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Home My WebLink AboutAgenda Packet 2003/03/04 . REVISEDCLOSEÌ> SESSION' '. " rrEM't8ADDED CITY COUNCIL AGENDA March 4, 2003 4:00p.m. . Cou~ci1Chàm~rs Public sel'Vices ~unding 276 Fourth Av..,µue,Chula Vista. ·~\f~.. '.~ ~~,_.........,'............~,--:-' , < -- "" ---".~-'''----''', .. - .. .~.'.. .~ .;--. ·cnVOF . CIiUIAVlSfA .' cityCòuncil Patty navis John McQl.nn JerryR.Rindcule Mary Sa'as StephénC. Padilla, Mayor City Manager . DaVid D. Rowl;¡uds, Jr. City Attorney John M.Kaheny City Clerk Susan Bigelow . . .. ** * * *** * * * 1'heCityCouncil mee~regulady on the fir~tcalendar Tuesday at 4:QOp.m. and on the ~econd,thirdalidrou.rth calendar Tue~daysat6:00p.ro. . Regularmeetjngsm~ý þeviewedat 7:00 p.rn. on Wednesdays on Cox Cable Cbllnnel240r Chula Vista CableChanilel 68 . ********** .. ". w ._,____,_....._____.___..u_~_..._..___,__,__.__,__.._.__..___ ~ .. ' . ----...-..-..--..-..'-..-.-.-,-.,.--.--.,-". WELCOME TO THE cHULA VISTA CITY COUNCIL MEETING The Chula Vista City Council welcomes you and encourages your continued interest and invoJvement in the City's decision-making process. Copies of reports, resolutions, and ordinances to be considered by the City Council are available for your review at the City Clerk's Office beginning the Friday before the meeting. A reference copy is also provided for your convenience before and during the Council . meéting in the notebook on the information table just outside the Council Chambers. ADDRESSING THE CITY COUNCIL If you wish to speak to the City Council at this meeting, please fill out the 1I.equest to Speak toçity Çòullcil fonn available on the information table in the lobby and submit it to the City Çlerk prior to the meeting. If you have filled out a Requestto Speak to City Council form, the Mayor will call you to the podium !it the appropriate time and indicate the amount of time allotted for you to speak. Please clearly state your name and address for the record and proceed to make your Comments. The timer ill front of the Mayor will indicate how much time you have remaining to speak. VIDEOTAPING OF COUNCIL MEETINGS The regular Tuesday City C<JUncil meetings are videotaped and replayed on Wednesdays' at 7:00p.m. on Cox Cable Channel 24 and Chula Vista Cable Channel47. Videotape copies , . ., . (VHS) of the Council meetings are available for checkout on the Thursday following the meeting at the ChulaVista Public Library, 365 "F" Street. They may als(> be purchasedfor $10; call 691-5296 for further information. COMPLIANCE WITH AMERICANS WITH DISABILITIES ACT The City of Chula Vista, in compliance with the Americans with Disabilities Act (ADA), åsks individuals who require special accommodation to access, attend, and/or participate in a City meeting, activity, or service, to request such accommodation at least forty-eight hours in advance for meetings and five days in advance for scheduled services and activities. Please contact the City Clerk's Office for specific information at (619) 691-5041, 17. CONFERENCE WITH LEGAL COUNSEL REGARDING EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(a) · City ofChula Vista vs. Douglas E. Barnhart Inc. (San Diego Superior Court Case No. GIS 003859) 18. CONFERENCE WITH LEGAL COUNSEL REGARDING INITIATION OF LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(c) . One Case ADJOURNMENT to a Regular Meeting of March 18, 2003, at 6:00 p.m. in the Council Chambers. (The Regular Meeting of March 11,2003 has been cancelled.) Page 9 - Council Agenda 03/04/03 CITY COUNCIL AGENDA March 4, 2003 4:00 p.m. Council Chambers Public Services Building 276 Fourth Avenue, Chula Vista ~fft- ~ - - --- - ~~~~ CllY OF CHUlA VISfA City Council Patty Davis John McCann Jerry R. Rindone Mary Salas Stephen C. Padilla, Mayor City Manager David D. Rowlands, Jr. City Attorney John M. Kaheny City Clerk Susan Bigelow ********** The City Council meets regularly on the first calendar Tuesday at 4:00 p.m. and on the second, third and fourth calendar Tuesdays at 6:00 p.m. Regular meetings may be viewed at 7:00 p.m. on Wednesdays on Cox Cable Channel 24 or Chula Vista Cable Channel 68 ********** AGENDA Marcb 4, 2003 4:00 P.M. CALL TO ORDER ROLL CALL: Councilmembers Davis, McCann, Rindone, Salas, and Mayor Padilla PLEDGE OF ALLEGIANCE TO THE FLAG, MOMENT OF SILENCE SPECIAL ORDERS OF THE DAY · OATH OF OFFICE FOR NEWLY APPOINTED CITY ATTORNEY, ANN MOORE, TO BE ADMINISTERED BY THE HONORABLE CHARLES GILL · OATH OF OFFICE: NANCY KERWIN - CHILD CARE COMMISSION · INTRODUCTION BY DAVE BYERS, DIRECTOR OF PUBLIC WORKS OPERATIONS, OF THE EMPLOYEE OF THE MONTH, SYLVIA SIMMONS, SENIOR OFFICE SPECIALIST · PRESENTATION BY COUNCILMEMBER MCCANN OF CITIZENSHIP NEAR AND FAR BADGES TO BROWNIE TROOP NO. 5155. TROOP INTRODUCTION BY TROOP LEADER, LORI SEAMAN · PRESENTATION OF A PROCLAMATION BY MAYOR PADILLA TO KENNETH J. MACTIERNAN, DIRECTOR OF AIRCRAFT MAINTENANCE TECHNICIANS ASSOCIATION, PROCLAIMING SATURDAY, MAY 24, 2003 AS AVIATION MAINTENANCE TECHNICIAN DAY · PRESENTATION BY THE CHULA VISTA DOWNTOWN BUSINESS ASSOCIATION (DBA) REGARDING THE 2003 PROPERTY BASED IMPROVEMENT DISTRICT AND BUSINESS IMPROVEMENT DISTRICT BUDGETS, THE 2002 DBA ACCOMPLISHMENTS, THE RECENTLY ADOPTED VISION, MISSION, GOALS AND OBJECTIVES OF THE ORGANIZATION, THE INCOMING DIRECTORS AND OFFICERS OF THE DBA AND PRESENTATION OF A PLAQUE TO MAYOR PADILLA IN APPRECIATION FOR THE CITY'S SUPPORT WITH THE 2002 STARLIGHT YULE PARADE CONSENT CALENDAR (Items I through 8) The Council will enact the staff recommendations regarding the following items listed under the Consent Calendar by one motion, without discussion, unless a Councilmember, a member of the public, or City staff requests that an item be removed for discussion. If you wish to speak on one of these items, please fill out a "Request to Speak"form (available in the lobby) and submit it to the City Clerk prior to the meeting. Items pulled from the Consent Calendar will be discussed after Action Items. Items pulled by the public will be the first items of business. 1 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE JOINT USE AGREEMENT WITHIN THE SAN DIEGO COUNTY WATER AUTHORITY EASEMENTS AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE 11 WATER QUALITY BASINS, DESILTATION, AND NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM (NPDES) COMPLIANCE AGREEMENT BETWEEN THE CITY AND BROOKFIELD SHEA OTAY COMPANY LLC, A CALIFORNIA LIMITED LIABILITY COMPANY, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FINAL MAP OF CHULA VISTA TRACT NO. 01-11, OTAY RANCH VILLAGE 11 "A" MAP NO.1; ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE VARIOUS PUBLIC STREETS AND EASEMENTS, ALL AS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION; ACKNOWLEDGING ON BEHALF OF THE CITY OF CHULA VISTA THE IRREVOCABLE OFFER OF DEDICATION FOR LOT "J" FOR PUBLIC PARK PURPOSES; ACKNOWLEDGING ON BEHALF OF THE CITY OF CHULA VISTA ALL IRREVOCABLE OFFERS OF DEDICATION FOR OPEN SPACE LOTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION; APPROVING THE SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR CHULA VISTA TRACT NO. 01-11, OTA Y RANCH VILLAGE 11 "A" MAP NO. 1, REQUIRING BROOKFIELD SHEA OTAY COMPANY LLC TO COMPLY WITH CERTAIN UNFULFILLED CONDITIONS OF RESOLUTION NO. 2001-364, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT E. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE GRANT OF EASEMENTS AND MAINTENANCE AGREEMENT FOR OTAY RANCH VILLAGE 11 "A" MAP NO.1, ESTABLISHING SPECIFIC OBLIGATIONS AND RESPONSJBJLITŒS FOR MAINTENANCE OF PRIVATE LANDSCAPING WITHIN PUBLIC RIGHT-OF-WAY AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT F. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE SLOPE AND DRAINAGE MAINTENANCE AGREEMENT FOR EASTLAKE PARKWAY BETWEEN STATIONS 11+76.43 AND 22+37.30 WITH BROOKFIELD SHEA OTAY LLC, A CALIFORNIA LIMITED LIABILITY COMPANY (DEVELOPER), ESTABLISHING SPECIFIC OBLIGATIONS AND RESPONSIBILITIES FOR MAINTENANCE OF SLOPES AND DRAINAGE WITHIN PUBLIC RIGHT-OF-WAY AND CITY EASEMENTS, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT Page 2 - Council Agenda 03/04/03 Adoption of the resolutions approves the first final map, the subdivision improvement agreement, and supplemental subdivision improvement agreement for Otay Ranch Village II, commonly known as "Windingwalk." Adoption of the resolutions also approves the Otay Ranch, Village II water quality basins, desiltation, National Pollutant Discharge Elimination System Compliance (NPDES) agreement, grant of easements and maintenance agreement for homeowner association maintenance within public right-of- way, and slope and drainage maintenance agreement for maintenance of a temporary slope on the west side of Eastlake Parkway between stations 11+76.43 and 22+37.30. (CONTINUED FROM THE MEETING OF FEBRUARY 18, 2003 - Director of Engineering) Staff recommendation: Council adopt the resolutions. 2. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FISCAL YEAR 2003 LIBRARY DEPARTMENT BUDGET BY APPROPRIATING UNANTICIPATED GRANT REVENUE IN THE AMOUNT OF $10,471 FOR THE LITERACY PROGRAM (4/5THS VOTE REQUIRED) The Chula Vista Literacy Team recently received a one-time augmentation of $4,000 ¡¡-om the Workforce Investment Act 231 Grant. In addition, the Literacy Team has received an unanticipated increase of $6,471 in California State Library Matching Funds. (Deputy City Manager Palmer) Staff recommendation: Council adopt the resolution. 3. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE PERFORMING AND VISUAL ARTS TASK FORCE'S SELECTION OF FIVE MID-YEAR 2002/2003 PERFORMING AND VISUAL ARTS GRANT RECIPIENTS AND THEIR MONETARY GRANT AWARDS TOTALING $7,170 In an agreement between the City ofChula Vista and the House of Blues Concerts, Inc., a portion of ticket sales proceeds at the Coors Amphitheater is paid to the City and utilized for a Perfonning and Visual Arts Fund. This fund is used for arts grants to promote and stimulate the growth of perfonning and cultural arts within the City. A Perfonning and Visual Arts Task Force was established and makes recommendations to Council regarding the arts grant awards. The Task Force has reviewed the Mid-Year 2002-2003 applications and is now making the necessary recommendations to Council. (Deputy City Manager Palmer) Staff recommendation: Council adopt the resolution. 4. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FISCAL YEAR 2003 RECREATION DEPARTMENT BUDGET BY APPROPRIATING $2,300 IN GRANT FUNDS FROM THE POLICE ACTIVITIES LEAGUE FOR THE PROVISION OF A YOUTH SOCCER PROGRAM IN THE MIDDLE SCHOOL AFTER SCHOOL PROGRAM (4/5THS VOTE REQUIRED) The Recreation Department has been awarded a $2,300 grant ¡¡-om the Chula Vista Police Activities League (PAL) to provide a seven-week soccer league for children involved in the City's Middle School after school program. (Director of Recreation) Staff recommendation: Council adopt the resolution. Page 3 - Council Agenda 03/04/03 5. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RATIFYiNG THE 2003 BUDGET OF THE THIRD AVENUE BUSINESS IMPROVEMENT DISTRICT, ACCEPTING THE REPORT ON THE 2003 BUDGET OF THE THIRD AVENUE PROPERTY BASED IMPROVEMENT DISTRICT, AND RATIFYING THE ELECTION OF THE 2003 THIRD AVENUE PROPERTY BASED BUSINESS IMPROVEMENT DISTRICT BOARD OF DIRECTORS AND OFFICERS In accordance with the Chula Vista Municipal Code, in March of every year, the Chula Vista Downtown Business Association is required to submit its budget from the Business Improvement District assessment, the Property Based Business Improvement District assessment, and the results of its annual election of Directors and Officers. (Director of Community Development) Staff recommendation: Council adopt the resolution. 6A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROViNG CLOSURE OF THIRD AVENUE FROM E STREET TO H STREET FOR THE C1NCO DE MAYO CELEBRATION ON MAY 4, 2003 FROM 4:00 A.M. TO 9:00 P.M., WAIViNG PROHIBITION ON SIDEWALK SALES, AND WAIViNG BUS1NESS LICENSE TAXES FOR DOWNTOWN BUSINESS ASSOCIATION AND VENDORS PARTICIPATING IN THE EVENT B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING CLOSURE OF THIRD AVENUE BETWEEN F STREET AND G STREET FROM 7:30 A.M. TO 10:00 A.M. ON SATURDAY, JUNE 21, 2003, WAIVING THE PROHIBITION ON SIDEWALK SALES AND WAIVING BUSINESS LICENSE TAXES FOR THE DOWNTOWN BUS1NESS ASSOCIATION AND VENDORS FOR THE SECOND ANNUAL CHULA VISTA PET FEST C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING CLOSURE OF THIRD AVENUE FROM E STREET TO H STREET FOR THE CHULA VISTA THIRD AVENUE LEMON FESTIVAL ON AUGUST 17, 2003 FROM 4:00 A.M. TO 9:00 P.M., WAIVING PROHIBITION ON SIDEWALK SALES, AND WAIV1NG BUSINESS LICENSE TAXES FOR DOWNTOWN BUSINESS ASSOCIATION AND VENDORS PARTICIPATING 1N THE EVENT D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING CLOSURE OF THIRD AVENUE FROM D STREET TO I STREET AND H STREET BETWEEN SECOND AVENUE AND FOURTH AVENUE, AND PORTIONS OF iNTERSECTING STREETS ON DECEMBER 6, 2003 FOR THE 41 ST ANNUAL STARLIGHT YULE PARADE, SUBJECT TO CONDITIONS E. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING CLOSURE OF A PORTION OF CENTER STREET BETWEEN THIRD AVENUE AND DEL MAR AVENUE FROM 3:00 TO 9:00 P.M. ON SATURDAY, DECEMBER 6, 2003, WAIVING THE PROHIBITION ON SIDEWALK SALES, AND WAIViNG BUSINESS LICENSE FEES TO THE DOWNTOWN BUS1NESS ASSOCIATION AND VENDORS FOR THE PURPOSE OF HOLDING A CRAFT FAIR DURING THE STARLIGHT YULE PARADE Page 4 - Council Agenda 03/04/03 F. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND CHULA VISTA DOWNTOWN BUSINESS ASSOCIATION FOR SPECIAL EVENTS FOR 2003, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT The Chula Vista Downtown Business Association (DBA) is requesting the closure of Third Avenue and portions of other streets for five 2003 promotional events. For administrative efficiency purposes, as last year, all street closure events are presented for Council consideration at one time. (Director of Community Development) Staffrecommendation: Council adopt the resolution. 7. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING A HEALTH INSURANCE PORTABILITY AND ACCOUNTABILITY ACT (HIPAA) PRIVACY POLICY AND AMENDING THE CITY OF CHULA VISTA CAFETERIA BENEFITS PLAN FOR 2003 TO INCORPORATE THE POLICY The Health Insurance Portability and Accountability Act of 1996 (HIPAA) Privacy Policy regulates the City's use and disclosure of protected health information (PHI) obtained during the City's self-administration of Flexible Spending Accotmts. HIPAA further requires that by April 14, 2003, privacy rights be included in Cafeteria Plan documents. This amendment to the City's Cafeteria Benefit Plan Document for Year 2003 spells out the City's policy and meets the HIPAA's requirement. (Director of Human Resources) Staff recommendation: Council adopt the resolution. 8. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RENAMING THE CITY OF CHULA VISTA PUBLIC WORKS CENTER THE "JOHN LIPPITT PUBLIC WORKS CENTER", IN HONOR OF RECENTLY RETIRED DIRECTOR OF PUBLIC WORKS, JOHN L1PPITT On December 27, 2002, after twenty-seven years of service to the City of Chula Vista, John Lippitt, Director of Public Works, retired from City employment. During the period of John's service, which started in June of 1975 when he was appointed to the position of Assistant Director of Public Works, the City has been recognized as a leader in the public works arena. John was promoted to City Engineer in July of 1978 and to Director of Public Works in 1985. For all of his accomplishments, it is entirely proper and reasonable for the City to honor and conunemorate the service and accomplishments of John Lippitt and rename the Public Works Center the "John Lippitt Public Works Center". (City Manager) Staff recommendation: Council adopt the resolution. ORAL COMMUNICATIONS Persons speaking during Oral Communications may address the Council on any subject matter within the Council's jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council from taking action on any issue not included on the agenda, but, if appropriate, the Council may schedule the topic for future discussion or refer the matter to staff Comments are limited to three minutes. Page 5 - Cotmcil Agenda 03/04/03 ACTION ITEMS The items listed in this section of the agenda will be considered individually by the Council, and are expected to elicit discussion and deliberation. If you wish to speak on any item, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. 9. CONSIDERATION OF ADOPTION OF A RESOLUTION ADOPTiNG THE CHULA VISTA ECONOMIC DEVELOPMENT STRATEGY Adoption of the resolution approves the proposed Economic Development Strategy, including the Chula Vista Economic Vision 2020. The proposed Economic Development Strategy identifies 12 goals, along with corresponding objectives, action items, responsible parties, partners, and timefi'ames. This detailed, action-oriented plan will facilitate future progress monitoring and reporting to Council. (Director of Community Development) Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CHULA VISTA ECONOMIC DEVELOPMENT STRATEGY (EDS) 10. CONSIDERATION OF APPROVAL OF A LETTER OF INTENT BETWEEN THE CITY AND THE COUNTY OF SAN DIEGO REGARDiNG THE SITING AND CONSTRUCTION OF A COUNTY-OWNED LIBRARY ON CITY-OWNED PROPERTY Adoption of the following resolution will approve a letter of intent, which is not intended to be a legally binding agreement, or an amendment to any existing agreement, and provides for basic principles and provisions, forming the basis of a ground lease and construction agreement. The essential nature of the letter of intent is that the City will work with the County to locate a suitable area of 60,000 square feet on property located adjacent to the Chula Vista Municipal Golf Course, along the 4400 block of Bonita Road. (Director of Building and Park Construction) Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A LETTER OF INTENT BETWEEN THE CITY OF CHULA VISTA AND THE COUNTY OF SAN DIEGO REGARDING THE SITING AND CONSTRUCTION OF A COUNTY-OWNED LIBRARY ON CITY- OWNED PROPERTY 11. CONSIDERATION OF ADOPTION OF AN ORDiNANCE AMENDING CHAPTER 2.56 OF THE CHULA VISTA MUNICIPAL CODE REGARDiNG PURCHASiNG PROCEDURES AND ADOPTION OF A RESOLUTION APPROViNG REVISED CONSULTANT SELECTION PROCEDURES Page 6 - Council Agenda 03/04/03 Council approved amending Chapter 2.56 of the Chula Vista Municipal Code to modify purchasing procedures in open session on February 18, 2003. At this first reading, Council directed staff to revise the original recommendation (a) to retain City Manager approval of contracts for equipment, materials, and services from $50,000 to $100,000; and (b) to retain Council approval of professional services in excess of $50,000. The remaining recommended modifications were approved as requested. Council further approved a recommendation to direct Engineering staff and the Charter Review Commission to conduct an analysis of whether or not to increase the $25,000 limit of staff authority to approve public works projects. Because recommended changes to City Council Policy 102-5 were not formally addressed at the February 18th meeting, approval of these changes to consultant selection procedures is also requested. (Director of Finance) Staff recommendation: Council place the following ordinance on second reading for adoption and adopt the following resolution: A. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING CHAPTER 2.56 OF THE CHULA VISTA MUNICIPAL CODE TO MODIFY PURCHASING PROCEDURES (SECOND READING) B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING REVISED CONSULTANT SELECTION PROCEDURES CONTAINED IN COUNCIL POLICY 102-5 12. CONSIDERATION OF ADOPTION OF RESOLUTIONS iNITIATING PROCEDURES FOR PROPOSED ASSESSMENT DISTRICT NO. 2002-1 FOR STREET IMPROVEMENTS ON QUINTARD STREET, BETWEEN THIRD AND FOURTH AVENUES Seventeen property owners who have access to their properties on Quintard Street between Third and Fourth Avenues have missing street improvements. Thirteen of these owners have signed a petition requesting that special assessment district proceedings be commenced for the purpose of financing the construction of these improvements. Staff has completed preliminary design and cost estimates for this project. (Director of Engineering) Staff recommendation: Council adopt the following resolutions: A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING A PETITION REQUESTING THE FORMATION OF AN ASSESSMENT DISTRICT TO INCLUDE A PORTION OF QU1NTARD STREET FOR THE PURPOSE OF FINANCING THE CONSTRUCTION OF STREET IMPROVEMENTS B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING A MAP SHOWING THE PROPOSED BOLrNDARIES FOR ASSESSMENT DISTRICT NO. 2002-1 (QUINTARD STREET) Page 7 - Council Agenda 03/04/03 C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ORDERING THE INSTALLATION OF CERTAIN IMPROVEMENTS ON QUINTARD STREET, APPROVING THE PRELIMINARY ASSESSMENT ENGINEER'S REPORT, SETTING THE TIME AND PLACE FOR A PUBLIC HEARING, AND ORDERING THE INITIATION OF BALLOT PROCEEDINGS D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA TRANSFERRING $55,000 FROM CAPITAL IMPROVEMENT PROJECT DR- 127 TO STL-285 (QUINTARD STREET) TO FINANCE PRECONSTRUCTION COSTS ITEMS PULLED FROM TIlE CONSENT CALENDAR OTIIER BUSINESS 13. CITY MANAGER'S REPORTS 14. MAYOR'S REPORTS A. Ratification of appointment to the Growth Management Oversight Commission - Gary Lee Nordstrom B. Ratification of appointment to the International Friendship Commission - Joseph Kheder C. Ratification of appointment to the International Friendship Commission Elva Mellor D. Ratification of appointment to the International Friendship Commission - Melanie Stuart-Emery 15. COUNCIL COMMENTS CLOSED SESSION Announcements of actions taken in Closed Session shall be made available by noon on Wednesday following the Council Meeting at the City Clerk's office in accordance with the Ralph A~ Brown Act (Government Code 54957. 7). 16. CONFERENCE WITH REAL PROPERTY NEGOTIATOR PURSUANT TO GOVERNMENT CODE SECTION 54956.8 Property: San Diego Gas & Electric - Gas and Electricity Franchise (Pertaining to Public Rights of Way throughout the City of Chula Vista) Agency negotiators: David Rowlands, Jr., Sid Morris, Michael Meacham, Glen Googins Negotiating Parties: City of Chula Vista, San Diego Gas & Electric Under Negotiation: Price and Terms of Payment Page 8 - Council Agenda 03/04/03 17. CONFERENCE WITH LEGAL COUNSEL REGARDING EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(a) · City of Chula Vista vs. Douglas E. Bamhart Inc. (San Diego Superior Court Case No. GIS 003859) ADJOURNMENT to a Regular Meeting of March 18, 2003, at 6:00 p.m. in the Council Chambers. (The Regular Meeting of March 11, 2003 has been cancelled. Page 9 - Council Agenda 03/04/03 COUNCIL AGENDA STATEMENT Item Meeting Date: ITEM TITLE: A) Resolution Approving the Joint Use Agreement within the San Diego County Water Authority Easements and authorizing the Mayor to execute said Agreement. B) Resolution Approving the Otay Ranch Village 11 Water Quality Basins, Desiltation, and NPDES Compliance Agreement between the City and Brookfield Shea Otay Company LLC, a California Limited Liability Company and authorizing the Mayor to execute said Agreement. C) Resolution Approving the Final Map of Chula Vista Tract No. 01-11, Otay Ranch Village 11 "A" Map No. I; accepting on behalf of the City of Chula Vista the various public streets and easements, all as granted on said map within said subdivision; acknowledging on behalf of the City of Chula Vista the Irrevocable Offer of Dedication for Lot "J" for public park purposes; acknowledging on behalf of the City of Chula Vista all Irrevocable Offers of Dedication for Open Space Lots granted on said map within said Subdivision; approving the Subdivision Improvement Agreement for the completion of improvements required by said Subdivision and authorizing the Mayor to execute said Agreement. D) Resolution Approving a Supplemental Subdivision hnprovement ~ ,. Agreement for Chula Vista Tract No. 01-11, Otay Rancb Village 11 "A" ~ Map No. l, requiring Brookfield Shea Otay Company LLC to comply with · / certain unfulfilled conditions of Resolutiol~ No. 2001-364, and authorizing the Mayor to execute said Agreement. E) Resolution Approving the Grant of Easements and Maintenance Agreement for Otay Ranch Village 11 "A" Map No. 1, establishing specific obligations and responsibilities for maintenance of private landscaping withiu public right-of-way and authorizing the Mayor to execute said agreement. F) Resolution Approving the Slope and Drainage Maintenance Agreement for Eastlake Parkway between Statious 11+76.43 and 22+37.30 with Brookfield Shea Otay LLC, a Califoruia Limited Liability Company ("Developer"), establishing specific obligations and responsibilities for mainteuance of slopes and drainage within public right-of-way and City easements and authorizing the Mayor to execute said agreement. SUBMITTED BY: Director of Engineenn REVIEVVED BY: City M~~ (4/5tbs Vote: Yes_No X_~.) Tonight Council will consider the first fin{ [nap for Otay Ranch Village 11, (Windingwalk). The development is primarily residential and bi: :t' edbyamajorutilitycorridor. The San Diego County Water Authority has approved the form of the Joint Use Agreement to allow a City sewer line to cross their aqueducts. / -/ Page 2, Item ] Meeting Date: 2/18/03 On October 23,2001 by Resolution 2001-364, City Council approved the Tentative Subdivision Map for Chula Vista Tract No. 01-11; Otay Ranch Village 11 and is commonly known as Windingwalk. The Final Map for Chula Vista Tract No. 01-11 Otay Ranch "A" Map No.1 and associated Subdivision Improvement Agreement and Supplemental Subdivision Improvement Agreement are now before Council for consideration and approval. Tonight, Council will also consider the approval of Otay Ranch Village I 1 Water Quality Basins, Desiltation, and NPDES Compliance Agreement, Grant of Easements and Maintenance Agreement for HOA maintenance within public right-of-way, and Slope and Drainage Maintenance Agreement for maintenance ora temporary Slope on the west side of Eastlake Parkway between Stations 11+76.43 and 22+37.30. All Resolutions being considered tonight are conditions of development for the first Final Map of Otay Ranch Village 11. RECOMMENDATION: That Council adopt the resolutions approving: (A) the Joint Use Agreement with the San Diego County Water Authority, (B) the Otay Ranch Village 1 l Water Quality Basins, Desiltation, and NPDES Compliance Agreement, (C) the Final Map and Subdivision Improvement Agreement, (D) the Supplemental Subdivision Improvement Agreement, (E) the Supplemental Subdivision Improvement Agreement (F) the Grant of Easements and Maintenance Agreement, and (G) the Slope and Drainage Maintenance Agreement and authorizing the Mayor to execute said Agreements. It should be noted that Council approval of the Joint Use Agreement ("JUA") with San Diego County Water Authority must occur before or concurrent with Council action on the other resolutions on this agenda item, as the final map which accepts a sewer easement within the San Diego County Water Authority Easements ("SDCWA") cannot be recorded without the JUA. BOARD/COMMISSIONS RECOMMENDATIONS: Not Applicable DISCUSSION: The alignment of the proposed sewer line construction within Crossroad Street encroaches upon an existing 120-foot, 80-foot, and 30-foot SDCWA Easements. SDCWA has approved the form of the JUA with the City of Chula Vista for the sewer easement within Crossroad Street (see Attachment A). The right of way crossing over the SDG&E easements will be subordinate to the utility easements. Further agreements with the SDCWA will be required for the future Right-of-Way dedications within the SDCWA Easements, Final Maps and Associated Improvement Agreements Otay Ranch Village 11 "A" Map No. 1 is the first map for the subdivision. Otay Ranch Village 11 commonly known as Windingwalk Subdivision is generally located south of Olympic Parkway between Hunte Parkway and Eastlake Parkway (see Exhibit 1). The final map for the subdivision consists of the following: ' Page 3, Item ! Meeting Date: 2/18/03 Number of Lots for Final Map Number of Lots Open Space, Public Public Parks UtiHtiesfPublic Uses Total Acreage Otay Ranch Village 11 "A" Map No.1 9 8 l(8.877acres) 484.987 acres A plat for Otay Ranch Village 11 "A" Map No.1 is shown as Exhibit 2. This Final Map is also a Condominium Map for Lot 2 (R-20) with maximum of 78 Dwelling Units, Lot 3 (R-21 ) with maximum of 112 Dwelling Units and Lot 4(R-22) with maximum of 105 Dwelling Units. These units will not require any additional Map. Thc final map for thc subdivision has been reviewed by the Engineering Department and Department of Planning & Binlding and found to be in substantial conformance with the approved Tentative Map. Thc developer has already paid all thc applicable fees. Approval of the map constitutes acceptance by the City of all general utility & access casements, drainage & access casement, sewer easement, and landscape buffer & access easements, and sight visibility easements within the subdivision. Approval of thc final maps also constitutes acceptance, on behalf of the public, of the following streets: FINAL MAP DEDICATED STREETS Otay Ranch Village 1 l "A" Map Kestrel Falls Road, Exploration Falls Drive, Windingwalk Street, Hidden Path No. 1 Drive, Evening Star Street, Portions of Eastlake Parkway and portions of Hunte Parkway Since the Otay Ranch Village 11 Homeowners' Association will maintain the open space lots (except Lot "J"), the City is only acknowledging the offer of dedication of said lots on the Final Map. Approval of the map therefore, does not constitute acceptance of the Open Space Lots. However, Section 7050 of the Government Code of the State of California provides that an offer of dedication shall remain open and subject to future acceptance by the City. The developer has already executed the following agreements: · Joint Use Agreement with the San Diego County Waster Authorit;/. · Otay Ranch Village 11 Water Quality Basins, Desiltation, and NPDES Compliance A~reement satisfying conditions of approval Nos. 66, 99, and 100 of Resolution 2001-364 of the Otay Ranch Village 1 l Tentative Map which apply to the entire land covered by the Otay Ranch Village 11 Project (Attachment B). · Supplemental Subdivision Improvement Agreement for Ota¥ Ranch Village 11 "A" Map No.1 to satisfy conditions 0f approval nos. 1-6, 8-19, 21-24, 27, 32, 35, 36, 40, 43, 45, 48, 49, 50, 51, 55, 56, 57, 58, 59, 60, 63, 69, 78, 85, 86, 96, 109, 114, 115, 116, 118-121, 124, 125, 128, 130, 131, 140, 141, 142, 150, 151, 155, 164, 172, 174-177, 179, 180, 183, 184, 185, 189, 192, 193, 195, 196-200, 202-205 of Resolution 2001-364 of the Otay Ranch Village 11 which apply to the entire Otay Ranch Vii'age 11 Project. · Subdivision Improvement Agreement for the map and has provided bonds to guarantee construction of the required improvements and to guarantee the subdivision monumentation. Page 4, Item I Meeting Date: 2/18/03 · Grant of Easements and Maintenance Agreement for the grant of easements and maintenance agreement (Attachment C) sets forth the developer's obligation to maintain landscaping in the public right of way. The obligation will be assigned to the homeowner's association (HOA) after the landscaping has been established and turned over to the HOA to maintain. Further agreements will be brought before council with each subsequent map for HOA maintained public property within the subdivision boundary. · Slope and Drainage Maintenance Agreement (Attachment D) set forth the developer's obligation to maintain the slopes and drainage facilities within City's easements until a permanent maintenance district or another alternative funding mechanism is established by the underlying fee owner and approved by the City. Parks The Developer (Brookfield Shea Otay, LLC) has provided an Irrevocable Offer of Dedication of Fee Interest for the land acquisition obligation for Community Park, Lot "J" within Otay Ranch Village 11 "A" Map No.1. No PAD fees have been collected with this Map. PAD fees will be collected with either future Maps or prior to Building Permit issuance for the Condominium Lots. Salt Creek Sewer The entire Village 11 Project is dependent on the Salt Creek Sewer being completed. The Developer has agreed in the SSIA not to seek any building permits until such time as the sewer is completed. The agreements have been reviewed by staff and are ready for Council approval. The City Attorney has approved the agreements as to form. Other Council Action Council will also be considering under separate agendas the formation and modification of Community Facilities Districts CFD 97-02 and CFD-09M for the Preserve and Maintenance obligations of Village 11, the fom~ation of a Pedestrian Bridge D1F, and an Affordable Housing Agreement for Village 11. FISCAL IMPACT: None to the General Fund. All staff costs associated with processing of the improvement plans, final maps and associated agreements will be reimbursed from the developer's deposits. Exhibits: 1. Location plat for Otay Ranch Village I 1 Project 2. Plat for Otay Ranch Village 1 1 "A" Map No.1 3. Developer's Disclosure Statement Attaclunents: A. Joint Use Agreement with San Diego County Water Authority B. NPDES Agreement C. Grant of Easement & Maintenance Agreement D. Slope & Drainage Maintenance Agreement J:\Engineer\LANDDEV\Projects\Otay Rancl~ Village I I\FINAL MAP\OR-603F CAS bt~ doc EXHIBIT 1 R-2 R-20 R-1 . R-23 R-21 R-22 R-24 R-~O R-25 S-1 BIRCH ROAD Brookfield Shea Otay, LLC i': ,:.:'.' o EXHIBIT 3 ^ppendi× B 'Y OF CHULA VISTA DISCLOSURE STATEMENT You are required to file a Statement of Disclosure of certain ownership or financial interests, payments, or campaign contributions, on all matters which will require discretionary action on the part of the City Council, Planning Commission, and all other 0fficial bodies. The following information must be disclosed: 1. List the names of all persons having financial interest in the property which is the subject of the application or the contract, e.g., owner applicant, contractor, subcontractor, material supplier. ~/A 2. If any person* identified pursuant to (1) above is a corporation or partnership, list the names of all individuals owning more than 10% of the shares in the corporation or owning any Partnership interest in the partnership, 3. If any person* identified pursuant to (1) above is non-profit organizat on or a trust,' list the names of any person serving as director of the non-profit organization or as trustee or beneficiary or trustor of the trust. N/A 4. Have you had more than $250 worth of business transacted with any member of the City staff, Boards, Commissions, Committees, and Council within the past twelve months? Yes No If yes, please indicate person(s): ..... 5. Please identify each and every person, including any agents, employees, consultants, or independent contractors who you have assigned to represent you before the City in this matter. Hunsaker & A§sociates San Die~o~ Inc. John Norman - Brookfield Homes Paul Barnes - Shea Homes Steve Doyle - Brookfield Homes John Vance - Shea Homes Sandra E. Moore - Brool~field Homes E. Dale Gleed - Brookfield Homes 6. Have you and/or your officers or agents, in the aggregate, contributed more than $1,000 to a Councilmember in the current or preceding election period? Yes No × If yes, state which Councilmember(s):. ' -- il~' (NOTE:ATTACHADDITIONALPAGESAtNE~cE$$ARY)/i~.- - ' f c ctodapplicant Print or ~pe name of contractor/applicant Person is defined as: "~ny individual, ~rm, co-partnership, joint venture, association, social cl~, ~eaternal organization, corporatio~ 5) Signature format: The following format must be used for all documents that require the owner or contractors signature: Brook_field Shea Otay LLC, a California limited liability.- company By: Brook_field Otay Inc., a California corporation, Member By: , its By: · its By: Shea Otay Village 11 LLC, a California limited liability company, Member By: Shea Homes Limited Partnership, a California L/mited partnership, its Sole Member By: J.F. Shea Co., Inc., aNevada Corporation, its General Partner By: , its By: , its Committing Documents: The managing member, Brookfield Otay Inc., MUST get PRIOR written approval from the Shea member BEFORE committing any money. A form has been created to expedite this process. The name oft. he form is Notice of Pending Commitment. Ifvou do not have one please see Jill, Alex or myself to get one. Once this form is completed please give it to Sandy Moore. I will fax it to Shea and give you a copy back once approved. When you receive your approved copy, you may then process the commitment. Keep a copy of the Notice of Pending Commitment with your contract. Remember to have the correct signature block. The document is sent to the subcontractor for execution, then Brook_field Otav's execution and finally to Shea Homes for execution..~dex wi~l be happy to be the point person for getting commitments to and from Shea, this will alleviate Shea getting documents from numerous people. This process must be done for all documents including change orders and purchase orders. RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE JOINT USE AGREEMENT WITHIN THE SAN DIEGO COUNTY WATER AUTHORITY EASEMENTS AND AUTHORIZING THE MAYOR TO EXECUTE SAD AGREEMENT WHEREAS, the alignment of a proposed sewer line construction within Crossroad Street encroaches upon an existing 120-foot, 80-foot, and 30-foot San Diego County Water Authority (SDCWA) Easements; and WHEREAS, SDCWA has approved the form of the Joint Use Agreement (JUA) with the City o f Chula Vista for the sewer easement within Crossroad Street; and WHEREAS, the right of way crossing over the SDG&E easements will be subordinate to the utility easements and further agreements with the SDCWA will be required for the future Right-of-Way dedications within the SDCWA Easements. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the Joint Use Agreement within the San Diego County Water Authority Easements, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized to execute said Agreement. Presented by Approved as to form by Clifford T. Swanson John M. Kca'fieny Director of Engineering City Attorney J:\attomey\reso\SDCWA Agreement THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL Kaheny City Attorney Dated: 2/12/03 JOINT USE AGREEMENT WTIHIN THE SAN DIEGO COUNTY WATER AUTHORITY EASEMENTS / -t6 ATTACHMENT g PLEASE RECORD THIS DOCUMENT AT NO FEE AS IT IS TO THE BENEFIT OF THIS DISTRICT (GOV. CODE [6103]) RECORDING REQUESTED BY AND WHEN RECORDED, PLEASE MAIL TO: San Diego County Water Authority Right of Way Department 4677 Ovedand Avenue San Diego, CA 92123-1233 AP N # 643-070-09 SPACE ABOVE FOR RECORDER'S USE JOINT USE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND THE SAN DIEGO COUNTY WATER AUTHORITY This Agreement is made between the San Diego County Water Authority (hereinafter "Authority") and the City of Chuta Vista (hereinafter "City") this dayof ,200_, to allow a 10-inch PVC sewer main to cross the Authority's easement and right of way. WHEREAS, Authority owns certain easements described in Exhibit A and shown on Exhibit B in which it has pipelines and other facilities for the transmission of water ("Authority Easements"); and WHEREAS, Brookfield Shea Otay, LLC is the fee owner of the property that is subject to the Authority's easements; and WHEREAS, City and the Authority desire to establish the terms and conditions for the construction, operation and maintenance of a 10-inch PVC sewer main ("City Facility/') under and across Authority's easement and right of way along the route particularly shown on Exhibit "B" ("Designated Route"); NOW, THEREFORE, the parties mutually hereby agree as follows: 1. The City, its successors in interest and assigns~ may construct, operate and maintain the City Facility within the property subject to the Authority's Easements along the Designated Route, under the terms and conditions stated herein.' 2. Plans for the installation of the City Facility, including work or improvements reasonably necessary to protect the Authority pipelines and other structures and facilities, shall be approved by the Authority in advance of construction. Authority's approval shall not be unreasonably withheld. City shall give written notice to the Authority not more than 30 days nor less than 15 days before the date of commencement of construction of the City Facility. Authority inspectors shall have access to the property during construction. R:~:~OW~Mgmt\Jointuse~01~jua01-078n.doc 1 of 4 3. Neither this Agreement nor the construction, operation or maintenance of the City Facility shall, in any way, limit, alter, modify, expand, or terminate any of the Authority's or City's r'ghts or obligations under the Authority's Easements or any of the rights of the owner of the servient tenement. 4. City agrees not to interrupt the use or operation of Authority's facilities. 5. Authority shall be deemed the "party first in place" and its rights and interests shall be prior in time and superior in title to those of City. Nothing herein contained shall constitute a grant of easement or other interest in property by Authority to City. 6. Following completion of the City Facility, whenever the Authority so requests, the parties agree to work cooperatively to assesses reasonable construction altematives, coordinate traffic control and otherwise manage the City Facility as deemed necessary by the Authority for the full exercise of its rights under the Authority Easements. Except to the extent specifically provided in an Authority Easement, City shall, at its sole expense, remove and replace, rearrange, restore or relocate the City Facilityas may be necessary or convenient for the Authority's use and enjoyment of its easements. Except in the event of an emergency, Authority agrees to give City 180 days' written notice to remove and replace, rearrange or relocate the City Facility. Plans for removal and replacement, rearranging, or relocation of the City Facility shall be subject to paragraph 2, above. In the event of an emergency affecting the public health, safety or welfare, as determined by the Authority, or in the event of either (a) City's failure to remove and replace, rearrange, or relocate the City Facility within 180 days after the Authority has given written notice or, (b) City's failure to remove and replace, rearrange, or relocate the City Facilityaccording to a schedule approved in writing by the Authority within 180 days after the Authority has given written notice, then the Authority may remove the City Facility without obligation to City. This Agreement shall ~pply to City Facility removed and replaced or restored, rearranged, or relocated pursuant to this paragraph. Authority acknowledges that with respect to the 120-foot wide strip of land subject to Authority Easements recorded as Document No. 59321, recorded March 26, 1959, Book 7568, Page 585; Document No. 157508, recorded August 4, 1959, Book 7806, Page 558; Final Order of Condemnation (Parcel 204-A) recorded October 3, 1983 as Document No. 83-353521; Document No. 1993-0585949, recorded September 3, 1993, the Authority has the obligation to restore the City Facility pursuant to the terms of those certain easements. · 7. This Agreement shall run with the land and be binding upon both parties, its representatives, agents, successors, and assigns. 8. The parties understand and agree that this Agreement grants only the consent of the Authority to the activities identified under the terms and conditions stated herein. City is responsible for acquiring any other property rights, licenses, or permits needed to conduct the identified activities. 9. City shall save, indemnify and hold harmless the Authority against any liability, loss, cost, damage and expense caused by or arising from (i) any negligent act(s) R:~ROW~Mg~t\Jointus~01~ua01.0?Sn,doc 2 of 4 or omission(s) of City, its employees, agents, contractors, successors and assigns or (ii) the construction, reconstruction, location, relocation, maintenance and existence of the City Facility;, including, but not limited to any such loss, cost, damage, liability and expense arising from damage to or destruction of real and personal property or injury to or death of any person; provided, however, that City duty to indemnify and hold harmless shall not include any claims or liability arising from the established negligence or misconduct of the Authority, its agents, officers, or employees. City shall cause the Authority, and its officers and employees, to be named as an additional insured on any policy or policies of insurance required by the City with respect to the construction, reconstruction, location, relocation, maintenance or existence of the City Facility. 10. The City Facility shall be maintained in a safe and sanitary condition at the Sole cost, risk, and responsibility of City and its successors in interest. 11. In the event either party commences legal action against the other by reason of an alleged breach of this Agreement or in connection with the use of the Authority's easement and right of way, the prevailing party shall be entitled to recover court costs and attorney's fees as set by the court. "Prevailing Party" means the party in whose favor final judgment is rendered. 12. Any notice required, permitted, or contemplated under this Agreement shall be deemed given when actually delivered or when deposited in the mail, certified or registered, postage prepaid, addressed as follows: TO AUTHORITY: San Diego County Water Authority Right of Way Dep~rtment 4677 Ovedand Avenue San Diego, CA 92123-1233 TO COMPANY: City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 IN WITNESS WHEREOF, the par[les hereto have caused this agreement to be executed by a duly authorized officer on the day and year first'above wdtten. By: Dated: SAN DIEGO COUNTY WATER AUTHORITY William J. Rose, Director of Right of Way By: Dated: CITY OF CHULA VISTA David D. Rowiands, Jr., City Manager R:~ROW~ivlo~\Jointuse~O1~juaO1-O78n.doc 3 of 4 / Approved as to form: By: Dated: Daniel S. Hentschke, General Counsel San Diego County Water Authority Approved as to form: By: Dated: John M. Kaheny, City Attorney City of Chula Vista R:\ROV~Mgmt~Jointuse~01~jua01-078n.doc 4 of 4 / EXHIBIT "A" REGARDING JOINT USE AGREEMENT NO. 2001-078N APPLICANT City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 OWNERS Brookfield Shea Otay, LLC a California Limited Liability Company 12865 Pointe Del Mar Way Suite 200 Del Mar, CA 92014 EASEMENT San Diego County Water Authority 4677 Overland Avenue San Diego, California 92123-1233 BENEFITTED PROPERTY ' Assessor's Parcel Number: 643-070-0 · ,~ Authority's Parcel Number: Parcels 204, 204-A (Pipeline 3, Second Aqueduct) Parcels 204~B (Pipeline 4E2, Second Aqueduct) ,AUTHORITY PROPERTY A strip of land 120 feet in width in a portion of Lots 9 and 10 of Otay Ranch6, in the County of San Diego, State Of California, according to Map No. 882 filed in the office of the County Recorder of said County, February 7, 1900, more particularly described in Document No. 59321, recorded March 28, 1959, Book 7588, Page 585; in Document No. 157508, recorded August 4, 1959, Book 7806, Page 558; in Final Order of Condemnation (Parcel 204-A) recorded October 3, 1983 as Document No. 83-353521; and in Grant of Easement to the San Diego County Water Authority for Parcel 204-B as Document No. 1993-0585949, recorded September 3, 1993, all of Official Re.cords of sa d County, PURPOSE This agreement is granted exclusively for the installation of a 10-inch PVC sewer main to cross underneath the Authodty's existing 69-inch and 72-inch pipelines within the Second Aqueduct right of way as shown on Exhibit "B". This agreement does not authorize other construction, grading or planting of trees within the Authority's easement. EXHIBIT "B" LEGAL DESCRIPTION A 20.00 FOOT WIDE STRIP OF LAND IN A PORTION OF LOTS 9 AND 10 OF OTAY RANCHO, IN THE COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE SAN DIEGO COUNTY RECORDER, FEBRUARY 7, 1900, THE CENTERLINE OF SAID 20.00 FOOT WIDE STRIP OF LAND BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT A 3/4" IRON PIPE WITH DISC STAMPED "L.S. 3997" SHOWN AND DESCRIBED ON RECORD OF SURVEY NO. 14605 RECORDED IN THE OFFICE OF SAID COUNTY RECORDER, AUGUST 11, 1994, SAID 3/4" IRON PIPE BEING ON THE CENTERLINE OF THE SECOND AQUEDUCT (PIPELINE 4 PHASE 2) DISTANT THEREON SOUTH 49°36'57" EAST, 669.35 FEET (SOUTH 49°36'46'' EAST 669.41 FEET PER SAID R.O.S. NQ. 14605) FROM THE NORTHWESTERLY TERMINUS OF THAT CERTAIN COURSE SHOWN ON SAID RECORD OF SURVEY AS" N 49036'46'' W 5669.42' "SAID NORTHERLY TERMINUS BEING AT STATION 5110+72.07 OF SAID RECORD OF SURVEY; THENCE ALONG SAID CENTERLINE, SOUTH 49°36'57'' EAST, 611.05 FEET; THENCE LEAVING SAID CENTERLINE, SOUTH 36002'00'' WEST, 70.20 FEET TO A POINT ON THE SOUTHWESTERLY SIDELINE OF THE 120.00 FOOT WIDE EASEMENT TO THE SAN DIEGO COUNTY WATER AUTHORITY RECORDED SEPTEMBER 3, 1993 AS FILE NO. 1993-0585949 OF OFFICIAL RECORDS, AND THE TRUE POINT OF BEGINNING; THENCE NORTH 36002'00" EAST, 113.40 FEET TO THE BEGINNING OF A CURVE CONCAVE SOUTHEASTERLY HAVING A RADIUS OF 800.00..4:EET; THENCE NORTHEASTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 00°29'51" A DISTANCE OF 6.94 FEET TO THE NORTHEASTERLY SIDELINE OF SAID 120.00 FOOT WIDE EASEMENT AND THE POINT OF TERMINUS. THE SIDELINES OF THE HEREIN DESCRIBED 20.00 FOOT WIDE STRIP OF LAND SHALL BE LENGTHENED OR SHORTENED SO AS TO TERMINATE IN THE SIDELINES OF SAID 120.00 FOOT WIDE EASEMENT. DAVID W. AMBLER L.S. 7322 HUNSAKER & ASSOCIATES SAN DIEGO, INC. :ds M:~2366~03~LEGAL DESCR PTIONS~AO9 JUA SDC. WA ~" ,, "~ (STA 5110+72 07) L~Ut~BER DELTA RADIUS I LENGTH % t5 N ~6'02'00'~ 70.20' ~ ' 24" ~ ~ S~ER W/ S~E~ % ENCASEMEN~ BORE AND JACK P~CEWENT ~ ~ ~ ~ UNDER EXISTING SDCWA WATERLINES ~ ~ ~ ~ 10' ~INI~U~ ~RTICAL CL~RANCE TO BE ~ ~ ' MAINTAINED ~%~ = RECORD DATA ~ ~ ( ) PER R.O.S. ~05 LOY !0 % DISC STAMPED LOY 9 S.D.C.~.A. EASEMRNTS ~ /NDiCATES 30.00 FOOT ~DE ~SE~ENT REC. ~-26-1959 IN BOOK 7568, PAGE ~ INDICATEg ~0.00 FOOT WIDE ~SE~ENT REC. 8-04-1959 IN BOOK 7806, PAGE 558, O.R. ~ INDICATES 80.00 FOOT WIDE gSE~ENT REC. 10-0~-198~ AS ~LE NO. ss-ssss2t O.R. ~ INDICATES 120.00 FOOT WIDE ~SEMENT H~SAK~ REC. 09-0~-199~ AS FILE NO. &ASSOCIATES ~9~-o5s~9, O.R. RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE 11 WATER QUALITY BASINS, DESILTATION, AND NPDES COMPLIANCE AGREEMENT BETWEEN THE CITY AND BROOK_FIELD SHEA OTAY COMPANY, LLC, A CALIFORNIA LIMITED LIABILITY COMPANY AND AUTHORIZNG THE MAYOR TO EXECUTE SAID AGREEMENT IqHERE.h.S, On October 23, 2001, the City Council approved a Tentative Map Tract for Otay Ranch Village 11 by Resolution No 2001-364("CVT 01-11 Tentative Map" or "Tentative Map"). WHREAS, Condition Number 66 of the CVT 01-11 Tentative Map requires that the Developer establish and fund a monitoring program for the purpose of monitoring all off-site drainage and erosion protection from Village Eleven subject to the approval of the Regional Water Quality Control Board and the City Engineer; and WHEREAS, Condition Number 99 of the CVT 01-11 Tentative Map requires that the Developer prepare a maintenance program for the naturalized channel and/or detention (water quality) basin facilities in the Salt Creek Basin as shown on Exhibit "A-2" of the Agreement to ensure that silt removal, and general maintenance is performed to the satisfaction of the City Engineer; and WHEREAS, Condition Number 100 of the CVT 01-11 Tentative Map requires that the Developer meet certain requirements related to the NPDES permit; and WHEREAS, in order to satisfy Conditions of Approval Nos. 66, 99, and 100 of Resolution 2001-364 for the Otay Ranch Village 11 Tentative Map, the developer has executed an Agreement. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the Otay Ranch Village 11 Water Quality Basins, Desiltation, and NPDES Compliance Agreement between the City and Brookfield Shea Otay Company LLC, a California Limited Liability Company, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized to execute said Agreement for and on behalf of the City of Chula Vista. Presented by Approved as to form by Clifford T. Swanson Director of Engineering City Attorney THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL · Kaheny 6/ City Attorney Dated: 2/12/03 OTAY R~CH VILLAGE 11 WATER QUALITY BASINS, DESILTATION, AND NPDES COMPLIANCE AGREEMENT WITH BROOKFIELD SHEA OTAY COMPANY, LLC Recording Requested by: ) CITY CLERK When Recorded, Mail to: CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, CA 91910 File No: OR-603F OTAY RANCH VILLAGE 11 WATER QUALITY BASINS, DESILTATION AND NPDES COMPLIANCE AGREEMENT (Conditions 66, 99, & 100 of Otay Ranch Village 11 CVT 01-11} This agreement ("Agreement") is entered into ~ }~, 2003 and effective as of the date last executed by the parties,--by and between the City of Chula Vista, a California Municipa.1 Corporation '("City"), and Brookfield Shea Otay LLC, a California Limited Liability Company ("BSO" or "Developer"), with reference to the facts set forth below, which recitals constitute a part of the Agreement: RECITALS A. Developer owns approximately 498 acres ("Project") of that certain real property, as more particularly described in Exhibit "A" (Property Description) and as shown on Exhibit "A-i", located within a portion of what is commonly known as Otay Ranch Village i1 planned community. B. On October 23, 2001, the Chula Vista City Council, pursuant to Resolution No. and in accordance with the California Environmental Quality Act {"CEQA") (Pub. Resources Code Section 21000 et seq.) , certified the Subsequent Environmental Impact Report for 0tay Ranch Village 11 ("EIR"}, made certain Findings of Fact, adopted a Mitigation Monitoring and Reporting Program, and adopted a Statement of Overriding Considerations. Page 1 C. On October 23, 2001, the City Council approved a Tentative Map Tract for Otay Ranch Village 11 by Resolution No 2001-364("CVT 01-11 Tentative Map" or n5atmve Map"). D. Condition Number 66 of the CVT 01-11 Tentative Map, as more particularly set forth on Exhibit "B" requires among other requirements that the Developer establish and fund a monitoring program for the purpose of monitoring all off-site drainage and erosion protection from Village Eleven subject to the approval of the Regional Water Quality Control Board and the City Engineer. E. Condition Number 99 of the CVT 01-11 Tentative Map, as more particularly set forth on Exhibit "B", requires among other requirements that the Developer prepare a maintenance program for the naturalized channel and/or detention (water quality) basin facilities in the Salt Creek Basin as shown on Exhibit "A-2" to ensure that silt removal, and general maintenance is performed to the satisfaction of the City Engineer; and F. Condition Number 100 of the CVT 01-11 Tentative Map, as more particularly set forth on Exhibit "B", requires among other requirements that the Developer meet certain requirements related to the NPDES permit; and NOW THEREFORE BE IT RESOLVED that the Parties agree as follows: 1. Defined Terms. As used herein, the following terms shall mean: 1.1 "Maintenance District,, shall mean a special district established by the City pursuant to State law. 1.2 "Water Quality Basins" means the proposed permanent water quality facilities located adjacent to Salt Creek (downstream of Hunte Parkway) as depicted on the Tentative Map and other related facilities which are necessary to serve the Project as determined by the City Engineer. The basic purpose of the Water Quality Basins is to collect and treat first flush storm water runoff before releasing it downstream. ~.3 ~Maintain', or ~Maintenance" means to furnish, or the furnishing of, services and materials for the ordinary and usual maintenance required for the Operation of the Detention Basins which shall include, but not limited to such activities as, the removal/displacement of sand, silt, sediment, debris, rubbish, woody or aquatic vegetation and other obstructions to flow, the control of weeds, grasses, and emergent vegetation, and the cleaning and clearing of erosion control facilities. Page 2 1.4 ~Future Improvements,, shall mean all proposed permanent drainage and water quality treatment improvements adjacent to that portion of Salt Creek adjacent to the Project. Said improvements shall include, but not be limited to, water quality treatment facilities, as depicted in CVT 01-11 Tentative Map and any other future facility constructed by the Otay Village i1 Project. 1.5 "Complete Construction,, shall mean that construction of the improvements have been completed and have been inspected and accepted by the City. 2. Condition No. 66 - Water Quality Basin Monitoring Program. In satisfaction of Condition No. 66 of the project's Tentative Map, the Developer agrees to the following: 2.1 Establish and fund, prior to approval of the first map for the Project, a monitoring program for the purpose of monitoring all off-site drainage and erosion protection from Village Eleven subject to the approval of the Regional Water Quality Control Board and the City Engineer. 2.2 Process and obtain at Developer.s own cost any Resource or like Agencies permits and install all off-site drainage and erosion protection facilities to the satisfaction of the City Engineer and as required by the Regional Water Quality Control Board or the City Engineer. 2.3 Provide drainage improvements in accordance with the Master Drainage Plan for Otay Ranch Village Eleven SPA, dated January 25, 2001, or as otherwise approved by the Director of Public Works. 2.4 Maintain all such drainage improvements until said improvements are formally accepted by the applicable maintenance district, or other mechanism as approved by the City. Developer further agrees that said maintenance shall ensure that drainage facilities will continue to operate as designed. 3. Condition No. 99 - Naturalized Channel & Water Quality Basin Maintenance Program. In satisfaction of Condition No 99 of the Project's Tentative Map, prior to the approval of first "B" Map for the Project or Design Review approval for any multifamily lot not requiring the filing of a "B" Map whichever occurs first, Developer agrees to the following: 3.1 Prepare a maintenance program of all the proposed drainage and water quality treatment facilities in Salt Creek, including but not limited to naturalized channel, wetlands restoration areas, detention basins, and water Page 3 quality treatment facilities. The maintenance program shall include, but not be limited to: a) a manual describing the operation and maintenance of the drainage and water quality treatment facilities; b) an estimate of the cost of such operation and maintenance activities; and c) a funding mechanism and schedule for financing the maintenance program. Said maintenance program shall be subject to approval by the City Engineer, Director of Planning and Building, and the Director of Parks and Recreation. The Developer shall be responsible for obtaining the approval of the maintenance program from all applicable federal and state agencies. 3.2 To enter into an agreement with the City of Chula Vista and the applicable resource agencies wherein the parties agree to implement the maintenance program. 3.3 To provide for the maintenance of all proposed drainage and water quality treatment facilities in Salt Creek, including but not limited to the naturalized drainage channel, wetlands restoration areas as allowed by the resource agencies, detention basins, and water quality treatment facilities until the latter to occur of: (i) maintenance of such facilities is assumed by the City, open space district or Master Homeowner's Association, or; (ii) the City determines all erosion protection plantings are adequately established. 