agreement and the
recordation of a Regulatory Agreement shall operate to automatically release the Project from
the terms of the Affordable Housing Agreement to the extent of the obligations set forth in such
Regulatory Agreement; and
WHEREAS the Parties thereto wish to amend the Affordable Housing Agreement
as provided herein.
NOW THEREFORE, by Agreement of the parties hereto, the Affordable Housing
Agreement is hereby amended as follows:
Section 1. Amendments to Affordable Housing Agreement
A. HomeFed Village III Master, LLC, and City agree that HomeFed Otay Land II, LLC
and Flat Rock Land Company, LLC shall be a party to the Affordable Housing Agreement to the
extent provided for in this Affordable Housing Agreement Amendment. HomeFed Otay Land II,
LLC, agrees to be a Party to the Agreement, as amended, and to also undertake all the terms
required under this Amendment.
B. Section 1.d. “Developer’s Affordable Housing Obligation” is revised to provide that,
in addition to Developer’s affordable housing obligation to provide 64 units for low income
households and 63 units for moderate income households, under the Affordable Housing
Agreement, Developer shall satisfy the Remaining Village 3 Affordable Housing Obligation to
provide an additional 38 units as follows: 19 units for moderate income households and an
additional 19 units for low income households.
C. Section 2.a.1. “Village 3 Regulatory Agreement required” shall be revised to read as
follows:
Prior to issuance of the first Final Map in Otay Ranch Village 3, this Agreement or a
Regulatory Agreement shall be duly executed by the city and all property owner(s) of the
Project and recorded against the Project. Currently, 1,638 units may be built in Otay
2022/08/23 City Council Post Agenda Page 344 of 573
Item 5.10 – Attachment 1
Revised 8/23/2022
Page 3
Ranch Village 3, with a corresponding number of 164 affordable housing units, 82 units
for low income households and 82 units for moderate income households. While
approved for 1,638 units, consisting of 164 affordable units, as set forth above,
Developer’s most recent maps for the Project show that it is expected to build 1,632
units, with a corresponding affordable housing obligation of 164 affordable housing
units, 82 units for low income households and 82 units for moderate income households.
Should Developer build in excess of 1,632 units, then its affordable housing obligation
shall be modified accordingly, as set forth in paragraph 5 [Additional Affordable Housing
Units] below.
Section 2. Transfer Agreement
A. Consistent with Section 5.b of the Affordable Housing Agreement, Developer may
provide for some of the Low and/or Moderate-Income Housing units associated with the Project
to be produced or operated at a site other than within Otay Ranch Village 3, also known as an
Off-Site Alternative. Accordingly, Developer shall transfer the Otay Ranch Village 3 Remaining
Affordable Housing Obligation of a total of 38 affordable units, consisting of 19 units for low
income households and 19 units for moderate income households to Otay Ranch Village 8 East.
B. A Transfer Agreement shall be executed by the City and Developer and Otay Ranch
Village 8 East Owner concurrently with the execution of this First Amendment and said Transfer
Agreement recorded against the portion of Otay Ranch Village 8 East owned by Otay Ranch
Village 8 East Owner. With such Transfer Agreement, the Otay Ranch Village 8 East Owner
shall be obligated to build those transferred affordable units within Otay Ranch Village 8 East in
addition to any other affordable housing obligation for Otay Ranch Village 8 East is otherwise
required to produce.
C. The Transfer Agreement satisfies the Otay Ranch Village 3 Remaining Affordable
Housing Obligation with respect to the Transferred Affordable Housing Obligation. If the
Developer determines that it is feasible to provide some or all of the Transferred Affordable
Housing Obligation within Otay Ranch Village 3 itself, the Developer may elect to provide such
affordable units within Otay Ranch Village 3. In such case, the Transferred Affordable Housing
Obligation will be reduced by those number of affordable units provided within Otay Ranch
Village 3.
D. Prior to or concurrent with the approval of the first final subdivision map covering a
residentially-zoned portion of Otay Ranch Village 8 East Owner’s Property in Otay Ranch
Village 8 East which would permit residential development without a further subdivision map
(the “First Residential Map”), Otay Ranch Village 8 East Owner and City shall enter into an
affordable housing agreement (the “Village 8 Affordable Housing Agreement”) regarding (i) 19
units for low income households and 19 units for moderate income households resulting from the
Transferred Affordable Housing Obligation, and (ii) the affordable housing obligation arising out
of the development of Otay Ranch Village 8 East (the “Village 8 Affordable Housing
Obligation”).
2022/08/23 City Council Post Agenda Page 345 of 573
Item 5.10 – Attachment 1
Revised 8/23/2022
Page 4
Section 3. Release
A. Pursuant to Sections 11(a) and (e) of the Affordable Housing Agreement and upon
approval and execution of the Village 8 East Transfer Agreement, City hereby releases Village 3
Owner from its obligation to provide Remaining Village 3 Affordable Housing Obligation.
Section 4. Miscellaneous
A. Except as expressly provided herein, all other terms and conditions of the Affordable
Housing Agreement shall remain in full force and effect.
B. Each Party represents that it has full right, power and authority to execute this
Affordable Housing Agreement Amendment and to perform its obligations hereunder, without
the need for any further action under its governing instruments, and the parties executing this
Affordable Housing Agreement Amendment on the behalf of such party are duly authorized
agents with authority to do so.
C. This Affordable Housing Agreement Amendment may be executed in counterparts,
each of which shall be deemed an original, but all of which shall constitute one Affordable
Housing Agreement Amendment after each Party has signed such a counterpart.
D. The captions and heading of this Affordable Housing Agreement Amendment are for
convenience only and shall not define or limit the provisions hereof.
[Remainder of page intentionally left blank]
2022/08/23 City Council Post Agenda Page 346 of 573
Item 5.10 – Attachment 1
Revised 8/23/2022
Page 5
SIGNATURE PAGE TO
FIRST AMENDMENT TO
BALANCED COMMUNITIES AFFORDABLE HOUSING AGREEMENT
[OTAY RANCH VILLAGE 3]
For Village 3, HOMEFED VILLAGE III
MASTER, LLC, a Delaware limited
liability company:
CITY OF CHULA VISTA, a California
charter city and municipal corporation:
BY:______________________________
NAME:_______________
ITS:___________________________
BY:________________________________
Maria Kachadoorian
City Manager
_______________________________
For Village 3, FLAT ROCK LAND
COMPANY, LLC, a Delaware limited
liability company:
ATTEST:
BY:______________________________
NAME:_______________
ITS:___________________________
BY:______________________________
Kerry Bigelow
City Clerk
For Village 8 East, HOMEFED OTAY
LAND II, LLC, a Delaware Limited
Liability Company:
APPROVED AS TO FORM:
BY:_______________________________ BY:_______________________________
NAME:_______________ Glen R. Googins
ITS:___________________________ City Attorney
2022/08/23 City Council Post Agenda Page 347 of 573
Item 5.10 – Attachment 1
Revised 8/23/2022
EXHIBIT A
Legal Description of the Village 3 Property
PARCEL R-6:
LOTS 770 THROUGH 813, INCLUSIVE, AND LETTERED LOTS M, N AND BB OF
CHULA VISTA TRACT NO. 16-02, OTAY RANCH VILLAGE 3 NORTH, IN THE CITY OF
CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO
MAP THEREOF NO. 16160, FILED IN THE OFFICE OF THE COUNTY RECORDER OF
SAN DIEGO COUNTY ON DECEMBER 21, 2016.
TOGETHER WITH AVENIDA SENECA, CALLE MARIN, AND PASEO LUMINOSO AS
SHOWN ON SAID MAP.
PARCEL R-19:
PARCEL A OF THAT CERTAIN QUITCLAIM DEED TO HOMEFED VILLAGE III, LLC,
IN THE CITY OF CHULA VISTA, RECORDED MAY 10, 2022 AS DOCUMENT NO. 2022-
0201880 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO
COUNTY, STATE OF CALIFORNIA, BEING MORE PARTICULARLY DESCRIBED AS
FOLLOWS:
LOTS 826 AND 827 OF CHULA VISTA TRACT NO. 16-02 OTAY RANCH VILLAGE 3
NORTH, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF
CALIFORNIA, ACCORDING TO MAP THEREOF NO. 16160, FILED IN THE OFFICE OF
THE COUNTY RECORDER OF SAN DIEGO COUNTY ON DECEMBER 21, 2016.
PARCEL R-20:
PARCEL A OF LOT LINE ADJUSTMENT DEED RECORDED DECEMBER 9, 2004 AS
INSTRUMENT NO. 2004-1159742, OF OFFICIAL RECORDS AND MORE
PARTICULARLY DESCRIBED AS FOLLOWS:
BEING A PORTION OF LOT 44 IN THE OTAY RANCHO IN THE CITY OF CHULA
VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, AS SHOWN ON MAP NO.
862, FILED FEBRUARY 7, 1900 IN THE OFFICE OF THE COUNTY RECORDER OF SAID
COUNTY, AND BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS:
BEGINNING AT THE NORTHEASTERLY CORNER OF SAID LOT 44; THENCE ALONG
THE EASTERLY LINE OF SAD LOT 44, SOUTH 18°37’56” EAST, A DISTANCE OF
1868.17 FEET; THENCE LEAVING SAID EASTERLY LINE, NORTH 75°14’35” WEST, A
DISTANCE OF 1093.04 FEET; THENCE NORTH 66°35’10” WEST, A DISTANCE OF
1928.12 FEET TO THE NORTHERLY LINE OF SAID LOT 44; THENCE ALONG SAID
NORTHERLY LINE, NORTH 71º58’14” EAST, A DISTANCE OF 2344.60 FEET TO THE
POINT OF BEGINNING.
2022/08/23 City Council Post Agenda Page 348 of 573
Item 5.10 – Attachment 1
Revised 8/23/2022
EXCEPTING THEREFROM THAT PORTION OF SAID PARCEL “A” BEING MORE
PARTICULARLY DESCRIBED AS FOLLOWS:
BEGINNING AT THE MOST SOUTHERLY POINT OF SAID PARCEL “A”; THENCE
ALONG THE SOUTHERLY LINE OF SAID PARCEL “A” NORTH 75°14’29” WEST, A
DISTANCE OF 1093.14 FEET (RECORD N 75°14’35” W, 1093.04 FEET PER SAID LOT
LINE ADJUSTMENT DEED); THENCE NORTH 66°35’04” WEST, A DISTANCE OF
1460.21 FEET; THENCE LEAVING SAID SOUTHERLY LINE NORTH 22°38’23” EAST, A
DISTANCE OF 91.84 FEET; THENCE SOUTH 67°11’26” EAST, A DISTANCE OF 1782.72
FEET; THENCE SOUTH 73°13’35” EAST, A DISTANCE OF 398.22 FEET; THENCE
SOUTH 84°20’21” EAST, A DISTANCE OF 282.71 FEET TO A POINT IN THE EASTERLY
LINE OF SAID PARCEL “A”; THENCE SOUTHERLY ALONG SAID EASTERLY LINE
SOUTH 18°37’59” EAST, A DISTANCE OF 174.53 FEET TO THE POINT OF BEGINNING.
2022/08/23 City Council Post Agenda Page 349 of 573
Item 5.10 – Attachment 1
Revised 8/23/2022
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the
document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that docu ment.
State of California )
County of San Diego )
On ____________________, before me, ____________________________, a Notary Public,
personally appeared _______________________________, who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or
the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
2022/08/23 City Council Post Agenda Page 350 of 573
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the
document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
State of California )
County of San Diego )
On ____________________, before me, ____________________________, a Notary Public,
personally appeared _______________________________, who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or
the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
2022/08/23 City Council Post Agenda Page 351 of 573
C:\Program Files\eSCRIBE\TEMP\2045946582\2045946582,,,Resolution B - Affordable Housing Transfer Agreement to Village 8
East.docxJ:\Attorney\JILLM\FORMS & POLICIES\Resolution-Approving Agt or Doc-1-4-13.doc
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING THE AFFORDABLE HOUSING
TRANSFER AGREEMENT FOR OTAY RANCH VILLAGE 8
EAST BETWEEN THE CITY AND HOMEFED OTAY LAND II,
LLC
WHEREAS, the Housing Element of the City of Chula Vista’s General Plan contains an
affordable housing policy which requires that residential development with fifty (50) or more
dwelling units provide a minimum of 10% of the total dwelling units for low- and moderate-
income households, one-half of these units (5% of the total project) being designated to low income
and the remaining five percent (5%) to moderate income households; and
WHEREAS, HomeFed Village III Master, LLC and Flat Rock Land Company, LLC
(collectively, “Village 3 Owner”) own the property known as Otay Ranch Village 3, Parcels R-6,
R-19 and R-20 of Otay Ranch; and
WHEREAS, on June 15, 2021, the City approved the Tentative Subdivision Map CVT-20-
0004 for Otay Ranch Village 3 R-19 (“R-19 Tentative Map”) by Resolution No. 2021-123 and
Tentative Subdivision Map CVT-20-0005 for Otay Ranch Village 3 R-6 and R-20 (“R-6 and R-20
Tentative Map”) by Resolution Number 2021-124 which included Condition No. 10 and 15
respectively, requiring that the Village 3 Owner enter into an amended Balanced Communities
Affordable Housing Agreement (“Amended Village 3 Agreement”); and
WHEREAS, the Village 3 Owner is required to build an additional 38 units consisting of
19 low income housing units and 19 moderate income housing units (“Remaining Village 3
Affordable Housing Obligation”) based upon 10% of the total number of residential units of 1,638
within Village 3; and
WHEREAS, in satisfaction of the condition the Village 3 Owner desires to transfer the
Remaining Village 3 Affordable Housing Obligation to Otay Ranch Village 8 East, owned by
HomeFed Otay Land II, LLC (“Village 8 East Owner”); and
WHEREAS, consistent with Policy 3.4 of the City’s Housing Element of the General Plan,
the City has determined that the unique conditions for the development of Village 3 provide an
unreasonable hardship for the new construction of units within said Village in light of such factors
as the difficulty in integrating due to significant price and product disparity; and
WHEREAS, as set forth in the Village 3 SPA Plan, the Village 3 Affordable Housing
Obligation may be deferred to a future village or location within Otay Ranch Planning owned by
Village 3 Owner or its affiliate; and
WHEREAS, it is the intent of Village 8 East Owner and the City, by execution of the
Transfer Agreement, to allow the transfer of the Remaining Village 3 Affordable Housing
Obligation for 19 low income housing units and 19 moderate income housing units (“Transferred
2022/08/23 City Council Post Agenda Page 352 of 573
Resolution No.
Page 2
Affordable Housing Obligation”) to the development of Otay Ranch Villages 8 East, Owner of
which is an affiliate of Village 3 Owner; and
WHEREAS, on February 18, 2020, the City approved the Village 8 East Sectional
Planning Area (SPA) Plan amendment by Resolution No. 2020 -036 and the Village 8 East
Tentative Subdivision Map for Chula Vista Tract No. 13-03 b y Resolution No. 2020-037, of
which Condition Number 7 requires the Village 8 East Owner to enter into an Affordable Housing
Agreement with the City prior to approval of Village 8 East Owner’s first Final Map for Village 8
East; and
WHEREAS, the SPA Plan currently provides for the construction of approximately 3,276
total dwelling units within Village 8 East, with a requirement for five percent of these units being
designated for low -income households and five percent for moderate-income households,
consisting of 328 affordable units ; and
WHEREAS, the City finds that the public interest would be served by allowing the
Remaining Village 3 Affordable Housing Obligation to be produced or operated within Village 8
East based upon: (1) proximity to public transit; (2) proximity to employment; (3) proximity to
services and entertainment; and (4) proximity to the proposed University, which would provide
access to university services for the residents and affordable units for students and faculty.
Additionally, the provision of the Transferred Affordable Housing Obligation within the Property
will not be significantly detrimental to achieving balanced residential communities and will
provide at a minimum the equivalent number of required affordable units with comparable rent
and occupancy restrictions; and
WHEREAS, the Village 8 East Owner and City wish by this Agreement to assure the
satisfaction of the Village 3 Transferred Affordable Housing Obligation, on the terms described in
the Affordable Housing Transfer Agreement for the 38 units, increasing the Village 8 East
affordable housing obligation to 366 units consisting of 183 low income units and 183 moderate
income units.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista,
that it approves the Transfer Agreement between the City and HomeFed Otay Land II, LLC, to
authorize the transfer of 38 affordable units from Village 3 to Village 8 East, in substantially the
form presented, with such minor modifications as may be required or approved by the City
Attorney, a copy of which shall be kept on file in the Office of the City Clerk, and authorizes and
directs the City Manager to execute same.
Presented by
Tiffany Allen
Deputy City Manager
Approved as to form by
Glen R. Googins
City Attorney
2022/08/23 City Council Post Agenda Page 353 of 573
SMRH:478171750.5 -1-
110716 0WR7-242897
RECORDING REQUESTED BY:
CITY CLERK
When Recorded Mail To:
CITY CLERK’S OFFICE
276 Fourth Avenue
Chula Vista, CA 91910
SPACE ABOVE FOR RECORDER’S USE ONLY
VILLAGE 8 EAST AFFORDABLE HOUSING TRANSFER AGREEMENT
THIS AFFORDABLE HOUSING TRANSFER AGREEMENT (“Agreement”) is entered into as
of ___________, 2022, by and between, HOMEFED OTAY LAND II, LLC, a Delaware limited
liability company (“Village 8 East Owner”) and the City of Chula Vista, a California municipal
corporation (“City”), with reference to the following facts:
RECITALS
WHEREAS, the Housing Element of the City of Chula Vista’s General Plan contains an
affordable housing policy which requires that residential development with fifty (50) or more
dwelling units provide a minimum of 10% of the total dwelling units for low and moderate income
households, one-half of these units (5% of the total project) being designated to low income and
the remaining five percent (5%) to moderate income households.
WHEREAS, HomeFed Village III Master, LLC and Flat Rock Land Company, LLC
(collectively, “Village 3 Owner”) own the property known as Otay Ranch Village 3, Parcels R-6,
R-19 and R-20 of Otay Ranch. On June 15, 2021, the City approved the Tentative Subdivision
Map CVT-20-0004 for Otay Ranch Village 3 R-19 (“R-19 Tentative Map”) by Resolution No.
2021-123 and Tentative Subdivision Map CVT-20-0005 for Otay Ranch Village 3 R-6 and R-20
(“R-6 and R-20 Tentative Map”) by Resolution Number 2021-124. R-19 Tentative Map,
Condition No. 10 and R-6 and R-20 Tentative Map Condition No. 15 require that the Village 3
Owner enter into an amended Balanced Communities Affordable Housing Agreement (“Amended
Village 3 Agreement”) with the City of Chula Vista. The Village 3 Owner is required to build 82
low income housing units and 82 moderate income housing units (“Village 3 Affordable Housing
Obligation”) based upon 10% of the total number of residential units of 1,638 within Village 3. In
satisfaction of a portion of the Village 3 Affordable Housing Obligation, Village 3 Owner provided
30-moderate income housing units in Village 3 and 33-moderate income housing units and 64 low-
income housing units in Village 8 West, pursuant to the Affordable Housing Transfer Agreement
recorded December 21, 2016, as Document No. 2016-0700047 of Official Records, County of San
Diego, State of California. Village 3 Owner and the City are entering into the Amended Village 3
Agreement that requires Village 3 Owner to provide an additional 38 units as follows: 19-low
2022/08/23 City Council Post Agenda Page 354 of 573
SMRH:478171750.5 -2-
110716 0WR7-242897
income housing units and 19-moderate income housing units (“Remaining Village 3 Affordable
Housing Obligation”).
WHEREAS, consistent with Policy 3.4 of the City’s Housing Element of the General Plan,
the City has determined that the unique conditions for the development of Village 3 provide an
unreasonable hardship for the new construction of units within said Village. The City finds that
such new construction of units would present an “unreasonable hardship to the developer” in light
of such factors as the difficulty in integrating due to significant price and product disparity. As
described in the Village 3 SPA Plan, the residential neighborhoods are predominately single family
and low-density neighborhoods.
WHEREAS, as set forth in the Village 3 SPA Plan, the Village 3 Affordable Housing
Obligation may be deferred to a future village or location within Otay Ranch Planning owned by
Village 3 Owner or its affiliate. It is the intent of Village 8 East Owner and the City, by execution
of this Agreement, to allow the transfer of the Remaining Village 3 Affordable Housing Obligation
for 38 units (19 low income housing units and 19 moderate income housing units) (“Transferred
Affordable Housing Obligation”) to the development of Otay Ranch Village 8 East ( “Village
East 8”) as shown on Exhibit A attached and more particularly described on Exhibit B attached
(the “Property”). Village 8 East Owner owns the property known as Village 8 East and is an
affiliate of Village 3 Owner.
WHEREAS, Village 3 Owner is otherwise required to develop those Village 3 affordable
housing units not transferred from Village 3 to Village 8 East, owned by HomeFed Otay Land II,
LLC, a Delaware Limited Liability Company (“Village 8 East Owner”), by this Agreement as set
forth in the Village 3 Agreement.
WHEREAS, on February 18, 2020, the Cit y approved the Otay Ranch Village 8 East
Sectional Planning Area (SPA) Plan amendment for the Project by Resolution No. 2020-036 .
Condition Number 7 of the Project's SPA Plan requires the Village 8 East Owner to comply with
the City’s Affordable Housing Plan. The SPA Plan currently provides for the construction of
approximatel y 3,276 total dwelling units within Village 8 East, with a requirement for five
percent of these units being designated for low-income households and five percent for moderate-
income households, consisting of 328 affordable units.
WHEREAS, on February 18, 2020, the City approved the Tentative Subdivision Map for
Chula Vista Tract No. 13-03 for Otay Ranch Village 8 East b y Resolution No. 2020-037. Tentative
Map Condition No. 32 requires that the Village 8 East Owner enter into an Affordable Housing
Agreement with the Cit y of Chula Vista prior to approval of Village 8 East Owner’s first Final
Map for Village 8 East.
WHEREAS, the City finds that the public interest would be served by allowing the
Transferred Affordable Housing Obligation to be produced or operated within Village 8 East based
upon: (1) proximity to public transit; (2) proximity to employment; (3) proximity to services and
entertainment; and (4) proximity to the proposed University, which would provide access to
university services for the residents and affordable units for students and faculty. Additionally,
the provision of the Transferred Affordable Housing Obligation within the Property will not be
significantly detrimental to achieving balanced residential communities and will provide at a
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minimum the equivalent number of required affordable units with comparable rent and occupancy
restrictions.
WHEREAS, Village 8 East Owner and City wish by this Agreement to assure the
satisfaction of the Village 3 Transferred Affordable Housing Obligation, on the terms described
below.
NOW, THEREFORE, FOR VALUABLE CONSIDERATION, receipt of which is hereby
acknowledged, City and Village 8 East Owner agree as follows:
1. Definitions. Unless otherwise indicated, for purposes of this Agreement, the
following terms shall have the following meanings:
a. “low income housing” means housing for a household of persons who claim
primary residency at the same unit with combined incomes that do not exceed 80% of the area
median income (adjusted annually) based on household size, as determined annually by the U.S.
Department of Housing and Urban Development (HUD) and published or adopted by the State of
California Department of Housing and Community Development.
b. “moderate income housing” means housing for a household of persons who
claim primary residency at the same unit with combined incomes between 80% and 120% of the
area median income (adjusted annually) based on household size, as determined annually by the
U.S. Department of Housing and Urban Development (HUD) and published or adopted by the
State of California Department of Housing and Community Development.
2. Village 8 East Affordable Housing Obligations. Village 8 East Owner’s obligation
for low and moderate income housing units arising out of the development of the Property shall
be the following:
a. Moderate income housing units. Village 8 East Owner’s obligation with
regard to moderate income housing shall be five percent (5%) of the total number residential units
built on the Property (the “Moderate Income Housing Obligation”).
b. Low income housing units. Village 8 East Owner’s obligation with regard
to low income housing shall be five percent (5%) of the total number residential units built on the
Property (the “Low Income Housing Obligation”).
c. Transferred Affordable Housing Obligation. In addition to the above
obligations arising out of the development of the Property, Village 8 East Owner hereby assumes
the Village 3 Transferred Affordable Housing Obligation of 38 additional units (19 Low Income
units and 19 Moderate Income units). If Village 3 ultimately includes less than 1,638 residential
units, then the Village 3 Transferred Affordable Housing Obligation will be adjusted to reflect the
decrease in the Village 3 Affordable Housing Obligation.
The Low-Income Housing Obligation, the Moderate Income Housing Obligation, and the
Village 3 Transferred Affordable Housing Obligation shall be collectively referred to as the
“Village 8 East Affordable Housing Obligation.”
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3. Transfer and Satisfaction of Affordable Housing Obligation.
a. Transfer of Obligation. The Transferred Affordable Housing Obligation is
hereby transferred to Village 8 East Owner’s Property. Village 8 East Owner shall satisfy the
Village 3 Transferred Affordable Housing Obligation in connection with the development of
Village 8 East Owner’s Property (the “Project”) as described below.
b. Village 8 East Affordable Housing Agreement. Prior to or concurrently
with the approval of the first final subdivision map covering a residentially-zoned portion of
Village 8 East Owner’s Village 8 East Property which would permit residential development
without a further subdivision map (the “First Residential Map”), Village 8 East Owner and City
shall enter into an a Balanced Communities Affordable Housing Agreement (the “Village 8 East
Affordable Housing Agreement”) regarding (i) the Transferred Affordable Housing Obligation,
and (ii) the affordable housing obligations arising out of the development of Village 8 East
Owner’s Village 8 East Property (the “Village 8 East Affordable Housing Obligation”).
The Village 8 East Affordable Housing Agreement shall be consistent with the
terms and conditions contained herein and the adopted Affordable Housing Programs of the
appropriate GDP and SPA documents, all of which are incorporated herein by this reference. The
Village 8 East Affordable Housing Agreement shall be filed and recorded as a restriction on all
residentially-zoned portions of Village 8 East Owner’s Village 8 East Property as designated in
the applicable SPA Plan, and those portions of Village 8 East Owner’s Village 8 East Property not
designated as residential in the applicable SPA Plan shall be released from this Agreement (and
any affordable housing obligation
4. Duty to Implement Affordable Housing Program. Village 8 East Owner shall
cause all affordable units developed pursuant to this Agreement and the Village 8 East Affordable
Housing Agreement, including the Transferred Affordable Housing Obligation, to be developed,
marketed, rented/sold in accordance with the City’s goals, policies and programs, including but
not limited to the Housing Element of the General Plan, the Consolidated Plan, and the Affordable
Housing Program Implementation Guidelines, as they may be adopted and amended from time to
time, the terms and conditions of which are hereby incorporated by this reference; provided,
however, that nothing shall increase the number or change the mix of affordable housing units
comprising Village 8 East Owner’s Village 8 Affordable Housing Obligation.
5. Duty to Build Transferred Affordable Housing Obligation on the Property
(Village 8). Village 8 East Owner shall have the obligation to build the Village 3 Transferred
Affordable Housing Obligation within Village 8 East. This Transferred Affordable Housing
Obligation shall be in addition to any other Village 8 East affordable housing obligations. This
Agreement shall be recorded against the Village 8 East Property and shall ensure that the
Transferred Affordable Housing Obligation is developed and marketed as affordable housing with
Village 8 East.
6. Development Permits, Maps and Documents for Village 8 East Owner’s
Property. Village 8 East Owner shall at its sole expense, prepare and diligently process all
permits, agreements, plans, maps, and other documents, including but not limited to any
amendments to the General Development Plan and Sectional Planning Area Plan (including an
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Affordable Housing Plan) for Village 8 East Owner’s Property that may be necessary to meet the
Village 8 East Owner’s obligation
7. Right to Withhold Permits. The City has the absolute and unfettered right to
withhold the issuance of any building permit for any residential development within Village 8 East
Owner’s Property if the Village 8 East Owner is not in compliance with the terms and/or
obligations of this Agreement and the Village 8 East Affordable Housing Agreement, including
completion of the Transferred Affordable Housing Obligation.
8. Subordination and Notice.
a. Subordination. Village 8 East Owner represents that there are no deeds of
trust encumbering Village 8 East. If any deeds of trust are recorded prior to any Regulatory
Agreement, Village 8 East Owner shall deliver to the City the fully executed subordination
agreements in a form acceptable to the City Attorney and suitable for recording.
b. Notice. Village 8 East Owner shall provide written notice of the terms of
this Agreement (which could be a copy of this Agreement) to all purchasers and potential
purchasers of real property within the Village 8 East Owner’s Property, excluding however, a
buyer of an individual housing unit.
9. General Provisions.
a. Authority of Signatories. The individuals signing this Agreement on behalf
of the City warrant that (i) he or she is duly authorized to sign and deliver this Agreement on behalf
of the City in accordance with a duly adopted resolution of the City Council of the City and (ii) this
Agreement is binding upon the City in accordance with its terms. Village 8 East Owner warrants
that each individual signing this Agreement on behalf of Village 8 East Owner (i) is duly
authorized to sign and deliver this Agreement on behalf of Village 8 East Owner, and (ii) this
Agreement is binding upon the company in accordance with its terms.
b. Successors. All terms of this Agreement will be binding upon and inure to
the benefit of the parties and their respective affiliates, administrators or executors, successors,
and assigns. Village 8 East Owner hereby subjects the Project to the covenants, reservations and
restrictions set forth in this Agreement. The Village East Owner and the City hereby declare their
express intent that the covenants, reservations and restrictions set forth herein shall be deemed
covenants running with the land and shall pass to and be binding upon the developer’s successors
in title to the Project; provided, however, that on the termination of this Agreement said covenants,
reservations and restrictions shall expire. Each and every contract, deed or other instrument
hereafter executed covering or conveying the Project or any portion thereof shall conclusively be
held to have been executed, delivered and accepted subject to such covenants, reservations and
restrictions, regardless of whether such covenants, reservations and restrictions are set forth in
such contract, deed or other instruments.
c. Governing Law/Venue. This Agreement shall be governed by and
construed in accordance with the laws of the State of California. Any action arising under or
relating to this Agreement shall be brought in Federal or State courts located in San Diego County,
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State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue
for this Agreement and performance thereunder shall be the City of Chula Vista.
d. Counterparts. This Agreement may be executed in any number of
counterparts, each of which will be deemed an original, but all of which together will constitute
one instrument.
e. Modifications. No modification, waiver or discharge of this Agreement will
be valid unless the same is in writing and signed by the parties to this Agreement.
f. Entire Agreement. This Agreement contains the entire agreement between
the parties relating to the transaction contemplated hereby and all prior or contemporaneous
agreements, understandings, representations and statements, oral or written, are merged herein.
g. Attorney’s Fees and Costs. If either party commences litigation for the
judicial interpretation, reformation, enforcement or rescission hereof, the prevailing party will be
entitled to a judgment against the other for an amount equal to reasonable attorney’s fees and court
costs incurred. The “prevailing party” shall be deemed to be the party who is awarded substantially
the relief sought.
h. Exhibits. All exhibits referred to in this Agreement are attached, and are a
part of, this Agreement.
i. Captions. Captions in this Agreement are inserted for convenience of
reference only and do not define, describe or limit the scope or the intent of this Agreement.
j. Recording. The parties hereto shall cause this Agreement to be recorded in
the Official Records of the County of San Diego.
k. No Third Party Beneficiary. No claim as a third-party beneficiary under
this Agreement by any person, corporation or any other entity, shall be made valid against Village
8 East Owner or City, except that Village 3 Owner is a third party beneficiary to the extent that
this Agreement satisfies the Transferred Affordable Housing Obligation.
l. Incorporation of Recitals. The recitals set forth herein are part of this
Agreement.
m. Assignment. The rights and obligations of Village 8 East Owner under this
Agreement shall not be assigned in whole or apart, without the express written consent of the
City’s Development Services Director, in the Director’s sole discretion and whose consent shall
not be unreasonably withheld or delayed. Any unapproved assignment shall be null and void.
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SIGNATURE PAGE TO AFFORDABLE HOUSING TRANSFER AGREEMENT
IN WITNESS WHEREOF, the parties hereto have executed this instrument as of the date
first set forth above.
FOR VILLAGE 8 EAST OWNER:
HOMEFED OTAY LAND II, LLC, a
Delaware limited liability company
By:
Title
CITY OF CHULA VISTA
By:
Title
ATTEST:
By:
Title
APPROVED AS TO FORM:
CITY ATTORNEY
By:
Title
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A notary public or other officer completing this certificate verifies only the identity of the individual who signed the
document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
State of California )
County of San Diego )
On ____________________, before me, ____________________________, a Notary Public,
personally appeared _______________________________, who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument
and acknowledged to me that he/she/they executed the same in his/her/their authorized
capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity
upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the
document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
State of California )
County of San Diego )
On ____________________, before me, ____________________________, a Notary Public,
personally appeared _______________________________, who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument
and acknowledged to me that he/she/they executed the same in his/her/their authorized
capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity
upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature
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Exhibit A
Map of Village and 8 East
TBP
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Exhibit B
Legal Description
Village 8 East
PARCELS 1 AND 2 OF PARCEL MAP NO. 21215, IN THE CITY OF CHULA VISTA,
COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFFICE OF THE
COUNTY RECORDER OF SAN DIEGO COUNTY JANUARY 29, 2015.
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August 23, 2022
ITEM TITLE
Purchase Award and Appropriation: Waive the Competitive Bid Process, Approve the Purchase of Ford
Maverick XL Vehicles from Penske Ford La Mesa, and Appropriate Funds for that Purpose
Report Number: 22-0240
Location: No specific geographic location
Department: Public Works
Environmental Notice: The activity is not a "Project" as defined under Section 15378 of the California
Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no
environmental review is required.
Recommended Action
Adopt a resolution waiving the competitive bid process, authorizing the purchase of 12 Ford Maverick
vehicles from Penske Ford La Mesa, and appropriating funds in the amount of $375,000 for that purpose.
(4/5 Vote Required)
SUMMARY
Due to ongoing supply chain issues, staff has experienced delays in procuring new vehicles. Fleet staff
recently received a quote to purchase 12 Ford Mavericks from Penske Ford La Mesa for a total cost of
$314,976. Staff recommends that City Council waive the competitive bid process and approve the purchase
of these vehicles. Funding for this purchase is available from the Vehicle Replacement Fund, a total
appropriation of $375,000 for the vehicle purchase and related outfitting costs is also recommended.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with the California
Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under
Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the
environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not
subject to CEQA. Thus, no environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
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Not applicable.
DISCUSSION
Due to continued supply chain issues, new vehicle purchases have been impacted negatively. Fleet staff has
been working with Purchasing staff to identify purchasing options that allows the City to procure new
vehicles in a timely manner in order to meet program needs and minimize the impact to service delivery.
Fleet staff recently received a proposal to purchase 12 Ford Mavericks from Penske Ford La Mesa. Penske
Ford is expecting delivery of at least twelve (12) new 2022 Ford Maverick XL vehicles that meet the City’s
specifications. The total cost of the 12 vehicles from Penske Ford is $314,976. These vehicles will replace
vehicles in the Park Ranger program (Community Services) and Right of Way/Graffiti program (Public
Works). These two programs are currently assigned vehicles that have reached the end of their service life.
Purchasing the vehicles from Penske Ford will allow the City to replace these 12 vehicles and minimize
service interruptions in these programs due to vehicles being out of service. The total cost for the proposed
purchase of the Ford Mavericks from Penske Ford La Mesa would be $314,976. Staff has reviewed other
dealership inventories and has not been able to locate this number of Mavericks from a different dealership.
While a purchase from Penske Ford La Mesa may be more costly, the City will receive the vehicles faster,
which is important as the above program vehicles have reached the end of their service life. Due to the
ongoing supply chain shortages and the time delays associated with direct fleet orders, staff recommends
moving forward with the purchase of these vehicles from Penske Ford La Mesa to avoid manufacturing delays
associated with alternate purchase options.
Per the Chula Vista Municipal Code (CVMC), purchases over $100,000 shall be awarded to the lowest
responsive and responsible bidder following a competitive bid process. However, CVMC section 2.56.070.B.3
allows the City Council to waive the competitive bid requirements if they are impractical, impossible, or that
City interests would be materially better served by applying a different purchasing procedure approved by
the Purchasing Agent as being consistent with good purchasing practices. Going through a competitive bid
process or a direct fleet order would result in a long lead time. Due to supply chain issue, vehicles can take
up to a year after ordering to arrive. Vehicles in the Park Ranger Program and Right-of-Way / Graffiti
programs have reached the end of their useful life. Purchasing the vehicles from Penske Ford La Mesa would
provide the City with the needed vehicles within the next two months. In addition, this would immediately
improve safety and reliability of the vehicle as well as decrease maintenance costs. Therefore, staff
recommends that City Council waive the competitive bid process as impractical and make the determination
that the City interests for the timely replacement of vehicles that have reached the end of their useful service
life would be materially better served with the approval of the purchase of 12 Ford Mavericks from Penske
Ford La Mesa.
Funding for these vehicles is available in the Vehicle Replacement Fund. In addition to the purchase cost of
the vehicles there are also associated outfitting costs. Staff, therefore, recommends a total appropriation of
$375,000 from the available fund balance of the Vehicle Replacement Fund.
DECISION-MAKER CONFLICT
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Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the real property holdings of the City Council members do not create a disqualifying real
property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware and has not been informed by any City Council member of any other fact
that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
The $375,000 cost of the 12 vehicles and associated outfitting costs will be funded through available fund
balance in the Vehicle Equipment Replacement Fund. Approval of this resolution has no net fiscal impact to
the General Fund.
ONGOING FISCAL IMPACT
The ongoing fiscal impact associated with this purchase is for regular Fleet Maintenance Charges. These
costs will be budgeted in the Community Services and Public Works departments and will be considered as
part of the annual budget development process.
ATTACHMENTS
None
Staff Contact: Angelica Aguilar, Assistant Director of Public Works; Alicia Granados, Senior Management
Analyst Public Works
2022/08/23 City Council Post Agenda Page 366 of 573
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA WAIVING THE COMPETITIVE BID
PROCESS, AUTHORIZING THE PURCHASE OF FORD
MAVERICK VEHICLES FROM PENSKE FORD LA MESA,
AND APPROPRIATING FUNDS THEREFOR
WHEREAS, Chula Vista Municipal Code (CVMC) section 2.56.070 contains the bidding
procedures and requirements for purchases of equipment exceeding $100,000; and
WHEREAS, CVMC section 2.56.070(B)(3) authorizes the City Council to waive the
competitive bidding requirements if determined that the competitive bidding requirements as
applied are impractical, impossible, or that the City interest would be materially better served by
applying a different purchasing procedure approved by the City's Purchasing Agent as being
consistent with good purchasing practices; and
WHEREAS, due to global supply chain limitations, the number and types of vehicles
available for purchase at any given time is scarce and unpredictable; and
WHEREAS, City departments depend on reliable vehicles and equipment to perform
desired services for the citizens of Chula Vista; and
WHEREAS, the new Ford Mavericks will be assigned to the Park Rangers program
(Community Services) and the Streets/Right of Way program (Public Works), the new vehicles
will replace vehicles that have reached the end of their service life; and
WHEREAS, Penske Ford La Mesa has 12 Ford Maverick XL vehicles available to
purchase and available for delivery at a total cost of $314,976; and
WHEREAS, staff has determined that City’s interest would be materially better served by
waiving the competitive bidding requirements for the proposed purchase to avoid delays
associated with direct factory orders or soliciting formal bids in order to timely replace vehicles
that are currently at or near the end of their service life, which will minimize disruptions to
operations and program delivery; and
WHEREAS, the City’s Purchasing Agent has determined that, given the limited
inventory and immediate need for replacement, the proposed purchase is consistent with good
purchasing practices; and
WHEREAS, staff recommends that Council waive the competitive bid process as
impractical and approve the purchase of these vehicles; and
WHEREAS, there are sufficient funds in the Vehicle Replacement fund for the purchase
of these vehicles and the associated outfitting costs.
