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HomeMy WebLinkAboutOctober 3, 1995INVOCATION PLEDGE OF ALLEGIANCE A G E N D A• ❑ ❑❑ Arcadia City Council and Redevelopment Agency Meeting October 3, 1995 Regular Meeting: 7:00 p.m. ACTION ROLL CALL: Council Members Chang, Kuhn, Ulrich, Young and Lojeski 1. PRESENTATION a. Presentation to the City Council by Arcadia Festival of Bands. 2. SUPPLEMENTAL INFORMATION FROM STAFF REGARDING AGENDA ITEMS - REPORTS /ANNOUNCEMENTS /STATEMENTS 3. QUESTIONS FROM CITY COUNCIL /REDEVELOPMENT AGENCY REGARDING CLARIFICATION OF AGENDA ITEMS MOTION: Read all Ordinances and Resolutions by title only and waive reading in full. 4. TIME RESERVED FOR THOSE IN THE AUDIENCE WHO WISH TO ADDRESS THE CITY COUNCIL (NON- PUBLIC HEARING) - FIVE MINUTE TIME LIMIT PER PERSON 5. MATTERS FROM ELECTED OFFICIALS City Council Reports/ Announcements /Statements /Future Agenda Items RECESS CITY COUNCIL 6. MEETING OF THE ARCADIA REDEVELOPMENT AGENCY ROLL'CALL: Agency Members Chang, Kuhn, Ulrich, Young and, Lojeski 1- AGENDA 10/3/95 6. REDEVELOPMENT AGENCY (continued) ACTION a. Minutes of the September 15, 1995 Adjourned Regular Meeting (Study Session) and September 19, 1995 Regular Meeting. b. Request to reimburse the City of Arcadia for emergency work done by Sequel Contractors, Inc. on the Downtown 2000 Streetscape and Public Improvement Project and to authorize the expenditure of $650,000. ADJOURN REDEVELOPMENT AGENCY to October 17, 1995 at 7:00 p.m. RECONVENE CITY COUNCIL 7. CONSENT ITEMS a. Minutes of the September 15, 1995 Adjourned Regular Meeting (Study Session) and September 19, 1995 Regular Meeting. b. Report and recommendation to adopt a City Financial Policiy. C. Recommendation to advance the acquisition of the Book Security System from the 1996 -97 to the 1995 -96 Capital Improvement Program. 8. CITY MANAGER a. Report and recommendation regarding televising of Council meetings. b. Report and recommendation to adopt Resolution No. 5880 casting votes for a seat on the San Gabriel Basin Water Quality Authority Board of Directors. RESOLUTION NO. 5880 - A Resolution of the City Council of the City of Arcadia, California, casting its votes for Council Member to represent cities with prescriptive pumping rights on the Board of the San Gabriel Basin Water Quality Authority. -2 AGENDA 10/3195 ... . 0 0 ACTION C. Recommendation to terminate (cancel) the contract with Sully - Miller Contracting Company for default with reference to construction of the Arcadia Downtown 2000 Streetscape Project - Job Nos. 582, 646 and 550. 9. CITY ATTORNEY a. RESOLUTION NO. 5882 - A Resolution of the City Council of the City of Arcadia, California, declaring the completion of construction of the Downtown 2000 Streetscape Project to be of urgent necessity for the preservation of life, health and property, and authorizing staff to let contracts and make purchases for the completion of subject Project without advertising for bids; declaration of facts, and direction to select qualified contractor by request for proposals (4 votes required). b. ORDINANCE NO. 2040 - ADOPTION - An Ordinance of the City Council of the City of Arcadia, California, amending the Arcadia Municipal Code by adding a new Division 6 to Article IX, Chapter 2, Part 9, to include procedures to adopt and amend specific plans. 10. CLOSED SESSION a. Pursuant to Government Code Section 54957.6 for conference with labor negotiators regarding the Arcadia Firefighters' Association, Teamsters, Management and non - represented employees. b. Pursuant to Government Code Section 54956.9(b) to discuss with city legal counsel pending (anticipated) litigation involving a situation of significant exposure to litigation based on threats made by the President of Sully - Miller and their legal counsel at a meeting with city officials on August 28, 1995 pertaining to city action to address the emergency situation described the City Council Resolution 5877 with reference to the Arcadia Downtown 2000 Streetscape Project. ADJOURN In Memory of Irene Margett to October 17, 1995 @ 7:00 p.m. -3 -' AGENDA 1013195 City of Arcadia —� Office of the City Clerk June D. Alford 240 West Huntington Drive P.O. Box 60021 ° +ro.. =•° Arcadia, California. 91066 -6021 il_:7� INVOCATION f A G E N D A Arcadia City Council and Redevelopment Agency Meeting October 3, 1995 Regular Meeting: 7:00 p.m. 6 Rev. Thomas Shriver, Emmanuel Assembly of God I 7I ACTION PLEDGE OF ALLEGIANCE Gary Roger, Asst to the City Manager, Human Rsources Mgr. ROLL CALL: Council Members Chang, Kuhn, Ulrich, Young All present and Lojeski 1. PRESENTATION a. Presentation to the City Council by Arcadia Festival of Bands. James Burrows, Arcadia High School Music Club 2. SUPPLEMENTAL INFORMATION FROM STAFF REGARDING AGENDA ITEMS - REPORTS /ANNOUNCEMENTS /STATEMENTS None 3. QUESTIONS FROM CITY COUNCIL /REDEVELOPMENT AGENCY REGARDING CLARIFICATION OF AGENDA ITEMS None MOTION: Read all Ordinances and Resolutions by title only and waive reading in full. Adopted 5 -0 4. TIME RESERVED FOR THOSE IN THE AUDIENCE WHO WISH TO ADDRESS THE CITY COUNCIL (NON- PUBLIC HEARING) - FIVE MINUTE TIME LIMIT Helen Romero -Shaw PER PERSON 5. MATTERS FROM ELECTED OFFICIALS City Council Reports/ Announcements /Statements /Future Agenda Items See Minutes RECESS CITY COUNCIL 6. MEETING OF THE ARCADIA REDEVELOPMENT AGENCY ROLL CALL: Agency Members Chang, Kuhn, Ulrich, Young All present and Lojeski 1 AGENDA 10/3195 YOUR ARCADIA CITY COUNCIL WELCOMES YOU Arcadia is governed by a five - member City Council. Every even - numbered year either two or three Council members are elected at large to serve four -year terms. The Council elects from its membership a Mayor to serve as its presiding officer for a one -year term. The City Manager is employed by the Council to carry out its policies and to serve as executive officer of the City. CITY COUNCIL MEETINGS Regular meetings of the City Council are held on the first and third Tuesdays of the month at 7:00 p.m., in the City Hall Council Chambers. From time to time, special meetings are scheduled for specific purposes. The Council follows a regular order of business as provided in the agenda for each meeting. The agenda is prepared and made available to the public 72 hours in advance of the meeting. CITIZEN PARTICIPATION Citizen participation is invited at all Council meetings. At each regular meeting, time is reserved for those in the audience who may wish to address the Council on any matter. However, experience has shown that routine matters can often be handled faster if taken up directly with the department providing the service during normal business hours. PUBLIC HEARING PROCEDURES Any person desiring to address the Council should step up to the microphone, state their name and address for the record and limit their remarks to the question under discussion. Repetition is not helpful. Following the presentation of the staff report, the applicant is afforded the opportunity to address the Council. Others in favor of the proposal may then address the Council followed by those in opposition to the proposal. The hearing is then closed, discussion by the Council is held, and the Council then acts on the proposal and either approves, approves with conditions or modifications, or denies the application. CONSENT ITEMS All items listed under "Consent' are considered to be routine by the City Council and will be enacted by one motion. There will be no separate discussion on these items unless a Council member so requests. 