HomeMy WebLinkAbout2020.10.06 Agenda Packet - Regular Meeting
City Council Agenda
Tuesday, October 6, 2020
6:30 PM
PUBLIC ADVISORY:
Consistent with the Governor’s latest Executive Order to Stay at Home, avoid gatherings and
maintain social distancing, the regular meeting portion of the agenda will be conducted
telephonically and Members of the City Council and staff will be participating via
Teleconference. There will be no physical meeting location for the regular meeting.
How to Observe the Meeting:
To maximize public safety while still maintaining transparency and public access, members of
the public can observe the meeting by calling +1 (91 4) 614-3221, Attendee Access Code: 772-
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How to Submit Public Comment:
Members of the public may provide public comment by sending written comments to the City
Clerk by email at cityclerk@DiamondBarCA.gov by 5:30 p.m. on the day of the meeting. Please
indicate in the Subject Line “FOR PUBLIC COMMENT.” Written comments will be distributed to
the Council Members and read into the record at the meeting, up to a maximum of five
minutes.
Alternatively, public comment may be submitted by logging onto the meeting through this link:
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will be called upon one at a time during the Public Comment portion of the agend a, and will be
asked to state their name and agenda item they wish to comment on. Speakers are limited to
five minutes per agenda item, unless the Mayor determines otherwise.
American Disability Act Accommodations:
Pursuant to the Executive Order, and in compliance with the Americans with Disabilities Act, if
you need special assistance to participate in the Council Meeting, please contact the City Clerk’s
Office (909) 839-7010 within 72 hours of the meeting. City Council video recordings with
transcription will be available upon request the day following the Council Meeting.
The City of Diamond Bar thanks you in advance for taking all precautions to prevent
spreading the COVID-19 virus.
STEVE TYE
Mayor
NANCY A. LYONS
Mayor Pro Tem
ANDREW CHOU
Council Member
RUTH M. LOW
Council Member
JENNIFER "FRED" MAHLKE
Council Member
City Manager Dan Fox • City Attorney David DeBerry • City Clerk Kristina Santana
DIAMOND BAR CITY COUNCIL MEETING RULES
Welcome to the meeting of the Diamond Bar City Council. Meetings are open to the public and
are broadcast on Spectrum Cable Channel 3 and Frontier FiOS television Channel 47. You are
invited to attend and participate. Copies of staff reports or other written documentation relating
to agenda items are on file and available for public inspection by contacting the Office of the
City Clerk. If requested, the agenda will be made available in an alternative format to a person
with disability as required by Section 202 of the Americans with Disabilities Act of 1990. If you
have questions regarding an agenda item, please contact the City Clerk at (909) 839-7010
during regular business hours.
PUBLIC INPUT
Members of the public may address the Council on any item of business on the agenda during
the time the item is taken up by the Council. In addition, members of the public may, during the
Public Comment period address the Council on any Consent Calendar item or any matter not on
the agenda and within the Council’s subject matter jurisdiction. Any material to be submitted to
the City Council at the meeting should be submitted through the City Clerk.
Speakers are limited to five minutes per agenda item, unless the Mayor determines otherwise.
The Mayor may adjust this time limit depending on the number of people wishing to speak, the
complexity of the matter, the length of the agenda, the hour and any other relevant
consideration. Speakers may address the Council only once on an agenda item, except during
public hearings, when the applicant/appellant may be afforded a rebuttal.
Public comments must be directed to the City Council. Behavior that disrupts the orderly
conduct of the meeting may result in the speaker being removed from the meeting.
INFORMATION RELATING TO AGENDAS AND ACTIONS OF THE COUNCIL
Agendas for regular City Council meetings are available 72 hours prior to the meeting and are
posted in the City’s regular posting locations, on DBTV Channel 3, Spectrum Cable Channel 3,
Frontier FiOS television Channel 47 and on the City’s website at www.diamondbarca.gov. The
City Council may take action on any item listed on the agenda.
HELPFUL PHONE NUMBERS
Copies of agendas, rules of the Council, Video of meetings: (909) 839-7010
Computer access to agendas: www.diamondbarca.gov
General information: (909) 839-7000
Written materials distributed to the City Council within 72 hours of the City Council meeting are
available for public inspection immediately upon distribution in the City Clerk’s Office at 21810 Copley
Dr., Diamond Bar, California, during normal business hours.
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THIS MEETING WILL BE RE-BROADCAST EVERY SATURDAY AND SUNDAY AT
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LIVE VIEWING AT
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ARCHIVED VIEWING ON THE CITY’S WEB SITE AT WWW.DIAMONDBARCA.GOV.
CITY OF DIAMOND BAR
CITY COUNCIL AGENDA
October 06, 2020
CALL TO ORDER: 6:30 p.m.
PLEDGE OF ALLEGIANCE: Mayor
ROLL CALL: Chou, Low, Mahlke, Mayor Pro Tem
Lyons, Mayor Tye
APPROVAL OF AGENDA: Mayor
1. SPECIAL PRESENTATIONS, CERTIFICATES, PROCLAMATIONS:
1.1 Regional Chamber of Commerce – San Gabriel Valley Annual Report
1.2 Diamond Bar Restaurant Week Video
2. CITY MANAGER REPORTS AND RECOMMENDATIONS:
3. PUBLIC COMMENTS:
"Public Comments" is the time reserved on each regular meeting agenda to
provide an opportunity for members of the public to directly address the Council
on Consent Calendar items or other matters of interest not on the agenda that
are within the subject matter jurisdiction of the Council. Although the City Council
values your comments, pursuant to the Brown Act, members of the City Council
or Staff may briefly respond to public comments if necessary, but no extended
discussion and no action on such matters may take place. There is a five -minute
maximum time limit when addressing the City Council. At this time, the
teleconference moderator will ask callers one at a time to give their name and if
there is an agenda item number they wish to speak on before providing their
comment. If you wish to speak on a public hearing item or council consideration
item, you will then be called upon to speak at that point in the agenda.
OCTOBER 6, 2020 PAGE 2
4. CONSENT CALENDAR:
All items listed on the Consent Calendar are considered by the City Council to be
routine and will be acted on by a single motion unless a Council Member or
member of the public request otherwise, in which case, the item will be removed
for separate consideration.
4.1 CITY COUNCIL MINUTES OF THE SEPTEMBER 15, 2020 MEETING.
4.1.a September 15, 2020 City Council Minutes
Recommended Action:
Approve the September 15, 2020 Regular City Council meeting minutes.
Requested by: City Clerk
4.2 RATIFICATION OF CHECK REGISTER DATED SEPTEMBER 10, 2020
THROUGH SEPTEMBER 29, 2020 TOTALING $1,053,984.66.
Recommended Action:
Ratify the Check Register.
Requested by: Finance Department
4.3 INVESTMENT POLICY FOR FISCAL YEAR 2020/2021.
Recommended Action:
Adopt Resolution No. 2020-40 approving the Investment Policy for Fiscal
Year 2020/2021.
Requested by: Finance Department
5. PUBLIC HEARINGS:
5.1 SECOND READING OF ORDINANCE NO. 02(2020) AMENDING TITLE
15 OF THE DIAMOND BAR MUNICIPAL CODE TO ADOPT BY
REFERENCE, TITLE 32, FIRE CODE, OF THE LOS ANGELES COUNTY
CODE, AS AMENDED WHICH CONSTITUTES AN AMENDED VERSION
OF THE CALIFORNIA FIRE CODE, 2019 EDITION.
Recommended Action:
Open public hearing to receive public testimony, approve for second
reading by title only and waive full reading, and adopt Ordinance No.
02(2020).
Requested by: Community Development Department
OCTOBER 6, 2020 PAGE 3
6. COUNCIL CONSIDERATION:
6.1 ZONE CHANGE AND DEVELOPMENT REVIEW FOR A NEW SINGLE
FAMILY RESIDENCE LOCATED AT 1111 N. DIAMOND BAR
BOULEVARD [PLANNING CASE NO. PL2015-253].
Recommended Action:
A. Approve for Second Reading by title only, waive full reading, and
adopt Ordinance No. 01 (2020) approving the Zone Change
application; and
B. Adopt Resolution No. 2020-41 denying the Development Review
application based on the Findings of Fact contained therein.
Requested by: Community Development Department
6.2 FISCAL YEAR 2020-21 APPROPRIATION ADJUSTMENTS FOR
GENERAL FUND, SPECIAL REVENUE FUNDS AND CAPITAL
PROJECT CARRYOVERS, AND FISCAL YEAR 2019 -20 FINAL
ADJUSTMENTS.
Recommended Action:
A. Approve an appropriation from General Fund reserves of
$187,030.40 to carry forward appropriations from FY 2019-20 to FY
2020-21 for previously encumbered goods and services;
B. Approve an appropriation from various Special Revenue Funds
reserves of $805,212.26 to carry forward appropriations from FY
2019-20 to FY 2020-21 for previously encumbered goods and
services;
C. Approve an appropriation from Capital Improvement Project Fund
reserves in the amount of $498,488.78 to carry forward
appropriations from FY 2019-20 to FY 2020-21 for previously
encumbered goods and services;
C. Carry over the related purchase orders encumbered in FY 2019-20
in the amount of $1,131,053.96 to FY 2020-21;
E. Approve various final budget adjustments to FY 2019 -20 for
additional appropriations in various accounts including $1,586.43
for the General Fund and $235,467.41 in Spec ial Revenue, Capital
Improvement and Internal Service Funds; and
F. Authorize staff to pursue a Prop A Exchange with Foothill Transit in
an amount up to $800,000 for future consideration by the City
Council.
OCTOBER 6, 2020 PAGE 4
Requested by: Finance Department
7. COUNCIL SUB-COMMITTEE REPORTS AND MEETING ATTENDANCE
REPORTS/COUNCIL MEMBER COMMENTS:
8. ADJOURNMENT:
Agenda #: 4.1
Meeting Date: October 6, 2020
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: CITY COUNCIL MINUTES OF THE SEPTEMBER 15, 2020 MEETING.
STRATEGIC
GOAL:
Open, Engaged & Responsive Government
RECOMMENDATION:
Approve the September 15, 2020 Regular City Council meeting minutes.
FINANCIAL IMPACT:
None.
BACKGROUND/DISCUSSION:
Minutes have been prepared and are being presented for approval.
PREPARED BY:
REVIEWED BY:
Attachments:
1. 4.1.a September 15, 2020 City Council Minutes
4.1
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CITY OF DIAMOND BAR
MINUTES OF THE CITY COUNCIL
REGULAR MEETING
SEPTEMBER 15, 2020
CALL TO ORDER: Mayor Tye called the Regular City Council meeting to
order at 6:45 p.m.
Mayor Tye stated that consistent with COVID-19 regulations, all Council Members and
staff are participating via teleconference and there is no physical location for public
attendance. The Public has been invited to join the meeting online or by phone at the
numbers printed on the agenda.
PLEDGE OF ALLEGIANCE: Mayor Tye led the Pledge of Allegiance.
ROLL CALL: Council Members Ruth Low, Jennifer “Fred” Mahlke,
Mayor Pro Tem Nancy Lyons, and Mayor Steve Tye
Absent: Council Member Andrew Chou
Staff participating telephonically: Dan Fox, City Manager; Dave DeBerry, City
Manager; Ryan McLean, Assistant City Manager; Anthony Santos, Assistant to the
City Manager; Ryan Wright, Parks and Recreation Manager; David Liu, Public
Works Director; Hal Ghafari, Public Works Manager/Assistant City Engineer ; Fabian
Aoun, Assistant Engineer; Greg Gubman, Community Development Director; Grace
Lee, Senior Planner; Dianna Honeywell, Director of Finance, Amy Haug, Human
Resources and Risk Manager; Ken Desforges, Director of Information Services;
Marsha Roa, Public Information Manager; Cecilia Arellano, Public Information
Coordinator; Christy Murphey, Recreation Superintendent; Raymond Tao, Building
Official; Robin Crawford, Administrative Assistant; Kristina Santana, City Clerk
APPROVAL OF AGENDA: As submitted.
1. SPECIAL PRESENTATIONS, CERTIFICATES, PROCLAMATIONS:
1.1 Regional Chamber of Commerce – San Gabriel Valley Annual Report –
Continued to the Council Meeting of October 6, 2020.
2. CITY MANAGER REPORTS AND RECOMMENDATIONS:
CM/Fox invited residents to participate in one of two virtual information meetings
regarding the November 3, 2020 sales tax Measure DB.
3. PUBLIC COMMENTS:
CC/Santana read the following comments submitted via email:
Raphael Plunkett thanked those who participated in the anti -hate caravan event.
Beth Pelaez commented on and expressed opposition to Proposition 16.
4.1.a
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SEPTEMBER 15, 2020 PAGE 2 CITY COUNCIL
Public Comments provided during the meeting:
Jacob Wolak, Field Representative/Staff Assistant for Congressman Cisne ros,
updated Council on the Congressman’s legislative activities.
4. CONSENT CALENDAR: MPT/Lyons moved, C/Low seconded, to approve the
Consent Calendar with the exception of Item 4.5 pulled by Mayor Tye. Motion
carried by the following Roll Call vote:
AYES: COUNCIL MEMBERS: Low, Mahlke, MPT/Lyons, M/Tye
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: Chou
4.1 APPROVED UPDATED REDLINED CITY COUNCIL MINUTES:
3.1a SEPTEMBER 1, 2020 REGULAR MEETING.
4.2 RATIFIED CHECK REGISTER DATED AUGUST 27, 2020 THROUGH
SEPTEMBER 9, 2020 TOTALING $507,197.62.
4.3 APPROVED AGREEMENT WITH THE REGIONAL CHAMBER OF
COMMERCE-SAN GABRIEL VALLEY FOR BUSINESS SUPPORT
SERVICES THROUGH JUNE, 2021.
4.4 ADOPTED RESOLUTION NO. 2020-39 AMENDING THE CITY’S
CONFLICT OF INTEREST CODE FOR DESIGNATED CITY
PERSONNEL.
ITEMS WITHDRAWN FROM CONSENT CALENDAR:
4.5 AUTHORIZED SUPPORT FOR LEAGUE OF CALIFORNIA CITIES
RESOLUTION AT THE 2020 ANNUAL CONFERENCE.
M/Tye asked what this resolution means. CM/Fox responded that the
resolution is asking Congress to make amendments to regulations related
to the Communications Decency Act that would require social media
companies to remove materials which promote criminal activities.
M/Tye moved, C/Low seconded, to authorize support for League of
California Cities Resolution at the 2020 annual conference.
AYES: COUNCIL MEMBERS: Low, Mahlke, MPT/Lyons, M/Tye
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: Chou
5. PUBLIC HEARING(S):
4.1.a
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SEPTEMBER 15, 2020 PAGE 3 CITY COUNCIL
5.1 ZONE CHANGE AND DEVELOPMENT REVIEW FOR NEW SINGLE
FAMILY RESIDENCE LOCATED AT 1111 N. DIAMOND BAR
BOULEVARD, DIAMOND BAR (PLANNING CASE NO. PL2015-253.)
SP/Lee presented staff’s report.
M/Tye opened the Public Hearing.
Douglas Barcon suggested Council read the public comment he submitted
by email and expressed opposition to this project.
CC/Santana read email comments from the following:
Adrienne Cotterell opposed the project and rezoning of the property. Her
concerns included property access, poor air quality, and how the property
will be used and maintained.
Susan Mullins opposed the project due to adverse impacts to the
residents based on a flawed traffic report and disregard for safety, the loss
of natural habitat, improper use of the property, and health hazards during
construction.
Gerardo Ramirez was concerned about delivery and service companies
parking on the street or backing out onto Diamond Bar Boulevard if the
driveway is blocked.
Robin Smith commented on land speculation and expressed opposition to
this project.
Chieh Hsu opposed the project due to traffic concerns as well as, noise
and air pollution, health concerns, and concerns that this property will be
developed for uses other than residential purposes such as a party house
rental or short term rental property.
Ken Lee, property owner’s representative, reiterated that this has been a
long journey for the owner and applicant who have been responsive to
community concerns by twice redesigning the project. The Planning
Commission did its due diligence with regard to traffic and safety and held
to its 4-1 approval. Mr. Lee urged the City Council to please support and
approve the project tonight.
M/Tye closed the Public Hearing.
MPT/Lyons asked staff to address comments that the traffic study should
have been done at 60 mph and not 50 mph. SP/Lee responded that the
Planning Commission requested a traffic access study and the study
evaluated the speed at 50 mph for a vehicle traveling southbound on
4.1.a
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SEPTEMBER 15, 2020 PAGE 4 CITY COUNCIL
Diamond Bar Boulevard in accordance with industry standards. There
were comments that the study should consider speeds as high as 65 and
70 mph. In this case, the applicant’s traffic engineer has reviewed the
study and stated there will be adequate sight distance for vehicles
traveling at 75 mph to react to a vehicle exiting the project driveway.
MPT/Lyons commented that according to the Development Review, in
every category the application has met the requirements and she agrees
that the proposed project is a much better design and idea than a
commercial project.
C/Low asked staff to comment on the zoning according to the maps.
SP/Lee responded that the current adopted General Plan land use
designation is RL which is Low Density Residential. The previous
designation was multi-family medium density residential and as part of the
General Plan update, the intensity was lowered to Low Densit y Residential
(RL), the current General Plan use designation. The current zoning
designation is Neighborhood Commercial (C-1) and the proposal proposes
to change that to match the current RL designation by changing the
zoning to RL for consistency between the General Plan and the Zoning
Map.
C/Low asked if there was a crosswalk or signal at the Soltaire/Diamond
Bar Boulevard intersection and SP/Lee responded that the intersection is
not signalized and there is no crosswalk. M/Tye stated that Soltaire is an
access only into the neighborhood south of Temple Avenue and east of
Diamond Bar Boulevard.
C/Low suggested that a “no pedestrian traffic” sign be placed at the
Soltaire/Diamond Bar Boulevard intersection. PWD/Liu responded to
C/Low that if requested, staff would conduct a field investigation to
determine an appropriate recommendation specific to a “no pedestrian
crossing” at this un-signalized intersection.
C/Low asked for confirmation that this project meets all of the
development standards and that proper notices were provided. SP/Lee
responded that the project met all development standards and that notices
were mailed to all property owners within 1,000 feet of the project site.
M/Tye said he expressed his concerns prior to returning this to the
Planning Commission for further consideration and still believes the
project is too close to Diamond Bar Boulevard and that due to its scale
and character, does not fit in the neighborhood of smaller residential
dwellings and condos. To C/Low’s po int, there is parking on both sides of
Soltaire and he can see people parking on Soltaire and jaywalk ing across
Diamond Bar Boulevard because there is no parking on Diamond Bar
Boulevard.
4.1.a
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SEPTEMBER 15, 2020 PAGE 5 CITY COUNCIL
MPT/Lyons said she believes in the rights of the property owner who has
met all of the development standards.
C/Mahlke felt the project was consistent with the land use designation and
while certain things are afforded the property owner, to M/Tye’s point,
scale and character can and should be considered.
CA/DeBerry agreed with C/Mahlke’s comments. Under state law, the City
is required to make the General Plan designation and the zoning
designation consistent. If there was any thought of not approving the zone
change, the Council would need to direct staff to come back with a
different General Plan or zoning designation. As SP/Lee mentioned, the
General Plan was reviewed on this property in December when the
density was lowered to the lower residential density and Council has
discretion on the design review based on the findings needed to determine
whether or not the project meets those standards. The property meets the
objective development standards and while scale and character can be
considered, what is not proper for consideration is who will live in the
house, whether someone will buy it or whether the property should have
been sold or not, or whether the City should buy the property.
MPT/Lyons moved, C/Mahlke seconded, to approve for First Reading by
title only, waive full reading of Ordinance No. 01 (2020) adopting Zone
Change to modify the existing zoning from Neighborhood Commercial (C-
1) to Low Density Residential (RL), and schedule the Second Reading for
the October 6, 2020 City Council meeting. Motion carried by the following
Roll Call vote:
AYES: COUNCIL MEMBERS: Low, Mahlke, MPT/Lyons, M/Tye
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: Chou
M/Tye moved to deny the Development Revie w application. Motion died
for lack of a second.
MPT/Lyons moved, C/Low seconded, to adopt Resolution 2020-40
approving the Development Review application based on the Findings of
Fact, and subject to the Conditions of Approval contained therein. Motion
failed by the following Roll Call vote:
AYES: COUNCIL MEMBERS: Low, MPT/Lyons
NOES: COUNCIL MEMBERS: Mahlke, M/Tye
ABSENT: COUNCIL MEMBERS: Chou
C/Mahlke based her no vote on “scale and character”, and M/Tye based
his no vote on “out of character with the neighborhood”.
CA/DeBerry stated that if this item did not have a zone change it could
4.1.a
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SEPTEMBER 15, 2020 PAGE 6 CITY COUNCIL
have been approved by the Planning Commission. However, the zoning
code says that when there is an application that seeks a change that must
be approved by the City Council, both must be approved by the City
Council. In this case, the zone change is approved and with a 2-2 vote,
the permit development review is not approved.
CA/DeBerry responded to M/Tye that if the applicant wished to submit a
design that fits with the neighborhood, they would have to go back and
redesign the project and resubmit it to the Planning Commission. Under
the code, a project that is substantially similar to the previous project has
to wait a year for submission and it would be for staff to determine whether
the new project was substantially similar to the old project. Certainly, the
City Council could give direction to the applicant accordingly.
M/Tye said he would not be in favor of requiring the applicant to wait a
year.
CDD/Gubman stated that the Development Code gives the Community
Development Director the authority to make the determination whether or
not a resubmitted project is substantially similar. When reviewing what is
resubmitted and hearing tonight’s findings the City Council indicating it
based its denial on the project being out of character with the surrounding
neighborhood due to scale, meaning a project that is smaller with reduced
mass, bulk and scale, he believes that with Council’s deliberations, he has
sufficient direction to make that determination.
6. COUNCIL CONSIDERATION:
6.1 FIRST READING OF ORDINANCE NO. 02-(2020) AMENDING TITLE 15
OF THE DIAMOND BAR MUNICIPAL CODE TO ADOPT, BY
REFERENCE, TITLE 32 FIRE CODE OF THE LOS ANGELES COUNTY
CODE, AS AMENDED, WHICH CONSTITUTES AN AMENDED
VERSION OF THE CALIFORNIA FIRE CODE, 2019 EDITION.
Contract BO/Tao presented staff’s report.
C/Mahlke moved, C/Low seconded to adopt for First Reading Ordinance
No. 02-(2020) amending Title 15 of the Diamond Bar Municipal Code to
adopt, by reference, Title 32 Fire Code of the Los Angeles County Code,
as amended, which constitutes an amended version of the California Fire
Code, 2019 Edition. Motion carried by the following Roll Call vote:
AYES: COUNCIL MEMBERS: Low, Mahlke, MPT/Lyons, M/Tye
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: Chou
6. COUNCIL SUBCOMMITTEE REPORTS AND MEETING ATTENDANCE
REPORTS/COUNCIL MEMBER COMMENTS:
4.1.a
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SEPTEMBER 15, 2020 PAGE 7 CITY COUNCIL
C/Mahlke was proud to participate in the Anti-Hate caravan and thanked the
community for their participation. She invited everyone to Rainbow Donuts in the
Albertson’s Center on Saturday morning at 10:00 a.m. to write well-wishes to the
deputies who were shot in Compton.
C/Low concurred with C/Mahlke’s comments and added that the LA County
Board of Supervisors introduced a motion to offer a $100,000 reward for
apprehension of the perpetrator(s). She thanked staff for their work on Item 5.1
and reminded everyone that the final Council Women’s class on pro posed
propositions would be held on Wednesday, September 30th.
MPT/Lyons agreed that all residents were repulsed by the shooting of the LA
Deputies and is pleased about the reward being offered. She is also pleased
that the recovery grant program is moving forward with staffs’ assistance and that
the Parks and Rec staff is working hard to provide fun activities for the
community. Restaurant Week 2020 is October 2nd through the 18th and all 100
community restaurants will participate.
M/Tye spoke about the LA Deputy shooting, said he was proud of California
Contract Cities for reaching out to every City to contribute to the reward for
capture of those involved in the assault and hoped Diamond Bar would
participate. M/Tye spoke about the life and service of Daniel Holloway.
ADJOURNMENT: With no further business to conduct, M/Tye adjourned the
Regular City Council Meeting at 8:27 p.m. in memory of La Puente Council Member
Daniel Holloway.
Respectfully submitted:
__________________________
Kristina Santana, City Clerk
The foregoing minutes are hereby approved this 6th day of October, 2020.
__________________________
Steve Tye, Mayor
4.1.a
Packet Pg. 14
Agenda #: 4.2
Meeting Date: October 6, 2020
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: RATIFICATION OF CHECK REGISTER DATED SEPTEMBER 10, 2020
THROUGH SEPTEMBER 29, 2020 TOTALING $1,053,984.66.
STRATEGIC
GOAL:
Responsible Stewardship of Public Resources
RECOMMENDATION:
Ratify the Check Register.
FINANCIAL IMPACT:
Expenditure of $1,053,984.66.
BACKGROUND/DISCUSSION:
The City has established the policy of issuing accounts payable checks on a weekly
basis with City Council ratification at the next scheduled City Council Meeting.
The attached check register containing checks dated September 10, 2020 through
September 29, 2020 totaling $1,053,984.66 is being presented for ratification. All
payments have been made in compliance with the City’s purchasing policies and
procedures, and have been reviewed and approved by the appropriate departmental
staff. The attached Affidavit affirms that the check register has been audited and
deemed accurate by the Finance Director.
PREPARED BY:
4.2
Packet Pg. 15
REVIEWED BY:
Attachments:
1. 4.2.a Check Register Affidavit 10-6-2020
2. 4.2.b Check Register 10-6-2020
4.2
Packet Pg. 16
4.2.a
Packet Pg. 17
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
417 9/14/2020 CALIFORNIA NEWSPAPERS
PARTNERSHIP
PRINTING AUGUST 2020 NEWSLETTER 100240 52110 $3,180.46
CHECK TOTAL $3,180.46
418 9/14/2020 CARDCONNECT AUGUST 2020 CREDIT CARD MACHINE
RENTAL
100520 52255 $125.00
CHECK TOTAL $125.00
419 9/14/2020 DAPEER ROSENBLIT & LITVAK LLP LEGAL SVCS-MAY 2020 100120 54024 $1,500.90
CHECK TOTAL $1,500.90
420 9/14/2020 DS SERVICES OF AMERICA INC COOLER RENTAL - SYCAMORE PARK 100630 51200 $12.00
9/14/2020 DS SERVICES OF AMERICA INC INV. # 11184860 090620 100130 52300 $4.99
9/14/2020 DS SERVICES OF AMERICA INC INV. # 11184860 090620 100630 51200 $140.62
CHECK TOTAL $157.61
421 9/14/2020 GATEWAY WATER
MANAGEMENT AUTHORITY
LOWER SAN GABRIEL RIVER WATERSHED
GROUP - FY 20-21
100610 54200 $82,704.47
9/14/2020 GATEWAY WATER
MANAGEMENT AUTHORITY
LOWER SAN GABRIEL RIVER WATERSHED
GROUP - FY 20-21
201610 54200 $82,704.47
CHECK TOTAL $165,408.94
422 9/14/2020 GEORGINA PEREZ BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
423 9/14/2020 HINAL P MEHTA BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
424 9/14/2020 HUMANE SOCIETY OF POMONA
VALLEY INC
ANIMAL CONTROL SERVICES FOR SEPT.
