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HomeMy WebLinkAboutAgenda Packet 1996/11/26 Tuesday, November 26, 1996 6:00 p.m. UI declare "m~':e"- ~ena'ty of perjury that f aM em)lo a 1,) t"~.e i~' of Chu: ,1 Vsta fn the 011ie8 (:1";;',,9 Ii;):" ;-;n~' t ::'l~ i, [JQsted t::'lis ,l\.;:;eeH'li<liHo'd -~~:r-1 ~!';'e [;,;J!le':.:,n Beard at the PU')'i:0~:!;e. i3f~,1t\in" and at City Hall on Council Cbambers DATED_.//'.!!I /" SIGNED V ~ ,>Public Services Building Regular Meeting of the City of Chula Vista Citv Council CALL TO ORDER 1. ROLL CALL: Councilmembers Alevy _, Moot _' Padilla _, Rindone _, and Mayor Horton _' 2. PLEDGE OF ALLEGIANCE TO THE FLAG. MOMENT OF SILENCE 3. APPROVAL OF MINUTES: October 29, 1996 (Special Meeting of the City Council) and November 12, 1996 (City Council Meeting) 4. SPECIAL ORDERS OF THE DAY: a. Certificates will be presented to the Chula Vista American Little League All-Star Team, winners of the California District 42 and California Section 8 Championships, by Mayor Horton. b. "Proclaiming the week of December 7 through December 13, 1996 as Pearl Harbor Survivors Week in tbe City." The proclamation will be presented by Mayor Horton. ***** Effective April 1, 1994, there have been new amendments to the Brown Act. The City Council must now reconvene into open session to report any final actions taken in closed session and to adjourn the meeting. Because of the cost involved, there will be no videotaping of the reconvened portion of the meeting. However, final actions reported will be recorded in the minutes which will be avaikIble in the City Clerk's Office. ***** CONSENT CALENDAR (Items 5 through 11) The staff recommendations regarding the following items listed under the Consent Calendar will be enacted by the Council by one motion without discussion unless a Councilmember, a member of the public or City staff requests that the item be pulled for discussion. If you wish to speak on one of these items, please fill out a "Request to Speak Form" avaUable in the lobby and submit it to the City Clerk prior to the meeting. (Complete the green form to speak in favor of the staff recommendation; complete the pink form to speak in opposition to the staff recommendation.) Items pulled from the Consent Calendar will be discussed after Board and Commission Recommendations and Action Items. Items pulled by the public will be the first items of business. 5. WRITTEN COMMUNICATIONS: a. Letter from the Acting City Attorney stating that to the best of her knowledge from observance of actions taken in the Closed Session of 11/19/96, Council directed the City Attorney to report on the status of alleged violations of the campaign ordinance. It is recommended that the letter be received and filed. Agenda -2- November 26, 1996 6. ORDINANCE 2692 AMENDING SECTION 9.12.160 OF THE MUNICIPAL CODE RELATING TO BINGO LICENSE TAXES {second read;"" and adoDtionl- Assembly Bill 2770, which is effective 1/1/97, prohibits cities from taxing the gross receipts of bingo games. The Municipal Code currently imposes a tax of one percent On monthly bingo receipts in excess of $5,000, as authorized by State law. As of January I, cities will no longer be authorized to charge this tax. In its place AB 2770 authorizes cities to charge a $50 annual bingo license renewal fee. Staff recommends Council place the ordinance on second reading and adoption. (Director of Finance) 7. ORDINANCE 2691 AMENDING OTAY RANCH PRE-ANNEXATION DEVELOPMENT AGREEMENT BETWEEN OTAY RANCH, L.P., A CALIFORNIA LIMITED PARTNERSHIP, VILLAGE DEVELOPMENT ,A CALIFORNIA GENERAL PARTNERSHIP, AND THE CITY OF CHULA VISTA (second readinl! and adoDtionl - An amendment to the development agreement to further guarantee infrastructure improvements where the developer wants to create parcels for sale prior to finalizing the fmal subdivision map. The amendment also addresses future problems with regard to any debt payment that might be levied to make public improvements or should development be only partially completed on any particular project due to any stoppage of work especially due to a bankruptcy action. Staff recommends Council place the ordinance 00 second reading and adoption. (Deputy City Manager, Planning Director, and Otay Ranch Manager) 8. RESOLUTION 18504 APPROVING AN AGREEMENT FOR CDBG FUNDING IN THE AMOUNT OF $18,000 WITH THE BOYS AND GIRLS CLUB OF CHULA VISTA AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT - On 6/4/96, Council approved CDBG funds in the amount of $2,103,000 for various public service, community development, and capital improvement programs for fiscal year 1996/97 which inclnded funding $18,000 for the Boys and Girls Club of Chula Vista to rehabilitate the gynmasium floor. The U.S. Housing and Urban Development Department request a written agreement between the City and each subrecipient of CDBG funds. Staff recommends approval of the resolution. (Director of Community Development) 9. RESOLUTION 18505 ACCEPTING BIDS AND AWARDING CONTRACT FOR THE PURCHASE OF AN AERIAL LIFT, BID NUMBER 1-96/97, TO ALTEC INDUSTRIES - The fiscal year 1996/97 equipment replacement budget provides for the purchase of one replacement aerial lift for the Traffic Signal section of Public Works. On 11/5/96, bids were accepted and Altec Indnstries was the lowest responsible bidder with a cost of $58,031 (plus tax) with no exceptions to specifications requested. Staff recommends approval of the resolution. (Director of Public Works) 10. RESOLUTION 18506 REJECTING BIDS FOR "LOMA VERDE PARK IMPROVEMENTS (PR- 183B), EUCALYPTUS PARK PLAY EQUIPMENT (PR-I46C) AND GAYLE L. MCCANDLlSS MEMORIAL/HALE CREST PARK IMPROVEMENT (PR-178B)" - On 10/2/96, bids were received. Staff recommends Council approve the resolution rejecting the bids and direct the Director of Parks and Recreation to re-advertise the work with a reduced scope such that the projects can be built within the funds budgeted. (Director of Public Works and Director of Parks and Recreation) Agenda -3- November 26, 1996 II. RESOLUTION 18507 AUTHORIZING THE ACCEPTANCE OF A TECHNICAL ASSISTANCE GRANT FROM THE CALIFORNIA HEALTHY CITIES PROJECT FISCAL YEAR 1996/97; AND APPROPRIATING $7,500 IN THE GRANT FUND (290-2901) AND APPROVING THE EXPENDITURE OF SAID CITY FUNDING FOR IMPLEMENTATION OF THE CITY'S COMMUNITY-SCHOOL-BASEDANDAFTER_SCHOOLPLA YGROUND PROGRAM'S GARDENS - On 9/17/96, Council approved a proposal in which the City would apply for a third-year technical assistance grant from the California Healthy Cities Project, fiscal year 1996/97. Accompanying the application was a grant request of $7 ,500 to the California Healthy Cities Project to help implement the project: establish a community-school-based garden project and after-school playground garden activities and curriculums. Staff recommends approval of the resolutions. (Director of Parks and Recreation) 4/5th's vote required. * * * END OF CONSENT CALENDAR * * * PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES The following items have been advertised and/or posted as public hearings as required by law. If you wish to speak to any item, please jill out the "Request to Speak Form" available in the lobby and submit it to the City Clerk prior to the meeting. (Complete the green form to speak in favor of the staff recommendation; complete the pink form to speak in opposition to the staff recommendation.) Comments are limited to five minutes per individual. None submitted. ORAL COMMUNICATIONS This is an opportunity for the general public to tuldress the City Council on any subject matter within the Council's jurisdiction that is not an item on this agenda for public discussion. (State law, however, generally prohibits the City Council from taking action on any issues not included on the posted agenda.) If you wish to address the Council on such a subject, please complete the yellow "Request to Speak Under Oral Communications Form" available in the lobby and submit it to the City Clerk prior to the meeting. Those who wish to speak, please give your name and tuldress for record purposes and follow up action. Your time is limited to three minutes per speaker. BOARD AND COMMISSION RECOMMENDATIONS This is the time the City Council will consider items which have been forwarded to them for consideration by one of the City's Boards, Commissions and/or Committees. None submitted. Agenda -4- November 26, 1996 ACTION ITEMS The items listed in this section of the agenda are expected to elicit substantial discussions and deliberations by the Council, staff. or members of the general public. The items wiU be considered individually by the Council and staff recommendations may in certain cases be presented in the alternative. Those who wish to speak, please fill out a "Request to Speak" fonn available in the lobby and submit it to the City Clerk prior to the meeting. Public comments are limited to five minutes. 12. RESOLUTION 18508 APPROVING AN AMENDMENT TO THE ADVANCED LIFE SUPPORT (PARAMEDIC) SERVICE CONTRACT WITH HARTSON MEDICAL SERVICES IN ACCORDANCE WITH THE TERMS SET FORTH IN THE STAFF REPORT AND DIRECTING THE CITY ATTORNEY TO PREPARE THE AMENDMENT IN ACCORDANCE WITH SAID TERMS AND DIRECTING STAFF TO EVALUATE THE POTENTIAL EFFECTS OF THE CITY OF SAN DIEGO'S RESTRUCTURED ADVANCED LIFE SUPPORT SYSTEM ON THE CHULA VISTA OPERATING AREA _ Pursuant to Council action in 1993, staff had intended to competitively bid the Advanced Life Support (Paramedic) exclusive contract which expires in April of 1997. Recent events involving a major system redesign of "managed care" Advanced Life Support (ALS) transportation in the City of San Diego now suggests that it may be prudent to extend the current agreement with Hartson Medical Services for sufficient time to evaluate how San Diego's restructured ALS system will affect Chula Vista. Staff recommends approval of the resolution. (Fire Chief) 13. REPORT STATUS OF ALLEGED VIOLATIONS OF CAMPAIGN ORDINANCE -On 11/19/96, Council directed the City Attorney's office to discuss alleged campaign ordinance violations of Chapter 2.52 of the Municipal Code. The City Attorney will be presenting an oral report. (City Attorney) 14. REPORT REVIEW OF COMPLIANCE BY CHULA VISTA BAY CLUB LTD. WITH CARDROOM REGULATIONS, MUNICIPAL CODE CHAPTER 5.20; RATIFICATION OF PROPOSED SETTLEMENT AGREEMENT FINE AND APPROVAL OF TRANSFERS OF INTERESTS IN THE CARDROOM LICENSE - The Chula Vista Bay Club Limited Partnership obtained Council approval on 7/17/90 to operate two separate, but consolidated, cardroom licenses. To date these licenses have not been ntilized in that no cardroom has been in operation under these licenses. During this time, there obviously has been no violation in the operation of the cardrooms; however, there has been a violation of the resolution approving the cardroom licenses as well as the City's Municipal Code. These violations involve changing ownership of the licenses. While there were no new names added to the licenses, one name was deleted and the proportionate share of the other owner's ownership was increased. Staff recommends approval of the resolution. (City Manager) RESOLUTION 18509 RATIFYING THE SETTLEMENT AGREEMENT FINING THE CHULA VISTA BAY CLUB LIMITED PARTNERSHIP $40,000; AND APPROVING TRANSFERS OF INTERESTS IN THE CARDROOM LICENSE Agenda -5- November 26, 1996 15. RESOLUTION 18455 APPROVING TERMS AND CONDITIONS FOR THE SALE OF MARINA VIEW PARK TO THE UNIFIED PORT DISTRICT AND AUTHORIZING STAFF TO PREPARE AND EXECUTE A PURCHASE AND SALES AGREEMENT AND ESCROW INSTRUCTIONS - The City has requested that the Unified Port District acquire certain City and Redevelopment Agency properties on the Bayfront, including Marina View Park on Marina Parkway and three properties on Lagoon Drive (the former Marina Motor Hotel, Shangri-La and Cappos properties). City staff has been negotiating the sale of these properties which have been delayed for a variety of reasons including legal incumbrance and contaminated soils which are now close to resolution. Staff bas recently received amended terms of sale for the Marina View Park property which are acceptable and are being forwarded to Council for review and authorization to proceed. Staff recommends approval of the resolution. (Director of Community Development) Continued from the meeting of 11/12/96. ITEMS PULLED FROM THE CONSENT CALENDAR This is the time the City Council wiu discuss items which have been removed from the Consent Calendar. Agenda items pulled at the request of the public wiu be considered prior to those pulled by Councilmembers. Public comments are limited to five minutes per individual. OTHER BUSINESS 16. CITY MANAGER'S REPORTlSI a. Scheduling of meetings. · Council Goal Selling Workshop. 17. MAYOR'S REPORTrSI a. Conceptual adoption of UCCV Task Force recommendation to pursue Environmental Science Institute and giving direction to staff to work with appropriate agencies. 18. COUNCIL COMMENTS ADJOURNMENT The meeting will adjourn to (a closed session and thence to) the regular City Council meeting on December 10, 1996 at 6:00 p.m. in the City Council Chambers. A Special Joint Meeting of the City Council/Redevelopment Agency will be held immediately following the City Council Meeting. ~I declare ",m!ar penalty 0'/ perjury that I am employed by the Ci;y of Gh!J:o Vista in the Office of the City Cler~,,; 2nd tha~ I posted this Agenda/NoHce on Ull:~ CUn3Un Board at Tuesday, November 26, 1996 the Public Services BUildi~;: "~.. t City Hal.1 on Council Chambers 6:00p.m. DATED, ';/,K~h? SIGNt.D 1~-pu1\liC Services Building (immediately following the City Council Meeting) . Citv of Chula Vista Citv Council CLOSED SESSION AGENDA Unless the City Attorney, the City Manoger or the City Council states otherwise at this time, the Council will discuss and deliberate on the following items of business which are permitted by law to be the subject of a closed session discussion, and which the Council is advised should be discussed in closed session to best protect the interests of the City. The Council is required by law to return to open session, issue any reports of final action taken in closed session, and the votes taken. However, due to the typical length of time taken up by closed sessions, the videotaping will be terminoted at this point in order to save costs so that the Council's return from closed session, reports of final action taken, and adjournment will not be videotaped. Nevertheless, the report of final action taken will be recorded in the minutes which will be available in the City Clerk's Office. 1. CONFERENCE WITH LEGAL COUNSEL REGARDING: 1. Existing litigation pursuant to Government Code Section 54956.9 · Christopher v, the City of Chula Vista. 2. Anticipated litigation pursuant to Government Code Section 54956.9 · Metro sewer issues. · Claim of Alfred B. Salganick, M.D. v. the City of Chula Vista. PUBLIC EMPLOYEE RELEASE - Pursuant to Government Code Section 54957 CONFERENCE WITH LABOR NEGOTIATOR - Pursuant to Government Code Section 54957.6 · Agency negotiator: John Goss or designee for CVEA, WCE, POA, IAFF, Executive Management, Mid-Management, and Unrepresented. Employee organization: Chula Vista Employees Association (CVEA) and Western Council of Engineers (WCE), Police Officers Association (POA) and International Association of Fire Fighters (IAFF). Unrepresented employee: Executive Management, Mid-Management, and Unrepresented. 2. REPORT OF ACTIONS TAKEN IN CLOSED SESSION November 20, 1996 MEMO TO: Carla Griffin, City Clerk's Office Patricia salvaci6PMaYOr/council office FROM: SUBJECT: SPECIAL ORDERS OF THE DAY - NOVEMBER 26, 1996 Please docket - "Certificates to be presented to the Chula Vista American Little League All-Star Team (winners of the California District 42 and California Section 8 Championships). " Thank you. "I (J.,' / ~V~ ~~~~ ......-;::~~~ ~- --~ - --- - CllY Of CHUlA VISTA OFFICE OF THE CITY ATTORNEY Date: November 20, 1996 To: From: The Honorable Mayor and City Council ~l Ann Y. Moore, Acting City Attorney ~ Re: Report Regarding Actions Taken in Closed Session for the Meeting of 11/19/96 The City Council met in Closed Session pursuant to Government Code Section 54956.9 regarding the claim of Alfred B. Salganick, M.D. The Acting City Attorney hereby reports to the best of her knowledge from observance of actions taken in the Closed Session of November 19, 1996, that Council directed the City Attorney to report on the status of alleged violations of the campaign ordinance. AYM: Igk C:\lt\clossess.no 5.,/ 276 FOURTH AVENUE' CHULA VISTA. CALIFORNIA 91910 . (619) 691-5037 . FAX (619) 585-5612 :.i;;'I'osl~f<<)do:lP~ ORDINANCE ~~1;( O~ 00\'1 AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDIN~~~E~ION 9.12.160 OF THE CHULA VISTA MUNICIPAL CODE,<~~~~TING TO ~ '1'.\\..... BINGO LICENSE TAXES ,~\- "v r,v' CO'A\> sV SECTION I: That section 9.12.160 of the Chula Vista Municipal Code is hereby amended to read as follows: 9.12.160 Bingo-Term of license and fees. A. The term of a bingo license is one year and may be renewed for a period of one year upon payment of the Reauired Feers) and application therefor. B. For a new license application or for each change in the bingo chairpersons who will manage the bingo game, there shall be a fee for investigation and for processing the applicant's fingerprints. The Required Fee(s) shall accompany the submission of each application. In the event an application is denied, fifty percent of the investigation fee shall be refunded. C. I. tal[, not to clcceed enc percent of the monthly gross receipts over five thousand dollars derivcd from bingo games shall be collected monthly sy the city. SECTION II: Pursuant to the provisions of Charter Section 312(d) (3), this ordinance shall take effect and be in full force immediately upon the second reading and adoption hereof, which occurred upon the passage hereof by at least three affirmative votes, because it fixes the rate of taxation for bingo license taxes. Presented by Approved as to form by Robert W. Powell Director of Finance An~o~t~~ Acting City Attorney C:\or\bingo.tax v/(;:-J In the event an shall be refund RESOLUTION NO. /;rt/ '1 fS' RESOLUTION OF THE CITY COUNCIL OF THE CITY CHULA VISTA AMENDING THE MASTER FEE SCHED LE TO INCREASE THE ANNUAL FEE FOR BINGO LIC NSE ENEWAL FROM $10 TO $50 WHE AS, Assembly Bill 2770, which January 1, 1997, prohibits cities from taxing t bingo games whic are conducted by non-profit ecomes effective gross receipts of rganizations; and - WHEREAS, the Chula vista Municipal a tax of one percen on non-profit organiza as authorized by sta e law; and ode currently imposes ions' bingo receipts, WHEREAS, as authorized to charge t January 1, tax; and will no longer be WHEREAS, in i s place, charge a $50 annual bingo license 2770 authorizes cities to wal fee. NOW, THEREFORE, City of Chula vista does he follows: RE LVED the City Council of the a end the Master Fee Schedule as Chapter IV Business B. SPECIFIC BUSINESS. 3. Bingo License and Renewal. New Chairperson Inv fingerprint process : $50 plus required fee for New Co-chairpers for fingerprint Investigation rocessing. required fee Annual renewal of y percent of the fee Presented by r~ ~ ORDINANCE NO. 2691 AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING OTAY RANCH PRE-ANNEXATION DEVELOPMENT AGREEMENT BETWEEN OTAY RANCH, L.P., A,... CALIFORNIA LIMITED PARTNERSHIP, VILLAG~'"":) DEVELOPMENT, A CALIFORNIA GENERAL PARTNER~, AND THE CITY OF CHULA VISTA ,",:"J- r., ~." (,.,t'...:.,\,,: WHEREAS, on June 25, 1996, the ~tY Council approved a Pre-Annexation Agreement between the City of Chula vista and Otay Ranch, L.P., a California partnership, et al pursuant to Ordinance No. 2679; and r\\O~ ",<:)O{{ WHEREAS, on June 25, 1996, the Planning commission and City Council met jointly and approved a development agreement for the above parties; and WHEREAS, there is now a mutual desire by the City and Village Development and otay Ranch L.P. to amend the agreement to further guarantee infrastructure improvements where the developer wants to create parcels for sale prior to finalizing the typical final subdivision map; and WHEREAS, in addition, on August 20, 1996, the Council requested and Otay Ranch, L. P. and village Development agreed that the agreement'could be revised to address any potential problems with regard to any debt payment that might be levied to make public improvements or should development be only partially completed on any particular project. " .; ..,- NOW, THEREFORE, the city Council of the city of Chula vista ordains as follows: SECTION I: The Otay Ranch Pre-Annexation Development Agreement between Otay Ranch, L.P., a California limited partnership, Village Development, a California general partnership, and the City of Chula vista is hereby amended as set forth in the Amended, Agreement on file in the office of the City Clerk as Document No. ."SECTION II: The Mayor of the City of Chula vista is hereby authorized and directed to execute said Amended Agreement for and on behalf of the city of Chula vista. SECTION III: This ordinance shall take effect and be in full force on the effective date of annexation as set forth in the attached Pre-Annexation Development Agreement as amended. SECTION IV: The previously approved Pre-Annexation Development Agreement only between Otay Ranch L. P. and Village Development and the city adopted by the city Council by Ordinance No. 2679 shall be null and void with respect to these parties upon adoption of this ordinance. George Krempl, Deputy city Manager ~ Approved as to form by ~ '/\i'\ "Ci.,{'"" n Ann Y. Moore, Acting C} ~y _~~~r:;y 7 - / Presented by )~7 ~~/1 :..:-:--- PRE-ANNEXATION DEVELOPMENT AGREEMENT THIS PRE-ANNEXATION DEVELOPMENT AGREEMENT ("Agreement") is made effective on the date hereinafter set forth below by and among THE OTAY RANCH, L.P., a California limited partnership, VILLAGE DEVELOPMENT, a California general partnership ("Developer") and THE CITY OF CHULA VISTA, a municipal corporation, who agree as follows: 1. RECITALS. following facts: This Agreement is made with respect to the 1.1 Owner. The owners of the properties subj ect to this Agreement (hereinafter collectively referred to as "Owner" or as "Developer") are as follows: 1.1.1 Otay Ranch, L.P. is the owner of approxi- mately 3,545 acres of undeveloped real property in the unincorporated area of the County of San Diego ("County"), described in Exhibits "A" and "F", attached hereto and incorporated herein by this reference. 1.1.2 village Development is the owner of approximately 35 acres of undeveloped real property in the unincorporated area of the County, described in Exhibits "B" and "F", attached hereto and incorporated herein by this reference. 1.2 ci tv. The city of Chula vista is a municipal corporation and an incorporated city within the County. 1.3 Code Authorization and Acknowledoments. 1. 3 . 1 ci ty Government Code sections development agreements certainty for both City development process. is authorized pursuant to California 65864 through 65869.5 to enter into for the purpose of establishing and owners of real property in the 1.3.2 Government Code section 65865 expressly authorizes a city to enter into a development agreement with any person having a legal or equitable interest in real property in unincorporated territory within that city's sphere of influence for the development of property as provided in the Development Agreement Law; provided that the agreement shall not become operative unless annexation proceedings annexing the property to the city are completed within the time specified by the agreement. 1.3.3 City enters into this Agreement pursuant to the provisions of the California Government Code, its home- rule powers, and applicable city ordinances, rules, regula- tions and policies. 7-.2.} 7- 'f 1.3. 4 City and Owner acknowledge: Owner acknowledge this Agreement will provide: ci ty and 1.3.4.1 certainty in the planning process so that the property can be developed efficiently. This will avoid unnecessary waste of resources and increases in housing and other development costs. TheAgreement will allow comprehensive planning of a large property so as to make maximum efficient utilization of resources at the least economic cost to the public; 1.3.4.2 To provide and assure to the City the participation of Developer in the accelerated, coordinat- ed and more economic construction, funding and dedication to the public of certain needed public facilities and benefits, and to provide for anticipated levels of service to residents and populations of the property, the city, and adjacent areas; 1.3.4.3 To provide and assure that the City receive sales tax revenues, increase in the property tax base, residential housing and other development, sewer, water and street facilities; 1.3.4.4 To provide and assure that the City receives public facilities in excess of project generated impacts and such facilities shall be of supplemental size, number capacity or length, which shall be provide earlier than could be provided either by funds from the city or than would strictly be necessary to mitigate project related impacts at any development phase; 1.3.4.5 To provide Developer assurances regarding the entitlements and regulations that will be applicable to the development of the property consistent with the Chula vista General Plan and the Otay Ranch General Development Plan/Subregional Plan; 1.3.4.6 To provide the City the opportunity to secure immediate annexation of the lands depicted in Attachment "C" and secure a related tax revenue sharing agreement with the County of San Diego to assure that development of the properties will generate sufficient tax revenues to offset the costs of providing services to the properties; 1.3.4.7 To enable the City to secure title to the land with the boundaries of the property necessary to complete the Chula vista greenbelt system as defined in the Chula vista General Plan; 1. 3 . 4 . 8 To enable the city to advance its stated goal to identify and secure a site for a potential four year university; -2- 7--> 1.3.4.9 To assure the City that the Developer will dedicate right-of-way for SR-125, a route which when constructed will substantially alleviate congestion on I- 805 and 1-5, and also will facilitate the economic development of Chula Vista; and 1.3.4.10 To enable the city to prepare and adopt a Habitat Conservation Plan consistent with the requirements of the Natural Communities conservation Act, including the phased conveyance of open space land to the otay Ranch Preserve. 1.4 The Annexation. On July 1, 1996, the Local Agency Formation commission ("LAFCO") approved annexation of Sphere of Influence Planning Area 1 "The otay Parcel", Planning Area 2 "Inverted L" and the Mary Patrick Estate Parcel (see Attachment "C") . 1.5 Sphere of Influence. On February 5, 1996 and July 1, 1996 the Local Agency Formation Commission approved the inclusion of Planning Area 1, "The Otay Parcel", into the city Sphere of Influence (Sphere of Influence Planning Area 1 "The Otay Parcel", Planning Area 2 "Inverted L" and the Mary Patrick Estate Parcel - see Attachment "C"). 1.6 Planninq Documents. On October 28, 1993, city and County adopted the otay Ranch General Development Plan/Subregional Plan ("the GDP") which includes the Otay Ranch Village Phasing Plan, Facility Implementation Plan, Resource Management Plan and Service Revenue Plan, for approximately 23,000 acres of the Otay Ranch, including the Otay Valley Parcel and the SNMB, Jewels and Foundation Properties. The city amended the GDP on June 4, 1996. 1.6.1 SPA One Plan. On June 4, 1996, the Chula vista City Council approved the Otay Ranch sectional Planning Area (SPA) One Plan including the Planned Community District Regulations, Overall Design Plan, Village Design Plan, Public Facilities Plan, Parks, Recreation, Open Space and Trails Plan, Regional Facilities Report, Phase 2 Resource Management Plan, Non-renewable Energy Conservation Plan, Ranch-wide Affordable Housing Plan, SPA One Affordable Housing Plan, and Geotechnical Report. 1.7 Owner Consent . city desires to have the cooperation and consent of Owner to include the Property in the Annexation in order to better plan, finance, construct and maintain the infra- structure for the Otay Valley Parcel; and the otay Ranch L.P., a California limited partnership, and Village Development, a Califor- nia general partnership desire to give their cooperation and consent, provided that they obtain certain assurances, as set forth in this Agreement. 1.8 citv Ordinance. July 9, 1996 is the date of adoption by the city Council of Ordinance No. 2679 approving this -3- /-? Agreement. The ordinance shall take effect and be in full force on the effective date of Annexation. 2. Definitions. otherwise requires: In this Agreement, unless the context 2.1 "Annexation" means the proposed annexation of that portion of the otay Ranch into the City as depicted on Exhibit "D". 2.2 "city" means the city of Chula vista, in the County of San Diego, State of California. 2.3 "County" means the county of San Diego, State of California. 2.4 "Development Plan" means the GDP. 2.5 "GDP" means the General Development Plan/ subregional Plan for the otay Ranch, described in Paragraph 1.6, above. 2.6 "Owner" or "Developer" means the person, persons, or entity having a legal and equitable interest in the Property, or parts thereof, and includes Owner's successors-in-interest. 2.7 "project" means the physical development of the private and public improvements on the Property as provided for in the Existing Project Approvals and as may be authorized by the City in Future Discretionary Approvals. 2.8 "Property" means the real property described in Paragraphs 1.1.1, 1.1.2, and 1.1.3. 2.9 The "Term" of this Agreement means the period defined in Paragraph 3, below. 