3.4 To provide for the removal of siltation, attributable to the Project, from all proposed drainage and water quality treatment facilities in Salt Creek, including but not limited to the naturalized drainage channel, wetlands restoration areas as allowed by resource agencies, detention basins, and water quality treatment facilities until all upstream grading of the area contained within the Project is completed and all erosion protection planting is adequately established as determined by the City Engineer, Director of Planning and Building, and Director of Building and Park Construction. 3.5 To provide for the removal of any siltation resulting from all proposed drainage and water quality treatment facilities in Salt Creek, including but not limited to the naturalized drainage channel, wetlands restoration areas as allowed by the resource agencies, detention basins, and water quality treatment facilities, attributable to the Project, for a minimum period of five years after maintenance of such facility is accepted by the City or an appropriate Maintenance District. 3.6 To provide for the removal of siltation from the Water Quality Basins adjacent to Salt Creek Until all Page 4 upstream grading within the Project is completed and erosion protection planting is adequately established as determined by the City Engineer and Director of Planning and Building. In addition, Developer shall provide for the removal of siltation attributable to the Project from the Water Quality Basins adjacent to Salt Creek and which are proposed to be publicly maintained by the City or a Maintenance District, for a period of five years after the date the City or a Maintenance District assumes maintenance of the Water Quality Basins. BSO understands and agrees that BSO is responsible for obtaining all necessary permits, approvals and certifications, if any, from the applicable Federal and/or State Agencies, including but not limited to, Fish and Game, the United Sates Army Corps of Engineers. Further, BSO understands and agrees that, in the performance of BSO's obligations hereunder, BSO shall conform to and abide by all the provisions of the ordinances, standards and policies of the City, the laws and statutes of the State of California, and Federal laws and statutes, as may be applicable to said work. The City Engineer shall be solely responsible for determining if any siltation is attributable to the Project. 3.7 To furnish and deliver to the City securities in accordance with Paragraph 5 below, to guarantee Developer's obligations hereunder. In the event of Developer's default in the performance of its obligations as set forth herein, Developer agrees to pay to the City any difference between the total costs incurred by the City to perform such desiltation work, and any proceeds from the improvement security. 4. Condition No. 100 - NPDES Requirements. In satisfaction of Condition No 100 of the Project's Tentative Map, Developer agrees to the following: 4.1 To comply with the requirements of the new Municipal Storm Water Permit (Order No. 2001-01) issued by the San Diego Regional Water Quality Control Board, including revision of plans as necessary. 4.2 To indemnify, and hold harmless the City, its elected and appointed officers and employees, from and against all fines, costs, and expenses arising out of non- compliance with the requirements of the NPDES regulations, in connection with the execution of any construction and/or grading work for the Project, whether the non-compliance results from any action by the Developer, any agent or employee, subcontractors, or others. The Developer's indemnification shall include any and all costs, expenses, attorney's fees and 'liability incurred by the City. Developer agrees that the City may use, in its sole discretion, any of the cash funds deposited with the City for Page 5 maintenance as required by this Agreement, to pay any fines, costs or expenses incurred as a result of BSO's non compliance with the NPDES regulations. In which case, Developer shall be required to deposit additional money in said deposit account within 5 days of being provided written notice of City's withdrawal of such money. 4.3 That the City Engineer may require incorporation of Standard Urban Water Mitigation Plan (SUSMP) requirements during the implementation period preceding the adoption of the local SUSMP by the City for all priority projects or phases of priority projects undergoing approval process, in accordance with Order No. 2001-01, NPDES No. CAS0108758 Municipal Permit, as determined by the City Engineer. 4.4 To not protest the formation of a facilities benefit district or any other funding mechanism approved by the City to finance the operation, maintenance, inspection, and monitoring of NPDES facilities. Developer understands this agreement to not protest shall not be deemed a waiver of the right to challenge the amount of any assessment, which may be imposed due to the addition of these improvements and shall not interfere with the right of any person to vote in a secret ballot election. 5.1 Cash Deposit. Prior to the City's issuance of the first grading per'it for the Project, Developer shall provide City with a cash deposit for Developer's removal of siltation obligations under this Agreement, ("Security Deposit") in the sums set forth in Exhibit "C". City shall hold the Security Deposit for the duration of Developer's obligations hereunder, and expend such deposit solely for purposes of said performance obligations in the event of Developer's default in the performance of such obligations. Should the City expend the cash deposit due to Developer's default of its performance obligations, Developer agrees to redeposit the equivalent sum of money needed to equal the amount of the deposit required by this Agreement, as set forth in Exhibit "C", within 30 days of the City's request for such deposit. All interest earnings on the Security Deposit shall be retained by the City during this period. Any unexpended amount of the Security Deposit, including any interest earned, shall be released and remitted to Developer upon the termination of its removal of siltation obligations as set forth in this Agreement. 5.2 Bonds. BSO hereby agrees to furnish and deliver to the City ~t such times as set forth herein and at its sole cost and expense, security bonds in the amounts set forth in Exhibit ~'C" from a surety company approved by the City for the purpose of guaranteeing BSO's obligations as set forth herein. Said bonds shall be in full force and effect for the Page 6 full period of BSO's obligations as set forth herein. BSO shall provide City with said bond in triplicate in accordance with the provisions of this Agreement. 5.3 The City Engineer may, in his sole discretion, reduce the bond requirements described herein, if it is determined by the City Engineer that the costs for BSO's obligations hereinunder been reduced. In addition, Developer may request that another form of equivalent security, such as a letter of credit or cash, acceptable to the City in its sole discretion, be substituted for the bonds described herein. Developer understands and agrees that such substitution is in the sole discretion of the City. 6. Building Permits- Developer understands and agrees that the performance of Developer's obligations hereunder is required for the health and safety of the residents of the City of Chula Vista. Therefore, Developer agrees that the City shall have the absolute and unfettered right to withhold the issuance of any building permit for any residential units within the Project if the Developer is determined by the City not to be in compliance with the terms of this Agreement. If Developer is determined by the City not to be in compliance with any term of this Agreement, the City shall notify Developer of Developer's noncompliance and provide Developer with 30 days to cure said noncompliance. The City Engineer in his/her sole discretion may extend the time to cure such noncompliance if the City Engineer determines that Developer is making a good faith and diligent effort to cure such noncompliance. 7. Successors - Release 7.1. Agreement Binding Upon Successors. This Agreement shall be binding upon and inure to the benefit of the successors, assigns and interests of the parties as to any or all of the real property, described herein as the Project, until released by the mutual consent of the parties or as otherwise provided in the Agreement. 7.2 Agreement Runs with the Land. The burden of the covenants contained in this Agreement ("Burden") is for the benefit of the Project and the City, its successors and assigns and any successor in interest thereto. City is deemed the beneficiary of such covenants for and in its own right and for the purposes of protecting the interest of the community and other parties public or private, in whose favor and for whose benefit of such covenants running with the land have been provided without regard to whether City has been, remained or are owners of any particular land or interest therein. If such covenants are breached, the City shall have the right to exercise all rights and remedies and to maintain any actions or suits at law or in equity or other Page 7 f proper proceedings to enforce the curing of such breach to which it or any other beneficiaries of this agreement and the covenants may be entitled. 7.3 Release of Individual Lots. Each lot or parcel encumbered by this Agreement may, in the City Manager's (or Manager's designee) discretion, be released from the encumbrance hereof upon the issuance of a building permit in conformance with the Tentative Map and/or Final Map with respect to such lot or parcel or upon the conveyance of any such lot or parcel to a homeowner or homeowners association. The City Manager (or Manager's designee) shall not withhold consent to such release so long as the City Manager (or Manager's designee) in good faith finds that the Developer is in compliance with the terms of this Agreement and that such partial release will not jeopardize the City's assurance that the obligations set forth in this Agreement will be performed. Notwithstanding the foregoing, at the close of an individual homeowner's escrow on any lot or parcel encumbered by this Agreement, or the conveyance of such lot or parcel to a homeowner's association, such lot or parcel shall be automatically released from the encumbrance hereof. In the event the City Manager (or Manager's designee) agrees to the Release, or escrow closes on any individual homeowner's lot or parcel or any homeowner's association lot or parcel, at the request of Developer or any successor in interest who owns any such lot or parcel, the City Manaqer (or Manager's designee) shall execute an instrument drafted by Developer in a recordable form acceptable to the City Attorney which confirms the release of such lot or parcel from the encumbrance of this Agreement. 8. Miscellaneous Provisions. 8.1 Attorneys' Fees. In the event that either Party commences litigation for a specific performance or damages for breach of this Agreement, the prevailing party shall be entitled to a judgment against the other for an amount equal to reasonable attorneys' fees and court costs incurred. The prevailing party shall be deemed to be the party who is awarded substantially the relief sought 8.2 Indemnification. Developer further understands and agrees that City, as indemnitee, or any officer or employee thereof, shall not be liable for any injury to person or property occasioned by reason of the acts or omissions of Developer, its agents or employees, or indemnitee, related to the Developer's obligations described herein. Developer further agrees to protect and hold the City, its officers and employees, harmless from any and all claims, demands, causes of action, liability or loss of any sort, because of or Page 8 / - ~ 7 arising out of acts or omissions of Developer, its agents or employees, or indemnitee' related to the Developer's obligations described herein. The approved improvement securities referred to above shall not cover the provisions of this paragraph. Such indemnification and agreement to hold harmless shall extend to damages to adjacent or downstream properties or the taking of property from owners of such adjacent or downstream properties as a result of Developer's maintenance activities as provided herein. It shall also extend to damages resulting from diversion of waters, change in the volume of flow, modification of the velocity of the water, erosion or siltation, or the modification of the point of discharge as the result of the Developer's obligations described herein. The approval of plans for the Developer's obligations described herein and any related improvements shall not constitute the assumption by City of any responsibility for such damage or taking, nor shall City, by said approval, be an insurer or surety for the Developer's obligations described herein and any related improvements. The provisions of this paragraph shall become effective upon the execution of this Agreement and shall remain in full force and effect regardless of the City's acceptance of any improvements within Salt Creek as described herein. 8.3 Entire Agreement. This Agreement, together with any other written document referred to or contemplated herein, embody the entire Agreement and understanding between the parties relating to the subject matter hereof and any and all other prior or contemporaneous oral or written agreements are hereby superseded. This Agreement may be amended, but only pursuant to a written amendment properly authorized and executed by both parties hereto. 8.4 Compliance with Laws. In the performance of its obligation~--~der this agreement Developer shall comply with any and all applicable federal, state and local laws, regulations, policies, permits and approvals. 8.5 Recitals and Exhibits. Recitals set forth above and all attached Exhibits referred to herein are hereby incorporated herein by this reference. 8.6 Term. This agreement shall remain in effect for so long as eider party has executory obligations hereunder. 8.7 Recording. The parties hereto shall cause this Agreement to be recorded in the Official Records of the County of San Diego. Page 9 I 8.8 Assignment. The obligations of the Developer under this Agreement shall not be assigned in whole or in part, without the express written consent of the City. 8.9 Authority of Siqnatories. Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all resolutions and/or other actions have been taken so as to enable it to enter into this Agreement. 8.10 Termination. Upon the termination of this Agreement pursuant to Section 7 hereof, at the request of Developer or any successor in interest who owns any portion of the Project encumbered by this Agreement, the City shall execute an instrument prepared by Developer and in a form acceptable to the City Attorney in recordable form which evidences the termination of this Agreement and confirms the release of the Project from the encumbrance of this Agreement. 8.11 Force Majeure Except with respect to any obligation to pay money or post securities when due, no party hereto shall be liable for any delay or failure to perform this agreement caused by Force Majeure. As used herein, the term Force Majeure shall mean acts of God; strikes; walkouts; labor disputes or disturbances; war; blockage; insurrection; riot; earthquakes; typhoons; hurricanes; floods; fires; explosions; or other similar circumstances beyond the reasonable control of such party. In the event of Force Majeure likely to cause any such delay or failure, the parties suffering such Force Majeure shall give notice to the other party hereto, stating the particulars of such Force Majeure and shall to the extent it is capable of doing so, remove such cause with all reasonable dispatch, except that, no party shall be required to settle any strike, walkout, labor dispute or disturbance by acceding to the demands of the opposing party when such course is deemed inadvisable by such party. [NEXT PAGE IS SIGNATURE PAGE Page 10 I --Z~ (Signature Page One of Two Pages) OTAY ~CH VIL~AGE 11 Wi~TER QUALITY BASINS, DESILTATIONA~D NPDES COMPLIANCE A~REEMENT (Conditions 66, 99, & 100 of 0tay Ranch Village 11 CVT 01-11) IN WITNESS WHEREOF, the parties have entered into this Agreement as of the day and year first above written. CITY OF CHULA VISTA A Municipal Corporation By: Mayor Steve Padilla Attest: Susan Bigelow, City Clerk Approved as to form: City Attorney Dated: Page 11 (Signature Page Two of Two Pages) OTAY RANCH VILLAGE 11 WATER QUALITY BASINS, ~. DESILTATION AND NPDES COMPLIANCE AGREEMENT {Conditions 66, 99, & 100 of Otay Ranch Village 11 CVT 01-11) BROOKFIELD SHEA OTAY LLC, A CALIFORNIA LIMITED LIABILITY COMPANY BY: SHEA OTAY VILLAGE 11 LLC, A CALIFORNIA LIMITED LIABILITY COMPANY, MEMBER BY: SHEA HOMES LIMITED PARTNERSHIP, A CALIFORNIA LIMITED PARTNERSHIP, ITS SOLE MEMBER LLC, A DELAWARE LIMITED LIABILITY COMPANy, BY: j.F.SHEA NAME: TITL[ BY: BROOKFIDLD OTAY LLC, A D~LA~ARD LLH~TED hlRBZLITY COHPANY, HEHB~R Page 12 / -31 (Notary Acknowledgement Required for Each Signatory) State of ~'~ ~//~ ) County of '~'/d ~l~O ) On ~, before me, ~ ~~ , Nota~ Public, personally appeared ~ ~, ~E~ ~ ~~ pemonally known to me ~f ~H~o~j =~'!de~c~ to be the pemon(s) whose name(s) i~ subscribed to the within ins~ment and a~nowledged ~ me ~at~hey executed the same in--their authorized capaci~(ies), and ~at by 5~='Scr/their signa~res on the ins~ument, the pemon(s), or the enti~ upon behalf of which the pemon(s) acted, executed the instrument. WITNESS my h~d~nd official seal. ~ ~ State of (Notary Acknowledgement Required for Each Signatory) · County of ) On , before me, , Notary Public, personally appeared personally known to me or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures on the instrument, the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature State of California ) ) S.S. County of San Diego ) On February 11, 2003 before me, Sarah A. Cordon, Notary Public, personally appeared Teri Shusterman and John B. Vance personally known to me to be the persons whose name is subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signature on the instrument the persons, or the entity upon behalf of which the persons acted, executed the instrument. WITNESS my hand and official seal. · C~tmy - LIST OF EXHIBITS Exhibit A ...... Legal Description (Otay Ranch Village Exhibit A-1 ..... Location Plat Exhibit A-2 ..... Water Quality Basin Locations Exhibit B ...... Conditions Nos. 66, 99, and 100 of CVT 01-11 Tentative Map Exhibit C ....... List of Improvement Securities; purpose and amount Page 13 EXHIBIT PROPERTY DESCRIPTION OTAY RANCH VILLAGE 11 WATER QUALITY BASINS, DESILTATIONAND NPDES COMPLIANCE AGREEMENT (Conditions 66, 99, & 100 of Otay Ranch Village 11 CVT 01-11) Being a Subdivision of a portion of Lots 1, 9, t0, 1t and 12 of the Otay Rancho, in the City Of Chula Vista, County of San Diego, State of California, According to Map thereof No. 862, Field in the Office of the County Recorder of San Diego County, on February 7, 1900. EXHIBIT "A-i" LOCATION PLAT FOR OTAY RANCH VILLAGE 11 R-7 R-2 R-B R-5. R-20 R-23 R-21 R-g R-3 R-22 R-24 P-1 ROAD R-13 EASTERN BASIN R-12 SEE EXHIBIT "A-2" Page 1 MU-1 R-15 R-16 R-17 \\ S-2 WESTERN BASIN. SEE EXHIBIT "A-2 Page 2 Page 15 / EXHIBIT "A-2" WATER QUALITY BASIN LOCATIONS OTAY RANCH VILLAGE 11 WATER QUALITY BASINS, DESILTATION AND NPDES COMPLIANCE AGREEMENT (Conditions 66, 99, & 100 of 0tay Ranch Village 11 CVT 01-11) Eastern Water Quality Basin Page 1 of 2 ..: JJ /iX .,/. .' . ', ......:;:/ ,, ..t' l I 1 ,'t * , i ' I I I ~ / l/ ,. ,' , ,: { zI .... " "Y: I / '! ,' I l ./ :., /// " i ," /, ' ,//Z Western Water Quali~ Basin m~ge ~ of~ :: Page 17 / - ~ EXHIBIT "B" CONDITIONS NO'S 66, 99, & 100 OF CVT 01-11 TENTATIVE MAP APPROVAL OTAY RANCH VILLAGE 11 WATER QUALITY BASINS, DESILTATION AND NPDES COMPLIANCE AGREEMENT (Conditions 66, 99, & 100 of Otay Ranch Village 11 CVT 01-11) 6 6. Prior to approval of the first map for the Project, the Applicant shall establish and fund a monitoring program for the purpose of monitoring all off-site drainage and erosion protection from Village Eleven subject to the approval of the Regional Water Quality Control Board and the City Engineer. ' ' ' If off'-s~te drainage and erosion protection is required as determined by the Regional Water Quality Control Board or the City Engineer, the Applicant shall at its own cost, process and obtain any Resource or like Agencies permits and install drainage and erosion protection facilities to the satisfaction of the City Engineer. The Applicant shall provide drainage improvements in accordance with the Master Drainage Plan for Otay Ranch Village Eleven SPA, dated January 25, 2001, or as otherwise approved by the Director of Public Works. The Applicant shall maintain all such drainage improvements until said improvements are formally accepted by the applicable maintenance district, or other mechanism as approved by the City. Said maintenance shall ensure that drainage facilities will continue to operate as designed. (Engineering) 99. Prior to approval of the first map for the Project or issuance of the first grading permit for the construction of the proposed naturalized channel and/or detention basins in Salt Creek Basin, whichever occurs earlier, develope; shall accomplish the following: a. Prepare a maintenance program of all the proposed drainage and water quality treatment facilities in Salt Creek, including but not limited to naturalized channel, wetlands restoration areas, detention basins, and water quality treatment facilities. The maintenance program shall include, but not be limited to: a) a manual describing the operation and maintenance of the drainage and water quality treatment facilities; b) an estimate of the cost of such operation and maintenance activities; and c) a funding mechanism and schedule for financing the maintenance program. Said maintenance program shall be subject to approval by the City Engineer, Director of Planning and Building, and the Director of Parks and Recreation. The applicant shall be responsible for obtaining the approval of the maintenance program from all applicable federal and state agencies. b. Enter into an agreement with the City of Chula Vista and the applicable resource agencies wherein the parties agree to implement the maintenance program. c. Enter into an agreement with the City of Chula Vista, wherein Developer agrees to the following: i) Provide for the maintenance of all proposed drainage and water quality treatment facilities in Salt Creek, including but not limited to the naturalized drainage Page 18 / channel, wetlands restoration areas as allowed by the resource agencies, detention basins, and water quality lreatment facilities until the latter to occur of: (a) maintenance of such facilities is assumed by the City, open space district or Master Homeowner's Association, or; Co) the City determines all erosion protection plantings are adequately established. ii) Provide for the removal of siltation, attributable to the Project, from all proposed drainage and water quality treatment facilities in Salt Creek, including but not limited to the naturalized drainage channel, wetlands restoration areas as allowed by resource agencies, detention basins, and water quality treatment facilities until all upstream grading of the area contained within the Project is completed and all erosion protection planting is adequately established as determined by the City Engineer, Director of Planning and Building, and Director of Parks and Recreation. iii) Provide for the removal of any siltation resulting from all proposed drainage and water quality treatment facilities in Salt Creek, including but not limited to the naturalized drainage channel, wetlands restoration areas as allowed by the resource agencies, detention basins, and water quality treatment facilities, attributable to the Project, for a minimum period of five years after maintenance of such facility is accepted by the City or an appropriate Maintenance District. d. Developer shall provide security, satisfactory to the City Engineer, guaranteeing the performance of the aforementioned maintenance and siltation removal obligations. (Engineering) 100. Prior to the approval of the first map for the Project, or issuance of the first grading permit for the Project, whichever occurs earlier, Applicant shall enter into an agreement with the City of Chula Vista, wherein the Applicant agrees to the following: a. Comply with the requirements of the new Municipal Storm Water Permit (Order No. 2001-01) issued by the San Diego Regional Water Quality Control Board including revision of plans as necessary. b. hidenmify, and hold harmless the City, its elected and appointed officers and employees, from and against all fines, costs, and expenses arising out of non-compliance with the requirements of the NPDES regulations, in connection with the execution of any construction and/or grading work for the Project, Whether the non-compliance reSults from any action by the Applicant, any agent or employee, subcontractors, or others. The applicant's indemnification shall include any and all costs, expenses, attorney's fees and liability incurred by the City. c. That the City Engineer may require incorporation of Standard Urban Storm Water Mitigation Plan (SUSMP) requirements during the implementation period preceding the adoption of the local SUSMP by the City, for all priority projects or phases of priority projects undergoing approval process, in accordance with Order No. 2001-01, NPDES No. CAS0108758 Municipal Permit as determined by the City Engineer. d. To not protest the formation of a facilities benefit district or any other funding mechanism approved by the City to finance the operation, maintenance, inspection, and monitoring of NPDES facilities. This agreement to not protest shall not be deemed a waiver of the right to challenge the amount of any assessment, which may be imposed due to the addition of these improvements and shall not interfere with the right of any person to vote in a secret ballot election. Such Applicant obligation may be reassigned to a Master Homeowner's Association or other appropriate Maintenance District subject to the approval of the City Engineer. (Engineering) Page 20 l ---/4/ EXHIBIT "C" SECURITY REQUIREMENTS OTAY RANCH VILLAGE 11 WATER QUALITY BASINS, DESILTATION AND NPDES COMPLIANCE AGREEMENT (Conditions 66, 99, & 100 of 0tay Ranch Village 11 CVT 01-11) REMOVAL OFSI1,TATION (Paragraph 4 oftheAgreement) a) Cash Deposit .Cash deposit in the amount of $7,000o be submitted prior io the Issuance of the first "B" map for the project. b) Maintenance Bond Bond in the amount of $ 22,000 to be submitted prior to the issuance of the first "B" map for the project. J:\Engineer\LANDDEV\Projects\Otay Ranch Village Ii\FINAL MAP\Desilt Agmt DRAFT .DOC Page 21 / RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF TI-IE CITY OF CHULA VISTA APPROVING THE FINAL MAP OF CHULA VISTA TRACT NO. 1-11, OTAY RANCH VILLAGE 11 "A" MAP NO. I, ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE VARIOUS PUBLIC STREETS AND EASEMENTS, ALL AS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION; ACKNOWLEDGING ON BEHALF OF THE CITY OF CHULA VISTA THE IRREVOCABLE OFFER OF DEDICATION FOR LOT "J" FOR PUBLIC PARK PURPOSES; ACKNOWLEDGING ON BEHALF OF THE CITY OF CHULA VISTA ALL IRREVOCABLE OFFERS OF DEDICATION FOR OPEN SPACE LOTS, GRANTED ON SAID MAP WITHIN SAID SUBDIVISION; APPROVING THE SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista hereby finds that certain map survey entitled Chula Vista Tract 1-11, OTAY RANCH VILLAGE 11 "A" MAP NO. 1, and more particularly described as follows: Being a subdivision of a portion of Lot 1, 9, 10, I 1 and 12 of the Otay Rancho, in the City of Chula Vista, State of California, according to map thereof No. 862, filed in the Office of the County Recorder of San Diego County on February 7, 1900: Area: 484.987 Acres No. of Lots: 19 Numbered Lots: 9 Lettered Lots: 10 Open Space Lots: 28.917 Acres is made in the manner and form prescribed by law and conforms to the surrounding surveys; and that said map and subdivision of land shown thereon is hereby approved and accepted. BE IT FURTHER RESOLVED, that the City Council accepts on behalf of the public the public streets, to-wit: Kestrel Falls Road, Exploration Falls Drive, Windingwalk Street, Hidden Path Drive, Evening Star Street, and a portion of Eastlake Parkway and Hunte Parkway, and said streets are hereby declared to be public streets and dedicated to the public use all as shown on Otay Ranch Village 11 "A" Map No. I within said subdivision. BE IT FURTHER RESOLVED, said Council hereby accepts on behalf of the City of Chula Vista the sewer and storm drain, landscape buffer and sidewalk, sight visibility, and general utility and access easements all shown on Otay Ranch Village 11 "A" Map No. 1 within said subdivision· 3_ BE IT FURTHER RESOLVED, said Council hereby ackn0,w, ledges on behalf of the City of Chula Vista the Irrevocable 05? ,o,f Dedication in Fee Interest of Lot "J for public park purposes as shown on Otay Ranch Village 11 A Map No. 1 within said subdivision. BE IT FURTHER RESOLVED that said Council hereby acknowledges on behalf of the City of Chula Vista the Irrevocable Offer of Dedication of Fee Interest of Lots "D", "E", "F", "G", "H" and 'T' for open space and other public purposes all as shown on Otay Ranch Village 11 "A" Map No. 1 within said subdivision. BE IT FURTHER RESOLVED that the City Clerk of the City of Chula Vista is hereby authorized and directed to endorse upon said map the action of said Council; that said Council has approved said subdivision map, and that said public streets are accepted on behalf of the public as therefore stated and that the Dedication of Fee Interest of Lot "J" for public park purposes is ~cknowledged on behalf of the City of Chula Vista and that the Irrevocable Offer of Dedication of the fee ~nterest of said lots be acknowledged, and that those certain easements as granted on Otay Ranch Village 11 "A" Map No. 1 within said subdivision are accepted on behalf of the City of Chula Vista as hereinabove state. BE IT FURTHER RESOLVED that that certain Subdivision Improvement Agreement dated the for the completion of improvements in said subdivision, a copy of which is on file in the office of the City Clerk, is hereby approved. BE IT FURTHER RESOLVED that the City Clerk is hereby directed to transmit said map to the Clerk of the Board of Supervisors of the County of San Diego. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized to execute said agreement for and on behalf of the City of Chula Vista. Presented by Approved as to form by Director of Engineering City Attorney J:\attomey\reso\Final Map Village I I A 2 / THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL · Kaheny City Attorney Dated: 2/12/03 SUBDIVISION IMPROVEMENT AGREEMENT FOR CHULA VISTA TRACT NO. 1-11, OTAY RANCH VILLAGE 11 "A" MAP NO. 1 Recording Requested by: CITY CLERK When Recorded, Mail to: CITY OF CHULA VISTA 276 Fourth Avenue Chun Vista, CA 91910 No transfer tax is due as this is a conveyance to a public agency of less than a fee interest for which no cash consideration has been paid or received. Declarant SUBDIVISION IMPROVEMENT AGREEMENT THIS AGREEMENT, made and entered into this I'~day of .q~. A:~ ,2003, by and between THE CITY OF CHULA VISTA, a municipal corporation, hereinafter called "City", and BROOKFIELD SHEA OTAY, LLC, a California limited liability company, 12865 Pointe Del Mai', Suite 200, Del Mai', CA 92014, hereinafter called "Snbdivider" with reference to the facts set fbrth below, which Recitals constitute a part of this Agreement; RECITALS: WHEREAS, Subdivider is abont to present to the City Coancil of the City of Chula Vista lbr approval aud recordation, a final subdivision map of a proposed subdivision, to be known as OTAY RANCH, VILLAGE 11 "A" MAP, NO. 1 (CVT 01-11 ) pursuant to tbe provisions of the Subdivision Map Act of the State of Califoruia, and in compliance with the provisions of Title 18 of the Chula Vista Municipal Code relating to the filing, approval and recordation of subdivision map; and WHEREAS, the Code provides that before said map is finally approved by the Council of the City of Chola Vista, Subdivider must have either installed and completed all of the public hnprovements and/or land development work required by the Code to be installed in subdivisions before final maps of subdivisions are approved by the Council for purpose of recording in the Office of the Couuty Recorder of San Diego County, or, as an alternative thereto, Subdivider shall enter into an agreement with City, secured by an approved improvement security to insure the performance of said work pursuant to the requirements of Title 18 of the Chula Vista Municipal Code, agreeing to install and complete, free of liens at Subdivider's own expense, all of the public improvements and/or land development work required in said subdivision within a definite period of time prescribed by said Cotmcil; and / -/-/g WHEREAS, Subdivider is willing in consideration of the approval and recordation of said map by the Council, to enter into this agreement wherein it is provided that Subdivider will install and complete, at Subdivider's own expense, all the public improvement work required by City in connection with the proposed subdivision and will deliver to City improvement securities as approved by the City Attorney; and WHEREAS, a tentative map of said subdivision has heretofore been approved, subject to certain requirements and conditions, as contained in Resolution No. 2001-364, approved on the 23rd day of October, 2001 ("Tentative Map Resolution"); and WHEREAS, complete plans and specifications for the construction, installation and completion of said public improvement work have been prepared and submitted to the City Engineer, as set forth on Exhibit "A" hereto and on file in the office of the City Engineer; and WHEREAS, an estimate of the cost of constructing said public improvements according to said plans and specifications has been submitted and approved by the City in the amount as set forth on Exhibit "A" hereto and incorporated herein. NOW, THEREFORE, IT IS MUTUALLY UNDERSTOOD AND AGREED AS FOLLOWS: 1. Subdivider, for itself and his successors in interest, an obligation the burden of which encumbers and runs ~vith the land, agrees to comply with all of the terms, conditions and requirements of the Tentative Map Resolution; to do and perform or cause to be done and performed, at its own expense, without cost to City, in a good and workmanlike manner, under the direction and to the satisfaction and approval of the City Engineer, all of the punic improvement and/or land development work required to be done in and adjoining said subdivision, including the improvements described in the above Recitals ("hnprovement Work"); and will furnish the necessary materials therefore all in strict conformity and in accordance with the plans and specifications, which documents have heretofore been filed in the Office of the City Engineer and as described in the above Recitals this reference are incorporated herein and made a part hereof. 2. It is expressly understood and agreed that all monuments have been or will be installed within thirty (30) days after the completion and acceptance of the Improvement Work, and that Subdivider has installed or will install temporary street nm'ne signs if permanent street name signs have not been installed. 3. It is expressly understood and agreed that Subdivider will cause all necessary materials to be furnished and all Improvement Work required nnder the provisions of this contract to be done on or before the second anniversary date of CounciI approval of the Snbdivision Improvement Agreement. 4. It is understood and agreed that Subdivider will perform said Improvement Work as set forth hereinabove, or that portion of said Improvement Work serving any buildings or sn'uctm-es ready tbr occupancy in said subdivision, prior to the issuance of any certificate of -2- clearance for utility connections for said buildings or structures in said subdivision, and such certificate shall not be issued until the City Engineer has certified in writing the completion of said public improvements or the portion ihereof serving said building or structures approved by the City; provided, however, that the improvement security shall not be required to cover the provisions of this paragraph. 5. It is expressly understood and agreed to by Subdivider that, in the performance of said Improvement Work, Subdivider will conform to and abide by all of the provisions of the ordinances of the City of Chula Vista, and the laws of the State of California applicable to said work. 6. Subdivider further agrees to furnish and delive,' to the City of Chula Vista, simultaneously ~vith the execution of this agreement, an approved improvement security from a sufficient surety, whose sufficiency has been approved by the City in the sum as set forth on Exhibit "A" hereto which security shall guarantee the faithful performance of this contract by Subdivider and is attached hereto, marked Exhibit "B" and made a part hereof. 7. Subdivider further agrees to furnish and deliver to the City of Chula Vista simultaneously with the execution of this agreement, an approved improvement security from a sufficient surety, whose sufficiency has been approved by the City in the sum as set forth to secure the payment of material and labor in connection with the installation of said public improvements, which security is attached hereto, marked as Exhibit "B" and made a part hereof. 8. Subdivider further agrees to furnish and deliver to the City of Chula Vista, simultaneously with the execution of tbis agreement, an approved improvement security fi'om a sofficient surety, whose sufficiency has been approved by the City in the sum set forth to secure the iustallation of monuments, which security is attached hereto, marked Exhibit "B" and made a part hereof. 9. It is further agreed that if the Improvement Work is not completed within the time agreed herein, the sums provided by said i~nprovement securities may be used by City for the completion of the Improvement Work within said subdivision in accordance with such specifications herein contained or referred, or at the option of the City, as are approved by the City Council at the time of engaging the work to be performed. Upon certification of completion by the City Engineer and acceptance of said work by City, and after certification by the Director of Finance that all costs hereof are fully paid, the whole amount, or any part thereof not required for payment thereof, may be released to Subdivider or its successors in interest, pursuant to the terms of the i~nprovement security. Subdivider agrees to pay to the City any difference between the total costs incurred to perform the work, including design and administration of construction (including a reasonable allocation of overhead), and any proceeds from the improvement security. 10. It is also expressly agreed and anderstood by the parties hereto that in no case will the City of Chula Vista, or any department, board or officer thereof, be liable for any portion of the costs and expenses of the work aforesaid, nor shall any officer, his sureties or bondsmen, be liable ~br the payment of any sum or sums for said work or any materials furnished therefore, -3- / except to the limits established by the approved improvement security in accordance with the requirements of the State Subdivision Map Act and the provisions of Title 18 of the Chula Vista Municipal Code. 11. It is Further understood and agreed by Subdivider that any engineering costs (including plan checking, inspection, materials furnished and other incidental expenses) incurred by City in connection with the approval of the Improvement Work plans and installation of Improvement Work hereinabove provided for, and the cost of street signs and street trees as required by City and approved by the City Engineer shall be paid by Subdivider, and that Subdivider shall deposit, prior to recordation of the Final Map, with City a sum of money sufficient to cover said cost. 12. It is understood and agreed that until such time as all Improvement Work is fully completed and accepted by City, Subdivider will be responsible for the care, maintenance of, and any damage to, the streets, alleys, easements, water and sewer lines within the proposed subdivision. It is further understood and agreed that Sub'divider shall guarantee all public improvements for a period of one year fi-om date of final acceptance and correct any and all defects oz- deficiencies arising during said period as a result of the acts or omission of Subdivider, its agents or employees in the perfbrmance of this agreemeut, and that upon acceptance of the work by City, Subdivider shall grant to City, by appropriate conveyance, the public improvements constructed pursuant to this agreement; provided, however, that said acceptance shall not coustitute a waiver of defects by City as set forth hereinabove. 13. It is understood and agreed that City, as indemnitee, or any officer or employee thereof, shall not be liable for any injury to person or property occasioned by reason of the acts or omissions of Subdivider, its agents oz' employees, or indemnitee, related to this agreement. Subdivider further agrees to protect and hold the City, its officers and employees, harmless from any and all claims, demands, causes of action, liability or loss of any sort, because of or arising ot.~t of acts oz' omissions of' Subdivider, its agents oz' employees, or iudemnitee, related to this agreement; provided, however, that the approved improvement security shall not be required to covet- the provisions of this paragraph. Such indemnification and agreement to hold harmless sball extend to dan~ages to adjacent or downstream properties or the taking of property from owners of such adjacent or downstream properties as a result of the construction of said snbdivision and the public improvements as provided herein. It shall also extend to damages resulting from diversion of waters, change in the volume of flow, modification of the velocity of the water, erosion or siltation, or the modification of the point of discharge as the result of the construction and maintenance of drainage systems. The approval of plans providing for any or ail of these conditions shall not constitute the assumption by City of any responsibility for such damage or taking, nor shall City, by said approval, be an insurer oz' surety roi' the construction of tile subdivision pursuant to said approved improvement plans. The provisions of this paragrapb shall become effective upon the execution of this agreement and shall remain in full force and effect for ten (10) years following the acceptance by the City of the improvements. 14. Subdivider agrees to defend, indemnify, and hold harmless the City or its agents, officers, and employees from any claim, action, or proceeding against the City or its agents, officers, or employees to attack, set aside, void, oz' annul, an approval of the City, advisory -4- agency, appeal board, or legislative body concerning a subdivision, which action is brought within the time period provided for in Section 66499.37 of the Government Code of the State of California. 15. Assignability. Upon request of the Subdivider, any or all on-site duties and obligations set forth herein may be assigned to Subdivider's successor in interest if the City Manager in his/her sole discretion determines that such an assignment will not adversely affect the City's interest. The City Manager in his/her sole discretion may, if such assignment is requested, permit a substitution of securities by the successor in interest in place and stead of the original securities described herein so long as such substituted securities meet the criteria for security as set forth elsewhere in this Agreement. Such assignment will be in a form approved by the City Attorney. -5- / SIGNATURE PAGE SUBDIVISION IMPROV~EMENT AGREEMENT OTAY RANCH, VILLAGE 11 "A" MAP. NO. 1 (CVT 01-I1) IN WITNESS WHEKEOF, the parties hereto have caused this agreement to be executed the day and year first hereinabove set forth. THE CITY OF CHULA VISTA Mayor of the City of Chula Vista ATTEST City Clerk Approved as to form by City Attorney BROOKFIELD SHEA OTAY, LLC, a Califbrnia Limited Liability Company By: Brookfield Otay LLC, a Delaware Limited Liabi~y Company, Member By:/'~.~ (~ ~/ ///'--~- 'x~7. By By: Shea Otay Village 11, a California Limited Liability Company, Member By: Shea Homes Limited Pm'tnership, a California Limited Partnership, its Sole Member LLC, a _D~aware limited liability company, B Y: 'L F.~,',~ ~~-'~'oa~:~:eXla~t~its G, enera, Part ncr By~/~ ~ ~"~f/c'k ' ' By:--~x4~_4~.,0 Name: t~#/~/_~,~7lf~ _ Name: 7~7C/ ~'/-/ (Attach Notary Ackmo~vledgment) -6- CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of ss. On ~-'~.J.~ ~ /0.~ ~0~..7 before me, ~_~..J. ~ pemonally appeared ~)'~J ~J./,~_../14'~3(.J /~Tdz~ ~/~ ~ ~a~l~p;°'rsoS~'~n~;;y known to me [] proved to me on the basis of satisfactory evidence to be the person(s) whose name(s).-is/are subscribed to the within instrument and acknowledged to me that h=/:hc/they executed the some in h!s/her/their authorized capacity(ies), and that by ..J~is!her!their signature(s) on the instrument the person(s), or ~ the entity upon behalf of which the person(s) . acted, executed the instrument. WITNE S yh_~d and fficial se I. OPTIONAL Description of Attached Document ~tle or Type of Document: ~-~ ~)1 ~/.,<'/0~) /fv~OV~l.~F7''~ /'~r-. Document Date: ,~///,~ Number of Pages: Signer(s) Other Than Named Above: Capacity(les) Claimed by Signer Signer's Name: [] Individual [] Corporate Officer -- Title(s): ~op o[ thumb here [] Partner-- ~ Limited E~ General [] Attorney-in-Fact [] Trustee [] Guardian or Conservator DJ Other: Signer Is Representing: ____ State of California ) ) S.S. County of San Diego ) On February 11, 2003 before me, Sarah A. Cordon, Notary Public, personally appeared Teri Shusterman and John B. Vance personally known to me to be the persons whose name is subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signature on the instrument the persons, or the entity upon behalf of which the persons acted, executed the instrument. WITNESS my hand and official seal. EXHIBIT "A" TO SUBDIVISION IMPROVEMENT AGREEMENT FOR OTAY RANCH VILLAGE 11 "A" MAP NO. (CVT 01-11) ESTIMATED PUBLIC COST OF FAITHFUL LABOR AND IMPROVEMENTS IMPROVEMENTS PERFORMANCE MATERIALS DRAWING NOS. Otay Ranch Village I 1 $3,240,000.00 $1,620,000.00 $1,620,000.00 02082-01 through Backbone 02082-26 Eastlake Parkway $761,900.00 $380,950.00 $380,950.00 02083-01 through Improvements 02083- I I Hunte Parkway $722,400.00 $461,200.00 $461,200.00 02143-01 through Improvements 02143-13 Monumentation $70,000.00 cash deposit which may be replaced with a Per private Civil for Backbone security which meets the terms of this agreement Engineer's or Land Surveyor's Estimate Securities approved as to form and amount by City Attorney lmprovement CompletionDate: Two (2) years from date of Council approval of the Subdivision hnprovement Agreement l:\Attorncy\SIA\OR V I I-A -CVT0[-I I -7- RESOLUTION NO 2003 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR CHULA VISTA TRACT NO. 01-11, OTAY RANCH, VILLAGE 11 "A" MAP NO. 1, REQUIRING BROOKFIELD SHEA OTAY COMPANY LLC TO COMPLYWITH CERTAINUNFULF1LLED CONDITIONS OF RESOLUTION NO. 2001-364, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, the developer has executed a Supplemental Subdivision Improvement Agreement to satisfy remaining conditions of City Council Resolution No. 2001-364. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the a Supplemental Subdivision Improvement Agreement for Chula Vista Tract No. 01-11, Otay Ranch, Village 11 "A" Map No. 1, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized to execute said Agreement on behalf of the City of Chula Vista. Presented by Approved as to form by Clifford T. Swanson John M.~afieny Director of Engineering City Attorney J:\attorneyh csoXssia ORV 1 I THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL /d(t561~i' M. Kaheny City Attorney Dated: 2/12/03 SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR CHULA VISTA TRACT NO. 01-11, OTAY RANCH VILLAGE 11 "A" MAP NO. 1 RECORDING REQUEST BY: ) ) City Clerk ) ) WHEN RECORDED MAIL TO: ) ) CITY OF CHULA VISTA ) 276 Fourth Avenue ) Chula Vista, CA 91910 ) Above Space for Recorder's Use OR-603F SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR OTAY RANCH VILLAGE ELEVEN, CHULA VISTA TRACT NO. 01-11 (Conditions 1-6, 8-19, 21-24, 27, 32, 35, 36, 40, 43, 45, 48, 49, 50, 51, 55, 56 57, 58 59, 60, 63 69, 78, 85, 86, 96 109, 114, 115, 116, 118-121, 124, 125, 128, 130, 131, 140, 141, 142, 150, 151, 155, 164, 172, 174-177, 179, 180, 183, 184, 185, 189, 192, 193, 195, 196-200, 202-205 of Resolution 2001 364) This Supplemental Subdivision I ~,~rovement Agreement ("Agreement") is made this --~ day Ofa~ , 2003, by and between ThE CITY OF CHULA VISTA, C ("City" for recording purposes only) and the signatories to this Agreement, BROOKFIELD SHEA OTAY, LLC, a California Limited Liability Corporation ("Developer" or "Owner"), with reference 'to the facts set forth below, which recitals constitute a part of this Agreement: RECITALS A. This Agreement concerns and affects certain real property located in Chula Vista, California, more particularly described on Exhibit "A" attached hereto and incorporated herein ("Property"). The Property is approved Tentative Subdivision Map Chula Vista Tract 01-11 Otay Ranch Village Eleven and is commonly known as Windingwalk. For purposes of this Agreement the term "Project" shall also mean "Property". 1 B. "Owner" or "Developer" means the person, persons or entity having a legal or an equitable interest in the property or parts thereof and includes Owner's successors-in-interest and assigns of any property within the boundaries of the Property. C. Developer and/or Developer's predecessor in interest has applied for and the City has approved Tentative Subdivision Map commonly referred to as Chula Vista Tract 01-11 ("Tentative Subdivision Map" or "Tentative Map") for the subdivision of the Property. D. The City has adopted Resolution No. 2001-364 ("Resolution") pursuant to which it has approved the Tentative Subdivision Map subject to certain conditions as more particularly described in the Resolution. E. Developer has requested the approval of the first "A" Map for the Project ("First Final Map"). Certain conditions of approval of the Tentative Subdivision Map requires Developer to enter into an agreement with the City prior to approval of the First Final Map for the Project. Said agreement shall run with the entire land contained within the Project. F. City is willing, on the premises, security, terms and conditions herein contained to approve the Final Map for which Developer has applied and Developer has agreed to the terms and conditions set forth herein. G. The following defined terms shall have the meaning set forth herein, unless otherwise specifically indicated: a. "Complete Construction,, shall mean that the construction of the improvements have been completed and have been inspected and accepted by the City. b. "Guest Builder" means those entities obtaining any interest in the Property or a portion of the Property, after the Final Map has been recorded. c. "SPA Plan" means the Otay Ranch Village Eleven Sectional Planning Area Plan as adopted by the City Council on October 17, 2001 pursuant to Resolution No. 2001-363. d. "PFFP" means the Otay Ranch Village Eleven Public Facilities Financing Plan adopted by Resolution No. 2001-363, and as may be further amended from time to time. e. "FSEIR 01-02" means Final Subsequent Environmental Impact Report and its attendant Addendum for the Otay Ranch General Development Plan Amendments/Village Eleven Sectional 2 Area Plan and Conceptual Tentative Map. f- "Improvement Plans" means all the onsite and offsite improvements required to serve the lots created by the Final Map, in accordance with improvement plans to be approved by the City. Said improvements shall include, but not limited to, asphalt concrete pavement, base, concrete curb, gutter and sidewalk, sewer, reclaimed and potable water utilities, drainage facilities, street lights, signage, landscaping, irrigation, fencing and fire hydrants. NOW, THEREFORE, in exchange for the mutual covenants, terms and conditions herein contained, the parties agree as set forth below. 1. Agreement Applicable to Subsequent Owners. a. Agreement Binding Upon Successors. This Agreement shall be binding upon and inure to the benefit of the successors, assigns and interests of the parties as to any or all of the Property as described on Exhibit "A" until released by the mutual consent of the parties. b. Agreement Runs with the Land. The burden of the covenants contained in this Agreement ("Burden") is for the benefit of the Property and the City, its successors and assigns and any successor in interest thereto. City is deemed the beneficiary of such covenants for and in its own right and for the purposes of protecting the interest of the community and other parties public or private, in whose favor and for whose benefit of such covenants running with the land have been provided without regard to whether City has been, remained or are owners of any particular land or interest therein. If such covenants are breached, the City shall have the right to exercise all rights and remedies and to maintain any actions or suits at law or in equity or other proper proceedings to enforce the curing of such breach to which it or any other beneficiaries of this agreement and the covenants may be entitled. c. Developer Release on Guest Builder Assignments. If Developer assigns any portion of the Project to a Guest Builder, Developer may request to be released from Developer's obligations under this Agreement, that are expressly assumed by the Guest Builder, provided Developer obtains the prior written consent of the City to such release. Such assignment to the Guest Builder shall, however, be subject to this Agreement and the Burden of this Agreement shall remain a covenant running with the land. The 3 City shall not withhold its consent to any such request for a release so long as the assignee acknowledges that the Burden of the Agreement runs with the land, assumes the obligations of the Developer under this Agreement, and demonstrates, to the satisfaction of the City, its ability to perform its obligations under this Agreement as it relates to the portion of the Project which is being acquired by the Assignee. d. Partial Release of Developer,s Assig~lees. If Developer assigns any portion of the Project subject to the Burden of this Agreement, upon request by the Developer or its assignee, the City shall release the assignee of the Burden of this Agreement as to such assigned portion if such portion has complied with the requirements of this Agreement to the satisfaction of the City and such partial release will not, in the opinion of the City, jeopardize the likelihood that the remainder of the Burden will not be completed. e. Release of Individual Lots. Upon the occurrence of any of the following events, Developer shall, upon receipt of the prior written consent of the City Manager (or Manager's designee), have the right to release any lot(s) from Developer's obligation under this Agreement: i. The execution of a purchase agreement for the sale of a residential lot to a buyer of an individual housing unit; ii. The conveyance of a lot to a Homeowner's Association; iii. The conveyance of a school site as identified in the SPA Plan to a school district; The City shall not withhold its consent to such release so long as the City finds in good faith that such release will not jeopardize the City's assurance that the obligations set forth in this Agreement will be performed. At the request of the Developer, the City Manager {or Manager's designee) shall execute an instrument drafted by Developer in a recordable form acceptable to the City Manager (or Manager's designee), which confirms the release of such lot or parcel from the encumbrance of this Agreement. Notwithstanding the foregoing, at the close of an individual homeowner's escrow on any lot or parcel encumbered by this Agreement, such lot or parcel shall be automatically released from the encumbrance hereof. 2. Condition No. 1 (Agreement to all terms, covenants and conditions) In satisfaction of Condition No. 1 of the 4 Resolution, Developer agreeS to all of the terms, covenants and conditions contained herein shall that binding upon and inure to the benefit of the heirs, successors, assigns and representatives of the Developer as to any or all of the Property. 3. Condition No. 2 (Requirements and guidelines). In satisfaction of Condition No. 2 of the Resolution, Developer agrees to comply with all requirements and guidelines of the City of Chula Vista General Plan; the City's Growth Management Ordinance; Chula Vista Landscape Manual, Chula Design Plan; Otay Ranch General Development Plan, Otay Ranch Resource Management Plan, Phase 1 and Phase 2; Ranch Wide Affordable Housing Plan; Otay Ranch Overall Design Plan; FSEIR # 01-02; Otay Ranch Village Eleven Sectional Planning Area (SPA) Pl.an and supporting documents including: Village Eleven Public Facilities Finance Plan; Village Eleven Parks, Recreation, Open Space and Trails Plan; Village Eleven SPA Affordable Housing Plan and the Non-Renewable Energy Conservation Plan as amended from time to time, unless specifically modified by the appropriate department head, with the approval of the City Manager. These plans may be subject to minor modifications by the appropriate department head, with the approval of the City Manager, however, any material modifications shall be subject to approval by the City Council. 4. Condition No. 3 - (City's Right to Revoke or Modify Approvals). In satisfaction of Condition No. 3 of the Resolution, if any of the terms, covenants or conditions contained herein shall fail to occur or if they are, by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted including issuance of building permits, deny, or further condition the subsequent approvals that are derived from the approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions or seek damages for their violation. The Developer shall be notified 10 days in advance prior to any of the above actions being taken by the City and shall be given the opportunity to remedy any deficiencies identified by the City. 5. Condition No. 4 - (Hold City Harmless). In satisfaction of Condition No. 4 of the Resolution, Developer agrees to indemnify, protect, defend and hold the City harmless from and against any and all claims, liabilities and costs, including attorney's fees, arising from challenges to the Environmental Impact Report and subsequent environmental review for the Project and any or all entitlements and approvals issued by the City in connection with the Project. 