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Resolution No. 2022-
Page No. 2
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula
Vista, that it waives the competitive bid process and authorizes the purchase of 12 Ford
Maverick XL vehicles from Penske Ford La Mesa.
BE IT FURTHER RESOLVED by the City Council of the City of Chula Vista, that it
approves the appropriation of $375,000 from fund balance to the Other Capital expense category
of the Vehicle Replacement Fund.
Presented by Approved as to form by
Matthew Little Glen R. Googins
Director of Public Works City Attorney
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August 23, 2022
ITEM TITLE
Agreement: Waive Competitive Bid Requirements and Approve an Agreement with Hyder & Company for
Property Management Services
Report Number: 22-0199
Location: No specific geographical location
Department: Development Services
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act (“CEQA”) State Guidelines; therefore, pursuant to State Guidelines Section
15060(c)(3) no environmental review is required
Recommended Action
Adopt a resolution: (1) waiving competitive bidding requirements; (2) approving an agreement with Hyder
& Company for property management services; and (3) authorizing the City Manager or designee to enter
into the initial agreement for $12,600, and optional extensions, for a maximum contract period of five years
and a not-to-exceed amount of $66,897.
SUMMARY
The City of Chula Vista and the Chula Vista Housing Authority [acting in its capacity as the Successor Housing
Entity pursuant to Government Code section 34176(a)] holds within its possession seven (7) affordable
housing units throughout the City. These units, for the past several years, have been leased to households
with extremely low to very low income, who are often referred to the Housing Authority by the Homeless
Outreach Team. Residents within these units often are assisted through programs like the Tenant Based
Rental Assistance Program with wraparound services until they can achieve self-sufficiency.
To present date, the duties of property management have been carried out by City staff of the City of Chula
Vista’s Housing Division. To alleviate City staff from the burdensome and time-consuming duties of property
management, this item seeks to waive the competitive bid requirements pursuant to Chula Vista Municipal
Code (“CVMC”) sections 2.56.090(B)(2) and (3) [specifically 2.56.070(b)(3) and (4)] and approve an
agreement with Hyder & Company for property management services in an initial amount of $12,600, with
four additional one-year options to extend, for a total contract period of up to five years and $66,897.
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ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with CEQA and has
determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines
because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3)
of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
The seven (7) properties owned by the City of Chula Vista were acquired with the aid of U.S. Department of
Housing and Urban Development (“HUD”) funds for the acquisition costs, carrying costs, rehabilitation costs
and soft costs. These properties are subject to covenants, conditions, and restrictions to ensure the units are
occupied by households within certain income thresholds, with monthly rents not to exceed 30% of gross
monthly household income.
Maintenance and Monitoring Requirements
Under HUD guidelines, the maintenance of these affordable units must satisfy HUD’s Property Standards
§92.251, as such standards are interpreted and enforced by the City under their normal policies and
procedures. To verify compliance with these Standards, the City inspects and requalifies these affordable
units on an annual basis. Any deficiencies in the physical condition of the affordable units must be corrected
by the City and at the expense of the City within thirty (30) days of the identification of such deficiency.
Should such deficiency not be capable of being cured within such thirty (30) day period, then such amount
of time as the City determines is needed, not to exceed one hundred twenty (120) days, provided the City
commences cure within such thirty (30) day period and continues to diligently pursue cure.
Under HUD’s Affordable Housing Agreement for these units, the City must perform the following monitoring
functions: (a) preparing and making available any general information to the tenant(s) that the City
possesses regarding income limitations and restrictions which are applicable to the affordable unit; (b)
reviewing the documentation submitted by tenant(s) in connection with the annual certification process; (c)
examining the financial condition of the project at least annually to ensure long term financial viability; and
(d) inspecting the affordable units to verify that they are being maintained in accordance with the
forementioned requirements.
Use of City-Owned Affordable Units
All City-Owned affordable units are currently occupied. Tenants have been identified and selected through
collaboration between the Chula Vista Police Department Homeless Outreach Team and the Chula Vista
Housing Authority. Tenants may have previously experienced homelessness or are at risk of experiencing
homelessness within the City of Chula Vista. Tenants are participants of the City of Chula Vista’s Tenant Based
Rental Assistance Program or are recipients of the Housing Choice Voucher Program (“Section 8”).
To date, the duties of property manager of these City-Owned affordable units has fallen on the Chula Vista
Housing Authority Staff. With the complexities of maintaining and monitoring these units in accordance with
HUD requirements, the Chula Vista Housing Authority seeks professional management services offered by
Hyder & Company. Utilizing a professional property management firm will offer greater assurance of
continued compliance with HUD standards, increase efficiencies in responding to tenants (e.g., emergency
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P a g e | 3
maintenance issues, payments, HOA correspondence, etc.), and provide tenants with great self-sufficiency in
learning to communicate with professional property management staff.
Consultant Selection Process
An informal bidding process was conducted with recognized affordable housing property management
companies and two out of the three firms contacted declined bidding due to the small number of units the
City owns. Hyder & Company was the sole respondent and currently manages the existing affordable
properties owned by the County of San Diego within the City of Chula Vista.
City Council/Housing Authority Action
This action authorizes the City Manager/Housing Authority Director or their designees to enter into a
contract with Hyder & Company to cover the property management costs for the first year with options to
extend the agreement for up to four (4) additional one-year options, for an agreement of up to a total of five
years. Table 1 provides the anticipated project costs over the five-years.
Table 1- Annual Contract Costs
Term Amount
Initial $12,600
Option Year 1 $12,978
Option Year 2 $13,368
Option Year 3 $13,769
Option Year 4 $14,182
Total $66,897
It is anticipated with approval of this item that Hyder & Company will assume their role as property
managers for the seven (7) City-Owned Affordable Units within the next 30 days.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the real property holdings of the City Council members do not create a disqualifying real
property-related financial conflict of interest under the Political Reform Act (Cal. Gov’t Code § 87100, et seq.).
Staff is not independently aware and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
There is no current year fiscal impact to the General Fund as a result of this action. Costs will be covered
through the available Housing Authority Funds and have been budgeted for this purpose.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact to the General Fund as a result of this action. Housing Authority funds will
be allocated during future annual budget cycles, as necessary for these services.
ATTACHMENTS
1. Professional Services Agreement with Hyder & Company
Staff Contact: Naader Ho, Management Analyst II
Tiffany Allen, Deputy City Manager & Director of Development Services
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RESOLUTION NO. 2022-
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA/CHULA VISTA HOUSING AUTHORITY (AS
SUCCESSOR HOUSING ENTITY): (1) WAIVING THE
COMPETITIVE FORMAL BID REQUIREMENTS; (2)
APPROVING AN AGREEMENT BETWEEN THE
CITY/HOUSING AUTHORITY AND HYDER & COMPANY
FOR PROPERTY MANAGEMENT SERVICES; AND (3)
AUTHORIZING THE CITY MANAGER OR DESIGNEE TO
EXECUTE THE INITIAL AGREEMENT AND AUTHORIZING
THE CITY MANAGER OR DESIGNEE TO EXECUTE FOUR
ONE-YEAR OPTIONS TO EXTEND THE AGREEMENT
WHEREAS, the City owns seven (7) properties at different locations, also known as
“Scattered Sites or Project Sites.” which are more fully described in Exhibit A, and hereby fully
incorporated by reference to this Agreement; and
WHEREAS, these Project Sites are affordable housing units and subject to unique local,
State, and Federal regulatory requirements (including specified reporting requirements); and
WHEREAS, due to the complexities of maintaining and monitoring these units in
accordance with HUD requirements, City desires to contract with Hyder & Company
(“Consultant”) to provide professional property management services; and
WHEREAS, Contractor/Service Provider warrants and represents that it is experienced and
staffed in a manner such that it can deliver the services required of Contractor/Service Provider to
City in accordance with the time frames and the terms and conditions of this Agreement; and
WHEREAS, based on Contractor/Service Provider’s experience in managing affordable
housing units in compliance with HUD and Home Investment Partnership (“HOME”) program
standards, as stated herein and in the attendant Staff report, the City desires to waive the
competitive bidding requirements pursuant to Chula Vista Municipal Code (“CVMC”) sections
2.56.090(B)(2) and (3) [specifically 2.56.070(b)(3) and (4)] finding that said circumstances
support waiving the competitive bid requirements in that the City’s interest would be better served
by said waiver, and enter into a two-party agreement with Hyder & Company for professional
property management services ("Agreement").
NOW, THEREFORE, BE IT RESOLVED, based on the findings above, the City
Council of the City of Chula Vista does hereby waive the competitive bidding requirements
pursuant to Chula Vista Municipal Code sections 2.56.090(B)(2) and (3) [specifically
2.56.070(b)(3) and (4)] in that the City’s interest would be better served by said waiver.
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Resolution No. 2022-
Page No. 2
NOW, THEREFORE, BE IT FURTHER RESOLVED, by the City Council of the City
of Chula Vista/Housing Authority, that it approves the Agreement in substantial form with
Hyder & Company, with such minor modifications as may be required or approved by the City
Attorney’s Office, a copy of which shall be kept on file in the Office of the City Clerk; and
authorizes the City Manager or designee to execute the initial Agreement in an amount not to
exceed $12,600, including four (4) one-year options to extend, for a maximum authorized and
not to exceed amount of $66,897 for the five year period.
Presented by Approved as to form by
Laura C. Black, AICP Glen R. Googins
Interim Director of Development Services City Attorney/General Counsel
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1 City of Chula Vista Agreement No.: 2022-083
Consultant Name: Hyder & Company Rev. 09/15/20
CITY OF CHULA VISTA/CHULA VISTA HOUSING AUTHORITY
CONTRACTOR/SERVICE PROVIDER SERVICES AGREEMENT
WITH HYDER & COMPANY
TO PROVIDE PROPERTY MANAGEMENT SERVICES
This Agreement is entered into effective as of August 9, 2022, (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation/Chula Housing Authority (in its capacity as the Successor Housing
Entity pursuant to Government Code section 34176(a)]) (collectively “City”) and Hyder & Company, who is a
broker or corporation licensed by the California Department of Real Estate, (“Contractor/Service Provider” or
“Contractor”) (collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, the City owns seven (7) properties at different locations, also known as “Scattered Sites or
Project Sites,” which are more fully described in Attachment A, and hereby fully incorporated by reference to
this Agreement; and
WHEREAS, these Project Sites are affordable housing units and subject to unique local, State, and Federal
regulatory requirements (including specified reporting requirements); and
WHEREAS, the City desires to have Contractor/Service Provider provide property management services,
as described in this Agreement, for the Project Sites (the “Project”); and
WHEREAS, in order to procure these services Contractor/Service Provider was chosen based on
Contractor/Service Provider’s unique qualifications, including significant experience public housing
management, ability to handle Scattered Sites, and that the City’s interest would be best materially served by
selecting Contractor/Service Provider to provide the required services pursuant to a “sole source” basis under the
authority of Chula Vista Municipal Code sections 2.56.090(B)(2) and (3) [specifically 2.56.070(b)(3) and (4)]
and
WHEREAS, Contractor/Service Provider warrants and represents that it is experienced and staffed in a
manner such that it can deliver the services required of Contractor/Service Provider to City in accordance with
the time frames and the terms and conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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2 City of Chula Vista Agreement No.: 2022-083
Consultant Name: Hyder & Company Rev. 09/15/20
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Contractor/Service Provider hereby agree as follows:
1. SERVICES
1.1 Required Services. Contractor/Service Provider agrees to perform the services and deliver to City the
“Deliverables” (if any) described in the attached Exhibit A, incorporated into the Agreement by this reference,
within the time frames set forth therein, time being of the essence for this Agreement. The services and/or
Deliverables described in Exhibit A shall be referred to herein as the “Required Services.”
1.2 Reductions in Scope of Work. City may independently, or upon request from Contractor/Service
Provider, from time to time, reduce the Required Services to be performed by the Contractor/Service Provider
under this Agreement. Upon doing so, City and Contractor/Service Provider agree to meet and confer in good
faith for the purpose of negotiating a correspon ding reduction in the compensation associated with the
reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Contractor/Service Provider
provide additional services related to the Required Services (“Additional Services”). If so, City and
Contractor/Service Provider agree to meet and confer in good faith for the purpose of negotiating an
amendment to Exhibit A, to add the Additional Services. Unless otherwise agreed, compensation for the
Additional Services shall be charged and paid consistent with the rates and terms already provided therein.
Once added to Exhibit A, “Additional Services” shall also become “Required Services” for purposes of this
Agreement.
1.4 Standard of Care. Contractor/Service Provider expressly warrants and agrees that any and all Required
Services hereunder shall be performed in accordance with the highest standard of care exercised by members
of the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Contractor/Service Provider of responsibility for complying with all
laws, codes, industry standards, and liability for damages caused by negligent acts, errors, omissions,
noncompliance with industry standards, or the willful misconduct of the Contractor/Service Provider or its
subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for
Contractor/Service Provider to provide additional security for performance of its duties under this Agreement,
Contractor/Service Provider shall provide such additional security prior to commencement of its Required
Services in the form and on the terms prescribed on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Contractor/Service Provider
shall comply with any and all applicable federal, state and local laws, including the Chula Vista Municipal
Code.
1.8 Business License. Prior to commencement of work, Contractor/Service Provider shall obtain a
business license from City.
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Consultant Name: Hyder & Company Rev. 09/15/20
1.9 Subcontractors. Prior to commencement of any work, Contractor/Service Provider shall submit for
City’s information and approval a list of any and all subcontractors to be used by Contractor/Service Provider
in the performance of the Required Services. Contractor/Service Provider agrees to take appropriate measures
necessary to ensure that all subcontractors and personnel utilized by the Contractor/Service Provider to
complete its obligations under this Agreement comply with all applicable laws, regulations, ordinances, and
policies, whether federal, state, or local. In addition, if any subcontractor is expected to fulfill any
responsibilities of the Contractor/Service Provider under this Agreement, Contractor/Service Provider shall
ensure that each and every subcontractor carries out the Contractor/Service Provider’s responsibilities as set
forth in this Agreement.
1.10 Prevailing Wages. This Project involves affordable housing and may be exempt from Prevailing Wage
requirements. However, to the extent an exemption does not apply, Work to be performed in this agreement
by Contractor/Service Provider (including construction) may otherwise be considered a Public Work under
Labor Code section 1720, et seq. As a result, such Public Work is subject to “Prevailing Wage” requirements.
Contractor/Service Provider, including its contractors and subcontractors, shall abide by any and all
“Prevailing Wage” requirements. Contractor/Service Provider shall also include the costs for Prevailing
Wage requirements in its Annual Operating Budget, if known, for required work. The Contractor/Service
Provider shall defend (with legal counsel approved by the City), indemnify, protect, and hold harmless, the
City, its elected and appointed officers, agents, volunteers, and employees from and against any and all
liability, claims, costs, and damages, including but not limited to, attorney fees, arising from or attributable to
a failure to comply by Contractor/Service Provider or any contractor or subcontractor with any “Prevailing
Wage Requirement”, including, but not limited to, failure to post or provide required notices, failure keep
required records or documents, or failure to pay required wages.
1.11 Term. This Agreement shall commence on the earlier to occur of the Effective Date or
Contractor/Service Provider’s commencement of the Required Services hereunder and shall terminate when
the Parties have complied with all their obligations hereunder; provided, however, provisions which expressly
survive termination shall remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate
Contractor/Service Provider in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard
terms for billing and payment are set forth in this Section 2.
2.2 Detailed Invoicing. Contractor/Service Provider agrees to provide City with a detailed invoice for
services performed each month, within thirty (30) days of the end of the month in which the services were
performed, unless otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following
the Effective Date of the Agreement. All charges must be presented in a line item format with each task
separately explained in reasonable detail. Each invoice shall include the current monthly amount being billed,
the amount invoiced to date, and the remaining amount available under any approved budget.
Contractor/Service Provider must obtain prior written authorization from City for any fees or expenses that
exceed the estimated budget.
2.3 Payment to Contractor/Service Provider. Upon receipt of a properly prepared invoice and
confirmation that the Required Services detailed in the invoice have been satisfactorily performed, City shall
pay Contractor/Service Provider for the invoice amount within thirty (30) days. Payment shall be made in
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accordance with the terms and conditions set forth in Exhibit A and section 2.4, below. At City’s discretion,
invoices not timely submitted may be subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Retention Policy. City may retain ten percent (10%) of the amount due for Required Services detailed
on each invoice (the “holdback amount”). Upon City review and determination of Project Completion, the
holdback amount will be issued to Contractor/Service Provider.
2.5 Reimbursement of Costs. City may reimburse Contractor/Service Provider’s out-of-pocket costs
incurred by Contractor/Service Provider in the performance of the Required Services if negotiated in advance
and included in Exhibit A. Unless specifically provided in Exhibit A, Contractor/Service Provider shall be
responsible for any and all out-of-pocket costs incurred by Contractor/Service Provider in the performance of
the Required Services.
2.6 Exclusions. City shall not be responsible for payment to Contractor/Service Provider for any fees or
costs in excess of any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City
shall also not be responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or
related to the errors, omissions, negligence or acts of willful misconduct of Contractor/Service Provider, its
agents, employees, or subcontractors.
2.7 Payment Not Final Approval. Contractor/Service Provider understands and agrees that payment to
the Contractor/Service Provider or reimbursement for any Contractor/Service Provider costs related to the
performance of Required Services does not constitute a City final decision regarding whether such payment
or cost reimbursement is allowable and eligible for payment under this Agreement, nor does it constitute a
waiver of any violation by Contractor/Service Provider of the terms of this Agreement. If City determines
that Contractor/Service Provider is not entitled to receive any amount of compensation already paid, City will
notify Contractor/Service Provider in writing and Contractor/Service Provider shall promptly return such
amount.
3. INSURANCE
3.1 Required Insurance. Contractor/Service Provider must procure and maintain, during the period of
performance of Required Services under this Agreement, and for twelve months after completion of Required
Services, the policies of insurance described in the Scope of Work and on the attached Exhibit B, incorporated
into the Agreement by this reference (collectively the “Required Insurance”). The Required Insurance shall
also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted transacting
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Contractor/Service Provider must include all sub-Contractor/Service Providers/sub-
contractors as insureds under its policies and/or furnish separate certificates and endorsements demonstrating
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separate coverage for those not under its policies. Any separate coverage for sub-Contractor/Service Providers
must also comply with the terms of this Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Contractor/Service
Provider’s insurance using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude
Products/Completed Operations coverage.
3.6 General Liability Coverage to be “Primary.” Contractor/Service Provider’s general liability coverage
must be primary insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers.
Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers is
wholly separate from the insurance provided by Contractor/Service Provider and in no way relieves
Contractor/Service Provider from its responsibility to provide insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Contractor/Service Provider must
procure and put into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Contractor/Service Provider’s insurer(s) will provide a Waiver of Subrogation
in favor of the City for each Required Insurance policy under this Agreement. In addition, Contractor/Service
Provider waives any right it may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Contractor/Service Provider shall
furnish City with original certificates of insurance and any amendatory endorsements necessary to
demonstrate to City that Contractor/Service Provider has obtained the Required Insurance in compliance with
the terms of this Agreement. The words “will endeavor” and “but failure to mail such notice shall impose no
obligation or liability of any kind upon the company, its agents, or representatives” or any similar language
must be deleted from all certificates. The required certificates and endorsements should otherwise be on
industry standard forms. The City reserves the right to require, at any time, complete, certified copies of all
required insurance policies, including endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Contractor/Service Provider must
purchase “extended reporting” coverage for a minimum of five (5) years after completion of the work required
by this Agreement.
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d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Contractor/Service Provider’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Contractor/Service Provider
maintains higher limits than the minimums appearing in Exhibit B, City requires and shall be entitled to
coverage for higher limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Contractor/Service Provider shall protect, defend,
indemnify and hold harmless City, its elected and appointed officers, agents, employees and volunteers
(collectively, “Indemnified Parties”), from and against any and all claims, demands, causes of action, costs,
expenses, (including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or
equity, to property or persons, including wrongful death, in any manner arising out of or incident to any
alleged acts, omissions, negligence, or willful misconduct of Contractor/Service Provider, its officials,
officers, employees, agents, and contractors, arising out of or in connection with the performance of the
Required Services, the results of such performance, or this Agreement. This indemnity provision does not
include any claims, damages, liability, costs and expenses arising from the sole negligence or willful
misconduct of the Indemnified Parties. Also covered is liability arising from, connected with, caused by or
claimed to be caused by the active or passive negligent acts or omissions of the Indemnified Parties which
may be in combination with the active or passive negligent acts or omissions of the Contractor/Service
Provider, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Contractor/Service Provider’s obligations under this Section
4 is Contractor/Service Provider’s obligation to defend, at Contractor/Service Provider’s own cost, expense
and risk, any and all suits, actions or other legal proceedings that may be brought or instituted against one or
more of the Indemnified Parties. Subject to the limitations in this Section 4, Contractor/Service Provider shall
pay and satisfy any judgment, award or decree that may be rendered against one or more of the Indemnified
Parties for any and all related legal expenses and costs incurred by any of them.
4.4. Contractor/Service Provider’s Obligations Not Limited or Modified. Contractor/Service Provider’s
obligations under this Section 4 shall not be limited to insurance proceeds, if any, received by the Indemnified
Parties, or by any prior or subsequent declaration by the Contractor/Service Provider. Furthermore,
Contractor/Service Provider’s obligations under this Section 4 shall in no way limit, modify or excuse any of
Contractor/Service Provider’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Contractor/Service Provider agrees to pay any and all costs City incurs in
enforcing Contractor/Service Provider’s obligations under this Section 4.
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4.6 Survival. Contractor/Service Provider’s obligations under this Section 4 shall survive the termination
of this Agreement.
5. FINANCIAL INTERESTS OF CONTRACTOR/SERVICE PROVIDER.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and Contractor/Service Providers performing work for government
agencies to publicly disclose certain of their personal assets and income using a Statement of Economic
Interests form (Form 700). In order to assure compliance with these requirements, Contractor/Service
Provider shall comply with the disclosure requirements identified in the attached Exhibit C, incorporated into
the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Contractor/Service Provider is required to
file a Form 700, Contractor/Service Provider warrants and represents that it has disclosed to City any
economic interests held by Contractor/Service Provider, or its employees or subcontractors who will be
performing the Required Services, in any real property or project which is the subject of this Agreement.
Contractor/Service Provider warrants and represents that it has not employed or retained any company or
person, other than a bona fide employee or approved subcontractor working solely for Contractor/Service
Provider, to solicit or secure this Agreement. Further, Contractor/Service Provider warrants and represents
that it has not paid or agreed to pay any company or person, other than a bona fide employee or approved
subcontractor working solely for Contractor/Service Provider, any fee, commission, percentage, brokerage
fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement.
Contractor/Service Provider further warrants and represents that no officer or employee of City, has any
interest, whether contractual, non-contractual, financial or otherwise, in this transaction, the proceeds hereof,
or in the business of Contractor/Service Provider or Contractor/Service Provider’s subcontractors.
Contractor/Service Provider further agrees to notify City in the event any such interest is discovered whether
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Contractor/Service Provider shall fail to perform
the Required Services under this Agreement, in a proper or timely manner, or if Contractor/Service Provider
shall violate any of the other covenants, agreements or conditions of this Agreement (each a “Default”), in
addition to any and all other rights and remedies City may have under this Agreement, at law or in equity,
City shall have the right to terminate this Agreement by giving five (5) days written notice to
Contractor/Service Provider. Such notice shall identify the Default and the Agreement termination date. If
Contractor/Service Provider notifies City of its intent to cure such Default prior to City’s specified termination
date, and City agrees that the specified Default is capable of being cured, City may grant Contractor/Service
Provider up to ten (10) additional days after the designated termination date to effectuate such cure. In the
event of a termination under this Section 6.1, Contractor/Service Provider shall immediately provide City any
and all ”Work Product” (defined in Section 7 below) prepared by Contractor/Service Provider as part of the
Required Services. Such Work Product shall be City’s sole and exclusive property as provided in Section 7
hereof. Contractor/Service Provider may be entitled to compensation for work satisfactorily performed prior
to Contractor/Service Provider’s receipt of the Default notice; provided, however, in no event shall such
compensation exceed the amount that would have been payable under this Agreement for such work, and any
such compensation shall be reduced by any costs incurred or projected to be incurred by City as a result of
the Default.
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6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Contractor/Service Provider of such termination or suspension at least fifteen (15)
days prior to the effective date thereof. Upon receipt of such notice, Contractor/Service Provider shall
immediately cease all work under the Agreement and promptly deliver all “Work Product” (defined in Section
7 below) to City. Such Work Product shall be City's sole and exclusive property as provided in Section 7
hereof. Contractor/Service Provider shall be entitled to receive just and equitable compensation for this Work
Product in an amount equal to the amount due and payable under this Agreement for work satisfactorily
performed as of the date of the termination/suspension notice plus any additional remaining Required Services
requested or approved by City in advance that would maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Contractor/Service Provider hereby expressly waives any and all claims for damages or
compensation as a result of such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City,
Contractor/Service Provider shall meet and confer in good faith with City for the purpose of resolving any
dispute over the terms of this Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Contractor/Service Provider agrees that it is subject to personal jurisdiction in
California. If Contractor/Service Provider is a foreign corporation, limited liability company, or partnership
that is not registered with the California Secretary of State, Contractor/Service Provider irrevocably consents
to service of process on Contractor/Service Provider by first class mail directed to the individual and address
listed under “For Legal Notice,” in section 1.B. of Exhibit A to this Agreement, and that such service shall be
effective five days after mailing.
7. CITYSHIP AND USE OF WORK PRODUCT
7.1 General. All accounting records, reports, studies, information, data (in any form), statistics, forms,
designs, plans, procedures, systems and any other materials or properties produced in whole or in part under
this Agreement in connection with the performance of the Required Services (collectively “Work Product”)
shall be the sole and exclusive property of City. No such Work Product shall be subject to private use,
copyrights or patent rights by Contractor/Service Provider in the United States or in any other country without
the express, prior written consent of City. City shall have unrestricted authority to publish, disclose, distribute,
and otherwise use, copyright or patent, in whole or in part, any such Work Product, without requiring any
permission of Contractor/Service Provider, except as may be limited by the provisions of the Public Records
Act or expressly prohibited by other applicable laws. With respect to computer files containing data generated
as Work Product, Contractor/Service Provider shall make available to City, upon reasonable written request
by City, the necessary functional computer software and hardware for purposes of accessing, compiling,
transferring and printing computer files. No Work Product shall be sold or provided to any third party without
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the express written consent of City. Use of City Work Product is limited to implementing his Agreement by
individuals on a “need to know” basis.
7.2 Audits/Inspections. Contractor/Service Provider agrees to maintain and make available within San
Diego County Work Product, including but not limited to, accurate and complete books and accounting
records relative to all its activities under this Agreement. Contractor/Service Provider agrees that the City,
including its agents and persons or entities authorized by City to review said Work Product, shall have the
right to monitor, assess, or evaluate Contractor’s/Service Provider’s performance pursuant to this Agreement,
said monitoring, assessments, or evaluations to include audits, inspections of premises, reports, and interviews
of staff and participants.
At any time during normal working hours and as often that the City may deem necessary,
Contractor/Service Provider shall make available to City, State, and Federal Officials for examination all of
its records with respect to all matters covered by the Agreement and will permit City, State, and Federal
Officials to audit, examine, and make copies from such records . and to make audits of all invoices, materials,
payrolls, records of personnel, information regarding clients receiving services (including tenants), and any
other data or information relating to all matters covered by this Agreement.
7.3 Transfer of Records and Accounts. Upon termination of the Agreement for any reason, the following
procedures shall apply:
a. All Work Product is deemed to be the property of the City. All such records and funds shall be turned
over to the City within forty-five (45) days upon termination of the Agreement. Work Product also
includes, but is not limited to, resident and project files, accounting records, trust records, the general
ledger, all original books of entry, invoices, canceled checks, payroll records, and contracts.
b. Contractor/Service Provider shall retain for five (5) years copies of trust records and other pertinent
documents (as required by Business and Professions Code Section 10148 and State and Federal
requirements).
c. All cash, bank accounts, and trust accounts must be accounted for in writing and turned over to the
City or its representative within thirty (30) business days after the termination of this Agreement.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Contractor/Service Provider’s
unique qualifications and traits. Contractor/Service Provider shall not assign any of its rights or
responsibilities under this Agreement, nor any part hereof, without City’s prior written consent, which City
may grant, condition or deny in its sole discretion.
8.3 Authority. The person(s) executing this Agreement for Contractor/Service Provider warrants and
represents that they have the authority to execute same on behalf of Contractor/Service Provider and to bind
Contractor/Service Provider to its obligations hereunder without any further action or direction from
Contractor/Service Provider or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
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8.5 Entire Agreement. This Agreement together with all exhibits attached her eto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for five (5) years following completion of
the Required Services, Contractor/Service Provider agrees to maintain, intact and readily accessible, all data,
documents, reports, records, contracts, and supporting materials relating to the performance of the Agreement,
including accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-Contractor/Service Providers.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 The City and Contractor and Service Provider agree to the following.
8.8.1 Independent Contractor. Contractor/Service Provider is and shall at all times remain as to City a wholly
independent contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control
over the conduct of Contractor/Service Provider or any of Contractor/Service Provider’s officers, employees,
or agents (“Contractor/Service Provider Related Individuals”), except as set forth in this Agreement. No
Contractor/Service Provider Related Individuals shall be deemed employees of City, and none of them shall
be entitled to any benefits to which City employees are entitled, including but not limited to, overtime,
retirement benefits, worker's compensation benefits, injury leave or other leave benefits. Furthermore, City
will not withhold state or federal income tax, social security tax or any other payroll tax with respect to any
Contractor/Service Provider Related Individuals; instead, Contractor/Service Provider shall be solely
responsible for the payment of same and shall hold the City harmless with respect to same. Contractor/Service
Provider shall not at any time or in any manner represent that it or any of its Contractor/Service Provider
Related Individuals are employees or agents of City. Contractor/Service Provider shall not incur or have the
power to incur any debt, obligation or liability whatsoever against City, or bind City in any manner.
8.8.1 Contractor/Service Employees. The number of employees, their job descriptions, and salaries, shall be
determined by Contractor/Service Provider using the provisions of the “Management Plan” developed for the
Project and amended from time to time, which Management Plan is attached hereto as Exhibit “D” and
incorporated herein by this reference, but subject to City approval via the Operating Budget. The employees
shall be hired, supervised, transferred, discharged and solely directed by Contractor/Service Provider at
Contractor/Service Provider’s discretion (as Contractor/Service Provider is liable for and has the liability for
each employee). Contractor/Service Provider shall keep the City reasonably informed with respect to
Contractor/Service Provider’s desire to terminate or dismiss on-site personnel and shall consult with City with
respect to hiring on-site personnel, it being understood, however, that any final decisions in this regard shall
be made by Contractor/Service Provider. The City will reimburse Contractor/Service Provider via the
operating budget for employee costs as set forth in the Management Plan. Contractor/Service Provider
warrants to City they will conduct criminal background checks of employees.
8.9 No Encumbrances. Contractor/Service Provider may not, in any way, encumber or permit to be
encumbered any of the Project or Project Sites, including mortgages or liens of any type. The Project Sites
shall at all times be free and clear of all liens and encumbrances.
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8.10 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.11 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
8.12 Counterparts. This Agreement may be executed in any number of counterparts that, collectively, shall
constitute one and the same instrument. Facsimile signatures shall be effective as original signatures with regard
to this Agreement. Each party represents to the other that the execution and delivery of this Agreement by such
party have been properly authorized and that all signatures are genuine.
(End of page. Next page is signature page.)
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SIGNATURE PAGE
CONTRACTOR/SERVICE PROVIDER SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and
Contractor/Service Provider agree that they have read and understood all terms and conditions of the Agreement,
that they fully agree and consent to bound by same, and that they are freely entering into this Agreement as of the
Effective Date.
HYDER & COMPANY CITY OF CHULA VISTA/HOUSING
AUTHORITY
BY:________________________________ BY: ________________________________
KYLE BEACH MARIA V. KACHADOORIAN
VICE PRESIDENT OF ADMINISTRATION CITY MANAGER
HOUSING AUTHORITY DIRECTOR
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney/General Counsel
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EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Naader Ho
Management Analyst II
619-691-5263
nho@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Contractor/Service Provider Contract Administration:
HYDER & COMPANY
1649 Capalina Road, Suite 500
San Marcos, CA 92069
760-591-9737
kbeach@hyderco.com
For Legal Notice Copy to:
Kyle Beach
1649 Capalina Road, Suite 500
San Marcos, CA 92069
760-591-9737
kbeach@hyderco.com
2. Required Services
A. General Description:
Contractor shall perform property management functions for the Scattered Sites properties, including but
not limited to, marketing to and selection of tenants, collections of rents, care and maintenance of
property (including utilities), tenant relations, eviction of tenants, maintenance of records and reporting
to City, maintenance of various funds (including security deposit funds and operating funds), and
compliance with all applicable laws and regulations (including those applicable to affordable housing
requirements, landlord-tenant laws, and anti-discrimination laws), and prepare required reports related to
affordable housing units.
B. Detailed Description:
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1. Resident Selection/Affirmative Marketing Plan. Contractor and City agree to cooperate in the
implementation of the resident selection and affirmative marketing provisions of the Management Plan.
In carrying out these provisions, Contractor shall:
a. Lease units in compliance with the City’s agreement including provisions for any special needs such
as elderly or adapted units.
b. Assure that occupancy shall be open to all, regardless of race, color, ancestry, religion, national origin,
sex, marital status, handicap, use of Section 8 funding, or other arbitrary factors.
c. Assure that all advertising, including letterheads, brochures, and media advertising, shall include a
reference to “this institution is an equal opportunity provider, and employer.”
d. Notify applicants of their eligibility status and advise rejected or ineligible applicants of the reason
for denial.
e. Assure that resident selection is carried out without favoritism or partiality and that the public interest
is served at all times.
2. Compliance with Project Contracts and Procedures. City may have entered into regulatory agreements
governing the operations, management, and maintenance of the Project. These documents are
incorporated herein by this reference, and the Contractor agrees to comply with them. The Contractor
also agrees to comply with the requirements of Section 42 of the I.R.S. Code, if applicable.
Contractor shall prepare standard reports required by an applicable governmental authority. The
preparation of any non-standard report or documentation shall not be included as part of this
Agreement. Preparation of the: Annual City Certification (AOC), Project Cityship Profile (POP), Annual
Operating Expense Report (AOE) and Lender Profile Form (LP) required for tax credit projects are not
considered standard reports and they will be prepared by the City. For HUD projects, the City will
participate in completing the Management Occupancy Review (MOR) addendums B & C.
For projects not previously managed by Contractor–Contractor is not responsible for any material
errors in tenant files prior to the beginning date of this Management Contract. Contractor will conduct a
sample file inspection within 30 days of beginning management services.
The correction of material errors in files prior to this management contract shall not be included as part of
this Agreement. City agrees to have all material errors corrected by: (1) Contractor with a mutually
agreed upon subsequent agreement or (2) an independent consultant.
3. Collection of Rents and Other Receipts. Contractor shall collect when due all rents, charges, and other
amounts receivable in connection with the management and operation of the Project. Such receipts shall
be deposited in a General Operating Account.
4. Accounts. Contractor shall establish separate accounts as trustee for the City for Project funds. These
accounts shall be a General Operating Account, a Security Deposit Account, and any other accounts that
may be required by the City. Funds from these accounts shall be kept in depositories whose deposits are
insured by an agency of the federal government or other comparable federally insured program.
Contractor is authorized to open all of the required accounts without prior approval of the City or written
authorization or resolutions by the City. City will not appear on the signature cards.
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a. General Operating Account: The General Operating Account shall contain the gross operating
receipts received by the Contractor or City and/or its representatives pursuant to Paragraphs 3 and 20
of this Exhibit A. These funds shall be deposited promptly in the General Operating Account.
b. Security Deposit Account: Contractor shall collect security deposits in accordance with
requirements of the residential lease. In collecting, handling, and disbursing these funds, Contractor
shall comply with the requirements of the California Civil Code, Section 1950.5 and Business and
Professions Code Section 10145. These funds shall be kept in an account that is insured by an agency
of the federal government or other comparable federal program. They shall at all times be equal to
the total amount held by the Contractor for the tenant.
5. Disbursements. Contractor may disburse funds from the accounts described in Paragraph 4 above, only
for the purposes noted below. Contractor shall draw no checks nor incur any obligation in an amount
exceeding Five Thousand and no/100 Dollars ($5,000.00), without the express written permission of City,
except as necessary for emergency repairs required to avoid injury to persons or property. Upon receipt
of notice by Contractor, City will promptly make up any shortage in operating cash.
a. General Operating Account: Disbursements may be made from this account in accordance with
the budget, and shall be disbursed, applied, or reserved and set aside for payment when due, in the
following priority, to the extent available:
(1) Salaries, wagers, and any other form of compensation due and payable to Contractor’s
employees employed on site in connection with the maintenance, administration, or operation of
the project, along with all withholding taxes, insurance premiums, Social Security payments,
and other payroll taxes or payments or charges required in connection with such employees.
Contractor collects a payroll deposit of two (2) pay periods.
(2) all charges incurred in the operation of the Project in connection with utilities, real estate taxes
and assessments, and liability, fire and other hazard insurance;
(3) payments of required interest, principal, impounds, fees and charges, if any, on loans which are
secured by liens on the Project;
(4) all other expenses incurred to cover operating costs, including the fee of the Contractor and any
extraordinary expenses, in accordance with the approved annual operating budget of the Project
or as otherwise approved by the City;
(5) deposits to the required bank accounts; and
(6) distributions, in accordance with the direction of the City.
b. Security Deposit Account: Disbursements may be made from this account only to:
(1) pay the cost of any unpaid rent, damage, or unreasonable wear and tear caused by the resident,
after the resident vacates the unit, or to reimburse the General Operating Account for payment
of these costs; or
(2) return to the resident upon termination of the tenancy the portion of the deposit not used in
accordance with (1) above.
6. Insurance. At the direction of the City, the Contractor shall obtain and keep in effect at all times,
insurance covering the Project and its operations. The companies from whom the insurance is purchased,
the conditions in the contract of insurance, the amounts of coverage, and the beneficiaries of each policy,
shall be determined and approved by the City. The Contractor will pay premiums out of the General
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Operating Account, and premiums will be treated as operating expenses. Any deductible required under
the insurance policy shall be an expense to the Project to which it relates. Contractor shall investigate and
immediately furnish the City with full reports of all accidents occurring on or about the premises of the
Project or in connection with the operation of the Project, or any claims or potential claims for damage
arising out of such accidents on forms provided by City. Contractor shall cooperate with the City and
insurers in the investigations and settlement thereof. If required, the liability policy will name Contractor
as an additional insured. City will provide Contractor with the current Project’s insurance certifications
listing Contractor as additional insured on an on-going basis.
