415 South Ivy Avenue Monrovia, CA 91016-2888Office: (626) 932-5501 Facsimile: (626) 932-5520 http://www.cityofmonrovia.org

July 22, 2015

David NemetzLos Angeles Party Works9712 West Alpaca StreetSouth El Monte, CA 91733

NOTICE OF INTENT TO TERMINATE THE EXCLUSIVE FRANCHISE AGREEMENTFOR THE PRODUCTION OF THE FRIDAY NIGHT FAMILY STREET FAIR

Dear Mr. Nemetz,

Pursuant to Section 14 of the Exclusive Franchise Agreement (Agreement) between the City of Monrovia (City) and LosAngeles PartyWorks, Inc. (LA PartyWorks) for the production of the Friday Night Family Street Fair (Event), please accept thiscorrespondence as an official notice of intent to terminate the Agreement.

In conformance with the provisions of Section 14, this notice has been prepared to provide LA PartyWorks with requisiteadvanced notification that the City intends to terminate the Agreement effective August 8, 2015. The selected Agreementtermination date provides LA PartyWorks with a reasonable time to cure performance deficiencies identified by the City.Furthermore, the City is requesting that the operational issues at the Event as outlined below be addressed by thecorrespondingly identified date.

By Friday, July 24, 2015 Implement an improved traffic safety program to ensure that vehicularpedestrian conflicts do not occur at the Event Improve event set-up and take-down procedures, paying particular attention to traffic safety issues Provide adequate and trained staff to coordinate the set-up, management, and take-down of the Event Provide the City with information regarding the licensed and bonded security guard company providing security

services for the Event Implement a program to improve trash collection services for the proper removal and disposal of trash generated by

the Event Provide the equipment necessary to provide all Event vendors with reliable electrical power Correct any Americans with Disabilities Act (ADA) deficiencies currently associated with the production of the Event Cease operations of the LA PartyWorks kettle corn both, which is being operated in violation of the Agreement Cease the prohibition on Event vendors from selling drinks, including soda and water Cease operations of the LA PartyWorks drink booths, which is being operated in violation of the Agreement Allow Jakes Roadhouse to set-up and operate the Jakes BBQ and Jakes Kettle Corn booths in a similar location to

where they operated prior to LA PartyWorks taking over production of the Event Present a plan for the Citys consideration to improve seating areas, both in terms of quantity and quality, at the

Event Present a plan for the Citys consideration to improve the lighting at the Event after sunset

Notice of Intent to Terminate the Exclusive Franchise AgreementJuly 22, 2015Page 2 of 2

By Friday, July 31, 2015 Present a plan for the Citys consideration to limit the number of food vendor booths at the Event Present a plan for the Citys consideration to upgrade the management, supervision, and safety of the Kids Zone Present a plan for the Citys consideration to develop a plan for providing electrical power to the 800 block of Myrtle

Avenue Present an overall traffic control plan for the Event for the Citys consideration Implement the City approved plan to improve the lighting at the Event after sunset Implement the City approved plan to improve seating areas, both in terms of quantity and quality, at the Event

By Friday, August 7, 2015 Implement the City approved plan for limiting the number of food vendors booths at the Event Implement the City approved plan for upgrading the management, supervision, and safety of the Kids Zone Implement the City approved plan for providing electrical power to the 800 block of Myrtle Avenue Implement the City approved traffic control plan for the Event

It is also important to note that the City has previously offered to provide LA PartyWorks with training related to traffic safety,Event set-up, and electrical power considerations. To this point in time, LA PartyWorks has not accepted the trainingopportunities, and we would like to reiterate the offer at this point in time.

Thank you for your prompt attention to the issues identified in this correspondence. Please feel free to let me know if youshould have any questions I can be reached via email at ochi@ci.monrovia.ca.us, or via cell phone at (310) 663-9837.

Best regards,

Oliver ChiCity Manager