2.10 "Builder" means developer to whom Developer has sold or conveyed property within the Property for purposes of its improvement for residential, commercial, industrial or other use. 2.11 "CEQA" means the California Environmental Quality Act, California Public Resources Code section 21000, et seq. 2.12 "city Council" means the city of Chula vista city Council. 2.13 "Commit" or "committed" means all of the following requirements have been met with respect to any public facility: 2.13.1 For a public facility within the City's jurisdictional boundaries and a responsibility of the develop- er. 2.13 .1.1 All discretionary permits required of the Developer have been obtained for construction of the public facility; -4- '1--; 2.13.1.2 Plans for the construction of the public facility have all the necessary governmental approvals; and 2.13.1.3 Adequate funds (i.e., letters of credit, cash deposits, performance bonds or land secured public financing, including facility benefit assessments, Mello-Roos assessment districts of similar assessment mechanism) are available such that the City can construct the public facility if construction has not commenced within thirty (3D) days of issuance of a notice to proceed by the Director of Public Works, or construction is not progressing towards completion in a reasonable manner as reasonably deemed by the Director of Public Works. 2.13.2 For a public facility within the City'S jurisdictional boundaries, but to be provided by other than Developer. 2.13.2.1 Developer's proportionate share of the cost of such public facility as defined in the existing Project Approvals and Future Discretionary Approvals has been provided or assured by Developer through the payment or impositions of development impact fee or other similar exaction mechanism. 2.13.3 For public facility not within city's jurisdictional boundaries: the cost existing Approvals Developer of Public 2.13.3.1 Developer's proportionate share of of such public facility as defined in the Project Approvals and Future Discretionary has been provided for or otherwise assured by to the reasonable satisfaction of the Director Works. 2.14 "Development Impact Fee (DIF)" means fees imposed upon new development pursuant to the City of Chula vista Development Impact Fee Program, for example, including but not limited to the Transportation Development Impact Fee Program, the Interim SR-125 Development Impact Fee Program, the Salt Creek Sewer DIF and the Public Facilities DIF. 2.15 "Existing Project Approvals" means all discretionary approvals affecting the Project which have been approved or established in conjunction with, or preceding, the effective date consisting of, but not limited to the GDP, the Chula vista General Plan, the Otay Ranch Reserve Fund Program adopted pursuant to Resolution 18288, the SPA One Plan and the Phase II Resource Management. Plan (RMP), as may be amended from time to time consistent with this agreement. -5- ?-r 2.16 "Final Map(s)" means any final subdivision map for all or any portion of the Property other than the Superblock Final Map ("A" Maps). 2.17 "Future Discretionary Approvals" means all permits and approvals by the City granted after the effective date and excluding existing project Approvals, including, but not limited to: (i) grading permits; (ii) site plan reviews; (iii) design guidelines and reviews; (iv) precise plan reviews; (v) subdivisions of the Property or re-subdivisions of the Property previously subdivided pursuant to the Subdivision Map Act; (vi) conditional use permits; (vii) variances; (viii) encroachment permits; (ix) sectional Planning Area plans; (x) all other reviews, permits, and approvals of any type which may be required from time to time to authorize public or private on- or off-site facilities which are a part of the Project. 2.18 "planning commission" means the Planning commission of the city of Chula vista. 2.19 "Preserve Conveyance Plan" means a plan that sets forth policies and identifies land to be transferred and/or fees to be paid to insure the orderly conveyance of the Otay Ranch land to the Preserve Owner Manager. The purpose of the plan is to fulfill the obligations to convey resource sensitive land, per the criteria contained in the phase I and II Resource Management Plans and to mitigate environmental impacts of the otay Ranch Project. 2.20 "Public Facility" public facilities described Implementation Plan. or "Public Facilities" means those in the otay Ranch Facility 2.20.1 "SPA One Plan" means The Otay Ranch sectional Planning Area (SPA) One Plan approved by the city of Chula vista on June 4, 1996, including the Planned Community District Regulations, Overall Design Plan, village Design Plan, Public Facilities Finance Plan, Parks, Recreation, Open Space and Trails Plan, Regional Facilities Report, Phase 2 Resource Management Plan, Non-renewable Energy Conservation Plan, Ranch-wide Affordable Housing Plan, SPA One Affordable Housing Plan, and Geotechnical Report. 2.21 "Subdivision Map Act" means the Subdivision Map Act, Government Code section 66410, its amendments as may from time to time be adopted. California et seq., and 2.22 "Substantial Compliance" means that the party charged with the performance of a covenant herein has sufficiently followed the terms of this Agreement so as to carry out the intent of the parties in entering into this Agreement. 2.23 "Threshold" means the facility thresholds set forth in the city's Municipal Code section 19.19.040. -6- ?" 3. Term. This Agreement shall become effective as a development agreement upon the effective date of the Annexation ("the Effective Date"); provided, however, that if the Annexation does not occur on or before January 1, 1997, this Agreement shall be null and void. Any of the foregoing to the contrary notwith- standing, from the date of first reading of the ordinance approving this Agreement, and unless or until this Agreement becomes null and void, Owner shall be bound by the terms of Paragraph 4. The Term of this Agreement for purposes other than Paragraph 4 shall begin upon the Effective Date, and shall continue for a period of twenty (20) years ("the Term"). The term shall also be extended for any period of time during which issuance of building permits to Developer is suspended for any reason other than the default of Developer, and for a period of time equal to the period of time during which any action by the City or court action limits the processing of future discretionary approvals, issuance of building permits or any other development of the property consistent with this Agreement. 4. Owner Consent to Annexation. Owner hereby consents to and shall cooperate with the applications of city to declare that the land depicted in Exhibit "C" is within City's sphere of influence and to annex the land depicted in Exhibit "C" to the City; provided, however, that Owner may withdraw such consent and withhold further cooperation if the city, prior to the Effective Date, adopts rules, regulations, ordinances, policies, conditions, environmental regulations, phasing controls, exactions, entitle- ments, assessments or fees applicable to and governing development of the Property which are inconsistent with, or render impractical development of the Property according to, the Development Plan. 5. Vested Riqhts. Notwi thstanding any future action or inaction of the City during the term of this Agreement, whether such action is by ordinance, resolution or policy of the City, Owner and Developer shall have a vested right, provided however the developer is not in default of its obligations under this Agree- ment, and except as may be otherwise provided in this section 5, to construct the Project in accordance with: 5.1 Existinq Pro;ect Approvals. 5.2 Development of Propertv. The development of the Property will be governed by this Agreement and Existing Project Approvals and such development shall comply and be governed by all rules, regulations, policies, resolutions, ordinances, and standards in effect as of the Effective Date subject to the provisions of section 5.2.1 below. The City shall retain its discretionary authority as to Future Discretionary Approvals, provided however, such Future Discretionary Approvals shall be regulated by the Existing Project Approvals, this Agreement, and City rules, regulations, standards, ordinances, resolutions and policies in effect on the Effective Date of this Agreement and subject to section 5.2.1. -7- ?'IP Notwithstanding the foregoing, the city may make such changes to the City's Growth Management Ordinance applicable to the Project as are reasonable and consistent with the purpose and intent of the existing Growth Management Ordinance and which are generally applicable to all private projects citywide or east of 1-805 or within a specific benefit, fee or reimbursement district created pursuant to the California Government Code. 5.2.1 New or Amended Rules. Requlations. Policies. Standards. Ordinances and Resolutions. The city may apply to the project, including Future Discretionary Approv- als, new or amended rules, laws, regulations, policies, ordinances, resolutions and standards generally applicable to all private projects east of 1-805 or within a specific benefit fee or reimbursement district created pursuant to the California Government Code. The application of such new rules, or amended laws, regulations, resolutions, policies, ordinances and standards will not unreasonably prevent or unreasonably delay development of the Property to the uses, densities or intensities of development specified herein or as authorized by the Existing Project Approvals. The city may also apply changes in City laws, regulations, ordinances, standards or policies specifically mandated by changes in state or federal law in compliance with Section 13.3 herein. 5.2.2 Developer may elect with City's consent, to have applied to the project any rules, regulations, policies, ordinances or standards enacted after the date of this Agreement. Such an election has to be made in a manner consistent with Section 5.2 of this Agreement. 5.2.3 Modifications to Existinq ProiectApprov- also It is contemplated by the parties to this Agreement that the city and Developer may mutually seek and agree to modifi- cations to the Existing Project Approvals. Such modifications are contemplated as within the scope of this Agreement, and shall, upon written acceptance by all parties, constitute for all purposes an Existing Project Approval. The parties agree that any such modifications may not constitute an amendment to this Agreement nor require an amendment to the Agreement. 5.2.4 Future Discretionarv Approvals. It is contemplated by the parties to this Agreement that the City and Developer may agree to Future Discretionary Approvals. The parties agree that any such Future Approvals may not consti- tute an amendment to this Agreement nor require an amendment to the Agreement. Developer agrees to reasonably cooperate with any amendments to Existing and Future Discretionary Approvals as may be requested by the City from time to time. 5.3 Dedication and Reservation of Land for Public Purposes. Except as expressly required by this Agreement or the Existing Project Approvals and Future Discretionary Approvals (excepting dedications required within the boundaries of any parcel created by the subsequent subdivision of the Property as required -8- 7,// by the Subdivision Map Act), no dedication or reservation of real property within or outside the Property shall be required by City or Developer in conjunction with the project. Any dedications and reservations of land imposed shall be in accordance with section 7.2 and Section 7.8 herein. 5.4 Time for Construction and Completion of Proiect. Because the California Supreme Court held in Pardee Construction Companv v. citv of Camarillo (1984) 27 Cal.3d 465, that the failure of the parties to provide for the timing of development resulted in a later-adopted initiative restricting the timing of development to prevail over such parties' Agreement, it is the intention of the parties to this Agreement to cure that deficiency by specifically acknowledging that timing and phasing of development is completely and exclusively governed by the Existing project Approvals, including the Chula vista Growth Management Ordinance. The purpose of the Chula vista Growth Management Ordinance is to "control the timing and location of development by tying the pace of development to the provision of public facilities and improvements to conform to the ci ty' s threshold standards." (Municipal Code section 19.09.010A.7) The findings in support of the Growth Management Ordinance conclude that the ordinance "does not affect the number of houses which may be built." (Municipal Code section 19.09.010B.3) Therefore, the parties acknowledge that the Chula vista Growth Management Ordinance completely occupies the topic of development timing and phasing and expressly precludes the adoption of housing caps, urban reserves or any other means by which the rate of development may be controlled or regulated. The City agrees that the Developer shall be entitled to, apply for and receive all permits necessary for the development of property, consistent with the Growth Management Ordinance, Existing Project Approvals, Future Discretionary Approvals and this Agreement. 5.5 Benefit of vestinq. Nothing in this Agreement will be construed as limiting or impairing Developer's vested right, if any, to proceed with the development and use of the Property pursuant to the Federal and State constitutions, and pursuant to statutory and decisional law. 5.6 Vestinq of Entitlements. All rights conferred by this Agreement vest with the Effective Date hereof. The approval of Future Discretionary approvals shall not be deemed to limit Developer's rights authorized by this Agreement, and once such approvals are obtained they shall be vested to the same extent as the Existing Project Approvals. 6. DEVELOPMENT PROGRAM. 6.1 processinq of Future Discretionarv Approvals. City will accept and diligently process development applications and requests for Future Discretionary Approvals, or other entitlements with respect to the development and use of the Property, provided said applications and requests are in accordance with this Agreement. City costs for processing work related to the Project, including hiring of additional city personnel and/or the retaining -9- /_/~ of professional consultants, will be reimbursed to City by Developer. 6.2 Lenqth of Validitv of Tentative Subdivision Maps. Government Code section 66452.6 provides that tentative subdivision map(s) may remain valid for a length up to the term of a Develop- ment Agreement. The City agrees that tentative subdivision maps for the Property shall be for a term of six (6) years and may be extended by the City Council for a period of time not to exceed a total of twenty (20) years and in no event beyond the term of this Agreement. 6.3 Pre-Final Map Development. If Developer desires to do certain work on the Property after approval of a tentative map (for example, grading) prior to the recordation of a final map, it may do so by obtaining a grading and/or other required approvals from the city which are authorized by the City prior to recordation of a final map. The permit may be approved or denied by the city in accordance with the City'S Municipal Code, regulations and policies and provided Developer is in compliance with this Agreement and with the terms of all Existing and Future Discretion- ary Approvals. In addition, the Developer shall be required to post a bond or other reasonably adequate security required by City in an amount determined by the City to assure the rehabilitation of the land if the applicable final map does not record. 6.4 Final Maps. 6.4.1 "A" Maps and "B" Maps. Developer shall process a master subdivision or parcel map ("A" Map) for each village showing "Super Block" lots and backbone street dedications. "Super Block" lots shall be consistent with the GDP and subsequent sectional Plan Area plans, and shall not subdivide land into individual single-family lots. All "Super Blocks" created shall have access to dedicated public streets. The City shall not require improvement plans in order to record a final map for any "A" Map lots. Following the approval by City of any final map for an "A" Map lot and its recordation, Developer may convey the "Super Block" lot. The buyer of a "Super Block" lot shall then process final improve- ment plans and grading plans and a final map ("B" Map) for each "Super Block" lot which the city shall process if such documents are in compliance with the city's Municipal Code, standard policies, and the applicable tentative map. The "B" Maps shall be in substantial conformance with the related approved "A" Map. In the instance of the mUlti-family dwelling unit areas, a separate tentative subdivision map may be submitted to the city and the "B" Map(s) for these areas may be submitted to the City after the City Planning commission approves said tentative subdivision map. 6.4.2 Recordation of Final Subdivision Map in Name of Builder or Third Partv. Developer may, if it so elects, convey to a Builder or third party any "super block" lot(s) shown on the recorded Superblock Final Map. In such -10- 7-/3 case, the Builder or third party will (i) process any neces- sary final improvement and grading plans and a final map for each such "super block" lot ("B" map), which map city shall accept and process if such map is in compliance with the City's Municipal Code, standard policies, the applicable tentative map, and the provisions of 7.1 of this Agreement if applicable as subsequent phases in a multi-phase project, (ii) enter into a subdivision improvement agreement with City with respect to the subdivision improvements which are required for such super block lot, (iii) provide security and insurance satisfactory to City for the completion of the subdivision improvements, and (iv) agree, in such case, with the City's consent to comply with the obligations set forth in 7.1. 6.4.3 Recordation of Final Subdivision Map in Developer's Name: Transfer of. Obliqations Under Subdivision Improvement Aqreement(s). If Developer so elects, it may defer the conveyance of any super block lot to a Builder or third party until after the final map of such super block lot has been recorded. If Developer elects to proceed in this manner, it will enter into City's standard subdivision improvement agreement(s) with city for the improvements required as a condition to the approval of such map(s). Upon sale to a Builder or third party, if such Builder or third party assumes Developer's obligations with the city's consent under the improvement agreement and provides its own security and insurance for the completion of the subdivision improve- ments satisfactory to the City and as approved by the City, Developer shall be released from liability under the subdivi- sion improvement agreement(s) and Developer's security shall be released. 6.4.4 Transfer of Riqhts and Obliqations of Development. Whenever Developer conveys a portion of the Property, the rights and obligations of this Agreement shall transfer in accordance with section 15 herein. 7. DEVELOPER'S OBLIGATIONS. 7.1 Condition to Developer's Obliqations to Dedicate. Fund or Construct Public Facilities. Developer agrees to develop or provide the public improvements, facilities, dedications, or reservations of land and satisfy other exactions conditioning the development of the Property which are set forth hereinbelow. In addition to any other obligations the Developer may have, Developer as its sole and separate responsibility, covenants and agrees to bond and provide or finance the cost of backbone facilities as identified on the appropriate Tentative Map and required by any final map (including "B" Maps). This requirement may be satisfied through the construction or financing of said facilities or with the City's approval of any of the following: the establishment of a reimbursement mechanism, a development impact fee program, an assessment mechanism, or other equitable facility financing program within the City's discretion. This requirement shall be deemed satisfied in the event that the -11- 7-/'( Builder(s) of a "B" Map expressly assume the obligations with the consent of the city to provide said backbone facilities. For purposes of Tentative Map No. PCS 96-04, Developer shall provide, prior to the approval of the first final "B" map, adequate security as determined by the city Engineer for the construction of those certain backbone facilities set forth in the conditions of approval for said tentative map. Developer acknowledges that as to any future tentative maps, Developer may be required by City to provide such security at various times during the development process including prior to the first final "A" map in accordance with city's ordinances, policies or regulations. For purposes of this section, backbone facilities mean those facilities such as water, sewer, storm drain and public streets necessary to serve demands generated for the backbone facility beyond that of any single "B" map, but are not included within a wider area City development improvement fee program. The obligations of the Developer, pursuant to this Agreement, are conditioned upon: (i) the city not being in default of its obligations under this agreement; and (ii) the City not unreason- ably preventing or unreasonably delaying the development of the property; and (iii) if the Agreement has been suspended in response to changes in state or federal law or due to said obligations being suspended pursuant to section 13.2, said obligations of Developer shall be suspended for the same period of time. 7.2 Dedications and Reservations of Land for PublicPurpos- ~. The policies by which property will be required to be reserved, dedicated or improved for public purposes are identified in the Existing Project Approvals. A more precise delineation of the property to be preserved, dedicated or improved for public purposes shall occur as part of Future Discretionary Approvals, consistent with development of property as set forth in section 5.2 herein. 7.2.1 Dedication of Land for SR 125. Developer agrees to dedicate land for right-of-way purposes and property owned by the Developer that is reasonably necessary for the SR-125 configuration that is generally depicted in the SR-125 draft Environmental Impact Report/Statement and as revised in the Final Environmental Impact Report/statement to respond to engineering, design, environmental and similar constraints. The dedications shall be to the city or by an alternate method acceptable to the city at such time as requested by the city. city agrees that in the event City shall negotiate with California Transportation Ventures (CTV) or other toll road builder any participation or advantages to City that city shall share such rights with subsequent owner/resident of the property. 7.2.2 Landfill Nuisance Easements. Developer shall grant to the County by July 1, 1996 "Landfill Nuisance Easements" substantially in the form attached as Exhibit E. The Easement shall cover all land which is within the otay -12- ') __/>' Landfill Buffer Area of Villages 2, 3 and Planning Area 18B of the otay Ranch GDPP as shown on Exhibit E hereto. In addition, Developer agrees to enter into subordination agreements, acceptable to the County, with all lienholders having an interest in the Property to ensure that this Agreement has a priority position over all other liens. The subordination agreements shall be delivered to the City prior to the second reading of the Ordinance approving the Agree- ment. If there is no second reading of this Agreement, the City shall return said subordination agreements to the Developer. If the County Board of Supervisors does not accept or approve said easements, this Agreement shall be automati- cally terminated with neither party bearing any liability hereunder. 7.2.3 Preserve Conveyance Plan. The Developer shall comply with any existing or yet to be adopted Preserve Conveyance Plan and convey property as set forth in such Plan. 7.3 Growth Manaqement Ordinance. Developer shall commit the public facilities and city shall issue building permits as provided in this section and in accordance with Existing Project Approvals and Future Discretionary Approvals. The City shall have the right to withhold the issuance of building permits any time after the City reasonably determines a Threshold has been exceeded, unless and until the Developer has mitigated the deficiency in accordance with the city's Growth Management Ordinance. Developer agrees that building permits may be withheld where the public facilities described in the Existing Project Approvals/ Future Discretionary Approvals required for a particular Threshold have not been committed. In the event a Threshold is not met and future building permit issuance may be withheld, the notice provisions and procedures contained in Section 19.09. 100C of the Municipal Code will be followed. In the event the issuance of building permits is suspended pursuant to the provisions herein, such suspension shall not constitute a breach of the terms of this Agreement by Develop- er. Furthermore, any such suspension which is not caused by the actions or omissions of the Developer, shall toll the term of this Agreement as provided for in section 16.12 of this Agreement, and suspend the Developer's obligations pursuant to this Agreement. 7.3.1 Required Condemnation. The City and Developer recognize that certain portions of the Resource Preserve and of the public facilities identified in the Existing Project Approvals/Future Discretionary Approvals and required to comply with a threshold are located on properties which neither the Developer nor the City has, or will have, title to or control of. The City shall identify such property or properties and at the time of filing of the final map commence timely negotiations or, where the property is wi thin the City's jurisdiction, commence timely proceedings pursuant to -13- /-'/? Title 7 (commencing with S 1230.010) of Part 3 of the Code of civil Procedure to acquire an interest in the property or properties. Developer's share of the cost involved in any such acquisition shall be based on its proportionate share of the public facility as defined in the Existing Project Approvals/Future Discretionary Approvals. Notwithstanding the foregoing, nothing in this Agreement shall be deemed to preclude the City from requiring the Developer to pay the cost of acquiring such off-site land. For that portion of the cost beyond the Developer's fair share responsibility, the City shall take all reasonable steps to establish a procedure whereby the developer is reimbursed for such costs beyond its fair share. 7.3.2 Information Reqardinq Thresholds. Upon Developer's written requests of the city Manager, the city will provide Developer with information regarding the current status of a Threshold. Developer shall be responsible for any staff costs incurred in providing said written response. 7.4 Improvements Required bv a Tentative Subdivi- sion Map. As may be required pursuant to the terms of a tentative subdivision map approval, it shall be the responsibility of Developer to construct the improvements required by the subdivision map. Where Developer is required to construct a public improvement which has been identified as the responsibility of another party or to provide public improvements of supplemental size, capacity, number or length benefiting property not within the tentative subdivision map, City shall process for consideration to approve or deny in its sole discretion a reimbursement agreement to the Developer in accordance with the City's Municipal Code and Article 6 of Chapter 4 of the Subdivision Map Act, commencing with Government Code section 66485, and section 7.5, below. This does not preclude the Developer or the city from considering alternative financing mechanisms. 7.5 Facilities Which Are the Obliqations of Another Partv. or Are of Excessive size. Capacity. Lenqth or Number. Developer may offer to advance monies and/or construct public improvements which are the responsibility of another land owner, or outside the City's jurisdictional boundaries, or which are of supplemental size, capacity, number or length for the benefit of land not within the Property. City, where requesting such funding or construction of oversized public improvements, shall consider after a public hearing, contemporaneous with the imposition of the obligation, the formation of a reimbursement district, assessment district, facility benefit assessment, or reimbursement agreement or other reimbursement mechanism. 7.6 pioneerinq of Facilities. To the extent Developer itself constructs (i.e., "Pioneers") any pUblic facilities or public improvements which are covered by a DIF Program, Developer shall be given a credit against DIFs otherwise payable, subject to the City's Director of Public Works reasonable determination that -14- ')-/') such costs are allowable under the applicable DIF Program. It is specifically intended that Developer be given DIF credit for the DIF Program improvements it makes. The fact that such improvements may be financed by an assessment district or other financing mechanism, shall not prevent DIF credit from being given to the extent that such costs are allowed under the applicable DIF Program 7.7 Insurance. insured for all insurance Project as pertains to the the Project. Developer shall name city as additional policies obtained by Developer for the Developer's activities and operation on 7.8 other Land Owners. Developer hereby agrees to dedicate adequate rights-of-way within the boundaries of the Property for other land owners to "Pioneer" public facilities on the Property; provided, however, as follows: (i) dedications shall be restricted to those reasonably necessary for the construction of facilities identified in the city's adopted pUblic facility plans; (ii) this provision shall not be binding on the successors-in- interest or assignees of Developer following recordation of the final "Super Block" or "A" Map; and (iii) the City shall use its reasonable best efforts to obtain agreements similar to this subsection from other developers and to obtain equitable reimburse- ment for Developer for any excess dedications. 