6. Condition No. 5 - (Comply with SPA Conditions). In satisfaction of Condition No. 5 of the Resolution, the Developer agrees to comply with all applicable Village Eleven SPA conditions of approval, (PCM 99-15) as may be amended from time to time. Developer further agrees as follows: a. To implement the final Otay Ranch Village Eleven Air Quality Improvement Plan (AQIP) approved measures and include the measures as part of the Project. The Developer further: i. Agrees to comply and remain in compliance with the AQIP; ii. Waives any claim that adoption of the final AQIp constitutes an improper subsequent imposition of the condition; iii. Acknowledges that the City Council may, from time to-time, modify air quality improvement and energy conservation measures related to new development as various technologies and/or programs change or become available; and iv. Agrees prior to or concurrent with each Final Map for the Project to modify the AQIP to incorporate those new measures, which are in effect at the time. Developer further acknowledges that the new measures shall apply, as applicable, to development within all future final map areas, but shall not be retroactive to those areas which receive final map approval prior to effect of the subject new measures. b. To implement the final Otay Ranch Village Eleven Water Conservation Plan (WCP) approved measures and include the measures as part of the Project. The Developer further: i. Agrees to comply and remain in compliance with the WCP; ii. Waives any claim that the adoption of a final WCP constitutes an improper subsequent imposition of the condition; iii. Acknowledges that the City Council may, from time to-time, modify water conservation measures related to new development as various technologies and/or programs change or become available; and 4) agrees prior to or concurrent with each final map for the Project to modify the WCP to incorporate those new measures, which are in effect at the time. Developer further acknowledges that the new measures shall apply to development within all future final map areas, but shall not be retroactive to those areas which received final map approval prior to effect of the subject measures. 7. Condition No. 6 - (Submittal of SPA). In satisfaction of Condition No. 6 of the Resolution, the Developer agrees to prepare and submit, to the satisfaction of, and as deemed necessary by the Director of Planning and Building, an updated Sectional Planning Area (SPA) Plan, and supporting regulating documents including, but not limited to text, exhibits, and tables for the Village Eleven SPA Plan; Planned Community District Regulations; Village Design Plan; Public Facilities Financ~ Plan; Affordable Housing Plan Air Quality Improvement Plan; Water Conservation Plan; Non-Renewable Energy Conservation Plan; Parks, Recreation, Open Space and Trails Plan; and applicable environmental documents. 8. Condition No. 8 (Consistency with Land Offer Agreement). In satisfaction of Condition No. 8 of the Resolution, the Developer agrees that the terms, conditions and time limits associated with this tentative map shall be consistent with the Land Offer Agreement approved by Resolution No. 2000-116 by the City Council on April 11, 2000 ("Land Offer Agreement") and as amended on August 7, 2001. The Developer and City of Chula Vista hereby agrees to comply with the provisions of the Land Offer Agreement and all Amendments thereto, and to remain in compliance with the entire Land Offer Agreement and Amendments for the life of the Agreement. 9. Condition No. 9 - (Participate in Reserve Fund). In satisfaction of Condition No. 9 of the Resolution, the Developer acknowledges and agrees that a reserve fund program has been established by Resolution No. 18288 for the funding of the Fiscal Impact of New Development (F.I.N.D.) Model for the Otay Ranch Project. The Developer agrees to provide funds to the Reserve Fund as required by the Reserve Fund Program. Pursuant to the provisions of the Growth Management Ordinance and the Otay Ranch General Development Plan {GDP), the Developer agrees to participate in the funding of the preparation of an annual report monitoring the development of the community of Otay Ranch. The Developer further acknowledges that the annual monitoring report will a~alyze the supply of, and demand for, public facilities and services governed by the threshold standards; an annual review shall commence following the first fiscal year in which residential occupancy occurs in the Project and is to be completed during the second quarter of the following fiscal year; and the annual report shall adhere to those guidelines noted on page 353, Section D of the GDP/SRP. 10. Condition No. 10 - (Withholding Building Permit). In satisfaction of Condition No. 10 of the Resolution: 7 a. Developer acknowledges and agrees that, prior to the construction of SR-125, the City shall stop issuing new building permits for Village 11 when the City, in its sole direction, determines that either: i. Building permits for a total 9,429 dwelling units have been issued for Projects east of 1-805 (the start date for counting the 9,429 dwelling units is January 1, 2000); or, ii. An alternative measure is selected by the City in accordance with the City of Chula Vista Growth Management Ordinance. b. Developer acknowledges and agrees that notwithstanding the foregoing thresholds, the City may issue building permits if the City decides, in its sole discretion, that any of the following has occurred: i. traffic studies demonstrate, to the satisfaction of the City Engineer, that the circulation system has additional capacity without exceeding the GMOC traffic threshold standards; ii. other improvements are constructed which provide additional capacity; or iii. the City selects an alternative method of implementing the GMOC standards. These traffic studies would not require additional environmental review under CEQA; however, any improvements proposed in these traffic studies would be subject to additional environmental reviews as required. 11. Condition No. 11 (Conveyance Agreement) . In satisfaction of Condition No. 11 of the Resolution, Developer hereby agrees to comply with the terms of the Conveyance Agreement, as may be amended from time to time, adopted by Resolution No. 18416 by the City Council on October 22, 1996 ("Conveyance Agreement"). 12. Condition No. 12 (Olympic Parkway Agreement) . In satisfaction of Condition No. 12 of the Resolution, Developer hereby agrees that if any of these conditions conflict with the Olympic Parkway Financing and Construction Agreement approved by Council Resolution 19410, the Olympic Parkway Financing and Construction Agreement shall control. 8 13. Condition No. 13 - (Environmental). In satisfaction of Condition No. 13 of the Resolution, Developer hereby agreesr to implement, to the satisfaction of the Director of Planning and Building, all environmental impact mitigation measures identified in Final EIR 01-02 (SCH#2001031120), the candidate CEQA Findings and Mitigation Monitoring and Reporting Program (Final EIR 01-02) for this Project. 14. Condition No. 14 (Other Agencies). In satisfaction of Condition No. 14 of the Resolution, Developer hereby agrees to comply with all applicable requirements of the California Department of Fish and Game, the California State Water Resources Quality Control Board, the U.S. Fish and Wildlife Service and the U.S. Army Corps of Engineers. 'Prior to any activity that may potentially impact biological resources, such as clearing and grubbing, the Developer agrees to comply with all applicable requirements prescribed in the Ota¥ Ranch GDP/Village Eleven Environmental Impact Report EIR 01-02 (SCH#2001031120), and Mitigation Monitoring and Reporting Program. 15. Condition No. 15 (U.S. Fish and Wildlife/Fish and Game). In satisfaction of Condition No. 15 of the Resolution, Developer hereby agrees, to comply with the Project's take permit/authorization from the U.S. Fish and Wildlife Service and California Department of Fish and Game, and comply with the City of Chula Vista MSCP Subarea Plan. 16. Condition No. 16 (RMP). In satisfaction of Condition 16 of the Resolution, Developer hereby agrees that prior to the approval of each final "B" map Developer shall comply with all requirements and policies of the Otay Ranch Resource Management Plan (RMP) as approved by City Council on October 28, 1993, and Otay Ranch, Phase 2 Resource Management Plan (RMP2) as approved by City Council on June 4, 1996, and as may be amended from time to time by the City. 17. Condition No. 17 - (Preserve Conveyance Schedule). In satisfaction of Condition No. 17 of the Resolution, Developer hereby agrees to comply with the requirements and policies of the Otay Ranch Resource Management Plan "Preserve Conveyance Schedule" as approved by City Council on June 4, 1996, as may be amended from time to time. 18. Condition No. 18 (Preserve Management). tn partial satisfaction of Condition No. 18 of the Resolution, Developer hereby agrees to ensure through the maintenance of existing fencing or gating, if sufficient, or the construction of new 9 fencing or gating, if deemed necessary by the City, that cattle from adjacent areas cannot access the land being conveyed. 19. Condition No. 19 (~PA Plan). In satisfaction of Condition No. 19 of the Resolution, Developer hereby agrees to comply with all requirements of the Village Eleven SPA Plan Edge Plan and Agricultural Plan prior to the approval of each final "B" map for the Project. 20. Conditions No. 21, 22, 23 and 24 - (Otay Ranch Preserve). In satisfaction of Conditions No. 21, 22, 23 and 24 of the Resolution, Developer agrees to the following: a. (Condition No. 21) Prior to the issuance of each grading permit (including clearinq and grubbing) for the Project, the Developer shall compl~ with the requirements of the RMP and Phase Two RMP to the satisfaction of the Director of Planning and Building. b. (Condition No. 22) The Developer shall convey fee title, or upon the consent of the Preserve Owner/Manager (POM) and any lien holder, an easement restricting use of the land to those permitted by the Otay Ranch Resource Management Plan (RMP), to the POM upon the recordation of each final map for an amount of land equal to the final map's obligation to convey land to the Preserve. Where an easement is conveyed, the Developer shall be required to provide subordination of any prior lien holders in order to ensure that the POM has a first priority interest in such land. Where consent and subordination cannot be obtained, the Developer shall convey fee title. Where fee title or an easement is conveyed, access to the satisfaction of the POM shall also be conveyed, and each tentative map shall be subject to a condition that the Developer shall execute a maintenance agreement with the POM stating that it is the responsibility of the Developer to maintain the conveyed parcel until the Habitat Maintenance District has generated sufficient revenues to enable the POM to assume maintenance responsibilities. Where an easement is granted, each tentative map is subject to a condition that fee title shall be granted upon demand by the POM. The Developer shall irrevocably offer for dedication to the City or its designee, fee title, upon the recordation of each final map for an amount of land equal to the final map's obligation to convey land to the Preserve. The Developer shall maintain and manage the conveyed parcel until the Preserve Community Facilities District (CFD) has generated sufficient revenues to enable the POM to assume maintenance and management responsibilities. 10 c. (Condition No. 23) Upon request of the Director of Planning and Building, Developer shall execute a maintenance agreement with the City or its designee for the Otay Ranch Preserve. d. (Condition No. 24) Prior to issuance of all grading permits and any other grant of approval for any landform modification, the Developer shall identify and protect to the satisfaction of the Director of Planning and Building areas of native vegetation, which shall remain undisturbed pursuant to the MSCP and all Project Permits as applicable to the Project. 21. Condition No. 27 - (Multi-Family}. In satisfaction of Condition No. 27 of the Resolution, Developer agrees that the subsequent development o~Ba multi-family lot which do~s not require the filing of a '' map shall meet, prior to issuance of a building permit for that lot, all the applicable conditions of approval of the ~entative map, as determined by the City Engineer. 22. Condition No. 32 (Street Trees). In satisfaction of Condition No. 32 of the Resolution, Developer agrees to the following: a. The Developer shall install all street trees in accordance with Section 18.28.10 of the Chula Vista Municipal Code. Ail street trees shall be planted in parkways, or as otherwise approved by the Director of Planning and Building. Street trees, which have been selected from the revised list of appropriate tree species described in the Village Design Plan, shall be approved by the Director of Planning and Building and Director of Engineering. b. Prior to the installation of any dry utilities, including but not limited to cable, telephone, gas or electric lines, Developer agrees to complete preliminary street improvement plans that show the location of all future street trees, which will be subject to the review and approval of the Director of Building and Park Construction and the Director of Planning & Building. Prior to any utility installation, wood stakes shall be placed by the Developer on site according to approved preliminary street tree plans and shall be painted a bright color and labeled as future street tree location. Developer further agrees to provide City documentation, acceptable by the Director of Building and Park Construction and the Director of Planning 11 and Building, that all utility companies have been given notice that no dry utility line shall be located within five feet of the wood stake in any direction. Developer will maintain street tree identification stakes in location as shown on approved preliminary plans until all dry utilities are in place. c. The Developer shall provide root control methods per the requirements of the Director of Planning and Building, and provide a deep watering irrigation system for the trees. d. A street tree improvement plan shall be submitted for review and subject to the approval of the Director of Planning and Building and the City Engineer prior to or concurrent with the second submittal of street improvement plans within the subdivision. Approval of the street tree improvement plans shall constitute final approval of the selection of street trees for the street parkways. 23. Conditions No. 35 (PFFP). In satisfaction' of Condition No. 35 of the Resolution, Developer agrees to install public facilities in accordance with the Otay Ranch Village Eleven SPA, Public Facilities Finance Plan (PFFP) as may be amended from time to time or as required by the City Engineer to meet threshold standards adopted by the City of Chula Vista. Developer acknowledge that the City Engineer and Director of Planning and Building may, at their discretion, modify the sequence, schedule, alignment and design of improvement construction should conditions change to warrant such a revision. 24. Conditions No. 36 (Public Improvements). In satisfaction of Condition No. 36 df the Resolution, Developer agrees to dedicate for public use all the public streets shown on the tentative map within the subdivision boundary. Developer further agrees to construct and secure all street improvements as required by the PFFP, for each particular phase, as may be amended from time to time. The Developer further agrees to construct the public improvements and provide security satisfactory to the City Engineer and City Attorney. 25. Condition No. 40 (Improvement Construction). In satisfaction of Condition No. 40 of the Resolution, Developer agrees to secure in accordance with Section 18.16.220 of the Municipal Code, the construction and construct full street improvements for all on-site and off-site streets as identified in the Otay Ranch Village Eleven SPA, PFFP, as may be amended from time to time as deemed necessary to provide service to the Project. Said improvements shall include, but not be limited to, asphalt concrete pavement, base, concrete curb, gutter and 12 sidewalk, sewer, reclaimed water and water utilities, drainage facilities, street lights, traffic signals, signs, landscaping, irrigation, fencing and fire hydrants. Street light locations shall be subject to the approval of the City Engineer. 26. Condition No. 43 - (PFFP). In partial satisfaction of Condition No. 43 of the Resolution, Developer agrees to construct and secure, in accordance with Section 18.16.220 of the Municipal Code, the required street improvements listed below and pursuant to Exhibit "B" per the PFFP and/or Specific Planning Area Triggers as may be amended from time to time. ' Eastlake Parkway, Olympic Parkway to Kestrel Falls Road · Hunte Parkway, Olympic Parkway to Evening Star Street 27. Condition No. 45 (PFDIF). In satisfaction of Condition No. 45 of the Resolution, Developer agrees to participate in the funding of revisions of the Public Facilities Development impact Fee (PFDIF) Program, which shall be prepared by the City, as directed and requested by the City Manager or his designee and subject to the approval of the City Council and Developer will receive appropriate credit for such participation. 28. Condition No. 48 (Fire). In partial satisfaction of Condition No. 48 of the Resolution, Developer agrees to comply with the Fire Department ' s codes and policies for Fire Prevention, as may be amended from time to time. Developer further agress that prior to the issuance of any building permit(s) for the Project, to provide the following items prior to delivery of combustible materials on any construction site on the Project a. Water supply consisting of fire hydrants as approved and indicated by the Fire Department during plan check to the satisfaction of the Fire Department. Any temporary water supply source is subject to prior approval by the Fire Marshal; and b. Emergency vehicle access consisting of a minimum first layer of hard asphalt surface or concrete surface, with a minimum standard width of 20 feet; and c. Street signs installed to the satisfaction of the Department of Public Works. Temporary street signs shall be subject to the approval of the Department of Public Works and Fire Department. Locations and identification of temporary street signs shall be subject to review and approval by the 13 Department of Public Works and Fire Department. 29. Conditions No. 49 - (Construction Timing) . In satisfaction of Condition No. 49 of the Resolution, Developer agrees to obtain the approval of the City's Fire Marshal for the timing of construction of all internal streets in the Project. 30. Conditions No. 50 (Fire Hydrants). In satisfaction of Condition No. 50 of the Resolution, Developer agrees that in addition to those fire hydrants depicted on the tentative map, the Developer shall install additional fire hydrants upon request and to the satisfaction of the Fire Department. 31. Conditions No. 51 - (Turnaround) . In satisfaction of Condition No. 51 of the Resolution, Developer agrees to construct a temporary turnaround or street improvements, upon the request of and as determined necessary by the City Engineer and Fire Marshal, at the end of temporarily stubbed streets greater than 150 ft. in length (as measured from the nearest street centerline intersection) . 32 . Conditions No. 55 - (School Site) In partial satisfaction of Condition No. 55 of the Resolution, Developer agrees that prior to approval of all final maps which include a school site (S-I, S-2) for the Project, Developer agrees to construct and secure to the satisfaction of the City Engineer, the following improvements: a. All necessary improvements for providing ingress and egress to each school site. This requirement shall also include but is not limited to any required modification to medians, storm drainaqe system, street lights, and irrigation improvements; and, b. If warranted and upon the request of the City Engineer, traffic signal improvements for providing vehicular ingress and egress to the School sites. 33. Conditions No. 56, 177 and 192 (Transit Stops). In satisfaction of Conditions No. 56, 177 and 192 of the Resolution, Developer agrees to: a. (Condition No. 56) Fund and install transit stop facilities within the entatlve Map boundary when directed by the City Engineer. Developer further agrees that the improvement plans for said stops shall be prepared in accordance with the transit stop details described in the Village Eleven Design Plan and Village Eleven PFFP and as 14 / -70 approved by the Director of Planning and Building and City Engineer. b. (Condition No. 177) Developer further agrees to not protest the formation of any future regional benefit assessment district to finance the MTDB San Diego Trolley LRT System. c. (Condition No. 192) Developer further agrees to construct and secure the transit stop facilities as set forth in the PFFP. The schedule for constructing the transit stops shall be approved or determined by the City Engineer prior to approval of the aforementioned final map. Developer further agrees to design, subject to the approval of the City Engineer said transit stops in conjunction with the improvement plans for the related street. Developer acknowledges and agrees that the City Engineer may require that Developer provide security guaranteeing the construction of said transit stops in a form of cash or any other form approved by the City Engineer at his/her sole discretion. Since transit service availability may not coincide with Project development, the Developer further agrees to install said improvements when directed by the City. 34. Condition No. 57 (ADA). In satisfaction of Condition No. 57 of the Resolution, Developer agrees to construct sidewalks and construct pedestrian ramps on all walkways to meet "Americans with Disabilities Act" standards and as approved by the City Engineer. In the event the Federal Government adopts ADA standards for street rights-ofzway, which are in conflict with the standards and approvals contained herein, all such approvals conflicting with those standards shall be updated to reflect those standards. Unless otherwise required by federal law, City ADA standards may be considered vested, as determined by Federal regulations, only after construction has commenced. 35. Condition No. 58 (Pedestrian Bridge). In satisfaction of Condition No. 58 of the Resolution, Developer agrees to provide a pedestrian bridge connecting Village Eleven to the Eastern Urban Center (Planning Area 12) crossing (east west) over Eastlake Parkway just north of Hunte Parkway. Developer acknowledges and agrees the timing of the construction of said bridge will be determined by the City, consistent with the requirements of Village Eleven SPA Plan, Public Facilities Financing Plan (PFFP), as may amended from time to time, and development of the Eastern Urban Center in Planning Area 12, Developer further agrees that the bridge shall be constructed in 15 a location as directed by Ehe Director of Planning and Building and the City Engineer. 36. Condition No. 59 - (Pedestrian Bridge). In satisfaction of Condition No. 59 of the Resolution, Developer agrees to provide a pedestrian bridge connecting Village Eleven to the University Site (Village Ten) crossing (north - south) over Hunte Parkway between Neighborhoods R 16 and R-17 as depicted on the Parks, Recreation, Open Space and Trails Plan in the Village Eleven SPA Plan. Developer acknowledges and agrees that the timing of the construction of said bridge will be determined by the City, consistent with the requirements of Village Eleven SPA Plan, Public Facilities Financing Plan (PFEP), as may amended from time to time, and development of the University site or Village Ten, Developer further agrees that the bridge shall be gonstructed in a location as directed by the Director of Planning and Building and the City Engineer. 37. Condition No. 60 - {Private water in public'street) In satisfaction of Condition No. 60 of the Resolution, Developer agrees to not install privately owned water, reclaimed water, or other utilities crossing any public street. Developer further acknowledges and agrees that the ~nstallation of sleeves for future construction of privately owned facilities may be allowed subject to the review and approval of the City Engineer if the following is accomplished: a. The Developer enters into an agreement with the City where the Developer agrees to the following: i. Apply for an encroachment permit for installation of the private facilities within the public.right-of-way; and, ~.. Maintain membership in an advance notice such as the USA Dig Alert Service; and, iii. Mark out any private facilities owned by the Developer whenever work is performed in the area; and, iv. The terms of this agreement shall be binding upon the successors and assigns of the Developer. b. Shutoff devices as determined by the City Engineer are provided at those locations where private facilities traverse public streets. 38. Condition No. 63 (Street Name Signs). In satisfaction of Condition No. 63 of the Resolution, Developer agrees to install permanent street name signs prior to the issuance of the first building permit for the applicable final map. 16 39. Condition No. 69 (LOMR). In satisfaction of Condition No. 69 of the Resolution, Developer agrees that prior to transfer of responsibility of maintenance of any basins on the Project, and release of the grading bond to obtain a Letter of Map Revision (LOMR) from the Federal Emergency Management Agency revising the current National Flood Insurance Program Maps to reflect the effect of the drainage improvements. Developer acknowledges and agrees that it shall be the responsibility of the Developer to revise the flood plain map to reflect all modifications and to ensure that no proposed lot will be created in said flood plain. 40. Condition No. 78 (NPDES). In satisfaction of Condition No. 78 of the Resolution, Developer agrees to comply with all applicable regulations established by the United States Environmental Protection Agency (USEPA) as set forth in the National Pollutant Discharge Elimination System (N.P.D.E.S.) permit requirements for urban runoff and storm water discharge and any regulations adopted by the City of Chula Vista pursuant to the N.P.D.E.S. regulations or requirements. Developer further agrees to file a Notice of Intent with the State Water Resources Control Board to obtain coverage under the N.P.D.E.S. General Permit for Storm Water Discharges Associated with Construction Activity and shall implement a Storm Water Pollution Prevention Plan {SWPPP) concurrent with the commencement of grading activities. The SWPPP shall include both construction and post construction pollution prevention and pollution control measures and shall identify funding mechanisms for post construction control measures. The Developer further agrees to comply with all the provisions of the N.P.D.E.S. and the Clean Water Program during and after all phases of the development process, including but not limited to: mass grading, rough gradinq, construction of street and landscaping improvements, and constr~ction of dwelling units. The Developer shall design the Project's storm drains and other drainage facilities to include Best Management Practices to minimize non-point source pollution, satisfactory to the City Engineer. The San Diego Regional Water Quality Control Board has issued a new Municipal Storm Water Permit (Order No. 2001-01) . The permit includes regulations such as implementation of Standard Urban Storm Water Mitigation Plans (SUSMPS) and Numeric Sizing Criteria for new residential development. The Developer agrees to comply with all relevant City regulations, when they become effective, including but not limited to incorporation into the design and implementation of the Project temporary and permanent structural Best Management Practices and non-structural mitigation measures that would reduce pollution of storm water runoff to the maximum extent practicable. / 41. Conditions No. 85, 86, and 155 (SDCWA and SDG&E) . In partial satisfaction of Condition No. 85 of the Resolution, Developer agrees prior to the approval of the first final map which includes these public facilities to enter into a Joint Use Agreement (JUA) with the City, SDG&E and SDCWA in a form acceptable to the City Attorney for all public facilities crossing the SDG&E and SDCWA easements. Developer acknowledges and agrees that such Agreement shall provide the City with prior rights for its Right-of-Way, which crosses the easements. Developer shall be responsible for any payment to SDG&E and SDCWA to ensure that the City has prior rights for any Right of Way crossing the SDG&E and SDCWA easements. Developer acknowledges and agrees that work proposed within another agency's easement would require the agencies signature on the applicable plans prior to permit issuance. The Developer further agrees to pay all costs of any nature incurred by the City as a result of City entering into a JUA with SDCWA and/or SDG&E for public facilities crossing those agencies' easements within the Project including any and all costs for relocating public facilities at any time pursuant to the terms of any such JUA. 42. Condition No. 96 - (Permitting agencies). In partial satisfaction of Condition No. 96 of the Resolution, Developer agrees to obtain approval from all applicable permitting agencies, including but not limited to FEMA, prior to any work within each of the agencies jurisdiction. Developer further acknowledges and agrees that all mitigation requirements will be the responsibility of the Developer. 43. Condition No. 109 (Salt Creek Sewer). In partial satisfaction of Condition No. 109 of the Resolution, Developer agrees to not seek any building permits for the Project until Salt Creek Trunk Sewer Improvements has been provided for as indicated fn the report entitled "Overview of Sewer Service for Village Elewen SPA at the Otay Ranch Project" (Village Eleven SPA Sewer Report) prepared by Wilson Engineering dated March, 2001, or as amended by the Applicant and approved by the Director of Engineering. The Village Eleven SPA Sewer Report shall be consistent with the approved SPA Plan. 44. Condition No. 114 (Parks In partial satisfaction of condition 114 of the Resolution, the Developer agrees that the Project shall satisfy the requirements of the Park Land Dedication Ordinance (PLDO). Project Developer further agrees that the Prcject's Neighborhood Park portion of the local park requirement shall be satisfied through the provision of a 7.0 net-acre Neighborhood Park (P 1) . Developer further agrees that the remaining requirement shall be satisfied in a future 18 Community Park through the 'payment of fees, dedication of land, or a combination thereof in a manner acceptable to the Director of Building and Park Construction. 45. Condition No. 115 (Parks). In partial'satisfaction of Condition No. 115 of the Resolution, Developer agrees to provide an all weather access road to the neighborhood park site (P-l) to the satisfaction of the Fire Marshal and Chief cf Police and at no cost to the City, upon request from the Director of Building and Park Construction. 46. Condition No. 116 - (PAD Fees). In satisfaction of Condition No. 116 of the Resolution, Developer agrees to pay all applicable Parkland Acquisition and Development fees (PAD Fees) to the City in accordance with C.V.M.C Chapter 17.10 prior to approval of each final "B" Map, or, prior to issuance of building permits for condominiums, co~ununity apartments, or stock- cooperatives not requiring the filing of a final "B" Map. 47. Conditions Nos. 118, 119, and 120 - (Park Site Requirements). In satisfaction of Conditions Nos. 118, 119, 120 of the Resolution, Developer agrees to comply with the following schedule for commencement of construction and delivery to the city of the Project's park site (P-l): a. (Condition No. 118) i. Prior to issuance of a building permit for the 360th dwelling unit for the Project, Developer shall have commenced construction of Project's Park 1), to the satisfaction of the Director of Building and Park Construction. Developer shall complete construction of the park within nine {9) months of commencement of construction. For purposes of this Condition No. 118, the term "complete construction" shall mean park construction has been completed according to the City approved construction plans and accepted by the Director of Building and Park Construction. Furthermore "compete construction,, shall mean prior to and shall not include the City's established maintenance period required prior to acceptance by the City for Public use. ii. Prior to commencement of park constructions, and Developer shall prepare, submit and obtain the approval from the Director of Building and Park Construction, City Engineer of a Park Master Plan for the Project and prepare, submit and obtain the approval from the Director of Building and Park Construction of park construction documents and improvement bonds. 19 iii. At any time the Director of Building and Park Construction may, at his sole discretion, modify the neighborhood development phasing and construction sequence for the Project's park should conditions change to warrant such revision. b. (Condition No. 119) Developer agrees to rough grade the Project's park site (P-l) to conform to the approved Park Master Plan to the satisfaction of the City Engineer and the Director of Building and Park Construction and at no cost to the City. c. (Condition No. 120) Developer agrees to install underground utilities to the property line of the Project's park site (P-l) to the satisfaction of the Director of Building and Parks Construction and the City Engineer concurrently with the installation of underground utilities for any portion of the Project adjacent to the park site or upon request of the Building and Park Construction Director, whichever occurs earlier. 48. Condition No. 121 - (Withhold Building Permits). In satisfaction of Condition No. 121 of the Resolution, Developer agrees that at no time shall there be a deficit in "constructed neighborhood park". Developer further acknowledges, understands and agrees that the City shall withhold the issuance of building permits for the Project should the Project fail to comply with the conditions herein. For purposes of this condition, the term "constructed park" shall mean the construction of the Project's park has been completed and accepted by the City as being in compliance with the Parks Master Plan, but prior to the City's required mandatory maintenance period. Developer acknowledges that this is not intended to supersede any of the City's maintenance guarantee requirements. 49. Condition No. 124 - (Town Square Park). In satisfaction of Condition No. 124 of the Resolution, Developer agrees, prior to issuance of the building permit for the 300th dwelling unit issued within Phase Two of the Project, that Developer shall complete construction of the Town Square (P-4), within Phase Two, te the satisfaction of the Director ef Building and Park Construction. The term "complete constructioN,, shall mean paFk construction has been completed according to the City approved construction plans and accepted by the Director of Building and Park Construction. Furthermore for purposes ef this Condition No.124 "Complete Construction,, shall mean prior to and shall not include the City's established maintenance period required prior to acceptance by the City for Public use. 2O 50. Condition No. 125 (Landscape Master Plan). In satisfaction of Condition No. 125 of the Resolution, Developer hereby agrees that within 30 days of the approval of this Agreement, Developer shall submit and obtain the approval of the Director of Building and Park Construction of a Landscape Master Plan which shall include the following major components: a. Landscape Concept. b. Wall and Fence Plan indicating type, material height, and location. ' c. Brush Management Plan, identifying three zones and treatment. d. Maintenance Responsibility Plan. e. Planting Concept Plan. f. Master Irrigation Plan. 51. Condition No. 128 (Open space Maintenance District). In partial satisfaction of Condition No. 128 of the Resolution, in the event that Developer requests the formation of a Community Facilities District (CFD), Developer hereby agrees to the following: a. The CFD shall be formed prior to approval of the first "B" map for the Project. b. Subject to the approval of the Director of Engineering, Developer shall submit a list of amenities, acreage and costs for all Open Space District lots including but not limited to the cost of any detention basin maintenance and all costs to comply with the Department of Fish and Game and the U.S. Army Corps of Engineers permit requirements, if any. c. Developer shall maintain the open space improvements for a minimum period of one year or until such time as accepted into the Open Space District by the City, whichever occurs later. d. If Council does not approve the CFD formation, another f~nancing mechanism such as a Master Homeowners Association, or an endowment shall be established and submitted to the City Council for consideration prior to approval of the first B map for the Project. e. The Developer shall provide all the necessary information and materials (e.g., Tables, diagrams, etc.) required by the City Engineer for processing the formation of the proposed open space district. I -77 52. Condition No. 130 (Easements for trails). In satisfaction of Condition No. 130 of the Resolution, Developer agrees that prior to the approval of each Final Map that contains a proposed public trail, Developer shall provide an easement to the City, in a form approved by the City Attorney, for the trail alignment. 53. Condition No. 131 - (Regional Trails). In satisfaction of Condition No. 131 of the Resolution, Developer agrees that all trails shall be bonded/secured and constructed with the approved rough grading, and connect to adjoining existing and/or proposed trails in neighboring development Projects, as determined by the Director of Building and Park Construction. 54. Condition No. 140 (Landscape Plans). In satisfaction of Condition No. 140 of the Resolution, Developer agrees that prior to the issuance of each construction permit for the Project, the Developer shall prepare, submit and obtain the approval of the City Engineer and the Director of Building and Park Construction, landscape and irrigation plans, for open space, parkway, medians and trails. Developer further agrees that all plans shall be prepared in accordance with the current Chula Vista Landscape Manual and the Village Eleven SPA, as may be amended from time to time. Developer further agrees to install all improvements in accordance with approved plans to the satisfaction of the Director of Building and Park Construction. 55. Condition No. 141 (Landscape Plans). In partial satisfaction of Condition No. 141 of the Resolution and prior to the approval of the first final "B" map, Developer agrees to: a. Submit evidence, acceptable to the City Engineer and the Director of Planning and Building of the formation of a Master Homeowner's Association (MHOA), or another financial mechanism acceptable to the City Manager. The MHOA shall be responsible for the maintenance of those landscaping improvements that are not to be included in the proposed financial mechanism. The City Engineer and the Director of Planning and Building may require that some of those improvements shall be maintained by the Open Space District. The final determination of which improvements are to be included in the Open Space District and those to be maintained by the MHOA shall be made during the Open Space District Proceedings. The MHOA shall be structured to allow annexation of future tentative map areas in the event the City Engineer and Director of Planning and Building requires such annexation of future tentative map areas. The MHOA formation documents shall be subject to the approval of the City Attorney; and, 22 b. Submit for City's approval the CC&R's, grant of easements and maintenance standards and responsibility of the MHOA's for the Open Space Areas within the Project area. Developer shall acknowledge that the MHOA's maintenance of public open space, trails, etc. may expose the City to liability. Developer agrees to establish a MHOA that will hold the City harmless from any actions of the MHOA in the maintenance of such areas; and, c. Submit and obtain approval of the City Engineer and the Director of Planning and Building of a list of all Otay Ranch Village Eleven SPA and MHOA facilities and other items to be maintained by the proposed district. Separate lists shall be submitted for the improvements and facilities to be maintained by the Open Space District and those to be maintained by a Master Homeowner's Association. Include a description, quantity and cost per year for the perpetual maintenance of said improvements. These lists shall include but are not limited to the following facilities and improvements: i. Ail facilities located on open space lots such as walls, fences, water fountains, lighting structures, paths, trails, access roads, drainage structures and landscaping. Each open space lot shall also be broken down by the number of acres of: 1) turf, 2) irrigated, and 3) non-irrigated open space to aid in the estimation of a maintenance budget thereof. ii. Medians and parkways along Olympic Parkway, Eastlake Parkway and Hunte Parkway, Birch Road, (onsite and offsite) and all other street parkways proposed for maintenance by the applicable Community Facilities District or Homeowners' Association. iii. The proportional share of the proposed detention basin (temporary or permanent) located in the Salt Creek Sewer Basin. This includes the cost of maintenance and all cost to comply with the Department of Fish and Game and the Corps of Engineers permit requirements. iv. The proportional share of the maintenance of the median and parkways along that portion of Olympic Parkway adjoining the development as determined by the City Engineer. v. Ail water quality basins serving the Project. 56. Condition No. 142 - (Open Space Lots). In satisfaction of Condition No. 142 of the Resolution, Developer agrees to execute and record an irrevocable offer of dedication of fee 23 interest to the City on all final maps for all open space lots shown on the tentative map and to be maintained by the City through the open space district. 57. Condition No. 150 (Maintenance District). In satisfaction of Condition No. 150 of the Resolution, Developer agrees to not protest formation or inclusion in a maintenance district or zone for the maintenance of landscaped medians and scenic corridors along streets within or adjacent to the Project. 58. Condition No. 151 r (Landscape Funding Mechanism). In satisfaction of Condition No. 151 of the Resolution, Developer agrees that prior to issuance of any grading permit which includes Landscaping and Irrigation (L&I) improvements to be installed in an open space lot to be maintained by the Community Facility District (CFD), the Developer shall place a cash deposit, or other funding mechanism acceptable to the City, in the City's sole discretion, with the City which will guarantee the maintenance of the L&I improvements until the City accepts said improvements. Developer further acknowledges and agrees that in the event the improvements are not maintained to City standards as determined by the City Engineer and the Director of Building and Park Construction, the deposit shall be used to perform the maintenance. Developer further agrees that the amount of the deposit shall be equivalent to the estimated cost of maintaining the open space lots to City standards for a period of six months, ("Minimum Deposit Amount"), as determined by the City Engineer_ Developer further agrees that any unused portion of said deposit may be incorporated into the CFD's Reserve Account, or returned to the Developer, according to the following: a. If, six months prior to the scheduled date of acceptance of Landscape and Irrigation improvements for maintenance by the CFD, the Reserve Account is less than the Minimum Deposit Amount, the difference between these two amounts shall be incorporated into the Reserve Account, or; b. If the Reserve Account is at or above the Minimum Deposit Amount, the unused portion of the deposit may be returned to the Developer in 6 equal monthly increments over the last six months of the maintenance period if the maintenance is being accomplished to the satisfaction of the Director of Building and Park Construction. 59. Condition No. 164 (Off site Right of Way). In partial satisfaction of Condition No. 164, the Developer agrees to notify the City at l~ast 60 days prior to consideration of a map by City if any off-s%te right-of-way canaot be obtained as required by 24 / -SO the Conditions of approval. (Only off-site right-of-way or easements affected by Section 66462.5 of the Subdivision Map Act are covered by this condition.) After said notification, the Developer shall: a. Pay the full cost of acquiring off-site right-of- way and/or easements required by the Conditions of Approval of the tentative map. b. Deposit with the City the estimated cost of acquiring said right-of-way and/or easements. Said estimate to be approved by the City Engineer. c. Have all easements and/or right-of-way documents and plats prepared and appraisals complete which are necessary to commence condemnation proceedings as determined by the City Attorney. d. Request that the City use its powers of Eminent Domain to acquire right-of-way, easements or licenses needed for off-site improvements or work related to the final map. The Developers shall pay all costs, both direct and indirect incurred in said acquisition. 60. Condition No. 172 (Withhold Permits per PFFP). In satisfaction of Condition No. 172 of the Resolution, Developer agrees: a. That the City may withhold building permits for the subject subdivision if any one of the following occur: i. Regional development threshold limits set by the Chula Vista Transportation Phasing Plan, as amended from time to time, have been reached or in order to have the Project comply with the Growth Management Program, as may be amended from time to time. ii. Traffic volumes, levels of service, public utilities and/or services either exceed the adopted City threshold standards or fail to comply with the then effective Growth Management Ordinance, and Growth Management Program and any amendments thereto. Public utilities shall include, but not be limited to, air quality, drainage, sewer and water. iii. The required public facilities, as identified in the PFFP or as amended or otherwise conditioned have not been completed or constructed to the satisfaction of the City. The Developer may propose changes in the timing and sequencing of development and the construction of improvements affected. In such case, the PFFP may be amended as approved by the City's Director of Planning and Building and the Public Works Director. The Developer agrees that the City may withhold building permits for any of the phases of development identified in the Public Facilities Financing Plan (PFFP) for Otay Ranch Village Eleven SPA if the required public facilities, as identified in the PFFP or as amended by the Annual Monitoring Program have not been completed. b. To defend, indemnify and hold harmless the City and its agents, officers and employees, from any claim, action or proceeding against the City, or its agents, officers or employees, to attack, set aside, void or annul any approval by the City, including approval by its Planning Commission, City Council or any approval by its agents, officers, or employees with regard to this subdivision pursuant to Section 66499.37 of the State Map Act provided the City promptly notifies the Developer of any claim, action or proceeding and on the further condition that the City fully cooperates in the defense. c. To ensure that all franchised cable television companies ("Cable Company") are permitted equal opportunity to place conduit and provide cable television service to each lot within the subdivision. Developer agrees that the City of Chula Vista may grant access to cable companies franchised by the City of Chula Vista to place conduit within the City's easement situated within the Project. Developer shall restrict access to the conduit'to only those franchised cable television companies who are, and remain in compliance with, all other rules, regulations, ordinances and procedures regulating and affecting the operation of cable television companies as same may have been, or may from time to time be issued by the City of Chula Vista. d. That the City may withhold the issuance of building permits for the Project, should the Developer be determined by the City to be in breach of any of the terms of the Tentative Map Conditions or any Supplemental Agreement. The City shall provide the Developer of notice of such determination and allow the Developer reasonable time to cure said breach e. To hold the City harmless from any liability for erosion, siltation or increase flow of drainage resulting from this Project. 26 61. Condition No. i74 (Previous Agreements). In satisfaction of Condition No. 174 of the Resolution, Developer agrees to comply with all previous agreements as they pertain to the Tentative Map. 62. Condition No. 175 - (Street Sweeping). In satisfaction of Condition No. 175 of the Resolution, Developer agrees to contract with the City's current street sweeping franchisee, or other server approved by the Director of Engineering to provide street sweeping for each phase of development on a frequency and level of service comparable to that provided for similar areas of the City. The Developer further agrees to'cause street sweeping to commence immediately after the final residence, in each phase, is occupied and shall continue sweeping until such time that the City has accepted the street or 60 days after the completion of all punch list items, whichever is shorter. The Developer further agrees to provide the City Special Operations Manager with a copy of the memo requesting street sweeping service, which memo shall include a map of areas to be swept and the date the sweeping will begin. 63. Condition No. 176 (Regional Impact Fees), In satisfaction of Condition No. 176 of the Resolution, Developer agrees to not protest the formation of any future regional benefit assessment district formed to finance regional facilities. 64. Condition No. 179 - (No Protest LRT Assessment Formation). In satisfaction of Condition No. 179 of the Resolution, Developer agrees to not protest the formation of any potential future regional benefit assessment district formed to finance the Light Rail Transit (LRT) . 65. Condition No. 180 (Open Space Lots). In satisfaction of Condition No.180 of the Resolution, Developer agrees to construct and secure open space landscape improvements within the map area as set forth on Exhibit "B". 66. Condition No. 183 (PFFP) . In satisfaction of Condition No. 183 of the Resolution, Developer agrees to install all public facilities in accordance with the Village Eleven Public Facilities Finance Plan (PFFP), or as required to meet the Growth Management Threshold standards adopted by the City. Developer acknowledges and agrees that the City Engineer may modify the sequence of improvement construction should conditions change to warrant such a revision. The Developer further agrees to comply with Chapter 19.09 of the Chula Vista Municipal Code 27 (Growth Management Ordinance) as may be amended from time to time by the City. Said Chapter includes but is not limited to Threshold Standards (19.09.040) Public Facilities Plan Implementation (19.09.090) and Threshold Compliance Procedures (19.09.100) . 67. Condition No. 184 (Interim facilities). In satisfaction of Condition No. 184 of the Resolution, Developer agrees that the maintenance and demolition of all interim facilities (public facilities, utilities and improvements) is the Developer's responsibility, and that construction and demolition bonds will be required to the satisfaction of the City Engineer. 68. Condition No. 185 - (Offsite ROW). In satisfaction of Condition No. 185 of the Resolution, Developer agrees to acquire offsite right of way and easements necessary to comply with the PFFP schedule to be dedicated to the City. Developer also agrees to bond for the off-site improvements as required by the City Engineer. 69. Condition No. 189 - (Annual review). In satisfaction of Condition No. 189 of the Resolution, Developer agrees that pursuant to the provisions of the Growth Management Ordinance (Section 19.09 of the CVMC) and the Otay Ranch General Development Plan (GDP), and as they may be amended from time to time, the Developer shall complete the following: (1) Fund the preparation of an annual report monitoring the development of the community of Otay Ranch. The annual monitoring report will analyze the supply of, and demand for, public facilities and services governed by the threshold standards. An annual review shall commence following the first fiscal year in which residential occupancy occurs and is to be completed during the second quarter of the following fiscal year. The annual report shall adhere to those guidelines noted on page 353, Section D of the GDP/SRP; and (2) Prepare a five year development phasing forecast identifying targeted submittal dates for future discretionary applications (SPA's and tentative maps), Projected construction dates, corresponding public facility needs per the adopted threshold standards, and identifying financing options for necessary facilities. 70. Condition No. 193 (Phasing Plan). In satisfaction of Condition No. 193 of the Resolution, Developer agrees that any proposals to modify the Village Eleven SPA approved phasing plan, shall be submitted to the City for review and approval prior to approval of the first final "B" Map. The Developer further acknowledges and agrees that the PFFP shall be revised where necessary to reflect the revised phasing plan. 28 71. Condition No. 195 (Phasing Plan). In satisfaction of Condition No. 195 of the Resolution, Developer agrees that if phasing is proposed within an individual map or through multiple final maps, the Developer shall submit and obtain approval for a development phasing plan by the City Engineer and Director of Planning and Building prior to approval of any final map. Developer further acknowledges and agrees that improvements, facilities and dedications to be provided with each phase or unit of development shall be as determined by the City Engineer and Director of Planning and Building. Developer acknowledges that the City reserves the right to require said improvements, facilities and/or dedications as necessary to provide adequate circulation and to meet the requirements of police and fire departments, and that the City Engineer and Director of Planning and Building may, at their discretion, modify the sequence of improvement construction should conditions change to warrant such a revision. The Developer further agrees that the City Engineer may change the timing of construction of the public facilities. 72. Condition No. 196 - (Phasing Plan). In satisfaction of Condition No. 196 of the Resolution, Developer agrees that the Public Facility Finance Plan or revisions thereto shall be adhered to for the SPA and tentative map with improvements installed in accordance with said plan or as required to meet threshold standards adopted by the City of Chula Vista. Developer acknowledges that the PFFP identifies a facility phasing plan based upon a set of assumptions concerning the location and rate of development within and outside of the Project area; that throughout the build-out of Village Eleven SPA, actual development may differ from the assumptions contained in the PFFP; and that neither the PFFP nor any other Village Eleven SPA Plan document grant the Developer an entitlement to develop as assumed in the PFFP, or limit the Village Eleven SPA's facility improvement requirements to those identified in the PFFP. Developer acknowledges that compliance with the City of Chula Vista threshold standards, based on actual development patterns and updated forecasts in reliance on changing entitlements and market conditions, shall govern Village Eleven SPA development patterns and the facility improvement requirements to serve such development. In addition, Developer acknowledges and agrees that the sequence in which improvements are constructed shall correspond to any future Chula Vista Transportation Phasing Plan or amendment to the Growth Management Program and Ordinance adopted by the City and that the City Engineer may modify the sequence of improvement construction should conditions change to warrant such a revision. 73. Condition No. 197 (Phasing Plan). In satisfaction of Condition No. 197 of the Resolution, Developer agrees that prior 29 to approval of any final map proposing the creation of a Multi- family housing for the Project including Planning Areas R-17, R- 18, R-19, R-23, R-24, R-25 or MU-1 as a condominium Project, community apartment Project, or stock cooperative, as defined in the applicable sections of the Government Code, Developer agrees to process a subsequent tentative map for said proposed condominium, community apartment, or stock cooperative Project in said Planning Area pursuant to Section 66426 of the Subdivision Map Act. 74. Condition No. 198 (Code Requirements). In satisfaction of Condition No. 198 of the Resolution, Developer agrees to comply with all applicable sections of the Chula Vista Municipal Code. Developer acknowledges and agrees that preparation of the Final Map and alt plans shall be in accordance with the provisions of the Subdivision Map Act and the City of Chula Vista Subdivision Ordinance and Subdivision Manual. Developer further agrees to underground all utilities within the subdivision in accordance with Municipal Code requirements. 75. Condition No. 199 - (Code Requirements). In satisfaction of Condition No. 199 of the Resolution, Developer agrees to pay the following fees in accordance with the City Code and Council Policy: a. The Transportation and Public Facilities Development Impact Fees. b. Signal Participation Fees. c. Ail applicable sewer fees, including but not limited to sewer connection fees. d. Interim SR-125 impact fee. e. Salt Creek Sewer Basin and Poggi Canyon Sewer Basin DIP. f. The Pedestrian Bridge DIF. g. The FIND Model reserve Fund Fee. Developer agrees to pay the amount of said fees in effect at the time of issuance of building permits 76. Condition No. 200 - (Code Rec/uirements) . In partial satisfaction of Condition No. 200 of the Resolution, Developer agrees to comply with all relevant Federal, State, and Local regulations, including the Clean Water Act. The Developer agrees to be responsible for providing all required testing and documentation to demonstrate said compliance as required by the City Engineer. 77. Condition No. 202 (Code Requirements). In partial satisfaction of Condition No. 202 of the Resolution, Developer 3O agrees to comply with council Policy No. 522-02 regarding maintenance of natural channels within open spaces. 78. Condition No. 203 (Code Requirements). In partial satisfaction of Condition No. 203 of the Resolution, Developer agrees that all proposed development should be consistent with the Otay Ranch Village Eleven SPA Planned Community District Regulations. 79. Condition No. 204 (Code Requirements). In partial satisfaction of Condition No. 204 of the Resolution, Developer agrees to comply with Chapter 19.09 of the Chula Vista Municipal Code (Growth Management) as may be amended from time to time by the City~ Said chapter includes but is not limited to: threshold standards (19.09.04), public facilities finance plan implementation (19.09.090), and public facilities finance plan amendment procedures. 