El Segundo council approves insurance waivers, awards $887,479 general‑plan contract and greenlights commercial waste franchises; hears homelessness, Plunge and

The El Segundo City Council on Feb. 18 approved a package of actions that city staff said will reduce administrative burden for small contractors, fund a long‑overdue update of the city's land‑use plan and formalize commercial trash hauler agreements, and the council heard progress reports on the city's homelessness outreach program and the Plunge renovation.

The council approved a limited waiver program that allows certain Recreation, Parks and Library contract instructors and vendors to request exceptions from the city's commercial auto insurance requirement; approved midyear budget adjustments and appropriations; awarded a contract to MIG to update the general plan land‑use element; authorized nonexclusive commercial solid‑waste franchise agreements with multiple haulers; and authorized an amendment to the Plunge architect contract and a related facility payment from the school district.

Votes at a glance

- Waiver of commercial auto insurance requirements for qualifying Recreation, Parks and Library contractors and vendors (pursuant to City Council Resolution No. 4813): approved 5-0 (motion carried). Staff said the program creates an individualized waiver process and a risk‑manager review for ‘‘low risk’’ instructors and a $15,000 earnings threshold for automatic waivers.

- Midyear budget/second‑quarter financial report: the council received and filed the midyear financial report and approved related budget adjustments (see details below); consensus to receive and file the report and subsequent motions approved budget amendments for specified funds, vote 5-0.

- Contract with MIG to update El Segundo's general plan land‑use element (not to exceed $887,479, including a 10% contingency): approved 4-1 (Mayor Pimentel opposed). Council also established a technical advisory committee (TAC) and named Council Member Keldorff as the council liaison.

- Nonexclusive commercial solid‑waste franchise agreements: the council authorized the mayor to execute nonexclusive franchise agreements with the following providers (start date proposed 04/01/2025, term two years): Athens Services; American Reclamation; EDCO; Holloway Rubbish Service; Key Disposal & Recycling; Patriot Services; Republic Services; Universal Waste Systems; Ware Disposal; and Waste Management. Motion passed 4-0. The council also introduced a municipal code ordinance (Title 5, Chapter 2) to allow the franchise approach; the ordinance will return for a second reading.

- Amendment to Arcadis professional services agreement (construction‑phase support) and contingency ($104,000 + $50,000 contingency): authorized 5-0. The council also authorized an amendment to the facility use agreement with El Segundo Unified School District to expedite the district's $1,000,000 contribution to the Plunge renovation; motion passed 5-0.

Why this matters

The actions move several long‑running items forward: the general plan contract initiates a multi‑year land‑use update the city says is overdue, the waiver program changes how the city manages small recreation vendors and instructors in order to comply with insurance‑pool requirements, and the franchise agreements formalize commercial hauling practices to address new state solid‑waste requirements. The midyear budget actions adjust appropriations and reflect staff projections for revenues and targeted staffing increases.

Key details and context

Insurance waiver for small instructors and vendors

Public commenters told the council the new paperwork and insurance requirements were burdensome. Julie Rochefort, a Friends of the Library volunteer, described forms requested of volunteers and small vendors and said some items asked for Social Security numbers. She told the council: "They must fill out 3 forms, a workers' compensation form, a service agreement, which is several pages long, and a W‑9." A contract recreation instructor who teaches pickleball said increasing a personal auto policy to the requested commercial limit would cost him roughly $1,886 a year and that the waiver criteria could disqualify longstanding instructors who exceed the $15,000 threshold.

Staff explained the requirement stems from the city's membership in a shared insurance pool (Independent Cities Risk Management Authority, ICRMA) and that the pool imposes coverage and documentation standards. City staff said they classified current instructors as 26 "low risk" and 11 "medium risk"; of the low‑risk group, only four were identified as exceeding the $15,000 threshold and therefore ineligible for the automatic waiver. Council approved a program that permits risk‑manager review and city‑level waivers in limited cases; the motion passed unanimously.

Midyear budget and requested adjustments (FY 2024‑25)

Finance director (Director Chung) summarized the second‑quarter snapshot: general‑fund revenues collected about $29.8 million (roughly 32% of the $93.0 million annual budget) and overall collections across all funds were approximately $82.7 million (38% of a $216.5 million budget). Staff projected ending unassigned general‑fund balance near $34.7 million and identified an approximate $10 million available cushion before policy reserves, while warning of upcoming pension, MOU and CIP pressures.