7.9 Construction of East-West Access. Pursuant to City's requirements, Developer is required to pay Transportation Development Fees (TDIF) for a variety of purposes including construction of east-west arterial access through the Property connecting to I-80S. Alternatively, the Developer may be required to actually construct all or portions of such access if, at the time of need, the TDIF fund does not contain sufficient revenues to finance the construction of the needed facilities. Such east-west arterial access from SPA One to I-80S could occur on either East Orange Avenue or on East Palomar Street. It is not now possible to determine with certainty when it will be necessary to actually construct the arterials in order to comply with the threshold requirements because the rate and location of future development is unknown. The total cost and length of the arterial, which might be constructed by the Developer, are unknown at this time because it cannot be determined if and when development west of the property (Sunbow) will construct the Western portion of the arterials. Such uncertainty makes it difficult to plan and finance the orderly development of the property and needed on-site and off-site facilities. To provide greater certainty as to the timing and construction of east-west arterial access, the city agrees to reasonably consider in good faith a traffic capacity agreement with Developer which would reserve traffic capacity for all or part of SPA One in exchange for Developer's agreement to pioneer all or part of planned east-west access to SPA One. 7.10 Assurances of Compliance. Owner acknowledges that the city is not required to and will not take any action on any of Owner's applications for Future Discretionary Approvals under this Agreement, or any modifications or amendments thereof, until and -15- 7-/8" unless the City Manager determines that the Owner is not in default of its obligations under this Agreement including but not limited to those set forth in section 7.11 and 14. 7.11 Complete Construction. Developer/Builder or any third party agree to diligently complete construction once a building permit has been issued for Property which is covered by this Agreement. Should construction stop once the building permits have been issued by the City, which the city in its sole discretion determines has created a nuisance or fire or safety hazard, the Developer agrees to take such steps necessary to cure the nuisance or hazard. Should Developer fail to do so to the City's satisfac- tion, the City may take what steps it deems necessary to cure the nuisance or hazard at Developer's sole cost and expense. 8. DEVELOPMENT IMPACT FEES. 8.1 Existinq Development Impact Fee Proqram Pavments. Developer shall pay to the City a DIF, or construct improvements in lieu of payment, for improvements which are conditions of a tentative subdivision map upon the issuance of building permits(s), or at a later time as specified by City ordinance, the Subdivision Map Act, or Public Facility Financing Plan (PFFP). The DIF will be in the amount in effect at the time payment is made and may only be increased pursuant to Section 8.6 herein. 8.2 Other Undeveloped Properties. The City will use its reasonable best efforts to impose and collect, or cause the imposition and collection of, the same DIF program on all the undeveloped real properties which benefit from the provision of the public facility through the DIF program, or provided as a condition of Project Approvals. 8.3 Use of Development Impact Fee Proqram. The DIF amounts paid to the City by Developer and others with respect to the Area of Benefit shall be placed by the city in a capital facility fund account established pursuant to California Government Code sections 66000-66009. The City shall expend such funds only for the Projects described in the adopted fee program as may be modified from time to time. The city will use its reasonable best efforts to cause such Projects to be completed as soon as practica- ble; however, the City shall not be obligated to use its general funds for such Projects. 8.4 Withholdinq of Permits. Developer agrees that City shall have the right to withhold issuance of the building permit for any structure or improvement on the Property unless and until the DIF is paid for such structure or improvement. 8.5 Development Impact Fee Credit. Upon the completion and acceptance by the City of any public facility, the City shall immediately credit Developer with the appropriate amount of cash credits (IEDUs") as determined by Developer and City. However, if the improvements are paid for through an Assessment District, the City shall credit the Developer with the appropriate number of -16- ?,/f Equivalent Dwelling unit Credits (EDU's). Developer shall be entitled to apply any and all credits accrued pursuant to this subsection toward the required payment of future DIF for any phase, stage or increment of development of the Project. 8.6 Modification of Development Impact Fees. The parties recognize that from time to time during the duration of the Agreement it will be necessary for the City to update and modify its DIF fees. Such reasonable modifications are contemplated by the city and the Developer and shall not constitute a modification to the Agreement so long as: (i) the modification incorporates the reasonable costs of providing facilities identified in the Existing or Future Project Approvals; (ii) are based upon methodologies in substantial compliance with the methodology contained in the existing DIF programs; or other methodology approved by the city Council following a public hearing; (iii) complies with the provisions of Government Code sections 66000-66009. 8.7 Standards for Financinq Obliqations of Owner. In connection with the development of the Property, the following standards regarding the financing of public improvements shall apply: 8.7.1 Owner shall participate in the DIF Program for the Otay Valley Parcel with other owners in proportion to the total dwelling units or equivalent dwelling units allowed on the Property as compared with the total of such units allowed on properties in that particular DIF or by some other equitable methodology decided by the City Council. 8.7.2 The city shall diligently pursue the requirements that the Eastern Territories' DIF requires offsite third parties and adjacent jurisdictions to bear their fair share of all otay River Valley crossings. 9. CITY OBLIGATIONS. 9.1 Urban Infrastructure. To the extent it is within the authority and ability of the City to provide, City shall accommodate urban infrastructure to the project, consistent with Existing Project Approvals. Where it is necessary to utilize City property to provide urban infrastructure consistent with the Existing Project Approvals, the City agrees to make such land available for such uses, provided that the city if it so chooses is compensated at fair market value for the property. To the extent that the provision of urban infrastructure is within the authority of another public or quasi-public agency or utility, the City agrees to fully cooperate with such agency or agencies to accommo- date the urban infrastructure, consistent with Existing Project Approvals. Urban infrastructure shall include, but not be limited to gas, electricity, telephone, cable and facilities identified in the Otay Ranch Facility Implementation Plan. -17- 7 ".,21) 9.2 Sewer Capacity. The City agrees to provide adequate sewer capacity for the project, upon the payment of ordinary and necessary sewer connection, capacity and/or service fees. 9.3 Nuisance Easement. The City shall reasonably consider with proper environmental review a request to amend the otay Ranch GDP to relocate, within the property, the land uses affected by the execution of a "nuisance easement" pursuant to the Otay Ranch Landfill Agreement, (dated May 15, 1996). This GDP amendment shall be processed prior to or concurrent with the GDP amendment covering the landfill buffer area required by the Landfill Agreement. The amendment shall be deemed vested to the same extent as Existing Project Approvals and shall not require or consti tute an amendment to this Agreement. The Developer agrees to pay the reasonable City cost for processing the amendments. 10. ANNUAL REVIEW. 10.1 city and Owner Responsibilities. City will, at least every twelve (12) months during the Term of this Agreement, pursuant to California Government Code S65865.1, review the extent of good faith substantial compliance by Owner with the terms of this Agreement. Pursuant to California Government Code section 65865.1, as amended, Owner shall have the duty to demonstrate by substantial evidence its good faith compliance with the terms of this Agreement at the periodic review. Either city or Owner may address any requirement of the Agreement during the review. 10.2 Evidence. The parties recognize that this Agreement and the documents incorporated herein could be deemed to contain hundreds of requirements and that evidence of each and every requirement would be a wasteful exercise of the parties' resources. Accordingly, Developer shall be deemed to have satisfied its good faith compliance when it presents evidence of substantial com- pliance with the major provisions of this Agreement. Generalized evidence or statements shall be accepted in the absence of any evidence that such evidence is untrue. 10.3 Review Letter. If Owner is found to be in com- pliance with this Agreement after the annual review, City shall, within forty-five (45) days after Owner's written request, issue a review letter in recordable form to Owner ("Letter") stating that based upon information known or made known to the Council, the City Planning Commission and/or the city Planning Director, this Agreement remains in effect and Owner is not in default. Owner may record the Letter in the Official Records of the County of San Diego. review at conditions by City or 10.4 Failure of Periodic Review. city's failure to least annually Owner's compliance with the terms and of this Agreement shall not constitute, or be asserted Owner as, a breach of the Agreement. 11. DEFAULT. -18- 7"-el/ 11.1 Events of Default. A default under this Agreement shall be deemed to have occurred upon the happening of one or more of the following events or conditions: 11.1.1 A warranty, representation or statement made or furnished by Owner to City is false or proves to have been false in any material respect when it was made. 11.1.2 A finding and determination by City made following a periodic review under the procedure provided for in California Government Code section 65865.1 that upon the basis of substantial evidence Owner has not complied in good fai th with one or more of the terms or conditions of this Agreement. consider submitted 11.1.3 city does not accept, requested development permits in accordance with the provisions timely review, or or entitlements of this Agreement. 11.1. 4 All remedies at law or in equity which are consistent with the provisions of this Agreement are available to City and Owner to pursue in the event there is a breach provided, however, neither party shall have the remedy of monetary damages against the other except for an award of litigation costs and attorneys fees. 11.2 Procedure Upon Default. 11.2.1 Upon the occurrence of default by the other party, city or Owner may terminate this Agreement after providing the other party thirty (30) days written notice specifying the nature of the alleged default and, when appropriate, the manner in which said default may be satis- factorily cured. After proper notice and expiration of said thirty (30) day cure period without cure, this Agreement may be terminated. In the event that city's or Owner's default is not subject to cure within the thirty (30) day period, city or Owner shall be deemed not to remain in default in the event that City or Owner commences to cure within such thirty (30) day period and diligently prosecutes such cure to completion. Failure or delay in giving notice of any default shall not constitute a waiver of any default, nor shall it change the time of default. Notwithstanding any other provision of this Agreement, city reserves the right to formulate and propose to Owner options for curing any defaults under this Agreement for which a cure is not specified in this Agreement. In the event of Developer's default under this agreement, the City shall provide notice of such default as described in this section to all lenders who have delivered to the City a subordination agreement pursuant to section 12.5. 11. 2.2 City does not waive any claim of defect in performance by Owner if, on periodic review, City does not propose to modify or terminate this Agreement. -19- ?- ;;';l. 11.2.3 Subject to Paragraph 16.12 of this Agreement, the failure of a third person shall not excuse a party's nonperformance under this agreement. 11. 2.4 All other remedies at law or in equity which are consistent with the provisions of this Agreement are available to City and Owner to pursue in the event there is a breach. 12. ENCUMBRANCES AND RELEASES ON PROPERTY. 12.1 Discretion to Encumber. This Agreement shall not prevent or limit Owner in any manner at Owner's sole discretion, from encumbering the Property, or any portion of the Property, or any improvement on the Property, by any mortgage, deed of trust, or other security device securing financing with respect to the Property or its improvement. 12.2 Mortqaqee Riqhts and Obliqations. The mortgagee of a mortgage or beneficiary of a deed of trust encumbering the Property, or any part thereof, and their successors and assigns shall, upon written request to City, be entitled to receive from city written notification of any default by Owner of the performance of Owner's obligations under the Agreement which has not been cured within thirty (30) days fOllowing the date of default. 12.3 Releases. City agrees that upon written request of Owner and payment of all fees and performance of the requirements and conditions required of Owner by this Agreement with respect to the Property, or any portion thereof, City may execute and deliver to Owner appropriate release(s) of further obligations imposed by this Agreement in form and substance acceptable to the San Diego County Recorder and title insurance company, if any, or as may otherwise be necessary to effect the release. City Manager shall not unreasonably withhold approval of such release(s). In addition, at such time as an individual home buyer purchases a home on a subdivided lot within the Property, the City covenants and agrees that it shall release said lot from the lien of this agreement. 12.4 Obliqation to Modifv. City acknowledges that the lenders providing financing for the Project may require certain modifications to this Agreement and City agrees, upon request from time to time, to meet with Owner and/or representatives of such lenders to negotiate in good faith any such requirement for modification. City will not unreasonably withhold its consent to any such requested modification. 12.5 Subordination. Developer agrees to enter into subordination agreements with all lenders having a lien on the Property to ensure that the provisions of this Agreement bind such lienholders should they take title to all or part of the property through quit claim deed, sale, foreclosure or any other means of -20- J.,2 J transfer of property. As a condition precedent to obtaining the benefits that accrue to the Developer or the Property under this Agreement, this Agreement by and through said subordination agreements shall be prior and superior to such liens on said Property. Developer shall deliver to the City the fully executed subordination agreements for the Property within SPA One, in a form acceptable to the City Attorney and suitable for recording, prior to the second reading of the ordinance adopting the Development Agreement. Developer shall deliver to the city a fully executed subordination agreement for Property within subsequently approved SPA plans in a form acceptable to the city attorney on or before approval of each SPA Plan for said Property. In the event of Developer'S default under this agreement, the city shall provide notice of such fault as described in Section 11 of this agreement to all lenders who have delivered to the City a subordination agreement pursuant to this section. 13. MODIFICATION OR SUSPENSION. 13.1 Modification to Aqreement bv Mutual Consent. This Agreement may be modified, from time to time, by the mutual consent of the parties only in the same manner as its adoption by an ordinance as set forth in California Government Code sections 65867, 65867.5 and 65868. The term, "this Agreement" as used in this Agreement, will include any such modification properly approved and executed. 13.2 Unforeseen Health or Safetv circumstances. If, as a result of facts, events, or circumstances presently unknown, unforeseeable, and which could not have been known to the parties prior to the commencement of this Agreement, City finds that failure to suspend this Agreement would pose an immediate threat to the health or safety of the city's residents or the City. The following shall occur: 13.2.1 Notification of Unforeseen Circumstances. Notify Developer of (i) City's determination; and (ii) the reasons for City'S determination, and all facts upon which such reasons are based; 13.2.2 Notice of Hearinq. Notify Developer in writing at least fourteen (14) days prior to the date, of the date, time and place of the hearing and forward to Developer a minimum of ten (10) days prior to the hearings described in Section 13.2.3, all documents related to such determination and reasons therefor; and 13.2.3 Hearinq. Hold a hearing on the deter- mination, at which hearing Developer will have the right to address the City Council. At the conclusion of said hearing, city may take action to suspend this Agreement as provided herein. The city may suspend this Agreement if, at the conclusion of said hearing, based upon the evidence presented by the parties, the city finds failure to suspend would pose an immediate threat to the health or safety of the City's residents or the City. -21- 1,).'/ 13.3 Chanqe in state or Federal Law or Requlations. If any state or federal law or regulation enacted during the Term of this Agreement, or the action or inaction of any other affected governmental jurisdiction, precludes compliance with one or more provisions of this Agreement, or requires changes in plans, maps, or permits approved by City, the parties will act pursuant to sections 13.3.1 and 13.3.2, below. 13.3.1 Notice; Meetinq. The party first becoming aware of such enactment or action or inaction will provide the other party(ies) with written notice of such state or federal law or regulation and provide a copy of such law or regulation and a statement regarding its conflict with the provisions of this Agreement. The parties will promptly meet and confer in a good faith and reasonable attempt to modify or suspend this Agreement to comply with such federal or state law or regula- tion. 13.3.2 Hearinq. If an agreed upon modification or suspension would not require an amendment to this Agree- ment, no hearing shall be held. Otherwise, the matter of such federal or state law or regulation will be scheduled for hearing before the City. Fifteen (15) days' written notice of such hearing shall be provided to Developer, and the City, at such hearing, will determine and issue findings on the modification or suspension which is required by such federal or state law or regulation. Developer, at the hearing, shall have the right to offer testimony and other evidence. If the parties fail to agree after said hearing, the matter may be submitted to mediation pursuant to subsection 13.3.3, below. Any modification or suspension shall be taken by the affirma- tive vote of not less than a majority of the authorized voting members of the city. Any suspension or modification may be subject to judicial review in conformance with subsection 16.19 of this Agreement. 13.3.3 Mediation of Disputes. In the event the dispute between the parties with respect to the provisions of this paragraph has not been resolved to the satisfaction of both parties following the City hearing required by subsection 13.3.2, the matter shall be submitted to mediation prior to the filing of any legal action by any party. The mediation will be conducted by the San Diego Mediation Center; if San Diego Mediation Center is unable to conduct the mediation, the parties shall submit the dispute for mediation to the Judicial Arbitration and Mediation Service or similar organization and make a good faith effort to resolve the dispute. The cost of any such mediation shall be divided equally between the Developer and City. 13.4 Natural Communities Conservation Act (NCCP). The parties recognize that Developer and the city are individually negotiating agreements with the united States Fish and Wildlife Service ("USF&W") and the California Department of Fish and Game pursuant to the ongoing regional effort to implement the Natural Communities Conservation Act ("NCCP"), locally proposed to be -22- 7'1> implemented through the MUlti-Species Conservation Program ("MSCP"). The parties further recognize that implementation of the agreements may necessitate modification to the Existing Project Approvals. The City agrees to utilize its best efforts to implement these agreements, once executed, through the timely processing of modifications to the Existing Project Approvals as such modifications apply to Developer's property. The Developer agrees to pay the reasonable city cost for processing work related to the modifications. Once such modifications are obtained they shall be vested to the same extent as Existing Project Approvals. Such modifications shall be substantially similar to the provisions contained in Exhibit "F", the May 17, 1996 Administrative draft of the City of Chula vista SubArea Plan for the MUlti-Species Conservation Program, except for the proposed deletion of the Maritime Succulent Scrub restoration requirement [Section 3(b) of the SubArea Plan (page 27)]. 14. DISTRICTS. PUBLIC FINANCING MECHANISMS. This Agreement and the Existing Project Approvals recognize that assessment districts, community facility districts, or other public financing mechanisms, may be necessary to finance the cost of public improvements borne by this Project. If Developer, pursuant to the Existing Project Approvals/Future Discretionary Approvals, is required by the City to install improvements through the use of assessment districts, or other public financing mechanisms, the City shall initiate and take final action to approve or deny appropriate proceedings for the formation of such financing district or funding mechanism, under applicable laws, ordinance.s, or policies. Developer may request that the city, but the City is not obligated to, utilize any other financing methods which may become available under City laws or ordinances. All costs associated with the consideration and formation of such financing districts or funding mechanisms shall be paid by Developer subject to reimbursement, as may be legally authorized out of the proceeds of any financing district or funding mechanism. Developer shall comply with the terms of any assessment districts or other financing mechanisms so approved by the City for Property covered by this Agreement and shall make timely payments as required by said financing mechanism. The City retains its rights to take any action it deems reasonably appropriate to guarantee payment. 15. ASSIGNMENT AND DELEGATION. 15.1 Assiqnment. Owner shall have the right to transfer or assign its interest in the Property, in whole or in part, to any persons, partnership, joint venture, firm, or corporation at any time during the Term of this Agreement without the consent of City. Owner also shall have the right to assign or transfer all or any portion of its interest or rights under this Agreement to third parties acquiring an interest or estate in the Property at any time during the Term of this Agreement without the consent of City. -23- 7,,21, 15.2 Deleqation. In addition, Owner shall have the right to delegate or transfer its obligations under this Agreement to third parties acquiring an interest or estate in the Property provided the owner is in compliance with the terms of this Agreement and after receiving the prior written consent of the city Manager, which consent shall not be unreasonably withheld or delayed or conditioned. Provided, however, the City may deny such release if the city determines that the performance of such obligation would be jeopardized by such transfer. Once the city Manager has consented to a transfer, delivery to and acceptance by the City Manager of an unqualified written assumption of Owner's obligations under this Agreement by such transferee shall relieve Owner of the obligations under this Agreement to the extent the obligations have been expressly assumed by the transferee and as approved by the City. Such transferee shall not be entitled to amend this Agreement without the written consent of the entity that, as of the Effective Date, is Owner, which consent shall not be unreasonably withheld, delayed, or conditioned. The entity that is Owner as of the Effective Date, however, shall be entitled to amend this Agreement without the written consent of such transfer- ee. 16. MISCELLANEOUS PROVISIONS. 16.1 Bindinq Effect of Aqreement. Except to the extent otherwise provided in this Agreement, the burdens of this Agreement bind, and the benefits of this Agreement inure, to City's and Owner's successors-in-interest and shall run with the land. 16.2 Relationship of city and Owner. The contractual relationship between City and Owner arising out of this Agreement is one of independent contractor and not agency. This Agreement does not create any third-party beneficiary rights. 16.3 Notices. All notices, demands, and correspondence required or permitted by this Agreement shall be in writing and delivered in person, or mailed by first-class or certified mail, postage prepaid, addressed as follows: If to city, to: city of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Attention: City Manager If to Owner, to: Jim Baldwin Otay Ranch, L.P. Newport Center Dr., Suite 700 Newport Beach, CA 92660 with a Copy to: Kim John Kilkenny Otay Ranch, L.P. 11975 El Camino Real, suite 104 San Diego, CA 92130 -24- ?,;. 7 City or Owner may change its address by giving notice in writing to the other. Thereafter, notices, demands, and correspondence shall be addressed and transmitted to the new address. Notice shall be deemed given upon personaL delivery, or, if mailed, two (2) business days following deposit in the united states mail. 16.4 Rules of Construction. In this Agreement, the use of the singular includes the plural; the masculine gender includes the feminine; "shall" is mandatory; "may" is permissive. 16.5 Entire Aqreement. Waivers. and Recorded statement. This Agreement constitutes the entire understanding and agreement of City and Owner with respect to the matters set forth in this Agreement. This Agreement supersedes all negotiations or previous agreements between City and Owner respecting this Agreement. All waivers of the provisions of this Agreement must be in writing and signed by the appropriate authorities of city and Owner. Upon the completion of performance of this Agreement, or its revocation or termination, a statement evidencing completion, revocation, or termination signed by the appropriate agents of City shall be recorded in the Official Records of San Diego County, California. 16.6 Proiect as a Private Undertakinq. It is specifically understood by City and Owner that (i) the Project is a private development; (ii) City has no interest in or responsibili ties for or duty to third parties concerning any improvements to the Property until City accepts the improvements pursuant to the provisions of the Agreement or in connection with subdivision map approvals; and (iii) Owner shall have the full power and exclusive control of the Property subject to the obligations of Owner set forth in this Agreement. 16.7 Incorporation of Recitals. The recitals set forth in Paragraph 1 of this Agreement are part of this Agreement. 16.8 captions. The captions of this Agreement are for convenience and reference only and shall not define, explain, modify, construe, limit, amplify, or aid in the interpretation, construction, or meaning of any of the provisions of this Agreement. 16.9 Consent. Where the consent or approval of city or Owner is required or necessary under this Agreement, the consent or approval shall not be unreasonably withheld, delayed, or con- ditioned. 16.10 Covenant of Cooperation. cooperate and deal with each other in good other in the performance of the provisions City and Owner shall faith, and assist each of this Agreement. 