6. 1 REDEVELOPMENT AGENCY (continued) a. Minutes of the September 15, 1995 Adjourned Regular Meeting (Study Session) and September 19, 1995 Regular Meeting. b. Request to reimburse the City of Arcadia for emergency work done by Sequel Contractors, Inc. on the'Downtown 2000 Streetscape and Public Improvement Project and to authorize the expenditure of $650,000. ADJOURN REDEVELOPMENT AGENCY to October 17, 1995 at 7:00 p.m. RECONVENE CITY COUNCIL 7. CONSENT ITEMS ACTION A roved 9- 15 -g9g5 Minutes -� w/1 ab- stention Approved 5 -0 a, Minutes of the September 15, 1995 Adjourned Regular Meeting Approved 9 -15 -95 Min. (Study Session) and September 19, 1995 Regular Meeting. -5-0 & 9-19 4 -0 w/1 abstention b. Report and recommendation to adopt a City Financial App r Ad s -p Policiy. C. Recommendation to advance the acquisition of the Book Security Approved -0. System from the 1996 -97 to the 1995 -96 Capital Improvement Program. 8. CITY MANAGER a. Report and recommendation regarding televising of Council meetings. A roved 4 -1, televise all regular CC mtgs.& b. Report and recommendation to adopt Resolution No. 5880 casting special mtgs. as time allows votes fora seat on the San Gabriel Basin Water Quality Authority Board of Directors. RESOLUTION NO. 5880 - A Resolution of the City Council of Adopted 5 -0.. all 5 the City of Arcadia, California, casting its votes for Council Arcadia votes for Glendora.Councilman Member to represent cities with prescriptive pumping Larry Glenn rights on the Board of the San Gabriel Basin Water Quality Authority. -2- AGENDA 10/3/95 ACTION C. Recommendation to terminate (cancel) the contract with Sully - Miller Approved 5 -0 Contracting Company for default with reference to construction of the Arcadia Downtown 2000 Streetscape Project - Job Nos. 582, 646 and 550. 9. CITY ATTORNEY a. RESOLUTION NO. 5882 - A Resolution of the City Council of the Adopted 5 -0 City of Arcadia, California, declaring the completion of construction of the Downtown 2000 Streetscape Project to be of urgent necessity for the preservation of life, health and property, and authorizing staff to let contracts and make purchases for the completion of subject Project without advertising for bids; declaration of facts, and direction to select qualified contractor by request for proposals (4 votes required). b. ORDINANCE NO. 2040 - ADOPTION - An Ordinance of the City Adopted 5 -0 Council of the City of Arcadia, California, amending the Arcadia Municipal Code by adding a new Division 6 to Article IX, Chapter 2, Part 9, to include procedures to adopt and amend specific plans. 10. CLOSED SESSION a. Pursuant to Government Code Section 54957.6 for conference with labor negotiators regarding the Arcadia Firefighters' Association, Teamsters, Management and non- represented employees. b. Pursuant to Government Code Section 54956.9(b) to discuss with _ city legal counsel pending (anticipated) litigation involving a situation of significant exposure to litigation based on threats made by the President of Sully - Miller and their legal counsel at a meeting with city officials on August 28, 1995 pertaining to city action to address the emergency situation described the City Council Resolution 5877 with reference to the Arcadia Downtown 2000 Streetscape Project. ADJOURN In Memory of Irene Margett to October 17, 1995 @ 7:00 p.m. 9: 16 p m. adjournment to 7:00 p.m. October 24 -3- AGENDA 1013195 G' / SCE - Z -j 6 I e /I err► `"�' �' ° °� ► °•._� STAFF REPORT MAINTENANCE SERVICES DEPARTMENT DATE: OCTOBER 3, 1995 TO: MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: PAT MALLOY, MAINTENANCE SERVICES DIRECTOR By: ELDON G. DAVIDSON, ACTING CITY ENGINEER/WATER SERVICES MANAGER SUBJECT: ELECTION TO VACANT SEAT ON THE SAN GABRIEL BASIN WATER QUALITY AUTHORITY BOARD OF DIRECTORS RESOLUTION NO. 5880 This agenda item was continued from the September 19, 1995 and September 26, 1995 City Council meetings. On August 1, 1995, the City Council nominated Arcadia Council Member Mary Young to fill the seat on the San Gabriel Basin Water Quality Authority (WQA) Board of Directors which was vacated as a result of Bob Margett's election to the State Assembly. Cities with pumping rights must now cast their votes by resolution before 5:00 p.m. on October 16, 1995. The City Council should select one of the nominated candidates and approve Resolution No. 5880 which will commit Arcadia's allocation of five (5) votes for that candidate. The WQA was established by the State Legislature to develop, finance and implement groundwater treatment programs in the San Gabriel Valley. The Authority is under the direction and leadership of a 5- member Board, with one member from each of the overlying municipal water districts, one from a city with water pumping rights and one from a city without water pumping rights. Bob Margett was elected to a seat on the Board of the WQA as the representative of cities with pumping rights and his subsequent election to the State Assembly necessitated his resignation from the Board. Following is a list of nominees: Mary Young, Arcadia Maria Avila, El Monte Larry Glenn, Glendora Lois Shade, Glendora pyll",� Resolution No. 5880 WQA Election October 3, 1995 Page 2 M The remaining term of the Board Member representing cities with pumping rights will expire on January 1, 1997. Each city has one vote for each 10,000 residents or majority thereof, as determined by the 1990 census data. Following is a list of cities with pumping rights and number of votes: City 1990 Population Number of Votes Arcadia 48,290 5 Alhambra 82,106 8 Azusa 41,333 4 Covina 43,207 4 El Monte 106,209 11 Glendora 47,828 5 Industry 631 1 Irwindale 1,060 1 Monrovia 35,761 4 Monterey Park 60,738 6 South Pasadena 23,936 2 Whittier 77,671 8 Total Votes 59 The WQA has requested that the City of Arcadia vote for one of the nominated candidates to fill the vacant seat on the WQA Board. The City of Arcadia has five (5) votes to cast and those votes may not be split among the candidates. In order to vote for a candidate, the City must select a candidate by majority vote and approve a resolution naming that candidate for the vacant seat. This resolution must be received by the WQA on or before 5:00 p.m. on October 16, 1995. COUNCIL ACTION 1. Conduct an election from the five nominated candidates for the vacant seat on the WQA Board representing cities with pumping rights. 