2020
100340 55404 $16,690.33
CHECK TOTAL $16,690.33
425 9/14/2020 JENNIE KIM BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
426 9/14/2020 KEVIN MA BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
4.2.b
Packet Pg. 18
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
427 9/14/2020 KEVIN Y OH BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
428 9/14/2020 LEWIS ENGRAVING INC GAVELS FOR CURRENT AND FUTURE
OUTGOING MAYORS
100130 51400 $145.19
CHECK TOTAL $145.19
429 9/14/2020 LOS ANGELES COUNTY PUBLIC
WORKS
SUMP PUMP MAINT SVCS-JUNE 2020 100630 52320 $946.12
CHECK TOTAL $946.12
430 9/14/2020 LOWE'S BUSINESS ACCOUNT DIAMOND BAR CENTER OPERATING
SUPPLIES
100510 52320 $223.77
CHECK TOTAL $223.77
431 9/14/2020 MCE CORPORATION LANDSCAPE MAINTENANCE - DISTRICTS
38, 39, 41 - AUG
241641 55524 $4,922.61
9/14/2020 MCE CORPORATION LANDSCAPE MAINTENANCE - DISTRICTS
38, 39, 41 - AUG
239639 55524 $12,173.54
9/14/2020 MCE CORPORATION LANDSCAPE MAINTENANCE - DISTRICTS
38, 39, 41 - AUG
238638 55524 $14,806.30
9/14/2020 MCE CORPORATION ADDL' LANDSCAPE MAINTENANCE -
DISTRICT 38
238638 52320 $841.25
CHECK TOTAL $32,743.70
432 9/14/2020 MI YANG KIM BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
433 9/14/2020 OK HYUNG CHO BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
434 9/14/2020 ONE TIME PAY VENDOR OSVALDO G.
CONTRERAS
EVENT REFUND 100 20202 $2,535.00
CHECK TOTAL $2,535.00
435 9/14/2020 ONE TIME PAY VENDOR REBECA CERVANTES EVENT REFUND 100 20202 $2,603.45
CHECK TOTAL $2,603.45
436 9/14/2020 ONE TIME PAY VENDOR 101 CAFE INC BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
4.2.b
Packet Pg. 19
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
437 9/14/2020 ONE TIME PAY VENDOR BLOOMING BAY INC BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
438 9/14/2020 ONE TIME PAY VENDOR DIAMOND BAR
INTERNATIONAL DELI
BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
439 9/14/2020 ONE TIME PAY VENDOR DIAMOND POINTE
DINING SERVICES LLC
BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
440 9/14/2020 ONE TIME PAY VENDOR EDDY K LIN BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
441 9/14/2020 ONE TIME PAY VENDOR ERIC CHUNGHOW CHU BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
442 9/14/2020 ONE TIME PAY VENDOR EVELYN V CATUIRA DDS
INC
BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
443 9/14/2020 ONE TIME PAY VENDOR G & H RAPHA, LLC BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
444 9/14/2020 ONE TIME PAY VENDOR GOLDEN PIN ENTERPRISE
INC
BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
445 9/14/2020 ONE TIME PAY VENDOR JAGDISH INC BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
446 9/14/2020 ONE TIME PAY VENDOR JENNY WU DEPOSIT REFUND 100 22105 $250.00
CHECK TOTAL $250.00
447 9/14/2020 ONE TIME PAY VENDOR KITCHEN AND
FLOORING CENTER INC
BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
448 9/14/2020 ONE TIME PAY VENDOR LANANIH T NGUYEN &
SON T VU
BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
4.2.b
Packet Pg. 20
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
449 9/14/2020 ONE TIME PAY VENDOR MIKE PARK BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
450 9/14/2020 ONE TIME PAY VENDOR RLME INCORPORATED BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
451 9/14/2020 ONE TIME PAY VENDOR S & J GRAN CARE II BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
452 9/14/2020 ONE TIME PAY VENDOR SOMA LAND INC BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
453 9/14/2020 ONE TIME PAY VENDOR UNIVERSAL REALTY INC BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
454 9/14/2020 ONE TIME PAY VENDOR WING CHESS ACADEMY BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
455 9/14/2020 PROTECTION ONE INC BURGLAR ALARM - DIAMOND BAR
CENTER
100510 52320 $156.93
9/14/2020 PROTECTION ONE INC BURGLAR ALARM - HERITAGE COMM
CTR.
100630 52320 $142.85
CHECK TOTAL $299.78
456 9/14/2020 SC FUELS FLEET VEHICLE FUEL - AUGUST 502430 52330 $41.57
9/14/2020 SC FUELS FLEET VEHICLE FUEL - AUGUST 502620 52330 $79.92
9/14/2020 SC FUELS FLEET VEHICLE FUEL - AUGUST 502630 52330 $505.66
9/14/2020 SC FUELS FLEET VEHICLE FUEL - AUGUST 502655 52330 $534.98
CHECK TOTAL $1,162.13
457 9/14/2020 SHENGYU PIAO BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
458 9/14/2020 SHEPPARD MULLIN RICHTER &
HAMPTON
SPECIAL LEGAL SERVICES THRU 7/31/20 100120 54022 $4,257.67
CHECK TOTAL $4,257.67
4.2.b
Packet Pg. 21
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
459 9/14/2020 SOUTHERN CALIFORNIA EDISON DIST 39 7.29.20 - 8.27.20 239639 52210 $210.74
CHECK TOTAL $210.74
460 9/14/2020 US BANK CALCARD STATEMENT-AUGUST 2020 999 28100 $15,151.66
CHECK TOTAL $15,151.66
461 9/14/2020 XAVIERS FLORIST INC FLORAL DELIVERY FOR RONALD EVERETT 100130 51400 $104.03
CHECK TOTAL $104.03
462 9/18/2020 CALPERS FEES FOR GASB-68 REPORTS &
SCHEDULES
100210 54010 $700.00
CHECK TOTAL $700.00
463 9/18/2020 CALPERS PENSION CONTRIBUTION 08/29/20-
09/11/20
100 21110 $53.94
9/18/2020 CALPERS PENSION CONTRIBUTION 08/29/20-
09/11/20
100 21110 $4,801.98
9/18/2020 CALPERS PENSION CONTRIBUTION 08/29/20-
09/11/20
100 21110 $31,279.31
CHECK TOTAL $36,135.23
464 9/18/2020 VANTAGEPOINT TRNSFR AGNTS-
303248
DEF COMP CONTRIBUTION/LOAN PYMT
09/18/20
100 21109 $393.55
9/18/2020 VANTAGEPOINT TRNSFR AGNTS-
303248
DEF COMP CONTRIBUTION/LOAN PYMT
09/18/20
100 21109 $4,130.94
9/18/2020 VANTAGEPOINT TRNSFR AGNTS-
303248
DEF COMP CONTRIBUTION/LOAN PYMT
09/18/20
100 21109 $7,414.48
CHECK TOTAL $11,938.97
465 9/18/2020 TASC FLEX SPENDING MEDICAL & CHILDCARE
09/18/2020
100 21118 $1,641.75
CHECK TOTAL $1,641.75
466 9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
100 10105 $295.12
9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
239 10105 $729.53
9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
241 10105 $729.53
9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
238 10105 $1,253.71
9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
106 10105 $1,667.94
4.2.b
Packet Pg. 22
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
207 10105 $2,061.36
9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
206 10105 $2,940.45
9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
250 10105 $9,246.18
9/18/2020 PAYROLL TRANSFER PAYROLL TRANSFER PP 19/20
09/18/2020
100 10105 $181,438.27
CHECK TOTAL $200,362.09
467 9/18/2020 CALPERS PENSION CONTRIBUTION 09/01/20-
09/30/20
100 21110 $10.00
9/18/2020 CALPERS PENSION CONTRIBUTION 09/01/20-
09/30/20
100 21110 $260.86
9/18/2020 CALPERS PENSION CONTRIBUTION 09/01/20-
09/30/20
100 21110 $324.12
CHECK TOTAL $594.98
468 9/29/2020 AIRGAS INC RENTAL OF CYLINDER AND ARGON 100630 51200 $8.00
9/29/2020 AIRGAS INC RENTAL OF CYLINDER AND ARGON 100520 51200 $93.00
CHECK TOTAL $101.00
469 9/29/2020 BEST LIGHTING PRODUCTS INC MONTHLY MAINTENANCE - PARKS 100630 55505 $285.00
CHECK TOTAL $285.00
470 9/29/2020 BULLSEYE TELECOM INC ANALOG PHONE LINE ACCT - CH, DBC,
PARKS
100230 52200 $1,595.81
CHECK TOTAL $1,595.81
471 9/29/2020 CHEM PRO LABORATORY INC CITY HALL WATER TREATMENT -
SEPTEMBER
100620 52320 $155.00
CHECK TOTAL $155.00
472 9/29/2020 COLLEY AUTO CARS INC VEHICLE MAINTENANCE - FORD
RANGER
502630 52312 $940.11
9/29/2020 COLLEY AUTO CARS INC VEHICLE MAINTENANCE - POOL CAR 502620 52312 $103.38
9/29/2020 COLLEY AUTO CARS INC FLEET MAINTENANCE - FORD RANGER
1363853
502655 52312 $553.88
CHECK TOTAL $1,597.37
473 9/29/2020 COPP CONTRACTING INC RETENTIONS PAYABLE AREA 7 301 29004 $120,741.29
CHECK TOTAL $120,741.29
4.2.b
Packet Pg. 23
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
474 9/29/2020 CRAFCO INC ROAD MAINTENANCE SUPPLIES 100655 51250 $436.39
CHECK TOTAL $436.39
475 9/29/2020 CSGPR ABC PUBLIC RELATIONS NEWSPAPER AD FOR HHW 250170 52160 $650.00
CHECK TOTAL $650.00
476 9/29/2020 DUO SECURITY INC DUO SOFTWARE SUBSCRIPTION 100230 52314 $2,075.18
CHECK TOTAL $2,075.18
477 9/29/2020 ECOFERT INC FERTILIZER INJECTION SYSTEM - JULY 100630 52320 $1,150.00
9/29/2020 ECOFERT INC FERTILIZER INJECTION SYSTEM - AUGUST 100630 52320 $1,150.00
CHECK TOTAL $2,300.00
478 9/29/2020 ECS IMAGING INC LASERFICHE - ANNUAL
RENEWAL/SOFTWARE, LIC, UPDATES
100230 52314 $15,030.00
CHECK TOTAL $15,030.00
479 9/29/2020 EMERALD LANDSCAPE SERVICES
INC
LANDSCAPING SERVICES AT CITY HALL -
SEPT ADDL'
100620 52320 $86.87
CHECK TOTAL $86.87
480 9/29/2020 FEDERAL EXPRESS
CORPORATION
EXPRESS MAIL-GENERAL 100130 52170 $19.34
CHECK TOTAL $19.34
481 9/29/2020 FRONTIER COMMUNICATIONS
CORP
SUMMARY ACCT-ANALOG
EMERGENCY PHONE LINES
100230 52200 $775.00
CHECK TOTAL $775.00
482 9/29/2020 HARDY & HARPER INC ROAD MAINTENANCE SERVICES 100655 55512 $927.50
CHECK TOTAL $927.50
483 9/29/2020 JIVE COMMUNICATIONS INC CITY-WIDE PHONE SYSTEM - SEPT. 2020 100230 52200 $2,451.12
CHECK TOTAL $2,451.12
484 9/29/2020 KEVIN D JONES CONTRACT SERVICES - SR-57/60
ADVOCACY - JULY 2020
100615 54400 $4,000.00
9/29/2020 KEVIN D JONES CONTRACT SERVICES - SR57-60
ADVOCACY - AUG 2020
100615 54400 $4,000.00
CHECK TOTAL $8,000.00
485 9/29/2020 LOOMIS COURIER SVCS-CITY HALL/DBC AUG
2020
100210 54900 $314.16
4.2.b
Packet Pg. 24
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
9/29/2020 LOOMIS COURIER SVCS-CITY HALL/DBC AUG
2020
100510 54900 $314.16
CHECK TOTAL $628.32
486 9/29/2020 LOS ANGELES COUNTY
DEVELOPMENT AUTH
CDBG LOAN REPAYMENT-688 ARMITOS
PL
225 48935 $10,000.00
CHECK TOTAL $10,000.00
487 9/29/2020 LOS ANGELES TIMES A/C # 10088361765 PAY THRU
10/7/2020
100130 52405 $27.72
CHECK TOTAL $27.72
488 9/29/2020 MCE CORPORATION STREET MAINTENANCE & VEGETATION
CONTROL - JULY
100655 55530 $2,224.50
9/29/2020 MCE CORPORATION STREET MAINTENANCE & VEGETATION
CONTROL - JULY
100655 55528 $10,591.32
9/29/2020 MCE CORPORATION STREET MAINTENANCE & VEGETATION
CONTROL - AUGUST
100655 55530 $3,923.92
9/29/2020 MCE CORPORATION STREET MAINTENANCE & VEGETATION
CONTROL - AUGUST
100655 55528 $8,198.01
CHECK TOTAL $24,937.75
489 9/29/2020 METROLINK METROLINK PASSES-AUG 2020 206650 55610 $595.00
9/29/2020 METROLINK METROLINK PASSES-AUG 2020 206650 55620 $1,309.00
CHECK TOTAL $1,904.00
490 9/29/2020 MICHAEL BAKER INTERNATIONAL
INC
CANYON LOOP TRAIL CEQA 301630 56104 $5,757.00
CHECK TOTAL $5,757.00
491 9/29/2020 MOBILE RELAY ASSOCIATES INC REPEATER SERVICE FOR OCT 2020 100350 52300 $78.75
CHECK TOTAL $78.75
492 9/29/2020 NETWORK PARATRANSIT SYSTEMS
INC
DIAMOND RIDE SERVICES FY2020-21 206650 55560 $10,158.89
CHECK TOTAL $10,158.89
493 9/29/2020 OFFICE SOLUTIONS PAPER TOWELS, COFFEE CUPS, COFFEE 100130 51200 $208.46
9/29/2020 OFFICE SOLUTIONS LABEL HOLDER (RETURNED ITEM) 100130 51200 ($10.76)
9/29/2020 OFFICE SOLUTIONS LABEL HOLDER 100130 51200 $16.06
9/29/2020 OFFICE SOLUTIONS CASES OF BOTTLED WATER 100130 51200 $98.94
4.2.b
Packet Pg. 25
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
9/29/2020 OFFICE SOLUTIONS KITCHEN SUPPLIES & COPY PAPER 100130 51200 $243.56
9/29/2020 OFFICE SOLUTIONS LABEL HOLDER (RETURNED ITEM) 100130 51200 ($16.06)
9/29/2020 OFFICE SOLUTIONS ELECTRONIC WIPES 100130 51200 $7.79
9/29/2020 OFFICE SOLUTIONS KITCHEN SUPPLIES (UTENSILS, GREEN TEA,
SPLENDA)
100130 51200 $36.31
9/29/2020 OFFICE SOLUTIONS A-Z ACCORDION FILE 100130 51200 $19.35
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPIES-COVID-19 106130 51200 $548.07
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPLIES-COVID-19 106130 51200 $579.47
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPLIES-COVID-19 106130 51200 $940.93
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPLIES-COVID-19 106130 51200 $480.92
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPLIES-COVID-19 106130 51200 $386.32
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPLIES-COVID-19 106130 51200 $130.09
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPLIES-COVID-19 106130 51200 $393.94
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPLIES-COVID-19 106130 51200 $105.12
9/29/2020 OFFICE SOLUTIONS OFFICE SUPPLIES-COVID-19 106130 51200 $284.48
9/29/2020 OFFICE SOLUTIONS ENVELOPES 100130 51200 $171.87
9/29/2020 OFFICE SOLUTIONS HANGING FILES 100130 51200 $18.22
9/29/2020 OFFICE SOLUTIONS ADDRESS LABELS 100130 51200 $67.96
9/29/2020 OFFICE SOLUTIONS LABEL HOLDER (RETURNED ITEM) 100130 51200 ($15.40)
9/29/2020 OFFICE SOLUTIONS HANGING FILES 100130 51200 $18.22
9/29/2020 OFFICE SOLUTIONS LABEL HOLDER 100130 51200 $15.40
9/29/2020 OFFICE SOLUTIONS WRIST MOUSEPAD 100130 51200 $16.26
9/29/2020 OFFICE SOLUTIONS LABEL HOLDER 100130 51200 $10.76
9/29/2020 OFFICE SOLUTIONS POST IT NOTES, SCISSORS 100130 51200 $7.76
CHECK TOTAL $4,764.04
494 9/29/2020 ONE TIME PAY VENDOR ALI AKBAR EVENT REFUND 100 20202 $760.00
CHECK TOTAL $760.00
495 9/29/2020 ONE TIME PAY VENDOR ASMA MOHAMEDY EVENT REFUND 100 20202 $385.14
4.2.b
Packet Pg. 26
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
CHECK TOTAL $385.14
496 9/29/2020 ONE TIME PAY VENDOR DOROTHY WILHELM EVENT REFUND 100 20202 $2,530.00
CHECK TOTAL $2,530.00
497 9/29/2020 ONE TIME PAY VENDOR GATEWAY FRIENDS
CHURCH
EVENT REFUND 100 20202 $762.22
CHECK TOTAL $762.22
498 9/29/2020 ONE TIME PAY VENDOR INSTITUTE OF
KNOWLEDGE
EVENT REFUND 100 20202 $2,033.46
CHECK TOTAL $2,033.46
499 9/29/2020 ONE TIME PAY VENDOR PACIFIC CREST YOUTH
ARTS ORGANIZATION
OUTDOOR USAGE DEPOSIT RETURN 100 20202 $200.00
CHECK TOTAL $200.00
500 9/29/2020 ONE TIME PAY VENDOR PAUL LU SENIOR DANCE REFUND 100 20202 $40.00
CHECK TOTAL $40.00
501 9/29/2020 ONE TIME PAY VENDOR SAN GABRIEL POMONA
REGIONAL CENTER
EVENT REFUND 100 20202 $641.88
CHECK TOTAL $641.88
502 9/29/2020 ONE TIME PAY VENDOR SAN GABRIEL VALLEY
EMPLOYER ADVISORY
COUNCIL
EVENT REFUND 100 20202 $1,239.50
CHECK TOTAL $1,239.50
503 9/29/2020 ONE TIME PAY VENDOR HECTOR RODRIGUEZ
GARCIA
DEPOSIT REFUND 100 22105 $250.00
CHECK TOTAL $250.00
504 9/29/2020 ONE TIME PAY VENDOR II SHEA ROOFING DEPOSIT REFUND 100 22105 $250.00
CHECK TOTAL $250.00
505 9/29/2020 ONE TIME PAY VENDOR JAVIER AND RUTH
VELASCO
DEPOSIT REFUND 100 22105 $250.00
CHECK TOTAL $250.00
506 9/29/2020 ONE TIME PAY VENDOR NANCY'S PET PARLOR BUSINESS RECOVERY GRATN CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
507 9/29/2020 ONE TIME PAY VENDOR REXWAY ROOFING DEPOSIT REFUND 100 22105 $250.00
CHECK TOTAL $250.00
4.2.b
Packet Pg. 27
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
508 9/29/2020 ONE TIME PAY VENDOR SAIGON NOODLE
HOUSE
BUSINESS RECOVERY GRANT CARES
ACT
106430 54456 $5,000.00
CHECK TOTAL $5,000.00
509 9/29/2020 PROTECTION ONE INC BURGLAR ALARM - HERITAGE 8.28.20 -
10.18.20
100630 52320 $81.40
9/29/2020 PROTECTION ONE INC BURGLAR ALARM - HERITAGE COMM
CTR
100630 52320 $184.57
CHECK TOTAL $265.97
510 9/29/2020 PUBLIC STORAGE #23051 STORAGE RENTAL # 2108 10/1 - 10/31
2020
100130 52302 $466.00
CHECK TOTAL $466.00
511 9/29/2020 PYRO COMM SYSTEMS INC FIRE ALARM TESTING - DBC 100510 52310 $585.00
CHECK TOTAL $585.00
512 9/29/2020 QUADIENT FINANCE USA INC FOLDING MACHINE - ANNUAL
MAINTENANCE
100230 52310 $2,424.00
CHECK TOTAL $2,424.00
513 9/29/2020 RYAN MCLEAN EMPLOYEE PERSONAL COMP LOAN 100 12410 $1,215.72
CHECK TOTAL $1,215.72
514 9/29/2020 S C SIGNS AND SUPPLIES LLC DELINEATORS - W/B GRAND AVE 100655 51250 $3,164.55
CHECK TOTAL $3,164.55
515 9/29/2020 SAN GABRIEL VALLEY
ECONOMIC PARTNER
DBRW AD 100130 52160 $300.00
CHECK TOTAL $300.00
516 9/29/2020 SC FUELS FLEET VEHICLE FUEL - SEPTEMBER 502130 52330 $31.90
9/29/2020 SC FUELS FLEET VEHICLE FUEL - SEPTEMBER 502430 52330 $61.93
9/29/2020 SC FUELS FLEET VEHICLE FUEL - SEPTEMBER 502620 52330 $120.52
9/29/2020 SC FUELS FLEET VEHICLE FUEL - SEPTEMBER 502630 52330 $459.12
9/29/2020 SC FUELS FLEET VEHICLE FUEL - SEPTEMBER 502655 52330 $470.09
CHECK TOTAL $1,143.56
517 9/29/2020 SCHORR METALS INC PARKS MAINTENANCE 100630 52320 $1,017.83
CHECK TOTAL $1,017.83
518 9/29/2020 SHEPPARD MULLIN RICHTER & SPECIAL LEGAL SERVICES THRU 100120 54022 $5,283.86
4.2.b
Packet Pg. 28
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
HAMPTON 8/31/2020
CHECK TOTAL $5,283.86
519 9/29/2020 SHI INTERNATIONAL CORP 1 OF 3 YEAR AGREEMENT -MICROSOFT
ENTERPRISE
100230 52314 $12,413.72
CHECK TOTAL $12,413.72
520 9/29/2020 SIEMENS INDUSTRY INC ANNL MAINT-ADAPTIVE TRAFFIC
CONTROL SYS
207650 52314 $30,150.00
CHECK TOTAL $30,150.00
521 9/29/2020 SOUTHERN CALIFORNIA EDISON 1025 BREA CYN - SAFETY LIGHTS 100655 52210 $76.02
9/29/2020 SOUTHERN CALIFORNIA EDISON 21615 GATWAY CTR DR - SAFETY LIGHTS 100655 52210 $47.50
9/29/2020 SOUTHERN CALIFORNIA EDISON 3201 DBB - SAFETY LIGHTS 100655 52210 $71.24
9/29/2020 SOUTHERN CALIFORNIA EDISON 21325 PATHFINDER - SAFETY LIGHTS 100655 52210 $130.68
9/29/2020 SOUTHERN CALIFORNIA EDISON 21250 GOLDEN SPRINGS - SAFETY
LIGHTS
100655 52210 $47.50
9/29/2020 SOUTHERN CALIFORNIA EDISON 1003 GOLDEN SPRINGS - SAFETY LIGHTS 100655 52210 $62.74
9/29/2020 SOUTHERN CALIFORNIA EDISON 2201 DBB - SAFETY LIGHTS 100655 52210 $47.50
9/29/2020 SOUTHERN CALIFORNIA EDISON 3798 S BREA CYN - SAFETY LIGHTS 100655 52210 $35.63
9/29/2020 SOUTHERN CALIFORNIA EDISON DBB N/W @ TEMPLE - TRAFFIC SIGNAL 100655 52210 $69.11
9/29/2020 SOUTHERN CALIFORNIA EDISON 21010 WASHINGTON ST - SAFETY LIGHTS 100655 52210 $56.98
9/29/2020 SOUTHERN CALIFORNIA EDISON 24230 GOLDEN SPRINGS - SAFETY
LIGHTS
100655 52210 $45.13
9/29/2020 SOUTHERN CALIFORNIA EDISON BREA CYN/OAKCREST - SAFETY LIGHTS 100655 52210 $36.23
9/29/2020 SOUTHERN CALIFORNIA EDISON BREA CYN/FALLOWFIELD - SAFETY
LIGHTS
100655 52210 $47.48
9/29/2020 SOUTHERN CALIFORNIA EDISON DBB/TEMPLE - SAFETY LIGHTS 100655 52210 $68.44
9/29/2020 SOUTHERN CALIFORNIA EDISON 1450 BRIDGEGATE & VARIOUS - SAFETY
LIGHTS
100655 52210 $362.55
9/29/2020 SOUTHERN CALIFORNIA EDISON 1179 DBB & VARIOUS - TRAFFIC SIGNALS 100655 52210 $2,580.96
9/29/2020 SOUTHERN CALIFORNIA EDISON 1798 DBB/22566 GOLDEN SPRINGS -
TRAFFIC LIGHTS
100655 52210 $190.62
9/29/2020 SOUTHERN CALIFORNIA EDISON BREA CYN/FALLOWFIELD & VARIOUS -
TRAFFIC SIGNALS
100655 52210 $121.78
9/29/2020 SOUTHERN CALIFORNIA EDISON 809 S DBB - TRAFFIC SIGNAL 100655 52210 $87.87
4.2.b
Packet Pg. 29
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
9/29/2020 SOUTHERN CALIFORNIA EDISON 2201 DBB - PED @ TRAFFIC SIGNAL 100655 52210 $48.79
9/29/2020 SOUTHERN CALIFORNIA EDISON 21010 WASHINGTON ST - TRAFFIC
SIGNAL
100655 52210 $61.08
9/29/2020 SOUTHERN CALIFORNIA EDISON 801 S LEMON/VARIOUS - TRAFFIC
SIGNALS
100655 52210 $271.59
9/29/2020 SOUTHERN CALIFORNIA EDISON 1798 DBB/22566 GOLDEN SPRINGS -
SAFETY LIGHTS
100655 52210 $106.85
9/29/2020 SOUTHERN CALIFORNIA EDISON 1215 S BREA CANTON - TRAFFIC SIGNAL 100655 52210 $88.83
9/29/2020 SOUTHERN CALIFORNIA EDISON 1611 S BREA CYN - TRAFFIC SIGNAL 100655 52210 $52.44
9/29/2020 SOUTHERN CALIFORNIA EDISON 23331 GOLDEN SPRINGS - PED 100655 52210 $71.11
9/29/2020 SOUTHERN CALIFORNIA EDISON 2838S DBB - PED 100655 52210 $88.52
9/29/2020 SOUTHERN CALIFORNIA EDISON 22805 GOLDEN SPRINGS - SAFETY
LIGHTS
100655 52210 $59.37
9/29/2020 SOUTHERN CALIFORNIA EDISON 2838 S DBB - TC/SAFETY LIGHTS 100655 52210 $96.74
9/29/2020 SOUTHERN CALIFORNIA EDISON 717 GRAND AVE - TRAFFIC CONTROL 100655 52210 $136.76
9/29/2020 SOUTHERN CALIFORNIA EDISON 23331 GOLDEN SPRINGS PED - TC 100655 52210 $80.14
9/29/2020 SOUTHERN CALIFORNIA EDISON 20781 PATHFINDER - TRAFFIC CONTROL 100655 52210 $99.73
9/29/2020 SOUTHERN CALIFORNIA EDISON 21250 GOLDEN SPRINGS PED - TC 100655 52210 $70.90
9/29/2020 SOUTHERN CALIFORNIA EDISON 3564 BREA CYN BPED - TC 100655 52210 $72.86
9/29/2020 SOUTHERN CALIFORNIA EDISON 2746 BREA CYN BPED - TC 100655 52210 $131.10
9/29/2020 SOUTHERN CALIFORNIA EDISON 1395 DBB/VARIOUS - TRAFFIC SIGNALS 100655 52210 $748.83
9/29/2020 SOUTHERN CALIFORNIA EDISON 20439 GOLDEN SPRINGS PED - TC 100655 52210 $121.00
9/29/2020 SOUTHERN CALIFORNIA EDISON 20791 GOLDEN SPRINGS - TRAFFIC
CONTROL
100655 52210 $112.01
9/29/2020 SOUTHERN CALIFORNIA EDISON 1215 S BREA CYN - TRAFFIC CONTROL 100655 52210 $90.22
9/29/2020 SOUTHERN CALIFORNIA EDISON 1611 S BREA CYN - TRAFFIC CONTROL 100655 52210 $53.21
9/29/2020 SOUTHERN CALIFORNIA EDISON 2025 DIAMOND BAR BLVD PED 238638 52210 $12.92
9/29/2020 SOUTHERN CALIFORNIA EDISON 2746 BREA CANYON A PED 238638 52210 $13.09
9/29/2020 SOUTHERN CALIFORNIA EDISON 22745 SUNSET CROSSING ROAD 238638 52210 $13.09
9/29/2020 SOUTHERN CALIFORNIA EDISON 3564 BREA CANYON A PED 238638 52210 $12.92
9/29/2020 SOUTHERN CALIFORNIA EDISON 1000 S LEMON AVE PED 238638 52210 $13.49
4.2.b
Packet Pg. 30
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
9/29/2020 SOUTHERN CALIFORNIA EDISON CITY HALL 8.14.20 - 9.15.20 100620 52210 $14,520.35
9/29/2020 SOUTHERN CALIFORNIA EDISON 20664 LARKSTONE DR PED 7.13.20 -
8.11.20
100630 52210 $242.83
9/29/2020 SOUTHERN CALIFORNIA EDISON 20671 GOLD SP & 575 S DBB 238638 52210 $24.89
9/29/2020 SOUTHERN CALIFORNIA EDISON DIAMOND BAR CENTER - AUG 100510 52210 $7,182.66
9/29/2020 SOUTHERN CALIFORNIA EDISON DISTRICT 41 - AUG 241641 52210 $117.87
9/29/2020 SOUTHERN CALIFORNIA EDISON PARKS - AUG 100630 52210 $3,039.56
9/29/2020 SOUTHERN CALIFORNIA EDISON DISTRICT 38 - AUG 238638 52210 $268.95
9/29/2020 SOUTHERN CALIFORNIA EDISON 633 GRAND AVE 8.11.20 - 9.10.20 238638 52210 $12.04
9/29/2020 SOUTHERN CALIFORNIA EDISON 20664 LARKSTONE 8.11.20 - 9.10.20 100630 52210 $260.67
9/29/2020 SOUTHERN CALIFORNIA EDISON 20850 HIGH COUNTRY 8.12.20 - 9.11.20 241641 52210 $12.04
9/29/2020 SOUTHERN CALIFORNIA EDISON 21208 WASHINGTON ST PED 8.12.20 -
9.11.20
100630 52210 $19.30
9/29/2020 SOUTHERN CALIFORNIA EDISON 20980 E CANYON RIDGE LN 8.12.20 -
9.11.20
241641 52210 $12.04
CHECK TOTAL $32,626.75
522 9/29/2020 SPECTRUM BUSINESS INTERNET SERVICE - HERITAGE PARK 100230 54030 $794.94
9/29/2020 SPECTRUM BUSINESS INTERNET SERVICES - CITY HALL 100230 54030 $1,711.98
9/29/2020 SPECTRUM BUSINESS TV & CABLE SERVICE - DBC 100230 54030 $361.42
CHECK TOTAL $2,868.34
523 9/29/2020 TASC 100220 52515 $131.04
CHECK TOTAL $131.04
524 9/29/2020 TENNIS ANYONE INC TENNIS INSTRUCTION 100520 55320 $4,968.60
CHECK TOTAL $4,968.60
525 9/29/2020 THE COMDYN GROUP INC PROFESSIONAL SERVICES - GIS SUPPORT 100230 54900 $158.86
9/29/2020 THE COMDYN GROUP INC PROFESSIONAL SERVICES - GIS SUPPORT 100230 54900 $1,906.32
9/29/2020 THE COMDYN GROUP INC PROFESSIONAL SERVICES - GIS SUPPORT 100230 54900 $1,191.45
9/29/2020 THE COMDYN GROUP INC PROFESSIONAL SERVICES - GIS SUPPORT 100230 54900 $1,270.88
CHECK TOTAL $4,527.51
526 9/29/2020 THE GAS COMPANY 2900 BREA CANYON ROAD - HERITAGE 100630 52215 $19.28
4.2.b
Packet Pg. 31
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
COMM CTR
9/29/2020 THE GAS COMPANY 21810 COPLEY 8.10.20 - 9.9.20 100620 52215 $147.32
CHECK TOTAL $166.60
527 9/29/2020 THE HOME DEPOT-HOME
SERVICES
CITY HALL - BUILDING SUPPLY 100620 52320 $20.40
CHECK TOTAL $20.40
528 9/29/2020 VERIZON WIRELESS WIRELESS AIRTIME/EQUIP - PW, CD, P&R 100230 52200 $1,983.03
CHECK TOTAL $1,983.03
529 9/29/2020 WW GRAINGER INC CITY HALL - MAINTENANCE 100620 52320 $23.82
CHECK TOTAL $23.82
530 9/29/2020 WALNUT VALLEY WATER DISTRICT CITY HALL - AUG 100620 52220 $815.85
9/29/2020 WALNUT VALLEY WATER DISTRICT DIAMOND BAR CENTER - AUG 100510 52220 $98.77
9/29/2020 WALNUT VALLEY WATER DISTRICT DISTRICT 41 - AUG 241641 52220 $237.80
9/29/2020 WALNUT VALLEY WATER DISTRICT PARKS - AUG 100630 52220 $34,748.21
9/29/2020 WALNUT VALLEY WATER DISTRICT DISTRICT 39 - AUG 239639 52220 $12,059.10
9/29/2020 WALNUT VALLEY WATER DISTRICT DISTRICT 38 - AUG 238638 52220 $14,273.95
9/29/2020 WALNUT VALLEY WATER DISTRICT RECYCLED - AUGUST 238638 52220 $1,154.86
9/29/2020 WALNUT VALLEY WATER DISTRICT PARKS - AUG 100630 52220 $1,657.78
CHECK TOTAL $65,046.32
531 9/29/2020 WEST COAST ARBORISTS INC CITYWIDE WATERING - 8.16.20 - 8.31.20 100645 55522 $1,360.00
9/29/2020 WEST COAST ARBORISTS INC CITYWIDE TREE CARE AND
MAINTENANCE - DISTRICT 38
238638 55522 $4,491.00
9/29/2020 WEST COAST ARBORISTS INC CITYWIDE TREE CARE AND
MAINTENANCE
100645 55522 $1,808.00
9/29/2020 WEST COAST ARBORISTS INC CITYWIDE WATERING 7.16.20 - 7.31.20 100645 55522 $1,360.00
CHECK TOTAL $9,019.00
532 9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 100 22107 $69.00
9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 100120 54020 $69.00
9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 100120 54020 $92.00
9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 100 22107 $161.00
4.2.b
Packet Pg. 32
City of Diamond Bar Check Register
CHECK #
CHECK DATE
VENDOR NAME
OTP VENDOR NAME
INVOICE DESCRIPTION
ORG
OBJECT
AMOUNT
9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 106120 54020 $1,173.00
9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 100120 54020 $1,265.00
9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 100120 54020 $1,955.00
9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 100120 54020 $2,139.00
9/29/2020 WOODRUFF SPRADLIN & SMART PROF. SVCS RENDERED FOR JULY 2020 100120 54020 $3,105.00
CHECK TOTAL $10,028.00
GRAND TOTAL $1,053,984.66
4.2.b
Packet Pg. 33
Agenda #: 4.3
Meeting Date: October 6, 2020
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: INVESTMENT POLICY FOR FISCAL YEAR 2020/2021.