16.11 Recordinq. The City Clerk shall cause a copy of this Agreement to be recorded with the Office of the County Recorder of San Diego County, California, within ten (10) days following the Effective Date. -25- l...2Y 16.12 Delav. Extension of Time for Performance. In addition to any specific provision of this Agreement, performance by either city or Owner of its obligations hereunder shall be excused, and the Term of this Agreement and the Development Plan extended, during any period of delay caused at any time by reason of any event beyond the control of city or Owner which prevents or delays and impacts City's or Owner's ability to perform obligations under this Agreement, including, but not limited to, acts of God, enactment of new conflicting federal or state laws or regulations (example: listing of a species as threatened or endangered), judicial actions such as the issuance of restraining orders and injunctions, riots, strikes, or damage to work in process by reason of fire, floods, earthquake, or other such casualties. If City or Owner seeks excuse from performance, it shall provide written notice of such delay to the other within thirty (30) days of the commencement of such delay. If the delay or default is beyond the control of City or Owner, and is excused, an extension of time for such cause will be granted in writing for the period of the enforced delay, or longer as may be mutually agreed upon. 16.13 Covenant of Good Faith and Fair Dealinqs. No party shall do anything which shall have the effect of harming or injuring the right of the other parties to receive the benefits of this Agreement; each party shall refrain from doing anything which would render its performance under this Agreement impossible; and each party shall do everything which this Agreement contemplates that such party shall do in order to accomplish the objectives and purposes of this Agreement. 16.14 Ooeratinq Memorandum. The parties acknowledge that the provisions of this Agreement require a close degree of cooperation between city and Developer, and that the refinements and further development of the Project may demonstrate that minor changes are appropriate with respect to the details of performance of the parties. The parties, therefore, retain a certain degree of flexibility with respect to those items covered in general under this Agreement. When and if the parties mutually find that minor changes or adjustments are necessary or appropriate, they may effectuate changes or adjustments through operating memoranda approved by the parties. For purposes of this section 16.14, the City Manager, or his designee, shall have the authority to approve the operating memoranda on behalf of City. No operating memoranda shall require notice or hearing or constitute an amendment to this Agreement. 16.15 Time of Essence. Time is of the essence in the performance of the provisions of this Agreement as to which time is an element. 16.16 Amendment or Cancellation of Aqreement. This Agreement may be amended from time to time or canceled by the mutual consent of city and Owner only in the same manner as its adoption, by an ordinance as set forth in California Government Code section 65868, and shall be in a form suitable for recording in the Official Records of San Diego County, California. The term -26- 7*.2. 7 "Agreement" shall include any such amendment properly approved and executed. City and Owner acknowledge that the provisions of this Agreement require a close degree of cooperation between them, and that minor or insubstantia~ changes to the Project and the Development Plan may be required from time to time to accommodate design changes, engineering changes, and other refinements. Accordingly, changes to the Project and the Development Plan that do not result in a change in use, an increase in density or intensity of use, cause new or increased environmental impacts, or violate any applicable health and safety regulations, may be considered minor or insubstantial by the city Manager and made without amending this Agreement. 16.17 Estoppel Certificate. Within 30 calendar days following a written request by any of the parties, the other parties to this Agreement shall execute and deliver to the requesting party a statement certifying that (i) this Agreement is unmodified and in full force and effect, or if there have been modifications hereto, that this Agreement is in full force and effect as modified and stating the date and nature of such modifications; (ii) there are no known current uncured defaults under this Agreement, or specifying the dates and nature of any such default; and (iii) any other reasonable information requested. The failure to deliver such a statement within such time shall constitute a conclusive presumption against the party which fails to deliver such statement that this Agreement is in full force and effect without modification, except as may be represented by the requesting party, and that there are no uncured defaults in the performance of the requesting party, except as may be represented by the requesting party. 16.18 Severabili tv. If any material provision of this Agreement is held invalid, this Agreement will be automatically terminated unless within 15 days after such provision is held invalid the party holding rights under the invalidated provision affirms the balance of this Agreement in writing. This provision will not affect the right of the parties to modify or suspend this Agreement by mutual consent pursuant to Paragraph 12.4. 16.19 Institution of Leqal Proceedinq. In addition to any other rights or remedies, any party may institute legal action to cure, correct, or remedy any default, to enforce any covenants or agreements herein, or to enjoin any threatened or attempted violation thereof; to recover damages for any default or to obtain any remedies consistent with the purpose of this Agreement. Such legal actions must be instituted in the Superior Court of the County of San Diego, State of California. 16.20 Attorneys' Fees and Costs. If any party commences litigation or other proceedings (including, without limitation, arbitration) for the interpretation, reformation, enforcement, or rescission of this Agreement, the prevailing party, as determined by the court, will be entitled to its reasonable attorneys' fees and costs. -27- J.. JP 16.21 Hold Harmless. Developer agrees to and shall hold City, its officers, agents, employees and representatives harmless from liability for damage or claims for damage for personal injury, including death, and claims for property damage which may arise from the direct or indirect operations of Developer or those of its contractors, subcontractors, agents, employees or other persons acting on Developer's behalf which relate to the Project. Developer agrees to and shall defend City and its officers, agents, employees and representatives from actions for damage caused or alleged to have been caused by reason of Developer's activities in connection with the Project. Developer agrees to indemnify, hold harmless, pay all costs and provide a defense for city in any legal action filed in a court of competent jurisdiction by a third party challenging the validity of this Agreement. The provisions of this section 16.21 shall not apply to the extent such damage, liability or claim is caused by the intentional or negligent act or omission of City, its officers, agents, employees or representatives. ?.. ;1 / -28- SIGNATURE PAGE TO PRE-ANNEXATION DEVELOPMENT AGREEMENT Dated this ____ day of , 1996. "CITY" CITY OF CHULA VISTA By: Its: Mavor "OWNER" THE OTAY RANCH, L.P. a California limited partnership, by Sky Communities, Inc. a California corporation, its general partner By: James P. Baldwin, President VILLAGE DEVELOPMENT a California general partnership By: James P. Baldwin, President I hereby approve the form and legality of the foregoing Pre- Annexation Development Agreement this day of 1996. Ann Moore Interim City Attorney City of Chula Vista By: ?~J;L -29- EXHIBIT A ~\~ -~- "- - -- OTAY RANCH, L.P. 01Y Of CHULA VISTA PLA""I"'C DEPA~H\f"T' 6'1 Q'?5 . . -:~ .:..... . /'J;J EXHIBIT B '. ," .:::}. (f t- ~.- ..~= ~= ClN OF CHUlA VISTA PLANNING DEPARTMENT - . '.~' ".VILLAGE DEVELOPMENT 9'25'96 ~. ;i~~ ~~~:~~~,};S~\;:,,:;~:,' ?'Jf I " " -- ,); - - --'-------.-+- - ----- ---~ ~- ......""""""-'--- -" - ~"i:~:}' ~;~:".i'w.' 7J.... '. ~;..';, ;~~,..\\., !jil~~~" ,1' ~::j"'; 'r:',',.",..,:, c . .;:' ?;, :~j~ c '" "''0 V; c: :> g ",CJ ::I >- .c :::: U U. '" -~ .!:1 0 .. >..~ "'.... -"::::I ::1.1::_ .c: 0.- UlIl':: '0 .. '0 ee "0 E:':: ~ Ex", 0"", ue.. ..e.. O::~~ ,..,; ~. . ," " ....>C fj~,,~;r ~:\~} I ( I I I I II .,....,- ...~..,.... j, 1/, ~~f.';~-'i ..~~'i ~~" . ~:.,:,.,,,. ':~.--".. <. .~.~' . ~~, tw:t;",'; ~~:'; .t: k. Nr'~' ~. ?'~i' . ~'ff~ ci I;': .Zr::: ,~!\.-..~ .. - 0 :~: ," \ \oJ ..... .- <n..... ._ ra >.~ ,0 ra C -~ - ::s C') .c..cL. ~ () 0 >< '+- CJ UJ 0 0::: ~~"" . ~ ~ ~""U'C "-,'.". I ro .0:: . >- 'I' ifJ3 . !!'~~S~(L. , ~~ ;\,*iJ~trl,?\~,':::-:-~',.t ~\' :. .:,::.y~':':,' .'~;.:~i1.;_;..t~,,: ~-. '.,< ~ e '0" ..E "'.I:: 0,-, 0.",,,, 0- ... ....... c.o~ -..:: .." '0 ... ;-~ ...J.!: >- >,'-''0 "''''::1 -= OVHf.l z~ ~ ~ ~~ II ~ ~ ~ I u,~ U~ ~ c , < ~~ ~L ~m , ~ ~ ~ t . c ~"" .' --I , .1 L_, ..J I l, ..,. I I \ ~ - \ \--J J I ('''" ',' 'I~l.' 'f' i' . . ?" ;Jf" '. ,,~%..... ':.:tj: ~ - - - - .__._--~-- .-.--- - ~ EXHIBIT "D" .. Recording Requested By, and When Recorded Please Return to: Chief Administrative Officer County of San Diego :,' ""<,:,1600 Pacific Hwy. \:;San Diego, CA 92101 .-; ,~." >5, [Space above for Recorder's Use) "..~ ft~~;~:i}~'; , 't" LANDFILL NUISANCE EASEMENT AND COVENANTS RUNNING WITH THE LAND . (hereinafter referred to as "Grantor"), for valuable consideration, does hereby GRANT to the COUNTY OF SAN DIEGO, a political SUbdivision of the State of California (hereinafter referred to as "Grantee") as the owner of the real property located in the County of San Diego, California known as the "otay Landfill" which is more particularly described in "Exhibit A" hereto (hereinafter referred to as the "Dominant Tenement") and its successors in interest to the Dominant Tenement, an EASEMENT (hereinafter referred to as "Nuisance Easement") over all that real property located in the County of San Diego, California described in "Exhibit B" hereto. (hereinafter referred to as the "Servient Tenement"). This Nuisance Easement is for the use and benefit of Grantee and its successors in interest and invited guests in the conduct of solid waste landfilling operations on the Dominant Tenement, for the free and unobstructed passage on, onto, in, through, and across the surface and airspace above the surface of the Servient Tenement of the following things (hereinafter referred to as "Nuisance Items"): dust; noise; vibrations; any and all chemicals or particles suspended (permanently or temporarily) in the air and wind including but not limited to methane gas; odors; fumes; fuel particles; seagu+ls and other scavenger birds and the excrement droppings therefrom; and the unobstructed passage below the surface of leachate and other pollutants; and for each, every and aIr effects as may be caused by or result from the operation of a landfill which is now in existence or which may be developed in the future, t together with the continuing right to cause or allow in all of such Servient Tenement such Nuisance Items, it being understood and agreed that Grantee, or its successors in interest, intends to develop, maintain and expand the landfill on the adjacent Dominant Tenement in such a manner that said landfill and the easement grated herein will be used at all times in compliance with all applicable State and Federal laws and the lawful orders (I /";J (, - of state and Federal agencies regulating environmental factors, toxic and/or hazardous waste, and the operation of the landfill. Grantor, for itself and its successors and assigns, does hereby fully waive and release any right or cause of action which they or any of them may now have or may have in the future against Grantee, its successors and assigns, on account of or arising out of such Nuisance Items heretofore and hereafter caused by the operation of a landfill. > ' l Grantor,'for itself and its successors and assigns, covenants and agrees, with the understanding and intent that such shall run with the land, and which shall run with the land, that neither they nor any of them will commence or maintain a suit, action, writ, arbitration, or other legal or equitable proceeding against Grantee or its successors or assigns wherein the relief sought is the cessation or limitation on the use of the Dominant Tenement as a landfill. Grantor, for itself and its successors and assigns, covenants and agrees, with the understanding and intent that such shall run with the land, and which shall run with the land, that in the event that they violate the above covenants of the foregoing sentence, they shall pay to Grantee such attorneys' fees and costs as may be determined to be reasonable by a Court of competent jurisdiction. Inquires or requests for enforcement made by Grantor, its successors or assigns to State or Federal agencies with regulatory authority over the operation of landfills shall not be considered a violation of this paragraph. Upon the termination of use of the-Dominant"Tenement for landfill purposes, (including completion of active landfill ',i' operations and all closure and post-Closure activities),: Grantor, its successors or assigns may request that Grantee, its successors or assigns, through the applicable legal procedure, vacate or terminate this easement, which request will not be unreasonably withheld. Executed this California. day of , 1996, at San Diego, GRANTOR .;ti-<~ ,llb.\SPA:\landfill.doc ?J? " - - .' .~" . . .'.. ~(::-;f~;;;~f~iL;it~\~" , "'<{";' '~:~. .,~ . . " ,~ . + . ~~.........~ .. ~ -"-.......& - <r:: I co e; ...J I ! co OJ ..--J W U. 0:::: <r:: D- ~~~';::';--f: t~,.:;l.,,, 1;:~,'>',,;', :' ",' 0:::: 'W'., .....~ ........ :) m "- / <C ~ Vt.o~ ~ ~~ :3 <<: lJJ u.. OC D 4: .z <0: ...J ;>.. < I- o c( W u.. u. ;:j Q) \ I \ i \ 1 \ .J . , -II /0- _ S'." /", '" t- o --' I '.. '" ill - Eo< H ~ co ~ H \ x '" I U '. ZN <(<D "'CO >-a. <(<( S~ -J: --1: LL o z' <::t _, ----1 : ... t- O --' ../. #' ;;: .-/ ::~ ./' -..- -,. " - ..--J ..--J ....'. ..'.- ~!'>~:ri~~id. '. ~~' Z:;~~' <r:: ..--J I>, \-_, '- - ---- .~ o z <( !li .,. I:. I,,; ----,.l'm....,---- ~. , , ... '- ~ I- O. ~ ,.... 'U .... w '-VI ~ VI :s,. / -='", S' .5 - / , "",~;, ?jy ~;~--, ,]!g-- ~:" \;~~ ti:~~y: . .".- ~~I:~!~~,;;?~;: . ~t->~',:-9:~'\:<<?::'~':::':-; ',,(<e,-' ',' ;:'!,-- ~(:'~""~/. -."f;'- ~'. ";;-~.~. ;f,.... -,;:' tf EXHIBIT "F" PRE-ANNEXATION DEVELOPMENT AGREEMENT PlanninQ Area Assessor Ownership Acreaoe Parcel Numbers Olav Valley Parcel 595-070-33 OlayFUinchL.P. 15.39 Olav Valley Parcel 641-020-15 OlavFUinchL.P. 21.89 Olay Valley Parcel 641-020-18 Olav FUinch L.P. 10.00 Olav Valley Parcel 641-030-13 Olav FUinch L.P. 97.36 Olav Valley Parcel 641-040-05 Olay FUinch L.P. 151.17 Olav Valley Parcel 641-060-04 Olav FUinch L.P. 8.16 Olav Valley Parcel 641-060-06 . OlaY FUinch L.P. 17.91 Olav Valley Parcel 641-070-01 Olay FUinch L.P. 87.86 Olav Valley Parcel 641-080-01 Olav FUinch L.P. 88.89 Olav Valley Parcel 642-040-16 Olay FUinch L.P. 13.99 Olay Valley Parcel 642-050-14 Olav FUinch L.P. 44.62 Olav Valley Parcel 642-050-24 Olav FUinch L.P. 29.36 Olay Valley Parcel 642-070-01 Olav Ranch L.P. 160.00 Olay Valley Parcel 642-090-01 Olav Ranch L.P. 92.78 Olav Vallev Parcel 643-010-03 Olav Ranch L.P. 19.92 Olav Valley Parcel .643-010-09 Olav Ranch L.P. 51.63 Olay Valley Parcel 643-020-10 Olay Ranch L.P. 159.37 Olav Vallev Parcel 643-020-28 Olav FUinch L.P. 48.13 Olav Valley Parcel 643-020-32 Olav Ranch L.P. 32.70 Olav Valley Parcel 643-050-01 Olav FUinch L.P. 53.51 Olav Valley Parcel 643-060-04 Olav FUinch L.P. 268.55 Olay Valley Parcel 644-030-01 Olav Ranch L.P. 311.03 Olav Valley Parcel 644-030-06 Olav FUinch L.P, 255.85 Olav Valley Parcel 644-060-11 Olav FUinch L.P. 159.18 Olav Valley Parcel 644-070-0 I Olav Ranch L.P. 313.52 Olay Valley Parcel 644-070-07 Olav FUinch L.P. 285.85 Olav Valley Parcel 644-080-09 Olav Ranch L.P. 152.40 Olay Valley Parcel 644-090-02 Olav Ranch L.P. 299.60 Olav Valley Parcel 645-030-15 Olay Ranch L.P. 16.89 Olay Valley Parcel 645-030-18 Olav FUinch L.P. 102.10 Olay Valley Parcel 646-010-03 Olav FUinch L.P. 175.14 3,544.7S Total Olav Valley Parcel 643-010-10 Villaee Develooment 17.06 Inverted 'L' 595-050-04 Villaee Development 10.00 Inverted 'L' 595-050-07 Villaee Develonment 2.50 I Inverted 'L' 595-050-08 Villaee Develooment I 2.50 I Invened 'L' 59S-050-09 Villaee Development I 2.50 I I I 34.56 i Total "llli.. 't. '. . . 'j ~ !.~J . :~~ 7~J7 . ff";:. ~ '-^' ~,--,,:....~ COUNCIL AGENDA STATEMENT REVIEWED BY: Item J i' ~ Meeting Date 11/26/96 RESOLUTION APiOVING AN AGREEMENT FOR CDBG FUNDING IN THE AMOUNT OF $18,000 BETWEEN THE CITY OF CHULA VISTA AND BOYS AND GIRLS CLUB OF CHULA VISTA AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT Community Development~rr (.S. City Manager J~~ ~\ r' ITEM TITLE: SUBMITTED BY: (4/5ths Vote: Yes.lL No_l BACKGROUND: On June 4, 1996, the City Council approved CDBG funds in the amount of $2,103,000 for various public service, community development, and capital improvement programs for FY 1996-97which included funding $18,000 for the Boys and Girls Club of Chula Vista to rehabilitate the gymnasuim floor. The U.S. Housing and Urban Development Department (HUD) requires a written agreement between the City and each subrecipient of CDBG funds. RECOMMENDATION: That the City Council adopt the resolution approving the agreement for CDBG funds in the amount of $18,000 between the City of Chula Vista and Boys and Girls Club of Chula Vista; and authorize the Mayor to execute the agreement. BOARDS/COMMISSIONS RECOMMENDATION: The Commission on Aging, Youth Commission, Childcare Commission, Housing Advisory Commission, and Human Relations Commission made funding recommendations in March and April 1996 which were considered by Council in approving the CDBG budget on June 4, 1996. DISCUSSION: The agreement between the City of Chula Vista and Boys and Girls Club of Chula Vista covers a period from July 1, 1996 to June 30, 1997. The funds were approved in the Capital Improvement Program portion of the budget with the funds to be used to rehabilitate the gymnasium floor. The agreement has several exhibits attached which are incorporated into the agreement. An example of the agreement and the exhibits are attached as follows: Exhibit A: The Statement of Work and Performance Schedule describes the services the agency will be providing. This performance schedule will be used to monitor the agency's progress in completing the scope of work. Exhibit B: The Itemized Budget shows exactly how the agency intends to expend the CDBG funds. This itemized budget will be used to monitor expenditures through the year. Exhibit C: City of Chula Vista Party Disclosure Form. sr-j Page 2, Item ~ Meeting Date 11/26/96 FISCAL IMPACT: The agreement will be funded out of the City's 1996-97 CDBG entitlement grant. In the remote event that HUD should withdraw the City's CDBG funding, the MOU provides that the City is not obligated to compensate $18,000 to the Boys and Girls Club of Chula Vista for program expenditures. (jf) M:\HOME\COMMDEV\STAFF.REP\11-26-96\CDBG#26.CON [November 20, 1996 (11:33am)] 8"'.2 RESOLUTION NO. I 'i' 511 'I RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A AGREEMENT FOR COBG FUNDING IN THE AMOUNT OF $18,000 BETWEEN THE CITY OF CHULA VISTA AND BOYS AND GIRLS CLUB OF CHULA VISTA AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, the City participates in the Community Development Block Grant (CDBG) program, a principal goal of which is to fund projects and services which will benefit low- income Chula Vista households; and WHEREAS, the City will be entering into a separate funding agreement with HUD for the City's 1996-97 CDBG entitlement; and WHEREAS, the City Council of the City of Chula Vista held a public hearing and allocated CDBG entitlement and other un allocated funds on June 4, 1996, a portion of which was allocated for the Grantee; and WHEREAS, the City is desirous of having certain services for the benefit of low- income households performed by the Grantee; and WHEREAS, the Grantee warrants and represents that they are experienced and staffed in a manner such that they can prepare and deliver the services required by Grantor within the timeframes herein provided all in accordance with the terms and contitions of this agreement; and WHEREAS, In the event that HUD should withdraw the City's CDBG funding, the City is not obligated to compensate the subgrantees for program expenditures. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby find, order, determine, and resolve as follows: SECTION 1. The City Council does hereby approve the following agreement, known by Document Number C096- , a copy of which is on file in the Office of the City Clerk. SECTION 2. The City Council does hereby direct and authorize the Mayor of the City of Chula Vista to execute said agreement for and on behalf of the City of Chula Vista. SECTION 3. This resolution shall take and be in full force and effect immediately upon the passage and adoption thereof. SECTION 4. The City Clerk shall certify to the passage and adoption of this Resolution; shall enter in the same in the book of original Resolutions of said City; and shall make a minute of the passage and adoption hereof in the minutes of the meeting at which the same is passed and adopted. 8"" :1 Presented by GL s:~ Chris Salomone Director of Community Development 8''',/ Approved as to form by u~~ Ann Moore Acting City Attorney E:}C~HPLE AGREEMENT SETTING OUT TERMS AND OBLIGATIONS OF BOYS AND GIRLS CLUB OF CHULA VISTA IN REGARD TO THE EXPENDITURE OF CITY FUNDS APPROPRIATED THIS AGREEMENT is made this November 26, 1996, for the purposes of reference only, and effective as of the date last executed between the parties, between the City of Chula Vista ("City") herin, a municipal corporation of the State of California, and Boys and Girls Club of Chula Vista, a non-profit organization ("Grantee"), and is made with reference to the following facts: RECIIALS WHEREAS, the City participates in the Community Development Block Grant (CDBG) Program, a principal goal of which is to fund programs and services which will benefit low and moderate-income Chula Vista households; and, WHEREAS, the City has entered into a separate funding agreement with HUD for the City's annual CDBG entitlement. WHEREAS, the City Council of the City of Chula Vista held a public hearing and allocated CDBG entitlement funds on June 4, 1996, a portion of which was allocated for the Grantee; and, WHEREAS, the City is desirous of having those certain services for the benefit of low income households, hereinafter enumerated, performed by the Grantee; and, WHEREAS, HUD requires the execution of a written agreement setting the terms and obligations for the expenditure of CDBG funds by the Grantee; and, WHEREAS, Grantee warrants and represents that they are experienced and staffed in a manner such that they can prepare and deliver the services required of Grantee within the time frames herein provided all in accordance with the terms and conditions of this Agreement; NOW, THEREFORE, in consideration of the mutual obligations of the parties as herin expressed, the parties hereto agree as follows: 1. Term of A~reement. The term of this agreement shall be for a period of one (1) year, from July 1, 1996 through June 30, 1997. 2. Statement of Work Schedule. The Grantee shall perform those duties described in the Statement of Work in Exhibit A, attached hereto and incorporated herein. These services shall be provided during the term of this agreement and according to the Performance Schedule in Exhibit A, attached hereto and incorporated herein. 1 r-:f' 3. Low Income ReQ.uirement. The services to be performed by Grantee shall be provided primarily to persons of low income households. A minimum of 51 % of the persons provided services shall be of low income, as determined by the most current HUD Income Limits for the San Diego SMSA, a copy of which is attached hereto and incorporated herein (Exhibit C). Grantee shall use reasonable means to determine the income level of each person or family served. 4. Compensation and Budl/"et. The Grantee agrees to expend City- appropriated funds to meet bona fide obligations incurred for the Boys and Girls Club of Chula Vista on the condition City receives sufficient CDBG funds and appropriates them for the purposes provided for in this agreement, and the City shall compensate Grantee for said services up to a maximum of $18,000 (Eighteen Thousand Dollars) payable in approximately equal monthly installments unless a more advanced payment schedule is set forth in the attached Exhibit A. An itemized budget for said expenses is set forth in Exhibit B, attached hereto and incorporated herein by reference. Notwithstanding the foregoing, the City shall, on 30 days advanced written notice to Grantee, have the option to terminate this Agreement and, in doing so, terminate funding to the Grantee. 5. Reimbursement Payments. Payment of those City appropriated funds shall be made to Grantee in monthly or quarterly installments following receipt of the "CDBG Expense Reimbursement Claim Form" from the Grantee. Expenses itemized on the "Expense Reimbursement Claim Form" shall be limited to actual expenses incurred during the period specified on said form, and shall not include any anticipated costs. Grantee shall attach xeroxed copies of all source documentation, such as receipts, bills, time sheets, etc. as shall provide reasonable proof of actual expenses incurred. Reimbursement Claim Forms will not be processed unless accompanied by the required documentation. Spreadsheet formats are not acceptable. The Grantee understands and accepts that in the event that HUD should withdraw the City's CDBG and HOME funding, the City is not obligated to compensate said Grantee for its expenditures. 6. Reports. The Grantee shall provide the City with a quarterly report, submitted no later than 40 days after the last day of the previous quarter, which includes a narrative of the services provided and an itemized accounting of the expenditures of CDBG funds during the previous quarter. 7. Assil/"nment. The services of Chula Vista Youth Services Network are personal to that organization. The Performance of this Agreement may not, by sub-agreement, be assigned to any other entity without prior written consent of the City. 8. Financial Records and Audits. The Grantee shall maintain all financial records for three years following the term of this Agreement. The City, at its discretion may require the Grantee to provide or allow the City to undertake a complete financial and program audit of its records. Those records shall contain, at a minimum, the following information for each client served: income, residency, and ethnicity. The records shall also contain receipts or other proof of all expenditures made with City CDBG funds. 9. Representatives. The Community Development Director, or his/her designated representative, shall represent the City in all matters of this Agreement. The City, at its discretion may require the Grantee to provide or allow the City to undertake a complete financial and program audit of its records. Those records shall contain, at a minimum, the 2 Y" t, following information for each client served: income, residency, and ethnicity. The records shall also contain receipts or other proof of all expenditures made with City CDBG funds. 10. Uniform Administrative Requirements. The Grantee shall comply with the applicable uniform administrative requirements as described in HUD regulation 24CFR 570.502. This HUD regulation requires compliance with certain sections of 24 CFR part 85 "Uniform Administrative Requirements. for Grants and Cooperative Agreements to State and Local Governments" . 11. Other Pro~ram Requirements. The Grantee shall carry out each activity specified under this Agreement with all Federal laws and regulations described in 24 CFR 570, Subpart K, with the following exceptions: a) The Grantee does not assume environmental responsibilities described at 24 CFR 570.604; b) The Grantee does not assume responsibility for initiating the review process under the provisions of 24 CFR 570.612. 12. Accountinll Procedure. The Grantee agrees to abide by the requirements of OMB Circular A-122 "Cost Principles for Non-Profit Organizations". The Grantee shall account for use of Block Grant funds separately from other funds so as to demonstrate that the funds are used for their designated purposes. 13. Pro~ram Income. Any program income derived from CDBG funds shall be reported to the City and shall only be used by grantee for the services funded under this Agreement. All provisions of this Agreement shall apply to the use of program income for said activities. Said program income shall be substantially disbursed for said services before the City will make additional reimbursements to the Grantee. If said program income is on hand when this agreement expires, or is received after expiration of this agreement, then said program income shall be paid to the City. 14. Conditions for Relillious Orllanizations. If the Grantee is a religious entity, affiliated with a religious entity, or sponsor of religious activities, then Grantee shall abide by the HUD regulations 24 CFR 570.2oo(j) which prohibits discrimination on the basis of religion and prohibits the use of funds for religious activities, and places other restrictions and limitations on the Grantee. 15. Drull-free Workplace. The Grantee shall maintain a drug-free workplace at all times for the duration of this contract. 16. Lobbyinll of Federal Officials. The Grantee shall not use any funds provided under this Agreement to pay any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. If Grantee utilizes any other funds for any of the aforementioned purposes, then the Grantee shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying", in accordance with its instructions. 