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HomeMy WebLinkAboutStaff Report 3.D 08/06/2018nEw DATE: August 6, 2018 TO: Honorable Mayor and Members of the City Council through City Manager FROM: Sue Castellucci, j�dministrator SUBJECT: Resolution Ratifying the Signature of the City Manager on the First Amendment to the 2015-2018 Agreement Between the City of Petaluma and the Sonoma County Community Development Commission to Administer the Mobile Home Rent Stabilization Ordinance RECOMMENDATION It is recommended that the City Council adopt the attached Resolution Approving Ratifying the Signature of the City Manager on the First Amendment to the 2015-2018 Agreement Between the City of Petaluma and the Sonoma County Community Development Commission to Administer The Mobile Home Rent Stabilization Ordinance. BACKGROUND The City adopted the Mobile Home Rent Stabilization Ordinance in 1994. At that time, the City entered into a contract, with subsequent renewals, with the Sonoma County Community Development Commission (SCCDC) to administer the program. As part of that agreement, SCCDC staff answers questions; interprets the ordinance language for park residents, owners and managers; calculates the allowable annual rent increases; coordinates any arbitrations; and performs other related services. The administrative functions performed by the SCCDC are required by the City's ordinance and there are no alternative providers. DISCUSSION The SCCDC is proposing the make significant changes to their ordinance that governs mobile home parks throughout the unincorporated county. The current agreement with the SCCDC and the City ended on June 30, 2018: The SCCDC offered to extend the agreement to December 31, 2018 to allow sufficient time to review their proposed changes. In order to keep the continuity of the administration of the program with Sonoma County Community Development Commission, the City Manager signed the extension to the agreement and returned the amendment to the SCCDC to execute. The proposed revisions to the County's ordinance will be reviewed by the City and brought to the City Council for discussion after the Sonoma County Board of Supervisors approval of the revisions to their ordinance. This amendment extends our current agreement through December 31, 2018 or until the City Council approves a new agreement. FINANCIAL IMPACTS Presently, there is no financial impact by extending the current SCCDC agreement to December 31, 2018. ATTACHMENTS 1. Resolution 2. First Amendment to Agreement with SCCDC 3. 2015-2018 Agreement with SCCDC 2 ATTACHMENT #I RESOLUTION APPROVING RATIFYING THE SIGNATURE OF THE CITY MANAGER ON THE FIRST AMENDMENT TO THE 2015-2018 AGREEMENT BETWEEN THE CITY OF PETALUMA AND THE SONOMA COUNTY COMMUNITY DEVELOPMENT COMMISSION TO ADMINISTER THE MOBILE HOME RENT STABILIZATION ORDINANCE WHEREAS, the City of Petaluma has an adopted Mobile Home Rent Stabilization Ordinance for mobile home parks in the community; and WHEREAS, the City has entered into an agreement executed on July 1, 2015 with the Sonoma County Community Development Commission (SCCDC) to administer that ordinance; and WHEREAS, that agreement is due for renewal for another three-year term; and WHEREAS, the SCCDC wishes to extend the current agreement to continue to administer the City's Ordinance through December 31, 2018. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Petaluma hereby ratifys the City Manager's signature on the First Amendment to the 2015-2018 Agreement (attached as Exhibit A to this Resolution) and authorizes the City Manager or his designee to sign all necessary documents in connection herewith. 3 ATTACHMENT #2 FIRST AMENDMENT TO AGREEMENT FOR PROFESSIONAL SERVICES This First Amendment ("First Amendment"), dated as of this day of ,20 ("Effective Date"), is to that certain Agreement for Professional Services by and between the Sonoma County Community Development Commission (hereinafter "Commission"), and City of Petaluma, (hereinafter "City"), dated as of April 8, 2015 (the "Original Agreement," and as supplemented and amended by this First Amendment, the "Agreement"). Commission and City are sometimes referred to hereinafter individually as a "party" and collectively as the "parties," RECITALS WHEREAS, Commission and City previously entered into the Original Agreement to provide; and WHEREAS, Commission and City desire to amend the Agreement in order to; and WHEREAS, in the judgment of the Commission, it is necessary and desirable to amend the Agreement as set forth above. NOW, THEREFORE, in consideration of the foregoing recitals and the mutual covenants contained herein, the receipt and adequacy of which is acknowledged, the parties hereto agree as follows: Section 8 of the Agreement is amended to read as follows 8. Term and Renewal: The term of this agreement shall be from Effective Date through December 31, 2018, Except to the extent the Agreement is specifically amended or supplemented by this Amendment, the Agreement, together with exhibits, is and shall continue to be in full force and effect as originally executed, and nothing contained herein shall be construed to modify, invalidate, or