Loading...
CC - Item 4E - Approval of Special Indemnity Agreement Between Contract Cities and County of Los Angeles Regarding Municipal Law Enforcement ServicesROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: JEFF ALLRED, CITY MANAGE" DATE: AUGUST 11. 2009 SUBJECT: APPROVAL OF SPECIAL INDEMNITY AGREEMENT BETWEEN CONTRACT CITIES AND THE COUNTY OF LOS ANGELES REGARDING MUNICIPAL LAW ENFORCEMENT SERVICES SUMMARY Over the past three years, the California Contract Cities Association (CCCA) and the County of Los Angeles have been engaged in a dispute regarding the County's use of the contract cities' Liability Trust Fund (LTF) for claims resulting from sexual assaults committed by Sheriff's deputies while assigned to a contract city. As a result of extensive negotiations with the County, the CCCA Legal Committee has proposed a compromise settlement of the ongoing dispute. This proposed agreement provides that the County will be responsible for one-half of any such settlement or judgment. The other one-half of judgment or settlement costs will be drawn from the LTF established by the contract cities. The proposed settlement has been approved by the County Board of Supervisors. The forty (40) affected CCCA member agencies that contract with the Los Angeles County Sheriff's Department for law enforcement services have adopted or are now in the process of considering adoption of the agreement. Adoption of the agreement will ensure that the affected cities will continue their contractual relationships with the Los Angeles County Sheriff's Department for municipal law enforcement services. Staff Recommendation That the City Council accepts the proposed settlement and approves the "County-City Special Indemnity Agreement." BACKGROUND The subject dispute between the contract cities and the County arose when the County arbitrarily withdrew funds from the Liability Trust Fund ("LTF") to reimburse itself for the settlement of three claims made against the County. The claims related to sexual assaults of female victims by the same Los Angeles County Sheriff's deputy, an officer who had been assigned to the Compton Sheriff's station for the purpose of providing law enforcement services. The deputy was criminally prosecuted and convicted. The three victims filed civil suit alleging vicarious liability as well as direct culpability against the County for the acts of the Deputy. A dispute has arisen between the CCCA, on behalf its member cities, and the County of Los Angeles with regard to responsibility for claims made as a result of sexual assaults by deputies while assigned to a contract city in accordance with a Municipal Law Enforcement Services Agreement. After efforts to resolve this dispute with the County were unsuccessful the contract cities, including Rosemead, threatened litigation against the County seeking a judicial ITEM NO. _WE APPROVED FOR CITY COUNCIL AGENDA: City Council Meeting August 11, 2009 Page 2 of 2 determination with respect to the dispute. In turn, the County threatened not to extend the cities' agreements for law enforcement services. Negotiations between the County and the Legal Committee of the CCCA continued and produced a compromise agreement. Based upon those negotiations, the Legal Committee has recommended that each of the member cities of the CCCA approve the proposed Special Indemnity Agreement to resolve the dispute with the County. On July 6`h and July 27th the CCCA conducted meetings with representatives of the affected contract cities, where the Legal Committee advocated support of its negotiated agreement with the County. It was represented that the agreement must be approved by August 31, 2009 to avoid a lapse in the Municipal Law Enforcement Services Agreement with the Los Angeles County Sheriff's Department. Legal counsel for the CCCA indicated that if the agreement was not approved, pursuing formal litigation against the County would be protracted and very expensive. It did not appear that there was continued support from the affected cites to further pursue filing of a lawsuit against the County. The approval of the proposed Special Indemnity Agreement would supersede the ability of an individual city, including the City of Rosemead, to initiate litigation with respect to this issue. FINANCIAL IMPACT There is no immediate fiscal impact relative to the approval of this agreement. PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Submitted by: Matthew E. Hawkesworth Assistant City Manager Attachments: County-City Special Indemnity Agreement COUNTY-CITY SPECIAL INDEMNITY AGREEMENT THIS AGREEMENT ("Agreement"), dated for reference purposes on the day of 2009, is made and entered into between the County