STRATEGIC
GOAL:
Responsible Stewardship of Public Resources
RECOMMENDATION:
Adopt Resolution No. 2020-40 approving the Investment Policy for Fiscal Year
2020/2021.
FINANCIAL IMPACT:
No Financial Impact
BACKGROUND/ANALYSIS:
At the June 16, 2020 City Council meeting, the City’s Investment Policy for Fiscal Year
(FY) 2020/2021 was presented for adoption as part of the annual budget package.
While discussed in the staff report, the Policy was inadvertently omitted from the
attachment to Resolution No. 2020-19. As a result, the Investment Policy for FY
2020/2021 is being presented again for City Council adoption.
The Investment Policy states the goals of the City’s investment activities, the types of
investments in which the City is allowed to invest its funds, and the reporting
requirements. The Investment Policy is to be reviewed annually, and updated as
necessary, by the City Council.
In January 2018, the City Council adopted an updated Investment Policy which was
prepared in accordance with the provisions outlined in the California Municipal
Treasurer’s Association (CMTA) Investment Policy Certification Program. CMTA is
solely focused on public agency treasury management in the State of California which
lends itself more closely to the City’s investment requirements and goals. The
Investment Policy was submitted to CMTA and was certified with a score of 95 ou t of
100 points possible.
4.3
Packet Pg. 34
The complete Investment Policy for FY 2020/2021 is included in Attachment 2. There is
one minor proposed change since the last revision in June 2019. The proposed change
(bottom of page 5) increases the amount allowed in the Local Agency Investment Fund
(LAIF) from $65 million to $75 million which is the current amount per account permitted
by the State of California.
PREPARED BY:
REVIEWED BY:
Attachments:
1. 4.3.a Resolution No. 2020-40 Investment Policy
2. 4.3.b Investment Policy 20.21
4.3
Packet Pg. 35
RESOLUTION NO. 2020-40
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DIAMOND
BAR, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA,
ADOPTING THE STATEMENT OF INVESTMENT; AND RESCINDING
RESOLUTION N0. 2020-19 IN ITS ENTIRETY.
A. RECITALS.
WHEREAS, it is the City’s policy to annually adopt the City Investment Policy;
and
WHEREAS, the Investment Policy is intended to provide guidelines for the
prudent investment of the City’s temporarily idle cash and to outline the policies for
maximizing the efficiency of the City’s cash management system; and
WHEREAS, the Investment Policy (Exhibit A) was inadvertently left off of
Resolution No. 2020-19 adopted on June 16, 2020.
B. RESOLUTION.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DIAMOND BAR
DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. That the City Council of the City of Diamond Bar adopts the attached
Statement of Investment Policy (Exhibit A).
Section 2. City Council Resolution No. 2020-19 is hereby rescinded in its
entirety and is replaced by this Resolution.
PASSED, APPROVED AND ADOPTED this 6th day of October, 2020.
____________________________
Steve Tye, Mayor
I, Kristina Santana, City Clerk of the City of Diamond Bar, do hereby certify that
the foregoing Resolution was passed, approved and adopted at a regular meeting of the
City Council of the City of Diamond Bar held on the 6th day of October, 2020, by the
following vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ABSTAINED: COUNCIL MEMBERS:
____________________________
Kristina Santana, City Clerk
4.3.a
Packet Pg. 36
1
CITY OF DIAMOND BAR
INVESTMENT POLICY— FY 2020-21
1.0 POLICY:
This Statement is intended to provide guidelines for the prudent investment of the City of
Diamond Bar’s (“City”) temporarily idle cash and to outline the policies for maximizing the
efficiency of the City's cash management system. The ultimate goal is to enhance the
economic status of the City while protecting its pooled funds in accordance with the
applicable local, state and federal laws.
It is the policy of the City Council to review, update and adopt the City's Investment
Policy on an annual basis.
2.0 SCOPE:
This investment policy applies to all financial assets of the City of Diamond Bar.
The Policy applies to the following funds and is accounted for in the City’s annual
audited financial statements.
A. General Fund
B. Special Revenue Funds
C. Debt Service Funds
D. Capital Improvement Fund
E. Internal Service Funds
3.0 STANDARDS OF PRUDENCE:
The City Treasurer (or Finance Director) authorized to make investment decisions on
behalf of the City of Diamond Bar investing public funds pursuant to this policy are
trustees and therefore fiduciaries subject to the prudent investor standard. When
investing, reinvesting, purchasing, acquiring, exchanging, selling and managing public
funds, a trustee shall act with care, skill, prudence and diligence under the
circumstances then prevailing, including but not limited to, the general economic
conditions and the anticipated needs of the City, that a prudent person acting in a like
capacity and familiarity with those matters would use in the conduct of funds of a like
character and with like aims, to safeguard the principal and maintain the liquidity need s
of the City. Within the limitations of this section and considering individual investments
as part of an overall strategy, the City Treasurer or Finance Director is authorized to
acquire investments as authorized by law.
4.0 INVESTMENT OBJECTIVES:
The investment of funds of the City of Diamond Bar is directed to the goals of safety,
liquidity and yield. The authority governing investments for municipal governments is set
forth in the Government Code, Sections 53600, et. seq.
4.3.b
Packet Pg. 37
2
1. Safety. Safety of principal is the foremost objective of the investment program.
Investments of the City of Diamond Bar shall be undertaken in a manner that
seeks to ensure the preservation of capital in the overall portfolio. To attain this
objective, the City of Diamond Bar will diversify its investments by investing funds
among a variety of securities with independent returns. . The City will operate
only in those investments that are considered very safe.
2. Liquidity. The investment portfolio will remain sufficiently liquid to meet all operating
requirements which might be reasonably anticipated. This is accomplished by
structuring the portfolio so that securities mature at the same time as cash is
needed to meet anticipated demands. Additionally, since all possible cash
demands cannot be anticipated, the portfolio will consist largely of securities with
active secondary or resale markets or local government investment pools which
offer same-day liquidity for short-term funds.
3. Yield. The investment portfolio shall be designed with the objective of achieving a
competitive market rate of return or yield, while taking into account the investment
risk constraints and liquidity needs. Return on investment is of secondary
importance compared to safety and liquidity. The core investments shall be limited
to low risk securities to be held to maturity with the following exceptions:
A security with declining credit may be sold early to minimize loss of
principal
A security swap would improve the quality, yield or target duration of the
portfolio.
The liquidity needs of the portfolio require security to be sold.
5.0 DELEGATION OF AUTHORITY
Authority to manage the City of Diamond Bar’s investment program is derived from
Section 2.16.210 of the City of Diamond Bar’s Municipal Code which designates the
City Manager to perform all duties associated with the legal function of the treasurer
position. Management responsibility is hereby delegated to the City Treasurer who
shall be responsible for all transactions undertaken and for establishing a system of
controls to regulate the activities of subordinate officials, and their procedures in the
absence of the Treasurer.
6.0 ETHICS AND CONFLICTS OF INTEREST
Officers and employees involved in the investment process shall refrain from personal
business activity that could conflict with proper execution of the investment program or
which could impair their ability to make impartial investment decisions. Employees and
investment officials are required to file annual disclosure statements as required for “public
officials who manage public investments” (as defined and required by the Political Reform
Act and related regulations, being Government Code Sections 81000 and the Fair Political
Practices Commission [FPPC]).
4.3.b
Packet Pg. 38
3
7.0 AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS
The Treasurer (or Finance Director) will maintain a list of approved financial institutions
authorized to provide investment services to the public agency in the S tate of California.
A determination should be made to insure that all approved broker/dealer firms and
individuals covering the City of Diamond Bar are reputable and trustworthy. In addition,
the broker/dealer firms should have the ability to meet all of their financial obligations in
dealing with the City of Diamond Bar. The firms and individuals covering the City of
Diamond Bar should be knowledgeable and experienced in Public Agency investing and
the investment products involved. No public deposit sh all be made except in a qualified
public depository as established by State law. All financial institutions and broker/dealers
who desire to conduct investment transactions with the City of Diamond Bar must supply
the City Treasurer or the Finance Director with the following: audited financial statements,
proof of NASD certification, trading resolution, proof of State of California registration,
completed broker/dealer questionnaire, certification of having read the City of Diamond
Bar’s investment policy and depository contracts.
An annual review of the financial condition and registrations of qualified bidders will be
conducted by the Treasurer or the Finance Director. A current audited financial statement
is required to be on file for each financial institution and broker/dealer with which the City
of Diamond Bar invests.
8.0 AUTHORIZED AND SUITABLE INVESTMENTS
The City’s investments are governed by the California Government Code (CGC). Specific
types of investments are defined in CGC 53635. Also, CGC 53635.2 permits the use of
CGC 53601 investment instruments, therefore, both CGC 53601 et seq. and CGC 53635
et seq. are the governing sections pertaining to legal investments. Investments will only
be made in authorized securities with a maturity date of five (5) years or less from the
transaction settlement date.
For the purpose of these investments, the compliance with the investment percentage(s),
in regards to the total investment portfolio, shall be calculated on the date the investment
is acquired. If the percentage is legally compliant on the date of purchase, then
compliance with the law shall have been met.
4.3.b
Packet Pg. 39
4
Investment California Legal Requirements
City of Diamond Bar Requirements
Government Obligations:
U.S. Treasury and Agency Obligations
(U.S. Treasury obligations are bills, notes
and bonds issued by and direct obligations
of the U.S. Government. Agency
obligations are notes and bonds of Federal
agencies and government sponsored
enterprises, although not direct obligations
of the Treasury, they involve federal
sponsorship or guarantees)
Authorized by CGC 53601(b), (f)
1. No limit on amount in the portfolio
Bankers Acceptances
(A draft or bill of exchange accepted by a
bank or trust company and brokered to
investors in a secondary market. Its
purpose is to facilitate trade and provide
liquidity to the import-export markets).
Authorized by CGC 53601(g)
1. Not to exceed 180 days
2. Not to exceed 40% of portfolio
3. Not to exceed 30% of portfolio if done
with one bank.
Commercial Paper
(Short term, unsecured, promissory notes
issued by firms in the open market. These
notes are generally backed by a bank
credit facility, guarantee/bond of indemnity
or some other support agreement.
Authorized by CGC 53601 (h), CGC
53601.2 & CGC 53635 (a)
1. Not to exceed 270 days
2. Not to exceed 25% of portfolio
3. No more than 10% of portfolio may be
invested in a single issuer
4. Must be rated P-1 by Moody’s Investors
Service or A-1 by Standard and Poor’s
Medium Term Notes
(Corporate notes, deposit notes and bank
notes sold by an agent in the open market
on a continually offered basis. These
notes are debt obligations generally
unsecured, although some issues come to
market on a collateralized or securitized
basis.
Authorized by CGC 53601 (k), CGC
53601.2
1. Must have an minimum “A” rating
2. Not to exceed 30% of portfolio
3. Not to exceed 5% of portfolio with single
issuer
Negotiable Certificates of Deposit
(Issued by commercial banks and thrift
institutions against funds deposited for
specified periods of time and earn
specified or variable rates of interest.
NCD’s differ from other CD’s because of
their increased liquidity as they are actively
traded on the secondary market. These
deposits are uninsured and
uncollateralized promissory notes.
Authorized by CGC 53601 (i), GCC 53638
1. Not to exceed 30% portfolio
2. All purchases must be from institutions
rated by a nationally recognized rating
organization as designated by the Security
and Exchange Commission.
4.3.b
Packet Pg. 40
5
Certificates of Deposit
(Unsecured, direct obligations of a U.S.
bank or savings & loan association.
Federal Deposit Insurance Corporation
(FDIC) coverage is provided for
government deposits, but limited to the first
$250,000 on deposit on behalf of a given
entity at a single financial institution.
California law requires that deposits of
public funds shall be collateralized if not
insured).
Authorized by CGC 53635, 53635.2,
53635.8, 53636, 53637, 53638, 53641
1. Must not exceed 30% of portfolio
2. Deposits in excess of the $250,000
FDIC insured limit shall be collateralized at
a level of 110% of market value of principal
and accrued interest.
Repurchase Agreement
(These are agreements between an
investor (the pool) who agrees to purchase
securities and a seller (broker/dealer) who
commits to repurchase these securities at
a later date at the same price, plus
interest).
Authorized by CGC 53601 (j)
1. Market value of the security must be
102% or greater, and adjusted quarterly.
2. The minimal market value of 102% can’t
be established by more than the next
business day.
3. Requires a signed Master Repurchase
Agreement from the participating bank or
broker/dealer.
Local Agency Obligations
(Bonds, notes warrants or other evidences
of indebtedness of any local agency or by
a department, board or authority of any
local agency within the 50 United States).
Authorized by CGC 53601(a)(c)(d)
1. Must comply with the financial
requirements pertaining to temporary
borrowing (TRANS, RANS, GANS) as
shown in CGC 53820 – 53858.
2. Minimum credit requirement – Issuers
must be at or above the following
investment grade from one of these rating
firms:
Standard & Poors – Sp-1 or A; Fitch – F-1
or A; Moody’s – MIG 1 or A
Money Market Funds
Shares of beneficial interest issued by
management companies. Shares
represent ownership of diversified portfolio
securities, which are redeemable at their
net asset value).
Authorized by CGC 53601 (l)
1. The pooled investments that comprise
these funds must comply with 53601 and
53630 inclusive.
Local Agency Investment Fund (LAIF)
Provides high liquidity allowing deposits to
be credited to the City’s checking account
within twenty-four (24) hours. State Pool
funds are operated directly by the Office of
the State Treasurer, who commingles state
and local funds.
Authorized by CGC 16429.1 (b)
1. No more than 60% or $75 million
whichever is less shall be invested in LAIF.
4.3.b
Packet Pg. 41
6
Supranational
United States dollar denominated senior
unsecured unsubordinated obligations
issued or unconditionally guaranteed by
the International Bank for Reconstruction
and Development, International Finance
Corporation, or Inter-American
Development Bank.
Authorized by CGC 53601 (q)
1. Maximum maturity of five years or less
2. Eligible for purchase and sale within the
United States
3. “AA” rated or better by an NRSRO
4. Not to exceed 30% of the portfolio
9.0 PROHIBITED AND RESTRICTED CATEGORIES OF INVESTMENTS
The following investments are either prohibited by law or authorized by law and prohibited
by the City Treasurer.
Inverse Floaters Prohibited by CGC 53601.6
Range Notes Prohibited by CGC 53601.6
Mortgage Derived, Interest-only Strips Prohibited by CGC 53601.6
Zero (“Strip”) Coupons Prohibited by CGC 53601.6
Futures Market Allowable by CGC 53601.6
Prohibited by City Treasurer
Options Market Allowable by CGC 53601.6
Prohibited by City Treasurer
Priority Obligations Allowable by CGC 53601 (n)
Prohibited by City Treasurer
10.0 REVIEW OF INVESTMENT PORTFOLIO
The securities held by the City of Diamond Bar must be in compliance with Section 8.0
Authorized and Suitable Investments at the time of purchase. Because some securities
may not comply with Section 8.0 subsequent to the date of purchase the City Treasurer
shall at least quarterly review the portfolio to identify those securities that do not comply.
The City Treasurer shall establish procedures to report to the City Council major and
critical incidences of noncompliance identified through the review of the portfolio.
Should any investment listed in Section 8 exceed a percentage -of-portfolio limitation due
to an incident such as fluctuation in portfolio size, the affected securities may be held to
maturity to avoid losses. When no loss is indicated, the Treasurer shall consider
rebalancing the portfolio after evaluating the expected length of time that it will be
imbalanced.
Portfolio percentage limits are in place in order to ensure diversification of the City
investment portfolio; a small temporary imbalance will not significantly impair that strategy.
11.0 COLLATERALIZATION
Collateralization will be required on two types of investments: certificates of deposit and
repurchase agreements. In order to anticipate market changes and provide a level of
security for all funds, the collateralization level will be 110% of market value of principal
and accrued interest. The City Treasurer, at his/her discretion may waive the collateral
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requirement for deposits up to the maximum dollar amount which are covered by the
Federal Deposit Insurance Corporation, currently $250,000.
12.0 SAFEKEEPING AND CUSTODY
All security transactions, including collateral for repurchase agreements, entered into by
the City of Diamond Bar shall be conducted on a delivery versus payment (DVP) basis.
Securities will be held by a third party custodian designated by the Treasurer and
evidenced by safekeeping receipts.
13.0 MAXIMUM MATURITIES
To the extent possible the City of Diamond Bar will attempt to match its investments with
anticipated cash flow requirements. The prescribed method of the City of Diamond Bar
shall be referred to as “layering” the investments. Monies not needed to cover immediate
operating costs may be invested up to a five year maturity.
14.0 INTERNAL CONTROLS
The City Treasurer and the Finance Director shall establish procedures that separate the
internal responsibility for management and accounting of the investmen t portfolio. An
analysis by an independent, external auditor shall be conducted periodically to review
internal controls, account activity and compliance with policies and procedures.
15.0 REPORTING
As required by California Government Code Section 53607, a monthly report of
investments will be provided to the City Council. The required elements of this report are
as follows:
a) Type of investment
b) Issuer
c) Date of Maturity
d) Amount of deposit or cost of security
e) Current market value of securities with maturity in excess of twelve months
f) Statement relating the report to the Statement of Investment Policy
g) Rate of interest
h) Statement that there are sufficient funds to meet the next six months' obligations
The basic premise underlying the City of Diamond Bar's investment philosophy is to
insure that money is always available when needed.
16.0 Investment Policy Adoption
The City of Diamond Bar’s investment policy shall be adopted by resolution of the City
Council. The policy shall be reviewed annually by the City Council and any modifications
made thereto must be approved by the City Council.
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Attachments: Appendix A - Broker Dealer Questionnaire
Appendix B - Glossary of Cash and Investment Management Terms
Appendix C - Local Agency Investment Fund Description
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APPENDIX A
CITY OF DIAMOND BAR
BROKER/DEALER QUESTIONNAIRE AND CERTIFICATION
1. Name of Firm:
2. Address:
3. Telephone: ( ) ( ) ______ ___ ______ __
4. Broker's Representative to the City (attach resume):
Name:
Title:
Telephone: ( )
5. Manager/Partner-in-Charge (attach resume):
Name:
Title:
Telephone: ( )
6. List all personnel who will be trading with or quoting securities to City
employees (attach resume)
Name:
Title:
Telephone: ( ) ( ) _____ _ ___ ______ __
7. Which of the above personnel have read the City's investment policy?
_________________________________________________________________
_________________________________________________________________
8. Is your firm a primary dealer in United States Government Securities?
Yes____ No____
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9. List the total volume of United States Government and Agency Securities for the last
calendar year.
Firm-wide $_______________ No. of Transactions
Your local office $__________ No. of Transactions
10. Which instruments are offered regularly by your local office?
___ Treasury Bills ___ CMO’s
___ Treasury Notes/Bonds ___ Bank CD’s
___ BA’s (domestic) ___ S & L CD’s
___ BA’s (foreign) ___ Repos
___ Commercial Paper ___ Reverse Repos
___ Agencies (specify): ___ Other (specify):
11. References -- Please identify your most directly comparable public sector clients in
our geographical area.
Entity __________________________
Contact ________________________
Telephone ( ) ___________________ ( )
Client Since
12. Have any of your clients ever sustained a loss on a securities transaction arising from a
misunderstanding or misrepresentation of the risk characteristics of the instrument? If so,
explain.
13. Has your local office ever subject to a regulatory or state/federal agency investigation for
alleged improper, fraudulent, disreputable or unfair activities related to the sale of
securities? Have any of your employees been so investigated? If so explain:
14. Has a client ever claimed in writing that your firm was responsible for investment losses?
If so, explain. _____________________________________________
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15. Explain your normal custody and delivery process. Who audits these fiduciary systems?
Can you meet safekeeping requirements? ___________________
16. How many and what percentage of your transactions failed
Last month? ___________ Last year? ______________
17. Describe the capital line and trading limits of the office that would conduct business with
the City of Diamond Bar.
18. Does your firm participate in the S.I.P.C. insurance program if not, explain.
19. What portfolio information, if any, do you require from your clients?
20. What reports, transactions, confirmations and paper trail will the City receive?
21. Does your firm offer investment training to your clients?
___Yes ___No
22. Please enclose the following:
Latest audited financial statements.
Samples of reports, transactions, and confirmations the City will receive.
Samples of research reports and/or publications that your firm regularly provides to
clients.
Complete schedule of fees and charges for various transactions.