80. Condition No. 205 - (Code Requirements). In partial satisfaction of Condition No. 205 of the Resolution, Developer acknowledges that the City amending its Growth Management Ordinance to add Section 19.09~105, to establish provisions necessary to ensure compliance with adopted threshold standards (particularly traffic) prior to construction of State Route 125. Developer acknowledges and agrees that said provisions will require the demonstration, to the satisfaction of the City Engineer, of sufficient street system capacity to accommodate a proposed development as a prerequisite to final map approval for that development, and the Developer hereby agrees to comply with adopted amendments to the Growth Management Ordinance. 81. Satisfaction of Conditions. City agrees that the execution of this Agreement constitutes satisfaction or partial satisfaction of Developer,s obligation of Condition Nos. 1-6, 8- 19, 21-24, 27, 32, 35, 36, 40, 43, 45, 48, 49, 50, 51, 55, 56, 57, 58, 59, 60, 63, 69, 78, 85, 86, 96, 109, 114, 115, 116, 118- 172, 174-177, 179, 180, 183, 184, 185, 189, 192, 193, 195, 196- 200, 202-205 of Resolution 2001-364. Developer further understands and agrees that the some of the provisions herein may be required to be performed or accomplished prior to the approval of subsequent final maps for the Project, as may be appropriate. 82. Unfulfilled Conditions. Developer hereby agrees, unless otherwise conditioned, that Developer shall comply with all unfulfilled conditions of approval of the Tentative Map, established by Resolution No~ 2001-364 and shall remain in compliance with and implement the terms, conditions and provisions therein. 31 I -27 83. Recording. This Agreement, or an abstract hereof shall be recorded simultaneously with the recordation of the Final Map. 84. Building Permits. Developer and Guest Builders understand and agree that the City may withhold the issuance of building permits for the Projectr should the Developer be determined by the City to be in breach of any of the terms of this Agreement. The City shall provide the Developer of notice of such determination and allow the Developer with reasonable time to cure said breach. 85. Miscellaneous. a. Notices. Unless otherwise provided in this Agreement or by law, any and all notices required or permitted by this Agreement or by law to be served on or delivered to either party shall be in writing and shall be deemed duly served, delivered, and received when personally delivered to the party to whom it is directed, or in lieu thereof, when three (3) business days have elapsed following deposit in the U.S. mail, certified or registered mail, return receipt requested, first-class postage prepaid, addressed to the address indicated in this Agreement A party may change such address for the purpose of this paragraph by giving written notice of such change to the other party. CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, CA. 91910 Attn: Director of Engineering DEVELOPER: Brookfield Shea Otay, LLC 12865 Pointe Del Mar, Suite 200 Del Mar, CA 92014 Attn: John Norman, Vice President Tel: (858) 481 8500 A party may change such address for the purpose of this paragraph by giving written notice of such change to the other party in the manner provided in this paragraph. b. Captions. Captions in this Agreement are inserted for convenience of reference and do not define, describe or limit the scope or intent of this Agreement or any of its terms. 32 c. Entire Agreement. This Agreement contains the entire agreement between the parties regarding the subject matter hereof. Any prior oral or written representations, agreements, understandings, and/or statements shall be of no force and effect. This Agreement is not intended to supersede or amend any other agreement between the parties unless expressly noted. d. Preparation of Agreement. No inference, assumption er presumption shall be drawn from the fact that a party or his attorney prepared and/or drafted this Agreement. It shall be conclusively presumed that both parties participated equally in the preparation and/or drafting this Agreement. e. Recitals; Attachments. Any recitals set forth above and exhibits attached hereto are incorporated by reference into this Agreement. f- Attorneys. Fees. If either party commences litigation for the judicial interpretation, reformation, enforcement or rescission hereof, the prevailing party will be entitled to a judgment against the other for an amount equal to reasonable attorney's fees and court costs incurred. ., The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought. [NEXT PAGE IS PAGE ONE OF TWO SIGNATURE PAGES] [PAGE ONE OF TWO SIGNATURE PAGES TO TI{E SUPPLEb~ENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR OTAY RANC~ VILLAGE ELEVEN, CR-u-LA VISTA TRACT NO. 01-11] IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day and year first hereinabove set forth. CITY OF CHULA VISTA Mayor Attest: Susan Bigelow City Clerk Approved as to form: John M. Kaheny City Attorney [NEXT PAGE IS PAGE TWO OF TWO SIGNATURE PAGES] 34 [PAGE TWO OF TWO SIGNATURE 'PAGES TO THE SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR OTAY RANCH VILLAGE ELEVEN, CHULA VISTA TRACT NO. 01-11] DEVELOPERS/OWNERS: BROOKFIELD SHEA OTAY, LLC, a California Limited Liability Company By: Brookfield Otay LLC, a DelaW~ar~Limited ~iability Company, Member By: Shea Otay Village 11, a.California Limited Liability Company, Member By: Shea Homes Limited Partnership, a California Limited Partnership, its Sole Member By: J.F. Shea Company INC. a Nevada Corporation its General (Attach Notary Acknowledgment) 35 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of Califomia ~J Coun of $1 rd D/ g-glO ss' personally appeared ,~ ~, V ~N~ ~ ~1 ~ peOnalJy to me known roved to me on the basis of satisfacto~ evidence to be the person(s) whose name(s) is/are subscribed to lhe within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(les), and th~J by his/her/their signature(s) on the inst~ment the person(s), or lhe enti~ upon behalf of which the person(s) acted, executed the inst~ment. ~~ WITNESS my hand and o~cial seal. OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent traudulenl removal and reailachment of this form to another document. Description of Attached Document Document Date: Number of Pages: ~ ~ SJgner(s) OtherThan NamedAbove:_ ~ F/ ~ ~ ~ Capacity(les) Claimed by Signer Signer's Name: ~ Individual Top ol thumb hem g Corporate Officer--~tle(s): g Pa~ner-- ~ Limited ~ General ~ A~omey-in-Fact LJ Trustee ~ Guardian or Consewator ~ Other: Signer Is Representing:. State of California ~ ss. County of San Diego On February 7, 2003, before me, Gladys M. Eddy-Lee, Notary Public, personally appeared John W. Norman and E. Dale Gleed, personally known to me to be the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signatures on the instrument the persons, or the entity upon behalf of which the persons acted. executed the instrument. ~ '%~,~. ~,.~, ~? C~_-~'-- ~ WITNESS my hand and official seal. · - ~, '"'~--- ~-Jq~ms Jul 4, 200~ Place Notary Seal Above Signature of Notary Public OPTIONAL Though the inforelation be/ow ia not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachrneot of this form to at,other document, Description of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacities Claimed by Signers Right Thumbprint Signers' Names: of Signer [] Individual Top ef Ihumb here [; Corporate Officers -Vice Presidents FJ Partner--[] Limited [] General [] Attorneyin Fact b~ Trustee [~ Guardian or Conservator [] Other: / - ' _ _ EXHIBIT "A" PROPERTY DESCRIPTION Lots 1 through 9 together with Lots A through J of Chula Vista Tract No. 01-11, Otay Ranch Village 11 "A" Map No. 1 in the City of Chula Vista, County of San Diego, State of California, according to Map thereof No. Field in the Office of the County Recorder of San Diego County on 2003 as File No. of Official Records. 36 EXHIBIT "B" LIST OF SECURITIES CV WO No Description Bond $ Bonding Company Name Bond (Drawing #) number OR-604C Eastlake Pkwy Improvement, $76 I, 900 American Casualty Company 58606844 (02083-01 to [ 1) from Olympic Pkwy to Kestrel Falls Road of Reading, Pennsylvania OR-605C Hunte Pkwy, from Olympm $922,400 American Casualty Company 58606845 (02143-0l to 13) Pkwy to Evening Star Street of Reading, Pennsylvania OR-603) Backbone Improvements wit[~in $3,240,000 American Casualty Company 58606846 (02082-01 to 24) Phase I of Reading, Pennsylvania OR-604C Landscape & Irrigation for OR- $ 314,281.82 St. Paul Fire & Marine SX0444 (02109-01 to 1~8) Village l I Phase 1 Eastlake Pkwy Insurance Company OR-605C Landscape & Irrigation for oR $ 335,691.45 St. Paul Fire & Marine SX0453 (02107-01 to 18) Village 11 Phase 1Hunte Pkwy Insurance Company OR-6031 Landscape & Irrigation for OR $ ,428 ~71 16 St. Paul Fire & Marine SX0452 (02108-01 to 45) Village 11 Phase 1 Backbone Insurance Company bnp. OR-603G Landscape & Irrigation for (SR $ 561,725.89 St. Paul Fire & Marine SX0449 (02106-01 to 60) Village I 1 Phase 1 Private Slopes Insurance Company OR-603G Landscape & Irrigation for ~)R $ 1~872,425.64 St. Paul Fire & Marine SX045 I (02106-01 to60) Village I1 Phase 1HOA Slopes Insm'ance Company (~R-603G Laodscape & Irrigation for OR $ 209,189.70 St. Paul Fire & Marine SX0450 (02106-01 to 60) Village I I Phase I Park Site P-I Insurance Company Slopes OR-603G Landscape & Irrigation for OR $ 1,548,788.42 St. Paul Fi~-e & Marine SX0448 02106-01 to 60) Village 11 Phase 1TemporaD, Insurance Company Slopes OR-603G Landscape & Irrigation for OR $ 242,245.1 I St. Paul Fire & Marine SX0447 ~ 02106-01 to 60) Village I 1 Phase 1 Water Quality Insurance Company Basins OR-603G Landscape & hq:igation for OR $ 1,480,688.47 St. Paul Fire & M~rine SX0446 (02106-01 to 60) Village 11 Phase I CFD Slopes Insurance Company OR-603G Landscape & Irrigation for OR $ 6~-7,443.50 St. Paul Fire & Marine SX0445 (02106-01 to 60) Village 11 Phase I CFD Preserve Insurance Company Slopes RESOLUTION NO.2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE GRANT OF EASEMENTS AND MAINTENANCE AGREEMENT FOR OTAY RANCH VILLAGE 11 "A" MAP NO. I, ESTABLISHING SPECIFIC OBLIGATIONS AND RESPONSIBILITIES FOR MAINTENANCE OF PRIVATE LANDSCAPING WITHIN PUBLIC RIGHT-OF- WAY, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, the Grant of Easements and Maintenance Agreement for Otay Ranch Village 11 "A" Map No. 1 for the grant of easements and maintenance agreement sets forth the developer's obligation to maintain landscaping in the public right of way; and WHEREAS, the obligation will be assigned to the homeowner's association (HOA) after the landscaping has been established and turned over to the HOA to maintain; and WHEREAS, further agreements will be brought before council with each subsequent map for HOA maintained public property within the subdivision boundary. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the Grant of Easements and Maintenance Agreement for the grant of easements and maintenance for Chula Vista Tract No. 01- I 1, Otay Ranch, Village 11 "A" Map No. 1, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby aathorized to execute said Agreement on behalf of the City of Chula Vista. Presented by Approved as to form by Clifford T. Swanson JohnVlh/l'. ~a~eny Director of Engineering City Attorney [:\altomey\reso\ORVI I Eascments THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL City Attorney Dated: 2/12/03 GRANT OF EASEMENTS AND MAINTENANCE AGREEMENT FOR OTAY RANCH VILLAGE 11 "A" MAP NO. 1 / -'77 ATTACHMENT RECORDING REQLrESTED BY AzNT) WHEN RECORDED RETURN TO: City Clerk CiB' of Chun Vista 276 Fourth Avenue Chula Vista, CA 91910 No transfer tax is due as &is is a conveyance to a public agency for less than a fee interest for which no cash consideration has been paid or received. (~ox~s SPACE FOR mlcom~Ews USE) GRANT OF EASEMENTS, LICENSE AND MAINTENANCE AGREEMENT CHULA VISTA TRACT NO. 01-11 (DEDICATED EASEMENTS) This GPOaNW OF EASEMENTS, LICENSE AND MAINTENANCE AGREEMENT ("A~eement") is made as of this __ day of ,200_, by and between the CITY OF CHUkk VISTA, a municipal corporation ("City"), and BROOKF1ELD SI-lEA OTAY LLC, a California limited liability company ("BSO, LLC"). RECITALS A. This Agreement concerns and affects certain irnprovements within portiofis o fthe real prop erty located in Chula Vista, California, more particularly described in Exhibit "A" attached hereto and incorporated herein ("Property"). The Propertyis part ora plarmed residential development project commonly lmown as Winding Walk Planned Development (and als0 referred to as"Otay Ranch Vill age 11"), Chula Vista Tract No. 01d 1, being the subject of the City Council Resolution No. 2001-364 (the "City Resolution"). For purposes of this Agreement, the term "Project" shall refer to the overall Winding Walk Planned Development project, including, but not limited to the "Property." B. BSO, LLC is the Declarant under that certain Master Declaration of Restrictions For Winding Walk filed or to be filed for record in the Official Records of San Diego County, California (the "Master Declaration"). The Master Declaration provides for WINDING WALK MASTER ASS OCIATION, a California Nonprofit Mutual Benefit Corporation ("MltOA") to maintain certain areas in the Project. Furthermore, one or more sub-associations may be formed ("SHOA") for a particular proj ect(s) within Winding Walk Planned Development, the purposes of which would include the maintenance of certain amenities within the project over which the SHOA has jurisdiction. C. The Property is or will become covered by the certain final map(s) (the "Final Maps") described on Exhibit "A" attached hereto and referenced in the title to this Agreement. D. In order for BSO, LLC to obtain the Final Maps and for the City to have assurance that the maintenance of certain areas within the Project would be provided for, the City and BSO, LLC entered into a Supplemental Subdivision Improvement Agreement pursuant to the City Resolution, in which BSO, LLC agreed that maintenance of such areas shall be accomplished by the creation of a home owners association. The Pamels shown on Exhibit "B" attached hereto describe those particular areas which were dedicated to the public on one or more of the Final Maps but which include landscaping and drainage improvements to be maintained by the MHOA. The public areas to be maintained by the MHOA are collectively referred to as the "MHOA Maintained Public Areas." E. The City desires to grant to BS O, LLC easements for landscape maintenance purposes upon, over and across the MHOA Maintained Public Areas as shown on Exhibit "B," in order to facilitate the obligations of BSO, LLC as set forth in Supplemental Subdivision Improvement Agreements, adopted pursuant to the City Resolution. NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties agree as set forth below. 1. Grant of Easements and License. The Cityherebygrants to BSO, LLC andits agents, successors and assigns, the following easements over the MHOA Maintained Public Areas: Non- exclusive easements and rights-of-way over and across all Parcels described on Exhibit "A" for the purpose of maintaining, repairing and replacing the following: (A) The landscaping within medians and parkways in Exploration Falls Drive, Winding Star Street and Windingwalk Street as shown and described on Exhibit "B" attached hereto; and (B) The landscaping withn the parkways ofaddit/onal roads as shown and described on Exhibit "B" attached hereto; These grants are made without any warranties o fany kind, express or implied, other than the warranty stated in Paragraph 13(0 below. 2. Maintenance Responsibilities, (a) BSO, LLC to Initially Maintain. BSO, LLC hereby covenants and agrees, at its sole cost and expense, to maintain, repair and replace, or cause to be maintained, repaired or replaced, those improvements within the MHOA Maintained Public Areas which are described on Exhibit "C" attached hereto, at a level equal to or better than the level of maintenance performed by the City or imposed by the City on other similar public areas. For purposes of this Agreement, the term "Maintenance" or "Maintain" shall mean the maintenance, repair and replacement obligations described herein and on Exhibit "C" hereto and shall also include repair and replacement at no cost to the City o fany City owned property that is damaged during performance of the maintenance responsibilities pursuant to this Agreement. Exhibit "C" also refers to the maintenance responsibilities of City. (b) Transfer to MHOA. Upon BSO, LLC's transfer of maintenance obligations to the MHOA, (i) the MHOA shall become obligated to perform the obligations so transferred, and (ii) subject to the City determining that the requirements of Paragraph 3 below have been satisfied, BSO, LLC shall be released fi.om such obligation. Transfer of maintenance obligations to the MHOA may be phased (that is, there may be multiple transfers). (c) Transfer By MHOA. The MHOA shall have the right to transfer Maintenance obligations to a sub-association ("SHOA") or to the owner of an apartment project ("Transferee"). Upon the MHOA's transfer of Maintenance obligations to a Transferee, (i) the Transferee shall become obligated to perform the obligations so transferred, (ii) the MHOA shall retain the right to perform the Maintenance should the Transferee fail to do so, and (iii) the MHOA shall be released fi.om the obligations so transferred subject to the City determining that the requirements of Paragraph 4 below have been satisfied. Although it is possible that Maintenance obligations might be transferred to an apartment owner, BSO, LLC does not believe it is likely that Maintenance obligations will be transferred to an apartment owner. 3. Assignment by BSO, LLC and Release of BSO, LLC (a) Assignment. Upon SO, LLC s transfer of the Maintenance obhgatmns to the MHOA, it is intended by the parties that the MHOA shall perform the Maintenance obligations either itself or by contractors. Such transfer ~will release BSO, LLC fi.om its obligations only if all of the following occur: (i) MHOA Accepts Obligation. The MHOA has unconditionally accepted and assumed all ofBSO, LLC's obligations under this Agreement in writing, such assignment provides that the burden of this Agreement remains a covenant running with the land, and the assignee expressly assumes the obligations ofBSO, LLC under this Agreement. The assignment shall also have been approved by the appropriate governing body of the MHOA by resolution or similar procedural method and approved .as to form and content by the City Attorney. The City shall not unreasonably withhold its consent to such assignment. (ii) MHOA's Master Declaration. The City has reviewed and approved the MHOA's recorded Master Declaration to confirra that said document contains appropriate maintenance, indenmity and insurance provisions. The City hereby acknowledges that it has so approved the Master Declaration. This condition "(ii)" will apply to any further amendments which require City's consent pursuant to provisions of the Master Declaration or which would be contrary to the terms of this Agreement. (iii) MHOA Insurance. The MHOA procures and formally resolves to maintain at its sole cost and expense, commencing no later than the City's release of all ofBSO, LLC's landscape maintenance bonds, a policy of public liability insurance which at least meets the requirements of Sect/on 5.1 (a) of the Master Declaration which reads as follows: (a) General Liability Insurance. The Master Association shall obtain a comprehensive general liability and property damage insurance policy insuring the Master Association and the Owners against liability incident to ownership or use oftheMaster Association Property. The limits of such insurance shall not be less than $3 Million covering all claims for death, personal injury and property.damage ar/sing out of a single occurrence. The insurer issuing such insurance shall have rating by A.M. Best of"A, Class V" or better with no modified occurrences and as admitted by Best's Insurance Guide. Such insurance shall include the following additional provisions provided they are available on a commercially reasonable basis: (i) The City of Chula Vista shall be named as an additionally insured party to such insurance pursuant to the City's requirements the Master Association do so; (ii) The policy shall not contain a cross-suit exclusion clause which would abrogate coverage should litigation ensue between insureds; / -/0! . :?~-~ (iii) The policy shall contain the following severability clause (or language which is substantially the same): "The coverage shall apply separately to each insured except with respect to the limits of liability." This Section 5.1(a) may not be amended without the written consent of the City Planning Director or City Attorney. The MHOA shall provide the City with a Certificate of Insurance upon acceptance of the transfer of the Maintenance obligations herein. (b) Release. When all conditions precedent in Paragraph 3 (a) are fulfilled, BSO, LLC shall be released from its obligations under this Agreement, including its security and insurance requirements. BSO, LLC acknowledges that it has a contractual obligation to perform the terms and conditions of this Agreement until and unless released by the City from this Agreement. At least sixty (60) days prior to such transfer, BSO, LLC shall give a notice to the City ofBSO, LLC's intent to transfer its Maintenance obligations herein and provide the City with the appropriate documents listed in Paragraph 3(a). 4. Assignment by MHOA and Release of MHOA. · ~ (a) Assignment. Upon MHOA's transfer of the Maintenance obligations to a ~ Transferee, it is intended by the parties that the Transferee shall perform the Maintenance obligations either itself or by contractors. Such transfer will release the MHOA fi'om its obligations only if all of the following occur: (i) Transferee Accepts Obligation. The Transferee has unconditionally accepted and assumed all of the MHOA's obligations under this Agreement in writing, such assignment provides that the burden of this Agreement remains a covenant nmning with the land, and the assignee expressly assumes the obligations of the MHOA under this Agreement. If the Transferee is an SHOA, the assignment shall also have been approved by the appropriate governing body of the SHOA by resolution or similar procedural method and approved as to form and content by the City Attorney. The City shall not unreasonably withhold its consent to such assignment. (ii) SHOA's Declaration of Restriction~ If the Transferee is an SHOA, the City has reviewed and approved the SHOA's recorded Declaration of Restrictions to confirm that said document contains appropriate maintenance and insurance provisions. (iii) SHOA Insurance. The Transferee procures and formally resolves to Maintain at its sole cost and expense, a policy of public liabilityinsurance which meets the requirements set forth in Paragraph 3 (a) (iii) above. The SHOA shall provide the City with a Certificate of Insurance upon acceptance of the transfer of the Maintenance obligations herein. Co) Release. When all conditions precedent in Paragraph 4(a) are fulfilled, the .MHOA shall b.e released fi.om its obligations under this Agreement, including its security and insurance reqmrements. At least sixty (60) days prior to such transfer, MHOA shall give notice to the City of MHOA's intent to transfer its Maintenance obligations herein and provide the City with the appropriate documents listed in Paragraph 4(a). 5. BSO. LLC's Insurance. Until such time as the MHOA has obtained the general liability insurance required by Section 5.1 (a) of the Master Declaration, BSO, LLC hereby agrees to procure and maintain a policy of comprehensive general liability insurance written on a per occurrence basis in an amount not less than One Million Dollars ($1,000,000) combined single limit, at its sole cost and expense. 6. Indemni~. BSO, LLC hereby indemnifies the City as set forth in Section 6.3 of the Master Declaration, which reads as follows: "6.3 Indemnity. The Declarant and Master Association, respectively, shall indemnify and hold the City, its officers, agents and employees harmless fi.om any liability, cost or expense, including reasonably incurred attorneys' fees, which result from the Declarant's or the Master Association's respective failure to comply with the requirements of the Section above entitled "Continuing Obligation To Maintain Certain Public Areas". Neither the Declarant nor the Master Association shall have any liability under this Section by reason of(i) the other party's failure to maintain or (ii) any Transferee's failure to maintain. It is specifically intended that the City shall have the right to enforce this Section. This Section maynot be amended without the written consent of the City Planning Director or City Attorney." 7. Indenmitv If Transferee The document whereby the MHOA transfers a Maintenance obligation to an SHOA or apartment owner shall be signed by both the MHOA and the Transferee and shall set forth an express assumption of Maintenance and other obligations hereunder and shall include the following indemnification provision: Indemnity. The [Transferee's nameJ shall indemnify and hold the City, its officers, agents and employees, harmless from any liability, cost or expense, including reasonablyincurred attorneys' fees, which result from the Transferee's failure to comply with the requirements of the obligations transferred hereby to Transferee. Transferee shall not have any liability under this Indemnity by reason of another party's failure to maintain. It is specifically intended that the City shall have the right to enforce this Indemnity. This Indemnity may not be amended without the written consent of the ~.:? City Planning Director or City Attomey. 8. Agreement Applicable to Subsequent Owners. (a) Agreement Binding Upon Any Successive Parties. This Agreement shall be binding upon BSO, LLC and any successive Declarant under the Master Declaration. This Agreement shall be binding upon MHOA and any Transferees upon transfer of maintenance obligations to the MHOA or Transferee, respectively. This Agreement shall inure to the benefit of the successors, assigns and interests of the parties as to any or all of the Property. Co) Agreement Runs With the Land. The burden of the covenants contained in this Agreement ("Burden") is for the benefit of the Property and the City, its successors and assigns, and any successor-in-interest thereto. The City is deemed the beneficiary of such covenants for and in its own right and for the purposes of protecting the interest of the community and other parties, public or private, in whose favor and for whose benefit such covenants nmning with the land have been provided, without regard to whether the City has been, remained or are owners of any particular land or interest therein. If such covenants are breached, the City shall have the right to exercise all rights and remedies and to maintain any actions or suits at law or in equity or other proper proceedings to enforce the curing of such breach to which it or any other beneficiaries of this Agreement and the covenants may be entitled. 9. Governing Law. This Agreement shall be governed and construed in accordance with the laws of the State of California. 10. Effective Date. The terms and conditions of this Agreement shall be effective as of the date this Agreement is recorded in the Official Recor. ds of the San Diego County Recorder's Office. 11. Counterparts. This Agreement maybe executed in anynumber of counterparts, each of which shall be original and all of which shall constitute one and the same document. 12. Recording. The parties shall cause this Agreement to be recorded in the Official Records of the San Diego County Recorder's Office within thirty (30) days after this Agreement has been approved by the City Council. 13. Miscellaneous Provisions. (a) Notices. Unless otherwise provided in this Agreement or by law, any and all notices required or permitted by this Agreement or by law to be served on or delivered to either party shall be in writing and shall be deemed duly served, delivered and received when personally delivered to the party to whom it is directed or, in lieu thereof, when three (3) business days have elapsed following deposit in the United States mail, certified or registered mail, return receipt requested, first-class postage prepaid, addressed to the address indicated in .this Agre.ement. A party may change such address for the purpose of this Paragraph by giving written not~ce of such change to the other party. If To City: CITY OF CHULA VISTA Department of Public Works/Engineering Division 276 Fourth Avenue ChulaVista, CA 91910 Attn: City Engineer If To BSO, LLC: BROOKF[ELD SHEA OTAY LLC e/o Brookfield Otay LLC 12865 Pointe Del Mar, Suite 200 Del Mar, CA 92014 Attn: Mr. John Norman With a Copy To: Shea Otay Village 11 LLC 10721 Treena Street, Suite 200 San Diego, CA 92131 Attn: Ms. Marcia Goodman (b) Captions. Captions in this Agreement are inserted for convenience of reference and do not define, describe or limit the scope or intent of this Agreement or any.of its terms. (c) Entire Agreement. This Agreement, together with any other written document referred to herein, embody the entire agreement and understanding between the parties regarding the subject matter hereof, and any and all prior or contemporaneous oral or written representations, agreements, understandings and/or statements shall be of no force and effect. This Agreement is not intended to supersede or amend any other agreement between the parties unless expressly noted. (d) Recitals; Exhibits, Any recitals set forth above and any attached exhibits are incorporated by reference into this Agreement. / (e) Compliance With Laws. In the performance of its obligations under this Agreement, BSO, LLC, its agents ~d employees, shall comply with any and all applicable federal, state and local rules, regulations, ordinances, policies, permits and approvals. (f) Authority of Signatories. Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all resolutions and/or other actions have been taken so as to enable said signatory to enter into this Agreement. (g) Modification. Tiffs Agreement may not be modified, terminated or rescinded, in whole or in part, except by written instrument duly executed and acknowledged by the parties hereto, their successors or assigns, and duly recorded in the Official Records of the San Diego County Recorder's Office. (h) Severability. If any term, covenant or condition of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Agreement, or the application of such term, covenant or condition to person or circumstance, shall not be affected thereby and each term, covenant or condition shall be valid and be enforced to the fullest extent permitted by law. (i) Preparation of Agreement. No inference, assumption or presumption shall be drawn from the fact that a party or its attorney prepared and/or drafted tiffs Agreement. It shall be conclusively presumed that both parties participated equally in the preparation and/or drafting of tiffs Agreement. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day and year first set forth above. CITY OF CHULA VISTA, a municipal corporation By: Attest: Mayor Susan Bigelow, City Clerk APPROVED AS TO FORM: By: City Attorney BROOKFIELD SHEA OTAY LLC, a California limited liability company By Brookfield Otay LLC, a Delaware limited liability company, Member By Its By Its By Shea Otay Village 11 LLC, a California limited liability company, Member By. Its STATE OF CALIFORNIA ) ) SS. COUNTY OF SAN DIEGO ) On ,200 , before me, Notary Public in and for said State, personally appeared ' personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(si whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(les), and that by his/her/their signature(s) on the instrument, the person(s), or the emity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature (Seal) / STATE OF CALIFORNIA ) ) SS. COUNTY OF SAN DIEGO ) On ,200 , before me, Notary Public in and for said State, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(si whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument, the person(s), or the emity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature (Seal) EXHIBIT "A" ~ Descrit)tion · DEC-l~-~00~ 14:53 HUNSAKER EXHIBIT "A" LEGAL DESCRIPTION PARCEL A: PORTIONS OF EVENING STAR STREET AS DEDICATED TO PUBLIC USE ON CHULA VISTA TRACT NO. 01-11, OTAY RANCH VILLAGE 11 "A" MAP NO. 1, ACCORDING TO MAP THEREOF NO. FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON ,2003 BEING A SUBDIVISION OF A PORTION OF LOTS 1,9, 10, 11, AND 12 OF THE OTAY RANCHO. IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO 862, FILED IN THE OFFICE OF SAID COUNTY RECORDER, ON FEBRUARY 7, 1900. PARCEL A-1: PORTIONS OF HIDDEN PATH DRIVE AS DEDICATED TO PUBLIC USE ON CHULA VISTA TRACT NO. 01-11, OTAY RANCH VILLAGE 11 "A" MAP NO. 1, ACCORDING TO MAP THEREOF NO. FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON 2003 BEING A SUBDIVISION OF A PORTION OF LOTS 1, 9, 10, 11, AND 12 OF SAID MAP NO. 862. PARCEL A-2: PORTIONS OF WINDINGWALK STREET AS DEDICATED TO PUBLIC USE ON CHULA VISTA TRACT NO. 01-11, OTAY RANCH VILLAGE 11 "A" MAP NO. 1, ACCORDING TO MAP THEREOF NO. FILED IN THE OFFICE OF THE COUN3~' RECORDER OF SAN DIEGO COUNTY ON ,2003 BEING A SUBDIVISION OF A PORTION OF LOTS 1, 9, 10. 11, AND 12 OF SAID MAP NO. 862. PARCEL A-3: PORTIONS OF EXPLORATION FALLS DRIVE AS DEDICATED TO PUBLIC USE ON CHULA VISTA TRACT NO. 01-t 1, OTAY RANCH VILLAGE 11 "A" MAP NO. 1, ACCORDING TO MAP THEREOF NO. FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON ,2003 BEING A SUBDIVISION OF A PORTION OF LOTS 1, 9, 10, 11, AND 12 OF SAID MAP NO. 862. PAGE 1 OF 2 PARCEL A-4: PORTIONS OF KESTREL FALLS ROAD AS DEDICATED TO PUBLIC USE ON CHULA VISTA TRACT NO. 01-11, OTAY RANCH VILLAGE 11 "A" MAP NO. 1, ACCORDING TO MAP THEREOF NO. FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON ,2003 BEING A SUBDIVISION OF A PORTION OF LOTS 1, 9, 10, 11, AND 12 OF SAID MAP NO. 862. DAVID W. AMBLER L.S. 7322 HUNSAKER & ASSOCIATES SAN DIEGO, INC. "AGEnDa2 / :11 M:~2366~O3V_E[G^L DESCRIPTIONS~A17 ESMT & LIC ARRI=~ dn~ EXHIBIT "B" Plats Showing Public Areas To Be Privately Maintained I DEg-12-2002 14:54 HUNSRKER ~ R$SBC1RTES SD Mb~ bbM 4b~ P.~b/~Y SEE 4 DEC-12-2002 14:55 HUNSAKER EXHIBIT "C" Maintenance Responsibilities City of Chula Vista Area HOA Maintenance Maintenance Median and parkways within Landscaping in the medians Maintenance of curb, gutter, those portions of those public and parkways including sidewalks and pavement. road shown on Exhibit "B" irrigation, trimming and prtming of trees, and maintenance and irrigation of turf areas. / RESOLUTION NO.2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE SLOPE AND DRAINAGE MAINTENANCE AGREEMENT FOR EASTLAKE PARKWAY BETWEEN STATIONS 11+76.43 AND 22+37.30 WITH BROOKFIELD SHEA OTAY LLC, A CALIFORNIA LIMITED LIABILITY COMPANY ('~DEVELOPER") ESTABLISHING SPECIFIC OBLIGATIONS AND RESPONSIBILITIES FOR MAINTENANCE OF SLOPES AND DRAINAGE WITHIN PUBLIC RIGHT-OF-WAY AND CITY EASEMENTS AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, the Slope and Drainage Maintenance Agreement for EastLake Parkway sets forth the developer's obligation to maintain the slopes and drainage facilities within City's easements until a permanent maintenance district or another alternative funding mechanism is established by the underlying the fee owner, McMillin Company, and approved by the City. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the Slope and Drainage Grant of Easements and Maintenance Agreement for EastLake Parkway between Stations 11+76.43 and 22+37.30 with Brookfield Shea Otay LLC, a California Limited Liability Company establishing specific obligations and responsibilities for maintenance of slopes and drainage within public right-of-way and City easements, a copy o fwhich shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized to execute said Agreement on behalf of the City of Chula Vista. Presented by Approved as to form by Clifford T. Swanson Joh~/~. l~aheny Director of Engineering City Attorney THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL ' {-///fo/hnC'fvl. Kaheny ' O' City Attorney Dated: 2/12/03 SLOPE AND DRAINAGE MAINTENANCE AGREEMENT FOR EASTLAKE PARKWAY WITH BROOKFIELD SHEA OTAY LLC ATTACHMENT Recording Requested by: CITY CLERK ) ) When Recorded, Mail to: ) ) CITY OF CHULA VISTA ) 276 Fourth Avenue ) Chula Vista, CA 91910 ) File No:OR-603F Slope & Drainage Maintenance Agreement For Eastlake Parkway Between Stations 11+76.43 and 22+37.30 This agreement ("Agreement") is entered into 2003 and effective as of the date last executed by the parties, by and between the City of Chula Vista, a California Municipal Corporation ("City"), Brookfield Shea Otay LLC, a California Limited Liability Company ("Developer") and McMillin Companies, a Delaware Limited Liability Company ("Owner") with reference to the facts set forth below, which recitals constitute a part of the Agreement: RECITALS WHEREAS, this Agreement concerns and affects certain real property located in Chula Vista, California, as more particularly described in Exhibit "A" (property Description) and as shown on Exhibit "A-l" attached hereto and incorporated herein and commonly known as Village 12 Eastern Urban Center ("The Project"). WHEREAS, this Agreement benefits certain real property located in Chula Vista, California and as shown on Exhibit "B" attached hereto and incorporated herein and commonly known as Otay Ranch Village 11 ("Developer's Project"). WHEREAS, pursuant to those certain instruments recorded in the Official Records of the San Diego County Recorder's Office, McMillin Companies did dedicate easements for slope and drainage purposes to City (collectively, "Dedicated Easements"). WHEREAS, the City desires to grant to Brookfield Shea Otay, LLC a right of entry for slope and drainage maintenance purposes upon, over, and across those said Dedicated Easements. Page 1 /-/mo WHEREAS, the City desires to establish an interim funding mechanism for maintaining certain slope and drainage improvements to be constructed along the west side of Eastlake Parkway in conformance with Chula Vista Drawings Nos. 02083-04 and 02083-06 until a permanent maintenance district or another alternative funding mechanism is approved by the City. WHEREAS, all parties hereby agree to enter into an agreement, wherein Developer agrees to provide for the maintenance cost of said slope and drainage improvements until the City approves permanent maintenance district or another alternative funding mechanism established by the Owner. NOW THEREFORE BE IT RESOLVED that the Parties agree as follows: 1. Defined Terms. As used herein, the following terms shall mean: 1.1 "Community Facility District" or "CFD" means a special district established by the City pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982". 1.2 "Maintain" or "Maintenance" means to furnish, or the furnishing of, services and materials for the ordinary and usual maintenance of the Slope and Drainage Improvements as defined herein below, in a manner acceptable to the City Engineer. 1.3 "Fiscal Year" means the periods starting July 1st and ending on the following June 30th. 1.4 "Slope and Drainage Improvements" means those slope and drainage improvements to be constructed along the west side of Eastlake Parkway between stations 11+76.43 and 22+37.30 in conformance with Chula Vista Drawing Nos 02083-04 & 02083-06. 2. Slope and Drainage Improvements Maintenance Obligations. 2.[ Developer understands and agrees that all cost assoc,ated with the maintenance of the Slope and Drainage Improvements shall be paid by the Developer, and that in no case will the City, or any department, board, or officer thereof or Owner be liable for any portion of the Maintenance Cost as defined herein below. 2.2 Developer hereby agrees that Developer's obligations and right of entry hereunder shall terminate once sufficient funding for maintaining the Slope and Drainage Improvements, as determined by the City Engineer in his/her Page 2 / sole discretion, is available from an approved CFD or alternative permanent financing mechanism approved by the City. ~ 2.3 Developer has prepared an estimate of the annual cost for maintaining the Slope and Drainage Improvements, which is attached as Exhibit "C" ("Maintenance Cost"). As set forth below, Developer shall provide the City with cash deposit equal to the Maintenance Cost to cover the cost of maintaining the Slope and Drainage Improvements during the subsequent Fiscal Year. 3. Security for Slope and Drainage Improvements Maintenance Obligations. 3.1 Cash Deposit. Prior to the City's approval of the first Final Map for the Developer's project, Developer shall provide City with a cash deposit for Developer's annual obligation to maintain the Slope and Drainage Improvements under this Agreement, ("Security Deposit") in the sums set forth in Exhibit "B". City shall hold the Security Deposit for the duration of Developer's obligations hereunder, and expend such deposit solely for purposes of said performance obligations in the event of Developer's default in the performance of such obligations. Should the City expend the cash deposit due to Developer's default of its performance obligations, Developer agrees to redeposit the equivalent sum of money needed to equal the amount of the deposit required by this Agreement, as set forth in Exhibit "B", within 30 days of the City's request for such deposit. Ail interest earnings on the Security Deposit shall be retained by the City during this period. Any unexpended amount of the Security Deposit, including any interest earned, shall be released and remitted to Developer upon the termination of its obligations as set forth in this Agreement. 4. Community Facility District Formation. 4.1 Owner hereby agrees to process and obtain the approval of the City Council prior to or concurrent with the first final map for the Project, of the establishment of a CFD or any other financing mechanism acceptable to the City for providing permanent funding for the maintenance of the Slope and Drainage Improvements if said improvements still remain after the Eastern Urban Center has developed. 4.2 In the event said CFD is not formed by the first /~ ~ ~ final map for The Project. Developer hereby agrees to work in good faith with the City to establish an alternative Page 3 t -tz, z. financing vehicle acceptable to the City prior to approval of last final map of phase I for Developer's Project. Developer further agrees that the City Engineer may extend the Formation Time for a period not to exceed sixty 60 days, if the City Engineer determines, at his/her sole discretion, that Developer is diligently working towards the establishment of said alternative financing mechanism. 5. Noncompliance of Developer's and Owner's Obligations 5.1 Developer and Owners understand and agree that the performances of Developer's and Owner's obligations hereunder are required for the health and safety of the residents of the City of Chula Vista. Therefore, Developer and Owner agree that the City shall have the absolute and unfettered right to withhold the issuance of any grant of approval or permit for any entitlements (including but not limited to SPA plans, Tentative Maps, Site Plans, Final Maps, grading/construction permits, and building permits) for the Project, if the Developer and Owner are determined by the City not to be in compliance with the terms of this Agreement. 5.2 If Developer and Owner are determined by the City not to be in compliance with any term of this Agreement, the City shall notify Developer and Owner of their noncompliance and provide them with 30 days to cure said noncompliance. The City Engineer in his/her sole discretion may extend the time to cure such noncompliance if the City Engineer determines that they are making a good faith and diligent effort to cure such noncompliance. 6. Right of Entry Owner and City hereby grant Developer permission to enter upon the property described in Exhibits "A" and "A-i" for the purposes of providing Slope and Drainage Maintenance pursuant to the terms of this Agreement. 7. Successors 7.1 Agreement Binding Upon Successors. This Agreement shall be binding upon and inure to the benefit of the successors, assigns and interests of the parties as to any or all of the real property, described herein on Exhibit "A", until released by the mutual consent of the parties or as otherwise provided in the Agreement. 7.2 Agreement Runs with the Land. The burden of the covenants contained in this Agreement ("Burden") is for the benefit of the Proiect and the City, its successors and assigns and any successor in interest thereto. City is Page 4 1 deemed the beneficiary of such covenants for and in its own right and for the purposes of protecting the interest of the community and other pa~ties public or private, in whose favor and for' whose benefit of such covenants running with the land have been provided without regard to whether City has been, remained or are owners of any particular land or interest therein. If such covenants are breached, the City shall have the right to exercise all rights and remedies and to maintain any actions or suits at law or in equity or other proper proceedings to enforce the curing of such breach to which it or any other beneficiaries of this agreement and the covenants may be entitled. 8. Miscellaneous Provisions. 8.1 Attorneys' Fees. In the event that either Party commences litigation for a specific performance or damages for breach of this Agreement, the prevailing party shall be entitled to a judgment against the other for an amount equal to reasonable attorneys' fees and court costs incurred. The prevailing party shall be deemed to be the party who is awarded substantially the relief sought 8.2 Indemnification. Developer further understands and agrees that City and Owner, as indemnitee, or any officers, agents or employee theueof, shall not be liable for any injury to person or property occasioned by reason of the acts or omissions of Developer, its agents or employees, or indemnitees, related to the Developer's obligations described herein. Developer further agrees to protect and hold the City and Owner, its officers and employees, harmless from any and all claims, demands, causes of action, liability or loss of any sort, because of or arising out of acts or omissions of Developer, its agents or employees, or indemnitee, related to the Developer's obligations described herein. The approved improvement securities referred to above shall not cover the provisions of this paragraph. The provisions of this paragraph shall become effective upon the execution of this Agreement and shall remain in full force and effect regardless of the City's acceptance of any improvements within the areas as described herein 8.3 Entire Agreement. This Agreement, together with any other written document referred to or contemplated herein, embody the entire Agreement and understanding between the parties relating to the subject matter hereof and any and all other prior or contemporaneous oral or written agreements are hereby superseded. This Agreement may be amended, but only pursuant to a written amendment properly authorized and executed by all parties hereto. Page 5 I -129 8.4 Compliance with Laws. In the performance of its obligations under this agreement Developer shall comply with any and all applicable federal, state and local laws, regulations, policies, permits and approvals. 8.5 Recitals and Exhibits. Recitals set forth above and all attached Exhibits referred to herein are hereby incorporated herein by this reference. 8.6 Term. This agreement shall remain in effect for so long as either party has executory obligations hereunder. 8.7 Recording._ The parties hereto shall cause this Agreement to be recorded in the Official Records of the County of San Diego. 8.8 Assignment. The obligations of the Developer under this Agreement shall not be assigned in whole or in part, without the express written consent of the City. 8.9 Authority of Signatories. Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all resolutions and/or other actions have been taken so as to enable it to enter into this Agreement. 8.10 Termination. Upon the termination of this Agreement pursuant to Section 2 and 8.6 hereof, at the request of Developer or Owner or any successor in interest who owns any portion of the real property encumbered by this Agreement, the City shall execute an instrument in recordable form to be prepared by the requesting party and approved by the City Attorney which evidences the termination of this Agreement and confirms the release of the real property from the encumbrance of this Agreement. 8.11 Force Majeure Except with respect to any obligation to pay money or post securities when due, no party hereto shall be liable for any delay or failure to perform this agreement caused by Force Majeure. As used herein, the term Force Majeure shall mean acts of God; strikes; walkouts; labor disputes or disturbances; war; blockage; insurrection; riot; earthquakes; typhoons; hurricanes; floods; fires; explosions; or other similar circumstances beyond the reasonable control of such party. In the event of Force Majeure likely to cause any such delay or failure, the parties suffering such Force Majeure shall give notice to the other party hereto, stating the particulars of such Force Majeure and shall to the extent it is capable of doing so, remove such cause with all reasonable dispatch, except that, Page 6 / no party shall be required to settle any strike, walkout, labor dispute or disturbance by acceding to the demands of the opposing party when such course is deemed inadvisable by such party. [NEXT PAGE IS SIGNATURE PAGE Page 7 (Signature Page One of Two Pages) (Slope & Drainage Maintenance Agreement For Eastlake Parkway Between Stations 11+76.43 and 22+37.30) IN WITNESS WHEREOF, the parties have entered into this Agreement as of the day and year first above written. CITY OF CHULA VISTA A Municipal Corporation By: Mayor Steve Padia Attest: '~ !ii! Susan Bigelow, City Clerk Approved as to form: John M. Kaheny, City Attorney Dated: Page 8 / --Is7 (Signature Page Two of Two Pages) (Slope & Drainage Maintenance Agreement For Eastlake Parkway Between Stations 11+76.43 and 22+37.30) ( "DEVELOPER" ) BROOKFIELD SHEA OTAY LLC, a California Limited Liability Company By: Brookfield Otay LLC, a Delaware Limited Liability Company, Member BY: BY: NAME: NAHE: TITLE TITLE: By: Shea Otay Village 11, a California Limited Liability Company, Member By: Shea Homes Limited Partnership, a California Limited Partnership, its Sole Member By: J.F. Shea Company INC., a Nevada Corporation, its General Partner BY: BY: NAME: NAME: TITLE TITLE: ("Owner") MCMILLIN COMPANIES, LLC A Delaware Limited Liability Company BY: BY: NAME: NAME: TITLE TITLE: Page 9 LIST OF EXHIBITS (Slope & Drainage Maintenance Agreement For Eastlake Parkway Between Stations 11+76.43 and 22+37.30) Exhibit A ...... Legal Description Exhibit A-1 .... Location Plat for Village 12 ("The Project") Exhibit B ..... Location Plat for Village ll("Developer's Project") Exhibit C ..... Maintenance Cost Page 10 EXHIBIT ~A" PROPERTY DESCRIPTION (Slope & Drainage Maintenance Agreement For Eastlake Parkway Between Stations 11+76.43 and 22+37.30) (To be provided by the Engineer of Work) Page 11 EXHIBIT ~A- 1" LOCATION PLAT FOR VILLAGE 12 ("THE PROJECT") Slope & Drainage Maintenance Agreement For Eastlake Parkway Between Stations 11+76.43 and 22+37.30) Page 12 / ~/2! EXHIBIT "B" LOCATION PLAT FOR VILLAGE 11 ( "DEVELOPER' S PROJECT" ) (Slope & Drainage Maintenance Agreement For Eastlake Parkway Between Stations 11+76.43 and 22+37.30) Page 13 EXHIBIT ~C" Maintenance Cost (Slope & Drainage Maintenance Agreement For Eastlake Parkway Between Stations 11+76.43 and 22+37.30) Cost for maintenace of the slope improvement.-. Slope area to be maintened: 71,400 sq.ft. Cost per sq.ft. : S0.04/sq.ft/yr 71,400 sq.ft. X $0.04/sq.ft/yr = $2,856/yr 10% contingency $286/yr Total Cost = $3,142/yr Cost for maintenance of the drainage facilities 3 maintenace trips a year 2 days (16 hrs) to complete the work @ $60.O0/yr 3trips/yr X 16hfs X $60.O0/hr = $2,880 10% contingency = $288 Total Cost $3, 168/yr Total cost for maintenace of Slope & Drianage Improvements $3,142 + $3,168 = $6,310/y~r Assume maintenance for 3 yrs = $18,930 CASH BOND REQUESTED TO FULFILL THIS OBLIGATION IS $18,900 Page 14 I PLEASE RECORD THIS DOCUMENT AT NO FEE AS IT IS TO THE BENEFIT OF THIS DISTRICT (GOV. CODE [6103]) RECORDING REQUESTED BY AND WHEN RECORDED, PLEASE MAIL TO: San Diego County Water Authority Right of Way Department 4677 Ovedand Avenue San Diego, CA 92123-1233 APN # 643-070-09 SPACE ABOVE FOR RECORDER'S USE JOINT USE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND THE SAN DIEGO COUNTY WATER AUTHORITY This Agreement is made between the San Diego County Water Authority (hereinafter "Authority") and the City of Chula Vista (hereinafter "City") this ~ TH dayof ~.I~,L~AF-¥ ,200~, to allow a 10-inch PVC sewer main to cross the Authodty's easement and right of way. WHEREAS, Authority owns certain easements described in Exhibit A and shown on Exhibit B in which it has pipelines and other facilities for the transmission of water ("Authority Easements"); and WHEREAS, Brookfleld Shea Otay, LLC is the fee owner of the property that is subject to the Authority's easements; and WHEREAS, City and the Authority desire to establish the terms and conditions for the construction, operation and maintenance of a 10-inch PVC sewer main ("City Facility") under and across Authority's easement and right of way along the route particularly shown on Exhibit "B" ("Designated Route"); NOW, THEREFORE, the parties mutually hereby agree as follows: 1. The City, its successors in interest and assigns, may construct, operate and maintain the City Facility within the property subject to the Authority's Easements along the Designated Route, under the terms and conditions stated herein. 2. Plans for the installation of the City Facility, including work or improvements reasonably necessary to protect the Authority pipelines and other structures and facilities, shall be approved by the Authority in advance of construction. Authority's approval shall not be unreasonably withheld. City shall give written notice to the Authority not more than 30 days nor less than 15 days before the date of commencement of construction ofthe City Facility. Authority inspectors shall have access to the property during construction. R:\ROW\Mgml\Jointuse\O l\juaOl-OZSn.doc 1 of 4 3. Neither this Agreement nor the construction, operation or maintenance of the City Facility shall, in any way, limiti alter, modify, expand, or terminate any of the Authority's or City's rights or obligations under the Authority's Easements or any of the rights of the owner of the servient tenement. 4. City agrees not to interrupt the use or operation of Authority's facilities. 5. Authority shall be deemed the "party first in place" and its rights and interests shall be prior in time and superior in title to those of City. Nothing herein contained shall constitute a grant of easement or other interest in property by Authority to City. 6. Following completion of the City Facility, whenever the Authority so requests, the parties agree to work cooperatively to assesses reasonable construction alternatives, coordinate traffic control and otherwise manage the City Facility as deemed necessary by the Authority for the full exercise of its dghts under the Authority Easements. Except to the extent specifically provided in an Authority Easement, City shall, at its sole expense, remove and replace, rearrange, restore or relocate the City Facility as may be necessary or convenient for the Authority's use and enjoyment of its easements. Except in the event of an emergency, Authority agrees to give City 180 days' written notice to remove and replace, rearrange or relocate the City Facility. Plans for removal and replacement, rearranging, or relocation of the City Facility shall be subject to paragraph 2, above. In the event of an emergency affecting the public health, safety or welfare, as determined by the Authority, or in the event of either (a) City's failure to remove and replace, rearrange, or relocate the City Facility within 180 days after the Authority has given written notice or, (b) City's failure to remove and replace, rearrange, or relocate the City Facility according to a schedule approved in writing by the Authority within 180 days after the Authority has given written notice, then the Authority may remove the City Facility without obligation to City. This Agreement shall apply to City Facility removed and replaced or restored, rearranged, or relocated pursuant to this paragraph. Authority acknowledges that with respect to the 120-foot wide strip of land subject to Authority Easements recorded as Document No. 59321, recorded March 26, 1959, Book 7568, Page 585; Document No. 157508, recorded August 4, 1959, Book 7806, Page 558; Final Order of Condemnation (Parcel 204-A) recorded October 3, 1983 as Document No. 83-353521; Document No. 1993-0585949, recorded September 3, 1993, the Authority has the obligation to restore the City Facility pursuant to the terms of those certain easements. 7. This Agreement shall run with the land and be binding upon both parties, its representatives, agents, successors, and assigns. 8. The parties understand and agree that this Agreement grants only the consent of the Authority to the activities identified under the terms and conditions stated herein. City is responsible for acquiring any other property rights, licenses, or permits needed to conduct the identified activities. 9. City shall save, indemnify and hold harmless the Authority against any liability, loss, cost, damage and expense caused by or arising from (i) any negligent act(s) R:\ROW~Mgmt~Jointuse\01\jua01-078n.doc 2 of 4 or omission(s) of City, its employees, agents, contractors, successors and assigns or (ii) the construction, reconstruction, location, relocation, maintenance and existence of the City Facility; including, but not limited to any such loss, cost, damage, liability and expense arising from damage to or destruction of real and personal property or injury to or death of any person; provided, however, that City duty to indemnify and hold harmless shall not include any claims or liability arising from the established negligence or misconduct of the Authority, its agents, officers, or employees. City shall cause the Authority, and its officers and employees, to be named as an additional insured on any policy or policies of insurance required by the City with respect to the construction, reconstruction, location, relocation, maintenance or existence of the City Facility. 10. The City Facility shall be maintained in a safe and sanitary condition at the sole cost, risk, and responsibility of City and its successors in interest. 11. In the event either party commences legal action against the other by reason of an alleged breach of this Agreement or in connection with the use of the Authodty's easement and dght of way, the prevailing party shall be entitled to recover court costs and attorney's fees as set by the court. "Prevailing Party" means the party in whose favor final judgment is rendered. 