of Los Angeles, hereinafter referred to as the "County," and the Cities identified in Recital G below, hereinafter cumulatively referred to as the "Cities." RECITALS A. Cities, and each of them, and County have heretofore contracted for the performance of law enforcement services to be provided by the County, its officers, agents and employees, known as "Municipal Law Enforcement Services Agreements" which contracts the parties may in the future extend, renew and amend, and enter into other and further contracts for the performance of such services (hereinafter referred to as "MLESA"); and B. Cities and County have heretofore contracted for the indemnification of the Cities by the County, utilizing the Liability Trust Fund ("LTF") for the acts and omissions committed by the County's employees in the course and scope of providing services under the MLESA agreements, more particularly described as the Joint Indemnity Agreements or Assumption of Liability Agreements (hereinafter referred to as "Joint Indemnity Agreements") which have remained in full force and effect to the present time; and C. In accordance with the Joint Indemnity Agreements, the County established the LTF, as provided in those agreements. In accordance with the Joint Indemnity Agreements, the Cities, and each of them, are required CCCA-COLA.SPCINDEMNTYAGR.090730.3 FIN. DOC to pay monies into the LTF. The monies in the LTF are used to reimburse the County for claims, losses, costs and expenses it incurs for which indemnification is provided in the parties' MLESA and/or Joint Indemnity Agreements; and D. The County withdrew sums from the LTF for the purpose of reimbursing itself for its payment of settlement of claims related to sexual assaults committed by a deputy sheriff (Gonzales) in the years 2002 and 2003 (the "Claims"); and E. A dispute has arisen between the parties regarding the circumstances under which the County may utilize the funds in the LTF for claims arising from sexual assaults committed by deputy sheriffs employed by the County ("Sexual Assaults"); and F. The parties desire to continue the Joint Indemnity Agreements and MLESA agreements, as amended, modified and supplemented from time to time. As further consideration to the Cities, the County is willing to reimburse the LTF for a portion of the sums that are used or may be used by it from the LTF for claims, losses, costs or expenses arising out of certain Sexual Assaults, as defined in Section 2 below, occurring in the performance of the MLESA agreements on the terms and in the manner provided in this Agreement. G. The Cities that are a party to this Agreement are as follows: City of Agoura Hills City of Artesia City of Avalon City of Bellflower City of Bradbury City of Calabasas CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 2 City of Carson City of Cerritos City of Commerce City of Compton City of Diamond Bar City of Duarte City of Hawaiian Gardens City of Hidden Hills City of Industry City of La Canada Flintridge La Habra Hieghts City of La Mirada City of La Puente City of Lakewood City of Lancaster City of Lawndale City of Lomita City of Lynwood City of Malibu City of Norwalk City of Palmdale City of Paramount City of Pico Rivera City of Rancho Palos Verde City of Rolling Hills City of Rolling Hills Estate City of Rosemead City of San'Dimas City of Santa Clarita City of South El Monte City of Temple City City of Walnut City of West Hollywood City of Westlake Village NOW, THEREFORE, for good and valuable consideration, receipt of which is acknowledged, it is mutually agreed as follows: AGREEMENT 1. Effective Date. This Agreement shall be effective as of July 1, 2009. The foregoing notwithstanding, this Agreement shall apply to any claims notice of which is first given to the Liability Trust Fund Oversight Committee after the effective.date of this agreement, regardless of the date of occurrence. For purposes of this Agreement "notice" shall mean notification to the Chief Executive Officer of the California Joint Powers Insurance Authority and the Executive Director of the California Contract Cities Association, unless otherwise instructed in writing. 