HomeMy WebLinkAbout2013/12/10 Item 05 -���-_.:- '_��I,ac-?*�-
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=� � ;,�E - AGENDA STATEMENT
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CHULA VISTA
DECEMBER 10. 2013, Item 5
ITEAZ TITLE: RESOLUTIOI�' OF THE CITY COUI�'CIL OF THE CITI' OF
CHULA VISTA APPROVII�'G A GRANr OF EASEA4ENTS.
LICEI�'SE AND A�AII�TTENAI�'CE AGREEI��LENT BET�VEEI�'
SLF IV/I�4CMILLIN A4ILLEI�TIA JV. LLC. AI�TD THE CITY
OF CHULA VISTA FOR THE EASTERN URB.Ai�1 CENTER
(A4ILLENIA) PROJECT (CHULA VISTA TRACT NO. 09-03)
SUBn1ITTED BY: DEVELOPA4E\iT SE ICES DIRECTOR I��
RE�'IE�i'ED B1': CITY�4AI�'AGE ` '/ /
ASSISTAI�'T/DEP TY CITY MAI�rAGER�
".Yy
4/STHS VOTE: YES � NO �
SiT:�Zn'IARY
The proposed action ���ould allo„� and oblieate SLF IV/1�4cMillin Millenia .TV; LLC, a
Dela���are Limited Liability Company to perpetualh� maintain the landscaping, hazdscape,
and other facilities ���ithin the right-of-wa}� for the development ���ithin the Eastem Urban
Center kno���n as the Millenia Project.
EN�'IRONn'IENTAL REVIE�V
The Development Sen�ices Director has revie�ved the proposed acti��ip� for compliance
«�th the California Environmental Quality Act (CEQA) and has determined that the
activity is not a "Project ` as defined under Section 1�378(b)(2) of the State CEQA
Guidelines; therefore, pursuant to Section 1�060(c)(3) of the State CEQA Guidelines the
activih� is not subject to CEQA. Thus, no environmental re��ie��� is requued.
RECOA'[AZENDATION
Council adopt the resolution.
BOARDS/COA4n7ISSION REC0�1A1ENDATION
1�TOt applicable
DISCliSSION
On A4av 12, 2009, A4cA4illin Otav Ranch, LLC. no��= SLF I\'/I�4c\4illin A4illenia JV, LLC
("De�eloper", or "O��ner`). filed a dulv ��erified application for the subdi��ision of their
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DECEMBER 10, 20li. Item 5
Paae 2 of 2
Eastem Urban Center (EUC) property located within the northeastern portion of the Ota}�
Valley Parcel of the Otay Ranch General Development Plan. The EUC, which is
delimited by State Route SR-125 to the west, Birch Road to the north, Eastlal:e Parkway
to the east, and Otay Land Company property to the south.
As part of the conditions of approval set by Resolution No. 2009-225 for the Otay Ranch
Eastem Urban Center Tentative Subdivision Map (C.V.T. 09-03), the
Applicant/Developer �vas required to enter into a Grant of Easements, License and
Maintenance Agreement (Agreement) with the Cit}�.
The purpose of this Agreement (Eahibit "A") is for the City to grant to the Developer, its
agents, or successor in interest, an easement over and across public areas for the
Developer to privately maintain certain public improvements within the Millenia Project.
Some of the privately maintained improvements include, but are not limited to:
bioretention basins, street trees, decorative lighting, benches, bus siop shelters, and unit
pavers. For a complete description of the private improvements to be maintained, see
Exhibit "A".
DECISION MAKER CONFLICT
Staff has reviewed the property holdings of the City Council and has found no property
holdings ��ithin 500 feet of the boundaries of the property, �vhich is the subject of this
action. Staff is not independently aware, nor has staff been informed by any City Council
member, of any other fact that may constitute a basis for a decision maker conflict of
interest in this marier.
RELATIONSHIP TO THE CITY'S STATEGIC PLAN
The City's Strategic Plan has five major goals: Operational Excellence, Economic
Vitality, Healthy Communit}�, Strong and Secure Neighborhoods and a Connected
Communit}�. The execution of this agreement addresses the Operational Excelence goal
as it seeks to provide responsive and responsible public service by implementing
effective and efficient operations.
CURRENT YEAR FISCAL IMPACT
There is no impact to the General Fund. Developer will cover all costs and fees
associated ��ith the Agreement.
ONGOING FISCAL IMPACT
There is no impact to the General Fund. Developers, its agents, or successor in interest,
are responsible for any costs related to the execution of this Agreement.
ATTACHAIENTS
Exhibit "A": Grant of Easements; License, and D4aintenance Agreement
Prepared bv: Sandra Hernande_.Assaciale Engineer. Derelopment Ser��ices Depar�ment
H:IDSDLIgeizdas m�d Resos, most up ro date rersionl_'01318-06-?0131EUC_A�rcementlREPORT-DSD-
EUC CEAti9.doc
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THE ATTACHED AGREEMEI�TT HAS BEEI�i REVIEVVED
AI�'D APPROVED AS TO FORM BY THE CITI'
ATTORI�TEY'S OFFICE AND WILL BE
FORMALLY SIGI�iED UPOI�T APPROVAL BY
THE CITY COUNCIL
�
�G�� ' �
City Attorney
Dated: /Z���/ 3
GRAI�TT OF EASEMENTS, LICEI�TSE AI�TD
MAINTENANCE AGREEMENT
BET��l7EEN
THE CITY OF CHULA VISTA A\TD
SLV N/MCMII.LIN I��III.LENIA JV; LLC
FOR CHiJI_A VISTA TRACT I�'O. 09-03
OTAY RANCH MII,LENIA (EASTERN URBAN CENTER)
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Exhibit A
RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
City Clerk
City of Chula Vista
276 Fourth Avenue.
Chula'Vista, CA 91910 .