2. Approve Resolution No. 5880 casting the City of Arcadia's five (5) votes for the selected candidate. Approved. r--� YVilliam R. Kelly, City Manager a -?3 Ja6Sr ,McR.ORPTfO,'o STAFF REPORT ADMINISTRATIVE SERVICES DEPARTMENT October 3, 1995 TO: Mayor and City Council FROM: James S. Dale, Administrative Services Director SUBJECT: Adoption of City Financial Policies SUMMARY In an effort to insure financial stability, the Administrative Services Department, as part of the 1995 -1997 work program objectives, has developed for consideration a Financial Policies document to provide basic guidelines to be followed in the conduct of the City's fiscal affairs. It is recommended that the City Council recognize these policies as the formal Financial Policies of the City of Arcadia and receive and adopt said policies. DISCUSSION Staff presented to the City Council a Mission Statement and detailed Projects /Objectives in support of the "statement ", when the two -year Operating Budget for 1995 -97 was developed. The City Council adopted the 1995 -1997 Work Program on June 20, 1995. In support of the Mission Statement, goals were established to define general parameters while specific projects /objectives were developed to measure the activities of City operations against the overall mission statement. Fiscal Responsibility is a stated goal and is defined as, ' to operate the City Government in a fiscally and managerially responsible and prudent manner". One objective under Fiscal Responsibility is, "develop a formal strategy for each City fund that addresses the specific financial goals and objectives of the funds ". To document and implement this objective, staff has developed expanded written policies (See attached Fiscal Policies). These policies will serve as basic guidelines to be followed in the day to day conduct of fiscal affairs. J . LASER IMAGED e- rel A) . 7.1 n FISCAL IMPACT E5 Adherence to well defined and fiscally responsible guidelines will have a significant impact on the financial well being of the City. RECOMMENDATION That the City Council recognize the attached policies as the formal financial policies of the City and receive and adopt said policies. Approved: W,* 1' William IRB.. Kelly City Manager JSD:mlp 1q CITY OF ARCADIA FINANCIAL POLICIES M It is the goal to operate the City Government in a fiscally and managerially responsible and prudent manner. To assist us in achieving this goal, the following specific financial policies have been established: The City shall operate and report all financial transactions in accordance with Generally Accepted Accounting Principles. II. It shall be the goal of the City to present for adoption each year a balanced operating budget for all Governmental Funds whereby total revenues will equal or exceed total operating expenditures. In addition, it shall be a City goal to maintain an undesignated fund balance in the General Fund equivalent to 20% of the annual appropriation. III. All proprietary funds, (i.e., water, transit, etc.) shall be operated in a manner similar to private enterprise. As such, all costs (including direct and indirect personnel costs and depreciation costs) of providing services shall be finance or recovered through user charges. IV. The City shall maintain an appropriate reserve in the Liability/Workers' Compensation Insurance Fund, Employees Health Insurance Fund and the Employees Self - funded Life Insurance. V. The City shall address long range fiscal projections through the use of a two year operating budget and a Five -Year Capital Improvement Plan and Equipment Replacement Plan. The City shall operate and report all financial transactions in accordance with the Generally Accepted Accounting Principles. The Government Finance Officers Association of the United States and Canada and generally accepted accounting principles promulgated by the Government Accounting Standards Board establish basic procedures and accounting principles as a frame work for operations. It shall be the City's policy to conduct all financial affairs and maintain financial records within this framework to assure accuracy and public confidence in our financial system. It shall be the goal of the City to present for adoption each year a balanced operating budget for all Governmental Funds whereby total revenues will equal or exceed total operating expenditures. GOVERNMENTAL FUNDS General Fund The General Fund is used to account for all the general revenues of the City not specifically levied or collected for other City funds, and for the expenditures related to the rendering of general services by the City. It shall be a City goal that in any fiscal year, for this fund, current year revenues shall equal or exceed current year expenditures. This "pay as you go" approach strives to match any increase in expenditures with a corresponding increase in revenues and /or decrease in revenues is matched with a decrease in expenditures. [Revenue enhancements could be in the form of increased fees or assessments]. Any cost cutting measures could be a reduction of capital purchases, a reduction in the work force (personnel reductions) either through attrition, hiring freezes or actual lay -offs. Any year end operating surpluses will revert to unappropriated fund balance. In an effort to ensure sound financial management and to assure that the City Council has some discretion in their financial decision making options, it will be a City goal to maintain an undesignated fund balance in the General Fund equivalent to 20°x6 of the General Fund annual appropriations. This reserve may be reduced with a majority City Council vote to fund certain unforeseeable financial conditions such as one time expenditure or as transition funding in a recessionary economy, or other budget shortfall stop gap measure of a temporary nature. The 20% reserve is established as a goal specifically because we believe that this is a minimal level necessary to provide a measure of financial protection in the event the General Fund experiences a loss of revenue or an unexpected major increase in expenditures. Such reserves would be available only as a temporary resource available and to be used while an orderly financial plan to address any long term condition is developed. Special Revenue Funds Special Revenue Funds are used to account for revenue derived from specific taxes or other earmarked revenue sources (other than for major capital projects) that are restricted by law or administrative action to expenditures for specified purposes. Balances in these funds shall be established at specified amounts and committed for approved projects in accordance with legal and /or contractual requirements. Capital Improvement Project Funds Capital Improvement Project Funds are established to account for resources used for the acquisition and for construction of capital facilities by the City except for those financed by proprietary funds. All fund balances shall be designated for existing or proposed infrastructure needs of the City. Debt Service Funds The Debt Service Funds are used to account for the payment of interest and principal on general