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***CERTIFICATION***
I hereby certify that I have personally read the Statement of Investment Policy of the City
of Diamond Bar, and have implemented reasonable procedures and a system of controls
designed to preclude imprudent investment activities arising out of transactions conducted
between our firm and the City of Diamond Bar. All sales personnel will be routinely
informed of the City's investment objectives, horizons, outlooks, strategies and risk
constraints whenever we are so advised by the City. We pledge to exercise due diligence
in informing the City of Diamond Bar of all foreseeable risks associated with fina ncial
transactions conducted with our firm. Under penalties of perjury, the responses to this
questionnaire are true and accurate to the best of my knowledge.
Signed __________________________ Date
Title _____________________________
Countersignature* __________________ Date
Title _____________________________
* Company president or person in charge of government securities operations.
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Appendix B
Glossary of Cash and Investment
Management Terms
Accrued Interest. Interest earned but which has not yet been paid or received.
Agency. See "Federal Agency Securities."
Ask Price. Price at which a broker/dealer offers to sell a security to an investor. Also known as
“offered price.”
Asset Backed Securities (ABS). A fixed-income security backed by notes or receivables
against assets other than real estate. Generally issued by special purpose companies that “own”
the assets and issue the ABS. Examples include securities backed by auto loans, credit card
receivables, home equity loans, manufactured housing loans, farm equipment loans and aircraft
leases.
Average Life. The average length of time that an issue of serial bonds and/or term bonds
with a mandatory sinking fund feature is expected to be outstanding.
Bankers' Acceptance (BA's). A draft or bill of exchange drawn upon and accepted by a bank.
Frequently used to finance shipping of international goods. Used as a short-term credit instrument,
bankers' acceptances are traded at a discount from face value as a money market instrument in the
secondary market on the basis of the credit quality of the guaranteeing bank.
Basis Point. One hundredth of one percent, or 0.01%. Thus 1% equals 100 basis points.
Bearer Security. A security whose ownership is determined by the holder of the physical
security. Typically, there is no registration on the issuer’s books. Title to bearer securities is
transferred by delivery of the physical security or certificate. Also known as “physical securities.”
Benchmark Bills: In November 1999, FNMA introduced its Benchmark Bills program, a short-
term debt securities issuance program to supplement its existing discount note program. The
program includes a schedule of larger, weekly issues in three- and six-month maturities and
biweekly issues in one-year for Benchmark Bills. Each issue is brought to market via a Dutch
(single price) auction. FNMA conducts a weekly auction for each Benchmark Bill maturity and
accepts both competitive and non-competitive bids through a web based auction system. This
program is in addition to the variety of other discount note maturities, with rates posted on a daily
basis, which FNMA offers. FNMA's Benchmark Bills are unsecured general obligations that are
issued in book- entry form through the Federal Reserve Banks. There are no periodic payments
of interest on Benchmark Bills, which are sold at a discount from the principal amount and
payable at par at maturity. Issues under the Benchmark program constitute the same credit
standing as other FNMA discount notes; they simply add organization and liquidity to the short-
term Agency discount note market.
Benchmark Notes/Bonds: Benchmark Notes and Bonds are a series of FNMA “bullet” maturities
(non-callable) issued according to a pre-announced calendar. Under its Benchmark Notes/Bonds
program, 2, 3, 5, 10 and 30- year maturities are issued each quarter. Each Benchmark Notes new
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issue has a minimum size of $4 billion, 30- year new issues having a minimum size of $1
billion, with re-openings based on investor demand to further enhance liquidity. The amount
of non-callable issuance has allowed FNMA to build a yield curve in Benchmark Notes and
Bonds in maturities ranging from 2 to 30 years. The liquidity emanating from these large size
issues has facilitated favorable financing opportunities through the development of a liquid
overnight and term repo market. Issues under the Benchmark program constitute the same
credit standing as other FNMA issues; they simply add organization and liquidity to the
intermediate- and long-term Agency market.
Benchmark. A market index used as a comparative basis for measuring the performance of an
investment portfolio. A performance benchmark should represent a close correlation to
investment guidelines, risk tolerance and duration of the actual portfolio's investments.
Bid Price. Price at which a broker/dealer offers to purchase a security from an investor.
Bond Market Association (BMA). The bond market trade association representing the largest
securities markets in the world. In addition to publishing a Master Repurchase Agreement, widely
accepted as the industry standard document for Repurchase Agreements, the BMA also
recommends bond market closures and early closes due to holidays.
Bond. Financial obligation for which the issuer promises to pay the bondholder (the purchaser
or owner of the bond) a specified stream of future cash flows, including periodic interest payments
and a principal repayment.
Book Entry Securities. Securities that are recorded in a customer’s account electronically
through one of the financial markets electronic delivery and custody systems, such as the Fed
Securities wire, DTC and PTC (as opposed to bearer or physical securities). The trend is toward
a certificate-free society in order to cut down on paperwork and to diminish investors’ concerns
about the certificates themselves. The vast majority of securities are now book entry securities.
Book Value. The value at which a debt security is reflected on the holder's records at any point
in time. Book value is also called “amortized cost” as it represents the original cost of an
investment adjusted for amortization of premium or accretion of discount. Also called “carrying
value.” Book value can vary over time as an investment approaches maturity and differs from
“market value” in that it is not affected by changes in market interest rates.
Broker/Dealer. A person or firm transacting securities business with customers. A “broker”
acts as an agent between buyers and sellers, and receives a commission for these services. A
“dealer” buys and sells financial assets from its own portfolio. A dealer takes risk by owning
inventory of securities, whereas a broker merely matches up buyers and sellers. See also "Primary
Dealer."
Bullet Notes/Bonds. Notes or bonds that have a single maturity date and are non-callable.
California Local Agency Bonds: Bonds that are issued by a California county, city, city and
county, including a chartered city or county, school district, community college district, public
district, county board of education, county superintendent of schools, or any public or municipal
corporation.
Call Date. Date at which a call option may be or is exercised.
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Call Option. The right, but not the obligation, of an issuer of a security to redeem a security at
a specified value and at a specified date or dates prior to its stated maturity date. Most fixed-
income calls are a par, but can be at any previously established price. Securities issued with a
call provision typically carry a higher yield than similar securities issued without a call feature.
There are three primary types of call options (1) European - one-time calls, (2) Bermudan -
periodically on a predetermined schedule (quarterly, semi-annual, annual), and (3) American
- continuously callable at any time on or after the call date. There is usually a notice period of at
least 5 business days prior to a call date.
Callable Bonds/Notes. Securities, which contain an imbedded call option giving the issuer, the
right to redeem the securities prior to maturity at a predetermined price and time.
Certificate of Deposit (CD). Bank obligation issued by a financial institution generally offering
a fixed rate of return (coupon) for a specified period of time (maturity). Can be as long as 10
years to maturity, but most CDs purchased by public agencies are one year and under.
Collateral. Investment securities or other property that a borrower pledges to secure repayment
of a loan, secure deposits of public monies, or provide security for a repurchase agreement.
Collateralization. Process by which a borrower pledges securities, property, or other deposits
for securing the repayment of a loan and/or security.
Collateralized Mortgage Obligation (CMO). A security that pools together mortgages and
separates them into short, medium, and long-term positions (called tranches). Tranches are set
up to pay different rates of interest depending upon their maturity. Interest payments are usually
paid monthly. In “plain vanilla” CMOs, principal is not paid on a tranche until all shorter tranches
have been paid off. This system provides interest and principal in a more predictable manner. A
single pool of mortgages can be carved up into numerous tranches each with its own payment and
risk characteristics.
Commercial Paper. Short term unsecured promissory note issued by a company or financial
institution. Issued at a discount and matures for par or face value. Usually a maximum maturity
of 270 days, and given a short-term debt rating by one or more NRSROs.
Convexity. A measure of a bond's price sensitivity to changing interest rates. A high convexity
indicates greater sensitivity of a bond's price to interest rate changes.
Corporate Note. A debt instrument issued by a corporation with a maturity of greater than one
year and less than ten years.
Counterparty. The other party in a two party financial transaction. "Counterparty risk" refers to
the risk that the other party, to a transaction, will fail in its related obligations. For example,
the bank or broker/dealer in a repurchase agreement.
Coupon Rate. Annual rate of interest on a debt security, expressed as a percentage of the bond’s
face value.
Current Yield. Annual rate of return on a bond based on its price. Calculated as (coupon rate /
price), but does not accurately reflect a bond’s true yield level.
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Custody. Safekeeping services offered by a bank, financial institution or trust company, referred
to as the “custodian.” Service normally includes the holding and reporting of the customer's
securities, the collection and disbursement of income, securities settlement and market values.
Dealer. A dealer, as opposed to a broker, acts as a principal in all transactions, buying and
selling for his own account.
Delivery Versus Payment (DVP). Settlement procedure in which securities are delivered
versus payment of cash, but only after cash has been received. Most security transactions,
including those through the Fed Securities Wire system and DTC, are done DVP as a protection
for both the buyer and seller of securities.
Depository Trust Company (DTC). A firm through which members can use a computer to
arrange for securities to be delivered to other members without physical delivery of certificates.
A member of the Federal Reserve System and owned mostly by the New York Stock Exchange,
the Depository Trust Company uses computerized debit and credit entries. Most corporate
securities, commercial paper, CDs and BAs clear through DTC.
Derivatives. For hedging purposes, common derivatives are options, futures, swaps and
swaptions. All Collateralized Mortgage Obligations (“CMOs”) are derivatives. (1) Financial
instruments whose return profile is linked to, or derived from, the movement of one or more
underlying index or security, and may include a leveraging factor, or (2) financial contracts based
upon notional amounts whose value is derived from an underlying index or security (interest rates,
foreign exchange rates, equities or commodities).
Derivative Security. Financial instrument created from, or whose value depends upon, one or
more underlying assets or indexes of asset values.
Designated Bond. FFCB’s regularly issued, liquid, non-callable securities that generally have
a 2 or 3 year original maturity. New issues of Designated Bonds are $1 billion or larger. Re-
openings of existing Designated Bond issues are generally a minimum of $100 million.
Designated Bonds are offered through a syndicate of two to six dealers. Twice each month the
Funding Corporation announces its intention to issue a new Designated Bond, reopen an existing
issue, or to not issue or reopen a Designated Bond. Issues under the Designated Bond program
constitute the same credit standing as other FFCB issues; they simply add organization and
liquidity to the intermediate- and long-term Agency market.
Discount Notes. Unsecured general obligations issued by Federal Agencies at a discount.
Discount notes mature at par and can range in maturity from overnight to one year. Very
large primary (new issue) and secondary markets.
Discount Rate. Rate charged by the system of Federal Reserve Banks on overnight loans to
member banks. Changes to this rate are administered by the Federal Reserve and closely mirror
changes to the “fed funds rate.”
Discount Securities. Non-interest bearing money market instruments that are issued at discount
and redeemed at maturity for full face value. Examples include: U.S. Treasury Bills, Federal
Agency Discount Notes, Bankers' Acceptances and Commercial Paper.
Discount. The amount by which a bond or other financial instrument sells below its face
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value. See also "Premium."
Diversification. Dividing investment funds among a variety of security types, maturities,
industries and issuers offering potentially independent returns.
Dollar Price. A bond’s cost expressed as a percentage of its face value. For example, a bond
quoted at a dollar price of 95 ½, would have a principal cost of $955 per $1,000 of face value.
Duff & Phelps. One of several NRSROs that provide credit ratings on corporate and bank debt
issues.
Duration. The weighted average maturity of a security’s or portfolio’s cash flows, where the
present values of the cash flows serve as the weights. The greater the duration of a
security/portfolio, the greater its percentage price volatility with respect to changes in interest
rates. Used as a measure of risk and a key tool for managing a portfolio versus a benchmark and
for hedging risk. There are also different kinds of duration used for different purposes (e.g.
MacAuley Duration, Modified Duration).
Fannie Mae. See "Federal National Mortgage Association."
Fed Money Wire. A computerized communications system that connects the Federal Reserve
System with its member banks, certain U. S. Treasury offices, and the Washington D.C. office
of the Commodity Credit Corporation. The Fed Money Wire is the book entry system used to
transfer cash balances between banks for themselves and for customer accounts.
Fed Securities Wire. A computerized communications system that facilitates book entry
transfer of securities between banks, brokers and customer accounts, used primarily for
settlement of U.S. Treasury and Federal Agency securities.
Fed. See "Federal Reserve System."
Federal Agency Security. A debt instrument issued by one of the Federal Agencies. Federal
Agencies are considered second in credit quality and liquidity only to U.S. Treasuries.
Federal Agency. Government sponsored/owned entity created by the U.S. Congress, generally
for the purpose of acting as a financial intermediary by borrowing in the marketplace and directing
proceeds to specific areas of the economy considered to otherwise have restricted access to credit
markets. The largest Federal Agencies are GNMA, FNMA, FHLMC, FHLB, FFCB, SLMA, and
TVA.
Federal Deposit Insurance Corporation (FDIC). Federal agency that insures deposits at
commercial banks, currently to a limit of $250,000 per depositor per bank.
Federal Farm Credit Bank (FFCB). One of the large Federal Agencies. A government
sponsored enterprise (GSE) system that is a network of cooperatively-owned lending
institutions that provides credit services to farmers, agricultural cooperatives and rural utilities.
The FFCBs act as financial intermediaries that borrow money in the capital markets and use
the proceeds to make loans and provide other assistance to farmers and farm-affiliated
businesses. Consists of the consolidated operations of the Banks for Cooperatives, Federal
Intermediate Credit Banks, and Federal Land Banks. Frequent issuer of discount notes, agency
notes and callable agency securities. FFCB debt is not an obligation of, nor is it guaranteed by
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the U.S. government, although it is considered to have minimal credit risk due to its importance
to the U.S. financial system and agricultural industry. Also issues notes under its “designated note”
program.
Federal Funds (Fed Funds). Funds placed in Federal Reserve Banks by depository
institutions in excess of current reserve requirements, and frequently loaned or borrowed on an
overnight basis between depository institutions.
Federal Funds Rate (Fed Funds Rate). The interest rate charged by a depository institution
lending Federal Funds to another depository institution. The Federal Reserve influences this
rate by establishing a "target" Fed Funds rate associated with the Fed's management of monetary
policy.
Federal Home Loan Bank System (FHLB). One of the large Federal Agencies. A
government sponsored enterprise (GSE) system, consisting of wholesale banks (currently twelve
district banks) owned by their member banks, which provides correspondent banking services and
credit to various financial institutions, financed by the issuance of securities. The principal
purpose of the FHLB is to add liquidity to the mortgage markets. Although FHLB does not
directly fund mortgages, it provides a stable supply of credit to thrift institutions that make new
mortgage loans. FHLB debt is not an obligation of, nor is it guaranteed by the U.S. government,
although it is considered to have minimal credit risk due to its importance to the U.S. financial
system and housing market. Frequent issuer of discount notes, agency notes and callable agency
securities. Also issues notes under its “global note” and “TAP” programs.
Federal Home Loan Mortgage Corporation (FHLMC or "Freddie Mac"). One of the
large Federal Agencies. A government sponsored public corporation (GSE) that provides stability
and assistance to the secondary market for home mortgages by purchasing first mortgages and
participation interests financed by the sale of debt and guaranteed mortgage backed securities.
FHLMC debt is not an obligation of, nor is it guaranteed by the U.S. government, although it is
considered to have minimal credit risk due to its importance to the U.S. financial system and
housing market. Frequent issuer of discount notes, agency notes, callable agency securities and
MBS. Also issues notes under its “reference note” program.
Federal National Mortgage Association (FNMA or "Fannie Mae"). One of the large Federal
Agencies. A government sponsored public corporation (GSE) that provides liquidity to the
residential mortgage market by purchasing mortgage loans from lenders, financed by the issuance
of debt securities and MBS (pools of mortgages packaged together as a security). FNMA debt is
not an obligation of, nor is it guaranteed by the U.S. government, although it is considered to
have minimal credit risk due to its importance to the U.S. financial system and housing
market. Frequent issuer of discount notes, agency notes, callable agency securities and MBS.
Also issues notes under its “benchmark note” program.
Federal Reserve Bank. One of the 12 distinct banks of the Federal Reserve System.
Federal Reserve System (the Fed). The independent central bank system of the United States
that establishes and conducts the nation's monetary policy. This is accomplished in three major
ways: (1) raising or lowering bank reserve requirements, (2) raising or lowering the target Fed
Funds Rate and Discount Rate, and (3) in open market operations by buying and selling
government securities. The Federal Reserve System is made up of twelve Federal Reserve
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District Banks, their branches, and many national and state banks throughout the nation. It is
headed by the seven member Board of Governors known as the “Federal Reserve Board” and
headed by its Chairman.
Financial Industry Regulatory Authority, Inc (FINRA). A private corporation that acts as a
self-regulatory organization (SRO). FINRA is the successor to the National Association of
Securities Dealers, Inc. (NASD). Though sometimes mistaken for a government agency, it is a
non-governmental organization that performs financial regulation of member brokerage firms and
exchange markets. The government also has a regulatory arm for investments, the Securities and
Exchange Commission.
Fiscal Agent/Paying Agent. A bank or trust company that acts, under a trust agreement with
a corporation or municipality, in the capacity of general treasurer. The agent performs such duties
as making coupon payments, paying rents, redeeming bonds, and handling taxes relating to the
issuance of bonds.
Fitch Investors Service, Inc. One of several NRSROs that provide credit ratings on corporate
and municipal debt issues.
Floating Rate Security (FRN or “floater”). A bond with an interest rate that is adjusted
according to changes in an interest rate or index. Differs from variable-rate debt in that the
changes to the rate take place immediately when the index changes, rather than on a
predetermined schedule. See also “Variable Rate Security.”
Freddie Mac. See "Federal Home Loan Mortgage Corporation".
Ginnie Mae. See "Government National Mortgage Association".
Global Notes: Notes designed to qualify for immediate trading in both the domestic U.S. capital
market and in foreign markets around the globe. Usually large issues that are sold to investors
worldwide and therefore have excellent liquidity. Despite their global sales, global notes sold
in the U.S. are typically denominated in U.S. dollars.
Government National Mortgage Association (GNMA or "Ginnie Mae"). One of the large
Federal Agencies. Government-owned Federal Agency that acquires, packages, and resells
mortgages and mortgage purchase commitments in the form of mortgage-backed securities.
Largest issuer of mortgage pass-through securities. GNMA debt is guaranteed by the full faith
and credit of the U.S. government (one of the few agencies that is actually full faith and credit of
the U.S.).
Government Securities. An obligation of the U.S. government, backed by the full faith and
credit of the government. These securities are regarded as the highest quality of investment
securities available in the U.S. securities market. See "Treasury Bills, Notes, Bonds, and SLGS."
Government Sponsored Enterprise (GSE). Privately owned entity subject to federal
regulation and supervision, created by the U.S. Congress to reduce the cost of capital for certain
borrowing sectors of the economy such as students, farmers, and homeowners. GSEs carry the
implicit backing of the U.S. Government, but they are not direct obligations of the U.S.
Government. For this reason, these securities will offer a yield premium over U.S. Treasuries.
Some consider GSEs to be stealth recipients of corporate welfare. Examples of GSEs include:
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FHLB, FHLMC, FNMA and SLMA.
Government Sponsored Enterprise Security. A security issued by a Government Sponsored
Enterprise. Considered Federal Agency Securities.
Index. A compilation of statistical data that tracks changes in the economy or in financial markets.
Interest-Only (IO) STRIP. A security based solely on the interest payments from the bond.
After the principal has been repaid, interest payments stop and the value of the security falls
to nothing. Therefore, IOs are considered risky investments. Usually associated with mortgage-
backed securities.
Internal Controls. An internal control structure ensures that the assets of the entity are protected
from loss, theft, or misuse. The internal control structure is designed to provide reasonable
assurance that these objectives are met. The concept of reasonable assurance recognizes that 1)
the cost of a control should not exceed the benefits likely to be derived and 2) the valuation of
costs and benefits requires estimates and judgments by management. Internal controls should
address the following points:
1. Control of collusion - Collusion is a situation where two or more employees are working
in conjunction to defraud their employer.
2. Separation of transaction authority from accounting and record keeping - By
separating the person who authorizes or performs the transaction from the people who
record or otherwise account for the transaction, a separation of duties is achieved.
3. Custodial safekeeping - Securities purchased from any bank or dealer including
appropriate collateral (as defined by state law) shall be placed with an independent third
party for custodial safekeeping.
4. Avoidance of physical delivery securities - Book-entry securities are much easier
to transfer and account for since actual delivery of a document never takes place.
Delivered securities must be properly safeguarded against loss or destruction. The
potential for fraud and loss increases with physically delivered securities.
5. Clear delegation of authority to subordinate staff members - Subordinate staff
members must have a clear understanding of their authority and responsibilities to avoid
improper actions. Clear delegation of authority also preserves the internal control structure
that is contingent on the various staff positions and their respective responsibilities.
6. Written confirmation of transactions for investments and wire transfers - Due to
the potential for error and improprieties arising from telephone and electronic
transactions, all transactions should be supported by written communications and
approved by the appropriate person. Written communications may be via fax if on
letterhead and if the safekeeping institution has a list of authorized signatures.
7. Development of a wire transfer agreement with the lead bank and third-party
custodian - The designated official should ensure that an agreement will be entered into
and will address the following points: controls, security provisions, and responsibilities
of each party making and receiving wire transfers.
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Inverse Floater. A floating rate security structured in such a way that it reacts inversely to
the direction of interest rates. Considered risky as their value moves in the opposite direction of
normal fixed-income investments and whose interest rate can fall to zero.
Investment Advisor. A company that provides professional advice managing portfolios,
investment recommendations and/or research in exchange for a management fee.
Investment Adviser Act of 1940. Federal legislation that sets the standards by which investment
companies, such as mutual funds, are regulated in the areas of advertising, promotion,
performance reporting requirements, and securities valuations.
Investment Grade. Bonds considered suitable for preservation of invested capital; bonds rated
a minimum of Baa3 by Moody’s, BBB- by Standard & Poor’s, or BBB- by Fitch. Although
“BBB” rated bonds are considered investment grade, most public agencies cannot invest in
securities rated below “A.”
Liquidity. Relative ease of converting an asset into cash without significant loss of value.
Also, a relative measure of cash and near-cash items in a portfolio of assets. Also, a term
describing the marketability of a money market security correlating to the narrowness of the
spread between the bid and ask prices.
Local Agency Investment Fund (LAIF): A voluntary investment fund open to state and local
government entities and certain non-profit organizations in California in which organization pools
their funds for investment. LAIF is managed by the State Treasurer’s Office.
Long-Term Core Investment Program. Funds that are not needed within a one year period.
Market Value. The fair market value of a security or commodity. The price at which a willing
buyer and seller would pay for a security.
Mark-to-market. Adjusting the value of an asset to its market value, reflecting in the process
unrealized gains or losses.
Master Repurchase Agreement. A widely accepted standard agreement form published by
the Bond Market Association (BMA) that is used to govern and document Repurchase
Agreements and protect the interest of parties in a repo transaction.
Maturity Date. Date on which principal payment of a financial obligation is to be paid.
Medium Term Notes (MTN's). Used frequently to refer to corporate notes of medium maturity
(5-years and under). Technically, any debt security issued by a corporate or depository institution
with a maturity from 1 to 10 years and issued under an MTN shelf registration. Usually issued
in smaller issues with varying coupons and maturities, and underwritten by a variety of
broker/dealers (as opposed to large corporate deals issued and underwritten all at once in large
size and with a fixed coupon and maturity).
Money Market. The market in which short-term debt instruments (bills, commercial paper,
bankers’ acceptance, etc.) are issued and traded.
Money Market Mutual Fund (MMF). A type of mutual fund that invests solely in money
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market instruments, such as: U.S. Treasury bills, commercial paper, bankers' acceptances, and
repurchase agreements. Money market mutual funds are registered with the SEC under the
Investment Company Act of 1940 and are subject “rule 2a-7” which significantly limits average
maturity and credit quality of holdings. MMF’s are managed to maintain a stable net asset
value (NAV) of $1.00. Many MMFs carry ratings by a NRSRO.
Moody's Investors Service. One of several NRSROs that provide credit ratings on corporate and
municipal debt issues.
Mortgage Backed Securities (MBS). Mortgage-backed securities represent an ownership
interest in a pool of mortgage loans made by financial institutions, such as savings and loans,
commercial banks, or mortgage companies, to finance the borrower's purchase of a home or
other real estate. The majority of MBS are issued and/or guaranteed by GNMA, FNMA and
FHLMC. There are a variety of MBS structures, some of which can be very risky and
complicated. All MBS have reinvestment risk as actual principal and interest payments are
dependent on the payment of the underlying mortgages which can be prepaid by mortgage
holders to refinance and lower rates or simply because the underlying property was sold.
Mortgage Pass-Through Securities. A pool of residential mortgage loans with the monthly
interest and principal distributed to investors on a pro-rata basis. Largest issuer is GNMA.
Municipal Note/Bond. A debt instrument issued by a state or local government unit or public
agency. The vast majority of municipals are exempt from state and federal income tax, although
some non-qualified issues are taxable.
Mutual Fund. Portfolio of securities professionally managed by a registered investment
company that issues shares to investors. Many different types of mutual funds exist (bond,
equity, money fund); all except money market funds operate on a variable net asset value (NAV).
Negotiable Certificate of Deposit (Negotiable CD). Large denomination CDs ($100,000 and
larger) that are issued in bearer form and can be traded in the secondary market.
Net Asset Value. The market value of one share of an investment company, such as a mutual
fund. This figure is calculated by totaling a fund's assets which includes securities, cash, and any
accrued earnings, subtracting this from the fund's liabilities and dividing this total by the number
of shares outstanding. This is calculated once a day based on the closing price for each security
in the fund's portfolio. (See below.)
[(Total assets) - (Liabilities)]/(Number of shares outstanding)
NRSRO. A “Nationally Recognized Statistical Rating Organization.” A designated rating
organization that the SEC has deemed a strong national presence in the U.S. NRSROs provide
credit ratings on corporate and bank debt issues. Only ratings of a NRSRO may be used for
the regulatory purposes of rating. Includes Moody’s, S&P, Fitch and Duff & Phelps.
Offered Price. See also "Ask Price."
Open Market Operations. Federal Reserve monetary policy tactic entailing the purchase or sale
of government securities in the open market by the Federal Reserve System from and to primary
dealers in order to influence the money supply, credit conditions, and interest rates.
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Par Value. Face value, stated value or maturity value of a security.
Physical Delivery. Delivery of readily available underlying assets at contract maturity.
Portfolio. Collection of securities and investments held by an investor.
Premium. The amount by which a bond or other financial instrument sells above its face
value. See also "Discount."
Primary Dealer. Any of a group of designated government securities dealers designated by
to the Federal Reserve Bank of New York. Primary dealers can buy and sell government
securities directly with the Fed. Primary dealers also submit daily reports of market activity and
security positions held to the Fed and are subject to its informal oversight. Primary dealers are
considered the largest players in the U.S. Treasury securities market.
Prime Paper. Commercial paper of high quality. Highest rated paper is A-1+/A-1 by S&P and
P-1 by Moody’s.
Principal. Face value of a financial instrument on which interest accrues. May be less than
par value if some principal has been repaid or retired. For a transaction, principal is par
value times price and includes any premium or discount.
Prudent Investor Standard. Standard that requires that when investing, reinvesting, purchasing,
acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill,
prudence, and diligence under the circumstances then prevailing, including, but not limited to,
the general economic conditions and the anticipated needs of the agency, that a prudent person
acting in a like capacity and familiarity with those matters would use in the conduct of funds of
a like character and with like aims, to safeguard the principal and maintain the liquidity needs
of the agency. More stringent than the “prudent person” standard as it implies a level of
knowledge commensurate with the responsibility at hand.