No iransfer tax is-due as tlirs is a conveyance to a
public agency for less than d fee�interest fo,r'whicli
na cash considera(ion has bee�� aid ov�receii�ed
ABOVE SPACE EOR RECORDER'S USE
CCV FileNo. OR-850F'
GRANT OF EASEMEN'I'S,LICENSE AND MAIN'TENANCE AGREEIVIENT
CHITI�A VISTA TRAGT NO. 09-03
OTAY RAIVCH MII.LEIVIA (Er15TERN URBAN CENTER)
(DEDICATED EASEMENTS)
THIS GRANT OF EASEMENTS, LICENSE AND MAINTENAI�'CE AGREEMENT
("AgreemenY) is made .as of tHis day of , 20� by and berii�een the
CITY OF CHUlA VISTA; a Municipal Corporation (`City"), and, SLF IV/MCNIILLIN
MILLENIA N, LLC; a Delaware Liinited Liability Company ("McMillin Millenia,LLC").
RECITALS
A. Thi's Agreement concems and affects certain improvements witfiin a porlion of
tfie rea] property located in Chula:Vista, Califomia, more particularly described in Exhibit"A"
attached hereto and incorporated herein ("Property"). The Properiy ispart.of the Otay Ranch
Master Planned Community and is commonly known as Millenia and also refered to as Eastem
Urban Cenfer ("Millenia"); being subject of the;City Council Resolution No, 2009-224 ("City
Resolution '). For purposes.of Uus Ageement, •tbe term "Project" shall refer fo the overall
Millenia property.
B. Mclvlillin Millenia, LLC is the owner of the Property and the Declarant under that
certairi Declazafion of Coveriants, Conditions and Restrictioris of Millenia filed, or'to be filed, in
the County. Recorder's Offce- of San Diego County, of the state of California ("Community
Declaration").. The Community.Declaration proyides for the Millenia Community Association;
a California l�TOnprofitMutual Benefit Corporation ("Millenia Association") fo maintain:certain
areas. in the Cominunity. Futherinore, one or more subassociations may be £ormed.
(``Subassociations'�) for particular areas tirithin the Milleriia Corrimunity; the purposes of which.
u�ould include ihe maintenance of "certain amenities within 'the area over which the
Subassociation has jurisdiction.
US WEST 803746879.4
Grant of Easements Agrecmen{
040320-00001 -Millenia, 1 0820113
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C: The-Properly as described on_Ealiibif"A" is;orwill become, covered by certain
fuial maps (::Final�4aps-').
D:. In.order'for`McNiillin',Ivlillenia, LLC to obtain the Final Maps and for the Cif}= to
.have assurance:that the maintenance of certain aieas ivithin.the Millenia Coinniuniry-would be
pro�?ded for; the Cit}� and Mc?�4illin.Millenia, LL.C. entered into a Supplemental Sabdi��ision.
Improvement, A�reement, ("SSIA"), In the SSI�1, Mclvlillin' Ivlillenia, LLC: agreed that-
..
maintenarice of sucfi areas shall be.accomplisfied by the creation, of the Millenia Associatiop.
The Parcels sho�-n on Eshibit"B", attached herefo,;describe those particulaz-azeas which were
dedicated to the public on one or'moie Fin"al Maps; but �i�hich include landscapin� and drainaee
improvemenfs�fo be mainiained by the,D?ilienia Association. The public"areas to be maintained
by the Millenia .Associafion are•collectively refeaed to as_ "Millenia Associapon ivlaintained
Public tlieas".
E. The Cit}t desiies to erant to Iti4c?�4illin iviillenia, LLC easemenu for lapdscape
inaiutenance.purposes,upon; over; and acro"ss the b4ilienia Associariori Maintainzd Public Areas
as shown on Exhibit "B", in order to facilite tlie perforinance by I�4c\4illin I�'Iillenia, LLC of the
obligations as set forth in the SSL�,, adopted pursuant to"t1ie:Ciry Resoulution.
t�OR': THEREFORE; in consideration of the mufual covenants herein contairied, the parties
agree as set forih below.
1.. Grant of Easements.- The-City hereby 2rants to McD4illin ?�4illenia; LLC
and: its agents: successois; and assi�s, non-ezclusive easements and ri�}it-of-„�ay o�er and
across the Millenia As"sociapon Maintained Public ?:reas for�'the= parpose of' maintainine,
reparing, and replacine landscaping "and "other impTOVe"ments located tfiereon,as.described on
Eahibit"C"•: Tlie �anfs are made v.2thouf_am� ���arranties of any kind, express or implied,other
than the ��afrarity stated in Paragiaph.l4(fl belo�r;
l. Mainteriance Obligations:
(a) McMillin' ?1'Iillenia; LLC to- Inifially Maintain. McMillin
Millenia, LLC heieby�co�=enantsand a'eiees; afits sole cost and ezpense, io maintain, repair,_and
ieplace, or cause to be maintained, repaired, or7eplaced, those.iinpro��ements��-iihin the Millenia
Association'1Vlaintained Public tlreas ��hich are described.on Eahibit-"C" attacfied heieto,at.a
level equal fo or better ihan the level of maintenance, ��hi�ch 'is acceptable to�the Director- of
Public �T�'oiks,_:af hi's�ier fliscretion and- equivalent to Ciry or Community'Faciliries:District
Maintained right-of-way facilities. For purposes of this Aeieement,,the ierm "Mainfenance;or:
�`Mainfain-� shall meari the maintenance; repair;, ttie pTOVision- bf w�atei azid ieplacemeni�
obligations described herein. and on Eahibit "C" hereto .and, shall. alsb include iepaii and
replacemeni.at-no cosf to the City, of'any Giry-o��ned'property that'is:damaged as a result of the
acti��iry=of Ivlc?��Iiilin Millenia; LLG, or the ?�-filienia Association_or any'other Transferee (as:
described lielo�i�) durin� tHe performance o£ t}ie m`airitenance responsibilities pursuant to this
Aereement. Exhibit_"C" also iefeis to the maintenance responsibilities of the City'which the.