2. Indemnity by the County to the City. CCCA-COLA.SPCINDBMNTYAGR.090730.3FIN.DOC 3 The parties agree that the maximum liability of the LTF for any losses, claims, costs or expenses related to certain Sexual Assaults, as herein below defined, by deputies or other peace officers in the employ of the County shall be one-half (1/2) of any settlement, judgment or award for such assaults and the costs of defense, including attorneys fees, for such claims or lawsuits. In the event that a withdrawal is made by the County from the LTF for any liability related to certain Sexual Assaults by deputies or other peace officers, as herein below defined, the County shall reimburse the LTF, or, in the event that it has not made a withdrawal of funds from the LTF it shall assume the responsibility to pay from its own funds, one-half (1/2) of any amounts necessary to satisfy any judgment, award or settlement not otherwise covered by insurance, if there is any, together with costs of defense, including attorneys fees, under the following circumstances: a. A felony judgment of criminal conviction is entered in a state or federal court based upon the same facts as the claim; and b. The felony judgment of criminal conviction is based upon an act of rape, sodomy, oral copulation or other sexual penetration of a person; For purposes of calculating the amount that the County is obligated to pay into the LTF under this Agreement, any amount paid by an insurance carrier directly to a claimant on a claim which is subject to this Agreement shall not be deemed to have been paid from the LTF. For purposes of calculating the amount that the County is obligated to pay into the LTF under this Agreement, any amount paid from the LTF on a claim CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 4 which is subject to this Agreement but which is reimbursed to the LTF by an insurance carrier shall not have been deemed paid from the LTF. Nothing herein creates an obligation upon the Cities, or any of them, or any other entity to acquire, have or maintain any policy of insurance. 3. Term of and Application to Other Agreements. This Agreement shall apply to all MLESA agreements now existing or hereafter entered into, including amendments, renewals or other extensions thereof. This Agreement shall serve to supplement the Joint Indemnity Agreements with respect to the single subject matter addressed herein. Nothing herein shall be deemed to change, modify, alter, amend, or substitute any term, right, obligation or condition set forth in an MLESA, as amended or modified, from time to time. 4. Termination of Service Contracts Between County and Cities. This Agreement shall continue in effect until the last of any MLESA or similar agreement is lawfully terminated in accordance with its terms. Such termination shall not relieve County or City for any obligations set forth in such MLESA agreement relating to obligations upon termination of such agreement and this Agreement to any claims related to a Sexual Assault. 5. Release of the Claims. The Cities and each of them hereby waive, release and relinquish any claim they may have for the reimbursement of the sums withdrawn by the County with respect to the Claims. The County hereby waives, releases and relinquishes any right or claim it may have for reimbursement of any sums it has or may have CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 5 paid or incurred with regard to any Sexual Assault occurring prior to the effective date of this Agreement. 6. Further Assurances. Each of the parties hereto agrees to execute and deliver any and all additional papers and documents, and to do any and all acts reasonably necessary in connection with the performance of its obligations hereunder and to carry out the intent of the parties hereto. 7. Non-Admission of Liability. Each of the parties hereto agrees that nothing contained or incorporated herein shall be deemed as an admission of liability with respect to any matter, thing, or dispute whatsoever. 8. Entire Agreement. This Agreement with regard to the use of LTF funds by the County for claims arising out of Sexual Assaults, and the other agreements between the parties referenced herein, shall constitute the entire agreement between the parties hereto with respect to the subject matter hereof, and shall supersede all prior and contemporaneous agreements, representations of the parties concerning the subject matter hereof and the terms applicable thereto. 9. Amendment. This Agreement may not be supplemented, modified or amended in any manner, except by an instrument in writing stating that it is a supplement, modification or amendment of this Agreement and signed by each of the parties hereto. CCCA -COLA.SPC I NDEM NTYAGR.09073 0.3 FIN. DOC 10. Waiver. No waiver of any of the provisions of this Agreement shall be deemed or constitute a waiver of any other provision, whether or not similar, nor shall any wavier constitute a continuing wavier. No waiver shall be binding unless executed in writing by the party making the waiver. 11. Counterparts. This Agreement may be executed by one or more separate counterparts, each of which, when so executed shall together constitute one and the same instrument. A copy transmitted electronically or by facsimile shall be deemed effective as an original. 