Range Note. A type of structured note that accrues interest daily at a set coupon rate that is
tied to an index. Most range notes have two coupon levels; a higher accrual rate for the period
the index is within a designated range, the lower accrual rate for the period that the index falls
outside the designated range. This lower rate may be zero and may result in zero earnings.
Rate of Return. Amount of income received from an investment, expressed as a percentage of
the amount invested.
Realized Gains (Losses). The difference between the sale price of an investment and
its book value. Gains/losses are “realized” when the security is actually sold, as compared to
“unrealized” gains/losses which are based on current market value. See “Unrealized Gains
(Losses).”
Reference Bills: FHLMC’s short-term debt program created to supplement its existing discount
note program by offering issues from one month through one year, auctioned on a weekly or on
an alternating four-week basis (depending upon maturity) offered in sizeable volumes ($1 billion
and up) on a cycle of regular, standardized issuance. Globally sponsored and distributed,
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Reference Bill issues are intended to encourage active trading and market-making and facilitate
the development of a term repo market. The program was designed to offer predictable supply,
pricing transparency and liquidity, thereby providing alternatives to U.S. Treasury bills.
FHLMC’s Reference Bills are unsecured general corporate obligations. This program
supplements the corporation’s existing discount note program. Issues under the Reference
program constitute the same credit standing as other FHLMC discount notes; they simply add
organization and liquidity to the short-term Agency discount note market.
Reference Notes: FHLMC’s intermediate-term debt program with issuances of 2, 3, 5, 10 and 30-
year maturities. Initial issuances range from $2 - $6 billion with re-openings ranging $1 - $4 billion.
The notes are high-quality bullet structures securities that pay interest semiannually. Issues under
the Reference program constitute the same credit standing as other FHLMC notes; they simply
add organization and liquidity to the intermediate- and long-term Agency market.
Repurchase Agreement (Repo). A short-term investment vehicle where an investor agrees
to buy securities from a counterparty and simultaneously agrees to resell the securities back to
the counterparty at an agreed upon time and for an agreed upon price. The difference between
the purchase price and the sale price represents interest earned on the agreement. In effect, it
represents a collateralized loan to the investor, where the securities are the collateral. Can be
DVP, where securities are delivered to the investor’s custodial bank, or “tri-party” where the
securities are delivered to a third party intermediary. Any type of security can be used as
“collateral,” but only some types provide the investor with special bankruptcy protection under
the law. Repos should be undertaken only when an appropriate BMA approved master repurchase
agreement is in place.
Reverse Repurchase Agreement (Reverse Repo). A repo from the point of view of the original
seller of securities. Used by dealers to finance their inventory of securities by essentially
borrowing at short-term rates. Can also be used to leverage a portfolio and in this sense, can be
considered risky if used improperly.
Safekeeping. Service offered for a fee, usually by financial institutions, for the holding of
securities and other valuables. Safekeeping is a component of custody services.
Secondary Market. Markets for the purchase and sale of any previously issued financial
instrument.
Securities Lending. An arrangement between and investor and a custody bank that allows the
custody bank to “loan” the investors investment holdings, reinvest the proceeds in permitted
investments, and shares any profits with the investor. Should be governed by a securities lending
agreement. Can increase the risk of a portfolio in that the investor takes on the default risk on the
reinvestment at the discretion of the custodian.
Sinking Fund. A separate accumulation of cash or investments (including earnings on
investments) in a fund in accordance with the terms of a trust agreement or indenture, funded by
periodic deposits by the issuer (or other entity responsible for debt service), for the purpose of
assuring timely availability of moneys for payment of debt service. Usually used in connection
with term bonds.
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Spread. The difference between the price of a security and similar maturity U.S. Treasury
investments, expressed in percentage terms or basis points. A spread can also be the absolute
difference in yield between two securities. The securities can be in different markets or within
the same securities market between different credits, sectors, or other relevant factors.
Standard & Poor's. One of several NRSROs that provide credit ratings on corporate and
municipal debt issues.
STRIPS (Separate Trading of Registered Interest and Principal of Securities). Acronym
applied to U.S. Treasury securities that have had their coupons and principal repayments
separated into individual zero-coupon Treasury securities. The same technique and "strips"
description can be applied to non-Treasury securities (e.g. FNMA strips).
Structured Notes. Notes that have imbedded into their structure options such as step-up coupons
or derivative- based returns.
Supranational Debt. The debt of an international or multi-lateral financial agency used to finance
economic and infrastructure development, environmental protection, poverty reduction and
renewable energy around the world. Supranational debt is typically rated AAA by most NRSRO’s
as these entities are well-capitalized, have significant capital commitments from a diverse capital
base, conservative lending and risk management practices and strong supervision.
Swap. Trading one asset for another.
TAP Notes: Federal Agency notes issued under the FHLB TAP program. Launched in 6/99 as
a refinement to the FHLB bullet bond auction process. In a break from the FHLB’s traditional
practice of bringing numerous small issues to market with similar maturities, the TAP Issue
Program uses the four most common maturities and reopens them up regularly through a
competitive auction. These maturities (2, 3, 5 and 10 year) will remain open for the calendar
quarter, after which they will be closed and a new series of TAP issues will be opened to replace
them. This reduces the number of separate bullet bonds issued, but generates enhanced awareness
and liquidity in the marketplace through increased issue size and secondary market volume.
Tennessee Valley Authority (TVA). One of the large Federal Agencies. A wholly owned
corporation of the United States government that was established in 1933 to develop the resources
of the Tennessee Valley region in order to strengthen the regional and national economy and the
national defense. Power operations are separated from non-power operations. TVA securities
represent obligations of TVA, payable solely from TVA's net power proceeds, and are neither
obligations of nor guaranteed by the United States. TVA is currently authorized to issue debt up
to $30 billion. Under this authorization, TVA may also obtain advances from the U.S. Treasury
of up to
$150 million. Frequent issuer of discount notes, agency notes and callable agency securities.
Total Return. Investment performance measured over a period of time that includes coupon
interest, interest on interest, and both realized and unrealized gains or losses. Total return
includes, therefore, any market value appreciation/depreciation on investments held at period end.
Treasuries. Collective term used to describe debt instruments backed by the U.S.
Government and issued through the U.S. Department of the Treasury. Includes Treasury bills,
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Treasury notes, and Treasury bonds. Also a benchmark term used as a basis by which the yields
of non-Treasury securities are compared (e.g., "trading at 50 basis points over Treasuries").
Treasury Bills (T-Bills). Short-term direct obligations of the United States Government issued
with an original term of one year or less. Treasury bills are sold at a discount from face value
and do not pay interest before maturity. The difference between the purchase price of the bill
and the maturity value is the interest earned on the bill. Currently, the U.S. Treasury issues 4-
week, 13-week and 26-week T-Bills
Treasury Bonds. Long-term interest-bearing debt securities backed by the U.S. Government
and issued with maturities of ten years and longer by the U.S. Department of the Treasury.
The Treasury stopped issuing Treasury Bonds in August 2001.
Treasury Notes. Intermediate interest-bearing debt securities backed by the U.S. Government
and issued with maturities ranging from one to ten years by the U.S. Department of the Treasury.
The Treasury currently issues
2-year, 5-year and 10-year Treasury Notes.
Trustee. A bank designated by an issuer of securities as the custodian of funds and official
representative of bondholders. Trustees are appointed to insure compliance with the bond
documents and to represent bondholders in enforcing their contract with the issuer.
Uniform Net Capital Rule. SEC regulation 15C3-1 that outlines the minimum net capital ratio
(ratio of indebtedness to net liquid capital) of member firms and non-member broker/dealers.
Unrealized Gains (Losses). The difference between the market value of an investment and its
book value. Gains/losses are “realized” when the security is actually sold, as compared to
“unrealized” gains/losses which are based on current market value. See also “Realized Gains
(Losses).”
Variable-Rate Security. A bond that bears interest at a rate that varies over time based on a
specified schedule of adjustment (e.g., daily, weekly, monthly, semi-annually or annually). See
also “Floating Rate Note.”
Weighted Average Maturity (or just “Average Maturity”). The average maturity of all
securities and investments of a portfolio, determined by multiplying the par or principal value of
each security or investment by its maturity (days or years), summing the products, and dividing
the sum by the total principal value of the portfolio. A simple measure of risk of a fixed-income
portfolio.
Weighted Average Maturity to Call. The average maturity of all securities and investments
of a portfolio, adjusted to substitute the first call date per security for maturity date for those
securities with call provisions.
Yield Curve. A graphic depiction of yields on like securities in relation to remaining maturities
spread over a time line. The traditional yield curve depicts yields on U.S. Treasuries, although
yield curves exist for Federal Agencies and various credit quality corporates as well. Yield
curves can be positively sloped (normal) where longer-term investments have higher yields, or
“inverted” (uncommon) where longer-term investments have lower yields than shorter ones.
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Yield to Call (YTC). Same as “Yield to Maturity,” except the return is measured to the first call
date rather than the maturity date. Yield to call can be significantly higher or lower than a
security’s yield to maturity.
Yield to Maturity (YTM). Calculated return on an investment, assuming all cash flows from
the security are reinvested at the same original yield. Can be higher or lower than the coupon rate
depending on market rates and whether the security was purchased at a premium or discount.
There are different conventions for calculating YTM for various types of securities.
Yield. There are numerous methods of yield determination. In this glossary, see also "Current
Yield,” "Yield Curve," "Yield to Call" and "Yield to Maturity."
Appendix C
Local Agency Investment Fund
Program Description
The Local Agency Investment Fund (LAIF) is a voluntary program created by statute in
1977 as an investment alternative for California’s local governments and special districts
and it continues today under Treasurer John Chiang’s administration. The enabling
legislation for the LAIF is Section 16429.1 et seq. of the California Government Code.
This program offers local agencies the opportunity to participate in a major portfolio
which invests hundreds of millions of dollars, using the investment expertise of the
Treasurer’s Office investment staff at no additional cost to the taxpayer.
The LAIF is part of the Pooled Money Investment Account (PIMA). The PMIA began in
1955 and oversight is provided by the Pooled Money Investment Board (PMIB) and an
in-house Investment Committee. The PMIB members are the State Treasurer, Director
of Finance and State Controller.
The Local Investment Advisory Board (LIAB) provides oversight for LAIF. The Board
consists of five members as designated by statute. The Chairman is the State
Treasurer or his designated representative. Two members qualified by training and
experience in the field of investment or finance, and the State Treasurer appoints two
members who are treasurers, finance or fiscal officers or business managers employed
by any county, city or local district or municipal corporation of this state. The term of
each appointment is two years or at the pleasure of the Treasurer.
All securities are purchased under the authority of Government Code Section 16430
and 16480.4. The State Treasurer’s Office takes delivery of all securities purchased on
a delivery versus payment basis using a third party custodian. All investments are
purchased at market and a market valuation is conducted monthly.
Additionally, the PMIA has Policies, Goals, and Objectives for the portfolio to make
certain that our goals of Safety, Liquidity and Yield are not jeopardized and that prudent
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management prevails. These policies are formulated by investment staff and reviewed
by both the PMIB and the LIAB on an annual basis.
The State Treasurer’s Office is audited by the Bureau of State Audits on an annual
basis and the resulting opinion is posted to the STO website following its publication.
The Bureau of State Audits also has a continuing audit process throughout the year. All
investments and LAIF claims are audited on a daily basis by the State Con troller’s
Office as well as an in-house audit process involving three separate divisions.
Under Federal Law, the State of California cannot declare bankruptcy, thereby allowing
the Government Code Section 16429.3 to stand. This Section states that “moneys
placed with the Treasurer for deposit in the LAIF by cities, counties, special districts,
nonprofit corporations, or qualified quasi-governmental agencies shall not be subject to
either of the following: (a) transfer or loan pursuant to Sections 16310, 16312, or 16313,
or (b) impoundment or seizure by any state official or state agency.”
During the 2002 legislative session, California Government Code Section 16429.4 was
added to the LAIF’s enabling legislation. The Section states that “right of a city, co unty,
city and county, special district, nonprofit corporation, or qualified quasi-governmental
agency to withdraw its deposited moneys from the LAIF, upon demand, may not be
altered, impaired, or denied in any way, by any state official or state agency based upon
the state’s failure to adopt a State Budget by July 1 of each new fiscal year.”
The LAIF has grown from 293 participants and $468 million in 1977 to 2,366 participants
and $30.3 billion at the end of April 2020.
State Treasurer’s Office
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916)653-3001
http://www.treasurer.ca.gov/pmia-laif
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Agenda #: 5.1
Meeting Date: October 6, 2020
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: SECOND READING OF ORDINANCE NO. 02(2020) AMENDING TITLE
15 OF THE DIAMOND BAR MUNICIPAL CODE TO ADOPT BY
REFERENCE, TITLE 32, FIRE CODE, OF THE LOS ANGELES
COUNTY CODE, AS AMENDED WHICH CONSTITUTES AN
AMENDED VERSION OF THE CALIFORNIA FIRE CODE, 2019
EDITION.
STRATEGIC
GOAL:
Safe, Sustainable & Healthy Community
RECOMMENDATION:
Open public hearing to receive public testimony, approve for second reading by tit le
only and waive full reading, and adopt Ordinance No. 02(2020).
BACKGROUND:
On September 15, 2020, the City Council considered and introduced the Fire Code
Ordinance for first reading and scheduled the public hearing and adoption for the
October 6, 2020 meeting. Pursuant to Government Code Sections 50022.3 and 6066, a
public notice was advertised in the Inland Valley Daily Bulletin on September 25, 2020.
This notice must be published prior to the second reading and public hearing.
The base code adopted through the State of California is the California Fire Code. The
Los Angeles County Fire Department is the agency having jurisdiction for fire related
issues in the City of Diamond Bar. The County amends the California Fire Code to
address local climatic, topographical, and geologic conditions as required per the Health
and Safety Code Sections 13869.7, 17922, 17958, 17958.5 and 17958.7, and adopts it
as part of the Los Angeles County Fire Code. The City Council must adopt these local
amendments by ordinance so that the Fire Department and City can enforce the Los
Angeles County Fire Code; failure to do so compels the City and Fire Department to
enforce only the provisions set forth in the unamended California Fire Code.
Further specific information on the Fire Code amendments and adoption background is
5.1
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contained in the September 15, 2020 staff report , included as Attachment 2 for
reference. No changes were made by the Council at the September 15, 2020 meeting.
COMMENTS FROM OTHER AGENCIES AND ORGANIZATIONS:
The Fire Department and City Attorney have received and reviewed the proposed
California Building Code amendments, and find them to be acceptable in form and
content.
NOTICE OF PUBLIC HEARING:
Pursuant to the California Government Code 50022.3 and 6066, a public hearing notice
was published in the Inland Valley Daily Bulletin on September 25, 2020.
LEGAL REVIEW:
The City Attorney has reviewed and approved the Ordinance as to form.
PREPARED BY:
REVIEWED BY:
Attachments:
1. 5.1.a Ord. No. 2 (2020) - Fire Code
2. 5.1.b September 15, 2020 City Council Staff Report (without attachments)
5.1
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ORDINANCE NO. 02 (2020)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DIAMOND
BAR AMENDING TITLE 15 OF THE DIAMOND BAR CITY CODE AND
ADOPTING, BY REFERENCE, TITLE 32, FIRE CODE, OF THE LOS
ANGELES COUNTY CODE, AS AMENDED WHICH CONSTITUTES AN
AMENDED VERSION OF THE CALIFORNIA FIRE CODE, 2019 EDITION.
1. A. RECITALS
a. California Government Code Section 50022.1 et seq., authorizes the City of
Diamond Bar to adopt by reference the 2016 California Fire Code as set forth in
the California Code of Regulations, Title 24, Part 9.
b. Pursuant to the California Health and Safety Code Sections 13869.7, 17922,
17958, 17958.5 and 17958.7, the City may make modifications to the Title 24
building standards and requirements that it deems reasonably necessary to protect
the health, welfare and safety of the citizens of Diamond Bar because of local
climatic, geological, or topographical conditions.
c. At least one copy of each of the codes and standards identified in this Ordinance
and certified as full, true and correct copies thereof by the City Clerk of the City of
Diamond Bar have been filed in the office of the City Clerk in accordance with the
provisions of California Government Code Section 50022.6.
d. The City introduced for first reading this Ordinance on Se ptember 15, 2020, at
which time all interested persons had the opportunity to appear and be heard on
the matter of adopting the codes and standards identified in this Ordinance as
amended herein.
e. Pursuant to California Government Code Section 6066, the Ci ty published notice
of the public hearing on September 25, 2020 for the hearings set forth in
subsections (iv) above and (vi) below.
f. The City held a public hearing on October 6, 2020, at which time all interested
persons had the opportunity to appear and be heard on the matter of adopting the
codes and standards identified in this Ordinance as amended herein.
g. Any and all legal prerequisites relating to the adoption of this Ordinance have
occurred.
B. ORDINANCE
NOW, THEREFORE, the City Council of the City of Diamond Bar does hereby find,
determine and ordain as follows:
5.1.a
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Ordinance No. 2 (2020)
2
SECTION 1: Findings in Support of Modifications to Title 24 Building
Standards.
This Council does expressly find and determine that the modifications to the Title
24 building standards set forth herein are reasonably necessary to protect the health,
welfare and safety of the citizens of Diamond Bar because of the following local climatic,
geological or topographic conditions.
(1) The City is located in a seismically active area and is in close proximity to
various active faults including the Chino, Sierra Madre, Cucamonga, Whittier,
San Jacinto and Raymond Faults It is reasonably foreseeable that an
earthquake would render the City particularly vulnerable to devastation.
(2) The City has extensive hillside topography, unstable geology, watershed areas,
expansive soils, and underground streams. In addition, the regional climate
alternates between extended periods of drought and brief periods of rainfall.
For these reasons, the City is susceptible to flood conditions.
(3) Because of the above-described geological conditions within the City, and the
substantial amount of freeway, railroad, and flood control facilities throughout
the community, the City, in the event of an earthquake, may be unab le to
dispatch an adequate number of fire personnel and apparatus to suppress fires
and conduct rescue operations. Moreover, the conditions within Diamond Bar
likewise occur in surrounding communities, hereby rendering mutual aid
assistance problematic, at best.
(4) Due to the City's topography, numerous hillside fire hazard areas are located
within its boundaries.
(5) Climatic conditions within the community render it extremely likely that, in the
event of seasonal high winds and earthquake occurring, the County Fire
Department would be unable to suppress numerous fires occurring throughout
the community.
(6) Located throughout the City, as well as in the surrounding communities, are
numerous concentrations of structures which have roofs constructed of thinly
cut pieces of wood, otherwise known as untreated shakes, as well as untreated
wood shingles. These untreated wood shakes and shingles are extremely
combustible in nature.
(7) The City is located in an area climatically classified as "arid" and prone to winds
of high velocity. Moreover, due to the arid nature of the area, the weather
during the windy periods tends to be very warm and dry. The dry weather
conditions present a significant threat of wild fire to the City's undeveloped
hillsides, wildlands, and nearby homes and highly populated areas. The
potential for rapid spread of even small fires create a need for increased levels
of fire protection.
5.1.a
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Ordinance No. 2 (2020)
3
(8) Additional findings in support of adoption of more restrictive building standards
are set forth in Exhibit “A” and incorporated by reference.
The Council does hereby further expressly find and determine that the
amendments to the Title 24 building standards, set forth herein, are appropriate given the
specific local climatic, geological or topographic conditions set forth above.
SECTION 2: Chapter 16.00 of the City of Diamond Bar City Code is amended to
read, in words and figures, as follows:
CHAPTER 16.00 FIRE CODE
Sec. 16.00.010. - Adopted.
Except as hereinafter provided, Title 32, Fire Code, of the Los Angeles
County Code, as amended and in effect on April 10, 2020, which constitutes an
amended version of the California Fire Code, 2019 Edition (Part 9 of Title 24 of the
California Code of Regulations), Chapters 1 through 80, Appendix O, P, Q, and R,
and excluding all other appendices of the 2019 Edition of the California Fire Code
with errata, and adopting and incorporating herein by reference into Title 32 of the
Los Angeles County Code, the 2018 Edition of the International Fire Code,
Chapters 1 through 7, Chapters 9 and 10, Chapter 12, Chapters 20 through 37,
Chapters 50 and 51, Chapters 53 through 56, Chapters 59 through 67, Chapter
80, Appendix O, P, Q, and Appendix R is hereby adopted by reference and shall
constitute and may be cited as the Fire Code of the City of Diamond Bar.
In the event of any conflict between provisions of the California Fire Code,
2019 Edition, International Fire Code 2018 Edition, Title 32 of the Los Angeles
County Fire Code, or any amendment to the Fire Code contained in the City of
Diamond Bar Municipal Code, the provision contained in the later listed document
shall control.
A copy of Title 32 of the Los Angeles County Fire Code, along with a copy
of the California Fire Code, 2019 Edition, and the International Fire Code 2018
Edition has been deposited in the office of the city clerk and shall be at all times
maintained by the city clerk for use and examination by the public.
Sec. 16.00.020. - Amendments
This section is reserved for future use.
Sec. 16.00.030. - Amended.
Sec. 16.00.030. - Violations.
(a) Every person who violates, or who fails to comply with any of the
requirements of, any provision of the fire code, this chapter or chapter
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Ordinance No. 2 (2020)
4
16.04, or any provision of any permit or license granted hereunder, or any
rule, regulation or policy promulgated pursuant hereto, is guilty of a
misdemeanor and shall be punishable as provided in section 1.04.010 of
the Municipal Code, unless such violation is otherwise declared to be an
infraction by section 16.00.050 of this chapter. Each such violation is a
separate offense for each and every day during any portion of which such
violation is committed.
(b) Every violation determined to be an infraction hereunder is punishable in
such manner and to such extent as is provided by section 1.04.010 of the
Municipal Code.
(c) For the purposes of this section a forfeiture of bail shall be equivalent to a
conviction.
Sec. 16.00.040. – Responsibility.
Any person who personally or through another willfully, negligently, or in
violation of law sets a fire, allows a fire to be set, or allows a fire kindled or attended
by such person to escape from his or her control, allows any hazardous material
to be handled, stored or transported in a manner not in accordance with nationally
recognized standards, allows any hazardous material to escape from his or her
control, neglects to properly comply with any written notice of the chief, or willfully
or negligently allows the continuation of a violation of the fire code and
amendments thereto is liable for the expense of fighting the fire or for the expenses
incurred during a hazardous materials incident, and such expense shall be a
charge against that person. Such charge shall constitute a debt of such person
and is collectible by the public agency incurring such expenses in the same
manner as in the case of an obligation under a contract, expressed or implied.
Sec. 16.00.050. - List of infractions.
In accordance with section 16.00.030 of this chapter, the violation of the following
sections or subsections of the fire code shall be infractions:
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Section Offense
303.1 - 303.9 Asphalt kettles
304.1.1 Waste material
304.1.2 Vegetation
304.2 Combustible waste rubbish—storage
305.2 Hot ashes and spontaneous ignition sources
310.4 Removal "No smoking" sign
315.3.2. Stairway-storage under
503.4 Obstructing access roadway
505.1 Address identification
507.5.4 - 507.5.5 Obstruction of fire hydrants
507.5.6 Physical protection-fire hydrants
507.5.7 Firefighting water source markers
507.5.8 Identification-private fire hydrant
507.5.9 Private fire hydrant caps or plugs
604.5 Electrical extension cords
901.7 Failure to notify Fire Department
901.6.4.1 Signs-above ground water control valves
901.6.4.2 Locks-above ground water control valves
901.6.4.3 Identification-above ground water control
valves
906.1 - 906.10 Fire extinguishers
912.8 Identification-Fire Department connection
912.9 Breakable caps or plugs-Fire Department
connection
1009.9 Exit doors identification
1010.1.9.1 Door-operating devices
1104.3 Sign illumination
2003.2 "No Smoking" signs within aircraft hangers
2108.4 Fire extinguisher-dry cleaning plant
2108.5 No smoking signs-dry cleaning plant
2311.2.2 Waste oil storage
2403.2.7 Welding warning signs
2403.4 Operations and maintenance
2403.4.3 Metal waste cans for rags and waste
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2404.7.8.5 Filter disposal
2405.3.4 Dip tank covers
2405.4.2 Portable fire protection equipment
2406.5 Maintenance-powder coating
2407.1 Maintenance-electrostatic apparatus
2407.5.2 Signs-"Danger"
2408.5 Sources of ignition (organic peroxides)
2505.1 Housekeeping-fruit ripening room
2803.1 Lumber yards-housekeeping
2803.3.3 Combustible waste
3103.12.6.1 Exit sign illumination
3107.18 Vegetation removal
3603.2 Open flame device-boat or marina
3603.4 Rubbish containers-marina
3604.4 Portable fire extinguishers-marinas
4811.9 Fire Department access-motion picture
production locations
4811.12 Blocked or obstructed fire hydrants and
appliances
5003.5 Hazardous materials signage
5003.7.1 No smoking signs-hazardous materials
5004.11 Combustible materials clearance-hazardous
materials storage
5005.3.8 5005.3.8 Combustible materials clearance-
hazardous materials storage
5005.3.8 5005.3.8 Combustible materials clearance-
hazardous materials storage
5303.4 Markings-compressed gases
5303.5 Security-compressed gases
5701.6 Maintenance and operating
practices-flammable and combustible liquids
5704.2.3.1 "No smoking" sign
5704.3.3.4 Empty containers
6107.2 "No smoking" signs-LPG container
6107.3 Combustible material clearance LPG
container
8104 Auto wrecking yards-fire apparatus access
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SECTION 3: Any inconsistencies between the Fire Code as adopted by this
Ordinance, and the 2016 Fire Code as set forth in Part 9, of Title 24 of the California Code
of Regulations, are changes, modifications, amendments, additions or deletions thereto
authorized by California Health and Safety Sections 17958.5 and 17958.7.
SECTION 4: To the extent the provisions of this Ordinance are substantially the
same as previous provisions of the Diamond Bar Municipal Code, these provisions shall
be construed as continuations of those provisions and not as new enactments.
SECTION 5: If any section, subsection, subdivision, paragraph, sentence, clause
or phrase of this Ordinance or any part hereof or exhibit hereto is for any reason held to
be invalid, such invalidity shall not affect the validity of the remaining portions of this
Ordinance or any part thereof or exhibit thereto. The City Council of the City of Diamond
Bar hereby declares that it would have passed each section, subsection, subdivision,
paragraph, sentence, clause or phrase hereof, irrespective of the fact that any one or
more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases be
declared invalid.
SECTION 6: This ordinance shall be effective upon adoption and shall become
operative on the 5th day of November 2020.
PASSED, ADOPTED AND APPROVED this 6th day of October 2020.
Steve Tye, Mayor
ATTEST:
I, Kristina Santana, City Clerk of the City of Diamond Bar, do hereby certify that
the foregoing Ordinance was introduced at a regular meeting of the City Council of the
City of Diamond Bar held on the 15th day of September, 2020, and was finally passed at
a regular meeting of the City Council of the City of Diamond Bar held on the 6th day of
October 2020, by the following vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
__________________________
Kristina Santana, City Clerk
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Exhibit "A"
FINDINGS IN SUPPORT OF ADOPTION OF MORE
RESTRICTIVE LOCAL FIRE CODE STANDARDS
The provisions of this ordinance contain various changes, modifications, and additions
to the 2019 California Fire Code. Some of those changes are administrative in nature in
that they do not constitute changes or modifications to requirements contained in the
building standards adopted by the State Fire Marshal and published in the California
Building Standards Code. Pursuant to Health and Safety Code
Sections 17958.5, 17958.7, and 18941.5, the City Council hereby expressly finds and
determines that all of the changes and modifications to requirements contained in the
building standards published in the California Building Standards Code, contained in this
ordinance, which are not administrative in nature, are reasonably necessary because of
local climatic, geological, or topographical conditions in the City of Diamond Bar and in
the Consolidated Fire Protection District of Los Angeles County. This expressed finding
is supported and based upon the following more specific determinations:
CLIMATIC — The City of Diamond Bar is located in an area subject to climatic
conditions with long periods of low humidity and hot weather, combined with
unpredictable seasonal high winds (Santa Ana wind conditions), resulting in increased
exposure to fire risk. This combination of events creates an environment that is
conducive to rapidly spreading fires. Control of such fires requires rapid response. With
the time that is required to deal with potential obstacles from the wind, such as fallen
trees, street lights, and utility poles, in addition to the time required to climb 75 feet
vertically up flights of stairs, the ability to respond rapidly is negatively impacted.