City shall perform:
US �t�rST803746879.4
Gzit cf Eazcmcnu A_icemen[
U40320-00001�-T.9i0cuia 2' 08P_0/}3
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(b) Transfer to Millenia Association or Other Transfers. Upon
McMillin Millenia, LLC's transfer of maintenance.obligations to tfie Millenia Association, (i)the
A4ilienia Association, shall become obligated, to perform tYie obligations so transferred, and
(ii) subjecf to the City derermining that the, requirements: of Paragraph 3 belo�y have been
satisfied, McMillin Millenia LLC shall be released .from such obli?ation.. Transfer of
maintenance obligations to the Milleriia- Association may, be phased (that is, ttiere may be,
multiple f;ansfers)._
McMilli'n Millenia, LI;G represents fo City that it intends.to, and has.the authority to, nnilaterally
transfer all or some of the maintenance obligations either (i)to the Ivlillenia Association and that
such transfer. .has been provided for in the Community Declazation; and, that such
document(s) include tHe provisions described in;Paragraph 3(a)(ri)below, oralternatively(ii) to
a new hom"eo��ners association_("New AssociaHos') e"stablished for maintenance of. the open
space,and thorou�hfare median azeas in the.Property, and tKat'such trarisfei shall be provided:for
in the.dedaration of"restrictions ("New Declaration") for fhe I�Tew Association, and that such
docuinent(s)- shall include the provisions� described in 'Paragraph 3(a)(u) below: Refererices.
below iri this A�reement to tUe "Association' shall include the New Association and
"DeclaraUon" shall"include the New Declazation'if McMillin Millenia, LLC elects taform a new
homeo�mers_ association for all or a portion o_f the Property. Altematively, NlcMillin ivlillenia,
LLC shall have the right to unilaterally transfer all or some of the obligations Hereunderto a,
Transferee (as desccibed in Subsec6on (c) below)or to any other person or enti,ry who acquires
all or a portion of IvlcIviilliri Millenia, LLC's interest in ihe Millenia community as provided. in
SecNon 10:. Upon ariy such, transfei bp McMillin Millenia; LLC to a Transferee,: McMillin
Millenia,� LLG,shall be�released from any futnre :obligations arising "afteT tlie transfer and the,
assi�ee shall_assume the obligations arising affer the dafebf the transfer.
(c) Transfer tiv MiIlenia Association. The Millenia A"ssociation.
sfiall have the right to transfer.Mairitenance obligations to a Subassociation or to the owner of an
apartment p"roject("T�an"sferee'�). Upon't6'e Millenia Association's transfer of Maintenance
obligations to a Transferee, (i).the Transferee shall becoine obligated to perforin the obligation_
so transferred, (ii)the Dtillenia Association sfiall retain tl�e right to peiforni the Ivfauitenance
should the Tiansferee fail to.do so, and (iii) the Millenia Association shall.be released from the
o6ligations so transferred subject to the City d'etermining'that the requirements of Paza�aph 4
below Have_ been satisfied. Alttiough it. i"s possible thaf Maintenance� obligations might be
transfened to an apartinent owner, IviclvIillin does not believe it is likely that;maintenance
obligafions�dill be transfeaed to an apartmenf owner.
3. Assi�nment and Release of McMillin Millenia;LLC.
(a) Assi�ment. Upon McMillin Millenia, LLC's traiisfer of the
Maintenance obligations to the Millenia Association; it is, intended 'by the parties tfiat the
n4illenia Association.shall perform the_Maintenance obligations either itself or by confracfors,
Sucli fransfer' to 'the Milleriia, Association will releasa McMillin n2illenia, LLG from its
obligations only if all of the following occur:
(i), Millenia Association. Accepts Obli�ation. The Millenia
�ssociation, has unconditionally accepted and assumed, all of IvIclvlillin Millenia, LLC's
us wesrso��a6s�9.a
Grant otEasemcnts Aereement
0�403?0-00001-h9illenia 3' OS20/13
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obligaiions under this. Agreement in writing aiazising after the dafe of the"assierunent and such
assi�nment pro�-ides that the burden of this Aa eement remains a co��enanYn,nn;nR with the 1and;
and the assi�ee expressly assumes the obligauons of T4cNIi1lin Millenia LLC under this
Agr"eement arising "afrer_ the date of tHe. assignme"nf: The assienment shall- also- ha��e-been
appro�ed by tHe appropriate'govemine body of the htiIlenia Association liy.iesoluhon or similaz
procedural method and approved as fo form and"content by the City"Attoiney. The Gity shall n"ot
unreasonably��2thhold or,delay its consent to such agsignruent
(ii) Niillenia associafion s Communitv Declazation. The:Cit}?
has confuiried.thaf.there:have been no.modifications to the:recorded.Communi2y_Declar�pon
- . .- .