7. Records and Reports. In addition to requirements specified elsewhere in this Agreement, Contractor
shall have the following responsibilities with respect to records and reports:
a. Contractor shall establish and maintain a comprehensive system of records, books, and accounts in a
manner prescribed by generally acceptable accounting practices after consultation with the City. All
records, books, and accounts shall be subject to examination during regular hours of business by any
authorized representative of the City.
b. Contractor shall make additional reports of income and expenses in a time and manner satisfactory
to the City and consistent with acceptable accounting practices.
c. Contractor shall at all times keep all financial records, books, accounts, and other financial material
relating to the operation of the Project in safe condition and accessible to the City.
d. Contractor shall prepare and submit operating reports to the City by the 25th day of the month
following the reported month. The preparation of any non-standard report or documentation shall
not be included as part of this Agreement.
e. Contractor shall cause the financial records of the Project to be available to be audited annually by
an independent certified public accountant licensed in California designated by the City.
8. Management Plan/Annual Budget.
8.1 Contractor shall prepare a Management Plan acceptable to the City.
8.2 Contractor shall submit to the City for approval, a proposed operating budget for the Project. The
proposed operating budget shall be submitted prior to the beginning of each fiscal year. The proposed
operating budget shall set forth the anticipated gross income of the Project and a detailed estimate of all
expenses of the Project. The operating budget shall cover generally those expenses listed in Paragraph 5
above. Upon approval by the City, this proposed operating budget shall be the Operating Budget
(“Operating Budget”) for the next fiscal year of the Project.
9. Maintenance and Repair. Contractor shall cause the Project to be maintained and repaired in a condition
at all times acceptable to the City, including any state or federal requirements regarding the condition of
the property. Obligations under this paragraph shall include, but not be limited to, cleaning, painting,
decorating, plumbing, carpentry, grounds care, and all such other maintenance and repairs as may be
necessary, subject to (i) any limitations imposed by the City and (ii) to those limitations contained herein.
The following provisions shall apply to maintenance and repair of the Project:
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a. A preventive maintenance schedule shall be developed by Contractor for approval by the City. This
Schedule shall be incorporated into the Management Plan.
b. Contractor shall contract with qualified independent contractors for the maintenance and repair of
items beyond the capability of regular maintenance employees.
c. Contractor shall systematically and promptly receive and investigate all requests for maintenance or
repair from residents, take action thereon as may be justified, and keep records of the same.
Contractor shall inform tenants of procedures to obtain maintenance services if an emergency occurs
after normal office hours. Contractor shall have a dedicated phone number and point of contact for
maintenance or repair (including emergencies) requests. Contractor shall maintain a logbook
containing all service requests and maintenance repairs provided, copies of which shall be subject to
inspection by the City. Contractor shall perform the requirements of this Paragraph expeditiously
and shall ensure that each unit occupied by residents is safe and habitable.
d. Subject to the spending limitations set out in this Contract, Contractor is authorized to purchase all
materials, equipment, tools, appliances, supplies, and services necessary to ensure proper
maintenance and repair of the Project.
e. City shall furnish Contractor with a complete set of plans and specifications accurately reflecting the
Project as built and copies of all valid guarantees and warranties pertinent to construction, fixtures,
and equipment. With the aid of this information and inspection by competent personnel, Contractor
shall familiarize itself with the character, location, construction, layout, plan, and operation of the
Project and especially of the electrical, heating, plumbing, air conditioning and ventilating syst ems,
and all other mechanical equipment and systems.
For projects not previously managed by Contractor– Contractor is not responsible for any
substantial deferred maintenance items prior to the beginning date of this Management
Contract. Contractor will conduct a full property and unit inspection within 30 days of beginning
management services. The correction of any substantial deferred maintenance items shall not be
included as part of this Agreement and it will be necessary to execute a subsequent agreement for their
correction.
10. Rent and Rent Adjustments. Initial rents and subsequent rent adjustments are subject to City Approval.
11. Utilities and Services. Contractor shall make arrangements for all unit to have utilities, sewage, rubbish
collection, and vermin extermination. Contractor has the authority to execute such contracts on behalf of
City as may be necessary to secure such services, subject to the limitations described in Paragraph 5 of
this Exhibit A. For areas outside of the units, such as common areas and shared laundry facilities, they
are covered by the attendant HOA.
12. Enforcement of Residential Lease. Contractor is responsible for securing the full compliance of each
resident with the terms of the Residential Lease.
13. Orientation/Training. Contractor and appropriate personnel shall attend orientation or training sessions
as may be required by the City.
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14. Resident Counseling. Contractor shall, consistent with sound management of the Project, make referrals
to available community social service agencies in cases of financial hardship or under similar
circumstances that could lead to termination of a tenancy or eviction.
15. Termination of Tenancies or Evictions. Subject to City approval, Contractor may take action to
terminate or evict any tenants where in Contractor’s judgment, sufficient cause for such termination or
eviction exists under the terms of the Residential Lease. If Legal Counsel is required to pursue an eviction,
Contractor shall notify the City of such a need. The City Attorney’s Office shall thereafter obtain Legal
Counsel as determined appropriate by the City Attorney. Contractor shall keep City informed of the
progress of such actions if requested.
16. Compliance with Laws and Regulations. Contractor shall use commercially reasonable efforts to
comply with all federal, state and municipal laws, ordinances, regulations and orders relative to the
leasing, use, operation, repair and maintenance of the Property as such apply to Contractor in th e
performance of its duties hereunder, including laws prohibiting discrimination in housing, employment
laws (including those related to unfair labor practices), laws dealing with the proper handling, accounting
and disbursement of tenant damage or securit y deposits, laws regarding the storage, release and disposal
of hazardous materials and toxic substances, including without limitation, asbestos, petroleum and
petroleum products by Contractor. Contractor and City each shall notify the other of any notice of
violation of law with respect to the Property that it receives from any governmental authority or any notice
of violation or required corrective action that it receives from any board of fire underwriters or similar
agency. Contractor agrees and acknowledges that it shall be responsible for, and shall use commercially
reasonable efforts to, keep the Property in compliance with all bond and lender requirements, regulatory
agreements and all other agreements and regulations applicable to the operation of the Property and, in so
doing, Contractor shall make all submissions and filings required by such agreements and regulations,
subject to the limitations described in Paragraph 2 of this Exhibit A.
17. Nondiscrimination. Contractor shall ensure that services and facilities are provided without regard to
ethic group identification, race, color, ancestry, religion, national origin, creed, age, sex, marital status,
physical or mental disability, or political affiliation in compliance with State and Federal laws related to
discrimination (including housing), including, but not limited to, Title IX of the Education Amendments
of 1972; Title VI of the Civil Rights Act of 1964 (Public Law 88-352) and the regulations issued pursuant
thereto (24 CFR Part I); Executive Order 11063 and the regulations issued pursuant thereto (25 CFR
570.601); Title VII of the 1964 Civil Rights Act (42 U.S.C. 2000-d); Title VIII of the 1968 Civil Rights
Act (Public Law 90-384); the Age Discrimination Act of 1975 (42 U.S.C. 6101); the Americans with
Disabilities Act of 1990 (and as subsequently amended and attendant regulations); Government Code
section 11135 et. seq., and Section 504 of the 1974 Rehabilitation Act.
18. Fidelity Bond. Contractor shall furnish, as a Project expense, a fidelity bond.
19. Inspection of Units. Contractor shall inspect all units in the Project at least annually or as otherwise
required by law or the City.
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20. Bids, Discounts, Rebates, and Commissions. Contractor shall obtain contracts, materials, supplies, and
services on the most advantageous terms available to the Project and shall solicit formal bids for each
major item or service as required by the City and/or regulatory agreement(s). Contractor shall secure and
credit to the General Operating Account all discounts, or commissions obtainable with respect to
purchases, service contracts, and other transactions on City’s behalf. Contractor shall not have a financial
interest in contracts or procurement of services under this Paragraph.
21. Specific Performance Requirements. In addition to any other requirement mandated by the Agreement:
a. Contractor shall maintain a monthly occupancy rate of 95%.
b. Contractor shall begin filling a vacancy within five (5) days of said vacancy and shall complete
filling said vacancy within 30 days thereafter unless otherwise agreed upon by the City.
c. Contractor shall take immediate action on delinquent rents, lease violations, and resident caused
damage.
d. Contractor shall respond to routine work requests within three (3) days.
e. Contractor shall respond to HOA requests or inquires within three (3) days.
f. Contractor shall respond to emergencies immediately and complete work within 24 hours unless
there are extenuating circumstances.
g. Contractor shall lease units under terms required by the City and enforce said terms.
h. Contractor shall maintain the grounds, common areas, and ensure units are maintained in a decent,
safe, and sanitary condition.
i. Contractor shall, within 24 hours, Contractor shall notify City of any police, fire, or health-related
emergency activity.
22. Site Manager. Contractor shall designate an individual to serve as and to perform the duties of a Site
Manager for all the Scattered Sites.
23. Scattered Sites Descriptions. The Scattered Sites shall consist of the following properties: 2232
Huntington Point Rd #54 / 2260 Huntington Point Rd. #98 / 2264 Huntington Point Rd. #101 / 532 Anita
Street #101 / 536 Anita Street #86 / 1547 Broadway #37 / 621 D Street #109
3. Term/Completion Date: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall
begin on August 1, 2022 and end on June 30, 2022.
4. Compensation:
1. [Contract Service] Contractor’s services to be covered by the Management Fee include the following:
Off-site overhead
Supervision
Preparation of financial statements and reports as agreed
Payroll and benefit processing
Off-site computer processing
Project bookkeeping and accounting
DocuSign Envelope ID: 9AEDF84D-E40E-4CFD-B3EB-BA56A9E1F857
2022/08/23 City Council Post Agenda Page 392 of 573
20 City of Chula Vista Agreement No.: 2022-083
Consultant Name: Hyder & Company Rev. 09/15/20
[Project Costs] Services not covered by the Management Fee, but which are covered via the Operating
Budget and General Operating Account include the following:
Employee costs including pay, benefits, taxes, and social security
Fidelity insurance, errors and omissions insurance, E.P.L.I ., cyber insurance,
tenant discrimination insurance & workers compensation insurance
Project Operating expenses
Maintenance & repairs
On-site telephone & computer costs including software &
hardware maintenance costs
Annual audit and other owner reports not required by
this Agreement.
On-site computer costs (hardware and software) & processing
To the extent Contractor provides services identified in this section, they shall be paid at the hourly rate
so specified from the Operating Budget in the amounts set forth in Section 2 [Service Fee], Paragraph B
[Specified Project Costs] of this Paragraph 4 described below.
2. [Compensation].
A. [Service Fee] Contractor shall be compensated for its services under this contract by a monthly fee
(“Management Fee”) to be paid out of the General Operating Account. The monthly fee shall be 6.75%
of all residential, commercial, and miscellaneous income collected derived from the Project’s income,
including additional subsidy amounts, in the total not to exceed amounts set forth below.
Term Amount
Initial $12,600
Option Year 1 $12,978
Option Year 2 $13,368
Option Year 3 $13,769
Option Year 4 $14,182
Total $66,897
B. [Specified Project Costs] The following fees will be paid in addition to the Contractor’s Compensation
(identified the Operating Budget and paid from the General Operating Account):
Hourly Rate for Site Manager services billed at $25.00 per hour.
Hourly Rate for Maintenance services billed at $25.00 per hour.
Hourly Rate for Compliance services billed at $25.00 per hour.
Mileage reimbursement for visiting the sites at the IRS rate for mileage reimbursement.
Software Expenses of $550 per year as follows:
DocuSign Envelope ID: 9AEDF84D-E40E-4CFD-B3EB-BA56A9E1F857
2022/08/23 City Council Post Agenda Page 393 of 573
21 City of Chula Vista Agreement No.: 2022-083
Consultant Name: Hyder & Company Rev. 09/15/20
o Yardi Costs at $40 per year per unit or $280 per year
o Email connection fee at $10 per month or $120 per year
o Anti-virus software proration at $150 per year
Notwithstanding the foregoing, the maximum amount to be paid to the Contractor/Service Provider via the Service
Fee for services performed through June 30, 2027, shall not exceed $66,897.
5. Special Provisions
☐ Permitted Sub-Contractor/Service Providers: None
☒ Security for Performance: Provide Fidelity Bond as stated in the Agreement
☒ Notwithstanding the term/completion date set forth in Section 3 above, City has option to extend this
Agreement for four (4) additional terms, defined as a one-year increment. The City Manager or Director of
Finance/Treasurer shall be authorized to exercise the extensions on behalf of the City. If the City exercises an
option to extend, each extension shall be on the same terms and conditions contained herein, provided that the
amounts specified in Section 4 above may be increased as agreed by the Parties. The City shall give written
notice to Contractor/Service Provider of the City’s election to exercise the extension via the Notice of Exercise
of Option to Extend document. Such notice shall be provided at least 30 days prior to the expiration of the term.
DocuSign Envelope ID: 9AEDF84D-E40E-4CFD-B3EB-BA56A9E1F857
2022/08/23 City Council Post Agenda Page 394 of 573
22 City of Chula Vista Agreement No.: 2022-083
Consultant Name: Hyder & Company Rev. 09/15/20
EXHIBIT B
INSURANCE REQUIREMENTS
Contractor/Service Provider shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to
provide the following types and minimum amounts of insurance, as indicated by checking the applicable boxes
(x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
Other Negotiated Insurance Terms: None.
DocuSign Envelope ID: 9AEDF84D-E40E-4CFD-B3EB-BA56A9E1F857
2022/08/23 City Council Post Agenda Page 395 of 573
23 City of Chula Vista Agreement No.: 2022-083
Consultant Name: Hyder & Company Rev. 09/15/20
EXHIBIT C
CONTRACTOR/SERVICE PROVIDER CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some Contractor/Service Providers, to make certain public disclosures using
a Statement of Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to
any member of the public. In addition, Contractor/Service Providers designated to file the Form 700 are also
required to comply with certain ethics training requirements.3
☒ A. Contractor/Service Provider IS a corporation or limited liability company and is therefore EXCLUDED4
from disclosure.
☐ B. Contractor/Service Provider is NOT a corporation or limited liability company and disclosure designation
is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the Contractor shall
file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☒ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Contractor/Service Provider,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Contractor/Service Provider will provide. Notwithstanding this designation or anything in the Agreement, the
Contractor/Service Provider is ultimately responsible for complying with FPPC regulations and filing requirements. If
you have any questions regarding filing requirements, please do not hesitate to contact the City Clerk at (619)691-5041,
or the FPPC at 1-866-ASK-FPPC, or (866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the Contractor’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Naader Ho
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who p articipates in making a governmental decision; “individual” does not include
corporation or limited liability company).
DocuSign Envelope ID: 9AEDF84D-E40E-4CFD-B3EB-BA56A9E1F857
2022/08/23 City Council Post Agenda Page 396 of 573
klPcMue
111 3120j; III,: MM"BUTi"tIUMIJIM102NO,
FROM 429 NAPLES ON TO WEISSER WAY CUL-DE-SAJ'WWE9
IANDRESTORERETAININGWALLTOORIGINALdWIMBA"
I loll hro 11 A q 12
We the Home Owners and Residents of Weisser Way Cul -De -Sac do here by petition the City of Chula Vista
and its Development Services Department to rescind any and all consent or permissions for the owner, occupier
and/or resident(s) of any and all property(s) located at 429 Naples St. to establish, use, or maintain any
pedestrian access to the Weisser Way Cul -De -Sac on, through, or by the previously constructed and long
standing masonry retaining miall. We do hereby also request that said masonry retaining wall be ordered
restored to its original condition and structural integrity.
The subject masonry retaining wall remarked upon herein was originally built in 1989 by the developer of the Weisser
Way Cul -De -Sac as part of the City of Chula Vista engineering and development requirements. Per requirements it was
then deeded to the City and remained intact and undisturbed until 2022, some 33 years. The cost of this -wall was actually
born by the home buyers, owners, and residents of Weisser Way. The City oflChula Vista has never maintained.,
financially or otherwise, any portion of this retaining wall.
During all of the subsequent 33 years the 17 home owners and residents of Weisser Way maintained a vested and
persistent equitable interest in the preservation of this retaining wall as it assured increased home owner value, privacy,
residential access, quietness, and the enjoyment of limited through traffic, along with the assurance of the continuity and
cohesiveness of our neighborhood. 114owever in 2022, the owner of 429 Naples constructed a backyard rental and sought
to relive Th-1111self of all tenant access burdens across or through the front of his property to the backyard dwelling by
seeking a permit to cut a pedestrian entry point through this 6 ft. masonry retaining wall into his backyard. This simply
allowed his renters to enter his backyard rental via the Weisser Way Cul -De -Sac and transfer his burden of tenant access
and parking to the owners and residents of Weisser Wgy. We believe and assert that any such permission or consent
to construct said pedestrian passageway violates our vested equitable interests, our -vested real property value(si
and interests, and that its construction directly damages and detrimentally impinges upon said values and
interests. Additionally, we believe and assert that the transfer of the aforementioned burden from the homeovimer
at 429 Naples street to the owners and residents of Weisser Way unjustly conveys and grants an indivisible
property value from us to his property. We believe and assert the likelihood of imposing such damage and
hardships upon us was readily foreseeable and we note that no input nor permission whatsoever was sought from
the Weisser Way home owners and residents by the Development Services Department. Plus, while our interests
were not given adequate, nor any, consideration, they were none the less unfairly subordinated to pecuniary
I-
2022/08/23 City Council Post Agenda Page 397 of 573
interests of one home owner who is not and has never been a resident of nor contributed to the owners costs of the
Weisser Way cul-de-sac nor its retaining wall.
In a written reply to one home owner's inquiry about this matter, a departmental official stated that the Development
Services Department could and would initiate a review of this situation if the home owners and residents of Weisser Way
provided proof of ownership of this retaining wall. Otherwise the immutable dictum of their unjust summary decision
would remain extant and that we home owners and residents would be permanently, unilaterally, and intransigently
denied any further consideration or review. Consequently we the home owners and residents of Weisser Way assert
that we have and hold the paramount equitable interests here and that this departments choice to summarily
authorize such an intrusive and destructive passageway unilaterally abrogated our vested home ownerproperty
value(s) and reliance upon the duty, purpose, and obligation of the City to preserve and defend them.
In addition, we the home owners and residents of Weisser Way remain concerned that by and through the actions noted
above, the City of Chula Vista Development Services Department has demonstrated a need for more specific guiding
principals, policies, and procedures to prevent recurrence of permitting such summary, intrusive, ramshackle, and
debilitating construction that do not meet the standards and expectations of a well run and cohesive community. We urge
a full review of them; with revision and implementation as need be ordered by the City Council, and request that these be
adhered to, be kept open to scrutiny, and made readily available to all citizens of Chula Vista.
Owners and Residents supporting this petition are set forth below
Date Address Signed Name I Printed Name
2-
2022/08/23 City Council Post Agenda Page 398 of 573
Date Address Signed Name Printed Name
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2022/08/23 City Council Post Agenda Page 399 of 573
Date
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2022/08/23 City Council Post Agenda Page 400 of 573
2022/08/23 City Council Post Agenda Page 401 of 573
v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Community Facilities District Formation: Consider Authorizing the California Municipal Financing Authority
to Form Community Facility District No. 2022-12 Through the Bond Opportunities for Land Development
Program and Related Actions
Report Number: 22-0213
Location: Otay Ranch Village 3, Phase II - located at the terminus of Main Street, east of Heritage Road
Department: Development Services
Environmental Notice: The activity is not a "Project" as defined under Section 15378 of the California
Environmental Quality Act (CEQA) State Guidelines; therefore, pursuant to State Guidelines Section
15060(c)(3) no environmental review is required.
Recommended Action
A) Conduct a public hearing pursuant to California Government Code section 6586.5; then B) Adopt a
resolution authorizing the California Municipal Financing Authority (CMFA) to initiate proceedings to form
CFD No. 2022-12 (City of Chula Vista - Otay Ranch Village 3, Phase II) through the Bond Opportunities for
Land Development Program (“BOLD Program”) pursuant to the Mello-Roos Community Facilities Act of
1982, as amended, approving a Joint Community Facilities Agreement (JCFA), and authorizing related
actions; and C) Adopt a resolution approving an Acquisition Financing Agreement with CMFA relating to the
above-referenced CFD.
SUMMARY
The BOLD Program offered by CMFA provides its members a means to accommodate formation of CFDs and
bonding within their jurisdiction. By participating in the BOLD Program, CFD formation, administration and
bonding is handled by CMFA and the City of Chula Vista’s (the “City”) involvement can be mi nimized. The
City is a member of CMFA, having utilized CMFA for other types of bond financings in the past, including a
bond financing with respect to Otay Ranch Village 8 West which is anticipated to close early August 2022.
HomeFed Village III, LLC (HomeFed), the master developer of the Otay Ranch Village 3 Phase II development
project (Village 3 Phase II) requested that the City allow CMFA to form CFD No. 2022-12 (City of Chula Vista
- Otay Ranch Village 3 Phase II) (the “Village 3 Phase II CFD”). The Village 3 Phase II CFD will be authorized
2022/08/23 City Council Post Agenda Page 402 of 573
P a g e | 2
to finance the cost of constructing certain public improvements and payment of certain City development
impact fees. A JCFA by and between CMFA and the City (the “Village 3 Phase II JCFA”) setting forth the
administration of the Village 3 Phase II CFD is provided as Attachment 1.
Tonight’s action includes conducting a public hearing, as required under California Government Code Section
6586.5 to allow bonds to be issued by CMFA to finance capital improvements within the boundaries of the
City. Upon conclusion of the public hearing, a resolution authorizing the formation of the Village 3 Phase II
CFD through the BOLD Program and approving the Village 3 Phase II JCFA may be adopted, as reflected within
Resolution A. If approved, a resolution approving the form of the Acquisition Financing Agreement by and
among the City, CMFA for and on behalf of the Village 3 Phase II CFD, and HomeFed (the “Acquisition
Financing Agreement”), relating to the acceptance and acquisition by the City of the public improvements
through financing provided by the Village 3 Phase II CFD may be adopted, as reflected within Resolution B.
The Acquisition Financing Agreement is provided as Attachment 2.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with CEQA and has
determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines
because the proposed activity does not result in a physical change in the environment; therefore, pursuant
to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no
environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
The BOLD Program
The Mello-Roos Community Facilities Act of 1982, as amended (the “Act”) offers financing flexibility
commonly used by cities, schools and other local agencies throughout the State of California (the “State”) to
generate funds for the payment of public facilities, including development impact fees for facilities. The BOLD
Program offers developers the opportunity to finance public infrastructure, as well as impact fees associated
with new development through tax-exempt and/or taxable bonds payable from special taxes levied by a CFD
on property within such CFD, a typical financing method for new home developments in the State.
CMFA is a statewide joint powers authority whose members are numerous public entities throughout the
State. CMFA has the same powers as its members and can issue municipal bonds on behalf of a member after
the member jurisdiction, such as the City, holds a public hearing on the proposed issuance of bonds and
makes a finding of significant public benefit. Participation is at no cost to members and typically lowers
administration costs; provides an alternate means for bond issuances; and allows for efficient delivery of
local agency services to residential and commercial development.
The City’s participation in the BOLD Program supports the efficient delivery of local agency services to
residential and commercial development due to the following: (1) CMFA, not the City, will form the CFD and
administer the CFD, although input from City staff is sought on key provisions in the CFD documents, CMFA
approves all formation documents, reducing administrative time for City staff; (2) CMFA meets every 3 weeks
2022/08/23 City Council Post Agenda Page 403 of 573
P a g e | 3
and can hold special meetings in order to expedite the CFD formation process and bond issuance process;
(3) CMFA consultants will field questions from residents within the CFD regarding the amount of special tax
and use of special tax; (4) CMFA consultants will coordinate the annual special tax levy with the County of
San Diego, and track and assist in the collection of any delinquencies; and (5) if requested by the City, CMFA
utilizes a program administrator for the BOLD Program to review invoices and other documentation related
to disbursement of bond proceeds.
The BOLD Program is facilitated through bond professionals chosen by CMFA with spec ialized expertise in
CFD formation, bond issuance and sales – bond counsel, underwriter, special tax consultant and other
advisors as needed. The City does not designate the financing team and is not involved in the bond issuance
process except for a closing certificate to be delivered at closing of each bond issue relating to the facilities
being financed with bond proceeds. However, should the City desire to use its own municipal advisor and/or
legal counsel to review the BOLD Program application and/or other program documents, it may do so, with
all related costs payable from bond proceeds.
Village 3 Phase II
Otay Ranch Village 3 Phase II, located at the terminus of Main St, east of Heritage Rd, is an approximately 24-
acre site with residential and open space land use areas. The project’s approved tentative map allows for the
development of 412 residential units. Anticipated housing types include multifamily apartments, rowhomes,
and triplexes.
The project is currently in the pre-construction phase with near term key milestones including approval and
recordation of a Final Map and approval of both a grading plan and public improvement plan. HomeFed is
currently bidding out the grading, storm drain and wet utility scopes, with contract execution pending final
approval of the aforementioned plans by the City and Otay Water District. Immediately thereafter,
construction is planned to commence, starting with grading, storm drain, retaining walls and wet utilities.
The estimated grading start date is late August 2022. The multifamily zoned site (Parcel R-19) is in the Design
Review process with the City and estimated to start construction in the second quarter of 2023.
The City Council has previously approved Council Policy Number 505-04 “Statement of Goals and Policies
Regarding Establishment of Community Facilities Districts,” (the “City’s Goals and Policies”). The Village 3
Phase II CFD will be formed in accordance with the City’s Goals and Policies, with the following exceptions:
(1) prohibition on financing development impact fees;
(2) prohibition on the escalation of the maximum special tax to pay for public facilities;
(3) payment to the City of compensation equal to one percent (1%) of the total authorized bonded
indebtedness;
(4) requirement that an appraisal be coordinated by, done under the direction of, and addressed to the
City; and
(5) the requirement that all consultants including the appraiser, be selected and retained by the City.
Staff supports the proposed exceptions to the City’s Goals and Policies for the following reasons:
(1) While the City’s Goals and Policies prohibit financing of development impact fees , the financing of
development impact fees is allowed under the Act. Allowing this exception provides a path for
developers to finance their development impact fee obligation and allows the City to receive a
2022/08/23 City Council Post Agenda Page 404 of 573
P a g e | 4
substantial amount of development impact fees upon bond issuance, instead of deferring collection
to individual building permits.
(2) The escalation of the maximum special tax allows for the issuance of more debt than a non-escalating
tax and is becoming more common in CFDs.
(3) The City is not responsible for forming the district or issuing the bonds, as it would be in a
traditionally formed CFD. It is therefore appropriate for the City to receive less financial
consideration than it would have received if it were the issuer. CMFA will receive a one percent (1%)
issuer fee and the City will receive a quarter of CMFA’s issuer fee (0.25%).
(4) The appraisal is coordinated by and under the direction of CMFA instead of the City. There is
sufficient City review of the appraisal and all other documents related to the formation and bond sale
under this structure. Having CMFA take on this role is part of the efficiency of the BOLD program.
(5) CMFA selects and retains all consultants, including the appraiser. Having CMFA take on this role is
part of the efficiency of the BOLD program.
Next Steps
Approval of Resolution A authorizes CMFA to initiate proceedings to form the Village 3 Phase II CFD and
approve the form of the Village 3 Phase II JCFA. Resolution B approves the form of the Acquisition Financing
Agreement relating to the acceptance of the facilities and disbursement of moneys.
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the City Council members and has found no property holdings
within 1,000 feet of the boundaries of the property which is the subject of this action. Consequently, this item
does not present a disqualifying real property-related financial conflict of interest under California Code of
Regulations Title 2, section 18702.2(a)(7) or (8), for purposes of the Political Reform Act (Cal. Gov’t Code
§87100, et seq.). Staff is not independently aware and has not been informed by any City Council member, of
any other fact that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
There are no current year fiscal impacts to the General Fund or the Development Services Fund as a result of
this action. All expenses incurred by the City in the formation of the Village 3 CFD are borne by the developer.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact to the General Fund or the Development Services Fund as a result of this
action. The City is not liable to repay the bonds issued by CMFA or the special taxes imposed on the
participating properties within any CFD formed through the BOLD Program, and the City has no contractual
relationship with bond owners or the bond trustee.
ATTACHMENTS
1. Joint Community Facilities Agreement
2. Acquisition Financing Agreement
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P a g e | 5
Staff Contact: Kimberly Elliott, Facilities Financing Manager
Laura C. Black, AICP, Interim Director of Development Services
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60297.00063\40319149.1
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA AUTHORIZING FORMATION OF THE
CALIFORNIA MUNICIPAL FINANCE AUTHORITY
COMMUNITY FACILITIES DISTRICT NO. 2022-12 (CITY OF
CHULA VISTA – OTAY RANCH VILLAGE 3 PHASE II)
THROUGH THE BOND OPPORTUNITIES FOR LAND
DEVELOPMENT (BOLD) PROGRAM PURSUANT TO THE
MELLO-ROOS COMMUNITY FACILITIES ACT OF 1982, AS
AMENDED; APPROVING A JOINT COMMUNITY
FACILITIES AGREEMENT AND AUTHORIZING RELATED
ACTIONS
WHEREAS, the City of Chula Vista (the “City”) is a municipal corporation and charter
city duly organized and existing under and pursuant to the Constitution and the laws of the State
of California (the “State”) and has previously authorized the use of the California Municipal
Finance Authority’s (CMFA) Bond Opportunities for Land Development Program (the “BOLD
Program”) to allow the owners of property to be developed within the City to participate in the
BOLD Program subject to the approval of the City Council; and
WHEREAS, the CMFA has established the BOLD Program to allow the financing of
certain public facilities and/or certain development impact fees that finance public facilities
(together, the “Improvements”) levied by local agencies in the State through the levy of special
taxes pursuant to the terms and provisions of the Mello-Roos Community Facilities Act of 1982,
as amended (the “Act”); and
WHEREAS, HomeFed Village III, LLC (HomeFed), the master developer of the Otay
Ranch Village 3 Phase II development project (the “Project”) has requested that the City allow
them to utilize the BOLD Program and to allow the CMFA to form California Municipal Finance
Authority Community Facilities District No. 2022-12 (City of Chula Vista – Otay Ranch Village
3 Phase II) (the “Village 3 Phase II CFD”) under the Act, to levy special taxes within the Village
3 Phase II CFD, and to issue bonds secured by such special taxes under the Act to finance the
Improvements, provided that HomeFed voluntarily agrees to participate and consent to the levy of
such special taxes and the issuance of such bonds; and
WHEREAS, the City Council has previously approved Council Policy Number 505-04
“Statement of Goals and Policies Regarding Establishment of Community Facilities Districts,”
(the “City’s Goals and Policies”) and with the exception of: (1) the prohibition on financing
development impact fees; (2) the prohibition on the escalation of the maximum special tax to pay
for public facilities; (3) the payment to the City of compensation equal to one percent (1%) of the
total authorized bonded indebtedness; (4) the requirement that an appraisal be coordinated by, done
under the direction of, and addressed to the City; and (5) the requirement that all consultants
including the appraiser, be selected and retained by the City, the Village 3 Phase II CFD shall be
formed in accordance with the City’s Goals and Policies attached hereto as Exhibit 1 and
incorporated herein by this reference; and
2022/08/23 City Council Post Agenda Page 407 of 573
Resolution No. 2022-
Page No. 2
WHEREAS, the Village 3 Phase II CFD shall be authorized to finance City capital facilities
and related costs (the “City Infrastructure”) in satisfaction of certain City development impact fees
(the “City Fees”) authorized to be financed under the Act and certain City capital facilities to b e
constructed by or on behalf of HomeFed (“Acquisition Improvements” and with the City
Infrastructure and the City Fees, the “Facilities”); and
WHEREAS, the Acquisition Improvements shall be accepted and moneys shall be
disbursed in accordance with an Acquisition Funding Agreement to be entered into among the
CMFA, the City and HomeFed (the “Acquisition Agreement”); and
WHEREAS, the City Council has determined the Village 3 Phase II CFD will provide
benefit to the community at large as well as a benefit to the properties within the Village 3 Phase
II CFD of the types described in the City’s Goals and Policies; and
WHEREAS, the City Council has determined that the public facilities autho rized to be
financed by the Village 3 Phase II CFD are of the types described in the City’s Goals and Policies;
and
WHEREAS, under Section 53316.2 of the Act, the CMFA may form the Village 3 Phase
II CFD to finance the Facilities in connection with the Project and issue bonds, the proceeds of
which are used by the City for City Infrastructure, provided the CMFA and the City enter into a
joint community facilities agreement; and
WHEREAS, the form of a Joint Community Facilities Agreement by and between the
CMFA and the City (the “JCFA”) setting forth the administration of the Village 3 Phase II CFD
has been presented to and considered for approval by the City and the City Council, and with the
aid of staff has reviewed and considered the JCFA, finds that it will be beneficial to residents of
the City and that it is suitable for approval, subject to the conditions set forth in this Resolution ;
and
WHEREAS, following the adoption of this Resolution, all further proceedings with respect
to the formation of the Village 3 Phase II CFD and the issuance of special tax bonds and other debt
for the Village 3 Phase II CFD shall be undertaken by CMFA with the exception of the Acquisition
Agreement which shall be approved by the City Council prior to the issuance of special tax bonds
and/or other debt for the Village 3 Phase II CFD.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista,
that:
SECTION 1. Recitals. Each of the above recitals are true and correct and are hereby
incorporated into this Resolution as though fully set forth herein.
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60297.00063\40319149.1
Resolution No. 2022-
Page No.
3
SECTION 2. Goals and Policies. The formation of the Village 3 Phase II CFD is
hereby authorized provided, that the Village 3 Phase II CFD will be formed in accordance with
the City’s Goals and Policies with the following exceptions: (1) the prohibition on financing
development impact fees; (2) the prohibition on the escalation of the maximum special tax to pay
for public facilities; (3) the payment to the City of compensation equal to one percent (1%) of the
total authorized bonded indebtedness; (4) the requirement that an appraisal be coordinated by, done
under the direction of, and addressed to the City; and (5) the requirement that all consultants
including the appraiser, be selected and retained by the City.
SECTION 3. Approval of JCFA. The form of JCFA as presented to this City
Council and on file with the City Clerk is hereby approved. The City Manager and such other
official or officials of the City as may be designated in writing by this City Council (each, an
“Authorized Officer” and together, the “Authorized Officers”) are each authorized to execute the
JCFA for and on behalf of the City with such changes thereto as such Authorized Officer,
following consultation with the City Attorney and Best Best & Krieger LLP, deem to be in the
best interests of the City.
SECTION 4. Authorizations. The Authorized Officers and other officers,
employees and agents of the City, are hereby authorized and directed, jointly and severally, to do
any and all things which they may deem necessary or advisable in order to consummate the
transactions herein authorized and otherwise to carry out, give effect to and comply with the terms
and intent of this Resolution. All actions heretofore taken by the Authorized Officers and other
officers, employees and agents of the City with respect to the CMFA and the BOLD Program and
the matters described herein are hereby approved, confirmed and ratified.
SECTION 5. Effective Date. This Resolution shall take effect immediately upon
its adoption. The City Clerk is hereby authorized and directed to transmit a certified copy of this
Resolution to the Secretary of the CMFA.
2022/08/23 City Council Post Agenda Page 409 of 573
Resolution No. 2022-
Page No. 4
Presented by Approved as to form by
Laura C. Black, AICP Glen R. Googins
Interim Director of Development Services City Attorney
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60297.00063\40316577.3
ACN #2022-125
1
JOINT COMMUNITY FACILITIES AGREEMENT
CMFA BOLD PROGRAM
Joint Community Facilities Agreement
Relating to:
California Municipal Finance Authority
CFD No. 2022-12 (City of Chula Vista - Otay Ranch Village 3 Phase II)
This Joint Community Facilities Agreement (this “Agreement”), dated as of _________ ,
2022, is entered into by and between the California Municipal Finance Authority, a joint exercise
of powers authority duly organized and existing under the Constitution and laws of the state of
California (the “CMFA”), and the City of Chula Vista, a charter city duly organized and validly
existing under the Constitution and laws of the State of California (the “City,” and together with
CMFA, the “Parties”).
WITNESSETH:
WHEREAS, the CMFA intends to conduct, proceedings under the Mello-Roos Community
Facilities Act of 1982 (California Government Code section 53311 et seq.) (the “Act”) to form the
above-referenced community facilities district (the “CFD”) encompassing all or a portion of the
Otay Ranch Village 3 Phase II development project (the “Project”). The master developer of the
Project is HomeFed Village III, LLC (the “Developer”). The CFD shall be authorized to f inance
City capital facilities and related costs (“City Infrastructure”) in satisfaction of City development
impact fees described in Exhibit A hereto (“City Fees”) authorized to be financed under the Act
as part of its Bond Opportunities for Land Development (“BOLD”) program, which City Fees are
payable with respect to all development within the Project and certain City capital facilities to be
constructed by or on behalf of the Developer as described in Exhibit A hereto (“Acquisition
Improvements” and with the City Infrastructure and City Fees the “Facilities”);
WHEREAS, under Section 53316.2 of the Act, the CMFA may form the CFD to, among
other things, finance the Facilities in connection with new development in the City and issue
bonds, the proceeds of which are used by the City for the Facilities, provided the CMFA and the
City enter into a joint community facilities agreement such as this Agreement;
WHEREAS, the CMFA intends to utilize the proceeds of sale of special tax bonds (the
“Bonds”) and special taxes of the CFD (the “Special Taxes”) to finance some or all of the Facilities;
WHEREAS, the City is willing to cooperate with the CMFA in accomplishing the financing
of the Facilities through the CFD, and to confer upon the CMFA full power to provide such
financing in the event that proceeds of Special Taxes and/or Bonds of the CFD become available
and are utilized for such purpose;
WHEREAS, this Agreement is made under the authority of Section 53316.2 of the Act;
and WHEREAS, in consideration for the mutual undertakings of the Parties stated herein, the
Parties agree as follows:
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AGREEMENT:
1. Administration of CFD and Issuance of Bonds by the CMFA. The CFD shall be
established and administered in accordance with the City’s Statement of Goals and Policies
Regarding Establishment of Community Facilities Districts attached hereto as Exhibit B with the
exception of: (1) the prohibition on financing development impact fees; (2) the prohibition on the
escalation of the maximum special tax to pay for public facilities; (3) the payment to the City of
compensation equal to one percent (1%) of the total authorized bonded indebtedness of the CFD;
(4) the requirement that an appraisal be coordinated by, done under the direction of, and
addressed to the City; and (5) the requirement that all consultants including the appraiser, be
selected and retained by the City. The CMFA shall administer the CFD, including employing and
paying all consultants, annually levying the Special Taxes and paying and administering the
Bonds, and complying with all state and federal requirements appertaining to the proceedings
establishing the CFD and issuing and using the proceeds of the Bonds, including the requirements
of the United States Internal Revenue Code of 1986, as amended (the “Code”) with respect to the
tax-exempt Bonds that are issued. The City shall execute and deliver such certifications and
agreements as may reasonably be required in order for bond counsel to the CMFA to conclude
that interest on any tax-exempt Bonds will be excluded from gross income under the Code, if
applicable. To the extent such certifications and agreements cannot be executed with respect to
certain City Fees, Bonds may be issued on a taxable basis.