3 8" 1 17. Insurance. Grantee represents that it, and its agents, and staff employed by it are protected by worker's compensation insurance and has coverage under public liability and property damage insurance policies which this Agreement requires to be demonstrated in the form of a certificate of insurance. Grantee will provide, prior to commencement of the services required under this Agreement the following certificates of insurance to the City: a) Statutory Worker's Compensation coverage plus $1,000,000 Employers liability coverage; b) General and Automobile Liability coverage to $1,000,000 combined single limit which names the City as additional insured, and which is primary to any policy which the City may otherwise carry ("primary coverage"), and which treats the employees of the City in the same manner as members of the general public ("cross-liability coverage"). 18. Hold Harmless. Grantee shall defend, indemnify and hold harmless the City, its elected and appointed officers and employees, from and against all claims for damages, liability, cost and expense (including without limited attorney's fees) arising out of the conduct of the Grantee, or any agency or employee, or others in connections with the execution of the work covered by this Agreement, except only for those claims arising from the sole negligence or sole willful conduct of the City, its officers, or employees. Grantee indemnification shall include any and all costs, expenses, attorney's fees and liability incurred by the City, its officers and agents, or employees in defending against such claims, whether the same proceed to judgement or not. Further, Grantee at its own expense shall, upon written request by the City, defend any such suit or action brought against the City, its officer, agents, or employees. Grantee's indemnification of City shall not be limited by any prior or subsequent declaration by the Grantee. 19. Suspension and Termination. In accordance with HUD regulation 24 CFR 85.43, Grantee may be sllspended or terminated by the City after 30 days written notice to the Grantee due to default by the Grantee or Grantee's inability to perform, regardless of whether such inability is due to circumstances within or beyond the Grantee's control. The award may be terminated for convenience in accordance with 24 CFR 85.44. Settlement of any disputes shall be based on the laws of the State of California. 20. A~Teement Modification. This Agreement may not be modified orally or in any manner other than by an agreement in writing signed by the parties hereto. 21. Breach of Contract. The parties reserve the right to pursue any remedy provided under California law for remedy in instances where contractors violate or breach contract terms. 22. Reversion of Assets. Upon expiration of this Agreement, Grantee shall transfer to the City any CDBG funds on hand at the time of expiration and any accounts receivable attributable to the use of CDBG funds, including any program income derived from CDBG funds. 4 ~"y IN WITNESS WHEREOF, City and Grantee have executed this Agreement this day of , 1996. CITY OF CHULA VISTA BY: Shirley Horton Mayor, City of Chula Vista ATTEST: City Clerk APPROVED AS TO FORM BY: Ann Moore Acting City Attorney BOYS AND GIRLS CLUB OF CHULA VISTA BY: 5 8'~9 ~ ~ EXHIBIT A BOYS & GIRLS CLUB OF CHULA VISTA COMMUNITY DEVELOPMENT BLOCK GRANT FINE ARTS PROGRAM STATEMENT OF WORK AND PERFORMANCE SCHEDULE The Boys & Girls Club of Chula Vista will provide a Fine Arts program at the Oleander Center, serving children between the ages of 6-18. The majority of services will bve conducted with children between the ages of 6-14. Said programming will begin in September and continue through June. Programming will be provided Monday through Friday, approximately fifteen hours per week. Club members will receive daily instruction in a variety of activities ranging from the simple to more complex including: Creative Drawing Cartooning Water Colors Collages Photography Crafts The members will also participate in the Boys & Girls Club Fine Arts Exhibit to be held in the Spring. 200 different children will be served in this program. The Boys & Girls Club will provide 6,000 units of service (one unit equals one hour of service). Ninety percent of those served will be Chula vista residents. Fifty percent of those served will be from low income families. Fifty percent of the those served will be children of color. ~"'11l ~ \ I ,-, EXHIBIT B BOYS & GIRLS CLUB OF CHULA VISTA COMMUNITY DEVELOPMENT BLOCK GRANT FINE ARTS PROGRAM ITEMIZED BUDGET CDBG FUNDS OTHER SALARIES/BENEFITS $ 7,830 RENT/UTILITIES $ 1,916 EQUIPMENT/SUPPLIES $ 1,500 FIELD TRIPS $ 200 AWARDS 238 INDIRECT 977 TOTAL $ 9,768 $ 2,893 Y"JI EXHIBIT C THE CITY OF CHULA VISTA PARTY DISCLOSURE STATEMENT Statement of disclosure of certain ownership 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 official bodies. The following formation must be disclosed. 1. List the names of all persons having a financial interest in the contract, Le. contractor, subcontractor, material supplier. 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 organization 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. 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. 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): Person is defined as: "Any individual, firm, co-partnership, joint venture, association, social club, fraternal organization, cotporation, estate, trust, receiver, syndicate, this and any other county, city and country, city, municipality, district or other political subdivision, or any other group or combination acting as a unit." (NOTE: Attach additional pages as necessary) Date: Signature of contractor/applicant 8" /-2. Print or type name of contractor/applicant COUNCil AGENDA STATEMENT 9 Item___ Meeting Date 11/26/96 Ifr5~f ITEM TITLE: Resolution Accepting bids and awarding contract for the purchase of an Aerial Lift Truck, Bid # 1-96/97, to Altec Industries. SUBMITTED BY: Director Of Public Work#~ Director of Finance ~ Ovl REVIEWED BY: City ManagerJ-Gt bIk OJX)J (4/5ths Vote: Yes_No--.1L) The FY 96-97 equipment replacemen~ budget provides for the purchase of one replacement aerial lift for the Traffic Signal section of Public Works. On November 5, 1996, the Purchasing Agent accepted bids for the purchase of an aerial lift, and Altec Industries was the lowest responsible bidder with a cost of $58,031.00 (plus tax) with no exceptions to specifications requested. RECOMMENDATION: That Council award the contract to Altec Industries Inc., the lowest responsible bidder. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable DISOJSSTON: The FY 96-97 equipment replacement budget provides for the replacement of an aerial device for the Traffic Signal section of Public Works Engineering. Six potential bidders were contacted and the bid was also advertised in the local newspaper. Three vendors responded as follows: Bidder Aerial Lift Truck Sales Tax Net Total Altec Industries $58,031.00 $4,497.40 $62,528.40 Pressley Peterbilt $ 58,998.00 $4,572.35 $63,570.35 Pacific Utility $62,313.00 $4,829.26 $67,142.26 AITF.RNATIVF RTFI.: Alternative fueling was requested as an option, but there were no responses. FISCAL IMPACT: Sufficient funds ($63,200) are provided in the FY 96-97 equipment replacement budget for the purchase of the aerial lift. The total amount including 7.75% sales tax is $62,528.40, which is $671.60 less than the budgeted estimate. q'l RESOLUTION NO. IY565' RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING BIDS AND AWARDING CONTRACT FOR THE PURCHASE OF AN AERIAL LIFT, BID #1-96/97, TO ALTEC INDUSTRIES WHEREAS, the FY 96-97 Equipment provides for the purchase of one replacement Traffic Signal section of Public Works; and Replacement budget aerial lift for the WHEREAS, on November 5, 1996, the Purchasing Agent received the following three bids for the purchase of an aerial lift: Bidder Aerial Lift Truck Sales Tax Net Total Altec Industries $58,031.00 $4,497.40 $62,528.40 Pressley Peterbilt $58,998.00 $4,572.35 $63,570.35 Pacific Utility $62,3]3.00 $4,829.26 $67,142.26 WHEREAS, Al tec Industries was the lowest responsible bidder with a cost of $58,031.00 (plus tax) with no exceptions to specifications requested. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula vista does hereby accept said three bids and awards the contract to Altec Industries in the amount of $62,528.40, including sales tax. BE IT FURTHER RESOLVED that the Purchasing Agent of the City of Chula vista is hereby authorized and directed to execute said contract for and on behalf of the city of Chula Vista. Presented by Approved as to form by John P. Lippitt, Director of Public Works t' '^^ _ ^ _ ( A/'oo.-/ ~ YV~ Ann-Y. Moor , Assistant city Attorney C:\rs\aerial.bid ,,,~ COUNCIL AGENDA STATEMENT Item: Meeting Date: 11/26/96 /(7 ITEM TITLE: Resolution / ff'hl- Rejecting bids for "Lorna Verde Park Improvements (PR-183B), Eucalyptus Park Play Equipment (PR-146C) and Gayle L. McCandliss MemoriallHalecrest Park Improvement (PR-178B) in the City of Chula Vista, CA" Director of Public W s #' Director of Parks d Recreation"w6v9V City Manager . (4/5ths Vote: Yes _ No~) SUBMITTED BY: REVIEWED BY: At 2:00 p.m. on October 2, 1996, in Conference Room 2 & 3, the Director of Public Works received sealed bids for "Lorna Verde Park Improvements (PR-183B), Eucalyptus Park Play Equipment (PR-146C), and Gayle L. McCandliss Memorial/Halecrest Park Improvement (PR- 178B) in the City of Chula Vista, CA." STAFF RECOMMENDATION: That Council continue this item to the 12/10/96 Council Meeting. /t1., J COUNCIL AGENDA STATEMENT Item: II Meeting Date: 11/26/96 ITEM TITLE: Resolution 18".J"P~UthOriZing the acceptance of a technical assistance grant from the California Healthy Cities Project FY 1996/97; and Appropriating $7,500 in the Grant Fund (290-2901) and approving the expenditure of said City funding for implementation of the City's community-school-based and after- school playground program's gardens Director of Parks and Recre~~~t...- City Manager j~ ~ Z>>1~\ (4/5ths Vote: Yes X No_) SUBMITTED BY: REVIEWED BY: On September 17, 1996, the Council approved a proposal in which the City would apply for a third-year technical assistance grant from the California Healthy Cities Project, Fiscal Year 1996-97. Accompanying this application was a grant request of $7,500 to the California Healthy Cities Project to help implement the project: establish a community-school-based garden project and after-school playground garden activities and curriculums. On October 28, 1996, the Department was informed that its application and project proposal to the California Healthy Cities Project had been accepted. The California Healthy Cities Project approved a technical assistance grant of $7,500 to help establish the gardens. The City, in collaboration with Chula Vista Cluster Coordinating Council, Chula Vista Elementary School District, Chula Vista Youth Coalition, and University of California Cooperative Extension - San Diego County 4-H Programs, will establish a community-school-based garden project and after-school playground garden activities and curriculums. The agreement and grant covers a period from October I, 1996 through September 30, 1997. STAFF RECOMMENDATION: That the City Council adopt the Resolution: a. Authorizing the acceptance of a technical assistance grant from the California Healthy Cities Project FY 1996/97; and b. Appropriating $7,500 in the Grant Fund (290-2901) and approving the expenditure of said City funding for implementation of the City's community-school-based and after- school playground program's gardens BOARDS/COMMISSIONS RECOMMENDATION: N/A. DISCUSSION: The Chula Vista Parks and Recreation Department, in collaboration with the Chula Vista Cluster Coordinating Council, Chula Vista Elementary School District, Chula Vista Youth Coalition, and University of California Cooperative Extension - San Diego County 4-H Programs, will [M:\home\parksrec\all3 - 1GB: Healthy Cities - accept$967 . 11/19/96} 1 11'/ Item: II Meeting Date: 11/26/96 establish a new project, a community-school-based garden and after-school playground garden activities and curriculums. Chula Vista, previously an agricultural community, and center of the nation's lemon industry, lacks a community garden. The first community-school will be at Vista Square Elementary School and involve students, parents, teachers, and community volunteers. Participants will help in the design and planning of the garden, soliciting in-kind donations from local businesses, and developing long range goals for sustainability of the community garden. Following the establishment of the Vista Square community-school garden, two (2) after-school playground gardens will be established at Discovery and Lauderbach Elementary Schools. Principals at both sites have committed space to develop the gardens. The after-school gardens are a vehicle for youth to focus their energy into positive and productive avenues. Facets of the new programs include: soil preparation, composting, beneficial insects, low-water irrigation, food preparation, biology, chemistry, and nutrition education. Children, youth, and adults will be exposed to enhanced nutritional information and direct food production techniques. The goal is to improve the ability of residents to become self-sufficient and improve their quality of life through healthy activities. Additionally, through involvement with the garden project, community members will recognize the importance of environmental issues and the impact those issues have on their lives and their children. The City's Human Services Coordinator will continue to serve as the project manager, and will be responsible for completing and submitting the required reports to the California Healthy Cities Project. Funds will be disbursed to the appropriate partner agency upon receipt of appropriate expense documentation. Payments are made based on clear expectations and performance in accordance with the proposal submitted to the California Healthy Cities Project. FISCAL IMPACT: The City has been awarded a third-year technical assistance grant in the amount of $7,500 by the California Healthy Cities Project for the garden project. These funds will be deposited into a grant account, Healthy Cities Project Grant (290-290 I). This grant will cover most of the expenses for the project. The Human Services Coordinator will work approximately 11 % or five (5) hours per week on the project (October 1, 1996 through September 30,1997). The City will contribute, in-kind, the salary and benefits of the Human Services Coordinator, at an estimated cost of $5,500 for the grant period. Excepting the in-kind contribution, City General Funds will not be required for this program . Attachments: "A"- "B"_ A ward Letter Budget - FY 1996/97 Garden Project Proposal "e" - [M:\home\parksrec\al13 -1GB: Healthy Cities - accept$967 - ] 1/]9/96] 2 /1-.2 RESOLUTION NO. 11'~7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE ACCEPTANCE OF A TECHNICAL ASSISTANCE GRANT FROM THE CALIFORNIA HEALTHY CITIES PROJECT fy 1996/97; AND APPROPRIATING $7,500 IN THE GRANT FUND (290- 2901) AND APPROVING THE EXPENDITURE OF SAID CITY FUNDING FOR IMPLEMENTATION OF THE CITY'S COMMUNITY-SCHaaL-BASED AND AFTER-SCHOOL PLAYGROUND PROGRAM'S GARDENS WHEREAS, on September 17, 1996, the Council approved a proposal in which the City would apply for a third-year technical assistance grant from the California Healthy cities Project, Fiscal Year 1996-97; and WHEREAS, accompanying the application was a grant request of $7,500 to the California Healthy cities Project to help implement the project: establish a community-school-based garden project and after-school playground garden activities and curriculums; and WHEREAS, on October 28, informed that its application California Healthy cities Project 1996, Parks and Recreation and project proposal to had been accepted; and was the WHEREAS, a technical assistance grant of $7,500 was approved by the California Healthy cities Project to help establish the gardens; and WHEREAS, the City, in collaboration with Chula vista Cluster Coordinating Council, Chula vista Elementary School District, Chula vista Youth Coalition, and University of California Cooperative Extension San Diego County 4-H Programs, will establish a community-schoo I-based garden project and after school playground garden activities and curriculums. NOW, THEREFORE, BE IT RESOLVED the city Council of the City of Chula vista does hereby accept a technical assistance grant from the California Healthy cities Project FY 1996/97. BE IT FURTHER RESOLVED that the city Council does hereby appropriate the grant funds in the amount of $7,500 into a grant account, Healthy cities Project Grant (290-2901) and approving the expenditure of said City funding for implementation of the city's community-school-based and after-schol playground program's gardens. Presented by Approved as to form by Jess Valenzuela, Director of Parks and Recreation U- ki ~~ Ann Y. Mo re, Asslstant City Attorney C:\rs\healthy.grt 11- ..1 CALIFORNIA HEALTHY CITlES PROJECT , S I <f (' \[Ct q t.l t,) -Jc'Jc( f: ...L. .f ':/<." ~ October 28, 1996 A ~IUiCiI c! tl:,~tlie:l, lJ;,": !'J';, lei ~ oW;I, II,,!:;; The Honorable Shirley A. Horton Mayor City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Dear Mayor Horton: It is with great pleasure that I inform you that the City of Chula Vista has renewed its participation in the California Healthy Cities Project. The City's plan to provide a minimum of 250 families with fresh produce through three community-based gardens and increased education in the community has the potential to significantly add to Chula Vista's quality of life. As part of an international healthy cities and communities movement, the city is in an ideal position to attract new funds and services. We are eager to link participating cities with innovative program resources and with other similarly interested cities in both the United States and abroad. Additionally, we provide: technical assistance (and resources, if appropriate) for implementing your customized educational programs; resource materials; an awards program; use of the Project logo for promotional activity; and priority for all Project services. A License Agreement and the accompanying Terms of Participation, delineating the services and responsibilities associated with Project participation, have been forwarded with the copy of this letter to John D. Goss, City Manager, for signature. This agreement covers 10/1/96 - 9/30/97. Should you have any questions, please contact Gregory S. Shaffer, Local Program Development Specialist, at 916-323-0702. Again, on behalf of the Project, I offer our most sincere congratulations and support in making Chula Vista a healthier community in which to live, work and play. cerely, )rI.~ JMT/kja cc: John D. Goss, City Manager, City of Chula Vista Jess Valenzuela, Director of Parks and Recreation, City ofChula Vista './1"'1 CilJ.lfORNlA HEALTHY ClrlES PI{OJECT ,........,.'~\. ,.., .. V" I, 1'-", ~~: 0' 1 ill ';,,, i "II October 28, 1996 ',;,,',J_,IOI :.:, h8:;, h::"II: Robert K. Ross, M.D. County Health Officer San Diego County 1700 Pacific Highway, Room 208 San Diego, CA 92101 Dear Dr. Ross: On behalf of the California Healthy Cities Project, I am pleased to inform you that the City ofChula Vista has renewed its participation in the Project. The City's participation began October 1, 1996 and ends on September 30,1997. Chula Vista's plan to provide a minimum of250 families with fresh produce through three community-based gardens and increased education in the community, is testimony to the City's commitment to the creation of a local environment which preserves and promotes enhanced community "livability." The Project uses a partnership approach to community improvement, asslstmg municipal government, local businesses, and community constituencies with the development of responsive public policies designed to improve individual and community health. We are pleased that the County of San Diego has renewed its commitment to the Project in those efforts through the City of Chula Vista's participation, in addition to its participation through the cities of Escondido, Oceanside and Vista. The link between county health departments and city staff is an essential part of a successful, collaborative effort. Should you wish to contact Chula Vista regarding its Healthy Cities Project involvement, including participation on their steering committee, their interim project liaison is Jess Valenzuela, Director of Parks and Recreation, at 619-691-5071. Again, on behalf of the California Healthy Cities Project, we look forward to continuing to work with you to build a healthy future for your community. an M. Twiss Proj ect Director JMT/kja cc: Jess Valenzuela, Director of Parks and Recreation, City ofChula Vista H.f ATTACHMENT B CHULA VISTA CALIFORNIA HEALTHY CITIES PROJECT PARKS AND RECREATION DEPARTMENT FISCAL YEAR 1996-97 290-2901 -- Community-School Garden Project LINE ITEM LINE ITEM LINE ITEM DESCRIPTION TOTALS 5202 - Contractual Services $1,200.00 Stipends/incentives for Garden Coordinator and/or volunteers. 5225 - Transportation $540.00 Attendance and participation in Healthy Cities Project Allowances meetings and/or training opportunities by the Human Services Coordinator, volunteers, and other staff. 5398 - Other Commodities $5,760.00 Fencing, $1,200; Irrigation, $800; Tools/Equipment, $2,180; Planting material, $1,000; Soil and amendments, $250; Curriculum/Copies, $310. TOTAL $7,500.00 IJ"~ ~. :*ry u w ~ o u: Q. '" w - I- - U >- :E: ~ C W :r: c - 2 a: o u. - ... c U RENEWAL ApPLICATION City of: Chula Progr.m V..r: Vista to/Ol/QP, to OQ/?O/Q7 B" ApPLICATION DEADLINE: , 09/01/96 All material in final form, not faxed transmittals, must be received by the applica- tion deadline. Mail the original Renewal Application and four (4) copies to: + Mailing Address + California Healthy Cities Project Mail Station 675 P.O. Box 942732 Sacramento, CA 94234-7320 + Express Deliveries Only + California Healthy Cities Project Mail Station 675 60 IN. 7th Street Sacramento, CA 95814 !XI !XI !XI CITY COUNCIL RESOLUTION The resolution should support continued participation in the Project for the proposed program year and endorse a broad-based public policy approach to community improvement and the promotion of a healthful environment for city residents. SUMMARY OF PROGRESS TO DATE (2-page maxinuun) Prepare a narrative description of: A. The project's focus for the previous program year and a restatement of the major goals and objectives; The progress made toward meeting the goals and objectives for the previous program year. Problem areas and what was done, or will be done, to address these areas; and An overall assessment as to how successful the project was in achieving the desired outcomes. B. C. D. PROPOSED PROJECT t/ Narrative (2-page maximum) See page 2 for guidelines Workplan (copy and use one form for each objective.) See pages 3 & 4 for guidelines and form A Roster of Project Steering Committee Members Please include organizational affiliations as appropriate Project Participation Agreement See page 5 for form Financial Assistance Request - Local Project Implementation See page 6 for form t/ t/ t/ t/ @ 1992 by Ihe Western Consortiumfor Public Heallh. All Righls Reserved. m.c\fonn. folder 10118/95 II" ') The City of Chula Vista's Parks and Recreation Commission held a meeting on July 18, 1996. A quorum was not possihle at that meeting, therefore the Healthy Cities Project item could not proceed to the City Council. The neIt meeting of the Commission will be August 15, 1996. It is anticipated to have a quorum at that meeting, so the item may be presented to the City Council on September ii, 1996. Following tbe City Council meeting, I will fax a copy of tbe approved resolution supporting continued participation and endorsing a hroad-hased puhlic policy approach to community improvement. The new resolution will approximate the following resolution: RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA SUPPORTING CONTINUED PARTICIPATION IN THE CALIFORNIA HEALTHY CITIES PROJECT FOR FY AND 96/97 AND ENDORSING A BROAD-BASED PUBLIC POLICY APPROACH TO COMMUNITY IMPROVEMENT AND THE PROMOTION OF A HEALTHFUL ENVIRONMENT FOR CITY RESIDENTS WHEREAS, on September 5, 1995, staff presented a proposal to the Council in which the City would continue the California Healthy Cities Project for FY 95/96; and WHEREAS, accompanying the application was a grant request of $7,500 to the California Healthy Cities Project to help continue the proposed project: production of youth newspaper; and WHEREAS, on March 28, 1996, Parks and Recreation was informed that its application and project proposal to the California Healthy Cities Project had been accepted and a technical assistance grant of $7,500 was approved to implement the City's second-year project; and WHEREAS, based on the success of the second year, the City of Chula Vista has been invited to file an extension proposal for a third year of funding; and WHEREAS, staff requests Council approval of this extension. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula vista does hereby support continued participation in the California Healthy Cities Project for FY 96/97. BE IT FURTHER RESOLVED that the City Council does hereby continue to endorse a broad-based public policy approach to community improvement and the promotion of a healthful environment for city residents. Presented by Approved as to form by Jess Valenzuela Director of Parks and Recreation Bruce M. Boogaard City Attorney II-I' PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this lilth day of September, 1996, by the following vote: '"'I-'t'h. AYES: Councilmembers: NA YES: Councilmembers: ABSENT: CouDcilmembers: ABSTAIN: Councilmembers: Shirley Horton, Mayor ATTEST: Beverly A. Authelet, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) ss. CITY OF CHULA VISTA) Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do hereby certify that the foregoing Resolution No. was duly passed, approved, and adopted by the City Council at a regular meeting of the City Council held on the 10th day of Septem ber, 1996. \-\'\ '-'\ Executed this--Hlth day of September, 1996. Beverly A. Authelet, City Clerk //..., CITY OF CHULA VISTA California Healthy Cities Renewal Application SUMMARY OF PROGRESS TO DATE A. State the project's focus for the previous program year and restate major goals and objectives. The project's primary focus has been the recruitment and training of youth to produce a youth newspaper that provides a communication medium for youth of the community. Goal Statement: To increase youth involvement and participation in positive and healthy activities in the City ofChula Vista by informing youth through articles and published information about social and health issues. Objectives: 1. By August 3], ]996, at least]O youth, age 15-18, will produce six issues of the publication to distribute to at least five thousand readers. 2. By August 3 ], ] 996, 50% or more of the youth publication's readers will report they have increased their knowledge and awareness. The areas ofthe increase include: information on relevant health and social issues, available programs and activities, and current events, and have changed their attitude toward their general health because of the youth publication. 3. By August 3], ]996,20% or more of the youth publication's readers surveyed will report they have changed their behavior, or intend to change their behavior. This change or intent to change will be due to the information on relevant health and social issues, available programs and activities, and current events contained in the youth publication. B. State the progress made toward meeting goals and objectives for the previous program year. I. 27 youth produced all six issues of lnfiniti Magazine. Twenty-nine thousand (29,600) copies, at an average of 4,933 copies per issues, were distributed. At a conservative average of two readers per magazine, we estimate a readership of approximately fifty-nine thousand six hundred (59,600). Distribution sites included: IS junior/middle and high schools, colleges, youth serving agencies, and businesses. 2. As of July 31, ]996,475 surveys have been completed. The respondents taking the survey ranged in age from] 2 - ] 9 years of age and were in grade levels ranging from 7th to 12th grade. Approximately 54% were male and 46% female. Their individual ethnicities are as follows: 10% Anglo, 69% Latino, 2% Native [lGB: HCIIlthy Cities Project + Renewal,96} II-It! City ofChula Vista American, 7% Black, ] I % Asian, and I % indicated Other. At this time the survey consultant has not completed all the analysis and computations of the surveys. The project is not able to infer any results of increased knowledge regarding information on relevant health and social issues, available programs and activities, and current events without the full report and analysis. 