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HomeMy WebLinkAboutReso 1987-13301 RESOLUTION NO. 13301 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING INTERIM FINANCING AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND BONITA LONG CANYON PARTNERSHIP FOR CHULA VISTA TRACT 86-3, BONITA LONG CANYON UNIT NOS. 4 THROUGH 7, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT The City Council of the City of Chula Vista does hereby resolve as follows: NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ch~la Vista that that certain Interim Financing Agreement between THE CITY OF CHULA VISTA, a municipal corporation, and BONITA LONG CANYON PARTNERSHIP, a California general partnership, for Chula Vista Tract 86-3, Bonita Long Canyon Unit Nos. 4 through 7, dated the 27th day of October , 1987, a copy of which is attached hereto and incorporated herein, the same as though fully set forth herein be, and the same is hereby approved. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista be, and he is hereby authorized and directed to execute said agreement for and on behalf of the City of Chula Vista. Presented by Approved as to form by Jo n P. ctor of Thomas J. Harron, City Attorney Pu orks/City Engineer 3482a ADOPTED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ,. JLA VISTA, CALIFORNIA, this 27th dOy Of October . ,. 19 88 , by the following vote, to-wit: AYES: Councilmembers Moore, Malcolm, Nader NAYES: Councilmembers None ABSTAIN: Councilmembers cox ABSENT: Counci lmembers McCandliss ~hula Vista ATTEST (S~.-...] ~ } ~ C'~'~z_-'2 ,-- S, ,~TE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) ss. CITY OF CHULA VISTA ) I, JENNIE M. FULASZ, CMC, CITY CLERK of the City of Chulo Visto, Colifornio, DO HEREBY CERTIFY thor the obove ond foregoing is 0 full, true ond correct copy of RESOLUTION N0. 13301 ,ond thor the some hos not been omended or repeoled DATED ~ City Clerk CITY OF CHULA ViSI'A CC-660 INTERIM FINANCING AGREEMENT THIS INTERIM FINANCING AGREEMENT ("Agreement") is entered into as of October 27 , 198__7 between BONITA LONG CANYON PARTNER- SHIP, a California general partnership ("Developer"), and the CITY OF CHULA VISTA, a municipal corporation ("City"), with reference to the following facts: A. City and Eastlake Development Company (a developer not associated with Developer) have previously entered into the Eastlake 1 Public Facilities Financing Plan ("Financing Plan") dated February 19, 1985. The Financing Plan has been filed with the City Clerk of the City as Document No. 0-2102. B. City and Eastlake Development Company have also entered into an Interim Facilities Financing Agreement dated December 19, 1985 ("Eastlake Interim Agreement") and the City and Eastlake Development Company have each agreed, pursuant to Paragraph 2 of the Eastlake Interim Agreement, to the provisions of Exhibit A to the Eastlake Interim Agreement, entitled "Eastlake Development Impact Fees" ("Exhibit A"). Copies of the Eastlake Interim Agreement and Exhibit A have been filed with the City Clerk of the City as Document Nos. R-12307 and R-12409, respectively. C. The Financing Plan and Exhibit A set forth a descrip- tion of certain public facilities needed to serve the eastern areas of the City as a result of the cumulative effect of development within the Eastlake Sectional Planning Area and other adjacent developments. D. Developer is developing land covered by CHULA VISTA TRACT 86-3, UNITS 2 through 7, inclusive, which land is adjacent to the Eastlake Sectional Planning Area. The City has approved a tentative map for CHULA VISTA TRACT 86-3, UNITS 2 through 7, inclusive, by its Council's Resolution No. 12285 (the "CVT 86-3 Map Resolution"). E. The City and Developer have previously entered into an Interim Financing Agreement covering UNITS 2 and 3 of CHULA VISTA TRACT 86-3 and Tentative Parcel Map 86-11. F. Condition No. 24 of the CVT 86-3 Map Resolution requires Developer to enter into a Development Agreement with the City. The parties intend this Agreement to satisfy Condition No. 24 with respect to UNITS 4, 5, 6 and 7 of the CVT 86-3 Map Resolution; this Agreement shall be deemed a "development agreement" within the meaning of Condition No. 24 of the CVT 86-3 Map Resolution. G. The City is presently considering various financing programs and alternatives to implement the methods of financing capital