2. Agreement to Hold Available Moneys. The CMFA shall hold or cause to be held
within a separate fund (the “Project Fund”) proceeds of each issue of Bonds issued to finance
City Infrastructure, as well as proceeds of Special Taxes levied by the CFD for “pay-as-you-go”
funding from Special Taxes collected in excess of the amounts needed for bond debt service and
administration expenses (such bond proceeds and excess amounts are referred to as “Available
Moneys”). The Project Fund shall be segregated from all other funds and, except for investment
purposes, shall not be commingled with any other funds. The Project Fund may include separate
accounts as necessary to separately account for the proceeds of tax-exempt and taxable Bonds
(the “Tax-Exempt Account” and “Taxable Account,” respectively) and to account for the proceeds
of such Bonds that are to fund City Fees and Acquisition Improvements. Investment earnings on
amounts in each Tax-Exempt Account shall be retained in the Tax-Exempt Account, except to the
extent a portion of such earnings are used to pay rebate or yield reduction payments to the U.S.
Treasury pursuant to the Code. Amounts on deposit in the Project Fund shall be disbursed in
accordance with Section 3 of this Agreement and CMFA agrees to disburse, or cause to be
disbursed, moneys on deposit in the Project Fund as provided herein. All City Fees funded
through Available Moneys shall be deemed paid in the amount of the Bond proceeds on the date
that such Bond proceeds are deposited with the City.
3. Disbursements From Project Fund. Moneys on deposit in the Project Fund shall
be disbursed in accordance with the Acquisition Funding Agreement to be entered into among
the CMFA, the City and the Developer with respect to the CFD (the “Acquisition Agreement”).
4. Use of City Fees for Public Capital Improvements and Acquisition of
Improvements. City shall utilize the City Fees for City Infrastructure. City acknowledges that,
subject to approval of disbursements as set forth in the Acquisition Agreement, the City
Infrastructure may be financed through the CFD. The Acquisition Improvements shall be acquired
by the City as set forth in the Acquisition Agreement.
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ACN #2022-125
3
5. Amendments. This Agreement may be amended by a writing signed by the Parties,
including any exhibit hereto; provided, that no amendments to Section 3 shall be made without
the prior written consent of the Developer.
6. Term of this Agreement. This Agreement shall be in full force and effect from this
date to and including its termination by mutual written agreement of the parties hereto prior to the
formation of the CFD.
7. Counterparts. This Agreement may be executed in counterparts, each of which
shall be deemed an original.
IN WITNESS WHEREOF the Parties have caused this Agreement to be executed by their
authorized representatives as of the effective date stated above.
CMFA:
CALIFORNIA MUNICIPAL
FINANCE AUTHORITY
By:
Authorized Signatory
CITY:
CITY OF CHULA VISTA
By:
Name: Maria V. Kachadoorian
Title: City Manager
APPROVED AS TO FORM:
By:
Glen R. Googins
City Attorney
CC-Attachment 1 - Joint Community Facilities Agreement-8.10.22-BB&KEScribeFinal
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60297.00063\40316577.3
EXHIBIT A-1
EXHIBIT A
DESCRIPTION OF FACILITIES
A. CITY FEES
1. Salt Creek Sewer Basin Fee
2. Parkland Acquisition and Development Fee (“PAD”)
3. Public Facilities Development Impact Fees (“PFDIF”)
4. Possible Future Fee for Vehicle Miles Traveled (“VMT”)
B. ACQUISITION IMPROVEMENTS
1. Main Street – (TDIF Facility) – Estimated Cost $14,000,000
City TDIF Road: 60A
Limits: From Heritage Road to Wolf Canyon Bridge (6-lane prime arterial)
Includes: Grading, drainage, surface improvements, landscape and irrigation, traffic signals,
environmental mitigation, associated soft costs
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60297.00063\40316577.3
EXHIBIT B-1
EXHIBIT B
CITY’S GOALS AND POLICIES
[See Attached]
2022/08/23 City Council Post Agenda Page 415 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 1OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
BACKGROUND
TheMello-RoosCommunity Facilities Actof1982 (the “Mello-Roos Act”) andOrdinanceNo. 2730,
asamended fromtimetotimeandcodified inChapter 3.60 oftheChulaVista MunicipalCode (the
CFD Ordinance”) allowsforthecreationofCommunity FacilitiesDistricts (CFDs) tofinance certain
publiccapital facilities andservices, especially indeveloping areasandareasundergoing
rehabilitation. Asa prerequisite toformingCFDs pursuant totheMello-RoosAct, eachlocal
jurisdictionmust firstconsiderandadoptlocalgoals andpolicies asdescribed therein. TheCityfirst
adopted theCityofChulaVista Statement ofGoals and Policies Regarding theEstablishment of
Community FacilitiesDistricts (the “GoalsandPolicies”) onJanuary 13, 1998, via Resolution No.
18860. TheGoals andPoliciesweresubsequentlyamendedinJuly 1998, December1998, and
November 2013viaResolution Nos. 19103, 19300, and2013-225, respectively. Inclusion ofthe
GoalsandPolicies” intheCityCouncilPolicyManualisrecommended andareapplicable toCFDs
formedundertheMello-RoosActandtheCFDOrdinance.
PURPOSE
Thepurpose ofthisStatement ofGoalsand PoliciesistoprovidetheCitystaff, theresidents ofthe
City, andtheownersanddevelopers ofpropertylocatedwithin theCitywithguidanceinthe
applicationfor, andconsideration of, theestablishment ofcommunityfacilitiesdistricts for the
purpose offinancingorassistinginfinancingtheacquisition orconstructionofpublicinfrastructure
ortheprovisionofauthorizedpublic services tobenefit andserveeitherexistingornew development
oracombination thereof. Theunderlying principalsbehind thispolicy arethe protection ofthepublic
interest, assuring fairness in theapplicationofspecialtaxesto current andfuture property owners,
assuring fulldisclosure oftheexistence of anyspecial taxliens, ensuringthecreditworthinessofany
community facilities districtspecial taxbonds, protectingtheCity's creditratingandfinancial
positionandassuringthatapplicants forallcommunity facilitiesdistrictproceedings otherthanCity
initiated proceedingspayallcostsassociated withtheformation ofany communityfacilities district.
POLICY
TheCityCouncil oftheCityofChula Vista (hereafter the “CityCouncil”) herebyestablishes and
statesitsgoalsandpolicies concerningtheuseofChapter 2.5ofPartIofDivision 2ofTitle5ofthe
Government Codeof theState ofCalifornia (hereafter the “Act”) inproviding adequate public
infrastructureimprovements andpublic servicesfortheCityofChula Vista (the “City”). The
following goalsand policiesshall applytoallcommunityfacilitiesdistricts hereafter formed or
proposedtobeformedbytheCity. Any policyorgoal stated herein maybesupplemented oramended
2022/08/23 City Council Post Agenda Page 416 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 2OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
byresolutionoftheCityCouncil.
Thescope ofthispolicyis limitedtotheproposed formationofcommunityfacilities districts forthe
limited purpose offinancingorassistinginfinancingtheacquisition orconstruction ofpublic
infrastructure and/ortheprovisionofauthorizedpublicservices.
IntroductoryStatement
TheCitywillconsider applications initiatedbyownersordevelopers ofvacant property proposed to
be developed, ownersofproperty within existing developed areas, registered votersresidingin
existingdeveloped areas, ortheCityitselffortheestablishment ofcommunity facilitiesdistrictsto
financeauthorizedpublicimprovements ortoprovide authorizedpublicservices whichbenefit or
serveexisting ornewdevelopment oracombinationthereof. Acommunityfacilitiesdistrictor an
improvement area withinacommunity facilitiesdistrictproposed tobeestablished tofinance public
improvements orauthorizedservices toserve newdevelopment maybereferred toas a “Development
RelatedCFD.”
Eachapplication for theestablishment ofa community facilities districtmustcomply withthe
applicable goalsandpoliciescontainedhereinunless theCity Councilexpressly grants anexception
tosuchpolicy orpolicies asthey apply toaspecific application.
Finding ofPublic Interestor Benefit
TheCityCouncilmayauthorize theinitiation ofproceedings toform acommunity facilitiesdistrict to
finance authorized publicimprovements ortoprovideauthorized publicservices iftheCityCouncil
determinesthatthepublic improvementsto befinancedor public servicesto beprovided or, inthe
caseof aDevelopmentRelated CFD, theattributesof thenewdevelopment willprovide, inthe
opinionoftheCityCouncil, apublic benefit tothecommunityatlargeaswellasthebenefit tobe
derived bythepropertieswithin thecommunity facilities district.
Examples ofpublicbenefit tothecommunity atlargemayinclude, but arenot limitedto the
following:
1. Construction ofa majorpublic facilitywhichmeetsacommunity need including, but
notlimitedto, amajor arterialwhichwillprovidea vitalroadway facilitytoalleviatecongestion,
waterstoragefacilities whichwillremedyinadequatefireflow, andstormdrainagefacilities which
areapartof thestormdrainage master plan.
2. Provision ofpublic infrastructure sooner thanwouldotherwise be requiredfora
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COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 3OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
particular developmentproject.
3. Construction of publicinfrastructure toservecommercial orindustrial projects which
willexpand the City'semployment and/orsalestaxbase.
4. Provisionof maintenance orotherauthorized publicservicessuchaslandscaping,
lighting, stormdrain, floodcontrol oropenspacemaintenancenecessary topromote ormaintain
qualityoflifeandpublic safetywithin existing ordeveloping areasoftheCity.
Authorized PublicFacilities
Improvementsproposed tobefinancedthroughacommunityfacilities districtmust bepublic
improvementswhich willbeowned, operatedormaintained bytheCityoranotherpublicagencyor
publicutility ortowhichthe Cityisauthorized to contributerevenue. Thetypes of improvements
eligible tobefinanced mustserve awhole neighborhood orcommercial orindustrial areaor greater.
Such improvementsinclude:
1. Streetsandhighwayssatisfying oneormoreofthefollowing criteria:
A. identifiedintheCirculationElementoftheCity ascollectorsorarterials;
B. nodirect access byabuttingproperties; or
C. minimum daily trafficvolumeof3,500ADT.
2. Sewer lines orothersewerfacilitiesserving aminimum of500singlefamily dwellings
orequivalentdwellingunitsor suchotherareaofthe community asthe CityManager, orhisorher
designee, maydeterminetootherwisebe consistent withtheintentof these goalsandpoliciestobe
locatedwithinauthorized streets andhighways orwithin otherpublic rights-of-wayshown on the
masterplanofsewerfacilities.
3. Water mainswithaminimumdiameter of10" orother waterfacilities tobe located
withinauthorized streetsandhighways orwithinother public rights-of-wayshownonthemaster plan
ofwaterfacilities.
4. Drainage facilities servingaminimumof100acresor such other areaofthe
community asthe CityManager, orhis orherdesignee, maydetermine tootherwisebeconsistent
withtheintentofthesegoalsandpoliciesordraininganeligiblestreet.
5. Landscaping andirrigation facilities meeting oneofthe followingcriteria:
A. Located within theright-of-wayofa street or highwayshown onthe
2022/08/23 City Council Post Agenda Page 418 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 4OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
Circulation Elementofthe City'sGeneral Plan;
B. Locatedadjacent toanadoptedscenic route; or
C. Locatedwithindedicatedopen space.
6. Reclaimedwaterfacilities serving anareawhichbenefits thearea withintheproposed
communityfacilities district.
7. Dry utilitiesservinga minimum of500 single familydwelling units orequivalent
dwellingunitsorsuchotherareaof thecommunity astheCityManager, orhisorherdesignee, may
determineto otherwise beconsistent withthe intentofthesegoals andpolicies; provided, however,
theamountofspecial taxbondproceedsallocabletosuch dryutilitiesmaynot exceedthatamount
permitted underFederal taxlawandregulations toensurethetaxexempt statusofintereston the
applicable special taxbonds.
8. Grading foreligiblepublic streets; provided, however, grading foraDevelopment
RelatedCFDmustmeetoneofthefollowingcriteria:
A. Grading withinthevertical planesoftheright-of-way;
B. Slopes toCity-ownedopen spaceoropen spaceeasement areas; or
C. Offsite roadwaygrading.
Ifthecutandfillwithin (A) and (B) donotbalance, thecostofexcavating, haulingand
compactingfillinthestreet isauthorized tobefinanced. Ifthere isexcess material in
thestreetright-of-way, onlythecostofexcavating andhauling toprivate property
withinthedevelopment projectiseligibletobefinanced. The determination ofbalance
willbemadeonatotaleligiblestreet grading basis, notonanindividual street basis.
9. Such otherimprovements asmaybeauthorized bylaw andwhich theCityCouncil
determines areconsistentwith thepoliciesherein.
The CityCouncilshall havethefinaldeterminationastotheeligibility ofanyimprovement for
financing, aswellastheprioritization offinancingof suchimprovements. Generally, “in-tract” (e.g.,
localstreetsorutilities) improvements which serveresidentialdevelopment willnotbeconsidered
eligibletobefinancedthrough acommunityfacilitiesdistrict unlessrequested bytheowners or
registeredvoters ofan existingresidentialdevelopment toremedyathreat, foundtoexist bytheCity
Council, tothepublichealth orsafetyresultingfromanexisting deficiency inpublicimprovements to
servesuchexisting development.
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COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 5OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
Anypublicimprovements proposed tobefinanced throughacommunity facilitiesdistrict mustmeet
alldesign andconstruction requirements andstandards asmaybeestablished by theCity. Anypublic
improvement, theconstruction ofwhich iscompleted followingtheadoptionof theresolutionof
formation ofacommunity facilities district, proposed tobeacquiredbytheCityfrom theowneror
developer ofpropertywithinaDevelopment Related CFDmustbeconstructed asifsuch
improvementshadbeen constructedunderthedirectionandsupervision, orundertheauthority of, the
City.
Publicimprovements proposed tobeacquired from theproceeds ofspecial taxbonds orspecial taxes
shall notbeacquireduntilallimprovementsforaparticular Project (asdefined below) arecompleted
andaccepted by theCityandtheCityManager, orhisorherdesignee, hascertifiedthefinalcostof
suchimprovements. Forpurposes ofthisparagraph, a “Project” shallbedefinedas allimprovements
withinaparticular street oreasement includingstreet improvements, sewer, drainage, utilitiesand
grading andwhichare authorizedto beacquired bythecommunity facilitiesdistrict pursuant to an
acquisition andfinancingagreementby andbetween theCity, acting onbehalfofitselfandthe
communityfacilitiesdistrict, andthe propertyowneror developerwho isresponsibleforthe
constructionofthe publicimprovements (the “'Acquisition/Financing Agreement”). Ifimprovements
withinmore than one (1) Project areauthorized tobeacquired through thecommunity facilities
district, thentheimprovements within eachProjectmaybe acquired separately as allimprovements
withinsuchProjectarecompleted andacceptedbythe Cityand thefinalcostscertified. Each Project
establishedfor anycommunity facilitiesdistrictandallimprovementsincluded withineachsuch
Projectmust bedescribedintheAcquisition/Financing Agreement for suchcommunity facilities
district. If theAcquisition/FinancingAgreement hasestablishedmorethan one (1) Project forany
communityfacilities district, theAcquisition/FinancingAgreement mayauthorize thepartialrelease
offunds topayforthe acquisitionofeachProjectwhensuch Projectiscompletedand acceptedby the
City.
TheCityCouncil may, initssole discretion, elect todeviatefromorwaive the foregoing policyinits
considerationof theapproval ofanAcquisition/FinancingAgreementfor acommunity facilities
districtto authorize thepaymentofthepurchase priceforeach discretecomponent ofaProject, i.e.,
anindividualimprovement withinaProject suchasasewer line withinaProject which alsoincludes
street, water anddrainageimprovements. Inelecting todeviatefromorwaive theforegoing policy,
theCityCouncilmaycondition thepaymentofthepurchaseprice fordiscretecomponentsastheCity
Council deems necessarytoensure thefinancial integrity ofthecommunity facilities district
financing.
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COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 6OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
Prioritization of PublicImprovements
ItisthepolicyoftheCityto givefirstpriority totheprovisionofpublic improvementsbenefitingthe
Cityinany communityfacilities districtestablished by theCity. Itissecondarily thepolicyofthe
City, inanycommunity facilitiesdistrict established bytheCity, toassist inthe provisionofother
publicimprovements tobeowned, operated ormaintained byotherpublicagencies orpublicutilities.
AuthorizedPublicServices
Publicservicesproposed tobefinancedthroughacommunity facilities districtmayinclude:
1. Maintenance ofparkways, medians andopen space, including butnotlimitedto,
maintenanceof walls, fences, trailsystems, pedestrian access systemsandotherfacilitieswithin such
openspace, maintenance andpreservationofhabitatwithinsuchopenspace, andbiotaandother
formsof monitoringof plants, wildlife, useof wildlifecorridorsandhabitatquality asapartofany
suchopenspace maintenance program.
2. Maintenanceofnaturalized drainage andfloodcontrol facilities including, butnot
limitedto, channels and detentionanddesiltation basins.
3. Suchotherservicesasmay be authorized by theMello-RoosAct orbyordinance of
theCityadoptedpursuant tothecharter authority oftheCityandwhichtheCity Councildetermines
areconsistent with thegoalsandpolicies hereinandareinthebestinterest oftheCityandthe
residentsandproperty ownerswithinthecommunityfacilities district.
Incidental Costs
EligibleIncidentalCosts
Eligible incidental costswhichmaybefinancedfromtheproceeds ofspecial taxbondsissued fora
DevelopmentRelated CFDorthespecial taxlevied within a DevelopmentRelated CFDshall be
limitedtothoseincidentalcosts directly related totheimprovements financed fromtheproceedsof
suchspecial taxbondsorspecialtaxrevenuesandmayinclude:
1. Usual andcustomary designandengineeringcostsnotto exceedthe following
percentages:
A. Civilengineering - 7.5% ofthecost oftheimprovements forwhichthe
engineering was performed.
2022/08/23 City Council Post Agenda Page 421 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 7OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
B. Soilsengineering - 15% of thecost oftheapplicablegrading.
C. Landscape architecture - 10% ofthecostofthe applicable landscaping and
irrigation.
D. Surveyingandconstruction staking - 2% ofthecombinedcostofthecivil
engineeringimprovements andgradingfor theapplicable streetandwet
utilities.
E. Utilityengineering/coordination - 3% ofthecostoftheapplicable dryutilities.
2. Construction administration and supervisionnottoexceed, inaggregate, 1.75% ofthe
totalconstructioncostoftheapplicable publicimprovements.
3. Specialengineeringstudies related to "collector" or "transmission" facilities. Eligibility
ofsuchstudiesmustbereviewedandapproved bytheDirectorofDevelopment Services, orhisorher
designee.
4. Plancheckandinspectionfees (less anyrefunds).
5. Capacity orconnection feesrelatedsolelytothepublicimprovements beingacquired
orconstructed aspermitted undertheMello-RoosAct.
6. Capitalizedinterest onanycommunity facilitiesdistrict specialtaxbondsasauthorized
bytheCityCouncilpursuant tothesegoals andpolicies.
7. Costs ofacquisition ofoff-siterights-of-wayand/oreasementsincluding thefollowing:
A. Appraisal costs, including titlereports.
B. Costs ofpreparingacquisition plats.
C. Appraised valueoractualcostofright-of-wayoreasement, whichever isless.
D. Legalfeesand costrelatedtoeminent domain proceedings approvedbythe
CityAttorney.
8. Reimbursement of fundsadvanced bytheapplicant topayfor (i) preformationcosts
and/or (ii) costsofissuance incurredbyoronbehalfoftheCity.
9. Costsofenvironmental review, permitting andmitigation limitedtothespecificpublic
improvements proposedtobefinanced through thecommunity facilities district.
Unless specified otherwiseabove, the CityManager, orhisorherdesignee, shall review allincidental
2022/08/23 City Council Post Agenda Page 422 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 8OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
coststoensure thatsuch costs arecustomaryandreasonable.
Ineligible IncidentalCosts
Thefollowing costs arenoteligibletobefinanced from theproceedsofcommunityfacilities district
specialtaxbonds:
1. Development impact fees; provided, however, the CityCouncilmay, in itssole
discretion, grantcreditin anamountnottoexceedthe obligationforthe paymentofsuchfees if
improvementswhich would otherwise befinancedfromthe proceeds ofsuchfeesarefinancedfrom
theproceedsofcommunityfacilitiesdistrict specialtaxbondsorspecial taxes.
2. Administrative oroverheadexpenses, financial orlegal feesincurred byan applicant
for theformation ofacommunity facilities district. Thislimitation doesnotapply toamounts
advanced bytheapplicant totheCitypursuant totheprovisions ofthispolicy topayforpreformation
costsincurred bythe City. (See “Preformation CostDeposits andReimbursements” below.)
3. Landuseplanning andsubdivision costsandenvironmental reviewcostsrelated to
suchland useplanningandsubdivision.
4. PlanningStudies unlessoff-site.
5. Environmental impact reports unlessoff-site.
6. Construction loaninterest.
7. Subdivision financialanalysis.
8. Attorneys’ feesrelated totheland useentitlement or subdivision process unless off-
site.
9. Onsiteright-of-wayandeasements.
10. Anycompensation payable totheCityasconsideration for theCity'sagreementto
provide thefinancing mechanism forthe financing ofthe authorized improvements and eligible
incidentalexpenses and toacquiretheauthorized improvements pursuanttothetermsandconditions
ofanagreement withtheCityandtheproperty ownerordeveloper as appropriate.
11. Otheroverhead expensesincurredbytheapplicant.
RequiredValue-To-DebtRatio
Itisthepolicy oftheCity thatthevalue-to-debtratio foracommunityfacilities districtmustbeat
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COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 9OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
least4:1. Thecalculated value-to-debt ratioshallreflect thefullcash valueof thepropertiessubject
tothelevyofspecialtaxes, includingthevalueoftheimprovements tobefinanced fromtheproceeds
of theissueorseries of specialtaxbondsfor whichthevalue-to-debtratioisbeingcomputed,
comparedto theaggregate amountofthespecial taxlienproposed tobecreated plusanypriorfixed
assessment liensand/or special taxliens. Therequiredvalue-to-debtratioshallbedetermined with
respect toalltaxablepropertywithin thecommunity facilitiesdistrictintheaggregate andwith
respecttoeachdevelopment areaforwhich nofinalsubdivision maphasbeenfiled.
Acommunityfacilitiesdistrictwith avalue-to-debtratiooflessthan4:1butequaltoorgreater than
3:1maybeapproved, inthe solediscretionofthe CityCouncil, upona determination bytheCity
Manager, afterconsultation withthe FinanceDirector, the bondcounsel, the underwriter andthe
financial advisor, that avalue-to-debtratiooflessthan 4:1isfinancially prudent under the
circumstancesoftheparticularcommunityfacilities district. Inaddition, the CityCouncil may, in its
solediscretion, accept aformorforms ofcreditenhancement such asaletterofcredit, bondinsurance
ortheescrow of bondproceeds to offsetadeficiencyintherequiredvalue-to-debtratioasitappliesto
thetaxableproperty within the community facilitiesdistrict inthe aggregateorwithrespecttoany
developmentarea.
Thevalue-to-debtratio shallbedetermined basedupon thefullcashvalueoftheproperties subject to
thelevyofthe special taxasshown onthead valorem assessment rolloruponan appraisalofthe
properties proposedtobeassessed; provided, however, theCity Manager mayrequire that thevalue-
to-debtratio bedeterminedby anappraisal if, inhisor herjudgement, theassessedvaluesofthe
properties proposed tobeassessed donotreflectthecurrent fullcash value ofsuchproperties. The
appraisal shall be coordinatedby, done under thedirectionof, andaddressed totheCity. The
appraisal shallbeundertaken bya statecertified realestateappraiser, asdefined inBusiness and
ProfessionsCodeSection 11340. Theappraisershallbeselected andretainedbytheCityortheCity's
financial advisor. Thecostsassociated withthepreparation oftheappraisalreportshall bepaidbythe
applicantforthecommunity facilities district and shallbesubjectto possiblereimbursement as
provided forherein. Theappraisal shallbe conductedinaccordance withassumptionsand criteria
established by theCity, basedupon generallyaccepted appraisalstandards orstate recommended
standards forsimilar appraisalsconducted forthesamepurpose.
TheCityreservestherighttorequireamarket absorption studyfor anyDevelopment RelatedCFD. In
anysuchcasetheCity shallretain, attheapplicant'ssoleexpensebut subjecttoreimbursement as
provided forherein, aconsultant to prepareareportto verifyorestablish theprojectedmarket
absorptionfor andtheprojected salespricesof theproperties proposed tobeincluded withinthe
2022/08/23 City Council Post Agenda Page 424 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 10OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
community facilitiesdistrict. Ifamarketabsorptionstudyisconducted, theappraisershallutilize the
conclusionsofthemarketabsorptionstudyin conducting theappraisal oftheproperties within the
proposedcommunity facilities districtorshalljustify, tothesatisfaction oftheCityManager, why
suchconclusions werenot utilized inconducting suchappraisal.
CriteriaforAppraisals
Definition ofAppraisal
Forpurposes ofthesegoals andpolicies, anappraisal shallmeanawritten statementindependently
and impartially prepared by aqualifiedappraisersettingforth anopinionofdefinedvalue ofan
adequately described property asofaspecificdate, supported bythepresentation andanalysisof
relevant marketinformation.
ContentsoftheAppraisal
Anappraisal shouldreflect nationally recognized appraisal standards, including, totheextent
appropriate, theUniformStandards ofProfessional Appraisal Practice. Anappraisalmustcontain
sufficient documentation, including valuation dataandtheappraiser'sanalysis ofsuchdata, tosupport
theappraiser'sopinionofvalue. Ataminimum, the appraisal shall containthefollowing:
1. PurposeoftheAppraisal. This should include thereasonfortheappraisal, adefinition
ofallvalues required, andthepropertyrightsbeingappraised.
2. Area, CityandNeighborhoodData. Thesedata shouldinclude suchinformationas
directly affectsthe appraised property together withtheappraiser'sconclusions astosignificant
trends.
3. PropertyData. Thisshould includea detailed physical description oftheproperty, its
size, shape, soilconditions, topography, improvements, andotherphysical characteristicswhich affect
thepropertybeingappraised. Theavailability, capacityof, andproximityto, utilities andother
infrastructure should alsobediscussed.
4. TitleCondition. Thecondition oftitle totheproperty appraised should bediscussed
basedupontheappraiser’sexamination ofa titlereport ofthe propertyappraised. Theappraiser
should analyze anddiscuss those titleissueswhichareconcluded toimpact thevalueoftheproperty
being appraised.
5. Improvement Condition.
A. Theappraisershallvaluetheproperty withinthecommunity facilities district
2022/08/23 City Council Post Agenda Page 425 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 11OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
on an “as-is” basis takingintoconsiderationthevalue associatedwiththe
publicimprovements tobefundedfromtheproceeds oftheissueof bondsfor
whichthe appraisalis beingundertaken. Thepropertyinthecommunity
facilities districtshallbevalued asifitwere freeandclearofanyspecial taxes
andassessments, ifany, so thataproper comparisonofvalue-to-debtcanbe
determined. Indetermininghisorherconclusion ofvalue, theappraiser may
considerthe value oftheproperty inthecommunity facilities districtunder
differentmarket conditions. Thismay consistofvaluing thepropertyasifit
weresoldtoasingle purchaser inbulkorsoldtoseveralpurchasers inportions
orpieces.
B. Land parcels which have been developed withresidencesandsubsequentlysold
should ataminimum indicate landparcel size, numberoflots, density, number
ofplans, square footage, roomcounts, yearconstruction wasinitiated, yearof
completion, andwhensaleswere initiated.
C. Land parcelswithresidential product underconstruction orwithstanding
inventory should bedescribedasinA. aboveandincludeasummary of the
stageof development regarding thenumber ofunitscompleted, number of
models, statusofunitsunder construction, finishedlotsandmass-gradedor raw
lots. In addition, a commenton themarketability ofthe units (architecture, size,
etc.) isappropriate.
D. Landparcels whichhave beendevelopedwithincome-producing (orowner-
occupied) commercial/retail, industrial, hotels, apartments, offices, etc., should
bedescribedasfollows:
i. Commercial-Retail - Landparcel size; basicconstruction type; typical
tenantimprovements (andwhoisresponsiblefortheirconstruction);
leasable area, whenconstructionwasinitiated; anddateofcompletion.
ii. Industrial - Landparcel size; basic construction type, whethersingleor
multi-tenant; typicaloffice build-outaspercentageof totalarea, when
construction wasinitiated; anddateofcompletion.
iii. Hotels – Landparcel size; basic constructiontype; numberofrooms;
dining, recreation, convention space, meeting rooms, andother
amenities.
2022/08/23 City Council Post Agenda Page 426 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 12OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
iv. Apartments - Land parcel size; basic construction type; numberof
stories; numberofunits; unitmix; size; totalrentablearea, when
construction wasinitiated; anddateofcompletion.
v. Office - Land parcelsize; basic construction type; typicaltenant
improvements/allowance; netrentablearea, whenconstructionwas
initiated; anddateofcompletion.
6. General PlanClassification. DescribetheGeneralPlan classification ofthesubject and
comparable properties.
7. Zoning. Describe the zoningforthe subject and comparable properties. Noteany
discrepancybetween General Plan classification andzoning. Ifrezoning isimminent, discussfurther
under Item 8below.
8. Analysis ofHighest andBestUse. Thereport shouldstate andsupport thehighest and
bestusetowhichaproperty canbeputand recognizethatland isappraised asthoughvacantand
available fordevelopment toitshighest andbestuse, andtheimprovements arebased ontheir actual
contributiontothesite.
9. StatementofValue. Theappraiser'sopinion ofthevalueofthespecified property
rights, preparedaccording toallrelevant and reliable approachestovalue consistentwithcommonly
accepted professionalappraisal practices. Ifadiscountedcashflow analysisis used, itshould be
supported byatleastone othervaluationmethod suchassalescomparison approachutilizingsalesof
properties thatarein thesamestageofdevelopment. Ifmorethanonevaluation approach isused, the
appraiser shallinclude ananalysisand reconciliation ofsuch approaches tosupport theappraiser's
opinionofvalue.
10. Certification. Certification ofappraiserandpermission toreproduce andusethe
appraisal report asrequired forbondissuance.
Maximum Aggregate Taxesand Assessments
Itisthepolicy of theCity thatthemaximum annualspecialtax installment applicable toanyparcel
usedforresidential purposes (notincluding motels, hotels, campsites, orothershort-termlodging, as
determinedby theCity) shallnotexceed onepercent (1%) ofthesalepriceofnewlydeveloped
properties subjecttothelevyofthespecialtax (the “Newly Developed Properties”) asofthe dateof
theclose ofescrowoftheinitial saleofanyresidentialdwellingunittosuch residentialhomeowner.
Asa distinctand separate requirement, thetotal ofthefollowing taxes, assessments describedin4.
2022/08/23 City Council Post Agenda Page 427 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 13OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
belowandspecialtaxesappearing onthepropertytaxbill, shallnotexceed two (2%) ofsuchinitial
salesprice ofNewlyDevelopedProperties:
1. Advaloremproperty taxes.
2. Voterapproved advaloremproperty taxes inexcess ofone percent (1%) of the
assessed valueofthe subjectproperties.
3. Themaximumannual specialtaxesleviedbythecommunity facilitiesdistrict under
consideration and anyother communityfacilities district orother publicagency excepting therefrom
specialtaxes leviedbyacommunityfacilities districtformedorunderconsideration forformation for
the purposeofprovidingservicessuchasopen spacemaintenance, landscape maintenanceand
preservemaintenance.
4. Theannualassessment installments, including anyadministrativesurcharge, forany
existingassessment district wheresuchassessment installments areutilizedtopay debtservice on
bondsissued for suchassessmentdistrict. Annual assessmentinstallments for maintenanceand
services shall notbeincluded inthe assessmentscalculated indetermining the aggregate tax,
assessment andspecialtaxobligationforaparcel.
Theapplicantfortheestablishment ofanyDevelopmentRelated CFD whichincludesresidential
development subjecttotheforegoing limitationsshallberequired to enter intoanagreement withthe
Cityorthecommunity facilities districtrequiringtheprepaymentbytheapplicantofthat portionof
thespecial tax obligation applicable toanyparcelused for residential purposes inorder toreduce the
annualmaximum special taxobligation sothatthemaximum annual specialtax installment shallnot
exceed1% ofthesalespriceforsuchparcelandthetotaltaxes, assessments andspecial taxesdoes
notexceed 2% ofsuchsalesprice.
SpecialTaxRequirements
Therateand methodofapportionment ofthespecial taxforanycommunity facilities district shall
adhere to thefollowingrequirements:
1. Themaximumspecial taxshall beadequate toinclude anamount necessarytopayfor
theexpenses incurredbysuchcommunity facilities district inthelevyand collection ofthespecial tax
andtheadministrationofthespecial taxbondsand thecommunityfacilitiesdistrict.
2. Themaximumprojectedannual specialtaxrevenues mustequal110% oftheprojected
annualgrossdebtserviceonany bondsofthecommunityfacilitiesdistrict.
2022/08/23 City Council Post Agenda Page 428 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 14OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
3. Abackupspecial taxshallbe requiredforany DevelopmentRelated CFDto protect
against changes indensity resultinginthe generationofinsufficient special tax revenues topay
annualdebtserviceandadministrative expenses, unlesstheCityManager, orhisorherdesignee,
basedontheadviceofthefinancialadvisor, special taxconsultant orunderwriterdetermines thata
backupspecial taxisnotneeded under thespecial taxformula forsuchDevelopmentRelated CFD.
TheCityCouncilmay additionally oralternativelyrequirethatasacondition ofapprovalof the
downsizingofthedevelopment inaDevelopment RelatedCFDat therequest of theapplicant or the
applicant'ssuccessor-in-interest, theapplicant ortheapplicant's successor-in-interest, asapplicable,
may berequired toprepay suchportionofthespecial taxobligation asmay benecessaryinthe
determinationoftheCity toensurethatadequate debtservicecoverage existswithrespect toany
outstanding bondsorotherwiseprovidessecurityinaformandamount deemednecessary bytheCity
Council toprovide forthe payment ofdebtserviceon thebonds.
4. Alldevelopedandundeveloped propertywithinanycommunity facilitiesdistrict
whichisnototherwise statutorilyexemptfromthelevyof specialtaxes shallbearitsappropriate
shareofthecommunityfacilities district’saggregatespecial tax obligation fromthe dateof formation
ofthecommunity facilitiesdistrict consistentwith theothergoalsandpolicies setforthherein.
5. Apartialand/or totalprepayment optionshallbeincludedinanyrateandmethodof
apportionment ofspecial taxestopay forpublic facilities. Noprepayment shallbepermitted ofa
specialtaxlevied tofinance authorized servicesand/ormaintenance.
6. Themaximumspecialtaxtopayforpublic facilitiesshallbelevied against anyparcel
used forprivateresidential purposes inthefirst fiscalyearfollowingthefiscal yearinwhich the
buildingpermitfor theconstruction ofaresidentialdwelling unitonsuch parcel isissued andsuch
maximumspecial taxmaynotescalateafterthefirstfiscalyearinwhichsuchspecial taxissolevied.
7. Therateandmethod ofapportionment ofaspecial taxtopayforpublic facilitiesshall
specifyafiscal yearbeyond whichthespecialtaxmay notbeleviedon anyparcelusedforprivate
residential purposes. Aspecialtax topayforpublicservices and/ormaintenanceshallhaveno
termination dateunless established bytheCityCouncil.
8. Therateand methodofapportionmentof aspecialtax topayforpublic servicesand/or
maintenanceshallinclude life-cyclereplacement costsformaintained facilities, as determined bythe
CityManager, orhis orherdesignee.
9. Therate andmethodof apportionmentofaspecialtax topayforpublic servicesand/or
maintenance shallauthorize annualinflationary adjustments to themaximum special tax. The
2022/08/23 City Council Post Agenda Page 429 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 15OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
authorized adjustments shall bebasedupon industry standard published indices, orsuchother dataas
maybeapprovedbytheCityManager, orhisorherdesignee. Inall instances, itshallbe thepolicyof
theCitytoemploythemostspecificapplicableindex. Examples includeapplying theConsumer
Price IndexforUrbanWage Earners andClericalWorkers tolaborcosts andapplying the
ConstructionCostIndex toassetreplacementcosts.
Terms andConditionsofSpecial TaxBonds
Alltermsandconditions ofanyspecial taxbonds issuedby theCityforanycommunity facilities
district, including, withoutlimitation, thesizing, timing, term, interestrates, discount, redemption
features, flowoffunds, investment provisions andforeclosurecovenants, shallbeestablished bythe
City. Each special taxbondissue shall bestructured toadequately protect bondowners andtoavoid
negatively impacting thebonding capacity orcreditworthiness oftheCity. Unlessotherwise
approvedbytheCityCouncil, the followingshall serveasminimum bondrequirements:
1. Areserve fundshallbeestablished foreach bondissueto befunded outofthe bond
proceeds inanamountequal to10% oftheoriginal proceeds of thebondsorsuch lesseramountas
mayberequiredbyfederaltaxlaw.
2. Interest shallbecapitalized fora bond issueonlysolongasnecessarytoplacethe
special taxinstallments ontheassessment roll; provided, however, interest maybecapitalizedfora
termtobeestablished inthesole discretionofthe CityCouncil onacase-by-casebasis, nottoexceed
anaggregate of24 months, takinginto consideration thevalue-to-debtratio, theexpected timingof
initial occupancydatesfortheprivate improvementsbeingconstructed, expected absorption and
buildout of theproject, theexpectedconstruction andcompletion schedule forthe public
improvements tobe funded fromtheproceedsofthe bondissue inquestion, thesizeof thebondissue,
thedevelopmentpro forma andthe equityposition ofthe applicantandsuchother factorsastheCity
Councilmaydeemrelevant.
3. Ininstances wheremultipleseries ofbondsare tobeissued, theCityshalldetermine
whatimprovements shall befinanced fromtheproceedsofeach seriesofbonds.
4. Neither thefaith, creditortaxing poweroftheCityshallbepledgedtothepayment of
thebonds. The solesourceofrevenue forthepayment of thebondsshallbethespecialtaxes,
capitalized interest, ifany, andmoneys ondeposit inthereserve fund establishedforsuchbonds.
Discharge ofSpecial TaxObligation
2022/08/23 City Council Post Agenda Page 430 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 16OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
ItisthepolicyoftheCitythatthespecialtaxobligation related tothefinancingof theacquisitionor
construction ofpublicimprovementsmaybeprepaid anddischargedin wholeorinpartat anytime.
Theapplicantfor theformationofaDevelopment Related CFD mustprovide noticeandopportunity
forthepurchasers ofproperty within suchcommunityfacilitiesdistricttoprepay thespecial tax
obligation applicableto suchproperty atthe timeof thecloseofescrow.
Theapplicant forthe formationofa DevelopmentRelatedCFDmustprepareand present aplan,
satisfactoryto the CityCouncil, priortothe public hearing toconsiderthe formationofsuch
community facilities districtdescribing howtheprospective purchaserwillbenotified ofthe
existenceofthespecialtaxlienandtheoptions whichtheprospective purchaser hasregarding the
prepaymentanddischargeofthespecialtaxobligation.
Disclosureto Property PurchasersinDevelopmentRelated CFD's
Theapplicantfortheformation ofaDevelopmentRelatedCFDwillberequired todemonstrate tothe
satisfactionofthe CityManager (when thetermCity Managerisusedherein itshallmeanthe City
Manager orhisorherdesignee) thattherewillbe fulldisclosureofthespecialtaxobligation forsuch
community facilitiesdistrict andofanyandallotherspecial taxesorassessments onindividual
parcelsto prospective purchasers or lessees of propertywithin suchcommunityfacilities district,
including interimpurchasers, merchant builders, residential homeownersandcommercial orindustrial
purchasersorlessees.