3. As stated above, as of July 3], 1996,475 surveys have been completed. The respondents taking the survey ranged in age from ]2 - 19 years of age and were in grade levels ranging from 7th to ]2th grade. Approximately 54% were male and 46% female. Their individual ethnicities are as follows: 10% Anglo, 69% Latino, 2% Native American, 7% Black, ] ] % Asian, and I % indicated Other. At this time the survey consultant has not completed all the analysis and computations of the surveys. The project is not able to infer any results of behavior change or intent to change at this time without the full report and analysis. The survey consultant will complete the survey analysis and final report by September IS, 1996. At that time a copy of the report will be sent to California Healthy Cities Project staff. The survey data and report will be distributed to the Steering Committee members, City Staff, and area community organizations. C. State the problem areas, what was done, or will be done, to address these areas. No significant problems occurred this year. However, minimal access to computers continues to be a challenge. ]n addition, San Diego Hay, a local Latino publication, closed business operations. Initially, this was a setback, but two San Diego Hay staff members committed themselves to continue technical support and mentoring for the project. At this time the project cannot measure the success of reaching the outcome objective. The survey was given to 475 respondents, however, the analysis and report are not complete. Due to personal problems in the latter part of the program year, the survey contractor had to delay the release of the report. We cannot infer results inferring changes in behavior and/or knowledge. The full survey report will be complete September] 5, 1996. At that time staff will forward a copy to California Healthy Cities Project Staff. What will be done to address these problems in the next program year? These problems will continue to be addressed by generating additional inkind support in the form of computers. Inkind support will be solicited from local businesses and service clubs. Contracting with a survey consultant at the beginning of the project year will address this problem in future projects. pGB: Healthy Cities Projea. Rcnewal.96J 2 /1'// City of Chula Vista D. Give a general assessment about how successful the project was in achieving the desired outcomes. Generally, the project has been successful in completing the process objectives. However, due to the delay in the survey report, we cannot accurately determine the outcome objectives. We anticipate receiving the survey report by September 15, 1996. The report will be distributed to the Steering Committee members, City staff, and other interested parties. A copy of the survey report will be sent to California Healthy Cities Project staff. All the issues of Infiniti Magazine were printed and the numbers distributed doubled in the second year. The number of copies printed, per issue, jumped from 4750 to 5075, with a per average issue count of 4,933. The number of distribution sites rose, from 32, to 54 different locations. Sites have included local middle and high schools, colleges, area businesses, youth serving agencies, libraries, and police stations to name a few. From September 1995 through July 1996, four classes of the KIDZBIZ training program were completed with 160 participants. As expected, some youth dropped out during the course; by the end ofthe training, twenty-five of the youth graduated and moved onto the business area of lnfinili Magazine. Thirty additional youth have helped in the layout and production of Infiniti Magazine. One to seven youth writers has contributed articles and/or artwork for each issue. Along with layout and advertising work, youth-staff compiled a distribution plan. Youth decided to concentrate on Chula Vista, National City, Otay and San Ysidro areas of the South Bay. After surveying areas with a high volume of youth, youth-staff met with designated contact people at each distribution point. The contact enabled staff members to get comments about the circulation of the lnfiniti Magazine. Contact people give information regarding the number of youth frequenting the area, the popularity of the newspaper, seasonal nature or customers, and possible suggestions for other distribution points. With that information available, youth make changes in the amount and placement of successive issues. Contact people are still used to monitor circulation, but distribution of most of each issue is constant. Obtaining advertising required much time and effort, but having a hard copy of the lnfinili Magazine made the job of selling a bit easier. Youth have taken several approaches to obtain advertising including: presentations, cold-calling, canvassing local businesses. Before each issue, youth discuss possible topics and sources of information. The change in format, from black and white to full color, was appealing to advertisers and readers. The youth oriented businesses and the youth, are responding favorably to the new format. Advertising revenues support most of the printing costs and continue to increase. Twenty-three different businesses have purchased advertising to cover 60% to 75% of the advertising cost. Those youth involved directly with the production of the newspaper have developed skills to communicate with their peers, and adults. They have learned a great deal as business people through their successes and failures in the project. The process of trial and error in such an innovative project has taught them the need for flexibility. The Steering Committee will continue to meet informally to guide lnfiniti Magazine. Regular progress reports and updates are shared at the monthly Youth Coalition and Chula Vista Cluster Coordinating Council meetings. City staff provide regular updates to the City Manager, City Council members, and the Mayor. New members have joined the Committee to better represent the community and programs within the community. [JGB Healthy Cilies Projed.. Rem:wal. 96) 3 /1' I;' City ofChula Vista Description of the topical issues included in the magazine: . Environment . Runaway and Homeless youth . HIV/AIDS . Self-esteem . Literacy . Social Services . Peer Educators . Sports . Pollution . Teen Pregnancy . Rape . Tobacco . Violence The City of Chula Vista was able to receive support from the California Healthy Cities Project for a second year. This allowed the project time to gain long-term support. The City of Chula Vista, South Bay Community Services, and the other collaborative agencies believe this project will continue to be a tremendous success. At this point in the project, with the increased advertising revenues, the youth's publication is stable and has essentially become institutionalized into the operations of South Bay Community Service's KIDBlZ Program. [JGB Healthy Cities Project - Renewa1.96] 4 11'13 City ofChula Vista PROPOSED PROJECT NARRATIVE Proposed Project: Based on the success ofthe first and second year's project, the Parks and Recreation Department has been invited to file an extension proposal for a third year project participation. Upon recommendations from the California Healthy Cities' staff, the community was encouraged to develop a new project. Following research and discussion with community members, the Steering Committee decided to focus efforts on a community garden project. In consultation with the Steering Committee, the proposed project will establish a community-school-based garden project and after-school playground garden activities. Under the guidance ofthe City of Chula Vista Parks and Recreation Department adults, youth, and children will be exposed to enhanced nutritional information and direct food production techniques. Chula Vista, previously an agriculture community and center of the nation's lemon industry, lacks a community garden. The community garden would involve students, parents, teachers, and community volunteers. Participants would help in the design and planning of the garden, soliciting inkind donations from local businesses, developing a produce distribution plan, and developing long range goals for sustainability ofthe community garden. It is hoped the inkind support from the community and the City will lead to the sustenance ofthe community garden. Following establishment of the community-school garden, after-school playground garden activities would begin at Discovery and Lauderbach Elementary Schools. Principals at both sites have committed space to develop the gardens. The after-school gardens are a way for youth to focus their energy into positive and productive avenues. To gain the broad base of support necessary for a project of this stature, staff approached the Chula Vista Cluster Coordinating Council (CVCCC). The CVCCC is a representation of 41 different community agencies and includes many parents and community members. The Parks and Recreation Department is a founding partner in the CVCCC and has an excellent working relationship with the other member organizations. The Department has collaborated with the CVCCC in projects including: the After-School Playground Program, Late-Night Program, and Special Events. The CVCCC proposes space for the garden to be at Vista Square Elementary School, the heart of the CVCCC and surrounding community. The project will establish a community-school-based garden project and after-school playground garden activities and curriculums. This will be done in collaboration with the Chula Vista Parks and Recreation Department, Chula Vista Cluster Coordinating Council, Chula Vista Elementary School District, Chula Vista Youth Coalition, and University of California Cooperative Extension - San Diego County 4-H Programs. Facets of both programs would include: soil preparation, composting, beneficial insects, low-water irrigation, food preparation and cooking classes, biology, chemistry, nutrition education and distribution strategies. Children, youth, and adults would be exposed to enhanced nutritional information, food preparation techniques, and direct food production. IJGB Healthy Cities Project - Rmewal.96) 5 11;1'1 City ofChula Vista Community volunteers and Master Gardeners, from the University of California's Cooperative Extension Home and Farm Advisors program, will mentor youth in proper soil ph. levels, the use of beneficial insects as an alternative to pesticide use, tilling the soil, constructing fences and raised beds, and installing a water- efficient irrigation system. Youth participants will help in the design, construction, and planting of the garden. In addition, the youth will help develop a marketing plan to solicit inkind donations from local businesses. Teachers will have access to classroom curriculum and lesson plans to enhance the youth's experience and to use the garden project as a learning tool. The Steering Committee and Garden Project Sub-Committee members anticipate the pursuit of additional funding sources to enhance and provide a more comprehensive program. One possibility the Committees are excited about is developing a proposal for the Food For All Program. The Committee Members believe that developing a comprehensive strategy toward food security is vital to the communities and neighborhoods. In pursing the Food For All Program funds, the development of outreach farmers markets, WIC coupon voucher redemption, truck gardening, and employment training in agriculture have been discussed. Other potential funding and support opportunities may include: Captain Planet Foundation grants, Otay Water District and Sweetwater Water Authority mini grants, California Nurserymen's Association funding, and Chula Vista Elementary and Sweetwater Union High School Districts committing part of their discretionary funds toward the development of additional curriculums and training for pupils. The overall goal is to enhance the daily diet and nutritional intake for the residents of Chula Vista. Additionally, it is hoped to improve the ability of low-income residents to become self-sufficient, have an increased environmental awareness, have more information regarding nutrition and food nutrients, and improve their quality of life. Through the CVCCC's BEACON Family Resource Center, participants will have the opportunity to enhance their job and employment skills, literacy education, completion of aGED or diploma, and many other self-esteem enhancing activities. Additionally, the Center will be the location for the distribution of produce grown in the community-school garden. Through involvement with the garden project, community members and youth will recognize the importance nutrition and environmental issues have and the impact those issues have on their lives and the lives of their children. The Garden Committee anticipates using a tally of the number of community members receiving produce as the evaluation process. Initially, the produce grown will be distributed biweekly or monthly, depending on the yield. As the garden progresses and matures, it may be necessary to distribute the produce weekly. The distribution point will be the BEACON Family Resource Center, on the campus of Vista Square Elementary School. The produce grown in the After-School Playground Programs will be sent home with the youth and volunteers at each site. A log will be kept to determine the total number of produce recipients. To ensure the classroom teachers use the agriculture and nutrition curriculums, a Teachers on the Garden Committee will oversee this aspect of the project. The teachers will test the youth before they begin the lessons. When the curriculum and lesson plans are complete, the teachers will test the same students to determine the amount of agriculture and nutrition information learned. During the project, the Steering Committee and the Garden Project Committee will investigate additional strategies and policies for enhancing the nutritional needs of Chula Vista Residents. The Committees will interact with the Mayor and City Council to determine the possibility and feasibility of establishing a Food Policy Council. It may be determined that the Steering Committee could serve in this capacity with the addition of committee members who are experienced in nutrition, agriculture, or food policy matters. This will be explored and reported upon in the interim and final progress reports. [JOB Healthy Cities Project - Renewal96] 6 11-1.5' City of Chula Vista The City's Human Services Coordinator would continue to serve as the project manager, and would be responsible for completing and submitting the required reports to the California Healthy Cities Project. Funds would be disbursed to the appropriate partners' agency upon receipt of appropriate expense documentation. A. Goal: To meet the nutritional needs ofChula Vista residents including, adults, youths, and children. Objective: By September 3 I, 1997, the following will occur: . A minimum of 250 families will be provided with fresh produce. To support the goal and the objective, the following process objectives have been developed: . Food production and nutrition education will be provided within the community of Chula Vista through a minimum of four (4) courses; . Access to fresh produce for low income children, youth, and families will improve; and . Three (3) community-school-based gardens will be developed and built. The process objectives listed above will serve to enhance the daily diet and nutritional intake for the residents ofChula Vista including, adults, youths, and children. This will be accomplished through involvement with nutrition and creative urban food production activities via existing and new collaboratives. B. Target Population and Participating Sectors The project targets adults, youth, and children in the South Bay area of San Diego. The two primary schools involved, Vista Square Elementary and Chula Vista Junior High serves 1,995 students. These schools serve an urban population that is ethnically, linguistically, and culturally diverse, falls in the lower socioeconom ic third of the population, and has a high rate of unemployment. Seventy-five percent ofthe population are minorities, of which 60% are Hispanic. Sixty percent of the students are eligible for free lunches, and another 2% for reduced fee lunches. Additional community-school-based garden sites will include Discovery and Lauderbach Elementary Schools. (1GB: Healthy Cities Project - Renewal.96] 7 II-/~ City ofChula Vista Participating Sectors are as follows: . Chula Vista Youth Coalition, including: American Red Cross, Boy Scouts of America, Boys & Girls Club ofChula Vista, Campus Life, Chula Vista Elementary School District, Chula Vista Junior High School - BEACON Family Resource Center, Chula Vista Library, ChuJa Vista Parks and Recreation, Chula Vista Police Department, Chula Vista Safe Havens Program Planning Group, Chula Vista Youth Commission, Church of the Most Precious Blood, Girls Scouts - San Diego & . Imperial Counties, Healthy Starts, June Burnett Institute, San Diego Council of Community Clinics, South Bay Family YMCA, South Bay Community Services, Sweetwater Union High School District, Teen CrisisLine, University of California Cooperative Extension 4-H Program; · Chula Vista Cluster Coordinating Council (CVCCC), including: American Red Cross, BEACON Family Resource Center, Boys and Girls Club, Downtown Business Association, Chula Vista Human Services Council, Chula Vista Elementary School District, Chula Vista High School, Chula Vista Literacy Team, Chula Vista Police Department, Chula Vista Parks and Recreation, Community Health Group, Deaf Community Services, Department of Health Services, Employment Development Department, Episcopal Community Services-Head Start, Even Start, Feaster Elementary School, First Baptist Church, Goodwill Industries, Haborside Elementary School, Home Together, MAAC Project, Mueller Elementary School, Parent Representatives, Otay Community Clinic, Rice Elementary School, Rohr Elementary School, San Diego Council of Community Clinics, Salvation Army, University of California Cooperative Extension -4- H, South Bay Community Services, Sweetwater Union High School District, Vista Hill Behavioral Health Center, Vista Square Elementary School, YMCA; . . Chula Vista Elementary School District; . Chula Vista Parks and Recreation Department; and · University of California Cooperative Extension - San Diego County 4-H Program C. Creative or innovative approaches The entire idea of urban gardening is a creative and innovative approach by itself. The project will enhance the daily diet and nutritional intake for the residents of Chula Vista. Additionally, the project will expose residents to food production ideas and activities. This will be achieved through the collaborative efforts of the agencies listed in Section B. In researching garden projects and collaboratives, staff received information and consultation from project staff of the cities of Berkeley and Escondido. The information proved useful, with some modification, in developing key activities. (JOBe Healthy Cities Project _ Renewa]96] 8 11,/7 City of Chula Vista D. Anticipated Outcomes The anticipated outcomes are related to the goals of the project. From the establishment of a community- school garden and after-school playground gardens include: I. An increase in knowledge about food production and nutrition. 2. An increase in community volunteers and commitment to a healthy lifestyle. 3. An increase in classrooms using food production and nutrition curriculums. E. Evaluation The effects and progress of the garden activities will be evaluated throughout the project. The process evaluation will determine the following. The total number of adult, youth, and child participants involved with the garden; The number of total volunteer hours; The varieties of produce grown will be counted to determine produce yields and the amounts produced; Inkind donations and contributions will be recorded and tracked. The teachers using the agriculture curriculum in their classrooms will informally ask students how they liked the produce the youth grew, prepared, and consumed. In addition to the process evaluation, tbe outcome evaluation will determine the overall success of the project. To establish the success of the goal, the total number of community members and families receiving fresh produce grown in the school-community-based gardens will be monitored and logged throughout the project. F. Share information Curriculum, gardening techniques, xeriscaping and low-water usage, and recipes are some of the information that will be shared with interested parties. That may include: The community at large, Chula Vista Cluster Coordinating Council, Chula Vista Elementary School District, Chula Vista Tobacco Education Project, Chula Vista Youth Coalition Agencies, City Departments, the Mayor and the City Council. Additionally, flyers, lesson plans, curriculum, key activities, and other information will be shared with other interested communities and cities. [JGB: Healthy Cities Project - Rnewl.[ 96) 9 11--11" City of Chula Vista PROJECT WORKPLAN 1996 - 1997 Goal Statement: To meet the nutritional needs of Chula Vista residents including, adults, youths, and children. Objective: By September 30,1997, the following will occur: . A minimum of 250 families will be provided with fresh produce. To support the goal and the objective, the following process objectives have been developed: . Food production and nutrition education will be provided within the community of Chula Vista through a minimum offour (4) courses; . Access to fresh produce for low income children, youth, and families will improve; and . Three (3) community-school-based gardens will be developed and built. The process objectives listed above will serve to enhance the daily diet and nutritional intake for the residents ofChula Vista including, adults, youths, and children. This will be accomplished through involvement with nutrition and creative urban food production activities via existing and new collaboratives. Year 2000 Objectives: To increase complex carbohydrate and fiber-containing foods in the diets of adults (Objective 2.6) to five (5) or more daily servings for vegetables including legumes and fruits, and to six (6) or more daily servings for grain products. 11GB: Healthy Cities Project - Renewa196] 10 //-/1 City of Chula Vista Key Activities GARDEN DATES l. The Steering Committee and Garden Project Sub-Committee October 1996 members, teachers, City staff, and the Community Garden Coordinator will recruit experts to advise, teach, and educate children, youth, and families on gardening techniques. 2. The Steering Committee and Garden Project Sub-Committee October 1996 - members, teachers, City staff, and the Community Garden January 1997 Coordinator will solicit inkind donations. These may include: fencing, lumber, and irrigation materials. Those items not acquired via inkind donations will be purchased. 3. Community volunteers and Master Gardeners, from the January 1997 - University of California's Cooperative Extension Home and June 1997 Farm Advisors program, will mentor youth in proper soil ph. levels, the use of beneficial insects as an alternative to pesticide use, tilling the soil, constructing fences and raised beds, and installing a water-efficient irrigation system. 4. Youth, children, family and community volunteers will build December 1996 - raised beds. The plans for the beds will be developed with January 1997 the Garden Project Sub-Committee. 5. The Steering Committee and Garden Project Sub-Committee December 1996- members, teachers, City staff, and the Community Garden January 1997 Coordinator will solicit top soil, compost, amendments, and mulch as inkind donations. Those items not acquired via inkind donations will be purchased. 6. Children, youth, families, and community members will January 1997 plant and care for the seeds and seedlings. 7. Maintenance, weeding, fertilizing, watering, and pest control January 1997 - will be done regularly under the direction of the Community September 1997 Garden Coordinator, after-school playground staff, and the teachers involved in the project. 8. Distribution of fruits, vegetables, and herbs produced will be March 1997 - done weekly. This will be done under the direction of the September 1997 Community Garden Coordinator, after-school playground staff, and the teachers involved in the project. 9. In addition to the Garden Committee, a decision making January 1997 - group/policy/board will be developed. This group will be September 1997 responsible for the ongoing garden activities and sustainability of the community garden. (JGB: Healthy Cities Project - Renewal.96] II 11'.J.p City of Chula Vista Key Activities LESSON PLANS/CURRICULUM/ACTIVITIES DATES l. The lead teacher on the Garden Committee will research October 1996 current lesson plan/curriculum/activity options. 2. The lead teacher and/or City staff will order materials, November 1996 supplies, and books. 3. City staff will begin new component of after-school program January 1997 activities. 4. Teachers will incorporate curriculums and activities into January 1997 classroom lesson plans. 5. Teachers develop and carry out the tests/surveys before and December 1996 after the use of the curriculum. CHILD, YOUTH, AND ADULT INVOLVEMENT DATES 1. The Garden Committee Personnel Subcommittee will October 1996 develop job description for Community Garden Coordinator to be responsible for the garden at Vista Square. 2. Nominate individuals and/or advertise for Coordinator October 1996 position. 3. The Personnel Subcommittee will interview candidates. November 1996 4. The Garden Committee will hire Coordinator. December 1996 5. San County 4-H and the Food Nutrition Education Program January 1996 - (FNEP) will offer nutrition cookinQ. and QardeninQ classes. Seotember 1997 [JGB. Healthy Cities Project- Renewal.96] 12 11-';'/ City of Chula Vista Key Activities STEERING COMMITTEE DATES 1. The Garden Committee will meet monthly to discuss Octoher 1996 - progress of project activities. September J 997 2. The Garden Committee and the Steering Committee will May] 997 meet to discuss efforts and ideas for ongoing projects. 3. The Garden Committee will meet two - three times to July] 997 - evaluate the project. September 1997 PROGRAM EV ALVA TION DATES 1. Monitor progress and update necessary information. October J 996 - (See Process Evaluation) September] 997 2. Teachers, Garden Coordinator, and City staff will track and October 1996 - monitor the number of participants, volunteers and total September] 997 number oftheir hours. 3. The Garden Committee and the Steering Committee will July 1997 - evaluate the program to see how well objectives have been September] 997 achieved. Process Evaluation: Establishment of the gardens; Number of youth involved in the after- school playground site's mini gardens; Inkind dollar amounts; Sign-in lists from community education classes; Total number of volunteer hours; Number of varieties grown and the amounts produced. Outcome Evaluation: The total number of families receiving fresh produce grown in the school-community-based gardens. (JGB: Healthy Cities Project - RenewaL96] 13 II--u' City of Chula Vista Steering Committee To enhance community participation, the Steering Committee and the Garden Committee continue to recruit parents and community members from the garden site areas. This will be an ongoing process for the duration of the gardens. Bartindale, Jennifer · (619) 691-5109 Beardsley, Joyce (619) 585-5619 Human Services Coordinator FAX 691-5109 Senior Recreation Supervisor FAX 585-5612 Chula Vista Parks and Recreation Department Chula Vista Parks and Recreation Department 276 Fourth Avenue 276 Fourth Avenue Chula Vista, CA 91910 Chula Vista, CA 91910 Buettner, Mary Jo · (619) 422-8374 Garcia, Lupe · (619) 427-6954 Project Coordinator FAX 691-1086 Program Coordinator FAX 427-6954 Healthy Starts Collaboration BEACON Family Resource Center 540 "G" Street 540 "G" Street Chula Vista, CA 91910 Chula Vista, CA 91910 Hubbard, Tris (619) 422-8354 Manglallan, Sue · (6]9) 694-8836 Staff Associate 4-H Youth Development Advisor/ Chula Vista Human Services Council Chula Vista Youth Coalition 313 Windjammer Circle 5555 Overland Avenue, Building 4 Chula Vista, CA 91910 San Diego, CA 92123 Merlino, Gene · (619) 422-1642 Valenzuela, Jess (619) 691-5273 Director Youth Services Director FAX 585-5612 Episcopal Community Services - Head Start Chula Vista Parks and Recreation Department 1637 Third Avenue, Suite I 276 Fourth A venue Chula Vista, CA 919] I Chula Vista, CA 9]910 Garden Project Committee Members' Davis, Judy. (619) 468-3857 Master Gardener - Com poster Post Office Box 698 Jamul, CA 91935 Deichler, Martha · Teacher Vista Square Elementary (619) 422-9374 FAX 427-1086 Higginson, Robyn · Teacher Vista Square Elementary (619) 422-9374 FAX 427-1086 (JGB Healthy Cities Project. Renewal 96] Felber, Barbara. (6]9)427-3184 President, Chula Vista Garden Club 1272 Pecan Place Chula Vista, CA 9]911 Roberts, Paula. (619) 420-1413 Public Information, Sweetwater Authority Post Office Box 2328 Chula Vista, CA 91912 Tubiolo, Jan. (619) 670-2290 Otay Water District Representative 14 /1".2;1 city of Chula Vista PROJECT PARTICIPATION AGREEMENT Requirements of Participation for Program Year Sppj-pmhpr 1.1 qqh to l\ngn<:j- 11, 1 qq7 As an Active Project Participant, I agree to: t/ Attend Project -sponsored regional meetings; t/ Participate in the evaluation of the Project, both statewide and locally; t/ Share resources, strategies, and experiences with projects in other cities as well as the statewide Project; and t/ Report progress of local activities to the statewide Project, which will require the submission of two progress updates and one final report. (Reporting periods (JJ'ld due dates for progress reports in effect will continue to apply.) 9/ f) ~ ;::i(y Manager (Signature) , :? { - 7y Date Signed California Healthy Citi~s Project Renewal Application /1-;1 'I Page 15 City of Chula Vista FINANCIAL ASSISTANCE REQUEST Local Project Implementation REQUESTED BUDGET ITEM CITY COMMUNITY HEALTHY TOTAL CITIES 1. Human Services Coor. $5,520.00 $0 $0 $5,520.00 2. Garden Project COOT. $0 $0 $1,200.00 $1,200.00 3. Fencing $0 $3,000.00 $1,200.00 $4,200.00 4. Irrigation $0 $1,500.00 $800.00 $2,300.00 5. ToolslEquipment $0 $1,000.00 $2,180.00 $3,180.00 6. Planting Materials $0 $2,000.00 $1,000.00 $3,000.00 7. Soil and amendments $48,000.00 $4,000.00 $250.00 $52,250.00 8. Curriculum/Copies $500.00 $250.00 $310.00 $1060.00 9. Training/Meetings $150.00 $150.00 $540.00 $840.00 10. TelephonelUtilities $250.00 $1,000.00 $0 $1,250.00 II. Supplies $400.00 $200.00 $0 $600.00 TOTAL $54,820.00 $13,100.00 $7,500.00 $75,420.00 Budget Narrative I. The City's Human Services Coordinator will be responsible for completing and submitting the required reports to the City Council and the California Healthy Cities Project. The Human Services Coordinator may attend necessary training, seminars and/or conferences. The City contribution is calculated at $21.23 per hour, based upon five (5) hours per week, for 52 weeks of the year. The amount includes all applicable taxes, Medicare, and benefits. 