pte��iously""approved 6y the City, to:an} ofthe follo�iing pio��isions: the.htillenia Association
sh"all be responsible. for the mai_ntenance of the Millenia A"ssociation ?vlairitained Pablic Aieas;
thz Millenia-Association shall,indemnify City for all claims, demands, causes_of acrion; liability
or loss related to or arising from the mainfenance activiUes by the\tillenia Association except to
ttfe eztent caused by the nealigerice or:misconduct of the Ciri�, and ttie I�4illenia-Association sfiall
;not s"eekto be released by City from tfie"niaintenance obligations of thi"s Agreement, �i2thout-the
prior consent_of Gity and one hundred percent (100%) of the holders of fi"rst mortgaees or oi�meis
of the Property. �
(iii) Millenia Associarion Insurance. The Ivlillenia Associafion
procures arid formally resolves .to maintain at its.sole cost and expense, commencing no 1'_a_ter_
than the City's release of all of D4cn�lillin Millenia� LLC'§ landscape maintenance bonds, a policy
of public .liability .insurance_ which at least ineets the requirements- of Sectiori 5.1(a) of. the
Community Declaration which reads as follows:
(6) General Liabilifv Insurance: The Master Association. shall
obtain a, comp;ehensive general liabili'ry and property damage insurance policy insurine the
Master rlssociation and the O��ners-a�ainst.liability incident to ownersiiip or use of the.Master
Association Property. Ttie_limits-of such insurance shall-nof be_less than three_million dollazs
(�3,000,000.00) coYering all claims for death, personal injury and propeity darna�e arisine out of
a single-occurrence. The ?:�a egate;Limit �vill not be less than rii:o tiines the Combined BUPD
"per occurrence" Limit of Liabilify, or no.t less than $6,000,000. The insurer issuirig sucli
insuiance shall have radng by A. M. Besrof`-`�r;Glass V'or better,«�ith no modified occurrences-.
and as admitted b}• Best's Insurarice Guide.- Such insurazice shall include the following_
additional provisions_piovided they are:available=on a commercially reasonable:basis:
(i) The-City of Chula. Vista shall be nariied as a Liabili�}�
Addirional Insured to such.insurance on a Frimary- basis; and the Liability� Additional Insured. .
Endorsemenr shall. noY exclude groducts/compieted operations: liazard pursuan4 to tlie City's
requirements to the Master.Association to do so;
(ii) The policy shall not contain a cross-suit eaclusion clause
which:would abioeate coverase should liti�ation ensue between insureds:
(iii) The policy shall contain the:follo{vine severability clause
(or ]anwage ���hicli.is_ substantial_]v ttie; same): `'The, coverage shall apply sepazately to each
`US �L`EST803756879.4
Gant o(Easemerts Agrement
040320-00001-Dlillenia � 4 08/20/1i
5-7
insured except with respect to the limits of liability" Secfion 5.1(a).may not be amended wifhout
the.written consent of.ihe Ciry""Attoiney and Development Services Director.
The Millenia,Associatiori shall provide the Cify wifh a Certificate of�Insurance,_and Liability
Addilional Insured Endorsemenf designating; "City- of Cliula Vista", upon procureinerii of the
policy as set forth,above.
(c) Release. When.all, condirions precedent in�Paragraph 3(a) aie
fulfilled, McMillin Millenia;,I;LG shall lie released from its,obligations under this A_greemerit,
inclnding.its securit}t arid insurance requuemenu. McMillin Millenia, LLC acknov��ledges that it
has a contractual o6ligation to perforin tlie teiiri"'s,and conditions of this A�reement until released
by the City from this A"greement. .At .least,sixry (60) day"s prior to such transfe"r, McMillin
Millenia shall_ give a notice to tlie Cify of IvIcMillin Milleriia, LLC's iritent 'to hansfer, its
Maintenance,obliga`tions herein and provide the City with the appropriate documents: listed iri
P.aragraph 3(a). The City acknowledges; that IvlcMillin Millenia; LLG may transfer its.
obligations in; PHases arid in" such,case, IvicMillin I�tillenia, LLC. sHall be released as fo the
obligafions so trazisfened.
4. AssiQnment and Release of Millenia Associatioti.
(a) Assignmenf:. Upon Millenia Association's traiisfei of 'the
Maintenance obligations to a Transferee; it,is intended by the parties that the Transferee shall
perform tHe Ivlaintenarice obligations either. itself or by confractors; Such transfer wilL;elease
Millenia Associatiori from its obligations only if all of the following occur:
(i) Trarisferee Accents ObGearion. The Transferee has
unconditionall'y accepted and assumed, all of Milleiila Association's obligations iinder this
Agreement .in writing;.such assi�nment provides that the'burden of this Agreement remains a
covenant-running witfi the land,,and the assignee expressly assumes the obligations_of Millenia_
.4ssociation"under this Agieemerit: If the Transferee is a Subassociation; the assignment shall.
also have been-appro�•ed_by tHe appYopriate govaming body of the Subassociation.by resolution
or similaz procedural method and approved as to form and 'content by tHe City Attorriey. The
City shall not unreasonably withtiold its.consent to such assignment.
(ii) Subassociation's Declaratioa of Restricfions., If tHe
Transferee is a• Subassociation, tfie City. has reyiewed and' approyed, the Subassociation's
iecorded Declaiation of Resh-ictions, to confirm that said. documen't confains appropriate
maintenance and.insuiwance piodision's.
(iii) Sutiassociation Insurance.. Tfie Transferee procures and
formally resolves fo Ivlaintain at its sole cost and expense, a policy of public liability msurance
which meets the,requirements set forth in Paragrap&3(a)(iri) above. The Subassociatio"n' "shall
provide the= City with a Certificate of Insurance upon accepfance of the transfer of tlie
Maintenance.obligatioris heiein.