improvement projects for the construction of public infrastructure contemplated by the Financing Plan and Exhibit A. One such method of financing is the imposition of an impact fee as a condition to the issuance by the City of building permits for the construction of residential units within the geographic areas of the City generally east of Interstate 805, south of Bonita Road and north of the ridgeline generally midway between the proposed extensions of Telegraph Canyon Road and Orange Avenue (the "Impact Area"). H. It is intended that this Agreement impose an impact fee requirement on lots within UNITS 4, 5, 6 and 7 of CHULA VISTA TRACT 86-3 and that such fee be considered "interim" and subject to modification by the City (subject to the limitations stated in Paragraph 3 below) at such time as the Chula Vista City Council adopts a permanent impact fee schedule applicable to the Impact Area. I. It is intended that this Agreement satisfy the require- ments of Condition No. 24 of the CVT 86-3 Map Resolution with respect to UNITS 4, 5, 6 and 7 of CHULA VISTA TRACT 86-3. NOW, THEREFORE, the parties agree as follows: 1. Payment of Fee. Subject to the paragraph below entitled "Credit Against Impact Fees", Developer shall pay to the City an interim impact fee of $1,188.70 for each single-family residential lot within CHULA VISTA TRACT 86-3, UNITS 4, 5, 6 and 7 at such time as Developer applies for a building permit for construction on such lot. Should application be made for any building other than a single-family residence, the interim impact fee shall be based upon the number of equivalent dwelling units ("EDUs") which would result from such building times $1,188.70 (subject to the paragraph below entitled "Credit Against Impact Fees"). The number of EDUs attributable to a building other than a single-family residence shall be determined by the number of average daily trips ("ADTs") which would result from such other building. "EDU" shall be determined by the Eastlake Interim Development Impact Fee Report trip generation figures; provided, however, subject to the limitation stated in Paragraph 3 below, this Paragraph 1 shall be superseded by a facility benefit assessment district should the same be subsequently enacted by -2- the City and made applicable to Units 4, 5, 6 and 7 of CHULA VISTA TRACT 86-3. Developer hereby waives protest to the formation of a facility benefit assessment district. 2. Purpose of the Fee. The impact fees paid by Developer or others in the Impact Area shall be placed in an interest bearing account and may be expended only for the purposes of providing the public facilities for which the fees were collected. The impact fees collected under this Agreement are for the construction of projects covered by Item I and Items II 1, 2, 3, 4, 5, 6, 7 and 8 on Page 13 of Exhibit A and as referred to in the Financing Plan (the "Covered Projects"). 3. Change in Fee Amount. The City shall have the right to change the impact fee (either interim or permanent) from time to time applicable to properties within the Impact Area for the Covered Projects. The Developer shall be obligated to pay any increase in impact fee amounts for lots.for which a building permit has not yet issued or interim or permanent fees paid; provided, however, the total impact fee (interim or permanent) shall not exceed $3,000.00 per lot. 4. Impact Fees on Other Projects. The City will use its best reasonable efforts to collect like or similar impact fees pro rata (based on benefit) from other property owners of undeveloped property within the Impact Area so that Developer will not be placed in an unfair or noncompetitive situation. 5. Withhold of Permits. Developer agrees that the City shall have the right to withhold issuance of the building permit for any lot within UNITS 4, 5, 6 and 7 of CHULA VISTA TRACT 86-3 unless and until either (i) the impact fee required hereunder is paid for such lot, or (ii) sufficient credits exist pursuant to the paragraph below entitled "Credit Against Impact Fees" to cover such lot. 6. Improvements to be Installed by Developer. In satis- faction of Condition 20 of CVT 86-3, Developer shall cause the following improvements to be installed: (a) The widening of the south side of Central Avenue from its present width of approximately twenty-eight (28) feet to a width of thirty-six (36) feet, and the improvement