otherwise affect any provision of the Agreement or any right of Commission arising thereunder. COMMISSION AND CITY HAVE CAREFULLY READ AND REVIEWED THIS FIRST AMENDMENT AND EACH TERM AND PROVISION CONTAINED HEREIN AND, BY EXECUTION OF THIS FIRST AMENDMENT, SHOW THEIR INFORMED AND VOLUNTARY CONSENT THERETO. THIS SPACE INTENTIONALLY LEFT BLANK— SIGNATURES BEGIN ON NEXT PAGE E IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to be executed as of the Effective Date, City Dated: By: Name:, � /a/ Title; (1, SONOMA COU TY COMMUNITY DEVELOPMENT COMMISSION Dated: By: Margaret Van Vliet, Executive Director CERTIFICATES OF INSURANCE ON FILE WITH AND APPROVED AS TO SUBSTANCE BY THE. COMMISSION Dated: By: Margaret Van Vliet, Executive Director APPROVED AS TO FORM Dated: By: Alegria De La Cruz, Deputy County Counsel ATTACHNIENT #3 AGREEMENT BETWEEN THE CITY OF PETALUMA AND THE SONOMA COUNTY COMMUNITY DEVELOPMENT COMMISSION FOR ADMINISTRATION OF PETALUMA MOBILEHOME RENT STABILIZATION PROGRAM AND HOLD HARMLESS, INDEMNIFICATION AND DEFENSE AGREEMENT 5t THIS CONTRACT, made this � day of 2015, by and between the Sonoma County Commission Community Development Commission, e einafter called "Commission," and City of Petaluma, hereinafter called "City." WHEREAS, City has adopted a rent stabilization ordinance and program for mobilehome parks within City modeled upon one adopted by the Sonoma County Commission Board of Supervisors; and WHEREAS, the current agreement between the Commission and City expired on June 30, 2015, and WHEREAS, City desires to have Commission continue to administer said program within the City boundaries, and Commission has expertise and staff to continue such services. NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties hereto agree as follows: 1. SCOPE OF SERVICE: Commission shall administer the mobilehome rent stabilization ordinance of City (attached hereto and incorporated herein by reference as Exhibit "A") in a like manner to the comparable Sonoma County Mobilehome Park Space Rent Stabilization Ordinance. Said administrative'services shall include (1) providing day-to-day responses to.citizen inquiries regarding the City ordinance; (2) providing administrative services to process arbitration petitions; (3) locating and retaining arbitrators for administrative hearings under the City ordinance, who have certified to the Commission that they meet the Commission's selection criteria, and (4) arranging a location for administrative hearings and other meetings required by the City ordinance. The City understands and agrees that the Commission and its staff may be required to apply and interpret the rent stabilization ordinance of City in connection with such services, and agrees that Commission shall have no liability for any claim arising from Commission's good faith interpretation and application of the ordinance, so long as Commission uses reasonable efforts to consult with and keep City informed regarding such interpretation and application. If requested by Commission, City staff will promptly provide guidance to Commission regarding issues arising under the City ordinance; however, nothing in this Agreement shall require Commission to request such guidance. Commission shall not be required to make determinations under the City ordinance with respect to the timeliness of petitions, the adequacy of financial information provided by parties, and similar issues if such issues are disputed, it being understood and agreed that such questions may be determined by the arbitrator. Nothing in this Agreement shall require Commission staff to take any action it deems, in its reasonable sole judgment, unlawful or likely to result in liability to Commission. -1- 31 2. INDEMNIFICATION AND DEFENSE: City acknowledges that Commission's performance of services under this Agreement may give rise to claims and litigation against Commission or its employees, officers, or agents by mobilehome park owners or residents, and that such claims and litigation may, for tactical or other reasons, allege negligence or intentional misconduct on the part of Commission or its employees, officers, or agents. Notwithstanding the nature of the claims, liabilities, actions, or litigation asserted or alleged against Commission or its employees, officers, or agents, City agrees to indemnify, defend, and hold harmless Commission, and its agents (including arbitrators retained by Commission under this Agreement), officers, and employees, from and against any and all claims, liabilities, actions, or litigation of any kind whatsoever arising out of or related to Commission's performance of services under this Agreement ("Claims"), to the maximum extent permitted by law. In connection with the foregoing, City's obligation to indemnify and defend Commission shall exist unless and until City establishes, by clear and convincing evidence, that Commission's performance of services fell significantly below the standards applicable to providers of administrative services for a rent stabilization program. City shall defend Commission at City's expense with counsel selected by City, subject to Commission's approval of counsel, which approval shall not be unreasonably withheld. In addition to City's obligation to defend Commission as provided above, City shall have an obligation to provide or approve separate counsel to defend Commission, at City's expense, only in the event of an identified conflict of interest between City and Commission. City understands and acknowledges that the City's agreement to indemnify and defend Commission against all Claims pursuant to this Section 2 was a material inducement for Commission to enter into this Agreement. 