(b) Release. When. all conditions precedent in Paragraph 4(a)are
fiilfilled, the Millenia Association "shall be;released from its obligations' under this Agreement;
including its security and.insurance requirements. .At leasf'sixty (60) days prior to sucfi ti�ansfer;
US WEST 803746879.4
Grint of Easeinents Ag'reement
040320-OOODI -Millenie - 5 0820/13
5-8
Millenia Associafion�shali.gi��e notice to'ttie_City of Nlillenia Associafion's intent..tio vansfer i'ts
Nlaintenance obligations herein and provide the Gity with the,"appropriate dociiments listed.in
Paragraph 4(a).,
5:. MeMillin.Atillenia. LI.C's Insurance., tintil such �tune' as the:Millznia
Associatiori has obtaiiied the: eeneral liability insurance required. under the Community
Declaration; McNlillin �tillenia. LLC:agrees to procure and,formally; resol��es to.maintain af iis_
sole expense; commencing:.no laier tfi"an the date that. the landscape arckutecf of.iecoid bas
submitted�a leiter of substantial: conformance pert'aining to: work being completed to the
De��elop"menf Services.Director;=orhis designee;,has deemed the work:complefe.and:satisfactory,
a policy of public IiaBility irisurance ttiat«�ould.include; bu� is nof limited to the following:.
(a) General:L'►abilitv Irisuranc`e. D�cb4illin \4illenia; LLC shall
obtain a. comprehensi��e general� liabiliry and. property dauiage inSiaance policy insuring-
Mc_Millin_Iylillenia; LLG against liabilify incident_to o�iTeiship or use,of Propem�. The limifs of
such insurance shall not be less than Three_Million Dollars(�.i;000,000.00) coverin� all.clauns
for. cleatli, persdrial injui}% arid propety. damages arising out of a single occurrence:. The
Aggreeate Liinit will not be lessthan ri��o umes'12ie,Combined'BUPD"per occurrence" Limit of
Liabilify, or noi less t}ian $6,000,000: The insurer issuiug such insivarice shall.ha��e rating by
A.M: Besf "A�Class V�;or better w��modified occurences"and as admitted by Best's Ins'urance.
Guide. 5uch insurance- shall include the follo�i�ing additional pro��isions pro��ded the�� "are
available ou a commeiciall'y reasonable basis:
(i)" I1ie• Ciry of Chula- Vista •shall be: pamed` as a Liabiliry
.. _ . _ : _
Addiuonal Insuied to sucH. insuraiice on- a. Prunary 6asi`s,, and 'Liabiliry Additional Insured_
Endorsement;shall noY exclude produ_cts�/ completed operations,hazard purs"uant to the City�s
requirements for\1cl�4illin Millenia, LLC to do"so;_
(ii). Tbe policy sfial] not contain a,cross-suit eacltision.clause
wliicti:�vould abio�ate coverage:should-liiigation ensue bzh�_een insured and;:
(iii)"_ Ihe policy shall:coniain,the follo�ving Se��era6ilit}� clause
(or laiiguage whic$ is substantially the saine): "The coseraee_ shall apply sepazately to each
insuied excepi:with respecf to fhe lunits of liabilitY'.
Mcrtillin Millenia, LLC sHall, pro�zde the City v��ith a Certificate of lnsuraiice and L;iability
Additional Insured Endorsement, desienating; ``City of Chula Vista'.'; upori procuremerit�of the
policy as sef,forth aboye.:
6. Iademnit}: .YIcl4illin Millenia,.LLC shall indemnify; defend and hold
Ciry, its: officeis;- agents, erriployees, subcontractors_ and independenf contracfors free- and
liarmless from any liability'�i•hatsoe��er,.b"ased.or asseited upon any act:or omission,of 14IcD�illin
Millenia� LLC; its officers, aeents, einployees; subcontractors and independ'enf contractors;,for
property damage, bodily injun; or death_ (McA4illin Millenia, LLC's employees included) ot.any
other element�of.dama�e of any l;ind or na2ure; relatine to or in an}� way connected ���itli o%
arising from.ttie.activities contemplated by this Aereemenf, including�but nof limited.to, the use;
'mainfenance; "or repair of fhe ivlilleni"a Association tifaintained"Public Areas; sa��e and except for_
�US ��FST 503746879.4
Gant of Eazements Agrttmeni
040320-00001�-Millenia b .OS/20/13'
5-9
liability or claim"s azising.tliroueh.the.active.negligence or �villful misconduct of Gity..'McMillin
Millenia, LLC shall.defend, at its e�:pense, including attoriieys' fees, City, its officers, agents;
employees, subcontractors and independent contractors: in any legal oi "equitable action based
upon,such alleged acts or omissions, save and.except,liability or claims arising through tfie active
ne"gligerice of willful misconduct of Ciry.
7.. IndemnitY: of Transferee. T.he document whereby McMillin Millenia;
LLC transfeis; a Maintenance obligatiori to a Tiaiisferee, sfiall. be signed by botfi _MclOiillin
Millenia, LLC and the Transferee and shall set forth an express assumption bf Maintenarice and-
other obligations hereunder,and shall include the following indemnification provision:
Iademni . Transferee shall indemnify; defend and hold Ciry, its officers; agents;
employees, subcontractors and independent� contractors free and harmless from, any liabiliry
whatsoever, based or asseited upon any act' or omission of Transferee, its officers, _agents,
employees,. subcontractors and iridependent contractors, for property dainage, bodily injury; or
death (Transferee's employees included) or any other element of damage of any'kinfl or nafure,
relating to or in any way co_nnected, with or arising from the activities contempTated by this
Agreeriient; including, but not limifed to, the use, maintenance, or repair of fhe Millenia-
Association ivIaintained Pubiic.fueas, sa've arid ezcep't for liabiliry or claims arising through the
acfive negligence or willful misconduct. of Ciry: Transferee shall defend, at its expense,
including aftomeys' fees, City,,its officers, agents;.employees, subcontractors and independent
contractors in any legal or equitable acrion based upon such alleged acts or omissions; save and
eacepf liability or claims ansing through the active negligence of willful misc,onduci.of City.