12. Any notice required, permitted, or contemplated under this Agreement shall be deemed given when actually delivered or when deposited in the mail, certified or registered, postage prepaid, addressed as follows: TO AUTHORITY: San Diego County Water Authority Right of Way Department 4677 Ovedand Avenue San Diego, CA 92123-1233 TO COMPANY: City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 IN WITNESS WHEREOF, the parties hereto have caused this agreement to be executed by a duly authorized officer on the day and year first above wdtten. By: /_/~~,~, ~ Dated: dll/~.~ SAN DIEGO COUNTY WATER AUTHORITY ' ~ William J. Rose, Director of Right of Way By: Dated: CITY OF CHULA VISTA STEVE PADILLA, MAYOR R:\ROW\Mgmt\Jointuse\01\jua01-078n.doc 3 of 4 Dali ~.-~e~n~V~,'i~-neral Counsel Dated: San Diego County Water Authority Approved as to form: By: Dated: ~,m ¥. uoo~ , City Attorney City of Chula Vista R:\ROWtMgmt\Jointuse\01\jua01~078n.doc 4 of 4 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California ss. County of San Diego On~0Of~ {~, ~}g _, before me, Maria C. Silva. Notary Public personally appeared William J. Rose [] personally known to me [3 proved to me on the basis of satisfactory evidence to be the person(s~ whose name(~) subscribed to the within instrument and - acknowledged to me that he~executed the same in hi~ authorized J'~._.~,~no_t~oc?un~y ~' capacity~}X), and that by ...... "_' ..... ~ siflnature0~) on the instrument the person(~, or the entity upon behalf of which the person~) acted, executed the instrument, OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description cfA.ached Documee~. ,~ t.-~d/ 0'~ 0~qJ.,~ Title or Type of Document:_ '~-(")( nE ~._~¢:~- Document Date: Number of Pages: q Signer(s) Other Than Named Above: Capacity(les} Claimed by Signer Signer's Name: William J. Rose [] Individual [] Corporate Officer--Title(s): Top of thumb here [] Partner-- ~ L}mited [] General [] Attorney in Fact EJ Trustee ~ Guardian or Conservator ~_J Other: Director of Right of Way Signer Is Representing: San Die oLCoun_ty Water A_uth0rity CALIFORNIA AL'L~PURPOSE ACKNOWLEDGMENT CountyState OfofCalifornia } ss. On , before me, personally appeared Name(s) of Signell[s) [] personally known to me [] proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and' acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(les), and that by his/her/their signature(s) on the instrument the person(s); or the entity upon behalf of which the person(s) acted, executed the instrument· WITNESS my hand and official seal, OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on lhe document and could prevent fraudulent removal and reattachment of thie form to another document. Description of Attached Document · Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(les) Claimed by Signer Signer's Name: [] Individual ~ [] Corporate Officer -- Title(s): Top of thumb her, [] Partner-- [] Limited [] General [] Attorney in Fact [~ Trustee [] Guardian or Conservator [] Other: Signer Is Representing: EXHIBIT "A" REGARDING JOINT USE AGREEMENT NO. 2001-078N APPLICANT City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 OWNERS Brookfield Shea Otay, LLC a Califomia Limited Liability Company 12865 Pointe Del Mar Way Suite 200 Del Mar, CA 92014 EASEMENT San Diego County Water Authority 4677 Overland Avenue San Diego, Califomia 92123-1233 BENEFITTED PROPERTY Assessor's Parcel Number: 643-070-0 Authodty's Parcel Number: Pamels 204, 204-A (Pipeline 3, Second Aqueduct) Parcels 204-B (Pipeline 4E2, Second Aqueduct) AUTHORITY PROPERTY A strip of land 120 feet in width in a portion of Lots 9 and 10 of Otay Rancho, in the County of San Diego, State Of California, according to Map No. 862 filed in the office of the County Recorder of said County, February 7, 1900, more particularly described in Document No. 59321, recorded March 26, 1959, Book 7568, Page 585; in Document No. 157508, recorded August 4, 1959, Book 7806, Page 558; in Final Order of Condemnation (Parcel 204-A) recorded October 3, 1983 as Document No. 83-353521; and in Grant of Easement to the San Diego County Water Authority for Parcel 204-B as Document No. 1993-0585949, recorded September 3, 1993, all of Official Records of said County. PURPOSE This agreement is granted exclusively for the installation of a 10-inch PVC sewer main to cross underneath the Authority's existing 69-inch and 72-inch pipelines within the Second Aqueduct right of way as shown on Exhibit "B". This agreement does not authorize other construction, grading or planting of trees within the Authority's easement. EXHIBIT "B" LEGAL DESCRIPTION A 20.00 FOOT WIDE STRIP OF LAND IN A PORTION OF LOTS 9 AND 10 OF OTAY RANCHO, IN THE COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE SAN DIEGO COUNTY RECORDER, FEBRUARY 7, 1900, THE CENTERLINE OF SAID 20.00 FOOT WIDE STRIP OF LAND BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT A 3/4" IRON PIPE WITH DISC STAMPED "L.S. 3997" SHOWN AND DESCRIBED ON RECORD OF SURVEY NO. 14605 RECORDED IN THE OFFICE OF SAID COUNTY RECORDER, AUGUST 11, 1994, SAID 3/4" IRON PIPE BEING ON THE CENTERLINE OF THE SECOND AQUEDUCT (PIPELINE 4 PHASE 2) DISTANT THEREON SOUTH 49o36'57'' EAST, 669.35 FEET (SOUTH 49036'46'' EAST 669.41 FEET PER SAID R.O.S. NO. 14605) FROM THE NORTHWESTERLY TERMINUS OF THAT CERTAIN COURSE SHOWN ON SAID RECORD OF SURVEY AS" N 49°36'46" W 5669.42' "SAID NORTHERLY TERMINUS BEING AT STATION 5110+72.07 OF SAID RECORD OF SURVEY; THENCE ALONG SAID CENTERLINE, SOUTH 49°36'57'' EAST, 611.05 FEET; THENCE LEAVING SAID CENTERLINE, SOUTH 36°02'00'' WEST, 70.20 FEET TO A POINT ON THE SOUTHWESTERLY SIDELINE OF THE 120.00 FOOT WIDE EASEMENT TO THE SAN DIEGO COUNTY WATER AUTHORITY RECORDED SEPTEMBER 3, 1993 AS FILE NO. 1993-0585949 OF OFFICIAL RECORDS, AND THE TRUE POINT OF BEGINNING; THENCE NORTH 36002'00" EAST, 113.40 FEET TO THE BEGINNING OF A CURVE CONCAVE SOUTHEASTERLY HAVING A RADIUS OF 800.00 FEET; THENCE NORTHEASTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 00°29'51'' A DISTANCE OF 6.94 FEET TO THE NORTHEASTERLY SIDELINE OF SAID 120.00 FOOT WIDE EASEMENT AND THE POINT OF TERMINUS. THE SIDELINES OF THE HEREIN DESCRIBED 20.00 FOOT WIDE STRIP OF LAND SHALL BE LENGTHENED OR SHORTENED SO AS TO TERMINATE IN THE SIDELINES OF SAID 120.00 FOOT WIDE EASEMENT. L.S. 7322 ~ i ~xp. 12/31/05~, DAVID W. AMBLER L.S. 7322 HUNSAKER & ASSOCIATES SAN DIEGO, INC. :ds M:~2366\03\LEGAL DESCRIPTIONS~A09 JUA SDCWA CROSSROADS doc · . EXHIBIT "B" ~x 5110+72.07) NUMBER DELTA ICAD/US LENGTH '., 01 00'29'51" 800.00 6.94 NUMBER BEARING D/STANCE x N $6'02'00"E 115.40' x 'x,~ ~,~ N $$'02'00"E 43.20' x. L3 N $6'02'00"E 70.20' ~ ~' '~ PVC SEWER W/24" STEEL x 'o~ ~ '~ ENCASE~EN~ BORE AND JACK P~CE~ENT ~ ~ ~ 10' MINIMUM VERTICAL CL~RANCE TO BE ~ ~ ( ) = RECORD DATA ~ ~ ~ PER R.O.S. 14605 LOT 10 ~ x ~ ~ FD. 3/4" I.P. WITH ~ / DISC STAMPED R.O.S. 14605. S.D.C.W.A. EASEMENTS ~ INDICATES JO. O0 FOOT WIDE ~SE~ENT REC. ~-26-1959 IN BOOK 7568, PAGE 585. O.R. ~ INDICATES ~0.00 FOOT WIDE ~SEWENT REC. 8-04-1959 IN BOOK 7806, PAOE INDICATES 80.00 FOOT WIDE ~SE~ENT REC. 10-05-~98~ AS FILE NO. ~ INDICATES 120.00 FOOT WIDE ~SEMENT ~U~S~ REC. 09-0~-1993 AS FILE NO. & ASSOCIATES ~s-05~5~49. O.R. ~ ~ ~ALE 1"= 100 COUNCIL AGENDA STATEMENT Item Meeting Date 3/4/03 ITEM TITLE: Resolution Amending the FY03 Library Department Budget by appropriating unanticipated grant revenue in the amount of $10,471 for the Literacy program ,D SUBMITTED BY: Deputy City Manager Palmer REVIEWED BY: City Manager ~d~0¢ (4/Sths Vote: Yes X No ) The Chula Vista Literacy Team recently received notice of a one-time augmentation to the Workforce Investment Act 231 (WIA 231) Grant award in the amount of $4,000 for the adult literacy program. In addition, the Literacy Team has been awarded $6,471 in unanticipated California State Library Matching Funds. RECOMMENDATION: That Council adopt the resolution amending the FY03 Library Department Budget by appropriating a) unanticipated grant revenue in the amount of $I0,471 for the Literacy program; BOARDS/COMMISSION: Not applicable DISCUSSION: The Chula Vista Literacy Team recently received a one-time augmentation of $4,000 from the Workforce Investment Act 231 Grant, which will be used to purchase instructional resources and supplies to support the Adult Literacy program. In addition, the Literacy Team has received an unanticipated increase of $6,471 in California State Library Matching Funds. Staff recommends appropriating $3,221 to be used toward the purchase of a digital copier for the Literacy Center. FISCAL IMPACT: The $10,471 in grant fimds will be used to purchase a copy machine for the Literacy Center, software and supplies for the Computer Learning Lab, instructional materials for the adult literacy program. RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FY03 LIBRARY DEPARTMENT BUDGET BY APPROPRIATING UNANTICIPATED GRANT REVENUE IN THE AMOUNT OF $10,471 FOR THE LITERARY PROGRAM WHEREAS, the Chula Vista Literacy Team recently received a one-time augmentation to the Workforce Lnvestment Act 23 t (WIA 231) Grant award in the amount of $4,000 for the adult literacy program; and WHEREAS, in addition, the Literacy Team has been awarded $6,471 in unanticipated California State Library Matching Funds.; and WHEREAS, staff recommends appropriating $3,221 to be used towards the purchase of a digital copier for the Literacy Center. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby amend the FY03 Library Department budget by appropriating unanticipated grant revenue in the amount of $10,471 for the Literacy program. Presented by Approved as to form by David Palmer Ann ~'~ ~oo~ ' Deputy City Manager City Attorney J \A I [ORN EY\l~-ESO\litcracy dCmatmn COUNCIL AGENDA STATEMENT Item: ,_~ Meeting Date: 3-4-03 ITEM TITLE: Resolution Approving the Performing and Visual Arts Task Force's selection of Five Mid-Year FY2002-03 Performing and Visual Arts Grant recipients and their monetary grants awards totaling $7,170.00 SUBMITTED BY: Deputy City Manager David J. Palmer~ BY: City Manager ~9~Y REVIEWED In 1997, the City Council approved a Sublease with the House of Blues Concerts, Inc. (formerly Universal Concerts) that established a process whereby ticket sales proceeds at the Coors Amphitheater would be paid to the City and utilized for a Performing and Visual Arts Fund. This fund is to be used for arts grants to thc Chula Vista community for the purpose of promoting and stimulating the growth o£ the performing and cultural arts within the City of Chula Vista. As called for in the sublease, a Performing and Visual Arts Task Force was established and makes recommendations to the City Council regarding the arts grant awards. The Task Force is assisted by the O£fce of Cultural Arts, which formally conducts the grant application process. The process provides for consideration of mid-year requests. The Task Force has reviewed the Mid-Year 2002-2003 applications and is now making the necessary recommendations to the City Council. STAFF RECOMMENDATION: That Council adopt the resolution approving the Task Force's Mid-Year selection of five FY 2002-03 Performing and Visual Arts Grant recipients (as listed below) and their monetary grant awards totaling $7,170.00. BOARDS/COMMISSIONS RECOMMENDATIONS: The Task Force recommends that the City Council award arts funds to groups as outlined in this report. DISCUSSION: The Performing and Visual Arts Fund grant application process currently allows for consideration of mid-year requests. The Task Force reviewed five requests and reconunends that five grant applications receive the following awards, totaling $7,170.00. The members of the Performing and Visual Arts Task Force recommending these five grant awards were: Mayor Shirley Horton Scott Alevy, Member at Large Nora McMartin, City Staff representative Larry Perondi, Sweetwater Union High School representative Tracy Goodwin, Chula Vista Elementary School representative Page 2, Item -~ Meeting Date 3-4-03 David Swift, House of Blues Concerts representative William Virchis, Chula Vista Cultural Arts Commission representative APPLICANTS RECEIVING A "4" RANKING (THE HIGHEST SCORE) · None APPLICANTS RECEIVING A "3" RANKING (THE SECOND HIGHEST) · Bonita Potpourri Awarded amount $1,200.00 To provide funds to continue and expand workshops given monthly to local artists and Potpourri members on current trends and techniques in drawing and painting. · San Diego Junior Theatre Awarded amount $1,520.00 San Diego Junior Theatre is a 55-year-old organization that has moved part of its total operations to Chula Vista, opening a facility on Third Avenue. Its mission is to educate youth (3-19) in theatre arts through innovative classes and high quality productions. This is a request to support advertising and make this organization accessible to the entire community. APPLICANTS RECEIVING A "2" RANKING (THE THIRD HIGHEST SCORE) · Christian Youth Theatre Awarded amount $1,500.00 To provide funds to continue and enhance the classroom docent and outreach programs in the Chula Vista Elementary School District. · Sound Unlimited Awarded amount $1,500.00 To provide funds for a professional choreographer. · Southwestern College Concert Choir Awarded amount $1,450.00 To provide funds for travel ($1,000) to the Music Celebration International's Festival of Music in France (spring 2003) and for programs ($450) to benefit concerts presented locally prior to the tour. FISCAL IMPACT: There is no General Fund impact associated with these grants. The deposit account for this purpose has a current balance of $36,552.38. The recommendation from the Performing and Visual Arts Task Force is to fund grant applications totaling $7,170.00, leaving a balance of $29,382.38. The Office of Cultural Arts will manage the contractual agreements and grant payments with the recipients. RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE PERFORMING AND VISUAL ARTS TASK FORCE'S SELECTION OF FIVE MID- YEAR FY2002-03 PERFORMING AND VISUAL ARTS GRANT RECIPIENTS AND THEIR MONETARY GRANT AWARDS TOTALING $7,170.00 WHEREAS, in 1997, the City Council approved a Sublease with the House of Blues Concerts, Inc. (formerly Universal Concerts) that established a process whereby ticket sales proceeds at the Coors Amphitheater would be paid to the City and utilized for a Performing and Visual Arts Fund; and WHEREAS, this fired is to be used for art grants to the Chula Vista community for the purpose of promoting and stimulating the growth of performing and cultural arts within the City of Chula Vista; and WHEREAS, as called for in the sublease, a Performing and Visual Arts Task Force was established and annually makes recommendations to the City Council regarding the art grant awards; and WHEREAS, the Task Force is assisted by the Office of Cultural Arts, which formally conducts the grant application process; and WHEREAS, the Task Force has reviewed the Mid-Year 2002-03 applications and has recommended monetary grant awards totaling $7,170 as listed in the Council Agenda Statement. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the Performing and Visual Arts Task Force's selection of five Mid- Year FY 2002-03 Performing and Visual Arts Grant recipients and their monetary grant awards totaling $7,170. Presented by Approved as to form by David Palmer An~ Y'.~M~ex'-J ' / Deputy City Manager City Attorney COUNCIL AGENDA STATEMENT Item 4 Meeting Date: 03~04~03 Item Title: Resolution: Amending the FY03 Recreation Department budget by appropriating $2,300 in grant funds from the Police Activities League for the provision of a youth soccer program in the Middle Schoo~ After School Program SUBMITTED BY: Recreation Direct(:~) City Manager,~l~'~ (4/Sths Vote: Yes X No __) APPROVED BY: The Recreation Department has been awarded a $2,300 grant from the Chula Vista Police Activities League (PAL) to provide a seven-week soccer league for children involved in the City's Middle School after school program. RECOMMENDATION: That Council adopt the resolution amending the FY03 Recreation Department budget by appropriating $1,338 in Personnel Services and $962 in Supplies and Services based on unanticipated revenues from a Police Activities League grant. BOARDS/COMMISSIONS RECOMMENDATION: N/A DISCUSSION: Club TC, the collaborative Middle School After School Program provided by the City of Chula Vista Recreation Department, Sweetwater Union High School District, South Bay YMCA and South Bay Community Services, provides middle school age children with sports activities that are designed to build self-esteem and sportsmanship through athletics. One of the sports activities that the Recreation Department offered was an indoor soccer program for seventh and eighth grade students. The soccer league started on January 18, 2003 and ended in late February, with games held on Saturdays at Otay Recreation Center. Teams from Castle Park, Chula Vista, Hilltop and Rancho Del Rey Middle Schools participated. Funding for the seven-week program is coming from a Police Activities League (PAL) grant of $2,300. The funding paid for staff, and T-shirts with PAL Iogos, certificates of participation, and trophies (awarded in two divisions) for the 80 participants. FISCAL IMPACT: The PAL grant of $2,300 will pay for $1,338 of personnel costs, $422 for certificates and awards, and $540 for T-shirts. RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FY03 RECREATION BUDGET BY APPROPRIATING $2,300 1N GRANT FUNDS FROM THE POLICE ACTIVITIES LEAGUE FOR THE PROVISION OF A YOUTH SOCCER PROGRAM IN THE MIDDLE SCHOOL AFTER SCHOOL PROGRAM WHEREAS, Club TC, the collaborative Middle School After School Program provided by the City of Chula Vista Recreation Department, Sweetwater Union High School District, South Bay YMCA and South Bay Community Services, provides middle school age children with sports activities that are designed to build self-esteem and sportsmanship through athletics. WHEREAS, the Recreation Department has been awarded a $2,300 grant from the Chula Vista Police Activities League (PAL) to provide a seven-week soccer league for children involved in the City's Middle School after school program; and WHEREAS, the funding will pay for staff, and T-shirts with PAL logos, certificates of participation, and trophies NOW, THEREFORE, BE IT RESOLVED that the City Council of City of Chula Vista does hereby amend the FY 03 Recreation Department budget by appropriating $2,300 in grant funds from the Police Activities League for the provision of a youth soccer program in the Middle School After School Program. Presented by Approved as to form by Buck Martin Ann Y. Moore Director of Recreation City Attorney CITY COUNCIL AGENDA STATEMENT ITEM NO.: ~ MEETING DATE: 03/04/03 ITEM TITLE: RESOLUTION RATIFYING THE 2003 BUDGET OF THE THIRD AVENUE BUSINESS IMPROVEMENT DISTRICT, ACCEPTING THE REPORT ON THE 2003 BUDGET OF THE THIRD AVENUE PROPERTY BASED IMPROVEMENT DISTRICT, AND RATIFYING THE ELECTION OF THE 2003 THIRD AVENUE PROPERTY BASED BUSINESS IMPROVEMENT DISTRICT BOARD OF DIRECTORS AND OFFICERS ! SUBMITTED BY: COMMUNITY DEVELOPMENT DIRECTOR [_~-~ ~ REVIEWED BY: CITY MANAGER ~ 4,sTNs VOTE.- .S NO BACKGROUND In accordance with the Cl~ub Vista Mun;dpol Code, the Chulo Vbto Downtown Business ^ssocbtion (DBA) is required, annually in March, to su~mff its ~u~t ~rom t~e Busines~ Im~rovement Dbtrid (BID) ~sse~sment, t~e Pro~e~ B~s~ Bu~in~ Im~rovemem Db~rid (PBID) ~ssessm~nt, ~n~ ~e r~suhs o~ frs ~nnu~l ~l~dion ~ D~r~dors ~ O~. RECOMMENDATION To adopt the resolution ratifying the 2003 budget of the Third Avenue Property Based Improvement District, accepting the report on the 2003 budget of the Third Avenue Properly Based Improvement District, and ratifying the 2003 election of the Third Avenue Property Based Improvement District Board of Directors and Officers. BOARDS/COMMISSIONS RECOMMENDATION Not applicable. DISCUSSION The Chula Vista Downtown Business Association was established in 1971 to promote business activities in downtown Chula Vista and to aid in efforts to revitalize the area. The City Council resolution establishing the Downtown Business Improvement District and the resolution establishing the Downtown Property Based Improvement District require that the DBA submit their budget and the results of their election of Directors and Officers to the City Council in March of each year for PAGE 2, ITEM NO.: ~ MEETING DATE: 11/12/02 ratification. Copies of the 2003 BID budget, the 2003 PBID budget and the roster of Directors and Officers is attached as Exhibits A, B, and C. The DBA is a non-profit corporation formed to administer the District's business. Generally the organization receives about $20,000 annually from the BID, $300,000 from the PBID and $150,000 from special events promoting the District. The DBA's budget, like most non-profits, is on a calendar year. The DBA Board approves the budget in Januar~ and submits it to the City Council for approval in March in accordance with the Municipal Code. Because of the disparity between the DBA's fiscal year and the City's, the DBA submits any requests for financial assistance through its budget process and such requests are incorporated into the Community Development Department's budget as is deemed appropriate. Generally, support from the Department to the DBA includes City staff services for special events and technical assistance on issues of concern between the DBA, its members and local government. The DBA is requesting $16,500 in City staff support (primarily police and public works support) for its special events this year. Due to the establishment of the PBID and resulting increased revenues to the organization, the request is $50,000 less than prior to the establishment of the PBID. FISCAL IMPACT Ratification of the attached budgets and election of directors and officers represents no cost to the City of Chub Vista. It is anticipated that the Community Development Department will appropriate $16,500 in its 2003-04 budget to assist with special events. Although no study has been conducted to date, staff believes the monies invested in supporting the DBA special events return a tangible benefit to the City in terms of image, sales tax receipts and good will. Attachments J:\COMMDEV~GPEREZ\COUNCIL DOCUMENTS\COUNCIL AGENDA STATEMENT. doc J:\COMMDEV~STAFF.REP\03-04-03\dba ratifications 2003.doc Downtown Chula Vista Business Association 272 Third Avenue Chula Vista CA. 91910 (619) 422-1982 Activity January Assessments $ 22,000.00 January County Grants $ 3,000.00 May Cinco de Mayo $ 48,000.00 June Pet Fest $ 4,500.00 August Lemon Fest $ 38,000.00 September Taste of Third $ 1,500.00 September Classic Cars $ 7,000.00 December Farmers Market $ 56,000.00 December Starlight Parade $ 7,500.00 Downtown Chula Vista Business Association 272 Third Avenue Chula Vista CA. 91910 422-1982 Economic Account Description Development Maintenance Operations Totals 1260-00 Payroll Clearing $ 73,250.00 $ 30,000.00 $36,000.00 $ 139,250.00 8500-00 Payroll Taxes $ 8,800.00 $ 3,600.00 $ 4,300.00 $ 16,700.00 6750-00 Employee Benefits $ 5,900.00 $ 2,400.00 $ 3,000.00 $ 11,300.00 7600-00 Newsletter $ 5,000.00 $ 5,000.00 6100-00 Advertising $ 29,600.00 $ 29,600.00 8260-00 Seminars $ 4,000.00 $ 4,000.00 6300-00 Contract $ 32,000.00 $ 32,000.00 7800-00 Improvement dist. $ 4,000.00 $ 4,000.00 9900-00 Utilities $ 3,000.00 $ 3,000.00 $ 6,000.00 7900-00 Rent-Equipment $ 11,000.00 $ 3,000.00 $ 14,000.00 7910-00 Rent-Office $ 9,000.00 $ 9,000.00 7000-00 Insurance $ 5,000.00 $ 5,000.00 8300-00 Supplies $11,000.00 $ 11,000.00 6000-00 Accounting $ 2,000.00 $ 2,000.00 8270-00 Storage $ 1,200.00 $ 1,200.00 8600-00 Conferences $ 15,350.00 $ 15,350.00 Reserve $ 8,803.00 CHULA VISTA DOWNTOWN BUSINESS ASSOCIATION Board of Directors Effective June 5, 2002 Linda Rosas Townson, President Associate Member The Star News Publisher · Involvement with other groups: Chula Vista Kiwanis Club, California Newspaper Association, Inland Press Organization, Bonita Business and Professional Association, National City Chamber of Commerce, Chula Vista Chamber of Commerce, San Diego State Alumni Organization. · Length of time in communiW: Bom and raised in south county, 8 years with The Star News. · Vision for PBID: Wants to see Downtown as the business, entertainment, and social-point oftbe South County. David McClurg, Vice President Business Owner McClurg Insurance Services · Involvement with other groups: Chula Vista Kiwanis Club President, Board of Realtors member, San Diego Association of Health Underwriters, San Diego Association of Insurance and Financial Advisors, Chula Vista Chamber Economic Development Committee, Chula Vista Chamber Board member, major fundraiser for Castle Park High School football program. · Length of time in community: 30-year resident, business owner since 1996. · Vision for PBID: Wants Downtown to become a major entertainment district for South County. He would also like to see growth for retail and professional businesses. Lisa Moetezuma/Secretary Business Owner Moctezuma Books and Gallery · Involvement with other groups: Towne Center Project Area Committee member, CVDBA Design Committee Chair, CVDBA Economic Development committee member. · Length of time in community: Resident for 11 years and downtown Chula Vista business owner for over 4 years. · Vision for PBID: To promote Downtown Third Avenue as the social and cultural focal point of the City of Chula Vista. As the original center of Chula Vista, Downtown Third Avenue must continue to strengthen its social and economic dominance in the area. It is the natural nucleus for the San Diego-Tijuana cross-cultural activity and must strive to express its history, culture and community spirit. -Rose Beais Smart Staff Business Owner · Involvement with other groups: San Diego African-American Chamber of Commerce member, advisory committee member for San Diego City College Office Automation Training Group, African-American Women of vision member, San Diego Small Business Women's Group member, San Diego Job Corp advisor member, California State Black Chamber of Commeme member and speaker for self help programs and employment opportunities. · Length oft[me in community: 2 years · Vision for PBID: Envisions Downtown Chula Vista to resemble old downtown Pasadena and the Melrose District in Los Angeles. Both of these areas reflect retail stores, restaurants, boutique shops, live entertainment and lots of tourists and visitors. If we adapt the same concept, it will result in economic growth to the surrounding communities and businesses located in Downtown Chula Vista. David Rossi, Immediate Past President Business and Property Owner King Jewelers · Involvement with other groups: San Diego Baseball Historical Society, Chula Vista Arts Commission, Chula Vista Chamber Board, Steering Committee for PBID, fundraiser for Boys and Girls Club. · Length of time in community: 22-year resident and business owner. · Vision for PBID: Keep Downtown the heart of the community. Byron Estes Government Representative Redevelopment Manager, City of Chula Vista · Involvement with other groups: The Urban Land Institute, California Redevelopment Association, American Planning Association-GAL1P. · Length of time in communiW: City employee since 1999. · Vision for PBID: Premier shopping and pedestrian area for South County. Wants the area vibrant in appearance and brisk with activity. Dr. Richard Freeman Senior Minister Religious Representative Community Congregational Church · Involvement with other groups: Chula Vista Rotary, Board of Director for Community Congressional Towers, Co-chair of the CVDBA Organizational Committee, attends monthly 1 st Friday Breakfast. · Length of time in community: Chula Vista resident for 18 months. Relocated fi.om New Mexico for Senior Minister position at Community Congressional Church. · Vision for PBID: Would like to retain businesses while improving the quality of businesses and keep the Downtown District clean and pristine. He sees a shi~t in 2 residential population to younger group remodeling older homes in the "old" Chula Vista area, and more businesses should appeal to this group. Carl Harry Government Representative County of San Diego · Involvement with other groups: President and International Director of International Right of Way Association, Vice President and State Director of South San Diego Board of Realtors, Chula Vista 2000 Committee, Chula Vista 21 Committee member. · Length of time in community: Life long resident of South County. · Vision for PBID: To see a higher density of population living downtown. He would recommend a quality project of condominiums by private developers. This level of project will bring more pedestrians to downtown along with more businesses open for evening entertainment and dining. Anthony Janus Residential Property Owner National Real Estate Service Owner · Involvement with other groups: Association of Realtors member · Length of time in community: Resident since 1968, business owner since 1970. · Vision for PBID: To see a few buildings remodeled to make the area more attractive. Stella Sutton Business Owner 'Stella's on Third · Involvement with other groups: Stella Sutton is currently a member of Kiwani Club of Chula Vista. Stays informed of committee events. · Length of time in communiW: Life long south county resident. She has been a business owner on Third Avenue for 7 years. · Vision for PBID: The Gateway sign, new planting of trees and flowers, general beautification and improved merchant signage. She sees graffiti as a "huge" problem and hopes security will curtail most of it. Donna Vignapiano Associate Member · Involvement with other groups: California Society of Certified Public Accountants, Towne Center Area Project Committee Chair, Co-chair of the CVDBA Organizational Committee. · Length of time in community: Has lived in Chula Vista since childhood. · Vision for PBID: Appreciates the appearance of lights in the trees and would like to maintain a festive and bustling look. "A retail Disneyland". 3 COUNCIL RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RATIFYING THE 2003 BUDGET OF THE THIRD AVENUE BUSINESS IMPROVEMENT DISTRICT, ACCEPTING THE REPORT ON THE 2003 BUDGET OF THE THIRD AVENUE PROPERTY BASED IMPROVEMENT DISTRICT, AND RATIFYING THE ELECTION OF THE 2003 THIRD AVENUE PROPERTY BASED BUSINESS IMPROVEMENT DISTRICT BOARD OF DIRECTORS AND OFFICERS WHEREAS, the City Council of the City of Chula Vista established a Business Improvement District (BID) on November 16, 1971, which created the Downtown Business Association; and WHEREAS, the City Council of the City of Chula Vista established a Third Avenue Property Based Business Improvement District (PBID) on July 24, 2001; and WHEREAS, the Downtown Business Association is required by the Chula Vista Municipal Code to report on its annual BID and PBID budget, as well as election of Directors and Officers to the City Council of the City of Chula Vista each year in March; and NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby ratify the 2003 budget of the Third Avenue Business Improvement District; and BE IT FURTHER RESOLVED the City Council of the City of Chula Vista does hereby accept the report on the 2003 budget of the Third Avenue Property Based Improvement District; and BE IT FURTHER RESOLVED the City Council of the City of Chula Vista does hereby ratify the 2003 election of the Third Avenue Properly Based Business Improvement District Board of Directors and Officers. Presented by Approved as to form by Laurie Madigan ~ Director of Community Development y J:\commdev\resos\cc - 03pbid CITY COUNCIL AGENDA STATEMENT ITEM NO.: MEETING DATE: 03/04/0~3 ITEM TITLE: RESOLUTION APPROVING CLOSURE OF THIRD AVENUE FROM 'E' STREET TO "H" STREET FOR THE ClNCO DE MAYO CELEBRATION ON MAY 4, 2003 FROM 4 A.M. - 9:00 P.M., WAIVING PROHIBITION ON SIDEWALK SALES, AND WAIVING BUSINESS LICENSE T~CES FOR DOWNTOWN BUSINESS ASSOCIATION AND VENDORS PARTICIPATING IN THE EVENT RESOLUTION APPROVING CLOSURE OF THIRD AVENUE BETWEEN F AND G STREETS FROM 7:30 A.M. - 10:00 A.M. ON SATURDAY, JUNE 21, 2003 AND WAIVING THE PROHIBITION ON SIDEWALK SALES AND WAIVING BUSINESS LICENSE TAXES TO THE DOWNTOWN BUSINESS ASSOCIATION FOR THE SECOND ANNUAL CHULA VISTA PET FEST RESOLUTION APPROVING CLOSURE OF THIRD AVENUE FROM "E" STREET TO "H' STREET FOR THE CHULA VISTA THIRD AVENUE LEMON FESTIVAL ON AUGUST 17, 2003 FROM 4:00 A.M. - 9:00 P.M., WAIVING PROHIBITION ON SIDEWALK SALES, AND WAIVING BUSINESS LICENSE TAXES FOR DOWNTOWN BUSINESS ASSOCIATION AND VENDORS PARTICIPATING IN THE EVENT RESOLUTION APPROVING CLOSURE OF THIRD AVENUE FROM "D" STREET TO '1" STREET AND "H" STREET BETWEEN SECOND AND FOURTH AVENUES, AND PORTIONS OF INTERSECTING STREETS ON DECEMBER 6, 2003 FOR THE 415T ANNUAL STARLIGHT YULE PARADE SUBJECT TO CONDITIONS RESOLUTION APPROVING CLOSURE OF A PORTION OF CENTER STREET BETWEEN THIRD AVENUE AND DEL MAR AVENUE FROM 3:00 - 9:00 P.M. ON SATURDAY, DECEMBER 6, 2003 AND WAIVING THE PROHIBITION ON SIDEWALK SALES AND WAIVING BUSINESS LICENSE FEES TO THE DOWNTOWN BUSINESS ASSOCIATION AND VENDORS FOR PURPOSES OF HOLDING A CRAFT FAIR DURING THE STARLIGHT YULE PARADE RESOLUTION APPROVING AGREEMENT BETWEEN CITY OF CHULA VISTA AND CHULA VISTA DOWNTOWN BUSINESS ASSOCIATION FOR SPECIAL EVENTS FOR 2003 AND AUTHORIZING MAYOR TO EXECUTE SAID AGREEMENT SUBMITTED BY: COMMUNITY DEVELOPMENT DIRECTOR REVIEWED BY: CITY MANAGER 4/STHS VOTE: YES / PAGE 2, ITEM NO.: ti? MEETING DATE: 03/04/03 BACKGROUND The Chula Vista Downtown Business Association (DBA) is requesting the closure of Third Avenue and portions of other streets for five 2003 promotional events. For administrative efficiency purposes, as last year, all street closure events are presented for Council consideration at one time. · Cinco De Mayo celebration on May 4 · Chula Vista Pet Fest on June 21 · Lemon Festival on August 17 · Starlight Yule Parade on December 6 · Craft Fair on December 6 The Cinco De Mayo and Lemon Festival are annual events. To operate them, the DBA requests that Third Avenue be closed between 'E" and "G" streets from 4 a.m. - 9 p.m. on the respective date of each event. Activities will include live entertainment along with approximately 200 arts, crafts and food booths. The Chuta Vista Pet Fest is a family activity held in Memorial Park. The street closure on Third Avenue between F and G Streets is to accommodate a Dog Dash race, followed by pet-oriented entertainment and vendor booths located in Memorial Park. The closure will only be in effect until the Dog Dash is concluded, and non-participants who wish to walk the route will be encouraged to use the sidewalk so the closures can be as short as possible. The closure is scheduled from 7:30 - 10:00 a.m. on Saturday, June 21. The Annual Starlight Yule Parade will be held for the 41st year. For the parade, DBA requests closing Third Avenue between 'D" and '1" streets, "H' Street between Second and Fourth avenues and portions of interseding streets from 3 p.m. - 9 p.m. on Saturday, December 6. RECOMMENDATION That the City Council adopt the resolutions: a) Approving closure of Third Avenue from "E" to 'G' streets and adjacent side streets to the alleyways on May 4, 2003 from 4:00 a.m. - 9:00 p.m. subjed to the provisions and compliance with agreement, waiving prohibition on sidewalk sales, and waiving business license tax for the DBA and vendors taking part in the event; b) Approving the closure of Third Avenue between 'E" and 'F" Streets on June 21, 2003 from 7:30 - 10:00 a.m., waiving the prohibition of sidewalk sales and waiving business license taxes for the Downtown Business Association and vendors for the Chub Vista Pet Fest. c) Approving the closure of Third Avenue from 'E" to "G" streets and adjacent side streets to the alleyway on August 17, 2003 from 4:00 a.m. - 9:00 p.m. subject to the provisions and compliance with agreement, waiving prohibition on sidewalk PAGE 3, ITEM NO.: ~ MEETING DATE: 03/04/03 sales, and waiving business license taxes for the DBA and vendors taking part in the event; d) Approving the closure of Third Avenue between 'D' and '1" streets, 'H' Street between Second and Fourth avenues, and other east-west streets that intersect Third Avenue between 'D' and '1" streets on Saturday, December 6, 2003 for the 41st Annual Starlight Yule Parade subject to the provisions and compliance with agreement; e) Approving the closure of a portion of Center Street from Third Avenue to Del Mar from 3:00 - 8:30 p.m. on Saturday, December 6, 2003, waiving the prohibition on sidewalk sales and waiving business license taxes for the Downtown Business Association for a Craft Fair f) Approving the agreement with the Chula Vista Downtown Business Association for Special Events for 2003 and authorizing Mayor to execute said agreement. BOARDS/COMMISSIONS RECOMMENDATION The Town Centre I Project Area Committee unanimously endorsed the street closures at its meeting of February 19, 2003. DISCUSSION May 4, 2003 - Cinco de Mayo Celebration Au.qust 17, 2003 - Lemon Festival The DBA is requesting the following for the 2002 Cinco De Mayo and 2002 Lemon Festival 1. The closure of Third Avenue between 'E' and "G" streets on Sunday, May 4 and Sunday, August 17, 2003 from 4 a.m. - 9 p.m.; and 2. Allowing sidewalk sales for each event; and 3. A waiver of business license taxes for the DBA and vendors taking part in each event. The closure of Third Avenue will affect the flow of traffic in the downtown area. The DBA will be required to coordinate with the City's Traffic Engineer and prepare a traffic control plan to the Traffic Engineer's specifications. The City's transit system will also be affeded. The Transit Coordinator's staff has agreed to the closure as long as "E" and 'G" streets remain passable for traffic. The DBA is aware of this stipulation and will abide by it. The DBA has requested that the business license tax for promotional events be waived for festivals. The taxes involved include a $5 assessment to the sponsoring organization (DBA) and a requirement that each vendor have a Chub Vista business license (costing $12.50 to each business without a current business license). In the past, the City has waived the business license tax for the DBA and vendors taking part in these events in order to encourage participation. The rationale for waiving the fee is that the festivals attrad thousands of visitors and residents to the Chula Vista downtown and promote the downtown PAGE 4, ITEM NO.: ¥ MEETING DATE: 03/04/03 businesses. The resulting effect will be the generation of additional commercial activity and increased sales tax revenue to the City. Waiving the business license taxes will encourage vendor participation. Since having a large number of vendors will help ensure the success of the events, staff recommends the waiver. Both events include food booths and an alcohol tent. These areas will be operated in accordance with the regulations of the San Diego County Health Department, ABC and City of Chula Vista Fire Department and Police Department. Additional conditions are listed in the agreement between the City and Chula Vista Downtown Business Association. June 21,2003 -The Chula Vista Pet Fest The DBA will be hosting this second annual event at Memorial Park and on Third Avenue between F and G Streets. This family event features contests, entertainment and educational displays related to pet care. It will feature the Dog Dash race along the closed portion of Third Avenue. The event will run between 8:30 a.m. - 2 p.m. and will be alcohol free and is targeted toward families throughout the City. The street closure will be in effect between 7:30 - 10:00 a.m. December 6, 2003 - Starlight Yule Parade The DBA is requesting the closure of Third Avenue between "D' and "1" streets and 'H" Street between Second and Fourth avenues. The parade route will be along Third Avenue between "E" and "H" streets. Other areas of the closure will be used for pre-parade staging, bus parking and parade debarkation. Second and Fourth avenues will remain open to traffic at all times during the event. Chula Vista and San Diego Transit busses will continue to run during the street closure, but they will run on advertised detour routes. The parade is scheduled to begin at 5:30 p.m. and will end no later than 9 p.m. Street closures will be staggered and will begin around 3 p.m. when staging for the parade begins. December 6, 2003 - Craft Fair The DBA is requesting the closure of Center Street between Third Avenue and Del Mar Avenue, plus a portion of Church Street to conduct a craft fair in conjunction with the Starlight Yule Parade. This will be the second year for the event. No complaints or problems arose during the first year event. The DBA will be required to send notices to all businesses and residences located along the parade route. Other conditions of approval include provisions for insurance, a Hold Harmless Agreement, sanitary systems and posting of no parking signs. PAGE 5, ITEM NO.: '~ MEETING DATE: 03/04/03 AGREEMENT Chula Vista Downtown Business Association and the City are entering into an Agreement for the Special Events in 2003. The Agreement provides the City with indemnification for claims arising from these events. Additionally, it incorporates a variety of conditions governing the operation of the events. FISCAL IMPACT The City will incur the administrative costs of processing this request. The DBA has requested that the business license taxes be waived for the events. The tax involved is a fee of $5 to the sponsoring organization (DBA) and a $12.50 tax for each participating vendor not currently having a Chub Vista business license. By waiving this tax, the City will forego approximately $900 in fee for the major events, and less for the smaller ones. Costs for each event are paid by the DBA or, in some instances, shared by City Departments. Costs incurred for individual departments are itemized in their respective budgets. ATTACHMENTS · Agreement J:\COMMDEV~STAFF.REP\O3-05-O2\dbasIreet closures 02.doc RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING CLOSURE OF THIRD AVENUE FROM "E" STREET TO "H' STREETS FOR THE CINCO DE MAYO CELEBRATION ON MAY 4, 2003 FROM 4:00 A.M. - 9:00 P.M., WAIVING PROHIBITION ON SIDEWALK SALES, AND WAiVING BUSINESS LICENSE TAXES FOR DOWNTOWN BUSINESS ASSOCIATION AND VENDORS PARTICIPATING IN EVENT WHEREAS, the City Council of the City of Chula Vista established a Business Improvement Area on November 16, 1971, which created the Chula Vista Downtown Business Association ("DBA"); and WHEREAS, the DBA has requested to close Third Avenue from "E' to "H' Streets including adjacent side streets to the alleyway in order to conduct the Cinco de Mayo Celebration on May 4, 2003 from 4:00 a.m. 9:00 p.m.; and WHEREAS, the DBA has requested a waiver of'the City's prohibition on sidewalk sales so that the DBA can conduct the 2003 Cinco de Mayo celebrations; and WHEREAS, the DBA has also requested a waiver of the Business License Tax for promotional events for the DBA and vendors participating in the 2003 Cinco de Mayo celebrations. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the closure of Third Avenue from "E" Street to "H' Streets from 4:00 a.m.- 9:00 p.m. on May 4, 2003, for the purpose of the DBA conducting the 2003 Cinco de Mayo celebrations. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista approves the requested waiver of the City's prohibition on sidewalk sales so that the DBA can conduct the 2003 Cinco de Mayo celebrations. BE 1T FURTHER RESOLVED that the City Council of the City of Chula Vista approves the requested waiver of the City's Business License Tax fbr the Downtown Business Association and all vendors participating in the 2003 Cinco de Mayo celebrations on May 4, 2003. Presented by App~rpved as to form by Laurie M. Madigan (3~ey~fir''/]//'/ffff-~ Community Development Director J :\COM M DEV:~RESOS\03cmco doc RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF' THE CITY OF CHULA VISTA APPROVING CLOSURE OF THIRD AVENUE BETWEEN F AND G STREETS FROM 7:30 A.M. I0:00 A.M. ON SATURDAY, JUNE 21, 2003 AND WAIVING THE PROHIBITION ON SIDEWALK SALES AND WAIVING BUSINESS L1CENSE TAXES TO THE DOWNTOWN BUSINESS ASSOCIATION AND VENDORS FOR THE SECOND ANNUAL CHULA VISTA PET FEST WHEREAS, the City Council of the City of Chula Vista established a Business Improvement Area on November 16, 1971, which created the Chula Vista Downtown Business Association ("DBA"); and WHEREAS, the DBA has requested the closure of Third Avenue between F and G Streets from 7:30 - 10:00 a.m., a waiver of the prohibition of sidewalk sales and a waiver of the business license tax to hold the Chula Vista Pet Fest on Saturday, June 21, 2003; and WHEREAS, the Chula Vista Pet Fest will promote the Downtown area with a family event and is a benefit to the Community. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista authorizes the closure of Third Avenue between F and G Streets from 7:30 a.m. and 10:00 a.m. on Saturday, June 21,2003 for the Downtown Business Association to conduct the Atmuai Chula Vista Pet Fest. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby waive the prohibition on sidewalk sales; BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby waive the business license tax for the Downtown Business Association and vendors to conduct the Annual Chula Vista Pet Fest on June 21,2003. Presented by Approved as to form by Laurie J. Madigan " Community Development Director A'~y At~o°~e; ~a) J:\COM M DEV\RESOS\O3-petfizst doc RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CiTY OF CHULA VISTA APPROVING CLOSURE OF THIRD AVENUE FROM "E" TO "H' STREETS FOR THE CHULA VISTA THIRD AVENUE LEMON FESTIVAL ON AUGUST 17, 2003 FROM 4:00 A.M. - 9:00 P.M., WAIV1NG PROHIBITION ON SIDEWALK SALES, AND WAIVING BUSINESS LICENSE TAXES FOR DOWNTOWN BUSINESS ASSOCIATION AND VENDORS PARTICIPATING IN EVENT WHEREAS, the City Council of the City of Chula Vista established a Business Improvement Area on November 16, 1971, which created the Chula Vista Downtown Business Association ("DBA"); and WHEREAS, the DBA has requested to close Third Avenue from "E" to "H" Streets including adjacent side streets to the alleyway in order to conduct the Lemon Festival on August 17, 2003 from 4:00 a.m. - 9:00 p.m.; and WHEREAS, the DBA has requested a waiver of the City's prohibition on sidewalk sales so that the DBA can conduct the 2003 Lemon Festival; and WHEREAS, the DBA has also requested a waiver of the Business License Tax for promotional events for the DBA and vendors participating in the 2003 Lemon Festival. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the closure of Third Avenue from "E" to "H" Streets from 4:00 a.m. 9:00 p.m. on August 17, 2003, for the purpose of the DBA conducting the 2003 Lemon Festival. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista approves the requested waiver of the City's prohibition on sidewalk sales so that the DBA can conduct the 2003 Lemon Festival. BE iT FURTHER RESOLVED that the City Council of the City of Chula Vista approves the requested waiver of the City's Business License Tax for the Downtown Business Association and all vendors participating in the 2003 Lemon Festival on August 17, 2003. Presented by Approved as to form by Laurie J. Madigan Community Development Director tt~ey J:',COM M D[ V\RFSOS,,031emonl~st doc RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING CLOSURE OF THIRD AVENUE FROM "D" STREET TO 'T' STREET AND "H" 'BETWEEN SECOND AND FOURTH AVENUES, AND PORTIONS OF INTERSECTING STREETS ON DECEMBER 6, 2003, FOR THE 41st ANNUAL STARLIGHT YULE PARADE SUBJECT TO CONDITIONS WHEREAS, the City Council of the City of Chula Vista established a Business Improvement Area on November 16, 1971, which created the Chula Vista Downtown Business Association ("DBA"); and WHEREAS, the DBA has requested the temporary closure of Third Avenue between "D" and "I" Streets, "H" Street between Second and Fourth Avenues, and all other east-west streets that intersect Tbird Avenue between "D" and 'T' Streets to the nearest point of detour to Third Avenue to conduct the annual Starlight Yule Parade on Saturday, December 6, 2003; and WHEREAS, the Starlight Yule Parade has been a Downtown and City tradition for 41 years and the City Council finds that the parade is a benefit to the Community. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the closure of Third Avenue from "D' Street to 'T' Street and "H" Street between Second and Fourth Avenues, and portions of intersecting streets on December 6, 2003 for the 41 ~t Annual Starlight Parade subject to conditions. Presented by Approved as to form by Laurie J. Madigan C~y A tom~n~t°°mey Community Development Director I \COM M DI V\RESOS\03-yuleparadc doc COUNCIL RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING CLOSURE OF A PORTION OF CENTER STREET BETWEEN THIRD AVENUE AND DEL MAR AVENUE FROM 3:00 P.M. - 9:00 P.M ON SATURDAY, DECEMBER 6, 2003 AND WAIVING THE PROHIBITION ON SIDEWALK SALES AND WAIVING BUSINESS LICENSE FEES TO THE DOWNTOWN BUSINESS ASSOCIATION AND VENDORS FOR THE PURPOSES OF HOLDING A CRAFT FAIR DURING THE STARLIGHT YULE PARADE WHEREAS, the City Council of the City of Chula Vista established a Business Improvement Area on November 16, 1971, which created the Chula Vista Downtown Business Association ("DBA"); and WHEREAS, the DBA has requested the temporary closure of portions of Center Street from Third Avenue to Del Mar Avenue and the waiver of business license fees for the purpose of holding a craft fair during the annual Starlight Yule Parade on December 6, 2003; and WHEREAS, the Starlight Yule Parade has been a Downtown and City tradition for 41 years and the City Council finds that the parade is a ber~efit to the Community; NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the closure of portions of Center Street between Third Avenue and Del Mar Avenue from 3:00 p.m. - 9:00 p.m. on Saturday, December 6, 2003. BE IT FURTHER RESOLVED the City Council of the City of Chula Vista hereby waives the prohibition on sidewalk sales. BE IT FURTHER RESOLVED the City Council of the City of Chula Vista hereby waives business license fees to the Downtown Business Association and vendors for the purpose of holding a craft fair during Starlight Yule Parade. Presented by Approved as to form by Laurie J. Madigan '~'"~--~~r~c~¢'~, ,o ore Director of Community Development u. AS/AEorney J:\COMMDEV\RESOS\cc-yule craft fair.doc RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AGREEMENT BETWEEN CITY OF CHULA VISTA AND CHULA V1STA DOWNTOWN BUSiNESS ASSOCIATION FOR SPECIAL EVENTS FOR 2003 AND AUTHORIZiNG THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, the City Council of the City of Chula Vista established a Business Improvement Area on November 16, 1971, which created the Chula Vista Downtown Business-Association ("DBA"); and WHEREAS, the DBA has requested to close Third Avenue from "E" to "H" Streets including adjacent side streets to the alleyway in order to conduct Special Events throughout 2003. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the Agreement between the City of Chula Vista and Chula Vista Downtown Business Association for Special Events for 2003, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized to execute said Agreement for and on behalf of the City of Chula Vista. Presented by Approved as to form Laurie M. Madigan ~/*~ '~ooor'~e/~-~'~ ? Community Development Director 7 '~y ~tomey I:\('OM M I)I~V\R[ SOS\CV DBA Ag~ ccmenl THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL AGREEMENT BETWEEN CITY AND CHULA VISTA DOWNTOWN BUSINESS ASSOCIATION FOR SPECIAL EVENTS FOR 2003 AGREEMENT between CITY OF CHULA VISTA and Chula Vista Downtown Business Association for Special Events for 2003 1. Indemnification. In consideration of, and as a condition to, the City of Chula Vista approval of the Cinco de Mayo Celebration, Pet Fest, Lemon Festival, Starlight Yule Parade and Craft Fair (collectively, "Special Events") for 2003, the Chula Vista Downtown Business Association (hereinafter "CVDBA") shall defend, indemnify, protect and hold harmless the City of Chula Vista and Redevelopment Agency of the City of Chula Vista, their respective agents, elected and appointed officers and employees (hereinafter collectively referred to as "City"), from and against all claims for damages, liability, cost and expense (including, without limitation, attorney's fees) arising out of the conduct of the CVDBA, or any agent, officer employee, subcontractor, or other person acting on behalf of the CVDBA in connection with the Special Events to be held in 2003, except for those claims, damages, liability, costs and expenses (including without limitations, attorneys fees) arising from the sole negligence or sole willful misconduct of the City. CVDBA shall also defend, indemnify, protect and hold harmless the City from liability arising from, connected with, caused by or claimed to be caused by the active or passive negligent acts or omissions of the City which may be in combination with the active or passive negligent acts or.missions of the CVDBA, its employees, agents or officers, or any third party. CVDBA indemnification shall include any and all costs, expenses, attorneys fees and liability incurred by the City in defending against such claims, whether the same proceed to judgment or not. CVDBA's obligations under this Agreement shall not be limited by any prior or subsequent declaration by the CVDBA. CVDBA's duties under this Agreement shall survive a decision by either party to terminate the other obligations associated with the Special Events to be held in 2003. 2. Conditions of Operations. CVDBA shall comply with the Conditions of Approval identified in Attachment 1. 3. Insurance, The Downtown Business Association must provide, 10 days prior to the Special Event, evidence of general liability insurance in the amount of $1 million in the form of a certificate of insurance and policy endorsement satisfactory to the City, naming the City of Chula Vista and the Chula Vista Redevelopment Agency as additional insured. Executed this ~-~ day of J~.~,.~.. 2003 in the City of Chula Vista, California. CVDBA CITY OF CHULA VISTA Attest City Clerk APPROVED AS TO FORM BY: Ann Moore, City Attorney J :\attomey\agree\CVDBA ATTACHMENT 1 CONDITIONS OF APPROVAL FOR CHULA VISTA THIRD AVENUE CINCO DE MAYO CELEBRATION 1. The DBA shall provide for adequate traffic and crowd control, as determined by the City's Traffic Engineer and Police Department. 2. The DBA shall provide adequate litter control during and after the event, including professional street sweeping. 3. The DBA shall notify all property owners and tenants (including businesses and residents) that will be affected by the street closure. The notification must be sent by first class mail at least seven days prior to the event date. 4. The DBA will be responsible for measures to insure that the noise generated by the event's activities does not reach an excessive level. The DBA will undertake the following measures in order to implement this condition: a. DBA shall continually monitor noise levels of performing bands, stereos, and other sound-emitting devices and will make adjustments as needed. b. A plan showing the location of the performing stages will be submitted for Community Development staff review and approval prior to the event. c. All band performances shall be limited to the hours of 10 a.m. and 6 p.m~ 5. In order to meet the requirement of the Fire Marshal, the alleyways between "E" Street and "G" Street, east and west of Third Avenue, shall remain open and unobstructed for the purpose of fire apparatus access in the event of an emergency. The Fire Marshal has required that all food cooking vendors have a 2A10BC-type fire extinguisher readily available in their booths. 6. In order to meet the requirements of the Fire Marshal and the Transit Division, "E" and "G" Streets must remain open to traffic. 7. The Downtown Business Association must provide, 10 days prior to the Festival, evidence of general liability insurance in the amount of $1 million, in the form of a certificate of insurance and policy endorsement satisfactory to the city, naming the City of Chula Vista and the Chula Vista Redevelopment Agency as additional insured. 8. The Downtown Business Association must execute an agreement to hold the City harmless from any liability stemming from Festival activities in the street. 9. The Downtown Business Association shall obtain a temporary license from the ABC for the sale of beer and shall comply with all requirements set forth in the license and by the Chula Vista Police Department. 10. The location of the food and beverage tents shall be approved by the Police and Fire Department at least 30 days prior to the event. 11. Sales, service and consumption of alcoholic beverages shall be permitted in the areas designated on the ABC application diagram. Persons may not take alcoholic beverages from the designated area nor shall persons be allowed to bring alcoholic beverages into the designated area. 12. Applicant shall provide one (1) security person at each public entrance and exit for each area noted in condition #11 and one (1) security person at each bar. Said security persons must wear distinctive apparel and be present in the area where consumption is taking place at all times that the license privileges are being exercised. 13. The security persons will prevent people from carrying alcoholic beverages outside the designated area as well as preventing people from bringing alcoholic beverages into the designated area as noted in condition 11. The security persons will verify the age of each person who wishes to purchase or consume alcoholic beverages. That person will be issued a distinctive wristband. No persons will be allowed to purchase or possess alcoholic beverages without a wristband. 14. Alcoholic beverages may only be sold in distinctive paper, plastic, or Styrofoam cups and no other containers may be used for the dispensing of alcoholic beverages. 15. All persons serving or dispensing alcoholic beverages must be at least 21 years of age. 16. No more than two (2) alcoholic beverage containers may be purchased by any one person at any one time. 17. Cup size for alcoholic beverages shall not exceed 16 ounces. 18. Signs must be posted indicating "No one under 21 years of age allowed" in the bar area. No signs are required at the food court. No persons under 21 years of age may be allowed in the bar area. The food court will be open to persons of all ages. If no food service is available inside the food court, it will be considered a bar area, and no persons under 21 years of age may be present. 19. A three foot tall fence must separate the bar area and food court from other public areas. CONDITIONS OF APPROVAL FOR CHULA VISTA THIRD AVENUE LEMON FESTIVAL CELEBRATION 1. The DBA shall provide for adequate traffic and crowd control, as determined by the City's Traffic Engineer and Police Department. 2. The DBA shall provide adequate litter control during and after the event, including professional street sweeping. 3. The DBA shall notify all property owners and tenants (including businesses and residents) that will be affected by the street closure. The notification must be sent by first class mail at least seven days prior to the event date. 4. The DBA will be responsible for measures to insure that the noise generated by the event's activities does not reach an excessive level. The DBA will undertake the following measures in order to implement this condition: a. DBA shall continually monitor noise levels of per[orming bands, stereos, and other sound-emitting devices and will make adjustments as needed. b. A plan showing the location of the performing stages will be submitted for Community Development staff review and approval prior to the event. c. All band per[ormancas shall be limited to the hours of 10 a.m. and $ p.m. 5. In order to meet the requirement of the Fire Marshal, the alleyways between "E" Street and "G" Street, east and west of Third Avenue, shall remain open and unobstructed for the purpose of fire apparatus access in the event of an emergency. The Fire Marshal has required that all food cooking vendors have a 2A10BC-type fire extinguisher readily available in their booths. 