Additionally, there is a significant increase in the amount of wind at 60 feet above the
ground. Use of aerial-type firefighting apparatus above this height would place rescue
personnel at increased risk of injury. High winds will also cause burning embers to
become airborne resulting in the rapid spread of a fire to nearby structures. Immediate
containment of a fire is the only method by which it can be controlled during high wind
conditions. In high fire severity zones, a unique combination of low humidity, strong
winds, and dry vegetation exists.
GEOLOGICAL — The City of Diamond Bar is located in the middle of the
seismically active area identified as Seismic Zone 4. The viability of the public water
system would be questionable at best after a major seismic event. Tall buildings would
become vulnerable to uncontrolled fires due to a lack of available water and a n inability
to pump sufficient quantities of any available water to floors above the 55 -foot level. A
severe seismic event has the potential to negatively impact any rescue or fire
suppression activities because it is likely to create significant physical obstacles and
logistical challenges. With the probability of strong aftershocks, there exists a need to
provide increased protection for anyone on upper floors.
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Geological conditions created by the numerous faults will result in increased fire danger
to structures, delayed Fire Department response, and unique rescue challenges.
Seismic events of sufficient magnitude will cause substantial damage to structures.
These damages are likely to be accompanied by a substantial number of fires that may
exceed the Fire Department suppression capabilities. Accordingly, built-in fire
suppression systems provide the only adequate measure to mitigate the potential
hazards from and damage caused by such fires.
The City of Diamond Bar is subject to occasional severe rainstorms. The impacts from
these rainstorms are exacerbated if hillside areas have been burned by wildland fires
because significant mud and debris flows can occur. Mud and debris flows can impair
Fire Department access or delay response times if access roads are obstructed by
mud or debris.
TOPOGRAPHICAL — The topographical conditions of the City of Diamond Bar
include many mountains, hills, and canyons which tend to accelerate the periodic high -
velocity winds by means of a Venturi effect. These canyon winds and the significant
growth of vegetation of a combustible nature increase the fire danger.
Additionally, long periods of dry, hot weather, combined with unpredictable seasonal
winds (Santa Ana wind conditions) result in increased exposure to fire risk. The hillside
areas have access roads that are narrow, steep, and contain many sharp curves, all of
which makes timely response by large fire apparatus difficult.
The specific sections of this code that constitute more restrictive building standards are
identified in the table set forth below. The more restrictive building standards contained
in this code and identified in the table below shall be applicable only in those cities served
by the District which have ratified the aforesaid sections in accordan ce with California
Health and Safety Code Section 13869.
Section Local Condition Explanation and Findings
304.1.2
Vegetation.
Climatic and
Topographical
Local amendment requiring brush clearance to maintain
defensible space for fire operations that is necessary due
to Diamond Bar's unique climate and topography to reduce
risk of fire and to minimize the spreading of fire to
structures.
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Section Local Condition Explanation and Findings
316.6.1 Structures. Climatic,
Geological, and
Topographical
Imposes additional requirements for the grounding of
construction under high-voltage transmission lines to
protect property, the public, and firefighters responding
to emergencies. Necessary due to Diamond Bar’s
unique climate and topography to reduce risk of fire, to
reduce the possibility of fires being causes by downed
high-voltage transmission lines, to minimize the
spreading of fires that may begin under transmission
lines, and to protect firefighters responding to
emergencies under transmission lines. Further
necessary because risk of fire is increased due to the
prevalence of earthquakes in Los Angeles County.
326.7 - Fire
protection facilities
required.
Climatic,
Geological, and
Topographical
Local amendment to require fire safety measures
including but not limited to water supply, firebreaks,
posting of fire watchers, access roads, restriction of
activities during high fire hazard and other conditions to
maintain reasonable fire safety. Necessary due to
Diamond Bar's unique climate and topography to reduce
risk of fire, to reduce the possibility of wildland fires
spreading to structures, and to minimize impacts of fire.
Further necessary because risk of fire is increased due to
the prevalence of earthquakes in Los Angeles County.
326.12.2Chimneys. Climatic and
Topographical
Local amendment to reduce the threat of fires by requiring
spark arrestors on chimneys that is necessary due to Los
Angeles County's unique climate and topography to
reduce risk of fire and to minimize impacts of fire. Such
spark arrestors reduce the likelihood of embers exiting a
chimney and igniting a fire.
326.14 —
Roadway
clearance.
Climatic and
Topographical
Local amendment requiring clearance of roadways to
provide adequate access for firefighting apparatus, to
create defensible space for fire operations, and to reduce
the possibility of wildland fires spreading to structures.
Necessary due to Los Angeles County's unique climate
and topography.
503.1.2 Additional
access.
Climatic,
Geological, and
Topographical
Provides for additional access requirements
necessary because of terrain, climate, or other factors
that limit access. Necessary to ensure adequate
response times due to the unique climatic and
topographical conditions that increase the risk of fires
in fire hazard severity zones. Further necessary
because risk of fire is increased due to the prevalence
of earthquakes in Los Angeles County.
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Section Local Condition Explanation and Findings
503.2.1 -
Dimensions,
503.2.1 .1 ,
503.2.1 .2,
503.2.1 .2.1
503.2.1 .2.2
503.2.1 .2.2.1
503.2.1 .2.2.2
Climatic,
Geological, and
Topographical
Requires unobstructed clearance to sky on fire apparatus
access roads with exception for protected tree species.
Necessary to prevent obstruction of access roads by tree
limbs or other obstructions and thus allow for quick
response times to fires and other emergencies. Necessary
to ensure adequate response times due to the unique
climatic and topographical conditions that increase the risk
of fires in fire hazard severity zones. Requires sufficient fire
apparatus access road widths and the location of said
roads in respect to buildings. Necessary becaus e risk of
fire and collapse is increased due to the prevalence of
earthquakes in Los Angeles County.
503.2.4
Turning radius,
503.2.5
Dead-ends,
503.2.7 Grade.
Climatic,
Geological, and
Topographical
Provides for more stringent width, turning radius, and
grade specifications for access roads to ensure access for
fire apparatus. Necessary due to unique climatic and
topographical conditions that increase the risk of fires.
Further necessary because risk of fire is increased due to
the prevalence of earthquakes in Los Angeles County.
503.4 —
Obstruction of
fire apparatus
access roads.
Climatic,
Geological, and
Topographical
Adds speed bumps and speed humps to list of prohibited
obstructions to fire apparatus access roads. Speed bumps
and speed humps reduce response times to fires and other
emergencies because fire apparatus have to slow down to
pass over them or drive around them. Necessary to ensure
adequate response times due to the unique climatic and
topographical conditions that increase the risk of fires in fire
hazard severity zones. Further necessary because risk of
fire is increased due to the prevalence of earthquakes in
Los Angeles County
access roads in
mobilehome
parks and special
occupancy parks.
Topographical parks. Necessary to ensure adequate water supply and
access to such locations due to the unique climatic and
topographical conditions that increase the risk of fires in fire
hazard severity zones. Further necessary because risk of
fire is increased due to the prevalence of earthquakes in
Los Angeles County.
504.5 Rooftop
barriers and
parapets.
Climatic,
Geological, and
Topographical
Provides various design and location requirements for solar
photovoltaic systems installed on roofs of buildings for
residential and commercial structures. Access and spacing
requirements ensure firefighter access to the roof, provide
access pathways to specific areas of the roof, provide for
venting cut-out areas, and to provide emergency egress
from the roof.
Necessary because of increased danger of fire in Los
Angeles County due to climatic and topographical conditions.
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Section Local Condition Explanation and Findings
504.5 Rooftop
barriers and
parapets.
Climatic,
Geological, and
Topographical
Provides various design and location requirements for
solar photovoltaic systems installed on roofs of buildings
for residential and commercial structures. Access and
spacing requirements ensure firefighter access to the roof,
provide access pathways to specific areas of the roof,
provide for venting cut-out areas, and to provide
emergency egress from the roof.
Necessary because of increased danger of fire in Los
Angeles County due to climatic and topo graphical
conditions.
507.2.2 Water
tanks.
Climatic,
Geological, and
Topographical
Requires installation and maintenance standards for water
tanks providing water for fire protection. Extends certain
requirements to associated support structures and piping.
Necessary due to the increased risks of fire and exposure
that are consequences of the unique climatic,
topographical, and geological conditions of Los Angeles
County. These unique conditions also increase emergency
response times, thereby increasing the time during which
these water tank s stems must remain in functional order.
507.5.1.2 Pool
draft system in
fire hazard
severity zones.
Climatic,
Geological, and
Topographical
Requires a draft hydrant for swimming pools and spas
located in the fire hazard severity zone to provide a source
of water to fight fires. Necessary because of unique
climatic and topographical conditions that increase the risk
of fires in fire hazard severity zones. Further necessary
because risk of fire is increased due to the prevalence of
earthquakes in Los Angeles County.
507.5.10 Draft
system
identification
sign.
Climatic,
Geological, and
Topographical
Provides posting of sign to notify Fire Department of draft
hydrant for swimming pools and spas in fire hazard severity
zone. Necessary because of unique climatic and
topographical conditions that increase the risk of fires in fire
hazard severity zones. Further necessary because risk of
fire is increased due to the prevalence of earthquakes in
Los Angeles County.
510.4.1 .1 ,
510.4.1 .2,
510.4.2,
510.4.2.3,
510.5, 510.5.3,
510.6.2
Emergency
responder radio
coverage.
Climatic,
Geological, and
Topographical
When the circumstances of a structure necessitate
emergency responder radio coverage systems, this
amendment specifies that this coverage be provided in
certain areas of the building at which it is critical that
emergency personnel have radio coverage. This list of
areas is built upon the list of areas that are required to be
served when a wired system is installed in lieu of an
emergency responder radio coverage system. Systems are
required to be provided with standby power for a duration
of time. Necessary due to the increased risks of fire,
earthquake damage, and electrical power interruption that
are consequences of the unique climatic, topographical,
and geological conditions of Los Angeles County. Further
necessary due to the artificial topographical physical
features of a structure or area that limit and/or interfere with
emergency radio communications for first responders.
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Section Local Condition Explanation and Findings
901 .6.4.1
Aboveground
water-control valve
signs.
Climatic,
Geological, and
Topographical
Provides signage requirements for water-control
valves to facilitate firefighter identification and use of
said valves in an emergency. Necessary because of
unique climatic and topographical conditions that
increase the risk of fires in fire hazard severity zones.
Further necessary because risk of fire is increased
due to the prevalence of earthquakes in Los Angeles
County.
510.4.1 .1 ,
510.4.1 .2,
510. 4.2,
510.4.2.3,
510.5, 510.5.3,
510.6.2 Emergency
responder radio
coverage.
Climatic,
Geological, and
Topographical
When the circumstances of a structure necessitate
emergency responder radio coverage systems, this
amendment specifies that this coverage be provided in
certain areas of the building at which it is critical that
emergency personnel have radio coverage. This list of
areas is built upon the list of areas that are required to
be served when a wired system is installed in lieu of an
emergency responder radio coverage system. Systems
are required to be provided with standby power for a
duration of time. Necessary due to the increased risks
of fire, earthquake damage, and electrical power
interruption that are consequences of the unique
climatic, topographical, and geological conditions of
Los Angeles County. Further necessary due to the
artificial topographical physical features of a structure
or area that limit and/or interfere with emergency radio
communications for first responders.
901 .6.4.4 — Clear
space around
aboveground water-
control valve.
Climatic,
Geological, and
Topographical
Provides clearance requirements for water control
valves to facilitate firefighter identification and use of
said valves in an emergency. Necessary because of
unique climatic and topographical conditions that
increase the risk of fires in fire hazard severity zones.
Further necessary because risk of fire is increased due
to the prevalence of earthquakes in Los Angeles
County.
903.2.8 Group R. Climatic,
Geological, and
Topographical
Requires that fire sprinklers be installed in
mobilehomes and manufactured homes located
outside of mobilehome parks. Necessary due to the
increased risks of fire and exposure that are
consequences of the unique climatic, topographical,
and geological conditions of Los Angeles County.
905.6.1 .1 Size. Climatic Size requirements for Class Ill standpipes to ensure
adequate fire protection system.
Necessary because of increased danger of fire in Los
Angeles County due to hot and windy conditions.
905.9 - Riser shutoff
valve supervision and
drain.
Climatic Additional requirements to fire protection system for
testing, maintenance, and operation.
Necessary because of increased danger of fire in Los
Angeles County due to hot and windy conditions.
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Section Local Condition Explanation and Findings
910.2 Where
required.
Climatic and
geological
Requires smoke and heat removal for buildings.
Necessary to increase ability of firefighters to respond to,
and fight, fires in buildings necessary because of
increased danger of fire in Los Angeles County due to hot
and windy conditions and the prevalence of earthquakes
in Los Angeles County.
910.2.3
Group S-2.
Climatic,
Geological, and
Topographical
Requires smoke and heat removal for basement level
parking garages. Necessary to increase ability of
firefighters to respond to fires in parking garages.
Necessary due to the increased risks of fire and
earthquake damage that are consequences of the
unique climatic, topographical, and geological
conditions of Los Angeles County. Further necessary
due to the artificial topographical physical features of a
structure or area that limit and/or interfere with the
ability of emergency responders to protect life, property,
and the environment.
910.3 Design
and
installation.
91 0.3.2,
910.3.2.1 ,
910.3.2.2,
910.3.2.2.1 ,
910.3.2.2.2, 91
0.3.2.3, 91 0.3.4.
Climatic,
Geological, and
Topographical
Requirements for smoke and heat vents in buildings.
Necessary due to the increased risks of fire and
earthquake damage that are consequences of the unique
climatic, topographical, and geological conditions of Los
Angeles County. Further necessary due to the artificial
topographical physical features of a structure or area that
limit and/or interfere with the ability of emergency
responders to protect life, property, and the environment.
91 0.4.3,
910.44
Geological Requirements for smoke and heat vents and
mechanical smoke removal systems in buildings.
Mechanical
smoke removal
s stems.
Necessary because of increased danger of fire in Los
Angeles County due to seismic concerns with potential
water supply issues.
912.2
Location.
Geological and
Topographical
Requires that more than one fire department connection
may be required. Necessary due to natural and artificial
local topography, and the effects of seismic activity that
could limit and/or interfere with the ability of emergency
responders to access certain locations.
912.2.1 Visible
location.
Climatic,
Topographical,
Geological
Requires fire department connections to be located
within 150 feet of a public fire hydrant and at a safe
distance from the building.
Necessary because of increased danger of fire in Los
Angeles County due to hot and windy conditions. Further
necessary because the risk of fire is increased due to the
prevalence of earthquakes in Los Angeles County.
Mechanical
smoke removal
stems.
Necessary because of increased danger of fire in Los
Angeles County due to seismic concerns with potential
water supply issues.
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Section Local Condition Explanation and Findings
912.2
Location.
Geological and
Topographical
Requires that more than one fire department connection
may be required. Necessary due to natural and artificial
local topography, and the effects of seismic activity that
could limit and/or interfere with the ability of emergency
responders to access certain locations.
912.2.1 Visible
location.
Climatic,
Topographical,
Geological
Requires fire department connections to be located
within 150 feet of a public fire hydrant and at a safe
distance from the building.
Necessary because of increased danger of fire in Los
Angeles County due to hot and windy conditions. Further
necessary because the risk of fire is increased due to the
prevalence of earthquakes in Los Angeles County.
912.8
Identification.
Climatic,
Topographical
Requires red paint on fire department connections subject
to rust or corrosion to identify them to firefighters and
protect from the elements. Necessary because of
increased danger of fire in Los Angeles County due to hot
and windy conditions.
912.9 Breakable
caps or plugs.
Climatic,
Topographical
Requires breakable caps or plugs for fire hose couplings
to protect them from the elements and to ensure easy
access to the fire department connection during fires.
Necessary because of increased danger of fire in Los
Angeles County due to hot and wind conditions.
Spray booths.
Climatic Requires spray booths to have automatic fire sprinkler
system protection under specified conditions. Necessary
because of increased danger of fire in Los Angeles
County due to hot and windy conditions. Further
necessary because the risk of fire is increased due to the
prevalence of earthquakes in Los Angeles
County.
1009.9.1
Signage for
high-rise
buildings.
Climatic,
Geological, and
Topographical
Requirements for signage warning against elevator use
in an emergency. Necessary to ensure proper notice
and evacuation in case of fire or other emergency.
Necessary because of increased danger of fire in Los
Angeles County due to hot and windy conditions.
Further necessary because risk of fire and need for
evacuation is increased due to the prevalence of
earthquakes in Los Angeles County.
1206.1 Scope,
1206.2 Stationary
storage battery
systems, 1 206.2.1
1206. 2.3,
1206.2.3.1 ,
1206.2.3.2,
1206.2.3.4.
Climatic,
Geological, and
Topographical
Require approved signage and permitting for battery
energy storage systems (ESS), including criteria
regarding hazard mitigation analysis. Necessary due to
the increased risks of fire, earthquake damage, and
unpredictable power fluctuations that are consequences
of the unique climatic, topographical, and geological
conditions of Los Angeles County. These factors also
complicate response times, water and access.
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Section Local Condition Explanation and Findings
1206.2.8.1
Location, 1206.2.8.3,
1206.2.8.6
Signage,
1206.2.8.6.1 ,
1 206.2.8.7,
Table
1206.2.8.7
1206.2.8.7.1 .
Climatic,
Geological, and
Topographical
Specifies location, separation, and signage requirements
for battery energy storage systems (ESS). Necessary due
to the increased risks of fire: earthquake damage, and
unpredictable power fluctuations that are consequences
of the unique climatic, topographical, and geological
conditions of Los Angeles County. These factors also
complicate response times, water and access.
1206.2.10, Table
1206. 2.10,
1206.2.10.3,
1206.2.10.3.1 ,
1206.2.10.6.
Climatic,
Geological, and
Topographical
Specifies design and installation requirements for various
battery technologies used in battery energy storage
systems (ESS). Necessary due to the increased risks of
fire, earthquake damage, and unpredictable power
fluctuations that are consequences of the unique climatic,
topographical, and geological conditions of Los Angeles
County. These factors also complicate response times,
water and access.
1206.2.1 1 Fire
protection and life
safety systems,
1206.2.1 1 .1 ,
1206.2.1 1 .1 .1 ,
1206.2.1 1 .1 .2,
1206.2.1 1 .1 .3,
1206.2.1 1 .1 .4,
1206.2.11 .3
1206.2.1 1 .3.1 ,
1206.2.1 1 .3 3
1206.2.1 1 .3.4
1206.2.1 1 .4,
1206.2.1 1 .5
1206.2.1 1 .5.1 ,
1206.2.1 1 .6,
1206.2.1 1 .7
Climatic,
Geological, and
Topographical
Specifies requirements for fire-extinguishing systems,
ventilation, standby power, gas detection, explosion
control, and the ability to release energy, for battery
energy storage systems (ESS). Includes references to the
code sections regarding fire department connections and
hydrants. Necessary due to the increased risks of fire,
earthquake damage, and unpredictable over fluctuations
that are consequences of the unique climatic,
topographical, and geological conditions of Los Angeles
County. These factors also complicate response times,
water and access.
1206. 2.12,
1206.2.12.1 ,
1206.2.12.2,
1206.2.12.3,
1206.2.12.4,
1206.2.12.5,
1206.2.12.6.
Climatic,
Geological, and
Topographical
Specifies signage and other requirements as based
upon the battery technology. Necessary due to the
increased risks of fire, earthquake damage, and
unpredictable power fluctuations that are
consequences of the unique climatic, topographical,
and geological conditions of Los Angeles County.
These factors also complicate response times, water
and access.
1206. 2.13,
1206.2.13.1 ,
1206.2.13.2,
1206.2.13.3,
1206.2.13.4,
1206.2.13.5,
1206.2.13.6.
Climatic,
Geological, and
Topographical
Addresses special installations of battery energy storage
systems (ESS), including those on rooftops and in parking
garages. Necessary due to the increased risks of fire,
earthquake damage, and unpredictable power fluctuations
that are consequences of the unique climatic,
topographical, and geological conditions of Los Angeles
County. These factors also complicate response times,
water and access.
5.1.a
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Ordinance No. 2 (2020)
10
Section Local Condition Explanation and Findings
1206.4,
1206.4.1 ,
1206.4.2,
1206.4.2.1 ,
1206.4.3,
1206.4.3.1 ,
1206.4.4,
1206.4.5,
1206.4.5.1 .
Climatic,
Geological, and
Topographical
Addresses installations of battery energy storage systems in
Group R-3 and R-4 occupancies. Necessary due to the
increased risks of fire, earthquake damage, and
unpredictable power fluctuations that are consequences of
the unique climatic, topographical, and geological conditions
of Los Angeles County. These factors also complicate
response times, water and access.
2007.9 _
Emergency
Helicopter
Landing
Facility (EHLF) for
high-rise buildings.
Climatic and
Topographical
Provides for additional public safety evacuation/landing
area on high-rise buildings. Necessary due to large
number of high-rise buildings in Los Angeles County and
difficulty in evacuating high-rise buildings in case of fire or
other emergency.
2007.10 - Helistops
and heliports in fire
hazard severity
zones. 2007.10.1
Surface.
Climatic and
Topographical
Provides for requirements for helistops and heliports in
fire hazard severity zones to enable helicopters and
associated water tenders and support equipment to
safely operate to conduct operations to combat fires in
those areas.
Necessary because of increased danger of fire in Los
Angeles County due to hot and windy conditions and
topography that hinders the ability for fire apparatus to gain
access to remote portions of the County.
Requires a hydrant next to helistops in fire hazard severity
zones to enable helicopters to fill their tanks to facilitate
water drops on wildland fires in those areas. Necessary
because of increased danger of fire in Los Angeles County
due to hot and windy conditions and topography that
hinders the ability for fire apparatus to gain access to
remote portions of the County.
2007.10.3
Access.
Climatic;
Topographical
Adopts requirements for fire apparatus access to helistops in
fire hazard severity zones to enable support equipment and
apparatus associated with helicopter operations to combat
fires in those areas. Necessary because of increased danger
of fire in the County due to hot and windy conditions and
topography that hinders the ability for fire apparatus to gain
access to remote portions of the County.
2404.4 — Fire
protection.
Climatic Provides for spray booths to be equipped with automatic
fire sprinklers. Necessary because of increased danger of
fire in Los Angeles County due to hot and wind conditions.
2504.6, 2507.2
-FRUIT AND
CROP
RIPENING
Climatic and
Geological
Provides requirements for fruit and crop ripening operations
to prevent ignition of ethylene gas and reduce risk of fire and
explosion. Necessary because of increased danger of fire in
Los Angeles County due to hot and windy conditions and to
reduce risk of fires and explosion from earthquakes.
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Ordinance No. 2 (2020)
11
Section Local Condition Explanation and Findings
3107.18
Combustible
vegetation.
Climatic and
Topographic
Increased clearance requirements for combustible
vegetation near tents and membrane structures. Necessary
to increase fire and life safety around such structures and to
create defensible space. Necessary because of fire risk due
to climate and unique topography of Los Angeles County.
TABLE 3206.2 Climatic and
Geological
Removes an exception for smoke and heat removal in high-
piled combustible storage.
Necessary because of unique climatic conditions that
increase the risk of fires. Further necessary because risk of
fire is increased due to the prevalence of earthquakes in
Los Angeles County.
Section Local Condition Explanation and Findings
3505.9 Flashback
prevention.
Geological Requires protective devices to be installed on fuel gas and
oxygen lines to increase safety and reduce risk of
explosion and fire. Necessary because risk of leaks or tank
failure is increased due to the prevalence of earthquakes in
Los Angeles Count
4907.1 General. Climatic and
Topographical
Local amendment providing that defensible space
requirements shall also comply with Chapter 3 of this code.
Necessary due to Los Angeles County's unique climate
and topography to reduce risk of fire and to minimize
impacts of fire in Fire Hazard Severity Zone.
5003.11.3.8 FIoor. Climatic and
Geological
Creates requirements for floors in buildings where
hazardous materials are used or stored. Necessary to
increase fire and life safety and to minimize fire danger
from hazardous materials. Necessary because risk of fire
and spillage of hazardous materials is increased due to
the prevalence of earthquakes in Los Angeles County.
Requires secondary containment of flammable and
combustible liquids that are necessary to increase fire and
life safety and to prevent fires involving flammable and
combustible liquids from spreading. Necessary because risk
of leaks or tank failure is increased due to the prevalence of
earthquakes in Los Angeles County.
5704.2.8.16.1 —
System
requirements.
Climatic and
Geological
Requires foam deluge system. Necessary because of
increased danger of fire in
Los Angeles County due to climatic conditions and
because risk of leaks or tank failure is increased due to
the prevalence of earthquakes in Los Angeles Count
5704.2.9.1 .1
Required foam fire
protection systems.
Geological and
Climatic
Requires all existing aboveground tanks exceeding 1,500
square feet of liquid surface area used for the storage of
Class I or Class Il flammable liquids to be provided with
foam fire protection. Necessary because of increased
danger of fire in Los Angeles County due to climatic
conditions and because risk of leaks or tank failure is
increased due to the prevalence of earthquakes in Los
Angeles County.
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Ordinance No. 2 (2020)
12
Section Local Condition Explanation and Findings
5704.2.9.6.1 .3 —
Location of tanks
for boil over liquids.
Geological and
Climatic
Provides for additional spacing between tanks to reduce fire
danger and help prevent fire from spreading to adjacent
tanks. Necessary because of increased danger of fire in Los
Angeles County due to climatic conditions and because risk
of leaks or tank failure is increased due to the prevalence of
earthquakes in Los Angeles County.
Construction and fire access requirements for liquid storage
rooms. Necessary because of increased danger of fire in Los
Angeles County due to climatic conditions and because risk
of explosion or container failure is increased due to the
prevalence of earthquakes in Los Angeles County.
5706.5.1 .1
Location.
Geological and
Climatic
Provides increased distances for bulk transfer and process
transfer operations so that they are farther away from the
public and other buildings. Necessary because of increased
danger of fire in Los Angeles County due to climatic
conditions and because risk of leaks or tank failure is
increased due to the prevalence of earthquakes in Los
Angeles County.
5706.5.1.19 Liquid
transfer.
Geological and
Climatic
Class l, Il, or Ill liquids shall be transferred from a tank
vehicle or tank car only into an approved atmospheric tank
or approved portable tank. Necessary because of increased
danger of fire in Los Angeles County due to climatic
conditions and because risk of leaks or tank failure is
increased due to the prevalence of earthquakes in Los
Angeles County.
6104.4 Multiple
LP gas container
installations.
Geological and
Climatic
Requirements for LP gas storage tank distances.
Necessary because of increased danger of fire in Los
Angeles County due to climatic conditions and because risk
of leaks or tank failure is increased due to the prevalence of
earthquakes in Los Angeles County.
CHAPTER 81
AUTOMOBILE
WRECKING
YARDS 8104 -
Fire apparatus
access roads.
8106-
Housekeeping.
8108 -Tires.
81 10.4 -
Batteries.
Climatic,
Geological, and
Topographical
Creates requirements for fire access roads and storage
requirements for tire storage in automobile wrecking yards.
Necessary to enable fire apparatus and firefighters to gain
access to fight fires and respond to emergencies.