Suchnoticemust includeallof thefollowing inaddition to suchotherprovisions asmay berequired
bytheMello-RoosAct, theMunicipal CodeoftheCityortheapplicant maydeemnecessary:
1. Provide forfulldisclosure oftheexistenceofthespecial taxlienandany other
assessment orspecial taxobligation applicable to theproperties withinthecommunity facilities
district (whether imposedbythe Cityoranyotherpublicagency), including the principalamount of
thespecialtaxobligation and anyotherapplicableassessment orspecial taxobligation, term ofeach
oftheassessment orspecial taxliensandtheamountoftheexpectedpayments ofthespecial taxes
andthemaximum authorized special tax.
2. Disclosetheoptiontoprepaythespecial taxtopay forpublicfacilitiesorallow the
specialtaxtopayforpublicfacilities tobepassedthroughto thepurchaserof suchpropertyand the
adjustment, ifany, inthe salespriceofthehomesorother property whichwill apply ifthe specialtax
lienispassedthrough. Provide theabilityfortheprospective purchasertoelecttoexercise theoption
eitherto prepaythe specialtax obligation forfacilitiesat thecloseof escrowor tohavethe special
taxesincluded intheproperty taxesfortheproperty. Suchdisclosure shallbeplaced inallsales
2022/08/23 City Council Post Agenda Page 431 of 573
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CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 17OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
brochures, allotheron-siteadvertisingandallpurchasedocuments.
3. Specify inalldisclosure documents thename, title, telephonenumber andaddress ofa
representative oftheCityasprovided totheapplicantwhomaybecontacted byanyprospective
purchaserofproperty withinthecommunity facilitiesdistrictforfurtherinformation regarding the
community facilities districtandthespecialtaxliens.
Theapplicant mustagreetoprovideanoriginalcopy ofallapplicable disclosuredocuments tothe
Citypriortoinitiatingpropertysales.
Preformation Cost DepositsandReimbursements
Except forthoseapplications forcommunity facilities districtswhere theCity istheapplicant, allCity
and consultantcostsincurredintheevaluation ofapplications andthe proceedings toforma
communityfacilities districtand issue special taxbondsthereforwill be paidbytheapplicantby
advancedeposit withtheCityofmoneys sufficienttopayallsuchcosts.
Each application fortheformation ofacommunityfacilities district shall beaccompanied byaninitial
deposit inanamounttobedetermined bytheCityManagertobeadequate tofundtheevaluationof
theapplication andundertake the proceedingstoformthe communityfacilities districtandissuethe
specialtaxbonds therefor. TheCityManager may, inhisorhersolediscretion, permitanapplicant to
makeperiodicdeposits tocoversuch expensesrather thana single lumpsumdeposit; provided,
however, nopreformation costsshall beincurred bytheCityinexcess oftheamount thenon deposit
for suchpurposes. Ifadditionalfundsare required topayrequired preformation costs, theCity
Manager maymake writtendemand upontheapplicant for suchadditional fundsandtheapplicant
shall depositsuchadditional fundswiththeCitywithin five (5) working daysofthe dateofreceipt of
suchdemand. Upon the depletionofthefundsdepositedbyapplicant forpreformation costs, all
proceedings shall besuspended untilreceipt bytheCityofsuchadditional funds astheCityManager
maydemand.
Thedeposits shallbeusedbytheCitytopayforcostsandexpenses incurred bythe Cityincident to
theevaluationoftheapplication andtheproceedingsfortheformationofthecommunity facilities
district and theissuance ofthe specialtaxbondstherefor, including, butnot limited to, legal, special
taxconsultant, engineering, appraisal, market absorption, financialadvisor, administrative andstaff
costsandexpenses, required notifications, printing andpublication costs.
TheCityshall refund anyunexpended portion ofthe deposits upontheoccurrence ofoneofthe
following events:
2022/08/23 City Council Post Agenda Page 432 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 18OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
1. Theformation of thecommunity facilities districtortheissuanceof thespecial tax
bonds;
2. Theformation of thecommunity facilities districtortheissuanceof thespecial tax
bondsisdisapprovedbytheCityCouncil;
3. Theproceedingsfor theformationofthe communityfacilities districtandtheissuance
ofthespecial taxbonds areabandoned atthewritten requestoftheapplicant; or
4. TheCityhasdetermined thatthespecialtaxbonds willnotbe issued andsold.
Except asotherwiseprovidedherein, theapplicant shall beentitled, attheoptionoftheapplicant, to
reimbursement of, orcreditagainst, specialtaxesfor allamountsdeposited withtheCitytopayfor
costs incident totheevaluation oftheapplication andtheproceedingsfor theformation ofthe
community facilities district andthe issuance of thespecialtaxbondsthereforupontheformationof
thecommunity facilitiesdistrictandthesuccessfulissuanceandsaleofthespecialtaxbondsfor the
community facilities district. Anysuch reimbursementshallbepayablesolelyfrom theproceeds of
thespecial taxbonds.
TheCityshallnotaccrue orpayinterest onanymoneys deposited withtheCity.
Selection ofConsultants
TheCityshall select andretainallconsultants necessaryforthe evaluationofany application andthe
proceedings fortheformation ofacommunity facilitiesdistrict andthe issuanceofthespecial tax
bonds therefor, including, butnot limited to, special taxconsultant, bondcounsel, financialadvisor,
underwriter, appraiser, andmarket absorptionanalystafterconsultationwiththeapplicant.
LandUseApprovals
Properties proposed tobeincludedin aDevelopmentRelated CFDmusthave received such
discretionary landuse approvalsas may, inthedeterminationof theCity Manager, orhisorher
designee, benecessary toenable theCitytoadequately evaluate thecommunityfacilities district
includingtheproperties to beincluded andtheimprovements proposedtobe financed. TheCitywill
issuebonds securedbythelevyofspecial taxes within a Development RelatedCFDwhen (i) the
properties included withinsuchcommunity facilities district havereceived thoseapplicable
discretionary landuseapprovalswhichwould permitthe development ofsuchproperties consistent
withtheassumptions utilizedinthedevelopment of therateandmethod ofapportionment ofthe
specialtaxesforsuchcommunityfacilities district; (ii) applicable environmental review has been
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CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 19OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
completed; and (iii) the Cityhasdetermined thattheother prerequisites toabondsale havebeen
satisfied.
ItisthepolicyoftheCityCouncil ingranting approval fordevelopment suchaszoning, specificplan
orsubdivision approval tograntsuch approvalasapartoftheCity’songoing planningandlanduse
approvalprocess. Ingrantingsuchapproval, theCity reserves suchrightsasmaybepermittedbylaw
tomodify suchapprovals inthefutureastheCityCouncildetermines thepublic health, safety,
welfare andinterestmayrequire. Such approval when grantedissubjectto aconditionthatthe
construction ofanypartofthedevelopmentdoes not, standing alone, grantanyrightsto completethe
development of theremainderofsuch development. Constructionof publicimprovementstoserve
undeveloped landfinanced throughacommunityfacilities districtshall notvestanyrightstothe then
existing landuseapprovalsforthepropertyassessedforsuchimprovementsor toanyparticular level,
typeorintensityofdevelopment oruse. Applicants foraDevelopmentRelatedCFD mustinclude an
expressacknowledgment ofthispolicy and shallexpresslywaive ontheirbehalfandonbehalfof
theirsuccessors andassigns anycauseofactionatlaworinequity including, butnotlimited to,
takingordamaging ofproperty, forreassessment ofpropertyordenialofanyrightprotected byUSC
Section1983which mightbeapplicable to theproperties tobe assessed.
ApplicationProcedureforDevelopment RelatedCFD's
Anyapplication fortheestablishment ofacommunity facilitiesdistrictshall contain suchinformation
andbe submittedinsuchformastheCityManagermayrequire. In additiontosuch information as
theCityManager mayrequire, eachapplicationmust contain:
1. Proof ofauthorization tosubmit theapplicationonbehalf oftheowneroftheproperty
forwhich theapplication is submittediftheapplicant isnottheowner ofsuchproperty.
2. Evidencesatisfactory totheCity Manager thattheapplicantrepresents orhasthe
consentoftheowners ofnotlessthan67%, byarea, ofthepropertyproposed tobesubject tothelevy
ofthespecial tax.
3. ForanyDevelopmentRelatedCFDproposedtofinanceimprovements tobenefitnew
development, a businessplanfor thedevelopment of theproperty withinthe proposed community
facilities districtandsuchadditionalfinancial informationastheCityManager maydeemnecessary
toadequately reviewthefinancial feasibility ofthecommunity facilitiesdistrict. ForDevelopment
RelatedCFD’sproposed tofinance improvements tobenefitnew development, the applicant must
demonstratetothesatisfaction oftheCityManager theability oftheowneroftheproperty proposed
tobedeveloped topaythespecialtax installmentsforthecommunity facilitiesdistrict andanyother
2022/08/23 City Council Post Agenda Page 434 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 20OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
assessments, special taxesandadvalorem taxesonsuchpropertyuntilfullbuildoutoftheproperty.
ItistheintentionoftheCityCouncilthatapplicants fora community facilitiesdistrict haveanearly
opportunitytohavethe application reviewedbyCity staffforcompliance with thispolicy. Inthat
regard, theCityCouncilhereby directs theCityManager to createacommunityfacilities district
application reviewcommitteecomposed oftheCityAttorney, Director ofPublic Works, City
Engineer, Director ofDevelopmentServices, and FinanceDirector, or theirdesignees, andsuch
additionalpersons astheCityManagermaydeem necessary. The committee may meetwiththe
applicantforacommunity facilitiesdistrictforthepurposeofreviewinganapplication toforma
communityfacilities district following thedeterminationbythe CityManager, or hisor herdesignee,
thattheinformation containedintheapplication forsuchcommunity facilitiesdistrictcomplies with
therequirementsofthis policy. Following thereview of suchanapplication, the committee shall
prepareandsubmitareporttothe CityManager containing thefindingsandrecommendations ofthe
committee regarding theapplication.
Following review ofthecommitteereport, theCityManagershallplacetheapplicationontheCity
Council agenda forreview. Afterreview of theapplication andconsideration of thecommittee report,
theCityCouncil shalldetermine whetherornottoapprove theinitiation ofproceedings toformthe
community facilitiesdistrict. Thedecisionof theCity Councilpertaining to theapplicationshallbe
final.
Theability ofa property owner ordeveloper toobtain financingof public improvements fromthe
proceeds oftax-exemptbondsprovidessubstantialeconomicbenefits tosuch ownerordeveloper not
theleastofwhich maybethefinancingof suchimprovementsat interestratessubstantially lowerthan
conventional financing interestrates, if suchconventional financing isavailable, and/ortheability to
obtainfinancing withoutproviding equitycompensation tothelender. Inprovidingsuch financing for
aDevelopment Related CFDthe CityCouncilbelievesthattheCityisproviding valuable
considerationtotheproperty ownerordeveloper andshouldbereceiveconsideration inexchange. It
isthegoaloftheCityto ensurethatthe Cityand theremainder ofitsresidents, property owners and
taxpayers arecompensated fortheconsideration provided totheproperty ownerordeveloperof a
Development Related CFDandthatsuchcompensation should beone percent (1%) ofthe total
authorizedbonded indebtedness forsuch acommunity facilities district. Priortotheissuance of
specialtax bondsforanyDevelopmentRelated CFD, theapplicantshallpaytotheCitythepro rata
amountofanycompensationpayable totheCityasconsideration forthe City'sagreement toprovide
thefinancingmechanism forthefinancingoftheauthorizedimprovements andeligible incidental
expensesandtoacquiretheauthorized improvements pursuanttothetermsand conditionsofan
2022/08/23 City Council Post Agenda Page 435 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 21OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
agreement betweentheCity andtheproperty ownerordeveloper asappropriate. Forexample, ifthe
compensation payabletotheCityforsuchconsideration is $100,000foraDevelopment RelatedCFD
wherethetotalauthorized bonded indebtedness is $10,000,000andtheseries ofspecial taxbonds to
beinitiallyissuedis $5,000,000, thecompensationpayable totheCity prior totheissuance ofthe
initialseries ofbondswillbetheprincipal amount ofthe initialbond issue ($5,000,000) divided by
the totalamountoftheauthorized bonded indebtedness ($10,000,000) multiplied bythetotal
compensation forsuch Development Related CFD ($100,000). Inthisexample, thecompensation
payable priorto theissuanceof thefirstseriesof bondswouldbe: 5,000,000 100,000=$50,00010,000,000
Community FacilitiesDistricts forEnergy Efficiency, Water Conservation, andRenewable
EnergyImprovements
Introductory Statement
Senate BillNo. 555 (Statutes2011, Chapter493) amended theMello-RoosActtoauthorizetheuseof
community facilities districts forfinancing energyefficiency, waterconservation, and renewable
energyimprovements toprivatelyorpubliclyownedreal property andbuildings.
Inparticular, Senate BillNo. 555addedsection53328.1totheMello-RoosAct, thereby authorizing
special taxesto beleviedonlywiththeunanimous consent ofallowners ofpropertytobe taxedby
suchadistrict.
Inlightofthelegislativefindingsinsection8ofSenateBill No. 555, the CityCouncil maydetermine
toestablishoneormoreprograms through which theCitymayusesection 53328.1 oftheMello-Roos
Act andtherelatedprovisionsaddedtotheMello-RoosAct bySenate Bill No. 555toprovide special
taxfinancingforimprovements and properties thatmeet thecriteria setforthinthehearingreport
prepared inconnection withtheestablishment ofanysuch program (eacha “Program”). TheCity
willadminister eachProgramorcontract withathird-partytoadminister suchprogram (a “Program
Administrator”).
Withrespecttofinancings donethroughaProgram, the goalsandpolicies setforthinthissection, as
such goalsandpoliciesmay beamendedfrom timetotime, supersede anyother goalsandpolicies
adopted by theCityconcerningtheuseoftheMello-RoosAct.
1. EligibleImprovements. Aprogrammay beused tofinance orrefinance the
acquisition, installation, andimprovement ofenergyefficiency, waterconservation, andrenewable
2022/08/23 City Council Post Agenda Page 436 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 22OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
energyimprovementsonrealproperty andin oronbuildings, whethertherealpropertyorbuildings
areprivatelyorpubliclyowned, subject tothefollowing:
A. Forprivately owned realpropertyand buildings, eachownermustconsent in
advance tothefinancing, inwriting.
B. Financingthrough aProgramisnot availablefortheinitialconstructionof
privately-ownedresidential buildings unless thatinitialconstruction is
undertaken by theintended owneror occupant.
TheCityisnotestablishing anyprioritieswithrespectto thefinancingof Eligible Improvements.
Priority forfinancingshallbeconsideredon acasebycasebasisasdetermined bytheCityorthe
applicable ProgramAdministrator in accordance withthehearing reportprepared inconnection with
therelated Program, asamended ormodifiedfromtimetotime (each a “HearingReport”). No
services (asdefinedbyGovernment CodeSection 53313) willbefinanced through anyProgram.
1. NoticetoProspectiveOwners. Toensure thatprospective purchasers ofproperty
subjecttoaspecial tax leviedthrougha Program arefullyinformedaboutthetax, therelated Program
Administratorwillrecordanotice ofspecial-taxlienforeachparticipating property asrequiredby the
Mello-Roos Act andwillprovidetheseller ofeachwithadisclosure noticethatsatisfiessection
53340.2oftheMello-RoosActandCaliforniaCivilCodesection1102.6b.
2. Financing Limits. Foreach property. the minimum fundingrequestand maximum
amountfinanced shallbedeterminedinaccordance withtheHearing Report. It isnotexpectedthat
theCitywillissue bondsinconnection withanyProgram. IftheCityissuesbondsinconnectionwith
aProgram, theCitywill establishpoliciesconcerning thecredit quality ofsuch bonds onacaseby
casebasis.
3. Underwriting RequirementsforFinancings. For eachproperty, thefinancing of
EligibleImprovementsonthatpropertymust meettheeligibility requirements setforthintheHearing
Report. TheHearing Reportmaybeamended or modified fromtimeto timeas specified thereinor
theCityCouncil maywaiveormodifyany requirementintheHearing Report onacase bycasebasis.
4. MaximumAnnual Special Tax. Thetotalannualaggregate amount ofproperty taxes
andassessmentsoneach propertythatparticipates inaProgram, including thespecial taximposed
throughsuch Program maynotexceed fivepercent (5%) ofthevalue oftheproperty. Thevalue of
theproperty will bederived from theassessedvalue, theappraised value, oranestimate ofvalue
basedupon data supplied byareputable realestate information service. Ifappraisals areusedto
determinevalueforany purpose ofaProgram, thedefinitions, standards, andassumptions tobeused
2022/08/23 City Council Post Agenda Page 437 of 573
COUNCIL POLICY
CITYOF CHULAVISTA
SUBJECT: StatementofGoalsandPoliciesRegarding POLICY EFFECTIVE
EstablishmentofCommunity Facilities NUMBER DATE PAGE
Districts 505-04 4/9/2019 23OF23
ADOPTED BY: Resolution No. 2019-051 DATED: 4/9/2019
AMENDEDBY:
insuch appraisals shallbedetermined ona casebycasebasisby theCityortherelated Program
Administrator.
5. AdministrationCosts. The annualspecial taxforeachpropertythatparticipates ina
Program mustbe inan amountsufficient (i) tofinanceorrefinance theEligibleImprovements for
suchproperty and (ii) to paytheproperty’spro-ratashare oftheCity’sandtherelatedProgram
Administrators coststoadministersuchProgram.
6. MinimumStandards; WaiverandAmendment. Thepolicies setforth inthissection
reflecttheminimumstandards underwhichtheCitywillmakeuse oftheMello-Roos Act tofinance
EligibleImprovements. TheCitymay, in itsdiscretion, requireadditional measures andprocedures,
enhancedsecurityandhigher standards inparticular cases. The Citymay, inits discretion andtothe
extentpermitted by law, waiveanyofthepoliciessetforthherein. Such waivers aregrantedonlyby
actionoftheCityCouncil. Thegoals andpolicies setforthinthis section may be amended atany
time and fromtime totime bythe City.
2022/08/23 City Council Post Agenda Page 438 of 573
60297.00063\40319141.1
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING AN ACQUISITION/
FINANCING AGREEMENT RELATING TO CALIFORNIA
MUNICIPAL FINANCE AUTHORITY COMMUNITY
FACILITIES DISTRICT NO. 2022-12 (CITY OF CHULA
VISTA – OTAY RANCH VILLAGE 3 PHASE II) AND
AUTHORIZING RELATED ACTIONS
WHEREAS, the City of Chula Vista (the “City”) is a municipal corporation and charter
city duly organized and existing under and pursuant to the Constitution and the laws of the State
of California (the “State”) and has previously authorized the use of the California Municipal
Finance Authority’s (CMFA) Bond Opportunities for Land Development Program (the “BOLD
Program”) to allow the owners of property to be developed within the City to participate in the
BOLD Program subject to the approval of the City Council; and
WHEREAS, at the request of HomeFed Village III, LLC (HomeFed), the master developer
of the Otay Ranch Village 3 Phase II development project (the “Project”), the City Council of the
City has authorized the formation of the California Municipal Finance Authority Community
Facilities District No. 2022-12 (City of Chula Vista – Otay Ranch Village 3 Phase II) (the “Village
3 Phase II CFD”) through the BOLD Program and the terms and provisions of the Mello-Roos
Community Facilities Act of 1982, as amended (the “Act”); and
WHEREAS, the Village 3 Phase II CFD is authorized to finance City capital facilities and
related costs (the “City Infrastructure”) in satisfaction of certain City development impact fees (the
“City Fees”) authorized to be financed under the Act and certain City capital facilities to be
constructed by or on behalf of HomeFed (“Acquisition Improvements” and with the City
Infrastructure and the City Fees, the “Facilities”); and
WHEREAS, there has been presented to the City Council, the form of an
Acquisition/Financing Agreement by and among the City, CMFA and HomeFed (the “Acquisition
Agreement”) to establish the terms and conditions pursuant to which the City Fees may be
reimbursed or prepaid and the Acquisition Improvements may, upon the completion of the
construction thereof, be acquired by the City through financing provided by the Village 3 Phase II
CFD at prices determined pursuant to and in accordance with such agreement.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista,
California, AS FOLLOWS:
SECTION 1. Recitals. Each of the above recitals are true and correct and are hereby incorporated
into this Resolution as though fully set forth herein.
2022/08/23 City Council Post Agenda Page 439 of 573
Resolution No. 2022
Page No.
2
SECTION 2. Approval of Acquisition Agreement. The form of Acquisition Agreement as
presented to the City Council and on file with the City Clerk is hereby approved. The City
Manager and such other official or officials of the City as may be designated in writing by this
City Council (each, an “Authorized Officer” and together, the “Authorized Officers”) are each
authorized to execute the Acquisition Agreement for and on behalf of the City with such changes
thereto as such Authorized Officer, following consultation with the City Attorney and Best Best
& Krieger LLP, deem to be in the best interests of the City.
SECTION 3. Other Actions. The Authorized Officers and other officers, employees and agents
of the City, are hereby authorized and directed, jointly and severally, to do any and all things which
they may deem necessary or advisable in order to consummate the transactions herein authorized
and otherwise to carry out, give effect to and comply with the terms and intent of this Resolution.
All actions heretofore taken by the Authorized Officers and other officers, employees and agents
of the City with respect to CMFA, the BOLD Program and the Village 3 Phase II CFD and the
matters described herein are hereby approved, confirmed and ratified.
SECTION 4. Effective Date. This Resolution shall take effect immediately upon its adoption.
Presented by Approved as to form by
Laura C. Black, AICP Glen R. Googins
Interim Director of Development Services City Attorney
2022/08/23 City Council Post Agenda Page 440 of 573
ACN #2022-126
#210289 v4 9071.1
ACQUISITION/FINANCING AGREEMENT
CALIFORNIA MUNICIPAL FINANCE AUTHORITY
COMMUNITY FACILITIES DISTRICT NO. 2022-12
(CITY OF CHULA VISTA – OTAY RANCH VILLAGE 3 PHASE II)
THIS ACQUISITION/FINANCING AGREEMENT (the “Agreement”), dated as of
_________ 1, 2022 (the “Effective Date”), is made and entered into by and between the CITY
OF CHULA VISTA, a chartered municipal corporation duly organized and validly existing
under the Constitution and laws of the State of California, (the “City”), the CALIFORNIA
MUNICIPAL FINANCE AUTHORITY (the “Authority”), on behalf of itself and
COMMUNITY FACILITIES DISTRICT NO. 2022-12 (City of Chula Vista Otay Ranch Village
3 Phase II), a community facilities district formed and existing pursuant to the laws of the State
of California (the “CFD”), and HOMEFED VILLAGE III, LLC, a Delaware limited liability
company (the “Developer”).
WHEREAS, the Developer is the master developer of the property depicted in Exhibit
“A” attached hereto and incorporated herein by this reference (the “Property”) and Developer
has obtained certain land use entitlements from the City which permit the development of the
Property as entitled, (the “Development Project”); and
WHEREAS, as a part of the development of the Development Project, the Developer has
caused, or will cause to be constructed certain public improvements to serve the Development
Project that will be owned, operated or maintained by the City, including the improvements
identified in Exhibit “B” attached hereto and incorporated herein by this reference (the
“Acquisition Improvements”); and
WHEREAS, in connection with the development of the Development Project, certain
City capital improvement fees described in Exhibit “B” hereto (the “City Fees”) are required to
be paid and then used by the City to pay the costs of constructing or acquiring capital
improvements to be owned, operated or maintained by the City (“City Infrastructure” and with
the City Fees and Acquisition Improvements, the “Facilities”), including financing costs and
program administration costs; and
WHEREAS, the Developer requested that the City consider and the City did consider
authorizing the Authority to form the CFD under the terms and conditions of the “Mello-Roos
Community Facilities Act of 1982,” as amended (Government Code Section 53311 and
following) (the “Act”), for the purpose of financing the acquisition or construction of the
Facilities; and
WHEREAS, pursuant to its Resolution Nos. 2021-48, _____ and _____ (the
“Resolutions”), the City Council authorized the City’s participation in the Authority’s program,
the Authority’s formation of the CFD and the execution of this Agreement; and
WHEREAS, on _______________, 2022, the governing board of the Authority adopted
Resolution No. _________ (the “Resolution”) forming the CFD, under the provisions of the Act.
The Authority is authorized to levy special taxes upon land within the CFD (the “Special Taxes”)
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#210289 v4 9071.1 2
in accordance with the Rate and Method of Apportionment of Special Tax approved pursuant to
the Resolution, as it may be amended (the “Rate and Method”) and issue bonds (the “Bonds”) in
one or more series to provide financing for the Facilities to be owned, operated or maintained by
the City. The boundaries of the CFD are illustrated on Exhibit “A” hereto; and
WHEREAS, Developer, in order to proceed in a timely way with development of the
Development Project, desires to construct the Acquisition Improvements that will, following the
completion of the construction thereof, be acquired, owned, operated and/or maintained by the
City; and
WHEREAS, the City, CFD and Developer agree that the Acquisition Improvements to be
constructed by the Developer may, upon the completion of the construction thereof, be acquired
by the City through financing provided by the CFD at prices determined pursuant to and in
accordance with the provisions of this Agreement; and
WHEREAS, the City and the Developer further agree that the Facilities shall be funded
solely from (a) the proceeds of the Bonds which shall be issued by the CFD and which shall be
secured by the levy of Special Taxes within the CFD and (b) Available Special Taxes (defined
below) levied within the CFD; and
WHEREAS, it is the intent of this Agreement that Developer shall be entitled pursuant to
the provisions of this Agreement to be paid for each of the Acquisition Improvements
constructed by or on behalf of the Developer at the prices as determined by the City pursuant to
this Agreement upon: (a) the sale and delivery of Bonds by the CFD the proceeds of which shall
be authorized and designated to make the payments to acquire such Acquisition Improvements,
or the receipt of Available Special Taxes and (b) the completion of the construction of each such
Acquisition Improvement; and
WHEREAS, the City and CFD are willing to have the CFD finance the Facilities, subject
to the requirements of the Act, City Council Policy No. 505-04 (Statement of Goals and Policies
Regarding the Establishment of Community Facilities Districts, the “Goals and Policies”)
(except those provisions of the Goals and Policies that have been waived in accordance with the
Resolutions and this Agreement), and this Agreement and Developer desires that the CFD so
finance the Facilities.
NOW, THEREFORE, IT IS MUTUALLY AGREED between the respective parties as follows:
SECTION 1. Recitals. The above recitals are all true and correct.
SECTION 2. Plans and Specifications. All plans, specifications and bid documents for the
Acquisition Improvements (the “Plans and Specifications”) and all changes in the Plans and
Specifications necessitated by change orders shall be prepared by the Developer at the
Developer’s initial expense, subject to City approval. The costs of acquisition of such
Acquisition Improvements shall include costs of the preparation of the Plans and Specifications
and all related documentation as set forth in Section 7 below.
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#210289 v4 9071.1 3
Developer shall not award contracts for construction, commence construction or cause
commencement of construction of any Acquisition Improvement until the Plans and
Specifications for such Acquisition Improvement have been approved by the City.
SECTION 3. Design, Bid and Construction of Improvements. Developer covenants and
agrees that each Acquisition Improvement shall be designed, bid and constructed:
(a) in substantial compliance with the approved Plans and Specifications for such
Acquisition Improvement;
(b) in a good and workmanlike manner by well-trained adequately supervised workers;
(c) in strict compliance with all governmental and quasi-governmental rules, regulations,
laws, building codes and all requirements of Developer’s insurers and lenders;
(d) free of any known design flaws and defects; and
(e) except as provided below, in substantial compliance with the requirements of Exhibit “D”
hereto which is incorporated herein by this reference.
In the event of a protest by a bidder to the award of a contract for the construction of an
Acquisition Improvement or Acquisition Improvements to the apparent low bidder, the
Developer may, in its sole discretion, elect to:
(a) award the contract to the apparent low bidder pursuant to the provisions of Exhibit “D”
hereto if the Developer has determined that the bid of the apparent low bidder was, in fact,
responsive and that the irregularity upon which the protest is based was minor in nature, i.e., the
irregularity did not create an unfair competitive advantage for the apparent low bidder;
(b) reject the bid of the apparent low bidder if the Developer determines that the irregularity
upon which the protest is based did create an unfair competitive advantage for the apparent low
bidder and the bid of the apparent low bidder was, therefore, not responsive and award the
contract to the lowest responsive bidder; or
(c) reject all bids and solicit new bids for the construction of the applicable Acquisition
Improvement or Acquisition Improvements.
Should a legal action be filed challenging the validity of the Developer’s decision regarding any
such bid protest and/or the award of any contract for the construction of any Acquisition
Improvement, the Developer shall, at Developer’s sole expense, defend such action and shall
defend, indemnify, and hold harmless the City, its officers, directors, employees and agents and
the CFD and Authority and their officers, directors, employees and agents (each, an
“Indemnified Party” and collectively, the “Indemnified Parties”).
SECTION 4. Inspection and Acceptance of the Acquisition Improvements. The
construction activities relating to the Acquisition Improvements to be constructed by the
Developer shall be subject at all reasonable times to inspection by authorized representatives of
City. Once an Acquisition Improvement to be acquired by City is substantially completed in
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#210289 v4 9071.1 4
accordance with the approved Plans and Specifications, then such Acquisition Improvement shall
be eligible for payment of the Base Increment of the Purchase Price (as defined in Section 7
below) therefor.
Prior to acceptance by the City of any Acquisition Improvement constructed by the
Developer for purposes of paying the Retained Increment (as defined in Section 7 below) of the
Purchase Price, the Developer shall provide to the City Engineer of the City, or his or her
designee (the “City Engineer”), the documentation set forth in this Section 4 and Section 7(c)(ii)
below and obtain approval of as-built drawings for the Acquisition Improvement in accordance
with the process described below in this Section 4. The engineer of record for any such
Acquisition Improvement (“Engineer of Record”) shall file form PW-E-106 (Request for Release
of Bonds) with the City Engineer. Within 20 working days of such filing, the field inspector of
the City or his or her designee (“Field Inspector”) shall issue and transmit to the Engineer of
Record a letter requesting (i) as-built drawings and soils reports (when applicable) and (ii) a
punchlist of work to be completed or corrections to work to be completed before such
Acquisition Improvement will be eligible for payment of the Retained Increment. Within 20
working days of receipt of the Field Inspector’s letter, the Engineer of Record shall prepare
redline as-built drawings and submit them, together with any necessary soils reports, to the Field
Inspector and the Developer shall complete the items of work and/or corrections specified in the
punchlist. Within 10 working days of the Engineer of Record’s submittal of the red lined as -
built drawings, the Field Inspector shall review such drawings and provide comments. The
Engineer of Record shall revise the redline as-built drawings per the Field Inspector’s comments
and resubmit within 10 working days. The Field Inspector shall make his final review within 5
working days of the Engineer of Record’s resubmittal and notify the Engineer of Record to
prepare mylar as-built drawings and a microfiche copy and submit both to the City Engineer or
his designee and notify the Developer of any punchlist items which remain to be completed. The
City and Developer shall make best efforts to perform within the time periods described above.
The inability of City or Developer to perform within each time period, notwithstanding its best
efforts, shall not constitute a breach of this Agreement.
SECTION 5. Warranty of Acquisition Improvements Constructed by the Developer. At
all times prior to the City’s acceptance of any Acquisition Improvement constructed by the
Developer, the Developer shall be responsible for maintaining such Acquisition Improvement at
the Developer’s expense. The Developer shall be obligated for the period of twelve (12) months
immediately following the City’s acceptance of such an Acquisition Improvement to repair or
replace, at Developer’s expense, any defects or failures resulting from the work of Developer, its
contractors or agents. Upon the expiration of such twelve (12) month period, Developer shall
assign to the City its rights in and to any warranties, guarantees or other evidence of contingent
obligations of third persons with respect to such Acquisition Improvement. As a condition
precedent to the payment of the Retained Increment (as defined in Section 7 below) of the
Purchase Price, Developer shall post a maintenance bond in a form reasonably approved by the
City, cause such a maintenance bond to be posted, or assign Developer’s rights under such a
maintenance bond naming the City as beneficiary in an amount equal to fifteen percent (15%) of
the Purchase Price of such Acquisition Improvement in order to secure Developer’s obligations
pursuant to this Section. Upon posting of such maintenance bond, the City shall release any
performance, labor and material bonds for such Acquisition Improvement.
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#210289 v4 9071.1 5
SECTION 6. Notice of Completion and Lien Releases. Upon completion of the construction
of an Acquisition Improvement, Developer shall notify the City Engineer in writing of such
completion and shall prepare and execute a Notice of Completion for such Acquisition
Improvement in the form prescribed by Section 8182 of the California Civil Code and shall
record such notice in the Official Records of the County of San Diego. Developer shall cause its
contractors to provide unconditional lien releases for such Acquisition Improvement.
Notwithstanding the foregoing, City may waive the requirement for a Notice of Completion and
lien releases if City determines that as of the date of payment of the Retained Increment of the
Purchase Price for an Acquisition Improvement, title to such Acquisition Improvement or
portion thereof satisfies the requirements for Acceptable Title (as hereinafter defined).
SECTION 7. Payment of Purchase Price.
(a) Amount of Purchase Price. The amount to be paid by the CFD for the Acquisition
Improvements to be constructed by and acquired from Developer (the “Purchase Price”) shall, as
to each such Acquisition Improvement, (i) be determined by City in accordance with the
provisions of this Section 7, (ii) equal the lesser of the cost or the value thereof, (iii) include the
reasonable cost or value of eligible appurtenant public facilities, (iv) include the costs of the title
insurance policy described in Section 9 (a), and (v) include all other costs of construction and
incidental costs eligible under the Act and the Goals and Policies as a part of the cost of the
Acquisition Improvements.
The costs of each Acquisition Improvement to be included in the Purchase Price of such
Acquisition Improvement shall include the following:
(i) the actual hard costs for the construction of the Acquisition Improvement,
including labor, materials and equipment costs;
(ii) the costs of grading related to the Acquisition Improvement;
(iii) the costs incurred in designing, engineering and preparing the plans and
specifications for the Acquisition Improvement;
(iv) the costs of environmental evaluation and mitigation of or relating to the
Acquisition Improvement;
(v) fees paid to governmental agencies for, and costs incurred in connection with,
obtaining permits, licenses or other governmental approvals for the Acquisition
Improvement;
(vi) costs of construction administration and supervision up to one and three quarters
percent (1.75%) of the total cost of the Acquisition Improvement;
(vii) professional costs associated with the Acquisition Improvement, such as
engineering, legal, accounting, inspection, construction staking, materials and testing and
similar professional services, subject to the limitations established in the Goals and
Policies; and
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#210289 v4 9071.1 6
(viii) costs of payment, performance and/or maintenance bonds and insurance costs
directly related to the construction of the Acquisition Improvement.
In no event shall the cost or value of the construction of the Acquisition Improvements be
deemed to exceed the construction contract prices set forth in the contracts and change orders
approved by City (“Approved Change Orders”) pursuant to the applicable provisions of Exhibit
“D” hereto, which is incorporated herein by this reference, or otherwise authorized pursuant to
this Agreement.
Notwithstanding anything in this Section to the contrary, the City may elect, by written
notice to the Authority and Developer, to have the audit and payment processes described in this
Section 7 administered by the Authority’s third party/consultant, rather than City personnel.
(b) Incremental Payment of Purchase Price of an Acquisition Improvement. The Purchase
Price for any Acquisition Improvement constructed by the Developer shall be payable in not to
exceed two increments: (i) the “Base Increment” which shall be an amount equal to 75% of the
audited, eligible costs as reflected in the written request for payment of the Base Increment
submitted by the Developer and as approved by the Director of Development Services of the
City, or his or her designee (the “DSD Director”) and shall not exceed 75% of the cost estimate
set forth in Exhibit “B” for such Acquisition Improvement; and (ii) the “Retained Increment”
which shall be an amount not to exceed the remaining, unpaid portion of the Purchase Price for
such Acquisition Improvement determined pursuant to the provisions of (a) above.
(c) Requisition for Incremental Payment of Purchase Price of an Acquisition Improvement.
(i) Base Increment. The Developer may submit only one (1) written request to the
DSD Director for the payment of the Base Increment for an Acquisition Improvement
constructed by the Developer upon the substantial completion of the construction of such
Acquisition Improvement in accordance with the approved Plans and Specifications. The
criteria for determining “substantial completion” of each such Acquisition Improvement
is described in Exhibit “C” and shall mean generally that construction, or work with
respect to such Acquisition Improvement has progressed to the point where it is
sufficiently complete so that such Acquisition Improvement can be utilized for the
purpose for which it was intended. Substantial completion of such an Acquisition
Improvement shall also mean that all components of such Acquisition Improvement are
substantially complete, e.g., in the case of Acquisition Improvement including streets, the
components are described in Exhibit “C.” Each Base Increment payment request must be
in the form attached hereto as Exhibit “E,” which is incorporated herein by this reference,
and conform to the requirements of (f) below. The request for payment of the Base
Increment for an Acquisition Improvement shall be accompanied by a copy of the
following documents related to the construction of such Acquisition Improvement: (1)
each construction contract and copy of bid notice for such contract, (2) each change
order, (3) each invoice submitted pursuant to such construction contracts, (4) evidence of
payment of each such invoice such as copies of cancelled checks or other evidence of
payment satisfactory to the City Engineer, and (5) written conditional lien releases
executed by each applicable contractor, subcontractor and materialman in a form
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satisfactory to the City Attorney of the City (the “City Attorney”) for such Acquisition
Improvement.
(ii) Retained Increment. The Developer may submit only one (1) written request to
the DSD Director for the payment of the Retained Increment for an Acquisition
Improvement in the form attached hereto as Exhibit “F,” which is incorporated herein by
this reference, upon the submission to the City Engineer of (1) as -built drawings or other
equivalent plans and specifications for such Acquisition Improvement in a form
reasonably acceptable to the City, (2) evidence that the Developer has posted a
maintenance bond for such Acquisition Improvement as required by Section 5
hereinabove, (3) evidence of the satisfaction of the requirements of Section 9
hereinbelow directly related to such Acquisition Improvement and (4) written
unconditional lien releases from all contractors, subcontractors and materialmen
satisfactory to the City Attorney for such Acquisition Improvement. For any costs not
included in the Developer’s written request for payment of the Base Increment but
requested for payment in the Retained Increment the request shall conform to the
requirements of (f) below and also be accompanied by the following documents related to
such additional costs of the construction of such Acquisition Improvement if not done so
with the written request for payment of the Base Increment: (1) each construction
contract, (2) each change order, (3) each invoice submitted pursuant to such construction
contracts, and (4) evidence of payment of each such invoice such as copies of cancelled
checks or other evidence of payment satisfactory to the DSD Director.
(d) Documentation. Any payment request submitted by Developer shall be properly
executed and shall include copies of all supporting documents required by subsection (c)(i) or
(c)(ii), as applicable.
(e) Review of Payment Request for an Acquisition Improvement. The DSD Director shall
review each payment request and the supporting documentation accompanying such payment
request. If the City DSD Director finds that any such payment request is incomplete, improper
or otherwise not suitable for approval, the DSD Director shall inform Developer in writing
within twenty (20) working days after receipt thereof, the reasons for his finding. Developer shall
have the right to respond to this finding by submitting further documentation after receipt of the
denial. The DSD Director shall review any further documentation received from the Developer
in support of a payment request and inform Developer of his approval or denial of the payment
request as supplemented in accordance with this Section within ten (10) working days after
receipt of the supplemental documentation. A resubmittal of a payment request shall be deemed
a new payment request for purposes of this Section.