6. In order to meet the requirements of the Fire Marshal and the Transit Division, "E" and "G" Streets must remain open to traffic. 7. The Downtown Business Association must provide, 10 days prior to the Festival, evidence of general liability insurance in the amount of $1 million, in the form of a certificate of insurance and policy endorsement satisfactory to the city, naming the City of Chula Vista and the Chula Vista Redevelopment Agency as additional insured. 8. The Downtown Business Association must execute an agreement to hold the City harmless from any liability stemming from Festival activities in the street. 9. The Downtown Business Association shall obtain a temporary license from the ABC for the sale of beer and shall comply with all requirements set forth in the license and by the Chula Vista Police Department. 10. The location of the food and beverage tents shall be approved by the Police and Fire Department at least 30 days prior to the event. 11. Sales, service and consumption of alcoholic beverages shall be permitted in the areas designated on the ABC application diagram. Persons may not take alcoholic beverages from the designated area nor shall persons be allowed to bring alcoholic beverages into the designated area. 12. Applicant shall provide one (1) security person at each public entrance and exit for each area noted in condition #11 and one (1) security person at each bar. Said security persons must wear distinctive apparel and be present in the area where consumption is taking place at all times that the license privileges are being exercised. 13. The security persons will prevent people from carrying alcoholic beverages outside the designated area as well as preventing people from bringing alcoholic beverages into the designated area as noted in condition 11. The security persons will verify the age of each person who wishes to purchase or consume alcoholic beverages. That person will be issued a distinctive wristband. No persons will be allowed to purchase or possess alcoholic beverages without a wristband. 14. Alcoholic beverages may only be sold in distinctive paper, plastic, or Styrofoam cups and no other containers may be used for the dispensing of alcoholic beverages. 15. All persons serving or dispensing alcoholic beverages must be at least 21 years of age. 16. No more than two (2) alcoholic beverage containers may be purchased by any one person at any one time. ~ 17. Cup size for alcoholic beverages shall not exceed 16 ounces. 18. Signs must be posted indicating "No one under 21 years of age allowed" in the bar area. No signs are required at the food court. No persons under 21 years of age may be allowed in the bar area. The food court will be open to persons of all ages. If no food service is available inside the food court, it will be considered a bar area, and no persons under 21 years of age may be present. 19. A three foot tall fence must separate the bar area and food court from other public areas. CONDITIONS OF APPROVAL FOR CHULA VISTA THIRD AVENUE STARLIGHT YULE PARADE 1. The DBA shall provide for adequate traffic and crowd control, as determined by the City's Traffic Engineer and Police Department. 2. The DBA shall provide adequate litter control during and after the event, including professional street sweeping. 3. The DBA shall notify all property owners and tenants (including businesses and residents) that will be affected by the street closure. The notification must be sent by first class mail at least seven days prior to the event date~ 4~ The Downtown Business Association must provide, 10 days prior to the Festival, evidence of general liability insurance in the amount of $1 million, in the form of a certificate of insurance and policy endorsement satisfactory to the city, naming the City of Chula Vista and the Chula Vista Redevelopment Agency as additional insured. 5. The Downtown Business Association must execute an agreement to hold the City harmless from any liability stemming from Festival activities in the street. -/9 COUNCIL AGENDA STATEMENT ITEM ~ MEETING DATE 03~04~03 ITEM TITLE: RESOLUTION Adopting a Health Insurance Portability and Accountability Act (HIPAA) Privacy Policy and amending the City of Chula Vista Cafeteria Benefits Plan for 2003 to incorporate the policy SUBMITTED BY: DIRECTOR OF HUMAN RESOURCES ~f~ j REVIEWED BY: CITY MANAGER ~'~ (4/5th Vote: Yes No X) The Health Insurance Portability and Accountability Act of 1996 Privacy Policy regulates the City's use and disclosure of protected health information (PHI) obtained during the City's self-administration of Flexible Spending Accounts (FSA). HIPAA further requires that by April 14, 2003, privacy rights be included in Cafeteria Plan documents. This amendment to the City's Cafeteria Benefit Plan Document for Year 2003 spells out the City's policy and meets the HIPAA's requirement. RECOMMENDATION: That Council adopt the resolution amending the Plan document. BOARD/COMMISSION RECOMMENDATION: N/A DISCUSSION: On December 10, 2002, the City Council approved the Cafeteria Benefits Plan for Year 2003 in compliance with Internal Revenue Service (IRS) guidelines in effect at that time. Subsequently, the guidelines regarding compliance with Health Insurance Portability and Accountability Act of 1996 (HIPAA) privacy legislation were issued. To comply with the HIPAA Privacy Policy, the City is required to establish its own policy and procedures and those policies and procedures must be incorporated in the Cafeteria Benefits Plan Document. The privacy regulations include three core requirements: [] A covered entity must obtain specific authorization for most uses or disclosures of protected health information other than use and disclosure for treatment, payment and health care operations. ~ Plan participants must be able to access their records and request changes to their authorization for release of PHI, and they have the right to receive an accounting of discloure made other than for treatment, payment and health care operations. [] A covered entity must implement written privacy procedures and appropriate safeguards of PHI. C:\My Documents~AGENDA STATEMENT~I 13\2003cafeteriaplanA113 REV.doc Page 1 of 2 Because the City's Flexible Spending Accounts are self-administered, all Protected Health Information that are obtained from participants through the City's administration of our Health Care Flexible Spending Accounts are subject to administrative requirements of the HIPAA Privacy Policy. Policy and procedures have been developed and are incorporated on pages 8 - 13 of the attached amended City of Chula Vista Cafeteria Benefits Plan, Year 2003, The City recognizes the importance of protecting confidential health care information and will ensure full compliance. FISCAL IMPACT: Failure to comply with HIPAA administrative requirements may result in civil and criminal penalties imposed by the Department of Health and Human Services (DHHS). Civil Penalties DHHS may impose a civil penalty of up to $100 per type of violation, not to exceed $25,000. Criminal Penalties If a person knowingly disclosed protected health information, penalties may include a fine of not more than $50,000, imprisonment of not more than one (1) year, or both. ~ If the offense is under false pretenses, a fine not to exceed $100,000, imprisonment of not more than five (5) years, or both. ~ If the offense is with intent to sell, transfer or use individually identifiable health information for commercial advantage, personal gain, or malicious harm, a fine of up to $250,000, imprisonment of up to ten (10) years, or both. Attachments: A- Amended City of Chula Vista Cafeteria Benefits Plan 2003 C:\My Documents~AGENDA STATEMENT~,113\2003cafetedaplanA113 REV.doc Page 2 of 2 '7-2 RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING A HEALTH INSURANCE PORTABILITY AND ACCOUNTABILITY ACT (HIPAA) PRIVACY POLICY AND AMENDING THE CITY OF CHULA VISTA CAFETERIA BENEFITS PLAN FOR 2003 TO INCORPORATE THE POLICY WHEREAS, the Health Insurance Portability and Accountability Act of 1996 (HIPAA) Privacy Policy regulates the City's use and disclosure of protected health information (PHI) obtained during the City's self-administration of Flexible Spending Accounts; and WHEREAS, H1PAA further requires that by April 14, 2003, privacy rights be included in Cafeteria Plan documents; and WHEREAS, the Amendment to the City's Cafeteria Benefit Plan for Year 2003, attached hereto as Attachment A and incorporated herein by reference as if set forth in full, delineates the City's policy and meets the HIPAA's requirement. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby adopt a Health Insurance Portability and Accountability Act Privacy Policy, as set forth in Attachment A. BE IT FURTHER RESOLVED that the City of Chula Vista Cafeteria Benefits Plan for 2003 is hereby amended to incorporate the policy. Presented by Approved as to form by Marcia A. Raskin ~nn Y. Mo;r Director of Human Resources City Attorney City of Chula Vista CAFETERIA BENEFITS PLAN YEAR 2003 (Revised 04/01/2003) C:\My Documents~AGENDA STATEMENT~2003 Plan Document Revised.doc Page 1 of 13 City of Chula Vista Cafeteria Benefits Plan This is a Cafeteria Plan of benefits for City of Chula Vista employees and is intended to qualify under Section 125 of the Internal Revenue Code. ELIGIBILITY FOR PARTICIPATION This Plan is for the exclusive benefit of employees of the City of Chula Vista. Eligible employees are defined as individuals who are: 1. Directly employed by the City of Chula Vista, and 2. Working in a half time, three quarter time or full time benefit status. Hourly employees are not eligible for this plan except for School Site Coordinators under the STRETCH Program. Coverage under Family and Medical Leave Act Employees who are on approved leave, with or without pay, under the provisions of the Family Medical Leave Act (FMLA), are entitled to full access to their flexible benefit plan during their absence. If an employee fails to return to work after such leave for any reason other than the serious illness of the employee or the family member for whom the leave was granted or through no fault of the employee, they will be required to pay all flexible benefit plan monies paid to them, or on their behalf during the absence. Coverage While on Leave of Absence with Benefits Employees who are authorized to take leave with benefits (e.g., Military Leave as approved by the City Council and disability leave pursuant to memoranda of understanding provisions) will continue to be covered under the flexible benefit plan until expiration of leave. Employees who are on an approved unpaid leave of absence for their own disability or illness, beyond the 12 weeks allowed under the FMLA will continue to have their health insurance and their basic life insurance premiums paid by their Flexible Benefit Plan. Coverage While on Leave of Absence without Benefits The City of Chula Vista does not pay for an employee' s benefits if the employee is in an unpaid status for any reason than those indicated above. The employee may choose to continue their health, and certain optional benefits coverage at their own cost through the COBRA continuation plan until they return to work or for the designated length of time as determined by the City of Chula Vista. If the premiums are not paid, the coverage will be canceled the first day of the month following the employee's last paid time. Coverage will C:\My Documents~AGENDA STATEMENT~2003 Plan Document Revised.doc Page 2 of 13 be reinstated immediately upon the employee' s return to work, or the first of the month after their return if premiums were not paid during the employee' s absence. PLAN YEAR The Plan Year is from January 1 to December 31 of each year. ELECTIONS Election of benefits must occur during the open enrollment period prior to the start of each Plan Year or, in the case of a newly hired employee, within 30 days from eligibility date. Enrollment Forms Elections must be made in writing on forms/worksheets provided by the Risk Management Division. An authorization form must be signed by employees to allow for necessary deductions from their paychecks to provide the benefit coverage selected. In addition to the benefit election form (if applicable), the employee must also complete and sign all appropriate applications and enrollment forms for the specific benefits selected. Default Enrollment If an employee fails to complete the election of benefits prior to the start of the Plan Year, that employee will automatically be enrolled in their previous year's Health Insurance Plan (including any dependent health offset). If not available, Risk Management will enroll the employee in a comparable plan. The remainder of the annual allotment will be placed in the Cash Payment. In the case of a new hire or newly eligible employee, failure to turn in the completed forms within 30 days from eligibility date will result in automatic enrollment in the least costly health plan made available by the City and the remaining funds will be placed in the taxable Cash Payment option. Effective Date of Coveraqe The elections are effective for the period of January 1 to December 31 of each year or, for employees hired after January 1 of a Plan Year, for the remainder of the Plan Year following eligibility date. Benefits are prorated for employees hired after January 1 of each Plan Year. Termination of Coverage Upon Separation Benefits terminate at the time an employee terminates employment except for health and dental, which terminate on the last day of the month in which the employee terminates his/her employment. An eligible employee who terminates and is rehired within 30 days will be reinstated to his or her prior benefit elections at termination unless another qualifying event has occurred that allows a change. An employee who is reinstated after 30 days may make new C:\My Documents~AGENDA STATEMENT~2003 Plan Document Revised.doc Page 3 of 13 elections. Qualified Change in Family Status Elections are irrevocable except to accommodate changes in family status as defined in the Income Tax Regulations, 26 CFR Part 1, or to accommodate any significant curtailment or reduction of coverage under any given benefit plan, or in the case of any significant premium increase or decrease imposed by a third-party insurer. Participants who experience a change in family status may be allowed to change or revoke elections. Several examples, although not all inclusive, of the types of events that constitute a change in family status are as follows: [] The marriage, legal separation or divorce of the employee [] The birth or adoption of a child The death of the employee's spouse or dependent [] Court-order with specific requirement to cover dependent [] Significant cost change or coverage change Termination or commencement of employment by employee's spouse [] Unpaid leave of absence by the employee or the employee's spouse Changes are also permitted in the event of significant changes in health coverage of the employee or the employee' s spouse that are related to the spouse' s employment or are subject to the Special Enrollment Period as described in the Health Insurance and Portability and Accountability Act (HIPAA). Changes to benefit elections will be permitted only to the extent that they are consistent with and appropriate to the reason the change is requested. Proof will be required for all changes in family status. The employee must submit the request to change plan benefits within 30 days of the change in family status to Risk Management. If the request is made after 30 days, the change must wait until the next open enrollment period. CONTRIBUTIONS Employer contributions are a fixed amount provided by the City to each eligible employee on a non-elective basis. Salary reduction agreements are provided for in this Plan for Health Insurance premiums in excess of the employer's contributions. In the event payroll deductions for reimbursement accounts are selected and subsequently stopped due to an eligible family status change, the reactivation of the account will not be permitted until the next plan year if elected during open enrollment. C:\My Documents~AGENDA STATEMENT~003 Plan Document Revised.doc Page 4 of 13 FLEXIBLE ALLOTMENTS Eligible employees are allotted funds based on their bargaining groups. These amounts prorated for non-full-time unclassified or unrepresented employees. The allotments are as follows: UNIT AMOUNT Confidential $7,904 CVEA $6,904 Executive $10,804 Level 1 $2,593 IAFF Level 2 $4,830 Level 3 $6,552 Middle Managers $6,404 Level 1 $2,552 POA Level 2 $4,723 Level 3 $6,511 Senior Managers $9,404 WCE $8,404 Mayor $10,804 Councilmembers $7,202 BENEFIT PLANS All eligible employees participate in the Flexible Benefits Plan. Each employee must select one health insurance coverage, unless married to another City employee and are covered under the spouse' s policy. The Mayor and Councilmembers have the option to waive medical insurance coverage. All employees except those represented by IAFF, POA and WCE, the Mayor and Councilmembers must elect the premium for $3,000 in life insurance coverage currently $7.00 per year. The options in this plan are as follows: 1. Health Insurance a. Kaiser Permanente Health Plan b. PacifiCare PPO Plan C:\My Documents~AGENDA STATEMENT~2003 Plan Document Revised,doc Page 5 of 13 c. PacifiCare (HMO) Low Option d. PacifiCare (HMO) High Option e. Spouse of City employee coverage 2. Dental Insurance a. Delta PMI (HMO) b. Delta PPO (PPO) c. AmexUs (HMO) 3. Life Insurance a. $3,000 * · Note: Does not apply to POA, IAFF, WCE, Mayor or Councilmembers 3. Remaining money may be used for: 1. Dependent health insurance 2. Employee and/or dependent group dental insurance 3. Cash Payment (taxable) 4. Dental/MedicaINision reimbursement 5. Dependent/Child Care (daycare) reimbursement Each of these benefits is described in more detail in the Summary Highlights of Employee Benefits and in the respective Plan Documents or insurance contracts, which are incorporated here by reference. C:\My Documents~AGENDA STATEMENT~2003 Plan Document Revised.doc Page 6 of 13 BASIC LIFE INSURANCE AND ACCIDENTAL DEATH AND DISMEMBERMENT (AD&D) The City provides group term life insurance and AD&D at no cost to employees except for $3,000 of the group term insurance premium, which is deducted from the Flex Allotment. For employees represented by WCE, POA, IAFF, including Council Members and the Mayor, there will be no basic life premium deducted from the Flex Allotment. Basic Life Insurance coverage is based on employee groups as follows: City Paid Employee Groups Coverage City Council Members $50,000 Mayor $50,000 Confidential $20,000 CVEA $20,000 Executive Management $50,000 IAFF $10,000 Mid-Managers $50,000 POA $10,000 Senior Management $50,000 WCE $10,000 In addition to basic life insurance, an employee may elect to purchase additional life insurance at group rates. Premiums are deducted from the employee's paycheck. FLEXIBLE SPENDING ACCOUNTS Flexible Spending Account (FSA) is a way to pay eligible health and dependent care expenses with tax-free dollars. An eligible employee may set aside money on a pre-tax basis from the Flex Allotment and/or from his/her paycheck to fund FSA accounts as follows: · Cafeteria Dental/Medical/Vision (D/M/V) Spending Account; · Cafeteria Dependent/Child Care Spending Account; · MyFund Dental/Medical/Vision (D/M/V) Spending Account; and/or · MyFund Dependent/Child Care Spending Accounts When the employee incurs an eligible expense, the employee may submit a claim form to Human Resources for reimbursement. An eligible employee may elect up to $2,500 for a Payroll Deduction (MyFund) Dental/Medical/vision (D/M/V) Spending Account. Single or married (filing a joint return), eligible employees may also set aside up to $5,000, from all sources, per plan year for a Payroll Deduction (MyFund) Dependent/Child Care Reimbursement Account. A married employee filing returns separately may set aside up to $2,500 per plan year. C:\My Documents~AGENDA STATEMENT~2003 Plan Document Revised.doc Page 7 of 13 '7-/o C:\My Documents~AGENDA STATEMENT~003 Plan Document Revised.doc Page 8 of 13 -7-/t C:\My Documents~AGENDA STATEMENT~.003 Plan Document Revised.doc Page 9 of 13 C:\My Documents~AGENDA STATEMENT~.003 Plan Document Revised.doc Page 10 of 13 C:\My Documents~AGENDA STATEMENT~003 Plan Document Revised.doc Page 11 of 13 CONSTRUCTION If the plan contains contradictory provisions or if there appears to be a conflict between its provisions, the following rules apply: a. The interpretation that favors the Plan as a tax-free plan over any interpretation that might render the Plan taxable. b. Subject to paragraph (a), the rules established by the Supreme Court of California for the construction of like instruments will apply. PLAN PARTICIPATION RIGHTS As a participant in the plan, you are entitled to examine, without charge, at the Plan Administrator' s office all plan documents including insurance contracts; obtain copies of all Plan Documents (at a reasonable cost) and other Plan information upon request to the Administrator. PLAN IS NOT AN EMPLOYMENT CONTRACT This plan document is not a contract of employment. Neither the creation of the Plan nor any amendment to it gives any legal or equitable right to any person against the employer. Participation in the Plan does not give any member any right to continued employment. PLAN ADMINISTRATOR The Plan Administrator is the Risk Manager of the Human Resources Department or his/her designees. The address of the Plan Administrator is: 276 Fourth Avenue Chula Vista, CA 91910 Telephone: (619) 691-5096 C:\My Documents~AGENDA STATEMENT~003 Plan Document Revised.doc Page 12 of 13 PLAN AMENDMENT OR TERMINATION The City of Chula Vista reserves the right to amend the Plan from time to time if deemed necessary or appropriate to meet the requirements of the Internal Revenue Code and any similar provision of subsequent revenue or other laws or pursuant to negotiations with the Employee groups; provided that no such modification or amendment shall make it possible for any benefit contributions or payment to be used for, or directed to purposes other than for the exclusive benefit of participating employees and their beneficiaries under the Plan. The City reserves the right to discontinue or terminate the Plan at the end of any Plan Year or in accordance with negotiations with the Employee Groups. Any such amendment, discontinuance or termination shall be effective on January 1 of any given year or such date that is agreed upon by the City and Employee Groups. No amendment, discontinuance or termination shall allow the return of funds to the City or the use of any funds for any purpose other than for the exclusive benefit or participating employees and their beneficiaries. C:\My Documents~AGENDA STATEMENT~.003 Plan Document Revised.doc Page 13 of 13 COUNCIL AGENDA STATEMENT ITEM MEETING DATE: March 4, 2003 ITEM TITLE: Resolution renaming the City of Chula Vista Public Works Center the "John Lippitt Public Works Center", in honor of recently retired Director of Public Works, John Lippitt. SUBMITTED ]BY: City Manager~f (4/Sths Vote: YES__NO X ) RECOMMENDATION: That Council approve thc renaming thc City of Chnla Vista Public Works Center thc "John Lippitt Public Works Center", in honor of recently retired Director of Public Works, John Lippitt. BOARD/COMMISSION RECOMMENDATION: N/A DISCUSSION: On December 27, 2002, after twenty-seven (27) years of service to the City of Chula Vista, John Lippitt, Director of Public Works retired from City employment. During the period of John's service, which started in June of 1975 when he was appointed to the position of Assistant Director of Public Works, the City has been recognized as a leader in the public works arena. John was promoted to City Engineer in July of 1978 and to Director of Public Works in 1985. During the course of John's tenure with the City, the population of the City has grown from a population of 76,000 to approximately 200,000. During those years, John participated in and oversaw tremendous expansions of all of the City's infrastructure systems. The residents and businesses of the City are now served with well-planned, well-maintained and efficient streets, sewers, drainage facilities, parks and municipal buildings that are not only meeting the present needs of the City but will meet the needs of the growing population of the City. Under John's watch, the City instituted various financial, planning and maintenance programs for infrastructure that become models not only in the San Diego area but nationwide. John championed many vital projects that have improved the quality of life for the citizens of the Chula Vista and have also made significant contributions to the quality of the natural environment that we all share. From a comprehensive open space maintenance program to significant drainage and flood control projects to a municipal sewerage system that is second to none, John's contributions to the preservation and enhancement of the natural environment cannot be overstated. Beyond the many physically viewable accomplishments of John's career in Chula Vista, perhaps the most important and lasting impact he will leave on the City is the quality of his public service in terms of personal integrity and dedication. Regardless of the subject, the City could always rely on the fact that John would approach it from the perspective of What's best for the City. Page 2, Item: (~ Meeting Date: 3/4/03 John would provide a reasoned, fair and objective analysis of any issue and its impacts to the City. Proof of this is not only the quantity and quality of his accomplishments but also the quality of the staff that he has attracted to the City and their dedication to provide the highest possible quality public service to Chula Vista. John leaves the City in the enviable position of having a tremendously talented and dedicate group of public works employees both on the engineering side and infrastructure maintenance side that will serve this City well for many years to come. In the last few years of John's tenure, the City embarked on the process of constructing a new Public Works maintenance facility. For many years, the infrastructure maintenance activities of the City were headquartered at the City's Corporation Yard on F Street. As the City has grown, particularly in the past five (5) years, it became abundantly clear that the F Street site was not going to meet the needs of the Public Works Department. After quite some time and investigation, the City decided to purchase the property at 1800 Maxwell Street that had formerly been owned by San Diego Gas & Electric and convert that property into a new Public Works Center. In April of 2002, the new facility was opened to the public and all of Public Works Operations was moved to the facility along with staff from Public Works Engineering, Transit Operations and the Office of Building and Park Construction. While the new Public Works Center presented many challenges during the development and construction phase, John and his staff showed the typical dedication and determination to make the project serve the City and the public as best as possible and the City can be proud of its new state of the art Public Works Center. For all of these reasons and hundreds of others, it is entirely proper and reasonable for the City to honor and commemorate the service and accomplishments of John Lippitt and rename the Public Works Center the "John Lippitt Public Works Center". FISCAL IMPACT: The fiscal impact to the City is negligible with the exception of the minor costs of erecting signage/lettering depicting the new name of the Public Works Center as the "John Lippitt Public Works Center" and a plaque with Mr. Lippitt's profile. J:~BPC~BPC Adminis~ation~Agenda~Lippitt Al 13.doc RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RENAMiNG THE CITY OF CHULA VISTA PUBLIC WORKS CENTER THE "JOHN LIPPITT PUBLIC WORKS CENTER", 1N HONOR OF RECENTLY RETIRED DIRECTOR OF PUBLIC WORKS, JOHN L[PPITT WHEREAS, on December 27, 2002, after twenty-seven (27) years of service to the City of Chula Vista, John Lippitt, Director of Public Works retired from City employment; and WHEREAS, during the period of John's service, the City has been recognized as a leader in the public works arena; and WHEREAS, beyond the many physically viewable accomplishments of John's career in Chula Vista, perhaps the most important and lasting impact he will leave on the City is the quality of bis public service in terms of personal integrity and dedication; and WHEREAS, while the new Public Works Center presented many challenges during the development and construction phase, John and his staff showed the typical dedication and determination to make the project serve the City and thc public as best as possible and the City can be proud of its new state of the art Public Works Center; and WHEREAS, it is entirely proper and reasonable for the City to honor and commemorate the service and accomplishments of John Lippitt and rename the Public Works Center the "John Lippitt Pt b ic Works Center". NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby rename the City of Chula Vista Public Works Center the "John Lippitt Public Works Center", in honor of recently retired Director of Public Works, John Lippitt. Presented by Approved as to form by CityDavid D. Rowlands, Jr. Manager ~ity AYitoMr~;e ~) PAGE 1, ITEM NO.: ~ MEETING DATE: 03/04/03 CITY COUNCIL AGENDA STATEMENT ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CHULA VISTA ECONOMIC DEVELOPMENT' STRATEGY (EDS) SUBMITTED BY: COMMUNITY DEVELOPMENT DIRECTOR L.~"~ L~ REVIEWED BY: CITY MANAGEi~/~ ~/ ~-- 4/5THS VOTE: YES ~ NO ~ BACKGROUND In early 2000, Council approved the preparation of a comprehensive Economic Development Strategy (EDS) to provide a blueprint for the city's long-term economic and fiscal vitality. Since that time, the City has hired Economic Research Associates (ERA) to provide consulting services; adively engaged a 30-member Blue Ribbon Steering Committee, the City's Economic Development Commission (EDC), other diverse stakeholders and the City's internal Business Response Team (BRT). With guidance from the Steering Committee/EDC, staff and ERA have prepared an Economic Base Analysis, Targeted Industries Report, and 10 EDS Issue Papers, laying the framework for formulating the EDS. Tonight staff is presenting the proposed EDS, including the Chub Vista Economic Vision 2020. The EDS sets forth twelve (12) goals along with corresponding objedives, action items, responsible parties, partners and timeframes. This detailed, action-oriented plan will facilitate future progress monitoring and reporting to Council. The significance of the EDS process and the resulting strategies is far-reaching. EDS Goals and Objectives will be utilized to create the City's first Economic Development Element of the General Plan, which will for the first time place economic development priorities along side other elements of the General Plan. EDS Goals and Objedives are already having a major impact in shaping the General Plan Update (GPU); helping to define land use, circulation, housing, and other policy diredions. The EDS has put a spotlight on some fundamental issues that will determine the city's fiscal sustainability, including conneding eastern and western Chula Vista, revitalization of older Chula Vista, enhancing the city's image, supporting educational excellence and workforce development, evaluating alternative university campus scenarios, making jobs/housing balance a priority, positioning for technology-based job creation, exerting regional leadership on cross-border issues, and attracting upscale hotels, meeting space, restaurants, and shopping centers. The EDS represents a shared vision - both internally and externally - which in turn provides a framework for future Council priority-setting and clear diredion to staff, improved interdepartmental coordination, PAGE 2, ITEM NO.: -~ MEETING DATE: 03/04/03 and meaningful collaborations with public and private partners; a~l prerequisites to making the Chula Vista Economic Vision a reality. RECOMMENDATION That Council receive staff's presentation and comments from members of the EDS Blue Ribbon Steering Committee and Chula Vista EDC and adopt the resolution which: 1) Reaffirms approval of the Chula Vista Economic Vision 2020 2) Adopts the Economic Development Strategy (EDS) 3) Recognizes the EDS as a dynamic guideline for future Council policymaking and priority- setting as relates to matters impacting the local economy 4) Directs staff to prepare the Economic Development Element of the General Plan, incorporating broad EDS goals and principles 5) Directs staff to return to Council with recommended EDS Performance Benchmarks for use by staff, the EDC, and Council in monitoring EDS progress 6) Directs staff to return to Council with a proposed reorganization and re-appointment of the city's EDC to reflect a new EDS progress monitoring responsibility and provide for updated, highly developed membership criteria BOARDS/COMMISSIONS RECOMMENDATION The proposed Economic Vision Statement and EDS have been endorsed by the Council- appointed 30-member EDS Blue I~ibbon Steering Committee (see Section 1 of Binder) and the City's EDC. The Blue Ribbon Committee's 3 Subcommittees met a total of 15 times to discuss and formulate these documents. The EDC participated in these Subcommittees as well as discussed the EDS Vision and Strategy during an extensive series of their monthly meetings and special workshops. I. Completed EDS Products EDS-related work products prepared by staff and EP~A have been provided to Council in 2 forms: 1) the Economic Development Strategy document, and 2) the "EDS Related Work Products" 3- ring binder. These documents include: · Existing local and regional Economic Development Policies · Economic Base Analysis · Economic Development Vision 2020 · EDS Issue Papers (10) · Targeted Industries Report PAGE 3, ITEM NO.: c~/ MEETING DATE: 03/04/03 · Economic Development Strategies: 12 Goals/Objedives for each goal/Adion Items for each Objedive/Responsible parties and timeframes for each Adion Item II. Chronology of EDS process A summary highlighting key events follows: Late 1999 BRT began discussions regarding need for cib, wide Economic Development/Fiscal Sustainabili~y Strategy; Adopted BRT Mission ! Jan 2000 EDS concept presented to Council Sept 2000 Council approved ERA contract for EDS-related services Feb 2001 Council appointed Blue Ribbon Steering Committee July 2001 Blue Ribbon Committee Workshop #1 Nov 2001 Council received ED Vision, Econ Base Analysis, Targeted Industries Report & recommended Issue Paper topics June 2002 Issue Papers approved by BRT/EDC/Blue Ribbon Subcommittees (15 Subcommittee meetings held to formulate Issue Papers laying framework for EDS strategies) Nov 2002 EDS Goals, Objectives & Action Items drafted Dec 2002 Full Blue Ribbon Steering Committee endorsed EDS; Proposed EDS and related work products provided to Council Mar 2003 Council requested to approve EDS III. Economic Vision 2020 and Economic Development Strategies (EDS) In an attempt to provide adequate time for Council review, each Councilmember was delivered a copy of the EDS and back-up materials binder on December 11 (the day of the Blue Ribbon Committee Workshop). Staff will provide a brief power point presentation at today's Council meeting, augmented by comments from the Blue Ribbon Committee and EDC. Themes of the Economic Vision 2020 and EDS Goals (strategies) are summarized here: "ED VISION 2020" THEMES 1) PROVIDE BROAD RANGE OF EMPLOYMENT OPPORTUNITIES 2) ENSURE EDUCATIONAL EXCELLENCE 3) BECOME SOUTH COUNTY'S PREMIER RECREATIONAL, CULTURAL, COMMERCIAL, AND ENTERTAINMENT CENTER 4) EMBRACE DIVERSITY - CHULA VISTA IS "THE FACE OF CALIFORNIA" PAGE 4, ITEM NO.: ~t MEETING DATE: 03/04/03 EDS GOALS 1) INCREASE INVESTMENT IN WESTERN CV; STRENGTHEN CONNECTION WITH THE EAST 2) PROVIDE DIVERSE ECONOMIC BASE WITH VARIETY OF JOBS TO IMPROVE CV'S JOBS/HOUSING BALANCE 3) CONVEY POSITIVE IMAGE IN ORDERTO A'I-rRACT INVESTMENT 4) PROMOTE EDUCATIONAL EXCELLENCE & TRAINING PROGRAMS FOR QUALIFIED WORKFORCE 5) PROVIDE PHYSICAL INFRASTRUCTURE TO SUPPORT ECONOMIC PROSPERITY 6) BECOME CENTER FOR APPLIED-TECHNOLOGY INNOVATION BY A'I-FRACTING & SUPPORTING TECHNOLOGY-BASED PRODUCT R&D, MANUFACTURING & SERVICES 7) PROMOTE CROSS-BORDER & INTERNATIONAL TRADE 8) FACILITATE ENTREPRENEURSHIP BY SUPPORTING START-UPS & SMALL BUSINESS GROWTH IN TARGETED INDUSTRIES 9) BECOME SOUTH COUNTY HUB FOR LEISURE, RECREATIONAL, SHOPPING & ENTERTAINMENT 1 0) ENSURE CV'S RESPONSIVENESS TO CUSTOMERS' NEEDS 1 1) ORGANIZE EFFECTIVELY FOR ENHANCING ECONOMIC PROSPERITY 12) GENERATE FISCAL RESOURCES SUFFICIENT TO PROVIDE EXEMPLARY PUBLIC FACILITIES & SERVICES IV. Significance of EDS Process The EDS is a landmark economic development blueprint - a first for the City - that, if used appropriately, can help lead us successfully into the next two decodes. If has been a lengthy and distindively collaborative process involving staff, community partners, and Council, that has accomplished the following: · Brought public and private participants - both local and regional - into the city's economic visioning and strategic planning process, helping the City fo gain a more sophisticated perspective of its assets and liabilities and related opportunities · Helped strengthen local community and regional partnerships essential to successful EDS implementation · Ratcheted up dialogue and coordination between City departments regarding ED strategies and ongoing adivities critical to the city's fiscal health and qualify of life · EstabJlshed a framework within which Council can set future cltywide policy and pr~orltles, and review projeds/programs, in relation to defined economic sustainability strategies - including future General Plan policies · Defined specific adJon items and responsible parties providing a means to ensure implementation accountability · Set the stage for reorganizing the EDC to play a key role in EDS progress monitoring PAGE 5, ITEM NO.: / MEETING DATE: 03/04/03 V. Nex~ Steps A. Strategy Implementation/BRT Oversight Following Council approval, components of the EDS can begin to be implemented immediately under the general oversight of the BRT. Many of the Adion Items are already on-going and need simply to be brought to completion or continued as appropriate. Others are new and can be implemented with existing resources. Others will require returning to Council for specific funding requests before they can commence. Still others must be implemented concurrently with preparation and adoption of the General Plan Update - and specific land use plans. (GPU related Action Items are noted in the EDS). B. Economic Development Element of General Plan Once the EDS is adopted, staff will begin to translate the detailed Strategy into a broader policy- oriented Economic Development Element of the General Plan. Under state law, a city is required to adopt seven (7) Mandatory Elements within its General Plan; an Economic Development Element is one of several optional elements. The purpose of an Economic Development Element is to set forth general economic development policies which provide diredion regarding how the community can leverage and prioritize resources to retain and grow local businesses, attrad new businesses, strengthen its tax base, and sustain its ability to offer quality public services for existing and future residents. The Economic Development Element serves a vital need by relating community land use and other quality of life objectives with goals and policies directed to strengthening the local economy. Economic Development Element policies are purposely broad in nature in order to encompass the scope of specific program efforts described in more detail in the EDS. Often, the broader Economic Development Element precedes the detailed, program-specific EDS. However, we began our EDS process well in advance of the General Plan Update, therefore necessitating that we "back into" it from the EDS. Economic Development Element policies are generally based upon an Economic Babe Analysis which addresses existing and projeded economic conditions, land use inventory, fiscal trends, etc. As previously noted, ERA and staff have completed such an analysis and it was presented to Council in November, 2001. Formats for Economic Development Elements vary but typically address: · Business Af~radion · Business Retention · Employment Opportunities · Fiscal Stability · Related Land Use Implementation Many Economic Development Element policies will impact other General Plan element policies, most notably Land Use and Public Facilities. All General Plan Elements and their respedive policies must PAGE 6, ITEM NO.: MEETING DATE: 03/04/03 be consistent. To illustrate how the Economic Development Element relates to others, an excerpt is provided from the City of Mission Viejo ED Element: "The goals and policies contained in other elements of the City's General Plan are also important in addressing economic development issues. The Land Use Element provides the commercial, business park, and office-professional land use designations that define geographic locations where economic development will occur. City services, which can be enhanced by economic development, are described in the Circulation and Public Facilities Elements." The Mission Viejo General Plan provides a Table showing policies within their ED Element and whether or not they impact each of the other General Plan elements. C. EDS Relationship to Overall General Plan Update Process and EDC In terms of the broader GPU process, three (3) Advisory Committees (Economic Development, Environmental, and Infrastrudure/Community Services) are charged with preparing respedive Visions and Goals. The EDC, acting as the Economic Development Subcommittee for the GPU, has had a jump start via the Economic Development Strategy which obviously has already identified economic development issues and established a related vision and goals. (A Fiscal Impad Model is being prepared by ERA and will augment the EDS. The Fiscal Impad Model will allow the City to assess impads of alternative land use scenarios upon the city's revenues and expenditures in order to select the most fiscally responsible option as part of the General Plan Update and subsequently as proposals are submitted.) The GPU Steering Committee will assimilate EDS information with the other two (2) GPU Subcommittees' visions and goals and submit the recommended GPU to the Planning Commission and Council for final approval. We will need to ensure that the EDS is consistent with the adopted General Plan Elements, or modify the EDS accordingly to bring it into conformance. VI. EDS Monitoring A. Performance Benchmarks In order for the EDS to be a credible, effective city tool, a monitoring system must be put in place. This system should entail interdepartmental and management oversight, as well as general communib,-based oversight. Monitoring should be done on a routine basis with pre-established performance benchmarks against which to measure accomplishments. The results of the monitoring and related recommendations should be routinely and formally reported to Council, say, for example, biannually or annually. ERA has identified potential data-based benchmarks for our review. Staff will be returning to Council in the future with recommended benchmarks and a specific Performance Monitoring program. The two (2) types of monitoring approaches and performance criteria under consideration include: · Statistical, data-based benchmarks (Example: Business formation in targeted categories; commercial/industrial building permit trends; TOT tax; City operating expenditures per capita as compared to other cities; tax increment financing capacity; OTC annual PAGE 7, ITEM NO.: ! MEETING DATE: 03/04/03 attendance; graduation rates per select degree programs; image attitudinal survey; travel times between select points) · Objective/ Action Item-based benchmarks (Example: review of individual Action Item progress vis-b-vis targeted deadlines in EDS) B. BRT and EDC roles/EDC Reorganization The BRT will participate in developing the recommended benchmarks and performance monitoring approach. The BRT will continue in its EDS oversight role by coordinating strategy implementation. Staff is recommending that the EDC assume a new role related to the EDS, i.e. providing community based, macro-level monitoring of EDS progress and reporting progress updates to Council. Currently, all new Council appointments to the EDC have been put on hold pending a determination regarding the structuring of the EDC to assume this new role. Among the items to be determined are new EDC size and specific membership criteria. It is currently envisioned that EDC would be reduced in size, and that the membership criteria would be more highly developed to ensure that the Commission has the appropriate experience and expertise to assume this new role. FISCAL IMPACT The purpose of the EDS is to ensure the short and long-term fiscal health of the city by stimulating local tax revenues and creating jobs which together result in increased local spending and a higher quality of life. Adoption of the EDS will not result in any direct impact upon the City's budget. However, actual implementation of individual EDS Action Items will have varying degrees of fiscal impact. The EDS document identifies likely sources of funding for each Action Item, some of which are already appropriated; some of which are not. In the event that an Action Item is not currently budgeted, staff will need to request Council approval of any new appropriation prior to implementation or incurring related costs. The fiscal impact and recommended funding sources pertaining to the specific action item would be quantified and reported to Council at that time. The contract with ERA was approved by Council in late 2000 at a cost of $161,025. The appropriation has directly supported the General Plan Update. ATTACHMENTS 1) Proposed EDS document C:\Documents and Settings\maryd\Local Settings\Temporary Internet Files\OLI(D~AGENDA STATEMENT - COUNCIL adoption of EDS.doc RESOLUTION NO. 2003- RESOLUTION OF THE C1TY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CHULA VISTA ECONOMIC DEVELOPMENT STRATEGY WHEREAS, in early 2000, the City Council approved the preparation of a comprehensive Economic Development Strategy (EDS) to help guide the City's long term economic and fiscal development, and; WHEREAS, Council subsequently approved a contract for EDS consulting services with Economic Research Associates (ERA); and WHEREAS, the EDS process has actively engaged and solicited input from the City's Economic Development Commission, a 30-member Blue Ribbon Steering Committee, other community stakeholders, and the City's internal Business Response Team (BRT); and WHEREAS, staff and ERA have completed preparation of an Economic Base Analysis, a Targeted Industries Report, an Economic Vision 2020, and 10 EDS Issue Papers; and WHEREAS, the proposed Economic Development Strategy, is comprised of 12 goals, along with corresponding objectives, specific action items, responsible parties, and estimated completion timeframes; and WHEREAS, the EDS represents an important milestone because it is the City's first Council adopted Economic Development Strategy and it also serves as the foundation for the City's first Economic Development Element of the General Plan, placing the economic priorities of the City on par with other General Plan Elements, helping to ensure the fiscal sustainability of the City. and; WHEREAS, the EDS is designed to facilitate progress monitoring in order to measure the City's success in meeting its economic and fiscal goals; NOW, THEREFORE, BE IT RESOLVED that the City Council of'the City of Chula Vista does hereby approve the following: 1) Adoption of the Chula Vista Economic Vision 2020 2) Adoption of the Economic Development Strategy (EDS) 3) Recognition o f the EDS as a guideline for future Council policymaking and priority_ setting as relates to matters impacting the local economy BE IT FURTHER RESOLVED, Council does hereby direct staffto prepare the following itcms for future Council consideration: 1) Economic Development Element ofthe General Plan, incorporating broad EDS goals and principles 2) EDS Performance Benchmarks for use in EDS implementation monitoring. 3) A reorganization and reappointment plan for the City's Economic Development Commission to reflect EDS progress monitoring responsibilities Presented by Approved as to form by Laurie Madigan Ann Moore Community Development Director City Attorney J:\( 'OM M DEV\RESOS\EDS Resolution doc r,,: .~ . ~.~ ~ o ~ o I"!"! ITl m Q m m o Coz $~' o * 0 0 Ifil 0 m ~ COUNCIL AGENDA STATEMENT ITEM / MEETING DATE: March 4, 2003 ITEM TITLE: Resolution approving a Letter of Intent between the City of Chula Vista and the County of San Diego regarding the siting and construction of a County owned library on City owned property SUBMITTED BY: Andy Campbell, Director of Building and Parks Construction.~ ? REVIEWED BY: City Manager (~.~, oJ (4/5ths Vote: YES NO X ) RECOMMENDATION: That Council approve the Letter of Intention ("LOI") between the City of Chula Vista and the County of San Diego regarding the site and construction of a County owned library on City owned property. BOARD/COMMISSION RECOMMENDATION: N/A DISCUSSION: For approximately two years, the City and the County have had discussions regarding the possibility of the City making available to the County a pamel of property for the construction of a County library facility. The site that has been discussed is adjacent to the Chula Vista Municipal Golf Course along the 4400 block of Bonita Road. The currently undeveloped site is approximately three (3) acres in size. The County, desirous of constructing a library facility of approximately 10,000 square feet which may also include a 2,000 square foot community meeting room, requires a site of 60,000 square feet (1.38 acres). The LOI, provided as Attachment 1, although not a legally binding agreement sets out the basic principles and provisions that would form the basis of a Ground Lease and Construction Agreement. The LOI commits the City to work with the County to bring this project to completion. The LOI provides the City and County will work to locate a suitable area of 60,000 square feet on the above described property. The County will be responsible for all development and construction issues including acting as the lead agency under the California Environmental Quality Act (CEQA) for the environmental analysis necessary to proceed with the project. The County will also act as lead agency in processing, General Plan amendment (if required), Conditional Use Permit and building/grading permits for the project through the City's Planning and Building Department. Additionally, the County will bring the project to the Design Review Committee for approval. The City agrees to negotiate in good faith with the County on a Ground Lease that will include, but may not be limited to, providing a lease to the County on the agreed upon property for a period of forty (40) years, with five (5), ten year options for the County to extend the Ground Lease. At the termination of the lease, the property, along with the improvements, will revert back to the City or the property will be returned to its original condition prior to reverting to the City. During the course of the Ground Lease, the County will pay no rent. Consideration of the Page 2, Item: '~ Meeting Date: 3/4/03 Ground Lease will be the County's construction, maintenance and operation of the library, attached rooms, parking lots and landscaping within the leasehold. The County will accept the leased area as it exists at the time of entering into a Ground Lease and will be responsible for all costs associated with the development of the site, the design and construction of the project and the on-going maintenance of the facility. ENVIROMENTAL IMPACT The Environmental Review Coordinator has reviewed the proposed action for compliance with the California Environmental Quality Ace (CEQA) and has determined that the approval of the proposed Letter of Intent is not a "Project" as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines this action is not subject to CEQA. Thus, no environmental review is necessary for the approval of the proposed LOI. However, the proposed LOI does address the process by which future environmental review will be carried pursuant to CEQA in order to process the planned development of a County of San Diego library facility on the subject property. FISCAL IMPACT: The fiscal impact to the City is negligible with the exception of staff time costs generated leading up to the approval of a Ground Lease. The County will be responsible for all costs associated with the project including the costs the City incurs in processing the plans. Attachments: 1. Letter of Intent JSBPC~BPC Administration~Agenda\County Library~A113 County Library Letter of Intent.doc RESOLUTION NO. 2003 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A LETTER OF INTENT BETWEEN THE CITY OF CHULA VISTA AND THE COUNTY OF SAN DIEGO REGARDING THE SITING AND CONSTRUCTION OF A COUNTY OWNED LIBRARY ON CITY OWNED PROPERTY WHEREAS, the City and the County have had discussions regarding the possibility of the City making available to the County a parcel of property for the construction of a County library facility; and WHEREAS, the site that has been discussed is adjacent to the Chula Vista Municipal Golf Course along the 4400 block of' Bonita Road and is approximately three (3) acres in size; and WHEREAS, the County, desirous of constructing a library facility of approximately 10,000 square feet which may also include a 2,000 square foot community meeting room; and requires a site of 60,000 square feet; and WHEREAS, the Letter of Intent ("LOI"), although not a legally binding agreement, sets out the basic principles and provisions that would form the basis of a Ground Lease and Construction Agreement; and WHEREAS, the LOI provides the City will work with the County to locate a suitable area of 60,000 square £eet on the above described property and the County will be responsible for all development and construction issues including acting as the lead agency under the California Environmental Quality Act (CEQA) for the environmental analysis necessary to proceed with the project; and WHEREAS, the County will also act as lead agency in processing, a General Plan amendment (if required), Conditional Use Permit and building/grading permits for the project through the City's Planning and Building Department. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Vista does hereby approve a Letter o1' Intent between the City of Chula Vista and the County of San Diego regarding the siting and construction of a County owned library on City owned property, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor is hereby authorized to execute said Letter of Intent on behalf of the City of Chula Vista. Presented by Approved as to form by Andy Campbell .,~. ,Y. Moore Director of Building and /City Attorney Park Construction Jg, Attorney\Lettcr of Intent County Library 2 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL LETTER OF INTENT BETWEEN THE CITY OF CHULA VISTA AND THE COUNTY OF SAN DIEGO REGARDING THE SITING AND CONSTRUCTION OF A COUNTY OWNED LIBRARY ON CITY OWNED PROPERTY ATTACHMENT 1 LETTER OF INTENT This Letter of Intent is entered into by and between the City of Chula Vista ("City") and the County of San Diego ("County") for the purpose of memorializing and expressing the intent of the City and County to explore siting, design, construction, and operation of a County Library ("ProJect") on a City owned site as further described herein. Although this Letter of Intent is not a legally binding agreement, or an amendment to any existing agreement, it does contain some of the essential principles that would form the basis of a Ground Lease and Design and Construction Agreement ("Agreement") that would be entered into between the City and County subject to California Environmental Quality Act compliance. This Letter of Intent is based on the following facts: 1. Intent. It is the desire of the parties to enter into negotiation of an Agreement based upon substantially the terms described in this Letter of Intent. The City and County will work to locate a suitable area of approximately 60,000 square feet (the "Premises") within the City o~vned property described below. (See Attached Exhibit 1.) 2. Property Description. The City is the owner of the Chula Vista Municipal Golf Course property, identified as APN 593-240-24, and an adjoining parcel identified as APN 593-031-31, within which approximately three acres of land are vacant and available for development. Said three acres is located in the 4400 block of Bonita Road, immediately west of the Chula Vista Municipal Golf Course Pro Shop ("Prope~y"). 3. Project Description. City and County agree the Project is envisioned as an approximately 10,000 square foot library which shall be owned and operated by the County under the terms of the Agreement. The Library Facility may include a 2,000 square foot community meeting room. 4. California Environmental Quality Act (CEQA) Compliance. County agrees to assume responsibility as the lead agency under CEQA for the enviromnental analysis necessary to proceed with the Project. County agrees to conduct an initial study pursuant to CEQA and prepare the appropriate environmental document as required by CEQA. County shall consult, coordinate with and seek the concurrence of the City during the preparation and approval of the CEQA document. Thc County shall pay all costs associated with the preparation of and processing of CEQA documents for the facility. /0 % 5. Ground Lease. City and County agree to meet in good faith to negotiate a Ground Lease for the Premises which may include but is not limited to the following terms: a. Term. The term of the proposed Ground Lease shall be 40 years following the completion of construction of the library facility. County shall have five 10-year options to extend the Ground Lease. The Lease will contain a provision for early termination at the County's sole option. Ownership of the building and site improvements will revert to the City upon termination or expiration of the lease period or, if directed by City, County will return the site to the City in substantially the state in which it was provided at commencement of the lease. b. Rent. The County shall pay no rent during the term of the Ground Lease or any extension thereof. Consideration for the ground lease shall be the County's construction, maintenance and operation of the Library, attached rooms, parking lot and landscaping within the leasehold. c. Use. The County shall use the Premises solely for construction and operation of a public County Library. 6. Permits and Entitlements. The County shall be the lead agency in processing, General Plan amendment (if required), Conditional Use Permit, and building/grading permits for the Project through the City Of Chula Vista Planning and Building Department. To the extent possible, the City will endeavor to expedite processing of these documents. Design of the Library shall be subject to approval by the City Design Review Committee. 