debt of the City and related entities. All resources are legally designated for and shall be restricted to payment of long -term debt. All proprietary funds, (i.e., water, transit, etc.) shall be operated in a manner similar to private enterprise. As such, all costs (including direct and indirect personnel costs and depreciation) of providing services shall be finance or recovered through user charges. Enterprise Funds The Enterprise Funds, Water and Transportation are used to account for City operations that are financed and operated in a manner similar to private business enterprises. These activities will be supported by their own rates and /or grants and shall not be subsidized by the General Fund. Charges will be assessed against these funds at a reasonable rate for services provided to these activities by General Government. Internal Service Funds Internal Service Funds are used to account for the financing of goods or services provided by one Department/Division to other Departments /Divisions of the governmental unit on a cost reimbursement basis. o J ivA The City shall maintain an appropriate reserve in the Liability/Workers' Compensation Insurance Fund, Employees Health Insurance Fund and the Employees Self- funded Life Insurance Fund to reflect projected needs. In the Insurance Funds, i.e., Liability /Workers' Compensation Fund, Employee Health Insurance Fund and the Employees Self- funded Life Insurance Fund, the City shall maintain a minimum reserve to assure sufficient resources to cover any unforeseen expected claims. Reserves in these funds shall be established a levels equal to or exceeding the projected claims expenses for a 3 to 4 month period. V The City shall address long range fiscal projections through the use of a two year operating budget and a Five -Year Capital Improvement Plan and Equipment Replacement Plan. A long range financial perspective will be formulated with the development of a two -year operating budget and a Five -Year Capital Improvement Program. This approach will span a greater length of time than existing analytical practices and will be supported by historical data for comparative and projection information. This plan will allow Council to better evaluate all assumptions and ramifications to_ revenue projections, expenditure requests and fund balances and compliance with all financial policies and goals. O G f0 -Q? Memorandum axadla redevelopment agency DATE: October 3, 1995 TO: Arcadia Redevelopment Agency FROM: Rick Gomez, Deputy Executive Director /shif By: I.,Pete Kinnahan, Economic Develo•m= t Administrator RE: REQUEST TO REIMBURSE THE CITY F ARCADIA FOR EMERGENCY WORK DONE BY SEQU' CONTRACTORS, INC. ON THE DOWNTOWN 2000 STREETSCAPE AND PUBLIC IMPROVEMENT PROJECT AND THE AUTHORIZE THE EXPENDITURE OF $650,000 THEREFOR. SUMMARY AND DESCRIPTION On August 22, 1995 the City Council adopted Resolution No. 5877 declaring that an urgent threat to public health, safety and welfare existed due to the incomplete status of construction, the uncertainty of the duration of the work stoppage and the upcoming rain season (attached). The Resolution suspended Sully-Miller from certain work due to a labor dispute impacting their ability to perform contractor's work in these areas and authorized staff to obtain a replacement contractor for limited emergency work without advertising for bids. Sequel Contractors, Inc. has since been retained as contractor and the emergency work is underway. Since the Agency is the primary source of funding for the Downtown 2000 project and is reimbursing the City for the Agency's share of the work, staff requests the authorization to spend $650,000 and approval of Sequel Construction for the emergency work. ENVIRONMENTAL REVIEW The Downtown 2000 Streetscape and Public Facilities Improvement Project Negative DeclaratiorAvas'considered at a Public Hearing and adopted by the City Council on March 7, 1995. The emergency work is the same as that considered and approved on March 7, 1995. Orr`' LASER IMAGED Staff Report Page Two October 1, 1995 FISCAL IMPACT Sequel Contractors, Inc. bid for the emergency work was $463,640.00. However, this did not include several tasks which at that time could not be quantified, eg. Traffic Control Plan, purchase/delivery to the job site of certain supplies & materials from Sully-Miller and others, status of previous work, particularly subsurface construction (compaction of soils) and other unknown contingencies. For this reason, staff requests the authorization to spend $650,000 in Agency funds. RECOMMENDATION That the Agency ratify Sequel Contractors, Inc. for the emergency work on the Downtown 2000 project, and reimburse the City of Arcadia for Sequel's work. That the Agency authorize the expenditure of$650,000 for the above emergency work. Approved: William R. Kelly, Executive Director Attachments • 0 ..i • • i'; •v 41,::,-4 ma- IC '���•_ STAFF REPORT OFFICE OF THE CITY MANAGER DATE: AUGUST 22, 1995 TO: MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: WILLIAM R. KELLY, CITY MANAGER C * SUBJECT: RECOMMENDATION TO ADOPT RESOLUTION NO. 5877 DECLARING THAT DELAYS IN THE CONSTRUCTION OF THE CITY OF ARCADIA DOWNTOWN 2000 STREETSCAPE PROJECT CONSTITUTE AN URGENT THREAT TO THE PUBLIC HEALTH, SAFETY AND WELFARE, SUSPENDING THE WORK TO BE PERFORMED PURSUANT TO THE CONTRACT BETWEEN THE CITY AND THE SULLY-MILLER CONTRACTING COMPANY, AUTHORIZING STAFF TO CONTRACT WITH OTHER QUALIFIED PARTIES TO PERFORM SUCH WORK AS IS NECESSARY TO ALLEVIATE THE THREAT, AND TO AUTHORIZE THE LETTING OF CONTRACTS WITHOUT ADVERTISING FOR BIDS SUMMARY This report recommends that the City Council approve Resolution No. 5877 which declares a public emergency, approves the suspension of the City's contract with the Sully-Miller Contracting Company (relative to the Downtown 2000 Streetscape Project) and authorizes City staff to contract with other qualified parties to complete such work as is necessary to alleviate a threat to the public's health, safety and welfare. DISCUSSION Consistent with the City Charter, the Mayor Pro Tern has called a special meeting of the City Council for August 22, 1995 to discuss the lack of work being done on the Downtown 2000 Streetscape Project by The Sully-Miller Contracting Company due to a work stoppage called against them by the Operating Engineer's Union. Currently, Sully-Miller has commenced construction on the Project and has, as part of the job to date, severed all flood-protection devices in downtown Arcadia, including the removal of such integral devices as curb, gutter, sidewalk, pavement, building roof Mayor and Members of the City Council August 22. 