Subject to the limitations set forth herein, costs incurred under a construction contract for
an Acquisition Improvement entered into pursuant to the requirements of this Agreement and
Approved Change Orders shall be deemed to be reasonable and, subject to the other provisions
of this Agreement, shall be included in the Purchase Price for such Acquisition Improvement.
After his or her approval of each payment request, the DSD Director shall immediately
forward a request to the Authority and CFD notifying t he Authority and CFD of his or her
approval of the payment request and requesting that such payment be made to the appropriate
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payee. The CFD shall process any such request of the DSD Director pursuant to the applicable
procedures of the Authority and shall make or authorize such payment pursuant to such
procedures and subsection (h) below.
(f) Payment.
(i) Priority of Payment of Purchase Prices for Acquisition Improvements . The City
and the Developer acknowledge and agree that the Purchase Prices of all Acquisition
Improvements may exceed the aggregate amount of the Bond proceeds and special taxes
which will be available for the payment of the Purchase Prices.
(ii) Timing of the Payment of the Purchase Price for an Acquisition Improvement.
Subject to the limitations contained in (i) above and (iii) and (iv) below, the increment of
the Purchase Price for each Acquisition Improvement shall be paid to Developer within
thirty (30) days after the date of the DSD Director’s approval of the payment request for
any such increment; provided, however, no Retained Increment for any Acquisition
Improvement shall be paid earlier than thirty five (35) days after the recording of a
Notice of Completion for such Acquisition Improvement.
(iii) Source of Payment. The Purchase Price or any increment thereof for an
Acquisition Improvement shall be payable to the Developer from (a) those proceeds of
the sale of each series of Bonds deposited in the project fund (the “Project Fund”)
established pursuant to the indenture or fiscal agent agreement for the Bonds (the
“Indenture”) and (b) the Special Taxes of the CFD that have been levied directly to pay
for Facilities and collected by the CFD, including prepayments allocable to Facilities (the
“Available Special Taxes”). The funds deposited in the Project Fund and the Available
Special Taxes shall be referred to as the “Available Amount.”
The Authority agrees to levy the Special Taxes on Developed Property at 100% of the
Assigned Special Tax rate pursuant to the Rate and Method until the earlier of (i)
payment in full of all of the Facilities, or (ii) the issuance of the final series of Bonds,
excluding Bonds issued for refunding purposes only, after which point the Authority shall
levy Special Taxes to meet the Special Tax Requirement in the Rate and Method
excluding Special Taxes to pay for Facilities directly (as those capitalized terms are
defined in the Rate and Method). The Indenture shall also provide that all Available
Special Taxes collected prior to the issuance of the final series of Bonds, excluding
Bonds issued for refunding purposes only, shall be deposited in the Project Fund until all
Facilities have been fully funded.
(iv) Withholding of Payment. In addition to the foregoing, the City shall have the right
to withhold approval of a payment request for of the Purchase Price or any increment
thereof of any Acquisition Improvement if the DSD Director reasonably determines that
the Developer is not then in substantial compliance with all applicable conditions and
obligations imposed upon the Developer hereunder or upon the Development Project
pursuant to the land use entitlements approved by the City for the Development Project,
including but not limited to, payment of all applicable fees, dedication of all applicable
rights-of-way or other property and construction of all applicable public improvements.
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The DSD Director shall provide written notice to the Developer of the decision to
withhold any such approval and shall specify the reason for such decision. The notice
shall specify such condition or obligation and what action will be necessary by the
Developer to substantially comply with such condition or obligation. Upon the
determination by the DSD Director that the Developer has substantially complied with
the subject condition or obligation, the City shall forthwith provide any approval which
has been withheld pursuant to the provisions of this paragraph.
SECTION 8. Audit. The authorized representatives of City shall have the right, upon two (2)
days prior written notice to Developer and during normal business hours, to review all books and
records of Developer pertaining to costs and expenses incurred by Developer in construction of
the Acquisition Improvements.
SECTION 9. Ownership and Transfer of Acquisition Improvements. The conveyance of
the Acquisition Improvements by Developer to City shall be in accordance with the following
procedures:
(a) Acquisition Improvements Constructed on Land not Owned by City. As a condition to
the payment of the Retained Increment of the Purchase Price, Developer shall cause an
irrevocable offer of dedication to be made to City or an outright grant of a fee interest or
easement interest as appropriate, in the sole discretion of the City of the appropriate right, title
and interest in and to the portion of the applicable property owned by the Developer related to
the applicable Acquisition Improvement, including any temporary construction or access
easements. Developer, whether or not it is the entity constructing the Acquisition Improvements,
agrees to execute and deliver to the City the documents required to complete the transfer of
Acceptable Title for property owned by the Developer upon or within which such Acquisition
Improvements are to be located. For purposes of this Agreement, the term “Acceptable Title”
shall mean title to the portion of the property to be conveyed free and clear of all taxes, liens,
encumbrances, assessments, easements, leases, whether any such item is recorded or unrecorded,
except (i) non-delinquent taxes and assessments and (ii) those non-monetary encumbrances and
easements which are reasonably determined by the City not to interfere with the intended use of
the portion of the property. As a further condition to the payment of the Retained Increment of
the Purchase Price for any Acquisition Improvement, Developer at its sole initial cost and
expense, subject to reimbursement pursuant to Section 7, shall cause to be issued a policy of title
insurance for such portion of the property in an amount not to exceed the Purchase Price and in
the form normally required by City in connection with the dedication of land for subdivision
improvements and containing such title endorsements as may be reasonably requested by City.
City’s final acceptance of the portion of the property and the Acquisition Improvements
constructed thereon shall not be unreasonably withheld or delayed.
SECTION 10. Grading and Subdivision Acquisition Improvement Bonds . Except as
provided below, Developer shall be required to post or cause the posting of bonds or other
security acceptable to the City to guarantee completion of the Acquisition Improvements in
accordance with City’s standard subdivision requirements and conditions of approval of the
Development Project (the “Conditions of Approval”). Labor and materials bonds shall also be
required to be provided by the Developer’s contractor for all Acquisition Improvements to be
constructed under this agreement. Such bonds shall name the City of Chula Vista as additional
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obligee and shall remain in effect until the final acceptance of the Acquisition Improvements by
the City Engineer. The presence of Bond proceeds shall not relieve the Developer of requiring
this obligation of the Developer’s contractor.
Performance and labor and material bonds for specific Acquisition Improvements shall
not be required or may be released if: (1) such Acquisition Improvements constitute a portion of
the required subdivision improvements, (2) Bond proceeds equal to 125% of the estimated cost
to construct or acquire such Acquisition Improvements are available and set aside for such
purpose, and (3) the Acquisition Improvements are to be constructed or acquired entirely with
the proceeds of the Bonds. Provided that conditions (1) and (2) are satisfied, if an Acquisition
Improvement is to be constructed or acquired only in part with the proceeds of the Bonds,
performance and labor and material bonds shall not be required for that portion of the
Acquisition Improvements to be so constructed or acquired except with respect to the portion
that will not be acquired or constructed with Bond proceeds. In the event that the Bond proceeds
that are available and may be set aside to fund the cost to construct or acquire an Acquisition
Improvement are less than 125% of the estimated cost thereof, the Developer shall be required to
provide a performance and labor and material bond or other security satisfactory to the City
Engineer and the City Attorney in the amount of such deficiency. City will cooperate with
Developer in the termination or exoneration of any performance and labor and material bonds
assuring completion of Acquisition Improvements for which bonds have been sold. The City
Engineer shall be the sole judge of determining release of such bonds.
SECTION 11. Indemnification by Developer. Developer shall defend, indemnify and hold
harmless the City, its elected and appointed officers, agents and employees (the “Indemnified
Parties”), from and against any and all claims, losses, liabilities, damages, including court costs
and reasonable attorneys’ fees by reason of, or resulting from, or arising out of the financing,
design, engineering, solicitation of bids, award of contracts, administration of contracts and
construction of the Acquisition Improvements by the Developer, its employees, agents,
independent contractors and/or representatives; provided that any claims for personal injury or
property damage which relate to the Improvements shall be limited to those arising out of
personal injury or property damage caused by actions or omissions by Developer or Developer’s
employees, agents, independent contractors or representatives which occurred during the period
prior to the transfer of title to the Acquisition Improvements by City, whether or not a claim is
filed prior to the date of acceptance of the Acquisition Improvements. Nothing in this Section 11
shall limit in any manner the rights of the City against any of the architects, engineers,
contractors or other consultants employed by the Developer which has performed work in
connection with construction or financing of the Acquisition Imp rovements. Notwithstanding the
foregoing, Developer shall have no obligation to defend, indemnify or hold harmless the
Indemnified Parties from and against any claims, liabilities, losses or damages (including court
costs and attorneys’ fees) which result from or arise out of the sole negligence or willful
misconduct of an Indemnified Party.
Except as set forth in this Section 11, no provision of this Agreement shall in any way
limit the extent of the responsibility of Developer for payment of damages resulting from the
operations of the Developer, its agents, employees or contractors.
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SECTION 12. Obligation of City. Neither the City nor the CFD has a legal or financial
obligation to construct the Acquisition Improvements. All costs incurred for actual construction
of the Acquisition Improvements, including all incidentals thereto, shall be borne by Developer,
and the obligations of the City and CFD are limited to the acquisition of the Acquisition
Improvements pursuant to the provisions of this Agreement.
SECTION 13. Failure by Developer to Construct Acquisition Improvements. At any time
following commencement of the construction of any Acquisition Improvements by the
Developer the City determines that such construction is not progressing within a reasonable time
in accordance with the Conditions of Approval or the Developer fails to demonstrate a
continuing ability to complete the construction of such Acquisition Improvement in accordance
with the Conditions of Approval, the City may give written notice of such failure of performanc e
to the Developer. Developer shall have sixty (60) days from the date of receipt of such notice to
either (i) cure such failure of performance by demonstrating to the satisfaction of the City during
such cure period reasonable progress in the construction of the Acquisition Improvement and a
continuing ability to complete the construction of such Acquisition Improvement in accordance
with the Conditions of Approval or (ii) reasonably demonstrate that such failure of performance
is due to circumstances or conditions beyond Developer’s reasonable control (“Force Majeure”)
including, without limitation, the City’s actions, omissions or inaction which result in a delay of
performance by Developer, labor disputes, acts of God, war, riots, insurrections, civil
commotions, moratoriums, inability to obtain labor or materials or reasonable substitutes for
either, fire, unusual delay in transportation, and adverse weather conditions. Should Developer
fail to reasonably demonstrate such reasonable progress or such continuing ability to complete
the construction of such Acquisition Improvement or Force Majeure, the obligation of the City to
pay the Purchase Price for the acquisition of such Acquisition Improvement pursuant to this
Agreement may be terminated by the City by providing ten (10) days written notice to the
Developer. Upon termination, the City may in its sole discretion then proceed to advertise and
bid the balance of the construction of such Acquisition Improvement, and there will be no further
obligation on the part of the City for payment of the Purchase Price for such Acquisition
Improvement due to Developer pursuant to this Agreement.
In the event that the City chooses not to advertise and bid the balance of the construction
of any such Acquisition Improvement following such a termination, any monies remaining in the
Project Fund and set aside for the acquisition of such Acquisition Improvement shall be
transferred to the redemption fund established by the Indenture and used to call outstanding
Bonds.
SECTION 14. Notice of Special Tax. Developer, or the successor or assigns of the Developer,
shall provide written notice to all potential purchasers of lots in the form required pursuant to
Government Code Section 53341.5 and/or such additional requirements as may be established by
the City, so advising the potential purchaser of the fact of the CFD, with said document being
executed by the potential purchaser. Such notice shall be provided to the potential purchaser a
reasonable time before the potential purchaser becomes contractually committed to purchase the
property so that the potential purchaser may knowingly consider the impact of the special tax in
the decision to purchase the property. A copy of all such notices executed by actual purchasers
shall be provided to the DSD Director.
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SECTION 15. Agreement Contingent. The City may, at its option, suspend the performance
of its obligations under this Agreement if any legal challenge is filed relating to the validity or
enforceability of this Agreement. The obligations of the City and CFD hereunder shall be
reinstated upon the entry of a final judgment in any such proceedings upholding the validity and
enforceability of the Agreement. In the event that a final judgment or other final and non -
appealable resolution is entered invalidating or declaring unenforceable this Agreement, the City
and CFD may, at their option, terminate this Agreement.
SECTION 16. Limitation of Aggregate Taxes and Assessments. Owner agrees to include in
any future agreement to sell all or any portion of the property to any person or entity for the
purpose of constructing and marketing owner-occupied residential dwelling units (each, a
“Merchant Builder”) provisions requiring the inclusion of the following “escrow instructions” in
all sales by such Merchant Builder to residential home owners.
(a) At or prior to the close of each such escrow with a residential homeowner, the escrow
company shall apply a “calculation formula” previously approved by the DSD Director and
deposited with the escrow company by the Merchant Builder to determine the aggregate of all
annual ad valorem property taxes, all special taxes authorized to be levied to finance the
construction or acquisition of public facilities and all assessment installments authorized to be
levied to finance the construction or acquisition of public facilities (the “Total Annual Taxes and
Assessments”) applicable to the parcel subject to such escrow (the “Applicable Parcel”).
(b) If the Total Annual Taxes and Assessments exceed 2% of the sales price of the
Applicable Parcel, the Escrow Company will make immediate written demand upon the
Merchant Builder for deposit into the escrow of the funds necessary to partially prepay the
special tax obligation for the CFD or any other community facilities district so that the Total
Annual Taxes and Assessments will thereafter be equal to or less than 2% of the sales price of
the Applicable Parcel. Such funds must be received by the escrow company prior to the close of
escrow of the sale of the Applicable Parcel. The calculation of the prepayment amount for the
CFD shall be in accordance with the method of prepayment of special tax as set forth in the rate
and method of apportionment of special taxes approved by the qualified electors of the CFD or
the other community facilities district for which the special taxes are being partially prepaid.
Upon closing of such escrow, the amount so deposited by the Merchant Builder pursuant to this
escrow instruction shall be sent by the escrow company to the Director of Finance, together with
written instructions that such amount is to be used to partially prepay the special tax obligation of
the Applicable Parcel for the CFD or shall be sent to the other community facilities district for
which the special tax obligation has been prepaid with similar written instructions.
The provisions of this Section 16 related to sales by Merchant Builders to residential
homeowners shall also apply to any sale by Owner of a parcel to a residential homeowner.
In addition to any other remedy provided for by law or in equity, the City may enforce
the provisions of this Section 16 by an action for specific performance or injunctive relief or
both.
SECTION 17. Relationship to Public Works. This Agreement is for the construction and
acquisition of certain Acquisition Improvements by City and is not intended to be a public works
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contract. In performing its obligations under this Agreement, Developer is an independent
contractor and not the agent of City. Neither City nor the Authority shall have any responsibility
for payment to any contractor or supplier of Developer. Notwithstanding the foregoing,
Developer may be subject to certain public contract requirements as provided in Section 3 of this
Agreement.
SECTION 18. Deposit and Use of Available Amount.
(a) Project Fund Held by Authority. Prior to the issuance of the first series of Bonds,
Available Special Taxes collected by the Authority (including from prepayments of Special
Taxes) shall be deposited in the Project Fund established by the Authority for the CFD and may
be disbursed to pay or reimburse the costs of the Facilities in accordance with this Agreement.
All funds in the Project Fund shall be considered a portion of the Available Amount, and upon
the issuance of the first series of Bonds for the CFD, the Project Fund shall be transferred to the
trustee or fiscal agent for the Bonds (the “Trustee”) to be held in accordance with the Indenture.
(b) Issuance of Bonds - Project Fund Held by Trustee. Developer, the City and the Authority
agree to reasonably cooperate with one another in the completion of the financing through the
issuance of the Bonds in one or more series for the CFD in accordance with the California
Municipal Finance Authority Policies and Procedures for Community Facilities Districts
(http://www.cmfa-ca.com/bold/cmfa-cfd-policies-and-procedures/). Upon the issuance of the
first series of Bonds for the CFD, the Authority will cause the Trustee to establish and maintain a
separate Project Fund for the purpose of holding all funds derived from each series of Bonds for
the financing of the Facilities. A separate Tax Exempt Account and Taxable Account of the
Project Fund may be established for each series of Bonds into which the proceeds of tax exempt
Bonds and taxable Bonds, if any, shall be deposited. All earnings on amounts in a Project Fund
shall remain in such Project Fund for use as provided herein and pursuant to the applicable
Indenture. Money in each and every Project Fund shall be available to respond to delivery of
Payment Requests for the Base Increment or Retained Increments in the form attached hereto as
Exhibits “E” and “F,” respectively, with respect to Acquisition Improvements, and a
Disbursement Request Form (defined below) relating to City Fees to be paid to the City, or its
designee, or the Developer, or its designee, from the Available Amount pursuant to such forms.
Upon completion of the Project and the funding of all Facilities, any remaining funds in each
Project Fund (less any amount determined by the City as necessary to reserve for claims against
the Project Fund) shall be applied by the Authority to call Bonds or to reduce Special Taxes as
the Authority shall determine.
(c) City Disbursement from Project Fund for City Fees. Following the Developer’s submittal
of a payment request to FAI for a prepayment of City Fees pursuant to the Financed Fees
Payment Request Procedures attached hereto as Exhibit “H,” moneys on deposit in the Project
Fund shall be disbursed pursuant to written disbursement requests of the City, in substantially the
form attached hereto as Exhibit “G” (“Disbursement Request Form (City Fees)”) and executed
by the City Manager or DSD Director, or any designee of the foregoing (each, an “Authorized
Officer”), which disbursements shall be used for the payment of City Fees. In the event of such
a disbursement, the City shall establish a Trust Account relating to each applicable City Fee for
the benefit of the Developer or the Developer’s designees. In addition, City Fees paid previously
with respect to the Project shall be reimbursed to the Developer through the Developer’s
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submittal of a payment request pursuant to the procedures set forth in the Financed Fees Payment
Request Procedures attached hereto as Exhibit “H.”
The Authority and its designees, including the Trustee holding funds in the Project Fund,
may conclusively rely on such requisitions for purposes of making such disbursements. All
disbursements from the Project Fund to the City shall be made by wire transfer of immediately
available funds or by check payable to the City’s bank account number at a bank located within
the United States on file with the Authority as part of the BOLD program, unless another method
of payment is requested in writing by the City.
SECTION 19. Conflict with Other Agreements. Except as specifically provided herein,
nothing contained herein shall be construed as releasing Developer from any condition of
development or requirement imposed by any other agreement with City. To the extent the
provisions of this Agreement conflict with any provisions of such other agreement, the
provisions of such other agreement shall control.
SECTION 20. General Standard of Reasonableness. Any provision of this Agreement which
requires the consent, approval, discretion or acceptance of any party hereto or any of their
respective employees, officers or agents shall be deemed to require that such consent, approval
or acceptance not be unreasonably withheld or delayed, unless such provision expressly
incorporates a different standard.
SECTION 21. Entire Agreement; Amendment. This Agreement and the agreements
expressly referred to herein contains all of the agreements of the parties hereto with respect to the
matters contained herein and no prior or contemporaneous agreement or understandings, oral or
written, pertaining to any such matters shall be effective for any purpose. No provision of this
Agreement may be modified, waiver, amended or added to except by a writing signed by the
party against which the enforcement of such modification, waiver, amendment or addition is or
may be sought.
SECTION 22. Notices. Any notice, payment or instrument required or permitted by this
Agreement to be given or delivered to either party shall be deemed to have been received when
personally delivered or seventy-two (72) hours following deposit of the same in any United
States Post Office in California, registered or certified, postage prepaid, addressed as follows:
Authority: California Municipal Finance Authority
2111 Palomar Airport Road, Suite 320
Carlsbad, CA 92011
Attn: Edward J. Becker
Administrator: Francisco & Associates, Inc.
Attn: Ed Espinoza
5927 Balfour Court, Suite 109
Carlsbad, CA 92008
Developer: Homefed Village III, LLC
c/o Otay Land Company, LLC
1903 Wright Place, Suite 220
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Carlsbad, CA 92008
Attn: C urt Smith
With a copy to:
John P. Yeager, Esq.
O’Neil LLP
19900 MacArthur Blvd., Suite 1050
Irvine, CA 92612
City: City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 91910
Attn: City Manager
With a copy to:
276 Fourth Avenue
Chula Vista, CA 91910
Attn: City Attorney
Each party may change its address for delivery of notice by delivering written notice of such
change of address to the other party.
SECTION 23. Severability. If any provision of this Agreement is held to be illegal or
unenforceable by a court of competent jurisdiction, the remainder of this Agreement shall be
given effect to the fullest extent reasonably possible.
SECTION 24. Successors and Assigns. This Agreement shall be binding upon and inure to
the benefit of the successors and assigns of the parties hereto. Developer may not assign its
rights or obligations hereunder except upon written notice to City and the Authority within ten
(10) days of the date of such assignment indicating the name and address of the assignee. No
other Developer of property within the CFD shall have any right to receive payments with
respect to any Facilities unless such right has been expressly assigned to such Developer by
Developer in writing. Upon such notice and the assumption by the assignee of the rights, duties
and obligations of the Developer arising under or from this Agreement, Developer shall be
released by City from all future duties or obligations rising under or from this Agreement.
SECTION 25. Governing Law. This Agreement and any dispute arising hereunder shall be
governed by and interpreted in accordance with the laws of the State of California, Additionally,
this Agreement and the construction of the Acquisition Improvements shall be subject to all City
ordinances and regulations relating to the requirement of improvement agreements, land
division, improvement security or other applicable development requirements.
SECTION 26. Waiver. Failure by a party to insist upon the strict performance of any of the
provisions of this Agreement by any other party, or the failure by a party to exercise its rights
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under the default of any other party, shall not constitute a waiver of such party’s right to insist
and demand strict compliance by any other party with the terms of this Agreement thereafter.
SECTION 27. Singular and Plural; Gender. As used herein, the singular of any work
includes the plural, and terms in the masculine gender shall include the feminine.
SECTION 28. Counterparts. This Agreement may be executed in counterparts, each of which
shall be deemed an original.
SECTION 29. Construction of Agreement. This Agreement has been reviewed by legal
counsel for the City, the Authority and the Developer and shall be deemed for all purposes to
have been jointly drafted by the City, the Authority and the Developer. No presumption or rule
that ambiguities shall be construed against the drafting party shall apply to the interpretation or
enforcement of this Agreement. The language in all parts of this Agreement, in all cases, shall be
construed as a whole and in accordance with its fair meaning and not strictly for or against any
party and consistent with the provisions hereof, in order to achieve the objectives of the parties
hereunder. The captions of the sections and subsections of this Agreement are for convenience
only and shall not be considered or referred to in resolving questions of construction.
SECTION 30. Recitals; Exhibits. Any recitals set forth above and any attached exhibits are
incorporated by reference into this Agreement.
SECTION 31. Authority of Signatories. Each signatory and party hereto hereby represents
and warrants to the other party that it has legal authority and capacity and direction from its
principal to enter into this Agreement, and that all resolutions and/or other actions have been
taken so as to enable such party to enter into this Agreement.
[SIGNATURES ON FOLLOWING PAGES]
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#210289 v4 9071.1 S-1
Signature Page to
Acquisition/Financing Agreement by and between
the City of Chula Vista, California Municipal Finance Authority, Community Facilities District
No. 2022-12 (City of Chula Vista Otay Ranch Village 3 Phase II)
IN WITNESS WHEREOF, City, Authority and Developer have executed this Agreement as of
the Effective Date thereby indicating that they have read and understood same and indicate their
full and complete consent to its terms.
“CITY”
CITY OF CHULA VISTA
MARIA V. KACHADOORIAN,
CITY MANAGER
APPROVED AS TO FORM:
CC-Attachment 2 - Acquisition Financing Agreement-8.10.22-
BB&KEScribeFinal
GLEN R. GOOGINS,
CITY ATTORNEY
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#210289 v4 9071.1 S-2
“DEVELOPER”
HOMEFED VILLAGE III, LLC, a Delaware
limited liability company
By:
Name:
Its:
“AUTHORITY”
CALIFORNIA MUNICIPAL FINANCE
AUTHORITY, a joint powers authority
By:
Name:
Its: Authorized Signatory
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#210289 v4 9071.1 A-1
EXHIBIT “A”
CFD BOUNDARY MAP
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EXHIBIT “B”
DESCRIPTION OF FACILITIES
A. CITY FEES
1. Salt Creek Sewer Basin Fee
2. Parkland Acquisition and Development Fee (“PAD”)
3. Public Facilities Development Impact Fees (“PFDIF”)
4. Possible Future Fee for Vehicle Miles Traveled (“VMT”)
B. ACQUISITION IMPROVEMENTS
1. Main Street – (TDIF Facility) – Estimated Cost $14,000,000
City TDIF Road: 60A
Limits: From Heritage Road to Wolf Canyon Bridge (6-lane prime arterial)
Includes: Grading, drainage, surface improvements, landscape and irrigation, traffic signals,
environmental mitigation, associated soft costs
2022/08/23 City Council Post Agenda Page 460 of 573
#210289 v4 9071.1 C-1
EXHIBIT “C”
SUBSTANTIAL COMPLETION CRITERIA FOR ACQUISITION IMPROVEMENTS
General:
1. Substantial completion of an Acquisition Improvement for purposes of determining the
eligibility of such Acquisition Improvement for the payment of the “Base Increment”
therefore shall mean that the construction or work with respect to such Improvement,
including each component of such Improvement, has progressed to the point where it is
sufficiently complete so that it can be utilized for the purpose for which it was intended.
Substantial completion criteria for each Acquisition Improvement or component of an
Improvement is further described below.
2. Payment for the “Retained Increment” of the Purchase Price for an Acquisition
Improvement shall be in accordance with Section 7, paragraph (c)(ii) and shall be made after
submittal of a payment request form, as-built plans and such other documentation as is
required pursuant to Section 7 paragraph (c)(ii), posting of maintenance bonds, and
submittal of lien release evidence.
Substantial Completion Criteria:
A. Grading: Grading shall be deemed to be complete upon (1) completion of all preliminary
grading work (mobilization, site clearing, remedial grading, overexcavation, installation of
subdrainage systems) (2) certification of compaction by the geotechnical engineer, quantity
verification by the civil engineer, and confirmation by the Field Inspector and (3)
installation of all surface grading improvements (brow ditches, retaining walls, slope
protection and similar improvements) and the certification thereof by the geotechnical
engineer and confirmation by the Field Inspector.
B. Sewer: Sewer construction shall be deemed substantially complete upon the installation,
flushing, and testing of sewer main line, laterals, cleanouts, manholes, and all other
appurtenances of the sewer system as shown on the approved plans and specifications
therefore and in accordance with the City standard plans and specifications and the
verification of such installation by the civil engineer and confirmation of such installation by
the Field Inspector.
C. Storm Drain: Box culverts and headwall structures shall be deemed substantially complete
upon installation as shown on the approved plans and specifications therefore and in
accordance with the City standard plans and specifications and verification of such
installation by the civil engineer, and confirmation of such installation by the Field
Inspector.
D. Drainage Facilities: Drainage structures including energy dissipation devices (rip -rap, drop
structures, cut-off walls, etc.), drainage diversion structures, facilities required as part of the
environmental mitigation measures, and other drainage channel appurtenances including
drainage pipes connecting the brow ditches to the channel, shall be deemed substantially
complete for payment of the Base Increment upon the installation thereof as shown on the
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#210289 v4 9071.1 C-2
approved plans and specifications therefore and in accordance with City standard plans and
specifications and the verification of such installation by the civil engineer and confirmatio n
of such installation by the Field Inspector.
E. Dry Utility Backbone System: Dry utilities (electric, gas, telephone, CATV) shall be
deemed substantially complete upon the installation of the conduits, junction boxes,
payment of utility fees, and written acceptance of the facilities by the utility companies.
F. Roadway Pavement and Roadway Drainage System: Roadway pavement and drainage
improvements shall be deemed substantially complete upon the installation thereof as shown
on the approved improvement plans therefore and in accordance with City standard plans
and specifications and confirmation of such installation by the Field Inspector of all storm
drain pipes, catch basins, drainage inlets and cleanouts for the roadway storm drain system,
installation of roadway base material, concrete curb and gutter, and AC pavement including
the preparation of the subgrade and base material.
G. Other Street Surface Improvements: Street surface improvements including street lights,
traffic signals and conduits, signal interconnect, street name signs, roadway signing and
striping, and appurtenances shall be deemed substantially complete when installed as shown
on the improvement plans and in accordance with City standard plans and specifications and
upon confirmation of such installation by the Field Inspector.
H. Street Landscape Irrigation and Planting: Parkway landscaping within the roadway right of
way including planting, irrigation, concrete sidewalks, median maintenance strip, pedestrian
ramps, channel maintenance roads and all associated subgrade and base material preparation
shall be deemed substantially complete upon installation thereof as shown on the approved
improvement plans therefore and in accordance with City standard plans and specifications
and confirmation of such installation by the Field Inspector.
I. Slope Landscaping: Landscape planting and irrigation improvements for the slopes outside
of the roadway and channel right of way and the regional trail (DG) and fencing shall be
deemed substantially complete upon installation thereof as shown on the approved
improvement plans therefore and in accordance with City standard plans and specifications
and confirmation of such installation by the Field Inspector.
2022/08/23 City Council Post Agenda Page 462 of 573
#210289 v4 9071.1 D-1
Exhibit “D”
Design, Bid, Contract and Change Order Requirements
1. General
These requirements shall be applied to all Acquisition Improvements proposed to be
constructed by the Developer and subsequently acquired by the City through California
Municipal Finance Authority CFD No. 2022-12 (City of Chula Vista-Otay Ranch Village
3 Phase II). Except as expressly provided otherwise in the body of this Agreement itself,
any deviation from these requirements must be approved in writing in advance by the
DSD Director.
References to the DSD Director means the DSD Director or his or her designee.
The City reserves the right to make the final determination of cost of the Acquisition
Improvements to be acquired in accordance with this Agreement.
2. Design Phase
A. Acquisition Improvements shall be designed in accordance with City standards
and regulations.
B. Bidding Documents. Two complete sets of bidding documents, including
improvement plans, general provisions, and bid proposal forms have been or shall be
submitted to the Development Services Department of the City for review and approval
within 15 working days of submittal. Advertising for bids shall not have taken place or
shall not take place until the bidding documents are approved in writing by the City. This
procedure shall have been followed or shall be followed for each contract proposed to be
advertised. Unless otherwise noted, the bidding documents shall conform to the
following minimum requirements:
1. Unless impractical due to the nature of the Acquisition Improvement, the
bid proposal shall be unit priced rather than lump sum. A.C. pavement, base and
sub-base shall be bid on a square foot per inch thickness basis.
2. The bidding documents shall require the bidder/contractor to provide the
following bonds:
a. Bid Bond - 10% of the amount of the bid.
b. Material and Labor Bond - 50% of the contract amount.
c. Performance Bond - 100% of the contract amount.
The Contractor posted or shall post performance and labor and material bonds for
all improvements as part of the bid. The City shall be named as additional obligee
with the right to call such bonds if needed. Such bonds shall remain in effect until
2022/08/23 City Council Post Agenda Page 463 of 573
#210289 v4 9071.1 D-2
such time as all improvements are completed and accepted by the City Engineer.
The City Engineer shall be the sole judge in determining the release of such
bonds.
3. The bidding documents required or shall require the successful bidder to
provide evidence of comprehensive or commercial general public liability
insurance in the amount of at least $1,000,000 prior to the award of the contract.
4. The contractor is required to pay prevailing wages. Developer shall
advertise the Project as requiring the payment of prevailing wage and include all
provisions in the advertisement and contract documents as required by the
California Department of Industrial Relations (“DIR”).
5. The bidding documents clearly stated or must clearly state the time, date,
and place where bids are to be submitted and opened.
6. The bidding documents clearly stated or shall clearly state the amount of
time to complete the work. The time allowed must be reasonable for the amount
of work. Accelerated construction time allowances must be supplementally bid,
and are not eligible for public finance unless previously approved by the City
Engineer.
3. Bidding Phase
A. The Notice inviting Sealed Bids was published or shall be published in the Chula
Vista Star News and the San Diego Daily Transcript. The notice inviting bids
stated or shall state where bidding documents are available.
B. The bidding period following the advertisement of the Notice Inviting Sealed
Bids was or shall be a minimum of 14 calendar days.
C. Developer provided or shall provide complete sets of bidding documents to all
contractors, subcontractors, or suppliers requesting them. A reasonable price may
be charged for bidding documents.
D. Developer kept or shall keep a log of all persons obtaining bidding documents,
and their mailing address.
E. Addenda were mailed or shall be mailed by first class mail to all bidding
document holders and the DSD Director. If an addendum is required within five
working days of the noticed bid opening date, the bid opening date shall be
extended.
F. Submitted bids were or shall be in sealed envelopes.
G. Bids were not or shall not be accepted after the stated time for submission.
2022/08/23 City Council Post Agenda Page 464 of 573
#210289 v4 9071.1 D-3
H. Bid opening was or shall be conducted by the Developer at the Developer’s place
of business or other site mutually acceptable to the Developer and DSD Director.
I. Sealed bids were or shall be opened and read aloud immediately following the
submission time. A City representative was or shall be invited to attend the bid
opening.
J. Conditioned bids, unless the bid proposal lists them for all to bid on, were not
accepted or shall not be accepted.
K. The bid proposals conformed or shall conform to all state and local laws
governing the listing of subcontractors and suppliers.
L. The arithmetic of the two lowest bid proposals received was or shall immediately
be checked for errors.
M. A tabulation of all bids received was or shall be provided to the DSD Director
within five working days of the bid opening.
N. Award was or shall be made to the lowest responsible bidder within a reasonable
period of time following approval by the DSD Director.
O. A preconstruction meeting was or shall be held with the contractor prior to
beginning the work. A City representative was or shall be invited to attend the
meeting.
P. The Notice to Proceed was or shall be issued within a reasonable period of time
following the contract execution.
4. Construction Phase
A. The City was or shall be provided a copy of the construction schedule.
B. Developer did or shall require the contractor to conduct weekly construction
status meetings to which a City representative shall be invited.
C. Any additional costs incurred for the benefit of the Developer, such as
accelerating the construction schedule, shall not be eligible for public financing
unless previously approved by the DSD Director.
D. Any additional construction costs incurred due solely to delays caused by the
Developer shall not be eligible for public financing.
E. All contracts and construction related records shall be available to the City as and
when required for the final determination of eligible costs for the public
financing. This shall include trip tickets and other confirmations of material
delivered to the Improvement.
2022/08/23 City Council Post Agenda Page 465 of 573
#210289 v4 9071.1 D-4
5. Change Orders
A. All change orders shall be fully documented and be in a format consistent with the
original bid items (i.e., show units, unit costs, extensions and total costs). The
DSD Director, in his/her sole discretion shall determine the eligibility of each
change order for inclusion in the Purchase Price for an Acquisition Improvement.
B. Chula Vista Municipal Code (“CVMC”) Section 2.56.160(H)(6), provides that all
or portions of the developer-performed public work ordinance may be waived
where “the waiver is in the best interest of the public after consideration of factors
including, without limitation, project costs, time for completion, and other
relevant criteria, and (ii) appropriate safeguards are in place to protect the public
interest.” Developer has requested and the City Council has approved a post -
award waiver pursuant to CVMC 2.56.160(H)(6) for change orders for
Acquisition Improvements entered into prior to September [28, 2021] and
approved by the Field Inspector (the “Post-Award Waiver Change Orders”). The
Post-Award Waiver Change Orders shall be eligible for inclusion in the Purchase
Price subject to 5.A. above.
C. The aggregate of all change orders for the Acquisition Improvements shall not
increase the Purchase Price thereof so as to cause such Purchase Price to exceed
the cost estimate for such Acquisition Improvement as set forth in Exhibit B by
more than 25% without City Council approval. This modification of the
requirements of CVMC Section 2.56.160(H)(3)(b) is made pursuant to CVMC
Section 2.56.160(H)(5).
D. Change orders that the Developer does not wish to include in the Purchase Price
for an Acquisition Improvement do not require City approval, provided that they
(i) result in no additional maintenance or overhead costs to the City; (ii) result in
no material delay to the completion date; and (iii) result in no material
modifications to the design or construction.
E. Negotiated set price change orders are acceptable where most of the items of
work in the change order have unit prices from the bids. Where change orders are
for work that does not have unit prices for a substantial portion of the work
contained within the bids, time and materials change orders are preferred.
F. Failure to comply with the provisions herein may, in City’s sole discretion, result
in a waiver of all claims for additional payments, bond drawdowns, or
development credits to Developer in connection with such change order.
2022/08/23 City Council Post Agenda Page 466 of 573
#210289 v4 9071.1 E-1
EXHIBIT “E”
CALIFORNIA MUNICIPAL FINANCE AUTHORITY
Community Facilities District No. 2022-12 (City of Chula Vista Otay Ranch
Village 3 Phase II)
Base Increment
Payment Request No. ______
The undersigned (the “Developer”) hereby requests payment in the total amount of
$__________ for the Base Increment for the Acquisition Improvement (as defined in the
Acquisition/Financing Agreement (the “Agreement”)) by and among the City of Chula Vista (the
“City”), the California Municipal Finance Authority (the “Authority”) and Developer and
described in Exhibit “B” to the Agreement, all as more fully described in Attachment 1 hereto.
In connection with this Payment Request, the undersigned hereby certifies, represents and
warrants to the City as follows:
A. He(she) is a duly authorized representative or signatory of Developer, qualified to
execute this Payment Request for payment on behalf of Developer and is knowledgeable
as to the matters set forth herein.
B. The Acquisition Improvement that is the subject of this Payment Request has
been substantially completed in accordance with Exhibit “C” to the Agreement.
C. This request for payment of the Base Increment for the Acquisition Improvement
has been calculated in conformance with the terms of the Agreement. All costs for which
payment is requested hereby are eligible costs (as permitted in the Agreement) and have
not been inflated in any respect. The Base Increment for which payment is requested has
not been the subject of any prior payment request paid by the CFD.
D. All items have been clearly delineated as DIF/Non-DIF eligible (all DIFs) and
detailed backup and cost breakdown is provided supporting each item.
E. Supporting documentation (such as third-party invoices, change orders and
checks) is attached with respect to each cost for which payment is requested.
F. The Acquisition Improvement for which payment is requested was constructed in
accordance with the requirements of the Agreement.
G. Developer is in compliance with the terms and provisions of the Agreement.
H. No mechanics liens or other encumbrances have attached, or to the best
knowledge of Developer, after due inquiry, will attach to the Acquisition Improvement.
I. A cop(ies) of the letter(s) of unconditional lien release for the Acquisition
Improvement for which payment is requested is included this request. Alternatively, a
copy of a letter of conditional lien release for the Acquisition Improvement for which
payment is requested together with a letter from the contractor(s) stating that they have
2022/08/23 City Council Post Agenda Page 467 of 573
#210289 v4 9071.1 E-2
been paid in full by the Developer for the Acquisition Improvement for which payment is
requested is also included in this request.
I hereby declare under penalty of perjury that the above representations and warranties
are true and correct.