Necessary due to the increased risks of fire, earthquake
damage, and unpredictable power fluctuations that are
consequences of the unique climatic, topographical, and
geological conditions of Los Angeles County. These factors
also complicate response times, water and access.
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13
Section Local Condition Explanation and Findings
APPENDIX B,
Section 8105.1 –
One and two-
family dwellings,
Group R-3 and
R-4 buildings and
townhouses.
Topographical and
Climatic
Provides for increased fire-flow in fire hazard zones to
allow for more water to be available to fight fires.
Necessary because of increased danger of fire in Los
Angeles County due to climatic and topographical
conditions.
APPENDIX B,
Section
8105.5 - Land
subdivision
projects.
Topographical and
Climatic
Provides for increased fire-flow for subdivisions of land to
allow for more water to be available to fight fires. Necessary
because of increased danger of fire in Los Angeles County
due to climatic and topographical conditions.
APPENDIX C,
Section
C102.2 Location
on street.
Topographical and
Climatic
Provides for hydrant spacing on streets to ensure hydrants
are accessible to firefighters.
Necessary because of increased danger of fire in Los
Angeles County due to climatic and topographical conditions.
APPENDIX C,
Section
C105.2 One-
family dwelling
Topographical and
Climatic
Provides for hydrant spacing to ensure that water is available
to fight fires. Necessary because of increased danger of fire
in Los Angeles County due to climatic and topographical
conditions.
APPENDIX C,
Section
C105.3 -
Buildings other
than one- and
two-family
dwellings, and
Group R-3
buildings.
Topographical and
Climatic
Provides for hydrant spacing for buildings other than One-
and Two-family Dwellings, and Group R-3 Buildings to
ensure that there is adequate water supply available to fight
fires. Necessary because of increased danger of fire in Los
Angeles County due to climatic and topographical
conditions.
APPENDIX C,
Section
C 105.4 — Cul-
de-sac hydrant
location.
Topographical and
Climatic
Provides for hydrant spacing for cul-de-sacs to ensure
that there is adequate water supply available to fight fires.
Necessary because of increased danger of fire in Los
Angeles County due to climatic and topographical
conditions.
APPENDIX C,
Section C106 -
On-site hydrants.
Topographical and
Climatic
Provides requirements for on-site hydrants to ensure that
there is adequate water supply available to fight fires.
Necessary because of increased danger of fire in Los
Angeles County due to climatic and topographical
conditions.
APPENDIX O,
Section 0103 —
General
requirements.
Topographical,
Geographic, and
Climatic
Provides various design and location requirements for
temporary haunted houses, ghost walks, and similar
amusement uses where the means of egress are not
apparent due to decorative materials, confusing sounds,
and/or visual effects. Necessary because of increased
danger of fire in Los Angeles County due to climatic and
topographical conditions and the prevalence of earthquakes
in Los Angeles
County
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Agenda #: 6.1
Meeting Date: September 15, 2020
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: FIRST READING OF ORDINANCE NO. 02 (2020) AMENDING TITLE
15 OF THE DIAMOND BAR MUNICIPAL CODE TO ADOPT, BY
REFERENCE, TITLE 32, FIRE CODE OF THE LOS ANGELES
COUNTY CODE, AS AMENDED, WHICH CONSTITUTES AN
AMENDED VERSION OF THE CALIFORNIA FIRE CODE, 2019
EDITION.
STRATEGIC
GOAL:
Safe, Sustainable & Healthy Community
RECOMMENDATION:
Introduce for first reading by title only, waive full reading of Ordinance No. 02 (2020),
and set for public hearing, second reading and adoption at the October 6, 2020 City
Council meeting.
BACKGROUND:
Every three years, the California Building Standards Commission updates the California
Building Standards Codes (“California Codes”), a compendium of construction
standards intended to ensure that buildings are constructed and renovated in a manner
that is safe, green, and provides a decent quality of life for the buildings’ occupants.
The commission published the 2019 updates in July 2019. Included among the
California Codes is the California Fire Code.
The California Codes serve as the baseline construction standards for all local
governments in the state. Cities and counties may adopt amendments to the California
Codes to enact more restrictive building standards as needed to protect the public
health, welfare and wellbeing due to local climatic, geologic and topographic conditions.
The City Council adopted the 2019 California Codes with local amendments on
December 3, 2019 [Ordinance No. 04(2019)]. For the reasons discussed below, the
ordinance did not include local amendments to the Fire Code.
Diamond Bar is one of 58 cities which are members of the Consolidated Fire Protection
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District of Los Angeles County (“District”), with fire protection services provided by the
Los Angeles County Fire Department. The District prepares the amendments to the
California Fire Code on behalf of the Fire Department’s client cities and unincorporated
portions of the County. The California Fire Code with the District amendments, is then
adopted as Title 32 of the Los Angeles County Code, and becomes the Fire Code for
the District (“District Fire Code”). Because of the District’s broad geographic jurisdiction,
amendments that address the diverse characteristics of the region commonly require
additional time to craft.
On March 10, 2020, the Board of Supervisors, acting as the governing board for the
District, adopted the 2019 District Fire Code, which then became effective beginning
April 10, 2020. The City must now ratify the District Fire Code as the Fire Code for the
City in order to delegate enforcement authority to the District Fire Chief.
ANALYSIS:
The proposed ordinance amends Title 16 of the Diamond Bar Municipal Code
incorporating the 2019 District Fire Code. The District Fire Code amendments to the
California Fire Code are reasonably necessary because of local climatic, geologic, or
topographic conditions. For the most part, the District Fire Code amendments are
simply carryovers from prior code updates. This report focuses solely on the seven new
amendments.
It should also be noted that the codification protocols followed by the California Building
Standards Commission routinely lead to extensive renumbering of identical code
provisions when comparing code updates to prior versions. This report focuses on the
actual changes in content, as detailed more fully in Attachment 2, rather than making
any attempt to cross-reference the numbering changes between the current and old
codes.
The following is a summary of the new amendments:
• Public safety plan requirements for mass gatherings have been updated for larger
events to directly reference Los Angeles County Public Health and emergency
medical services documents and protocols for monitoring and control.
• Fire apparatus access roads have been adjusted to allow long private driveways for
single family dwellings to be less than 20-feet wide under certain circumstances, and
required widths for multistory building access roads have been updated to better
correlate with field operations.
• Fire flow requirements for water tanks serving single-family dwellings have been
reduced because the prior requirements were determined to be excessively
conservative.
• Fire watch procedures were added to provide clarity on needed procedures and
qualifications.
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• Smoke and heat roof vents in high-piled combustible storage/warehouse buildings
have been adjusted to match with the State code’s requirements. (Roof vents are
required in warehouses with storage of combustible materials to prevent
accumulation of smoke within the building.)
• As a result of the increased use of electrical energy storage/battery systems, new
requirements for design, fire protection equipment, and warning signage were
added. These requirements were developed following a fire at a facility in the
Phoenix, Arizona area that caused firefighter injuries.
• Fire sprinkler requirements for manufactured homes have been updated to correlate
to recent changes adopted by the California Department of Housing and Community
Development (HCD) to require fire sprinklers in structures at mobile home parks
regulated by municipalities.
Certain provisions of the District Fire Code, including some of the new amendments for
2019, presently have little to no relevance to the City of Diamond Bar. For example,
there are currently no locally-regulated mobile home parks in the City. Nonetheless,
staff recommends adopting the District Fire Code in its entirety because some of those
standards could become applicable in the future.
For convenience, the entire text of the District Fire Code is provided under Attachment
3, and has been highlighted with underlining and strikeouts to show where the above
changes were made. Footnotes were also added to show consistency with the above
discussion, and to allow the reader to more easily see how the above revisions have
been incorporated into the language of the ordinance.
NOTICE OF PUBLIC HEARING:
Pursuant to the California Government Code 50022.3, a public hearing notice will be
published in the Inland Valley Daily Bulletin 10-days prior to the public hearing on
October 6, 2020.
PREPARED BY:
5.1.b
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REVIEWED BY:
Attachments:
1. Ordinance 02 (2020); 2019 Fire Code
2. County and District Fire Code Summary of Changes
3. County Counsel Summary Analysis of 2019 Fire Code
5.1.b
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Agenda #: 6.1
Meeting Date: October 6, 2020
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: ZONE CHANGE AND DEVELOPMENT REVIEW FOR A NEW SINGLE
FAMILY RESIDENCE LOCATED AT 1111 N. DIAMOND BAR
BOULEVARD [PLANNING CASE NO. PL2015-253].
STRATEGIC
GOAL:
Open, Engaged & Responsive Government
RECOMMENDATION:
A. Approve for Second Reading by title only, waive full reading, and adopt
Ordinance No. 01 (2020) approving the Zone Change application; and
B. Adopt Resolution No. 2020-41 denying the Development Review application
based on the Findings of Fact contained therein.
FINANCIAL IMPACT:
None.
BACKGROUND/DISCUSSION:
On September 15, 2020, the City Council conducted a noticed public hearing and took
the following actions:
1. Approved by a 4-0 vote to introduce for first reading Ordinance No. 01 (2020)
approving a Zone Change to modify the existing zoning on 1111 North Diamond Bar
Boulevard from Neighborhood Commercial (C-1) to Low Density Residential (RL) to
be consistent with the underlying Low Density Residential General Plan land use
designation. Ordinance No. 01 (2020) included in Attachment 1 is presented for
second reading and adoption.
2. Denied (by a 2-2 vote on a motion to approve) the Development Review application
to construct a new 4,333 square-foot, two-story, single-family residence on an
6.1
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11,225 square-foot vacant parcel located at 1111 North Diamond Bar Boulevard.
The Resolution (Attachment 2) articulates the reasons for denying the Development
Review application.
LEGAL REVIEW:
The City Attorney has reviewed and approved the Ordinance and Resolution as to form.
PREPARED BY:
REVIEWED BY:
Attachments:
1. 6.1.a Ordinance No. 01 (2020) to Change the Zoning Designation from C-1 to
RL
2. 6.1.b Resolution No. 2020-41 Denying the Development Review Application
6.1
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ORDINANCE NO. 01 (2020)
AN ORDINANCE OF THE CITY OF DIAMOND BAR, CALIFORNIA,
APPROVING ZONE CHANGE PLANNING CASE NO. PL2015-253 TO
AMEND THE EXISTING ZONING DISTRICT FROM NEIGHBORHOOD
COMMERCIAL (C-1) TO LOW DENSITY RESIDENTIAL (RL) FOR THE
0.26-ACRE PROPERTY LOCATED AT 1111 N. DIAMOND BAR
BOULEVARD, DIAMOND BAR, CALIFORNIA (ASSESSOR’S PARCEL
NO. 8706-008-013).
A. RECITALS
1. The property owner, James Chin Chou (Trustee), and applicant, Creative
Design Associates, filed an application for the following entitlements:
(1) Zone Change to modify the existing zoning district from Commercial
(C-1) to Low Density Residential (RL); and (2) Development Review to
construct a new 4,333 square-foot, two-story, new single family residence
located at 1111 N. Diamond Bar Boulevard, City of Diamond Bar, Los
Angeles County, California (“Project Site”).
2. California Government Code Section 65860 requires the City’s ordinance
to be consistent with the General Plan. The Zone Change results in the
General Plan land use designation and zoning district on the subject
property to be in conformance with each other.
3. The subject property is made up of one parcel totaling 11,225 square feet
(0.26 acre). It is located in the Neighborhood Commercial (C-1) zone with
an underlying General Plan land use designation of Low Density Residential
(RL).
4. The proposed Zone Change on the Subject Property is exempt from the
California Environmental Quality Act (CEQA), as prescribed under CEQA
Guidelines Sections 15303(a) (construction of a new single-family
residence) and 15061(b)(3) in that “it can be seen with certainty that there
is no possibility that the activity in question may have a significant effect on
the environment.” The modification will rectify an existing inconsistency
between the General Plan and Zoning Maps, and allow for development of
a single family residence. Therefore, no further environmental review is
required.
5. On July 10, 2020, notification of the public hearing for this project was
published in the San Gabriel Valley Tribune newspaper. Public hearing
notices were mailed to property owners within a 1,000-foot radius of the
project site and public notices were posted at the City’s four designated
community posting sites on July 6, 2020. In addition to the posted and
mailed notices, the project site was posted with a display board.
6.1.a
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Ordinance No. 01 (2020)
2
6. On March 24, 2020, the Planning Commission hearing was cancelled due
to the State and County COVID-19 shelter-in-place orders. On April 28,
2020, the project was postponed to the June 23, 2020 heari ng. The
applicant provided written consent to delay the hearing for up to 90 days,
which is the maximum extensions allowable under the Permit Streamlining
Act (Gov. Code §65957).
7. On June 12, 2020, public hearing notices were mailed to property owners
within a 1,000-foot radius of the Project site. On June 12, 2020, notification
of the public hearing for this project was published in the San Gabriel Valley
Tribune newspaper. A notice display board was posted at the site, and a
copy of the notice was posted at the City's four designated community
posting sites.
8. On June 23, 2020, the Planning Commission of the City of Diamond Bar
conducted a duly noticed public hearing, solicited testimony from all
interested individuals, concluded said hearing, and by a 4 -1 vote,
recommended that the City Council approve the Project.
9. On July 21, 2020, the City Council of the City of Diamond Bar conducted a
duly-noticed public hearing, solicited testimony from all interested
individuals, and by a 3-2 vote, remanded the matter back to the Planning
Commission for a physical public hearing to enable the public to provide
testimony on the proposed project in person.
10. On August 25, 2020, the Planning Commission of the City of Diamond Bar
conducted a duly noticed public hearing, solicited testimony from all
interested individuals, concluded said hearing, and again recommended, by
a 4-1 vote, that the City Council approve the Project.
11. On September 15, 2020, the City Council of the City of Diamond Bar
conducted a duly noticed public hearing, solicited testimony from all
interested individuals, and concluded said hearing on that date.
12. The City Council has determined that the proposed Zone Change
represents a consistent, logical, appropriate and rational land use
designation and implementing tool that furthers the goals and objectives of
the City of Diamond Bar General Plan.
13. The documents and materials constituting the administrative record of the
proceedings upon which the City’s decision is based are located at the City
of Diamond Bar, Community Development Department, Planning Division,
21810 Copley Drive, Diamond Bar, CA 91765.
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Ordinance No. 01 (2020)
3
NOW, THEREFORE, the City Council of the City of Diamond Bar does hereby
ordain as follows:
SECTION 1. That all of the facts set forth in the Recitals, Part A, of this Ordinance
are true and correct.
SECTION 2. The City Council does hereby find, as required by Municipal Code
Section 22.70.050 and in conformance with California Government Code Section 65853
and 65860, that the Zone Change for Planning Case No. PL2015 -253 is consistent with
the General Plan, as follows:
a. The amendment to the Zoning Map is internally consistent with the General
Plan and other adopted goals and policies of the City.
b. The Zoning Map does not currently reflect the General Plan land use
designation for the property. Zone Change Planning Case No. PL2015-253 will
place the City’s Zoning Map in conformance with the General Plan land use
designation of Low Density Residential (RL).
SECTION 3. The Community Development Director shall modify the Official
Zoning Map in accordance with this Ordinance to indicate thereon that the real property
located at 1111 N. Diamond Bar Boulevard as attached herein as Exhibit A, is designated
as Low Density Residential (RL).
SECTION 4. The City Clerk shall certify to the passage and adoption of this
Ordinance, causing it to be published as required by law, and it shall be effective thirty
dates after its adoption.
SECTION 5. The City shall forthwith transmit a certified copies of this Ordinance,
by certified mail, to: James Chin Chou, 1359 Bentley Court, West Covina, CA 91791.
PASSED, APPROVED AND ADOPTED this 6th day of October, 2020, by the City
Council of the City of Diamond Bar.
__________________________
Steve Tye, Mayor
6.1.a
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Ordinance No. 01 (2020)
4
ATTEST:
I, Kristina Santana, City Clerk of the City of Diamond Bar, do hereby certify that
the foregoing Ordinance was introduced at a regular meeting of the City Council of the
City of Diamond Bar held on the 15th day of September, 2020, and was finally passed at
a regular meeting of the City Council of the City of Diamond Bar held on the 6th day of
October 2020, by the following vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
__________________________
Kristina Santana, City Clerk
Exhibit A: Amended Zoning Map
6.1.a
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Ordinance No. 01 (2020)
5
Exhibit A
6.1.a
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RESOLUTION NO. 2020-41
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DIAMOND
BAR, CALIFORNIA (“CITY”) DENYING APPROVAL OF DEVELOPMENT
REVIEW NO. PL2015-253 TO CONSTRUCT A NEW 4,333 SQUARE-
FOOT, TWO-STORY SINGLE-FAMILY RESIDENCE WITH AN ATTACHED
748 SQAURE-FOOT THREE-CAR GARAGE ON A 0.26 ACRE LOT
LOCATED AT 1111 N. DIAMOND BAR BLVD., DIAMOND BAR, CA 91765
(APN 8706-008-013).
A. RECITALS
1. The property owner, James Chin Chou (Trustee), and applicant, Creative
Design Associates, have filed an application for the following entitlements:
(1) Zone Change to modify the existing zoning district from Commercial
(C-1) to Low Density Residential (RL); and (2) Development Review to
construct a new 4,333 square-foot, two-story single-family residence with
an attached 748 square-foot three-car garage located at 1111 N. Diamond
Bar Boulevard, Diamond Bar, County of Los Angeles, California (“Project
Site”).
2. On March 13, 2020, notification of the public hearing for this project was
published in the San Gabriel Valley Tribune newspaper. Public hearing
notices were mailed to property owners within a 1,000 -foot radius of the
project site and were posted at the City’s four designated community
posting sites on March 6, 2020. In addition to the posted and mailed
notices, the project site was posted with a display board.
3. On March 24, 2020, the Planning Commission hearing was cancelled due
to the State and County COVID-19 shelter-in-place orders. On April 28,
2020, the project was postponed to the June 23, 2020 hearing. The
applicant provided written consent to delay the hearing for up to 90 days,
which is the maximum extensions allowable under the Permit Streamlining
Act (Gov. Code §65957).
4. On June 12, 2020, public hearing notices were mailed to property owners
within a 1,000-foot radius of the Project site. On June 12, 2020, notification
of the public hearing for this project was published in the San Gabriel Valley
Tribune newspaper. A notice display board was posted at the site, and a
copy of the notice was posted at the City's four designated community
posting sites.
5. On June 23, 2020, the Planning Commission of the City of Diamond Bar
conducted a duly noticed public hearing, solicited testimony from all
interested individuals, concluded said hearing, and by a 4 -1 vote,
recommended that the City Council approve the Project.
6.1.b
Packet Pg. 98
Resolution No. 2020-41
2
6. On July 21, 2020, the City Council of the City of Diamond Bar conducted a
duly-noticed public hearing, solicited testimony from all interested
individuals, and by a 3-2 vote, remanded the matter back to the Planning
Commission for a physical public hearing to enable the public to provide
testimony on the proposed project in person.
7. On August 25, 2020, the Planning Commission of the City of Diamond Bar
conducted a duly noticed public hearing, solicited testimony from all
interested individuals, concluded said hearing, and again recommended, by
a 4-1 vote, that the City Council approve the Project.
8. On September 15, 2020, the City Council of the City of Diamond Bar
conducted a duly noticed public hearing, solicited testimony from all
interested individuals, and concluded said hearing on that date.
9. After the close of the public hearing a discussion was had among the
members of the City Council as to whether to approve the Development
Review. Ultimately a motion was made and seconded to approve the
Development Review, but that motion failed on a 2 -2 vote, with Council
Member Chou being absent.
10. Pursuant to Diamond Bar Municipal Code § 22.48.030, in those situations
in which Development Review for a project also requires the approval of
another discretionary permit, the final determination is to be made by the
highest level of review authority in compliance with Table 4-1, Review
Authority. The Development Review also required the approval of a zone
map amendment, which review is vested with the City Council as set forth
in Table 4-1.
11. As a result, the decision of the Planning Commission to the City Cou ncil
was a recommendation to approve the zone map amendment and
Development Review, but final approval of both matters required a vote of
a majority of the quorum of the City Council. While the City Council
approved the zone map amendment by a 4 -0 vote, approval of the
Development Review did not garner the required three votes and thus,
failed.
12. The documents and materials constituting the administrative record of the
proceedings upon which the City’s decision is based are located at the City
of Diamond Bar, Community Development Department, Planning Division,
21810 Copley Drive, Diamond Bar, CA 91765.
B. RESOLUTIONS
NOW, THEREFORE, it is found, determined and resolved by the City Council of
the City of Diamond Bar as follows:
6.1.b
Packet Pg. 99
Resolution No. 2020-41
3
1. The City Council hereby specifically finds that all of the facts set forth in the
Recitals, Part A, of this Resolution are true and correct.
2. Based on the findings and conclusions set forth below, the proposed
Development Review on the Subject Property is denied.
3. Because the Development Review is denied, the Development Review is
exempt from the provisions of the California Environmental Quality Act
(CEQA) pursuant to the provisions of Article 19, Section 15270(a) of the
CEQA Guidelines.
C. FINDINGS OF FACT AND CONCLUSIONS
Based upon the totality of the information provided and substantial evidence in the
administrative record, the City Council finds and determines those voting against
approval of Development Review did so on the following basis:
1. The architectural design of the proposed development is not compatible
with the character of the surrounding neighborhood and will not maintain or
enhance the harmonious, orderly and attractive development contemplated
by Chapter 22.48 of the Diamond Bar Municipal Code—Development
Review Standards, the City’s Design Guidelines, the City’s General Plan, or
any applicable specific plan.
The City’s General Plan Policy LU-P-56 requires that residential
development be compatible with the prevailing character of the surrounding
neighborhood in terms of building scale, density, massing, and design. The
City’s General Plan Goal CC-G-4 also requires the preservation of the scale
and character of existing residential neighborhoods and ensure sensitive
transitions between densities and use. The City’s Design Guidelines
Architecture (1) requires compatibility with the surrounding character
including harmonious building style, form, size, color, material and roofline.
For purposes of this Development Review, the surrounding neighborhood
consists of single-family homes directly across Diamond Bar Blvd. from the
Subject Property and townhomes located directly north of the Subject
Property on the same side of Diamond Bar Blvd. The proposed single-
family residence is not compatible with the surrounding neighborhood in
terms of building, scale, density and massing in that it is twice the size of
the single-family homes across Diamond Bar Blvd. and even larger when
compared to the townhomes lying to the north. The design is not compatible
in that the contemporary architectural style is not utilized by in the single-
family neighborhood across Diamond Bar Blvd. or the townhomes just to
the north, which architecture can be described as traditional, incorporating
gabled and hipped roof forms.
6.1.b
Packet Pg. 100
Resolution No. 2020-41
4
Rather than being compatible and harmonious with the massing and
building style of the surrounding neighborhood, the proposed single -family
residence sets itself apart and distinguishes itself from the surro unding
neighborhood in both areas. While its distance from the nearest residence
somewhat minimizes its incompatibilities with the surrounding
neighborhood, it is nevertheless incompatible and the findings necessary
for General Plan compliance and under the City’s Design Guidelines cannot
be made by a majority of the City Council.
The City Council shall:
(a) Certify to the adoption of this Resolution; and
(b) Forthwith transmit a certified copy of this Resolution, by certified mail
to James Chin Chou, 1359 Bentley Court, West Covina, CA 91791.
D. RELIANCE ON RECORD
Unless otherwise provided, each and every one of the findings and conclusions in
this Resolution are based on the competent and substantial evidence, both oral
and written, contained in the entire record relating to the Development Review.
The findings and conclusions constitute the independent findings and conclusions
of the City Council in all respects and are fully and completely supported by
substantial evidence in the record as a whole. Unless otherwise provided, all
summaries of information in this Resolution are based on the substantial evidence
in the record. The absence of any particular fact from any such summary is not an
indication that a particular finding is not based in part on that fact.
PASSED, APPROVED AND ADOPTED this 6th day of October, 2020, by the
City Council of the City of Diamond Bar.
__________________________
Steve Tye, Mayor
ATTEST:
I, Kristina Santana, City Clerk for the City of Diamond Bar, hereby certify that the
foregoing resolution, was duly passed, approved and adopted by the City Council of the
City of Diamond Bar at a regular meeting held on the 6th day of October, 2020, by the
following vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
_____________________________
Kristina Santana, City Clerk
6.1.b
Packet Pg. 101
Agenda #: 6.2
Meeting Date: October 6, 2020
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: FISCAL YEAR 2020-21 APPROPRIATION ADJUSTMENTS FOR
GENERAL FUND, SPECIAL REVENUE FUNDS AND CAPITAL
PROJECT CARRYOVERS, AND FISCAL YEAR 2019-20 FINAL
ADJUSTMENTS.
STRATEGIC
GOAL:
Responsible Stewardship of Public Resources
RECOMMENDATION:
A. Approve an appropriation from General Fund reserves of $187,030.40 to carry
forward appropriations from FY 2019-20 to FY 2020-21 for previously
encumbered goods and services;
B. Approve an appropriation from various Special Revenue Funds reserves of
$805,212.26 to carry forward appropriations from FY 2019-20 to FY 2020-21 for
previously encumbered goods and services;
C. Approve an appropriation from Capital Improvement Project Fund reserves in the
amount of $498,488.78 to carry forward appropriations from FY 2019-20 to FY
2020-21 for previously encumbered goods and services;
D. Carry over the related purchase orders encumbered in FY 2019-20 in the amount
of $1,131,053.96 to FY 2020-21;
E. Approve various final budget adjustments to FY 2019-20 for additional
appropriations in various accounts including $1,586.43 for the General Fund and
$235,467.41 in Special Revenue, Capital Improvement and Internal Service
Funds; and
F. Authorize staff to pursue a Prop A Exchange with Foothill Transit in an amount
up to $800,000 for future consideration by the City Council.
BACKGROUND:
6.2
Packet Pg. 102
Each fiscal year, the City Council adopts a budget and appropriates the funds included
in that budget. The City’s budget policies state that prior year appropriations lapse
unless they are approved for carryover into the following fiscal year. Encumbrances for
previously ordered goods and services not received by June 30 th must be carried over
and re-appropriated in the new fiscal year. After FY 2019-20 was preliminarily closed,
staff was able to determine which capital projects were not completed by June 30 th and
should be carried over into the next fiscal year for completion.
ANALYSIS:
Carry Forward of General Fund Operating Appropriations
At the end of FY 2019-20 there were various goods and services encumbered but not
received or paid for, and therefore the related purchase orders must be carried over into
FY 2020-21. The carryover of these appropriations is an appropriation of General Fund
reserves because as previously stated, all appropriations lapse at the end of the prior
fiscal year. These unexpended funds must be carried over and re -appropriated in order
to complete the projects that were in progress at June 30, 2020. Attachment 1 lists
operating expenditure purchase order carryovers and the related budget adjustments in
the amount of $187,030.40 for the General Fund.
Special Revenue and Internal Service Funds Carryover Appropria tions
There were also various goods and services funded by special revenue and internal
service funds that were encumbered but not paid for by June 30, 20 20. Some of these
items include professional services related to the update of the housing element portion
of the General Plan, weed abatement services for the LLAD’s, the ongoing
implementation of the ERP system, and equipment and vehicles ordered for the City’s
fleet. Attachment 2 lists the special funds and internal funds purchase order carryovers
and related budget adjustments. Purchase orders required to be carried over total
$858,076.26 and the additional appropriation totals $805,212.26.
Capital Project Carryover Appropriations
The amount of open purchase orders at June 30, 20 20 requiring carry over into FY
2020-21 that are related to the Capital Improvement Project budget total $161,311.30.
When the budget for FY 2020-21 was approved by the City Council, it included
appropriations for new capital projects, as well as estimated carryovers for existing
projects. Often, capital projects require more than one fiscal year for completion. Now
that FY 2019-20 has been preliminarily closed, staff is able to compare the estimated
carryover appropriations already included in the FY 2020-21 budget and the actual
amount of funds still required for each project.