Notwithstandina the foregoing, Transferee sHall.not have.any liability under this._paragraph,by
reason.of another party's failure to'maintain.. It is specifcally intended that tha Ciry shall have
the right to enforce this. paragraph._ This pazagraph may not, be amended without the ��itten
consent of the City Attomey and the Director of Developmenf-Services.
8. A�reemenY BindinQ ITpon any Saccessive Parties. This, Agreement
shall be, binding upon NlcMillin Millenia, LLC and any successive Declarant under the
CommuniTy Decl_aration: This P.greement, shall .be binding upon the Millenia Association and
any Transferees upon transfer of Maintenance obligations to the Millenia Association, or
Transferee, iespectivelyd This Agreement shall inure to the beneft of the s.uccessors; assigns and
inteiests of the parties as to any or all of the Property..
9,. A¢reement Runs with the Land. The burden of the co��enants contained
in this Agreeinent {"Burden") is foi the benefit'of the Property arid the City, its successors and
assigns, and any successor-in-interest, tfiereto. The. Cit}% is deemed the: beneficiary of such
covenanfs for and in, its own right and for the purposes of protecting the 'inteiest "of the
community and otlier parties;, public or private, in whose.favor and for, whose benefif, such
covenants running �vith the land fiave lieen provided;, without regard to whether the Ciry. has.
been, remained or are owners of any particular land or, interest therein. If such covenarits aze
breached, the Cify shall have tbe right to exercise all_rights.and remedies and to maintain any.
actions or suits at ]aw or in equity or other proper proceedings to eriforce the;cuiing of such
breach"to �i-luch.it- or any otkier beneficiaries of this Agreement� and the covenants may be
entitled.
US V1EST 8�37J6879.4
Grant of Easnnents Agrtcment
0103?0-00001 -Millenia 7 08/20/13�
5-10
10.� Assignment:. ,as pTOVided in.Section 12.2 of the Devel"opmerit•Agreement
executed.bv the Cit�� and McI4lillin.n4illenia; LLC, A4cMillin ?vliIlenia, LLC shall haSe tfie.riRht
to assi� ifs rights and delegate some or all of.its obligations_under this:A"gree�ept; but_onl}� io;
anotlier masteT developer it so idenlifes to Ciiy who a�rees in.writing to fulfill McD�iliin
Ivlillenia, LLC�s role witli iegaTd theieto: Ciry refains tlie iig}it to consent or�not consent to sucfi
change�but Ciry's,consenf shall''no4 be wueasonably�yithheld and s]iall be lunited to confirmina
the financial resoeaces ofthe successor necessary to fulfill its7ole underthis Agreement.
11. GoverninQ• Laws.: Ttus A�eement shall be govemed and construed in
accordance w2th tlie laHS of.ihe State of Califomia.
12. Effecti��e Date. The terms and conditions of this ,��reement shall be-
effecti�e as of the:date this Asreement i"s iecoided in the Office of the Couni�-Recorder of the-
San Die�o County.
13. Gounterparts. This A�reerrient' inay be executed. in any niunber: oi
counterparts, each of which shall be original and all of which shall con"stitute one and tfie same
documeni.-
14. Recordine. The parties shall.cause this Agreement to be'recorded in the
Office of the County Recorder of San Die�o Counh� �vithin thii2y (30)days afrer this Agreement
has been approved 6y the Ciry Council.
15. 1Vliscellaneous Provisions:.
(a) Notices: Unless ottier�vise provided in this Agieement-orby:la��;
any and,all nouces requiied, or permitted.by this: Agreement oc by law to be'seived on or
delivered to either party- shall be in_ «�ritin2 and; shall be deemed_duly sen�ed, deliveied and
received whespersonally�delivered to the party to «�hom it is diiecfed or,.in_lieu.thereof, cvhen
:
thiee. (S}business days have elapsed follo�iing:deposit in the Uitited States Mail,� ceitified or
re�istered mail, ietum receipt, requested, fiist-class' posta�a_piepaid, addre"ssed to the address
indicated in 2his A�eement.- A pa;ty.may change,such"address for ttie piupose:of this Pazagrapfi
by giving aTitfen•notice.of such change to the other party.
Citv:
Giti�'of Clinla Vista
D"evelop;nent.S erdice's'Depaitrrient;
Land Development Division
276 Fourth Avenue-
Chula Visfa;Califomia.91910
McNtillin Millenia,LLC: �
SLF N/Ivlcivlillin Millenia,JV,_LLC
c/o The:Corky McMillin Companies`
P.O:Box $5104_
San Diego, CA 92186=5,104.
,s:ttn: Todd Garlarneau
US WESTfiO3i46679A
Gruit of Eazements A@rccment
0:0320.00001-i+lillenia. 8 ORRD/l3
5-11
(b) Captioas. CapUons in ttiis Agreeinent are inserted for
convenience of reference and do not define, describe or ]imit the scope or intent of this
Agreement or any of its.terms.
(c) Entire Aereement. This Agreement; toge.ther with any other
w�ritten docuiiient ieferi�ed to herein, embody the enrire agreement and_ understanding:between
the parties'.regardinb the subject matter hereof,,and any and all prior or contemporaneous oral or
writfen representations, agreements, understandings and/or'sfatements shall,be of rio force and
effect., This Agreement is nof intended to supersede or amend any other agreement between the
parties unlessexpressly noted.
(d} Recitals: Eahibits.; Any recifals set forih abo��e and any aftached
exhibits aie incorporated-by iefeience into_this.flgreement.
(e) Cotnpliance with Laws. In the performance of its. obligations
under this Agreement, McNlillin Millenia LLC, its agents and employees, shall comply �vith any
and all applicable: federal; state and local rules;,regulations, ordinances,.pblicies, pei�mits and
approvals.