3, TERMINATION: Either party hereto may terminate this agreement upon thirty days notice of the intent to terminate this agreement, with service of said notice being made as follows: COMMISSION: Kathleen H. Kane, Executive Director Sonoma County Community Development Commission 1440 Guerneville Road Santa Rosa CA 95403 CITY: John C. Brown, City Manager City of Petaluma 11 English Street Petaluma, CA 94952 4. Commission will be paid for all services rendered. Commission will be paid at the rate of $95.00 per hour for services rendered in the administration of the City mobilehome rent stabilization ordinance. Annual services are anticipated not to exceed eighty (80) hours per year. Invoices shall be sent to the City periodically. Services in excess of eighty (80) hours must be negotiated and the subject matter of a separate written modification of this contract. Where -2- 7 arbitrators are deemed to be necessary, they shall be paid by Commission and reimbursed by City for actual amount incurred. 5. SERVICES LIMITED TO ADMINISTRATION: The Ordinance policy, findings and/or language adopted by City is solely the responsibility of City. Commission shall not be expected to defend said policy, findings and/or language or litigate cases which challenge the law's facial validity except as may hereafter be agreed by separate written modification of this contract. Commission shall not be expected to take any affirmative action to enforce the City ordinance or to enforce the terms of any arbitration decision. 6. INCIDENTAL LEGAL.SERVICES RELATED TO ADMINISTRATION OF CITY PROGRAM: City shall pay the Commission at the rate of $223.00 per hour for County Counsel services provided to City in counseling Commission staff regarding the administration of City's rent stabilization program, provided the City has been notified in writing that the Commission is seeking the services of County Counsel and the City has 24 hours td notify the Commission that the City Attorney will handle the issue through their office.. The purpose of notifying the City is so the City can elect to involve its City Attorney in place of Commission Counsel, Commission Counsel shall not be responsible for recommending or suggesting modifications of the language of City's ordinance. City agrees that if requested it will promptly consult with Commission Counsel on any issue relating to the City ordinance, any arbitration proceeding requested under the City ordinance, or any other issue relating to the performance of services by Commission under this Agreement. Annual services from Commission Counsel are not anticipated to exceed Ninety (90) hours per year. Additional legal services in excess of Ninety (90) hours per year must be negotiated and the subject matter of a separate written modification of this contract. 7. NO INTENDED THIRD PARTY BENEFICIARIES: The parties hereto agree and acknowledge that this contract does not provide for any intended third party beneficiaries, and no suit against either -party may be based upon such a claim. This agreement shall be enforceable only by the parties hereto. 8. TERM AND RENEWAL: The term of the agreement shall commence July 1, 2015 and end June 30, 2018. The rates under section 4 and 6 maybe amended annually effective July 1st to reflect the actual cost to Commission of providing services. 9. RECORDS: Except for materials that may be subject to the attorney-client privilege, records maintained by the Commission in the administration of City's rent stabilization program are City's. All such documents shall be returned to City upon the expiration of this agreement. 10. AMENDMENTS TO CITY RENT STABILIZATION ORDINANCE: Any and all changes or proposed changes to the City rent stabilization ordinance shall be promptly communicated to the mobilehome specialist at the Commission with sufficient notice to accommodate administrative adjustments that may become necessary to implement the change or changes in the City ordinance. 11. MERGER: This is intended both as the final expression of the agreement between the parties with respect to the included terms, and as a complete and exclusive statement of the terms of -3- agreement, pursuant to Code of Civil Procedure Section 1856. No modification of this agreement shall be effective unless and until such modification is evidenced by a writing signed by both parties. IN WITNESS WHEREOF THE PARTIES HAVE CAUSED THIS INSTRUMENT TO BE DULY EXECUTED, Date: Date: 10 /1 tp Ll �" Dated: Dated: 1267448.1 CITY OF PET U/Mk gy--�f Wei - City Manager APPROVE FORM: By: City Attorney COMM e ION: Executive Director APPROVEDATO FnT O By: 1. t-�/'� County Counsel so it