DEVELOPER:
Dated:
CITY
Payment Request Approved for Submission to
Director of Finance
Director of Development Services
Dated:
2022/08/23 City Council Post Agenda Page 468 of 573
#210289 v4 9071.1 E-3
ATTACHMENT 1
SUMMARY OF ACQUISITION IMPROVEMENTS
TO BE ACQUIRED AS PART OF PAYMENT REQUEST NO. _____
Improvement Purchase price Base Increment
Retained
Increment
Disbursement
Requested
[List here all Acquisition Improvements for which payment is requested,
and attach supporting documentation]
2022/08/23 City Council Post Agenda Page 469 of 573
#210289 v4 9071.1 F-1
EXHIBIT “F”
CALIFORNIA MUNICIPAL FINANCE AUTHORITY
Community Facilities District No. 2022-12 (City of Chula Vista Otay Ranch
Village 3 Phase II)
Retained Increment
Payment Request No. ______
The undersigned (the “Developer”) hereby requests payment in the total amount of $__________
for the Retained Increment of the Purchase Price of an Acquisition Improvement (as defined in
the Acquisition/Financing Agreement by and among the City of Chula Vista (the “City”), the
California Municipal Finance Authority (the “Authority”) and Developer and described in
Exhibit “B” to the Agreement), all as more fully described in Attachment 1 hereto. In
connection with this Payment Request, the undersigned hereb y certifies, represents and warrants
to the City as follows:
A. He(she) is a duly authorized representative or signatory of Developer, qualified to
execute this Payment Request for payment on behalf of Developer and is
knowledgeable as to the matters set forth herein.
B. Developer has submitted or submits herein to the City, if applicable, as-built
drawings or similar plans and specifications for the Acquisition Improvement and
such drawings or plans and specifications, as applicable, are true, correct and
complete.
C. The Purchase Price for the Acquisition Improvement has been calculated in
conformance with the terms of the Agreement. All costs for which payment is
requested hereby are eligible costs (as permitted in the Agreement) and have not
been inflated in any respect. The Retained Increment for which payment is
requested has not been the subject of any prior payment request paid by the CFD.
D. All items have been clearly delineated as DIF/Non-DIF eligible (all DIFs) and
detailed backup and cost breakdown is provided supporting each item.
E. Supporting documentation (such as third-party invoices, change orders, lien
releases and checks) is attached with respect to each cost for which payment is
requested.
F. The Acquisition Improvement for which payment is requested was constructed in
accordance with the requirements of the Agreement.
G. Developer is in compliance with the terms and provisions of the Agreement.
H. No mechanics liens or other encumbrances have attached, or to the best
knowledge of Developer, after one inquiry, will attach to the Acquisition
Improvement.
2022/08/23 City Council Post Agenda Page 470 of 573
#210289 v4 9071.1 F-2
I hereby declare under penalty of perjury that the above representations and warranties
are true and correct.
DEVELOPER:
Dated:
CITY
Payment Request Approved for Submission to
Director of Finance
Director of Development Services
Dated:
2022/08/23 City Council Post Agenda Page 471 of 573
#210289 v4 9071.1 F-3
ATTACHMENT 1
SUMMARY OF ACQUISITION IMPROVEMENTS
TO BE ACQUIRED AS PART OF PAYMENT REQUEST NO. _____
Improvement Purchase price Base Increment
Retained
Increment
Disbursement
Requested
[List here all Acquisition Improvements for which payment is requested,
and attach supporting documentation]
2022/08/23 City Council Post Agenda Page 472 of 573
#210289 v4 9071.1 G-1
EXHIBIT “G”
DISBURSEMENT REQUEST FORM (CITY FEES)
To:
California Municipal Finance Authority
2111 Palomar Airport Road, Suite 320
Carlsbad, California 92011
Attention: Travis Cooper
Email: tcooper@cmfa-ca.com
Tel: (760) 795-9185
Re: BOLD Program - Request for Disbursement of Bond Proceeds
Community Facilities District No. 2022-12 (City of Chula Vista – Otay Ranch
Village 3 Phase II)
The undersigned, a duly authorized officer of the City of Chula Vista (the “City”) hereby
requests a disbursement from the [Taxable/Tax Exempt] Account of the Project Fund set forth
below, and, if the disbursement is to be made from the Tax Exempt Account, certifies that the
amounts of development impact fees financed thereby and listed below have been or will be
spent by the City for public capital improvements as of the date indicated below or within [__]
days/months thereafter
Project Fund Account Amount(s)
Community Facilities District No. 2022-12 $
Total:
Wiring Instructions: ___________________________
The undersigned hereby additionally certifies as follows:
1. [Tax-Exempt Only] These funds have been or will be used to acquire and/or
construct capital improvements, and this disbursement is not being made for the purpose of
reinvestment.
2022/08/23 City Council Post Agenda Page 473 of 573
#210289 v4 9071.1 G-2
2. [Tax-Exempt Only] None of the expenditures for which payment is requested
have been reimbursed previously from other sources of funds.
3. If the total amount above is greater than the funds held by the Authority on behalf
of the City in the Account identified above, the Authority is authorized to pay only that portion
of the amount request equal to such held funds and to pay the remainder when sufficient
additional funds are deposited in the applicable Account.
4. The amounts being disbursed pursuant to this request are being used to finance or
refinance certain public infrastructure and facilities, including certain financing and
administrative costs (the “City Infrastructure”). City will own, and for the entire useful life of
such City Infrastructure reasonably expects to own, all of such City Infrastructure.
5. [Tax-Exempt Only] To the extent any of such City Infrastructure is sold to an
entity that is not a state or local government City, City will seek the advice and approval of bond
counsel to the Authority for the BOLD program prior to any such sale. City will not allow any
of such City Infrastructure to be used (for example, by lease or other contract) in the trade or
business of any nongovernmental persons (other than in their roles as members of the general
public). All of such City Infrastructure will be used in the performance of essential
governmental functions of City or another state or local government City. The average expected
useful life of such City Infrastructure is at least 5 years. The representations and covenants
contained in this paragraph are intended to support the conclusion that the interest paid on the
bonds issued to finance the City Infrastructure is excluded from gross income for federal income
tax purposes under Section 103 of the Internal Revenue Code of 1986 (the “Code”) and are not
required for disbursements to be made from the Taxable Account of the Project Fund.
Dated:
CITY OF CHULA VISTA
Signature:
Print Name:
2022/08/23 City Council Post Agenda Page 474 of 573
#210289 v4 9071.1 H-1
EXHIBIT “H”
FINANCED FEES PAYMENT
REQUEST PROCEDURES
Francisco & Associates, Inc., (FAI) has been retained by the California Municipal Finance
Authority (CMFA) to assist with the administration of the BOLD Program bond proceeds. The
following are the procedures in place for the processing of payment requests for eligible
Financed Fees.
1.) The Developer shall submit all payment requests with supporting documentation directly
to FAI to expedite the audit process.
2.) Once a payment request is received, FAI will conduct an initial audit to determine if the
payment request package is complete. The initial review will determine if the following
essential elements are included:
a. Payment Request Form with completed Attachment 1 (see attached)
b. Identification of fees for prepayment to the City or for reimbursement
c. Invoices, receipts, worksheets or other evidence of costs
d. Proof of payment
3.) If any essential element has been omitted, FAI will prepare a letter to the Developer
deeming the payment request incomplete. The letter will include a list of items required to
complete the package.
4.) Upon receiving a complete payment request, FAI will begin the detailed audit of the
payment request, using the following procedures:
a. Invoices and proofs of payment will be compared to determine if there are any
discrepancies. Invoices without proof of payment will be deemed ineligible for
reimbursement. Where discrepancies occur, the lowest amount will be deemed eligible
for reimbursement until additional supporting documentation can be provided by the
Developer.
b. FAI will confirm fee amounts with City staff for fees that are to be prepaid to the
City or reimbursed to the Developer.
c. A detailed worksheet will be prepared detailing the amount submitted for
reimbursement under each invoice, the corresponding proof of payment for that invoice,
the amounts deemed eligible and ineligible for reimbursement by FAI, the amount
submitted for prepayment to the City, the corresponding documentation for prepayment
and comments by FAI.
d. A summary of invoices and proof of payment provided by the Developer will be
prepared.
5.) FAI will prepare additional information requests to the Developer as needed to facilitate
the audit.
6.) FAI will prepare an audit letter for City staff review that summarizes the items above and
includes FAI’s recommendation of fees that are eligible and appropriate for reimbursement to the
Developer and the amount that is to be retained by the City corresponding to the prepayment of
eligible fees. Such audit letter will be accompanied by all back up documentation and the
detailed worksheet.
2022/08/23 City Council Post Agenda Page 475 of 573
#210289 v4 9071.1 H-2
7.) FAI will prepare the Disbursement Request Form (City Fees) in the form attached as
Exhibit “G” hereto, for review and approval of the City.
8.) Upon receipt of the approved Disbursement Request Form (City Fees), FAI will prepare
the Certificate of the Authority Requesting Disbursement from the Project Fund required under
the Indenture, for review and approval by CMFA.
9.) CMFA will transmit the executed Certificate above to the Trustee for disbursement of the
bond proceeds to the Developer for reimbursement or to the City for prepayment.
10.) Approximate Review, Approval and Disbursement Timeline:
a. FAI performs audit of payment request and provides the City with the audit letter
and Disbursement Request Form for review and approval – Approximately 5 days
b. City reviews and approves audit letter and supporting documentation and provides
signed Disbursement Request Form – Approximately 30 days
c. CMFA reviews, approves, and submits Certificate to Trustee – Approximately 5
days
d. Trustee wires funds to the Developer for reimbursement or to the City for
prepayment for deposit in Trust Account – Approximately 2 days
2022/08/23 City Council Post Agenda Page 476 of 573
#210289 v4 9071.1 H-3
California Municipal Finance Authority
BOLD Program
CFD No. 2022-12
Payment Request Form
1. The undersigned is an authorized representative of the Developer, qualified to execute
this request for payment on behalf of the Developer and knowledgeable as to the matters set forth
herein.
2. The identity and amount of the City Fees are described in Attachment 1.
3. For the City Fees for which the Developer is seeking reimbursement, the Developer has
submitted or submits herewith to the CMFA Administrator evidence that City Fees referred to in
the preceding paragraph have been paid in full, which evidence is in the form of copies of
cancelled checks or such other form of proof of payment, such as bank statements.
I hereby declare under penalty of perjury that the above representations and warranties are true
and correct.
Developer:
By:
Name:
Title:
Date:
2022/08/23 City Council Post Agenda Page 477 of 573
#210289 v4 9071.1 H-4
ATTACHMENT 1
City
Description of
City Fee
Description of
Lots or Parcels
Amount to be
Reimbursed
Amount to be
Prepaid
2022/08/23 City Council Post Agenda Page 478 of 573
August 23, 2022
1
City Council Meeting
Item 7.1
CMFA CFD 2022-12
Otay Ranch Village 3, Phase II
2022/08/23 City Council Post Agenda Page 479 of 573
SURROUNDING USES
Otay Landfill
Sesame Place /
Amphitheatre
Village 3
Quarry
MSCP Preserve Area
Industrial
Otay River Valley / Preserve Area
Industrial / Residential
Otay Landfill
Village 3
Quarry
Sesame Place/
Amphitheater
Main St
Village 8 WestHeritage Road2022/08/23 City Council Post Agenda Page 480 of 573
Properties Included in CFD 2022/08/23 City Council Post Agenda Page 481 of 573
CFD 2022-12 Boundary Map2022/08/23 City Council Post Agenda Page 482 of 573
HomeFed requests to form CFD via CMFA BOLD
Program to finance public facilities and development
impact fees
Consistent with City’s CFD Goals and Policies with
certain exceptions
CMFA oversees CFD district formation and
administration, special tax formula, bond sale
City retains approval of developer reimbursements
and right to review of all CFD documentation
CMFA CFD Process2022/08/23 City Council Post Agenda Page 483 of 573
Conduct noticed public hearing to allow
bonds to be issued by CMFA
Authorize the formation of Village 3, Phase
II CFD through CMFA BOLD program and
approve JCFA
Approve form of Acquisition Financing
Agreement
TONIGHT’S ACTIONS2022/08/23 City Council Post Agenda Page 484 of 573
RECOMMENDATION
Approve resolutions:
A.Authorizing formation of CMFA CFD 2022-12, Otay Ranch
Village 3, Phase II, through BOLD program; approving Joint
Community Facilities Agreement (JCFA)
B.Approving form of Acquisition Financing Agreement
2022/08/23 City Council Post Agenda Page 485 of 573
Chula Vista Bayfront
Project Update
Commissioner Ann Moore
2022/08/23 City Council Post Agenda Page 486 of 573
2
Gaylord Groundbreaking –July 27
2022/08/23 City Council Post Agenda Page 487 of 573
3
Current Road Closures & Bayside Park Access
2022/08/23 City Council Post Agenda Page 488 of 573
4
Opening Spring 2025!
2022/08/23 City Council Post Agenda Page 489 of 573
AUGUST 23, 20222022/08/23 City Council Post Agenda Page 490 of 573
Festival/Retail
E-Sports/Performing Arts
Hotel/Sports/
Entertainment
Complex
Aquatic Athletic Center
Blue/Green Tech
Offices
Greenbelt Park
Youth Sports Fields
Dock &
Dine/Youth Sailing
Festival Plaza
2022/08/23 City Council Post Agenda Page 491 of 573
2022/08/23 City Council Post Agenda Page 492 of 573
2022/08/23 City Council Post Agenda Page 493 of 573
2022/08/23 City Council Post Agenda Page 494 of 573
Festival/Retail
E-Sports/Performing Arts
Aquatic Athletic Center
Blue/Green Tech
Offices
Hotel/Sports/
Entertainment
Complex
Greenbelt Park
Youth Sports Fields
Dock &
Dine/Youth Sailing
Festival Plaza
2022/08/23 City Council Post Agenda Page 495 of 573
v . 0 03 P a g e | 1
August 23, 2022
ITEM TITLE
Presentation of 2020 Community and Municipal Greenhouse Gas Emissions Inventories
Report Number: 22-0188
Location: No specific geographic location
Department: Economic Development
Environmental Notice: The activity is not a "Project" as defined under Section 15378 of the California
Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no
environmental review is required.
Recommended Action
Hear the presentation and accept the report.
SUMMARY
As part of the City’s ongoing greenhouse gas (GHG) monitoring effort and to comply with the 2017 Climate
Action Plan (CAP), staff completed the 2020 Municipal and Community GHG Emissions Inventories report.
The report is structured into two sections, including 1) Community Inventory, which includes GHG
emissions created within City boundaries from homes, businesses, vehicles, water usage and the generation
of waste; and 2) Municipal Inventory, which covers GHG emissions created by City operations, from City
operated buildings, street and traffic lights, vehicle fleet and waste generated from City facilities. Because
much of City operations take place within City boundaries, many of the emissions in the Municipal
Inventory are also included in the Community Inventory.
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The 2020 GHG Inventory report indicates that the community GHG emissions have decreased by seventeen
percent (17%) compared to the 2005 baseline (the farthest back year with comparable data). These
reductions are even more significant when considering the twenty-five percent (25%) increase in population
over this same time period. The report indicates a thirty three percent (33%) decrease in per capita emission
levels compared to the 2005 levels. The municipal report indicates approximately a ten percent (10%)
increase in emissions from municipal sources (i.e., operations, facilities and vehicle fleet) compared to the
most recent previous GHG inventory in 2018 levels but still sixty seven percent (67%) below the 1990
baseline (the farthest back year with comparable data). Staff will continue implementation of the 2017 CAP
and is working to incorporate the Climate Change Working Group (CCWG) recommendations that were
approved by City Council in April of 2021 into the next Climate Action Plan Update.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with the California
Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under
Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment;
therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA.
Thus, no environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
City Staff presented the 2020 Community and Municipal GHG inventories to the Sustainability Commis sion
(SSC) on June 13th, 2022. The SSC provided feedback and comments that were incorporated into the reports
and unanimously recommended that City Council accept the report.
DISCUSSION
The City of Chula Vista continues to be a nationally recognized leader in fighting climate change in our
community. The 2017 CAP includes 11 climate “mitigation strategies,” each with multiple individual actions
designed to reduce GHG emissions. Together with previous climate action planning documents, these actions
guide the ongoing City staff efforts. In addition to addressing climate change, these climate action measures
offer numerous community co-benefits such as utility savings, better air quality, reduced traffic congestion,
local economic development and improved quality of life. The importance of climate action was reinforced
by City Council declaring a climate emergency in March of 2022, stating, “The City of Chula Vista
acknowledges that a global climate crisis exists and poses a serious, urgent and pressing threat to the well-
being of Chula Vista, its inhabitants, economy and environment, and therefore there is need for immediate
actions to address the global climate crisis.”
2020 GHG Inventory Report Methodology:
Like the previous 2016 and 2018 GHG Emissions Inventories, the Municipal GHG Inventory was created by
City staff using the Local Government Operations Protocol (LGOP, Version 1.1) and the ClearPath tool. The
ClearPath tool is provided to ICLEI members and helps local jurisdictions create GHG inventories by
providing GHG calculations, default assumptions, and record keeping. T he Community GHG Emissions
Inventory was created by the University of San Diego’s Energy Policy Initiatives Center (EPIC) who was
contracted by SANDAG. EPIC utilized SANDAG’s Regional Climate Action Planning (ReCAP) Framework. The
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ReCAP framework is a tool created by SANDAG through collaboration with local agency staff and leading
climate planning experts to prepare a planning framework that identifies best practices for preparing
Climate Action Plans (CAP) and monitoring their implementation. ReCAP establishes a technical framework
for regionally consistent climate action planning that also preserves local policy flexibility for the unique
needs and circumstances of each local jurisdiction. Additional information on ReCAP is available on the
SANDAG website (www.sandag.org/climate).
SANDAG is still preparing the 2020 Snapshot and monitoring information and they will be added to the City’s
climate webpage at www.chulavistaca.gov/clean and will be available from SANDAG at
https://climatedata.sandag.org/. A full review of the inventory methodology can be found in the Technical
Appendices at
www.sandag.org/index.asp?classid=17&subclassid=46&projectid=565&fuseaction=projects.detail. Many
of the GHG inventory methodologies remained the same and continued to use the U.S. Community Protocol
(Version 1.0). In the protocol, the emissions from five main parameters – building energy consumption,
transportation, water (embedded energy), wastewater and solid waste are evaluated. These parameters are
based solely on “end use activities” and their emissions are expressed as CO2 equivalent (or CO2e), which
allows greenhouse gases of different strengths to be added together. It should be noted, there was an error
found in the 2018 inventory for the amount of waste that was disposed in the landfill, that total was changed
from 265,974 to the 209,700 tons but did not have an effect on the GHG emissions reported form that sector.
Due to the unprecedented impacts of Covid-19 on transportation, SANDAG was not able to provide a Vehicle
Miles Traveled (VMT) estimate. To get this data EPIC created an estimate based for internal-internal (I-I)
VMT that was estimated based on 2016 I-I VMT and 2016-2020 VMT rate of increase on Chula Vista local
roads from CalTrans Highway Performance Monitoring (HPMS) data. 2020 Chula Vista internal-
external/external-internal (I-E/E-I) VMT is estimated based on 2016 I-E/E-I VMT and 2016-2020 San Diego
regional VMT rate of increase from CalTrans Performance Measure System (PeMS). 2016 Chula Vista I-I and
I-E/E-I VMT are from SANDAG ABM2+ version 14.2.2. Because of this, there is no transportation related
emission reported in SANDAG’s Climate Action Data Portal.
Community Inventory
Community GHG emissions in 2020 totaled 1,098,000 metric tons of carbon dioxide equivalent (MT CO2e).
This is a reduction of four percent (4%) below the 2018 inventory and seventeen percent (17%) below the
2005 baseline. The City just met its 2020 GHG reduction goal of a fifteen percent (15%) reduction below
2005 but needs nearly 500,000 MT C02e additional reductions to meet its 2030 science-based reduction
goal. These emissions reductions are even more significant after considering the City experienced a twenty-
five percent (25%) increase in population during the same time period. The report indicates a thirty-three
percent (33%) decrease in per capita emission levels compared to the 2005 baseline levels. The three largest
sources of emissions were from the transportation sector which contributed 581,000 MT CO2e or fifty-three
percent (53%) of emissions, while the electricity sector contributed 260,000 MT CO2e or twenty-four
percent (24%) and natural gas sector contributed 191,000 MT CO2e or seventeen percent (17%) of
emissions, see Figure 1 on the next page. The electricity sector had the most emission growth from the
previous inventory as it rose seventeen percent (17%) above its 2018 emissions, however, it remains ten
percent (10%) below its 2005 baseline. The increase in electricity emissions appears to come largely from
SDG&E’s change in renewable and clean electricity because community-wide electricity use was down by 1%
but emissions increased. In 2018, forty-three percent (43%) of SDG&E’s electricity came from renewable
sources but that dropped to thirty-one (31%) in 2020. With the full launch of San Diego Community Power
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(SDCP) the amount of renewable energy should increase to fifty (50%) plus an additional five percent (5%)
or greenhouse gas free electricity. The natural gas sector is still the only sector that is above its 2005 baseline.
More detailed information can be found on Attachment “1.” Staff expect transportation emissions to increase
in future years as Covid-19 related telecommuting options are phased out or reduced over time, although the
increase in electric vehicle adoption will provide some emission reductions. While there is good overall
progress, increased reductions will need to be made to meet our 2030 science-based reduction goal of fifty seven
percent (57%) below 2018.
Municipal Inventory
The 2020 GHG Emissions Inventory indicates that Chula Vista’s municipal GHG levels have increased by
about ten percent (10%) compared to the most recent 2018 inventory. GHG emissions from municipal
sources (i.e., operations, facilities and vehicle fleet) in 20 20 totaled 11,191 MT CO2e. This represents a
reduction of sixty-seven (67%) below the initial 1990 inventory. The two largest sources of emissions were
from the energy consumption at facilities which generated thirty-five percent (35%) of emissions and
Figure 1: Total GHG emissions from community sources (by sector) in 2005, 2014, 2016
2018 and 2020. The red dashed line represents the City’s 2020 carbon reduction goal, the
yellow dashed line represents the City’s 2030 reduction goal.
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emissions from the City’s solid waste disposal which accounted for twenty-six percent (26%), see Figure 2
below. More detailed information can be found on Attachment “2.” The City started a new project to install
additional solar panels in June 2018. During construction, the existing solar panels were disconnected for a
period of time to merge new systems with the existing systems, which led to an increase in building energy
usage. Due to a significant reduction from the vehicle fleet emission of forty-four percent (44%) since 2016,
that sector fell from the second to third largest sector.
Next Steps
Staff will continue to implement the 2017 CAP and City Operations Sustainability Plan with the goal of
updating both to reflect the City’s new goal of getting to net zero by 2045. Some of the implementation
actions being taken are:
• Enrolled all municipal controlled accounts in SDCP’s 100% renewable electricity rate starting
March 2021. Commercial accounts were defaulted into SDCP in July of 2021 and all other
residential accounts were defaulted into SDCP in May of 2022. Because solar accounts receive an
annual bill or true-up those accounts will transition to SDCP after their true-up date.
• Install a 280 kW hybrid photovoltaic (PV)/thermal solar plus storage cogeneration system at the
Chula Vista PD HQ in partnership with Icarus, through a $1.1 million grant from the California
Energy Commission.
• Implementation of the Smart City Strategic Action Plan.
• Implementation of the Waste Reduction Strategic Plan that was adopted in March 2022.
• Implementation of the food waste collection program that became effective on July 1st 2022 and
expanded compost use at municipal facilities.
Figure 2: Total GHG emissions from municipal sources (by sector) in 1990, 2005, 2012, 2014,
2016, 2018 and 2020.
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• Implementation of a benchmarking and building performance standards ordinance that would
increase transparency into energy usage at large commercial and multifamily buildings and
require energy efficiency improvements for under-performing buildings.
• Promote the Sustainable Home Tool Kit (www.chulavistaca.gov/departments/clean/retrofit)
and Electric Induction Cooktop (www.ehomecooktops.com) lending programs at the Chula Vista
Library.
• Launched the Chula Vista Community Shuttle with grant funding from the state’s Clean Mobility
Options program and additional funding by the Community Congregational Development
Corporation in June 2022 to provide free rides to seniors in northwest Chula Vista in a fleet of
100% electric vehicle sedans and an ADA accessible electric van.
• Seek additional grant funding to expand the EV shuttle and other similar programs.
Staff is currently working to update the CAP with the CCWG recommendations, below, that were adopted by
City Council in April of 2021.
Climate Change Working Group Recommendations
1 Approve and implement zero waste plan recommendation to eliminate the
use of single use plastics
2 Implement education and outreach in support of decarbonization in new
construction and evaluate incentives and building code options to
eliminate GHG emissions associated with building energy use
3 Review solar permitting process and revise where necessary
4 Implement education and outreach in support of clean transportation
while evaluating appropriate codes that reduces fossil fuel usage
5 Ensure implementation of the Chula Vista Active Transportation Plan to
increase protected bike lanes, or highest level of protection possible,
focusing on where active transportation collisions have occurred
6 Adopt a Climate Equity Index to address disproportional impacts of climate
change
7 Adopt GHG reduction goal of carbon neutrality by 2045
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the real property holdings of the City Council members do not create a disqualifying real
property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
There are no current year fiscal impacts associated with the 2020 GHG Emissions Inventory.
2022/08/23 City Council Post Agenda Page 501 of 573
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ONGOING FISCAL IMPACT
There are no ongoing fiscal impacts associated with the 2020 GHG Emissions Inventory.
ATTACHMENTS
1. 2020 Community Greenhouse Gas Emissions Inventory
2. 2020 Municipal Greenhouse Gas Emissions Inventory
Staff Contact: Cory Downs, Economic Development Department
2022/08/23 City Council Post Agenda Page 502 of 573
2020 COMMUNITY GREENHOUSE
GAS EMISSIONS INVENTORY
June 2022
Summary
As part of Chula Vista’s climate action program and its commitment to reduce greenhouse gas
(GHG) or “carbon” emissions, the Economic Development Department’s Conservation Section
performs emission inventories to identify GHG sources and to help guide policy decisions. The
2020 GHG Emissions Inventory is the City’s latest evaluation of its progress in reaching its
emissions reduction goal and builds upon past inventory efforts. The City’s community inventory
was created by University of San Diego’s Energy Policy Initiatives Center (EPIC) as part of the
ReCAP Snapshot Project led by San Diego Association of Governments (SANDAG) and uses
ICLEI’s U.S. Community Protocol to ensure the City’s GHG inventories comply with industry
best practices.
The 2020 inventory indicates that Chula Vista’s annual citywide GHG levels are 1,098,000 metric
tons of carbon dioxide equivalent (MT CO2e). Compared to 2005, Chula Vista’s citywide GHG
emissions have decreased by 17% and per capita emissions have decreased by thirty seven percent
(37%). While these reductions are good and allowed the City to reach its 2020 GHG reduction
goal, the largest reduction came from the transportation sector, which decreased thirteen percent
(13%) below 2018 but is expected to increase again as telecommuting options related to Covid-
19 are removed. The natural gas sector continues to be the only sector above its 2005 baseline and
saw a two percent (2%) increase in natural gas emissions since 2018. GHG emissions from solid
waste decreased by four percent (4%) while emissions from water increased eight percent (8%)
due to an eleven percent (11%) increase in water use since 2018. In order to reach the City Council
adopted 2030 community emissions reduction goal of fifty seven percent (57%) below 2018
emission levels, the City will have to reduce its GHG emissions by more than 605,220 MT CO 2e
or about fifty five percent (55%). All remaining emissions will either need to be eliminated or
offset to reach the net zero emission goal by 2045. There is no “safe” level of GHG emissions and
every additional pound of GHG emissions contribute to devastating impacts of climate change felt
every day around the world. As mentioned in the Climate Emergency Declaration adopted by City
Council in March 2022, it is important for Chula Vista, future generations and all life on the planet
that we reduce GHG emissions to zero as soon as possible.
Methodology
Chula Vista has been a regional and national leader in climate action policies and programs
designed to reduce GHG, or “carbon” emissions. The City has participated in the United Nations
Framework Convention on Climate Change, ICLEI Cities for Climate Protection Campaign, the
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2020 Community GHG Emissions Inventory
Conference of Mayor’s Climate Protection Agreement and the America’s Pledge “We Are Still
In" and most recently the Race to Zero (https://unfccc.int/climate-action/race-to-zero-campaign).
Through this involvement, the City has committed itself to reducing its greenhouse gas emissions.
Like the 2018 GHG inventory, the City’s 2020 GHG Emissions Inventory was compiled and
calculated by the University of San Diego’s Energy Policy Initiatives Center (EPIC) utilizing
SANDAG’s Regional Climate Action Planning (ReCAP) Framework
(https://www.sandag.org/index.asp?classid=17&subclassid=46&projectid=565&fuseaction=proj
ects.detail). SANDAG has collaborated with local agency staff and leading climate planning
experts to prepare a planning framework that identifies best practices and guidance for preparing
Climate Action Plans (CAP) and monitoring their implementation over time. The ReCAP
establishes a technical framework for regionally consistent climate action planning that preserves
local policy flexibility for the unique needs and circumstances of each local jurisdiction. Due the
unprecedented impacts of Covid-19 on of transportation, SANDAG was not able to provide a
Vehicle Miles Traveled (VMT) estimate. EPIC created an estimate based for internal-internal (I-
I) VMT that was estimated based on 2016 I-I VMT and 2016-2020 VMT rate of increase on Chula
Vista local roads from CalTrans Highway Performance Monitoring (HPMS) data. 2020 Chula
Vista internal-external/external-internal (I-E/E-I) VMT is estimated based on 2016 I-E/E-I VMT
and 2016-2020 San Diego regional VMT rate of increase from CalTrans Performance Measure
System (PeMS). 2016 Chula Vista I-I and I-E/E-I VMT are from SANDAG ABM2+ version
14.2.2. As such, there is no transportation related emission reported in SANDAG’s Climate Action
Data Portal (https://climatedata.sandag.org), ReCAP total and the City’s Community Inventory.
A full review of the inventory methodology can be found online at
www.sandag.org/uploads/cap/ReCapTAI.pdf. There was an error found in the 2018 waste
disposed at the landfill so that was changed from 265,974 to the 209,700 and that was included in
the SANDAG ReCAP report. Many of the GHG inventory methodologies stayed the same and
continued to use the U.S. Community Protocol (Version 1.0). In the protocol, the emissions from
five main parameters – building energy consumption, transportation, water (embedded energy),
wastewater and solid waste – are evaluated. These parameters are based solely on “end use
activities” and their emissions are expressed as CO2 equivalent (or CO2e), which allows
greenhouse gases of different strengths to be added together.
Results
In 2020, community GHG emissions from Chula Vista totaled 1,098,000 MT CO2e (Table 1,
Figure 1). The sector with the greatest level of emissions was transportation or mobile sources at
581,000 MT CO2e or fifty three percent (53%) of total emissions . The electricity sector was the
second highest source at 260,000 MT CO2e representing twenty four percent (24%) of total
community emissions, followed by the natural gas energy use at 191,000 MT CO2e or seventeen
percent (17%) of total emission and the lowest contributor to total MT CO2e was solid waste at
50,000 MT CO2e or five percent (5%) of the total. Compared to 2005 and 2018, total citywide
emissions in 2020 were seventeen percent (17%) and four percent (4%) lower shown on Figure 1.
2020 per capita emissions are approximately thirty seven percent (37%) below 2005 levels and
eleven percent (11%) below 2018 levels. Emissions from all energy sectors have decreased by
four percent (4%) or 21,000 MT CO2e in total since 2005 Transportation-based emissions are
estimated to have decreased nineteen percent (19%) or 136,000 MT CO2e since 2005 and 87,000
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2020 Community GHG Emissions Inventory
MT CO2e, or thirteen percent (13%), since 2018. The solid waste sector had emissions eighteen
percent (18%) below the 2005 baseline and four precent (4%) lower than 2018. Emissions from
water (embedded energy) were eight percent (8%) above 2018 emissions but are still seventy four
percent (74%) below the baseline. Emissions from wastewater remained even at 3,000 MT CO2e.
Discussion
2018 community emissions saw a reduction of 48,000 MT CO2e or four percent (4%), see figure
1. These reductions enabled the City to reach its 2020 GHG reduction goal. That said we anticipate
increases in transportation emissions as telecommuting options related to Covid-19 are phased out
or reduced over time. The reductions occurred despite the City’s continued population growth of
thirty two percent (32%) since 2005. Factoring population growth into emissions by looking at
Table 1: Demographics, activity data and greenhouse gas emissions for 2005, 2018 and 2020
2005 2018 2020
%
Change
(2020 vs.
2005)
%
Change
(2020 vs.
2018)
2005 2018 2020
%
Change
(2020 vs.
2005)
%
Change
(2020 vs.
2018)
217,543 268,060 272,202 25%2%6.04 4.28 4.03 -33%-6%
73,115 83,493 86,009 18%3%18.0 13.73 12.77 -29%-7%
33,024 33,024 33,024 0%0%39.8 34.7 33.25 -17%-4%
1,429,425,787 1,645,858,507 1,360,678,007 -5%-17%717,000 668,000 581,000 -19%-13%
Natural Gas 3,421,917 3,453,568 3,499,165 2%1%Natural Gas 182,000 188,000 191,000 5%2%
Electricity 2,617,242 2,780,480 2,765,073 6%-1%Electricity 290,000 223,000 260,000 -10%17%
Total 6,039,159 6,234,048 6,264,238 4%0%Total 472,000 411,000 451,000 -4%10%
217,459 209,700 202,072 -7%-4%61,000 52,000 50,000 -18%-4%
12,666 7,925 8,346 -34%5%50,000 12,000 13,000 -74%8%
NA 15.55 16.60 NA 7%15,000 3,000 3,000 -80%0%
1,315,000 1,146,000 1,098,000 -17%-4%
1,117,750 --------
Goal
Achieved
492,780
605,220 --------
Waste Water (million
gallons per day)
Waste Water***
(MTCO2e)
* All GHG emissions are reported in CO2 Equivalent (CO2e) which allows emissions of different
strengths to be added together. For example, one metric ton of methane emissions is equivalent to
21 metric tons of carbon dioxide (or CO2e) in global warming potential.
** 2020 Chula Vista internal-internal (I-I) VMT is estimated based on 2016 I-I VMT and 2016-2020
VMT rate of increase on Chula Vista local roads from CalTrans Highway Performance Monitoring
(HPMS) data. 2020 Chula Vista internal-external/external-internal (I-E/E-I) VMT is estimated based on
2016 I-E/E-I VMT and 2016-2020 San Diego regional VMT rate of increase from CalTrans
Performance Measure System (PeMS). 2016 Chula Vista I-I and I-E/E-I VMT are from SANDAG
ABM2+ version 14.2.2.
Total GHG Emissions
(MTCO2e)
2020 Reduction Goal
(15% Below 2005)
Reductions Needed To
Reach Goal
2030 Reduction Goal
(57% Below 2018)
Reductions Needed To
Reach Goal
Energy Use
(MMBtu)
Energy Use
(MTCO2e)
Solid Waste (Tons)Solid Waste (MTCO2e)
Potable Water (million
gallons)Water (MTCO2e)
Housing Units Per Housing Unit
Land Area (Acres)Per Acre
Annual Vehicle Miles
Traveled (VMT)Transportation (MTCO2e)
Annual Consumption (Metric Units)Annual Greenhouse Gas (GHG) Emissions (Metric Tons CO2e)
Population Per Capita
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2020 Community GHG Emissions Inventory
per capita GHG emissions shows a thirty seven percent ( 37%) reduction since 2005. While there
is good overall progress increased reductions will need to be made to meet our 2030 science based
reduction goal of 57% below 2018.
Transportation Sector
Table 1 above shows that the transportation sector in both VMT and GHG emissions have
decreased thirteen percent (13%) and seventeen percent (17% )respectively since 2018. This
decrease was largely from the reduced transportation due to travel restrictions from Covid-19
which supported both an increase in vehicle fuel efficiency and the adoption of zero emission
vehicles. For more information on the impacts of Covid-19 on San Diego Counties transportation,
please view a SANDAG study found online at
https://www.sandag.org/uploads/publicationid/publicationid_4756_28849.pdf. Other local, state
and federal programs are continuing to actively target this sector by reducing the carbon-intensity
of vehicle fuels, improving fuel efficiency and promoting alternative transportation options. The
City continues to integrate “smart growth” design principles into its development review and
approval process. An important element of the City’s smart growth will be the Bayfront
development that will begin construction in 2022 and will be located near transit and provide
electric vehicle charging to promote clean transportation. Additionally, the City continues to
implement its Active Transportation Plan
(www.chulavistaca.gov/departments/engineering/active-transportation-plan) with the completion
of the Bike Lanes on Broadway (7.8 new miles) project, bikes lanes on Main and the Sweetwater
Figure 1: Total GHG emissions from community sources (by sector) in 2005, 2014, 2016,
2018 and 2020. The red dashed line represents the City’s 2020 carbon reduction goal and the
yellow dashed line represents the City’s 2030 reduction goal.
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2020 Community GHG Emissions Inventory
Bike Path project that were completed in 2020 and opened for the public shortly thereafter. Where
possible, staff added buffered bike lane to streets that are undergoing other improvement work.
Staff are also working with regional partners for more long-term projects such as the pedestrian
bridge over Otay River, Bayshore Bikeway bike path from E Street to Lagoon Drive and F Street
promenade from Bay Blvd to Broadway.
Energy Sector
Activity data for the energy sector showed similar community wide energy usage since 2018 but
the community is using four percent (4%) more energy than the 2005 baseline. Even with stable
energy usage there was an emission increase of ten percent (10%) due largely to SDG&E’s pull
back from renewable and clean electricity. In 2018 SDG&E was providing 43% of their electricity
from renewable sources however in 2020 only 31% came from renewable sources. The State of
California has set a goal for all electricity sold to be renewable or zero carbon by 2045 (SB100 )
and the City and San Diego Community Power have set a goal for 100% renewable electricity by
2035. While SDG&E is beginning to look at incorporating renewable biogases like hydrogen and
renewable natural gas, these efforts are still in early stages and look to have limits of working with
existing natural gas infrastructure and will not be able to be a decarbonized energy source. The
natural gas sector is the only sector to have emissions increased over its 2005 baseline, so as
electricity continues to get more clean and renewable transitioning natural gas appliances to
electric will be even more important. To date, more than 50 California cities, including Encinitas
and Solana Beach, have adopted building codes that require all electric construction in an effort to
reduce pollution and not invest in infrastructure that will not be able to be fully used and result in
a stranded asset later. Efforts to decarbonize will benefit from the 2021 adoption of the City’s
commercial benchmarking ordinance
(https://www.chulavistaca.gov/departments/clean/benchmarking), which will help increase
energy efficiency savings and reduce energy bills for Chula Vista businesses.
Waste Sector
In part due to significant outreach and education efforts, GHG emissions from solid waste have
decreased by four precent (4%) since 2018. Staff will continue their outreach and education
efforts to implement the zero-waste plan and expand organics collections to also include food
waste. More information about residential food and yard waste collection and the City’s free food
waste kitchen caddy program can be found here:
www.chulavistaca.gov/departments/clean/environmental-services/residential-organic-waste-
recycling.
Forecast and Target Setting
EPIC, working with data from SANDAG, was able to update the City’s forecasting by modeling
a Business-As-Usual (BAU) path and a legislatively-adjusted BAU emissions path, defined below.
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2020 Community GHG Emissions Inventory
BAU – The BAU projection accounts for the growth in population, employment and
housing and assumes no policy changes after the latest CAP inventory year or the CAP
baseline year.
Legislatively-adjusted BAU – Legislatively-adjusted BAU accounts for growth in
population, employment and housing and accounts for the future impact of adopted federal
and State policies that affect GHG emissions at the time of CAP development.