2. The Community Garden Coordinator will receive a stipend of $1 00.00 each month. Members of the Chula Vista Cluster Coordinating Council will nominate the candidate. The ideal candidate will be the parent of a child enrolled at Vista Square Elementary School. The Community Garden Coordinator will oversee the garden on weekends, holidays, and when school is on intersession. This person will help the lead teachers in soliciting and organize inkind materials, supervise youth working in the garden, and monitor the types and amounts of produce grown. In addition, the Community Garden Coordinator will organize the weekly distribution of the produce. 1JG8: Healthy Cities Project. Renewal%] 16 I/'.J.j' City of Chula Vista 3. Fencing will inclose three additional sides of the garden site at Vista Square Elementary School. The fence will be a chain link with post cemented in the ground and will include two gates and one 16' wide equipment/vehicle gate. The cost, $4,200.00, is estimated for 180 linear feet of installed heavy-duty chain- link fence, per Chula Vista Unified Elementary School District's specifications. 4. Irrigation and drip systems will be installed for maximum water conservation. This includes pipes, hoses, joints, and other parts of the irrigation system and is based upon a total cost of $2,300.00. 5. Tools will include rakes, shovels, wheel barrels, and small hand tools such as trowels and hand spades. Many tools will be child size for younger children to work in the gardens. Equipment may include: rototiller rental, cement mixer, or any other needed rentals. The total amount is $3,180.00. 6. Planting Materials will be as seeds, seedlings, and established plants. Most of the $3,000.00 costs for the materials will be community donations. 7. Soil amendments will enrich the nutrient level of the soil. The amendments may include compost, manure, nitrogen, and other organic materials. The City of Chula Vista will donate at least 50 yards per month of compost and mulch for the three garden sites. The total cost is computated at $40.00 per yard, for a total of $52,250.00 for the project year. 8. Curriculum!Lesson PlanslCopies/Printing purchased to enhance the lesson plans both in the classrooms and at the playground sites. The $1060.00 cost includes reproduction and printing of the plans and any other materials necessary for the project. 9. A total of $540.00 is requested as part of this application to cover expenses related to attendance and participation in Healthy Cities Project meetings and/or training opportunities by the Human Services Coordinator. This includes the California Healthy Cities Project Annual Conference and City Representative meeting in Spring 1997. Expenses may include: The Annual Conference registration fee, hotel expenses, airfare, mileage, and parking expenses. The contribution from the City and the Community will be $300.00 for this line item. This will allow City staff, Garden Committee, and volunteers to attend trainings andlor conference that will benefit the project. Examples of additional trainings include: the Harvest of Knowledge Conference (October 5, 1996) and the Del Mar Exposition (June 22, 1997 - July 5, 1997). 10. Telephone and Utilities including: electricity, gas, and water, are estimated for a total of$I,2500.00 for the project year. 11. Supplies may include: paper, pens, pencils, staples, clips, and any miscellaneous items. $600.00 is the total estimated cost for the project year. lJGB. HealthyCilies Project. Renewal 96] 17 //".21- COUNCIL AGENDA STATEMENT ITEM TITLE: Item: I j. Meeting Date: 11/26/96 /8'61., Resolution Approving an Amendment to the Advanced Life Support (Paramedic) Service Contract with Hartson Medical Services in Accordance with the Terms Set Forth in the Staff Report and Directing the City Attorney to Prepare the Amendment in Accordance with Said Terms and Directing Staff to Evaluate the Potential Effects of the City of San Diego's Restructured Advanced Life Support System on t~e ~ula Vista Operating Area. Fire Chief 1~ ~ City Manager~G bQ (415ths Vote: Yes_No-X.) SUBMITTED BY: REVIEWED BY: Pursuant to Council action in 1993, Staff had intended to competitively bid the Advanced Life Support (Paramedic) exclusive contract which expires in April of 1997. Recent events involving a major system redesign of "managed care" Advanced Life Support (ALS) transportation in the City of San Diego now suggests that it may be prudent to extend the current agreement with Hartson Medical Services for sufficient time to evaluate how San Diego's restructured ALS system will affect Chula Vista. RECOMMENDATION: That Council: (1.) Direct Staff to evaluate the potential effects of the City of San Diego's restructured ALS system on the Chula Vista operating area over the first six months of operation, prior to competitively bidding these services; and (2.) Approving an amendment to the advanced life support (paramedic) service contract with Hartson Medical Services in accordance with the terms set forth in the staff report and directing the City Attorney to prepare the amendment in accordance with said terms. BOARDS/COMMISSIONS RECOMMENDATION: None DISCUSSION: The existing agreement with Hartson Medical Services provides for three three-year extensions after the initial term which expired in 1994. Following the threat of litigation in 1993 by Sterling Ambulance Company concerning Hartson's exclusive provision of Basic Life Support service in Chula Vista, the City Council approved three actions: (1) the exclusive Agreement with Hartson for ALS service was to be extended for three years; (2) the Agreement was to be amended to delete Basic Life Succort (BLS) service exclusivity by Hartson in Chula Vista (therefore opening it up to other providers); and (3) ALS service was to be competitively bid after April 30, 1997. Subsequent to Council's action: (1) the Hartson contract was extended for three years, (2) the agreement was bifurcated to delete BLS exclusivity, and (3) Hartson has been formally notified that the City may exercise its right to terminate the agreement effective April 30,1997. As staff began preparing for the RFP process to go out to bid for Advanced Life Support service, it became apparent that a number of factors could greatly affect the scope and nature of an RFP for /-2 --I Item: I ~ Meeting Date: 11/26/96 Page: 2. ALS services in the Chula Vista area, specifically: A. The Evolution of Managed Care and ALS System Availability "Managed care" and the concept of ALS (paramedic) operations continues to evolve at a rapid rate. Currently, Hartson and other similar service providers run two levels of operation: ALS (paramedic) and BLS (non-paramedic). BLS units generally have two EMT -certified personnel and are trained to handle the more routine, non-life threatening calls for service, including transports to medical care facilities. ALS units, on the other hand, generally run with two paramedic personnel and are equipped and trained to handle a wide range of medical emergencies, including transport of the most seriously ill/injured patients to medical care facilities. The City of San Diego is proposing to modify the staffing requirements for ALS ambulance units to permit ALS units to be staffed with one paramedic and one EMT/Driver. The second paramedic would be provided by the San Diego Fire Department engine company responding to the same incident. This staffing savings realized by the private provider could create greater funding latitude to stabilize rates, place more ALS units in service, assist first responder fire departments in funding emergency medical supplies and equipment, or any combination of these items. All of these issues could have significant implications for ambulance service in Chula Vista. B. City of San Diego ALS Contract The City of San Diego is in the process of competitively bidding its ALS service contract, and intends to have the contract awarded for a July 1, 1997 start date. Of particular importance here is the fact that the provider ultimately selected for the City of San Diego operating area will have a significant impact on the Chula Vista ambulance system, as it closely interfaces with Chula Vista's, National City's, and Imperial Beach's, providing additional peak and overflow service when units dedicated to these areas are busy1. As call volumes into Chula Vista's eastern territories increase, it is anticipated that under a new San Diego system there will be an increased reliance on automatic aid coverage in southern Chula Vista. If San Diego moves, as proposed, to a single paramedic model, Chula Vista would need to evaluate the automatic aid relationship to ensure that there would be no reduction in service to Chula Vista system users. The City of National City, which contracts for Hartson's services the same as Chula Vista has extended its contract with Hartson for three years in order to allow sufficient time for the San Diego bid and its impacts to be clarified. It is felt that coordinating with neighboring ALS service providers in order to maximize overall system coverage and mutual support is the 1 For information, Hartson operates under a performance-based contract with Chula Vista, which requires that they respond to 90% of the calls for service within 10 minutes citywide. Currently, Hartson runs two ALS units in Chula Vista, and supplements service with the National City and Imperial Beach units. This system has consistently put Hartson in compliance with the response time standard. /.2 - '-. Item: I ~ Meeting Date: 11/26/96 Page: 3. highest priority. Staff ProDosal to Facilitate Further Evaluation of Area ALS Service RelationshiDs Taking the above items into consideration suggests that it may be prudent to amend Chula Vista's current agreement with Hartson to allow sufficient time to evaluate the exact scope and design of the San Diego contract and how the "managed care" relationships between the hospitals and ambulance companies will emerge. It is felt that taking a "wait and see" approach at this point would prove to be the most beneficial position for the City. San Diego will be awarding their ALS contract later this coming winter, in time for the provider to begin service on July 1, 1997. It would be Chula Vista staffs intention to make a final evaluation of San Diego's system after an adequate time period (i.e. six months of service by the new ALS provider). At that time, Chula Vista would then be in a more advantageous position to evaluate a number of issues to be included in an RFP for our own competitive selection process. From a practical perspective, approximately 18 months from the expiration of the current agreement period would be needed to complete the process: . . 1r18"'111I111'=1'11: !lt1r~'Jlll'lllllll!rlillillll!~1 ~lllllr~r~llillrialr.fll!l~IIJ.lr'~lllIllfiffl~I'~l1.!1111ililllllilrfl"lllltif.f'~ Agreement Expiration (April 30) to July 1 , '97 July 1 , 1 997 2 to coincide with new San Diego provider start San Diego Provider Evaluation Period January 1 , 1 998 6 EvaluationlWrite RFP April 1 , 1 998 3 RFP Out to Bid June 1 , 1 998 2 Selection of Provider August 1 , 1 998 2 Transition Period for Provider November 1 , 1 998 3 i!II.lftf~~fJr.IJ.~I~dll~f:IIIIIIIII~I~lfllllf[fI:f.'illil1IIIIIijlllllljlllr~~I~IIIII~!i iill'~llt!lflt~!llIJJ11ftfll!llllf~lt~ltl"[lil ~1![rl~1tJf"~~f~lllil~II!lliJlilillr.1f.t!fil[J,~ij[! In the event Council elects not to extend the agreement with Hartson Medical Services as proposed above by Staff, proceedings would continue toward issuing an RFP for providers to competitively bid for these services. Medical SUDDlies Procurement bv Hartson for the Fire DeDartment Staff has had discussions with Hartson Medical Services for some time regarding a program where Hartson would supply the Fire Department with the emergency medical materials necessary for the Fire Department to adequately support Hartson's field operations through the First Responder system. These materials include a variety of items such as: bandages, airways, gloves, blood pressure cuffs, defibrillator supplies, protective glasses, masks, gowns, antimicrobial soap, tape, and suction units. Hartson has agreed to procure these items (up to $7,000) for the Fire Department and deliver them 1,2" J Meeting Date: 11/26/96 Page: 4 directly to Fire Station #1 for further distribution to the outlying stations. In the event that future changes in federal, state, or local regulations require additional Personal Protective Equipment or other medical equipment or supplies in support of Emergency Medical Services operations causing the $7,000 cap to be exceeded, it has been agreed that the parties would negotiate in good faith to adjust the maximum limits of Hartson's contribution for the additional items. The same would be true if Hartson and the City, by mutual consent, agree to utilize new equipment in the field to enhance patient care. Amendment to the Existlna Aareement M amendment to the existing agreement is being negotiated with Hartson Medical Services to include the following general provisions: (1) A new contract period, commencing May 1,1997 for 18 months; (2) A Termination for Convenience clause; (3) Re-supply by Hartson of the Fire Department medical supplies and related emergency medical equipment, including Personal Protective Equipment and disposable defibrillator supplies, not to exceed $7,000 per fiscal year; and (4) Hartson to continue to dispose of medical waste materials used in patient care. FISCAL IMPACT: The procurement of medical supplies by Hartson for the Fire Department would result in a savings to the General Fund of approximately $7,000 per fiscal year. The contract extension for 18 months, however, will have no direct fiscal impact on the City; the City could realize substantial benefit by allowing the emerging ALS service structure to solidify before participating in our own competitive selection process. This action would result in no rate impact to the users of the system; any request by Hartson during the extension period for a rate adjustment would be brought before the Council for review as has been practiced in the past. I:J ., I.( RESOLUTION NO. l'8'fdY RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AMENDMENT TO THE ADVANCED LIFE SUPPORT (PARAMEDIC) SERVICE CONTRACT WITH HARTSON MEDICAL SERVICES IN A<;:CORDANCE WITH THE TERMS SET FORTH IN THE STAFF REPORT AND DIRECTING THE CITY ATTORNEY TO PREPARE THE AMENDMENT IN ACCORDANCE WITH SAID TERMS AND DIRECTING STAFF TO EVALUATE THE POTENTIAL EFFECTS OF THE CITY OF SAN DIEGO'S RESTRUCTURED ADVANCED LIFE SUPPORT SYSTEM ON THE CHULA VISTA OPERATING AREA WHEREAS, pursuant to Council action in 1993, staff had intended to competitively bid the Advanced Life Support (Paramedic) exclusive contract which expires in April of 1997; and WHEREAS, recent events involving a major system redesign of "managed care" Advanced Life Support (ALS) transportation in the city of San Diego now suggests that it may be prudent to extend the current agreement with Hartson Medical Services for sufficient time to evaluate how San Diego's restructured ALS system will affect Chula vista. NOW, THEREFORE, BE IT RESOLVED the City Council of the ci ty of Chula vista does hereby approve an amendment to the Advanced Life Support (Paramedic) Service Contract with Hartson Medical Services in accordance with the terms set forth in the staff report and directing the City Attorney to prepare the amendment in accordance with said terms and direct staff to evaluate the potential effects of the City of San Diego's restructured advanced life support system on the Chula vista operating area. BE IT FURTHER RESOLVED that Chula vista is hereby authorized and Amendment, in the form prepared by the behalf of the City of Chula Vista. the Mayor of the City of directed to execute said city Attorney, for and on Presented by Approved as to form by James Hardiman, Fire Chief CL L1 ~9---SL Ann Y. Moore, Asslstant City Attorney c: \rs\ALS.ext /~"'..5 CITY COUNCIL AGENDA STATEMENT ITEM MEETING DATE: 11/26/96 ~ ITEM TITLE: Report status of Alleged violations of Campaign Ordinance SUBMITTED BY: City Attorney ~~ (4/sths Vote: Yes___No-ZI The City Council at its meeting of November 19, 1996 directed the city Attorney's office to discuss alleged campaign ordinance violations of Chapter 2.52 of the Chula vista Municipal Code. The city Attorney will be presenting an oral report. 13~/ COUNCIL AGENDA STATEMENT Item No. I~ Meeting Date 11/26/96 ITEM TITLE Report: Review of Compliance by Chula vista Bay Club Ltd. with Cardroom Regulations, Chula vista Municipal Code Chapter 5.20; Ratification of proposed Settlement Agreement Fine and Approval of Transfers of Interests in the Cardroom License; or (2) Revocation of the Cardroom License Resolution I r~1 - Fining the Chula vista Bay Club Ltd. for violation of Cardroom ordinance SUBMITTED BY City Manager 4j5ths Vote: Yes___ No-X- This item will be delivered separately on Friday, November 22, 1996. I~'I/ COUNCIL AGENDA STATEMENT Item No. Jtj- Meeting Date 11/26/96 SUBMITTED BY Report: Review of compliance by Chula vista Bay Club Ltd. with Cardroom Regulations, Chula vista Municipal Code Chapter 5.20; Ratification of Proposed Settlement Agreement and Approval of Transfers of Interests in the Cardroom License; Resolution ) frSt/9 - Ratifying the Settlement Agreement with Chula vista Bay Club Ltd. city Manage~ 4/5ths Vote: Yes___ No-X- ITEM TITLE The Chula vista Bay Club Limited partnership (CVBC Ltd.) obtained City Council approval on July 17, 1990 to operate two separate, but consolidated, cardroom licenses. To date these licenses have not been utilized in that no cardroom has been in operation under these licenses. During this time, there obviously has been no violation in the operation of the cardrooms; however, there have been violations of the resolution approving these cardroom licenses as well as the city's Municipal Code. These violations involve changing ownership of the licenses. This violates the Municipal Code provision that precludes any transfer of the financial interest in the cardroom prior to that cardroom license being in operation, and with notice to and approval by the city. The recommendation of this report is to enter into a settlement agreement that would involve a financial consideration, as well as set reasonable reporting timelines, and clearly stating CVBC's obligations to the city of Chula vista. This report was prepared with the assistance of the police Department and the city Attorney's Office. RECOMMENDATION: Ratify the Settlement Agreement with the Chula vista Bay Club Limited Partnership; Setting Ground Rules for Future Ownership Changes and Approving Transfers of Interests in the Cardroom License Excluding the Latest Request. BOARD/COMMISSION RECOMMENDATION: N.A. 1 Ilf-~ / BACKGROUND The city council ratified the transfer of two cardroom licenses, held by the Action Club and Xanadu Club, to Aram Zennedjian, an individual, in separate actions on January 16, 1990 and July 10, 1990. Subsequently, in a clarifying action on July 17, 1990, CVBC Ltd. obtained city Council approval to operate the two separate, but consolidated, cardroom licenses via Resolution 15727. This change was made in an effort to ensure the Licensee recognized by the city accurately disclosed all parties having a financial interest in the consolidated license. specifically, the ownership was as follows: Chula vista Bay Club Ltd. consisted of: George Tumanjan 50% Aram Zennedjian 49% Chula vista Bay Club Inc. 1% The Chula vista Bay Club Inc. is the Managing General Partner of CVBC Ltd. and 79% was owned by the California Commerce Club Inc., and 21% by Aram Zennedjian. The ownership of the California Commerce Club (CCC) was made up of 34 individuals, the principal owners who were as follows: John Mgrdichian Bertha Bailey Haig Papian Sr. Laura Federico George Tumanjan 17% 9% 8% 6% 6% The remaining ownership of the CCC on July 17, 1990 was made up of twenty-nine individuals, each owning less than a 4% interest in that club. Through the staff investigation, it appeared that there were inconsistencies in the written and verbal correspondence between the attorneys for the parties owning the two licenses and the city. Basically, the ownership reflected in 1990 changed in the transaction which occurred in 1994, which is now asserted as the current ownership of the Chula vista Bay Club Ltd. and Chula vista Bay Club Inc. In very basic terms, what happened is that the ownership reflected in 1990 changed in a transaction which occurred in 1994 and the current ownership is reflected in the following chart. 2 /1/"' )... OWNERSHIP AS REPORTED BY CHULA VISTA BAY ATTORNEYS Chula Vista Bay 7/90/90 3/22/94 Club Limited George Tumanjan 50% 99% Aram Zennedjian 49% 0% Chula vista Bay 1% 1% Inc.' The participants in the ownership of the Club's Limited Partnership are basically the same, but the proportionate shares of that ownership changed in that one individual sold his interest to another. This, however, still violates the Municipal Code in that: 1. The Licensee failed to advise the city council of the transaction; 2. The transfer was not approved by the Chief of police, nor ratified by the city Council; and 3. The license has never been in operation at a fixed location in the City2. It is clear, based on the administrative investigation conducted, that there has been a pattern of less than timely, complete and reliable disclosure of events and facts. CVBC Ltd. failed to provide timely disclosure of information pertinent to the facts of personnel and corporate financial ownership of the Club and the CCC. While there may be options to revoke the permit or levy a fine, a settlement agreement is recommended in order to approve the transfers of interest in the cardroom licenses, to set reasonable reporting guidelines and clearly stating CVBC's obligation to the city. This settlement was based upon the actual staff costs of conducting an administrative investigation and other follow-up 'This entity is the General Partner, consisting of 79 shares owned by the California Commerce Club, Inc. and 21 shares by George Zennedjian in 1990. Under the change of ownership in 1994, the 21 shares owned by Zennedjian were transferred to Tumanjan. 2section 5.20.030 of the Municipal Code states that the transfer of a cardroom license cannot occur "unless the holder thereof has been operating a cardroom for three years at a fixed location in the city." 3 /'1"3 work, applying the full-cost recovery factor plus adding an additional charge. Taking into account the hours spent in terms of investigating this matter in both the Police Department and the city Attorney's Office, these costs currently total $27,733.66. Additional time has been spent by the Chief of Police and members of the city Manager's Office;however, that time and cost is reflected in the full cost recovery factor. In addition, in order to achieve the settlement, it is proposed that a total amount of $40,000 be paid by the license holders, as well as agreeing to adhering to the strict requirements imposed by Resolution No. 15727 and Chula vista Municipal Code 5.20.030. They also agree to adhere to the reporting requirements contained in the proposed settlement agreement. As a matter of further disclosure, the City Council should be aware that Andrew Schneiderman, Vice President and General Counsel of the CVBC Ltd. advises, as of last July, "On the prospective basis, Mr. Tumanjan would like to transfer his full partnership interest to the California Commerce Club, Inc." This is a change from the 1990 city Council directive, would be an ordinance violation without proper notification, review and approval and would not be allowed until the license is in operation in Chula vista for three years. This will advise you that this prospective ownership change is not analyzed in this report, is in no way subject to or included in the Settlement Agreement before the City and would need to be processed separately per the gaming regulations of the city of Chula vista. FISCAL IMPACT Approval of staff's recommendation would result in a payment to the City of $40,000. This would have the effect of reimbursing city staff for the time expended, plus an additional charge. These monies would be deposited into the General Fund. JDG:mab 4 If,i Revised 11-26-96 RESOLUTION NO. 18509 fit RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RATIFYING THE SETTLEMENT AGREEMENT WITH THE CHULA VISTA BAY CLUB LIMITED PARTNERSHIP AND APPROVING TRANSFERS OF INTERESTS IN THE CARDROOM LICENSE WHEREAS, the Chula vista Bay Club Limited Partnership obtained City Council approve on July 17, 1990 to operate two separate, but consolidated, cardroom licenses; and WHEREAS, to date these licenses have not been utilized in that no cardroom has been in operation under these licenses; and WHEREAS, during this time, there obviously has been no violation in the operation of the cardrooms; however, there has been a violation of the resolution approving the cardroom licenses as well as the city's Municipal Code; and WHEREAS, these violations involve changing ownership of the licenses; and WHEREAS, while there were no new names added to the licenses, one name was deleted and the proportionate share of the other owner's ownership was increased which violates the Municipal Code provision that precludes any transfer of the financial interest in the cardroom prior to that cardroom license being in operation, and with City approval; and WHEREAS, staff's recommendation is to not revoke the license for the two cardrooms, but to negotiate a Settlement Agreement. NOW, THEREFORE, BE IT RESOLVED the city Council of the city of Chula vista does hereby ratify the Settlement Agreement with Chula vista Bay Club Limited Partnership, a copy of which is on file in the office of the city Clerk as Document No. BE authorized and of the citv. BE IT FURTHER RESOLVED that the citv Council does hereby approve transfers of interests in the Cardroom License as set forth in Attachment 2. incorporated herein bv reference as if set forth in full. IT FURTHER RESOLVED that the Mavor is herebv directed to execute said Aqreement for and on behalf Presented by Approved as to form by Richard P. Emerson, Chief of Police An~';-M~r~~ Attorney city c: \rs\CVBC. fin JIf .,~ ATTACHMENT 2 The current ownership of Chula Vista Bay Club, Ltd. consists of: George Tumanjan 99.0% Chula Vista Bay Club, Inc. (General Partners) 1.0% The ownership of Chula Vista Bay Club, Inc., General Partners, consists of: California Commerce Club, Inc. Anwer Adelshian Zack Anter Susan Avdalian Bertha Bailey Louise Bodnar Raymond Contrucci and Olga Contrucci James Dutchess Laura Federico Franklin and Francine Handler Leslie K. Harris Robert R. Harris Victor Hovsepian Haig Kelegian, Sr. Peter A. Lynch Arsen Malkasian Selma Massman Jasmine Mgrdichian Ralph Mosikian L. T. Murray, Jr. Edgar Pankey Janice Pankey Peter Pankey Victor Pankey Haig Papaian, Jr. Suzanne Papaian Malissa Roos Harvey Ross Kasar Saatchian Arlene Schwartz Kenneth L. Slater George & Irene Streisfield George Tumanjan 79.0% George Tumanjan 21. 0% /y'v NUV-~~-~c ~~~ U~:~~ ~r1 ~H~I ;:>,I'IL.-L.-t:Lb.bt:.I-~u LL~' C J. ~ ....:.-~, -'.I. J.l,:J AND GENERAL RELEASE 0) (jJ III /} l! SETTLEMENT AGREEMENT This Settlement Agreement and General Release (hereinafter "Agreement") is entered into this ____ day of , 1996, by and between Chula vista Bay Club, Ltd. (hereinafter "CVBC, Ltd.") and the City of Chula vista (hereinafter. "CITY") , (hereinafter collectively referred to as "the Part{es"). \ RECITALS A. On .July 17, 1990, pursuant to Resolution No. 15727, CITY granted two separate, but consolidated, cardroom licenses to CVBC, Ltd. ; B. Resolution No. 15727 provided, among other things, for CVBC, Ltd. to advise CITY of any change in the ovmership of shares or interests in CVBC, Ltd., or in the o~~ership of any of its corporate or partnership share/interest holders, and that failure to SO notify is grounds for revocation of the licenses; C. CITY's Municipal code further'precludes any transfer of financial interest in a cardroom license prior to that cardroon, being in operation and without CITY approval (CYMC !l5.20.030); D. ].. series of transactions by CVBC, Ltd. and/or its partnership share/interest holders, have occurred since July 17, 1990, which CITY contends occurred ~Iithout notice to CITY and/or without CITY approval, and without any cardroom having been in operation, any of which CITY contends is grounds ~or revocation of said licenses; i E. CVBC, Ltd. disputes C~TY's contentions and opposes revocation of its cardroom licenses; /i;"7 1 F. CVBC, Ltd. has provided CITY with infal-mation concerning said transactions, which information CITY has had the opportunity to investigate. (See correspondence received July 1996, marked Attachment 1, which is attached hereto and incorporated herein by this reference, hereinafter "the Transactions"); G. CVBC, Ltd. and CITY desire: 1. To resolve their differences over the Transactions and pending license revocations; 2. To clarify grounds for potential future revocation of the licenses; and 3. To clarify CVBC, Ltd.'s reporting obligations to CITY. AGREEMENT NOW THEREFORE IN EXCHANGE FOR MUTUAL CONSIDERNI'ION, RECEIPT Of vlHICH IS HEREBY ACD"Ov~EDGED, THE PARTIES UNDERSTN~D AND AGREE AS FOLLOWS: 1. CVBC, Ltd., its corporate or partnership share/interest holders and their respect.ive co~-porate or partnership share/ interest. holders (hereinafter collectively "CVBC, Ltd.") represent and warrant, under penalty of perjury under the laws of the State of California, that Attachment 2 attached hereto and incorporated herein by this reference is an accurate, full and complete disclosure of its CUXTent ownership as of the date of execu.tion of this Agreement by the parties. CVBC, Ltd. acknowledges that CITY has acted in reliance on the representatiens and walTanties concex'ning the Transactions. 