of a five (5) foot sidewalk on the south side of Central Avenue. These improvements shall be made on that portion of Central Avenue which lies between Bonita Road and Corral Canyon and are further described on Exhibit "1" attached hereto. (b) The widening of the intersection of Bonita Road and Central Avenue to provide dual left-turn lanes for west-bound Central Avenue traffic and the improvement of right-turn lanes -3- for each of the other three approaches to the intersection, as further shown on Exhibit #2" attached hereto. (c) The signalization of the intersection of Central Avenue and Corral Canyon Road, as described on Exhibit #3" attached hereto. Developer shall immediately commence preparation of improvement plans for the improvements described in Subparagraphs (a), (b) and (c) above ("Central Avenue Improvements") and shall expedi- tiously process the same with the San Diego County Department of Public Works. Subject to delays beyond Developer's control, Developer shall (i) commence the Central Avenue Improvements within one year following the date of recordation of CHULA VISTA TRACT 86-3, UNIT NO. 4, and (ii) cause the Central Avenue Improvements to be completed within twenty-four (24) months after recordation of CHULA VISTA TRACT 86-3, UNIT NO. 4. Developer shall, prior to the recordation of CHULA VISTA TRACT 86-3, UNIT NO. 4, obtain and deliver to the City a performance bond in form and from an issuer reasonably acceptable to the City, in the amount of $287,000.00, covering Developer's performance under this Paragraph 6. 7. Credit Against Impact Fees. The impact fees payable by Developer pursuant to this Agreement shall be reduced by the sums expended by Developer for the City-approved costs of the Central Avenue Improvements, including (i) engineering costs, (ii) costs for material, labor and other direct construction costs, and (iii) such other costs as may be approved by the City Engineer. Developer shall present invoices and evidence of payment of such costs to the City Engineer from time to time after the same are incurred and thereafter be entitled to such credit. Should these costs exceed all the impact fees which would otherwise be payable hereunder, the City will credit the impact fees payable and refund impact fees paid. Notwithstanding anything herein stated to the contrary, City shall have no obligation to reduce impact fees payable hereunder for any Central Avenue Improvements which are temporary and therefore would not contribute to ultimate improvements. For example, construction of an asphalt sidewalk and berm would be deemed temporary, but partial widening of Central Avenue would not be deemed temporary. 8. Traffic Threshold. The City shall have the right to withhold the issuance of building permits for lots within CHULA VISTA TRACT 86-3, UNITS 4, 5, 6 and 7 any time after it is reasonably determined by the City that traffic on Central Avenue between Corral Canyon Road and Belle Brae Road has reached 8,000 Average Daily Trips, unless or until Developer commences widening Central Avenue to four (4) traffic lanes between Frisbie Street and Corral Canyon Road to the satisfaction of the City's Director of Public Works and the County of San Diego Department of Public Works. In the event building permits are issued during such -4- street widening construction, the City shall have the right to withhold issuing certificates of occupancy for homes commenced after the street widening commenced until such widening is completed. The City shall not, however, withhold any such building permits or occupancy permits if the City has not, within 120 days of making such 8,000 Average Daily Trips traffic determination, either acquired by negotiation an interest in the land which would permit such widening of Central Avenue or commenced proceedings to acquire such interest in land pursuant to Title 7 (commencing with Section 1230.010) of Part 3 of the Code of Civil Procedure. 9. Termination. This Agreement shall remain in effect unless and until it is superseded by one or more of the financing programs authorized by the Financing Plan. Should any such alternative financing plans be utilized, the impact fees required hereunder shall either be eliminated or be reduced pro rata (as is appropriate) based upon such other sources of financing as may become available. 