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Home My WebLink AboutReso 1988-13537 RESOLUTION NO. 13537 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND RANCHO DEL SUR, A PARTNERSHIP, PROVIDING FOR A WAIVER OF FEES AND A DUTY TO DEFEND 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 Chula Vista that that certain agreement between THE CITY OF CHULA VISTA, a municipal corporation, and RANCHO DEL SUR, a partnership, providing for a Waiver of Fees and a Duty to Defend dated the 26th day of April , 1988 , 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 · ro~, C ~ e Attorney 0374a ADOPTED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF CnULA VISTA, CALIFORNIA, this 26th day of April 19 88 , by the following vote, to-wit: AYES: C0uncilmembers Moore, McCandliss, Nader, Cox NAYES: Council members None ABSTAIN: Councilmembers Malcolm ABSENT: Councilmembers None 'J~of the City of Chula Vista ATTEST ~ ~' ~ ~/ City Clerk S',... E OF CALIFORNIA ) COUNTY OF SAN DIEGO ) ss. CITY OF CHULA VISTA ) I, JENNIE M. FULASZ, CMC, CITY CLERK of the City of Chulo Visto, Californio, DO HEREBY CERTIFY thor the above ond foregoing is 0 full, true ond correct copy of RESOLUTION N0. 13537 ,ond thor the some hoe not been omended or repealed DATED ~ City Clerk CRY OF CHULA VISTA CC-660 AGREEMENT THIS AGREEMENT is made effective as of April 26, 1988, between Rancho del Sur, a partnership (RDS), and the City of Chula Vista, California, a municipal corporation (City) who agree as follows: 1. Fact Recitals. This Agreement is made with reference to and in contemplation of the following facts: a. On June 23, 1987, the City Council duly approved the RDS project (Project) consisting of the following approvals: i. Tentative Map No. PCS-87-8 consisting of five phases and 485 residential units (285 single family and 200 multifamily) (Tentative Map). The City Council approved the Tentative Map by a 3-2 vote with Councilmembers Cox, Moore and Malcolm voting Aye and Councilmembers Nader and McCandliss voting Nay. ii. Precise Plan P-87-9 consisting of plans and standards for development and/or maintenance of lots and common areas (Precise Plan). The City Council approved the Precise Plan by a 3-2 vote with Councilmembers Cox, Moore and Malcolm voting Aye and Councilmembers Nader and McCandliss voting Nay. iii. First reading of Rezone Ordinance PCZ-87-1 consisting of a rezone of 108.3 acres from R-l-P-4 -1- to R-l-P-6 and R-3-P-12 (Rezone). The City Council approved the first reading of the Rezone Ordinance by a 3-2 vote with Councilmembers Cox, Moore and Malcolm voting Aye and Councilmembers Nader and McCandliss voting Nay. b. On August 11, 1987, the City Council confirmed the approval of the project by approving the following: i. The second reading of the Rezone Ordinance by a vote of 5-0 after imposing a condition requiring RDS to enter into an agreement to meet future threshold standards (Threshold Agreement). ii. A Resolution Approving an Agreement Between the City and RDS Regarding the Waiver of Statutory ~ Density Bonus Rights by a vote of 5-0. c. On October 27, 1987, the City Council approved the Threshold Agreement by a vote of 3-0-1 with Councilmembers Moore, Nader and Cox voting Aye, Councilmember Malcolm abstaining and Councilmember McCandliss being absent. The Threshold Agreement ratified the approval of the Tentative Map, the Precise Plan and the Rezone. d. Since the approval of the project on June 23, 1987, RDS has pursued the development of the property expending in excess of three million dollars in reliance on the approvals granted by the City Council, including, without limitation, the completion of 70-90% of the grading for "' the Project. Furthermore, RDS is in the process of selling -2- the 285 single family lots depicted on the Tentative Map (subject to the recordation of the final maps pursuant to the Tentative Map) to merchant builders. If the City fails to approve the final maps, as is its ministerial duty, in a timely manner as provided under the California State Subdivision Map Act, RDS shall suffer additional and extensive damages. e. The media recently has reported a controversy between one councilmember and the City Attorney, wherein among other matters, an alleged conflict of interest is suggested to have existed which addresses the propriety of the vote of the Councilmember on the Project at the June 23, 1987, meeting. City acknowledges that it (1) has made no claim that any partner, employee, officer, agent or member of RDS has acted improperly in connection with such votes and (2) has made no claim that the approvals of June 23, 1987, were improper or in any way invalid. f. City acknowledges that the willingness of RDS to enter into this agreement, subject to the conditions contained herein, is based upon the economic necessity for RDS to go forward immediately with the project as approved on June 23, 1987, and is not, in any way, an admission of any wrongdoing by any partner, employee, officer, agent or member of RDS and, to the contrary, City has determined that the Tentative Map, Precise Plan, Rezone and associated approvals are valid in accordance with their respective terms. -3- g. City and RDS intend, by entering into this Agreement, to ratify further the approvals of the Tentative Map, Precise Plan, Rezone and associated approvals, and to resolve any concern raised with respect to the validity of the approvals granted by the City Council on June 23, 1987. 2. Ratification of Approvals. City hereby further ratifies the approvals of the Tentative Map, Precise Plan, Rezone and associated approvals. 3. Right and Duty of Defense. RDS shall have the right and duty to defend City against litigation prosecuted by a third party (unrelated to and unassisted by City) for injunctive relief under Government Code Section 91003 based upon the -, validity of the 3-2 votes by the City Council at its June 23, 1987, meeting even if the allegations of the lawsuit are false, groundless or fraudulent; provided, however, that RDS shall not be obligated to defend City after RDS has expended the total sum of $5,000.00 in costs and/or attorneys fees pursuant to such obligation to defend. The City assumes no duty to defend and will not be responsible for any attorneys fees if it does not defend. Notwithstanding anything to the contrary in this Agreement, RDS shall have the right to terminate, without notice, its obligation to defend City if any one or more of the following conditions exist: a. The City Council fails to approve the five final subdivision maps pursuant to the Tentative Map at its --- April 26, 1988, meeting, and forward the final maps for recordation to the County of San Diego within the time periods prescribed in the Subdivision Map Act; b. The City, its elected or appointed officials or its employees or agents participates in the prosecution of any such third-party lawsuit. 4. Reservation of Rights. a. Except to the extent provided in paragraph 4b of this Agreement, nothing in this Agreement shall be deemed a waiver by RDS of any rights which it may have against City, its elected or appointed officials, its employees or agents, for any action or inaction (including, without limitation, the failure to approve and forward to the County of San Diego for recording the final maps within the time periods prescribed in the Subdivision Map Act) in connection with the development of the property which is the subject of the Tentative Map, Precise Plan and Rezone. b. RDS, by entering into this Agreement, shall be deemed to have waived its rights to seek damages based upon the approval of the Tentative Map and the final maps pursuant to this Agreement from the City of Chula Vista so long as each of the following conditions are satisfied: i. The City Council has approved the five final subdivision maps pursuant to the Tentative Map at its April 26, 1988, meeting, and has forwarded the final maps for recordation to the County of San Diego .-. within the time periods prescribed in the Subdivision Map Act; ~ ~ ii. The City, its elected or appointed officials and its employees and agents have not participated in the prosecution of a third-party lawsuit attacking the validity of the Tentative Map or final maps pursuant to the Tentative Map. 5. Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the transferees, successors-in-interest and assigns of the parties. 6. Further Assurances. Each of the parties shall do all acts and execute and deliver all documents necessary, convenient or desirable to effect the provisions of this Agreement. RANCHO DEL SUR, Authorized Signator ~ -6-