1995 Page 2 • drains and other improvements to the storm drain system such as catch basins and junction boxes. If the referenced work is not completed prior to the rainy season. and remains in its current incomplete condition, an emergency situation will result, affecting the public health, safety and welfare. Sully-Miller is unable to inform the City of when the work stoppage will be over and when they will be able to re-commence work on the project. Accordingly. Sully-Miller cannot confirm that this work will be completed by the beginning of the rainy season (mid-October), thus causing a threat to the public's welfare. The City's Consulting Engineer, Gary Baker of ASL Consulting Engineers, has informed the City by letter of August 18, 1995 of the urgency of the situation. Therefore, staff is recommending that the City Council declare a public emergency, suspend the work to be performed by the Sully-Miller Contracting Company, and authorize staff to contract with other parties to complete the work on the Downtown 2000 Project that is necessary to alleviate the threat to the public's safety. In addition, pursuant to Section 1212 of the City Charter. staff is asking that the formal bid process be waived due to the urgent and immediate necessity for this work to be performed. RECOMMENDATION It is recommended that the City Council approve Resolution No. 5877 declaring that delays in the construction of the City of Arcadia Downtown 2000 Streetscape Project constitute an urgent threat to the public health, safety and welfare, suspending the work to be performed pursuant to the contract between the City and the Sully-Miller Contracting Company, authorizing staff to contract with other qualified parties to perform such work as is necessary to alleviate the threat, and to authorize the letting of contracts without advertising for bids. Further, the City Council should authorize the City Manager, or his designee, to execute the appropriate contracts, subject to approval as to form by the City Attorney. • • • Mayor and Members of the City Council August 22. 1995 Page 3 Attachments: 1 ) Letter dated August 15, 1995 to James C. Keown, Sully-Miller Contracting Company from Rick Gomez, City of Arcadia 2) Letter dated August 16, 1995 to Rick Gomez, City of Arcadia from James Keown, Sully-Miller Contracting Company 3) Notice of Special Meeting dated August 17, 1995, signed by the Mayor Pro Tern 4) Letter dated August 17, 1995 to James C. Keown, Sully-Miller Contracting Company, from the City of Arcadia's Acting City Attorney, Michael J. Karger 5) Letter dated August 18, 1995 to Rick Gomez, City of Arcadia from Gary Baker, ASL Consulting Engineers 6) Resolution No. 5877 7) Agenda for the Special Meeting 8) Open Letter To Downtown Merchants (Hand delivered to downtown • merchants on August 17, 1995.) _ 'LO .. - � ARCADIA August 15. 1995 • City of Arcadia Mr. James G. Keown Vice President - Operations Development Sully-Miller Contracting Company P 1100 E. Orangethorpe Avenue, Ste. 200 Services Anaheim, California 92801 Department Re: Downtown 2000 Streetscape Project Job Nos. 582. 646 and 550 ,,.._,. Dear Mr. Keown: As you are aware, we have recently had several communications with your office regarding the status of the above-referenced projects. From the outset, we want you to know that the City of Arcadia has been very concerned about . the overall lack of progress that you have been making on this project. especially during the recent labor dispute. Our immediate concern is based pnmanly upon the issues of public safety, traffic, protection of work already in progress and the upcoming rainy season. In this regard, and as I'm sure you are aware, the construction on Huntington Drive has severed all flood-protection devices in downtown Arcadia. Huntington Drive street improvements, including but not limited to curb, gutter, pavement, street lights, traffic signals, runoff,piped from building roofs, and adjacent improvements to the storm drain system (i.e. catch basins, lateral, junction boxes). Indeed, one of the very purposes of the project in question was to improve the drainage situation in the downtown area. The rainy season commences in Southern California in mid-October. Accordingly, we wish to notify Sully-Miller of the numerous safety and health- related problems and the emergency situations which may occur in the event these projects remain in their current and incomplete condition. The City of Arcadia owes a legal and statutory obligation to its citizens and merchants. as well as to members of the general public, to immediately address these issues. In an effort to comply with its statutory obligation to protect public health and safety, and to prevent significant property damage from flooding and continued damage to public streets and roadways due to uncompacted landfill, the City of .Arcadia is hereby directing Sully-Miller Contracting Company to immediately perform all work necessary to complete the storm drain improvements within Huntington Drive and First Avenue, including all required street improvements. curb and gutters on the north side of Huntington Drive, and between the Arcadia Wash and Fifth Avenue. Sot }1--;;r,Q Fu- ATTACHMENT 1 Keown Letter Page Two August 15. 1995 All emergency work required to complete drainage and street improvements to the satisfaction of the City Engineer must be complete by October 2. 1995. All utility trenches shall be properly backfilled and compacted. and pavement of required thickness must be installed to enable the streets to be open to traffic. All debns shall be removed, and pedestnans shall be informed, and protected from, all known hazards. Work deemed to by the City Engineer to be non-essential to the protection of public health and safety shall be covered, backfilled or otherwise protected until such time as Sully-Miller can warrant that construction matenals and adequate and trained operators are avialable to complete the work per the terms of the contract pertaining to the projects in question. We request that these actions be taken in accordance with Sections 6.2 through 6.7 of the Standard Specifications for Public Works Construction. Please provide me a written response by 5:00 p.m. Wednesday, August 16 concerning this issue. Ve tru yours, '4 Ri Gome D, • ty City Ma :ger D, v--rpment 'ervices Director R'-:r1 cc: William R. Kelly, City Manager Michael H. Miller, City Attorney Pete Kinnahan, Economic Development Administrator Eldon Davidson, Acting City Engineer Mohammad Mostahkami, Assistant City Engineer Bernie Anderson, Sully-Miller Contracting Co. Gary Baker, ASL Consulting Engineers, Inc. Linda Tichey, Seaboard Surety Co. 16 .aug.ut 1995 CITY OF .ARCADIA SL'LLIc" MrLLFR 240 W Huntington Drive CONTRACTI`G Co PO Box 60021 Arcadia. CA 91066-6021 ATTN Rick Gomez RE: Arcadia Downtown 2000 Streetscapc Project Job No(s). 