pages: CityCouncil/2022-01-18.pdf, 4
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CityCouncil | 2022-01-18 | 4 | The Assistant Community Development Director responded the attached property management agreement includes two to three years of budgets as an exhibit; stated the amounts are broken down by line items. Councilmember Herrera Spencer requested clarification about the City's liability. The City Attorney stated the current agreement requires the property manager to assume all liability for operations; the agreement completely transfers responsibilities; if the City receives a claim currently, the City submits it to the property manager ; under the new regime, the property manager would only be liable for negligence, recklessness and intentionally wrongful acts; if matters do not fall under the new categories, the City will be on the hook instead of the property manager; staff is recommending the new account to pay for instances where the City might have to undertake additional liability. Councilmember Herrera Spencer inquired how the City is overseeing the limit of exposure. The Assistant Community Development Director responded the existing contract has the property manager on the hook for things that may have happened under the Navy's purview; stated claims would be tended to the property manager even if something happened from preexisting Navy conditions; property management has taken an inventory of property conditions; the City has been working on mitigating conditions and liabilities. Councilmember Herrera Spencer stated that she does not see the budgets break down on a per-unit basis; the exhibits show dashes through certain line items. The Assistant Community Development Director stated that she can provide detailed and specific costs related to the property management budget, if desired. Councilmember Herrera Spencer stated janitorial costs for the 2021-22 budget do not show what was incurred for the first three years; she is trying to figure out any increases over time; inquired whether the City reimburses the property manager for expenses above the cost of the contract. The Assistant Community Development Director responded in the negative; stated information is shown for the 2018, 2019, 2020, and 2021 budgets; discussed the summary and changes to security and life safety from 2018 and 2021; stated explanations for the variances are included. Councilmember Herrera Spencer stated the janitorial costs are shown with dashes instead of amounts. The Assistant Community Development Director stated the amount is under security, life safety, cleaning and janitorial. Councilmember Herrera Spencer stated the amounts are not filled in for the prior years. The City Manager stated the costs are in the contract; only certain costs go over and above the contract budget. The Assistant Community Development Director stated the $1,209,374.19 amount is the cost Regular Meeting Alameda City Council January 18, 2022 4 | CityCouncil/2022-01-18.pdf |