(fl Authoritv of Sienatories. Each signaior}�and pariy.hereto heieby
warrants arid rep'resents to the otherparty that iT has legal authority and capacity and,direction
from its principal to enter into tliis Agreeinenf, and that.all resolurions and/or other actions have
6een taken so as io eriable said signatory to enter,into this Agreement.
(g) 1Vlodification:. THis Agreement may'not be modified, temiinated
or rescinded, in•whole or in part; e,xcept by written instrument duly executed and acknowledged.
by the parties hereto, their successors or assigns, and duly recorded in the Office'of the County
Recorder.of San Diego Counry.
(h). Preparatiou of .Aereement. No inference, assumption or
presuinption shall be dra�vn from'th'e fact fhat-a party"or its attomey prepazed and/ordrafred this
,Agreement. It, shall be: conclusively presun�e8, fhat both parties' participated equally in the
preparation and/or drafting of this Agreement.
(i), Approvals. When any approvals or conections are re_quested to be
obtained.from the Gity hereunder, the-failure-of the.City to deliver.notice of disapproval of any
such iequesf ineeting' all the p'rovisions of this 'agieement as detemiined_ by the Gity Manager
w7thin one hundred eighry"(180)"daysafter receipt of notice o£such request to the City Atfomey
and Development Seryices Direcfor,shall consfitute approve tliereof
End of page(neat page is signature page)
US V�'ES7 503746879.4
Grani of Easements Aerecmrn[
040i20-00001 -Millcnia 9 0820/13
5-12
SIGNATiTRE PAGE•1 OE 2 FOR
GRANT OF EASEMENTS,LICENSE AND.MAINTENAIVCE AGREEMENT
CHIILA VISTA TRACT NO. 09-03
OTaY RANCH MIIILENLA (EAS'I`ERN LTRBAN GENTER)
LN WITNESS«'fIEREOF, the parties hereto caused this A�eement to be executed the;
dav and Veai fi'ist set forrh abo��e.
CITY OF CHLiLAVISTA:
City Mayor"
APPROVED.AS TO-FORM:
Cin� Attomey
ATTEST:
City Clerk
):Wrtomn�Utichae15h1EU61GEL.liAVGELMACVT0903-1029:13-RE VFII::9L.doc
US t1'EST 803756879.5
Glant of Eazemenis'AZeemert
010320-OOODI=Milleniz .10 O8�?0/l3
5-13
SIGNATURE PAGE 2 OF 2 FOR
GRANT OE EASEMENTS,LICENSE.AND MAINTENANCE AGREEIVIENT
CHULA VISTA TRACT NO. 09-03
OTAI'RANCH MII,I,EiVIA(EASTERN URBAN CEN'I'ER)
DEVEI,OPER
SLF TV(McMillin Millenia JV, LLC.
a,Delaware Limited Lia6ility, Company, as,Owner
SLF IV/IvlcMillin Millenia JV, LLC
a Dela��aze lunited liabilify company
By: The Corky Mclvlillin Real Estate Group, LLC
a Delaware limited liabi ity ompany -
Its: Managing
� �
By: ' ���
�ts: /',
/
Bv:
Its:
(Nota�y:to attach acic�aowledorne��t for each signature.)
(Corpordte Authorily reguired for ekcTz'Sig�ralory, r(applicable.)
US \VEST 503746879:4
G�ant of Easemenfs AgreemeN
040320-00001 -Millenia 11 0820/13
5-14
Attachments•
Exhibit:"A': Legal;Description ofProperty
Exhibit"B": Plat_Sho�-ing Public Area to be Maintained
Eztiibit=`C�'-: Maintenance Rzsponsibilities,
liS R=STSOi7�",6879.7
G�nt o;Easements Avr_m�nf
O�S0320-00001 � 12 OSP_0/13
5-15
Exhibit "A"
MILLENIA
LEGAL DESCRIPTION
LOTS 1 THROUGH;9;AND LOTS A THROUGH NI OF CHULA VISTA TRACT.NO. 09-03, OTAY
RANCH IVIILLENIA (EASTERN URBAN CENTER), W THE CITY OF CHULA VISTA; COUNTY OF SAN
DIEGO, STATE OF CALIFORNIA;ACCORDING TO MAP THEREOF NO. 15942, FILED W THE
OFFICE OF THECOUNTY RECORDER OF SAN DIEGO COUNTY; SEPTEMBER 23, 2013.
5-16
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EXEIIBTT`'C"
EXHIBIT "G1-"
Maint'eriarice Resaonsibilities for Millenia.
Area: Ttiose parkways, p'edest�ian corrido�s'and:medians of pu6lic roadras identified on
Exliitiit "B".
Millenia Community.Association (NICA) Gty of Chula �sta Mainteriance
Meintenance • Curti_and Gutter=inspecY ond mqintqin
• StreetTrees—inspectondmointoin,, • Storm D�ain inlets—inspectond
trim and ihin;replacement of dead o� mointoin
dying plont moferiols os needed .- .Staridard Str'eet Lights—inspecf.qnd
• Palm Trees —inspecf_ond mdintoin, mbintoin - -
t�im 6nd thiri; replqcemenf of dead or . Traffic Signals—rnspect ond mointbin
dying plont nibteriols ds'needed . Street and Tra .ffic Signage—inspect ond
� Plariting Areas'-mointoin ond ferfilize; mdintain
replocement of dead or dying plont . Centerline, sideline and�parking
materials as needed striping—inspect and mainfqin
�' Bike Racks"—inspect"ond repoir . Biorefention Basins.—As detqiled in
• Trasfi Receptacle"s—inspect;cledn ond Exhibit ''E-2"
emPrY r Graffiti Removal —on dll facilities
• Benches—inspect pnd clean maintained by the City
� Deco�ative Lighting (including holiday
IightirSg)—"inspect and."maintain
� Non=Standard street Lighting and up=
ligFiting=inspeet ond main'tain
• P�iva_te.lighting Condui4s- mointoin
� Irrigation (ihcluding controlle�s, heads
and bubblers; and mairilines_and
laterals within st�eets, along:pa'rk
frontage"s an8 within.parks-serving -
Yhose areas Yo`be maintained by the
MHOA as shown on.Exhibit_B)-
monitor, odjust, inspect ond rePair
� � Concrete:(standard g�ey and exposed
aggregate)— cleon/m"aintoiri, power
wasli, rep6i�"a's riee'ded
• Unit Ravers=cleon; mointoin ond"
powerwash;-repai�as needed
• Decomposed Granite —smooth ond
clean
.: Tree Grates—dedn dnd mointdin;
C= L
DOCSOG]108691J4J12824=0003
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repair as needed
• Priyate Signage—Inspect and mointoin
• Lighting for special events and
laridscajiing'accerit.ligHtirig=lnspect
and m6intain.