582, 646, and 550 Sully-Miller Job No. 111336C • Gentlemen: We have received your letter of August 15.1995, concerning the negotiations with Local 12 and the effect on the Downtown 2000 Project. While we understand your concern, I do take issue with the statement concerning progress prior to the Operanng Engineers' strike. Given the delayed Notice to Proceed, change orders and interferences not noted on the plans. the project was progressing smoothly prior to the labor dispute. • Currently, Sully-Miller has presented a settlement proposal to Local 12 in attempt to reach an agreement as soon as possible. However, it will be several days before we can expect a response. We will keep the City informed of any developments that might affect our ability to resume construction. we'share your concern over the effect of the incomplete improvements on safety and health related matters and we will communicate these to Local 12 in the hope that they will suspend their work stoppage. I would like to point out that they have not shown much concern for the public on several other jobs that have potential safety consequences. If you have any questions, please contact me at(714) 578-9626. • Sincerely. JAMS G. KEOWN Vice President. Operations 1kf cc: DLti1; BAS rf, file ;IAIV-1. c-a w': i(H E 1)4404GETHUet V F. ,TE • t\AI4FIM .\Jbevi Anse IS IM ATTACHMENT 2 1 '�'' • • / ARCADIA City of Arcadia NOTICE OF SPECIAL MEETING Office of the As authorized by Arcadia City Charter Section ..1 Council ty on 408 and California .sit-37 Government Code Section 54956 a Special Meeting of the Arcadia City Council is hereby called. Said meeting shall be held at the Arcadia City Council Chambers at 240 W. Huntington Drive, Arcadia, California at 5:00 A p.m. on August 22, 1995. c.a;pk; sary The purpose of this meeting is to discuss the Downtown 2000 &,,,D.Kuhn Streetscape Project and the City's contract with the Sully-Miller Contracting ,o.go,er„p,,,,, Company for work to be performed thereon. The City Council will also discuss adoption of a resolution declaring that delays on the Project sheng Chang. constitute an urgent threat to the public health, safety, and welfare of the et H.Ulrich citizens, suspending the City's contract with the Sully-Miller Contracting n8.'im"0 Company, permitting other parties to perform work on the Project for the `oci/M""k" purposes of alleviating the emergency and, to Section 1212 of the Arcadia City Council, to authorize the letting of contracts with such other parties without advertising for bids. No other business shall be considered at this meeting. Dated: August /7, 1995 ,r l / 14/"- • ayor ProTempore City of Arcadia • APPROVED AS TO FORM: 1 Michael J. arg Acting Ci A+ •rney Huntington Drive co lag 40021 G 910664021 5107 Thephone ATTACHMENT 3 /,Y'" , y, -��- \ �! i August 17. 1995 ,,� ARCADIA �, �at, �\RATi9 James G. Keown Vice President, Operations City of Sully-Miller Contracting Co. Arcadia 1 100 E. Oraneethorpe Avenue, Ste. 200 Anaheim, CA-9/801 Office of the Re: Arcadia Downtown 2000 Streetscape Project City Attorney Job No(s). 582, 646 and 550 Micnael H. Miller Dear Mr. Keown: City.4ttornev Please be advised that the City Council of the City of Arcadia will be holding a special meeting on Tuesday,-August 22, 1995 at 5:00 p.m. in the City Council Chamber, Arcadia City Hall, 240 W. Huntington Drive, Arcadia, California to discuss the Downtown 2000 Project and the problems caused by the current work stoppage. The City Council will also consider adoption of a resolution suspending the contract between the City and Sully-Miller and providing for the continuation of work on certain portions of the Project by other parties in order to alleviate the emergency situation. A copy of the agenda and draft resolution will be sent to you under separate cover. . City staff wishes to have a meeting with you and other involved parties to • discuss this situation on Monday, August 21, 1995 at 1:00 p.m. in the City Council Chambers Conference Room located in City Hall. We respectfully request your attendance at this meeting. Please feel free to invite any other involved parties as you feel are necessary to attend. Sincerely, /7)/1.tzticw .I� Michael Z: Kar r I'\ Acting C AJttorney .. .c.William R. Kelly, City Manager Gary Baker, ASL Consultant Engineers 240'X Hlncngror, Drve Post Office Box 60021 Arcadia.CA 91066.0021 (818)5'4.540" (818)446.2991 Fax ATTACHMENT 4 ASL Consulting Engineers August 18, 1995 Via Fax 446-2991 Mr. Rick Gomez Deputy City Manager City of Arcadia 240 W. Huntington Drive Arcadia, CA 91006 Reference: Downtown 2000 Streetscape Emergency Repair Work Dear Mr. Gomez: ASL Consulting Engineers, working under contract to the City of Arcadia for construction administration, must inform the City of Arcadia of the serious and dangerous condition that exists in the downtown area due to non-operable storm protection devices. The Contractor, Sully-Miller. has been unable to continue work on the project. The construction to date on Huntington Drive has severed all flood protection devices in downtown Arcadia. As you are aware, Los Angeles County officially determined the rainy season to extend from October 15 to April 15. With the onset of the rainy season approaching, we view the condition of current storm drain devices, including: storm drain main lines, laterals. catch basins, curb, gutter, sidewalk, roof drains, and pavement, completely inadequate to perform in any capacity during a storm event. The storm drain system that existed prior to this project's construction has been permanently removed or blocked off. In the event of a storm, water would pond in downtown until it could reach an elevation where it would flood downtown businesses to find an outlet. Storm water would also be diverted to areas with insufficient or inoperable drainage facilities. In a moderate storm, flooding to downtown businesses, undermining of existing public improvements, and failure of uncompacted trenches and adjacent pavement would be expected. Further, immediate action must be taken to prevent the City from being in violation of the Federal Clean Water Act. The Pollution Prevention Plan filed in accordance with NPDFS Standards requires "Best Management Practices" to be utilized to prevent silt and-debris from entering protected waterways. Pavement is the material most suited to comply with these standards in a public roadway. • Pasadena Corporate Office 'rvme Palm Sonngs Camarillo San Diego Sar te°a':.ro 818/683-0066 7141727-7099 619/320-4220 805/388-2344 619673.5505 309 ?81-3666 Fax 818/683-0060 Fax 714/727-7097 Fax 619/320-3580 Fax 805/388-3082 Fax 619673-1510 Fax 309 381.4176 ATTACHMENT 5 ASL Consulting Engineers Mr. Rick Gomez Deputy City Manager City of Arcadia August 18, 1995 Page 2 As the City's Engineer on the Downtown 2000 project, we recommend that emergency work be performed by a capable contractor or City forces to adequately protect the health and safety of the citizens of Arcadia and to prevent future and further damage to public and private properties. The minimum emergency work to provide an adequate storm drain system includes: 1 . Completion of curb, gutter, sidewalk, roof drains, catch basins, laterals and pavement on the north side of Huntington Drive between Santa Anita Avenue and Second Avenue. 