7. Condition of Site. Site preparation for the County leased Premises, including the import of fill dirt shall be at County's sole cost. The City shall work with the County to obtain and facilitate the use of suitable free fill-dirt from nearby CalTrans projects. 8. Design and Construction. Design and construction of the new Library shall be at the County's sole cost. 9. On-going Operation and Maintenance. Operation and staffing of the Library shall be the sole responsibility of the County. County shall also be responsible for all interior and exterior maintenance of the building and all associated site improvements. I 0. Right of Entry. City does hereby grant County, its agents, employees, consultants and contractors permission to enter upon the Property for the purposes of conducting all reasonably required environmental testing and work necessary to enter into the Agreement. County or its agents, employees, consultants and contractors shall 2 maintain broad form comprehensive or commercial general liability insurance, including broad form contractual liability insurance, which covers all activities undertaken on the Property. Such insurance shall provide a liability limit of not less than $2,000,000 per occurrence. County is permitted to provide City evidence of its self-funded liability program for Commercial General Liability, Auto Liability, and Workers Compensation. County shall indemnify, protect, defend, and hold harmless City from and against any and all claims for damages, losses, costs or liabilities arising from this grant of permission to enter the Property. 11. City and County Reservation of Discretion and Compliance with Applicable Law. It is understood that the City and the County reserve the right to exercise their discretion as to all matters, which the City and the County are by law entitled or required to exercise its discretion. In addition, any agreements, amendments or approvals processed for City Council and County Board of Supervisor approval ~viI1 be subject to, and brought to City Council and County Board of Supervisors respectively, for consideration in accordance with applicable legal requirements. 12. Counterparts. This Agreement may be executed in any number of counterparts (each of which shall be original) and by facsimile (which along with the originally executed Agreement) shall constitute one and the same document. The parties are in agreement with the foregoing as indicated by their signatures below. The parties agree that any modifications from the principles expressed herein will be in writing and signed by the parties. The signatory below for the City and for the entity referred to as County in this Letter of Intent represents having the authority to act on behalf of such party and entity. County understands that the Agreement requires the approval of the City Council and the City understands that the Agreement requires the approval of the County Board of Supervisors. (Next Page is Signature Page) J:\Attorncy\EHull\Cox Library Ltr of Intent doc 3 SIGNATURE PAGE TO LETTER OF INTENT IN WITNESS WHEREOF, the parties hereto have caused this Letter of Intent to be executed the day year first hereinabove set forth. THE CITY OF CHULA VISTA COUNTY OF SAN DIEGO By: Stephen C. Padilla Clerk, Board of Supervisors Mayor ATTEST: By: Susan Bigelo~v City Clerk Approved as to form by Ann Y. Moore City Attorney Approved as to form by County Counsel JSAttomey~EHull\Cox Library Ltr of Intent.doc 4 PROPOSAL #1 GRAPHIC SCALI~ (~) *NOTE: ALL PROPERTY LINES AND EASEMENT IO~AllON$ ARE APPROXIMA~ AND ARE F~ E~I~T PURP~S CITY OF CHULA VISTA I GREC TSCHERCH DATE.. SMEET ~ ~-~-o~ o~ ~ sx~s. A.P.N. 593-240-24 I 0: ~SOSKP~O~X qreq~Mott, dw9 02~27/0J 08: ~9.'4J A~ COUNCIL AGENDA STATEMENT ITEM MEETING DATE 3/4/03 ITEM TITLE: Ordinance amending Chapter 2.56 of the Chula Vista Municipal Code to modify purchasing procedures (second reading). Resolution approving revised consultant selection procedures contained in Council Policy 102-5. SUBMITTED BY: Director of Finance~ REVIEWED BY: City Manager ~,~ 9 (4/Sths vote: Yes NoX) Council approved amending Chapter 2.56 of the Chula Vista Municipal Code to modify pumhasing procedures in open session on February 18, 2003. At this first reading, Council directed staff to revise the original recommendation (a) to retain City Manager approval of contracts for equipment, materials, and services from $50,000 to $100,000; and (b) to retain Council approval of professional services in excess of $50,000. The remaining recommended modifications were approved as requested. Council further approved a recommendation to direct Engineering staff and the Charter Review Coramission to conduct an analysis of whether or not to increase the $25,000 limit of staff authority to approve public works projects. Because recommended changes to City Council Policy 102-5 were not formally addressed at the February 184 meeting, approval of these changes to consultant selection procedures is also requested. RECOMMENDATION: That Council place the Ordinance on second reading amending Chapter 2.56 of the Municipal Code to modify purchasing procedures, and adopt a resolution approving revised consultant selection procedures contained in Council Policy 102-5. BOARDS/COMMISSION RECOMMENDATION: Not applicable. DISCUSSION: Modifications to Chapter 2.56 ofthe Chula Vista Municipal Code were approved at the first reading on February 18, 2003. As directed by Council, revisions to the original recommendation were made to (a) retain City Manager approval of contracts for equipment, materials, and services from $50,000 to $100,000; and (b) to retain Council approval of professional services in excess 6f $50,000. Modifications approved include: the ability to conduct Intemet-based advertising and receipt of bids, changes in the selection process for legal and related services, the ability to enter into cooperative agreements with other public agencies in the United States, and language clarification within certain sections of the ordinance. Page 2, Item Ii Meeting Date 3/04/03 An analysis of the applicable Charter section by Engineering staff and the Charter Review Commission was also approved by Council to determine whether or not the current limit of $25,000 should be raised for public works projects. In accordance with these modifications and previously authorized changes, approval of revised Council Policy 102-5 related to Consultant Services is requested. The original policy was passed on June 9, 1992 and reflected Consultant selection procedures and limits in effect at that time. Changes enacted four years ago combined with those approved February 184 render the policy obsolete. Therefore, Council approval is requested to bring the policy in line with current limits, procedures, and practices. FISCAL IMPACT: There is no direct fiscal impact on the City as a result of this proposed ordinance and policy change. ATTACHMENTS: Proposed Municipal Code Chapter 2.56 change with revisions highlighted. Proposed Council Policy 102-5 change with revisions highlighted. ORDINANCE NO. AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHAPTER 2,56 OF THE CHULA VISTA MUNICIPAL CODE TO MODIFY PURCHASING PROCEDURES. The City Council of the City of Chula Vista does hereby ordain as follows: SECTION I: That Chapter 2.56 of the Chula Vista Municipal code is hereby amended to read as follows: Chapter 2.56 PURCHASING SYSTEM Sections: 2.56.010 Centralized Purchasing System Established. 2.56.020 Purchasing Agent - Appointment - Powers, Duties, and Authority. 2.56.030 Option to Delegate Authority for Purchases of Supplies and Equipment. 2.56.040 Requisitions or Estimates; Required Revisory Changes Permitted. 2.56,050 Required Contract Forms; City Attorney. 2.56.060 Budget, Availability of Funds Required. 2.56.070 c .... ~ ~*,o~* °,4 ~.;.~ ..... , .... Contracts Exceeding $100,000 _- Formal Competitive Bid Procedure and City Council Approval Required. 2.56.080 Contracts Exceeding $100,000 - Competitive Bidding Proces*~*;~o 2.56.090 n-,-.. ...... ...-..---~* , ..... .... --.-~ .... Contracts of $100,000 or less Less - Open Market Procedure and Purchasing Agent/City Manager Approval Required. 2.56.100 Emergency Purchases. 2.56.110 Exception Selection Process for Architectural, Engineering, Environmental, Land Surveying, Legal, Construction Project Management, and Other Professional Services. 2.56.120 Supplies, Materials, and Equipment No Longer Used - Disposition Procedure. 2.56.130 Sale of Real Property - Procedure. 2.56.140 Cooperative Purchasing Agreements. permltted~vhe~ 2.56.150 Reports to City Council. 2.56.010 Centralized Purchasing System Established. Pursuant to Section 1010 of the City Charter, there is established a centralized purchasing system for City departments, offices, and agencies, in order to (1) establish procedures for the purchase of services, supplies and equipment, at the lowest possible cost commensurate with quality needed, (2) exercise positive financial control over purchases, (3) clearly define authority for the purchasing function, and (4) to assure the quality of purchases. 2.56.020 Purchasing Agent - Appointment - Powers, Duties, and Authority. The Director of Finance shall appoint, in accordance with Section 507 of the Charter, a Purchasing Agent, who shall be in the unclassified service as provided in Section 500 of the City Charter, and such deputies as may be necessary. The Purchasing Agent shall be the head of the Purchasing Division of the Finance Department and shall conduct a centralized purchasing system. The Purchasing Agent shall have the power, and it shall be his or her duty, to purchase or contract for all supplies, equipment, and services needed by any and all departments, offices, and agencies of the City subject to the terms and conditions provided for Ordinance Page 2 in this chapter· The Purchasing Agent shall have the authority to: A. Negotiate, purchase, and obtain supplies, equipment, and contractual services used by the City in accordance with City and state law, and such rules and regulations as are prescribed by the Director of Finance subject to the review of the City Manager or by the City Council; B. Act to procure for the City the needed quality in supplies, equipment, and contractual services, at least expense to the City; C. Endeavor to obtain as full and open competition as possible on all purchases and sales; D. Prepare and recommend to the Director of Finance rules, regulations and procedures governing the purchase of supplies, equipment, and services for the City and amendments thereto as necessary; E. Keep informed of current developments in the field of purchasing, prices, market conditions, and new products, and secure for the City the benefits of research done in the field of purchasing by other governmental jurisdictions, national technical societies, trade associations having national recognition, and by private businesses and organizations; F. Prescribe and maintain such standardized contracts, subject to the approval of the City Attorney, and other rules and regulations as are reasonably necessary for the operation of the purchasing system; G. Prepare and adopt a standard purchasing nomenclature for City departments and suppliers; · ; iH. Exploit the possibilities of various cost-effective purchasing strateg es, such as buying "in bulk" and cooperative purchasinq, ~*o ms to take full advantage of d!soountc favorable pricing;, ~"'~ '~°*~'~;~' .... ~** .... ~";~ ¢"- inventor;, JI. Recommend the transfer of surplus or unused supplies and equipment between departments as needed and the sale of all supplies and equipment which cannot be used by any department or which have become unsuitable for City use and the scrapping or surveying of unsalable surplus items· KJ. Take such other actions, consistent with the provisions of this chapter, all other applicable laws, and current good purchasing practices, that are reasonable and appropriate to effectively operate the City's centralized purchasing system. bK. Control and supervise all existing and future storerooms and warehouses of regularly purchased City supplies and equipment· Ordinance Page 3 2.56.030 Option to Delegate Authority for Purchases of Supplies and Equipment. The Purchasing Agent may authorize a department, office, or City agency to purchase supplies, services and equipment directly when he or she determines that direct purchasing can improve efficiency and/or reduce costs and is in the best overall interests of the City. All direct purchasing authorized by the Purchasing Agent under this Section shall be carried out in compliance with the procedures established by this chapter and on such forms or through such purchasing mechanisms as shall be determined by the Purchasing Agent. Direct purchases may be effected through the use of procurement cards or other similar mechanisms. 2.56.040 Requisitions or Estimates; Required Revisory Changes Permitted. All City departments and offices shall file with the Purchasing Agent detailed requisitions or written estimates of their requirements for supplies, equipment, and services, in such manner, and at such times, as the Purchasing Agent shall prescribe. The Purchasing Agent shall examine each requisition or estimate and shall have the authority to revise it as to quantity, quality, or estimated cost; provided, however, that a change in quality will not vary substantially from the standards of the using department or office; and provided further, that the using department head, or designee, is first consulted. 2.56.050 Required Contract Forms; City Attorney. All purchase orders and contracts for purchase of supplies, equipment or services shall be on forms prescribed or approved by the Purchasing Agent and City Attorney. 2.56.060 Budget, Availability of Funds Required. For all purchases or contracts for services, the Purchasing Agent shall certify that (a) the required purchase price or compensation is provided for in the budget of the using department or has been approved by the City Council by resolution; and (b) there is to the credit of each using department concerned a sufficient and appropriate unencumbered balance in excess of all unpaid obligations to defray the cost of such purchase or contract. 2.56.070 Contracts Exceeding $100,000 - Formal Competitive bBid I~Procedure and City Council aApproval rRequired. A. In General._..~.~ ....+ ~ ....... ~.~.,~;'~"'~ -~,~o'-',.. aAII supplies, equipment, and services, when the estimated cost thereof shall exceed one hundred thousand dollars ($100,000), shall be awarded by the City Council to the lowest responsive and responsible bidder submitting the best bid in accordance with the competitive bidding process set forth in Section 2.56.080 of this Chapter, below. Ordinance Page 4 B. Exceptions. The following purchases contain exceptions to the standard competitive biddinq o~" k ...... ~ ~'*" *~°~ requirements: 1. Public Works Contracts for those public works, materials and services that are governed by the purchasing requirements of Section 1009 of the Charter. 2. Professional Services Contracts for certain professional services that are governed by Section 2.56.110 of this chapter. 3. City Council Waiver Contracts for which it is determined by resolution of the City Council, that the competitive bidding requirements as applied to that contract are impractical, impossible, or that City interests would be materially better served by applying a different purchasing procedure approved by the Purchasing Agent as being consistent with good purchasing practices. 4. Single/Sole Source A commodity or service available from only one known source as the result of unique performance capabilities, manufacturing processes, compatibility requirements or market conditions. 5. Emergency Emergency purchases which shall be governed by Section 2.56.100 of this chapter. 2.56.080 Contracts Exceeding $100,000 - Competitive Bidding Process. F~m~ex~m~9~ The following competitive bidding and award process shall apply to contracts for supplies, equipment and services valued in excess of ~100,000:7 the A. Notice Inviting Bids. When required, notices inviting bids shall include a general description of the article or service, and shall be published by the Purchasing Agent at least once on the City's Internet Web site, or in a newspaper of general circulation in the City, and any other method of advertising that is determined by the Purchasing Agent to be in the City's best interest, at Ordinance Page 5 least ten days prior to the bid opening date. ...... ~ ~; .... ~*; ..... ;th;~ the City; ..... h~ +~ Bidder's security. The Purchasing Agent may require a bidder's security in an amount equal to ten percent of the bid either in cash, certified or cashier's check, or surety bond approved by the City Attorney and the Risk Manager. In the event a bidder's security is required, no bid shall be considered unless the required security is submitted therewith. All bidder's security is refundable, except in the case of a successful bidder who shall forfeit this security if the bidder fails to execute a contract within ten days after the notice of award has been mailed or personally delivered, or otherwise fails to comply with the requirements to complete the transaction. ~C. Bid opening. Sealed bids shall be submitted to the Purchasing Agent, who shall open them in public at the time and place stated in the public notices. A secure, Internet-based system or other appropriate media may be used in lieu of sealed bids opened in public, provided that the Purchasing Agent has approved the system for accuracy, confidentiality, and reliability. A tabulation of all bids received shall be available for public inspection in the office of the Purchasing Agent, or on the City's Internet Web site, for a period of not less than thirty (30) calendar days after the bid opening. The Purchasing Agent may delegate this responsibility hereunder to responsible assistants and deputies. ~D. Compilation of bids and recommendations. Following the opening of formal bids, the Purchasing Agent shall compile all of the bids and submit them to the requesting department head, together with a recommendation as to which bid he or she considers Ordinance Page 6 best, taking into consideration, the amount of money bid, compliance with specifications, and responsiveness and responsibility of the bidder. The responsiveness of the bidder shall be determined by comparing the bid to the bid specifications. In determining the responsibility of the bidder, the Purchasing Agent will be guided by, but not limited to, a consideration of the following factors: 1. The experience of the City in dealing with the Iow bidder; 2. The experience of other governmental agencies known to the Purchasing Agent in their previous transactions with the Iow bidder; 3. Knowledge of the quality and fitness of the product offered by the Iow bidder, substantiated by reports of using departments within the City or other governmental agencies; 4. Options to renew contracts for continuing purchases at the same bid price or with reasonable fixed or capped increases, in those circumstances where price increases are expected or have been experienced in the past; 5. Financial stability and business standing of the Iow bidder. The requesting department head shall forward the compilation of bids and his or her recommendation with respect to an award to the City Manager, who in turn, will forward a recommendation for award to the City Council. The Purchasing Agent may reject any or all bids, or any one or more commodities or contractual services included in the proposed contract if it is determined that the public interest will be served thereby. F~.E. Contract awarding authority. The City Council may make an award of contract to the lowest responsive and responsible bidder submitting the best bid in all respects. G~.F. Rejection of bids; Alternative Procedures. The City Council may reject any or all bids, direct City forces to provide the required commodity or service, authorize the readvertising of bids, or authorize the purchase of supplies or services pursuant to the open market procedure set forth in Code Section 2.56.090. N,.G. Tie bids. In accordance with Section 1011 of the Charter, in the event two or !t-Z Ordinance Page 7 more bids are received which are for the same total amount or unit price and in all other respects are equal, the contract shall be awarded to a local bidder. In the event, however, that such tie bids are all from vendors either wholly inside or all outside of the City, then the contract shall be awarded by drawing lots in public. I~.H. Performance bond. The Purchasing Agent shall have authority to require a performance bond in such amount as he or she shall find reasonably necessary to protect the best interests of the City. 2.56.090 Contracts of $100,000 or Less - Open Market Procedure and Purchasing Agent/City Manager Approval Required. A. In General. Purchases of supplies, equipment, and services of an estimated value in the amount of one hundred thousand dollars ($100,000) or less may be made by the Purchasing Agent in the open market without observing the formal bidding procedure prescribed in Section 2.56.080; provided, however, purchases between $50,000 and 9100,000 shall also require City Manager approval. Notwithstanding the foregoing, for contracts in excess of 910,000, informal bidding shall be required; and, whenever practical, be based on at least three bids. Contracts shall be awarded to the lowest responsive and responsible bidder submitting the best bid in all respects, except as provided below. Responsiveness and responsibility shall be determined pursuant to the standards set forth in Section 2.56.080._DE. of this chapter. The Purchasing Agent shall keep a record of all open market orders and the bids submitted in competition thereon, and such records shall also be open to public inspection. B. Exceptions: The following purchases shall be exempt from these requirements: 1. Less~J~$10,000 or Less Contracts for a commodity or service costing less~tha~-ten thousand dollars (910,000) or less, in which case the contract may be awarded by the Purchasing Agent based upon suitability of the item and market rates in the case of a commodity, and demonstrated competence at reasonable fees in the case of services; Ordinance Page 8 2. Impractical or Impossible When it is determined bz the Purchasing Agent that the competitive bidding requirements are impractical, impossible, or that City interests would be materially better served by applying a different purchasing procedure; 3. Certain Section 2.56.070 Exemptions Those purchases exempted under Section 2.56.070.B. ~, 2, 4 and ~ of this chapter. 2.56.100 Emer0ency Purchases. A. By Purchasin0 A~ent permitted when. In case of an emer0enc~ which poses an immediate threat to public health, safety or welfare and which requires immediate purchase of supplies, equipment, or contractual services, the City Manager or Purchasin~ A0ent are authorized to secure in the open market at the lowest obtainable price any supplies, ~quipment, or contractual s~rvices, regardless of the amount of the expenditure; provided however, that a full explanation of the circumstances of such emer0ency shall be entered in the minutes of the Council at the first available meetin9 followin~ the commitment to the expenditur~ and shall be open to public inspection. B. By Usin9 Department - Procedure. In case of an emer0ency, and with the prior consent of the City Mana0er or Purchasino A~nt, any usin0 departm~n~ may purchas~ directly any supplies, equipment, or services when the estimated cost thereof shall not exceed on~ hundred thousand dollars, whose immediate procurement is essential to prevent delays in the wor~ of th~ usin~ d~partment which may affect the life, health, or public safety of citizens. Th~ head of such usin0 department shall send to the Purchasin~ A0ent a copv of the delivery record, to~ether with a full written explanation of the circumstances of the em~r0~ncy, which shall be filed by the Purchasin0 A~n~ as a permanent and public r~cord of the purchase. Th~ Purchasin0 A~nt shall, by rules and r~0ulations, prescrib~ the procedures under which such emergency purchases may b~ made. Ordinance Page 9 I~l..thir.,~ h.rmin centsined ~h~ll limit th.~ ~,l~l-hmri~-,. mf ]'bm ~'i'~, n;..,-t.., of City Oeunoil. 2.56.110 Exception Selection Process for Architectural, Engineering, Environmental, Land Surveying, Legal, Construction Project Management, and Other Professional Services. A. In General. 1. P,Jrs,_'=nt to Government ,'-,,~o~_~ -~v..v.._q~*]'--~ A~o~.~_~, ~..-+ seq. Except as otherwise provided in this section, with-regar6L~e-architectural, engineering, environmental, land surveying, legal, construction project management~4mciees, and other professional consultant services (collectively "professional services")¢ ~provided to the City b;' eentrect shall not be governed by the bidding requirements set forth in Sections 2.56.080 or 2.56.090, but shall be negotiated on the basis of demonstrated competence and qualifications for the services required and at fair and reasonable fees in accordance with the procedures set forth in this Section. Notwithstanding the foregoing, once demonstrated competence and qualifications have been established, expense may be considered as one factor in the selection of a consultant hereunder. 2. Notwithstanding the above requirement, the Purchasing Agent may require competitive bidding pursuant to the requirements of Sections 2.56.080 or 2.56.090 of this chapter, upon a finding that the professional services required are of more of a technical nature or involve little professional judgment, and requiring bids would be in the public interest. 3. If the estimated cost of professional services exceeds fifty thousand dollars (850,000), it shall be awarded by the City Council after compliance with the procedures specified in Subsection C., below. Contracts for services for fifty thousand dollars ($50,000) or less may be awarded pursuant to Subsection D., below. B. Definitions. For purposes of this chapter, the following terms have the following meanings: Ordinance Page 10 1. "Architectural, engineering, environmental, and land surveying services" includes those professional services of an architectural, engineering, environmental, or land surveying nature as well as incidental services that members of these professions and those in their employ may logically or justifiably perform. 2. "Construction project management" means those services provided by a licensed architect, registered engineer, or licensed general contractor which meet the requirements of government Code Section 4529.5 for management and supervision of work performed on construction projects. 3. "Environmental services" means those services performed in connection with project development and permit processing in order to comply with federal and state environmental impact laws and the analysis of hazardous material. 4. "Legal services" are those of a specialized legal nature as determined by the City Attorney. 5. "Other~ professional services" include services which provide intellectual products of a specialized nature unique to a given situation or requirement. C. Selection Process for Contracts of Greater than $50,000. 1. Any department head desiring to enter into a contract for professional consultant services whose estimated cost exceeds fifty thousand dollars ($50,000) shall first analyze the cost effectiveness of having the proposed service completed. 2. Public announcement of all projects of an estimated cost in excess of fifty thousand dollars (950,000) requiring architectural, engineering, environmental, land surveying, construction project management, or other professional consultant services shall be made by the City through notice to the respective professional societies, advertisement on the City's Internet Web site, or publication in a newspaper of general circulation, and any other method of advertising that is determined by the Purchasing Agent to be in the City's best interest. The notice shall invite service providers to submit letters of interest for specific projects. 3. The recommendation to City Council for the award of the contract shall be made by a selection committee. The responsible department head, or designee, and two or more staff members shall perform the duties of the selection committee. Ordinance Page 11 4. After reviewing all proposals submitted, the selection committee may choose the most qualified firms for personal interviews to - discuss anticipated concepts and the relative utility of alternative methods of approach for furnishing the required services. The selection committee shall evaluate and rank the firms based upon criteria established in advance by the City. Cost comparisons between service providers may also be considered as a factor. A list containing the ranking information will be sent to the responsible department head. 5. The responsible department head shall negotiate a contract with the firm ranked No. ! the highest by the selection committee at a price determined to be fair and reasonable to the City. The agreement shall define the conditions of the contract scope, work plan, schedule, costs, method of payment, duration, insurance, indemnification and other appropriate matters. 6. If the department head is unable to negotiate a satisfactory contract with the highest ranked firm, negotiations shall be formally terminated. 7. The department head shall then undertake negotiations with the next highest ranked firm. This process shall continue until a satisfactory contract is negotiated. 8. If the list of qualified firms is exhausted without a contract being negotiated, the selection committee shall choose additional firms, and the process shall continue until a satisfactory contract is negotiated. D. Selection Process for Contracts of $50,000 or Less. Purchases of professional services of an estimated value of $50,000 or less may be made by the Purchasing Agent. Informal solicitation of proposals shall be required in accordance with the same standards and exceptions set forth in Section 2.56.090 of this chapter. E. Pre-Qualification Lists Co.qtr3cts Solicitations may be made using pre-qualification lists ~approved by the Purchasing Agent. The Purchasing Agent shall review types of services required and determine for which types of services pre-qualification lists would be appropriate. Pre-qualification lists _may be used in lieu of open advertisement. Ordinance Page 1 2 F. Legal Services In accordance with Section 503 of the City Charter, the City Attorney oversees contracts for legal and related professional services. Whenever practical, and in consultation with the Purchasing Agent, requests for outside attorney or professional services shall be based on a competitive solicitation of proposals. Otherwise, justification shall be provided based on unique qualifications or performance characteristics of the attorney or consultant recommended. Contracts for legal and related professional services in excess of $50,000 shall be approved by the City Council. G. Unlawful Acts and Conflicts of Interest Prohibited. 1. In the selection and award of professional consultant contracts pursuant to this exception, all unlawful activity, including but not limited to, rebates, kickbacks, or other unlawful consideration is prohibited. 2. No City officer or employee shall be a member of a selection committee, or otherwise participate in the selection process, when they have a relationship with a person or business entity seeking a contract which would constitute a conflict of interest under Government Code Section 87100 or under City conflict of interest rules. 2.56.120 Supplies, Materials, and Equipment No Longer Used - Disposition Procedure. A. General Procedures. All using departments shall submit to the Purchasing Agent at such times and in such form as he or she shall prescribe, reports showing stocks of all supplies, materials, and equipment which are no longer used or which have become obsolete, worn out, or scrapped. The Purchasing Agent may transfer such stock to other departments, which have need for and can use it. The Purchasing Agent shall also have the power to sell all supplies, materials, and equipment that have been unsuitable for public use, or to exchange for, or trade-in the same on new supplies, materials, and equipment. B. Approval Required; Competitive Process. Where the value of an item, or a group of items expected to be sold to one bidder, exceeds $100,000, such sale must be approved by resolution of the City Council. Any such sale, exchange, or trade-in shall be made to the highest responsive and responsible bidder, in accordance with the competitive bid procedures established by the Purchasing Agent. Ordinance Page 13 C. Donations. Supplies, materials, and equipment when the estimated value involved is ten thousand dollars ($10,000) or less may be donated, or sold for less than fair market value, to local civic or social organizations, where it is deemed by the City Manager that such a disposition of property would best serve the City's public interests. Such donations or discounted sale of items valued in excess of $10,000 must be approved by resolution of the City Council. D. Worthless Propert~ In the case of scrap or survey items having no estimated or appraised value and which have not been desired by any civic or social organization, the Purchasing Agent may dispose of such items in any manner he or she deems appropriate, keeping full records of such disposition. E. Special Procedures for Disposition of Library Materials. The City Librarian shall submit to the Purchasing Agent reports showing used, damaged, or unneeded library materials and indicating disposition thereof. The Librarian may, at his or her discretion, donate such materials to the Friends of the Chula Vista Public Library for such book sales as they may desire, or he or she may offer such materials to any bona fide charitable or nonprofit institutional organizations serving primarily the interests of the City. If at any time the Librarian chooses to dispose of such materials other than as provided herein, he or she shall follow the general procedures set forth hereinabove. 2.56.130 Sale of Real Property - Procedure. The Purchasing Agent, with the recommendation of the City Manager and approval of the City Council shall have the power to sell for fair value any real property owned by the City which has been declared by the City Council to have no present or future use for public purposes. Notice of such sale shall be published at least once on the City's Internet Web site, or in a newspaper of general circulation in the City, and any other method of advertising that is determined by the Purchasing Agent to be in the City's best interest. Real property may be sold for less than fair market value upon a determination by the City Council that such sale will be in the public interest. 2.56.140 Cooperative Purchasing Agreements. No provision of this chapter shall be interpreted or construed to prohibit or prevent the City from purchasing supplies, equipment, and services by contracts, arrangements, and agreements for cooperative purchasing programs with the State of California, the County of San Diego, the City of San Diego, or any other public agency, school district, or water authority within the ' ' United States; provided that such items are purchased through a competitive process that the Purchasing Agent determines to be consistent with good purchasing practices. Ordinance Page 1 4 If the contract, agreement, or arrangement exceeds one hundred thousand dollars, then City Council approval is required. 2.56.150 Reports to City Council, The Director of Finance shall provide the City Council with reports regarding City purchasing practices in such form and at such intervals as the City Council may direct. Ordinance Page 1 5 SECTION II: This ordinance shall take effect and be in full force on the thirtieth day from and after its second reading and adoption. Presented by Approved as to form by Robert W. Powell John M. Kaheny Assistant City Manager City Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this __ day of by the following vote: AYES: Councilmembers: NAYS: Councilmembers: ABSENT: Councilmembers: ABSTAIN: Councilmembers: Stephen C. Padilla, Mayor ATTEST: Susan Bigelow, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) l, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Ordinance No. had its first reading at a regular meeting held on the day of and its second reading and adoption at a regular meeting of said City Council held on the__ day of Executed this__ day of Susan Bigelow, City Clerk RESOLUTION NO. 2003- RESOLUTION OF THE CITY COLrNC[L OF THE CITY OF CHULA VISTA APPROVING REVISED CONSULTANT SELECTION PROCEDURES CONTAINED IN COUNCIL POLICY 102-5 WHEREAS, Council approved significant changes to the City's purchasing ordinance in November 1998 at which time, buying limits were increased, the consultant selection process ~vas streamlined, surplus property disposal procedures were simplified, and language was made gender-neutral; and WHEREAS. the City's Purchasing Agent had recommended even higher buying limits and increased pnrchasing attthority based on cun-ent trends in the public sector; however, Council was reluctant to approve all of the proposed increases at one time; and WHEREAS, staff would like to now move forward with increased buying limits and authority to further facilitate the purchasing process, as well as enable the City to become more business friendly; and WHEREAS, additional changes would allow for lntemet-based advertising and receipt of bids, and cooperative purchasing with other public agencies within the United States; and WHEREAS, in accordance with these modifications and previously authorized changes, approval of revised Council Policy 102-5 related to Consultant Services is also requested. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the revised consultant selection procedures contained in Council Policy i02-5, as set tbrth in Exhibit '~A". attached hereto and incorporated herein by reference as if set forth in full. Presented by Approved as to form by Robert Powell John M. Kaheny Assistant City Manger City Attorney COUNCIL POLICY CITY OF CHULA VISTA SUBJECT: CONSULTANT OR @'-"HER SERVICES POLICY EFFECTIVE PAGE NUMBER DATE 1 of 2 102-5 06-09 92 ADOPTED BY: Resolution No. DATED: 06 09 92 BACKGROUND The City may from time to time require the services of an outside consultant or oth~ ser-,,iee provider to provide a cost-effective supplement to existing City staff and/or obtain expertise not available within ¢City staff. The general philosophy is that periodic high citizen demand and heavy workloads do not necessarily justify increasing permanent staff to meet periodic demand, Council and City Management should use forethought, plarming, and good judgment to determine the optimum staffing level with the appropriate, cost-effective complement of outside consultant ' ' . PURPOSE The purpose of this policy is to establish a standard approach to determining the need for consultants ~d o*&er ~e.".,ice~ ..... ........ ;a,ro and to ensure that when a need is determined that the best service provider is selected at a reasonable cost and within a reasonable time frame. This policy shall be followed in implementing the contracting procedures in Municipal Code sections 2.56 .... 110. POLICY The City Manager shall follow the policy of careful consideration and structured review prior to initiating any contract for consulting or other services. The Council is primarily concerned with six aspects of consultant ....... hiring, use and monitoring. First, that a cost comparison be completed for each request to use outside services to compare the cost of the contract services to the equivalent cost for in-house staff. Second, that pre-qualification lists ma~ be established for solicitation purposes for those services ';,'h/ch that are likely to be used frequently during any given fiscal year. Third, that the process of advertising and outreach for consultants be expanded to generate the highest number of qualified respondents and to locateand encourage ,.,.,,~.,u~ bidders who have the potential to stimulate the local Chula Vista economy. Fourth, that in-all-c~os-possib~ when deemed appropriate by the Purchasing Agent, a 10% retention will be included in contracts for services that will be retained by the City until final acceptance of the services. Fifth, ,ho, ,ha t- ..... ;~ ~.~ ........ sep,~.ze prov:d~ ......... .... .~ ~.r ~-~,--~'~q nnu dvxfing tee .'~'^°* ...... ..... ... ...... , ..,~h,o..,. month p~°fiod that separate contracts of similar scope to a single consultant shall require Council approval when the aggregate total exceeds $50,000 annually on a fiscal year basis. Sixth, and finally, that the hourly compensation rate for former City employees hired on a contractual basis subsequent to termination with the City shall be limited for the first year to a maximum rate equal to salary and benefits at the time of termination. .............. a n~. ,~.~ ~.o, ,,~.,.~ --, ..... ~n ....... .~ .............. ,o; ....... of IMPLEMENTING PROCEDURES The City Manager will implement an administrative procedure covering the following areas: 1. Cost Comparison Evaluations During the annual budget review process each Department's continuing and proposed use of outside sermces to accomplish required work shall be evaluated based on a standard cost comparison analysi_s when the contract services are expected to exceed $510,000 during the fiscal year. COUNCIL POLICY CITY OF CHULA VISTA SUBJECT: CONSULTANT ~ SERVICES POLICY EFFECTIVE I PAGE NUMBER DATE 2 of 2 102-5 ~n6 09-92 ADOPTED BY: Resolution No. DATED: 06-119-92 The resulting calculations shall be reviewed by the City Manager or his/her designee prior to beginning the contracting process. 2. Pre-Qualification Lists ' At t~e beginning of each fiscal year, the CiB, Manager Purchasing Agent shall review types of services required and determine for which types of services pre-qualification lists would be appropriate. A solicitation for services may be made using pre-qualified lists approved by the Purchasing Agent. A,,~,-~;~ ,u .... ,~ o~ r~ ......... r ..... ~o4.~ ..... ; ...... ~,~h ..... t ~.~ ~,,~, by (~;h,v..a ~.°+~fr ......... % ....... ~ ...... high ,,,m ~,~ ...... ---~--- ~i~'~a ,,~.. a more regular basis shall be reeemxnended to bc 3. Expanded Advertising and Outreach Department Heads, in conjunction with the Purchasing Agent, shall access all appropriate forms of media when advertising for consultant er ,~t~o~ services with an anticipated cost in excess of_. ~,~ ~ ~ $_50,000~ in order to obtain the highest number of qualified respondents. In soliciting bids or proposals, staff should be cognizant of locating and encouraging potential bidders who have the potential to stimulate the local Chula Vista economy. 4. Contract Retention of 10% Department Heads and/or the Purchasing Agent shall attempt to negotiate a 10% retention clause to be included in all consultant anE e~.er service contacts with an anticipated cost in excess of $!~,999 $50,000. The 10% of the contract amount will be retained by the City until final acceptance of the services. 5. Council NefificationApproval ....................... ~_nod Council approval is required when separate contracts of similar scope to a single consultant service provider exceed $50 000 annually on a fiscal year basis. 6. Former Employees Consultant Compensation Limit During the first year after termination with the City, any employee who is hired hack on a contrac basis shall be compensated at a maximum hourly rate equal to the salary and benefits level at time of COUNCIL AGENDA STATEMENT Item I ~ Meeting Date 3/4/03 ITEM TITLE: Resolution Accepting a petition requesting the formation of an assessment district to include a portion of Quintard Street for the purpose of financing the construction of street improvements Resolution Adopting a map showing the proposed boundaries for Assessment District No. 2002-1 (Quintard Street) Resolution Ordering the installation of certain improvements on Quintard Street, approving the preliminary Assessment Engineer's Report, setting the time and place for a public hearing and ordering the initiation of ballot procedures Resolution Transferring $55,000 from Capital Improvement Project DR-127 to STL-285 (Quintard Street) to finance preconstruction costs SUBMITTED BY: Director of Engineering~/ REVIEWED BY: City Manager~c, 9 (4/5tbs Vote: Yes X No__) Seventeen residential properties on Quintard Street between Third and Fourth Avenues are currently without curbs, gutters, or sidewalks. Owners of fourteen of the properties have signed a petition requesting that special assessment district proceedings be commenced for the purpose of financing the construction of these improvements. Staff has completed preliminary design and cost estimates for this project. RECOMMENDATION: That Council adopt the above resolutions to: i. Accept the petition from Quintard Street property owners for the formation of a special assessment district; 2. Approve the District Boundary Map 3. Approve the Preliminary Engineer's Report; 4. Order the construction of improvements; 5. Set the time and place of a public hearing for May 6, 2003 at 4:00 pm to be conducted pursuant to the provisions of Chapter 27 of the Improvement Act of 1911 (the "Block Act") and Article XIIID of the Constitution of the State of California ("Article XIIID"); and 6. Order the initiation of ballot proceedings in accordance with Article XIIID BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. 17---/ Page 2, Item I~,/~ Meeting Date 3/4/03 DISCUSSION: At the verbal request o fproperty owners who wanted to have sidewalks installed on Quintard Street, City staffheld a property owners' meeting on October 24, 2001. At that meeting, staff explained the process for establishing assessment districts and informed attendees that a petition signed by the property owners would be necessary to beg/n the process. The petition was returned in December 2001 with the signatures of sixteen (16) property owners living along Quintard Street (Attachment A). Fourteen (14) of these properties are within the current District boundaries. Since a total of eighteen property owners are included within District boundaries, the petition complies with Section 2804 of the California Streets and Highways Code, which requires that the petition be signed by at least 60 percent of the area/front footage property owners. City Council's Policy No. 505-01, Participation in 1911 Block Act Proceedings (Attachment B), requires that the City provide all engineering, inspection and administrative services, as well as paying for all relocation and reconstruction of the existing roadway, if required. There is also a provision for comer lots whereby the City pays the cost of constructing improvements along half the frontage of the longer side of the lot. However, property owners are otherwise expected to pay for the cost of constructing curb, gutter, sidewalk and driveway aprons. The property owners felt that the City should pick up the cost of sidewalks in their case, since they are located near the South Chula Vista Library and many students from Castle Park Junior High School, as well as other members of the public, walk down Quintard Street on their way to the library. This could be classified as a regional route similar to Fourth Avenue between Moss and Palomar Streets. Therefore, construction of the sidewalks should be considered an improvement that benefits the general public and funded by the City. Based on this evidence and discussions at previous Council meetings, the cost of constructing curb, gutter and sidewalk has been included in the City's portion of costs. However, the driveway aprons are of special benefit to the property owners whose properties are served by such driveway aprons, so these costs are proposed to be paid by the property owners. City staffmet with property owners on several occasions over the past year. At a public meeting held on January 15, 2003, staff presented the project design and distributed preliminary ballots which included the amount that would be payable by each property owner. As of February 13, 2003 fourteen of these ballots were completed and returned to staff. Twelve of the property owners approved the assessment, while only two voted in opposition. It was therefore concluded that the project had sufficient support to warrant proceeding with the District formation process. Due to the overwhelming interest in this project, staffhas already completed the design work on this project. The City has coordinated this project with the utility companies, who will be undergrounding the utilities along Quintard Street this spring. Improvements and Costs This project consists of construction of curb, gutter, sidewalk and driveway aprons, resurfacing and widening of the existing asphalt pavement, and installation of mailboxes and streetlights along Quintard Street between Third and Fourth Avenues. Page 3,Item t~ Meeting Date 3/4/03 Details of the ~ost breakdown and design considerations are included in the Preliminary Engineer's Report (Attachment C) A reduced copy of the proposed boundarymap is also included in the report. The recommended construction costs payable per property are summarized on the attached table (Attachment D). The total project cost is estimated to be $329,882, of which the property owners' share is $67,976 to cover the cost of constructing the concrete driveways only. Certain properties on Quintard Street were not included in the District. This includes all properties to the east of 354 Quintard on the north side of the street and 317 Quintard. These properties already have curb, gutter and sidewalk along their frontage. Three parcels near the comer of Orange Avenue and Fourth Avenue 396, 394 and 398 Quintard - have been excluded because the residents exit their properties exit directly onto Orange Avenue or Fourth Avenue. New driveway aprons will not be constructed for any of those properties. Future Actions The proceedings to form Assessment District No. 2002-1 (Quintard Street) are being undertaken pursuant to the provisions of the Block Act and Article XIIID and the Onmibus Proposition 218 Implementation Act (Government Code Section 53750 and follows the "Prop 218 Implementation Act"). The notice, hearing and protest requirements of the Block Act, enacted long before the passage of Proposition 218 that added Article XIID to the California Constitution and the enactment of the Prop 218 Implementation Act, differ in certain significant respects from the notice, protest and hearing procedures mandated by Article XIID. However, the Prop 218 Implementation Act, enacted to facilitate the implementation of Article XIiID, provides that the notice, hearing and protest procedures imposed by the Prop 218 Implementation Act supercede any statutory provisions of the Block Act applicable to the levy of assessments pursuant to the Block Act, whether or not the provisions of the Block Act conflict with the provisions of the Prop 218 Implementation Act. Additionally, the Prop 218 Implementation Act provides that if the City complies with the notice, protest and hearing requirements of the Prop 218 Implementation Act, the City shall not be required to comply with the statutory notice, protest and hearing requirements that would otherwise be applicable to the levy of assessments pursuant to the Block Act. Consequently, the procedures proposed to be implemented to consider the levy of assessments within Assessment District No. 2002-1 (Quintard Street) are the notice, protest and hearing procedures mandated by the Prop 218 Implementation Act. Council is requested to adopt the above resolutions to, among other actions, order the construction of the improvements, set the time and place for a public heating regarding the construction of the improvements, and order the initiation of assessment ballot proceedings in accordance with Article XIID in conjunction with such public hearing. If the resolution is adopted, staffwill mail notices of the public hearing, together with assessment ballots, to all property owners at least 45 days in advance of the public hearing, which will be held on May 6, 2003. At the public hearing, property owners may present objections to the proposed work in accordance with Section 5132 of the California Streets and Highway Code and show cause why the proposed work should not be carried out in accordance with the Resolution of Intention. Additionally, by completing and returning their assessment ballots, the property owners will have the right to specify their support for or opposition to the levy of the assessments to finance the Page 4, Item Meeting Date 3/4/03 construction of the driveway aprons. The property owners have the option to revise their assessment ballots until the end of the public hearing. These assessment ballots will include the maximum principal amount that each property owner is required to pay. If the majority of property owners approve the levy of assessments to finance the construction of the driveway aprons, the City Council may then order the construction work for all of the improvements to be done and staff will complete design. It is anticipated that construction of this project would take place during the first half of Fiscal Year 2003-04 following completion of the utility undergrounding project. Following completion of the construction of the driveway aprons, the City Council will be asked to confirm the final assessments. So long as the final assessments are equal to or less than the assessments approved by the property owners pursuant to the assessment ballot procedure, no further public hearing will be necessary. If, however, the final assessments exceed the assessments approved by the property owners, it would be necessary for the City to conduct a further public hearing and assessment ballot proceeding in order to authorize the levy of the assessments in such higher amounts. Following confirmation of the final assessments, the property owners will have the option of paying any portion of the assessments during the 30-day payoff period following acceptance of improvements and confirmation of assessments. If assessments are not fully paid during that time, the City customarily collects the unpaid balance on the tax roll over a period often years, together with interest on the unpaid principal at the rate of 7 percent per year. Low income residents are offered two additional deferral options as shown on Attachment E. Property owners may pay the balance of their assessments at any time during the ten-year repayment period without penalty. FISCAL IMPACT: The total cost of this project is estimated to be $329,882, including $309,882 for design and construction and $20,000 for planning. A total of $55,000 is being transferred with this action, which will finance preconstruction costs such as planning, design and surveying. It is estimated that property owners will repay $67,976 of this amount over a ten year period. The $55,000 will be transferred from Capital Improvement Project DR-127 (Drainage Improvements - Tobias Drive/Glenhaven Way), to the new Capital Improvement Project STL-285 (Quintard Street). Considering current expenditures and encumbrances, there are sufficient Community Development Block Grant (CDBG) funds available in project DR-127 to cover thc $55,000. Since both projects are in the Montgomery area, the use of these funds is appropriate. Attachments: A. Petition Signed by D Street Property Owners B. City Policy No. 505-01 C. Preliminary Engineer's Report D. Property Owner Contributions E. Assessment District Payment Alternatives J:\ENGINEER~AGENDA\QUINTARD STREET-RES OF INTENT.EMC.DOC FILE: 0735-10-STL285 Honorable Mayor and Members of the City Council City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Re: Petition Requesting the Initiation of Proceedings to Consider the Formation of an Assessment District to Finance the Costs of Construction of Curb, Gutter and Sidewalk and Street Improvements for Properties Along the North and South sides of Quintard Street between Third and Fourth Avenues Mayor and Members of the City Council: We are the owners (the "Owners") of the properties located in the City of Chula Vista (the "City") which are identified adjacent to our signatures below and are also shown on the map attached to this Petition as Attachment A hereto. The Owners respectfully petition the City Council of the City (the "City Council") to initiate proceedings pursuant to [the Improvement Act of 1911 (Streets and Highways Code Section 5000 and following) to consider the formation of an assessment district for the purpose of financing the costs of construction of curb, gutter and sidewalk and street improvements along the north and south sides of Quintard Street between Third Avenue and Fourth Avenue (the "Improvements"). The Improvements and the properties proposed to be included within the boundaries of assessment district are also shown on Attachment A. We understand that if an assessment district is formed as we have petitioned the following costs will be assessed against those properties that will receive special benefit from the Improvements: 1. The costs to construct the Improvements; and 2. The costs of the acquisition of additional right-of-way, if any, necessary for the location of the Improvements; and 3. Financing costs related to payment of the above costs over time. We further understand that if the City Council elects to i~itiate the proceedings to consider the formation of an assessment district as we have petitioned: 1. The record owners of the properties proposed to be assessed will receive notice of a public heating to be held by the City Council. At such public hearing any interested person may present written or oral testimony and the City Council will consider all objections or protests to the proposed assessment. 2. The record owners of the properties proposed to be assessed will also receive an assessment ballot by which such record owners may express their support for or opposition to the proposed assessment. 