• Bioretention Basins=As d"etailed in:
Ezhitiit "G2"
• Bus Stop ShelterS—in"spect,tlean aiid
m6iniain
• Graffiti Removal =on aH focilities
maintained by the MHOA
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E�IT "C-2"
Bioretention BasialVIaintenance for°Millenia
Millenia Cominuniry Association (MCA) Gty f IVlaintenance.CFD) Responsibiliry
Re"sPonsibility,
Insp`ectioris: Inspections:
� Landscaping(soil and plant condition)- • Inlet,_curb cuts; spillway and sto�m drain
rrmo"nthly connection,.including underdrain pipe (yia.
� Irrigation systems-mon[fity deanout port'and connection to inletj =
semi-annually and after mojoc storm
events.
• Coric�efe stamping—onnuolly
• Sediment accumulation—monfhly
� Rip rap pads'—seirii-onnuolly ond ofie�
majo�storm evenis
•. Exposed impermeable liner-month.ly
•. Retaining walls- onnually
Routine INaintenance: Routine Maintenance:
� T�ash and�debri; removal : Remo'val of sediment f�om inlets and
. Trimming and;pruning of vegetation storm drain pipes
� Weeding � Removal of excessive sediment build_up'iri
•. Mulehreplenishment—onnuolly� landscapingareas
•. 'Adjustment of spray heads and replacing; • Raking/tilling of surface soils
6roken or'non-furictional �ise�s,
heads/bubblers and valve parts,
Nori-Routirie Maintenance: Non-Routine Maintenance:
• Replacement of broken irrigation system •: Repair or replacemenfof non-legible
• Replacement of dead plants and trees concrete stamping
� Replacement of ir�igation arid planfing � . Repai'ror deaning of underdrein pipe if
material—concuhent v✓ith City's dogged (sediment/trash_�emoJal fiom:
replocement of soil and subg{ade moferiql witfiin)
• Replacement of alfsoil,-subgrade mafetial.
arid underdrairis=opproximote/yonce'
every 30.yea{s.
• Replacementofdamaged.coriaete
• Repair or replacement of damaged
structures
� Repair and �eplacement of�ip �ap pads
� Repai�o�-�eplacement of ilamaged.
impermeable liner
• RePair retaining'walls for chippingbr otFi_er
da'mage
5-27
COUI�'CIL RESOLUTION NO.
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A GRANT OF EASEMENTS,
LICENSE AND MAINTENANCE AGREEMENT BETWEEN
SLF IV/MCMILLIN MILLENIA JV, LLC, AND THE CITY OF
CHULA VISTA FOR 1'HE EASTERN URBAN CENTER
(MILLENIA) PROJECT (CHULA VISTA TRACT NO. 09-03)
WHEREAS, on May 12, 2009, McMillin Otay Ranch, LLC, now SLF IV/McMillin
Millenia JV, LLC ("Developer", or "Owner''), filed a duly verified application for the
subdivision of their Eastern Urban Center (EUC) property located within the northeastem portion
of the Otay Valley Parcel of the Otay Ranch General Development Plan. The EUC, which is
described on Chula Vista Tract 09-03, is also known as the "Millenia Project"; and
WHEREAS, as part of the conditions of approval set by Resolution No. 2009-225 for the
Otay Ranch Eastern Urban Center Tentative Subdivision Map (C.V.T. 09-03), the
ApplicanUDeveloper was required to enter into a Grant of Easements, License and Maintenance
Agreement (Agreement) with the City; and
WHEREAS, the proposed Agreement would allow and obligate Developer to perpetually
maintain the landscaping, hardscape, and other facilities within the right-of-way for the Mi]lenia
Project; and
WHEREAS, the Development Services Director has reviewed the proposed activity for
compliance with the California Environmental Quality Act (CEQA) and has determined that the
activity is not a "ProjecY' as defined under Section 15378(b)(2) of the State CEQA Guidelines;
therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activit�� in not
subject to CEQA. Thus, no environmental review is necessary..
NOW, THEREFORE; BE IT RESOLVED by the City Council of the City of Chula
Vista, that it hereby approves the Grant of Easements, License and Maintenance Agreement
between SLF IV/McMillin Millenia JV, LLC; and the City of Chula Vista for the Eastern Urban
Center (Millenia) project (Chula Vista Tract No. 09-03), in the form presented, as may have been
modified by the City Council prior to its approval and with such minor modifications as may be
required or approved by the City Attorney, a copy of which shall be kept on file in the Office oF
the City Clerk.
BE IT FURTHER RESOLVED, that the City Council of the City of Chula Vista does
hereby authorize and direct the Mayor to execute said Agreement on behalf of the City.
Presented by Approved as to form b
�
Kelly G. Broughton �? Gle
Development Services Director City Attorney
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