2. Completion of storm drain improvements in First Avenue north of Huntington Drive to Wheeler Avenue, including catch basins. laterals and pavement. • 3. Completion of storm drain improvements between San Rafael Road and the East Branch of the Arcadia Wash, including main lines, catch basins, laterals and pavement. Finally, we urge City staff to regularly monitor the construction area and maintain sandbags, cold patch paving and other emergency construction materials in the City yard so a rapid response can be provided in the event of early rains. Sincerely, • • a �=aker ss' ,, - Pr. - Manage r GMB:sc J:\0172\030\L TR 022.GM B • :r l - \i iii i III \\\ '21,4.104)= _ — .. E I ST _ 01[PN ,I — \ N '( g .i ; : NN-7-11 s __}) 2) __J • NiN, \ I , ,. \ i H a. 1\\ i b // ..,„1 3 ,Wi,.1„ r a DWI., ,,.,CTOI• ! a' �� / \ i \� \\,\ a \\ ^ \ HM?gTON DRIVE !� ' HMTIOTOfd -DRIVE --- \\�\\. \ \ \\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\ \\\\\\\\\\\\� \\\\�t. 72..,::iir_Nis- \ \\\ ss.)`� 1EW STORM DRAM N,.• \' • ..\�\\ — — ,' ,, •,, 1 _- \• \\ PEW STORM DRAIN ur. SMOLT — — 1 I-1JF- Y —.1_ -_ I DOM TA D !TN[[l 1 i 1 .ifso.,j1t- < —., LE�� 1 f / \, ND SUSPEED WORK AREA f I Arcadia Downtown 2000 Slrwelscap. w AIL Conitlny Englnwsn EI.&flG NCV WHO VE N1S ,on UTN _ MGTON DRIVE RESOLUTION NO. 5877 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DECLARING THAT DELAYS IN THE CONSTRUCTION OF THE CITY OF ARCADIA DOWNTOWN 2000 STREETSCAPE PROJECT CONSTITUTE AN URGENT THREAT TO THE PUBLIC HEALTH, SAFETY, AND WELFARE, SUSPENDING THE WORK TO BE PERFORMED PURSUANT TO THE CONTRACT BETWEEN THE CITY AND THE SULLY- MILLER CONTRACTING COMPANY, AUTHORIZING STAFF TO CONTRACT WITH OTHER QUALIFIED PARTIES TO PERFORM SUCH WORK AS IS NECESSARY TO ALLEVIATE THE THREAT, AND TO AUTHORIZE THE LETTING OF CONTRACTS WITHOUT ADVERTISING FOR BIDS WHEREAS, the City of Arcadia ("City") and Sully-Miller Contracting Company ("Contractor") entered into that certain Contract dated April 25, 1995 for the construction of the Arcadia Downtown 2000 Streetscape Project ("Project") (Job Nos. 582, 646 and 550), which is incorporated herein as if fully set forth; and WHEREAS, Contractor has commenced construction of the Project which has involved severing all flood-protection devices in downtown Arcadia including the removal of such integral devices as curb, gutter, sidewalk, pavement, building roof drains and other improvements to the storm drain system (i.e. catch basins, lateral, junction boxes) in the downtown area; and WHEREAS, Contractor notified City on August 4, 1995 that it was requesting time extensions on the Project and was "unable to determine the exact extent of delays to this Project"due to'burInability to obtain materials as a result of a labor dispute involving local 1 ATTACHMENT 6 material suppliers" and that "when the full extent of this becomes apparent, we will submit a request for the appropriate time extensions"; and - WHEREAS, to date no such extension to a date certain has been submitted; and WHEREAS, the City's engineer has notified the City that the rainy season commences in mid-October and that if such improvements are not completed by then and that if the construction remains in its current incomplete condition an emergency situation will result thus affecting the public health, safety, and welfare; and WHEREAS, the City's engineer has further notified the City that in order to perform such work as is necessary to alleviate the emergency situation, such work must be commenced immediately and that even if so commenced there still exists the possibility that an emergency may occur; and WHEREAS, Section 6-3.1 of the Standard Specifications for Public Works Construction, 1994 Edition permits work to be suspended in whole or in part when it is determined by the City's engineer that the suspension is necessary in the interest of the City. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DOES HEREBY FIND, DETERMINE AND ORDAIN AS FOLLOWS: SECTION 1. That due to the incomplete construction of the Downtown 2000 Streetscape Project and the inability of the Contractor to continue work on the Project an urgent threat to the public health, safety and welfare exists. 2 SECTION 2. That pursuant to Section 6-3.1 of the Standard Specifications for Public Works Construction, 1994 Edition, as determined by the City's engineer the work to be performed by Contractor on the portion of said Project as is generally specified herein is hereby suspended as such suspension is in the interest of the City; Huntington Drive between Santa Anita Avenue and Second Avenue; First Avenue between Huntington Drive and Wheeler Avenue; Huntington Drive between San Rafael Road to the East Branch of the Arcadia Wash. SECTION 3. That due to the threat to the public health, safety, and welfare, the City Manager or his designee shall have the authority to contract with such parties as are necessary to complete the work on the Project so that such threat is alleviated. The City Manager or his designee shall have the authority to use, in his discretion, City workers on the Project as is necessary. SECTION 4. That only such work as is necessary to alleviate the threat to the public health, safety, and welfare and such work reasonably related to same shall be performed by such parties. The scope of the work shall be determined by the City Manager or his designee after consultation with the City's engineer. SECTION 5. That pursuant to Section 1212 of the City Charter of the City of Arcadia, the City Council finds that due to the facts stated herein the work to be performed is of urgent necessity for the preservation of life, health, or property, the City Council hereby waives the specific bid process, and that such contracts may be let and that such purchases 3 1 may be made without advertising for bids. SECTION 6. Severability. If any section, subsection, sentence, clause, phrase or portion of this Resolution is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not effect the validity of the remaining portions of this Resolution. The City Council of the City of Arcadia hereby declares that it would have adopted this Resolution and each section, subsection, sentence, clause, phrase or portion thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases or portions be declared invalid or unconstitutional. SECTION 7. That the City Clerk shall certify to the adoption of this Resolution. Passed, approved and adopted this day of , 1995. Mayor of the City of Arcadia ATTEST: City Clerk of the City of Arcadia APPROVED AS TO FORM: City Attorney City of Arcadia 4 A G E N D A Arcadia City Council SLAM and Redevelopment Agency P 9 Meeting August 22, 1995 5:00 p.m. City Council Chambers ROLL CALL: COUNCIL MEMBERS CHANG, KUHN, ULRICH, YOUNG, AND LOJESKI 1. TIME RESERVED FOR THOSE IN THE AUDIENCE WHO WISH TO ADDRESS THE CITY COUNCIL (FIVE-MINUTE TIME LIMIT PER PERSON) 2. RESOLUTION NO. 5877 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DECLARING THAT DELAYS IN THE CONSTRUCTION OF THE CITY OF ARCADIA DOWNTOWN 2000 STEET- SCAPE PROJECT CONSTITUTE AN URGENT THREAT TO THE PUBLIC HEALTH, SAFETY, AND WELFARE, SUSPENDING THE WORK TO BE PERFORMED PURSUANT TO THE CONTRACT BETWEEN THE CITY AND THE SULLY-MILLER CONTRACTING COMPANY, AUTHORIZING