Attachment 3 lists capital projects in progress at year-end. The amount already
appropriated in the FY 2020-21 budget for carryover projects is $3,044,459. The
schedule compares the portion of the project that was estimated to be carried over into
6.2
Packet Pg. 103
FY 2020-21 as stated in the adopted budget and what portion of the project was actually
completed by June 30, 2020. The difference between the two is what is what requires a
re-appropriation of funds that were not included in the adopted budget. When
comparing the estimated carryover included in the FY 2020-21 budget and the amount
required to be carried over, the amounts differ by $496,488.78. Therefore, additional
appropriations for carryover projects needs to be increased in FY 2020-21 by
$496,488.78.
Final FY 2019-20 Budget Adjustments
There is one department and a couple of funds that require additional appropriations at
June 30, 2020 due to unforeseen expenditures being incurred. The department
requiring an additional appropriation is Finance in the net amount of $1,586.43. This is
due to lower than anticipated transit program volume resulting in less staff time spent on
transit pass processing activities. Salary costs were therefore charged directly to the
General Fund rather than the Proposition A Fund.
Other funds that require additional appropriations at June 30, 20 20 include the General
Plan Review Fund ($4,652.23 – transfer in from GF reserves) for supplies and
advertising, and the Waste Hauler Fund ($16,485 – appropriation from fund balance) for
the transfer to the CIP Fund for the Area 7 street project.
Also being requested for FY 2019-20 is an appropriation to the COVID-19 Relief Fund
($147,711.10). This fund was used to identify costs related to the impacts of COVID-19
including personnel costs and supplies. It is requested that this amount be appropriated
from General Fund reserves as a placeholder until it is determined if these costs will be
eligible for reimbursement from FEMA, CalOES or the CARES Act.
The Capital Improvement Project Fund requires additional FY 2019 -20 appropriations
for the various projects including the Lemon Ave Interchange Project ($2,897 from the
General Fund), Canyon Loop Trail Design ($6,847.08 from Pa rk Development funds)
due to the fact that Measure W funds were not available as anticipated, and Sycamore
Canyon Park Slope Erosion Repairs ($56,875 from Quimby) to backfill funds from
FEMA that have not been received.
Preliminary Financial Results of FY 2019-20
During the last quarter of FY 2019 -20, the COVID-19 pandemic began and with it came
extreme uncertainty related to its impact on the City’s finances. There was an
immediate impact to revenue sources such as sales tax, T ransient Occupancy Tax and
facility rental revenue. During the preparation of the FY 2020 -21 operating budget, City
staff did its best to identify various revenue sources that would be adversely affected by
the stay at home orders that were in place. General Fund revenue estimates were
reduced overall by 8.8% for the remainder of FY 2019 -20. Staff also identified where
savings would be realized by deferring certain program and maintenance expenditures.
There were reductions in both FY 2019-20 and FY 2020-21. When the City Council
adopted the FY 2020-21 budget there was no clear indication as to when businesses
would be able to open again or when the economy might bounce back.
6.2
Packet Pg. 104
Attachments 4 and 5 highlight the major revenue sources and expenditures, their
original adopted budget, the revised COVID-19 impacted budget and the actual results
for the fiscal year ended June 30, 2020. As expected, most revenue sources were
significantly lower than the original adopted budget and fell short of those projections by
over $1.8 million. When compared to the COVID-19 adjusted estimates, the year end
results were higher by $536,000. There were offsetting savings due to required
programming changes and in some instances the inability to have work performed due
to COVID-19 restrictions. The overall expenditure savings was nearly $4.0 million when
compared to the original budget and just over $3.0 million compared to the COVID-19
expected results.
In the Council report dated June 16, 2020 staff recommended the use of the “rainy day
fund” in order to bridge the budget gap brought on by the sudden onset of COVID -19.
At that time, it was recommended that Council authorize the use of $1,250,000 for FY
2019-20. Due to better than anticipated revenue results, coupled with the efforts to
reduce expenditures resulting in year-end savings, it is anticipated that the use of
contingency reserves will not be required to close FY 2019-20.
While the future still remains uncertain as to the long-term financial impacts that COVID-
19 will have on City operations, the adopted FY 2020-2021 budget still includes the use
of $850,000 in contingency reserve funds cover any budget gaps. Staff will continue to
monitor the incoming revenue sources and analyze expenditures and bring back any
recommended budget changes as necessary.
Prop A Exchange
One notable point when looking at the Special Revenue Funds expenditures is the
significant reduction in transit pass sales and Dial-A-Cab services. Both of these
programs are funded by Proposition A funds. Participation in both of these programs
continues to be significantly lower into the first quarter of FY 2020 -21. The result of the
lower participation in the programs will be an accumulation of Prop A funds that will
eventually lapse. Foothill Transit has sent out communication to its local agency
partners that they are interested in exchanging Prop A funds for General Fund funds.
The rate they are offering at this time is $0.75 on the dollar. At the end of FY 2019 -20,
the City has accumulated nearly $900,0 00 in Prop A funds. A point for discussion
would be whether or not the Council has a desire to exchange up to $800,000 of Prop A
funds which would result in $600,000 in General Fund funds in order to help with any
FY 2020-21 shortfall.
The COVID-19 crisis is not over and staff will continue to monitor and report financial
results to the City Council throughout FY 2020-21 as warranted.
PREPARED BY:
6.2
Packet Pg. 105
REVIEWED BY:
Attachments:
1. 6.2.a General Fund Carryovers
2. 6.2.b Special Revenue Funds Carryovers
3. 6.2.c CIP Carryovers
4. 6.2.d FY 19.20 Revenue Estimates
5. 6.2.e FY 19.20 Expenditure Estimates
6.2
Packet Pg. 106
Dept #Department Name Budget Actual
Open
Encumbrances
Encumbrances
Already Carried
Over (Over)/Under
PO Carryover
Requested
Carryover
Already
Included In
FY 20/21
FY 19/20
Add'l
Approp
Appropriation
Req'd From GF
Reserves
4010 City Council 189,231.00 168,608.23 - 20,622.77 - -
4020 City Attorney 397,702.31 296,708.48 48,076.91 52,916.92 48,076.91 - 48,076.91
4030 City Mgr/Clerk 1,640,521.19 1,434,183.28 4,141.50 202,196.41 4,141.50 4,141.50
4050 Finance 841,816.00 843,402.43 (1,586.43) 1,586.43 1,586.43
4060 Human Resources 449,970.01 342,511.95 107,458.06 - -
4065 Safety Program 19,800.00 7,564.92 12,235.08 -
4070 Info Systems 1,313,414.72 1,262,481.03 50,933.69 -
4093 Civic Center 642,527.00 480,069.35 3,281.71 159,175.94 3,281.71 3,281.71
4095 Public Info 692,272.00 581,246.54 111,025.46 -
4096 Economic Dev 273,139.00 235,255.30 37,883.70 -
4411 Law Enforcement 7,409,850.00 7,123,293.30 286,556.70 -
4415 Law Enf Vol Patrol 6,000.00 881.66 5,118.34 -
4421 Fire 12,500.00 7,359.00 5,141.00 -
4431 Animal Control 196,501.00 191,136.22 5,364.78 -
4440 Emergency Prep 70,050.00 22,161.44 47,888.56 -
5210 Community Dev 724,128.00 711,730.63 3,000.00 9,397.37 3,000.00 3,000.00
5220 Building & Safety 1,067,708.00 743,967.26 323,740.74 -
5230 Neighborhood Impr 307,813.00 297,282.86 10,530.14 -
5333 DB Center 1,436,163.38 1,102,370.79 - 333,792.59 -
5350 Recreation 1,992,234.31 1,573,681.83 418,552.48 - -
5510 Public Works 671,205.00 568,971.92 102,233.08 - -
5551 Engineering 1,065,007.06 647,976.38 126,840.13 290,190.55 126,840.13 - 126,840.13
5554 Road Maint 1,576,128.00 1,253,932.33 322,195.67 -
5556 Park & Fac Maint 1,472,043.00 1,251,793.48 1,690.15 218,559.37 1,690.15 1,690.15
5558 Landscape Maint 408,713.00 350,211.94 - 58,501.06 -
9915 Transfer Out 3,090,667.48 2,495,116.98 - - 595,550.50 - - - -
27,967,104.46 23,993,899.53 187,030.40 - 3,786,174.53 187,030.40 - 1,586.43 188,616.83
Open PO's to be carried over 187,030.40
Carryover's already in FY 20/21 budget -
FY 20/21 carryover appropriation req'd 187,030.40
Add'l FY 19/20 appropriation 1,586.43
188,616.83
City of Diamond Bar
General Fund
FY 2019-20 to FY 2020-21
6.2.a
Packet Pg. 107
Fund #Fund Name Exp Budget Exp Actual
Outstanding
Encumbrances (Over)/Under
PO Carryover
Requested
Carryover
Appropriation
Requested in FY
20-21 Budget
Add'l Budget
Appropriation
Required in FY
20-21
FY 19/20
Add'l Approp
-
011 Com Org Supp Fund 20,000.00 13,850.00 - 6,150.00 - -
012 Law Enforce Fund 100,000.00 - 100,000.00
015 General Plan Rev 222,535.56 154,671.33 - 67,864.23 75,364.00 52,864.00 22,500.00 4,652.23
018 Technology Reserve - - - -
020 OPEB Reserve 108,000.00 102,850.00 5,150.00 -
025 COVID-19 Fund - 147,711.10 4,000.00 (147,711.10) 4,000.00 - 4,000.00 147,711.10
107 Measure W 453,000.00 - 453,000.00
108 RMRA 1,856,043.50 376,764.69 - 1,479,278.81 -
109 Measure M 1,212,384.42 558,214.59 654,169.83 -
110 Measure R 719,492.00 689,722.04 29,769.96 -
-
111-49001 Gas Tax 1,001,782.00 1,001,782.00 - -
111-49250 Gas Tax 476,039.00 426,039.00 50,000.00 -
1,477,821.00 1,427,821.00 - 50,000.00 -
-
112-5350 Prop A 64,550.00 30,379.74 34,170.26 -
112-5553 Prop A 1,588,878.00 955,910.72 632,967.28 -
112-9915 Prop A 287,862.75 152,121.69 - 135,741.06 -
1,941,290.75 1,138,412.15 - 802,878.60 -
-
113-5553 Prop C 485,469.00 324,571.83 - 160,897.17 - -
113-9915 Prop C 894,443.16 501,758.54 - 392,684.62 -
1,379,912.16 826,330.37 - 553,581.79 -
115-5515 Int Waste Mgmt 559,770.00 495,537.40 64,232.60 -
115-9915 Int Waste Mgmt 10,000.00 10,000.00 - - - -
569,770.00 505,537.40 - 64,232.60 - - -
City of Diamond Bar
Special Revenue Funds Carryovers
FY 2019-20 to FY 2020-21
6.2.b
Packet Pg. 108
Fund #Fund Name Exp Budget Exp Actual
Outstanding
Encumbrances (Over)/Under
PO Carryover
Requested
Carryover
Appropriation
Requested in FY
20-21 Budget
Add'l Budget
Appropriation
Required in FY
20-21
FY 19/20
Add'l Approp
-
City of Diamond Bar
Special Revenue Funds Carryovers
FY 2019-20 to FY 2020-21
116-5510 Traffic Impr - - -
116-9915 Traffic Impr 110,000.00 - - 110,000.00
110,000.00 - - 110,000.00
117-9915 Sewer Mitigation 64,551.00 64,551.00 -
118-5098 Air Quality Mgmt 51,000.00 30,000.00 - 21,000.00
118-9915 Air Quality Mgmt 24,930.00 - 24,930.00
75,930.00 30,000.00 - 45,930.00
119-9915 Trails & Bikeways 108,706.27 7,919.55 100,786.72
120-9915 MTA Grant 1,228,065.54 595,620.92 632,444.62
121-9915 Waste Hauler 134,469.00 150,954.00 (16,485.00) 16,485.00
122-9915 Quimby 217,901.95 127,642.02 90,259.93
123-9915 Prop A Safe Parks - - -
124-9915 Park Dev Fund 49,114.00 49,114.00 -
125-5215 CDBG 89,464.00 58,862.09 30,601.91
125-5350 CDBG 24,443.00 25,872.91 (1,429.91)
125-9915 CDBG 160,000.00 4,596.00 155,404.00
273,907.00 89,331.00 184,576.00
6.2.b
Packet Pg. 109
Fund #Fund Name Exp Budget Exp Actual
Outstanding
Encumbrances (Over)/Under
PO Carryover
Requested
Carryover
Appropriation
Requested in FY
20-21 Budget
Add'l Budget
Appropriation
Required in FY
20-21
FY 19/20
Add'l Approp
-
City of Diamond Bar
Special Revenue Funds Carryovers
FY 2019-20 to FY 2020-21
126-4411 COPS 10,000.00 10,053.53 (53.53)
126-9915 COPS 118,154.00 87,115.00 31,039.00
128,154.00 97,168.53 30,985.47
128-4411 CLEEP 10,000.00 6,762.81 3,237.19
132-9915 Measure A 185,000.00 (250.01) 185,250.01
134-5556 Tres Hermanos 70,000.00 16,875.20 53,124.80
135-4095 PEG 68,700.00 20,736.71 47,963.29
135-9915 PEG - - -
68,700.00 20,736.71 47,963.29
138-5538 LLAD 38 337,033.76 260,331.19 - 76,702.57 - -
139-5539 LLAD 39 469,835.76 404,822.28 - 65,013.48 -
141-5541 LLAD 41 278,369.90 245,350.70 19,540.00 13,479.20 19,540.00 19,540.00
160-5516 Recycling Grant 15,900.00 6,255.14 9,644.86
161-5516 Beverage Grant 37,000.00 1,164.30 35,835.70
370-4090 Debt Service 860,806.00 860,591.26 214.74
510-4081 Self Insurance 496,451.00 414,333.00 82,118.00
6.2.b
Packet Pg. 110
Fund #Fund Name Exp Budget Exp Actual
Outstanding
Encumbrances (Over)/Under
PO Carryover
Requested
Carryover
Appropriation
Requested in FY
20-21 Budget
Add'l Budget
Appropriation
Required in FY
20-21
FY 19/20
Add'l Approp
-
City of Diamond Bar
Special Revenue Funds Carryovers
FY 2019-20 to FY 2020-21
520-4090 Vehicle Replace 172,000.00 - 95,877.66 76,122.34 95,877.66 95,877.66
520-4030 Vehicle Replace 500.00 822.28 (322.28)
520-4093 Vehicle Replace 10,500.00 9,115.32 1,384.68
520-5230 Vehicle Replace 5,400.00 4,047.54 1,352.46
520-5333 Vehicle Replace 500.00 - 500.00
520-5554 Vehicle Replace 55,500.00 17,798.03 27,955.35 9,746.62 27,955.35 27,955.35
520-5556 Vehicle Replace 39,500.00 29,938.26 - 9,561.74 - -
283,900.00 61,721.43 123,833.01 98,345.56 123,833.01 123,833.01
530-4070 Equip Replace 1,276,924.90 595,843.81 523,539.25 157,541.84 523,539.25 523,539.25
540-4093 Building Maint 10,000.00 - 10,000.00
540-5333 Building Maint 154,228.83 36,016.51 111,800.00 6,412.32 111,800.00 - 111,800.00
540-5556 Building Maint 79,741.17 50,285.46 29,455.71 -
540-9915 Building Maint 67,856.00 64,625.00 - 3,231.00 - - -
311,826.00 150,926.97 111,800.00 49,099.03 111,800.00 - 111,800.00
Total Special Rev 17,152,795.47 10,199,650.48 782,712.26 6,174,432.73 858,076.26 52,864.00 805,212.26 168,848.33
6.2.b
Packet Pg. 111
Project #Project Name Total Budget Total Exp
Required
Carryover
Carryover in
2020-21 Budget
Total Add'l FY
20/21 Carryover
Req'd
Add'l Carryover
Funding Source
Amount of
Appropriation
by Funding
Source
Total Add'l FY
19/20
Appropriation
Req'd
Add'l
Appropriation
Funding Source
Project
Status
Total Amount
of PO's to
carryover PO
01419 Residential & Collector Street Rehab Area 7 (Contruction)1,760,000.00 1,730,230.04 - - - N/A - N/A COMPLETE -
23919 Arterial Street Rehab (DBB from Mountain Laurel to Clear Creek Cyn)755,221.00 752,753.19 - - - N/A - N/A COMPLETE -
60206919 CDBG Area 1 ADA Curb Ramp Project 160,000.00 141,997.00 6,491.00 - 6,491.00 CDBG 6,491.00 N/A
COMPLETE/A
WAITING
FUNDING 6,491.00 200155
01420 Residential & Collector Street Rehab Area 1a, 1b, 2 (Design)244,779.00 152,451.25 92,327.75 82,779.00 9,548.75 Measure M 9,548.75 N/A ONGOING 68,438.75 200089
02120 Arterial Street Rehab (DBB from Pathfinder to Mountain Laurel) CONST 1,200,000.00 - 1,200,000.00 1,200,000.00 - N/A - N/A ONGOING -
24616 Adaptive Traffic Control System 1,760,000.00 1,414,977.02 90,716.81 - 90,716.81 MTA Grant 90,716.81 N/A
COMPLETE/A
WAITING
FUNDING -
24819 LED Street Name Signs 400,000.00 - - - - N/A - N/A DEFERRED -
24120 Battery Backup System - Final 11 Locations (Design/Construction)200,000.00 - 200,000.00 107,000.00 - N/A - N/A ONGOING -
23318 Lemon Ave. Quiet Zone 75,000.00 - 75,000.00 60,000.00 15,000.00 Prop C 15,000.00 N/A ONGOING -
23420 Bus Shelter Replacement - GSD/Calbourne 40,000.00 - 40,000.00 40,000.00 - N/A - N/A ONGOING -
23620 Bus Shelter Replacement - DBB/Temple Ave 40,000.00 38,363.46 38,363.46 - 38,363.46 Foothill Grant 38,363.46 N/A
COMPLETE/A
WAITING
FUNDING -
23316 Lemon Ave. Interchange Project - CON 165,000.00 2,897.00 162,103.00 - 162,103.00 Measure M 80,000.00 -
23316 Lemon Ave. Interchange Project - CON Measure R 45,000.00
23316 Lemon Ave. Interchange Project - CON Traffic Mit 37,103.00
23316 Lemon Ave. Interchange Project - CON - - - - - GF - 2,897.00 001
165,000.00 2,897.00 162,103.00 - 162,103.00 162,103.00 2,897.00 ONGOING
26019 Groundwater Drainage Improvements Phase 3 (Flapjack Design)65,000.00 - - - - N/A - N/A DEFERRED -
26019 Groundwater Drainage Improvements Phase 3 (Flapjack Construction)280,000.00 - - - - N/A - N/A DEFERRED -
26116 Sewer System Evaluation & Capacity Assurance Plan 64,551.00 64,551.00 - - - N/A - N/A COMPLETE -
26217 Diamond Bar Blvd. Streetscape (GSD - 60FWY)-Design 300,000.00 295,848.92 - - - N/A - N/A COMPLETE -
22818 Grand/GSD Intersection Enhancement 1,478,040.00 75,066.66 1,402,973.34 1,378,040.00 24,933.34 Prop C (1,758.38) N/A
- - - - - TDA 26,691.72 N/A - 12,365.13
180177,
180178
1,478,040.00 75,066.66 1,402,973.34 1,378,040.00 24,933.34 24,933.34 ONGOING 12,365.13
26319 Electric Charging Station at City Hall 63,860.00 - 63,860.00 63,860.00 - N/A N/A ONGOING
Total Public Works Projects 9,051,451.00 4,669,135.54 3,371,835.36 2,931,679.00 347,156.36 347,156.36 2,897.00 87,294.88
CITY OF DIAMOND BAR
CIP CARRYOVERS
FY 2019-20 to FY 2020-21
PUBLIC WORKS PROJECTS
6.2.c
Packet Pg. 112
Project #Project Name Total Budget Total Exp
Required
Carryover
Carryover in
2020-21 Budget
Total Add'l FY
20/21 Carryover
Req'd
Add'l Carryover
Funding Source
Amount of
Appropriation
by Funding
Source
Total Add'l FY
19/20
Appropriation
Req'd
Add'l
Appropriation
Funding Source
Project
Status
Total Amount
of PO's to
carryover PO
CITY OF DIAMOND BAR
CIP CARRYOVERS
FY 2019-20 to FY 2020-21
25414 Heritage Park Improvements (Design)170,676.00 90,544.57 - - - N/A - N/A COMPLETE -
25517 Canyon Loop Trail (Design/CEQA)140,436.00 85,110.58 55,325.42 37,780.00 17,545.42 GF 55,325.42 ONGOING 74,016.42
200049,
200159
Park Dev (37,780.00) 6,847.08 Park Dev
25517 Canyon Loop Trail (Construction)485,000.00 - - - - - - DEFERRED -
625,436.00 85,110.58 55,325.42 37,780.00 17,545.42 17,545.42 6,847.08 74,016.42
25917 Sycamore Canyon Park Slope Erosion Repairs 655,667.48 655,667.48 - - - GF - COMPLETE
25917 Sycamore Canyon Park Slope Erosion Repairs 408,609.75 367,748.00 40,861.75 40,861.75 FEMA 40,861.75 AWAITING
25917 Sycamore Canyon Park Slope Erosion Repairs 136,203.25 102,153.00 34,050.25 34,050.25 CalOES 34,050.25 FUNDING
25917 Sycamore Canyon Park Slope Erosion Repairs 122,400.00 179,275.00 56,875.00 - 56,875.00 Quimby 56,875.00 56,875.00 Quimby - -
1,322,880.48 1,304,843.48 131,787.00 - 131,787.00 131,787.00 56,875.00 - -
25819 Sycamore Canyon Creek Repair 80,000.00 - - - N/A N/A DEFERRED -
25919 Sunset Crossing Park (Design)209,564.00 59,880.00 - - - N/A N/A COMPLETE -
25120 DBC Slope Creep Repairs and Enhancements (Design)75,000.00 - 75,000.00 75,000.00 - N/A - - N/A ONGOING
Total Parks/Facilities Projects 2,483,556.48 1,540,378.63 262,112.42 112,780.00 149,332.42 149,332.42 63,722.08 74,016.42
Grand Total 11,535,007.48 6,209,514.17 3,633,947.78 3,044,459.00 496,488.78 496,488.78 66,619.08 161,311.30
PARKS/FACILITIES PROJECTS
6.2.c
Packet Pg. 113
Major Revenue Categories Original Budget COVID-19 Est. Est. % Change Actual
% Change Over
COVID-19 Est.Difference
Property Tax $5,607,160 $5,602,160 -0.1%$5,590,899 -0.2%-$11,261
Sales Tax $5,020,000 $4,265,000 -15.0%$4,846,330 13.6%$581,330
TOT $1,475,000 $1,106,250 -25.0%$1,128,386 2.0%$22,136
Franchise Tax $1,370,000 $1,370,000 0.0%$1,340,960 -2.1%-$29,040
VLF - Property Tax In Lieu $6,489,465 $6,500,485 0.2%$6,500,485 0.0%$0
Vehicle Code/Parking Fines $375,000 $320,000 -14.7%$365,961 14.4%$45,961
Building Permits $1,735,380 $1,336,927 -23.0%$1,294,516 -3.2%-$42,411
DBC Rentals $675,000 $455,000 -32.6%$258,372 -43.2%-$196,628
Recreation Fees $614,800 $409,050 -33.5%$374,577 -8.4%-$34,473
All Other General Fund Revenue $3,214,036 $2,864,586 -10.9%$3,064,926 7.0%$200,340
Subtotal $26,575,841 $24,229,458 -8.8%$24,765,412 2.2%$535,954
Major Revenue Sources Original Budget COVID-19 Est. Est. % Change Actual
% Change Over
COVID-19 Est.Difference
Measure W $900,000 $880,000 -2.2%$0 -100.0%-$880,000
RMRA - SB-1 Revenue $1,059,000 $847,200 -20.0%$995,806 17.5%$148,606
Measure M $817,913 $817,913 0.0%$718,476 -12.2%-$99,437
Measure R $721,766 $721,766 0.0%$749,606 3.9%$27,840
Gas Tax $1,496,315 $1,105,199 -26.1%$1,303,338 17.9%$198,139
Proposition A $1,160,074 $1,160,074 0.0%$1,111,697 -4.2%-$48,377
Transit Pass Sales $744,000 $744,000 0.0%$432,626 -41.9%-$311,374
Proposition C $962,251 $962,251 0.0%$922,155 -4.2%-$40,096
Subtotal $7,861,319 $7,238,403 -7.9%$6,233,704 -13.9%-$1,004,699
FY 2019/2020 (thru 6/30/2020) - GENERAL FUND
FY 2019/2020 (thru 6/30/2020) - SPECIAL REVENUE FUNDS
CITY OF DIAMOND BAR
BUDGET STATUS REPORT
JUNE 30, 2020
6.2.d
Packet Pg. 114
Major Expenditure Categories Original Budget COVID-19 Est. Est. % Change Actual
% Change Over
COVID-19 Est.Difference
CS - Sheriff's Department $6,813,384 $6,813,384 0.0%$6,782,858 -0.4%-$30,526
CS - Sheriff/Special Events $247,250 $247,250 0.0%$106,073 -57.1%-$141,177
STAR Deputy Program $110,276 $85,776 -22.2%$73,584 -14.2%-$12,192
Crossing Guards $186,940 $156,940 -16.0%$136,077 -13.3%-$20,863
Building & Safety $1,067,708 $804,828 -24.6%$743,967 -7.6%-$60,861
Diamond Bar Center $1,436,163 $1,385,309 -3.5%$1,102,371 -20.4%-$282,938
Recreation $1,992,234 $1,823,681 -8.5%$1,573,682 -13.7%-$249,999
Engineering $1,065,007 $1,025,508 -3.7%$647,976 -36.8%-$377,532
Road Maintenance $1,576,128 $1,556,328 -1.3%$1,253,932 -19.4%-$302,396
Parks & Facilities Maintenance $1,472,043 $1,412,043 -4.1%$1,251,793 -11.3%-$160,250
All Other General Fund Expenditures $11,999,971 $11,707,126 -2.4%$10,321,587 -11.8%-$1,385,539
Total General Fund $27,967,104 $27,018,173 -3.4%$23,993,900 -11.2%-$3,024,273
Major Expenditure Categories Original Budget COVID-19 Est. Est. % Change Actual
% Change Over
COVID-19 Est.Difference
Measure W $453,000 $257,099 -43.2%$0 -100.0%-$257,099
RMRA - SB-1 $1,856,044 $379,233 -79.6%$376,765 -0.7%-$2,468
Measure M $1,212,384 $571,914 -52.8%$558,215 -2.4%-$13,699
Measure R $719,492 $719,492 0.0%$689,722 -4.1%-$29,770
Gas Tax $1,477,821 $1,077,821 -27.1%$1,427,821 32.5%$350,000
Transit Pass Fares $800,000 $750,000 -6.3%$455,525 -39.3%-$294,475
Transit Pass Subsidies $200,000 $200,000 0.0%$131,911 -34.0%-$68,089
Dial-A-Cab $350,000 $350,000 0.0%$201,772 -42.4%-$148,228
Proposition C $1,379,912 $1,000,469 -27.5%$826,330 -17.4%-$174,139
Subtotal $8,448,653 $5,306,028 -37.2%$4,668,061 -12.0%-$637,967
CITY OF DIAMOND BAR
BUDGET STATUS REPORT
JUNE 30, 2020
FY 2019/2020 (thru 6/30/2020) - GENERAL FUND
FY 2019/2020 (thru 6/30/2020) - SPECIAL REVENUE FUNDS
6.2.e
Packet Pg. 115