One of the main state climate planning documents that is used to forecast state actions is the
California Air Resources Board Scoping Plan, most recently released in 2017. Some of the
statewide actions included in the scoping plan are the electrical Renewable Portfolio Standards,
the Low Carbon Fuel Standard, SB 1383 organics collection and the state’s zero emission vehicle
goals. For more information about the modeling of emission reductions, please view the
SANDAG RECAP TECHNICAL APPENDIX II Methods to Calculate GHG Emissions Impacts
of CAP Measures at
www.sandag.org/index.asp?classid=17&subclassid=46&projectid=565&fuseaction=projects.deta
il. Table 2, below, shows that total BAU emissions are expected to increase by about seventeen
percent (17%) and per capita emissions by about ten percent (10%). These BAU scenarios are
then compared to the City’s reduction targets for 2030 and 2045 that were provided by ICLEI in
Figure 2. These science-based targets were part of the Climate Emergency Declaration Resolution
City Council adopted in March 2022 and reflect the need to maintain global temperatures below
1.5°C as laid out in the Paris Climate Agreement (for more information please visit:
www.sciencebasedtargets.org). These ambitious goals are important to adopt, as mentioned in the
Climate Emergency Declaration, since “a global climate crisis exists and poses a serious, urgent
and pressing threat to the well-being of Chula Vista, its inhabitants, economy, and environment,
and therefore there is need for immediate actions to address the global climate crisis”.
Year
On-Road
Transportation Electricity Natural Gas Solid Waste Water Wastewater Total Per Capita
MT CO2e MT CO2e
2020 581,000 260,000 191,000 50,000 13,000 3,000 1,098,000 3.82
2030 634,000 241,000 203,000 55,000 12,000 3,000 1,147,000 4.1
2035 655,000 252,000 211,000 56,000 13,000 3,000 1,190,000 4.1
2045 704,000 276,000 231,000 60,000 14,000 3,000 1,287,000 4.2
2050 729,000 288,000 240,000 61,000 14,000 3,000 1,335,000 4.2
GHG emissions have been rounded to thousands.
MT CO2e: metric tons CO2e; Inventory years: 2020; business-as-usual projection years without policy change: 2030, 2035, 2045 and 2050.
Per capita emissions are based on these categories only and cannot be compared with California statewide per capita emissions.
Energy Policy Initiatives Center 2020
Table 2: Business-as-usual greenhouse gas emissions forecast for 2030, 2035, 2045 and 2050
2022/08/23 City Council Post Agenda Page 508 of 573
City of Chula Vista 7 of 8
2020 Community GHG Emissions Inventory
Next Steps
As staff works to update the City’s Climate Action Plan and incorporate the recommendations
from the Climate Change Working Group, as well as the most recent science and new City
programs, there have also been some significant milestones reached. A highlight of the
implementation actions being taken are:
San Diego Community Power (SDCP) enrolled all eligible customers at 55% GHG-free
electricity, launched a 100% renewable rate and a Feed-In-Tarif program
Promote the Sustainable Home Tool Kit
(www.chulavistaca.gov/departments/clean/retrofit) and Electric Induction Cooktop
(www.ehomecooktops.com) lending programs at the Chula Vista Library
Update existing electric vehicle chargers at City facilities and install new chargers at a City
owned lot near Third Avenue
Implement Commercial and Multi-Family Benchmarking and Building Performance
Ordinance
Provide the Chula Vista Climate Action Challenge (www.cvclimatechallenge.com) in the
community, with more than 320 homes engaged
Figure 2: GHG Emissions, BAU Emissions Projection and Reduction Goals
2022/08/23 City Council Post Agenda Page 509 of 573
City of Chula Vista 8 of 8
2020 Community GHG Emissions Inventory
Adoption of the Waste Reduction Strategic Plan, also referred to as the Zero Waste Plan,
in March 2022
Plans to launch food waste collection program and expand compost use at municipal
facilities
SANDAG is expecting to provide the 2020 ReCAP Snapshot, which will be added to this report
on the City’s website once published later this year. Additionally, SANDAG will be providing a
transportation mode share estimate to help City staff better track and plan for how people move
around our community. Staff will continue to engage other local partners to advance regional
climate planning, such as San Diego Regional Climate Collaborative and SANDAG’s Regional
Climate Action Planning (ReCAP) Framework, that will guide future GHG inventories and help
ensure consistency across San Diego County.
2022/08/23 City Council Post Agenda Page 510 of 573
2020 Municipal Greenhouse Gas Emissions Inventory, June 2022
2020 MUNICIPAL GREENHOUSE
GAS EMISSIONS INVENTORY
June 2022
SUMMARY
The City of Chula Vista has committed to reducing greenhouse gas (GHG), or “carbon,” emissions from
municipal operations, so as to lead by example and to demonstrate that businesses can reduce emissions
while not sacrificing the quality of services they provide. As part of the City’s climate action program, the
Department of Economic Development’s Conservation Section completes carbon emissions inventories
to identify GHG sources and to help guide policy decisions. The 2020 Municipal GHG Emissions Inventory
utilizes the ICLEI Local Government Operations Protocol and serves as the City’s latest assessment of all
past inventory efforts and its progress in reaching its municipal emissions reduction goals for City
operations.
METHODOLOGY
Chula Vista has been at the forefront of climate action policies and programs designed to reduce
greenhouse gas (GHG) or “carbon” emissions. As a municipality, the City utilized the industry adopted
GHG inventory methodologies and has independently reported its municipal emissions to the Climate
Registry, North America’s leading voluntary greenhouse gas reporting system, with the purpose of
archiving the City’s actions taken to reduce GHG emissions. The City reports annually on CDP’s global
platform to measure, manage and disclose our environmental data and to track progress towards our
climate goals. Additionally, Chula Vista has participated in the United Nation’s Framework Convention on
Climate Change, the Conference of Mayor’s Climate Protection Agreement, the United States Department
of Energy’s Better Building program and the steering committee for the California Statewide Energy
Efficiency Collaborative (SEEC) ClearPath tool. For the 2016, 2018 and 2020 inventories, the City utilized
only the SEEC - ClearPath tool provided by ICLEI to report the municipal inventory. The City has committed
itself to reducing its carbon footprint through the past actions and will continue to do so with future
decision making.
The City’s 2020 Municipal GHG Inventory was collected and calculated using the Local Government
Operations Protocol (LGOP, Version 1.1) and the SEEC - ClearPath tool, which were created by ICLEI with
support from California regulatory agencies to provide methodologies for local governments to better
estimate their annual greenhouse gas emissions from municipal-operations. These ICLEI protocols
evaluate emissions from five primary parameters – building energy consumption, transportation, water
(embedded energy), wastewater and solid waste. These parameters are mainly based on “end use
activities” and the emissions are expressed in terms of carbon dioxide equivalents (CO2e), which allows
greenhouse gases of different strengths, or global warming potentials, to be evaluated together. When
possible, past emissions were recalculated using updated emissions factors or data in order to provide a
2022/08/23 City Council Post Agenda Page 511 of 573
2020 Municipal Greenhouse Gas Emissions Inventory, June 2022
more accurate comparison to the latest 2018 emission levels. Due to a lack of available data, 1990 and
2005 inventories do not include emissions from the water sector.
City staff collected “activity data” from several municipal and external data providers including multiple
Chula Vista Departments, SDG&E, Otay and Sweetwater Authority Water Districts and Republic Services
(Table 1). Staff was able to separate potable water emissions from recycled water emissions and utilized
energy factors from the California Energy Commission to quantify the different amounts of energy
embedded in each. In most cases, the data providers were able to offer aggregated empirical data for
calendar year 2020; however, if 2020 data was unavailable for minor sources the most recent data
available was used as a proxy. Staff included utility-specific electricity coefficients for CO2 emissions in
the energy analyses and default emissions coefficients and related assumptions were generally used for
transportation and waste analyses. SDG&E’s emission factor has not been third-party verified and
reported since 2009, but the utility reported 31% of the energy they provide coming from renewable
sources, plus their purchase of additional Renewable Energy Credits to bring their total to around 40%.
PARAMETER DATA
PROVIDER ACTIVITY DATA EMISSION FACTOR
Other Recreation
Dept.• pH canisters' shipment invoices • Default fugitive carbon dioxide (CO2)
emissions coefficients
• Amount of water used by government
operations
SDG&E • Energy used to pump wastewater to
WWTPs
• Modified SDG&E emission factor (same
as used in energy sector)Wastewater
Water
(embeded
energy)
Otay &
Sweetwater
Authority
water
districts
• California Energy Commission report
detailing embedded kWh per gallon of water
• Modified SDG&E emission factor (same
as used in energy sector)
• Metered electricity & natural gas use
• Fuel shipment invoices
• Energy consumption was categorized by
buildings, outdoor lighting, and wastewater
• Fuel consumption totals include transit
and equipment use
Public
Works Dept.
Energy SDG&E
• SDG&E-specific electricity emission
coefficients (CO2). Because the most
recent 3rd party verified emission factor is
from 2009, calculations were made by
EPIC (USD) to estimate the impacts of the
increased power from renewable sources
• EPIC CO2 emission factor provides a
CO2e output that includes CH4 & N2O
• Default natural gas emission coefficients
Transportation • Default fuel (CO2/CH4/N2O per gallon)
emission coefficients
Solid Waste
• Default fugitive methane (CH4) emission
estimates (based on ICLEI's ClearPath)Republic
Services
• Solid waste disposal data includes trash
hauled by Republic Services and by City
staff
Table 1: Data sources and emission factors used for community and municipal emissions analyses.
2022/08/23 City Council Post Agenda Page 512 of 573
2020 Municipal Greenhouse Gas Emissions Inventory, June 2022
RESULTS
Chula Vista’s 2020 municipal GHG emissions were 11,191 metric tons of carbon dioxide equivalents (MT
CO2e).
Here are the breakdown of the City’s 2020 GHG emission sources:
Buildings…………………………… 35.03%
Solid Waste……………………….. 26.22%
Vehicle Fleet ……………………... 23.08%
External Lights……………………. 9.64%
Potable/Recycled Water
(embedded energy) ……………… 5.89%
Sewage……………………………. 0.14%
This represents a 9.6% increase in total emissions since 2018 (10,207 MT CO2e) and a 67% decrease when
compared to the initial 1990 inventory.
Total GHG Emissions
1990 Inventory……………………………............... 31,095 MT CO2e
2018 Inventory……………………………............... 10,207 MT CO2e
2020 Inventory …………………………….............. 11,191 MT CO2e
Buildings
Solid Waste
Vehicle Fleet
Potable/Recycled Water
(embeded energy)
External Lights
2022/08/23 City Council Post Agenda Page 513 of 573
2020 Municipal Greenhouse Gas Emissions Inventory, June 2022
The energy use for potable water transportation is the City’s largest decreasing emission source followed
by the building energy usage along with the vehicle fleet, which has decreased by 17% and 7% since 2016
respectively. Contrary to the past years, emissions from external lights, solid waste and vehicle fleet
sectors have increased. Covid-19 has influenced our GHG inventory in 2020. Since the City had many
employees working from home much of the year and a few facilities were closed, we experienced a lower
water consumption in our facilities. However, at the same time we realized an increase in our solid waste
sector, as we disposed additional products such as cleaning products and gloves. Vehicle fleet emissions
are also increased due to car sharing restrictions.
1990 2018 2020
% Change
(2020vs.
1990)
% Change
(2020 vs.
2018)
1990 2018 2020
% Change
(2020vs.
1990)
% Change
(2020 vs.
2018)
866 993 -100.0%-100.0%35.9 10.3 -100.0%-100.0%
478,344 204,417 306,229 -36.0%49.8% 4,655 1,761 2,583 -44.5%46.7%
Buildings 35,527 55,609 51,684 45.5%-7.1%Buildings 3,728 4,234 3,920 5.2%-7.4%
External
Lights 147,100 15,388 15,735 -89.3%2.3%External
Lights 20,260 605 1,079 -94.7%78.3%
Sewage 7,122 242 229 -96.8%-5.3%Sewage 981 16 16 -98.4%-2.2%
Total 189,749 71,239 67,648 -64.3%-5.0%Total 24,969 4,855 5,015 -79.9%3.3%
5,400 7,143 7,493 38.8%4.9%1,471 2,797 2,934 99.4%4.9%
NA 253 201 NA -20.4%
NA 294 290 NA -1.1%
31,095 10,207 11,191 -67.2%9.6%
----
----
659 NA -17.1%
Recycled Water
(million gallons)
* All GHG emissions are reported in CO2 Equivalent (CO2e)
Total GHG Emissions
20% GHG Reduction
Goal
Reductions Needed To
Reach Goal *Goal Obtained
795
Solid Waste (Tons)Solid Waste
Potable Water (million
gallons)Potable/Recycled
Water (embeded
energy)
NA
Employees Per Employee
Vehicle Fleet Fuel Use
(Gallons or
Equivalent)
Vehicle Fleet
Energy Use
(MMBtu)
Energy
Use
Table 2: MUNICIPAL ANALYSIS - 1990, 2018 and 2020
Annual Consumption (Metric Units)Annual Greenhouse Gas (GHG) Emissions (Metric Tons CO2e)
Table 2: Municipal Analysis – 1990, 2018 and 2020
2022/08/23 City Council Post Agenda Page 514 of 573
2020 Municipal Greenhouse Gas Emissions Inventory, June 2022
The City reached its original GHG emission reduction goal for municipal operations in 2005 and has now
surpassed the primary goal by 59%.
PRIMARY SECTORS
Building Energy Consumption
Emissions from building energy use have increased 5% since
1990.
1990 Inventory………………............ 3,728 MT CO2e
2018 Inventory……………............… 4,234 MT CO2e
2020 Inventory …………...........…… 3,920 MT CO2e
The City entered into a contract with Johnson Controls (JCI) to
install additional solar panels in June 2018. During
construction, the existing solar panels were disconnected to
merge new systems with the existing systems. In 2020, eight of the twelve project sites started producing
solar power. The rest of the systems also started production towards the second half of the year. The
batteries installed at three locations were not activated in the system due to delayed processes through
SDG&E. With this project working nearly at full capacity, the City increased its total amount of PV systems
installed on municipal facilities to 4.5 megawatts (MW), so future inventories are expected to reflect a
reduction in energy use.
-
5,000
10,000
15,000
20,000
25,000
30,000
35,000
1990 2005 2012 2014 2016 2018 2020
Metric Tons
Inventory Year
Municipal GHG Emissions
1990 to 2020
Potable/Recycled Water
(embeded energy)
Solid Waste
Sewage
External Lights
Buildings
Vehicle Fleet
3,400
3,600
3,800
4,000
4,200
4,400
1990 2018 2020
Building Energy
2022/08/23 City Council Post Agenda Page 515 of 573
2020 Municipal Greenhouse Gas Emissions Inventory, June 2022
External Lights
Emissions from external lights, which consist of traffic signals and streetlights, have decreased 95% since
1990.
1990 Inventory………………............ 20,260 MT CO2e
2018 Inventory……………............… 605 MT CO2e
2020 Inventory …………...........…… 1,079 MT CO2e
Increases in electricity consumption in external lights sector is
primarily due to the addition of new streetlights and new traffic
signals. In the last couple of years, the City has updated streetlight
installation standards which resulted in essentially requiring more
streetlights in the City, especially in the “west side.” Prior to the
change, we had different streetlight spacing standards for the
“east side” vs. “west side” which resulted in fewer lights in the
west. As a result, we’ve been adding about 12-15 new streetlights
per year in the west and many new streetlights in the east primarily due to new development.
Vehicle Fleet
Emissions from vehicle fleet have decreased 45% since 1990.
1990 Inventory………………............ 4,655 MT CO2e
2018 Inventory……………............… 1,761 MT CO2e
2020 Inventory …………...........…… 2,583 MT CO2e
We have been experiencing the benefits of City’s Clean Fleet
Policy, which prioritizes alternative fuels and hybrid technologies
when selecting new vehicles. The City has been converting its
municipal fleet to operate on electricity, propane, compressed
natural gas or biodiesel. However, the Covid-19 pandemic has
negatively affected certain emission sources and our fleet is one
of them. The City had to enforce a restriction on carpooling and
car sharing to facilitate physical distancing for employee health. As a result, we have seen more vehicle
usage by City staff and this resulted an increase in our emissions.
-
5,000
10,000
15,000
20,000
25,000
1990 2018 2020
External Lights
-
1,000
2,000
3,000
4,000
5,000
1990 2018 2020
Vehicle Fleet
2022/08/23 City Council Post Agenda Page 516 of 573
2020 Municipal Greenhouse Gas Emissions Inventory, June 2022
Solid Waste
Emissions related to solid waste have increased 99% since 1990
and 5% since 2018.
1990 Inventory………………............ 1,471 MT CO2e
2018 Inventory……………............… 2,797 MT CO2e
2020 Inventory …………...........…… 2,934 MT CO2e
City facilities’ waste production has been increasing over the
years, and in 2020 we had the Covid-19 pandemic to contribute
to this increase. We had additional products in our waste
stream compared to previous years. Items such as masks,
cleaning wipes and gloves increased our waste even though the
City was practicing a hybrid work schedule. The Office of
Sustainability is creating a Zero Waste Plan to create a road map to waste reduction.
Water and Wastewater Transportation (Embedded Energy)
Emissions associated with the water usage have decreased
17% since 2018. Comparison to 1990 emissions is not available
due to lack of past data.
2018 Inventory……………............… 795 MT CO2e
2020 Inventory …………...........…… 659 MT CO2e
The City implemented a hybrid work schedule in 2020 and as a
result, our potable water consumption decreased about 20%.
Emissions from wastewater transportation haven’t changed
since 2018, however it decreased 98% since 1990. Over the
years, there were changes regarding to how SDG&E classified
sewer accounts, therefore the difference between 2018 and
1990 emissions is greater.
NEXT STEPS
0
500
1,000
1,500
2,000
2,500
3,000
1990 2018 2020
Solid Waste
-
200
400
600
800
1,000
1990 2018 2020
Water & WasteWater
Sewage Potable/Recycled Water (embedded energy)
2022/08/23 City Council Post Agenda Page 517 of 573
2020 Municipal Greenhouse Gas Emissions Inventory, June 2022
Chula Vista’s municipal climate actions are guided by the City’s Climate Action Plan and City Operations
Sustainability Plan. The operations plan outlines goals and strategies for seven key sustainability areas
with the objective of integrating innovative sustainable practices throughout the City’s procedures and
facilities. This outline includes actions related to energy, water and transportation upgrades, such as
Phase II of the LED lighting upgrade at multiple City facilities, upgrading the City’s irrigation system with
smart technologies, increasing the amount of PV panels installed on City facilities and installing battery
storage in multiple facilities.
In October 2020, the Office of Sustainability partnered with the Energy Coalition (TEC) for the Energy Goals
Campaign to improve operational sustainability at the City facilities. Through this campaign, the City
demonstrated its stewardship and environmental responsibility by motivating its employees to learn and
take actions to reduce energy use at work and at home. TEC and the City developed robust virtual
resources to engage all the City’s workforce as it navigated the changing landscape related to the Covid-
19 pandemic. Enabling employees to apply their knowledge by taking identifiable, energy saving actions
was an essential component of this campaign. 112 employees submitted 626 actions—proving the
campaign’s ability to inspire behavior change. Energy Goals resulted in energy savings at work, but also
provided a valuable opportunity for City employees to engage their families with behavior change
opportunities, furthering the potential impact for energy savings.
In September 2019, the city councils of the cities of San Diego, La Mesa, Encinitas, Imperial Beach and
Chula Vista all voted to work together to form the San Diego Community Power (SDCP) and worked to
form a board and create an implementation plan. The City is a member and all municipal accounts will be
operating on 100% renewable energy with the transition of accounts in 2021-2022.
The City has adopted the Smart City Strategic Action Plan to create a connected, responsive, transparent
and innovative city. The result is a set of goals and corresponding initiatives around which City leaders
will organize their efforts over the next few years. Implementation of the Traffic Signal Communications
Master Plan helps guide the City towards effective modernization of a comprehensive traffic signal
communications network which will support cutting-edge transportation systems and serve as a guiding
foundation for the City’s deployment of Smart City technologies. As a continuation of the City’s Smart
City efforts, the Data Governance Committee was formed and is a group of City employees responsible
for overseeing the open data program. The Committee manages the City’s data inventory, prioritizes
datasets for publication and performs quality assurance to ensure all data is complete, up to date and in
compliance with all laws and policies related to privacy and security. Additionally, the Committee makes
high-level decisions about data creation, curation and consumption in the City. Prioritizing data
inventories will lead to decisions by management to result increased efficiency in operations.
2022/08/23 City Council Post Agenda Page 518 of 573
Chula Vista 2020
Greenhouse Gas
Inventories
City Council
August 23rd, 2022
2022/08/23 City Council Post Agenda Page 519 of 573
Climate Change Impacts
2
“in 2053, the West will have the highest chance for long
durations with "local hot days," which are days that exceed the
temperatures typically experienced for a particular area.”
www.axios.com/2022/08/15/extreme-heat-belt-global-warming2022/08/23 City Council Post Agenda Page 520 of 573
Municipal and Community
Inventories Community Inventory
Greenhouse gas (GHG) emissions from
community activity, including a portion of
out of jurisdictions transportation
Municipal Inventory
Emissions from City operations such as
building energy usage, fleet fuels, waste,
water and other resources used for City
operations.
GHG inventories include direct emissions
and do not include embedded energy in
non-water resources used.
3
2022/08/23 City Council Post Agenda Page 521 of 573
Methodologies
4
Community Inventory
Partners with SANDAG and EPIC through the
ReCAP Regional Climate Action Planning
Framework
Municipal Inventory
Utilizes ICLEI Clear Path tool
www.sandag.org/climate2022/08/23 City Council Post Agenda Page 522 of 573
Municipal
Emissions1
5
2022/08/23 City Council Post Agenda Page 523 of 573
6
Total emissions Per Employee
emissions
-10% above 2018 -16% below 2018
-67% below 1990 -76% below 1990
2022/08/23 City Council Post Agenda Page 524 of 573
Municipal Emission
Sources
7
Buildings…………………………….………… 35.03%
Solid Waste………………………………….26.22%
Vehicle Fleet ……………………………….23.08%
External Lights………………………….9.64%
Potable/Recycled Water
(embedded energy) ………………….5.89%
Sewage………………………………………….0.14%
2022/08/23 City Council Post Agenda Page 525 of 573
Buildings
8
Projects
●Activation of solar PV to bring total up
to 4.5 MW, but no batteries operating in
2020
●The Energy Goals Campaign
●San Diego Community Power 100%
renewable
●Icarus Hybrid Photovoltaic/Thermal
Solar
Emissions:
●7% below 2018
●5% above 1990
2022/08/23 City Council Post Agenda Page 526 of 573
Vehicle Fleet
9
Projects
●33% of fleet is Alternative fuel and
continue to expand evaluate new
models
●Continued growth of employee EV
charging (not included in fleet
inventory)
Notes
●Negative impacts on Covid-19 include
need for personal distance in cars
Emissions:
●47% above 2018
●45% below 1990
2022/08/23 City Council Post Agenda Page 527 of 573
Community
Emissions2
10
2022/08/23 City Council Post Agenda Page 528 of 573
11
Total emissions
●4% below 2018
●17% below 2005
Population
●2% above 2018
(+4,142)
●25% above 2005
(+54,659)
Per Capita emissions
●6% below 2018
●33% below 2005
2022/08/23 City Council Post Agenda Page 529 of 573
Transportation
12
Covid-19 impacts
affected the
reductions and
most will rebound
Emissions:
●13% below 2018
●19% below 2005
www.energy.ca.gov/data-reports/energy-
almanac/zero-emission-vehicle-and-infrastructure-
statistics2022/08/23 City Council Post Agenda Page 530 of 573
Energy
13
Emissions:
●10% above 2018
●4% below 2005
●Recent increase mainly from electricity,
although we saw a 1% reduction in usage
●Natural gas continues to be the only
sector above its 2005 baseline
https://sdcommunitypower.org/resourc
es/key-documents
2022/08/23 City Council Post Agenda Page 531 of 573
With carbon
concentrations above
420 PPM, there is no
“safe” amount of
greenhouse gases to
emit
14
Climate Emergency Declaration:
www.chulavistaca.gov/departments/clea
n/conservation/climate-action-plan
Climate Emergency
2022/08/23 City Council Post Agenda Page 532 of 573
15
●Science-based
reduction target of
57% below 2018 by
2030 provided by
ICLEI
https://unfccc.int/climate-
action/race-to-zero-
campaign2022/08/23 City Council Post Agenda Page 533 of 573
Tracking
16 https://climatedata.sandag.org2022/08/23 City Council Post Agenda Page 534 of 573
Next Steps
17
●San Diego Community Power (SDCP) enrolled all eligible customers at 55% GHG -free electricity,
launched a 100% renewable rate and a Feed -In-Tariff program
●Promote the Sustainable Home Tool Kit (www.chulavistaca.gov/departments/clean/retrofit) and
Electric Induction Cooktop (www.ehomecooktops.com) lending programs at the Chula Vista
Library
●Update existing electric vehicle chargers at City facilities and install new chargers at a City
owned lot near Third Avenue
●Implement Commercial and Multi-Family Benchmarking and Building Performance Ordinance
●Adoption of the Waste Reduction Strategic Plan, also referred to as the Zero Waste Plan, in
March 2022
●Implement food waste collection program and expansion of compost use at municipal facilities
●Utilize the Climate Equity Index for program development
2022/08/23 City Council Post Agenda Page 535 of 573
THANK YOU!
Any questions?
Municipal: Yasemin Corrales
Community: Cory Downs
18
2022/08/23 City Council Post Agenda Page 536 of 573
Item 9.2 Written Communications
Shilling – Received 8/23/2022
Please feel free to contact us with any comments or questions by filling out the form below.
First Name Chris
Last Name Shilling
Email Address
Comments
As a lifelong resident of Chula Vista, and someone who has spent the last decade working on the
homelessness issue throughout the county, I am shocked that the city would consider shutting down
Harborside Park to address a homeless encampment. I currently oversee homeless services in the City of
Carlsbad, where we are one of the only cities to see a 20% reduction in homelessness according to the 2022
Point-in-Time Count, and I previously worked for the Regional Task Force on Homelessness where we
developed the regional standards for addressing homeless encampments (however, I am only contacting you
in my capacity as a Chula Vista resident).
Spending $350,000 to close the park and not provide housing to one single person is unconscionable. I went
by the park today to understand the situation better. The numbers are manageable and the encampment is
distanced and seems well maintained. Criminalizing homelessness or shutting down areas and moving
people along has proven time and time again to be ineffective. In fact, there is not one area around the
country where this strategy has ever worked. When people are forced to leave a location or placed in jail,
they don’t cease to exist. They move to other areas and further impact the community. However, now after
being displaced, they have faced additional trauma and are disconnected from any support or resources they
had, including opportunities for housing.
Instead of closing the park for 90 days, the city should engage in a 90 day outreach campaign prior to any
clearing action. This should include:
Focused non-law enforcement outreach in the area to identify, connect with, and build relationships with
the households living in the park. Create a by-name list of the people in the encampment which also
identifies their status and needs. The list can be used by the multiple service providers (since we have
identified this as a priority area) working with the people in the encampment to case conference and
collaborate. Ideally the city, county, and local service providers would prioritize people in the encampment
for available housing resources and assistance including rapid re-housing, housing choice vouchers,
permanent supportive housing, etc. (more opportunities can be created with the $350,000). So as people get
their paperwork and documents in order, they can quickly move into suitable housing that meets their needs
with supports when necessary). They should also be put into the region’s Coordinated Entry System and
maintained on that list, which may help them access homeless dedicated housing, and veterans and youth
should be connected with the housing programs available to them (which typically have availability because
of the funding allocated to them). Some people will also choose to move into a suitable shelter or a long-
term motel program, while they continue to work on their housing, and they can be prioritized for those
resources (The city’s new non-congregate shelter and use a small part of the $350,000 identified to operate
a temporary motel program) as appropriate. Some people can be reunited with family or other supports
with some mediation and assistance like transportation. People’s needs and solutions will vary and the
process would be a coordinated effort over time. As people move out of the area into shelter and more
importantly permanent housing destinations, it may then be appropriate to identify ways to secure the
space in ways that discourage more unsheltered individuals from returning to revive the encampment (if
there are safety and public health reasons).
This is how this situation should be addressed. Please vote against closing the park and instead follow
evidence-based best practices to address the unsheltered crisis in Chula Vista, and specifically this
encampment.
Please let me know if you have any questions.
Thank you,
Chris Shilling
2022/08/23 City Council Post Agenda Page 537 of 573
Item #9.2 – Written Communications
Cat – Received 8/23/2022
First Name Leo
Last Name Cat
Email Address
Comments
This i a comment i wrote on YouTube. Channel 8 News concerning the Chula Vista homeless.
Just thought you might want to hear from one of the residents in your area.
What follows is my comment).
Gaawd! What an idiot council member!
Im homeless and i live close to that area.
A few thoughts:
1) What they are doing is not cost effective for the tax payer.
Fire fighters assisting the homeless.
The total for five hours of fire personnel on the scene totaled more than $8,500. The use of the fire trucks cost
more than $12,300.)
Almost everyday I see a fire or emergency vehicle go to the park to assist a homeless person ( i think it a homeless
person because the homeless in that particular park are the drug users. The alcoholics are at the park by the
orange street library).
An Article:
Donovan said in the March 5, 2012, appearance. "Because, at the end of the day, it costs, between shelters and
emergency rooms and jails, it costs about $40,000 a year for a homeless person to be on the streets."
So lets make being homeless more difficult, create more animosity between the Chula Vista police and the
homeless by placing a 500 ft ban around schools. Great idea! Not!
IT MAKES A POLITICIAN LOOK LIKE HE OR SHE IS DOING SOMETHING FOR THE VOTERS JOKE!
This is no solution!
2) They need to make laws /policies that see the homeless as part of an individual group of people. As in gays,
blacks, mexicans.
A group of people but with in are sub groups.
Ie. The permanent homeless, because there are homeless who will always be homeless and they don't feel part of
society.
Not so different than blacks who doesn't feel like cops treat them the same as whites.)
They're needs to be communication, not more distrust.
There's the homeless working.
There's the homeless elderly.
There's the homeless who live in cars, vans motorhomes ect.
There's the ex cons .
2022/08/23 City Council Post Agenda Page 538 of 573
There's the Vets.
There's the illegal aliens.
I use to go to town hall meetings in Chula Vista. Many times the people would say i had good points and ideas.
Even a politician would agree.
But he also mentioned something about, " The political will," being the problem.
I hope some news person reads this and some commercial or political big wig reads this.
I want to help b4 i pass away. I don't want anything but to help others.
God bless,
2022/08/23 City Council Post Agenda Page 539 of 573
Item 9.2 – Written Communications
Curry – Received 8/23/2022
Chula Vista Honorable Mayor And City Council,
Agenda 9.2 Proposal Harborside Park Closure
https://pub-chulavista.escribemeetings.com/Meeting.aspx?Id=aa9ae899-f01c-4b4e-b676-
6fc8b3cd6456&Agenda=Agenda&lang=English
PLEASE DO NOT CLOSE THE PARK - ENFORCE THE LAW
YOU CANNOT TAKE PUBLIC LAND AND MAKE IT YOUR OWN PROPERTY TO LIVE ON
https://kusi.com/city-deems-harborside-park-a-health-crisis-and-public-safety-issue-due-to-homeless/
The SD County HHSA next to the park the cause of homeless LIVING IN THE PARK. The city, county and
state must start adressing the real issue - No it is not mental abuse, but a drug problem. No
enforcement against using drugs and on public property just creates more homeless looking for free
services tax fundered that just exasperates the drug addiction leading to more homeless. Where is the
encouragement to work to have a sense oft worh by being self sufficent?
Affordable Housing is useless if no enforcement of rules! No you cannot do drugs and you must get a job
to live there just like the rest of society. Our grand children will be paying others rent of affordable
housing forever!
Oh and a question of water use restriction on our parks. WHY DOES HARBORSIDE HAVE BROWN GRASS
YET CITY HALL HAS WATERED LUSH GREEN GRASS?
Alan Curry
Warning:
External
Email
2022/08/23 City Council Post Agenda Page 540 of 573
CHULA VISTA CITY COUNCIL
August 23, 2022
PRESENTATION: HARBORSIDE PARK HEALTH AND SAFETY
2022/08/23 City Council Post Agenda Page 541 of 573
ANGELICA DAVIS,
Principal Management Analyst | Homeless Coordinator
2022/08/23 City Council Post Agenda Page 542 of 573
Content Warning
This presentation includes graphic images including
needles,weapons and a body bag which may be
disturbing to some viewers.
We anticipate that this material will be covered in the next
10 minutes if you would like to leave the Council Chambers
or stop watching at home.
2022/08/23 City Council Post Agenda Page 543 of 573
HARBORSIDE PARK
670 Oxford Street
Property Acquisition: $2.3M
Park Improvements: $1.9M
5.2 Acres
2022/08/23 City Council Post Agenda Page 544 of 573
DR. EDUARDO REYES,
CHULA VISTA ELEMENTARY SCHOOL DISTRICT SUPERINTENDANT
2022/08/23 City Council Post Agenda Page 545 of 573
JAALIN CHENG,
Business Owner –Billion Creation
2022/08/23 City Council Post Agenda Page 546 of 573
MONICA CRESPO,
Community Member–Resident
2022/08/23 City Council Post Agenda Page 547 of 573
Harborside Park: NOW
2022/08/23 City Council Post Agenda Page 548 of 573
Harborside Park: THEN
2022/08/23 City Council Post Agenda Page 549 of 573
SAM ALZUBAIDI,
Park Ranger Program Manager
Park Clean Up Efforts and Ongoing Maintenance
2022/08/23 City Council Post Agenda Page 550 of 573
Harborside Park:
Original Design
2022/08/23 City Council Post Agenda Page 551 of 573
Harborside Park:
Deterioration
2022/08/23 City Council Post Agenda Page 552 of 573
Harborside Park:
Mitigating Efforts
2022/08/23 City Council Post Agenda Page 553 of 573
Harborside Park:
Current Status
2022/08/23 City Council Post Agenda Page 554 of 573
MARISOL AGUILERA,
SR CODE ENFORCEMENT OFFICER
PRIVATE BUSINESSES –CALLS FOR SERVICE
2022/08/23 City Council Post Agenda Page 555 of 573
Code Enforcement Calls for Service:
Private Businesses
2020 –2022
25+ calls for service
for trash, junk, debris,
graffiti,
encampments
Pre 2020
no calls for service
(since 2016)
2022/08/23 City Council Post Agenda Page 556 of 573
Code Enforcement:
Impacts to Businesses
2022/08/23 City Council Post Agenda Page 557 of 573
PHIL COLLUM, EXECUTIVE CAPT.
Chula Vista Police Department
Calls for Services and Response
2022/08/23 City Council Post Agenda Page 558 of 573
CALLS FOR SERVICE CALLS
AT HARBORSIDE PARK
Calls for Service: All City Parks
Harborside Park has consistently had the highest number of CFS compared to all other parks in the City.
2022/08/23 City Council Post Agenda Page 559 of 573
CALLS FOR SERVICE CALLS
AT HARBORSIDE PARK
Calls for Service at Parks (2021)
Citizen-initiated
Officer-initiated
2022/08/23 City Council Post Agenda Page 560 of 573
CALLS FOR SERVICE CALLS
AT HARBORSIDE PARK
Crimes, Arrests & Citations at Harborside
ParkJan 2019 –Jul 2022
Harborside
Rohr
Heritage
Discovery
Crimes ArrestsCitations
2022/08/23 City Council Post Agenda Page 561 of 573
CALLS FOR SERVICE CALLS
AT HARBORSIDE PARK
Total Time Spent (hrs) at Harborside
Park
328
180 173
81
388
29 32 39
HARBORSIDE ROHR HERITAGE DISCOVERY
Citizen-initiated Officer-initiated
*Source:CVPD CAD system.Figures include documented hours only.Additional hours that were not documented,such as officer foot patrols and other proactive activity,would not be
represented here.
Jan 2019 –Jul 2022
2022/08/23 City Council Post Agenda Page 562 of 573
05
$71,639
$75,703
$4,358
973 hrs
975 hrs
55 hrs
*Figures are citywide totals that include,but are not exclusive to,Harborside Park.Anecdotal information suggests that more overtime has been expended at Harborside Park than any
other park in the City.
Homeless Outreach Team (HOT) Overtime ExpenseFiscal Years 2021-2023
Total HOT Overtime
Expense: $151,700
Hours: 2,013 Overtime Hours
FY21 FY22 FY23
2022/08/23 City Council Post Agenda Page 563 of 573
HARRY MUNS, CHIEF
Chula Vista Fire Department
2022/08/23 City Council Post Agenda Page 564 of 573
Fire Department:
Calls for Service
38
25
7
48
31
9
49
29
10
0
10
20
30
40
50
60
Calls for service (NFIRS
Data)
Patient contacts (ePCR
data)
Overdose(s) (ePCR data)Cardiac Arrest
2020 2021 2022
0 0 3
2022/08/23 City Council Post Agenda Page 565 of 573
MARIA KACHADOORIAN,
City Manager
2022/08/23 City Council Post Agenda Page 566 of 573
PermaHedge Fencing
Courtesy Notice
ACTIONS TO DATE
•2 COMMUNITY MEETINGS
•Installation of VISUAL BARRIER
between school and park
•Increased CVPD PATROL frequency
•Courtesy NOTICE mailed to
surrounding residents and businesses
regarding temporary closure
•Stakeholder TASKFORCE re-established
2022/08/23 City Council Post Agenda Page 567 of 573
RECOMMENDED NEXT STEPS
•Install TEMPORARY SECURITY FENCING along park perimeter
•Implement 90-Day TEMPORARY PARK CLOSURE (08/31)
•Provide 24/7 contracted SECURITY
•Hold CONNECT EVENT on 08/31 at Harborside
to offer services
•ENGAGE COMMUNITY for long-term solutions and plans
•Continue and increase HOMELESS OUTREACH TEAM efforts
•Continue to MONITOR and REASSESS safety conditions
•Reinstate the HARBORSIDE TASKFORCE for added
collaboration
2022/08/23 City Council Post Agenda Page 568 of 573
RECOMMENDED NEXT STEPS
•Monitor the effectiveness of the temporary fencing to
consider alternate fencing solution.
•Consider a site layout change
2022/08/23 City Council Post Agenda Page 569 of 573
TEMPORARY FENCING AND SECURING THE SITE
Harborside
Park
Harborside
Elementary
School
Existing CVESD Fence
Temporary 8’ Chain Link Fence
2022/08/23 City Council Post Agenda Page 570 of 573
CONNECT EVENT
On-site Services coinciding with Fencing Installation
August 31, 2021
•HOUSING
•CV Housing
•Salvation Army
•ECTLC
•OUTREACH/CASE MANAGEMENT
•CV HOT Team
•SBCS
•McAlister Institute
MEDICAL
•Family Health Centers
OTHER SERVICES
•District Attorney’s Office
•HHSA
•DMV
2022/08/23 City Council Post Agenda Page 571 of 573
COMMUNITY ENGAGEMENT:
SHAPING THE FUTURE FOR HARBORSIDE
2022/08/23 City Council Post Agenda Page 572 of 573
RECOMMENDED ACTION
•Approve Resolution approving 90-day temporary closure
•Waive formal bidding requirements
•Authorize City Manger to enter into a contract or
documents necessary
2022/08/23 City Council Post Agenda Page 573 of 573