3. All assessment ballots received by the City prior to the conclusion of the public hearing will be tabulated following the conclusion of such public heahng. The City Council shall have the authority to form the assessment district and levy the proposed assessments only if the assessment ballots submitted in favor of the levy of the proposed assessments exceed the assessment ballots submitted in opposition to such levy. In tabulating the assessment ballots, the assessment ballot for each parcel is weighted by the mount of the assessment proposed to be levied on such parcel. In submitting this petition we are not waiving our right: (a) to testify orally or in writing at the public heating described above, (b) to object to or protest the levy of the assessments if we do not agree with the amount of the assessment proposed to be levied on our property or (c) to submit an assessment ballot in opposition to the levy of the proposed assessment on our property if we do not agree with the amount of such proposed assessment. Tiffs petition is respectfully submitted by: Street Address Name of Propertw or Owner(s) Signature of Assessor's Parcel Date Signed (printed or typed) Property Owner(s) No. IZ ~7 3. Ail a~e~ment ballot~ received by the City prior to the conclusion of the public hearing will be tabulated following the conclusion of such public hearing. The City Council shall have the authority to form the a~sessment district and levy the proposed assessments only if the asse~ment ballot~ submitted in favor of the levy of the proposed assussme~ts exceed the assessment ballots submitted in opposition to such levy. In tabulating the assessment ballots, the asse~ment ballot for each parcel is weighted by the amount of the asse~ment propo~a:l to be levied on snob parcel. In submitting ~ petition we are not waiving our right: (a) to testify orally or in writing at ~e public hearing described above, Co) to obj~t to or protest the levy of the a~ssments if we do not agree with the amount of the asses~a~nt proposed to be levied on our property or (c) to submit an assessment ballot in opposition to the levy of the proposed assessment on our property if we do not agree with the mount of such proposed assessment. This petition is respectfully submitted by: Name of Property or Owner(s) Si~ature of Assessor's Parcel Date Si~ned (printed or typed) Prouerty Owner(s) -- No. 3. All assessment ballots received by the City prior to the conclusion of the public hearing will be tabulated following the conclusion of such public hearing. The City Council shall have the authority to form the assessment district and levy the proposed assessments only if the assessment ballots submitted in favor of the levy of the proposed assessments exceed the assessment ballots submitted in opposition to such levy. In tabulating the assessment ballots, the -seessment ballot for each parcel is weighted by the amount of the assessment proposed to be levied on such pm'eel. In subraitting this petition we ar~ not waiving our right: (a) to testify orally or in writing at the public hearing described above, (b) to object to or protest tho levy of the assessments if we do not agree with the amount oftbe assessment proposed to be levied on our prop~,ty or (c) to submit an assessment ballot in opposition to the levy of the proposed assessment on our property if we do not agree with the amount of such proposed assessment. This petition is respectfully submitted by: Street Address Name of Property or Owner(s) Signature of Assessor's Parcel Date Signed (printed or typed) Property, Owner(s) No. 9/¢// 3. All as~nt ballots received by the City prior to the conclusion of the public hearing will be tabulated following the conclusion of such public hearing. The City Council shall have the authority to form the assessment district and levy the proposed assessments only if the assessment ballots submitted in favor of the levy of the proposed assessments exceed the assessment ballots submitted in opposition to such levy, In tabulating the assessment ballots, the assessment ballot for each parcel is weighted by the amount of the assessment proposed to be levied on such parcel. In submitting this petition we am not waiving our right: (a) to testify orally or in writing at the public hem'ing described above, (b) to object to or protest the levy of the a.~sessments if we do not agree with the amount of the assessment proposed to be levied on our property or (c) to submit an asaessment bullot in opposition to the levy of the proposed assessment on our property if we do not agree with the amount of such proposed assessment. This petition is re~t~ctfully submitted by:. Street Address Name of Property or Owner(s) Signature of Assessor's Parcel Date Sit, ned (printed or tvoed) Property Owner(s) No__~. COUNCIL POLICY CITY OF CHULA VISTA SUBJECT: PARTICIPATION BY THE CITY OF CHULA POLICY EFFECTIVE ViSTA IN 1911 BLOCK ACT PROGRAM NUMBER DATE PAGE PROCEEDINGS 505-01 08-30-83 1 OF 6 ADOPTED BY: Resolution No. 11373 DATED: 08-30-83 BACKGROUND There are properties within the City limits ti(at do not have full street improvements. In the past, Council has directed the owners of critical unimproved parcels to install their missing public improvements. The 1911 Block Act Proceedings were utilized in most instances. As an encouragement for property owner participation, the City has contributed funds for the completion of certain items of work (i.e., grading, pavement installation, etc.). Also, the City consistently has contributed engineering inspection and administrative services ar no charge to the property owner(s). However, there is no Council adopted policy regarding City participation in 1911 Block Act improvement construction proceedings. This policy is designed ro encourage the installation of missing improvements along .developed residential lots. It specifically sets City participation goals for the improvement of coruer, non-corner, and double frontage residential lots. The policy reaffirms City Council intent to require the installation of public improvements adjacent to undeveloped property (residential, commercial, and industrial) through the formation of 1911 Act Assessment Dis~-icts or through the subdivision and building permit approval procedures. This policy shall only apply to areas incorporated on or before this policy's effective date. PORPOSE To establish a policy for participation by the City in the construction of public improvements via the 1911 Block Act Proceedings (Chapter 27, Street and Highways Code of the State of G, alifornia). POLICY The City Council establishes the following policy for City participation in 1911 Block Act Program proceedings: 1. General Participation a. The City, at no cost to the property owner(s) shall provide all engineering, inspection and administrative services necessary to install missing improvements via the 1911 Block Act Program proceedings. b. It shall be the City's responsibility to relocate all existing public improvements found to be in conflict with the proposed street improvement construction. Such improvements shall include, but not be limited to: street lights, traffic signal standards, drainage structures, fire hydrants, etc. c. Engineering staff shall meet individually with each property owner prior to the program's public hearing to hand deliver initial correspondence and to explain the plans, proceedings and this policy. Final engineering plans and project specifications shall reflect as close as practicable, the property owner(s) concerns provided they reflect standard engineering practice. 12 .12 COUNCIL POLICY CITY OF CHULA VISTA SUBJECT: PARTICIPATION BY THE CITY OF CHULA POLICY EFFECTIVE VISTA IN 1911 BLOCK ACT PRGRAM NUMBER DATE PAGE PROCEEDINGS 505-01 08-30-83 2 OF 6 ADOI'I'ED BY: Resolution No. 11373 I DATED: 08-30-83 d. Prior to the end of each fiscal year, the City Engineer shall submit to the City Council for approval under this program, a recommended list of projects for scheduling in the ensuing fiscal year. Funding for the program shall be determined annually and shown in the Capital Improvement Program. e. City pa~icipation in chis program shall be limited to developed parcels that cannot be split ~nto Iots or building sites. 2. Developed Residential Lots a. Non-Co. er Lots It shall be the City's responsibility to overlay or reconstruct the roadway rravelway adjacent ro non-comer lots when the rravelway is already improved and needs an overlay or reconstruction to accommodate drainage or traffic safety requirements. The Civfs responsibility described above is shown on Figure 1 (attached). b. Comer Lots For the purposes of this policy, the comer lot front lot line shah be defined to be the shorter of the two adjacent street lot lines. In this case of a non-rectangular comer lot, the front lot line shall be the average widch of the lot. (See Figure 2). It shall be the City's responsibility to: (1) Install curb, gutter, sidewalk and pavement (if non-existent) adjacent to ;/2 che comer lot's side street frontage. (2) Overlay or reconsmact the side and frontage street's rravelway when needed to accommodate drainage or traffic safety requirements. ' (33 In the event that there are improvements already existing along the comer lot's side property ~rontage already existing, these improvements shall be credited ro the City if they need not be removed to accommodate the improvements to be installed. The Ciys responsibility described above is depicted on Figure 3 (artached). 3. _D.ual Frontage Lots It shall be the City's responsibility to: COUNCIL POLICY CITY OF CHULA VISTA SUBJECT: PARTICIPATION BY THE CITY OF CHULA POLICY EFFECTIVE VISTa, IN 1911 BLOCK ACT PROGRAM NUMBER DATE PAGE PROCEEDINGS 505-01 08-30-83 3 OF 6 ADOPTED BY: Resolution No. 11373 DATED: 08-30-83 a. Install curb, gutter, sidewalk, and pavement (if non-existent) adjacent to r. he entire lot's rear street frontage. b. Overlay or reconstruct the lot's rear street rravelway when needed to accommodate drainage or traffic safety purposes. For purposes of this policy, dual frontage lots shall be a lot having frontage on two parallel or approximately parallel streets, one of which is an ~alley". 4. Developed Industrial/Commercial Lots The City contribution towards the construction of improvements adjacent to developed industrial/commercial lots shall be limited to: a. The overlay or reconstruction of existing roadway travelway areas when found to be required for drainage or traffic safety purposes. 5. Undeveloped Residential, Industrial and Commercial Lots This policy shall reaffirm the City Council's intent to require the installation of missing improvements adjacent to undeveloped lots (both comer and non-comer with and without double street frontages) through: a. 1911 Act Assessment District procedures. b. subdivision requirements, and c. building permit approval requirements. There shall be no City contribution towards the construction of improvements adjacent to undeveloped residential, industrial and commercial lots. In the event that an owner petitions the City for inclusion of his/her undeveloped parcel in a 1911 Block Act Program, all expenses shall be borne by said owner. 6. ^pplicability This policy shall be applicabl~ to areas within the Chula Vista City limits on or before its effective date. COUNCIL POLICY CITY OF CHULA VISTA SUBJECT: PARTICIPATION BY THE CITY OF CHULA VISTA IN 1911 BLOCK ACT PROGRAM PROCEEDINGS _N~_ B_ERI DATE I PAGE ADoP'rlq. D BY: Resolution No. 11373DATED: 08-30-83 COUNCIL POLICY CITY OF CHULA VISTA SUBJECT: PARTICIPATION BY THE CITY OF CHULA POLICY EFFECTIVE VISTA IN 1911 BLOCK ACT PROGRAM NUMBER DATE PAGE PROCEEDINGS 505-01 08-30-83 5 OF 6 ADOPTF. D BY: Resolution No. 11373 I DATED: 08-30-83 0.~ cea u_' I II .~ L) I iI ~ I I COUNCIL POLICY CITY OF CHULA VISTA - SUBJECT: PARTICIPATION BY THE CITg OF CHULA POLICY EFFECTIVE VISTA IN 1911 BLOCK ACT PROGRAM NUMBER DATE PAGE PROCEEDINGS 505-01 08-30-83 6 OF 6 ADOP'I'IdD BY: Resolution No. 11373 DATED: 08-30-83 ~O ~--~g' , ~ I x~ I ~ . ~ -. /2-/7 PRELIMINARY ENGINEER'S REPORT QUINTARD STREET SIDEWALK IMPROVEMENTS 1911 ACT ASSESSMENT DISTRICT AD 2002-1 JANUARY 10, 2003 Back~round Quintard Street between Third and Fourth Avenues in Chula Vista is a residential street with an 80-font width of right-of-way. It connects at a diagonal to Orange Avenue near its intersection to Fourth Avenue. The South Chula Vista Library is located at this intersection. Existing improvements generally consist of asphaltic concrete pavement with gravel shoulders. There are full street improvements (curb, gutter and sidewalk) at 1388 E1 Lugar Street (at Quintard Street) and adjacent to all properties on the north side of Quintard between El Lugar and Third Avenue. Additionally, two properties on the south side of Quintard Street, 317 Quintard and 1408 Third Avenue, have full improvements. In December 2001 sixteen Quintard Street property owners submitted a petition to the City requesting the initiation of proceedings to form an assessment district in accordance with the Improvement Act of 1911. This district would finance the construction of the missing curb, gutter and sidewalk and other street improvements on the north and south sides of Quintard Street. The City currently has a policy regarding participation in 1911 Block Act proceedings. According to this policy, the City will provide all engineering, inspection and administrative services at no cost to the propcnx~y owners. It is the City's responsibility to relocate or replace all existing public improvements which would be in conflict with the new improvements, including utilities. Additionally, due to the use of Quintard Street as an access road to the South Chula Vista Library, the City has decided to pay for costs associated with construction of the additional shoulder and the curb, gutter and sidewalk. These costs would not be assessed to the property owners. Overall Design and Cost Estimate The project area and general location of improvements are shown on Exhibit A, the Proposed Boundary Map for Assessment District 2002-1, Quintard Street. The properties which will benefit from these improvements and would be a part of the district are as follows: Address Parcel Number 315 Quintard Street 623-050-13-00 325 Quintard Street 632-050-01-00 333 Quintard Street 623-040-09-00 341 Quintard Street 623-040-16-00 347 Qulntard Street 623-040-06-00 353 Quintard Street 623-040-05-00 354 Quintard Street 619-290-55-00 357 Quintard Street 623-040-03-00 360 Quintard Street 619-290-86-00 364 Quintard Street 619-290-87-00 2 /2 365 Quintard Street 623-040-02-00 366 Quintard Street 619-290-52-00 369 Quintard Street 623-040-02-00 372 Quintard Street 619-290-51-00 374 Quintard Street 619-290-50-00 385 Quintard Street 623-040-01-00 392 Quintard Street 619-290-49-00 The iml,~ovements include reconstruction of the asphaltic concrete street with 11-inch thick aggregate base, construction of monolithic curb, gutter and aldewalk, and installation of three streetlights and new mailboxes. The sidewalk will be five feet wide and will match the existing sidewalk at the intersection of Quintard Street and Orange Avenue. The street will only be reconstructed to the centerline east of 354 Quintard Street, because complete improvements were previously constructed on the north side of Quintard in this area. Where driveways are located, a driveway apron will be constructed to provide a transition between the street, the sidewalk and the driveways. The City has coordinated with the utility companies for the underground relocation of all overhead utilities along Quintard Street. This work is expected to be completed by June 2003, which will be prior to the commencement of construction of street improvements. Several properties have fences or walls which will need to be relocated to construct the street improvements. The cost of this reconstruction is estimated to total $7416. These improvements are summarized as follows: Address Improvements 347 Quintard 3-foot high wooden fence (41 feet) 357 Quintard 6-foot high chain link fence and gate (80 feet) with decorative light 365 Quintard Block wall (44 feet) 369 Quintard 3-foot high chain link fence and gate (64 feet) 385 Quintard Brick wall (32 feet) with decorative lights The cost estimate is provided on Table 1. Total construction cost is estimated to be $239,882. This estimate is based on the final design, but an additional 15 percent contingency amount (approximately $35,000) has been added to this figure to cover construction change orders or other unforeseen factors. City staff cost for design, inspection and surveying is estimated to be an additional 15%. Method of Apportionment Costs must be apportioned to each property in proportion to the benefit received by that property. In apportioning the cost of street improvements, it can generally be assumed that the property adjacent to the improvements will receive the direct benefit. The adjacent properties would be most likely to use the improvements, particularly with respect to thc driveway aprons. Additionally, construction of street and sidewalk improvements generally results in increased property values for the adjacent residences. 3 For this project, the City agreed that the sidewnlks and street i,,,.,,~,,vements should be financed by the City due to the use oftbe street end sidewalk as a genc-rai public route to the South Chula Vista Library. It is generally the City's policy to pay for replacement of existing k',,:,~ovements end City staff costs related to planning, design, surveying and construction inspection. Therefore, the only cost that will be paid by the propen'y owners is the cost of constructing the driveway aprons. This is Item 09 on the cost estimate, 6" PCC Driveways, end has a total estimated cost of $67,976. Only those properties which would benefit from the new driveway aprons fronting Quintard Street were included in the assessment district. Thus 398 Quintard Street, which has direct access to Fourth Avenue, was excluded. Similarly, 394 and 396 Quintard Street were excluded from the district because field inspections indicated that these residents were crossing a gravel area adjacent to Orange Avenue. The cost for driveways used by two properties was split between these properties. The most unusual situation pertains to the property at 364 Quinterd (APN 619-290-87-00), which does not front Quintard Street. However, access to this parcel is provided by a long driveway to the west side of the property at 360 Quintard (APN 619-290-86-00). Therefore, a portion of the driveway apron at this location was allocated to 364 Quintard based on the width of the asphalt driveway. The breakdown of constntction costs among the seventeen prope~ies within the district is shown on Table 2. For each prof,,fy, the square footage of driveway apron was individually calculated. The calculation was broken into two parts: the actual driveway end the wing area on each side of the driveway, which provides a transition between the driveway and the sidewalk. The cost breakdown in this Engineer's Report will be reviewed aRer the project has been constructed. At that time, all quantities and costs will be known- The assessment for each individual property cannot be increased without enother ballot process. TABLE 2 QUINTARD STREET PROPERTY OWNER BREAKDOWN LENGTH WIDTH AREA (SF) AREA (SF) COST COST 315 623-050-13 15.5 28 51 485 $8.00 $3,880.00 325 623-050-01 20.5 22 51 502 $8.00 $4,016.50 333 623-040-09 22.5 16 51 411 $8.00 $3,288.50 333 623-040-08 23.5 16 51 427 $8.00 $3,416.00 341 623-040-06 23.5 28 76.5 734.5 $8.00 $5,876.00 347 623-040-06 23.5 18 25.5 448.5 $8.00 $3,588.50 353 623-040-05 23.5 16 51 427 $8.00 $3,416.00 354 619-290-55 23.5 33 51 828.5 $8.00 $8,612.00 357 623-040-04 23.5 18 51 474 $8.00 $3,792.00 360 619-290-55 23.5 45 102 1159.5 $8.00 $9,276.00 365 923-040-03 23.5 16 51 427 $8.00 $3,418.00 366 619-290-52 23.5 26 25.5 636.5 $8.00 $5,092.50 369 623-040-02 27.5 16 51 491 $8.00 $3,928.00 372 619-290-51 23.5 10 25.5 260.5 $9.00 $2,084.00 374 619-290.50 23.5 16 51 427 $8.00 $3,416.00 385 623-040-01 23.5 32 102 854 $8.00 $9,832.00 392 619-290-49 15.5 28 51 485 $9.00 $3,880.50 TOTAL 9476 $75,808.00 TABLE 2 QUINTARD STREET PROPERTY OWNER BREAKDOWN USE NO. APN DRivEWAY' DRivEWAY WiNG TOTAL, UNiT TOTAL LENGTH WIDTH AREA(SF) AREA (SF) COST COST 315 623-050-13 15 28 51 471 $8.00 $3,768.00 325 623-050-01 20 22 51 491 $8.00 $3,928.00 333 623-040-09 22 16 51 403 $8.00 $3,224.00 341 623-040-16 23 28 76.5 720.5 $8.00 $5,764.00 347 623-040-06 23 18 25.5 439.5 $8.00 $3,516.00 353 623-040-05 23 16 51 419 $8.00 $3,352.00 354 619-290-55 23 33 51 810 $8.00 $6,480.00 357 623-040-04 23 18 51 465 $8.00 $3,720.00 360 619-290-86 23 29 76.5 743.5 $8.00 $5,948.00 364 619-290-87 23 16 25.5 393.5 $8.00 $3,148.00 365 623-040-03 23 16 51 419 $8.00 $3,352.00 366 619-290-52 23 10 25.5 255.5 $8.00 $2,044.00 369 623-040-02 27 16 51 483 $8.00 $3,864.00 372 619-290-51 23 10 25.5 255.5 $8.00 $2,044.00 374 619-290-50 23 16 51 419 $8.00 $3,352.00 385 623-040-01 23 32 102 838 $8.00 $6,704.00 392 619-290-49 15 28 51 471 $8.00 $3,768.00 ~-~"~)TA~ 8497 $67,976.00 A~I~ACHMENT D PROPERTY OWNER CONTRIRUTIONS Address Parcel Number Owners' Cost 315 Quintard 623-050-13-00 $3,768 325 Quintard 632-050-01-00 $3,928 333 Quintard 623-040-09-00 $3,224 341 Quintard 623-040-16-00 $5,764 347 Quintard 623-040-06-00 $3,516 353 Quintard 623-040-05-00 $3,352 354 Quintard 619-290-55-00 $6,480 357 Quintard 623-040-04-00 $3,720 360 Quintard 619-290-86-00 $5,948 364 Quintard 619-290-87-00 $3,148 365 Quintard 623-040-03-00 $3,352 366 Quintard 619-290-52-00 $2,044 369 Quintard 623-040-02-00 $3,864 372 Quintard 619-290-51-00 $2,044 374 Quintard 619-290-50-00 $3,352 385 Quintard 623-040-01-00 $6,704 392 Quintard 619-290-49-00 $3,768 RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING A PETITION REQUESTING THE FORMATION OF AN ASSESSMENT DISTRICT TO INCLUDE A PORTION OF QUINTARD STREET FOR THE PURPOSE OF FINANCING THE CONSTRUCTION OF STREET IMPROVEMENTS WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA, has been presented and has received a petition from certain property owners requesting the installation of certain improvements, including curb, gutter, sidewalk and street improvements on Quintard Street between Third and Fourth Avenues, together with appurtenances and appurtenant work in connection therewith, such improvements to be installed pursuant to the provisions and authority of Chapter 27 of the "Improvement Act of 1911 ", being Division 7 of the Streets and Highways Code of the State of California; and WHEREAS, such petition requests that such improvements be financed through the formation of an assessment district pursuant to the provisions of Chapter 27, such assessment district to be known and designated as ASSESSMENT DISTRICT NO. 2002- l (QUINTARD STREET) (the "Assessment District"). NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION I. The above recitals are all tree and correct. SECTION 2. It is hereby found that: A. Such petition has been signed by the owners owning land constituting more than sixty percent (60%) of(i) the front footage of the unimproved portion of the block requested by such owners to be improved and (ii) all assessable land proposed to be included within the boundaries of the Assessment District. B. Such petition meets all of the requirements of the "Special Assessment Investigation, Limitation and Majority Protest Act of 1931 ,' being Division 4 of the Streets and Highways Code of the State of California (the "Investigations Act"). SECTION 3. No further proceedings or limitations under the Investigations Act shall be applicable to these proceedings. SECTION 4. This petition shall be as a part of the record of these proceedings and shall be open to public inspection as required by law. /2 -27 Presented by Approved as to form by Clifford Swanson Ann Y. ~o~e d/ ~ Director of Engineering City Attorney J:\attomey\reso\Quintard AD formation 2 RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING A MAP SHOW1NG THE PROPOSED BOUNDARIES FOR ASSESSMENT DISTRICT NO. 2002-1 (QUINTARD STREET) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA, has been presented and has received a map showing and describing the boundaries of the area proposed to be assessed in an assessment district under the provisions and authority of Chapter 27 of the "Improvement Act of 1911", being Division 7 of the Streets and Highways Code of the State of California; said assessment district known and designated as ASSESSMENT DISTRICT NO. 2002- 1 (Quintard Street) (the "Assessment District"). NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION 1. The above recitals are all true and correct. SECTION 2. A map showing the boundaries ofthe proposed Assessment Distr/ct and lands and property to be assessed to pay the costs and expenses of the proposed acquisition of certain public improvements designated as "PROPOSED BOUNDARIES OF ASSESSMENT DISTRICT NO. 2002-1 (QUINTARD STREET)" is hereby submitted, and the same is hereby approved and adopted. SECTION 3. The original map of the boundaries of the proposed Assessment District and one copy thereof is to be filed in the Office of the City Clerk. SECTION 4. A certificate shall be endorsed on the original and on at least one copy of the map of the Assessment District, evidencing the date and adoption of this Resolution, and within fifteen (l 5) days after the adoption of the Resolution fixing the time and place of hearing on the formation or extent of the Assessment District, a copy of such map shall be filed with the correct and proper endorsements thereon with the County Recorder, all in the manner and form provided in Section 31 l 1 of the Streets and Highways Code of the State of California. Presented by Approved as to forn~ by Director or'Engineering City Attorney J:\attomey'xrcso\Qumtard AD Boundary Map RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ORDERING THE INSTALLATION OF CERTAIN IMPROVEMENTS ON QUINTARD STREET, APPROVING THE PRELIMINARY ASSESSMENT ENGiNEER'S REPORT, SETTiNG THE TIME AND PLACE FOR A PUBLIC HEARING AND ORDERING THE INITIATION OF BALLOT PROCEEDINGS WHEREAS. the CITY COUNCIL (the "City Council) of the CITY OF CHULA VISTA (the "City"), CALIFORNIA, has been presented and has received a petition from certain property owners requesting the installation of certain improvements, including curb, gutter, sidewalk and street improvements on Quintard Street between Third and Fourth Avenues, together with appurtenances and appurtenant work in connection therewith, such improvements to be installed pursuant to the provisions and authority of Chapter 27 ("Chapter 27")of the "Improvement Act of 1911", being Division 7 of the Streets and Highways Code of the State of California; and WHEREAS, the City Council, acting in response to such petition, desires to initiate proceedings to order the installation of such sidewalk improvements pursuant to the provisions of Chapter 27 and to initiate proceedings pursuant to the provisions of Chapter 27, Article XII1D of the Constitution of the State of California ("Article XIIID") and the Proposition 218 Omnibus Implementation Act (Government Code Section 53750 and following) (the "Implementation Act") (Chapter 27, Article XIIID and the Implementation Act may be referred to collectively herein as the "Assessment Law") to form an assessment district for the purpose of financing the cost of the installation o f certain of those improvements, such assessment district to be known and designated as Assessment District No. 2002-1 (Quintard Street) (the "Assessment District"); and WHEREAS, there has been prepared and filed with this legislative body a report (the "Report") of the City Engineer, acting as the Assessment Engineer, pertaining to the proposed Assessment District as provided lbr in and required by the Assessment Law and the Report has been presented to this legislative body for its consideration. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: SECTION 1. Recitals. The above recitals are all true and correct. SECTION 2. Description o f Improvements. The public interest and convenience requires, and this City Council hereby orders the installation of the following public improvements (the "Improvements": Curb, gutter, sidewalk and street improvements on Quintard Street between Third and Fourth Avenues, together with appurtenances and appurtenant work in connection therewith. SECTION 3. Plans and Specifications. All of the Improvements shall be generally 1 constructed at the grades, along the lines, between the points, and at the places and in the manner as shown on the plans and specifications for such Improvements designated by the name and number of the Assessment District which are on file in the office of the Director of Public Works. For all particulars as to the alignment of the Improvements and a full and detailed description of such improvements, referenced is hereby made to such plans and specifications. SECTION 4. Area of Special Benefit. In the opinion of this City Council, certain of the Improvements, namely the curb, gutter and sidewalks, will be of general benefit to properties located both within and outside the proposed Assessment District. The driveway aprons, however, will be of special benefit to the abutting and fronting properties. It is the intention of this City Council to make the expenses of the construction of such driveway aprons assessable upon such properties within the proposed boundaries of the Assessment District. For a general description of the Assessment District and area of special benefit, reference is made to the map of the boundaries of the Assessment District identified as "PROPOSED BOUNDARIES OF ASSESSMENT DISTRICT NO. 2002-1 (QU1NTARD STREET)". A copy of such map is on file in the office of the Director of Public Works and open to public inspection during normal office hours of such department. It is the further intention of this City Council that the cost of the construction of the Improvements representing the general benefit to be conferred by such Improvements shall be paid for by a contribution from the City. SECTION 5. Construction of the Improvements. This City Council hereby orders the Superintendent of Streets to cause the construction of the Improvements. The Superintendent of Streets shall first give notice pursuant to the provisions of Chapter 27 to the owners of properties served by driveway aprons of their right to construct such driveway aprons and thereby avoid the levy of an assessment to finance such construction. Such notice shall specify that if the construction of such driveway aprons is not commenced within 60 days after such notice is given and diligently and without interruption prosecuted to completion, the Superintendent of Streets shall cause such construction to be done together with the construction of the remainder of the Improvements. SECTION 6. Authority for Construction. All of the construction proposed shall be done and carried through and financed pursuant to the provisions of Chapter 27. SECTION 7. Approval of the Report. The Report referred to herein above is adopted, passed upon, and preliminarily approved, and contains the following: A. A description of the Improvements to be constructed; B. The plans and specifications for the Improvements proposed to be constructed; C. The Assessment Engineer's estimate of the itemized and total costs and expenses of the construction of the Improvements and of the incidental expenses in connection therewith contained in the Report. Such estimate shall include (a) that portion of such costs and expenses representing the general benefit to be conferred by such Improvements and (b) that portion of such costs and expenses representing the 2 special benefit to be conferred by such the driveway aprons on those pamels within the Assessment District to be served by such driveway aprons; D. The diagram showing the Assessment District and the boundaries and dimensions of the respective subdivisions of land within such Assessment District, as the same existed at the time of the passage of this resolution, each of which subdivisions have been given a separate number upon such diagram, as contained in the Report; and E. The proposed assessment upon the several subdivisions of land in the Assessment District, in proportion to the estimated special benefits to be conferred on such subdivisions, respectively, by the driveway aprons to be constructed, and of the incidental expenses thereof, as contained in the Report if such driveway aprons are not constructed by such property owners. The Report shall stand as the Report of the Assessment Engineer for the purpose of all subsequent proceedings had pursuant to the Assessment Law. SECTION 8. Notice of Public Hearing. Notice is hereby given that a public hearing to consider protests to the proposed assessments is hereby scheduled to be held at the City Council meeting room of the City of Chula Vista located at 276 Fourth Avenue, Chula Vista, California on May 6, 2003 at 4:00 pm. As such public hearing, the City Council will hear and pass upon objections or protests, if any, which may be raised orally or in writing by any property owner or any other interested person. In addition, pursuant to the provisions of the Assessment Law, each record owner of property proposed to be assessed has the right to submit an assessment ballot in favor of or in opposition to the proposed assessment. Assessment ballots will be mailed to the record owner of each parcel located within the Assessment District and subject to a proposed assessment. Each such owner may complete such assessment ballot and thereby indicate their support for or opposition to the proposed assessment. All such assessment ballots must be received by the City Clerk at the following address at or before the time set for the close of the public hearing: City Clerk, City of Chula Vista 276 Fourth Avenue Chula Vista, California 91910 An assessment ballot received after the close of the public hearing will not be tabulated even though the postmark on the envelope transmitting the assessment ballot is dated on or before the date of the public hearing. At the conclusion of the public hearing, the City Council shall cause the final tabulation of the assessment ballots timely received. Ifa majority protest exists, the City Council shall not impose 3 an assessment within the Assessment District. A majority protest exists if, upon the conclusion of the public hearing, assessment ballots submitted in opposition to the assessments within the Assessment District exceed the assessment ballots submitted in favor of such assessments. In tabulating the assessment ballots, the assessment ballots shall be weighted according to the proportional financial obligation of the affected property. SECTION 9. Order to Provide Notice. The City Clerk is hereby directed to mail or cause to be mailed notice of the public hearing and the adoption of this and of the filing of the Report, together with the assessment ballot materials, to the record owner of all real property proposed to be assessed. Presented by Approved as to form by Clifford Swanson Ann ~I~ore Director of Engineering City Attorney J:\attomey\Quintard AD reso of intent RESOLUTION NO. 2003- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA TRANSFERRING $55,000 FROM CAPITAL IMPROVEMENT PROJECT DR-In TO STL-285 (QUINTARD STREET) TO FINANCE PRECONSTRUCTION COSTS WHEREAS, the Quintard Street project consists of construction of curb, gutter, sidewalk and driveway aprons, resurfacing and widening of the existing asphalt pavement, and installation of mailboxes and streetlights along Quintard Street between Third and Fourth A venues; and WHEREAS, the total cost of this project is estimated to be $329,882, including $309,882 for design and construction and $20,000 for planning; and WHEREAS, it is necessary to transfer $55,000 in order to finance preconstruction costs such as planning, design and surveying; and the proj ecl. WHEREAS, it is estimated that property owners will repay $67,976 of the cost of NOW, THEREFORE, BE IT RESOLVED that the City Council of City of Chula Vista does hereby transfer $55,000 from Capital Improvement Project DR-In (Drainage Improvements - Tobias Drivel Glenhaven Way), to the new Capital Improvement Project STL- 285 (Quintard Street) to finance preconstruction costs. Presented by Approved as to form by ~~~ Ann Y. Moore City Attorney Clifford Swanson Director of Engineering J:\anorney\resn\Quintard St. xler IZ~* '. . . ~ .5an Diego Bus Drivers h..ion A.F.L.-C.I.O. LOCAL 1309 TEL 619-563-1309 FAX 619-281-9184 CA.L'''OI'tNI4 TOWlER .ALBO'" ~"'''K ~({ù\¡{1-~L.' // , ./ r,!,t4~' M ': r-{ ~?;iJ September 10,2002 CHUIA VISTA CITY COUNCIL Amalgamated Transit Union, Local 1309 requests you review your contract and the covenants made with your contractor, National Express Incorporated, a foreign corporation and its subsidiary ATC/Vancom L.P. Inc., with regards to OUT union members working on th!: ChuIa Vista Transit Project. We have been notified by National Express that they are refusing collective bargaining and even refusing this Union recognition. Bargaining and recognitions were requirements of the RFP and requirements of the Federal 13C agreements covering the capital equipment proposed for use. The city relied on promises by National Express which appear to be acts of deceit if not fraud. The City in . accepting the National Express bid relied on their assertations that, ATC,'its subsidiary would endeavor to have a Collective Bargaining Agreement in place by July 1,2002. (see-A-22) pagell-9 form 6.2) In addition, National Express and its subsidiary, ATC, asserted that they had a long standing good relationship with the ATU to buttress its claims that it would and could bargain a new labor agreement with Union members who transferred from the San Diego Labor Contract. This assertion was part and parcel of its successful bid and the City's faith in National Express as a contractor. In the contract for the operations of the project, Chula Vista Transit, and National Express through its subsidiary, ATe, agreed to paragraph J, page B-6, "J. Federal, State and Local laws. "Contractor warrants that in the performance of this Agreement it shall comply with all lawful federal, state and local orders, rules, regulations and or requirements such as...and any other matter that impacts safety, eligibility for funding, risk exposure or other relevant area of endeavor! In addition, National Express agreed (page B-24) "XIII Notice of Labor Dispute and Labor Relations Contractor shall have exclusive responsibility for conducting its labor relations including negotiating its labor contracts... . - . . . ..i' In addition in part, ·XV Independent Contractor ·...Contractor shall supply the Agency with one copy of all existing relevant labor contracts" In addition, Exhibit A, page 7, 3.17 ·Scheduling" ·Contractor shall be responsible for complying with any federal, state, or local laws regarding employee lunch periods or required breaks. If breaks are required beyond the available standard recovery time provided in schedules. Contractor shall arrange at no cost of AgenCY.... Further as required by MTDB Policy 32 and Attachment #12, ·the Contractor must indicate that a collective bargaining agreement has been executed that covers time beyond July 1, 2002!" In the City Councils Revolution of Approval and transmittal cover for Board item 11, meeting March 12,2002, with regards to ATC's Successful bid and promises, the councjl was told by the Director of Puþlic Works, ·All bidders were required to and did, comply with the responsible wage provisions of MTDB's policy 32, section 32.10. A copy of the wage proposal is included as Attachment 3...They also intend to have a collective bargaining agreement in place by July 1,2002" National Express continued to assert their intention to bargaining. See letter dated August 9, 2002 Andy Trujillo, Transit Coordinator to Honorable Mayor and City Council in response to my appearance stated Page 2, Item 8 ·ATC is currently in negotiations with ATU. This is could be part of a bargaining item" This is not a bargaining issue. It is an obligation as indicated in Exhibit A, page 7 of a state Iaw that both Chula Vista and ATC must comply with. Wage Order Number 9 is not a bargaining issue. It is, again, obligatory state law for both parties. Enforcement rests with the state Iabor commissioner who will be asked to enforce Wage Order #9 now. We believe that the city in its review shouId consider immediate termination of its contract with National Express. Sr) George Tho pson President/Business Agent ATU Local 1309 ~!~ -t- " - --- - - C/1Y OF (HUlA YISfA TRANSIT COUNCIL INFORMATION MEMO September 13, 2002 File No. OS 027/035 TO: Honorable Mayor and City Council VIA: David D. Rowlands, Jr., City Manager John Lippitt, Director of Public Works FROM: - . Jeffrey Codling, Assistant Transit Coordinator SUBJECT: Oral and Written Communications from Mr. Thompson of the Amalgamated Transit Union (ATU Local 1309) - Council Meeting of Sept. 10,2002 At the Council meeting held on September 10, 2002, Council received oral and written communication from Mr. George Thompson, President of the Amalgamated Transit Union (A TU) Local 1309. I have paraphrased and summarized Mr. Thompson's comments (in bold), followed by staff's response to each issue: 1. The City's RFP states in several places that the contractor is required to negotiate with and recognize ATU as the collective bargaining agent. Mr. Thompson very thoroughly details each section in the City's Request For Technical Proposals (RFP) where collective bargaining and/or labor issues are mentbned in his written correspondence dated September 10, 2002. It is clear that the RFP does not require and/or mention any specific bargaining agent or require that the contractor have a collective bargaining agreement in place. The RFP does require the contractor to meet specific responsible wage requirements, which ATC has done. 2. The City, in accepting the ATC (our transit contractor, a subsidiary of National Express) bid, relied on the assertion that ATC would endeavor to have a collective bargaining agreement in place by July 1, 2002. ATC has been deceitful, dishonest, and deceptive with its actions. ATC did indicate that it intends to have a collective bargaining agreement in place by July 1, 2002 and had every intention of working with the existing union (A TU) to make this happen. ATC did meet with Mr. Thompson and ATU representatives on more than one occasion and there was indication that A TC would attempt to mirror their other local agreement with ATU, with a few modifications. The reason all of this changed is that A TC's Human Resources Department informed local A TC representatives that they risk being in violation of labor laws by negotiating at all with ATU since more than 50% of the drivers from the previous contract did not carry over to the new contract. The drivers themselves would have a claim against A TC, and possibly the City, for negotiating with an entity that they did not collectively agree to be a part of. Background - During the award phase of this contract, both A TC and City Tralsit Staff expected most of the existing drivers to stay with CVT, come to work for ATC, and carryover their existing Union representation (as is normally the case with these contract turnovers). Unfortunately, the previous contractor ran a late, very effective recruiting effort to bring over as many existing cvr drivers as possible to their downtown San Diego and Kearny Mesa operations. Because of this, A TC ended up with only 18 of the 56 (32%) existing ATU represented drivers on July 1, 2002. Labor laws specify that 5Q% plus 1 is the number of employ~es required to automatically carry over an existing labor agreement. Anything less than this requires the employees themselves to certify into a Collective Bargaining arrangement by going through the proper channels, which does include a vote. The bus operators (and mechanics) currently do not have any collective bargaining representation. This is an issue for the employees, A TC, and any potential Union to resolve. These are all employees of the contractor (A TC) and the City of Chula Vista takes no active part in any phase of these management/labor issues. 3. ATC is in violation of Federal13C requirements related to capital equipment purchased with Federal funds. All Federal capital equipment purchases for CVT and other regional transit operators are processed through the Metropolitan Transit Development Board (MTDB). We have been assured by MTDB that every Federal13C requirement has been met. One issue that relates to Federal13C requirements, which Mr. Thompson may be referring to, is a stipulation that mandates employees involved in any contract turnover cannot be hurt in any way as a result of the change. This is more than adequately covered with our agreement with A TC since the carryover drivers are making a much higher hourly wage, and benefits are equal if not better than they were previously. We also required that the existing employees carryover existing seniority and other benefit balances where allowed by state and federal laws. These detailed Driver Retention Plan benefits (Section 6.2) were all endorsed by the former A TU President prior to Council approval of the RFP. 4. ATC is in violation of MTDB's Policy 32. ATC meets all the requirements in MTDB's Policy 32. This policy does not require any contractor to enter into a collective bargaining agreement. There is a section (F) that indicates that jf the contractor enters into a collective bargaining agreement, the minimum wage and benefit requirements of Policy 32 would be waived. In this event only, would the contractor be required to "indicate that a collective bargaining agreement has been executed..." 5. ATC and the City are in violation of State Law, Wage Order Number 9. We are currently working with ATC to meet this requirement, which mandates certain minimum meal and break times for drivers throughout each transit system. This is proving to be a very costly mandate for all transit operators in the state. The result is much higher costs to operate transit service on a daily basis, which will ultimately lead to a reduction in service for our passengers. We are working with ATC to both implement the required changes right away and keep as much transit service on the road as funding will allow. 6. Mr. Paul Allen also added that he felt A TC was not negotiating in good faith, leaving drivers out in the cold, and not meeting the carryover benefits as required. Mr. Allen specifically mentioned Vacation Pay. It is our understanding that Mr. Allen is still an employee with the previous contractor. Based on past discussioñs with Mr. Allen, it appears that his 'concern is that A TC is not accepting any carryover vacation balances and is not paying off any unused balances. We have informed Mr. Allen that A TC cannot legally transfer balances and that thee benefits must be accrued over time. The previous contractor has agreed to payoff all existing balances for their employees w!10 resign. Please let me know if you would like to see any additional follow up on these items. ATC representatives are also available to discuss any of these issues with you. Please call me at x6059 if you have questions. Attachment: 9/10/02 Letter to City Council from Mr. Thompson, A TU Local 1309 Cc: Andy Trujillo Internal memo mayor-council-atu comments.jcodling.doc 9/13/02 ~!ft- -11- CIlYOf CHUIA VISTA ENGINEERING DEPARTMENT TRANSIT DIVISION COUNCIL INFORMATION MEMO March 4, 2003 File No. DS 027/035 TO: FROM: Honorable Mayor ~ City Council David D. Rowlands, Jr., City Manager Andy Trujillo, Transit Coordinator ~ VIA: SUBJECT: Labor Council/Union Issue With Chula Vista Transit's (CVT) Contractor (ATC) Per my phone conversation this morning with the City Manager, we believe the San Diego- Imperial Counties Labor Council issue with our transit contractor (ATC) to be the same as previous Transit staff referrals to City Council regarding comments from Mr. George Thompson, President of the Amalgamated Transit Union (A TU) Local 1309, in September 2002. I have paraphrased and summarized the issue below (in bold), followed by staffs response: The City, in accepting ATC's bid, relied on the assertion that ATC would endeavor to have a collective bargaining agreement in place by July 1, 2002. ATC has not met contract requirements in this regard. ATC did indicate that it intends to have a collective bargaining agreement in place by July 1, 2002 and had every intention of working with the existing union (ATU) to make this happen. ATC did meet with Mr. Thompson and ATU representatives on more than one occasion and there was indication that A TC would attempt to mirror their other local agreement with ATU, with a few modifications. The reason all of this changed is that A TC's Human Resources Department informed local ATC representatives that they risk being in violation of labor laws by negotiating at all with A TU since more than 50% of the drivers from the previous contract did not carry over to the new contract. The drivers themselves would have a claim against A TC, and possibly the City, for negotiating with an entity that they did not collectively agree to be a part of. Background - During the award phase of this contract, both ATC and City Transit Staff expected most of the existing drivers to stay with CVT, come to work for A TC, and carryover their existing Union representation (as is normally the case with these contract turnovers). Unfortunately, the previous contractor (San Diego Transit) ran a late, very effective recruiting effort to bring over as many existing CVT drivers as possible to their downtown San Diego and Kearny Mesa operations. Because of this, ATC ended up with only 18 of the 56 (32%) existing A TU represented drivers on July 1, 2002. Honorable Mayor and City Council -2- March 4, 2003 Labor laws specify that 50% plus 1 is the number of employees required to automatically carry over an existing labor agreement. Anything less than this requires the employees themselves to certify into a Collective Bargaining arrangement by going through the proper channels, which does include a vote. The bus operators (and mechanics) currently do not have any collective bargaining representation. This is an issue for the employees, A TC, and any potential Union to resolve. These are all employees of the contractor (A TC) and the City of Chula Vista takes no active part in any phase of these management/labor issues. Since this initial correspondence in September, the ATU petitioned the National Labor Relations Board (NLRB) to initiate an election here on December 12, 2002 to determine if employees prefer representation through ATU. Approximately two days prior to the scheduled election we received word that ATU had filed an unfair labor practice complaint against ATC with the NLRB and that the scheduled election was cancelled. The NLRB has been reviewing this complaint since that time and we haven't received any updates until this morning. ATC staff just informed us that it appears the NLRB is preRared to make a ruling on this and w,e should hear the official outcome within 5-7 days. Please let me know if you would like any additional follow up on this. ATC representatives are also available to discuss any of these issues with you. Please call me at x6061 if you have questions. Attachment: 9/13/02 Information Memo to City Council Cc: Cliff Swanson Jeffrey Codling Internal memo mayor-council-Labor Council Comments.jcodling.doc 3/4/03 MEMORANDUM Date: March 3, 2003 Subject: The Honorable Mayor and City Council David D. Rowlands, ~ity Manager Jim Zoll, Assistant Chief OfPOliC<r'~ Informational Report - Protest by Mr. Lopez, reference the Police Departments recommendation for denial of a Liquor license To: Via: From: Mr. Carlos Lopez, owner of the La Bodega Market appeared before Council last week to protest the Police Department's recommendation for denial of a liquor license to the Department of Alcohol Beverage Control. Applicants requesting approval for an alcohol or liquor license must first apply to the State of California for license through the Department of Alcohol Beverage Control (ABC). Once fee's have been paid the applicant is informed that the City or County in which the establishment is located will process the application through a series of checks which in part, includes crime information from the area in which the establishment is actually located, as well as information associated with the saturation of additional licensed businesses within the same area providing both on and off property sales. This process follows industry standards established through the Business and Profession's Code and the Department of Alcohol Beverage Control. Once this process is completed, law enforcement will share their recommendation with the Department of Alcohol Beverage Control. The applicant has several options or choices they can select. They can keep the request on file and appeal the decision to ABC. ABC will review the recommendation submitted by law enforcement and if need be, they will facilitate a meeting between the applicant, the law enforcement agency and themselves. ABC has the final ruling. If ABC supports a recommendation for denial, the applicant cannot reapply for a license at the same location for a period of twelve months. Another option is that the applicant can withdrawal their application prior to a final ruling by ABC thus, avoiding the twelve-month penalty period. By doing so, an applicant can reapply again within the twelve month period if information used to support a denial improves enough to warrant a change in the recommendation process. In the case of Mr. Lopez, our department does not support the issuance of a liquor license based on established industry standards including crime information and saturation. CONSENT CALENDAR (Continued) way, and slope and drainage maintenance agreement for maintenance of a temporary slope on the west side of Eastlake Parkway between stations 11+76.43 and 22+37.30. (Director 0 f Engineering) Staff recommendation: Council adopt the resolutions. This item was continued to the meeting of March 4, 2003 at the request of staff. ORAL COMMUNICATIONS CarIos Lopez, representing Hermanos Lopez Inc., read a Ietter to the Council requesting reconsideration of the denial of his beer and wine off-sale license by the ChuIa Vista Police Department to allow him to operate a full-service supermarket for the community, Mayor Padilla responded that staff wouId contact Mr, Lopez regarding the situation. Lupita Jimenez requested that citizen input be taken into account regarding the bayfront deveIopment. She spoke in opposition to dense deveIopment and believed that the City's administration had proceeded for the benefit ofthe developers rather than the best interests of the community, which has resulted in rapid development, impacted schooIs, and bumper-to-bumper boulevards. Ms, Jimenez stated that the bayfront area needs to be deveIoped in such a way to protect the environment and allow for public access and economic recompense that will leave a Iegacy for the future, Virgil Pin a requested that the Council establish a Church Appreciation Day in the City, stating that churches do a lot to benefit children and the entire community. He also spoke regarding human rights and a method to address complaints against the Chula Vista Police Department, City Manager Rowlands responded that an independent, seven-member Police Review Board was appointed over a year ago, Mr. Pina added that the State of California gave the City $25,000 for data on traffic stops on ethnic minorities, and he asked when the data wouId be availabIe to the public, City Manager RowIands responded that the data wouId be available sometime this year. James Marcelino, Child and Youth Policy Advocate, informed the Council of recent endeavors to work with the youth of ChuIa Vista, He added that a local youth group is actively seeking to re-instate the City's Youth Advisory Commission. PUBLIC HEARING I3. CONSIDERATION OF ESTABLISHING UTILITY UNDERGROUNDING DISTRICT NO. 137 ALONG J STREET, FROM BROADWAY TO HILLTOP DRIVE On January 21,2003, the Council adopted Resolution No. 2003-020 and ordered a public hearing to be held on this date to determine whether the public health, safety or general welfare requires the formation of a utility underground district along J Street from Broadway to Hilltop Drive. The purpose of the district is to require the utility companies Page 7 - Council Action Agenda 02/18/03 . ~ 3-~~; 7 ~ðAM;SDG _ ; 8366340;:::',.<- .. l' 2 . ltr1d./filh4Á IJ1{ó. I +em =II- c¡ ttnG~· ~u 1£ A ~ Sempra Energy' utility Copies to: Mayor & City Council City Manager City Clerk 3/3/03 February 28, 2003 Mayor Steve Padìlla City ofChula Vista 276 Fourth Avenue Chula Vista, CA 91910 Dear Mayor PadìUa, Thank you for the opportunity to comment on the record regarding the proposed Chula Vista Economic Development Strategy. San Diego Gas and Electric Company (SDG&E) recognizes that economic developm~t continues to be a high priority for the City ofChula Vista and will continue to work with the City to accomplish its goals. I would like to use this opportunity to clarify some key energy issues in section 9.4.3 of this Economic Development Strategy. SDG&E cWTently has no plans to expand the transmission system between the South Bay area and Mexico for any proposed power plant in coastal Baja Mexico as was alleged by opponents of the Valley Rainbow Interconnect and the Mexico power plants. SDG&E does have plans to upgrade the following transmission system facilities to accommodate load growth, lower future operating costs and maintain reliability for customers in Chula Vista as well as the rest of our service territory. This includes reinforcing the existing transmission corridor between our Mission substation and Miguel substation in 2005 and reconductoring several lines including the line between Mission and the proposed Otay Mesa Power plant (partially completed), the bridge structure between South Bay power plant and the Main Street substation in 2004, and a 69-kV line between Ctay and Border substations by the end of this year. SDG&E will continue to ensure the highest level of reliable and safe electric service to our customers. which may include addìtionaI transmission lines within our service territory. Lastly, SDG&E will continue our planning process in adherence to state and federal regulations. : 3-~2; 7.46AM;~QG E ;.e~Ea5~çz.~.j. ", 1 -' Z ~nG/·· ~u IE Copies to: Mayor & City Council City Manager City Clerk 3/3/03 A ~ Sempra Energy" utility February 28, 2003 f -I fJ' '"1 J ft,.&/ ./1 I \_____ 'J / Mayor Steve Padilla City ofChula Vista 276 Fourth Avenue Chula Vista, CA 91910 Dear Mayor Padilla, Thank you for the opportunity to comment on the record regarding the proposed Chula Vista Economic Development Strategy. San Diego Gas and Electric Company (SDG&E) recognizes that economic development continues to be a high priority for the City ofChula Vista and will continue to work with the City to accomplish its goals. I would like to use this opportunity to clarify some key energy issues in section 9.4.3 of this Economic Development Strategy. SDG&E currently has no plans to expand the transmission system between the South Bay area and Mexico for any proposed power plant in coastal Baja Mexico as was alleged by opponents of the Valley Rainbow Interconnect and the Mexico power plants. SDG&E docs have plans to upgrade the following transmission system facilities to accommodate load growth. lower future operating costs and maintain reliability for customers in ChuIa Vista as well as the rest of our service territory. This includes reinforcing the existing transmission conidor between our Mission substation and Miguel substation in 2005 and reconductoring several lines including the line between Mission and the proposed Otay Mesa Power plant (partially completed), the bridge structure between South Bay power plant and the Main Street substation in 2004, and a 69-kV line between Otay and Border substations by the end of this year. SDG&E will continue to ensure the highest level of reliable and safe electric service to our customers, which may include additionaI transmission lines within our service territory. Lastly, SDG&E will continue our planning process in adherence to state and federal regulations. ~ ~-03; 7;¿e~M;SDG ~ ; 8ss6õ402::','¡' Thank you for the opportunity to bring this to your attention. SDG&E recognizes that energy is a vital component of economic development and will continue to provide the highest quality service to our customers. If you have further questions or would like additional information, I would be glad to schedule an in depth briefing with SDG&E's transmission experts. Thank you. Sincerely, , ~~ Ken Smith Public Affairs Manager Cc: Councilmember Patty Davis CounciIrnember 101m McCann Councilmember 1 erry Rindone C ouncilmember Mary Salas # 2/ '_