2. CVBC, Ltd. shall pay CITY the total sum of Forty Thousand Dollars and no/lOO ($40,000.00), by certified check payable to The City J'Ir 2 t'~O'.."-L';;';:-9t. FR 1 ..;.1"-l-~:.2':" FI'1 ..t::Hr-.: I,' "'_,I'IL~,'_,HI<.t::cr~_,'-, '-'-' of Chula vista within ten (10) days of the execution of this Agreement by the Parties. The Parties agree that. said total sum is a fair and reasonable amount which represents $27,733.67, to reimburse CITY for st.aff time spent. invest.igating t.he Transactions, and $12,266.33 for penalty assessment against CVBC, Ltd. 3. CVEC. Ltd. does hereby unconditionally, irrevocably and absolutely release and discharQe CITY, its elected officials, appointed officials, officers, current and former employees, agents, attorneys, insurers, successors and/or assigns and any related holding, parent or subsidiary entities (hereinafter collectively referred to as "CITY"), from any and all loss, liability, claims, demands causes of action, or suits of any type, whether in la,,' and/or in equity, related directly or indirectly or in any way connected with any transaction, affairs or occurrences between them to date, including, but not limited to, CITY'S investigations and threatened license revocations as to the matterS occurring between July 17, 1990 through the date of execution of this Agreement by the parties, inclusive. 4. CITY irrevocably and absolutely agrees that it will not prosecute nor allo,,1 to be prosecuted on its behalf in any administrative agency. whether federal or state, or in any court, whether federal or state, any claim or demand of any type related to the matter released above, it being an intention of the Parties that with the execution of this Agreement by ratify and approve the Transactions and \ absolutely, unconditionallyand\forever the Parties, the CITY will~, ,'".,'." -',. that CVEC, Ltd. will be"l j ~-1-'::: ,a,. discharged of and fro~;_a~j~~t obligations to CITY related in any "lay to the rrlatters occurring b,~tween ,'I.. ' ~ "\~}, ,i. i~, 3 11-1 July 17, 1990 through the date of execution of this Agreement by the Parties, inclusive, all such matters being fully discharged herein. 5. The Parties do hereby expressly waive, as to the matters occurring between July 17, 1990 through the date of execution of this Agreement by the Parties, inclusive, all of the benefits and rigllts under Civil Code s 1542, which provides and reads as follows: A general release does not extend to clairl1s which the creditor does not know of or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor. 6. The facts and circumstances surrounding CITY's ratification and approval of the Transactions shall not be construed as a waiver of CITY'S rights to revoke CVBC, Ltd.'s cardroom licenses in the future nor shall this Agreement be asserted to estop CITY from exercising its rights to revoke said licenses in the future. 7. CVBC, Lt.d. understands and agrees that it is not only reasonable but imperative for CITY to have corr~lete, reliable and timely disclosure of all ownership interests, includi.ng related financial interests, of cardroom licensees. Moreover, CVBC, Ltd. understands and agrees t.hat it is not only reasonable but imperative that CITY approve any changes t.herein. CVBC, Ltd. further underst.anc]s and agrees that CIT~ requires reasonable notice and opportunity to investigate any proposed changes in ownership of cardroorQ licensees. Therefore, CVBC, Ltd. agrees to adhere to the strict requirements imposed by Resolution No. 15727 land CW1C 5.20.030. to t.he reporting requirements , In addition, CVBC, Ltd. agrees t.o adhere i.nclucled in Attachment 3 attached hereto and incorporated herein by this reference, \ Ii-It? 4 \ , 8. CITY understands and acknovllec1ges that. CVBC, Ltd. has current full of a proposed prospective transfer of George Tumanjan's ~~ partnership interest ( percent) in CVBC, Ltd. to the advised CITY California Commerce Club, Inc. CITY and CVBe:, l,td. acknowledge and agree that this Agreement does not address said proposed prospective transfer and that CVEC, Ltd. shall comply vlith the provisions established by this Agreement with respect to said proposed prospective transfer. 9. The Parcieshereby certify that they have read all of this Agreement, the quoted civil Code section and that they fully understand all of the same. The paxties hereby expressly agree that this Agreement shall extend and apply to all unknown, unsuspected and . ". unanticipated injuries and damages, as well as those that al^e now disclosed, that vJere the consequences of the events that have occurred up to the date of this Agreement. 10. The Parties further declare and represent that no promise, inducement or agreement not herein expressed has been made and tbat this Agreement contains the ,"ntire agreement between and among the Parties, and that the terms of this Agre~nent are contractual and not a mere recital. 11. The validity, interpretation, and performance of this Agreement shall be construed and interpreted according to the la'dS ot the State of California. 12. This Agreement may be(Pleaded as a full and complete defense and may be used <.~s the basis fot an injunction against any action, . \ suit or proceeding which may be prosecuted, instituted or attE,rnpted by either party in breach thereof. If-II 5 Hov-22-'=-e. FF: 1 '.o.~4- : :;:"~~ r"t"l bHr-_: I "'-"-\'__I__Hf-'.:1:=l:-l<'...>.._ ,-'-' 13. If any provision of this Agreement, or part thereof, 1.8 held invalid, void or voidable as against the public policy or otherwise, the invalidity shall not affect other provisions, or parts thereof, which may be given effect without the invalid pro'lision or part. To this extent, the provisions, and parts thereof, of this Agreement are declared to be severable. 14. It is understood that this Agreement is not an admission of any liability by any of the Parties but is in compromise of a disputed claim. 11/// II/II /1111 //1// 1111/ //1// ///// //1// II/II ///1/ ( \ \ 11/"/.). 6 15. If there is any claim of a breach of any of the provisions of this Agreement, such matter shall be resolved by a court of competentjurisdict.ion In tbe CaLmty of San Diego, California. The prevailing party shall be awarded all its reasonable at.torneys' fees and costs. 16. Each person signing this Agreement on hehalf of others represents and warrarltS that he or she is authorized to sO execul;ce and to enter into a binding agreement and deliver this Agreewent on their behalf . IN WITNESS WHEREOF, the undersigned have executed this Agreernent on the date shown below at Chula vista, California. CBULA VISTA BAY CLUB, LTD. Dated: BV: Its: CITY OF CHULA VISTA Dated: Bv: Its: Approved as to form: John M. Kaheny, City Attorney Bv: Glen F.. Googins Deputy cit.y Attorney 1'1-/;1 7 ~ ,,"-"'<- J ~ l 'l'1 Co ATTACHMENT 1 Dear Sirs: CVBC, Ltd. holds two Chula Vista gaming licenses ("Licenses"). These Licenses were consolidated by the City of Chula Vista in 1990. CVBC, Ltd is a California limited partnership. The General Partner is Chula Vista Bay Club, Inc. At present, the sole limited pJiftner is George Tumanjan. On a prospective basis, Mr. Tumanjan W01l1d like to transfer his full partnership interest to California Commerce Club, Inc. CVEC, Ltd. 's Partnership Agreement shows Mr. Tumanjan as a 50"10 limited partner and Al Zennedjian as a 49% limited partner. One (1 %) percent of the partnership is held by general partner Chula Vista Bay Club, Inc. From the date offormation until March 1994, there were no changes in the ownership ofCVBC, Ltd. Exhibits "A" and "B" contain copies of the Chula Vista Bay Club, LTD. Partnership Agreement and Certificate of Limited Partnership. In March 1994, Mr. Tunamjan acquired Mr. Zennedjian's limited partnership interest. Exhibit "C" contains a copy of the Sale and Assigrunent of Mr. Zennedjian's full partnership interest in CVBC, Ltd. and shares in Chula Vista Bay Club Inc. to Mr. Tumanjan. At the time ofthis assigrunent Mr. Zennedjian continued to hold a 49% interest in the partnership. The recital in the Sale and Assessment that Mr. Zennedjian's interest was 9.79% is a drafting error. Mr. Tumanjan, Mr. Zennedjian and Chula Vista Bay Club, Inc. are the only persons or entities that have ever possessed an ownership interest in CVBC, Ltd As stated above, however, we would like to transfer Mr. Tumanjan's full limited partn~rship interest to California Commerce Club, Inc. Chula Vista Bay Club, Inc. is a California corporation with two shareholders. It was incorporated on January 26, 1990. California Commerce Club, Inc. holds 79 shares and Mr. Tumanjan holds the remaining 21 shares ofChula Vista Bay Club, Inc.'s stock. Exhibit "D" and "E" contain the Stock Certificates for Chula Vista Bay Club, Inc. and the Articles of Incorporation. On March 22, 1994, Mr. Zennedjian, a former shareholder, conveyed all of his stock in Chula Vista Bay Club, Inc. to George Tumanjan. The stock was conveyed under the March 22, 1994 Sale and Assigrunent between Zennedjian and Tumanjan. Copies of these documents are contained in Exhibit "C" . George Tumanjan is a resident of the State of California and is a shareholder and the President of California Commerce Club, Inc. Mr. Tumanjan has a gaming license issued by the City of Chula Vista and is licensed by the Department of Justice as an ovmer and key employee of the Commerce Casino. j;/--j/f California Commerce Club, Inc. (d.b.a. Commerce Casino) is a sub-chapter S California corporation. California Commerce Club, Inc. owns and operates the Commerce Casino in Commerce, California. Exhibit "F' contains a complete list of shareholders, including each shareholder's home address and ownership points. California Commerce Club, Inc. is licensed by the City of Commerce to operate the Commerce Casino. All of-<:alifornia Commerce Club's shareholders and key employees have gaming licenses issued by the California Department of Justice. I hope the above provides you with the information necessary to thoroughly answer the questions raised by the city of Chula Vista. If necessary, I will be happy to meet with any representative of the City ofChula Vista. We remain hopeful that this matter will be raised at the July 23, 1996 City Counsel meeting. On behalf of the California Commerce Club, I apologize to the City of Chula Vista and its acting City Attorney for prior confusion regarding this matter. I have conducted a thorough review of this matter and am confident that the above information is accurate. If I can be of further assistance to Mr. Glen Googins in this matter, please do not hesitate to call me. Andrew A. Schneiderman Vice President/General Counsel (213) 721-2100 /~~;> Index to Exhibits: A. Agreement of Limited Partnership of by Chula Vista Bay Club, LTD. a California Limited Partnership (January 29, 1990). B. Certificate of Limited Partnership-Form LP-1 (filed February 1, 1990). C. Sale and Assigrunent ofInterest in by Chula Vista Bay Club, Inc. and by Chula Vista Bay Club, L TD and Stock Assigrunent Separate from Certificate for by Chula Vista Bay Club, Inc. (March 22, 1994) D. Stock Certificate for by Chula Vista Bay Club, Inc. certifying that California Commerce Club, Inc. holds 79 shares of common stock (January 20, 1990) and that George Tumanjan hold 21 shares of common stock (January 20, 1990). E. Articles ofIncorporation of Chula Vista Bay Club, Inc. F. California Commerce Club, Inc. Current Pointholders (Revised May 7, 1996). 11/"'/(, Exhibit 2 The current ownership of Chula vista Bay Club, Ltd. consists of: George Tumanjan 99.0% Chula vista Bay Club, Inc. (General Partners) 1. 0% The ownership of Chula vista Bay Club, Inc., General Partners, consists of: California Commerce Club, Inc. 79.0% George Tumanjan 21. 0% 9 1'1" /7 EXHIBIT 3 Any individual or entity who owns, operates, or has a financial interest of any nature in any cardroom or gaming club within the city of Chula vista must file an application of registration with the city of Chula vista within 10 days of securing said ownership or financial interest. Application of registration by individuals or entities who own, operate or have financial interest of any nature in any cardroom or gaming club within the city of Chula vista shall be reviewed by the chief of police within 60 days after the applicant submits the completed application form. Thereafter, the Chief of police shall submit a report setting a Public Hearing before the city council for consideration of the chief of police's recommendation as to the application of registration. The city council in its sole discretion, shall approve, deny or otherwise act upon the recommendation. The city council's decision shall be final. 8 ~~ I ITEM TITLE: / .5'. I_ I fjJ-I, ItV' } ~p. Item h ~ f /0., ~..5 Meeting Date 10 8196 ~ ~~,!j Resolution f. Approving Terms and Conditions for the Sale of Marina View Park to the San Diego Unified Port District and Authorizing Staff to Prepare and Execute a Purchase and Sales Agreement and Escrow Instructions . COUNCIL AGENDA STATEMENT SUBMITTED BY: Community Development Director CS, REVIEWED BY: City ManagerrY (4/5ths Vote: Ye~ No_ U/ BACKGROUND: The City of Chula Vista has negotiated with the Unified Port District for the Port's acquisition of certain City and Redevelopment Agency properties on the Bayfront, including Marina View Park on Marina Parkway and three properties on Lagoon Drive (the former Marina Motor Hotel, Shangri-La and Cappos properties). City staff has been negotiating the sale of these properties which has been delayed for a variety of reasons including legal incumbrance and contaminated soils which are now close to resolution. Staff has recently received amended terms of sale for the Marina View Park property which are acceptable and are being forwarded to the Council for review and authorization to proceed. RECOMMENDATION: That Council adopt the resolution authorizing staff to prepare and execute a purchase and sale agreement for sale of Marina View Park consistent with the terms and conditions as proposed by the Unified Port District and attached as Exhibit A with such minor modifications and additional minor terms and conditions that are necessary or appropriate to implement such terms and conditions as may be approved by the City Attorney and the City Manager. BOARDSICOMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: City staff began negotiating the sale of Marina View Park and certain other properties owned by the Redevelopment Agency early in 1995. However, legal and environmental problems have delayed the sale of these properties. At this time, issues delaying sale of Marina View Park have been resolved and the transaction is ready to move forward subject to authorization from the Council. In 1993, the Redevelopment Agency and City issued $3.1 million in Certificates of Participation (COPS) in order to finance the Agency's share of costs related to the construction of the parking garage at the Chula Vista Center. For the purpose of issuing the bonds, certain City properties were quit claimed to the Agency and leased back to the City in order to provide collateral for the bonds and guarantee an income stream to cover debt service. Marina View Park was one of the properties obligated in this manner. In order to clear title and sell this property, the City had to provide a property of equal or greater value to substitute as security for the bonds. In August 1995, the City Council and Redevelopment Agency authorized the substitution of a portion of Memorial Park for Marina View Park in the bond documents thereby clearing title on the latter y-r Y1 1.1'-/ Page 2, Item / d- Meeting Date 10108/96 property. Prior to being transferred to the Port District. the Marina View Park property will be quit claimed back to the City as provided for in the bond documents. Terms of sale were originally prepared by Port District staff which contained provisions considered to be disadvantageous to the City. These provisions included the following: . The property was appraised at its highest and best use (office/retail); and, since the proposed acquisition amount reflects the potential commercial development value, the City is not guaranteed that the property will continue in park use. . No provision was made for the recovery of park equipment in the event the property was converted to another use. . Responsibility for continued maintenance of the facility was not clarified. . Extensive environmental testing was required with indemnification for future liabilities associated with City ownership and use of the property. After further discussion and negotiations, the terms and conditions of sale were modified and restated in acceptable form to staff. These terms and conditions are contained in a letter from the Port dated September 19, 1996. Major conditions are summarized below. 1. The property to be transferred to the Port District contains 2.71 acres of improved parkland and equipment. The City shall retain a reversionary interest in the playground equipment until July 31, 2001. In the event the park is converted to non-park use, the City will have a 30 day period to enter and remove all reusable equipment until that date. 2. The purchase price is $762,000 cash with no escrow deposit required. This purchase price is based upon the value of the developable portion of the property for office/retail use. This value is based upon a May 1995 appraisal by Lipman, Stevens, Marshall & Thene, Inc. (Summary attached as Exhibit S.l . 3. Escrow is conditioned on the results of an environmental investigation of the property provided by the City. If initial testing indicates the need for further testing and/or remediation, the City and Port District shall meet and confer whether or not to keep the escrow open. If the estimated cost of remediation work exceeds $100,000, either party may terminate the escrow. 4. The City shall indemnify the Port District against any legal or administrative proceedings brought against the Port District which relate to environmental claims, liabilities, fines, penalties or other costs occasioned by the neglect or intentional activities of the City or its lessees which arose during the City's ownership of the property. Although this provision provides for the future liability of the City in regards to this property, it is no less than the City has or would require from the owners of property it acquired. 5. Prior to close of escrow, the City and Port District shall enter into an amendment to the agreement between the two entities concerning park maintenance of the Port District property at the J Street Marina. The amendment shall provide that the Port District will ~ ~ /~;,l Page 3, Item /)... Meeting Date 10/08/96 pay the City or its designee to continue to maintain Marina View Park as well as the Port District property at the J Street Marina. As Council was previously advised, it should be noted that the Port District has not agreed upfront to keep the property a public park for any period of time. Furthermore, since the Port District will acquire substantial land use authority over properties it acquires, the City will not have the authority to prevent the conversion of the park to a non-park use if that is what the Port desires. The City has been advised by its Port Commissioner, David Malcolm, that the Port will meet and confer with the City concerning any future proposal to change the land use. Furthermore, in consideration of the amount of vacant land in prime locations on the tidelands currently available for development and the absence of a strong market demand, it is highly unlikely that there will be any pressure to redevelop this property for many years. Finally, the City is currently in discussions with the Port District and Rohr concerning the change in land use in various locations on the tidelands from industrial to visitor commercial. These changes will require amenities such as Marina View Park. Any attempt to change the land use on the park will require processing through the Coastal Commission which would give the City the opportunity to register a protest. FISCAL IMPACT: The Port District proposes to pay $762,000 for Marina View Park, based upon a 1995 appraisal commissioned by the Port. This appraisal is based upon the value of the property of $9.25 per square foot as office/retail times the usable area (82,375 square feet). There is an additional 35,673 square feet of property which provid.e drainage through the site and cannot be developed. The proceeds from the sale of the property, less escrow costs, will be split by the City and Agency with each receiving approximately $350,000 (50% to the City for the land value and 50% to the Agency for the improvements). (fk] M;\HOME\COMMDEV\STAFF.REP'llo.08-96\m.riM.113 !October 3.1996 0:33pm}) _ ~ ~ /.5; J ~'~ -riP_) RESOLUTION NO. /YJ/5'5' RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TERMS AND CONDITIONS FOR THE SALE OF MARINA VIEW PARK TO THE UNIFIED PORT DISTRICT AND AUTHORIZING STAFF TO PREPARE AND EXECUTE A PURCHASE AND SALES AGREEMENT AND ESCROW INSTRUCTIONS WHEREAS, the City Cou'ncil of the City of Chula Vista ("Council") desires to sell certain property owned by the City of Chula Vista known as Marina View Park ("Property"), fully described on Exhibit A attached hereto, to the San Diego Unified Port District ("District"); and WHEREAS, terms and conditions for sale of the Property have been negotiated with the District and have been presented to the Council with a recommendation for approval; and WHEREAS, in order to effect the sale of the Property to the District, a Purchase and Sales Agreement and Escrow Instructions must be prepared for submission to and approval by the District, said Agreement and Instructions including the terms and conditions of sale in substantially the same form as presented to the Council; and WHEREAS. in order to expedite the sale of the Property, the Council is requested to authorize staff to prepare and execute the Purchase and Sales Agreement and Escrow Instructions on behalf of the City, pursuant to review and approval by the City Attorney's office. NOW, THEREFORE, the City Council of the City of Chula Vista does hereby resolve as follows: 1. The terms and conditions of sale of Marina View Park to the San Diego Unified Port District, attached hereto as though fully set forth herein, are hereby approved. 2. The City Council hereby authorizes the City Manager to prepare and execute a Purchase and Sales Agreement and Escrow Instructions consistent with such terms and conditions with such minor modifications and additional minor terms and conditions that may be necessary or appropriate to implement such terms and conditions as may be required or approved by the City Attorney. Presented by Approved as to form by Chris Salomone Director of Community Development llfk.l M:\HOME\COMMDEV\RE:SOS\mariru.r.. (October 2, 1895 n :26pmll rf ~/5';{ l.:."'~:~.' ,.r(. , ;.- '. 'J ,'. , ' .,~ /'- -,,'" u ..... c, "-'<<'.- \) PORT OF SAN DIEGO Operator of Marine Terl1linclls and San Diego lntl'rnatinnal Airport BOARD OF l'ORT COMMISSIONERS Chairmcm of the Board November 26, 1996 Councilman Jerry J. Rindone City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Dear Councilman Rindone: Thank you for your November 7 letter regarding the District's proposed acquisition of the City of Chula Vista's portion of Marina View Park. As you are aware, the City of Chula Vista requested the District purchase this property. The Port owns the adjacent area that was developed cooperatively with the City as part of the Marina View Park complex. H. L. Lipman, MAl, appraised the property for the District. In Mr. Lipman's opinion, the property had an estimated fair market value on May 1, 1995 of $762,000. This value is based on the highest and best use of the property being for "future development of office or mixed use (office/retail)." If the property were appraised based on a perpetual park use, there is a strong likelihood the estimate market value would be less. If the District acquires the property from the City, it intends to continue the park use for the foreseeable future. The Port is committed to working cooperatively with all its member cities in the formulation of land use plans for tidelands in each of the cities. Should the District contemplate changing the park use, you may be assured that early consultations would occur with the City so that the plan was a cooperative effort. The Port would be amenable to exploring the possibility of a Memorandum of Understanding with Chula Vista regarding the park. Also important to be noted is that a change in use would require a Master Plan amendment and environmental assessment, both of which processes involve extensive opportunity and legal mandate for public input. As I know you can appreciate, as trustees of public lands, it is incumbent upon the District to pay no more than fair market value for the property it acquires. Based on the appraiser's highest and best use assumption, a $762,000 purchase price can be supported. If the City were to sell the property to the District with a restriction that the property can only be used for park purposes, the property must necessarily be reappraised, which may result in the proposed purchase price being reduced. (b]l)) 686-6200, Post Office Box 488, S~e~alifornia 92112 I>-,y Councilman Jerry J. Rindone - 2- November 26, 1996 Thank you very much for your interest in this important community asset. If you have any additional questions, please feel free to contact me at your convenience. Sincerely, ~ ()~~ SS VAN DEVENTER, Chairman Board of Port Commissioners JV/ph cc: Commissioner David Malcolm /f"~ Jerry R. Rindone CIty of Chula VIsta 276 Fourth Avenue Chula Vista CA 91910 November 26, 1996 Chula VIsta RadIo AM 1610 promotes our town as a harbor for recreational activIties. The announcement describes our harbor, our marina, our prier, and our 35 parks. But there Is little public awareness of proposed Industrial uses for our bay- front. AccordIng to the November 13, 1996 edItion of The San Dlego Union-Tribune, "the Port CommissIon met In closed sessIon Oct 29 to negotiate with IDEC of La Jolla." The newspaper artIcle describes a waterfront manufacturing plant that is concerned "how to dIspose of about 500,000 gallons of water a day. Other plans propose dredging, a 200 room hotel and two road extensions and an IndustrIal-business park. Does the public really want industrial-busIness park complexes In a bay- front area? Seventy-five (75%) percent of respondents to a survey saId they would like to see recreational or resort development. People In the county come from areas as National CIty, Bonita, and El Cajon; while people come from all states to enjoy the recreational area. I ask that Chula VIstans have some Input to Port District plans. I think we need some type of final approval that represents the will of the people. As elected officials, I ask that you represent the people of Chula Vista In ail bayfront developments. Thank You, d17cJ-~ Gary L. Cooper 767 Rlverlawn Avenue Chula Vista CA 91910 /f"7 , ' \ I ,/" (~;;,--;~~"~~;;' ~ -. '- ""'- C1lY OF (HULA VISTA OFFICE OF THE CITY COUNCIL November 7, 1996 Mr. Jess Van Deventer, Chairman Board of Port Commissioners Port of San Diego P. O. Box 488 San Diego, CA 92112 Dear Chairman Van Deventer, I am in receipt of your October 16, 1996 letter regarding the Port's acquisition of Marina View Park in Chula Vista. I was pleased to hear your responses regarding the Port's beliefs concerning parks and a description of the Port's historical position regarding parklands throughout the region. However, in your letter you had indicated if there was still any concerns regarding this issue to please let you know, I am still not comfortable regarding the relinquishing of the city's land use options should Marina View Park be sold. I believe additional protection or some other procedure be established at a minimum to insure concerns of the City Council regarding land use issues prior to consummating the sale of Marina View Park. The continued cooperative relations between the City and the Port of San Diego has always been an excellent one, and I am sure will continue. However, various City Councilmembers and Port Commissioners change over the years and I think it is incumbent upon the contemplation of the sale of any lands that the Port adequately guarantee the City that it will insure the continued use of Marina View Park as a public park. I am open to suggestions of how to more adequately address the issue. Ultimately, the City would be enhanced by the sale, but further attention to the assurance of retention of Marina View Park as a public park needs to be addressed since this is a key issue for which this City must not be at risk in the future. 15"8" 276 FOURTH AVENUE/CHULA VISTA, CALIFORNIA 919101(619) 691-5044 I would be happy to discuss this with you and look forward to necessary safeguards to be incorporated in any proposed Port acquisition of Marina View Park. Thank you for your willingness to focus on this very important issue. Sincerely, JRR:pw cc: Mayor and City Council Port Commissioner David Malcolm City Manager Goss ~? CITY OF CHULA VISTA I 7/~ Rl'c4~" ~ November 21, 1996 SUBJECT: This will transmit the agenda and related materials for the regular City Council meeting of Tuesday, November 26, 1996. Comments regarding the Written Communications are as follows: The Honorable Mayor and City. council~.. - . ~ John D. Goss, City Manager0l \?t) /? City Council Meeting of November 26, 1996 TO: FROM: Sa. This is a letter from the Acting City Attorney reporting that the City Council met in Closed Session to Government Code Section 54956.9 regarding the claim of Alfred B. Salganick, M.D. The Acting City Attorney reports to the best of her knowledge from observance of actions taken in the Closed Session that Council directed the City Attorney to report on the status of alleged violations of the campaign ordinance. IT IS RECOMMENDED THAT THIS LETTER BE RECEIVED AND FILED. JDG:mab