Staff requested modest midyear adjustments totaling $406,294 in additional expenditures across funds with a general‑fund impact of $396,294. Key requested midyear adjustments described to council included:

- City Manager: restore and reclassify an executive assistant to management analyst (4 months of salary/benefits) — $43,561. - Police Department: budget for three additional officers (two months) and four additional trainees, uniform replacement and related training/supplies and radios — total police adjustments described in the presentation of $239,022 (line items listed by staff). - Fire Department: reflect two firefighters who became paramedics — $68,711. - Public Works: ongoing pump station repairs — $45,000, plus a $5,000 CalRecycle grant appropriation. - Recreation & Library (Friends of the Library donation): $5,000 revenue/expenditure for music programming.

Council approved the recommended midyear amendments and the related appropriations motions 5-0 and accepted the midyear financial report; staff will return with the more comprehensive budget study session on April 29 and a subsequent session on May 6 ahead of the June 3 budget adoption.

General plan contract (MIG)

The council awarded a contract to MIG for an amount not to exceed $887,479 (the figure in staff's motion includes a 10% contingency) to update the city's general plan land‑use element, a document staff described as last substantially updated in 1992. Staff said the scope will include a public‑engagement campaign, alternatives analysis and an environmental review; council created a technical advisory committee (TAC) to help vet policy options and appointed Council Member Keldorff as council liaison. The motion passed 4-1; Mayor Pimentel voted no.

Nonexclusive commercial solid‑waste franchises and ordinance introduction

Staff described a multistep procurement and outreach process that resulted in ten providers indicating they will enter nonexclusive franchise agreements. The council authorized the mayor to execute two‑year nonexclusive agreements (proposed start 04/01/2025) with Athens Services; American Reclamation; EDCO; Holloway Rubbish Service; Key Disposal & Recycling; Patriot Services; Republic Services; Universal Waste Systems; Ware Disposal; and Waste Management. Council then introduced an ordinance (Title 5, Chapter 2) to amend the municipal code so the city may move from a permit model to a franchise model for commercial and multifamily collection; the ordinance will return for a second reading.

PATCHES (homelessness outreach) quarterly update

Police staff presented a six‑month update on PATCHES (Proactive Approach To Combating Homelessness in El Segundo). Sergeant Anthony Sanchez told council the department conducted 13 grant‑funded "host" overtime details contacting more than 75 people and transporting three individuals to shelters during those details. Sergeant Sanchez reported the team's outreach and partnerships produced 18 individuals connected off the street (13 into shelter or housing programs, three reunified with family and two veterans linked with VA services) and said only four of those 18 had returned to living on the street. Council heard that the city is expanding partnerships to include LAHSA for weekend outreach and that staff is using a Monday.com database and the El Segundo Connect portal to track contacts and referrals (staff reported 26 homelessness-related El Segundo Connect reports to date). Lieutenant Muir described a recent case in which joint city efforts repaired an inoperable vehicle, moved a resident to a safe parking program and advanced the city's goal of permanent housing for that individual; he said the episode illustrated cross‑department and nonprofit cooperation.

Plunge construction update and school‑district payment

City engineering staff described construction work at the Plunge, noted unforeseen conditions (hidden lead/asbestos, poor existing sewer lines and unexpected grade beams) and reported structural and MEP redesigns that increased costs. Staff requested and the council authorized an amendment to the Arcadis professional services agreement for an additional $104,000 and a $50,000 contingency to cover added construction‑phase design and inspection services. The council also authorized amendment of the facility use agreement with El Segundo Unified School District to expedite the district's $1,000,000 contribution; the district board had approved the advance payment, and staff said the payment will be transferred after final execution of the amended agreement.

What council asked staff to do next

- Staff will meet with Public Works to revisit the stop‑sign warrant at Loma Vista and Acacia following a resident's public comment and return with findings. - Staff will proceed with the general plan procurement and community engagement using the awarded MIG contract and the TAC and will return with outreach details as needed. - Staff will draft implementing language for a potential building‑permit/development‑impact fee deferral policy for council review (discussion on that topic is summarized below). - Staff will continue PATCHES data collection, expand partnerships with LAHSA and Harbor Interfaith and report back as outreach metrics evolve.

Discussion item: building‑permit and development‑impact fee deferral (no final action)

Council heard a discussion of a proposed policy that would allow the city to defer certain one‑time development impact fees (those that fund future capital investments rather than pay directly for permit processing) until a project reached certificate‑of‑occupancy or another enforceable milestone. Staff said the goal is to reduce up‑front carrying costs that can deter projects during a slow development cycle. The presentation noted several possible enforcement options if a developer failed to pay a deferred fee, including recording a lien, withholding final inspection or withholding certificate of occupancy; council members asked staff to develop language that balances enforceability with lenders' concerns about title encumbrances. There was no formal vote; council directed staff to return with a draft program and proposed enforcement mechanisms.

Ending

Council members and staff noted the schedule for the budget study sessions (April 29 and May 6) and the planned June 3 budget adoption. Multiple council members praised recent community reopenings and civic partnerships; the meeting adjourned after routine reports.