STAFF TO ' CONTRACT WITH OTHER QUALIFIED PARTIES TO PERFORM SUCH WORK AS IS NECESSARY TO ALLEVIATE THE THREAT, AND AUTHORIZING THE LETTING OF CONTRACTS WITHOUT ADVERTISING FOR BIDS. ADJOURN TO SEPTEMBER 5, 1995 @ 7:00 P.M. . ATTACHMENT 7 4/46 CADI '— AN OPEN LETTER TO DOWNTOWN MERCHANTS The Arcadia Cit. (=,)uncil and City staff would like to take this opportunity to update you on Downtown 2oo,, construction activities. '.rich particular regard to the labor dispute between the Operating Engineers Union and Sulk- Miller Contracting Company. We are very concerned about how the labor dispute is affecting your business operations and want you to know that we are doing everything possible to resolve the situation from our end. You. the downtown merchants. are valued community members and we truly see you as our partners in business. The goal or this protect is to help turn downtown Arcadia into a thriving business district that will benefit everyone. You can rest assured. that we will continue to do whatever we can to make this goal a reality. The following information is being passed on to bring you up to date on the activities that have taken place: • The City Attorney and special legal counsel have been in regular contact with attorney's for both the Sully- Miller Contracting Company and the Operating Engineers Union. We have made our position very clear. including our desire for immediate resolution of the dispute and we have offered assistance as appropriate. • Sully-Miller Contracting Company has been put on notice to complete the storm drain improvements ten Huntington Drive and First Avenue. including all required street improvements, curbs and gutters on the north side of Huntington Drive. between the Arcadia Wash and Fifth Avenue by mid-October. We are making this demand on the contractor due to our legal and statutory obligation to our citizens. as well as the general public. . This directive can only be applied to emergency work necessary to protect the welfare of the public. We hope • that the parties involved understand the severity of the situation. • Construction activities are now behind schedule. Since things are changing on a day to day basis. we are continually evaluating our alternatives with regard to scheduling the remainder of the work. THE PROJECT WILL BE COMPLETED IN ITS ENTIRETY. BUT PERHAPS NOT BY END THE END OF THIS YEAR • AS WE HAD PLANNED. • • Because we recognize the current situation may be difficult for you.we are also exploring various ways to help spread the word that you are open for business and parking is not a problem. To date. we have run newspaper ads. issued press releases. placed a special downtown pamphlet in the City Newsletter (which goes to all Arcadia households), placed information on the cable television community bulletin board. and inserted pertinent information in City water bills. If you have other ideas on how we can assist you during this time. please let us know. Keep in mind. however. that the City is legally limited as to what we can and cannot do to impact the situation. .vain. this letter is simply to update you on the status of the Downtown 2000 project. We do understand your concerns and we are doing everything we can to expedite resolution of this predicament. We are just as unhappy about the situation as you are. As always. please feel free to call Dale Connors (574-5409), Mohammad Mostahkami (574-5481), or Rick Gomez (5"4-5414) with your suggestions and questions. Thank you for your patience and cooperation. Sincerely. PLEASE BE ADVISED THAT THE CITY COUNCIL WILL 1 MEET ON TUESDAY, AUGUST 22 AT 5:00 P.M. IN THE William R. Kelly CITY COUNCIL CHAMBERS TO CONSIDER DECLARING A City Manager PUBLIC SAFETY EMERGENCY. ATTACHMENT 8 pF �d tri/1 fo u/ c2c9cAri d / cite l'4 *; , _ Memorandum \C'�R`ORATE je Date: October 2, 1995 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: WILLIAM R. KELLY, CITY MANAGER ` MICHAEL H. MILLER, CITY ATTORNEY y. ( u I SUBJECT: AGENDA ITEM NO. 8C - CANCELLATION OF SULLY-MILLER CONTRACT - DOWNTOWN 2000 STREETSCAPE PROJECT Pursuant to Section 6 of the "Greenbook"- Standard Specifications for Public Works Construction(1994) as incorporated by Section 1 of the Contract and the referenced Notice Inviting Bids of the City of Arcadia contract with the Sully-Miller Contracting Company for the construction of the City of Arcadia Downtown 2000 Streetscape Project dated April 25, t - 1995, it-is recommended that the City Council e-to cancel the contract for default and direct staff to submit the required notice to the contractor and contract sureties for all__. applicable bonds. Sully-Miller (the Contractor) has failed to execute the required work in the manner and at such locations as specified by the City; failed to maintain a work program consistent with the City's interest; or carry out the intent of the contract. Contractor has abandoned its responsibility for the Project site, failed to maintain safety precautions, and despite numerous representations of their willingness to return to work, Sully-Miller has not done any work on the project since on or about August 2, 1995 and is currently.not working. After the City's suspension of a portion of the contract work!by Contractor pursuant to emergency Resolution No. 5877 `(attaehed), Contractor still failed to perform on the remainder of the Project (the non-suspended work area) and to date-has abandoned this portion of the site despite representing to the City that they are capable of performing. In view of Contractor's post suspension representations of ability to perform, the City requested that they supply the City with the date of their return to the suspended work area. Contractor has neither responded nor returned to work. I • LASER IMAGED Al ?c_, At this time it appears that at the conclusion of the emergency work in the suspended work area, Contractor will still not perform under the contract. Staff has been in communication with Contractor numerous times over the past eight weeks and at no time since early August has Contractor performed or committed to a meaningful process to meet their contract obligations and to return to work. This is so despite numerous written representations by the City for Contractor to return to the non-suspended work area. Likewise, as to the suspended work area subject to Contractor compliance with certain reasonable assurances. It is therefore staff's conclusion that Contractor is not complying in good faith with the intent and purpose of the contract. In sum, Contractor has without valid excuse failed to perform its fundamental contractual duties and obligations to the City. RECOMMENDED ACTION For the above reasons, it is recommended that the City Council move to take the following steps: 1. Declare the contract canceled. 2. Pursuant to requirements of the"Greenbook", direct service of notice of cancellation on the Contractor and contract sureties giving them five (5) days to assume control and commit to perform the work to the satisfaction of the City. Z