10. Increases to Interim or Permanent Impact Fees. Anything herein stated to the contrary notwithstanding, the impact fees (interim or permanent) payable hereunder shall be adjusted at the time such fees are paid to the City, prorata with increases or decreases set forth in the Engineering News Record Index of Construction Costs from 4356.10 (being such Index as of March 19, 1987). No such increase or decrease shall apply to any interim or permanent impact fees already paid for any lot. 11. Satisfaction of Map Condition. Condition No. 24 of the CVT 86-3 Map Resolution shall be deemed satisfied by the parties entering into this Agreement. The parties also acknowledge the satisfaction of Condition 20 of the CVT 86-3 Map Resolution. 12. No Protest. Developer agrees to not protest the formation of a facilities benefit assessment district which may be proposed by the City to finance capital improvement projects for the construction of public infrastructure contemplated by the Financing Plan. 13. Invalidity. If any material provision of this Agree- ment is held invalid, this Agreement will be automatically terminated unless, within fifteen (15) days after such provision is held invalid, the party holding rights under the invalidated provision affirms the balance of this Agreement in writing. This provision will not affect the right of the parties to modify or supersede this Agreement by mutual consent. 14. Assignment. Developer may assign its rights and transfer its obligations under this Agreement if such assignment and transfer is made as a part of the transfer, assignment, sale or lease of all or a portion of the lots within UNITS 4, 5, 6 -5- and/or 7 of CHULA VISTA TRACT 86-3 and if the City consents to such transfer. Such consent shall not be unreasonably withheld and shall be given if the transferee assumes the obligations of Developer hereunder in a manner reasonably satisfactory to the City. Upon such transfer, assignment and assumption the original Developer shall be deemed released from the obligation to pay any impact fees or adjustment to impact fees for lots so transferred. 15. Applicable Law - Attorney's Fees. This Agreement shall be construed and enforced in accordance with the laws of the State of California. In the event of litigation between the parties arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to recover all attorney's fees, court costs and necessary disbursements made in connection with the litigation. 16. Notices. All notices, demands or other communications given pursuant to this Agreement shall be in writing and shall be deemed to have been delivered upon (i) personal delivery to any officer of Developer or to the Office of the City Attorney of the City, or (ii) as of the third business day after mailing by United States Mail, postage prepaid, addressed as follows: If to Developer: Bonita Long Canyon Partnership 2727 Hoover Avenue National City, California 92050 Attention: Mr. Ken Baumgartner If to City: Office of the City Attorney City of Chula Vista 276 Fourth Avenue Chula Vista, California 92010 Attention: Mr. Thomas J. Harron This Agreement has been executed at San Diego County, California as of the date first written above. BONITA LONG CANYON PARTNERSHIP, a California general partnership By: McMILLIN DEVELOPMENT, INC., a California corporation, '- General Partner -6- By: HOME CAPITAL CORPORATION, a California corporation, General Partner APPROVED AS TO FORM BY: CITY OF CHULA VISTA EX]{IBIT "1" Description of Improvements to Central Avenue Widen existing pavement to accommodate two 12-foot travel lanes and one 12-foot left turn lane. Install A.C. berm, A.C. driveway approaches, sidewalk, drainage pipe and headwall per plans approved by County of San Diego Public Works EXHIBIT "2" Description of Improvements to Bonita Road and Central Avenue Widen Bonita Road S/O Central Avenue and widen Central Avenue W/O Bonita Road to provide for dual left turn lanes westbound Central Avenue to Bonita Road and the improvement of right-turn lanes for each of the other three approaches to the intersection. Modify and relocate signals asrequired in accordance with plans approved by the County of San Diego Public Works. EXHIBIT Description of Signalization of Central Avenue and Corral Canyon Road Install signalization at Central Avenue on Corral Canyon Road to provide a two-phase intersection per plans approved by San Diego County Public Works.