12. Captions. The captions appearing in this Agreement are descriptive only and for convenience of reference. Should there be any conflict between any such caption and the terms of this Agreement, the latter shall control and govern the construction of this Agreement. 13. Constructions and Interpretation. The parties have participated equally in the preparation of this Agreement, which shall be construed and interpreted simply and fairly and not strictly for or against any party. 14. Recitals. The Recitals set forth in this Agreement are incorporated herein by reference and made a part hereof. CCCA-COLA.SPCINDEMNTYAGR.090730.3PIN.DOC 7 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their fully authorized officers the day and year hereinafter set forth. ATTEST: SACHI HAMAI Executive Officer-Clerk Board of Supervisors By Deputy APPROVED AS TO FORM: ROBERT E. KALUNIAN Acting County Counsel By (Signatures continued) COUNTY OF LOS ANGELES DON KNABE Chairman, Board of Supervisors By CCCA-COLA.SPCINDBMNTYAGR.090730.3FIN.DOC $ CITY OF AGOURA HILLS By MAYOR ATTEST By City Clerk APPROVED AS TO FORM CITY ATTORNEY By CITY OF ARTESIA By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA.SPC WDEMNTYAGR.090730.3FIN.DOC 9 By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By CITY OF AVALON MAYOR CITY OF BELLFLOWER By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA.SPCINDEMN TYAGR.090730.3 P IN. DOC 1 10 CITY OF BRADBURY By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By CITY OF CALABASAS By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA.SPCINDEM NTYAOR.090730.3 F IN. DOC ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CITY OF CARSON By MAYOR CITY OF CERRITOS By MAYOR CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 12 ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued CITY OF COMMERCE By MAYOR CITY OF COMPTON By MAYOR CCCA-COLA.SPCINDEMNTYAGR.090730.3PIN.DOC 13 ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CITY OF DIAMOND BAR By MAYOR CITY OF DUARTE By MAYOR CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 14 CITY OF HAWAIIAN GARDENS By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By CITY OF HIDDEN HILLS By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) . CCCA-COLA. SPCI NDEMNTYAGR.090730.3 FIN.DOC 15 CITY OF INDUSTRY ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By By MAYOR CITY OF LA CANADA FLINTRIDGE By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA.SPCI N DEMNTYAGR.090730.3 FIN. DOC 16 CITY OF LA HABRA HIEGHTS ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By By MAYOR CITY OF LA MIRADA By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA. S PCINDEMNTYAG R.090730.3 FIN. DOC 17 CITY OF LA PUENTE ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By By MAYOR CITY OF LAKEWOOD By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 19 ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CITY OF LANCASTER By MAYOR CITY OF LAWNDALE By MAYOR CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 19 CITY OF LOMITA By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By CITY OF LYNWOOD By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA. SPCIN DEMNTYAG R.090730.3 FIN.DOC 20 ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CITY OF MALIBU By MAYOR CITY OF NORWALK By MAYOR CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC . 21 ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CITY OF PALMDALE By MAYOR CITY OF PARAMOUNT By MAYOR CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 22 ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CITY OF PICO RIVERA By MAYOR CITY OF RANCHO PALOS VERDE By MAYOR CCCA-COLA.SPCINDBMNTYAGR.090730.3FIN.DOC 23 CITY OF ROLLING HILLS ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By By MAYOR CITY OF ROLLING HILLS ESTATE By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA. SPCINDEMNTYAGR.090730.3FIN.DOC 24 CITY OF ROSEMEAD ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By By MAYOR CITY OF SAN DIMAS By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC - 25 ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CITY OF SANTA CLARITA By MAYOR CITY OF SOUTH EL MONTE By MAYOR CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 26 ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (Signatures Continued) CITY OF TEMPLE CITY By MAYOR CITY OF WALNUT By MAYOR CCCA-COLA.SPCINDEMNTYAGR.090730.3FIN.DOC 27 CITY OF WEST HOLLYWOOD ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By By MAYOR CITY OF WESTLAKE VILLAGE By MAYOR ATTEST: By City Clerk APPROVED AS TO FORM: CITY ATTORNEY By (End) CCCA-COLA. S PCI NDEM NTYAGR.090730.3 FIN.DOC 28